Skip to main content

"No Problem" is a Problem

In a short article in Value China, an author named Zhang Xujing shares some valuable management tips that highlight common problems in Chinese management that anyone doing business with China should be aware of. Dim sums has a hypothesis that "no problem" problem is at the heart of China's food safety dilemma.

Zhang Xujing observes that managers often go to the factory or wherever production takes place to see what's happening on the ground. When the manager asks employees how things are going, the inevitable answer is "no problem" (in Chinese, "mei you wen ti").

Zhang insists that "no problem" is not an acceptable answer. He outlines two scenarios to explain his point.

The first scenario is when an employee says "no problem" when in fact there is a problem. Managers often ascribe this to employees' dishonesty, but it also arises from a management organization that gives employees incentive to cover up problems. An employee may be afraid to admit that problems exist since it would reflect badly on him, he would be held responsible and subject to punishment or downgrade. That means employees keep problems hidden, preventing them from being detected and preventing the company from improving its performance. Problems become entrenched, employees get used to them, and eventually the problems are just ignored.

Second, the author insists that an answer of "no problem" can reflect an attitude of complacency and stagnancy. There is always room for improvement. A "problem" is the difference between the current state of affairs and the ideal. There are always problems to be solved. "No problem" means the bar has been set too low.

The author recommends that managers change their mindset. Managers should not act like police who are out to punish employees responsible for problems. The objective is to solve problems and prevent them from recurring. Managers should see every problem as an opportunity for improvement. He recommends a Toyota-style approach to management based on continuous improvement and problem-solving (that was all the rage in U.S. management circles about 20 years ago.)

This article points to some very old tendencies in Chinese organizations--the reliance on rewards and punishments and a tendency for loyalties to be horizontal (to family, friends, neighbors) rather than vertical (to the company's or organization's goals). In this context, "no problem" becomes a game of hide and seek for auditors, regulators, and even a company's own management. Problems get hidden and are allowed to fester until they blow up.

Comments

Popular posts from this blog

Xi Jinping's Doctoral Thesis

Xi Jinping is the vice president and presumed next president of China but little is known about him. In this post the dimsums blog offers its contribution to the genre of Xi Jinping-ology by conveying Xi's decade-old views on agricultural markets. Ten years ago Xi Jinping wrote a thesis, "Tentative Study of Agricultural Marketization" (中国农村市场化研究) for a Doctor of Law degree at Tsinghua University in Beijing, a top breeding-ground for Chinese officials. The dimsums blogger has spent several hours poring over the 200-plus page tome to see what it reveals about Dr. Xi. The thesis is remarkably close to what China has been doing lately in agricultural policy, suggesting that Xi (or the person who actually wrote the thesis) has a major say in policy or is at least in agreement with what's being done. There is nothing adventurous, controversial (or insightful) in the thesis. It seems to be the work of a wonkish technocrat who is not prone to talk out of turn or wander from...

China's 2024 Ag Imports Shrank in Value

China's agricultural imports declined 7.9 percent during 2024 to reach $215 billion, according to data posted on the customs administration website. The 2024 value was lower than each of the 3 preceding years. Agricultural exports were up 4.1 percent to reach $103 billion. Source: Data from China Customs Administration December reports. The top two agricultural import categories by value both declined. Soybeans ($52.75 billion in 2024) fell 10.9 percent, and meat ($23.38 billion) fell 15.1 percent. Cereal grain imports ($15 billion) were down 28 percent and fish & shellfish imports ($18.5 billion) were down 6.2 percent. Edible oils imports ($10.6 billion) were down 17.8 percent. Fruit, rubber, cotton and wool and beverage imports were up for the year. The decline in value of imports partly reflected a decline in prices. Customs reported that the volume of soybean imports for calendar year 2024 reached a record 105 million metric tons, up 5.6 million metric tons from the previou...

Feed Boom & Cratering Grain Imports; China Leaves Us Guessing

In the first half of 2025 China increased its meat and egg production by a combined 1.58 million metric tons (mmt) from a year earlier, a moderate increase of 2.5%. Meanwhile, animal feed output during H1 2025 compiled from feed industry association reports increased by 14.5 mmt (+10 percent) from a year ago. China's 14.5-mmt increase feed output growth outpaced the 1.58-mmt growth in meat production by a ratio of 9:1. It's hard to make sense of these inconsistent figures.  [note: The June 2025 feed industry association report has a 7.7% yoy growth rate for feed output which is inconsistent with the 10.1% growth shown here calculated by comparing data from monthly reports issued last year. Growth rates for complete feed were 8.1%, concentrates -1.5%; additives 6.9%. These inconsistencies are common in the feed industry association reports, a reason for doubting the accuracy of this data.] There is no boom in demand for feed ingredients to fuel a huge increase in feed production...