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Management Of The Organization: Lenovo

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Brief discussion about Lenovo and its vision, mission, strategies?




This report is having a brief discussion about Lenovo and its vision, mission, strategies. There is also a discussion about the leadership style adopted in Lenovo, different communication strategy used in Lenovo. Organizational culture of Lenovo is also discussed with the help of five P's i.e. Plan, perform, prioritize, practice and pioneer. The main focus point of this report is organizational culture and different types of communication which is used within Lenovo premises. This report shows how Lenovo deals with their employees and customers. There is a description of Lenovo vision and mission on which they work (Lenovo.com, 2015).

About Lenovo                                                                           

Lenovo is worldwide famous company of its innovative PCs, mobile and internet devices. Among 500 famous companies in technological products manufacturing Lenovo is one of the largest companies in PC retailing and 4th ranked in smart phones section (Russellreynolds.com, 2015). Lenovo has an older history but it came into existence in 2004.The main focus of Lenovo is to deliver their customers what they want in technology, appearance of any electronic product. Lenovo is a company which works taking into consideration their employees, as well as their customers (Lenovo.com, 2015). Lenovo always focuses on innovation i.e. every product of Lenovo is having some changes in comparison of other product. The value on which Lenovo works is innovation i.e. Lenovo likes innovating their product as per present market requirement and their customers' needs and demand (Russellreynolds.com, 2015). Lenovo after getting great success in Chinese electronic market decided to expand their business in Asian, European and American electronic markets (Agtmael, 2007).Every product of Lenovo produces different revenue of percentage which helps in company's profit income. Lenovo performance varies in every region i.e. the profit share of Lenovo in China is different from profit share of it's in Asia Pacific.

Figure1: Lenovo PC share in 4 different regions

Figure 1 shows the performance of Lenovo in different regions i.e. the Lenovo performance geography.  In the above diagram EMEA stands for Europe – Middle East Africa, AP is Asia Pacific, and AG is America. Lenovo performance vary in all these region has their customer choice, needs and demand depend on geographical factor. According to the report An exciting notebook: The Lenovo T440s [From the Screen of Stone], 2014) Lenovo in the end of  financial year( FY) 2013 have highest market share in all the four geographical areas as Asia Pacific, Europe Middle East Africa and China. Figure 1 shows the market share of Lenovo PCs in the financial year (FY) in 2013 and 2014.

Figure 2: Revenue of Lenovo

Figure 2 shows the total revenue of Lenovo in the financial year 2012, 2013 and 2014. The revenue generated by Lenovo is calculated by taking into consideration all the products profit share and market share in four regions (An exciting notebook: The Lenovo T440s [From the Screen of Stone], 2014). Figure 2 shows total revenue of Lenovo in different market.

Figure 3: Lenovo revenue from different products

Figure 3 represents the revenue generated by Lenovo in their different products sections. According to ((Anon, 2015)) Lenovo in fiscal year 2013-14 attained good growth in shipment of PCs and mobile devices. The revenue generated by Lenovo all products are different from each other. By the above diagram, it is clear that the highest revenue generated is by Lenovo notebook and their desktops.

Lenovo Background, description of Lenovo Mission, Vision and strategies

Lenovo is a multinational company Chinese based who manufactures computer technology related products like PCs, tablets, smartphones, smart TV, workstations, computer servers, different computer related software, notebook, note PAD and etc(Russellreynolds.com, 2015). The main products manufactured by Lenovo are electronic and computer related software as well as hardware. Lenovo was founded in 1984 by Liu Chuanzhi in China but after few years company become worldwide famous for its electronic and computer products. Recently by a survey (BIEDIGER et al., 2005) it was found that Lenovo is the first, and the largest company in PC selling more in than 160 countries Lenovo have their customers. The main focus of Lenovo for their business is innovation. According to Chianasat and Wijaya (n.d.), the electronic or computer products are developed by them are always having something new which their customer will appreciate and like using. The plus point which makes Lenovo different from other same field companies is their innovation strategy, excellence in their operational, their strong channel of working and the brand image (BIEDIGER et al., 2005). The competitors present in the market of Lenovo are Apple Inc., Samsung Electronics Co., Sony Corporation, HP, Dell Inc. etc., (De Waal, 2011).Lenovo has a strong bonding with their enterprise customers and business partners which help in getting success to them.

Mission statement of Lenovo defines their objective and aim for which they work. The main motive of Lenovo is to achieve the highest rank in computer technology field. Mission statement represents the goals of Lenovo, principle on which Lenovo works to achieve their objective and aim (lenbrzozowski, 2012). Mission statement of Lenovo aims to show their customers what they plan to achieve and what they have aimed to take into consideration their customers (Chianasta and Wijaya, n.d.). While deciding mission statement, Lenovo always considers their customers feedback.

Vision statement of Lenovo represents their future planning to their customers. Vision statement is based on long term planning for achieving success. Vision statement helps their customer know how they are working i.e. their organizational culture and strategies which will be adopted by Lenovo to fulfill their customers demand and needs (De Waal, 2011). Vision statement of Lenovo shows that they have planned to develop more electronic and computer products which people will like buying. Every product of Lenovo will be new in technology and appearance so that people are automatically influenced to buy their product (De Waal, 2012). Lenovo has also decided to work according to their customers demand and needs.

Lenovo has adopted different strategies for marketing, promoting, advertising their products. As per the market requirement all these strategies will be planned, every market have different practice and culture (lenbrzozowski, 2012). Lenovo always focuses on innovation i.e. they try to make changes in their every new product in comparison of old products and other competitors' product. Mission, vision, and strategies are decided by every organization prior to their working (Haberberg and Rieple, 2001). This helps in planning further planning i.e. how to implement strategies for achieving their decided objective and aim.

Leadership style in Lenovo

According to De Waal (2012), the leadership style followed in Lenovo is not selfish i.e. the leaders of the company do not only focus on company's profit but they also think about their people (employees, customers, stakeholders etc) who are connected with Lenovo (IBM Redbooks., 2014). As per the leadership style of Gerry Smith, while making innovations in their products, Lenovo analyze their customers' requirement and needs with prioritization. On the other hand, while making changes in house i.e. in company's policies or practice they think about their employees' welfare. There is an incident which describes the unselfishness nature of Lenovo (lenbrzozowski, 2012) leaders is as the company once has earned a profit which he decided to distribute among the junior level employees which impacted the working environment in positive nature i.e. employees felt that they are the part of organization and on the other hand junior level employees were motivated to perform better than their previous performance (An exciting notebook: The Lenovo T440s [From the Screen of Stone], 2014). As per the leadership style of Gerry Smith, Lenovo leaders believes in achieving success by motivating everyone to perform in a team not individually for achieving goal (IBM Redbooks., 2014). The organization is motivating their employees by giving different rewards or bonus and other facilities. Lenovo Leaders also believe the leadership style of Gerry Smith, who says there needs to create a situation or condition which influence them to work rather than forcing them for working. The situation will help them to find a best solution for the problem which will automatically help organization. According to HQAsia (2015), Lenovo working style and leadership style is different from other Chinese organization which is the reason for success of Lenovo in such a short period. According to Gerry Smith, leader in any organization are the people or group of people who influence or motivate other subordinates to work according to the principles of the organization (Russellreynolds.com, 2015). Moreover, Gerry Smith also believes that leaders also help the organization in achieving their aim and objectives whether it is long term objective or short term objective (Small Business - Chron.com, 2015). Leaders' good coordination with their subordinates makes Lenovo achieves a benchmark in electronic and computer technology field.

Figure4: Leadership challenges in Lenovo

There are different challenges which company leaders has to face today that is described in figure 4 (Glassdoor, 2015). Challenges faced by the different leader of Lenovo due to;

  • Board composition

  • Succession Planning

  • Executive Recruitment

  • External and internal talent benchmarking

  • Evaluation and assessment of organizational culture

  • Intercultural or multi culture integration program.

Every organization has to undergo the process of succession planning, recruitment and selection of junior level, senior level and executive level(Yin et al., 2008). While planning these programs leaders of Lenovo has to consider their internal and external factors i.e. organizational culture, working style, working environment, requirement of the company in relation to technology, skills etc.

Communication strategy followed in Lenovo

The communication styles which are used in Lenovo are formal communication and interpersonal communication. Communication is used for interchanging the ideas, views with each other. For a proper communication there should be a sender who speaks, a receiver which listens to speaker and the main part is feedback which is given at the last of communication (Wave Sicherheitstechnologie für Lenovo-Computer, 2012). Formal communication usually happens in offices or among professional where both speaker and listen are from the same profession or different.

Formal communication in Lenovo– Formal communication in Lenovo is done for exchanging official information among the profession. For example suppose in Lenovo Manger of technical team wants to convey his subordinates a message then the communication process used by him will be formal (Tzeng, 2011). The flow of information is from upward to downward i.e. from higher level managers to junior level manager or employees or vice versa.

Figure 5: Types of formal communication done in Lenovo

The flow of information in formal communication is in controlled manner i.e. no personal information can be exchanged. Lenovo performs formal communication in different from like written and verbally or oral. As explained in figure 5 the written message can be conveyed in the form of letters, electronic mail, blog, notices, bulletins, memos etc. The verbal, formal communication is done by presentations, speeches, conferences etc(An exciting notebook: The Lenovo T440s [From the Screen of Stone], 2014). The controlled flow of information makes formal communication a hurdle free communication (Teasley, 2010). Formal communication in Lenovo is used to make a proper channel-based communication by which information is exchanged with everyone.

Figure 6: Formal communication in Lenovo

Formal communication can be done in Lenovo by the help of presentation, documentation or in any other written form. In Lenovo formal communication is two ways upward and downward i.e. when top level managers have to convey their message to down level employees the message convey instructions, directives, policies and working practices but on the other hand, when low-level employees send any message to top level manager it is information regarding work or organization (IBM Redbooks., 2014). Formal communication in Lenovo is done to pass their policies and practices details to everyone. For example, CEO of Lenovo has to transfer any information regarding their new policies or any changes in policies regarding their employees then the flow of information will be from upward to downward without any breakage of information so that every level of employees receives the same information (Stone, 2010). So this flow of information is formal communication style of Lenovo.

Interpersonal communication in Lenovo–Interpersonal communication is the interchanging process of information among two or more people in Lenovo. When directly or indirectly two or group of people is exchanging their views or thoughts it is interpersonal communication. Interpersonal communication can upward, downward, horizontal and peer to peer (IBM Redbooks., 2014). For example, suppose two or group of twenty junior level employees are exchanging their views and thoughts regarding their work, this interchange process of information are interpersonal communication (Jurevicius, 2015). Interpersonal communication can be done by electronic device or social networking or face to face verbally (Small Business - Chron.com, 2015). Interpersonal communication helps people know each other (Sharma, 2010). When peers have interpersonal communication among themselves that help to build good coordination and strengthen their communication. Interpersonal communication helps in building teamwork and coordination among the employees of Lenovo.

Now days Lenovo organization has adopted a new technique for advertising i.e. social media. Lenovo believes in adoption strategy i.e. making changes and accepting the new thing properly. It is found in a survey (Haberberg and Rieple, 2001) that people are more believing on advertisement which is shown on social networking sites like Facebook etc, in comparison of television or hoarding method. Lenovo is having a separate department of social networking advertisement whose responsibility is to update the technology and advertisement on different social media. According to Lenovo (HQAsia, 2015) customer beliefs regarding advertisement style has been changed i.e. from television, hoarding method to social media advertisement. Lenovo adopted social media promotion and advertisement method for their new product and services so that everyone worldwide com to know about their product easily and completely.


Organizational culture of Lenovo

Organizational culture represents the way or style of working of Lenovo. Organizational culture shows their customers how Lenovo works daily and also there planning for achieving their objective and aims (Russellreynolds.com, 2015). The main focus of Lenovo organizational culture is based on five P's which are as mentioned below:

  • P – Plan

  • P – Perform

  • P – Prioritize

  • P – Practice

  • P – Pioneer

Every P is having their own important and responsibility in Lenovo culture. First p stand for plan before starting any new task Lenovo decides their target, aim for which they will work. Planning helps Lenovo employees work step by step by which working environment will always be motivational for other subordinates. If Lenovo managers or senior level employees do not plan working process, then the subordinates will be unaware of their roles and responsibilities which can affect the profit of Lenovo (IBM Redbooks., 2014). The second P stand for performing i.e. as per the planning every employee will be given a set of responsibilities which will help in achieving objective as a team. Responsibilities should be distributed to everyone according to their skills and knowledge which have to examine by leaders of the team. Third P stand for Prioritize which explains every employee of Lenovo whether it is the senior level or junior level that they should work in a team considering their organization profit or their individual profit first. Priority list has to be discussed by leader or manager with their subordinates before beginning their work so that they work for Lenovo or their individual profit (Rossouw, 2005). Fourth P explains the practice which is performed in Lenovo by their employees. The practice or process, which group or team of Lenovo performs to achieve the common goal to increase Lenovo profit. Last P explains the pioneering process i.e. Lenovo welcomes the new ideas by their employees regarding their task which they are doing (Jurevicius, 2015). Lenovo believes in new ideas or innovation whether it is in their products or in-house policies.

Lenovo culture defines the way of working for their customers and employees. Lenovo culture has helped them to achieve success in their field and win several award for their product and services (Kaul, 2012). Lenovo works for their people, and the people are their employees and their customers. By giving their employees different rewards for their performance they motivate them to work better and think creatively. Lenovo creates policies and practices which help in welfare of their employees. Lenovo always focuses on innovation which their customers want in their computer product and services (lenbrzozowski, 2012). Lenovo biggest strength is their innovation which they always do as per requirement of their customers and electronic market. Lenovo policies motivate their employees to perform in a team and sharpen their skills, knowledge.


The report is having a brief discussion about their mission, vision, strategies, leadership style, communication style or channel and the organizational culture of Lenovo. Lenovo is one of the fastest grown Chinese multinational Company. The main products of Lenovo are PCs, notebook, tablets, mobile devices, servers and other electronic and computer software and hardware. Lenovo mainly uses the formal and interpersonal communication method of communication for proper flow of information (Lenovo.com, 2015). The main reason Lenovo uses formal and interpersonal communications are as mentioned below:

To maintain roles and responsibilities of all employees' i.e. senior level, lower level, and others.

  • To continue a proper and clear communication inside the organization premises.

  • To maintain a proper communication among top level, middle level, and low-level employees.

  • To maintain a proper and clear flow of information.

  • Helps in communicating information to everyone within the organization.

The importance of five P's in Lenovo in relation to their culture is explained. The importance of communication and organizational culture in Lenovo is also explained here.



Agtmael, A. (2007). The emerging markets century, New York: Free Press.

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Chianasta, F. and Wijaya, S. (n.d.) The Impact of Marketing Promotion Through Social Media on People's Buying Decision of Lenovo in Internet Era: A Survey of Social Media Users in Indonesia. SSRN Journal, p 22 -55

De Waal, A. (2011). Characteristics of high performance organisations. BMS, 3(1)

De Waal, A. (2012). Characteristics of High Performance Organisations. jmr, 4(4).

Glassdoor, (2015). Lenovo Employee Benefits and Perks. [online] Available at: https://www.glassdoor.com/Benefits/Lenovo-US-Benefits-EI_IE8034.0,6_IL.7,9_IN1.htm#BenefitComments [Accessed 5 Mar. 2015].

Haberberg, A. and Rieple, A. (2001). The strategic management of organisations. New York: Financial Times/Prentice Hall.

HQAsia, (2015). Leadership lessons from Lenovo. [online] Available at: https://hqasia.org/article/leadership-lessons-lenovo [Accessed 5 Mar. 2015].

Ibm Redbooks., (2014). Flex system products and technology by lenovo. [S.l.]: Vervante.

Jurevicius, O. (2015). Lenovo mission statement 2013 | Strategic Management Insight. [online] Strategicmanagementinsight.com. Available at: https://www.strategicmanagementinsight.com/mission-statements/lenovo-mission-statement.html [Accessed 5 Mar. 2015].

Kaul, A. (2012). “Doing” the act: Lenovo and corporate reputation. Em Mkts Case Studies, 2(8), pp.1-16.

lenbrzozowski, (2012). Unselfish Leadership at Lenovo. [online] Available at: https://lenbrzozowski.wordpress.com/2012/08/08/powerful-leadership-action/ [Accessed 5 Mar. 2015].

Lenovo.com, (2015). Lenovo - Sustainability reports. [online] Available at: https://www.lenovo.com/social_responsibility/us/en/sustainability_reports.html [Accessed 5 Mar. 2015].

Rossouw, G. (2005). Institutionalising Ethics in Organisations. LBS Management Review, 9(1).

Russellreynolds.com, (2015). Supply Chain and Operations Leadership—Gerry Smith. [online] Available at: https://www.russellreynolds.com/content/supply-chain-and-operations-leadership%E2%80%94gerry-smith [Accessed 5 Mar. 2015].

sharma, R. (2010). Preventing Corruption Through Spiritual Leadership in Organisations. Organization and Management, 2010(1 (139).

Small Business - Chron.com, (2015). What Is the Use of a Mission Statement?. [online] Available at: https://smallbusiness.chron.com/use-mission-statement-24940.html [Accessed 5 Mar. 2015].

Stone, W. (2010). Living with the Lenovo ThinkPad T410 [From the Screen of Stone. IEEE Antennas Propag. Mag., 52(3), pp.136-141.

Teasley, H. (2010). Ahead of Its Time: Lenovo Ideapad Y560D. IEEE Spectr., 47(11), pp.27-27.

Tzeng, C. (2011). An evolutionary-institutional framework for the growth of an indigenous technology firm: The case of Lenovo computer. Technology in Society.

Wave Sicherheitstechnologie für Lenovo-Computer. (2012). Datenschutz Datensich, 36(10), pp.783-783.

Yin, Y., Holland, R., Qin, S. and Wu, W. (2008). Development of a Customer Experience-Based Brand Strategy for the Lenovo Group to Explore the UK Market. Design Management Journal, 3(1), pp.60-68.


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