sbdcsierra Chapter 1681 The Real Deal
Chapter 1681 The Real Deal
Chapter 1681 The Real Deal
"Take a rest for a while, I'll call you when we get to the train station." Secretary Liu Bin came out for exercise with Li Xuewu today, as arranged by Old Li.
"It's fine if you stay at home with me, but if you don't seize every opportunity to learn when you're out here, what future do you have? Go find the Secretary-General!"
That was Old Li's exact words; he really did kick Liu Bin out so that Liu Bin could broaden his horizons.
"No need, I can't sleep."
Li Xuewu raised his wrist to check the time and asked, "How long will it take us to get to Osaka?"
"I specifically asked about the time, and it was three hours and ten minutes, which was incredibly fast."
Liu Bin said with some envy, "They told me to buy the Shinkansen."
"The staff member specifically emphasized that we should buy the Light Train, saying it was the fastest. The other train was called the Echo Train, which took four hours."
“That’s definitely possible.” Li Xuewu nodded slowly, looking out the window at the Tokyo street scene, and said, “We should be able to reach Osaka by this morning.”
"After all, it's over 500 kilometers, more than 1,000 li, to Osaka!"
Liu Bin raised his eyebrows and said, "Think about it, from the capital to Fengcheng, it's more than 800 kilometers by train. Even if we buy an express train ticket, it would still take more than ten hours, right?"
He said with some emotion, "When will our trains be able to run this fast!"
"Yes, there will be bread."
Li Xuewu smiled faintly, wondering if Liu Bin would live to see the day when we were number one in the world in terms of high-speed rail mileage and production capacity.
If we think this way, then the people of China in the future will truly be blessed.
"Even if we catch up to one-tenth of the target in a year, that would be great."
Liu Bin shook his head and couldn't help but sigh. Looking ahead from the passenger seat, his eyes were filled with both melancholy and hope.
There was a long silence in the carriage before he turned around and said, "But the ticket price for this Shinkansen limited express is really expensive!"
"How much?" Li Xuewu turned to look at him and asked, "Do you have enough money with you?"
"That's enough, my boss told me to bring more."
Liu Bin had a leather bag tucked under his arm, which contained their operating funds; Li Xuewu wouldn't handle the money.
"From Tokyo to Shin-Osaka, it costs 4130 yen per person, and that's for a regular seat, which is equivalent to... let me see."
He raised his head and thought for a moment, then quickly gave his answer, "Twenty-eight yuan and twenty-four cents!"
"It's so dark! It's really dark!"
He didn't seem to notice anything when it was in Japanese yen, but as soon as it was converted to domestic currency, he kept yelling that it was a bad deal.
"The average monthly wage for an ordinary employee in our group is only forty to sixty yuan," Liu Bin said, shaking his head. "A single trip out of the office can wipe out half a month's salary."
"It's an express train, that's normal," Li Xuewu said casually. "It's still faster than flying."
"The flight arrives at midnight, but there is a waiting and queuing process."
Liu Bin nodded in agreement and said, "I've already asked about planes, but I've decided to ask you for permission to go by train."
"Well, let's take this opportunity to see their Shinkansen." Li Xuewu smiled and patted Qi Yan's knee, who was sitting next to him, and said, "When we get back, we must work hard to build our country and catch up with them."
"Hehehe—" Liu Bin said with a smile, "Actually, I feel that over the years, the gap between us and the world's advanced countries has been narrowing."
"Especially in the last two years, our economy, science and technology have been developing." He emphasized, "You can tell by looking at our employee benefits."
"We cannot compare the welfare benefits of Honggang Group to those of the whole country. Looking at hundreds of millions of people, there are always places with good conditions and places with bad conditions."
“That’s true—” Liu Bin thought for a moment, then turned around and asked, “I’ve heard that Japanese companies offer very good employee benefits, is that true?”
"Yes, they now have a lifetime employment system, just like us. They don't lay off employees easily, and the loyalty is very high."
Li Xuewu nodded and introduced, "Today we're going to Panasonic, which is a typical example of this kind of personnel system."
"I heard their general manager is an old man," Liu Bin said casually. Seeing that his boss showed no signs of resting, he became interested in talking and turned around to say, "He's over seventy years old, but he still clings to power."
“That’s normal. It’s his own company. He doesn’t want to retire. Who can force him?”
Li Xuewu glanced ahead and said, "If you have time, you can just ask anyone on the street what brands of appliances they have at home."
"Six out of ten people will tell you that they use Panasonic appliances at home."
"What's Sanwa Corporation's position in the Japanese electronics market?" Liu Bin asked curiously. "Isn't it said to be selling very well?"
“You’ve hit the nail on the head. The appliances we manufacture for Sanhe have the same business strategy as Panasonic: high quality at low prices.”
Thinking of this, Li Xuewu smiled and said, "The old man you just mentioned who clings to power is Matsushita Konosuke."
Do you know what Japanese businessmen call him?
He looked at Liu Bin, raised an eyebrow, and said, "The God of Business is someone whom businessmen revere."
Liu Bin was surprised and asked blankly, "You treat living people like gods?"
"Because this person is amazing, he does things that are beyond everyone's comprehension."
Li Xuewu nodded slowly and said, "From starting his business to becoming a world-class electrical appliance supplier, he single-handedly built the business empire he is today."
"That really is true—" Liu Bin seemed to understand why Konosuke Matsushita could earn such a title.
"So, will we be able to see him today?"
Liu Bin seemed very interested in the living god and asked, "Didn't they say he's still going to work?"
“How could that be? He’s 76 years old now.” Li Xuewu smiled and said, “Our influence isn’t that great yet.”
"Not necessarily," Liu Bin said with a smile. "We're their competitors, so why would they dare to underestimate us?"
"What do you think?" Li Xuewu looked at Liu Bin and asked, "Do you think we can cause trouble for Panasonic right now?"
"I think it's possible, it definitely is."
Liu Bin, however, was very confident and said seriously, "Even if we can't in the international market, Sanhe is a formidable opponent in Japan."
He was Li Huaide's secretary, and had access to almost all of the group's data and documents, giving him a very thorough understanding of the company's operations.
"We export millions of electrical appliances every year. Even if they are elephants, we, as ants, can still kill them."
"Yes, you should have that kind of ambition."
Li Xuewu thought for a moment and said, "Today's appointment is with their executive director, who is also considered a core senior executive."
Panasonic's management structure is unique; it doesn't resemble a typical modern commercial enterprise but rather a traditional Japanese family business.
Konosuke Matsushita was, of course, the head of the large family. He had stepped down as president ten years ago and become chairman, but he still held the final decision-making power.
The current president of Panasonic is Masaharu Matsushita, a role similar to that of a general manager.
Judging from the name, you would definitely think that this Seiji is Konosuke's son, but he is not; he is his son-in-law.
Matsushita Masaharu's original name was Hirata Masaharu, which he changed after becoming Matsushita's son-in-law.
Anyone familiar with Japanese history or who has watched historical dramas knows that Japanese people don't really care about their surnames.
In China, it's different; the ideal of a chivalrous hero is to remain true to one's name and identity while traveling the martial arts world. But this concept doesn't exist in Japan.
If your godfather is capable, you can take his surname; if your father-in-law is capable, you can take his surname; even if your boss is capable, you can take his surname—as long as you can get the right to inherit.
If your boss in China offered you the right to inherit the company and asked you to take his surname, would you be willing?
With the support of his father-in-law, Matsushita Masaharu, who graduated from the Faculty of Law at Tokyo Imperial University and changed his name, has risen to his current position by leaps and bounds.
This year, he took full charge of Panasonic's operations.
Actually, before deciding to go to Osaka, both sides had communicated about who would go.
The agreement at the time was that if Li Huaide went, their president would be the one to represent him; if Li Xuewu went, only the managing director would be the one to represent him.
Just because Li Xuewu is going doesn't mean their president has to personally receive him; that's against the rules.
Li Xuewu didn't feel slighted at all, as long as the person he met today could make a decision to negotiate.
The managing director is the lowest level of Panasonic's core management team. Above them are executive directors, but there are only three of them, who are responsible for sales, production, and parts, respectively.
Above that are two vice presidents, responsible for general affairs and technical research and development respectively, forming a pyramid structure, which is also a family business model.
If you go down the hierarchy, you won't feel any difference from a modern company when you reach the position of executive director, but you'll see the difference when you reach the position of managing director.
Panasonic has fifteen independently accounted business units, with the headquarters only responsible for funding and strategy.
There's a separate division for televisions and a separate division for refrigerators; each manages its own business and is responsible for its own profits and losses, somewhat resembling a contracting system.
It's easy to see from this that a business unit is equivalent to a branch office, and the head of a business unit is equivalent to a small business owner.
They are fully responsible for research and development, production, sales, human resources, and other related work, and Panasonic headquarters does not interfere with their daily operations.
However, it did not delegate authority over strategy, funding, and profit targets.
What are the advantages of this model?
Centralized funding, with headquarters providing "internal funds" and charging a 10% annual interest rate, forces business units to improve their financial efficiency.
Profits are independent, there is no cross-subsidization, profits are retained for development, losses are rectified independently, and there is a firm commitment to not sharing the benefits.
Looking at it this way, the corporate management model that Li Xuewu designed for Honggang Group really does have a bit of a Panasonic feel to it.
Honggang Group is now experimentally delegating authority to its various subsidiaries, giving them a certain degree of financial autonomy, which means allowing them to retain a portion of their profits.
However, research and development, sales, and other functions are still concentrated in the hands of the group headquarters, but these are gradually being relinquished.
A large corporation should have a broad vision and not act like a housekeeper, constantly giving instructions and interfering in the affairs of each branch.
If we're going to let them have a say, then let them develop and operate on their own. The framework has already been established, and the group company is overseeing it. Any key risks that arise will be managed promptly.
It would be a huge joke if someone actually called the front lines like a transport battalion commander, demanding that the artillery position be moved ten meters to the left.
However, due to institutional constraints, Honggang Group cannot completely delegate authority to its branches, nor will it experience such extreme capital compression as the annual interest rate.
The best course of action is to choose what is good and follow it, and to correct what is not good.
There is no such thing as a management model that remains unchanged and is always ahead of its time. Just look at the fate of Panasonic in the future to see why.
That's truly a case of Wang Erxiao's New Year being worse year by year.
In later generations, they sold off what needed to be sold and disposed of what needed to be disposed of. The world's king of electrical appliances eventually became a supplier of car batteries and electrical appliances.
To add to that, Tesla's batteries are supplied by Panasonic.
The television industry, which Li Xuewu particularly wanted to see today, has been completely cut off. Domestic operations have been handed over to Skyworth, essentially making it like "Hengyuanxiang" (a famous Chinese television brand).
But the future is the future, and the present is the present.
Panasonic is now the world's leading electric company, so Li Xuewu has to approach this with a learning attitude and a desire to learn from its experience.
It's worth noting that Panasonic is now a major player in Japan, rivaling Toyota, and is the world's number one in total home appliance sales.
Why miss this opportunity to learn something good?
“This is Mr. Li Xuewu, Assistant General Manager of Honggang Group,” a commissioner from the Ministry of International Trade and Industry, who had been waiting there, introduced to Li Xuewu. “This is Mr. Matsuno Kokichi, Managing Director of Panasonic.”
"Hello, welcome to Panasonic."
"Hello, it's nice to visit Panasonic."
Li Xuewu shook hands and greeted the other party after being introduced by the commissioner, but he spoke in Chinese.
There's nothing new about this. Unlike later generations, in this era, there were many people in both Japan and Korea who could speak Chinese.
Especially for businessmen and officials, not understanding Chinese would make them a laughing stock.
The legendary hunger-endurance king of Nanhan, after reaching the summit, made a suggestion: to encourage the young people of Nanhan to learn Chinese.
Listening to the other person's fluent and clear Chinese, Li Xuewu smiled and nodded, saying, "I'm sorry to have troubled you."
"No, no trouble at all. We sincerely welcome you to Panasonic."
Kokichi Matsuno sincerely introduced, "President Masaharu Matsushita is not here today. He specifically instructed me to make sure you all are well taken care of."
"If you can stay overnight in Osaka, the president would love to see you all tomorrow."
"That would be such an honor."
Li Xuewu did not agree on whether to stay or not. In fact, it was already past 11 a.m., and even if the afternoon's schedule and talks went quickly, it would not end until evening.
If I go back to Tokyo, I won't be able to rest until the early hours of the morning.
Whether or not to stay in Osaka depends on the situation. If there's nothing to discuss, then we must return to Tokyo as soon as possible.
Today is Panasonic's schedule, and he may go to Sony tomorrow. The team has already contacted him, so we'll see how the meeting goes.
So he simply covered it up with a single sentence, and the two entered Panasonic's headquarters building together. During this time, Kokichi Matsuno enthusiastically introduced the history of Panasonic and its current business situation.
"You have 45,000 employees?"
Li Xuewu was somewhat surprised by the number. Listening to the other party's introduction, he asked curiously, "Is it domestic or global?"
At that time, Panasonic also had factories in other countries, which made it quite powerful.
According to Kokichi Matsuno's introduction, their revenue last year was 7489 billion yen, and their net profit was 720.5 billion yen.
If talking about the Japanese yen might not be intuitive enough, let's talk about the US dollar. Their revenue is 24 billion, and that's the value of US dollars in this era.
What about domestic currency?
Last year, their net profit was 4.92 million yuan, which is equivalent to more than 49 times that of Honggang Group. Honggang Group's net profit last year was less than 10 million yuan.
This is because Honggang Group is a diversified industrial enterprise, while Panasonic only operates in the electrical appliance industry.
The electronics industry is not considered heavy industry, but the profits do sound astonishing.
What's even more surprising is that Panasonic had 45,000 employees at that time.
Don't underestimate Panasonic's figure just because Honggang Group has 60,000 employees. The systems and operating environments are different, and these are two different things.
“That’s right, more than 45,000 employees.” Matsuno Kokichi nodded with a smile and confirmed, “The total number of employees in the entire company, including overseas factories.”
“That’s really impressive.” Li Xuewu nodded in affirmation. “To support so many people shows your company’s sense of responsibility and commitment.”
"Thank you. We are a light industrial enterprise and need more industrial workers and sales personnel."
Matsuno Kokichi gestured towards the reception room, inviting Li Xuewu and his entourage to rest first.
"I've heard that your company also has many employees?"
After they were seated, Matsuno Kokichi looked at Li Xuewu with some curiosity and asked, "How many people are there in your Honggang Group?"
“We used to have many more employees. Three years ago, we had nearly 100,000 employees,” Li Xuewu frankly explained. “In recent years, due to industrial and technological upgrades, the total number of employees has dropped to 60,000.”
"So many?!" Matsuno Kokichi's eyes widened in surprise. While asking his secretary to serve tea, he inquired, "Are there still 60,000 people left?"
“That’s right, at least that’s how it was before I came out.” Li Xuewu smiled and explained, “Our total number of people should be increased.”
As he introduced the history and operations of Honggang Group, he gestured with his hands to indicate the trajectory of the roller coaster.
“We went through a phase of rapid expansion and began industrial and technological upgrades when the business was in very good shape.”
Li Xuewu glanced at the Panasonic executives who followed him in and took their seats, and continued, "You may not be familiar with our management system, which is somewhat similar to your company's lifetime employment system, but our benefits are more comprehensive."
“Yes, I’ve looked into it.” Matsuno Kokichi nodded slowly and said, “Because your company is collectively owned, right?”
“That’s right, exactly.” Facing these curious faces, Li Xuewu couldn’t help but smile and explained, “It’s like your company’s chairman, Matsushita, distributing all the shares equally to each of you.”
"So that's how it is? —"
Some people in the meeting room couldn't help but shake their heads with a sigh, as if they didn't quite understand the significance of doing so.
"So how did you handle, or rather, settle those 40,000 people?" Matsuno Kokichi seemed very curious about this part and asked seriously, "You couldn't have used dismissal or expulsion, could you?"
"Of course not. We made proper arrangements through resource integration and technology transfer."
Li Xuewu nodded and emphasized, "Throughout the entire process of industrial and technological upgrading, we have never abandoned a single employee."
“Truly admirable!” Matsuno Kokichi, like the other executives, nodded in approval as he looked at Li Xuewu and his team.
He would certainly believe what Li Xuewu said, because in this situation, everyone had to be responsible for what they said.
This isn't the countryside, the village streets, or the backyards where you can chat and brag as you please. If you say one wrong word, it's an irreparable loss.
“This is a necessary process for a company to grow and thrive,” Li Xuewu said earnestly. “To this day, facts have proven that our choices and decisions were correct.”
"In addition to our main businesses in metallurgy, steel rolling, machinery, banking, hardware, aircraft, automobiles, electronics, communications, food, pharmaceuticals, shipbuilding, ports, weaponry, chemicals, construction, mining, energy, logistics, aviation, shipping, airports, shopping malls, medical care, education, media, entertainment, property management, scientific research, security, cosmetics, and real estate, we established an investment management company from the very beginning."
After reciting Honggang Group's business scope like a tongue twister, Li Xuewu even made a grand gesture in front of them.
“We have invested in and built projects for internationally renowned companies such as Watsons, which originated in Hong Kong and has spread throughout Southeast Asia, and the Australian Iron Ore Group, a rising star in the Australian iron ore industry.”
Matsuno Kokichi was stunned. Li Xuewu's rapid-fire delivery was still echoing in his ears, and he seemed to be having trouble keeping up with it.
If that's the case, a group with 100,000 people doesn't seem like much anymore. If it's been reduced to just over 60,000, then automation and integration have reached a certain scale.
Goodness, they've ventured into more than thirty industries, all of which are their core businesses, and they've even invested in retail and mining internationally.
By now, Matsuno Kokichi no longer doubted that Li Xuewu was bragging, because here, any boastful claim would be easily exposed.
Although they were talking in the reception room, it was not a quiet place. Their intelligence specialists were able to quickly find out what Li Xuewu had said, organize it, and report it to him.
This era lacks the internet and computers, but precisely because of this, top companies like Panasonic have established their own intelligence networks.
Only by mastering information asymmetry can one remain invincible.
"You manage so many businesses," Kokichi Matsuno asked again, curiously, "how did you manage to upgrade your industries and technologies?"
“It wasn’t just courage and perseverance that made it happen,” Li Xuewu said with a wry smile, his voice strained. “It can be said that the entire group made sacrifices.”
“I’ve introduced many industries, but you should know that our net profit last year was only over eight million yen, which is equivalent to 11.7 billion yen.”
He shook his head slightly and sighed, "It's less than 2% of your net profit."
“This—it seems that can’t be understood that way.” Matsuno Kokichi wasn’t stupid; he immediately realized that Li Xuewu was using a fallacy to change the subject.
Net profit is only an indicator of a company's profitability and cannot fully reflect a company's overall value.
He wouldn't say what Panasonic's total value is, because that's impossible to fully assess.
However, he knew that Panasonic currently possessed mostly light assets, while Li Xuewu's introduction presented the opposite.
Honggang Group owns many heavy assets, all of which can be directly converted into cash and are relatively stable in value. How can they be compared to other assets?
"But it also shows how hard we've worked."
Li Xuewu raised his eyebrows and said, "During this period, we cooperated with companies in Japan, France, Italy, and East Germany, and completed industrial and technological upgrades through business cooperation and technology introduction."
“Honggang Group is currently recovering and expanding,” he explained. “If we were to express it in terms of the number of employees, then since last year, our employee recruitment has focused on graduates from vocational and technical colleges.”
“That’s right,” Kokichi Matsuno nodded in agreement. “For a company to modernize, it must start with human resource management.”
"Most of our workers are also highly skilled and have received vocational training, which is why Panasonic has achieved what it is today."
Matsuno Kokichi said with great honor, "We have prepared a working meal. After we eat, we will go to the main factory for a visit."
“We have factories all over Japan and around the world,” he explained. “Our main factory in Kadoma City only has appliance assembly and R&D facilities, as well as motor and picture tube factories.”
"We have our parts factories in Fukushima and Suita in Osaka, as well as in Hyogo Prefecture, Aichi Prefecture, and so on."
Where are your overseas factories located?
Li Xuewu asked curiously, "How is the business doing now?"
“We have distribution channels in New York and Chicago, and a TV assembly plant in California,” Kokichi Matsuno explained. “We also have TV assembly plants in West Germany and the UK.”
"The component and small appliance factories are located in Southeast Asia, including Singapore, Malaysia and northern Taiwan."
He first invited Li Xuewu and others to dinner, and while walking, he introduced, "Overall, our industrial layout is quite reasonable, and the construction of various factories and channels is going very smoothly."
"Your sales are excellent," Li Xuewu praised. "Building your own distribution channels is a very time-consuming and labor-intensive task."
"Of course, but it's also more efficient and safer."
Kokichi Matsuno smiled and said, "This is a management strategy set by our first president, and it is still in use today."
"As long as it's useful, that's fine. Practice wins over theory." Li Xuewu smiled and subtly praised the other party.
It's not that he's unscrupulous in his pursuit of technology or has learned to flatter; it's about mutual respect.
From the moment he entered Panasonic, he no longer felt the vague sense of disdain he had experienced in the previous two days.
Even at Honda, the executive director was completely unprepared, clearly seeing no possibility of cooperation.
If he hadn't bragged about it, there wouldn't have been any subsequent cooperation negotiations.
Today, when he came to Panasonic, he still did a lot of promotional work. People don't know much about Honggang Group to begin with, and time is very limited. If he is too humble, they won't give him a chance to meet.
Therefore, he wanted to intimidate the other party from the very beginning. He wasn't afraid that his boasts would be exposed; the only thing he could find out was to shock the other party even more.
Matsuno Kokichi said he had prepared a working meal, but the food was very plentiful. It wasn't a buffet where you ate from a plate, but rather a regular long table where staff brought them the food.
However, it was still a separate meal system, but each person had a large number of small plates and bowls of food in front of them, and the taste was even better than the banquet they had that day.
The Japanese also have a tradition of not speaking while eating or sleeping, and talking while eating is considered impolite, so everyone is very conscious of this.
Only after finishing their meal did they continue chatting.
Li Xuewu even asked about Matsuno Kokichi's personal life, which is very unusual in the Japanese workplace.
However, considering the differences in their professional cultures, Matsuno Kokichi treated it as a social activity and chatted with Li Xuewu.
Do you also have a son and a daughter?
Li Xuewu seemed to be very good at this kind of tactic of getting closer to each other. He first asked about the other party's family. When he heard Matsuno Kokichi say that he had a son and a daughter, he proudly said, "I also have a daughter and a son."
"Really!" Matsuno Kokichi was surprised for a while, but that's how Japanese people talk. He smiled and said, "That's really wonderful."
"However, in our family, the daughter is older and the son is younger," Li Xuewu said during the break after dinner, chatting with the other person about family matters.
After everyone else finished eating, some sat there listening, some got up to go to the restroom, and some went to smoke.
However, the conversation at the dinner table didn't stop; in fact, the atmosphere became more and more relaxed, with bursts of laughter.
It wasn't just Li Xuewu and his companion who were laughing; the executives and their entourage who were listening to them talk about their children's mischievousness were also laughing.
It was the first time the two had met, and Matsuno Kokichi found it quite amazing that he suddenly felt that Mr. Li in front of him was very friendly and sincere.
It's best to rest for a while after eating and avoid strenuous exercise, including climbing stairs and walking long distances.
You don't need to rest for a long time, even ten minutes is fine.
Li Xuewu and Matsuno Kokichi only chatted for about ten minutes before getting up and leaving the restaurant at the reminder of their secretaries.
Kokichi Matsuno politely gestured to the prepared lounge, inviting them to take a nap, and instructed his secretary to arrange the rest of the day.
Li Xuewu first thanked the other party, and then politely told them what they wanted to see and talk about when they met again in the afternoon.
Upon hearing this, Matsuno Kokichi listened attentively and then earnestly agreed.
Sincerity, frankness, diligence, honesty and trustworthiness—these words flashed through Matsuno Kokichi's mind, making him look forward to the meeting that afternoon.
Li Xuewu certainly knew his limits and knew when to advance and retreat. He needed his lunch break, and the other party also needed time to get to know them and the Honggang Group better.
Perhaps from the moment they disembarked, Sanwa Corporation had already reported the specific situation of the Honggang Group to the Ministry of International Trade and Industry.
If Panasonic wanted to learn about the Honggang Group, it only needed to contact the Ministry of International Trade and Industry.
If it can be further determined that what Li Xuewu said is true, then the foundation for cooperation between the two parties, namely trust, will be established.
Was all of this deliberately arranged by Li Xuewu?
Of course, whether it's a negotiation or a meeting, it's all part of a carefully arranged and prepared stage, and he's just an actor on that stage.
Knowing that today's meeting could potentially involve investments and collaborations worth hundreds of millions or even millions, and could even be related to the future and development of the Honggang Group, wouldn't it be worthwhile for him to plan ahead and design it cleverly?
If you're here to try your luck, then you might as well let Old Li brag. When it comes to finding the best luck, who the hell can beat Old Li?
***
The lunch break was precisely controlled to 30 minutes. As soon as the time was up, Li Xuewu was woken up by Liu Bin, who reminded him that Matsuno Kokichi was already waiting for him.
To be honest, the rest room they prepared was really nice, and he was able to take a nap without any worries.
Not to mention that he usually takes a nap at work, he would be even more likely to fall asleep when he's being watched all the time.
His snoring could be heard outside the door, and that would carry a different meaning for some people.
If he can sleep well, it means he came with sincerity and confidence, and Panasonic should respond accordingly.
Furthermore, half an hour was enough time for Matsuno Kokichi to learn more about the Honggang Group and to report and communicate with his superiors.
"Excuse me, I need to wash my face." Li Xuewu smiled and gestured to the bathroom when he saw Matsuno Kokichi coming over, and casually explained, "I drank at Mr. Matsumura Kenzo's house last night, and it was already past midnight when I got back to the hotel."
"Is that so? Mr. Kenzo Matsumura is also a senior I admire."
Kokichi Matsuno smiled and said, "It seems I should prepare a dinner to entertain you and your colleagues, otherwise it would be very impolite of me."
Li Xuewu was willing to bet that Matsuno Kokichi already knew who was at the Matsumura family's banquet last night and what they said.
They're just playing dumb now; otherwise, they wouldn't have mentioned arranging a dinner party.
The confidence and composure that Li Xuewu inadvertently revealed, upon closer observation by the other party, became a signal of sincerity and positivity.
He came out of the bathroom, his spirits lifted, his eyes brighter than when Matsuno Kokichi had seen him.
That makes it clear that he was truly asleep.
"Anything is fine with me, just please don't serve sashimi."
Li Xuewu explained with a wry smile, "Last night, Ms. Matsumura questioned my taste, but I really can't stand this."
"Hahaha—" Matsuno Kokichi couldn't help but laugh when he saw his expression. "Of course you can, but that would be a shame."
You see, he must know what we talked about last night, otherwise he wouldn't have used the keyword "regret".
“Actually, we don’t necessarily have to eat sashimi,” Kokichi Matsuno explained with a smile. “I usually enjoy it, because it’s very expensive.”
"We only make this arrangement when entertaining guests, if they are curious; it's also a matter of etiquette."
“It’s better to be direct,” Li Xuewu said with a double meaning, “We probably don’t need sashimi to get closer to each other anymore, right?”
"Hahaha!" Matsuno Kokichi laughed and raised his hand, gesturing towards the door, inviting him to set off together.
Panasonic's headquarters are located in Kadoma City, which was moved there in 1933 and is considered its birthplace.
Here stand their headquarters building, central research institute, and general management office, surrounded by a continuous industrial area, which has already formed the Monzhen Industrial City.
If Honggang Group hadn't made the decision to establish a presence in Liaodong and relocate its light and heavy industries to Gangcheng, it would be somewhat similar to Panasonic's current situation.
Think about it, Liangmahe Industrial Zone is already big enough, but it still can't accommodate all of Honggang Group's industries.
In the car, Kokichi Matsuno explained to Xuewu that almost all the buildings he could see were Panasonic properties, including the land they occupied.
That's why it's said that Li Xuewu was learning by observing Japanese companies, just like the industrial expansion model of Honggang Group.
Whether it's building a new factory or setting up a branch company, Li Xuewu insists on self-sufficiency in the industry, even if it's just a car service shop in the Jiangnan area.
The property is absolutely yours. Even if you can't buy it, you should try to buy it through negotiation. If you really can't sell it, find a way to move it to another place and buy it from somewhere else where you can sell it.
Panasonic is like that; land brings not only confidence, but also a sense of security that will never be driven away.
"Our production model is automated mass production, vertical integration, and a focus on quality."
At the final assembly plant, Kokichi Matsuno accompanied Li Xuewu to visit the television production line. He explained, "We insist on self-development and self-production across the entire supply chain. For example, core components such as motors, compressors, picture tubes, and PCBs are absolutely 100% self-made."
"Only a small number of standard parts are purchased from outside, in order to control costs and maintain consistent quality."
Could you please explain your standardization and quality control procedures?
Li Xuewu stood on the roof of the production workshop, with the assembly line right below him, giving him a very clear view of what was happening below.
“Our production process is highly automated,” Kokichi Matsuno nodded and explained, “Two years ago we developed the Panasert automatic insertion machine, and this year it has been fully implemented on the electronic production line.”
"The home appliance assembly line you see, as well as other factory areas, have achieved a combination of semi-automation and assembly line, making us one of the most efficient in the world."
He stood in the center of the workshop, gesturing to the left and right as he introduced to Li Xuewu: "Quality control is what we care about most, and it is also the core of our work."
"We adhere to the principle of 'not creating defects and not letting defects flow out,' which relies on quality inspection by all employees."
Matsuno Kokichi pointed to a workstation at his feet and explained to Li Xuewu, "The next process is the 'customer' of the previous process. Our quality control model keeps the product defect rate almost at zero."
That's fucking insane!
Even in later generations, how many companies can achieve this?
One person supervises the next at their workstation, and if a problem arises, the work is stopped immediately. You have to understand that as long as there are people and as long as there is a group, emotions and social dynamics will emerge.
Stopping or disposing of a defective product is tantamount to slapping a relationship in the face, isn't it?
However, such personal relationships do not exist in Panasonic's production workshops. Instead, rewards and punishments are used to eliminate these relationships that are considered common human feelings.
Tell me, isn't this kind of method and management crazy enough?
Honggang Group's quality control still relies on a quality inspector system, with each step involving production line inspection, warehousing inspection, and shipment inspection.
It should be noted that Honggang Group's three-inspection system is already considered very rigorous in China. Li Xuewu has noted down Panasonic's model and plans to learn from it, but it is definitely a huge management project.
The first issue to address is that employees' loyalty to the company far outweighs their trust and support for friends.
Secondly, the level of acceptance of the reward and punishment system is important; employees should be encouraged to face such mistakes.
Kokichi Matsuno then introduced Panasonic's employee management system, which is what Li Xuewu knew about: lifetime employment + seniority-based system + full employee participation.
Everyone knows about lifetime employment, but it means they don't lay off employees easily. In Matsuno Kokichi's words, even during economic downturns, they will replace layoffs with salary reductions.
He explained that Panasonic's employee turnover rate is less than 5%, while the industry average is 20%, indicating that their employees have extremely high loyalty.
The seniority-based system means that salaries and promotions are based on years of service plus ability. Senior employees can steadily earn high salaries, while young people have a promising future, and the team remains stable.
In addition to the quality control that Li Xuewu just heard about, Matsuno Kokichi also mentioned the theory that "enterprises are public institutions and employees are partners" in the part about full participation.
He said that Panasonic encourages its employees to submit improvement proposals, and this year the average standard is more than 10 proposals per person, meaning that small improvements accumulate into great benefits.
It has to be said that the title of "God of Management" is well-deserved.
Panasonic also has its own philosophy in business management, which they call the "tap water philosophy," emphasizing low profit margins and high sales volume, and a global perspective.
The philosophy of tap water is to "make expensive things as cheap as tap water," reduce costs through economies of scale, and make home appliances accessible to every household.
The global unified strategy was proposed by Konosuke Matsushita last year, which put forward the idea that "the world is one market" and abolished the "domestic/export dual system" to deploy production at the best global cost.
As Li Xuewu listened to his introduction, he had a more detailed idea of the future plans for Honggang Group.
How do you say that?
What you learn from books is never enough; you must put it into practice to truly understand.
I still had to come out and take a look; I could really learn something useful.