Haier In Japan Harvard Case Solution & Analysis

Haier In Japan Case Solution

Q 1- How far has HAIR come since its creations in 1984?

Haber since its creation in 1984, has depicted a tremendous growth with exemplary leadership and cultural diversification.it has shown the world a new set of organizational practices which makes employees their own boss. It also has devised multiple strategies under the supervisor and leadership of Zhang, who joined the company in 1984, at the age of 35 and still pursues the same position in the company. Since its establishment the company under the leadership of Zhang has turned its wheel in other direction. For instance, at the time of joining Haber, the company had no clear objectives and vision. Hereinafter joining the company made clear objectives to make it work.

Before 1984, the company had been under financial distress and there were no proper policies and HR practices to control the work and shape certain culture. Stealing was a common practice and that making a faulty product. After the joining of Zheng, clear rules and objectives were introduced in the company, which farmed a shape of the organization. Not only this, the company performed externally and internally both. The internal functions were trimmed and rectified by making certain ground rule in which individuals were responsible for every piece they make, and were rewarded accordingly.The approach resolved the issue of faulty products being reaching the market.

In doing the external rectification and expansion, the company adopted 4 policies namely, brand building, diversification, internationalization and global strategy.In brand building approach, the company assured to deliver the quality product.in doing so, Zhang broke the old brand image by destroying the faulted refrigerator in front of the public. The act gave striking waves in the market about have being the best quality product. Moreover, to ensure the consistency of the offerings, the company introduced inverted triangle approach in which each employee has its own clients and that the salaries and rewards will be given on the feedback of the client. This made the brad to sustain its image in market.

Now the second expansion strategy took to capture or land into Japanese market which the company did by stepping into a joint venture with Sonya. Though the venture took great analysis to understand the market, the company took leap of faith to enter a new type of market. Further, in diversifying strategy, the company stepped into different market by acquiring 20 of the new company. The ventures attributed in making the vision of the employee more clear about the quality of the product. And lastly the global strategist acting upon the global strategy, the company targeted US and European markets along with japan, and made customized products that suited their culture and customer demand. This helped company to create acceptance and capture the markets more firmly, thus added in profitability and sustainability of Hair.

Not only these, the company took great steps to capture the Japanese market, which was complicated, because the market does not allowed any external player to sustain in I, yet with the smart moves, cultural integration and effective leadership, Haber was able to sustain in Japanese market. Though the venture was not easy, yet Haber took continual steps to improve itself to make itself acceptable in Japanese market.

Q-2 what was special about Hair Current management? How did the company create this system?

Zhang after entering the company changed the overall management system. He understood the Chinese culture which was negligent towards rules ad policies. So in order to engrave the policies and rules deploys plunge into the culture of the organization, Zhang develop multiple systems and processes to ensure the obedience.In doing so, the first thing Haber dis, was the implementation of the inverted triangle strategy. Previously and in many organization the triangle organizational structure is followed with top management at the peak, and liable to make decisions. Introverted the triangle and made the front line workers, executives and officers to devise their own strategies, way of working and deciding what to do first.The approach enabled employees take charge of their wok which ensured that each employee work best in order to save the job and get rewarded. The individualistic approach each employee to outperform in order to get higher wages and rewards.

Haier In Japan Harvard Case Solution & Analysis


Secondly, the company developed the organizational culture, organizational structure and ORC management-control system which enforced the organizational rules and discipline in the culture of the marginalization The ORC (overall, everything, everyone, everyday& control and clear)strategy the management outplayed a target based structure in the organization, which every individual has to meet. The factors ion ORC clearly depicted that each employees is the sole owner of his work and that has oval control over the function. The system encouraged the employees to become efficient or else they will have to lose their position. The approach though seemed selfish, but it worked for the Chinese labor.............

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