Localization Strategy

If it can be said that the provision of quality service is the key to Huawei winning over Cameroonian customers, localization is key to its sustainable development.

In the Huawei Cameroon branch, more than 60 percent of its employees are Cameroonian, and its quit rate is less than five percent. At Huawei's Cameroonian office building, people of different ethnicities work together in almost every cubicle. Huawei is continuously expanding its recruitment of locals in Cameroon, and goes annually to local universities to recruit graduates.

"After providing clients with telecommunications equipment, we are supposed to offer long-term maintenance servi-ces, not just one or two years worth. The Chinese employees here are from Huawei's headquarters and sub-companies in China, and will move back someday. To ensure the smooth operation of local networks, key positions in our maintenance service sector are all filled by Cameroonians. Some of our big clients like Orange and MTN are intent on hiring locally, and they want us to also have a stable and localized workforce that is conducive to our long-term cooperation," said Yu Chong, vice general manager of Huawei Cameroon. Huawei's target is to achieve the same degree of localization as Alcatel and Epson in five years. Haider, the Bangladeshi head of the fiber optic transmission network project, is confident that they will reach this goal.

In Haider's team of over 30, most are locals, and only few are Chinese. Haider has a good opinion of his Cameroonian employees' ability, most of whom have a good education by the standards of African countries and speak both French and English. However, they also have some shortcomings, like a lack of discipline.

In Haider's team, there is a Cameroonian who was slow completing his assignments, and reluctant to clear his backlog after hours. Haider told him: "In Huawei, no one will force you to work overtime. Everybody knows their specific tasks each week. If you are efficient, you leave work on time. Besides, it's not only Chinese who can take a managerial post. If you work hard, you're more likely to get promoted, because we are in your country." After this talk, the Cameroonian showed a turnaround in work performance, and has been promoted to project manager. Haider believes that people coming from different countries and different cultural backgrounds share the same expectations of employment: they all wish to advance through the ranks and earn more money to improve their lives.

Huawei attaches importance to contributing to host communities in ways other than employing locals. Although Huawei's Cameroon branch was established in 2005, it sealed its first contract a lengthy two years later in 2007. In 2006, when the company's sales volume was zero, it donated 4,000 books to a foundation for children with HIV and AIDS. In 2007 it donated 50 computers to a local school, and in 2009 established a primary school in partnership with MTN. In 2011 Huawei Cameroon donated US $50,000 worth of infant first aid equipment to Chantal Biya Foundation. In addition to all these, it has frequently sponsored football matches jointly with its business partners.

"We're very optimistic about Cameroon and the whole African continent's development prospects. We aim not only to achieve business success here, but to live up to our social responsibility," Shi said. Huawei's operation in Cameroon has brought substantial benefits to the average consumer: five years ago the fixed telephone fee was 300 CFA Franc per minute, and that has fallen to 100 CFA Franc so far.

Integrating into the Local Life

Shi Weiliang and his Chinese colleagues live in a five-storey building in Yaoundé. His wife quit her job in China recently and moved to Cameroon with their two-year-old son. There are many families like theirs in the building.

"As far as my Chinese colleagues are concerned, their biggest woe is loneliness. Many are away from their families and friends," said Shi. We heard this sentiment a lot during our Africa trip. There aren't many places for recreation in Cameroon and public security is not good, so Chinese people seldom go out at night. They occasionally have dinner at Chinese restaurants with friends.

Shi and his colleagues play some sports, and not just for fun. "Because of the hoards of mosquitoes out here, we have to stay fit to guard against malaria," he explained. Their dormitory building has a billiard room and a basketball court, and they also frequent the city's stadium and golf course. Chinese people are often seen jogging in the streets of Yaoundé. Another phenomenon in Cameroon is wherever there are Chinese communities, there are karaoke machines. Shi shares the Chinese love of karaoke and he gets the urge to sing whenever music sounds. Although he sings out of tune at times, his passion for singing has never faded.

Sober but Confident of the Future

As for other businesses in the country, Huawei's operation in Cameroon is not without difficulties. In the 2011 report on trade and investment environment released by the International Finance Corporation (IFC) and World Bank, Cameroon is ranked 168th among 183 countries in terms of ease of doing business. Widely cited problems include complicated approving procedures for investment, inefficient administration, unfavorable financing environment and backward infrastructure.

"We've come across a lot of difficulties, but there is always a way to beat adversity. We can't change the reality here, but we can adjust ourselves to adapt to it," Shi said confidently.

In Africa there is still much room for improvement to infrastructures like the telecommunications network, and the continent's large population adds to the huge potential for growth. Shi Weiliang and his team seem quite confident about their future here. "I believe we can add to our successes. We'll also put more emphasis on localization and train more Cameroonians to be specialists in technology, which will bring benefits to both sides," he said.