Most interviewees mentioned that the Golden Mean suggested that
one should maintain stability in running a business. If an enterprise
develops too quickly, troubles are inevitable. Steady development is
the best way to avoid risks and keep an enterprise vigorous in the long
run. A general manager from a branch company affiliated to China
Telecom in a southern city successfully carried out an ERP (enterprise
resource planning) reform using this philosophy. In 2002, China
Telecom was making preparations for ERP reconstruction. In order
to implement the reform successfully, the company decided to launch
a pilot project in a single branch company before generalizing the
reform. Three branch companies were chosen to do experiments,
one of which was the above-mentioned branch. The general manager
realized that the new ERP system would create dramatic changes for
his company, and he decided that such ‘‘shock therapy’’ would put his
company at risk. After thoughtful consideration, he adopted a gradual
reform rather than the radical change required by the general com-
pany. Specifically, he started the reform in the marketing department,
achieved success and then extended the reform successfully to other
departments. Other branch companies that pursued rapid reform were
not successful. The general manager said he was greatly influenced by
the Confucian idea that ‘‘going beyond is as bad as falling short’’ and
he believed that reform should be implemented gradually to avoid
‘‘more haste, less speed.’’
Some interviewees believed that the head of a company is always
facing contradictions; therefore, keeping balance and coordination are
of supreme importance. In order to maximize overall benefits, the
head must be willing to make necessary compromises without going
against principles in order to gain future concessions from the other
party. As one interviewee said, the head figure could not stick to his/
her own position all the time and should distinguish major issues from
trivial ones so as to know when concessions could be made.
One problem faced by any enterprise is how to establish a good
relationship with employees. A general manager from a state-owned
enterprise deemed that management means balance. He thought that
no employee was immoral in nature, but employees differed in abili-
ties. In his company, when a manager and subordinates were in
conflict, he transferred the manager to another position and the newly
appointed manager would in general treat the subordinates well in
order to prove that he/she could do better than the ex-manager. At the
250 Zhi-xue Zhanget al.