Nothing we've achieved would give us the right to neglect any laws or overlook the technologies of any country. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Your email address will not be published. Many will say that the blueprint of Huaweis success has been laid out by Zhengfei and even though Huawei nowadays makes use of a rotating leadership system in which every six months another board member is the acting CEO, its founder still has a significant impact on the pace and direction of the company. Famous is the story where Zhengfei in Huaweis fifth year of existence, suddenly rushed out of the kitchen when cooking for Huawei employees abroad his hobby is cooking and announced, Huawei will be a top three player in the global communications market 20 years from now!. When he passed away, I was on a vacation in the mountains with my family. At that time, China didn't accept Mendel's theories; instead, we followed Ivan Michurin's theories. I want to use a case analogy here. We will also push the Chinese government to sign a cyber security agreement with the German government. It incorporates respectability well and great lead . His ability to critically reflect on past successes and at the same time to identify the future challenges in the next decade makes Zhengfei an impactful business leader in the eyes of many Chinese. According to him, Huawei should be focused on building a company where peoples minds are the main asset and resource to rely on. As society moved forward, AI was made possible. The country wanted to reform and open its doors. It's a wealthy country, so it has a lot to lose. Lets look at each, drawing on examples from our own experience and that of well-known successful leaders. Arjun Kharpal: One of the concerns is that these powerful technologies like artificial intelligence are being developed by a small group of very, very big technology companies. As can be expected of a man with an army background he served in the Peoples Liberation Army he is known to be intense and tough and never loses control. Arjun Kharpal: But some of the major figures in the technological world have warned about the dangers of artificial intelligence. Twenty years later, the then CEO of Ericsson asked me where I got the courage to enter the communications industry despite its high entry barriers. Mr. Ren: Regarding the allegations against Meng Wanzhou and Huawei, the US Department of Justice has sued Huawei, and Huawei has pleaded not guilty in the court. With AI, workers will be ten times more efficient, so the US will be a major technological powerhouse with an output equal to that of 3 billion people. In 2019, soon after Metro Bank revealed an accounting error involving the misclassification of more than $1 billion in loans, Hill resigned. What's next for Meng Wanzhou in her life, in her career? 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? and pay only $8.50 each, Buy 50 - 499 If a single backdoor was found in even one of the countries where we operate, our sales would shrink in all of them. Rebelling from the top means taking on the biggest challenges only when you have the most firepower. One of the consistent qualities that have been attributed to Ren Zhengfei is his ability to inspire others. We'll buy them directly." Terry Leahy steadily worked his way up to become the CEO of UK-based Tesco, one of the worlds largest supermarket companies. He took. Without the leadership Ren zhengfei has, there could not have been todays Huawei. Tanks can cross a swamp, but needles can pierce hard things through. When we first entered the telecom industry, we started by reselling products from another company. I also participated in a large project that brought equipment in from France. Jobs then dropped the device into an aquarium, and bubbles floated up. 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 Ren said, "Huawei people, especially the leaders . Just tell me what you think are going to be some of the significant technological developments over the next two years that you see coming. Underlying his focus on story telling is his strategy to energise people and introduce a sense of vitality to the projects that need to be undertaken. Instead, we will use it to fund universities and scientists for their research and explorations into the future. Save my name, email, and website in this browser for the next time I comment. These difficulties will make her stronger and prepare her for even greater things ahead. Zhengfei was worried that phase 2 created a kind of decision-making that was less than efficient. Ren Zhengfei, a founder of Huawei, conducts the personal communication style inspiring employees to achieve high results. Our subsidiaries in other countries also have this relationship with local governments. Mr. Ren: We want the US government to treat Huawei fairly and without prejudice. The US needs the Chinese market, and China needs technology from the US. There was nothing much wrong with them just a few scratches and other minor defects. Ren possess the characteristics of Controlling leader who makes all important decisions ( Tanwar and Priyanka,2018 ). In Europe, we will face some difficulties in the short term, but there will be no impact on our business. And its founder Ren zhengfei is thought be be one of the best leader in the business world. The road to success for Huawei started in 1987 where it was founded in the economic testing zone of Shenzhen. Cuts and bruises toughen her up, and even since ancient times, heroes were born of hardship. If we get caught in the middle, we will be crushed like a watermelon when these two powers clash. If the US government speaks ill of Huawei, why couldn't the Chinese government speak in our favor? Ren Zhengfei is known for avoiding quick decisions and forcing himself to take time to reflect. Do you see that Huawei is a pawn in the broader US-China trade war that's going on at the moment? Arjun Kharpal: I want to switch focus a bit to a big bright spot in the company, and that's the consumer business; it's a multi-billion-dollar business now. 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. But Zhang wanted to send the message that even minor defects are unacceptable and that Haier intended to match the quality of any competitor worldwide. Therefore, Zhengfei acted more like a catfish in the high-level decision-making process, who has constantly created imbalance to inspire passion across the organisation. Strategies are implemented not by CEOs and other top executives but by the many people who choose on a daily basis whether to take actions that support or undermine what top management wants to achieve. Our strategy for investment is like this: If a technology is still two billion light years away, we may invest just a little money, like a sesame seed. We obviously couldn't control our customers, so we had to get hold of the products. You've often looked up to Apple as a role model. He is continuously focused on the future and hardly ever ruminates about the past. So he emphasized action. We endorse unified global standards that make installing backdoors a crime. Ren has unique qualities which make him different from other, leaders. They viewed the rat problem as one the company had the responsibility to solve. Third, follow the small rules so that you can break the big ones. For example, if AI is applied to tractors, they will be able to work 24 hours a day. He is very careful not to feed the myth of his leadership and rather emphasises the importance of working hard in the success story of Huawei. In other words, the emphasis of results is viewed a basic spirit of Huawei. Due to his technical skills, He was appointed as a delegate from, PLA for attending the National Science Conference in 1978 (, ).It was a golden opportunity for Rein to lean and gain knowledge, about the field. I was naive and took it for granted that I could earn money playing with this huge industry. In fact, the recent and growing success of Huawei in Europe can also be attributed partly in addition to their service-oriented focus (see again the point of purpose-driven ambition) to their philosophy of explicitly incorporating a strategy to develop cooperative relationships with competitors in the market. Given these achievements combined with a certain myth of a Chinese emperor rising to the global stage, it begs the question what the philosophy and driving force behind this business success is. If we spread things too thin, there is no way we will be successful. If they attack a country, that country will fight back. Why cannot we edit human genes? First, as our technology advanced rapidly, we managed to bring down the costs of our products. The slogan at that time was: We shall drink to our hearts content to celebrate our success (ren sheng de yi xu jin huan), but if we should fail lets fight to our utmost until we all die (ju gong jin cui, si er hou yi). Back then, China was still going through the Cultural Revolution. It was hard times. As far as I know, Huawei has never been mentioned in any of the China-US talks or in any official news releases. Arjun Kharpal: Have you spoken to her recently? Whether or not we can get back to business in the US depends on whether our customers want to buy from us. 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). All references must be sourced to a "CNBC Interview'. By studying law on my own, I realized that only a focused approach to scientific research could lead to new products. When we were negotiating with the German government about signing such an agreement, we didn't know top officials from the Chinese government were also discussing the same thing. People will be afraid of getting trapped there. 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. Mr. Ren: Collaboration and shared success. Huaweis competitors assumed that they only had to provide the technology to the customer. An interesting consequence was that because of this purpose-driven strategy they acquired much experience in developing robust equipments and materials, which helped them later on to win several big business accounts in the Middle-East. The importance of thinking, in his view, is that it provides the skills to connect the dots needed to work with an agile vision and strategy. In his view, it was necessary in the second phase to wear the shoes of the Americans, and if your feet would not fit then we have to cut it. Otherwise, we wouldn't be able to enter the network equipment industry. Arjun Kharpal: Mr. Ren, I want to move onto a bigger picture of the world of technology. If the US opens its telecom industry and its operators say they are going to purchase tens of billions of dollars in equipment from us, I wouldn't believe it and wouldn't be willing to make billions of investments. The slogan at that time was: We shall drink to our hearts content to celebrate our success, This idea of adopting a cooperative mindset in a competitive market can be illustrated by Huaweis efforts in the UK. They replied that they could not make it smaller. 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 way, we will be able to make world-leading products. 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. KPMG wouldn't hide anything for us. Is it your ultimate aim to get back to business in the US market or just clear your name there? When designers showed the first iPod prototype to Steve Jobs, he said it was too big. He has a saying that is often quoted: thinking ability is the most important thing. So productivity will be greatly improved. Arjun Kharpal: Mr. Ren, you said you haven't spoken to Mr. Trump, but what do you think of his leadership style and his tactics? Many companies' financial statements last year weren't great because they needed to pay income tax arrears. In this case study that focus on leadership, leadership is defines as the behaviour of an individual when he or she is directing the activities of a group towards a shared goal. Some governments have criticized the relationship between Huawei and the Chinese government. The secret is to take advantage of opportunities to do something symbolic in a surprising, high-impact way that will capture the attention (and, hopefully, the hearts and minds) of the organizations members. Western companies are no different. At first, we had several hundred employees focus on this point, then we had several thousand, tens of thousands, and now we have hundreds of thousands. As of February 2019, he had an estimated net worth of US$3.3 billion. And they are generally low-cost and relatively easy to execute. In that case, billions of dollars would be stuck in the US. So I don't think there will be a significant impact on Huawei's business. But we will not distribute this extra money to our employees or shareholders. 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