1. Weak management
1a. No directions and structure
- appoint inexperienced white leaders
- promote managers who already did not show deliverables
- no clear corporate structure in APAC
- top down approach from HQ in Germany
- result in increasing politics
1b. Lack of transparency
- company financial standing is not transparent to the employees
1c. Bad use of cash
- acquisition with close to zero due diligence
- such asset acquisition creates a false sense of growth but in actuality, sales do not increase
- costly office relocation and renovation but new office is underutilized and of low quality
- waste of money by having costly AMM where an unnecessary no. of employees are flown in and accommodated in expensive hotel
2. Weak HR management
2a. Terrible reward system
- no recognition and investment in the good employees
- benefits / bonus are uncompetitive compared to the workload
- allow the unproductive employees to thrive although everyone knows who they are
2b. HR makes no improvement on the structure of the MT program after years of feedback
- worse, have a costly MT program without proper costing so they had to lay the trainees off before bearing the fruits
2c. Favoritism
- fire / promotion / education offer is based on favoritism rather than merits
- also due to the lack of fair and square framework of evaluation
2d. Limited training and learning opportunities
3. Hire and Fire Culture
- outcome of weak financial planning by management and HR and uncontrolled growth of the business
- and low sales volume
4. Outdated IT facilities and managament
- customers, don’t trust their promise on IT solutions, they have none and need to clear thousand of hurdles before they can realise one
- housing an office of developers working on in-house app in Germany in this era purely shows the lack of iq...
All in all, Rhenus started laying off very early into the covid-19 crisis and was actually investigated by MOM for the lack of due diligence, it’s because the system had been bad and failing due to weak management and poor business performance. And these same leaders are still right there, keeping their thrones without sacrificing any of their pay (or at least not that we knew of because nothing is transparent in this family business). So, no prize since anyone can guess it right, the outlook is bleak.
