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Haier: A Traditional Firm Transforming into a Digital Winner

In: Leadership for a Digital World

Author

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  • Annika Steiber

    (Menlo College)

Abstract

The Chinese home appliance company Haier has transformed itself remarkably since 1984 under the leadership of recently resigned Chairman and CEO Zhang Ruimin. This chapter describes how the company evolved in a series of stages and shows how these developments led to the key principles and elements of Haier’s revolutionary management philosophy, RenDanHeYi. In 1984, the company was a struggling refrigerator factory on the brink of failure. Basic sound management and modern production methods enabled initial growth and expansion. Haier then used distinctive strategies and product innovation to expand internationally and began a radical self-transformation—shedding traditional management structures and becoming a massively “networked enterprise” to seize the initiative in the emerging IoT (Internet of Things) era.

Suggested Citation

  • Annika Steiber, 2022. "Haier: A Traditional Firm Transforming into a Digital Winner," Management for Professionals, in: Leadership for a Digital World, chapter 6, pages 41-48, Springer.
    • Handle: RePEc:spr:mgmchp:978-3-030-95754-4_6
    DOI: 10.1007/978-3-030-95754-4_6
    as

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