整合思考，商业实战，成就跨越式成长|E Stream Capstone Project
复旦大学-香港大学IMBA 2020-04-20 浏览量: 1975
在这长达半年的时间里，同学们学以致用，真正践行实战，经历了涅槃与蜕变的成长过程。现在让我们一起走进E Stream，揭晓Capstone Project各小组背后的成长与收获。
How proper corporate governance can support Xiaomi's sustainability
小组组长：He Xin, Li Jiangting
小组成员：Song Ye, Chen Hongzhu, Zhou Yong, Xu Hui, Ji Huicheng, ZhangQiuyan
研究课题Through the investigation of Xiaomi's business model and company valuation, we believe that corporate governance as the company's top-level design determines the sustainable development of Xiaomi. Through the analysis of Xiaomi's corporate governance structure and comparison with AT & T, Xiaomi's corporate governance has been studied from six dimensions, and the problems that need to be improvedand resolved are pointed out.
1. Difference between self-positioning and stock performance
Xiaomi's business model and positioning of itself deviate from the market's valuation. Xiaomi has always emphasized that it is a high-tech Internet company, not a hardware manufacturer. This project analyzes the reasons for its insufficient momentum for sustainable development from the following aspects.
(1) Product Differentiation
(2) Product R & D
(3) Operation Supply Chain
(4) Operation Organization
2. Differences in corporate governance systems and practices
Corporate governance is the top-level design for the sustainable development of Xiaomi. This project uses some best practice evaluation methods and scoring tools to diagnose the following six elements in Xiaomi's corporate governance structure.
(1)Structure and Functioning of the Board of Directors
(2)Rights of Minority Shareholders
(3)Control Environment and Processes
(4)Transparency and Disclosure
(5)Commitment to Corporate Governance
(6)Governance of Stakeholder Engagement
3. Comparison of Xiaomi's corporate governance and reference companies
AT & T has a long history and a reputation for corporate governance, and it is a recognized benchmark for best practices in corporate governance. This project further compares the six elements in the corporate governance structure of the two companies and interprets them in combination with the disclosed information, so that these six elements are proposed for Xiaomi from different dimensions. It is expected that the value of Xiaomi will be further recognized by the financial market, and the product market will be expanded to become a stable, sustainable and great company！
Through the capstone project, we have integrated and applied what we’ve learned in the past a year and a half, from industry, company, market, to company valuation, options, to operation, information management, and organizational leadership ... To be reflected. Under the guidance of professors, the subject matter established by our group falls into corporate governance, which is a brand new field for many students. After all, we still live in execution and study more in our studies and work. Strategy, which makes us feel less unpleasant when we use it！
However, with the encouragement and guidance of the professors, our group of students worked out the goal of “challenge unknown areas and get out of the comfort zone”. The team leader led us to formulate measures for project progress management, role division, and task tracking to ensure project progress controllable and project quality controlled.
In the process of project completion, we learned from each other, encouraged each other, sometimes engaged in fierce discussions, and sometimes echoed each other, resulting in countless sparks of innovative ideas, and everyone benefited a lot. At the same time, we’ve established a deep friendship, which is also one of our important and fruitful achievements. We believe that this friendship will accompany us forever！Long live Capstone, long live graduation, long live classmates, and long live friendship!
在此更要感谢Dr. Lu和Dr. Chan对我们组的专业指导和严谨细致要求，为我们指出不足和研究的方向，促使我们更加深入的去思考和挖掘问题的本质。深夜2点，电脑里报表上冰冷的数字背后我仿佛看到资本市场的逐利与冷酷，更多的是一个企业家的情怀与坚守。
SIRIO’s business transformation from OEM to ODM after IPO
小组成员:Zhang liyan, Chen Qi, Chen Di, Ma Hongyan, Gu Jin, Xie Danna, Zhou Mingxi
Business Model Change in Volkswagen to Shape a Sustainable Future
Cummins Inc. in China
小组成员:Yang Jing，Chen Zhen，Wu Mingming，Xu Sisi，Yan Yaqin，Yang Jing, Chen Zhen, Wu Mingming, Xu Sisi, Yan Yaqin, Zhou Haibin
Cummins is facing some challenges in China: the 50/50 JV model with different OEMs in China, in order to get more market shares. And all these Chinese partners have owned brand diesel engine, Cummins engine and other Cummins key competitors as multiple sources, these partners are also drastically competing in the market. While the 50/50JV model is an independent operation entity, causing overlapping products and plant investment, high supply chain cost and lower economic scale to compete with key competitors like WeiChai and YuChai. Our key focus is to study: How can Cummins China maintain the success and grow business in China under the JV model?
By deep diving into 4 dimensions, we dig out the key success factors to maintain as well as the room to improve incorporating.
Product Mix: Allocate the R&D investment to China localized product stream, and also expand application engineering capability in JVs.
Aftermarket and Service: Reduce cost, expand aftermarket network and improve the service quality.
Policies and Sino-US trade war: Align with China trading & investment policy, invest in high-tech products and develop local suppliers.
Business model: Keep JV model while optimizing the JVs operation and supply chain to achieve more collaboration and synergy.
What also worthy to mention is the challenges faced by Cummins are in common with other America-invested companies. Next step, we are going to extract our solutions generating from the Cummins case and extend to most of the American companies under such fast-involving relationships between China and America making our study is more universal.
wards common goal in such setup is also critical to our future career achievement.
Hengrui Builds the Best-in-class Global PharmaceuticalCompany
小组组长: SHEN PUYU
小组成员:WANG LI，GAO SHAN，XIAO DIHKU, JIANG SHAOQIANG, WANG YU, HU YUNCHUN
Jiangsu Hengrui Medicine Co., Ltd., established in 1970 and headquartered in Lianyungang, Jiangsu Province, is not only the leader in domestic pharmaceutical industry, but also the front-runner in China’s innovative medicine. In 2019, the net profit of Hengrui has risen by 31% to 751.1Million USD, while revenue grew 34% to 3.28billion. Meanwhile, it was the first time for Hengrui listed in the Top 50 global pharmaceutical companies, ranking 47 in 2019. However, there is a huge gap for Hengrui comparing to Top 20 Global pharmaceutical companies, like the weakness in R&D and lack of M&A. Facing these weaknesses and challenges, the key factorto improve Hengrui’s performance is the robust capability of R&D.
By analyzing the strengths and opportunities of Hengrui, we are convinced that Hengrui has the great potential to become a best-in-class pharmaceutical company in the world. However, considering it is far behind from other top pharmaceutical companies, it is mandatory for Hengrui to develop its sustainable comparative advantages.
First, it is necessary for Hengrui to strengthen its internal R&D capabilities by executing short-term and long-term strategies.
Second, Hengrui also can view M&A as a supplemental and effective strategy to acquire innovative products under certain appropriate conditions.
In conclusion, being the top 1 Chinese domestic pharmaceutical company, Hengrui is making progress and will have a bright future to jump onto the worldwide stage. In addition, all our team members have a deeper understanding on the pharmaceutical industry and have paidmore attention tothe progress.
Pharmaceutical industry, as one of the cores of the healthcare industry, makes significant contribution to national economy and social welfare. As a top tier Chinese company, Hengruihas also started to play an important role in the global pharmaceutical arena. Through the project, we’ve integratedinsight from the market research with Hengrui’s capabilities to suggest a set of strategies for enhancingits successeffectively.
Our teamhasproperly analyzedthe logic framework and ensured that all project segments arefocused on the story line. We’vealso clarified roles and responsibilities basedon individual experiences and strengths for smooth and effective teamwork.
More importantly, we would like to thank Professors for helping us to extend our MBA learning to realistic business decisions and management. This is essential for us to deepen our understanding and knowledge,andtoget ready for the future business challenges, especially in the healthcare industry.
We believe that Hengrui and other Chinese pharmaceutical companies can generate more local and organic pharmaceutical innovations,accelerate their commercialization and access to patients, and create more business success so that Chinese companies will play more critical roles in the global healthcare markets.
Beyond Meat, Go Beyond！
小组成员:Lin Chunhui, Gao Wei, Mao Jinglu, Shen Wenjie, Wang Yan, Zhang Xin
BEYOND MEAT is one of the fastest growing food companies in the United States, offering a portfolio of revolutionary plant-based meats. The company builds meat directly from plants. Beyond Meat has revealed that it plansto expand into Chinese mainland market in 2020, which is the largest single meat consumption market.
Overarching issue for Beyond Meat: How to acquire customers in China as a new comer?
There are four key challenges ahead:
• It lacks of market knowledge & experience with respect to China
• Not much industry and brand awareness
• Chinese customers have different taste and eating habits
• Formidable Rivals including global competitors and local new companies
Facing the overarching issue of Beyond Meat, we adopted a new analysis methodology including PEST and industry analysis for macro, Customer Profiling and 4P analysis for micro analysis of Chinese environment.
Following the above analysis and findings, we proposed recommendations in 4 dimensions: Product innovation, Price suggestion, Place and Promotion action plans. Meanwhile we suggested detail solutions to face the 4 key challenges.
Plant-based meat is a revolutionary high-tech segment of traditional food industry,which has drawn many attentions from high-tech innovation companies, giant food companies, investors and media reports. Through this capstone project we’d like to investigate how this new industry will develop in China.
The capstone project is really a fantastic experience in our IMBA program. We work as a group to study, to share ideas, to apply what we’ve learned in IMBA program and to acquire advices from professors. We learn together, we pain together, we struggle together and we grow together. We invested together in stock of Beyond Meat and lost half of our money at this moment. In the end we believe we will harvest a lot not only on this capstone project but also on our investment.
Research on Digital transformation of TAL Education group
在今天的内外部环境，数字化转型是TAL公司的一个必选项。传统的竞争策略是聚焦，做差异化或者低成本，而在数字化时代的竞争策略应转为多产品多客户维度的网络效应 (network effect),因此TAL公司未来的商业模式应重塑to C，To B的业务，成为一个平台型公司，赋能整个教育生态系统。但数字化转型是极其挑战的，组织变革是推动数字化转型的关键，组织结构和文化等等都需要配合未来的战略做调整，最终须形成一个学习型组织，以适应不断变化的环境。这一研究不仅适用于TAL，对整个K12行业有普遍借鉴意义。
AN INTEGRATION FRAMEWORK FOR COMPANY AFTER M&A IN EDUCATION SECTOR
Group 9 has come up with a framework on how OneSmart could do better on its M&A Integration.
About OneSmart: OneSmart International Education Group Ltd. (NYSE:ONE) is the largest premium K-12 Education Service Provider in China. OneSmart has 3 product lines, namely OneSmart VIP, HappyMath and FasTrack English. OneSmart was looking for ways to expand and diversify its geographical coverage in other parts of China.
Education market in China: 3 key characteristics – (1) Hugh market size, high-speed growth & highly fragmented. (2) Active VC/ PE involvement fueling the sector growth. (3) Aggressive M&A activities taken by listed education companies to expand market share and geographical coverage.
M&A activities done by OneSmart: Shortly after its IPO in 2018, OneSmart has acquired Juren Group (Beijing), Huayin Group (Tianjin) and DIBE (e-learning). Encountering fierce market competition, OneSmart expects to build up its education ecosystem through aggressive M&A activities.
M&A Integration by OneSmart: OneSmart didn’t do much on M&A integrationand its operations remainedindependent. Synergetic potential was unfound. Financial performances didn’t meet the expectation.
研究成果Integration type: OneSmart has adopted “Preservation” & “Symbiosis” type of integration that hasbeen provenunsuccessful. We suggest that “Absorption” strategy should be adopted as to consolidate Juren & Huayin current resources andto tighten the management control for better operation efficiency.We developed a model, IFOCUSS, whichcould facilitate OneSmart to do integration contents in 7 areas.Information System Integration: IS integration is critical for achieving the intended M&A goals. Referencing to the DySIIM model, we suggest OneSmart should do the IS integration on both informational and operational level. Also, OneSmart shouldexplore transformational new technology on education.Financial Integration: We suggest OneSmart setting upashort-term & long-term centralized finance strategy and focusingon risk control & free cash-flow management. Also, OneSmart should focus on physical & intangible asset utilization and value maximization.Organization & Management Integration: First, OneSmart should adopt a Centralization management mode by imposing direct full control on acquired companies; Second, OneSmart should design an Exit Strategy for founders at those acquired companies. Third, OneSmart should initiate standardization on operation process, management rules & regulations and also the HR management system.Competency Integration: This is the moat to differentiate OneSmart from competition. OneSmart should continue to promote its premium services in the market. Then, it can leverage Juren & Huayin’s resources and introduce new courses in more cities. Furthermore, it should continue to improve the teaching materials by upgrading its online teaching resources database. Finally, OneSmart should train and retain its qualified faculty members in order to maintain tutoring services quality.Culture Integration: OneSmart should correlate with Absorption strategy to advocate its culture on the acquired company. Actions should include management team to practice corporate culture consistently, organizing corporate culture internal-marketing activities, and celebrating and recognizing star employees. Strategic Integration: This is the guiding beacon on the directions of M&A integration at the new organization. Corporate strategy will be re-positioned by conducting SWOT analysis and due-diligence. Human Resources Integration: To foster an amicable reaction from the staff after M&A, OneSmart should be 1) creating a transparent and frequent communication; 2) involving employees on making company decisions; 3) organizing more team-building activities and team work practices; and 4) conducting more regular training workshops.
We believe our framework can help OneSmart to maximize the value from M&A. Also, we hope that it could be served as a reference to other companies in the Education sector in China on ways to maximize the synergies potential on M&A integration.And during the process, we enjoy the discussion, and innovation which we made.