Huawei CEO Ken Hu, in a new-year message, said the global revenue of Huawei Technologies is expected to grow 15 percent to $46 billion in 2014.
In 2013, Huawei clocked annual revenues of $39.46 billion. The sales growth was 8.9 percent.
The revenue growth of 15 percent in 2014 was mainly contributed by Huawei’s terminal equipment sales, which is estimated to reach $11.8 billion in 2014.
Huawei’s main rival Ericsson registered revenue growth in single digits in the last few quarters due to weak market conditions. Ericsson does not have smartphone or device business after it exited from Sony Ericsson.
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Huawei strategies
“In 2014, the ICT industry grew tremendously as 4G was rolled out worldwide. Tech innovations in cloud computing, Big Data, and the Internet of Things (IoT) accelerated, with smart devices connecting the lives of more and more people. We have seized these opportunities, continued to focus on our pipe strategy, streamlined management, and maintained effective growth,” said Huawei CEO Ken Hu.
Huawei implemented an organizational transformation to adapt to the increasing convergence of IT and CT technologies. The Chinese telecom vendor established Products & Solutions organization to maintain edge in innovation through an integrated ICT portfolio.
The company has also restructured three business groups (BG) to deliver innovative, differentiated, and leading solutions. Huawei optimized its regional organizations and accelerated delegation and empowerment to operational units in the field.
Huawei for telecom operators
In 2014, Huawei consolidated SoftCOM, future-oriented telecom network architecture, by integrating the concepts of cloud computing, Software-defined Networking (SDN), and Network Functions Virtualization (NFV).
“We developed solutions that will reshape the telecom industry in four areas: services, operations, network functions, and network architecture. We have helped carriers with their comprehensive businesses transformation and network evolution,” Hu added.
Huawei managed to secure contracts in nine major global data traffic hubs, including Moscow, Rio de Janeiro, and Bangalore.
The company’s 400G router has won businesses from over 160 customers. Huawei has worked with 20 leading carriers in joint innovation on NFV / SDN integration services.
Huawei smartphones
Market share of Huawei smartphones has increased significantly, with over 4 million P7 units shipped to over 100 countries and regions. More than 20 million smartphones with Honor brand have been sold through online channels, an increase of 30 times in its first year.
Plans for 2015
Huawei will delegate responsibility to operational units in the field to achieve the operational model of squad leaders’ fight. Huawei will enable field organizations through training in real practice with the emphasis on improving manager’s strategic mindset.
Huawei will streamline back offices and strengthen strategic reserves to build more flexibility and responsiveness into our organizational operations.
Customer projects and product projects will constitute primary business operations in the future. Improving project operations and management capabilities will be key means of boosting efficiency and profitability over the next few years.
In 2015, Huawei will continue to promote project-centered operations and begin piloting pre-sales and post-sales alignment at the project level, aiming to resolve issues in three key areas: project manager authorization, project resource assurance, and budget management.
In 2015, Huawei will continue to incentivize performance. Huawei will step up efforts to provide more differentiated and targeted incentives to better motivate employees. While increasing monetary incentives, Huawei will further extend the range of our non-monetary incentives, including awards such as Whiz Kids and Future Stars.
Baburajan K
[email protected]
