Core Viewpoint - The success of Haidilao is attributed not to its customer service gimmicks but to its unique apprenticeship and family system, which fosters management and talent development within the organization [30][32]. Group 1: Family System and Management - Haidilao has established a family system where each family consists of 5 to 18 stores, led by a "master store manager" [5][10]. - The family naming convention is based on animals, including mythical creatures, which adds a unique cultural aspect to the brand [9][10]. - The family system serves dual purposes: management and inheritance, allowing experienced managers to cultivate new talent and establish their own families [13][14]. Group 2: Apprenticeship System - The apprenticeship system is a modernized approach to management and team development, ensuring consistent service quality across all stores [16][38]. - Store managers have significant decision-making power regarding store expansion and management, which incentivizes them to develop their apprentices [14][36]. - The financial incentives for store managers include a profit-sharing model that rewards them for the success of their apprentices' stores, creating a "multi-level" incentive structure [33][35]. Group 3: Financial Performance and Challenges - In 2019, Haidilao's store managers reportedly earned a fixed monthly salary of 35,000 yuan, with potential earnings reaching up to 600,000 yuan annually due to the profit-sharing model [35][39]. - The rapid expansion strategy led to challenges during the COVID-19 pandemic, resulting in significant store closures and operational difficulties [41][42]. - The company has shifted its management approach, moving from a family-based system to a regional manager system, but later reverted to the family model due to its effectiveness in maintaining operational connections [42][43].

Core Viewpoint - Haidilao has adopted a family-based management system that combines traditional elements with modern practices, creating a unique corporate culture that emphasizes mentorship and internal growth [10][21][23]. Group 1: Family System and Management - The family system at Haidilao consists of various "families" represented by animal-themed badges, with each family comprising 5 to 18 stores led by a "master store manager" [3][5][10]. - This system is rooted in a mentorship model where experienced store managers train their apprentices, who in turn can establish their own families once they reach a certain scale [10][21]. - The family structure allows for significant decision-making power, including store expansion and management evaluations, fostering a sense of ownership among the family leaders [10][23]. Group 2: Employee Training and Retention - Haidilao's mentorship model is designed to ensure consistent service quality across its locations, as all management personnel are internally trained [13][29]. - The rigorous training process includes multiple assessments and a clear path for advancement, which helps reduce employee turnover and enhances motivation [29][30]. - The emotional connection fostered by the family system encourages employees to view Haidilao as a home, contributing to a strong corporate culture [32][34]. Group 3: Financial Incentives and Performance - The financial structure of the mentorship system includes performance-based incentives, where store managers receive a percentage of profits from their stores and those of their apprentices [23][25]. - This "multi-level" incentive system encourages managers to actively develop their teams, as their earnings are directly tied to the success of their apprentices [25][27]. - Despite the potential for high earnings, there are strict performance evaluations, and poor performance can lead to penalties for both the manager and their apprentices [27][30]. Group 4: Challenges and Evolution - The rapid expansion of Haidilao led to challenges, particularly during the pandemic, resulting in significant store closures and a reevaluation of the family management system [30][32]. - In response to operational difficulties, Haidilao has experimented with different management structures, including a shift to regional managers, but has reverted to the family system due to its deep-rooted connections with store operations [32][33]. - The company is now attempting to balance its traditional family culture with a more rational and transparent management approach to attract a new generation of employees [33][34].