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Innovation and R&D management push Huawei from USD 5,680 startup to 60 billion USD annual sales in 2015
Keywords: Telecommunication, Huawei, R&D
In 2015, Huawei estimates sales revenue of about 60 billion USD, with a solid increase in profits and cash flow. Over the past 28 years, Huawei has gone from 5 people startup company with only USD 5680 initial capital charging to top three tech company in telecom and mobile phone areas, which has been a huge company with hundreds of thousands of people worldwide . According to the United Nations agency, Huawei, with nearly 3500 published applications, overtook Panasonic of Japan as the largest applicant for global patents of in 2014. U.S.-based Qualcomm was the second largest applicant with 2400 published applications. To date, with a yearly investment of over 8 billion USD in R&D, and about 70,000 engineers worldwide , putting Huawei in a leading position worldwide in computing, wireless tech, telecom, mobile phone . Huawei represented for Chinese private enterprises’ huge technological progress to fostering innovation,that was selected as the world innovative enterprise by the British magazine The Economist in 2010. Does other companies can learn from Huawei’s success experience and create same legend? Obsolutely Yes. After my resignation from Huawei as the gold award holder of best innovation leader , I summarlized systematicly about experience from Huawei and other brilliant tech companies’s innovation and R&d management , then devoted to and already helped more than 100 tech companies to improve their abilities in R&D management, innovation, strategy, and employee performance. Many of those companies obtain great progress after consulting project .For example, GigaDevice chipset, Asiainfo Bigdata, AGCU Gene Tech and InnoLight optical Technology, were the companies whose founders graduated from USA and set up companies in China after that. The founders & entrepreneurs wanted to be much more innovative but often suffered failure. After I did consult in these companies using innovation and R&d management , their innovation performance presented huge progresss such as sales from new product or new market doubled or in some case even tenfold than before. That showed that innovation and R&d management is such kind of science which have to be valued as importance as any other tech or science such as biology,electronic,or computer etc. And that is the core point of Huawei’s success experience for founder & CEO of Huawei whose name is Zhenfei ren, was not a tech genius like its competitors’ founders such as CISCO, APPLE etc. Zhenfei Ren could not do any tech research by himself, so he put more than 1% of sales amount to hire a lot of management consultant to establish and improve management , that accumulated the best innovation and R&D management system in the world, which pushed Huawei had most strong capacity of innovation that new tech patents ,innovative products could be manufactured just like from assembly line in the factory with very low failure rate. These great experience and management system , were not only effective in Huawei, but also in other tech companies as my consultant result
Lihua Zhang, Founder
Beijing Csuccesses Consulting company
Beijing, Beijing
China


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