After several years of operation of the company, Wang Yaocheng felt the problems contained in it and was brewing a new consortium structure reform.
First of all, as the core of the consortium’s flat management, the Royal Family Fund must be strengthened.
At present, the main secretariat is no longer able to adapt to the requirements of the rapidly expanding consortium. The organizational structure is too simplistic and cannot adapt to the needs of strengthening consortium management.
The establishment of an audit department is imminent. This is an important department that controls financial power and is also a beneficial monitoring department for the Royal Family Fund. It needs to be staffed with a large number of experienced top accountants.
During the financial crisis of 1997, the world's four major accounting firms were affected and laid off employees one after another. This was a good opportunity to recruit experienced and top international accountants.
In addition to the Secretariat and the Accounting and Auditing Department, other departments such as the Administrative Department, Legal Services Department, Fixed Asset Management Department, Family Trust Fund Management Department, Venture Capital Management Department, Corporate Intelligence Research Department, and Security Department must be established in a standardized manner to form a
A strong core.
at the same time
The organizational structure of the four major companies, Pacific Company, Atlantic Company, Arctic Ocean Company and Caribbean Company, also needs to be changed to enhance the status of some powerful companies and directly manage them by royal funds.
For example, Carrefour Supermarket Chain Group, Pacific Appliances Chain Group, Pacific Real Estate Development Company, Green Electric Group, Atlantic Business Machines Company, Cathay Pacific Airways, Swire Pacific, Marvel Animation, Yahoo Search, and Athlon Corporation all need to become independent and reduce the number of mothers-in-law.
management, strengthen management efforts, and improve management efficiency
There are also the soon-to-be-established foundry enterprise Yangtze River Technology Group, the Yellow River Technology Group that produces LCD screens, and the wafer production plant under Atlantic Company to form the Atlantic Electronic Wafer Technology Group, etc.
All these companies that have gradually taken shape need to be independent and directly under the management of Royal Fund.
We can imitate the management style of Samsung Group and set up a presidential team meeting, not every month, but it is still necessary to hold a meeting every financial quarter.
Taking Pacific Company as an example, President Mo Yuxuan focused most of his energy on the Carrefour supermarket chain and had no energy to manage the huge enterprises under his command.
Take Atlantic Company as an example. President Zhang Ru is devoted to the work of Atlantic Electronic Wafer Technology Group and almost ignores Atlantic Business Machines Company. This situation urgently needs to be changed.
They do not have a large team of secretaries, a strong accounting and auditing team, and only a small number of core leaders who cannot manage so many affairs.
From the perspective of consortium revenue;
As of the second fiscal quarter of 1996, Royal Fund's total revenue reached US$18.2988 billion.
Among them, Atlantic Business Machines Company contributed more than half, reaching a net profit of US$9.6448 billion, followed by Atlantic Electronic Wafer Technology Group, which contributed a net profit of US$2.12 billion.
Green Electric Group once again reached US$1.922 billion.
After Carrefour Supermarket and Pacific Home Appliances chain stores stopped expanding, they contributed a total of US$3.347 billion for two consecutive quarters, ranking fourth and fifth respectively.
The remaining other companies contributed a total net profit of US$1.265 billion.
In addition, Royal Fund also holds a 31.04% stake in HSBC, with special investment account funds reaching US$2.461 billion, and a stock market value of 6.6426 billion pounds (US$10.4355 billion, stock price floating).
Nokia shares account for 6.6%, valued at US$5.7 billion (stock price fluctuates).
At the same time, Royal Family Fund is carrying a loan of 25 billion yen (US$2.3 billion), HSBC has a loan of US$2.2 billion, and Citibank has a loan of US$850 million.
These funds are reasonable debts, and Wang Yaocheng is not prepared to repay them in advance and retains a large amount of funds for expansion.
The total revenue of Royal Fund reached US$18.2988 billion;
Less the HSBC special account allocation of US$2 billion.
Subtracting the investment in Shenzhen Atlantic Science and Technology Park in 2005, the land purchase price and upfront expenditure of 650 million US dollars, the construction expenditure in 1996 was 1.55 billion US dollars, and the payment for large-scale factory equipment in 1997 was 5.122 billion US dollars (special funds reserved).
Excluding the Atlantic Electronic Wafer Technology Group Jinling J2 Factory, Mingzhu M1 Factory, Huaizhou H2 Factory, and Shenzhen S1 Factory facilities and equipment investment, the total investment is 3.687 billion US dollars.
Excluding the investment in new air-conditioning production lines, copier production lines and computer production lines of GREE Group, the total investment amount is US$961 million.
Minus the US$1.83 billion payment for the acquisition of Fujitsu's Kagoshima LCD screen manufacturing plant.
Less other expenses, $117 million.
The actual balance on the books is 2.3818 billion U.S. dollars, which may seem like a lot of money, but is actually far from enough to meet the needs of a huge consortium.
The Yangtze River Technology Group, which is preparing to be established alone, needs to pay about 9.5 billion U.S. dollars to Atlantic Business Machines Company for the Huaizhou Phase 123 project production line equipment, which is a huge sum of money.
Atlantic Business Machines currently carries a loan of up to 17 billion U.S. dollars to finance the company's crazy expansion. It has invested as much as 4.2 billion U.S. dollars in the A1 and A3 motherboard factories in Armonk, New York alone.
Coupled with the investment of tens of billions of dollars in Huaizhou Phase 123 project production line equipment, it can support the crazy market capture around the world and become invincible.
In order to effectively avoid the high dividend taxes imposed by the U.S. government every fiscal quarter, it is imperative for the Royal Family Fund to acquire the Huaizhou production base of Atlantic Business Machines. This means that long-term pain is worse than short-term pain.
Today, Atlantic Business Machines' profits per fiscal quarter are as high as more than 4 billion U.S. dollars. Based on Royal Family Fund's 76.6% shareholding, dividends every fiscal quarter can still contribute more than 3 billion U.S. dollars in net profit.
According to U.S. law, the federal government collects 20% of the tax on dividends, and the state government collects 2.5% of the tax, for a total of 22.5% of the tax, which is a tax of nearly 700 million US dollars.
Four times a year is like cutting flesh with a soft knife, and Wang Yaocheng's bad temper can't stand it no matter what.
Simply establish the foundry company Changjiang Technology Group and acquire the entire Huaizhou production base of Atlantic Business Machines Company.
Most of the profits remain in the Yangtze River Technology Group. Hong Kong does not charge dividend tax, so it can achieve the purpose of reasonable tax avoidance and increase profits by nearly 3 billion US dollars every year.
As Atlantic Business Machines' flagship products are put into production one after another, profitability will further soar.
Therefore, this huge expenditure must be carried out as soon as possible.
Royal Fund has reached a preliminary agreement with a Japanese banking group, and the second phase of the Japanese yen loan amount is as high as 800 billion yen (US$6.956 billion), which will be used for the overall merger and acquisition of the Huaizhou production base.
Who is the richest person in the world?
The Japanese bank syndicates are definitely among the best in terms of financial strength. The top ten Japanese banks write off 70 to 80 billion US dollars in bad debts every year. There is still too much money to spend and the interest rates are embarrassingly low.
In this way, the royal family fund's book balance of US$2.3818 billion plus Japanese yen loans can meet the needs of mergers and acquisitions.
As for Cisco's mergers and acquisitions, stock exchange or loans can always be used to solve the funding problem.
How can we support the operation of a huge consortium if there is no cash flow on the books?
There is actually no shortage of money.
Yahoo Search's long-delayed Series C round of financing is about to officially begin, and the video company You Tube is about to launch its Series A round of financing. In addition, it holds a large amount of high-quality equity that can be liquidated, so there is no need to worry about it.
By the third fiscal quarter, a large amount of profits will naturally roll in, making them even more generous than before.
Just as Wang Yaocheng was thinking about it, the pleasant doorbell rang.
The person who came in was Secretary-General Zhang Shuguang, followed by Shi Xueyi and Chen Shi. The three of them walked in together.
Shi Xueyi was Wang Yaocheng's best friend in both his past and present lives. He was an extremely loyal person. In his previous life, he was tricked by a bunch of gangsters and committed suicide by jumping into a river. This is really lamentable.
Chen Shi is diligent and down-to-earth, young and mature, and as steady as a middle-aged man.
These two people have been working in the Carrefour supermarket chain for more than five years, and have experienced almost every position, from ordinary employees, team leaders to store managers, from group material dispatching positions to logistics personnel positions, all the way up to the regional manager position.
Very outstanding.
It cannot be said that the level of market development is high, but the comments such as steady development, strong organization, proper planning, detailed job responsibilities, and being the first to set an example in the execution system are also in the middle and upper reaches of all regional manager positions.
The key is that Wang Yaocheng is familiar with these two!
Therefore, when he returned to China this time, Wang Yaocheng took these two people with him and put them in the secretariat to train them carefully.
Here, you can get in touch with enterprises in different industries, world-class large companies, investment banks and venture funds, which can greatly broaden your horizons and cultivate an international forward-looking perspective.
Another thing is to practice English well.
Working in the secretariat is difficult if you don't know English. There are many business elites here who can speak more than six countries and seven languages. There are many people who graduated from prestigious schools such as Oxford and Harvard. They started out as one of the top five prestigious schools in the country.
If we talk about knowledge, it will be reduced to rubbish every minute.
It's a pity that these are of no use. In Silicon Valley, there are a lot of graduates from world-renowned universities, and there are many talented people. Geniuses are just carrots, and they will never be used as ginseng.
Wang Yaocheng knew and trusted only the two of them, and he entrusted Shi Xueyi and Chen Shi with careful training. Anyone who was interested could see that, and it was useless to cry to the heavens.
There is no absolute fairness in the world, and those who have such an idea can only be said to be immature.
"How's it going? Lao Shi, Xiao Shi, you've been following me around for more than a month. Do you feel you're used to it?"
"adapt?"
Shi Xueyi smiled bitterly, looked at Chen Shi, and saw that he also had a frown on his face. He knew that this guy was just a boring gourd, and he had to say anything by himself;
"I can almost touch everything, but I can't leave important tasks to me. I'm afraid of screwing up. Now I'm worried every day. I hold an English book in my room and read madly. When I sleep, I dream about everything.
English letters.”
"Haha! I told you two never to relax in English before, but now you are suffering the consequences."
"Hey! I've done a good job in the position of regional manager. I just straightened out my work after more than a year, and you transferred me here. Otherwise, you should let me go back. The things here are too big, I've seen them all
A little scared."
Next to him, Chen Shi nodded in agreement like a chicken pecking at rice.
"If you want to leave... there is no door. Stop dreaming. Just work hard here and get into work mode as soon as possible."
Wang Yaocheng extinguished their thoughts with one sentence. A hero has three gangs, and a fence has three stakes. He needs the help of the person he trusts most now.
After thinking about it, Wang Yaocheng said; "Shuguang, you will personally take care of Lao Shi in the secretariat. He will temporarily serve as... secretary and deputy director. All benefits will be based on the salary of the deputy director. As for Xiaoshi, he will be placed in the post now."
The preparatory team of the Audit Office serves as the deputy team leader, and is also treated as a deputy director. The preparatory team leader, Mr. Macaulay, is given more snacks and exposure to all aspects of work.
At the beginning of next month, President Huo Jiaguang will lead the M&A team to negotiate with Cisco, allowing both of them to participate and follow the entire process to experience the entire M&A process on the spot.
By the way, sign them up at Harvard University and take classes. Lao Shi takes an MBA business administration course, and Xiao Shi takes an MBA advanced accounting course. There is no requirement to get a diploma, just to recharge."
"I understand, Chairman."
Zhang Shuguang looked at Shi Xueyi and Chen Shi with envious eyes, thinking in his heart that he must explain clearly to them when they are alone later, how rare it is for the chairman to teach them personally, and they must cherish it.
These two people are definitely going to be of great use, and it's not too late to establish a good relationship now.
In front of the domineering Wang Yaocheng, neither Shi Xueyi nor Chen Shi had any room for objection and could only obey the arrangements obediently. This was also the advantage of these two guys.
He has good obedience and strong execution. The most important thing is that he is of the same mind as Wang Yaocheng.