It is a great challenge facing all leaders of state-owned enterprises (SOE) of how to enhance the competitiveness and viability of the enterprises in the severe international competition. In this paper, two key elements in the enterprise management——“personnel” and “systems” are discussed, the dialectical relationship of their essence is studied, and thus the “personnel and systems management” idea is developed. Talents and scientific & technological innovations are critical to the core competitiveness of the state-owned enterprises; as for the viability, there is no choice but system innovations. “Choosing qualified persons” is key to ensuring the competitiveness and viability of the state-owned enterprises and “establishing a new systems” is the basis. The efforts of China Aerospace Science and Industry Corporation in carrying out the “Personnel and systems management” idea and the results are elaborated in this paper.