Sou Hu Cai Jing·2025-08-06 18:05Core Insights - JD Group has initiated a significant organizational restructuring led by Chairman Liu Qiangdong, aiming to establish a management structure with only five levels while maintaining a total employee count of no more than 2.2 million [1] - The restructuring is a culmination of a systematic approach that began with a major reform of the existing job level system last November, consolidating four major sequences into a unified professional sequence to facilitate a flatter organizational structure [1][2] - The core objective of this transformation is to enhance organizational agility and efficiency by breaking down traditional hierarchical barriers, allowing for quicker and more flexible decision-making [1][3] Group 1 - The advantages of a flat organizational structure include accelerated decision-making processes, as evidenced by a reduction in response time from an average of 2 days to 2 hours for frontline managers [2] - The merger of job levels has led to a 25% increase in promotion rates for technical staff within the professional sequence, alongside a significant improvement in talent retention [2] - Challenges associated with a flat structure include potential limits on management spans for junior staff, bottlenecks in career advancement, and increased control risks, necessitating clear decision-making authority and boundaries [2] Group 2 - To address these challenges, JD has implemented measures such as creating professional growth pathways for talent without requiring them to enter management roles and enhancing the authorization system to clarify decision-making powers [2] - The restructuring is also a deepening of JD's digital transformation, with AI-driven tools improving efficiency in HR processes by over 60% [2] - The overall goal of this organizational change is to create a more agile, efficient, and vibrant organization, which is expected to enhance JD's decision-making efficiency and market competitiveness, serving as a model for the industry [3]