Legend of Material Industry 2/The chairman’s son was given a demerit! The second generation of Changxing went westward and made meritorious service, hiding the secret that his father did not tell | Finance | CTWANT

Legend of Material Industry 2/The chairman’s son was given a demerit! The second generation of Changxing went westward and made meritorious service, hiding the secret that his father did not tell | Finance | CTWANT

2024-03-07 22:00:00

Gao Guolun, the only son of Changxing Materials founder Gao Yingshi (right), entered Changxing for training following receiving his master’s degree. The second generation worked hand in hand with team leaders to lead Changxing to grow and thrive. The picture shows the Gao family’s ancestral home in Jiali, Tainan. (Photo/Provided by Gao Guolun)

Among the legendary stories in Taiwan’s chemical industry, there is a synthetic resin factory located in Luzhu District, Kaohsiung City. Chengjun’s revenue exceeded 10 billion in 33 years, and doubled and doubled once more 23 years later, directly reaching 50 billion. Industry insiders When mentioning the story of the company’s leap from “Changxing Chemical” to “Changxing Materials” (1717), one would say, “He led a team to set up factories in the mainland, making Changxing bigger and faster. The second generation succession is very different.” .

This “he” is Gao Guolun, the 68-year-old chairman of Changxing Materials. “I don’t know how to do research and development, so I just go and start a business. No one wants to open a factory in the mainland, so I will!” Gao Guolunhao told CTWANT reporters enthusiastically that in addition to being based in Taiwan, he must also actively expand production capacity and regional markets in order to expand his business. In order to increase revenue scale and profit margin, the first subsidiary was established in Kunshan, Jiangsu Province in 1995. By 2021, it will continue to invest and adjust its strategy. There are Changxing production bases in East China, South China, North China, Central China, Northeast and Southwest China.

What Gao Guolun said is heroic, in fact, this “different” second generation, before leading the westward expedition, was penalized by the company and made things difficult for him by the board of directors. There were many bumps and bumps along the way, and there was an unknown father’s love hidden behind it. .

Gao Yingshi, the founder of Changxing, is 101 years old. He used to hold a public office and has one son and three daughters. “My father once told me that the division of labor and responsibilities among bureaus, audits, accounting, political affairs, etc. in the public sector is the best management design for running a company. The difference between good and bad performance lies in “people”. The system is good, with both quality and efficiency,” Gao Guolun said.

After graduating from the Department of Political Science at Soochow University, Gao Guolun went to the University of Southern California to study for a master’s degree in business administration. “As an only son, I realized my destiny to participate in my father’s business very early.” “I followed my father’s ideas and learned to do well. A manager.”

Changxing Synthetic Resin has strong competitiveness in the market. More than 20 years following its establishment, Dutch DSM invited the strong companies to cooperate to establish Dixing Resin in Taiwan and mainland China. In the picture on the right, the founder Gao Yingshi is on the second left and Gao Guolun is on the right. (Photo/Provided by Dixing Resin)

After completing his studies, Gao Guolun returned to Taiwan and entered Changxing in 1987. At the age of 31, he started as a researcher in the Enterprise Management Office. According to CTWANT’s investigation, in the early days of Changxing, Gao Guolun, because he was “the son of the founder and chairman,” “you don’t have to do this, and you don’t have to do that…” The politeness of his colleagues made him feel that he mightn’t learn anything in the company.

In Gao Guolun’s third year in Changxing, a big event happened. “Many people gathered in front of the bulletin board and stared at a notice posted, ‘Gao Guolun has been deducted.'” A Changxing person recounted how colleagues talked regarding this major news in Changxing that year.

Changxing has always been very clear regarding rewards and punishments. “There was a supervisor in the company who always dealt with business affairs. At that time, he assigned the deputy manager of the sales management department (referring to Gao Guolun) to go overseas to collect accounts. As a result, he only returned 80% of the total account balance when he returned to Taiwan.” “Because he saw that the manufacturer was facing financial constraints, he wanted to offer accommodation to old customers. Although it was excusable, he did not inform the head office first.”

The supervisor announced the demerit penalty once morest Gao Guolun in accordance with the regulations. “Everyone will understand following reading it that the founder’s son is just like the employees. He must be punished for not doing his job well.” Since then, Changxing employees have become more “no barrier” to Gao Guolun.

Gao Guolun confirmed this past incident and said, “I knew I didn’t do a good job, so it was natural to be punished, and my father didn’t say anything.” “Actually, it’s not that exaggerated. I would also criticize the company for this and that in front of my colleagues… My personality I’m very easy to get along with, and I quickly got along with everyone.”

In 2000, the Gaoping River wastewater expropriation incident caused the Changxing Road Bamboo Factory to suspend operations for three months. (Picture / newspaper information)

Speaking of that year, Gao Guolun also told reporters, “My father’s style and concepts more than 30 years ago were progressive and bold. The company established a new department of corporate management. More than ten members are fresh graduates of business administration master’s degrees, including me.”

“We have no practical experience. We write reports based on research and analysis data. Many of our ideas are often dismissed as unrealistic and have no specific suggestions to company officials.” Later, this department was also abolished.

In the same year as the demerit, Dutch company DSM came to discuss cooperation and invited Changxing to jointly establish a joint venture in Taiwan and set up a factory in mainland China. “Although DSM Appraisal and Changxing are both market competitors, DSM is better at marketing and Changxing’s production management quality is better. We are responsible for the mainland market, and it is easier than them to penetrate the local market. It has been more than 30 years since then. Later, Deshang Buy the equity of DSM and become our new partner.” Gao Guolun said.

This cooperation case deeply inspired Gao Guolun, “Competitors will not always be enemies!” Dixing Resin was established in Pingtung in 1988, but its westward expansion into the mainland was frustrated.

When Gao Guolun saw Changxing’s customers arriving in mainland China one following another, he took the initiative to propose a proposal to the board of directors, but it was not accepted at first. “The founder, Chairman Gao Yingshi, stood on the same side as the directors and repeatedly raised many questions to his son in meetings.” A Changxing person told reporters regarding the internal situation at that time.

“The founder treats everyone equally, and even makes trouble for his son harshly, raising many questions and objections.” “But following the meeting, he will consult each director one by one to understand what doubts they have, and then explain them one by one to resolve everyone’s concerns. Worried.” The person revealed this secret. The founder did it silently and did not tell his son.

Changxing was listed on the stock market in 1994. From the following year, the plan to set up factories in the west was gradually completed. From Jiangsu, Guangdong, Shanghai, Japan to the United States, he was promoted from deputy manager to vice president, and when he took over as general manager in 2000 , Changxing encountered the biggest crisis since the founding of the army.

In an exclusive interview with CTWANT, Gao Guolun, chairman of Changxing Materials, mentioned Changxing’s prospects. In addition to continuing to develop new technologies in synthetic resins, electronics, special-purpose and biomedical materials, the plan to set up factories in Southeast Asia will help Changxing. (Photo/Photo by Zhao Shixun)

In the year of the new millennium, the “Gaoping Creek Chemical Industry Incident” broke out in Kaohsiung, which affected the Changxing Road Bamboo Factory and suspended operations for three months. Gao Guolun, who was busy opening a new company in the United States at the time, immediately returned to China and faced the investigation together with the then chairman Yang Wenxiong. “We knew that it had nothing to do with our colleagues in the factory, so we insisted on paying full wages during the shutdown, so that our colleagues might live with peace of mind. , this is where I share the revolutionary sentiments with Luzhuchang.”

Fortunately, the city government agreed to resume work, which was a turning point for Changxing to accelerate its transformation into an ESG and environmentally friendly materials supplier. This incident made Changxing veterans see Gao Guolun’s responsible attitude, and it also became a stepping stone for him to take over in the future, and he was promoted to chairman in 2010.

The reporter asked when the third generation will take over? Gao Guolun has three sons. The 40-year-old eldest son has entered Changxing’s Japanese subsidiary for experience. “Abroad, no one cares regarding his identity and background, and he will learn more.” “I am now more focused on corporate governance and let professional managers Divide responsibilities and rule, and the third generation in the future does not necessarily have to be the successor.” Gao Guolun, who has been on the road to succession for 37 years, expressed his thoughts as a father in a relaxed and humorous manner.

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