Traditional Culture Encyclopedia - Traditional stories - How to realize successful transformation of enterprises in the era of great change
How to realize successful transformation of enterprises in the era of great change
First of all, what is the strategy? As mintzberg said, there are hundreds of definitions of strategy, including positioning theory, planning theory and learning theory, but these definitions are all "the blind touch the elephant". When touching the tail, the strategy is the rope, and when touching the thigh, the strategy is the pillar. But I think one thing is common, that is, there will be many similarities in the implementation of the strategy. Enterprise transformation refers to the fundamental change in the essence and mode of important aspects of enterprises. The so-called important aspect is an important matter related to the survival, rise and fall of an enterprise. The so-called essential change is not just quantitative change, but qualitative change caused by quantitative change, or mutation without quantitative change. The so-called change in mode means a complete change in appearance and form. Personally, I think that strategic transformation is a transformation that only exists after the enterprise has stepped up. Only by aiming high can there be a strategic transformation.
Under the background of post-financial crisis, the business environment of enterprises has undergone unprecedented profound changes, and the source of competitive advantage is being planned and eroded step by step. Many enterprises have embarked on the road of strategic transformation in order to survive in an uncertain environment, become bigger and stronger, and seek sustainable growth. Introduce the competitive thinking and operation mode of world-class enterprises, establish a rapid strategic response mechanism, break through the inertia thinking, create new markets, surpass competitors and obtain brand-new profits!
Any enterprise's strategic transformation has two things to do:
First, the key to the development of the company's assets from 400 million to 40 billion is the change of management and control mode, what the group manages, how the group manages its subordinate enterprises, what the subordinate enterprises manage, and how the subordinate enterprises measure and track them;
Second, change the business model of the enterprise to continuously meet the needs of customers. In a word, if an enterprise wants to survive and develop, it must be problem-oriented and establish a model that meets the market demand. What are the problems of enterprises? It is how to implement the strategic goal of the enterprise, that is, how to use the management and control model and business model to achieve the strategic goal.
Ram Charan, a master of "transformation", once said: "Now, it is time for us to completely change the thinking of enterprises, either transforming or going bankrupt." In today's fierce market competition, transformation is a compulsory course for enterprises. When digital technology makes the film industry a thing of the past, film enterprises are also forced to carry out market transformation and find new development directions. Fujifilm, a former film giant, sells cosmetics in China. Fujifilm still focuses on medical imaging in Japanese headquarters, but only sells cosmetics in China market. At first glance, these two "completely unrelated" businesses are the transformation results of fujifilm's new approach. So, what does Fuji rely on to sell cosmetics? There are the following three points:
The first is to start from the real customer experience and base ourselves on new fields. In this strategic transformation of Fuji, there are great challenges from product research and development to marketing model. In the past, chemical coatings on thin films can reflect physical properties through numerical values. But cosmetics need people's most intuitive sensory feelings. During the research and development process, researchers tried on themselves with hundreds of samples, and tested the product effect by measuring the moisture content and evaporation of the skin. And by inviting consumers to try it out for free, and constantly improving their products through consumer feedback, the process of the final formation of new products is accelerated.
Secondly, it relies on the core technology in the dominant field as a cross-border help for enterprises. Since 2006, fujifilm has integrated its original four research institutes of cutting-edge core technology, organic synthetic chemistry, advanced printing materials and life sciences into "fujifilm Advanced Research Institute", taking this cross-industry technology platform as the innovation base. Cosmetics are the product of this platform. In the process of image research, the company has accumulated the research results of collagen, anti-oxidation technology and original nano-technology that can stably deliver ingredients to designated parts, and applied them to the research and development of skin care products.
Finally, it depends on accurate positioning: strengthening technology and not diluting the background. "What brand of cosmetics is this?" "Produced by fujifilm Company." "I know Fuji, is not the production of film? How did it become a cosmetic? " "Fuji is what you said, they are also studying cosmetics. Let me give you an example. Do you understand that photos will turn yellow if they are kept for a long time? But Fuji won't. Because of antioxidant technology, this technology is now used in cosmetics and is very popular in Japan. " Through this dialogue between female shopkeepers and customers, you will find several principles that Fuji follows when promoting its cosmetics: First, don't dilute the fujifilm background; Second, explain the relationship between old business and new business with technical logic; Finally, put the product demand on "antioxidant" and highlight the technical background. In fact, fujifilm, who found plastic surgery technology from movies, has the most valuable experience for other enterprises rushing on the road of transformation: not abandoning the past, looking for new fields in their own advantageous fields, and trying their best to set a threshold for competitors.
Due to the "antioxidant" orientation, Fuji's target consumer group is defined as women over the age of 25, and Japan's age is limited to around 35. This difference is also based on the survey result that "most women in China paid attention to this skin problem in advance". In addition, the prices of Estee products are generally maintained at a slightly higher level in the mid-range. Emphasizing "technical background" and "anti-oxidation" has certainly made Fuji find a breakthrough in cross-border operation, but problems have also followed. China women's consumption of cosmetics is still in the perceptual stage, and their dependence on brands obviously exceeds their demands for effects. The embarrassment before Fuji Group is that if we vigorously promote the brand, we can't avoid the background of film manufacturers; If we don't promote the brand, it will be difficult to open the female consumption market in China.
From the above strategic transformation case of selling cosmetics with clothing film, we can see that from now on to the future, all roads lead to Rome for an enterprise. If you are not excellent and can't see a few roads, go there first, and excellent enterprises are successful as planned. What do you mean, success as planned? It may be easy for an enterprise to grow by 50%, but to succeed as planned, it is necessary to grow by 30% every year, so that resource management will not get out of control. The core of strategic transformation path is change management, and the core of change management is how to find your own "Rome" road from now to the future. This is the most fundamental value of strategic transformation, and may be the most concerned issue of Fuji.
Strategic transformation means change, which means breaking the old enterprise development mechanism. No one will refuse to change, only people refuse to be changed. Enterprises are made up of people, and it is extremely painful for any enterprise to successfully realize strategic transformation. The choice of strategy is to do something different, and any enterprise's strategic transformation is facing pain. Small and medium-sized business owners are mostly self-made and self-made doers. Most of them run family businesses and are not influenced by corporate culture. These people don't have an MBA and their academic qualifications are not high. They started their business with courage and enthusiasm. Most of them don't attach importance to brand marketing and lack experience in this field. They will not use professional methods to carry out brand marketing, which has become a fatal weakness for enterprises to become bigger and stronger. Let's take a look at Geely's strategic transformation case, which is an important strategic means to enhance brand value.
First, buy the Volvo brand. Volvo ranks among the top four luxury car brands in the world. In the history of nearly a hundred years, no new car company has controlled it, especially in all aspects, Geely has done it. Geely's move not only raised the brand awareness to an unparalleled height, but also reached an unprecedented height of brand influence. With these two heights, Geely's brand promotion will become easier and much easier. Because, with Volvo standing behind its own brand, Geely's brand has also been promoted invisibly.
Second, the change of brand strategy. At this time, Geely has a clear awareness of brand management, that is, it can no longer continue to engage in products in the form of endorsement of parent and child brands as in the past, which is very tiring and difficult to achieve its goal. A series of previous product brands were discarded as soon as they were made, and none of them were sustainable. Now it seems that Geely, in its early development, had many descendants, but most of them didn't live long and didn't expect to be successful. In the "influence stage", Geely adopted its own brand model; Parent brand Geely is more of a company brand than a product brand. The newly introduced brands all draw a clear line with Geely and appear in a brand-new parent brand format. Such as "British car" format, and in this format, develop more car brands.
Geely has completed an important transformation and upgrading from the early indiscriminate fighting to the current regular army practice. This time, we made a desperate adjustment to the product line, stopped all the products that developed in the past, and vertically switched the "New Three" vision, King Kong and Freedom Ship; (These products are also ready to be eliminated at any time. At the moment of brand upgrading, three independent product brands, Global Hawk, Emgrand and British, were put forward, thus forming a group formation with five technical platforms, 15 product platform and 42 product reserves. Among them, "British Auto" bears the heavy responsibility of brand promotion. Fortunately, although Geely has Volvo, they are not China-like. This makes Volvo still play its due charm and support the development of Geely Automobile parent brand with unnecessary strength. There is no doubt that Geely is not only to be bigger, but also to be stronger; Not only to be a high-end automobile brand in China, but also to be a world brand. To do this, Geely needs a radical change. This change can be felt in Li Shufu's speech: "Geely's rivals are Toyota, Honda, GM, Volkswagen, Ford and Hyundai."
So, how do small enterprises win the big market? How should small and medium-sized enterprises think, think and formulate their own business model, so as to ensure their position in the law of the jungle market dominated by large enterprises and not be crushed by the dominant elephants, thus achieving sustainable growth. Strategic transformation is the systematic transformation of enterprises. Its basic proposition is to truly realize the transformation of traditional enterprises into modern enterprises that meet the requirements of new economic development and industrial development trends on the basis of management upgrading, with capital management as the means, with cultural transformation as the core, with the purpose of promoting the strategic upgrading of industries and with the improvement of the overall quality of employees as the guarantee. So, how can we successfully carry out strategic transformation, that is, what are the key factors of strategic transformation? Attention should be paid to the following eight points:
1, value orientation is the premise.
As an enterprise, we should first make clear our mission, that is, what is the value of existence, then find out the opportunities and threats, advantages and disadvantages faced by the enterprise on the basis of fully studying and analyzing the external environment and internal conditions of the enterprise according to the enterprise mission, and finally make clear the development strategy of the enterprise. According to the strategic positioning of the enterprise, further clarify what products and services the enterprise's career field and core business scope will provide to the market. According to the selected business field, subdivide the target market and analyze the industrial value chain, select the key links in the value chain, concentrate resources for breakthrough development and form a competitive advantage. Relying on its own advantages, we should establish a broad strategic alliance, open up the industrial value chain through resource integration and strong alliance, and enjoy the diffusion benefits brought by the value chain.
2. Industrial upgrading is the goal.
An enterprise is a sustainable development organization, and its existence value is ultimately measured by the contribution made by the industries it operates to society. The basic responsibility of enterprise managers is not only to make everything done today have practical significance, but also to have future value for the development of enterprises. This future value is conducive to the continuous improvement of industrial competitiveness and the sustainable operation of the company. Therefore, according to the mission and strategy of the enterprise, it is the fundamental purpose of strategic transformation to promote the technological progress and sustainable development of the industry with a pragmatic attitude and a proactive attitude.
3. Management upgrade is the foundation.
Management is a process to realize the integrated operation of enterprises and strategic objectives through planning, organization, leadership, coordination and control. Effective management is the premise of avoiding organizational dispersion and realizing integrated management, and also the basis of ensuring the realization of strategic objectives of enterprises. Management transformation should focus on improving the corporate governance structure, establish an organizational system, a target management system and an operational mechanism that combines centralization and decentralization and unifies incentives and constraints, and realize the transformation of leadership style from relying solely on personal charm and authority to relying on charm, authority and organization; Decision-making depends on experience and intuition about information and science; Organizational operation is from grasping specific people and specific things to grasping leaders and forming functional teams to achieve functional team cooperation under the guidance of unified goals; Employee growth from single channel to multi-channel; The examination and incentive system has changed from a single-objective system to a multi-objective system; Investment and subsidiary management have changed from subservience and dispersion to intensification and collectivization.
4. Capital operation is the means.
Capital operation refers to the ways, methods or means to obtain and effectively allocate resources according to the needs of strategic development. Capital operation is science, not speculation, and its essence is a sublation of enterprises according to the needs of strategic development, that is, "metabolism" and "getting rid of the old and getting new". Effective capital operation must be based on industrial support and its purpose. Therefore, capital operation can be divided into three levels, namely, effective allocation of its own assets, self-accumulation and rolling development; Rational use of credit funds, effective allocation, and leveraging development; Equity transfer, capital increase and share expansion, direct financing and comprehensive development.
5. Corporate culture transformation is the core.
Corporate culture is a universal and conscious concept and rule system followed by specific enterprise members at present, and it is a genetic code hidden in the core of an organization. The trend of modern management is from people-oriented management to system management and then to cultural management. The core value of corporate culture lies in ideas, and the value of corporate culture lies in behavior. It is necessary to establish an excellent corporate culture by defining the value and mission of the enterprise, planning the strategy and vision of the enterprise, establishing axioms and rules, implementing incentives and constraints, education and training, and guiding the broad recognition and universal conscious action of the core concepts.
6. Human capital is the guarantee.
The competition of enterprises is the competition of human resources, and also the competition of human capital and human capital structure. Talent is the first resource of an enterprise. We should take the organizational vision as the banner and the interest mechanism as the link to summon people with the same ideas and career pursuits. We should devote ourselves to discovering and cultivating great people, build great teams around great people, and then create great products and services and great career and future through the concerted efforts of Qi Xin, an autonomous team under the unified goal.
7. The reform of property right structure is the bottleneck.
The contradiction between productive forces and production relations is the basic contradiction of society. Productivity determines production relations, and production relations react on productivity, which is dialectical unity. The purpose of enterprise's strategic transformation is to organize and allocate enterprise's production factor resources more effectively and liberate and develop productive forces, so it should belong to the category of production relations. The key to improving production relations lies in improving the three elements of production relations, namely, property right structure, resource allocation mode and income distribution mode. Here, the property right structure is the first factor of production relations, so the reform of property right structure directly affects the improvement of resource allocation and income distribution, and also directly affects the operating efficiency of enterprises.
8. Core capacity building is the key.
Core competitiveness means that enterprises rely on and make unique use of factor resources to form a competitive advantage far beyond their competitors, making it irreplaceable in the short term. Based on the limitation of resources, the principle of core competitiveness construction is to unify technology or market, and you can't have both. Of course, being unified with technology does not mean not doing marketing; Unification with the market does not mean avoiding research and development, but refers to the strategic orientation of resource allocation.
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