1988: Back to the human world for a few years

Chapter 322 Cut off
Somewhat unexpectedly, Dahua Asset Management, which has more than one billion yuan in funds on its books and is eagerly awaited by countless people, has not made any significant moves in more than a week after its listing, except for issuing a document requiring Dongying and the tertiary industry units under the drilling company to move their offices to Texas as companies.

No, in fact, Dahua Asset Management Company did make some big moves, but these big moves had nothing to do with the tertiary industry units, as if they had been forgotten.

List of key support projects...No.

Product line adjustment plan and new product plan... none.

There are no operating guidelines or restructuring and joint venture plans for tertiary industry projects.

There is no plan to expand sales channels.

The funding that everyone is eagerly looking forward to...is not there at all.

Seeing that the weather in Qilu has thawed and warmed up, and Dahua's official listing will be here for half a month soon, but the more than 300 tertiary industry units that moved their offices to Dezhou one after another as required have not received any instructions for the next step of work, and they are suddenly a little anxious.

You know, Dongying has officially started to reduce staff and increase efficiency. More than 40 departments at all levels have been eliminated, and 700 employees have been suspended for failing to meet past business assessment standards... Although such a small number of people is really insignificant for the Qilu Oilfield, which has millions of employees and their families, everyone knows that this is just the beginning. Therefore, the panic caused by seeing that the iron rice bowl is about to become less iron can be imagined.

In short, this matter has caused quite a stir. All the tertiary industry units, knowing how insignificant they are in the eyes of the command center, are trembling with fear from top to bottom, fearing that they will receive a thick list of optimization tomorrow.

Therefore, seeing that the Dahua Asset Management Company, this life-saving straw, seemed to be asleep and had not made any movement, many people were anxious and asked various connections to inquire about the situation, and even directly found the "old leaders" who had been transferred to Dahua Company.

Finally they found out the situation, but the news they received made them feel very disappointed.

The management and cadres of Dahua Asset Management Company did submit various reports and plans, but all of them were rejected by Yang Mo.

Moreover, he did not reject them in his capacity as vice president, but directly shot down these plans in his capacity as director of the business review department.

Nima!

How can people survive like this!
........................

At this time,
Business Review Division, Office of the Minister.

Bai Mengmeng, who was holding the title of assistant director, was busy finding the corresponding documents one by one according to Yang Mo's requirements and handing them to him, while at the same time he pricked up his ears to listen to how his master dealt with the business directors who came to protest one by one.

"Mr. Yang, I want to know why you rejected the proposal we submitted yesterday?"

Du Chuanming, director of Business Department 1, tried his best to suppress his anger. Although he used honorifics and there was no special fluctuation in his voice, everyone could see his mood at the moment.

Yang Mo, who was reading the information, put down the document in his hand and waved his hand: "Just call me Minister Yang. We are in the Business Review Department now, not my vice president's office...Xiao Bai, what is the proposal submitted by the first department yesterday?"

After instructing his apprentice, Yang Mo smiled at Du Chuanming and said, "I'm sorry, I've been reviewing a lot of proposals these past two days, and I can't remember what the proposal you guys handed in was."

Feeling the slight contempt hidden under Yang Mo's smile, Du Chuanming's teeth almost broke: "...It doesn't matter."

After hearing his master's instructions, Bai Mengmeng quickly stood up, took out a thick folder from the filing cabinet, flipped to the end, and then spread the folder out and placed it in front of Yang Mo: "A plan that was rejected yesterday is called "Learning Advanced Western Experience - Business Breakthrough and Support Plan for Liaocheng Hardware Processing Factory". Minister Yang, please take a look."

Hearing this title that has a hint of later times and a strong flavor of state-owned enterprises, Yang Mo couldn't help but twitch his lips.

Du Chuanming saw Yang Mo pick up the plan and flip through it with a nonchalant look on his face. He suppressed his effort and began to explain: "Minister Yang, I studied abroad in America before. Although I didn't go to those top colleges for further studies, I studied business after all... Therefore, I am relatively familiar with advanced business models abroad."

After proudly introducing the golden tortoise shell on his body, Du Chuanming familiarly introduced the plan that was rejected yesterday: "Liaocheng Hardware Processing Factory has many product lines, mainly producing various basic metal products for people's livelihood. It is a typical tertiary industry project with heavy assets and light operations. The factory manager in charge has outdated operational thinking and has never been able to get rid of the industrial commodity thinking. In addition, the various metal products produced are rough in shape, the quality rate has never been improved, and the inventory backlog is serious. This has led to low efficiency in recent years, and it can only rely on blood transfusions from the headquarters for support."

"However, although the Liaocheng Hardware Processing Factory has chaotic management and extremely poor efficiency, it is one of the top ten employers in Dongying's many tertiary industry projects... Even without taking into account family members, its workforce exceeds 800 people... Therefore, from the perspective of solving employment problems for employees' families, the Liaocheng Hardware Processing Factory cannot go bankrupt!"

"That's why, after I was appointed as the director of Liaocheng Tertiary Industry Office by the headquarters a year and a half ago, the first thing I did was to conduct a thorough investigation of this hardware processing factory."

"Objectively speaking, after getting to know the situation, I am not optimistic about the future of this hardware factory... because their inventory backlog is too serious, and many iron products have even rusted in the warehouse, which shows that their management is not in place."

"The personnel situation in this kind of unit is complicated. I don't have the confidence to change the situation in management, so I can only think of ways to innovate products. I want to rely on open source to inject new blood into them. After they have the minimum survival ability, I will find ways to solve the management problems."

“So, after two months of continuous thinking, I decided to focus on solving the problem of source code and focus on the new product of almost necessity, the razor!”

As if afraid that Yang Mo didn't understand, Du Chuanming explained: "Although razors have appeared in China a long time ago, similar products in China are either traditional sandwich double-sided razors or imported electric razors;"

"The former can easily scratch the face due to its structure, and if the direction is not well controlled, the wound will be very deep, and there have even been cases where the patient has to be hospitalized for emergency treatment due to wound infection;"

"The latter is too expensive and not affordable for most people. So although electric shavers are very popular in some cities, their market share is still small... In my opinion, the current technology of electric shavers is not very mature. Not only does it take too long to shave, but the shave is not clean. After people's curiosity has passed, I am not optimistic about the market for domestic brands with the current technology in China."

"So, combined with my experience abroad, I thought of Geely and wanted to introduce its experience here."

After a slight pause, Du Chuanming said with a reserved expression: "The Geely brand has not officially entered the country yet. Even if it is occasionally imported, the quantity is not large, so Minister Yang may not know much about it... But it is actually the largest razor brand abroad. In Europe and the United States, almost every two people own one. The market share is terrifyingly high. Currently, only Philips can compete with it."

"And unlike Philips, which has started to experiment with electric razors, Geely's development focus is still on more traditional blade razors... But they are not without innovation, and have begun to try to launch multi-layer single-sided razors."

As he spoke, Du Chuanming gestured and briefly explained what a multi-layer single-sided razor was... This thing is actually the most common box razor in later generations, but it is currently only made with three or two layers of blades. Although it is indeed much faster to use, shaves cleaner, and is much safer, it still cannot be compared with the five-layer box razor in later generations.

After praising the advantages of the box razor, Du Chuanming looked at Yang Mo with a little pride: "Although this multi-layer single-sided razor has only been launched in Europe and the United States not long ago, it has already been well received. If we start to imitate it now, it will definitely be very popular."

"More importantly, the current double-edged razors in China are no longer used after they are sold. Generally, people will not replace the handle of the razor for five or six years. It is only the double-edged blades inside that need to be replaced from time to time... Unfortunately, although most domestic razor manufacturers have launched their own brand of blades, the general public in our country has no brand awareness. In their opinion, the specifications of the blades are the same anyway, so they will buy whichever brand is cheaper or most convenient to buy."

"Under such circumstances, the only product that each company can sell repeatedly is razor blades, which can only be sold through the local supply and marketing cooperatives and small shops. Unfortunately, the country has strong protection measures for the circulation of such products in the region, so everyone can only survive in their own small piece of land."

After talking about the current status of domestic T-shaped razors, Du Chuanming's expression became more reserved: "But the reason why I suggest learning from Geely is not only that the multi-layer single-sided blades shave better than traditional double-sided razors, but also because their business model is far more advanced than that of domestic ones!"

Du Chuanming glanced at Yang Mo who was listening indifferently, and he felt a kind of indescribable fire in his heart. His voice became louder: "Minister Yang, you know, for Geely, the sale of the whole product and the handle is not their main business... Their main source of profit, like most traditional razor companies, comes from razor blades. For this reason, they can even give away a full set of blades for free, so that consumers can experience this new razor technology;"

"Since the multi-layer single-sided razor is far superior to traditional razors, more than 70% of consumers who have tried it continue to buy their blades without hesitation...Geely's multi-layer single-sided razor is completely incompatible with traditional T-shaped razors. Geely has also registered a series of patents. Therefore, if consumers want to continue to enjoy the refreshing shaving experience, there is no other way but to buy their blades!"

At the end, Du Chuanming stared at Yang Mo and said, "Chief Yang, I don't know if you understand the advanced features of this model... Once the Liaocheng Hardware Processing Factory can successfully imitate the multi-layer single-sided razor blades, it will not only be able to quickly open up the market according to the lucky gift model, but also because of the incompatibility of the blades, the Liaocheng Hardware Processing Factory can effectively break through the restrictions of regional protection!"

"To put it bluntly, as long as we are the first to jump out and try it out, we can turn it into a unique business! Not to mention that the hundreds of employees at the Liaocheng Hardware Processing Factory no longer need blood transfusions from the headquarters to maintain their survival, even adding thousands of jobs within a year is not a difficult task!"

After passionately explaining his idea, Du Chuanming sighed: "The reason why this idea could not be realized was that the funds obtained by Liaocheng Tertiary Industry Office were always limited, which was not enough for the hardware processing factory to purchase a new production line;"

"Secondly, we have not been able to find a steel mill willing to cooperate with us... Although this blade is made of stainless steel, it requires special processing technology to ensure its sharpness and durability. Although I have repeatedly lowered its indicators in these two aspects for cost reasons, no steel mill is willing to cooperate with us."

"There is no other way. Unless we become a regional brand, it is unrealistic to ask the steel mill to make a special mold for us and produce a furnace of special steel... The amount of steel used in traditional blades is small enough, but the double-layer single-sided razor blade I envisioned uses even less steel than traditional blades, but the technical requirements are much higher, and even a special production line must be opened. Therefore, I went to many large and small steel mills, but none of them was willing to take over."

After briefly explaining why he had not been able to promote the project in the past, Du Chuanming's expression became serious: "But Minister Yang, things are different now. Dahua Asset Management Company is not the Liaocheng Tertiary Industry Office, nor is it the Liaocheng Hardware Processing Factory... Dahua is now a formal department-level unit. The Dezhou competent authority has also reached a series of cooperation frameworks with us under the efforts of Minister Yang... After all, Dezhou is an old industrial area and there is no shortage of steel mills. With the coordination of the competent authority, refining a furnace of special steel for us is not a problem at all!"

At the end, Du Chuanming's expression was full of seriousness: "Minister Yang, believe me, I have calculated the cost. This kind of razor blade has a very high profit. As long as it can be successfully produced and promoted, it will soon pay back the investment, and then continuously generate profits and new jobs!"

Yang Mo listened quietly the whole time, his expression did not change at all. After quickly reading the plan in his hand, he even had time to look at other materials. After Du Chuanming's passionate speech was over, he raised his head from another pile of materials and asked, "Are you done?"

Hearing that indifferent tone, Du Chuanming was stunned for a moment: "I have finished talking about the plan."

Yang Mo nodded: "It's a good idea, but just like yesterday's reply... it will not be approved."

Du Chuanming was a little angry: "Why?"

Yang Mo raised his head and glanced at the guy's gloomy face with no joy or sadness.

This director of the first department is a purely introduced talent, and he has no background to speak of. He was put in charge of the tertiary industry project office in Liaocheng simply because he is a rare overseas returnee talent... It is precisely because of this that the plan he proposed a year ago did not receive the support of the command.

No matter what the headquarters' initial considerations were for not supporting him, Yang Mo didn't think that this matter really wronged this brilliant returnee.

It's very simple. Anyone who knows something about the education world in Europe and the United States knows that no matter whether it's science or technology or business, if you simply graduate from an undergraduate program and don't even go for graduate studies, then there's basically no difference between you and undergraduate graduates from ordinary domestic universities...you're all half-baked rookies.

Therefore, upon hearing the other party's angry question, Yang Mo simply said lightly: "Are you sure you understood all the circumstances when designing this project? Or... did you just hear about the Geely case in class and then started copying and came up with this plan?"

Du Chuanming was a little angry and said, "Boss Yang, what do you mean by that?"

He suddenly changed his words from Minister Yang to General Manager Yang, and the implication was obvious: If you didn't have the identity of a deputy general manager and we were both ministers, I would probably have to teach you a lesson if you were so sarcastic.

Yang Mo ignored his disrespect and glanced at him calmly before raising two fingers. "First, it's obvious that you know nothing about metallurgy, and you didn't consult professionals in this field before conducting the investigation."

"Gillette's blades use 3Cr13 and 4Cr13 martensitic stainless steel... If you know a little bit, you will know that this kind of steel cannot be produced in our country at present. Even if it can be produced, the cost and yield rate are not enough to support commercial use... At present, more than half of all kinds of high-quality stainless steel in our country need to be imported. In this era of foreign exchange shortage, why should they waste precious foreign exchange indicators to produce such a furnace of steel with you?"

"In fact, steel raw materials are a small matter. After all, as a central enterprise in the oil system, foreign exchange quotas are relatively abundant. But do you think that Geely's blades only need the right steel?"

"When you were in school in America, I'm afraid your teachers didn't tell you that Gillette's blades need to be precisely processed and rolled into 0.3/0.4mm stainless steel sheets, which are then divided into strips and then go through a special annealing process before they are processed into the blades they need... These processes are their real secrets. It's no exaggeration to say that there is no company in the world that can approach or surpass Gillette in ultra-thin blade processing technology... Otherwise, why do you think Philips wants to take a different approach and try to shift the focus of razors to electric razors?"

Du Chuanming was suddenly choked. He really didn't have a deep understanding of the situation in this regard, and he had never consulted senior technicians in the razor industry about the differences between different materials and production processes... He only knew that razor blades were made of stainless steel and that the profits were very high.

Yang Mo still looked lifeless: "Second, it is true that Geely's approach of differentiating itself from competitors in terms of product form, and then attracting customers through low prices/free products, and finally bundling consumers, has many advantages... But the reason why the business model is called a business model, rather than a strategic model, is because this thing can be easily copied, but it cannot effectively form a moat!"

"Let's not talk about anything else. I'll just ask you, even if this project can be successfully launched and can successfully make money, what role does the Liaocheng Hardware Processing Factory play in this industry ecosystem?"

"Haha... the design patent belongs to Geely, the technical patent also belongs to Geely, and even the steel is from abroad. Once Geely really enters the country, the situation will immediately disappear."

"So in the next few years, will Liaocheng hardware processing factories be consignment sales? Or assemblers that process supplied materials? Or will they be cannon fodder that works for foreign brands for free?"

Seeing Du Chuanming's increasingly unnatural expression, Yang Mo smiled noncommittally: "Minister Du, you have to remember that we are a central enterprise and the last line of defense for all industries in China."

"So, we can persuade our superiors to prevent Geely from ruining this project because of the patent issue. We can also open the door to convenience and use precious foreign exchange to exchange for the special steel you need... But the prerequisite is that you have to have a relevant full industrial chain, so that at least it will give the superiors hope... So, does Liaocheng Hardware Processing Factory have a relevant full industrial chain?"

Du Chuanming looked a little embarrassed: "No."

Yang Mo nodded: "Then do you have the determination and confidence to use this project as a lever, with great perseverance, to unite with brother companies, and break through the domestic production, processing and application technologies in the fields of special steel and razors?"

Du Chuanming's face became even uglier: "No!"

Yang Mo sighed softly: "Without a full industrial chain as a moat, and without a full range of related products as follow-up funding support, they are planning to learn Geely's free traffic model... Do you know that with the atmosphere of [competitive learning] in China, it is difficult for a single non-original product like this to make up for the loss of the previous concessions through regular price sales in the short term;"

"So, a project like this is likely to become cannon fodder in the subsequent iterative competition with Geely and other imitators... now you know why our business review department rejected this project, right?"

Du Chuanming's face turned pale: "But..."

Yang Mo raised his hand to interrupt him: "No buts... I know what you want to say. I can tell you clearly that I have already started to solve the re-employment problem of laid-off workers, so don't think of using this reason to make me give the green light to projects that don't meet the standards!"

Du Chuanming was unwilling to give in. "But why were all the projects submitted by the four departments successfully approved? Mr. Yang, you are clearly showing partiality!"

Unlike the other three business departments, the head of the fourth department is Zhang Bo, and most of the employees in it are transferred from the drilling company.

Yang Mo looked at him calmly and said, "Then do you know what the four approved projects are?"

Now that the conversation was over, Du Chuanming was ready to speak out: "Isn't it just a plan to invest in a bunch of inexplicable new companies, and then to set up some incomprehensible exchange platforms in the township market...Excuse me, I really don't see how these plans are related to the main mission of Dahua Asset Management Company!"

Yang Mo smiled and said, "It's normal that you can't see it. I can tell you very clearly that the plans submitted by the four departments are all about the creation of a marketing channel matrix and value channel creation projects. Once successfully completed, the value will be immeasurable, and the value is far beyond the comparison of a few specific business projects!"

Looking at the clock on the wall, Yang Mo's expression became a little annoyed: "I emphasize again, Dahua Asset Management Company is a central enterprise, and naturally has its own value choices... Since this year's work goal is to build Dahua into a value platform, then there are some things that must be done in the early stage, no matter how much it costs!"

"This is a question of position, and there is no room for doubt... So, if Minister Du has nothing else to say, please go back... Instead of complaining to me, you should use this time to think about what projects can meet the standards of both commercial value and social value!"

………………

A minute later, Du Chuanming walked out of the office with a grim face.

His mood became even worse when he saw the Minister of the Second Department, who had been waiting at the door, hurriedly walk in at Bai Mengmeng's signal.

It's too much!

They actually use the position of a state-owned enterprise to put pressure on themselves.

However, even though the other party, as the director of the business review department, used this reason to reject his plan, he really had nothing to say. After all, his project had no strategic value or social value at all.

And this is also what Yang Mo is most ruthless about.

First they point out the major loopholes in your plan, and then reject you based on the basic process. There is no reason for you to bring this matter to the board of directors. In this case, even if General Manager Ding has twice the voting rights of the vice presidents, and even if more than half of the vice presidents are dissatisfied with Yang Mo's domineering behavior, it will be of no use.

At this time, Yang Mo's indifferent voice came faintly from the office: "Why did you reject your second department's plan...Is there any need to ask?"

"Please go back and look at your plan. You haven't even found a way to enter the minds of users. How can you be so confident that you want to spend 350 million to turn the products of that radio factory into a famous brand?"

For some reason, Du Chuanming felt a little itchy when he heard Yang Mo's voice.

snort!
You talk nicely, but I would like to see how you solve the problem of those loss-making projects and the diversion of more than 700 laid-off workers under the premise of complying with the position of a central enterprise!
………………

But he didn't know that although Yang Mo had a lot of problems, he might mislead you or hide things from you when it came to serious matters, but he would never lie to you.

In fact, with the incorporation of a number of satellite units into the Dahua system, these units have begun to move...

(End of this chapter)