Cao Dewang, who went to school at the age of 9 and was forced to drop out of school at the age of 14, sold cigarettes, peddled fruits, pulled carts and repaired bicycles on the streets, and struggled to make a living for many years without having enough to eat two meals a day under the blank stares of the discriminatory people, and he tasted all the hardships that people could hardly imagine. It was a double mental and physical suffering, but he did not go against the grain, but continued to fight against fate.
In 1976, Cao Dewang began working as a buyer at the Alien Glass Factory in Gaoshan Township, Fuqing City, Fuzhou, where his job was to sell water meter glass, which was known as "Continental goods", for the township enterprise.
In 1983, Cao contracted the small township factory, which was losing money every year.
In 1985, he quickly shifted his main business to auto glass, completely changing the history of China's auto glass market, which was 100% dependent on imports.
In 1987, Fuyao Glass Co.
In 1993, Fuyao Glass was listed on the domestic A-share market. It is the first company in China to introduce independent directors. It was the first company in China to introduce independent directors.
From 2001 to 2005, Cao Dewang led Fuyao's team to fight hard for several years and spent more than 100 million dollars to win two anti-dumping cases in Canada and the United States, which shocked the world. Fuyao Glass also became the first Chinese company to sue the U.S. Department of Commerce and won the victory. 2006 U.S. Department of Commerce Secretary visited China, named Cao Dewang.
While Fuyao's auto glass accounted for 70% of China's auto glass market share, it also successfully entered the international auto glass supporting market, occupying a place in the fiercely competitive international market. Become - Bentley, Mercedes-Benz, BMW, Land Rover, Audi and other luxury brands important global supporting suppliers, synchronized R & D design, is the world's second largest auto glass manufacturers. Has factories in the United States, Germany, Russia. When the new plant in Russia was completed and put into operation, Russian Prime Minister Dmitry Medvedev sent a congratulatory letter.
?
"There are only two entrepreneurs in China, one called Ren Zhengfei and the other Cao Dewang. All the others are businessmen, including Li Ka-shing."
Having heard this from several people, Cao Dewang is a seriously underestimated person in China.
In '01
Cao Dewang donated nearly $12 billion
During the epidemic, Cao Dewang donated money again.
This time the protest, he first donated 100 million yuan in cash; and then donated 2.42 million pieces of medical supplies, valued at more than 10 million yuan;
Hearing that the survival of small and micro-enterprises is difficult, he once again donated 40 million yuan to support small and micro-enterprises to tide over the difficulties.
Cao Dewang's donation is not news, because in the face of the country's major disasters, Cao Dewang's generous donations have not been the first time.
In 2008, Wenchuan earthquake, donated 20 million yuan;
In 2009, Southwest China's great drought, donated 200 million yuan;
In 2010, the Yushu earthquake, Cao's father and son donated 100 million yuan;
He has donated nearly 12 billion dollars in money over the years, China's largest charitable donations, is a veritable " China's top charity".
But he can't even get into the top 100 on the list of China's rich.
"Entrepreneurs without a sense of responsibility are rich at best." This is what Cao Dewang once said.
02
A seriously underestimated person
Many people may not know Cao Dewang. Tsao is actually very good. How good?
He is the king of glass in China, a man who made auto glass the world's first. His Fuyao Group is the world's number one glass supplier.
General Motors, Land Rover and other famous car companies are his loyal customers.
In 2009, Cao received the Ernst & Young Global Entrepreneurship Award, the Oscars of the global business world, and became the first Chinese to receive the award.
The award citation reads: "Tso's achievements go far beyond the field of auto glass. The Fuyao Group has been a real catalyst for the development of China's automotive industry overseas," said Mr. Cao, who was awarded the Ernst & Young Global Entrepreneur of the Year 2009 Award in May 2009, making him the first Chinese recipient of the award since its inception.
Cao Dewang is a seriously underestimated person, so today I want to tell his story.
03
Transferring his entire fortune into his wife's name
Getting his entire family to surrender their U.S. green cards
There are two other things that make me particularly impressed with Cao Dewang.
The first: transferring all the property to his wife's name.
While other couples fight for property when they are developed, Cao Dewang makes money and gives all his tens of billions of dollars in property to his wife. The first thing that you need to do is to get your hands on a new one, and then you'll be able to get a new one.
The second piece: let the whole family to withdraw from the U.S. green card.
Cao Dewang himself, including the three children have got the U.S. green card, but he is not allowed to immigrate.
He said to his children, "We are not allowed to emigrate, if our Cao family emigrates, the Chinese will have no glass."
The three children were a bit reluctant, so Cao Dewang threw out a line, "Whoever doesn't return his U.S. green card can't inherit my property."
Some other entrepreneurs are so happy to have their whole family emigrate overseas, but Cao Dewang is so happy to have his children come back to the United States and take root in China.
04
Before he was 9, he didn't even have a name
He dropped out of school before graduating from primary school
How did entrepreneur Cao Dewang make his business a global brand?
Cao was born in Shanghai in 1946.
His family was originally from a prestigious family, Cao's ancestral home was Fuqing, and his great-grandfather, Cao Gongwang, was once the richest man in Fuqing.
It was only in his grandfather's generation that the whole family completely declined. His father started Yongan Department Store from scratch, and it was lost due to the war.
The father returned to poverty, knowing that wealth is easy to disperse, but the business philosophy is inherited, you can regenerate wealth.
So Cao Dewang grew up listening to his father talk about how to do business:
"Poor to be poor to be clear, rich to be rich to be clear";
"To get rid of poverty, only by hard work and struggle";
"The most important thing is to gain the trust of others."......
His father once asked Dewang, "What do you plan to do in the future?"
Before Dewang could think of an answer, his father said to himself, "You can do as much as you want with as much heart as you want. How many hearts do you have?"
Cao Dewang then wiggled his fingers and counted: "Determination, concentration, kindness, perseverance ......"
His father touched Dewang's head and said, "These hearts are the secret of our ancestors' fortune. If you memorize these hearts, you will be able to do great things in the future."
Cao Dewang's heart was shaken. He was shocked. His "heart" era was thus opened.
05
Cao Dewang did not even graduate from primary school
Strong learning ability
How did entrepreneur Cao Dewang make his business a world brand?
The first heart is to cultivate the heart. The so-called cultivation of the heart, in fact, is "learning".
The first heart is to cultivate the heart, which is actually "learning".
Dewang used the money saved from cutting horse grass to buy two books. A Xinhua Dictionary and a Dictionary.
Then he started to learn by himself with the help of these two books.
How much does Cao Dewang love learning? I'll give you two examples.
In the 80s, an accountant he knew said, "Knowing a little bit about finance and accounting is very useful for managing a business."
So he spent a couple of years getting proficient in accounting. How good was it? To the point where he was teaching officials how to evaluate businesses.
Then he got a full set of MBA textbooks and spent a few years learning to be proficient in business administration. The first thing you need to do is to get a good understanding of how to use the Internet to help your business.
"The combined profits of the world's five largest auto glass companies are not as high as those of the Fuyao Group, which he founded."
Cao Dewang didn't graduate from elementary school, but his actual diploma is much stronger than many masters and doctors. From him, I am reminded of the words of educator Sukhomlinsky: the best education is self-education.
06
Seventeen-year-old Cao Dewang did heavy work every day
but never complained
The second heart is constancy.
At the age of 15, Cao Dewang began to follow his father in business.
Every day, he woke up at 2:00 a.m., and then rode his bicycle for four hours, rushing from his village to Fuqing city, because he had to be there by 6:00 a.m. if he wanted to acquire good fruits.
After collecting the fruits at noon, and eating a few mouthfuls of rice, he pulls more than 300 pounds of fruits and rushes back, which must be rushed back before 5:00 p.m., and then wholesales the fruits to the vendors.
After sending the fruit back home, it was already 8:00 p.m., he immediately began to eat, eat and sleep, because the next day at 2:00 a.m. to get up again.
A seventeen year old boy did this heavy work every day, but he never complained to his parents.
Once, on the way to the goods, he was sick, and diarrhea and fever, completely unable to pedal the bike, but he gritted his teeth and desperately carry, hard to carry the goods pulled back. The first time I saw this, I was able to get the ball rolling, and then I was able to get the ball rolling.
07
Because of his kindness, he was always rewarded
The third heart is kindness.
In 1973, Cao Dewang went to Putian Dayang Farm as a fruit seedling technician.
In the summer of this year, a middle-aged man rushing under the scorching sun, ran to the shed to borrow a bucket from Cao Dewang: "Too thirsty, I want to use the bucket to drink some water."
Cao Dewang looked at him, soaked to the skin, "You're so tired, it's easy to get sick when you drink raw water, wait, I've got some good herbal tea in my house."
After drinking the herbal tea, the man got an inch, and even wanted to eat, so Cao Dewang put down half a catty of rice, the man even smacked the rice is less, let Cao Dewang down 1 catty.
At that time, the rice is quite expensive, Cao Dewang three times a day to eat 8 two. But Cao Dewang was not angry: "1 catty is 1 catty!"
Who knows that this person even more inches, even asked Cao Dewang has no wine to drink, Cao Dewang or not angry, and he got a bottle of wine.
As a result of this meal, Cao Dewang realized, "This person is called Wang Yi Ang, is the director of the farm of the mountain pocket."
After Wang Yian went back, he transferred Cao Dewang to his own farm, so that he is responsible for sales, Cao Dewang's river of life from then on began to turn.
Because of his kindness, he was often rewarded.
He worked as a salesman at Shantou Farms and made 60,000 yuan in three years. in the mid-1970s, it was really something to make 60,000 yuan.
A big part of the reason why his glass business took off was because he broadcast good karma.
For example, during the global financial crisis in 1997, the general manager of Indonesia's ASAHI company, which was struggling to sell its glass, approached Cao Dewang, hoping that Cao would buy their glass.
At this time, he could have fallen on his sword and offered a very low price, but he did not do so, and bought 4,000 tons at the usual price, which helped ASAHI to tide over the difficult times.
After the crisis, glass prices went crazy, almost doubling. But ASAHI, out of gratitude, didn't give Cao a penny more for the glass.
08
Doing things with a conscience
How did entrepreneur Cao Dewang make his business a world brand?
The fourth heart is conscience.
In the winter of 1975, Cao Dewang, along with a few cadres and children from the farm, was responsible for sending saplings to Mingxi County. At that time
Before arriving at Mingxi, it was pouring rain, and the local people had rumors that "a big earthquake was coming."
Several cadres and sons were afraid of death, left the saplings and fled. Only Cao Dewang stayed, he was also afraid of death, but he did not run. He stayed alone to look after the saplings, and not a single one of the 300,000 saplings was lost.
"To be a man of conscience, Wang Yion is good to me, I can not apologize to him."
Back to Shandou Farm, Cao Dewang reported on his trip to Mingxi and hoped that the leaders would deal with a few escapees,
but the leaders were reluctant.
It was for this reason that Cao Dewang soon resigned from Wang Yion, who felt that "an enterprise without organizational discipline will not develop, and an enterprise that will not develop is not a place to stay for long."
Within a few years of Cao's departure, Wang Yi-Ang fell on hard times, got cancer, and before he died, he entrusted his son to Cao De Wang.
Cao Dewang had already left Shantou Farms, and could have completely ignored Wang Yiyang, but he didn't. He took over the trust, and helped Wang Yiyang's son get married.
The reason why Cao Dewang is so popular is because he is conscientious in what he does.
09
"I want to make a piece of my own auto glass for China"
The fifth heart is ambition.
In his senior year, Cao Dewang finally saved his first huge sum of 50,000 dollars.
This sum of money, if placed today, is equivalent to 120 million dollars.
It was enough money to support him in any way he wanted, but he was not satisfied.
Instead, he went to work as a buyer for a water meter glass factory that was on the verge of closure.
How did entrepreneur Tsao Dewang make his business a world brand?
The factory was called the Takayama County Glass Factory, later known as Fuyao Glass.
By 1983, the policy was liberalized, and companies were allowed to outsource. Cao Dewang was the first to take over the glass factory, and from then on began his legendary entrepreneurial path.
In the first year of taking over the mess, the profits of the water meter glass factory doubled several times.
Later, Cao Dewang went to Wuyi Mountain to play. When getting on the bus, accidentally touched the car glass, the driver's face immediately changed: "Be careful, this piece of thousands of it, you can afford it?"
Cao Dewang then heart muttered: this piece of glass thousands? I'm a glass maker, who are you kidding?
But with a keen sense of business opportunity, he immediately went to the car repair shop.
It turned out that at that time, auto glass was monopolized by Japan and Europe and the United States, and it was really a few thousand. In order to fight for breath, Cao Dewang immediately decided to transform to do auto glass:
"Chinese people should have a piece of their own auto glass, there should be a piece of glass from their own look out of the sky."
How did entrepreneur Cao Dewang make his business a world brand?
A transformation, which is so easy. Cao Dewang, who is not convinced of defeat, rose to the challenge.
Lack of technology, he ran to Shanghai overnight, buy back an old auto glass design drawings repeated tests; lack of equipment, he spared no expense, a loan of 1 million, from Finland to buy back a set of state-of-the-art equipment ......
By 1986, the success of his automotive glass plant in a big way, Fuyao quickly grew into the the leading supplier of automotive glass in China.
But China's first is not enough, Cao Dewang also want to go global. In order to enter the U.S. market, he fought with the U.S. Department of Commerce.
In 2002, China's imports and exports totaled more than $600 billion, making China's manufacturing and foreign trade growth the largest in the world.
The Americans, in the name of dumping, without evidence, took many Chinese companies to court and imposed tariffs. Among them was Fuyao Glass.
Many companies swallowed their anger, but Cao Dewang can not be messed with. A paper, it took the U.S. Department of Commerce to court.
How did entrepreneur Cao Dewang make his business a world brand?
A year later, the U.S. Court of International Trade ruled that the Department of Commerce should reopen the case. Another year later, the Commerce Department announced the results of the retrial, and the Americans lost.
In the end, Cao Dewang used American law to defeat the US Department of Commerce.
Fuyao became the first Chinese company to win an anti-dumping case against the U.S. Department of Commerce after China's accession to the WTO.
Behind this victory, Fuyao has spent 3 years and nearly 100 million dollars in human and material resources, regardless of the cost.
After Fuyao won the case, millions of Chinese companies stood up. Cao Dewang, a few years later, chose a site in the United States to open a factory and gained a foothold.
10
"I have not received a box of mooncakes nor sent a box of mooncakes"
The sixth heart is the right heart. The so-called righteous heart is not to covet ill-gotten gains.
The car glass was put into production, the money flew like snow, so some town cadres red-eyed, to the county to sue: "Cao Dewang embezzlement."
Cao Dewang is responsible for glass sales, sales, you have to engage in hospitality, hospitality will be invited to send gifts. After the reception, Cao Dewang took the invoice to the company's accounts, the accountant said: "invoices for treats and gifts can not be reported."
(Joint venture, the accountant was arranged by the government)
Cao Dewang was angry: "The town leaders often invite guests to send gifts, why can they report?"
The accountant said, "Not that you can't report it, as long as you don't open it as a treat or gift, such as opening production materials and office supplies."
So Cao Dewang looked for an engineering team, and changed this part of the invoice into production materials. Although the invoice changed the name, but Cao Dewang more long a little heart, more than 40,000 original invoices are saved.
Some town cadres see Cao Dewang got rich, and they are very red-eyed, so they reported to the county: "Cao Dewang spent more than 40,000 yuan on treats and gifts, and he could not be found on the accounts, and the invoices were destroyed by him, which should be regarded as destroying the vouchers and embezzlement of public funds."
These people never expected, in the confrontation with the county secretary on the spot, Cao Dewang took out all the original invoices.
In 35 years of doing auto glass, some people to the city reported his embezzlement, some people to the province reported his embezzlement, some people to the central government reported his embezzlement, but the city, the province, the central government have sent people to investigate, did not find Cao Dewang a point of corruption.
Cao Dewang has a famous saying: "I have not received a box of moon cakes, nor sent a box of moon cakes."
Just because of the positive heart, he did not capsize.
11
"Our goal:
To do only one piece of auto glass well"
How did entrepreneur Cao Dewang make his business a world brand?
The seventh heart is concentration.
On June 10, 1993, Cao Dewang's Fuyao Glass was listed on the A-share market, and he raised $200 million. After getting this money, Cao Dewang invested in a number of industries, IT, trade, decoration, gas station ......
This year, Cao Dewang went to the United States to talk about business, did not expect to be let off the hook, he was upset, he went to visit the Ford Museum.
In the museum, Cao Dewang has a discovery: "In 1881, the United States has a PPG glass, and now more than 100 years ago, PPG glass is still doing very well. The same goes for Ford cars in the United States. What does this mean? The product does not lie in more, but in specialization."
After returning to China, Cao Dewang made a major decision, "Our goal is to do a good job with only one piece of auto glass."
He cut out all other businesses, leaving only "auto glass". Later, Fuyao was able to become the world's first, all thanks to Cao Dewang's wise decision, just like Ren Zhengfei only do communication products, "a fresh move, eat all the days."
12
The financial crisis erupted because of saving for a rainy day
Cao Dewang successfully survived the disaster
The eighth heart is determination.
In 2007, Cao observed that "the cost of a large number of small and medium-sized export manufacturing enterprises is much larger than the profit after tax of 4%-5%."
So, Cao Dewang predicted, "The recession will come in 1-3 years, and I estimate that the A-share market will fall below 2000 points."
So he held a meeting and wanted to close 4 backward glass production lines to promote cash flow back and stop investment.
Almost all of the people who met with him were against it: "Mr. Cao, you are too pessimistic, now the A-share 6000 points, how can it fall below 2000?"
In fact, Cao Dewang does not want to close the production line, shut down four production lines, his personal property will lose 2.2 billion. But if not closed, the enterprise will face extinction. So despite everyone's opposition, Cao Dewang decided:
"We have to shut down these 4 production lines."
A year later, the financial crisis did break out, and the A-share did fall below 2000, and Fuyao got through it because it was prepared for a rainy day.
13
"An entrepreneur in China is called Cao Dewang"
The ninth heart is a red heart.
A reporter asked Cao Dewang, "What kind of person do you think can be called an entrepreneur?"
Cao Dewang said this sentence, "Entrepreneurs must have the realm and sentiment that the country will be strong because of you, society will progress because of you, and people will be rich because of you."
Why Cao Dewang has a red heart is actually to say that he has a Chinese heart. In order for the motherland to be strong because of himself, he will never emigrate, "If our Cao family emigrated, there would be no auto glass in China."
In order that society can progress because of himself, he donates money every year, and so far he has donated nearly 12 billion dollars of belongings.
In order for the people can be rich because of themselves, he insisted on dividends to shareholders, he raised 696 million funds from the A shares, but the dividend was issued 12.916 billion, 18.56 times the amount of funds raised, the real realization of dividends is greater than the collection, is the only A shares of the listed companies with cash dividends more than 15 times the amount of funds raised.
That's why some people will say: "There are only two entrepreneurs in China, one is called Ren Zhengfei, one is called Cao Dewang, and the others are all businessmen.
Fuyao Glass now has more than 10,000 employees, and has been awarded "China's Best Corporate Citizen" for three consecutive years, and also won the honor of "2007 CCTV Best Employer of the Year".
There is no doubt that the employees are very recognized, like Cao Dewang such a boss, very deep sense of justice, treatment of employees is not harsh, but for Cao's old donations, the employees will ask in their hearts, "you donate eight billion, how not to give me a raise in salary?
Glass king Cao Dewang: prefer to donate 8 billion to charity, but also not to the staff wage increase!
For such a question, Cao Dewang is very domineering and very righteous, said:
"Employees have such a request can be understood, because this is common sense, that if I give you processing capital, but also take into account the other enterprises can not afford, because other enterprises can not afford, so I have a business to do so, will break the enterprise industry Rules."
First, those who agree:
Second, those who have reservations:
Third, those who put forward constructive comments:
Glass king Cao Dewang: prefer to donate 8 billion to charity, but also do not give employees a wage increase!
How to establish a more effective distribution mechanism?
For example:
There is a participant in 2015, the company earned more than 10 million yuan more, he took out more than 3 million of them to the staff to raise wages, the average salary per employee increased by more than 30%, but the company's performance in 2016 and 2017 declined sharply, and
In 2017, the enterprise also fell into the red. From this incident, we can draw this conclusion:
Glass king Cao Dewang: would rather donate 8 billion dollars to charity, but also do not give employees a wage increase!
But the pay raise is not unconditional, this will encourage employees to be greedy, must let employees make good results, come up with high performance in exchange for someone effective, there are results, give employees how much money is not excessive.
The struggler-oriented is Huawei's culture, a series of reward system, but also to ensure that the struggler does not suffer, so that the struggler to create the miracle of Huawei.
A good platform, like Huawei, allows employees to realize their financial freedom through struggle.
Although a little tired and bitter, there is no time for shopping, bubble theater, party, but also had a full life, whether it is for career development or future planning, have laid a foundation.
If the staff will only do the form, do the process, and not responsible for the results, this business will soon die.
Therefore, all enterprises must form a results-oriented culture, and build a results-oriented performance culture.
Glass king Cao Dewang: He would rather donate 8 billion dollars to charity than give his employees a wage increase!
KSF will generally develop 6-8 performance incentive channels for managers, and find a balance point on each channel, beyond the balance point that is to make rewards, not reached on less hair.
KSF distribution is not the established profits of the enterprise, but a kind of super-value distribution, requiring managers to come up with good results, the effect of value transactions with the enterprise, the enterprise won the high performance, managers and employees to win is a high income.
The glass king Cao Dewang: he would rather donate 8 billion to charity, but not to the staff wage increase!
Glass king Cao Dewang: would rather donate 8 billion to charity, but not to the staff wage increase!
Glass king Cao Dewang: would rather donate 8 billion to charity, but also not to the staff wage increase!
Glass king Cao Dewang: would rather donate 8 billion to charity, but also not give employees a wage increase!
In the KSF pay model, a production manager, how to set pay? In the past, he may be a fixed salary, the company earns money or not, and he does not have much to do.
Under the KSF model, his income would be directly linked to the business results!
Glass king Cao Dewang: He would rather donate 8 billion dollars to charity than give his employees a wage increase!
Personal number (18816834602)
This article is about: motivational KSF, PPV, points-based management model practical content and cases, from the "performance nuclear energy" book, tens of thousands of bosses, mentors recommended, containing dozens of industry cases. If you want to learn more, we suggest you add Mr. Sun! The exclusive video learning material is presented.