Treating employees as family members: the success of Haidilao Hot-pot

Haidilao Hot-pot, founded in 1994, has grown to a company with more than 60 chain stores. Although it is not a giant company, I would like to talk about its difference between other chain restaurants.

Haidilao Hot-pot creates pleasant working environment, like a home, for its staff. Everyone in the team is treated as a part of this family. When employees are treated as member of a family, they will feel that work is not only a way to earn money, but a responsibility that they should take for the family. Unlike McDonalds’ standardized working procedure, Haidilao Hot-pot trusts its staffs and provides them with rights to add what they think is more consumer-oriented service in their daily work. The standardized service is efficient but will never surpass consumers’ expectation. Haidilao Hot-pot is famous of its extremely innovative and consumer-oriented way to serve customers. Moreover, customers are always moved by staffs’ enthusiasm and look Haidilao as a part of their life, which cannot be replaced by other restaurants.

However, this module has its disadvantage that it needs a long time to cultivate a loyal staff. This kind of companies need time to grow. If they desire to expand to a huge one by just placing identical stores everywhere, the differential advantage will not exist and the companies will fail because of the messed up operation.

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