The Only Invited Chinese Entrepreneur - Why Does Global Peter Drucker Forum Favor Zhang Ruimin?

The Board of Directors of Haier Group (Photo: Business Wire)

VIENNA--()--With the rapid development of Internet of things, big data, blockchain and other technologies, business rules are being reformulated. On the 21st local time, the 11th Global Peter Drucker Forum was held in Vienna with the theme on “The Power of Ecosystems”. Zhang Ruimin, Chairman of the Board of Directors and CEO of Haier Group, was the only Chinese entrepreneur invited to attend this forum, and also the entrepreneur being invited for four times in five years.

At the beginning of 21st century, when others were building blocks to cope with the impact of the information revolution, Zhang Ruimin set up a borderless platform for enterprises with Rendanheyi model. The concept of “Ecosystem Brand” was put forward for the first time last year. Haier group was listed as the world’s only IoT Ecosystem Brand by BrandZTM, an international authoritative brand equity database. Unlike Google, Amazon and others, which build ecosystem with hardware devices, Haier is building an everlasting ecosystem.

Igniting Ecosystem Brand in Europe

The arrival of ecosystem era brings great changes to industrial environment and users’ demands. On the one hand, the demand for integration is increasing; on the other hand, industry boundaries are increasingly blurred. Therefore, it is necessary to establish ecosystem or be defeated by “cross-borders”.

In the smart home scenario, Haier upgraded traditional home appliances to a networked community, realizing the interconnection between users and the scenario. For example, in the living room, after saying “I’m home”, both curtain and light could be opened and turned on automatically; you don’t need to look around for the remote when you want to watch TV, you can just say “Hello” to Xiao U, and the TV will turn on and turn to the channel you often watch. Through a touch point of home appliances, you can get a whole-set customized smart life experience.

At the same time, Haier also starts empowerment transformation actively in related industries. Through building IoC (Internet of Clothing), IoF (Internet of Food) and other ecosystems, Haier has covered various industries and cooperated with more than 1200 resource providers.

Breaking the Boarder and Reshaping Haier’s Growth

There is a law of “diminishing marginal income” in economics, but Haier has broken the magic spell by paid-by-users. Employees will create values according to users’ demands. Haier attracts cooperation partners by added-value sharing and carries out a new round of added-value creation after gaining the sharing. That’s how Haier builds an everlasting positive growth system.

In the era of Internet of Things, the competition among enterprises will be upgraded to the competition among ecosystems. Both Zhang Ruimin and Peter Drucker realized that, and because of that, Haier has taken the lead in transforming itself into a “self-growing, self-cleaning and self-adaptive ecosystem like a tropical rainforest”. In the near future, such enterprises would spring up like mushrooms.