Chambers Network giant Chambers Birth: 1949 / Education: Law degree, MBA MBA / Current Position: Cisco Systems (Cisco), CEO and President / know-how to attract talent: I always put those capable people to important tasks; otherwise insult them. First impression Chambers abnormal abundant energy, it seems never know what tired, he told me that he used in the work of the time every day there are 12 to 18 hours. I believe him. I met great people all have one common feature: the work of up and do not know what tired. When Chambers first visit to China in Beijing for two days and a half, I followed the two and half days. In these two half days in that I know how much Chambers busy, how energy is abundant. He has been arranged during the day time not only full, night time is also quite full, even if the 11 pm to return to their homes to live, he will have to open the computer, dealing with a lot of e-mail. Followed up in two and half days, I truly understand the Chinese market, Cisco Wang Lian, head of the arrangements for my interview why so difficult. Chambers attaches great importance to customers, the days of his visit to China he generously gave most of the time the customer, the customer had a turn into another speech, dialogue, while the time for journalists to pull it very tight . To hundreds of journalists there is only one hour in addition to any interview. Later, Wang Lian desperate brains, I arranged for a time period that the Chambers met in Zhongnanhai, after completion Wu Yi, in New Century Hotel from Zhongnanhai to New] Division conference this way I can in the car Chambers interview. Cisco I and several staff members at the door at the Zhongnanhai Chambers. I do not know why, I felt a sudden abdominal pain, so I went to Zhongnanhai, the bathroom door; went to the bathroom, I am not worse, so I ran out, they found all the staff of Cisco gone. I thought about long grass, like: Oh, Chambers gone! I quickly took a taxi, catch up with New Century Hotel, so I rushed to the press conference venue, Chambers has been standing in front of hundreds of journalists began a speech. Chambers presentation style is extremely casual, sometimes he above the ground from a large portion of the stage, bounced off the stage, sometimes jump from the audience on stage, sometimes in the audience seats in bar, and sometimes come last rows of seats. Speech in the Chambers from time to time to use his forearm to make a variety of arc nice gesture, gray eyes, full of good intentions without also full of concern. Two half-day, the Chambers held a four speeches. Several speeches that were heard me, he&#39;s speaking style is so very memorable. You will feel this has a golden yellow hair, a very mild temperament, always smiling foreigner, although not very tall, not very strong, but full of a force, this force is his natural and sincere. Chambers finished a speech at Qinghua University, the leaves for some time for students to ask questions. Tsinghua University in China deserves to be one of the most famous institutions, the vast majority of students asking questions, they all directly in English. However, when one student stood up and suddenly Baisheng Sheng of Chinese in question, Chambers shouted &quot;Hi&quot; to call out the sound, accompanied by violent twisting the body, waist and one leg bent down when asked, his face full of pain-like. This is what angered teachers and students packed laugh. See all this, who did not think that Chambers had suffered from fear of public speech. As everyone has weaknesses, like everyone not ring true, Chambers also had weaknesses and not &#39;quality, but he has the courage to overcome their weaknesses, will ring true as a kind of reference, this is his great for. Write here what I have to take to thank Wang Lian, Wang Lian is a very dedicated head feel. Take responsibility, it is far-sighted, passionate sincerity to buy the market staff, marketing staff with these qualities are rare even in foreign companies. While at the press conference I asked two questions, but not enough to paper used. Anxious to see my face, Wang Lian was very understanding, the last day of visit to China in the Chambers, he reminded me that there is a chance you may wish to try, because that night at the China World Hotel Chambers to dinner Week corpse, after completing the banquet, if you can Duzaimenkou, perhaps to the ghost of a chance to fight. So, I was at the China World Hotel, 10 pm to wait until end of the banquet. When Chambers came out to see me from the dining room, he and the people around him exclaimed again. Chambers was I moved immediately to a very important decision to work back late brief meeting to be interviewed. See Chambers to do so, and I was very moved. Sincerity can move back to using the online world giants, although in the business grinding on his bubble for years, but still live very human. His heart, not fame, status, Money drowned. Interview Date: June 1998 in Beijing Chambers Network giant In 1996, when with a golden hair, a very mild temperament of John Chambers (John Chambers) took Cisco (Cisco Inc.) President and Chief Executive Officer of Sceptre already Biezulejin children when, according to with Cisco&#39;s big &quot;throttle&quot; one foot in the past, they followed him along the entire Cisco Internet mad or turn to: the way forward with the router crazy &quot;Pave the Way&quot;, all the way crazy with buyout firms. Crazy with the development of three results: Cisco annual turnover from 120 million U.S. dollars pulled up to more than 100 billion dollars; staff development from 2,500 to more than 50 countries with 17,000; from a simple router manufacturer (since the router have occupied more than 80% global market share), extended to all aspects of the Internet industry, and in several key areas of the network established industry leader; more importantly, he is far throw off all the competitors, sit tight in the network in the field of the top spot and become the fourth generation of computer development in the history of upstart. The &quot;hot&quot; hand holding five billion U.S. dollars in cash, before joining the ranks of the world&#39;s top 50, too proud, horseshoe more diseases, in large company stocks skidding all the time, Cisco has continued up breathing children nez de boeuf, 1997, its market capitalization of 45 billion U.S. dollars, up 72.6 billion U.S. dollars in 1998, but by 1999 the market value of its stock actually shot up to 300 billion U.S. dollars. Wall Street stock market, only General Electric, Microsoft and Cisco three more than 300 billion U.S. dollars in market value. Some analysts predicted that Cisco in the Nasdaq (the famous high-tech U.S. stock exchange) on the stock market value may be more than one trillion U.S. dollars. A recently published study reported that these may be expected within two years. And about five years ago, the Nasdaq Stock Exchange market value of all listed companies was the first time more than one trillion U.S. dollars. Confused with entry, pull out clearly Let this dark horse volley Cisco&#39;s Chambers has been born with 22 years IT industry experience, he is an academic financial background, has won financial and MBA degree, also won a law degree. First job, he naturally went to the operation of the M &amp; A advisory company work, a friend told him later that there was a specific selling solutions (Solution) company, called IBM, ready to introduce him to this company, while Chambers was only &quot;solution&quot; is an interest, then &quot;sleepwalk&quot; into IBM The world&#39;s largest computer company, but he fell in love with information technology from the industry, and with The industry had a close relationship. Chambers said to me: &quot;If we had my friend told me IBM is a company selling the product I will never come, I&#39;m really lucky.&quot; Chambers did 6 years in IBM&#39;s sales. In 6 years, he felt the IBM attaches great importance to users, including users of the technology and support on the product. But later, IBM began to go for downhill away from the customers, making Chambers lost confidence on the IBM, so IBM away from the Wang Corporation and Wang Laboratories Inc. did for 8 years. &quot;6 and a half years before I did it very successfully, over time, Dr. Wang An was still working, when I was vice president of this company, this time, we attach great importance to customers, so we can each year 40% of the rate of development . Dr. Wang An strengths is a great visionary, will develop in different forms in different sectors, and his long-term plan ways of doing things to make me a lot. &quot; Later, Wang retired, his son succession, Wang direction of the company&#39;s management changes, &quot;from the customer, is not properly take care of various interests&quot; (Chambers English). Wang Chambers was in charge of overseas business half of the company, one day he called to the office and was told that he was transferred control U.S. operations, but there is a prerequisite that the first laid off 4,000 people, &quot;This is me that is too painful, and this is simply to kill me, I felt the company did not want, so the company finally left the Wang. &quot; &quot;Companies on the rise period, the customer can be very conscientious and made great achievements if they would forget the customer, they have forgotten exactly what the user holding them up, nor are they out of the user, only sales come down, so have layoffs. I watched IBM and Wang Laboratories Inc. of its decline from its peak. &quot;(Chambers English) Although Chambers is hurt heart to leave IBM and Wang Laboratories Inc., but the life of the two companies really taught Chambers Chambers of today&#39;s most critical lesson is this: we must focus on the customer, must be vision. I will make Cisco a generation dynasty Wang came out from the company, Chambers, 48, unemployed for two months at home, then join Cisco, it was in 1991. Four years later, he was CEO of the company mentioned. Chambers became CEO, he vowed: &quot;no large-scale layoffs, I will make Cisco a generation dynasty, I think Cisco can change the world.&quot; IBM, Wang learned the two companies has been a memorable Chambers no iron teeth training, if the technical staff to a bunch of random new technology blurred mirror placed in front of Chambers, must be careful, because he did not believe blindly in any new technologies, he only believe his client. In his two and half days to visit China, the most frequently repeated phrase is &quot;to Cisco&#39;s customer satisfaction is the most important thing.&quot; Chambers put the customer at the most central part of the company, the customer needs of the corporate decision-making center. Chambers not only most of the focus on customers, but also the formation of the company system, such as reward and punishment on to the managerial level should be linked with customer satisfaction. The Chambers their own key to the table every night listening to the manager dealing with customers on the recording of telephone message, &quot;I am in total with more than 10,000 customers have talked to large-scale meeting will be participated in 200.&quot; Another &quot;We also partner questionnaire and the Internet way reflect the views of customers up. No matter which Cisco official major speech in China will follow the audience satisfaction and other customer survey.&quot; I saw hundreds of people during the speech, Chambers, also follow after their questionnaire to the front of an audience. &quot;The key to the success of Cisco customers first, if you can listen to our customers say, you will get good results, that is, must understand the customer&#39;s desire to meet the customer&#39;s wishes, this is the most important.&quot; Even Cisco&#39;s strategic direction will follow the client&#39;s instructions, such as the company&#39;s first acquisition of the causes of it stems from its large customers Boeing and Ford&#39;s statement. In 1993, Chambers in order to meet the future needs of both customer acquisition of a regional network switching manufacturers Crescendo Inc., which makes Cisco has now entered a new area of business. Almost all companies are that the importance of the user, why only Cisco can achieve such good results? When I toss this phrase John Chambers, He replied: &quot;Many companies say customers first, which you ask a CEO of a company would like me to pay 50% of the time to the customer? &quot; To change the rules of the game &quot;Paranoia is the key to Cisco&#39;s success&quot;, the non-technical background of the Chambers in the technology business operations, even the industry&#39;s role in understanding the operation was very profound, he said: &quot;The information revolution has come, it will change all of our will be our life and work order had all upset. If a large company not to adjust their strategy will be merciless to those small firms eat. no matter what country you are, what city, what areas of your face The sense would be a new round of global competition, not only in a specific field within the military, not just confined to Europe, North America or Asia to define a local scope. &quot;is sensational! However, Chambers is sensational remarks of the first successful practitioners. In the world, he is one of the first use of information technology have Rehmannia step Run the enterprise people, which abandoned the traditional mode of operation of enterprises, new models let enterprises in low-cost, high efficiency of fast running. For example, the most troublesome problem for businesses is that excess inventory. When a lot of product backlog at the Treasury, the cash flow is slow, businesses will be carrying a heavy burden. Cisco does not have that headache of inventory problems, because their machine inventory is zero. Not only that, their spare parts inventories are almost zero, &quot;we put our parts suppliers are present there, order directly through the network to the hands of the supplier, the supplier put together the appropriate accessories, sometimes dubbed We need to switch, sent to our Testing (Inspection) Department to do testing. &quot;(Thomas Lam, vice president of Cisco China, language) is even more surprising is that in the course of this online process, Cisco&#39;s products do not need 40% Cisco employees personally handled by the online database to send a direct supplier of intelligent hand. Of course, this type of products are generally relatively smaller, simpler, and those more complex products, but also must do the final processing of Cisco employees. This is in fact a prototype of a virtual company. Chambers said: &quot;This virtual company to come forward with incredible speed and will affect a larger business, suppliers and customers to break the barriers, so that they are entitled to the information they want.&quot; Cisco&#39;s approach in this regard so that all of the companies hold a candle. In 1999 the United States &quot;Business 2&quot;&#39;s list of the world&#39;s top 10 best e-commerce company, Cisco ranked first. Dell (Dell), IBM, Intel (Intel), America Online (AOL), Amazon (Amazon) and other companies have fallen subsequently. Not only in the business model, e-commerce, Cisco walk in the forefront of the times, that is, training employees and customers they are at the forefront. &quot;IT has gone through four generations, the first generation is the mainframe era, IBM sang lead; second generation minicomputer era, DEC was once occupied protagonist; third generation is the era of PC and LAN, Intel and Microsoft sing a leading role; s fourth generation is the Internet Age, Cisco will play a key role. We have the ability in the fourth age play a leading role. &quot;(Chambers English) And let the upstart Cisco to become the fourth generation is what Chambers himself. The &quot;hot&quot; the leader, the prime minister had six countries and two countries, when the President in building its Internet web comments. &quot;Compared with other companies, if we have any unique, then our company is the largest Internet users, we occupy 50% of the Internet market share in large networks occupy 80-90% of the share, a year growth rate is 40%, so only our company can really understand how to go beyond the existing technology. &quot; M is the struggle of people Chambers said: mergers and acquisitions mainly for professionals. He said: &quot;Many companies in the acquisition of knowledge when the confusion on this point leads to the failure of mergers and acquisitions, mergers and acquisitions actually purchased only when you really talent. Most companies start after the completion of the acquisition to reduce the acquired company&#39;s employees, and We retain the acquired company in the staff spare no effort, and sometimes we have important people often arranged in key positions. We measure the success of an acquisition criteria: first, the continued acquisition employees leave rate, followed by new products development and, finally, the investment rate of return. &quot; Once Cisco would like to buy a very very optimistic about the company, not only product right path and the prices are right, but soon become a division of the initial product portfolio, the staff no longer need the original, so Chambers finally gave up, he said, : &quot;We finally did not buy the company, because, although promising, but we have to dismiss employees.&quot; Another time, Cisco is simply a result of the acquisition of three personnel placement and stranded. Another reason for Cisco&#39;s success is because of the success of its mergers and acquisitions, Chambers took over the head of the mace in the first year he was CEO of John Morridge (current chairman) and chief technical officer, Mr. EDKozel to design the take-off program. &quot;Without the long-term plan, Cisco will never be today&#39;s development.&quot; Cisco is now conducting mergers and acquisitions every year, up to a year to M 8-12, since 1993, acquired a total of more than 30 companies. Although the rapid expansion of corporate mergers and acquisitions is a panacea, but if the indigestion, but the opposite is often also to choke. Cisco&#39;s success is that it does not suffer from indigestion. The secret here is compatible with corporate culture. Cisco compatibility is often surprised people feel, for example, if the good performance of the company being acquired, he would not send someone from headquarters, but let the company maintain the original troops and management style. The acquired companies have compatible cultures, Chambers acquisition is a mainstream factor to consider. Chambers check whether the acquirer is compatible with culture: look at the distribution of acquirer stock in the hands of a few investors or the top manager of the hands? How they treat employees? How to look for staff management? Jia-Bin Duh, president of Cisco, said the China, Cisco is a very interesting company, because the total M &amp; A, it is a different color with different companies were formed, but these people get along very well. Chambers on the merger. Another golden rule is to keep Los: never buy a company with similar size, will not acquire a company located far away, not M &amp; A values and culture of different companies with Cisco, a major business acquisition is not based on much difference with your own far companies. Go for a bigger cake Chambers is an ambitious person, not only on the current market of 200 million Internet industry &quot;ambitious&quot;, a huge market on the other also &quot;coveted,&quot; that each year 250 billion U.S. dollars of telecommunications equipment market that is, data, voice, video, the combination of so-called second-generation Internet network, &quot;The market may be 5 times the data networking market.&quot; (Chambers English) With the rapid data communication traffic amplification, three are integrated accelerating trends, telephone companies are in the update of the equipment is out of the old equipment can only be replaced by voice to voice, video and computer files of the new network equipment. This is a need for new fuel market, if the data network, Cisco holds a 50% market share, then the &quot;add data and voice network in the market, it is less than 10% market share.&quot; Lucent, Nortel, Alcatel, Ericsson and IBM and other companies are preparing to enter. Strength of several large telecommunications companies also can not be underestimated, as this first telecommunications Lucent is the elephant in the number of 10 times, 50 times its turnover. In addition, the Cisco strategy even greater challenge is to bundle data, voice and video services will not lose its roots? These are threats to Cisco&#39;s Achilles heel. But this do not seem to Chambers, he said he size of the organization and product technology is not worried because they had ready, &quot;this year we have at least 1 / 3 or half of all mergers and acquisitions will occur in the data, voice and video integration on. Our strategy is simple. We will be changing to seize the opportunity to help those companies will be data, voice and video integration. &quot; &quot;I am in 1998, visited a total of 100 world&#39;s largest phone company in 90, if you ask the president of Lucent&#39;s biggest backers them, his answer is certainly Cisco. But we have not found the biggest competition opponent, today, Internet economy has emerged, in this economic environment, the rules of the game no longer is victory over the small, strong bullying the weak, but the speed of the contest. now I most fear is that Cisco will not be far in the future from customers. &quot; Idea Sharing Do not play balance Leaders do? There is a very &quot;market&quot; argument: the leadership is playing balance. If the word game from the perspective of this sentence, it seems understandable. But as long as deep in to think about: how to play well this balance? Because the total amount of salaries and bonuses to so many, in the hands of official posts, the U.S. poor are limited, how to distribute these limited resources? From the balance point of view, and then the great entrepreneurs can not walk this balance beam. If the benefits of those who give a mediocre performance, the performance will highlight the imbalance of those heart; contrary, if the benefits to the outstanding performance over those who mind mediocre performance will not balance. Unfortunately, in our reality, are often either poor performance or the performance of good people who are often filled with unbalanced mind. This is the balance of play out of the leadership to play a fatal situation. Although the leadership need to &quot;play&quot; balance, but not to &quot;play&quot; in the management of people, but to &quot;play&quot; in the products and customers, &quot;play&quot; between the inputs and outputs. The current head of Hewlett-Packard, Ms. Fiorina said: &quot;HP&#39;s challenge is to maintain superiority on the one hand, one should consider the relevant aspects of the balance, a balance between products and customers.&quot; If the leadership of the management of people play on balance, on the playing side, because the boss in the enterprise is driving the biggest role in a kind of culture, which is to examine the quality of management, a boss of their own greatest leverage. Boss with different style of work out is enormous. Good because the King of Chu Chu good slender waist. Chambers attaches great importance to customers, so companies have formed the focus on the customer&#39;s good atmosphere; Chambers loves people, on the popular talent, he would pay the annual salary of two million U.S. dollars to the high price. Each employee&#39;s annual salary from 500 thousand to 2 million U.S. dollars. This made him popular not only attracted the attention of technology talent, has also attracted the attention of other staff. Cisco voluntary staff turnover rate of only 6%. &quot;I am competent staff who are always an important appointment, otherwise it would be an insult to them.&quot; Not only in money, tasks, Chambers does not play a balanced, even in the work environment, he does not play balance, Cisco did a good job who can even be free. In the management of their staff on the team can not play with balance. Chambers in this imbalance is driven on an upward trend, in line with all the performance, all in line to the ability, all the customers in line, in such an atmosphere, the one who said that the staff work hard. Will not emerge from? Who can say that efforts to serve the customer&#39;s staff will not emerge from? Good atmosphere all the staff will bring a healthy competition and good direction in mind. I asked Chambers: &quot;Do you the most good in the management of what is?&quot; He said: &quot;I am best at three areas, one focused on customers; second is to think of ways to the] talented people; Third, as the same training to train their own employees. &quot; Cisco is the high-quality team that brought out the company&#39;s development also will rapidly spinning wheel. If Chambers were playing on balance, Cisco would not have today&#39;s rapid development. Plain boiled water balance management style is actually a harmful enterprise chaotic management and healthy development, which will ultimately lead to a conclusion: The overall team will be positive of paralysis, capable elite have fled, shrimp are all soldiers will be left disabled. Chambers did not play balance, is a great blessing Cisco employees, but also a great blessing of his own.
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