Work Hard for Our New Era

Mr. Ng Tak Kwan, Mr. Steve Leung, Mr. Leung Kai Ming, Mr. Xiao Wenxi, President Liu Xuewen, President Jiang Changhong, Principal Wang Weizhi, President Dai Cunfeng, CEO Xu Xingli, Executive President Zhou Hanping, Vice President Yu Jun, and my colleagues of Jangho Group,
       Good afternoon! I appreciate your hard work in 2017! At first, though it may seem like an old song, I would like to commend various typical representatives of our big family of Jangho Group!
 
◆In the midst of a competition of thousands of vessels, only the bravest seaman who sails by wind can win
 
       First of all, I would like to specially thank Mr. Ng Tak Kwan. When I was presenting the award of corporate loyalty to him, I called him “dear Mr. Ng Tak Kwan”. Mr. Ng is a great gift from God. When Sundart went public, I once joked that I have made two best choices in my life: the first is my encounter with Mr. Fu in college, and the second is Mr. Ng. To my surprise, Sundart always exceeds my expectations. When we acquired Sundart, I thought that it would be not bad if Sundart could contribute HKD 100 million of profit to Jangho Group. It turned out that Mr. Ng multiplied what I demanded. Last year, with the decline of new projects in Macau, I thought that Mr. Ng could at most realize HKD 200 million in Hong Kong and Macau. However, he surprised me once again. More importantly, Mr. Ng is a loyal, professional, responsible and dedicated person. As Mr. Ng’s colleague and the co-founder of Sundart, Mr. Leung Kai Ming has also made great contributions to Sundart’s development. Mr. Leung is a skilled master. With his help, Sundart Beijing won the bidding of the challenging Kremlin-like Huawei Exhibition Center, helping Sundart Beijing consolidate its foothold in Mainland China’s premium market and guide the development of the entire market.
 
       Now, I would like to talk about President Wang Qifeng of Sundart Beijing. When he joined Jangho Group, he was a designer in our Shanghai office, and did a good job of design. Then, he was transferred to Guangzhou. He and Meng Wei travelled to Singapore for business opportunities, won a lot of competitions in Southeast Asia and Australia, and conducted business in more than ten countries. After that, he was transferred to Jangho Group’s domestic interior decoration business, and appointed as the president of Sundart Beijing. Over the past few years, Sundart Beijing completed more than 40 decoration projects for five-star hotels. In my opinion, Wang Qifeng is among the best executives in terms of learning ability, development ability and decision-making ability.
       As such, I decided to send him to develop the medical imaging market. After the Spring Festival, he will pursue the sacred mission of striving for the health and well-being of mankind. I believe he will achieve amazing results. He has made remarkable contributions for the development of Jangho Group’s architectural decoration business and the entire group. Let’s give a round of applause for him.
      Just a few days ago, the Chief Executive of Hong Kong Carrie Lam met with Mr. Steve Leung, expressing the hope that he would speak on the global arena on behalf of Hong Kong and promote Hong Kong, China and the Belt and Road Initiative around the globe. This is because Mr. Leung is the chairman of International Federation of Interior Designers/Architects (IFI) and the pride of our Chinese nation. As Mr. Leung said earlier, SDL ranked Top 1 in the “Residential Category” of “Top 100 Giants Research 2018” by the magazine Interior Design for the third consecutive time. It is an extraordinary achievement!
      As I said a few years ago, Jangho Curtain Wall survived the hardships in Middle East, Americas and Canada. The fundamental reason is that we transform our curtain wall business from nothing to the No. 1 around the world. In his speech, Dai Jun said that he had no idea who is No. 2 in the curtain wall industry and that he wants to make Jangho Guangzhou No. 2 in the industry. This morning, I received a Wechat message from him, saying that Jangho Guangzhou has won CNY 900 million worth of bidding in South China since January 1, 2018. I think that his promise that Janghou Guangzhou will become No. 2 in China’s curtain wall sector is not exaggerated at all.
      After a hard transformation, including continuous exploration over the past few years, Gangyuan Decoration bottomed out finally. I feel that Gangyuan Decoration’s success is near. Since Fu Jianping was appointed as the president of Gangyuan Decoration, its morale has been changed. Fu Jianping is an ambitious, inclusive and aggressive person who focuses on solidarity and policy and can mobilize the initiative of all types of talent. He’s born to be a leader. I asked Fu Jianping and President Ding Jingyong of Sundart Beijing to make progress while maintaining steady growth in 2018, with a focus on operation and team building. President Qiang Jun of Gangyuan Curtain Wall used to be a purchasing specialist. His speech shows that he is more passionate than I am! Under his leadership, Gangyuan Curtain Wall has performed well.
       Under the leadership of Ding Chunya, Gangyuan Design Institute has accomplished its targets for two consecutive years. Particularly in 2017, its orders grew rapidly. I believe that with the help of Mr. Steve Leung and Mr. Xiao Wenxin, Gangyuan Design Institute will definitely scale new heights. It should be determined to surpass SLD in terms of scale. This is not impossible.
       Now, I would like to talk about CCE Oasis Technology Corporation. On December 6, 2017, I and President Dai Cunfeng inked the contract to incorporate CCE into the big family of Jangho Group. CCE was founded by President Dai Cunfeng and CEO Huang Xinhua. Over the past decade, it has overcome various obstacles and progressed in keeping with the trend of times. However, solar development needs to be supported by capital. When they were in urgent need of capital support, we resolutely decided to invest in CCE.
      Nengyun Data is a start-up. All of you have watched the video speech of President Wang Xiang, who is absent today because of his personal affairs. Our management met with him at the working conference on January 1, 2018. He is a person of rigor and originality. General Manager Li Chuanli just delivered a speech. He used to be an IDC specialist at IBM. Despite being young, he is very experienced in the industry and also passionate.
       Now, I would like to talk about Zeming Eye Hospital. President Huang Xiaofan is not present today due to high fever. General Manager Chen Qingyang is here on his behalf. President Huang Xiaofan is a man of honesty and good character! He acquired several hospitals and built  new ones last year. His performance is remarkable.

        I believe that all of you have seen James, CEO of Vision, when the presidents and CEOs of all business units made speeches. After a research on nearly 100 listed companies in Australia, I found that most of the local CEOs are at least 60 years old. James is an exception. He was born in 1970s, and used to be the CEO of Monash, an IVF company which had been listed for just two months. It took me a lot of efforts to persuade him to join us. Monash was the world’s first medical institution to perform IVF pregnancy. It is now a well-known brand around the world. The company invited James to serve as its CEO when it was in its hardest times. He worked there for seven years. In such a mature market which is home to only 24 million people, he led Monash to achieve a growth of over 10%. Under his leadership, Monash went public with the Australian Securities Exchange. To local people, James is still a young boy. I invited him to be the CEO of Vision. As a matter of fact, Vision is smaller than Monash and I offered to pay as much as Monash. However, he was determined to join Vision. Why? He was confident about our plan. I told him nothing but the dream of Jangho Group, and he decided to follow me in the pursuit of this dream.
       At the annual meeting of Jangho Property yesterday, I shared with them my hope for Jangho Property to be among the top 200 property companies in China in 2018. Maybe you will ask why not rank higher since Manager Liu always hopes to be No. 1? Considering the sheer size of wealth and complicated situation in the property industry, it is no easy to rank among the top 200. Of course, we never become satisfied by achieving this goal. But it is the first step.
       Looking back on what happened in 2017, I was deeply impressed by several things and people. In particular, I would like to commend three projects, namely, the Meixihu Project in Hunan, the Urban Sub-center Project in Beijing and the Abu Dhabi International Airport Project, a large project. These projects were completed successfully. Such hard-won success is impossible without, among others, Chen Guangshuo, Feng Mike, Yang Zhixian and Li Jian, who deserve our commendation! Under the leadership of President Jia Dehu, Jangho Curtain Wall Shanghai achieved an increase of profit of more than 40% from planned target last year. President Zhou Hanping speaks and works just like a big brother! Huang Min, who is in charge of Jangho’s business in North China, is a person of audacity and legitimacy. Zhao Shidong, Yang Tao, Zhang Jianping and others from our headquarters have scored remarkable achievements at their respective positions.
       I just made a brief summary on the performance of all business units in 2017. In 2017, we realize transformation and upgrade, and our curtain wall business found a way out of the shadows.

◆Cultivating Talents for Integrated Innovation

      Last year, my daughter recommended me to watch two Indian films, namely, Secret Superstar and Dangal. The first movie tells a story about how a girl establishes her awareness, while the second one is a story about how a strict and visionary father helps her daughter win the wrestling champion. I hope that all managers would love their employees, just like what the father did in Dangal. Instead of indulging them, such love is about helping them grow, developing them and trusting them wholeheartedly, and helping them realize their goals in their career. An old Chinese saying goes like this, “Strictness is love, while leniency harms”. It is only by abandoning vanity and trickery and working hard that an athlete can become a champion. It is only by being strict that we can help our employees grow and become talents.  Like the girl in the movie of Secret Superstar, all employees should form their own awareness, work hard independently and consciously to realize constant self-improvement!
After this Spring Festival, we will select another group of young reserve cadres and send them to Tsinghua University for training. As long as you recognize the culture of Jangho Group and are capable of what you are doing, we will fully trust you and give you opportunities. Jangho Group has come this far. It is attributed to a principle that we always put someone on the spot. This is why new young talents comes out in succession and take the place of their predecessors. This is the fundamental guarantee for long-lasting prosperity of our business. However, there will be no such fundamental guarantee without the self-awareness and conscious struggle of talents. As such, we should pursue self-breakthrough. Managers at all levels should be a good coach to guide their employees to grow, while improving themselves. This is the foundation on which we can strive continuously.
      It has been nearly 20 years since the inception of Jangho Group. What kind of path should we take going forward? First, we should focus on talent training and team building. Second, we should pursue integrated innovation, which calls for the coordinated and integrated development of so many business units and sectors as well as the integration of cultures, resources, markets and strategies among different brands. In its final analysis, this requires integration and sharing.
      To pursue integrated development, we acquired CCE and established Nengyun Data. We will create a new model of development, which is called new energy data harbor. This is about building a large big data base. Electric energy is the most essential to big data bases. Therefore, CCE which generates and supplies electricity can sell electricity to data centers. This is a typical instance of integrated development featuring mutual support and mutual benefits.
      When I was aboard on my way back from Australia, I watched Cell Phone, an old film directed by Feng Xiaogang. When I saw people using Motorola and Nokia in the movie, I found that nobody uses Nokia or Motorola now. My conclusion is that only by pursuing innovation constantly and advancing with the times can we keep pace with the pace of times. Both Alibaba and Jangho Group started operation in 1999. Unlike Alibaba which embraced the trend of times, we stood still and refused to embrace the Internet, missing the greatest boon of the Internet era.
       In a global landscape full of changes, those who go along with the trend will thrive, and those who go against it will fail. This applies even in the traditional industry. It would be best if we could lead and create the trend. As such, we should embrace big data. Though what we are doing is different from cloud computing or Internet, we should move closer at least. We should also apply the mindset of Internet technology in transforming our traditional industry, treating our duties, viewing our cause and rising up to our mission. Only by staying committed to innovation can we stand in the forefront.
       It is apparent that the spring of the traditional industry is on its way. Recently, all of you may have noted Alibaba’s purchase of many brick-and-mortar businesses as well as Tencent’s investment in Yonghui Superstores. Internet companies also recognize that without physical business, they cannot be sustainable. In fact, this also represents the integration of traditional physical industry and Internet, which contains innovation in itself. Therefore, we should innovate management and business models and follow the trend closely, so as to avoid being out of business.

◆Being Professional, concentrated and aggressive to be a winner
       We should take a long-term perspective for everything in daily life. Only by doing so can we avoid obstacles. Our annual theme is integration and innovation. What is this for? Development! Here, I have a piece of advice for all of you that apart from innovation, integration, hard work and development, we should be focused. Because Jangho Group is now engaged in a diversity of sectors. This may dazzle you up, but it won’t if all of you- every business unit and every team are focused and professional on your core tasks and core markets.
     
I just mentioned a film called Dangal. I would like to share with you my insight, that only the champion, not No.2, can be remembered in any competition around the globe. Therefore, we must strive to be the winner. Premium from market is what this title can give us. Jangho Curtain Wall knew the value of championship very well over the past two years. In the bidding process, many customers are willing to tell us that our offer could be 5%-10% more expansive than others. SLD is a typical example to clarify such a phenomenon. Its prototype interior design is much more expensive than others’, but it is indeed far better than others! This is what I mean by emphasizing the value of championship. Mr. Wu has no salesperson in Hong Kong. However, there is always a long queue of customers waiting for him. The CEO of Wynn Palace in Macau asked Mr. Wu to reserve time for its project 3 years before the construction. This also exactly demonstrates the value of championship. Sundart ranks No.1 in the high-end decoration market in Mainland China and is Top 1 in relevant fields in Hong Kong and Macau.
Championship is compared to the tip of plant. There is a law named apical dominance when it comes the growth of plant. It means that the tip always takes priority in energy supply. In 2017, I had had such experiences for many times. Through my friends and leaders, customers contact Jangho Curtain Wall and ask it to work with them. When ID City started sales in 2015, many people came to me for houses. This shows what the value of championship means. ID City, the champion in Beijing’s commercial and residential building circle of all time, is just our first property project. With policy adjustments in this regards this year, I am afraid that no one would take the title from us. Therefore, heads and managements in all business units, you should lead your teams to strive to become No.1 in your respective fields, while pursuing professional and focused development. We should try to transform the value of our championship into benefits when it comes to customer, market and capital. Now we have four real champions, namely Jangho Curtain Wall, SLD, Sundart and Vision. Looking forward, including Gangyuan Decoration, Jangho Property, CCE and Nengyun Data, you should strive to create the value of championship in your respective regional markets or professional sectors. This is the spirit of Jangho Group.

◆Keeping Pursuing Excellence and forging ahead
We should emulate those better than ourselves, pursue excellence, stay progressive and never be satisfied! There were two Internet buzzwords in 2017, namely “greasy middle-aged man” and “buddha-like youngster”. These network terms are created by young people, who are too dominating. How can they call middle-aged people like us “greasy”? Mr. Wu walks so fast that many young people need to run to catch up with him. President Xi Jinpin said that happiness is achieved through hard work. I am 45 years old this year, basically a middle-aged man. Today, I had a haircut to avoid looking “greasy”. But this is not important, what really matters is our mind. If you are a hard-working and progressive person, you are definitely not greasy. As such, I hope that all employees, old or young, should pursue excellence, stay progressive and be not afraid of failure. If we take concrete actions to pursue our dream, we will never be “greasy”. I hope there will be no “greasy employees” in Jangho Group.
       I hope that all the members of Jangho Group could work hard in solidarity!
       Finally, I would like take this opportunity to wish all of you here, and also the colleagues in Shanghai, Guangzhou, Chengdu and Wuhan, frontline workers who are not present today as well as your families good luck in the Year of Dog!