Spring Breeze Twenty Years

Chapter 936 Manager Zhang's Suggestion

Xiao Wei said, "You can submit reports for all kinds of activities, including employee benefits. I will support them as long as they are reasonable. There will also be corresponding adjustments to the compensation and benefits of your leadership team. In the future, there may also be stock options. We won't be stingy; we'll just do our jobs well."

Manager Zhang asked, "Is Liu Meijing doing well over there?"

Xiao Wei was stunned for a moment before realizing that the person was talking about Director Liu. He said, "Very good. She is really capable and experienced, and she handles things meticulously."

Manager Zhang nodded and said, "You're right. You've gotten rid of one of my top talents. He was someone I trained myself. Calling him my apprentice is no exaggeration."

Xiao Wei said, "You won't be involved in procurement on your end anymore, so this is making the best use of your talent. As the business grows, you'll have a lot on your end, including planning, operations, and management personnel and oversight in various locations. I'm just trying to lighten your load."

Manager Zhang asked, "From now on, the mall will be using its own property. Will we still be paying rent?"

Xiao Wei said, "Each transaction is handled separately, and each company should keep its own accounts."

Manager Zhang nodded and said, "There's another issue that needs your attention: the warehouse. We used to use the supply and marketing cooperative's facilities, but that's definitely not going to work out anymore. Even if we could, the rent wouldn't be worthwhile. Especially in Fengtian, a major transit hub covering four provinces, a small facility won't do. Xidu and Harbin also have transit duties, but not as heavy as Fengtian's. We need facilities in every city."

Xiao Wei rubbed his forehead: "Sister Liu told me that the report is on my desk. It's 200,000 cubic meters in Fengtian, and that's the smallest one. I roughly calculated that it would cost close to 150 million yuan just for Liaodong province. My head hurts."

Manager Zhang chuckled and said, "Didn't expect that, did you? Running a shopping mall isn't that simple. Do you know how much of a bargain you got? Try building one from scratch yourself; just the procurement alone would kill you. But Xiao Liu is still immature; he only thinks of himself and his perspective is one-sided."

Xiao Wei asked, "Do you have any good ideas?"

Manager Zhang got up, went to his desk, pulled out a document, handed it to Xiao Wei, and said, "I was going to think about it some more, but you can take a look first."

Xiao Wei took over and said, "I think you should tell me."

Manager Zhang said, "My idea is to build a freight company covering three provinces, which will solve our own commodity turnover and warehousing problems, and also make money. Warehousing and transportation are businesses that require a lot of investment; to put it bluntly, it's like throwing money at the problem. We have to do it even if we lose money. That's how supply and marketing cooperatives and commercial bureaus operate. But they are public entities, so costs don't matter to them. We can't do that, right?"

Xiao Wei nodded and quickly skimmed through Manager Zhang's report.

Manager Zhang said, "The freight industry in Northeast China is quite developed. Less-than-truckload (LTL) companies can be found everywhere. They are not large in scale, but their business is quite good. Things are not like before. The flow of goods between different places no longer relies on government agencies, and the volume is getting bigger and bigger. People in the freight business have made a fortune. I think this is an opportunity. Anyway, we have to get involved in this area."

Xiao Wei finished reviewing the documents, looked up, and asked, "Does this conflict with our own needs?"

Manager Zhang shook his head and said, "No, it's just that we need to increase our investment a bit, since we need to increase our warehouse and vehicles. As for the rest, just think of it as us taking some of the goods we need to pack with us when we're fulfilling orders. That's really all there is to it."

The person shipping the goods delivers them to our warehouse, we receive the goods, issue the invoice, collect payment, and load them onto the vehicle. Once the goods arrive at our warehouse, the person picking them up goes there to collect them, submits the invoice, and signs for them. Alternatively, the person picking up the goods can pay for them.

Don't underestimate this business. If we really build it up, all the bulk goods from the commercial sector might have to go through us. And those manufacturers, selling TVs, refrigerators, washing machines, etc., will definitely save money if they go through us."

Xiao Wei said, "I believe that, since there isn't such a large scale of private transportation. But, Brother Zhang, how can we guarantee the safety of transportation? Next year we're going to Beijing and Tianjin, and we'll definitely need to occupy parts of Hebei and Shandong. The warehouse transportation system will definitely have to go there too. How can we guarantee safety?"

You know the current situation; most people still have to find ways to use the railway, as the road is too risky, so the only option is to take the shorter route.

I know a bit about private LTL (Less-than-Truckload) freight. I used to do it, and Han San told me that they do short-haul freight, mostly within the province, or even city to city. Only state-owned enterprises dare to cross provincial borders. How many private individuals dare to do that? How many accidents happen to them every year?

Those drivers who own their own cars are prepared; they bring their own people and equipment. If they get injured, the profits are theirs. How many people disappear like that every year? Can we do that here? Maybe the safest place is in Northeast China, at least you can drive within the province without much trouble.

Manager Zhang said, "I know this better than you do, since those in the business sector are always in contact with transportation, especially long-distance transportation."

Railways are safe, but they also have many problems. Is it so easy to procure a railcar? A mere section chief can easily obstruct your path. How many resources do so many large factories and enterprises consume? Crucially, their costs are high, and they take no responsibility for damage or loss.

This is the main reason why private transportation has developed in recent years. Road transport takes longer, but the cost is lower, and cargo safety is more reliable. As for the phenomenon you mentioned, it also exists in Northeast China, but it's rare, only happening occasionally in northern Jilin, and it doesn't harm anyone. I think it's still worth pursuing.

As for going into the interior, it's definitely chaotic there, especially the further south you go, the more chaotic it gets, you know? Entire villages can work together, killing and robbing. The government is different here too; they'll punish you if they want, no reason needed. But we just won't go that way, right?

Xiao Wei said, "Let me think about it some more. My concerns are different from yours. I have to consider the driver's safety. I hired him, so I have to be responsible for him. Don't you think that makes sense?"

Manager Zhang nodded and said, "You guys are reasonable people. To be honest, many leaders in government agencies haven't even considered this. When something goes wrong, they just say a few nice words and don't give much money. Sigh, if only we could legally carry firearms."

Xiao Wei looked at Manager Zhang: "Is it possible? Can we apply in the name of the freight company?"

Manager Zhang shook his head: "Don't even think about it. Now even air guns are being collected and stored in a unified manner. You used to be able to buy them freely. We even sold knives and guns in our store before. But now you can't. The regulations are getting stricter and stricter."

Aside from the banking system, military industrial units, and large key enterprises, it's impossible for them to approve it. It seems large enterprises are also undergoing restructuring now; their security departments are being separated from the police force, and they'll probably lose their right to carry firearms as well.

Xiao Wei nodded and said, "They're changing it. The security department of Benxi Steel has had its police status revoked and is now called the Enterprise Economic Police. They're not allowed to wear police uniforms anymore."

Manager Zhang tapped the coffee table with his finger and said, "There's another way: cooperate with the military. We'll build warehouses for receiving and shipping goods, and the entire long-distance transportation will be handled by the military. They have a lot of people, vehicles, and guns, so it's absolutely safe. I just don't know how much it will cost."

Xiao Wei thought for a moment and asked, "Will it work?"

(End of this chapter)