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CaSE aPPLICatION 3                                            CHAPTER 12   •  Leadership and Trust    409
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                    Leading Without Intervention




                        hih  Wing-Ching is a self-made billionaire in Hong   time secondary school education for grassroots were not
                        Kong’s booming capitalist arena, where so many people   widespread in those days. He did not just focus on textbook
                   Shave lifted themselves out of poverty.                theories but also shared his critical thinking and creative
                       Shih started the Centaline Property Agency with a friend   thoughts.
                    in 1978 and built it into the one of the largest real estate   Shih told his children that people should rely on no one but
                    brokers in Hong Kong and China.                                             themselves. He said, “Glory comes
                    To date, Centaline has over 30,000   Practicing LEADERSHIP                  only from self-accomplishment.
                    employees working in 30 cities on                                           Reliance on family deprives one of
                    the Mainland.                    WISDOM from ancient                        the opportunities of hard-work and
                       Shih adopts a freewheeling ap-              China                        self-discovery, leading to an unful-
                    proach to business and parenting.                                           filled life.” 80
                    He follows Chinese sage Laozi’s                                                Shih’s case is also a good ex-
                    philosophy of managing without intervention, allowing his   ample of how a good leader should be able to make appropri-
                    employees to develop and work on their own ideas. Centaline   ate use of internal and external resources available to achieve
                    is an innovative company, and they were a pioneer to offer   the final goals.
                    consumers property information via the internet and electronic   His liberal approach in parenting is in conflict with the
                    maps. The company allows its brokers to specialize in specific   discipline espoused by his wife, a teacher. “I contradict her all
                    segments. This is similar to Google, 3M and other innovative   the time regarding our children's upbringing. She thinks that
                    companies in the west in that it allows the staff to work on their   children need to study before exams. I think that it’s OK, or
                    own projects. In the end, staff members are very motivated   even better, to study after exams. Those who study after exams
                    and work happily with increased levels of creativity and a high   will be smarter.” 81
                    sense of responsibility. Shih practices what he preaches. He   Shih demonstrates that leadership is not about one time
                    manages his businesses and his family this way, which allows   success. Strong and good leadership is a process of continuous
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                    them to grow naturally under a self-organized mode.  Shih’s   review, control and fine tuning.
                    model innovates by rewarding employees at his two compa-
                    nies, right down to the lowest organizational level.  Discussion Questions
                       “My management style at Centaline is like that of ancient
                    emperors in China, who divided the empire into duchies and let   12-23 After reading this case, how would you best describe Shih’s
                                                                               leadership style?
                    the dukes rule the roost,” he says. “I call it a jungle-style devel-  12-24 What should be done by top level managers in order to carry
                    opment model, where each tree is independent. This contrasts   out management without interference?
                    with the big tree-style development model. The trunk support-  12-25 Do you think Shih’s management or leadership style can be
                    ing the tree will buckle as the tree gets bigger and heavier.” 79  applied to other industries? Explain using examples.
                       Shih didn’t go to university. He began teaching at a night   12-26 Shih stated that glory only comes from self-accomplishment.
                    school run by leftists which was common at that time as day   Explain whether you agree or disagree with Shih.
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