Chapter 208: The Routine of Big Enterprises
Boss Liu patiently explained, "When our large state-owned enterprises go overseas, regardless of whether the contract is concluded or not, they always make a significant initial investment. If they're reluctant to invest, how can they possibly have a chance at a major project?"
For example, the early-stage project manager assigned by Mr. Yuan arrived with no projects at the outset, yet arrived with 30 million in funding, a figure he didn't even need to issue invoices for. He was completely alone, forming his own team, hiring local expatriates as bodyguards and drivers, and two young translators and assistants from China. Besides appearing in a suit and tie to network, this project manager was, in private, a jack-of-all-trades, responsible for everything from grocery shopping and cooking to renting a house and repairing appliances.
Lin Ruoyan admired these early-stage project managers. They went to an unfamiliar country alone, carrying a large sum of money, and gradually established connections and found the right channels. This required resilience and strong overall abilities. She was also curious: "With such strict financial management in state-owned enterprises, how can they generate money without invoices?"
"How can you expect formal invoices for overseas projects? Many local receipts are acceptable; just keep the accounts clear. How can you get anything done without expansion funding? Private companies can easily expand into the market because their financial management isn't strict. If state-owned enterprises want to expand, they'll have to break through and adapt some of their domestic principles to meet overseas demands." Boss Liu paused, his tone relaxed, and he stopped talking about the sensitive topic. He shifted to other topics. "Do you know what kind of people and supplies the initial project manager requested for the second batch after he arrived?"
Lin Ruoyan frowned and thought, "Could they be experts in exploration or construction, or some farming tycoon? Should they bring a bunch of domestically produced equipment for a field inspection?"
Boss Liu shook his head. "This early stage manager ordered a second batch of people to be sent from China: a cook and a former soldier who was a security guard and could handle a gun and play ping-pong. As for the goods, they wanted a large round table that seats ten, several large copper hot pots and accompanying cooking utensils, and two folding ping-pong tables. Don't ask me how I know; I saw it in person."
Lin Ruoyan was really surprised: "Why is this happening?"
"Do you think you can start serious business right after you arrive? Many projects require six months or a year of building relationships before you have a chance. Chinese people's biggest advantage is in catering and table tennis socializing; their early managers specialize in this area of development.
Don't locals get off work on a certain day and have Saturdays and Sundays off? He rented a large villa and invited all his friends over. A top-tier chef in China prepared exquisite dishes, and after one meal, they'd definitely want to come back for more. He also played table tennis, organizing a friendly league, and they could get together every week, which helped them become very close.
The young translator he hired from China was also incredibly talented. She majored in X language and came to intern before she even graduated. She picked up the local accent quickly and had a cheerful and lively personality, making her very popular with the wives of high-ranking officials. "Later, the big project in Province B was secured, and that young woman definitely played a role."
"Then I'm actually here to take advantage of the situation." Lin Ruoyan seemed to be thinking about it. "I didn't do anything, but I got such a good opportunity. I feel even more uneasy."
Boss Liu really liked Lin Ruoyan's humble attitude. Unlike some younger generations who had big business deals and were youthful and frivolous, he added a few words: "Mr. Yuan's big contract is just a draft. He was willing to bring you here because he hopes to leverage your strength to win all the big projects. The ideas you talked about impressed him, and they will also impress the local management. Working for the welfare of the people is a good thing. Welfare is a good thing. We'll see how you can make both sides more interested."
Lin Ruoyan is the best at misleading people, and the original book’s plot roughly mentions all of it.
Bolivia is a country that relies on votes. While the president is popular, his term is still determined by the constitution, and re-election is required upon the expiration of his term. The opposition naturally exploits every opportunity presented by the general election to gain power.
Therefore, the current ruling party will take practical measures to ensure that the people can see and feel the benefits. What do the locals lack? Housing and jobs—these two are essential needs. And when building a new city on flat land, the same supporting infrastructure must also be available.
The large domestic companies I went to were basically developing around the above-mentioned themes: building bridges and roads, clearing land for farming, and then moving on to building houses.
Lin Ruoyan has personally seen many residential projects in the local area in recent days. The old residential areas were all built by developed countries. Most of them are commercial housing for foreigners or local wealthy people to live in. Some of these buildings are unfinished and are generally not large in scale.
The residential communities built by other countries at their invitation are primarily multi-story or low-rise. For example, Country E has built several Soviet-style garden communities. These resemble the typical residential complexes common in China during the 1950s and 1960s, showing no improvement at all. These types of houses are more suited to cold climates than to the local equatorial rainforest. Primarily constructed of brick, they are slow to build and somewhat bulky, making them unpopular.
Therefore, if Lin Ruoyan wants to build houses locally, she must do it quickly, efficiently and economically to meet the real needs of local residents.
Another thing to note is that local labor costs are high and efficiency is low.
Locals maintain a distinct separation between work and personal life. Manual workers are typically paid weekly, and unions exist, organizing regular events and negotiating wage increases with employers. A characteristic of weekly pay is that attendance is highest on Friday afternoons, when pay is paid. People typically disappear until their afternoon work is finished.
So while they work five days a week, they're only actually able to work four and a half days a week. Not to mention work efficiency, local manual laborers generally have low levels of education, limited technical skills, and lack the hardworking spirit of migrant workers in China.
Local labor laws and regulations stipulate that for every foreign worker employed on a construction project, ten domestic workers are required. However, the work and efficiency of these ten workers are roughly equivalent to that of one or two domestic workers. Therefore, negotiating the labor ratio is a crucial issue in every construction contract, and large domestic companies generally strive to maximize the use of domestic workers.
Lin Ruoyan is going to carry out a housing construction project, and the details of the employment ratio of workers, especially technical workers, must be calculated in advance, otherwise the project will be very slow.
She had seen a building near the local airport that appeared to have completed its roof and was reportedly under construction. Upon inquiry, she discovered that the small office building, seemingly less than six stories high, hadn't been completed for five years. Even with a luxurious interior renovation, a building of this size, from initial digging to turnkey completion, would take Chinese workers about a year to complete. In southern China, that could be accomplished in seven or eight months.
The local climate is so good that there are no winter construction worries. How can it take five years to build a small building? However, the efficiency of local workers is such that there is no need to rush when building a building with only local people.
The key to fast construction lies in labor. So what are the local standards for quality and economy?
Continue read on readnovelmtl.com