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  1. Haidilao Group 8: Lulu; Anndebelle, Fong, Jane, Lucy, Lisa

  2. leadership

  3. Subordinate-centered leadership • Subordinates are authorized to decide whether to give a discount or free meal to customers. • Managers are authorized to sign a bill less than 1,000,000. • …

  4. Staff Quality • Most of the staffs in Haidilao are people from lower class, such as peasants and so forth. • They are young(around 20 years old), and lower educated. How come they get the power to make such big decisioins?

  5. Reason: Since everyone should start their career from waiter or waitress in Haidilao, so they may learn much about serving customers. • This Subordinate-centered style allows for creativity and works best when the subordinates are experts or specialists. .

  6. Reason: So he tries to form an atmosphere of home among staffs, and gives everyone a free hand(自主权) • The chairman of Haidilao believes that he will be paid in kind for his kindness and his trust in his staffs.

  7. Maslow’s Hierarchy of Human Needs 1.Physological needs: Haidilao distributes foods to employees for their families. 2.Safety needs: employees are working in a safe and clean and friendly circumstance. 3.Social needs: employees are friendly to each other because Haidilao aims to create a friendly and respectful working atmosphere. Esteem needs and self-actualization: Every one is indispensable. Respect and kindness have always been in the first place,so in Haidilao, each of the employees is enthusiastic to their job no matter how tiresome and fussed by the customers.

  8. Adams’ Equity Theory • In Haidilao, each employee is equal----only in this way can encourage all the employees who come from different places especially the rural to work harder and respect to each other. • Every one must start to work in the bottom ---is the equal reflection because everybody is responsible to achieve surefooted and physical demanding work.(no any favoritism)

  9. Herzberg’s Two-factor Theory • Hygienic factors: Haidilao provides various kinds of maintenance such as medicare,medicaid,and health insurance------in order to reduce the absent rate of employees and enhance the cohension because the employees feel like they are taken care by the company. • Motivating factors: extra free training,promotion,bonus etc.--------in order to motivate the employees to bring up more creative and valuable ideas for the company’s better future. • Rewards system----there is a appraisal to select the best employee, then the winner will receive more benetfits.

  10. Employee motivation: • 1. A better promotion channel • 2. A special check-up system • 3. A family-like working environment • 4. A two-way dream come true destination

  11. Human Resource Management ------Human & family-oriented

  12. Internal recruitment Open promotion system( capacity first ) Start from the bottom line Recruitment • External recruitment • Rural, young but low education • Not high basic pay • Good benefits

  13. Performance appraisal Losing motivation Lacking in self-affirmation Democratic, Scientific & Respectable Enhancing employees’ status

  14. Providing systematic & regular feedback Supplying information for decision-making Employee satisfaction up by 5%,increase 1.3% customer satisfaction, raise 0.5% business efficiency Performance appraisal

  15. Compensation • Basic pay: a little bit higher than industry level • Fringe benefits: individuation comprehensive practical e.g. well-furnished dormitory. housing subsidies…

  16. Labor relation

  17. equality • Most of front-line employees from countrysides, receiving lower education, feeling less confident in city . • Promoted from grass-roots unit by work performance. mutual respect Trust staff and give them certain right Such as Giving Discount right

  18. Labor relation Family concept Take dorms as an example About 50 thousand RMB is spent in dorms(2or3 bedrooms per dorm ) for one physical stores, regular equipment (air-conditioners, computers and internet), plus 20 minus time limit to the walk between the dorms and work place and etc. Family-like atmosphere (a special regulator in a dorm)

  19. Training and development • Orientation (specific and comprehensive) 五:员工过生日聚餐标准 1员工之间过生日送生日礼物不得超过10元; 2员工吃饭过生日必须AA制; 3、员工之间过生日消费金额不得超过两百元。 二:岗位职责  发毛巾人员: 1给客人发毛巾时要面带微笑,热情大方,保证热毛巾的用量和质 量,(80度) 2顾客到桌后两分钟内递给热毛巾,并称呼先生女士,发毛巾要分清主次,动作要规范; 3,每桌每位顾客换毛巾次数不低于 …………..

  20. Training and development • 新员工——合格员工——优秀员工——实习领班——优秀领班— • —实习大堂经理——优秀大堂经理——实习店经理——优秀店经理 • ——实习大区经理——片区经理——总经理——董事长 新员工——合格员工——优秀员工——先进员工(连续3个月当选) ——标兵(连续5个月当选)——劳模(连续6个月当选)——功勋 (相当于店经理的福利待遇)

  21. What can other companies learn from HaiDiLao’s experience? 2 1 The service of HaiDiLao so good that you can’t imagine. They will do anything you want them to do. Employee Service 3 System The system of rewards and penalties is strict. If you want to be promoted, you should be recognized by the public. Employees will gain a reward if he report somebody have embezzled the money in HaiDiLao. So if you have ever embezzled the public money in HaiDiLao, you won’t be promoted. HaiDiLao will take their employees as family members. If a manager in HaiDiLao want to leave, HaiDiLao would give him 80 million yuan. They also give the manager rights to give a customer free pickles or just let a customer to have a free meal.