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Chinese Entrepreneurs: Resigning as a State-owned Enterprise Executive at 38 to Join a “Little Workshop” that Now Generates Annual Sales of RMB 130 billion

Time Published:2017-05-24Source:Author:
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Only two group photos can be found in Yang Huaizhen’s office. One is the photo of her and Dong Mingzhu, Chairwoman of Gree Electric and a Nanjinger, when she won the title of SDPA Golden Jasmine Figures for 2016. The other one was taken when she visited Gree Electric, and of course, Dong is also in it. Despite all the pictures, Yang is not a fan of having her pictures taken.


For many entrepreneurs, it is tricky to maintain the right atmosphere for conversation, but interviewing Yang was easy, because she simply made the process relaxing and enjoyable. She said rather than reading out a speech on a podium, she preferred sitting down and chatting with others like friends.


During the interview, her employees would talk excitedly when a hot topic or a celebrity was mentioned. She seemed to be not bothered by it at all. She said, “It’s the same at our internal meetings. We encourage our employees to speak freely during meeting. What’s the point of having a meeting otherwise?”


Her casual style plays a critical role in her life, and acts as a “powerful weapon” to help her make such achievements in her career. She worked for a state-owned enterprise in Nanjing for 16 years, and was promoted to Deputy Chief Accountant in her 30s as a member of management. However, at the age of 38, she decided to resign from her stable position with the state-owned company and ventured into private business.


Resigning from SOE’s management position, Yang Huaizhen didn’t have a backup plan, and her reason was simple: “I didn’t want to idle away my life till retirement.” Later she was introduced to join Hisap and worked side by side with Yuan Yafei, founder of Sanpower.


This proved to a wise decision. Now Sanpower has developed into a large private-owned group enterprise with a total asset of RMB 120 billion and an annual sales volume of RMB 130 billion. While Yuan Yafei serves as the chairman at the helm of the group, Yang Huaizhen acts as the president keeping Sanpower running smoothly.


She jokingly said that she is the “housekeeper” of Sanpower Group.


Leaving the state-owned enterprise


Before the age of 38, Yang Huaizhen’s life was simple.


Her first job was with Nanjing Pharmaceutical Factory Co., Ltd., founded in 1935. As a woman, she devoted her best time to the pharmaceutical factory.


From 1985 to 2001, at a young age, Yang Huaizhen worked at Nanjing Pharmaceutical Factory as a member of its middle-level management team.


When leaving Nanjing Pharmaceutical Factory, she was already promoted to Deputy Chief Accountant. In fact, Yang Huaizhen was the head of finance of the factory, as there was no Chief Accountant, and was a member of its management team.


As a woman in her 30s, Yang Huaizhen made admirable achievements in her career as a senior manager of a well-established state-owned enterprise.


Yang Huaizhen admitted she also suffered from sex discrimination. She said, “I got promotions quickly, but if I were not a woman, I could have been promoted even faster.”


Yang used to have a chance to be promoted to a leadership position, but was removed from the short list, only because at her age, she could have children in the near future.


At last, by virtue of her strong specialty in finance, Yang Huaizhen got promoted step by step to become Deputy Chief Accountant of the state-owned factory.


However, Yang Huaizhen was not satisfied with working for the factory until retirement. At the age of 38, she decided to quit when she thought she had hit the glass ceiling, and she could easily foresee what lay ahead for her till retirement.


Her thought of leaving the SOE startled her family and leaders. In the eyes of others, Yang Huaizhen was very successful, especially for a woman.


“At that time I imagined the worst-case scenario, which was to start all over again as an accountant. I was rather confident I could provide for myself.” She said.


However, this decision in deed stirred up a great deal of gossip. Many of her old colleagues talked behind her back, saying things like “This woman must be crazy to leave such a good job. So many people would kill for it.”


With a love for challenges, however, Yang was able to overcome opposition and gossip to convince her family and obtain approval from her leaders.


In fact, it was not the first time that Yang Huaizhen wanted to leave. She had several chances to leave the system when she was 30, but because of the disapproval and persuasion of her department leader, she stayed.


When she left Nanjing Pharmaceutical Factory, she had an opportunity to work for the Nanjing Medicine Administration (now the Nanjing Food and Drug Administration). But one of her former leaders convinced her that her personality was not fit for working as a civil servant.


“You are still young. You have to go out and explore the world.” At that time, Reform and Opening-up had been carried out for 23 years. In Jiansu province, Zhejiang province and Shanghai, the frontier of the reform, people embraced the idea of starting private business.


Thus Yang joined Hisap, which, compared to Nanjing Pharmaceutical Factory, was just a small workshop, and became the Chief Financial Officer of the start-up.


“At that time, I just wanted to experience what business was really like,” said Yang.


Being a good “housekeeper”


Yang Huaizhen has dedicated the most precious 16 years of her life as a woman to Nanjing Pharmaceutical Factory. Now it also has been 16 years since she joined Sanpower Group.


After joining Hisap, Yang Huaizhen met Yuan Yafei, founder and chairman of Sanpower and a key figure in her life. At that time, however, Hisap was just a small company on Zhujiang Road in Nanjing.


However, Hisap created a new IT sales model—a standard chain model for computer sales. Later the model became familiar to the public and is known as Hisap PC mall.


The first impression Yang Huaizhen had of Yuan Yafei was his strong charisma. People could be enthralled and excited for a long time after hearing his words. “What impressed me the most was that he said we would not stay on Zhujiang Road forever and had to move to Xinjiekou.” said Yang Huaizhen.


Although Zhujiang Road was the biggest digital product trading center in East China and equaled Zhongguancun of Beijing, Yuan Yafei believed that the future of Sanpower lay outside Zhujiang Road. The first step to go out of Zhujiang Road was to move the headquarters of Sanpower to Xinjiekou.


Located in downtown Nanjing and known for the Xinjiekou Square (where a copper statue of Sun Yat-sen is situated), Xinjiekou is a renowned business center in China, lauded as the “the top business district in China”. 


Moving from Zhujiang Road to Xin Jie Kou, Hisap transformed itself from a workshop into a business chain. Now, nearly half of Xinjiekou is owned by Sanpower Group. 


Yang Huaizhen has witnessed the development of Sanpower Group and remembers every stage of its development.


According to data, Sanpower Group has become a big private enterprise group owning various listed companies such as Hiteker, Nanjing Cenbest, IDT International, Jinpeng Yuankang and Fujitsu Electronics (NFET). It is the sole owner or the controlling shareholder of over 100 enterprises with over 100 thousand staff across the globe.


The “head housekeeper” of the over 100 thousand staff is Yang Huaizhen. She is not only the president of Sanpower Group but also the chairman of Hiteker and Nanjing Cenbest, both of which are listed in the A-share market of the Shanghai Stock Exchange.


She has very clear division of work with the Chairman Yuan Yafei. Yuan Yafei is in charge of making strategies and major investments, while Yang Huaizhen focuses on leading executives to implement strategies.


Yang Huaizhen has a clear idea of her position. She often jokingly calls herself “the housekeeper” of the company, saying that her job is to be a good housekeeper.


But in fact, being a housekeeper is not an easy job, especially when you are surrounded by men. Among the 19 executives of Sanpower Group, there are only two women, including Yang Huaizhen.


As the president of the group, surrounded by all the male executives, she manages to do her job with skill and ease. One of her staff said Yang Huaizhen has the prestige to manage all these male executives. She can always grasp the essence of an issue and simplify problems when making important decisions. She has been asked about how to manage her relationship with Yuan Yafei. “Be capable and do my own job.” she always answers in a light tone.


On building her prestige, Yang Huaizhen has her own way. From her perspective, prestige is built on virtue. She takes very seriously the idea that virtue should match one’s role. Hanging on the wall of her office is a piece of calligraphy which reads “Good deeds bring bliss”.


“My biggest strength lies in my ability to think in other people’s position. As women are caring and attentive to details, I know how to get my job done properly in my daily work.” said Yang Huaizhen, calling it a secret of being a successful career woman.



Link: http://mt.sohu.com/business/d20170330/131047536_355015.shtml