Chinese Corporate Hierarchy

Chinese Corporate Hierarchy explains fervently the important business levels used in China.  In this triangular structure with the genre of top-down pattern, the pinnacle leaders manoeuvre the organization’s direction. The top most officials are the decision makers while the middle level officials get it executed from the lower level officials. The middle and the lower level take orders from the top-level officials. This hierarchical corporate arrangement is essential for the systematic and proper functioning of the organization. The Chinese Corporate Hierarchy is described in a nutshell below.

Chinese Corporate Hierarchy

Higher Level Management

This level is also termed as administrative level since the officials of this level are employed in administering entire working of the organization. The entire decision-making is in their hands. They do the planning for the benefit of the organization and hand over the plan to the middle level for execution. This management level comprises of the Chairman, CEO (Chief Executive Officer) and the Personal Director.

Chairman

The primary role of the chairman is to make sure the board is carrying out its task effectively of formulating and implementing the strategies of the company.

CEO

The responsibilities of CEO include all the management decisions of day-to-day work and implementing the organization’s short term and long-term plans.

Personal Director

He does monitor the progress of the company in achieving the policies and objectives, as well as appointing the senior management.

Middle Level Management

This is called execution level since these officials execute the planning done by for the organization by top-level professionals. They work as a senior employee for the organization. This management level consists of the Marketing Director, Sales Manager, Chief Accountant, Research and Development Manager, Human Resources Manager and Technical Director.

  • Marketing Director: He is responsible for the overall planning and leadership to the marketing department and developing the annual marketing plan.
  • Sales Manager: He is responsible for achieving the sales target of the company through effective budgeting and planning.
  • Chief Accountant: He manages the whole range of cost accounting and financial role, such as budgeting, forecasting etc.
  • Research and Development Manager: He determines and then executes progressive technologies employed by competitors, suppliers, and customers.
  • Human Resource Manager: They have functional and strategic responsibilities for the workforce employed in the organization.
  • Technical Director: He is the senior technical person possessing the highest skill in the organization.

Lower Level Management

This supervisory level has professionals who work under the orders of executive level professionals. They work as a team under the supervision of senior professionals. This management level consists of the Production Director, Office Manager, Factory Manager, Client Service Manager and Company Secretary.

  • Production Director: He ensures that the production requirements set by management is met while manufacturing high-quality products for customers.
  • Office Manager: His duties include preparing payrolls, designing the filing systems, controlling correspondence.
  • Factory Manager: His duties include in prioritizing the jobs to the factory through the workshop foremen through machining, assembling, installing and delivery.
  • Client Service Manager: He acts as a liaison between the organization and the customer and ensures the delivery of the product within the stipulated time.
  • Company Secretary: He ensures that the statutory forms are filed promptly.

This hierarchical structure has contributed to the success of China in being the one of the largest factory in the world for the past 50 years.