The weakness of the company is the top management that maintains the most control over the operations. There are found to be stifling of innovation in this process. The company is a large matrix organisation. Each business team has a leader that is responsible for the P&L. They have the authority to build the sales force and maintain control over all the operations.
The threats of the company are the increasing competition that the company would face. They need to ensure that the line up suppliers and the retailers work with them to ensure cohesive flow of processes. The company tries to maintain all the process in-house and the production or manufacturing of the products is largely done within the manufacturing unit. The company takes the notions of decentralisation and flat structures intensively. The company has few numbers of direct reporters (Johnson, Scholes and Whittington, 2008). There is the focus on optimisation and costs. These can stifle the innovative processes that are needed by the company. Midea Company generally appoints, two managers responsible for the specific production activities. In this company, there is preference given to direct management rather than cooperative management structures (Johnson, Scholes and Whittington, 2008). They have minimal worker retention policies as the availability of the labour pool is quite high. Owing to this, the companies instruct mandates to the employees and the change is facilitated. These are innate threats to the organisation.
The areas of opportunities or recommendation for the company are that they need to focus on the ways of instilling changes and innovation in the companies. They can employ the mandates of Iching to bring changes in the company. Their can be infusion of the older traditional ideologies to bolster the people to bring changes to the operational process of the companies. This is found to be starkly different in the cases of western management companies. These western management companies have their own distinctive change management. These are detailed in the following.