Your email address will not be published. We will wait for the court to make its judgment. She has understood the difficulties that the company is facing and wants to help us see this through. This way, we will be able to make world-leading products. However, he is not among the current three rotating CEOs, and personally holds 1.42% of the shares of 'Huawei,' valued at over US$2,200 million in 2018. And its founder Ren zhengfei is thought be be one of the best leader in the business world. Second, we strive to become the world's best in edge computing. A TRANSFORMATIONAL LEADERSHIP ON REN ZHENGFEI very clear vision for Huawei believes in realizing his own employees' dream first an Employee Shareholding Scheme with Ren Zhengfei only holding 1.4% Employees express their views and share knowledge on Xinsheng Community 2018,ren zhengfei published a document criticizing the company's leaders for mismanagement and fined himself 1 million yuan Another strategic objective was better cooperation between faculty and staff. With the accounting error, Hill broke a big rule but we suspect that had he followed the smaller rules around issues like showing favoritism to family members, he would have had a better chance of survival. We'll buy them directly." The billionaire founder of Chinese telecoms equipment giant Huawei rarely. He believed that the combination of his skill to organise a company and the IT background of his executives and employees would create wonders. Ren possess the characteristics of Controlling leader who makes all important decisions ( Tanwar and Priyanka,2018 ). We are actually learning from US companies. This proves our equipment is secure. Indeed, as the Chinese say: Every generation produces its own great character, The first phase ran from 1987 to 1997 and can be characterised as the years of chaos, in which Huawei, in the words of Zhengfei: was trying to survive the entrepreneurial stage. It's not up to me to designate a successor. In phase 2, running from 1997 to 2007, Huawei became more structured by hiring IBM to implement management structures as these were completely lacking at that time. Early life. Zhengfei made this very clear when he said: I do not know anything about technology, but I can bring people together to work for the collective. He is praised for his desire to hire better people in the areas he is weak in, with the ultimate goal to improve the quality of Huawei products and services. They don't need a warship to conquer the world. Many scientists also proposed that genetic technology should be gradually integrated with electronic technology to create "new people". The US is a strong economy and offers many high-quality products. Interestingly, such a strategy suggests that a power of thinking attitude aligns with a shared learning orientation. Therefore, we will count on the law to address these issues. Of course, we can still be concerned about this, but we believe we will have the ability to harness AI and create benefit. The first is the ability to accurately estimate the level of conflict a particular course of action will elicit. Leadership styles. When there is no cure to a disease, maybe we can look into gene editing. Our scientists spotted it and spent 10 years turning his theories into the 5G standards of today. Required fields are marked *. So AI will make the world better, not worse. That creates a kind of balance. In the next two or three decades, technology will advance even faster. All Rights Reserved. Such a system prevents the company from collapsing due to a single leader, raises efficiency, and avoids inaction due to over-democratisation. All rights reserved. Second, we don't really sell in the US market, so we will not be affected by a sales ban. At that time, China was just beginning with its reform and open-up policy, and was paying more attention to technology, talent, and knowledge. Arjun Kharpal: You were in the People's Liberation Army. It will never happen. So we believe our engagement with the German government will be endorsed by the Chinese government. In this article David De Cremer and Tian Tao discuss the seven important leadership lessons that have made Huawei the company it is today. Mr. Ren: She will continue to do what she has been doing. In a similar vein, since the beginning of Huawei, it is a known fact that Zhengfei is not a technical expert, but he never saw that as a weakness. He has indeed has proven that he has influence as well as insights which are, needed for formulating strategies. KPMG wouldn't hide anything for us. I only wanted to keep my belly full. Mr. Ren: When Ericsson was already really big, Huawei was still a "caterpillar". By then, we will have probably found solutions to the potential problems surrounding the creation of "new people". What did you learn at the time that helped you start Huawei and guide your philosophy? Do people know what type of leader you are and what to expect when they interact with you? She's, of course, facing extradition to the U.S. How did you feel after her arrest in December? We cannot help solve the China-US trade disputes, because we don't really sell in the US and have no influence on China-US relations. Without the leadership Ren zhengfei has, there could not have been todays Huawei. It is an invention of Erdal Arikan, a Turkish professor in mathematics. As a leader he was used to delivering a vision and as a mentor he was guiding his employees towards their goal. (Stanford Business Schools Richard Pascale once said, It is easier to act your way into a better way of thinking than to think your way into a better way of acting.) The approach is particularly useful in organizations where the leader has limited hierarchical power. That's the shortcoming of Trump's approach. Founder of Chinese tech giant Huawei Technologies Ren Zhengfei has called on the company's staff to "dare to lead the world" in software as the company seeks growth beyond the hardware. However, there was no way back. As society moved forward, AI was made possible. He is frequently quoted as saying that the most important thing to value is the power to think. And they are generally low-cost and relatively easy to execute. Is that the right way forward? Mr. Ren: I think technology will advance even faster than we could ever imagine. Let's look at an example. Huawei is to a large extent no stranger to this system. Its success stems in no small part from its ethos, "the wolf spirit of Huawei," created by founder and chairman Ren Zhengfei at the start. Arjun Kharpal: Mr. Ren, as we come to the end of the conversation, I want to focus on your future. Typically, they've been used in Huawei's products. So what is her role at this company if she is eventually released? I felt very uncomfortable with the transition from the military to Shenzhen which was becoming at forefront of the reform and opening-up. As a leader, Ren Zhengfei insists on self-criticism and careful consideration. Learn how to create a winning business plan. China has a population of 1.3 billion consumers. Arjun Kharpal: Have you spoken to her recently? We endorse unified global standards that make installing backdoors a crime. For example, if AI is applied to tractors, they will be able to work 24 hours a day. Of course, large equipment still relies on an architecture of no other elements but computing, storing and connecting, so we will also work hard to contribute to a cloud world. This case focuses on the distinctive "paternalistic" leadership and management style of Ren Zhengfei, founder of Huawei Technologies Co., Ltd. (hereinafter "Huawei") and considers whether. Western companies are no different. Data is a real-time snapshot *Data is delayed at least 15 minutes. Huawei is to a large extent no stranger to this system. Would you invite Donald Trump and his administration to your campus here in Shenzhen to let them see the technology that you have, to put their fears at rest? But I still had to find a job to feed my family. If a technology is just several thousand kilometers away, we will invest a lot more, like a watermelon. I want to use a case analogy here. I can share some numbers with you. That means there is space in there. Arjun Kharpal: Have you tried to reach out to the president to speak to him about it? Obviously this has required a strict control of information, which attaches a flavor of secrecy and even mystery to the behavior of Mr. Ren Zhengfei. Recommended Lists: Scorpio Entrepreneurs I told him that I didn't actually know that the barriers were so high, and once we had entered the industry, there was no turning back. As a result, I went back to where I started and jumped into the market economy. So it's impossible for me to enjoy the same prestige as Jobs. Strong leaders usually have strong views about how things should be done, which can lead them to take on too many fights too early in their careers. It is great in that it has always pushed to make the market bigger, not smaller. The interview was first broadcast on CNBC's Squawk Box Asia on 15 April 2019 and the full interview will air as a special episode of CNBC Conversation on Friday, 19 April at 9am (SG/HK). If everyone went to invest in the US, the US economy would grow dramatically. That's why we told the German government that we are willing to accept their regulation. Save my name, email, and website in this browser for the next time I comment. One key OQ competency is sending messages that reinforce the strategy. I hadn't realized that the communications industry was so cruel. This helps the US greatly improve their national reserve. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Your email address will not be published. I'm a puppet leader,' founder Ren Zhengfei says This is the fifth in an eight-part series looking at how Huawei has found itself at the epicentre of the US-China tech war Ren Zhengfei has. The multinationals that were present in China at that time did not consider this to be their problem, but rather that of the customer. This hurts no one. 5G made progress. What Industries are the Best Teachers for International Managers? The cost of using a warship is high. Particularly the Silk Road Economic Belt and the 21st Century Maritime Silk Road initiatives, which include a patchwork of diplomacy and free trade zones, have received their share of attention. Tanks can cross a swamp, but needles can pierce hard things through. It incorporates respectability well and great lead . In particular, the emergence of AI has accelerated social progress. The US hasn't been scared of anyone or anything though. The Opportunities and Challenges of Global Teams. We did not know that these small things were designed to connect the whole city or even the whole world. Access more than 40 courses trusted by Fortune 500 companies. Google is now helping blind people see the world with nerve sensors, although they are not as good as human eyes. Unlike many Chinese companies that set up many businesses but most cannot be called successful, US companies know how to narrow their focus and then charge forward. Technologies are advancing. Leading Huawei: Seven Leadership Lessons of Ren Zhengfei, The relationship between China and the European continent carries much history with it. Mr. Ren: First, it's understandable that government leaders would take pride in the great companies of their country. We obviously couldn't control our customers, so we had to get hold of the products. But I don't think Huawei can help solve the disputes between the US and China. On one hand he possesses the characteristics of a controlling leader who makes all the decisions. It often makes sense to adopt a stealth strategy rather than a formally declared one and to bring people along gradually, as it starts to prove itself. For midlevel leaders, strategy is generally about persuading others of the need to change. The Central Committee had also been disbanding parts of the Chinese military because it was so large. First, we want to provide the best connectivity in the world, and 5G is part of connectivity. Being born blind and deaf is caused by missing of genes. Steve Jobs is known more internationally. So you said she doesn't want to leave anymore. While pursuing this vision, he continuously has proven his ability to design strategies that enabled him to adapt his vision to the challenges that the company faces. Last but not least, Ren zhengfei has experiences of serving the army. Genetic inheritance was discovered by Gregor Mendel during his experiments on pea hybridization. Ren said, Huawei people, especially the leaders, are destined to work hard for a lifetime and to devote more and suffer more than others. That ethos emphasizes that individual aspirations are subservient to the needs of the company, just as individual wolves are subservient to the pack. Huawei has kept a low profile, ever since it was founded. We remained focused on this same single point. Drawing on this experience, we developed our own 40-line switch for rural markets that could support 40 users. There are various types of leadership styles (Fiaz et al., 2017) 1. The hiring of IBM also made it possible for Huawei to learn from the West to allow introducing a more global vision. By the time I left the military, 186, 286, and 386 had dominated the computer world. This introductory chapter offers an overview of the entire book on the management transformation of Huawei. As a result, we set our prices at a relatively low level, which made it hard for Western companies to compete with us. (Academic publishing, he believed, was a necessary but not a sufficient condition for RSM to be recognized as a top business school.) And I don't really care about all that. Networks belong to our customers, not us. The story goes that Zhengfei was so moved by the work done in those labs that he cried. However, most of us didn't really understand how important this decision made by the CPC's Central Committee was. But he also has shortcomings. The government would find it hard to address its deficit. Copyright 2023 Harvard Business School Publishing. For example, executives are encouraged to read both specialised and non-specialised books to foster an intellectual climate. After limited discussion, George instituted a program that rewarded faculty who published in the top practitioner journals with a bonus of up to 15,000. In a way Zhengfei works hard to always keep clear to himself a kind of meta-view that enables him to make informed strategy decisions. Huawei was not mentioned in any of the negotiation meeting minutes published by the US and China. The country paid little attention to technology and knowledge, but we were working on a project that required technology and knowledge. The road to success for Huawei started in 1987 where it was founded in the economic testing zone of Shenzhen. On this forum, ideas are communicated frequently by senior executives and Zhengfei and feedback from all 170,000 employees is encouraged. He said recently that could potentially wipe out humanity. Back then, China was still going through the Cultural Revolution. Combining storage and computing will enable devices to run faster. 5G technology was not invented by Huawei. Today, only 30 years later, ultra-broadband has become accessible in most rural areas around the world. Arjun Kharpal: But what was the personal effect of her arrest on you as a father? Huawei has indeed invested considerably in creating a learning driven culture where the power of the mind is visible. We support this agreement proposed by the German government, and will definitely be one of the first to observe it. If they attack a country, that country will fight back. Huawei the Ren Zhengfei Way: the "Tough Guy" and His Corporate Philosophy By: Jiing-Lih Larry Farh, Xin Pi This case focuses on the distinctive "paternalistic" leadership and management style of Ren Zhengfei, founder of Huawei Technologies Co., Ltd. (hereinafter "Huawei") and considers whether he needed Length: 13 page (s) Summary. But Meng Wanzhou will definitely not be the successor. When Huawei was just founded, the world of communications was extremely under-developed. We have reflected on this a lot. Ren is the son of school teachers and grew up in a mountainous town . Its fighting spirit, however, made it resistant to many negative influences and today Huawei can be called the only true global Chinese company. But there are still more than 180,000 employees working at Huawei. This focus on unlimited delivery of services helped Huawei to gain the reputation that they sincerely cared about the needs of their customers, and as a result gave them a competitive advantage. Huawei is now the world's largest telecoms equipment maker. I believe they may not have the evidence or the facts to prove her guilt. Make it smaller.[1] That moment of theater became part of Apples folklore, epitomizing Jobss relentless pursuit of perfection. Living in such extremely harsh conditions and working on such a highly modernized project was really a good experience for me. Merck KGaA Darmstadt Germany Innovation Cup 2023, Back to the Future: The Return and Rise of E-Surveillance at Work, Innovation and Creation in Ever-Advancing Artificial Intelligence, Sounding the Alarm: Early Warning Systems to Build Nature-Positive and Climate Resilient Businesses, Accelerating Business Process Optimisation with Machine Learning, A Guide to Online Payment Transaction Fees and Pricing Models, Supply Chain Management Greater EVA Potential than Any Other Function, The Power of Women Entrepreneurs Across the World, Crisis? Her arrest in December bigger, not worse International Managers both specialised and non-specialised books to an. If she is eventually released integrated with electronic technology to create `` new people '' 180,000 working., only 30 years later, ultra-broadband has become accessible in most rural areas around the world and! 'S understandable that government leaders would take pride in the great companies of their country a result I. 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