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Exclusive interview with Ericsson Tesla: experienced the most difficult battle

character: Michael treschow, chairman of Ericsson worldwide

Lushan, executive editor of China Computer News

the "big knife Mike" was given to Michael by the outside world. The nickname of Michael treschow. Since taking office as the global chairman of Ericsson in 2002, tescu has repeatedly attacked for just two years, which has made Ericsson step out of trouble. As for the title of "broadsword Mike", which is a mixture of praise and admiration, tescu said, "I prefer others to call me a farmer." The Swede who has experienced great storms has a unique and philosophical way of interpreting himself

I like to help those enterprises that are on the brink of extinction reshuffle and restore vitality

Lu Shan: when you became the chairman of Ericsson in 2002, it was at the trough of the global telecommunications industry, and Ericsson was also facing difficulties. However, through the reform of Ericsson, you soon achieved good results and made Ericsson out of trouble. Today, do you think the operation on Ericsson is over? How do you evaluate this process

tescu: I think this process should be over. I think we should distinguish the bursting of the foam from the recession. Although the abnormal state of foam has not completely disappeared, the industry has gradually stabilized. Our customers' economic situation is getting healthier and healthier, operators have better financial performance, and the number of consumers and mobile user density are also increasing year by year. Although the layoff plan formulated two years ago is still being implemented in 2004, we have passed the most difficult time

of course, the process of surgery is painful, but only through surgery can we get back to health. Ericsson laid off half of its employees, but survived, and still had many loyal employees. Among them, Ericsson overcame many difficulties, achieved continuous development and maintained the growth of market share. Facing the turbulent and chaotic environment, we are still full of confidence in the future

Lu Shan: Ericsson recently announced that it will pay you a bonus of 5.5 million Swedish Krona per year in 2002 and 2003 in recognition of your contributions to Ericsson. In your opinion, what is your greatest contribution to Ericsson

Tess: you'd better ask the people who reward me this question (laugh). I never evaluate myself, I only know this is my job. Originally, the chairman's job was part-time, but in the two years since I joined Ericsson, the chairman's job is full-time for me. I think that's why they rewarded me

Lu Shan: from Electrolux to Ericsson, when you came to these enterprises, they all encountered adverse conditions. Do you particularly like to take over some companies with chaotic management and transform them

tescu: not so. I also hope to join those companies with high growth rate. In fact, Ericsson should turn off the motor in time when sintering occurred, and it was only after I joined that it encountered a crisis. Before entering Ericsson, I had spent half my life in a mature industry with frequent restructuring. I thought I could finally enter a new industry with continuous growth and investment, but the opposite was true

however, I do like challenges. This is the hardest reorganization battle I have ever experienced. I like to help those enterprises on the brink of extinction reshuffle their cards and restore their vitality. Reorganization is a part of daily life. If you don't insist on frequent reorganization, chaos will continue to grow

the really difficult task is that we need to cut 60000 people and let them leave their current positions

Lu Shan: the outside world commented that you "are a person who has the courage to make decisions in difficulties and initiate radical changes". What is the biggest dilemma you have encountered in your career and what is the belief that supports you

tescu: of course, the biggest difficulty is the experience in Ericsson, which is the most exciting and severe challenge I have encountered in my life. I have to face not only the traditional culture of Ericsson, but also the changes of the telecommunications industry and even the overall business environment. At that time, the first task was to make everyone reach a consensus on the current situation of the company. When I joined, the company still believed that we could make a profit in 2002, so we had to convince ourselves that this goal would not be achieved. The really difficult task is that we need to cut 60000 people and let them leave their current positions

globalization means pressure, because the current world gives you nowhere to escape. When I was in Electrolux, my biggest worry was that I woke up in the morning and found that there was something wrong with our products, and the bad news had been widely spread on the Internet. When Ericsson listed the new material industry as one of the seven major emerging industries in Nanjing, I faced greater pressure. What has supported me is my confidence in Ericsson's century old foundation and its management

Lu Shan: when there is a contradiction between social sense and commercial interests, what is the standard of your choice

tescu: under normal circumstances, the two are not contradictory. Enterprises and employees should stand hand in hand, otherwise the company cannot operate. But there are also special circumstances, such as layoffs we have to do, which is really for the long-term development of the enterprise. Every adjustment and change will involve and affect living individuals. Behind every laid-off employee, there are families, friends and communities. Many people have worked for Ericsson for a lifetime

what I want to consider is how to help them enter a new state of vertically fixing the steel hammer body on the special fixture, so as to minimize this damage. As a business leader, what we need most at this time is honesty. Don't tell some vague stories, but tell the situation clearly. Fortunately, I am glad that most of these 60000 stories have a good ending

I have worked in business for 30 years. Through experience and learning, I remember all the crises I have experienced


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