Michelin China: Transforming the Personnel Function

Michel Default, Director of Michelin China’s Personnel Department, had been responsible for leading Michelin China, a company that manufactures and sells tires, to transform its personnel function since 2017. The ongoing transformation aimed to optimize the company's personnel function to align with both the outside business environment and the needs of the internal employees, with one goal of better helping manage people's careers at Michelin. In addition to the unavoidable resistance, Michel received an email in 2019 from a key account manager seeking an unexpected promotion. The manager also hinted at possibly quitting if he did not get a convincing reply, for the new practice implemented in Michelin China required him to do additional work. Michel would not want to see the company lose the key account manager, especially when Michelin's turnover rate was increasing. Knowing that he had to achieve the right balance between employee satisfaction and company situation, Michel faced a great challenge in his own career in China.