Zhang Ruimin Subversion either disruptive innovation or you are destroyed

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"you’re either disruptive innovation or you’re being destroyed." This is the Haier CEO Zhang Ruimin in 2013 Haier Business Model Innovation Global Forum cited the father of innovation, Christensen’s words. Facing the coming of the Internet, he had "very careful" Zhang is as if, after sixty Ershun he decided to start in the management and organization of self subversion. Why does Zhang Ruimin want to subvert Haier? How to subvert the traditional enterprise and how to embrace the Internet? What is the significance of the entrepreneurial enterprises? See Zhang Ruimin oral.



; why subversion?The organization and management of traditional

should be said that it is based on the theory of enterprise management, is the Adams Smith the "wealth of nations" which put forward the theory of the division of labor. Adams Smith in 1776 to write "the wealth of the nations", so far in the past 230 years, is also the foundation of ruling theory of enterprise management has been more than 200 years.

division of labor theory is also derived from two aspects, the first is the assembly line. This is the father of the scientific management of Taylor put forward, he is a very famous time action research, each process, each action are studied. He made a very famous case personally, when the train fireman to fill inside the coal, the shovel should be how heavy. Until today, our assembly line, our process is basically the set.

another is the organizational hierarchy, which is the father of Marx, the father of the organizational theory of Germany, ·, and, of course, by Webb. An organization like a Pyramid shape, which he was supposed to be in the three tier. The first is the top of the spire is the top management, middle middle managers, the grass-roots staff. Of course, large enterprise organizations may not be three, and may be more than a dozen layers.

so far, this division of labor has been challenged by the internet. You see the American business historian Chandler to the modern industrial capitalism comes down to the scale and scope, it has a very famous book "economies of scale and economies of scale". The so-called economies of scale simply is bigger, the so-called scope is that I do not only do this industry, related to do, that is to do extensive strong. Now there is a slogan of "bigger and stronger", in fact, is almost in this power, you do the largest scale, the scope of the strongest. After doing this, you set the threshold is very high, I would like to go into the hard to go.

but in the information technology era, the platform has become the driving force. In other words, the scale and scope of the division of labor theory to the extreme, the larger the size of the division of labor it is more fine, but the platform to subvert the theory of division of labor. Why is a platform on the bilateral and multilateral trading market. For example, like Taobao, Jingdong, such as electricity providers to develop very fast, because they do not have the kind of division of labor in the past, the complexity of the theory, the transmission speed is very fast, on the platform can be very