Siheyuan, Shazhu: I have both parents in this life

Chapter 423 Getting Rid of the Burden (No more chapters, a long chapter of 10,000 words)
At the beginning of 1995, the first international internet leased line in China was opened, but the hackers that He Yaozong and his team were eagerly waiting for did not arrive.

However, they received a notice from the ministry that several foreign technical delegations had expressed their desire to visit the Yellow River root server room.

However, there were no mandatory requirements over there. He Yaozong called He Yuzhu to ask for his opinion, and He Yuzhu replied with one sentence: "The server room is a restricted area, and unauthorized personnel are not allowed to enter!"

He Yaozong pondered for a moment before realizing what was going on, and then asked, "Dad, I think they're pushing a ball over there."

"Then let's push it. There's one more thing, go ask them if they'll accept this server group."

"Send it! We went to so much trouble to deliver it!"

"Why give them away? Sell them. This is something the government should be responsible for. They've been so slow; it's time they spent some money to buy them back."

He Yaozong relayed his father's message to the contact person in the ministry.

The reply from the other side was that the matter of the inspection team should not be worried about for the time being. As for the acquisition of the server group, it would need to be studied before a decision could be made, even though He Yaozong quoted a cost price.

He Yaozong didn't care. It was something he expected, and it would be abnormal if he agreed immediately.

“We understand,” He Yaozong said. “Yellow River Communications will fully cooperate with the country’s overall plan.”

"That's good. Mr. He, we'll wait for your news."

"No rush, take your time to study it."

Before the Lunar New Year, Chen Sheng brought He Yuzhu some bad news.

"Boss, cracked versions of the 'Vision' system have appeared on the market, mainly circulating in Southeast Asia and Eastern Europe. What's more troublesome is that we've discovered several third-party software programs from those regions that are bundled with viruses targeting 'Vision.' Infection can lead to slow system performance, data leaks, and even blue screen crashes."

He Yuzhu frowned slightly: "The scope of the impact?"

"It's not a large-scale outbreak yet, mainly affecting individual users. Enterprise customers have strong protective measures, and no large-scale infections have been found. But this is a dangerous sign; the other party's methods are very despicable."

Have the system vulnerabilities been patched?

"It's blocked."

“Send patch packages to customer service in various locations. Since the opponent is being so underhanded, you don’t need to hold back. Contact Yaozong later; he should have something you’re interested in,” He Yuzhu said.

"it is good."

After communicating with He Yaozong, Chen Sheng quickly obtained an analysis report on common attack patterns and potential vulnerabilities, as well as some related procedures, compiled by the cybersecurity lab.

Based on this report, Chen Sheng's team quickly launched an enhanced security patch for the "Vision" system and prioritized its distribution to affected areas through their own channels and partner agents.

Meanwhile, in its next regular system update, Huanghe Software quietly added a verification program targeting known cracking mechanisms. Users who have installed cracked versions will receive warnings of system instability when running certain bundled software and will be advised to perform genuine verification and repair.

These actions had a certain deterrent effect, but He Yuzhu knew that this was far from a long-term solution.

So he gave Chen Sheng another order: "First, newly signed cooperative software will only be compatible with version 2.0 and above, and will no longer be backward compatible. Second, the compatibility period for older versions of software that have already been released will be set to six months, after which they will be automatically deactivated."

"Boss, we can't process these expired ones; we didn't set any pre-set conditions."

"Now that everyone is online, we can make a small patch and implant it through the network."

"This is also difficult, as we cannot monitor the client in reverse."

"Then let's put this feature in the next major version, and the client will initiate it automatically after connecting to the internet."

"Okay, I'll have the software lab work on these features. Is there anything else you'd like to tell me?"

"We need to coordinate well with the software vendors, especially industrial application and system application vendors who, like us, value copyright. By the way, have any game companies contacted you yet?"

"Boss, you even know about games?"

"I'm not so old that I'm not interested in anything."

"Yes, there are. There are both single-player and online versions."

"Pay more attention to them; they can boost our market share."

"Understood. Shall we try making computer games?"

"Stop working on that and focus on developing the operating system."

"it is good."

After hanging up Chen Sheng's call, He Yuzhu thought for a while, then took out paper and pen and spent a long time writing and drawing in his study. Afterwards, he made a phone call to Taishan Company in Peninsula and faxed something over.

Tell them to take note of Wemade and Webzen. If they don't get established, that's fine. The fax should contain ideas for an MMORPG game, and have Taishan Company become a game division to try and develop it.

The purpose of doing this is twofold: first, to attract talent, and second, to see if they can capture a piece of the market, since this is a sunrise industry in the future.

As for China, let's wait and see; the current shortage of software talent in China is worrying.

The He family celebrated the New Year as usual, but the New Year's Eve dinner was no longer eaten at home. He Daqing was too old to handle it himself, so they booked it at a restaurant.

After the first day of the Lunar New Year, He Yuzhu talked with Cherie Chung and Lok Wai-chun about Yellow River culture. Now that domestic policies have been relaxed, it's time to try entering the domestic market.

Yellow River Culture has produced several films in recent years, and it's fair to say they haven't lost money.

He Yuzhu has things he wants to film, especially the battle on the peninsula, but based on his memories from his previous life, they probably won't pass censorship, since there are still concerns.

Other things could be considered, especially those about the War of Resistance against Japan. He even wrote a few story summaries based on his memory. After reading them, Cherie Chung and Lok Wai-chun looked at He Yu-chu in astonishment, and then the document ended up in He Yao-zong's hands.

He Yaozong smiled wryly. He didn't have time to write scripts right now, but he still managed to make outlines for a few stories during the Lunar New Year holiday.

Chung Chor-hung and Lok Wai-chun excitedly returned to Hong Kong with the synopsis and outline.

The handover of the root servers was officially put on the agenda after the Chinese New Year. A technical team dispatched by the ministry moved into the data center of Yellow River Communications in the special economic zone. The team was led by a director surnamed Liu, who was very polite but unyielding on matters of principle.

"Mr. He, thank you for Yellow River Communications' exploration and contributions in cutting-edge fields. The higher authorities have decided that, until the new root server center is built, this place will serve as one of the temporary master nodes of the national root server group, to be jointly managed and maintained by us. Of course, Yellow River Communications' existing business access permissions will not be affected." Director Liu adjusted his glasses, his tone calm yet carrying an undeniable authority.

He Yaozong, having already received instructions from his father, was very cooperative: "We fully understand and support the country's decision. The data center, equipment, and existing maintenance team will fully cooperate with the handover and work. We can discuss any agreements or confidentiality clauses that need to be signed."

The following days were filled with tedious tasks such as asset inventory, permission allocation, data migration, and personnel registration.

The original core operation and maintenance personnel of the Yellow River were basically retained, but a political review process was added, and more stringent confidentiality agreements were signed.

Technical personnel from ministries gradually took over core management authority, while personnel from the Yellow River side were more responsible for technical support and daily maintenance.

He Yuzhu only gave one piece of advice: "You must not hand over your core technology patents, as they are the foundation for future development."

The ministry didn't insist on this; they provided a complete set of advanced equipment and technology right away. This was given to them voluntarily by the Yellow River. They shouldn't be too greedy, otherwise what company would dare to offer their products in the future?

In March, He Yuzhu received a call from Director Song of Xifei.

"Old He! The last batch of structural components worked exceptionally well after installation! This project has made a breakthrough! The leader specifically praised us, saying that our external partners are reliable! Look, there's another batch of even more sophisticated components coming up; I'll have someone send the drawings over."

"Why didn't you just contact Seiko directly? Why did you call me?"

"I just thought it was the safest option to ask you, and there's something else too."

"You said."

"Could you recommend some reliable avionics technicians?" Director Song asked.

“If it’s just about giving lectures or training people, I have that option. But if it’s about joining your factory, I don’t have that option,” He Yuzhu said.

"How about we set up another laboratory?" Director Song said.

“That works too, you can go find a place,” He Yuzhu said.

"So decisive, you wouldn't happen to want to build airplanes too, would you?" Factory Director Song said.

“I have an aircraft factory, but it’s for helicopters. Of course, if the policy allows, I could consider building civilian aircraft,” He Yuzhu said.

"Okay, it's settled then. I'll go find a place, but about the funding..." Factory Director Song said.

“Same as the radar, okay?” He Yuzhu said.

"Alright, alright, it's much more pleasant to talk business with you. I'll treat you to a feast when you come to Chengdu," said Director Song.

"Don't bother, you should keep your salary for yourself," He Yuzhu said.

"Ha ha ha ha."

A few days after Factory Director Song made the call, He Yuzhu received a call from Yang Tao in Harbin.

"Chairman, several leaders from Harbin Aircraft Industry Group have come to see me and expressed their intention to cooperate."

"Hafei, what kind of collaboration?"

"They want to jointly develop new models of civilian helicopters, mainly high-altitude transport and general-purpose models."

He Yuzhu remained silent.

The Yellow River helicopter is already a world leader in the field of general-purpose models. The reason it doesn't produce large-tonnage helicopters is because they don't sell well in the civilian market; they're simply too expensive.

When collaborating with a long-established state-owned enterprise like Harbin Aircraft Industry Group, what the company values ​​is nothing more than its technology; what Huanghe can gain is debatable.

How do they want to cooperate?

Yang Tao replied over the phone: "They hope to share technology, jointly establish a research and development team, and jointly develop new models. Harbin Aircraft Industry Group can provide production qualifications, some existing technologies and factory equipment, and also hopes to leverage our technical accumulation in the field of general aviation helicopters, especially our experience in high-altitude performance optimization and avionics systems."

He Yuzhu tapped the table lightly: "To what extent will the technology be shared? What are they prepared to offer in exchange?"

"In the initial contact, they were willing to share some design data of traditional models and hoped that we could provide technical support in the application of new composite materials and fly-by-wire flight control. The specific equity distribution and ownership of intellectual property rights have not yet been discussed in depth."

"Tell them that Huanghe can cooperate, but there are several principles: First, the intellectual property rights of the jointly developed new aircraft must be clear and shared according to the proportion of investment; second, Huanghe's existing proprietary technologies, especially fly-by-wire flight control and composite material processes, are not within the scope of this cooperation. If they need to use them, they need to be licensed separately and pay fees; third, the cooperative projects must be market-oriented and have clear business plans and profit targets."

"Understood. Chairman, there's one more thing. Harbin Aircraft Industry Group hinted that if the cooperation is successful, it will help us obtain airworthiness certification and related policy support for domestic civil helicopters in the future."

He Yuzhu curled his lip: "There's no need for that. Now that we're in, we'll definitely have a market share in the future. I know what they're up to. In the civil aviation sector, we'll still be competitors. You should keep in touch with them and make our principles and bottom line clear. Let them come up with the specific cooperation plan first. Remember, we're a company, and cooperation should be mutually beneficial, not a one-way donation."

"Okay, I will do as you instruct."

After hanging up the phone and thinking for a while, He Yuzhu called Gu Yuanheng.

"Yuanheng, how's the research going with those things I gave you before?"

"I've basically mastered it. So, are you going to take it out and use it?" Gu Yuanheng asked excitedly.

“There are many things we can’t use, so I plan to sell them for a good price,” He Yuzhu sighed.

"Oh, we can't use it. We've invested a lot of manpower, resources, and time."

"So we should wait for the right price. When you have time, go to Harbin and talk to Harbin Aircraft Industry Group with Yang Tao."

"Oh, okay." Gu Yuanheng said, somewhat disappointed.

"Alright, we are a private enterprise. We can just research those things. Domestic policies don't allow us to manufacture them, unlike in North America."

"Then we can't."

"Let's not talk about this anymore. Our skin color determines that we can't."

"Okay, I see."

He Ningxue gave birth to a daughter in April, named Gu Nianhe.

The little girl inherited her mother's features and was very pretty and adorable.

The He family was overjoyed, and the Gu family treasured it as a precious gem.

After giving birth, He Ningxue followed her mother's arrangements and stayed home to recuperate. The affairs of the real estate company were temporarily handled by her deputy, and important documents were sent to her home for her review.

Gu Zhixing's studio has taken on several new urban renewal projects and is getting busier and busier, but every day when he gets home, the first thing he does is go to see his daughter and hold her tightly.

He Ningxue laughed at him: "I never realized you liked children so much."

Gu Zhixing adjusted his glasses, looking at his daughter in his arms with tender eyes: "She looks just like you, I can never get enough of looking at her."

In Harbin, the negotiations between Yang Tao and Gu Yuanheng, along with Harbin Aircraft Industry Group, were not going smoothly.

The other party showed great interest in the technology mastered by Huanghe, especially after learning about the advanced design concepts originating from the north, their enthusiasm soared even higher. However, the two sides had considerable differences on intellectual property rights and cooperation methods.

After several rounds of consultations, Harbin Aircraft Industry Group (HAIG) sent a higher-level leader to the meeting.

In the conference room, the person in charge was surnamed Li, a slightly overweight, kind-smiling middle-aged man.

"President Gu, President Yang, let's be frank. Your technology, especially some of your design ideas, has been very inspiring to us. Joint research and development and resource sharing are the general trend, and they can also help you integrate into the domestic aviation system more quickly and obtain airworthiness certificates. The benefits are self-evident."

Gu Yuanheng smiled and said, "President Li, Huanghe is optimistic about the future of the domestic aviation market and is willing to contribute. However, business cooperation is all about equal rights and responsibilities and mutual benefit. We are investing real money and core technology, and we hope to get the same clear and guaranteed return mechanism. As for the entry ticket, we have already obtained it."

"This..." With his trump card exposed, President Li felt a lump in his throat, unable to exhale.

Yang Tao then said, "Regarding the scope of technology sharing, we have already drawn a bottom line. The unique fly-by-wire flight control and composite material technology of Yellow River Helicopters are the foundation of our business and are not within the scope of this cooperation. We can work together on the design of new models, but the core modules need to be developed independently or through a licensed use model."

Mr. Li lit a cigarette, took a deep drag, and exhaled before saying, "We have no money."

Gu Yuanheng and Yang Tao exchanged a glance; they already knew this.

“You can exchange it for orders,” Gu Yuanheng said.

"For civilian use?" Mr. Li asked tentatively.

"Mr. Li, please don't pretend you don't understand. You know what we're talking about."

"I can't make this decision myself; I need to consult with my superiors."

"Then please hurry, Mr. Li. To be honest, we have sold several batches to the military before. You can check it out, Mr. Li."

"it is good."

Hafei moved faster than expected.

A few days later, the two sides sat down at the negotiating table again.

"President Gu, President Yang, the higher-ups have approved the 'orders for technology' cooperation model. Regarding the general aviation helicopters you mentioned, we do have procurement and modification needs. The specific quantity and models will need to be discussed in detail later. But the premise is that you grant us technology licensing. Of course, we will not compete with your company for orders in the civil aviation sector, and we cannot focus on the overseas market right now."

Gu Yuanheng and Yang Tao exchanged a glance, knowing that the matter was mostly settled.

“That’s natural.” Gu Yuanheng nodded. “Cooperation leads to mutual benefit and shared results. We can start negotiating specific joint R&D agreements, intellectual property division, and procurement framework agreements simultaneously.”

“Great!” President Li extended his hand. “I hope we can cooperate happily and contribute to the country’s aviation industry together.”

"Pleasant to work with."

After seeing Mr. Li off, Yang Tao breathed a sigh of relief and smiled at Gu Yuanheng, saying, "Uncle Heng, you really have a way with people, you hit the nail on the head."

Gu Yuanheng shook his head: "It's not that I have a solution, it's that the boss has a keen eye. He knows what we and the other party need most, not the technology transfer fee in the short term, but a long-term stable market and a foothold in the domestic aviation industry. This order is the best stepping stone and a protective shield."

The subsequent negotiations proceeded at a fast pace.

The two sides formed a joint working group to conduct intensive consultations on details such as design specifications, division of labor in research and development, ownership of intellectual property rights, cost sharing, and profit distribution for the new civil helicopter.

Yellow River did not open up all core technologies at once, but only shared some things on the new jointly developed aircraft. Harbin Aircraft Industry Group did not say anything about this, because they did not have them. Besides, even if Yellow River provided them all at once, they would not be able to afford them.

The draft agreement was finalized in May.

He Yuzhu was reviewing the draft summary faxed back by Gu Yuanheng in his study in Beijing, nodding slightly.

This result was largely in line with his expectations.

Trading some technological accumulations that cannot be fully converted into civilian products for access to a broader market and a stable military order is a worthwhile deal.

He picked up a pen and signed the draft with the words "Agreed, proceed accordingly".

Then he called Gu and Yang again, telling them not to focus solely on the complete machine, but perhaps the components would be the key in the future. The two understood; many factories along the Yellow River did just that, such as the engine manufacturers in their car factories.

At almost the same time, Ho Yiu-chung from the Special Administrative Region also brought good news.

After a protracted negotiation lasting several months, the ministry finally decided to formally acquire the root server group and its supporting data center facilities invested and constructed by Yellow River Communications through an "asset swap plus special funds" approach.

Although the acquisition price was lower than the cost price initially quoted by He Yaozong, it was still within an acceptable range, and Huanghe Communications promised to have priority in future national-level internet project bidding.

"Dad, the agreement is signed," He Yaozong reported over the phone, his voice carrying the relief of having accomplished a major task. "The funds are expected to arrive next month. The ministry requires that the handover be completed within three months."

"Yes, cooperate well with them and see it through to the end," He Yuzhu instructed. "Also, allocate a portion of this funding to the cybersecurity lab; the research cannot stop. Future competition will not only be in hardware, but also in software and standards."

"clear."

The successful sale of the root server means that Yellow River Communications has shed a heavy political burden and gained a considerable cash flow, allowing it to focus more on communications equipment manufacturing and market expansion.

He Ningxue finished her postpartum confinement and officially returned to the real estate company, but she was confined to Beijing because she still had to breastfeed her baby.

As for what was handed over before, it's a good opportunity to test the people below and see if they can do it well.

The preparations for the Ho family's private museum are quietly underway.

The five-courtyard siheyuan was meticulously renovated by Gu Zhixing's team, preserving its original layout and style while cleverly incorporating essential modern museum facilities such as constant temperature and humidity control and security monitoring.

The He family has compiled and cataloged the artifacts collected over the years at Cangguzhai, as well as some of the items that He Yuzhu has taken out over the years, and selected the best pieces to be included in the museum.

The experts who examined the porcelain, jade, calligraphy and paintings that He Yuzhu presented were greatly shocked.

There are many items in there that are listed as lost or damaged in historical documents. Although they are not world-renowned national treasures, they are still among the finest. As for how He Yuzhu obtained them, no one dares to investigate further.

The opening ceremony was not grand; only a few relatives, friends, and people from the cultural and museum circles were invited to observe the museum.

Accompanied by He Yuzhu, He Daqing, Lao Fang, and Lao Zhaozhu carefully examined the building and praised its renovation and exhibition design.

Gu Zhixing followed He Ningxue discreetly, listening to the professionals' discussion, his eyes shining with satisfaction.

The museum was handed over to a professional team for operation and opened to the public by appointment, quickly becoming a quiet and elegant place in the cultural circle of Beijing.

He Yuzhu will not reveal the truly powerful artifacts in his space for the time being, waiting for a more suitable opportunity.

Gu Zhixing's studio has gained fame for its museum projects and several successful urban renewal projects, and more and more people are seeking his design services.

Lu Shuyi demonstrated keen business acumen in assisting He Yuzhu with affairs. He Yuzhu began to expose her to more core group strategic analysis, preparing to groom her as Xiaoman's successor. Xiaoman had no objection to this, as she also thought so.

In Harbin, the cooperation with Harbin Aircraft Industry Group was finally finalized.

Yellow River Helicopters secured a batch of general aviation helicopter purchase orders from Harbin Aircraft Industry Group (HAIG) and a long-term parts supply agreement in exchange for partial technology licensing and joint research and development.

Following He Yuzhu's instructions, Yang Tao began to focus on building a helicopter parts supply chain system, not only to meet the needs of himself and Harbin Aircraft Industry Group, but also to try to penetrate into other aviation manufacturing units.

Precision Machinery and Heavy Industry have successively secured parts orders from several special units such as Xi'an Aircraft Industry Group and shipyards, establishing a firm foothold in the field of high-end precision machining.

At the same time, the group has increased its R&D investment in the Microelectronics Research Institute and Precision and Heavy Industries, with the goal of developing more advanced manufacturing equipment and precision instruments.

According to his memories from his previous life, He Yuzhu remembered that a major event happened in 1996, during a casual conversation with Lao Fang.

He Yuzhu casually mentioned, "Uncle Fang, I recently heard from Yaozong that some of the probes targeting our network from outside are becoming increasingly sophisticated. I'm thinking, shouldn't we also upgrade our internal technical standards and process controls? I'm afraid that even with the best efforts, we might overlook something and someone will take advantage of the loophole."

Old Fang paused, holding Zi's hand, and looked up at him: "What rumors have you heard?"

"No, not at all." He Yuzhu waved his hand. "It's just that the bigger the tree, the more the wind blows. Some loopholes need to be tightened from the beginning. It's like building a house. If the steel bars in the foundation are not graded correctly, or if someone tampered with them, no matter how beautiful the building is, it's doomed."

Old Fang silently placed a piece, and after a long while said, "If the foundation is not solid, the earth will shake. This principle applies everywhere."

“That makes sense,” He Yuzhu nodded. “So we have to check regularly to see if the building materials are up to standard and if the construction is done according to the standards. Especially in key areas, there can be no ambiguity.”

He said it casually, but Lao Fang's eyes sharpened.

He didn't continue the topic and instead started talking about everyday things.

Shortly thereafter, the group conducted a special audit of its R&D and data management processes, covering several core departments.

The audit results were not made public on a large scale, but several people in classified positions were transferred and some processes were strengthened.

After Lao Fang had that conversation with He Yuzhu, he disappeared for a few days. Needless to say, He Yuzhu knew what the old man had gone to do.

After returning, Lao Fang also participated in some things within the group, especially in formulating security and prevention measures, which is his area of ​​expertise.

Hong Kong has basically completed the adjustment following the relocation of its industries to the north.

The vacant factory buildings were partially transformed into high-end electronic product production lines and mobile phone production lines to meet the demand within the Yellow River region. As a result, mobile phone sales surged, and pagers also sold very well in those areas.

As for those that have been converted into logistics and warehousing centers, they are basically for the purpose of meeting the needs of electronic products and mobile phones.

After the New Year, He Yaozu received instructions from his father to get involved in the semiconductor import business, and he immediately sensed the significance of it.

Instead of making a big fuss, he first quietly contacted several internationally renowned semiconductor equipment and materials suppliers through existing trading company channels in Hong Kong.

It didn't go smoothly at first.

Established European and American distributors, with deep roots and mature distribution channels, were skeptical of the newly emerging Yellow River Group companies and even more worried about offending their existing partners. After several contacts, the other party was either indifferent or offered extremely harsh conditions.

“Dad, the situation is not optimistic,” He Yaozu reported on the phone. “Several major European and American suppliers are giving us the runaround, saying that their production capacity is already full or that they need higher-level certifications.”

He Yuzhu was silent for a moment on the other end of the phone, then asked, "What are our advantages?"

"We have ample funds and can offer very favorable payment terms. Moreover, we have end-user demand in the domestic market, although the current volume is not large, they should be able to see the potential."

"Then let's try a different approach. Instead of going directly to the manufacturers, let's look for regional distributors or retailers with inventory pressure. We can make some concessions on prices; the primary goal is to open up channels and build relationships. Also, let's see if we can find a way to reach Eastern Europe or other areas that our distributors don't cover."

"Understood, I'll adjust my direction immediately."

He Yaozu changed his strategy, no longer focusing on the source, but instead searching for second- and third-tier agents, especially those traders who had accumulated inventory and had difficulty with cash flow after the Asian financial crisis.

At the same time, he also secretly contacted Bai Yifeng's people who operated in the gray area to see if he could find non-traditional sources of goods.

These efforts quickly yielded results.

A Singapore-based electronic component distributor, which had stockpiled a large number of general-purpose chips and some specialized semiconductor materials due to its overly aggressive expansion in the previous round, is now struggling to find large buyers to sell its inventory.

The Yellow River Group's strong financial resources and prompt payment terms were undoubtedly a timely help for them.

After several rounds of secret negotiations, the Yellow River Group acquired this considerable amount of inventory at a price slightly higher than the market price but far lower than the original cost of the other party.

After the contract was signed, the funds were quickly in place, relieving the distributor's urgent need.

The news quickly spread within the industry.

Other small and medium-sized distributors facing similar predicaments, or dissatisfied with the harsh terms of their existing agents, began to proactively contact Huanghe. He Yaozu seized the opportunity to assemble a lean procurement team specifically responsible for screening and evaluating these opportunities.

Meanwhile, news came from Bai Yifeng that he had obtained some second-hand semiconductor manufacturing equipment and some technical manuals through certain special channels, which were then sent directly to Xu Damao in China.

Huanghe's semiconductor component import business in Hong Kong thus quietly opened a door.

Although it is not yet able to compete head-on with those giant distributors, it has initially established its own procurement network and warehousing and logistics system.

He Yaozu understood that this was not just a business deal, but a strategic move.

Not content with this, Ho Yiu-tsu began to invest in some promising semiconductor design and equipment service companies, attempting to extend his reach upstream in the industry chain.

At the same time, they began to implement He Yuzhu's stockpiling plan in order to deal with unforeseen circumstances.

He Yuzhu transformed the domestic electronics factory into an electronics technology company, with Xu Damao serving as general manager. The company also became a purchasing branch, specializing in handling semiconductor products transshipped from Hong Kong. They even created a product showcase website, pioneering a new approach.

As the group's industrial footprint continues to expand, its subsidiaries, factories, and research institutes are located all over the country, and the total number of employees has long exceeded 100,000.

With more management levels, information transmission efficiency has decreased, departmental silos have begun to emerge, and the progress of some projects that require cross-departmental collaboration has become slower.

He Yuzhu was in his study looking at an analysis report on the group's operational efficiency sent by the Strategic Development Department. His fingers tapped lightly on words such as "increased communication costs" and "extended project approval cycle".

Xiaoman brought in a cup of ginseng tea and, seeing him deep in thought, asked, "Have you encountered a problem?"

He Yuzhu pushed the report over: "With the expansion of the business, problems have arisen. Look here, the Tianjin Electronics Factory applied to upgrade a production line, and the report has been circulating within the group for almost two months without approval. The Special Economic Zone Communications Company and the Sijiucheng Research Institute are collaborating on a project, and they've been arguing for more than half a month over the allocation of some resources."

Xiaoman looked through the report, her brows furrowing. "It's a bit outrageous. When there were fewer factories and fewer people, there weren't so many complicated procedures. Now, the documents submitted from below give me a headache. They're layered with signatures, and no one dares to make a decision."

“It needs to be changed.” He Yuzhu picked up his teacup and took a sip. “I plan to implement an internal management system to standardize and digitize the processes.”

"Management system? Managed by computer?" Xiaoman asked, somewhat puzzled.

"Yes. Everything from orders, production, and inventory to finance, human resources, and approvals is put into one system. It's clear who should approve and how long the approval process should take, and the entire process is documented. Reducing unnecessary steps also prevents buck-passing."

"Will this work? Many people down here don't even know how to use a computer very well."

“If you don’t know how, then learn. This is the trend of the times.” He Yuzhu said firmly. “Let’s start with a pilot program at headquarters and a few major branches. You need to get the finance and HR departments on the same page first.”

He Yuzhu raised this idea at a high-level meeting.

The response was mixed.

Younger generations, including Ho Yiu-chung, expressed their support, believing that using computers to improve management efficiency is an inevitable choice.

Some long-time employees who had followed the group for many years looked hesitant, feeling that the existing methods, though slower, were more reliable, while developing a computer system was too risky and required a huge investment.

Xu Damao, who was in the special economic zone, participated in the meeting by phone. He exclaimed, "Brother, this system is good, but the experienced workers in the factories below, you can ask them to operate the machines, but I'm afraid they'll have a hard time operating the computers."

He Yuzhu said in a deep voice, "We have to do it, even if it's difficult. Are we just going to watch the group become bloated and inefficient just because it's difficult? Our competitors won't wait for us. I'll take charge of this personally."

Despite strong opposition, He Yuzhu decided to implement an information management system within the group.

He personally took charge of the information technology leadership group, and selected capable personnel to form a project team, determined to tackle this tough challenge.

The project team investigated the group's main business processes and examined the management software of several large foreign companies. Ultimately, they decided not to directly purchase foreign finished software, but to independently develop an integrated ERP system based on New-VISON's self-developed relational database, taking into account Huanghe's own business characteristics.

The news spread, sparking much discussion within the group.

Supporters believe this is the only way to improve efficiency, while skeptics feel that the investment is huge and the future is uncertain.

Some long-time employees even find it difficult to learn how to use computers.

He Yuzhu instructed the project team to start with core modules such as finance, supply chain and production management, and to conduct pilot tests at the headquarters and several pilot units in the special economic zone and Tianjin.

The system development did not go smoothly.

The group has a long business chain and complex business formats, and the design of standardized processes has encountered many practical obstacles.

The project team had to communicate repeatedly with business departments to streamline, optimize, and even restructure existing processes.

The development team complained bitterly, with many questioning why they didn't just buy an existing solution, given that there are already many mature management software options available internationally.

Zhang Mingyuan, the project leader for the management software, reported to He Yuzhu with densely packed research notes, looking troubled: "Chairman, the business differences are too great; complete standardization might be too much."

He Yuzhu flipped through his notes: "Tell them that ERP is not about simply copying existing processes into the computer. First, simplify and solidify the common, core processes."

"But...the industries are different."

"I don't expect a single system to cover all industries; that's unrealistic."

"Then what do we do?"

"Let's start with the general-purpose version, and manage finance, warehousing, procurement, and sales. We'll talk about the production part later."

"Okay, what about the special requirements they raised? Here you go!"

"Never mind that for now. You can't even do the basics, so what are you talking about specialization for? Let's talk about it after you've done the basics."

"understood."

At the end of June, He Yuzhu received a phone call from Factory Director Song in Chengdu, who sounded excited.

"Old He, the project we collaborated on was a success! The higher-ups are very satisfied and specifically mentioned that the components you provided were of excellent quality."

"That's good." He Yuzhu smiled. "Any further needs?"

"That's exactly what we were talking about. We have a new project that requires a batch of special aluminum alloy sheets with very high performance requirements. Can your company, Jinggong, handle that?"

"Send over the technical requirements, and I'll have them evaluate them."

"There's something else," Director Song asked again, "I heard you're collaborating with Harbin Aircraft Industry Group on helicopters?"

"You're very well-informed."

"Hehe, we're all in the same industry. To be honest, we're also interested in deepening our cooperation with you, not just in parts supply."

He Yuzhu's heart skipped a beat: "You mean?"

"Joint research and development, just like yours with Harbin Aircraft Industry Group. However, our project is larger, and of course, the rewards are also greater."

"I need to see a concrete cooperation plan."

"No problem, I'll prepare as soon as possible."

After hanging up the phone, He Yuzhu pondered for a long time.

Xi'an Aircraft Industry Group (XAC) is different from Harbin Aircraft Industry Group (HAIG). This represents a breakthrough. He instructed Lu Shuyi to inform the heads of Jinggong and Zhonggong to prepare for the major project.

Meanwhile, good news also came from Ho Yiu-cho in Hong Kong.

After several months of effort, Huanghe's semiconductor import business has gradually gotten on track, establishing direct supply relationships with three internationally renowned chip manufacturers.

“Dad, although we haven’t gotten the most advanced process yet, it’s already enough to meet most of our needs. Next, I plan to discuss with Uncle Da Mao about investing in a packaging and testing line.”

“Okay, I support that, but don’t focus all your energy on this. Just leave it to your Uncle Mao.”

"I understand, I'm just making a suggestion to help with the overall coordination."

"That's good, otherwise it would be putting the cart before the horse."

"Dad, don't worry, I will take good care of the family's businesses in Hong Kong."

"Just guarding?"

“The Yellow River will only get stronger,” He Yaozu said.

"Alright, go for it and believe in yourself."

"Ok."

Old Fang has been acting mysteriously these past few months, going out all the time. Once he came back and asked, "Zhu Zi, I heard you're working on some kind of management system?"

"Uncle Fang, this isn't a secret, is it? Everyone in the company knows. By the way, why are you so interested in this?"

"I've been busy lately, and this isn't something I need to worry about. Someone asked me to ask you if you'd be willing to promote that system to other companies if it's successfully developed?"

"Promote it? Are they comfortable with that?"

"It's still more reassuring than using products from overseas."

"Let's talk about that later. The system hasn't been developed yet, so I don't know what it will be like when it's released."

"Then I wish you success in developing a good system. Many companies are facing the problem of inadequate management. Since you have taken the lead, set a good example."

"Is this still your intention?"

"Hehe, figure it out yourself!"

(End of this chapter)