Road to Revival

Chapter 77 Breakthrough

On the morning of the 5th, Zuo Yun, who was preparing to take her child to the park, unexpectedly received a call from Tao Tang, asking her to come to his office to discuss some matters. Zuo Yun never expected Tao Tang to contact her on a holiday, and despite her daughter's protests, she rushed to Tao Tang's office in Building 3.

"Director Zuo, I'm sorry to have disturbed your rest... I'd like to inquire about the marketing department's GG (Google/Google) situation. I know you previously served as the head of the GG section."

"Yes, I used to work in GG department..." Zuo Yun's heart skipped a beat. It seemed that President Tao was really going to target the marketing department. "What do you want to know? I'm not aware of the situation over the past three years..."

"How is the budget for Google Analytics approved? I noticed that last year's Google Analytics budget reached 4300 million. You should be aware of the Google Analytics budget over the past few years, right? What have the results been? Does the marketing department have any specific statistical analysis?"

"President Tao, although I was promoted to deputy director of the marketing department four years ago, I know nothing about the flow of funds and the effects of GG's investment over the past three years. There has been no special analysis within the company, or I was notified to participate..." Zuo Yun decided his attitude almost immediately, refusing to cover up for those who had put him in the "cold palace".

"Oh, what do you manage in the marketing department?"

"Mr. Tao, I only managed cost management for one year. Oh, the marketing department also does cost analysis, so it was marketing costs, of course. For some reason, I was criticized and then became a nobody, with no specific responsibilities."

Zuo Yun felt a sense of pleasure. She smoothed the stray hairs from her forehead and realized how rare such an opportunity was.

"Comrade Zuo Yun, how old are you?"

"Forty-six."

"You said you were criticized for some reasons, could you tell me the specific reasons?"

"The main issue is the GG (Ghosting) expenses; I disagree with the GG department's budget and usage plan. Secondly, there are the public relations costs..."

Could you be more specific?

"It's unnecessary for the products handled by Section 1 and Section 3 to be advertised on TV. I rarely see advertisements for mining rigs and gearboxes on TV because these products aren't targeted at ordinary consumers. In fact, most of our company's products don't need to be on TV, especially not on local channels."

"Hmm, you think our product doesn't need Google advertising?"

"Promotion is still necessary. Publishing GG in some professional magazines is much more effective, and more importantly, it's much cheaper."

"That makes sense. Now let's delve a bit deeper... When you worked in the GG department, what was the company's approximate annual investment in GG? What were the main forms of investment? What was the GG budget and execution process?"

"Back then, the annual fee for 'GG' was less than 1000 million yuan... mainly from open-air 'GG' and newspapers... but now it has increased several times over..." Zuo Yun organized his thoughts and answered Tao Tang's questions one by one.

"According to you, Liu Shulin can determine the allocation of GG fees? Isn't Comrade Li Luo going to investigate?"

"On the surface, he doesn't interfere. Of course, he needs to sign off on it. What I mean is that when the department was studying the use of the GG fund, Vice President Li didn't participate."

"Is this also the case for public relations expenses?"

"There was no public relations expense item originally; it was established after President Song took office. As far as I know, this expense was personally approved by President Song."

"Comrade Zuo Yun, I've received some feedback regarding the marketing department's lack of transparency in the use of GG (Gross Marketing) and public relations funds, and the poor results. Do you agree? Comrade Zuo Yun, please believe me, I'm contacting you to understand these situations for two reasons: first, I trust you, and second, it's out of conscience. I cannot allow any practice of profiting at the expense of the company within Red Star Company. Oh, and also, some people have reported that the marketing department distributes bonuses quarterly, and the amounts are quite large… Are you aware of this situation?"

"If you're referring to sales commissions, that's been going on for at least a decade. Since the end of the last century, the company reformed its marketing management, and frontline sales staff's income, in addition to their base salary, mainly comes from sales commissions. Correspondingly, marketing department managers also benefit a little... The total is about ten to twenty thousand yuan per year. Apart from that, there are no bonuses."

"How much did you earn last year? I mean the commission you mentioned?"

"1.5. It was paid in two installments: 7000 for the first half of the year and 8000 for the second half."

"Oh. You still haven't told me whether you believe the marketing department is engaging in practices that benefit private individuals at the expense of the company? Don't worry, I'm just checking, so don't feel guilty."

"I can't say for sure. But Liu Shulin is quite domineering; he basically never brings up expenses in meetings..."

"So you're saying you weren't involved. Right? Then, was there an audit?"

"There are routine audits every year, but the audit results have never been published."

"Understood. One last question," Tao Tang said, fiddling with his pencil, "what do you think is the main problem with the marketing department?"

"Personnel management. The sales force is basically out of control... The problem of credit sales is serious, which has already caused significant bad debt losses. Mr. Tao, I sincerely hope that the company will pay attention to this issue."

"Thank you very much. That's all for now. Sorry to bother you." Tao Tang ended the conversation.

The company returned to normal the next day. Just as Li Zhibin arrived at work, Tao Tang, who was diligently listening to Li Luo's report and taking notes, was approached by Wang Guanglin, the director of the third workshop of the sixth branch factory.

Seeing Tao Tang frown, Li Zhibin also felt that something was wrong. Workshop directors rarely reported directly to the boss, and even branch factory managers rarely did.

"This is utter nonsense!" Li Luo said sternly. "Why is the workshop foreman bothering General Manager Tao? Let the factory manager handle it!"

"Let him wait a moment. Mr. Li, please continue."

Li Luo was even more annoyed than before, but he had to suppress his temper and continue reporting on the month's cash flow plan. As soon as he arrived at work, Tao Tang called him in to ask about the month's cash flow. Fortunately, he wasn't the type to ignore things, so he started by discussing the major market trends and analyzing the expected cash flow.

"Yes, according to your plan, sales revenue this month should be at least 5 million, right?"

"We should be confident about this number."

"But that won't work. Production is scheduled for 600 million units this month, with 4 million just for materials planning. Wages and insurance alone will cost over 1 million, electricity at least 1500 million, coal 6 million, and natural gas 2 million. Value-added tax alone will be at least 200 million. Other expenses include financial costs, necessary repayments due to legal disputes, minor technological upgrades, new product development, travel expenses, office expenses, and expenses for retired cadres… Based on this month's figures, it will take at least 3000 million to stop. And I told Ma Guangming to try to push the orders from Donghu forward; I want to get another piece of the pie from Donghu… 7 million in output value doesn't sound like…" "It's not much, but our targets are still there, it's a conservative estimate. My order to Lao Ma is at least 6 million, aiming for 6.5 million. We need to push forward. So, 7 million in payments won't work. You need to organize the marketing department to study this, put some pressure on them, and strive to reach 5 million! I'll figure out a way to cover the remaining shortfall. I've looked at some reports, and the payment delays for vehicle parts are a bit unusual. Isn't it supposed to be N+6? Why are some markets dragging on for five or six months? We need to get the lower-level staff more proactive. Also, besides the system and Donghu, I plan to visit some major clients. Can you help me figure out where to start?"

Li Luo discovered that Tao Tang was far superior to Song Yue. What Song Yue had taken at least two or three months to figure out, Tao Tang had accomplished in less than a month. This situation was both good and bad for him, but mostly bad. Moreover, Tao Tang was clearly encroaching on his territory... He was going to visit a major client, but Li Luo couldn't object; he had no reason to object at all.

"Visiting clients is no problem; it's the biggest support for the marketing team. But the pressure of collecting 6 million yuan in payments is too great; I doubt we can achieve it. Mr. Tao, please understand, I'm not shirking responsibility, but this is the truth, and I can't lie through my teeth."

"I've overheard some feedback about the marketing policy, and there's room for strengthening the performance evaluation of sales staff. That seems to be the case. Mr. Li, I asked the Human Resources and Social Security Bureau for the average income of various personnel last year, and marketing was the highest, absolutely number one! It even surpassed the technical staff. Marketing plays an extremely important role in modern enterprise management, so it's acceptable for everyone's income to be higher. But it has to be reasonable. The outstanding debts are too high now; no one can bear that, otherwise we'll be working for the banks. Among the outstanding debts, the debts within the system are not much, only a little bit left. After Lao Han recovered 200 million, the current outstanding debts are only about 250 million, right? So the focus is on recovering the funds outside the system. You're an old hand; you have plenty of ways. From 500 million to 600 million, it's only an increase of 100 million. I believe in your abilities."

"Okay, I'll try my best." Li Luo got up and left Tao Tang's office.

Li Zhibin came in again and asked Tao Tang if he was meeting with Wang Guanglin. Tao Tang said "Oh," and told him to wait a moment. He knew why Wang Guanglin was looking for him. Actually, he didn't care about the offense he had suffered on the commercial street that day. What he needed to do now was to find a real breakthrough in his work. He had been at Hongxing for twenty days. On the surface, he had taken over this huge and bloated company, but he knew that he hadn't. What does it mean to truly control a company? It's not about no one openly defying your orders. Under the existing system, as long as your superiors have given you a position and power, it's easy to do that. Everyone is part of the system, and no one is foolish enough to openly defy the top leader. There are several signs of controlling a company, which he figured out himself. The most crucial one is people. He needed a capable team of assistants, not just deputies, but even the lowest-level workers. Through this team, he could grasp the main problems in the company's operation from seemingly chaotic phenomena and take targeted measures. But so far, apart from Lü Qi, no one had proactively provided him with what he wanted. This is enough to show that Hongxing has not truly accepted him as its leader; his power remains superficial. If he were just trying to get by, the current situation wouldn't be unbearable, but he doesn't want to just coast along. He wants to make a name for himself at Hongxing, at least like he did at Shengdong. Therefore, he only has two options: first, to slowly change Hongxing through small actions, like a gentle, pervasive rain. But this takes time, and he doesn't have time, nor will Feng Shizhao give him more. So, he must take the second approach: take initiative and create trouble to shake up this established company whose actions and thinking are bound by habit. Creating performance in business is ideal, but it's not easy; the easy tasks are all done by others, not left for him. Even though Song Yue is a major embezzler, he will still try to make the business performance look better. His current reckless push for production, regardless of efficiency, is a desperate measure; he must let those in Yanjing who are watching him see his actions. But this situation cannot last, so he must find another way…

After thinking for ten minutes, Tao Tang got up and opened the office door. Several people were waiting outside. "Which one of you is Wang Guanglin? Come in."

Feeling uneasy, Wang Guanglin agreed and followed Tao Tang inside.

Li Luo didn't return to his office but went directly to the marketing department. On his way, he thought about the rumors surrounding the audit report and didn't want a direct confrontation with Tao Tang, who was under the strong protection of headquarters. Besides, he believed that if he refused the task, Tao Tang would definitely have a backup plan. Based on his observations over the past month, this superior, though young, was definitely not Song Yue. Most importantly, he lacked the means to counter Tao Tang! With his over thirty years of experience, he knew that subordinates could retaliate against superiors, but only if the superior revealed a weakness; otherwise, it was unthinkable.

There will definitely be flaws, but he doesn't have any yet. Besides, mistakes at work are generally not flaws; you can't use them to make a fuss. Right now, Li Luo only hopes that Tao Tang isn't a saint; he firmly believes that there are no saints in this world.

Thinking of this, Li Luo turned around and went back to her office in Building 3. She dialed a number on the landline, and hung up without saying a word after the call was connected. Jia Jianxin arrived immediately.

"What's the latest news?"

"No..." Jia Jianxin saw the dissatisfaction in his uncle's eyes, "There really isn't..."

Who goes to his place?

"That little vixen!" Jia Jianxin said angrily, "How dare she defy me!"

"Then fire her! She's just a temporary worker." Li Luo's gaze was icy. "You've handled this horribly! Either get rid of her job as soon as possible, or fire her immediately! Do I have to teach you these things?"

"Yes, I'll take care of it right away."

"We need to come up with a reason! By the way, Wang Guanglin was looking for him earlier; he should be in his office now. Go and find out what's going on."

"Wang Guanglin?"

"The foreman of Workshop 3, Branch Factory 6. He shouldn't have gone there directly! Understand?" He looked at his nephew's confused eyes, and couldn't help but feel disappointed.

"Oh……"

"Go now, go right now."

Zhu Yu, the director of the sixth factory, was one of Li Luo's men, and Li Luo worried that Wang Guanglin had come to report Zhu Yu. A small leak can sink a great ship; after sensing that Tao Tang was watching him, Li Luo became somewhat neurotic.

After Jia Jianxin left, Li Luo called Liu Shulin and asked him to convene a meeting at nine o'clock to specifically discuss the issue of this month's payments.

Jia Jianxin returned quickly. "Uncle, it seems Wang Guanglin came to apologize to Tao Tang... Li Zhibin asked me what was wrong, but I didn't want to say... That kid isn't very obedient..."

"Apologize? What right does he have to offend someone?" Li Luo was even more confused. "Get me to understand the whole story. Besides, how many times have I told you? Prepare in advance! It's too late to look for people when you need them!"

After being scolded by his uncle, Jia Jianxin returned to his office dejectedly. He opened his office door wide so that he could see Wang Guanglin coming out of Tao Tang's office.

His life was tough now. Since Tao Tang took office, Zhang Xingwu had completely "resurrected," and Zhang Xingwu's "resurrection" meant his own "death." The root of the problem lay with his uncle, but his uncle also seemed to be in trouble... Just now, he asked him to fire Xiao Ye, probably because he was worried that Xiao Ye would pass on the special task he had given her to Tao Tang. Thinking of this, Jia Jianxin felt like he was sitting on pins and needles. But what could he say? Would she cry and make a scene? What if that little slut hooked up with Tao Tang? He was afraid he would be in big trouble... Moreover, he also needed to talk to Pan Chenggui. Pan Chenggui wasn't his uncle's man, and he needed to find a plausible reason to fire Xiao Zhao's waitress.

After waiting for a full half hour, Wang Guanglin still hadn't appeared. Something was wrong, so Jia Jianxin went to Li Zhibin's office again. "Is Wang Guanglin still inside?" he asked in a low voice as Li Zhibin got up to greet him.

"He left a long time ago..."

"Oh, it's nothing. I need to talk to Wang Guanglin about something..." He didn't dare ask Li Zhibin why Wang Guanglin had come, and left in a hurry.

(End of this chapter)