How to move from family management to enterprise management?

—Interview with Dr. Tan Bingli, Founder of Yaqi Group

Dr. Tan said: The transition of an entrepreneurial company to enterprise management is a very difficult step, and it requires the psychological qualities of timing, location, people, and leaders to turn the tide. 1. Tianshi - Does your product have prospects; 2. Geographical advantage - How many advantages does your product have in the market, can the product continue to develop, and how much financial support does it have; 3. Human Harmony - Evaluate the quality of one's team, how to maintain consistency with senior employees, how much energy one still has, and whether there are good successors; 4. In the early stages of entering the management track of an enterprise, the leader seems to have entered a crossroads, with a psychological imbalance. They feel like they have lost the habit of being a one-man man, and they will also lose the habit of commanding the wind and rain. When they used to manage a large area, they become a little YES or NO. They will feel lonely, as if they have lost all power, and they are worried about not being successful, with a sense of emptiness and loss. This is a common mindset for entrepreneurs to transform their companies. To improve enterprise management from an entrepreneurial company, they must have courage, wisdom, persistence, and be prepared with the right timing, location, people, and conditions, as well as psychological preparation, in order to have a chance of success. Otherwise, it is still the best strategy to hold their ground.

The headquarters of Yaqi Group is located in Hong Kong, covering an area of 25000 square feet. It is the overall development plan and international market expansion center of the group. The blow molding production factory located in Shenzhen, China, covers an area of 120000 square feet, has over 500 employees, and can provide 24-hour continuous production services. Located in Kaiping, Guangdong, Yaqi Industrial Park covers an area of over 200 acres and serves as a research and comprehensive manufacturing base for blow molding machinery, blow molding molds, precision injection molds, and blow molding products. It currently has more than 1000 employees.

To establish a corporate management system, we must first start with the selection of personnel. SIMON, the eldest son who returned from studying at the University of Washington in the United States, became the primary candidate for Dr. Tan to implement reforms.

He is a young generation with a shallow relationship with old employees, no burdens, and has received Western education to study business management, so he is a very suitable candidate, "said Dr. Tan.

But Dr. Tan did not make Tan Mingkang sit in the position of general manager from the beginning. After returning from school in 2003, he trained his son from the bottom of the company, which was a necessary stage for familiarizing himself with the management and operation of the upper and lower levels of the company.

The basic requirements of modern enterprise management are clear delineation of rights and responsibilities, integration of systems and data. In the past, Yaqi's management personnel were all technical personnel who were promoted from the bottom of the company, leaving behind many sequelae. Some personnel, although technically skilled, lack management experience, and are also emotionally involved, self protective, and poorly coordinated with departments, resulting in long-term management and operation difficulties of the company.

Our current reform is to divide technology and management into two levels. Technical personnel are responsible for technology, and experienced professionals with academic background are recruited from outside to be responsible for management.

In the process of transformation, a lot of financial, human, and spiritual resources are required. If we cannot pass this hurdle, it will be difficult to enter the management track of the enterprise. Dr. Tan is full of confidence, determination, and persistence in the reform and management of Yaqi Group. He also said that the reform of family businesses in South Korea was a clear example in the past, and now it is very successful, which is in line with his own reform thinking.

The headquarters of Yaqi Group in Hong Kong is also the center for Yaqi to explore international markets. Despite the impact of overseas economic downturns over the years, Yaqi's overseas markets have been affected. Previously, 60% of the company's products were exported overseas and 40% were sold in the domestic market. However, in recent years, the situation has been exactly the opposite, with 60% of the products sold domestically and only 40% exported. Dr. Tan said that he firmly believes in the belief of "doing yourself well every day, and the results will eventually repay you". He has been improving his products and technology for a long time. However, during the economic downturn in Europe and America, when orders were not continuing, the Chinese market was also emerging to make up for it. In such a global economic recession, Yaqi Group was not affected, and because he did his best every day, armed himself well, and encountered adversity, he was able to safely avoid it. The precious orders did not decrease and went against the current.

Technological change

In addition to management changes, continuous innovation and research and development in technology, keeping up with trends, enhancing market competitiveness for users, and improving product quality in the market. Yaqi invests over 10 million yuan annually in research and development to maintain its leading position in the industry. The company's R&D personnel come from elites around the world. At the Yashi Exhibition held in Guangzhou in May this year, Yaqi will showcase the LIN-90-TSI high-speed blow molding machine, a 25 liter industrial container that can be completed in just 30 seconds, increasing production by 200% compared to the old model which can be completed in 90 seconds. This is also the second time since Yaqi launched a fully electric blow molding machine at last year's Yashi Exhibition, introducing a new design, fully automatic and fast industrial container blow molding machinery, on-site demonstration. We welcome distinguished users to come and guide us.

Dr. Tan not only excels in his own career, but also frequently participates in public office in both Hong Kong and mainland China. While giving back to himself, he never forgets to give back to society, truly deserving of the title of successful industrialist.

Thank you, Dr. Tan, for giving me valuable visiting time. I also want to thank you for sending me the philosophy essay. I will go back and read it carefully. Thank you!

Reporter: Peng Yongzhen