Developing Effective Middle Management in an Entrepreneurial Firm in China Harvard Case Solution & Analysis

Victoria Idea Company Limited is one of the major network security solutions provider based in Zhuhai, China. The company was faced with problems common to many family businesses in connection with his management style. It was later restructured in order to make it out of the family business to a professionally managed one after first removing the majority of the members of the family from the company and then slowly re-build a new, solid governance structure. In order to instill a sense of responsibility and accountability in their middle managers, employees promoted from within, not from without set-sponsored management training courses and made several other changes, including the issuance of shares to the management staff. Despite all efforts, middle managers are still reluctant to make decisions on their own and will appeal to senior management, which was used as the sole decision-makers to restructure. Victoria The idea had to find a way to develop a sense of trust among middle managers, so that the latter will feel confident to make decisions independently without consultation or approval from senior management. Active and responsible management team, it was considered important if the company wants to expand further. This case shows how and why changes in long-standing practices and operations and management style can be difficult to implement. "Hide
by Allen Fu Zi Yu, Yung-ching Sin Fu Source: University of Hong Kong, 18 pages. Publication Date: November 7, 2007. Prod. #: HKU678-PDF-ENG

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