Yu Liang: Vanke has no five-year plan, and “living” is the highest strategy


Source: Wall Street
By Qi Yue
At the end of September 2018, Vanke took the lead in calling out the slogan of “live”, which once ignited public opinion. Since then, these three words have been frequently mentioned by Vanke high-level. After the outbreak of the epidemic in March this year, Yu Liang, chairman of the board of directors of Vanke Group, once again mentioned that Vanke should “live healthily, live well and live long”.
Such a concept now has a new interpretation. At the Shanghai regional media exchange held yesterday (October 31), “to live” means to be an enterprise of the times and strive to adapt to changes. “A single muscle” is to concentrate on nothing else and stick to the task to the end. ”
Some people always scare us that some layman has subverted us, and various industries have subverted us, making us uneasy all day long. Therefore, “living” is our highest strategy. We always fly like industrious little bees, so that we can find a chance to survive. For us, we have to keep a sense of crisis and do things.
Some media asked Yu Liang what Vanke would look like five years later, but Yu Liang said that Vanke did not make such a long-term plan in five years. “Vanke has no five-year development plan, our goal is to live, live well, live long, and be an enterprise of the times.”
According to Yu Liang, what Vanke wants to do is to try to adapt to the changes, but some of the things that remain unchanged are that the products are good and can’t change, “because we depend on this to eat.”
Yu Liang frankly said that if you don’t adapt to the changes, you can’t live. Only in the changes can we have new opportunities. But in the process of adapting to the changes, Vanke will not say what it must do and will never formulate a five-year development plan. He said, “to live” means to be an enterprise of the times.
Although there is no five-year plan, but talking about the next step, Yu Liang said he was optimistic about Nantong, believing that Nantong has ushered in the wind of urban development. “After the release of the epidemic, Nantong was the first city I went to when I left Shenzhen. In the past, Jiangsu did not attach importance to the coastal areas, but only developed along the river. As a result, Nantong has now become a vast hinterland of Shanghai, and the third airport is located in Nantong. I can see that Nantong is booming, and there are shadows of Shanghai everywhere – the radiation power of Shanghai has reached this point.”
Yu Liang mentioned an important regulatory change: “three red lines.”. He said that the arrival of the “three red lines” has brought all the real estate enterprises to the starting line. Everyone should adapt to this matter, and the organizations of all enterprises should also adjust accordingly.
How to adjust? Yu Liang said that Vanke’s adjustment idea is that when the industry is in the incremental market, the enterprise organization should do addition. However, after entering the stock market, enterprise organizations should increase and decrease. “The core principle is that the organization should match the strategy and the management should serve the business.”
Yu Liang also mentioned Vanke’s stake in Taihe, saying: “cooperation with Taihe needs more time.”
Yu Liang pointed out that when enterprises in the industry are in trouble, Vanke gives a helping hand, mainly because it does not want the industry to have vicious events, which is beneficial to the healthy development of the whole industry. At present, the relationship to be coordinated by Taihe still needs cooperation from all aspects and needs more time.