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Ji Xiaonan, chairman of the board of supervisors of the former state-owned key large enterprises, after an exclusive interview: The relocation of the headquarters of central enterprises has brought strong momentum to the development of the relocated regions, and the low proportion of relocation to the central and western regions is worthy of attention

author:National Business Daily

Per reporter: Li Keyu

Ji Xiaonan, chairman of the board of supervisors of the former state-owned key large enterprises, after an exclusive interview: The relocation of the headquarters of central enterprises has brought strong momentum to the development of the relocated regions, and the low proportion of relocation to the central and western regions is worthy of attention

The past 2021 has been a landmark year in the field of state-owned enterprise reform: 70% of the scheduled tasks of the three-year action target of state-owned enterprise reform have been successfully completed; the professional reorganization and integration of state-owned enterprises and central enterprises have been "good drama"; and the headquarters of many central enterprises have been relocated...

In 2022, as the three-year reform of state-owned enterprises enters the final year, the market and society's attention to the field of state-owned assets and state-owned enterprises has also been increasing.

Premier Li Keqiang pointed out in his government work report to the Fifth Session of the 13th National People's Congress that this year it is necessary to complete the three-year action task of state-owned enterprise reform, accelerate the optimization of the layout and structural adjustment of the state-owned economy, strengthen the supervision of state-owned assets, promote state-owned enterprises to focus on the main business, and enhance the support and driving capacity of the industrial chain supply chain.

How to interpret the hot spots of soE reform in the new year? During the two sessions of the National People's Congress, a reporter from the Daily Economic News (hereinafter referred to as the NBD) conducted an exclusive interview with Ji Xiaonan, former chairman of the board of supervisors of key state-owned enterprises under the State Council.

The economic operation of central enterprises in 2021

Ji Xiaonan, chairman of the board of supervisors of the former state-owned key large enterprises, after an exclusive interview: The relocation of the headquarters of central enterprises has brought strong momentum to the development of the relocated regions, and the low proportion of relocation to the central and western regions is worthy of attention

In 2021, the efficiency growth of central enterprises hit the best level in history Image source: Sasac commission

Strengthening the construction of the board of directors is a key task in improving the modern enterprise system with Chinese characteristics

NBD: This year is the end of the three-year action of state-owned enterprise reform, what other aspects of reform need to be overcome? How can we ensure the successful conclusion of the three-year action task of so-owned enterprise reform in light of reality?

Ji Xiaonan: 2021 is a crucial year for the three-year reform of state-owned enterprises. The three-year action of state-owned enterprise reform has been advanced in depth, the set goals and tasks have been fully completed, breakthroughs have been made in key areas and key links of state-owned enterprise reform, the overall tasks have been completed by 70%, and the vitality of state-owned enterprise development has been continuously stimulated.

2022 is the decisive year of the three-year action of state-owned enterprise reform, in order to ensure the completion of the main task of the three-year action of state-owned enterprise reform before the 20th National Congress of the Party, to achieve a high-quality conclusion of the three-year action of state-owned enterprise reform, and to promote the reform of state-owned enterprises to move forward in depth and go deeper, we must strive to tackle the key and difficult points of state-owned enterprise reform.

To fight the battle to end the three-year action of state-owned enterprise reform, the key difficulties that need to be overcome or the hard bones that need to be gnawed are mainly concentrated in four aspects:

First, how to proceed from China's national conditions to establish and improve a modern enterprise system with Chinese characteristics;

The second is how to promote the reform of the three systems of state-owned enterprises and form a market-oriented and international operating mechanism;

The third is how to deepen the mixed reform of state-owned enterprises and promote the better transformation mechanism of mixed reform enterprises to increase vitality;

The fourth is how to build an effective state-owned assets supervision system according to the changes in the equity structure of state-owned enterprises.

To complete the battle to conclude the three-year action of state-owned enterprise reform with high quality, it is necessary to go all out to pull out hard nails and gnaw hard bones, highlight the key points, grasp the key points, and deeply tackle the key problems to ensure that the three-year action is decisively won.

To this end, central enterprises will strive to fight the final battle from three aspects: First, grasp the end of the battle according to the target tasks; second, focus on the key and difficult points to grasp the key problems; third, focus on consolidating, expanding, and promoting, and strive to achieve reform results that can withstand the test of history.

To complete the three-year action goals and tasks of state-owned enterprise reform with high quality, we must make breakthrough and substantive progress in focusing on key points and breaking through difficult issues. To this end, at least we must achieve "five strengthening": first, strengthen systematic promotion; second, strengthen policy coordination; third, strengthen institutional innovation; fourth, strengthen summary and promotion; fifth, strengthen public opinion publicity. Strive to form a number of influential major landmark practical achievements, institutional achievements, and theoretical achievements on this basis.

The Central Committee for Comprehensively Deepening Reform has clearly defined the goals and tasks of the three-year action of state-owned enterprise reform, and the State Council's leading group for the reform of state-owned enterprises has made specific arrangements for accomplishing the three-year goals and tasks to ensure that the three-year action of state-owned enterprise reform is decisively won, and we must focus on doing a good job of "six grasps": First, grasp the progress of reform; second, pay attention to strengthening supervision and supervision; third, grasp the responsibility of strict assessment; fourth, grasp the elimination of sales numbers one by one; fifth, pay attention to strengthening the evaluation of achievements; and sixth, grasp the timely inspection and acceptance.

What needs to be seen is that deepening the reform of state-owned enterprises is a long-term task. The completion of the three-year action of state-owned enterprise reform will provide a new institutional guarantee for the high-quality development of state-owned enterprises, but state-owned enterprises need to continuously deepen reform if they want to truly build a market-oriented international institutional mechanism for world-class enterprises. The Twentieth National Congress of the Communist Party of China will make new plans and arrangements for the construction of socialism with Chinese characteristics in the next five years, and we must promote the continuous in-depth development of the reform of state-owned enterprises in accordance with the direction and tasks established by the Twentieth National Congress of the Party.

NBD: In the process of improving the modern enterprise system with Chinese characteristics, how to strengthen the leadership of the party in improving corporate governance and achieve the goal of "party building work is productivity when it is done"? At the same time, in this process, how to better strengthen the construction of the board of directors and give play to the role of the board of directors?

Ji Xiaonan: The Third Plenary Session of the 14th Central Committee of the Communist Party of China first proposed the establishment of a modern enterprise system, and the 2016 National Conference on Party Building in State-Owned Enterprises proposed the establishment of a modern enterprise system with Chinese characteristics. This shows that after years of reform and exploration, we have gained a new understanding of the laws and characteristics of the reform of China's state-owned enterprises and have entered a new stage. Among them, the most critical and important is to strengthen party building in improving corporate governance, and use high-quality enterprise party building to lead and ensure the high-quality development of state-owned enterprises.

Upholding and strengthening the party's overall leadership is the most essential feature of the socialist system with Chinese characteristics and the advantage of the socialist system with Chinese characteristics. Upholding the party's overall leadership over state-owned enterprises is a major political principle that must be consistently adhered to; the establishment of a modern enterprise system is the direction of the reform of state-owned enterprises, and it must also be consistent.

Strengthening the party's leadership in establishing and perfecting a modern enterprise system with Chinese characteristics is determined by the mainland's national conditions and the nature of state-owned enterprises. This is a major historical mission and a major practical topic, which requires in-depth research and continuous exploration.

Improving the corporate governance structure of the company is the core of improving the modern enterprise system with Chinese characteristics, and the key to strengthening the party's leadership in improving the modern enterprise system with Chinese characteristics is to achieve the unity of the party's leadership and corporate governance.

In 2021, the General Office of the CPC Central Committee issued the Opinions on Strengthening the Party's Leadership in Improving Corporate Governance in Central Enterprises, which clarified the boundaries and mutual relations between the powers and responsibilities of party committees (party groups), boards of directors, and managers. To strengthen the party's leadership in improving corporate governance, it is necessary to earnestly implement the respective rights and responsibilities of party committees (party groups), boards of directors, and managers, standardize the way of performing duties, organically unify the party's leadership and corporate governance, make Chinese characteristics and international rules interconnected, and make the corporate governance of mainland state-owned enterprises more perfect.

Strengthening the construction of the board of directors is a key task in improving the modern enterprise system with Chinese characteristics. In the construction of a modern enterprise system with Chinese characteristics, to strengthen the construction of the board of directors and better play the role of the board of directors, it is necessary to do a good job in at least five aspects and achieve substantive results:

First, strengthen the assessment and evaluation of the board of directors, focus on the responsibility positioning of the board of directors, clarify the key points of performance, and evaluate scientifically and effectively;

The second is to strengthen the construction of the team of outside directors, and strictly control the political, honest and ability of directors;

The third is to promote the construction of the board of directors of the subsidiary enterprise, and in accordance with the requirements and deployment of the State-owned Assets Supervision and Administration Commission of the State Council, strive to achieve the full construction of the board of directors of the subsidiary enterprise by the end of June this year, and the outside directors account for the majority in principle;

The fourth is to implement the "Model Text of the List of Major Operational and Management Matters for the Pre-study and Discussion of Major Operational and Management Matters of the Party Committee of the Central Enterprise (Party Group) (Trial)" issued by the Party Committee of the Central Organization Department and the State-owned Assets Supervision and Administration Commission, and conscientiously implement the procedures and requirements specified in the list;

The fifth is to continue to promote the transformation of the functions of the state-owned assets regulatory authorities, truly hand over the functions and powers belonging to the board of directors of enterprises to the board of directors of enterprises, and at the same time, seriously supervise the performance of their duties and exercises.

State-owned enterprises are an important material foundation and political foundation of socialism with Chinese characteristics, an important pillar and relying force for our party to govern and rejuvenate the country, and the fundamental purpose of strengthening the party's leadership in improving the modern enterprise system with Chinese characteristics is to use high-quality party building to promote the high-quality development of state-owned enterprises and build the core competitiveness of forming the high-quality development of state-owned enterprises.

To do a good job in party building work and promote the development of state-owned enterprises, it is required to always take "grasping party building around development and doing a good job of party building to promote development" as the main line, and to put the party building work of enterprises in the overall situation of production and operation to plan, and it is necessary to focus on doing the following work well:

The first is to do a good job in the party's self-building and transform the party's organizational advantages into enterprise development advantages;

The second is to strengthen the organizational strength of grass-roots party organizations and provide a strong organizational guarantee for the development of enterprises;

The third is to improve the way of party building work, and explore effective ways and means for the deep integration of party building work with enterprise strategy, management, governance and culture;

The fourth is to focus on the construction of the team and provide all kinds of high-quality talents for the high-quality development of state-owned enterprises;

Fifth, give play to the vanguard and exemplary role of party members, and motivate and mobilize the enthusiasm and creativity of all employees;

The sixth is to continue to carry out anti-corruption work to provide an excellent environment and create a good social image for building a world-class enterprise.

In 2021, the three-year action of state-owned enterprise reform will complete 70% of the target task

Ji Xiaonan, chairman of the board of supervisors of the former state-owned key large enterprises, after an exclusive interview: The relocation of the headquarters of central enterprises has brought strong momentum to the development of the relocated regions, and the low proportion of relocation to the central and western regions is worthy of attention

Completion of some of the goals of the three-year action of state-owned enterprise reform Image source: SASAC

The intensive relocation of the headquarters of central enterprises can better promote sustained, healthy and high-quality development

NBD: In the past year, the intensive relocation of the headquarters of central enterprises has become a hot spot in the field of state-owned enterprises. In your opinion, what are the main considerations for this round of relocation of the headquarters of central enterprises? What role can emigration play in promoting coordinated regional development? Will there be more central enterprise headquarters relocated this year?

Ji Xiaonan: In the past two years, the headquarters of central enterprises have moved away from Beijing intensively, which has been welcomed by the local government and paid attention to by many parties.

The deep reason for the intensive relocation of the headquarters of central enterprises is to better implement the country's regional development strategy, better play the leading role and strategic support role of the state-owned economy, and better promote the sustained, healthy and high-quality development of central enterprises.

Analysis of the regions where the headquarters of central enterprises have moved in the past two years can be seen that the specific considerations for the relocation of central enterprise headquarters are not the same, mainly involving four aspects:

The first is the high-quality implementation of Beijing's non-capital functions, such as China Star Network, China Huaneng, and The headquarters of central enterprises such as China Sinochem Group and China National Chemical Group, a new company established after the merger of China Sinochem Group and China National Chemical Corporation, settled in Xiong'an;

After the merger of China State Shipbuilding Industry Group and China Shipbuilding Industry Group, the headquarters was moved to Shanghai, where the Shanghai Jiangnan Shipbuilding Group, which belonged to the former China State Shipbuilding Industry Group;

The third is to return to the area where the enterprise was founded, such as the headquarters of China Three Gorges Group moved back to Hubei, and after China Ocean Shipping Group and China Shipping Group established China OCEAN SHIPPING Group, the headquarters moved to Shanghai, where the headquarters of China Shipping Group was located;

Fourth, it is close to the resource advantage areas, such as the headquarters of China Rare Earth Group settled in Ganzhou, the headquarters of China Electronic Information Group moved to Shenzhen, and the headquarters of the newly established China Electrical Equipment Manufacturing Group settled in Shanghai.

The relocation of the headquarters of central enterprises has undoubtedly provided new and strong momentum for the accelerated development of the relocated areas. On the one hand, the relocation of the headquarters of central enterprises is conducive to accelerating the construction of the headquarters economy in the areas where they move in; on the other hand, because the central enterprises are basically entity enterprises, it is conducive to driving the development of the real economy and productive service industries in the areas where they move in.

For example, the reason why automobiles and related industries can become the pillar industries of Jilin is mainly due to the fact that FAW Group is headquartered in Changchun. Because of this, all localities are very concerned about the relocation of the headquarters of central enterprises, and they all hope that the local area can become the place where the headquarters of central enterprises can be moved.

As for whether the relocation of the headquarters of central enterprises can drive the coordinated development of the region, it mainly depends on the regional distribution of the relocation of the headquarters of central enterprises. For example, the headquarters of China Three Gorges Group moved back to Hubei, and the headquarters of China Rare Earth Group settled in Ganzhou, which will undoubtedly play a positive role in accelerating the development of the central and western regions and coordinating the development of the region.

However, judging from the current relocation areas of the headquarters of central enterprises, the proportion of people moving into the central and western regions is still relatively low, and those who have moved into the three northeastern provinces have not yet appeared, which is a problem worthy of attention and study.

In the past year, the number and intensity of the relocation of the headquarters of central enterprises from Beijing have aroused great concern from all walks of life. However, in general, the migration of central enterprises is still in its infancy, and this trend is expected to continue for some time.

On the one hand, this is the need to implement the task of relieving Beijing's non-capital functions, and some central enterprise headquarters will be relocated to Xiong'an or places outside the core functional area of the capital;

On the other hand, this is the need to implement the national development strategy, and the headquarters of the newly formed central enterprise group may be located outside Beijing.

In accordance with the spirit of the Central Economic Work Conference and the arrangements for this year's government work report, this year's economic work should adhere to the general tone of seeking progress in a stable manner. The migration of central enterprises involves all aspects and involves the stability of the staff and workers of enterprises, and it is even more necessary to adhere to the principle of being stable and making progress in stability.

NBD: In 2021, important progress has been made in the professional restructuring of central enterprises, and China Electric Equipment Group, China Logistics Group, and China Rare Earth Group have successively come out. How will the current large-scale professional restructuring enhance the innovation and competitiveness of central enterprises? According to your analysis, what will be the main direction of the professional restructuring of central enterprises in the future?

Ji Xiaonan: The restructuring and integration of central enterprises in recent years includes two aspects: strategic restructuring and professional integration.

Ji Xiaonan, chairman of the board of supervisors of the former state-owned key large enterprises, after an exclusive interview: The relocation of the headquarters of central enterprises has brought strong momentum to the development of the relocated regions, and the low proportion of relocation to the central and western regions is worthy of attention

After many restructurings and integrations, the number of central enterprises in 2021 will be 97

Strategic restructuring mainly refers to the reorganization and merger of two central enterprise groups, such as the reorganization of Guodian Group and Shenhua Group into the National Energy Group; the professional integration mainly refers to the merger of similar businesses of more than two state-owned enterprises, such as China Electric Equipment Group, which is integrated by China Xidian Group and Xuji Group, Pinggao Group, Shandong Electric and Electric Group and NARI Hengchi, NARI Taishida, Chongqing Borui, etc.

Increasing the intensity of the professional integration of central enterprises and accelerating the process of professional integration of central enterprises will play an important role and have a positive impact on enhancing the innovation and competitiveness of central enterprises.

First, professional integration is conducive to solving the shortcomings of decentralized innovation resources and serious homogeneous competition of central enterprises, and improving the comprehensive innovation ability of central enterprises.

Second, professional integration is conducive to improving the industrial chain of central enterprises, enhance the comprehensive supporting capacity of central enterprises, the integrated business of China Electric Equipment Group covers power generation, transmission, substation, distribution, electricity consumption and other power fields, integrated energy services, energy storage, rail transit, industrial automation, energy Internet and other fields, as well as strategic emerging industries extended upstream and downstream of the industrial chain.

Third, professional integration is conducive to the large-scale development of central enterprises, the integrated China Electrical Equipment Group is the largest scale, the most complete industry, the strongest comprehensive capacity of the mainland power transmission and distribution field of the full voltage, a full range of AC and DC electrical equipment manufacturing enterprises, especially in the UHV AC and DC switches, transformers, converter valves and other fields with international leading advantages.

Fourth, professional integration is conducive to optimizing the industrial structure and regional layout of central enterprises, after the integration of China Electrical Equipment Group's industrial base throughout the world, products, technologies, standards and services covering more than 100 countries and regions along the "Belt and Road" and other countries and regions, forming a global radiation of the power transmission and distribution industry layout.

It can be seen that the reorganization and establishment of China Electric Equipment Group has built a coordinated industrial development ecology with leading leadership, chain extension and cluster progress, and will become an important force leading the high-quality development of the mainland transmission and distribution equipment manufacturing industry, supporting and ensuring national power energy security, and widely participating in international power energy competition.

However, on the whole, the migration of central enterprises is still in its early stages, there are still many roads to go, there are still many things to do, the contradictions and problems such as prominent industrial structure contradictions between central enterprises, serious homogeneous competition, scattered innovation resources, and continuous repeated construction have not been fundamentally solved, and it is necessary to further strengthen the top-level design and make overall plans for the professional integration between central enterprises and between central enterprises and other enterprises.

According to the deployment of the State-owned Assets Supervision and Administration Commission of the State Council, in terms of professional restructuring this year, we will aim to strengthen and refine the business, take the advantageous enterprises as the main body, and actively promote the professional integration of grain reserve processing, port terminals and other fields. At the same time, in accordance with the principle of "mature one household, promote one household", we will steadily promote the restructuring and integration of steel and other fields.

Of course, professional integration provides a scale foundation and resource support for central enterprises to enhance their innovation and competitiveness, but after professional integration, central enterprises must truly form the effect and aggregation effect of 1+1>2, and make substantial and important progress in at least six aspects:

First, accelerate the integration of business, assets, culture, etc., and form integrated synergistic benefits as soon as possible;

The second is to focus on the main business and optimize the business layout;

The third is to concentrate on scientific and technological innovation and strengthen key core technology research;

The fourth is to promote in-depth cooperation between upstream and downstream enterprises to create an excellent industrial ecological environment;

Fifth, continuously deepen reform and opening up and improve the level of corporate governance;

The sixth is to comprehensively improve the quality and level of enterprise party building and provide a strong organizational guarantee for building a world-class enterprise.

It should be emphasized that with the deepening and breadth of the integration of modern information technology and the real economy, the industrial Internet or industry Internet of upstream and downstream interconnection, production, supply and marketing linkage has become a development trend, which has received more and more attention and developed faster and faster. This kind of platform enterprise that relies on information technology and online and offline interaction is easy to form a dominant advantage of the convergence of various resource elements. We should attach great importance to the construction of such platform enterprises, and according to their own advantages and characteristics, through professional integration, form industrial Internet enterprises or industry Internet enterprises in several different fields, in order to obtain the unique advantages of future market competition.

Reporter's Note 丨 The new progress in the reform of state-owned enterprises in 2022 is expected

The past 2021 can be said to be a year of "good drama" in the field of state-owned enterprise reform: a number of new central enterprises such as China Rare Earth Group have been launched, and central enterprises have set off a wave of intensive headquarters relocation.

In 2022, there are many bright spots in the field of state-owned enterprise reform that are worth looking forward to: this year is the end of the three-year action of state-owned enterprise reform, and it is a key year to improve the modern enterprise system with Chinese characteristics.

In the new year, the field of state-owned enterprise reform is destined to leave an extraordinary mark.

Reporter: Li Keyu

Editor: Chen Xu

Vision: Liu Qingyan

Typesetting: Chen Xu Wang Shujie

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