Chairman Fu Yuning inspected CR Pharmaceutical's subsidiaries in Zhengzhou, Henan Province on June 8, where he specifically learnt about the decision-making authorization and management relation between SBU and regional companies. CR Secretary General Zhu Jinkun, Assistant General Manager and Chairman of CR Pharmaceutical Wang Chuncheng, Strategic Director Chen Yin, heads of CR Strategy Management, HR and Finance departments and managers from CR Pharmaceutical HQ joined the inspection.

Chairman Fu and his delegation visited frontline employees in CR Henan Pharmaceutical, talked with them about business and encouraged them to work hard. At the subsequent seminar, CR Henan Pharmaceutical, Henan Double-Crane Huali and Henan Double-Crane (Shangqiu) respectively reported their production and operation status, their challenges and opportunities and the main steps they have taken for innovative development. Centering on the theme of "decision-making authorization and management relation between SBU and regional companies", the seminar had in-depth discussions about the management model, division of authority, remuneration and incentive, cultural dissemination and other aspects between the SBU HQ and regional companies from such perspective as strategy, investment, HR, finance, procurement and sales management.

Chairman Fu fully affirmed CR Henan Pharmaceutical's achievements in three-level cost accounting, e-commerce, NHLI project and other areas. He spoke highly of the management and control model featuring "three lines, one network and one cornerstone" implemented by CR Pharmaceutical in each province, and demanded it to be promoted nationwide according to province- and city-specific characteristics and market conditions. He said that the management and control model applied by SBU HQ to regional companies shall follow the fundamental principle of "market orientation and customer service", and efforts shall be made to share best practices for mutual progress. He emphasized risk control and the management of employees in financial and other professional posts, and demanded to highlight the driving force of innovation, strengthen the centralized management and control of IT applications, and set up a customer management system to more efficiently serve the customers through big data analysis. He encouraged the exploration of tiered management of regional companies and the formation of healthy competition among them by granting full authority to well-run ones. He also asked regional companies to foster corporate culture in light of local culture, making sure that it not only features industrial and local characteristics, but also consists with the CR culture.