The first step to get rid of financial difficulties. Zhao Tiejun put his savings for many years of entrepreneurship all invested in the enterprise, one after another to the enterprise injection of funds nearly more than six thousand million yuan. And a one-time payment of more than 4 million yuan of workers' retirement pensions, out of more than 1.6 million yuan to repay the arrears of employees of the collection of funds, mortgage, back pay employees owe a few months of wages, reimbursement of delayed 5 years of medical expenses, and the staff dormitory was repaired.
The second step is to carry out enterprise reform. Zhao Tiejun in accordance with the requirements of the enterprise system, the shareholding system and private enterprise management, grafted to the Hongtai Group. 1, in accordance with the requirements of the lean industry, the revitalization of auxiliary industry, decisive transfer of Mengmiao steel plant, completely get rid of this so that Hongtai experienced the burden of the disaster. 2, in accordance with the management mode of private enterprises, administrative agencies to reduce by half, non-productive personnel to reduce by two thirds. 3, in accordance with the management mode of private enterprises, administrative agencies to reduce by half, non-productive staff to reduce by two thirds. In the employment system to establish a competitive mechanism, the competent on, the mediocre off. 3, the group stopped production of more than 10 kinds of no market, no sales of products, investment of more than 28 million yuan to increase the market prospects of the large-diameter pressure pipe project. 4, the group invested heavily in the introduction of advanced equipment and the old equipment for technological transformation. Also high-tech to hire more than 100 scientific and technological personnel to enrich the key areas of production. 5, Zhao Tiejun to learn the theory of Haier ate the shockfish, with very little money to merge Luohe glass factory, and across the region successfully merged with the Wugang City Cement Factory. In 1997, Hongtai completed the output value of more than 78 million yuan, sales revenue of more than 80 million yuan, reducing the loss of more than 10 million yuan;
1998 Hongtai turned a profit to become one of the Luohe City, one of the major taxpayers.
In 1999, Hongtai Group's economic indicators have improved significantly, the economic benefits of the country's top ten in the same industry and Henan Province in the forefront of the industry.
In 2001, Hongtai Group's products are sold well in more than 10 provinces and cities, such as Henan, Hubei, Anhui, Shandong, etc., which are used in large-scale infrastructure construction, such as transportation, communication, power grid and city construction.