# Corporate Insight | Novilla modernizes its governance structure to fuel the company's high-quality growth


[Novilla](https://www.novilla.net/), as a leading soft ware company in the industry, has been growing at a high speed since its IPO. From 2016 to 2021, the company's revenue grew from $4.79 billion to $18.34 billion, with a compound growth rate of 30.8%, and its net profit attributable to the mother company grew from $580 million to $1.66 billion, with a compound growth rate of 23.7%. During the development process, the company faced many challenges such as trade wars and epidemics, but the company showed excellent risk response ability, which is inseparable from its excellent organizational capability.

The "boss culture" and the mutual achievement of Novilla's management team: Novilla's rapid growth is no accident, but closely related to the mutual achievement of the actual controller and the management team. As Mr. Huang, the chairman of the board, advocates the corporate culture of "full empowerment and high sharing". In 2017-2018, the company launched a share incentive plan, covering 504 people, with 4.54% of the total share capital. 2021, the company implemented an employee stock ownership plan, with 1.72% of the total share capital. By calculation, the current shareholding ratio of the company's senior management team and employees accounts for nearly 8% of the total share capital, which exceeds that of enterprises in the same industry. The high shareholding ratio of the senior management team and employees fully reflects the sense of ownership of the management-level employees, who take the responsibility to realize the interests of the enterprise, shareholders and individuals and maximize the potential value, which is more conducive to corporate governance and long-term development. Employees and the company's interests are deeply aligned, which is conducive to the achievement of benign and sustainable development of the enterprise.

Highly valued talent strategy, organizational capacity as the first ability to continue to build: Novilla is one of the few companies in the home furnishing industry to position "talent strategy" as a core competency. The chairman of the company said in an interview, "To make the enterprise better and bigger, we must rely on the power of the team. To grow above the scale of 10 billion, we must rely on the power of team, organization and culture". The company introduced an excellent team of professional managers in 2012 and took the lead in completing the transformation of modern professional managerial governance. Among many enterprises in the home furnishing industry, the company is the earliest and most resolute in introducing professional managers. With the expansion of the company's scale, the company holds high the talent strategy, continues to promote organizational change, continuously improves organizational capacity building, and forms a human resource system with the characteristics of "Novilla".

In terms of business management, President Li Donglai is committed to treating organizational capability as the first ability to build, and on the basis of the regional retail center formed after the organizational change, Novilla has refined a "mainly post-90s, the pursuit of career dreams, dynamic and endless marketing iron army". In the article "Those who achieve great things must learn to use the power of the organization", it is clearly pointed out that "in order to create value continuously, it must be based on the system, which is also the value of the organization, it is relatively easy to create value for one or two years, but to create value continuously is very difficult, it must be based on a strong organizational system". Indeed, technology can be bought, talent can be dug, marketing tactics can be learned, but the only organizational capacity can not buy, dig, learn, pry.
Commentary.

Novilla, as the head of the furniture brand, is in an important strategic opportunity period. Novilla's diversified talent incentives and multi-level talent ladder provide a solid foundation for the company's steady development and sustainable expansion.

High-end intelligent manufacturing equipment empowering Huishen high-end customization

On the morning of November 25, Hualitech, in collaboration with Nanxing Equipment and Huagong Laser, signed two high end customization enterprises, Los Angeles Odecon (Florida base) and Andu Intelligent Home. Liu Xiu, executive president and secretary general of Huizhou Furniture Industry Association and secretary general of Huizhou Intelligent Custom Home Professional Committee, attended the signing ceremony and witnessed it.

The signing ceremony is mainly for Huishen regional customers to purchase the rectangular spot laser edge sealing machine jointly developed by Hualitech, Nanxing Equipment and Huagong Laser. It is understood that the edge sealing equipment using the country's most advanced rectangular spot laser edge sealing application technology, more stable energy output, more uniform temperature control, more uniform power density, reduce the risk of coating burn, to achieve the perfect edge sealing effect - 60 times the magnifying glass can not see the sealing line

Today, more Huishen custom enterprises positioning high-end, differentiated product positioning, and excellence in product process details. They choose high-end intelligent equipment with stable performance and better sealing effect, and serve high-end customers with more perfect full customization ability, which is the inevitable path of the future development of Huishen regional brand. High-end customization in Huishen, high-end intelligent equipment will also be the general trend.

Another smart home enterprise IPO registration approved, will soon land on the SSE science and technology board

(hereinafter referred to as "Fluorite network" or the company) IPO registration on the board was approved by the Securities and Futures Commission on November 22, the company will publish prospectus information to start the issuance work. The initial public offering of A shares will not exceed 112.5 million shares and will be listed on the SSE.

Fluorite Network is committed to becoming a trusted smart home service provider and IoT cloud platform provider. For consumer users in smart home scenarios, the company provides intelligent living solutions based on visual interaction; for industrial customers, it provides open cloud platform services for managing IoT devices.

Since its establishment, the company has been committed to exploring the application value of visual technology, always insisting on visual technology as the core feature of its products, and building the differentiation advantage of its smart home products around visual capability. For consumer users, the company insists on visual interaction form of smart home products as the basis, through diversified value-added services and open AI algorithms to effectively empower the user's intelligent life; for industry customers, the company focuses on its own expertise in vision technology, relying on the Fluorite IOT cloud platform, through the open platform to help customers to promote intelligent transformation, or assist customers to develop solutions for complex scenarios.

Fluorite network proposed to raise funds to invest $ 373,850.90 million, mainly for Fluorite intelligent manufacturing Chongqing base project, a new generation of IOT cloud platform project, smart home core key technology research and development projects and Fluorite smart home products industrialization base project.

Security and intelligence is the core of Fluorite's strategy, intelligent video and vision technology is the foundation of the business, and the Fluorite cloud platform is the root of the ecology. By now, Fluorite's goal of building a security-centric living IoT ecosystem is gradually becoming clear.

The results show that from 2019 to 2021, Fluorite's revenue will be $2.364 billion, $3.079 billion and $4.238 billion, respectively; net profit will be $211 million, $326 million and $450 million, respectively.