Tencent once again adjusted its organizational structure. A pot of Ali’s “old wine” was put into the new bottle.

< p > Introduction: Tencent’s organizational restructuring has emerged in the media, which is also a wave of organizational change in Chinese Internet enterprises. After 20 years of ups and downs, China’s Internet enterprises have begun a wake-up in organizational and cultural construction, who can go further in the future of Internet competition, the system and cultural soft power, its importance is no less than technology.

< p > Many people know that Ma Huateng’s QQ number is 10001. Few people know Zhang Zhidong, the owner of 10002.

Zhang Zhidong is one of Tencent’s “five tigers” and is responsible for Tencent’s technology system for 16 years. In 2014, Zhang Zhidong, then 43, retired as a CTO, and Tencent has not had a CTO for four years since. Recently, one of his in-house training speeches circulated on the Internet, with anxieties and expectations in his words. At the heart of it, he meant: Goose factories have great determination to change.

< p > Although only three-quarters of the year 2018 has passed, Tencent will be on the absolute list if it fails to select the company of the year by the end of the year. Tencent’s stock has fallen sharply and its market value has evaporated by HK$1 trillion over the past nine months since its stock peaked at HK$475 at the beginning of the year. Core game business encountered regulatory bottlenecks, 2B business is facing breakthrough anxiety, but also into the lack of innovation “no dream” of doubt.

today, the news of Tencent restructuring has finally come out. According to Caixin, Tencent’s original seven business groups have been reorganized into six. Tencent’s cloud business, which belongs to SNG social network business group, has become a new cloud and intelligence industry group (CSIG), a new platform and content business group (PCG). At the same time, Tencent’s original technical engineering business group will also shift from the backstage to the role of technology platform. Tencent will also set up a technical committee to coordinate the technology of various business groups. The outside world can clearly perceive that Tencent is implementing its own mid-Taiwan strategy and launching 2B business in the form of CSIG.

It is only forward-looking that leads to the next era, in which the word “sense of crisis” is particularly striking.

Of course, Tencent is still a world-class technology giant with super-traffic portals such as Weixin and QQ. It is strongly involved in many fields by the “flow + capital” model. But everyone can realize that the reform of Tencent at this time has obvious passive elements. This reform seems to come a little late, seemingly strategic hesitation, in the final analysis, or the organization’s “soft power” is not good.

When it comes to Tencent,

has to mention another giant Ali. Traditionally, the market has been looking down on the retirement of corporate founders, but Ma Yun’s recent announcement of “crossing bars” did not seem to stir market uneasiness, but began to discuss what should be learned from Ali’s unique organization and management system.

< p > In China’s Internet companies, Ali is far ahead of the rest in terms of both corporate architecture and organizational development. In an open letter on September 10, Ma described Ali’s system as “a perfect combination of system and people and culture”. In fact, its exploration provides reference and mirror for other Internet Co.

< p > As more and more Chinese companies become world champions of scale in the same industry, they no longer have a leader in front of them, and innovative measurements and pressures become new challenges. As Chinese technology companies begin to take the lead, new challenges come not only from innovation and products, but also from the test of soft power in organizations, management, and corporate culture.

Tencent has a tradition of holding long meetings, especially those attended by Ma Huateng. After each issue is put forward, he will not take a position, but listen to everyone’s opinions first, so meetings are often long. Many important decisions were made in the middle of the night.

in fact, the restructuring of Tencent has been brewing for a long time, and it is no longer a secret inside Tencent. In the view of many Tencent insiders, this attempt to tear down the “data wall” reform is too late.

had to mention the organizational restructuring of Tencent in 2005. At that time, in order to promote the “online life” strategy, Tencent’s organizational structure was divided into eight sequences, forming the “octopus hand” and extending to competitors like independent companies. Formidable execution power.

This framework has a very delicate arrangement: Tencent’s business base comes from traffic, but there is no such organization in the organizational framework as the “General Staff” for the overall allocation of traffic.

< p > In 2012, Tencent reorganized itself into six major groups: social, gaming, online media, unlimited, e-commerce and search. From then on, Tencent “one divides into many”, “brothers climb mountains, and make their own efforts”. Data can not be shared among different business groups.

this organizational change helped Tencent catch up with the world trend in the mobile era. The “horse racing mode”, which is widely enjoyed by Tencent, is also completely shaped.

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Tencent is a company based on 2C business. Its products have always been regarded as the biggest advantage of Tencent. The so-called horse racing mechanism is very effective in typical 2C businesses such as games, and internal incubation and competition are even seen as Tencent’s most successful experience.

however, the disadvantages of this model also gradually appear as time goes by.

Tencent’s existing organizational structure was formed after the company’s second major organizational change in 2012, when cloud computing and big data AI technologies were not yet mature.

In recent years, cloud computing has risen rapidly and become the hottest topic on the Internet. The digital and organizational walls built 13 years ago in Tencent are still standing today.

Before he retired, Zhang Zhidong was Tencent’s “second-in-charge” and his original QQ framework had been used for more than a decade. He is extremely low-key, when Tencent founders have bought villas in Australia, sailing yachts, Zhang Zhidong has been driving more than 200,000 mid-range cars.

After

retired, Zhang Zhidong often lectures inside the Tencent. His latest sharing should also represent Tencent’s high-level thinking: Tencent’s organizational change has lagged behind, but in the ABC (AI + BigData + Cloud) era, because of the large number of missed classes in the construction of data stations, in addition to the technical repetition of wheel inventions, the application of large data has brought a lot of heavy numbers. According to the problem of wall and tissue wall.

< p > Because Tencent’s product line and span are relatively large, Zhang Zhidong was busy with various fire fighting during his CTO tenure. “I personally regret that he did not help to build a company-level data center.”

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Tencent’s strategy has one characteristic: it keeps a close eye on the market dynamics, replicates the successful model in the fastest way, and makes use of the advantage of user scale to surpass later. Ma Huateng summed up in one sentence: “latecomer is the safest way.”

Ali and Tencent’s attitude towards cloud computing is one example. In 2010, at the IT leaders summit in China, BAT three big guys debated the cloud computing. Robin Li said it was “old wine in new bottles and no new things”. Ma Huateng felt that it was too early to talk about it. Only Ma stressed: “most afraid of old wine and new bottles, I can’t see clearly what he is playing, and the most terrible thing is that he suddenly broke out.”

< p > Tencent’s business expansion was ubiquitous at this time, and the media called it “public enemy of the whole nation”; Google quit China and Baidu was far ahead of the search market. When Tencent and Baidu had already made a lot of money, their revenues and profits were far lower than those of Ali, but they began to invest heavily in “cloud computing” which nobody believed. There were also some opposition within Ali. Ma Yun insisted on investing 1 billion yuan a year for 10 consecutive years.

Ali decided cloud computing strategy in 2008, and founded Ali cloud in 2009. Although business development has also gone through a detour, but Aliyun has always adhered to an independent organizational structure, strong technology and industry scenarios, adhere to the basic level. Tencent’s strength lies in product development, while Ali’s strength lies in the strong execution of the strategy, and the corresponding rapid and flexible organizational restructuring.

< p > In 2015, Ali launched the China-Taiwan strategy in an all-round way, co-ordinated the data of various business lines of the group, concentrated on China-Taiwan, and constructed the organizational mechanism and business mechanism of “large, medium and small front desks”.

Alibaba’s Interpretation of Taiwan: Establishing a multi-dimensional, high-density, fast-processing super “data pool” which combs, analyzes and more accurately depicts user portraits, including demographic attributes, geographical distribution, media contacts, interests, lifestyles and other aspects, so as to formulate strategies for the front desk; Provide strong support for optimization and innovation.

< p > Ma Yun once said a very interesting remark, revealing the logic of Ali’s actions: Ali’s business is just a representation of us. I have always thought that the Internet is not a technology, and the Internet is an idea. If you think of the Internet as an idea, you will naturally bring in your organization, your products, and your culture.

< p > In the enterprise-level (2B) market like cloud computing, Ali is fighting a “battle of positions and fortifications” by effectively integrating the group’s resources. Tencent is a typical consumer-oriented (2C) enterprise, playing a “guerrilla war”, in order to maintain internal sustained innovation, encouraging different departments in the same direction “racing”, but also led to the problem of data fragmentation.

In the exchange of Goose Factory, Zhang Zhidong did not name Alibaba, but he pointed out that the organizational transformation of large enterprises and the construction of China and Taiwan are absolutely a difficult problem, which requires great courage and wisdom, and will encounter many pains.

Now it seems that Alibaba’s bold drive to promote data centers was an opportunity for accurate judgment of the future: building an organizational framework in line with the data age, with big data and cloud computing becoming the “oil” and engine of the new economic era, Internet companies must focus on comprehensive changes in the future.

< p > Through this organizational adjustment, Ali has realized the comprehensive and independent development of cloud computing, Ali’s mother, rookie and other emerging businesses. At the same time, let more outstanding young people shoulder greater responsibilities. It is Ma Yun’s successor, Zhang Yong, who has led the upgrading of Ali’s organizational framework.

in the adjustment of China platform structure, Alibaba has used its own exploration to tell Tencent that “this road is feasible”. How to let the data flow smoothly and test Ma Huateng’s management ability.

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Two weeks before Tencent’s restructuring, millet, which went on sale for 65 days, suddenly made a big decision: a radical operation on the millet’s “brain” and “muscle”.

“P > Lei Jun”thought for a long time”, announced the establishment of a new group staff and group organization department, and the original television, ecological chain, MIUI, mutual entertainment four major business divisions scattered, subdivided, restructured into ten new business divisions, young people will be put on the management front line.

< p > This is the first major adjustment since the millet went public and the biggest organizational change since the millet was founded.

In Lei Jun’s design, the purpose of setting up the staff and organization departments is to further strengthen the management function of the headquarters “brain”. The core purpose is to strengthen the group headquarters functions, strengthen the inheritance of corporate values and organizational construction, and enhance organizational efficiency and vitality. Wang Chuan and Liu De were his ministers.

< p > Huawei, another old technology company, decided in July to set up a “general cadre department” similar to the Ministry of Human Resources, which would take out the authority of the specific managers of the Ministry of Human Resources.

< p > Chinese Internet companies are growing at an unprecedented rate. Tencent and Baidu employ more than 40,000 people, Ali employ nearly 90,000, and Jingdong employ nearly 110,000. Today’s headlines, troupes and drips are expanding rapidly.

< p > There is a “20,000 people effect” in Internet companies. Whether Ali, Baidu or Tencent employ more than 20,000 people, management complexity and social pressure multiply.

once Robin Li and Ma were sitting in a car at the event. Ma told Robin Li that if Baidu pushed the technology forward further 5 kilometers, Baidu Inc would be better than me. If Tencent added 200 products at a time, Ma Huateng would be better than me; but every company plus twenty thousand people would not be as good as ours.

is the most important team in the war. Ma Yun mentioned more than once that taking a team is the most time he invested. “You can manage more than five or six, more than five hundred or five thousand. You can’t manage on your own. You have to rely on cultural and organizational cooperation.

millet set up the concept of the staff and Organization Department of the group should be inspired by the Alibaba.

in fact, the organization department itself is a business card managed by Alibaba. Alibaba’s organizational department is not a department, but refers to the group management group, members are M5 (senior director) and above employees. In the words of Tong Wenhong, chief talent officer of Alibaba, this is the management team of more than 400 cadres directly under the group. These people are the core talents pool of Alibaba. According to the latest data, 14% of the cadres in Ali’s organizational department are the “post-80s generation”, and the talent echelon has become a trump card in the face of fierce market competition.

The recent organizational restructuring of Tencent, Millet and Huawei shows that more and more Chinese technology companies are looking to bring young people to the front desk and train a new generation of successors in a similar way to Ali.

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China Internet has had three waves. The first time around 1999, with the news portal as the basic format, the emergence of Sina, Sohu and Netease “three giants”. Since 2007, there has been a major shuffle in the application platform as the basic form of business, BAT from the search, e-commerce and instant messaging three directions to complete the reverse. Since 2012, the mobile Internet has sprung up, and the user has moved rapidly from the PC segment from the computer side.

all Internet Co in China are involved in the three wave sooner or later. The organizational structure is adjusted with strategy and business, and the most frequent adjustment is non Ali.

“P > Ma Yun once explained this: You think, how fast the environment becomes, the Internet pattern develops so fast, can you remain unchanged?

< p > In China, no Internet company, like Alibaba, has implemented different types of continuous business iterations from B2B to C2C, to B2C, enterprise services, and has never lagged behind from the PC Internet to the mobile Internet era. Tencent has been doing instant messaging for 20 years, while Baidu has been doing searches, exploding like Alibaba in its main business, and no other company can learn. Behind this is actually the support of values and organizational system.

The Six-Vein Sword of Alibaba’s Values has long been known, and one of the most interesting ones is the embrace of change. Ali people have a stronger sense of risk-taking in their own businesses, and the whole mechanism encourages employees to challenge new businesses, typically Ali’s rotation system. Turning around the resume of Alibaba’s current core executives, almost all of them have been laid off. Alibaba does not stick to a person’s original experience and expertise, but through intensive training, cultivate composite leaders.

< p > Peng Lei, a former chairman of the Ant Golden Clothes Board, came from human resources before landing in the air, without any financial background. Mr. Inoue, the chairman of Ant Kim-suit, also worked for foreign fast-moving companies like Coca-Cola and Pepsi-Cola before joining Alibaba without any experience in financial institutions. Today, Hu Xiaoming, who runs the cloud computing department, is not technically born, but a genuine financial discipline, working at Everbright Bank and Construction Bank before joining Ali.

< p > These examples are just a sign of the high flexibility of Ali’s human resources system. Ali’s huge business system and organizational security make it possible for talents to grow “across borders” and bring more surprises to the organization, which is almost invisible to enterprises outside Ali.

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the development of China’s Internet has gone through over 20 years. As the most active industry in China’s economy, BAT was born in this industry, and TMD (headlines, troupes, drops) such as the star enterprises.

< p > These enterprises have a huge size, but the vast majority of China’s Internet companies are still immature on how to be a sustainable innovation enterprise and how to become a “century-old shop”. Even a lot of enterprises are too late to think about this problem.

< p > Tencent, sitting on a billion users, is still facing the bottleneck of technological breakthroughs and the anxiety that the 2B service ceiling is difficult to break through. What this reflects is actually a management problem, how to enable a company to maintain vitality through internal competition, but also to adapt to changes in the external environment to effectively allocate strategic resources at the corporate level.

on the latter issue, Ali’s answer is somewhat unexpected. Ali does not talk about strategy alone, but about resources. What Ali pays special attention to is the system, people and culture behind the strategy. In China’s Internet enterprises, no one talks more about system, heritage, culture and values than Ali. Many people did not understand it. Even now, Tencent has begun to regard the system and management as a matter of fact.

because these seemingly empty heads are really effective.

“We are constantly studying and perfecting our system and talent culture system. It is impossible to solve the problem solely by people or institutions. Only when the system is perfectly integrated with people and culture can the company develop healthily and lastingly,” Ma Yun said in an open letter announcing his retirement on September 10. The biggest secret of Ali’s sustained growth. To some extent, Alibaba’s thinking on system, culture and talent is the most important influence that Alibaba has brought to China’s commercial civilization besides building a super-large business platform.

To be fair, whether Tencent sets up Zhongtai, millet sets up the organization and Staff Department or Huawei’s “general cadre department”, there are signs of Ali behind.

< p > Today, as more and more Chinese companies, especially Internet companies, are eager to become world-famous star companies, they will naturally encounter world-class management problems. Ali’s organizational and cultural explorations and attempts undoubtedly provide answers to the question of change in many companies.

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