Chapter 318 Make a Rule (1/4)

"Now Taiji Group can be said to be a large group, but it is not yet strong. If it wants to develop in the future, it still needs to start with research and development.

You did not have a specific R\u0026D investment plan before, and there was no overall arrangement for R\u0026D investment funds. This situation needs to be changed.

Your current revenue is still very single, mainly relying on health care products. Such a revenue structure is unhealthy, and you need to find more sources of profit.

At present, in order to expand revenue, many domestic enterprises are constantly expanding irrelevant business operations. I do not agree with this business model.

Although it seems that there are a lot of businesses and a wide range of businesses, in fact, everything is done in an ordinary way, and none of the businesses are at the top level.

In the stage of rapid economic development, such a model can also enjoy the dividends of economic development, and rely on the natural expansion of the market to expand the scale of the enterprise.

But once the economy enters a stable period, there will be serious capital involution, but there are top companies in all walks of life, and such mediocre companies will find it more difficult to survive.

So if you want to expand your business, you should continue to invest in related research and development and investment around the theme of big health, and make it the top of the industry while there is no such concept in China. "Leaf Book said.

Like Duan Yongji, who asked him to join the organization two days ago, their Stone Group, although it involves dozens of businesses, includes chemical fertilizers, agricultural production materials, arts and crafts, furniture, computers and accessories, daily groceries, etc. wait.

However, these businesses have nothing to do with each other, and each of them has not reached the top of the industry. It seems that the operating income has already reached more than one billion yuan, and it can reach tens of billions in the future.

In fact, this kind of large but not strong enterprise really can't compete with more professional competitors in a period of limited market and fierce competition. It just eats the dividend of domestic economic development.

He hopes that no matter how big the company is, it must have its own core business and make it a global leader. If multiple core businesses are at the top of the industry, the foundation will be more stable.

In fact, when he founded the company, he also based on this idea. Phoenix Technology Company is specialized in the research and development and operation of the software industry.

In order to avoid the situation of being big but not strong, and to further improve the professionalism of enterprise management, the software business under Phoenix Technology Company is divided into more than a dozen subsidiaries.

In this way, each subsidiary focuses on the research and development of a software industry, but is under the same group, and the investment in research and development will not develop slowly due to the weak initial stage.

At the same time, there is a certain degree of competition between these subsidiaries. Whoever's corporate revenue accounts for the bulk of the group's revenue has a much greater right to speak, which is also conducive to stimulating the competition awareness of each subsidiary.

The reason why he emphasized this point was that he was afraid that the Taiji Group, which had a large amount of funds in its hands, would make a large amount of irrelevant investments in order to spend these funds.

Even if a considerable part of their revenue will be invested in Wancheng Foundation in the future, Ye Zishu will not allow them to intervene excessively in the management of Wancheng Foundation, because they are not professional in this matter.

"I understand what you mean, it's just that it was difficult for us to make decisions on our previous fund use plan!" Pei Qing said.

What she said was the truth, because many industries of Yezishu need the cash cow of Taiji Health Care Company for their blood supply. The most important thing is that the boss of Yezishu often thinks about it.

I don’t know when there will be new ideas, and then large-scale investment will be made, and most of the funds need to be provided by Tai Chi Health Care Company, which makes it necessary for Tai Chi Group to maintain sufficient cash reserves.

When Ye Zishu heard Pei Qing's words, he was not annoyed by her blunt words, but felt that there was indeed something wrong with what he had done on this matter.

Therefore, a rule must be established, which can not only ensure that the research and development plan and investment plan of Taiji Group will not be affected, but also have enough funds to support the development of other brother companies.

"It's my fault, but many industries in China need investment. Sometimes when inspiration comes, I can't help but want to invest in and develop a certain industry.

In order to increase your freedom in the use of funds, we need to formulate a rule to ensure the normal operation of Taiji Group and to support the development of other brother companies. "Leaf Book said.

"If there is a way to do it, of course it would be the best." Pei Qing said.

In the past, the purpose of Taiji Group was to provide sufficient funds for Ye Zishu. Now it is necessary to change this positioning and thinking to make Taiji Group bigger and stronger, so some rules need to be established.

"Now Taiji Group is mainly facing two demands. The first is research and development demand, which is also the most important part. The pharmaceutical industry is also a high-tech industry, which requires a lot of capital investment in research and development.

The second is investment demand. There is also a lot of investment around the big health industry. If you want to do a good job in this area, you must continue to invest.

So we set a strict ratio of capital allocation today. According to your report just now, the revenue of Tai Chi Health Care Company this year can reach more than 350 billion yuan.

Here I think it is more appropriate to use 10% of the ratio for R\u0026D investment, which means that 35 billion yuan can be used for R\u0026D investment this year. "

Before Ye Zishu could finish speaking, Pei Qing interjected, "Isn't 35 billion yuan a bit much? Even if we invest so much in research and development, we won't be able to spend it."

He understands what Pei Qing means, that is, the current Taiji Group does not have such a strong R\u0026D capability at all, and it is difficult to spend so much money in a planned and efficient manner.

This is a real problem. At present, there are very few domestic companies with an annual revenue of 35 billion yuan, and I have never heard of companies that spend so much on research and development.

"I know that the current domestic annual college entrance examination enrollment scale is only a few hundred thousand people, and the scale has not yet broken through one million, and the scale of talent training in the field of biomedicine is even smaller.

But what I'm talking about is not the present, but a determination to deal with research and development. We can't spend 35 billion yuan now, but it can be used as a reserve fund for research and development.

In this way, when you expand your talent team and promote research projects, you will have more confidence, instead of always thinking about whether the funds are sufficient.

In addition, if you want to develop a talent self-cultivation plan, you can cooperate with New Oriental Education Group to launch a high-end talent training plan to train talents for your own company. "Leaf Book said.

Hearing the words behind Ye Zishu, Pei Qing said in surprise: "Can cooperating with New Oriental really cultivate the talents we need?"

In the eyes of outsiders, New Oriental is just a vocational education institution that provides labor with low technical content and has nothing to do with high-tech research and development.

Even the training of software R\u0026D talents entrusted by Phoenix Technology Company is not an absolute high-tech talent.

"It's because your thinking is limited, it's not that universities can cultivate high-quality talents, and it's not that vocational schools can't cultivate high-quality talents.

The name is just a slogan, and it depends on how to do it. As long as we regard it as a base for cultivating top talents, what is the name?

You can cooperate with New Oriental to establish a top biomedical talent training school, and find talented students from all high schools across the country to join.

Not only are tuition fees free, but you can even receive a lot of bonuses for good academic performance, and you can even give them a monthly salary, so that talented people are more willing to join.

Then recruit top scholars from home and abroad to teach, build a first-class teaching staff, and train every student as a top talent.

I believe that the people trained by such a school are top biomedical talents, and the quality is definitely not inferior to that of a school called a university. "Leaf Book said.