The "force" of Hisense

Chi universe said that the two "Hisense history" represents the change and future of China's manufacturing industry. Hisense has gone through 50 years, can be said to be China's manufacturing industry 50 years, but also China from closed to open, from open to lead, become the world trend leader of the fifty years. The opportunities and challenges faced by Hisense in the process are a microcosm of China's manufacturing industry.

Seventeen years later, the second Hisense History is set against the backdrop of China's participation in globalization, its emergence as a global leader, and its violent collision with various forces. China needs companies with real power: the power of technology, the power to set the rules of the game, the power to influence the global industrial chain, and Hisense is just such a company.

After 51 years of development, Hisense has evolved from a traditional home appliance company to a high-tech company. industrial parks and 18 R&D centers worldwide, with overseas revenue accounting for about 40%.

In the description of Ram Charan, author of Sustained Growth and a world-renowned management consultant, true virtuous growth means sustainable development. Hisense, which adheres to long-termism, has been running on the track of "sustainable management" and is striving to realize the dream of "building Hisense for a hundred years to become the most trusted brand in the world", and to become a model of high-quality and steady development for Chinese manufacturing. Technology represents the future, and innovation is the greatest product power. 51 years, technology is Hisense's most solid moat.

Zhou Houjian, Chairman of Hisense Group, once said, "Independent innovation is a bowl of rice at present, but in the long run it is a life." For a long time, Hisense continues to innovate, and constantly realizes self-renewal and iteration. "Hard-core products" are emerging in an endless stream. Always keep the technology leading, continue to lead the posture.

Chips are the "industrial food" of the country. Hisense is the first color TV manufacturer to engage in chip research and development. For a recognized large-scale investment, high risk and long return cycle "burning money" industry, 20 years, Hisense adhere to the "core".

When China's manufacturing industry mastered the core technology, when the challenge really turned into an opportunity. Zhou Houjian has emphasized in the company's internal mail, without their own chips will always be second-rate manufacturers, and even more unable to define their own native products, must stand in the perspective of life and death to view the development and use of chips.

In 2000, Hisense entered the field of chip research and development, starting from scratch, endured more than four years of only input, no results of loneliness. 2005 June, Hisense successfully developed China's first digital video processing chip with independent intellectual property rights and industrialization - Xinxin, the end of the country's annual output of 70 million units of color TV but no "Chinese color TV". The company's history of producing 70 million sets of color TVs per year without a "Chinese core" has been overshadowed.

Hisense has two integrated circuits related industries, one is in the field of optical communication chips, with a complete vertical integration of chip manufacturing capabilities, its products are used in Hisense broadband company's optical module products, is the world's leading supplier of optical communication modules. The second is the display processing related chips used in the TV set.

Hisense continues to invest in chip research and development, and constantly launches new products, for example, from high-definition to full high-definition, and then to ultra-high-definition display, forming a complete series of chip products, Hi-View Pro ultra-high-definition picture engine chip was released in 2015, and in 2018 the iterative launch of "Xinxin" H3 Picture quality processing chip. Recently, Hisense's 4th generation picture quality chip has returned to the chip, and successfully lit up the stacked screen TV. After full verification of the chip function and performance, the next step will be to enter the mass production stage.

From December 2 last year, "Hisense Electrical" announcement to be renamed "Hisense video" counting, the name change has been 8 months. Hisense Vision, in addition to doing a good job with the TV as the representative of the family display, but also try to jump out of the "TV" circle, the layout of the game display, education display, office display, medical display, intelligent transportation display and other fields, visual image processing, transmission, broadcast control technology as the core, to create a "screen everywhere, connectivity everywhere, service everywhere,

HELIX is the world's leading provider of display technology, with a focus on visual image processing, transmission, and broadcast control technologies.

Hisense promotes "one core, two hard" manufacturing plate to high-end leap. Hisense has both optical chip and optical module industry, as well as electric chip industry, and are industry leaders. According to the plan, Hisense chip industry plate output value will exceed 10 billion yuan in three years, and realize the goal of 16.3 billion yuan in 2025; "two hard", that is, To C and To B two kinds of intelligent hardware. Utilizing the industrial foundation that has been formed, Hisense will achieve revenue of 212.7 billion yuan in 2025 for "one core and two hard". At present, "two hard" field, Hisense has locked 13 high-tech projects.

As early as five years ago, Zhou Houjian proposed for the first time in the industry to create a new life from the family to the community to the city of the whole scene of wisdom. The various layouts have also been carried out one after another for a long time.

In recent years, Hisense has taken artificial intelligence as a new kinetic energy to lead the development of families, communities and cities. It has developed and constructed an application-oriented smart city system and created three platforms for the smart city, namely, "Wisdom Home", "Faith My Home", and "Wisdom City", and pioneered a full-scene smart life from the home to the community to the city, as well as a full-scene smart life from the home to the community to the city.

The scene has evolved from a "partial transformation of business" to a "complete takeover of life". In order to promote the accelerated formation of the smart city industrial ecosystem in Qingdao and the accelerated maturation of smart city products and solutions, Hisense has put forward an extremely bold vision to build Qingdao into the world's first full-scene smart new life city from the family to the community to the city.

Smart life and smart city cannot be separated from hardware support. The scene is the ultimate carrier for integrating all technologies, programs, hardware and software. The latest news is that Hisense is focusing on the construction of the innovation ecosystem. Planning in Qingdao North Railway Station nearby, to build Hisense Huiwan new infrastructure industry innovation base, for the development of the smart city industry to provide strong support. The base covers an area of 1,200 acres, the building scale reaches 1.5 million square meters, the construction of a total investment of 15 billion yuan, is expected to be completed in 5-7 years, after the completion of the introduction of 500 enterprises.

According to research organizations, by 2023, only China's smart new life market size will exceed 2 trillion yuan, and the global market is even broader. Hisense has 18 R&D centers around the world, more than 7,000 R&D teams, holds more than 20,000 related patents, and hosts nearly 200 international and national standards, and is actively laying out the new infrastructure to become a pioneer in the blue sea of "wisdom".

The Way of Integrity: Returning to Customer Value to Achieve a Warm Brand Power

Drucker said that there is only one definition of an enterprise, and that is to create customers.

In the era of the Internet of Things, from the "demographic dividend" to the "human heart dividend". Let some enterprises have felt the slightest chill, "when the times abandon you, perhaps not even say goodbye". The elimination of an enterprise is to see whether it can really create value for customers.

Ma Baolong, president of Hisense Academy and vice president of marketing headquarters in China, said that Hisense adheres to the most basic principle is to bring value to the user, which is the first. The principle of integrity in Hisense is very solid, the means to achieve is to use technology, innovation, the only innovation can further enhance the ability to create value for users and partners.

In 2019, on the occasion of Hisense's 50th anniversary, it comprehensively upgraded its corporate culture system to the principle of "inheritance, innovation, and temperature", and changed its development vision from "building an international famous brand" to "becoming the world's most trusted brand". The development vision was changed from "building an international brand" to "becoming the world's most trustworthy brand", and "building a century of Hisense" remained unchanged.

Hisense Group President Jia Shaoqian said, Hisense to "become the world's most trusted brand", "trust" is a warm word, Hisense's future development, is to become a global user, upstream and downstream ecosystem trusted partners. The future development of Hisense is to become a trusted partner of global users, upstream and downstream ecosystems, and to create a common destiny. And "build a hundred years of Hisense" is Hisense has been the pursuit of, to continue to adhere to the step by step.

The essence of home appliances is home, and the essence of home is love. The technology should not be cold. "Technology enterprise" Hisense has been 51 years, constantly using technology to convey warmth and trust, and tracing the source of warmth and trust of these two emotions, it is love. In April of this year, Hisense decided to relaunch the "Love, Technology and Emotion" program. This is a return after the screening of time and the washing of oblivion.

In the view of Cai Jian, professor of management practice at Peking University's Guanghua School of Management, China, as the largest economy, economic thinking is facing a huge paradigm shift - from a commodity economy to a value economy. The value economy is people-centered, with the resources of the Internet, information resources, or trust resources, as the basic elements.

Entering the era of the digital economy, a fundamental change is to create customer value, create customer demand, not just meet customer demand. Hisense has always been committed to changing the cold face of technology, to do the screen with attitude, data with story, scene with content, and intelligence with temperature.

For example, in the face of the ubiquitous display world, Hisense has successfully developed laser TV technology to protect people's eyes; the application of AI voice recognition technology to automatically block film and television content that is not suitable for children; the video social TV allows families to see each other instantly from thousands of miles away; the air conditioner is equipped with fresh air and sterilization and disinfection; the refrigerator is set up with an exclusive space for mothers and babies, and the freshness technology strives to be the best; and the company has been promoting the contactless intelligent community service.

Zhou Houjian has repeatedly emphasized within the enterprise that the enterprise is a continuously operating organization, and what the enterprise does must take into account today and tomorrow. Industrial products to have temperature, must focus on user value, the user is the best referee. Putting the user's interests always in the first place, sustainable management is an extension of the "steady state" strategy, which is exactly the thinking of the long-termist.

Knocking on the road ahead, the integrity of the underlying culture of Hisense continue to "hard core products" and "interesting soul" to conquer more consumers and users. In order to adapt to the global consumer habits, Hisense has set up four major Internet TV operation centers in Asia, Europe, the Americas and Australia to continuously improve the consumer experience. Every day, more than 50 million active users around the world experience the convenience of TV intelligence online. Over the past 51 years, Hisense has produced home appliances and consumer electronics products that sell well around the world, and for five consecutive years, it has been the top 10 Chinese brand most familiar to overseas people.

On August 10th, Paris Saint-Germain FC officially announced that Hisense has become its global sponsor, and the two sides will carry out a multi-year cooperation. Founded in 1970, the soccer club has become one of the world's top soccer clubs and global sports brands, attracting many great players, including Ronaldinho, Beckham, Ibe, and now Neymar and Mbappe.

Hisense, with its breakthrough technologies in TV and home appliances, will provide Paris Saint-Germain fans with the best viewing experience at home; will showcase its brand and quality products to the crowd at the Parc des Princes and to fans around the world on TV, online and through social media channels; and will provide the club with a wide range of innovative products to be used in a variety of venues, including the club's training center.

Hisense has been in the sports marketing field for many years, sponsoring many large-scale sports events, including Euro 2016, World Cup 2018, Euro 2020, Red Bull Racing F1, and the Australian Open, and this cooperation with Paris Saint-Germain is a strategic choice of great significance for Hisense, which sells its products in more than 160 countries and regions.

The Way to Balance: Diversified Layout, Reinforcing the Prospective Power of the Moat

Hegel said that history is not a haphazard accumulation of contingencies, but rather has its own inherent logic of development.

Hisense, in its 51 years of existence, has found its own balance between pragmatism and risk-taking, concentration and diversification, and shareholders' interests and social responsibility. From a color TV manufacturer in China, it has gradually stepped onto the center of the world stage and become an international high-tech enterprise. Among them, the balance of focus and diversity has become an important label of Hisense's development in recent years.

Some people say that looking at Hisense today is like looking at a familiar stranger. Indeed, today's high-tech Hisense is no longer a former color TV company, and it has achieved continuous evolution, iteration and growth. Over the years, while insisting on focusing on the main industry and making it stronger, it has expanded related diversified industries on the basis of specialization.

After advance technology layout, Hisense's business involves five of the seven major areas of new infrastructure, and even in the field of intelligent transportation, optical communications has been at the top of the list, reflecting the results of the transformation from home appliance enterprises to high-tech enterprises.

Intelligent transportation is an important part of the "new infrastructure". In the process of formulating national standards in the field of intelligent transportation, Hisense has participated in all of them, and 29 of them are led by Hisense. Hisense Network Technology Since its inception in 1998, y involved in more than a hundred cities in the construction of intelligent transportation, industry-leading for many years. This year, Hisense has taken the lead in building an enterprise-level vehicle-road coordination test base in Shandong Province, while the technology supports the landing of domestic intelligent public transportation routes.

In the field of optical communications, Hisense also showed extraordinary persistence. 2000 Internet bubble to the global optical communications industry suddenly flourished and declined, Hisense firmly believe that photoelectric conversion as the future of the core power of communication, optical communications technology will not be annihilated by the industry cycle, perseverance in 2002 to enter the industry.

Now, the diversified layout has important results. Data show that in the field of smart city, Hisense's strength has been quietly established, and more and more solid: for many years in China's leading market share of intelligent transportation, has entered 147 cities, including 39 municipalities, provincial capitals and cities with separate plans; Hisense's optical module industry market share of the world's leading, which access network optical module products for eight consecutive years in the world's top, 50% of the domestic market share The 5G wireless optical module products launched by Hisense have been widely used in the construction of 5G signaling base stations.

In addition, Hisense has formed its own "moat" in recent years in commercial products such as commercial air conditioning, commercial display, medical imaging, and commercial cold chain equipment. At the same time, also taking into account the social responsibility, in Qingdao City, South District, No. 11 Jiangxi Road, the former location of Hisense R & D center, to build Hisense Science Exploration Center and Hisense School, as Hisense's gift to Qingdao.

The way to break the ice: through the cycle The vitality driven by mission and responsibility

This year, the global economy is facing a lot of uncertainty. Under the "extreme impact" and "pressure test" of the epidemic, Hisense has shown strong resilience. "When the tide is rough, no one is an island. Hisense, as a robust ship, through orderly operation, to become the ballast of China's economic ship in the face of the epidemic storm. Confidence is the best vaccine for finding opportunities in crisis." Zhou Houjian so to motivate all the staff of Hisense at home and abroad.

True heroism is "the echo of a great heart", a mission and responsibility to bear, is a kind of hard work to promote social progress.

In the face of an unpredictable economic environment, one thing is certain: China's manufacturing industry needs more and more independent innovation. Hisense, as a company with a deep accumulation of technology, interacted more with "new technologies" during the epidemic.

Ultra HD video technology and intelligent cloud brain is Hisense's two major strengths, but also Hisense's future. Hisense's existing technological advantages will be the key to the realization of the two innovation centers "from 1 to N".

Hisense to build ultra-high-definition video and intelligent cloud brain two manufacturing innovation center. Among them, ultra-high-definition video manufacturing innovation center, is to achieve ultra-high-definition video in the family entertainment, education, cloud games, medical health, commercial display, security monitoring, intelligent transportation, industrial manufacturing and other areas of demonstration and large-scale application; wisdom cloud brain manufacturing innovation center, will be applied to the city, transportation, public **** security, education, health care and other industries, the development of industrial ecology.

If the hardware is the limbs of the smart life and smart city, the software and information system is the nervous system that dominates the limbs. Hisense is relying on the "one cloud brain three platforms" smart new life solutions full force, is expected in 2025 to realize the output value of 101.5 billion yuan. The cloud brain is a new generation of information technology product system architecture independently developed by Hisense, which can significantly reduce the development and use of users from all walks of life.

It is reported that the implementation of the "cloud brain" strategy will enhance the development of intelligent transportation, smart city, public **** security and other industries. The three platforms refer to the three platforms of smart home, smart community and smart city.

Cai Jian believes that China's manufacturing industry should not only be resilient but also spiritual. The concept of resilience is survival, is a passive defense. And the real spirit is the active offense. China's manufacturing industry should not only have the toughness but also have the spirit, otherwise only passive defense and can not attack.

Hisense is exactly the toughness and spirit of both a business. This year, in the global epidemic impact on the global economy of the background, Hisense in the face of the flow of manufacturing, live with goods, short video demand increases, the flow of product awareness of the new entrance, Hisense took the initiative to push open the "flow" of this window.

July 23, Hisense flow workshop officially opened. As the center of the direct link to the user, Hisense's regional traffic manufacturing base, marketing activities and short video shooting center, it will assume the responsibility of Hisense's new engine of traffic manufacturing and value marketing. This is one of Hisense's dream factories, and it is also a direct marketing short board, embracing the value of marketing on the ground practice.

The flow workshop is to change Hisense's "communication mode", trying to online and offline through the new retail game, empowering offline stores, shortening the distance between Hisense and users, promoting the landing and development of Hisense's new retail model, which will become a platform for Hisense's marketing end to interact directly with consumers.

From February to now, Hisense has also attracted a number of artists such as Chen Ji, Wang Ou, Yue Yunpeng, Gao Weiguang, etc. to join Hisense and become Hisense Super Experience Officers, striving to precipitate public domain traffic into private domain traffic to gain Hisense's real fans.

"It is a feature of Hisense to do things solidly, but not to be expressive and not to be nebulous. As a representative of China's manufacturing resilience, there is no secret to Hisense's traversal of the cycle, which actually lies in its adherence to the core values of 'honesty and integrity, pragmatic innovation, user first, and sustainable management'." Ma Baolong commented on Hisense in this way.

Every day that we don't dance is a failure of life. In the global economic downturn, Hisense is dancing against the wind. Happily, this year, Hisense's international marketing to achieve substantial growth, which, the United States, Canada, Australia, Japan, Zengfu significant, and in the United States, Mexico, Canada, the market share hit a record high. Perhaps this window, is the next round of growth "lifeline".

Pang Lijing / article