Haodilao is a famous hotspot chain in China It is wellknown for its excellent service you may notice there are some stories about its lovely employees and this case is talking about why they succeed in the highly competitive business world especially catering As the case has talked a lot about the features of Haidilao we are going to focus the nature of human being in this case analysis
The meaning of Haodilao
The name Haodilao is from a saying of Sichuan mahjong it means you could win the game by the last mahjong on the table of course this mahjong will double your return Mahjong is so popular in Sichuan Haodilao means luck for Sichuan people and as a typical one the president of Haodilao run his business in a very special way to manage his employees
The management model of Haodilao
We may have a general look at their management model as following
l Respect
l Trust
l Fairness
l Service
Haodilao
Employees
(Satisfied)
Customers
(Satisfied)
l Respect
l Personalized and creative Service
l Royalty
l Recommendation
l Value
From the chart above we could see that Haodilao generates a value chain On this chain the company is no longer profitseeking but concentrates on their employees As a result employees spend much more energy and passion on their jobs and do really care about the needs of different customers In return customers increase their royalty and would like to recommend this special restaurant to their friends
It is smart for the President of Haidilao Zhangyong to motivate his employees provide the customers with highly respect and real care
The key factor of Haidilao’s success is PEOPLE
In the current Chinese society if you are from village and working in city you will be treated differentlylow payoff no welfare no respect no future
Haidilao changed this Most of their employees are from villages without any strong education Haidilao provided them with welfareinsurance accommodation opportunity to be promoted Furthermore Haidilao does not only meet their individual needs but also family needs
All employees will be proud of these treatments which made them different from other people from villages and help them deal with some problems There is a Chinese saying If you got a favor of drop water please reward them with emerging font
Employees make their efforts to contribute to this kind and generous company and they cherish this job opportunity
From the way of Organizational Process there will be several other factors of success
1. Decision node Given the power from the management each employee is able to make some decisions to satisfy customers As they are the persons who are close to customers their own decision means quick response and respect for the customers
2. Training system All employees are trained comprehensively this kind of training makes them familiar with all the procedure within the restaurant including management
3. Selfmotivated There are a lot of rewards in company for all employees The rewards may be promotion may be the flight tickets to back home or annual bonus at the end of year Their performance is judged fairly so they do have confidence to contribute more and gain more
Conclusion and suggestion
There is no doubt that Haidilao is successful We could hear the magic stories of Haidilao from internet or friends we have been told that service of Haidilao is so fantastic and how many surprises they have brought to us
However it’s easy for others to copy and follow Haidilao needs to spend more on encouraging creative service Meanwhile it’s reasonable for Haidilao to improve its taste of Hotspot to increase the items in the menu Nevertheless the product is the core factor in a firm
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