Cao Dewang, who only went to school at the age of 9 and was forced to drop out of school at the age of 14, has sold tobacco, fruit, pulled carts, and repaired bicycles on the street. He was struggling to make a living under the eyes of discriminators, and experienced hardships that ordinary people could hardly imagine. It was a double suffering both mentally and physically, but he did not accept it, but continued to fight against fate.
In 1976, Cao Dewang started working as a buyer at the Special-shaped Glass Factory in Gaoshan Town, Fuqing City, Fuzhou. His job was to sell water meter glass known as "Mainland Products" for this rural enterprise.
In 1983, Cao Dewang contracted this small township factory that was losing money every year.
In 1985, the company quickly shifted its main business to automotive glass, completely changing the history of China's automotive glass market being 100% dependent on imports.
In 1987, Fuyao Glass Co., Ltd. was established.
In 1993, Fuyao Glass was listed on the domestic A-share market. It is the first company in China to introduce independent directors. It is a listed company in the Chinese stock market whose cash dividends are as high as 22 times the funds raised. ?
From 2001 to 2005, Cao Dewang led the Fuyao team to fight hard for several years and spent more than 100 million yuan to win two anti-dumping cases in Canada and the United States, shocking the world. Fuyao Glass also became the first Chinese company in China to sue the U.S. Department of Commerce and win. When the US Secretary of Commerce visited China in 2006, he met with Cao Dewang by name.
While the automotive glass produced by Fuyao Company accounts for 70% of China’s automotive glass market share, it has also successfully entered the international automotive glass supporting market and occupied a place in the fiercely competitive international market. Become an important global supporting supplier for luxury brands such as Bentley, Mercedes-Benz, BMW, Land Rover, and Audi. With simultaneous R&D and design, we are the world's second largest automotive glass manufacturer. It has factories in the United States, Germany and Russia. When the new Russian factory was completed and put into operation, Russian Prime Minister Medvedev sent a congratulatory letter.
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"There are only two entrepreneurs in China, one is Ren Zhengfei and the other is Cao Dewang. The others are businessmen, including Li Ka-shing."
Heard Many people have said this. In China, Cao Dewang is a seriously underestimated person.
2001
Cao Dewang donated nearly 12 billion
During the epidemic, Cao Dewang donated money again.
During this protest, he first donated 100 million yuan in cash; then donated 2.42 million pieces of medical supplies worth more than 10 million yuan;
Hearing that small and micro businesses were struggling to survive, he donated again 40 million yuan to support small and micro enterprises to overcome difficulties.
It is not news that Cao Dewang donated money, because it is not the first time that Cao Dewang made a generous donation in the face of a national disaster.
For the 2008 Wenchuan earthquake, a donation of 20 million yuan was made;
For the severe drought in southwest China in 2009, a donation of 200 million yuan was made;
For the 2010 Yushu earthquake, Cao and his son Donate 100 million yuan;
He has donated nearly 12 billion yuan over the years. He is the person with the largest number of charitable donations in China and is truly the "first philanthropist in China".
But he can’t even make it into the top 100 on the list of China’s richest people.
"If an entrepreneur has no sense of responsibility, he is at best a rich man." This is what Cao Dewang once said.
02
A seriously underestimated person
Many people may not know Cao Dewang. Cao Dewang is actually very good. How awesome is it?
He is the Chinese glass king, a man who has made automotive glass the number one in the world. His Fuyao Group is the world’s number one glass supplier.
General Motors, Land Rover and other well-known automobile companies are all his loyal customers.
In 2009, Cao Dewang won the "Ernst & Young Global Entrepreneur of the Year Award", the Oscar of the global business community, becoming the first Chinese to win the award.
The award speech reads: Cao Dewang’s achievements far exceed the field of automotive glass. Fuyao Group has truly promoted the development of China's automobile industry overseas. In May 2009, Cao Dewang won the "Ernst & Young Global Entrepreneur Award 2009" and became the first Chinese winner since the establishment of the award.
Cao Dewang is a seriously underestimated person, so today I want to tell his story.
03
Transfer all property to the wife’s name
Let the whole family withdraw their US green cards
There are two more things to do. I was particularly impressed by Cao Dewang.
The first one: transfer all property to the wife’s name.
When other couples got rich and fought over property, Cao Dewang made money and directly gave away all his tens of billions of properties to his wife. Even the legal identity of the holding company was transferred to his wife.
The second item: Let the whole family withdraw their US green cards.
Cao Dewang himself and his three children have obtained U.S. green cards, but he is not allowed to immigrate.
He said to his children: "We cannot immigrate. If our Cao family emigrates, the Chinese will have no glass.
"
The three children were a little reluctant, so Cao Dewang said: "Whoever doesn't return their U.S. green card will not be able to inherit my property. ”
Some other entrepreneurs have become rich and wish that their families could immigrate overseas. Cao Dewang is better off and allows his children who immigrated to the United States to come back and take root in China.
04
9 Before he was 19 years old, he didn’t even have a name
He dropped out of elementary school before graduating
How did entrepreneur Cao Dewang turn his company into a world brand?
1946 Cao Dewang was born in Shanghai in 1999.
His family was originally from a prominent family. Cao Dewang's ancestral home was Fuqing, and his great-grandfather Cao Gongwang was once the richest man in Fuqing. It was completely in decline. The Yongan Department Store, which my father built from scratch, also fell due to the war.
My father, who returned to poverty, knew that wealth can be easily dispersed, but wealth can be regenerated if the business philosophy is passed on.
p>
So Cao Dewang listened to his father's instructions on how to do business since he was a child:
"To be poor, you need to be poor to be clear, and to be rich, you need to be rich to be wise";
"To get rid of poverty, only Rely on hard work and hard work";
"The most important thing is to gain the trust of others"...
My father once asked Dewang: "What do you plan to do in the future? ”
Before Dewang could think of how to answer, his father started talking to himself: “You can accomplish as many things as you have the heart.” Count how many hearts there are? "
Cao Dewang counted on his fingers: "Determination, concentration, kindness, perseverance..."
His father touched Dewang's head and said: "These hearts are The secret of our ancestors’ fortune. If you keep these things in mind, you will be able to do great things in the future. "
Cao Dewang was shocked. His "heart" era has just begun.
05
Cao Dewang, who has not even graduated from elementary school
Extremely capable of learning
How did entrepreneur Cao Dewang turn his company into a world brand?
The first thing is to cultivate the heart. "Study".
He couldn't go to school, but he still wanted to study.
Dewang used the money he saved from cutting horse grass to buy two books. One "Xinhua Dictionary" and one "Cihai".
Then he began to study on his own with the help of these two reference books.
How much does Cao Dewang love learning?
In the 1980s, an accountant he knew said: "Knowing some accounting knowledge is very useful for managing a company. ”
It took him several years to become proficient in accounting. To what extent? So proficient that he could teach department officials how to evaluate companies.
Later, he got a full set of MBA textbooks. Spend several years learning to master business management. To what extent can you become proficient?
“The combined profits of the five parallel auto glass companies in the world are not as good as those of the Fuyao Group he founded. ”
Cao Dewang did not graduate from primary school, but his actual diploma is much better than many masters and doctors. From him, I remembered what the educator Suhomlinsky said: The best education It's self-education
06
Seventeen-year-old Cao Dewang does heavy work every day
But he never complains
The second thought. , is perseverance.
At the age of 15, Cao Dewang started doing business with his father
He got up at 2 a.m. every day and rode a bicycle for 4 hours from the village to Fuqing city. If he wanted to buy good fruits, he had to arrive before 6 o'clock.
After collecting the fruits at noon, he ate a few mouthfuls of food and then drove back with more than 300 kilograms of fruits. He had to go back in the afternoon. He rushed back before 5 o'clock and wholesaled the fruits to vendors.
When he got home after distributing the fruits, it was already after 8 o'clock in the evening. He started eating immediately and went to bed after eating, because it was early the next morning. Got up again at 2 o'clock.
A seventeen-year-old boy did such heavy work every day, but he never complained to his parents.
One time, he fell ill during the purchase. He had diarrhea and a fever, and couldn't pedal the bicycle at all, but he gritted his teeth and carried the goods back with all his strength, and he fainted on the ground as soon as he unloaded the goods. /p>
Because he is kind, he often gets good rewards
The third heart is kindness.
In 1973, Cao Dewang worked as a fruit seedling technician at Dayang Farm in Putian. /p>
In the summer of this year, a middle-aged man who was rushing under the scorching sun came to the work shed and asked Cao Dewang to borrow a bucket: "I am so thirsty, I want to use the bucket to get some water."
Cao Dewang looked at him who was soaked all over, "You are so tired, you will easily get sick if you drink raw water. Wait a minute, I have some herbal tea in the room." ”
After drinking the herbal tea, the man went too far and even wanted to eat, so Cao Dewang drank half a catty of rice. The man thought the rice was too little and made Cao Dewang drink 1 catty.
At that time, rice was very expensive, and Cao Dewang only ate 8 taels for three meals a day, but Cao Dewang was not angry: "One catty is just one catty!" ”
Who knew that this man would go even further and even ask Cao Dewang if he had any wine to drink. Cao Dewang was still not angry and got him a bottle of wine.
After eating this meal, Cao Dewang found out, "This man's name is Wang Yiang, and he is the director of Shandou Farm."
After Wang Yiang returned, he transferred Cao Dewang to his own The farm put him in charge of sales, and Cao Dewang's life began to turn.
Because of his kindness, he often gets good rewards.
He worked as a salesperson at Shandou Farm and earned 60,000 yuan after working there for three years. In the mid-1970s, being able to earn 60,000 yuan was truly extraordinary.
Later, one of the reasons why his glass business became so prosperous was that he broadcast good deeds.
For example, during the global financial crisis in 1997, the Indonesian ASAHI company's glass was unsalable. Its general manager approached Cao Dewang and hoped that Cao's company would buy their glass.
At this time, he could have added insult to injury and offered an ultra-low price, but Cao Dewang did not do so. He still bought 4,000 tons at the usual price to help ASAHI tide over the difficulties.
After the crisis, glass prices skyrocketed, almost doubling. But out of gratitude, ASAHI gave Cao the glass without a penny increase.
08
Be conscientious in doing things
How did entrepreneur Cao Dewang turn his company into a world brand?
The fourth heart is conscience.
In the winter of 1975, Cao Dewang and several children of farm cadres were responsible for delivering saplings to Mingxi County. At that time
As soon as we arrived at Mingxi, it started to rain heavily, and local people spread rumors: "A big earthquake is coming."
Several cadres' children were afraid of death and left saplings behind. Just ran away. Only Cao Dewang stayed. He was also afraid of death, but he did not run away. He stayed alone to take care of the saplings, and none of the 300,000 saplings was lost.
"You have to be conscientious. Wang Yiang was good to me, and I can't be sorry to him."
Back at Shandou Farm, Cao Dewang reported the situation of the trip to Mingxi and hoped that the leadership would handle it. A few escaped,
but the leaders were unwilling.
It is for this reason that Cao Dewang resigned from Wang Yiang soon. Cao Dewang felt: "A company without organizational discipline will not develop, and an company that cannot develop is not a place to stay for a long time."
p>A few years after Cao Dewang left, Wang Yiang fell into trouble and contracted cancer. Before his death, he entrusted his son to Cao Dewang.
Cao Dewang had already left Shandou Farm. Logically speaking, he could completely ignore Wang Yiang, but he didn't. He accepted the entrustment and helped Wang Yiang's son get a wife.
The reason why Cao Dewang became so popular later was because he acted conscientiously.
09
“I want to make my own piece of automotive glass for China”
The fifth heart is ambition.
In his third year, Cao Dewang finally saved his first huge sum of 50,000 yuan.
If this amount of money were placed today, it would be equivalent to 120 million.
This money is enough to support him to live any life he wants. However, Cao Dewang is not satisfied.
Instead, he went to work as a buyer in a water meter glass factory that was on the verge of bankruptcy.
How did entrepreneur Cao Dewang turn his company into a world brand?
This factory was called Gaoshan County Glass Factory, which later became Fuyao Glass.
In 1983, policies were liberalized and companies were allowed to outsource. Cao Dewang immediately bought the glass factory and began his legendary entrepreneurial journey.
In the first year after taking over the mess, the water meter glass factory’s profits doubled several times.
Later, Cao Dewang went to Wuyi Mountain to play. When getting on the bus, he accidentally touched the window of the car. The driver's expression changed immediately: "Be careful, this one costs several thousand, can you afford to pay for it?"
Cao Dewang felt guilty at that time. Muttered: How many thousand does this piece of glass cost? I am a glass maker, who are you kidding?
But with his keen sense of business opportunities, he immediately went to the auto repair shop.
It turns out that at that time, automobile glass was monopolized by Japan, Europe and the United States, and it really cost thousands. In order to make a living, Cao Dewang immediately decided to switch to automobile glass:
"The Chinese should have their own piece of automobile glass, and they should have a piece of sky that can be seen through their own glass."
How did entrepreneur Cao Dewang turn his company into a world brand?
Transformation is never that easy. Cao Dewang, who refused to admit defeat, faced the difficulties.
Lacking technology, he ran to Shanghai overnight and bought back an old car glass design drawing and tried it over and over again; lacking equipment, he spared no expense and took out a loan of 1 million to buy a state-of-the-art glass from Finland. Equipment...
By 1986, his automotive glass factory was a huge success, and Fuyao quickly grew into the leading supplier of automotive glass in the country.
But being number one in China is not enough. Cao Dewang also wants to go global. In order to enter the US market, he filed a lawsuit with the US Department of Commerce.
In 2002, China's total import and export volume exceeded US$600 billion, and China's manufacturing and foreign trade growth became the highest in the world.
In the name of dumping, the Americans have taken many Chinese companies to court and imposed additional tariffs without any evidence. Among them is Fuyao Glass.
Many companies swallow their anger, but Cao Dewang is not easy to mess with. With just one complaint, the U.S. Department of Commerce was taken to court.
How did entrepreneur Cao Dewang turn his company into a world brand?
One year later, the U.S. Court of International Trade made a ruling: requesting the Department of Commerce to reexamine the case. Another year later, the Department of Commerce announced the results of the reexamination, and the Americans lost.
In the end, Cao Dewang used American laws to defeat the US Department of Commerce.
Fuyao became the first Chinese company to win an anti-dumping case from the U.S. Department of Commerce after China joined the WTO.
Behind Fuyao’s victory was the investment of manpower and material resources that took three years and nearly 100 million, regardless of the cost.
After Fuyao won the lawsuit, thousands of Chinese companies stood up. Cao Dewang, a few years later, opened a factory in the United States and established a firm foothold.
10
"I have never received a box of mooncakes nor given a box of mooncakes"
The sixth heart is the righteous heart. The so-called right mind means not being greedy for ill-gotten gains.
As soon as automobile glass was put into production, money flew in like a snowflake, so some town cadres became jealous and complained to the county: "Cao Dewang is corrupt."
Cao Dewang was responsible for glass sales and sales. You have to do a reception, and when you receive a reception, you need to treat guests and give gifts. After the reception, Cao Dewang took the invoice to the company to report the accounts. The accountant said: "The invoice for treating guests and giving gifts cannot be reported."
(For joint ventures, accounting is arranged by the government)
Cao Dewang was angry Asked: "The town leaders often treat guests and give gifts, why can they report it?"
The accountant said: "It's not that you can't report it, as long as you don't treat guests and give gifts, such as production materials and office supplies."
So Cao Dewang found an engineering team to replace this part of the invoice with production materials. Although the names of the invoices were changed, Cao Dewang was more careful and saved all the original invoices worth more than 40,000 yuan.
Some town officials were extremely jealous when they saw that Cao Dewang had made a fortune, so they reported to the county: "Cao Dewang spent more than 40,000 yuan on entertaining guests and giving gifts. It cannot be found in the account. The invoice was destroyed by him. It should be regarded as Destroy the vouchers and embezzle public funds."
These people never expected that during the on-the-spot confrontation with the county party secretary, Cao Dewang produced all the original invoices.
In the 35 years of making automotive glass, some people reported him to the city for corruption, some people reported him to the province, and some people reported him to the central government. But the city, province, and central government all Someone was sent to investigate, but no corruption was found in Cao Dewang.
Cao Dewang has a famous saying: "I have never received a box of mooncakes, nor have I given a box of mooncakes."
It was because of his integrity that he did not capsize.
11
"Our goal:
Just make a piece of automotive glass"
How did entrepreneur Cao Dewang make the company 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 in funds. After receiving the money, Cao Dewang invested in many industries, such as IT, trade, decoration, gas stations...
This year, Cao Dewang went to the United States to discuss business, but he did not expect to be let go. Feeling very unhappy, I went to visit the Ford Museum.
In the museum, Cao Dewang made a discovery: "In 1881, PPG glass was available in the United States. Now more than 100 years later, PPG glass is still doing very well. The same is true for Ford cars in the United States. This shows that What? It’s not about having many products, but about being specialized.”
After returning to China, Cao Dewang made a major decision, “Our goal is to make only one piece of automotive glass.”
He cut off all other businesses, leaving only "auto glass". Later, Fuyao was able to become the world's number one, all thanks to Cao Dewang's wise decision, just like Ren Zhengfei who only made communication products, "one new trick can be used everywhere."
12
< p> The financial crisis broke out because we were prepared for a rainy dayCao Dewang successfully survived the crisis
The eighth heart is determination.
In 2007, Cao Dewang observed: "The costs of a large number of small and medium-sized export manufacturing companies are much greater than the after-tax profits of 4%-5%."
Therefore, Cao Dewang predicted that "the economy The depression will come within 1-3 years, and I estimate that the A-share market will fall below 2,000 points." So he held a meeting and wanted to close four backward glass production lines, promote cash flow back, and stop investment.
Almost all the people attending the meeting objected: "Mr. Cao, you are too pessimistic. The current A-share price is 6,000 points, how can it fall below 2,000?"
In fact, Cao Dewang does not want to shut down the production line. , shutting down 4 production lines, his personal property will lose 2.2 billion. But if it is not closed, the company will face disaster. So despite everyone's opposition, Cao Dewang decided:
"These four production lines must be shut down."
A year later, the financial crisis broke out, and A-shares fell to Below 2,000, Fuyao successfully survived this disaster because it took precautions.
13
"A Chinese entrepreneur 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: "Entrepreneurs must have such a realm and Feelings, the country will be strong because of you, the society will progress because of you, and the people will be rich because of you.”
Why do you say Cao Dewang has a red heart? In fact, it means that he has a Chinese heart. . In order for the motherland to become stronger because of him, he will never immigrate. "If our Cao family immigrated, China would have no car glass."
In order for the society to progress because of him, he donates money every year. So far, he has donated Nearly 12 billion in property has been donated.
In order for the people to be prosperous because of themselves, he insisted on paying dividends to shareholders. He raised 696 million from A-shares, but paid out 12.916 billion in dividends, which was 18.56 times the funds raised. This was truly achieved. Dividends are greater than raised funds, and it is the only A-share listed company whose cash dividends exceed 15 times of raised funds.
Therefore, some people will say: "There are only two entrepreneurs in China, one is named Ren Zhengfei and the other is Cao Dewang, and the others are businessmen.
Fuyao Glass now has more than 10,000 employees Employees have been rated as "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 employees very much recognize and like bosses like Cao Dewang. He understands righteousness very well and treats his employees not harshly. However, regarding Mr. Cao’s donation, the employees would ask in their hearts, “You donated 8 billion, why didn’t you give me a salary increase? ”
Glass King Cao Dewang: He would rather donate 8 billion to charity than give employees a salary increase!
In response to such doubts, Cao Dewang said very domineeringly and very righteously: < /p>
“It’s understandable that employees have such requirements, because it’s human nature. If I give you a salary increase, I have to consider whether other companies can bear it, because other companies can’t bear it, and I’m the only company. Doing so would break the company's industry rules. ”
The first one expresses agreement:
The second one has reservations:
The third one puts forward constructive opinions:
Glass King Cao Dewang: Would rather donate 8 billion to charity than raise wages for employees!
How to establish a more effective distribution mechanism?
For example:
There is a trainee whose company earned more than 10 million yuan in 2015. He used more than 3 million yuan to increase employees’ wages. The average salary of employees increased by more than 30%. However, the company’s performance in 2016 and 2017 dropped sharply, and the company still suffered losses in 2017. From this incident, we can draw the following conclusion:
Glass king Cao Dewang: Would rather donate 8 billion to charity. Employee salary increases!
However, salary increases are not unconditional. This will encourage employees to be greedy. Employees must be allowed to produce good results and provide high performance in exchange for efficiency and results. No amount of money is too much.
It is Huawei's culture to put strivers first, and a series of reward systems also ensure that strivers do not suffer and allow strivers to create Huawei's miracles.
With a good platform, like Huawei, employees can achieve their own financial freedom through hard work.
Although it is a bit tiring and has no time for shopping, theater, and parties, it is still a fulfilling life. , whether it is for career development or future planning, it has laid a foundation.
If employees only do formalities and processes without being responsible for the results, the company will die soon.
Therefore, all companies must form a result-oriented culture and build a result-oriented performance culture.
Glass king Cao Dewang: I would rather donate 8 billion to charity than give employees a salary increase!
KSF will generally develop 6-8 performance incentive channels for managers, and find a balance point in each channel. If the balance point is exceeded, rewards will be given, and if the balance point is not reached, KSF will give less rewards.
KSF What is distributed is not the company's existing profits, but a super-value distribution, which requires managers to come up with good results and effects to conduct value transactions with the company. What the company wins is high performance, and what managers and employees win is high income.
Glass king Cao Dewang: I would rather donate 8 billion to charity than raise wages for employees!
Glass king Cao Dewang: I would rather donate 8 billion to charity than raise wages for employees!
Glass king Cao Dewang: I would rather donate 8 billion to charity than raise wages for employees!
Glass king Cao Dewang: I would rather donate 8 billion to charity than raise wages for employees!
Under the KSF salary model, how should a production manager set his salary? In the past, he might have received a fixed salary. Whether the company made money or not had little to do with him.
Under the KSF model, his income will be directly linked to the business results!
Glass king Cao Dewang: I would rather donate 8 billion to charity than give employees a salary increase!
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