Intelligent Organisation Profile: Haier

Introduction

Haier is a Chinese multinational home appliances and consumer electronics company that has gained global recognition for its radical approach to organisational design. Under the leadership of Zhang Ruimin, Haier transitioned from a traditional hierarchical corporation into an ecosystem of micro-enterprises, embracing the Rendanheyi model.

This transformation has positioned Haier as one of the most adaptive and innovative companies in the world, allowing it to thrive in a rapidly changing market environment.

Intelligent Approach

Haier’s intelligence stems from its decentralised and entrepreneurial structure, which is built around the following key principles:

• Rendanheyi model: This approach eliminates traditional management layers, instead creating self-organising micro-enterprises that operate like independent startups within the company.

• Customer-centric innovation: Each micro-enterprise is responsible for engaging directly with customers, ensuring rapid response to market demands.

• Entrepreneurial autonomy: Employees act as entrepreneurs, with the freedom to take ownership of their projects and share in the financial success.

• Digital ecosystem: Haier leverages digital platforms to connect customers, suppliers, and internal teams, fostering real-time collaboration and innovation.

• Adaptive and resilient culture: Haier’s structure enables it to pivot quickly in response to external disruptions, making it highly resilient to market changes.

  
  

Benefits of This Approach

Haier’s intelligent organisational design has delivered significant advantages, including:

• Increased agility: The micro-enterprise model allows the organisation to respond rapidly to customer needs and industry trends.

• Higher employee engagement: Workers feel a sense of ownership and purpose, driving motivation and performance.

• Continuous innovation: Decentralisation fosters a culture of experimentation, leading to rapid product and service development.

• Market leadership: By staying close to customers and maintaining a highly adaptive structure, Haier remains a leader in the home appliance industry.

• Scalability and replicability: The Rendanheyi model has inspired other organisations seeking to break free from traditional corporate hierarchies and embrace a more fluid, intelligent way of operating.

  
  

Haier exemplifies how an organisation can leverage decentralisation, autonomy, and digital connectivity to achieve sustained innovation and market success. Its transformation provides a blueprint for other businesses looking to become more adaptive and resilient in an era of rapid disruption.