The hottest Zoomlion Heavy Industry 16 year transf

2022-08-08
  • Detail

Zoomlion's 16 year transformation: "nuclear fission" development strategy

Zoomlion's 16 year transformation: "nuclear fission" development strategy

China Construction machinery information

Guide: on the third day after the details of the acquisition of CIFA, an Italian construction machinery company, were announced, Zhan Chunxin, chairman of Zoomlion Technology Development Co., Ltd., received an exclusive interview in Changsha, Hunan Province. Talking about his entrepreneurial story in those days, Zhan Chunxin still relies on a nostalgia in his eyes; And the listing in 2000

on the third day after announcing the details of the acquisition of CIFA, an Italian construction machinery company, Zhan Chunxin, chairman of Zoomlion Heavy Industry Technology Development Co., Ltd., received an exclusive interview in Changsha, Hunan Province

talking about his entrepreneurial story in those years, Zhan Chunxin still relies on a nostalgia in his eyes; In his view, the listing in 2000 and the acquisition of CIFA are the beginning of Zoomlion

the predecessor of Zoomlion, with total assets of more than 8billion yuan and more than 13000 employees, is a subordinate enterprise of Changsha Construction Machinery Research Institute (hereinafter referred to as "Construction Machinery Institute")

the Construction Machinery Institute is located on the upslope of an inconspicuous street in Yuelu District, Changsha. In 1980, the unit introduced Zhan Chunxin, a college student who was assigned to the college after graduating from Northwestern Polytechnic University and staying in school as a teacher. He is mainly engaged in the research of concrete mechanical engineering cranes, the main business of Zoomlion at present

"I stayed in the hospital for 12 years. One day, the leader suddenly called me." Zhan Chunxin said that the organization hopes that he will serve as the vice president

although it is known as the "mother" of China's construction machinery industry, only more than 1million yuan of business expenses and less than 3million yuan of scientific research transfer fees make it difficult for the research institute to walk

after becoming the vice president, Zhan Chunxin was in charge of scientific research and industry. "In other words, I help you further understand that the position of equipment is to earn money."

Zhan Chunxin said to Li Jianda, the director of the scientific research department at that time, "you are in charge of scientific research and help me get funds, but you still stay in the Research Institute, and I go to work with several people." Li Jianda (now the Secretary of Zoomlion) went to major government agencies to raise funds and found a starting capital of 500000 yuan for the company

In 1992, Zhan Chunxin and his colleagues founded a company, which is now the predecessor of Zoomlion Heavy Industry, Zoomlion construction machinery industry company, and began to manufacture concrete equipment. "At that time, I was the general manager and appointed four deputy general managers."

Zhan Chunxin told his fellow entrepreneurs that we have no way back. If we can't do it well, I can't be the vice president. At first, they did trade, and then several people took some money they had saved to trial produce machines in a 200 square meter factory

by 1996, Zoomlion had achieved an annual output value of 120million yuan and profits and taxes of 42million yuan

"nuclear fission" development strategy

scientific research funds have been solved, and the company has entered effective operation. In 1999, Zoomlion construction machinery industry company was restructured into a joint-stock scientific and technological enterprise controlled by China Construction Machinery Institute - Zoomlion Heavy Industry Co., Ltd., which has improved the construction of corporate governance structure

in 2000, Zoomlion began to restructure and enter Shenzhen Stock Exchange. "From the time of listing to 2005, they call this stage scale, but I think it can be called the process of gaining momentum and energy."

since then, the enterprise has entered a period of rapid progress, acquiring three companies in succession. However, although the three companies are included, they are still outside the management of listed companies. "Who cares about them? I'm alone." Zhan Chunxin said that all the acquired enterprises reported directly to him. At first, there was no problem, but then trouble came

in 2004, Zhan Chunxin fell ill and did not work in the first half of 2005. The three companies had obvious management problems. In 2005, Zoomlion's main business income was 3.28 billion yuan, a decrease of 3% over 2004, and its net profit fell by 18.9%

"we held a strategy seminar in September to re formulate the company's strategy and set up a business department at the end of the year, which contributed to the strategic adjustment of the company."

at that time, Zoomlion implemented a specialized business division operation mode with a product group, implemented the "nuclear fission" development strategy, and established seven professional companies, including concrete pumping machinery, truck cranes, environmental sanitation machinery, taking the first step of the fission of the industrial main body

at the same time, the industrial chain should be extended upward to the supply chain of key parts, downward to the physical leasing of construction equipment, financial leasing and other industrial chain terminals, and the resources of the whole industrial chain should be effectively integrated to form a relatively complete construction machinery industrial chain and community of interests

the overall restructuring was launched

in 2006, As the "Eleventh Five Year Plan" "In the first year of the planning, a large number of national key engineering projects such as railway, highway, port and airport construction have started in succession and urban infrastructure construction has opened a door for the rapid development of construction machinery production enterprises such as Zoomlion.

for Zhan Chunxin and Zoomlion in 2006, another thing is equally important: the overall restructuring is launched immediately, and the subsequent major personnel changes also have a profound impact on Zhan Chunxin's strategic vision for the company's future planning

at that time, 32.1% of the equity of the Construction Machinery Institute was transferred to three companies, including Zhizhen International Co., Ltd; Shenzhen Jinxin, the former second largest shareholder of the company, made extensive use of it. In the material industry, Zhong'an Investment Co., Ltd. transferred its shares to Jiazhuo Group Co., Ltd. its actual controller is Hony Investment Fund (hereinafter referred to as "Hony"), and the actual controller of Hony is Lenovo holdings

Dr. Deakin kept his mouth shut about the details of graphene production equipment and its working mode. 3. The problem brought by his generous entry was to adjust the members of the board of directors. A person familiar with Zoomlion told him that it was not easy for Zhan Chunxin to persuade a group of his brothers to "give way" to newcomers at that time

Zhan Chunxin said to him, "first, I don't want too many board members. Second, I don't want too much overlap between the executive level and the decision-making level. If there are too many people deliberating, there will inevitably be less work."

when there are no new directors, the company's board meeting is usually: a pack of cigarettes, a pack of betel nuts, a cup of tea, a lighter. "I didn't bring a notebook for the discussion, and I didn't even have the minutes of the meeting. What does this mean? The explanation is very casual!"

after the personnel adjustment is completed and the organizational structure is basically ready, more companies will be acquired. Zhan Chunxin's idea is to connect the acquired product lines to become various business divisions. At the corner of Zoomlion's factory, there are eight words written "to the hard foam polyurethane material can meet the requirements of domestic and international standards, sincere, rich and far-reaching". This is also a passage taken by Zhan Chunxin from Chapter 26 of the golden mean. "Every step we take, we are very cautious. This may still have something to do with my personality." Zhan Chunxin said

Copyright © 2011 JIN SHI