Lin Liangqi: The "Phase Mission" of Professional Managers and the Key to NVC Lighting's Transformation

In the critical decade as China's professional manager ecosystem evolved from nascent to mature, Lin Liangqi's resume can be regarded as a micro-evolutionary history:

• Academic Foundation: Economics background from Xiamen University, among the first state-sponsored scholars sent to KU Leuven in Belgium for advanced studies, obtaining an MBA and a PhD in Economics;

• Multinational Tempering: A 17-year career at Philips Lighting (lighting business: Signify), progressing from financial control to overseeing overall operations in Greater China (P&L), spanning finance, operations, and strategy;

• Local Roots: Deeply leading channel transformation and localized R&D in the China region, integrating multinational systematic thinking with the resilience of the Chinese market ecosystem into a unique governance DNA.
  

This composite vision, blending Eastern and Western governance wisdom, has made Lin Liangqi widely recognized in the industry as an "institutional ferryman"—one of the few practitioners capable of building bridges between the precise systems of multinational corporations and the chaotic ecosystems of private enterprises. When he took the helm at NVC Lighting in 2020, he faced a triple challenge: a governance vacuum following drastic changes in equity structure, a deficit of channel trust, and strategic loss of focus. At that time, the core question among business observers was: Could a professional manager well-versed in systemic approaches reconstruct order in such a complex institutional environment?

Five years later, the answer lies in this calm yet profound transition—as the outgoing CEO remains on the board, NVC Lighting has completed its transformation from "founder-team dependence" to "institution-driven." No turbulence, no suspicion, only the rational trajectory of steady iteration in the governance system.

In an exclusive dialogue with the Chinese edition of Harvard Business Review, Lin Liangqi analyzed his "Phase Mission Theory" for the first time: "The ultimate value of a professional manager lies not in steering forever, but in enabling the enterprise to learn how to navigate on its own."

Lin Liangqi: Actually, I was not initially asked to become CEO. The Board first approached me to assist with due diligence during the Acquisition phase, serving as an external consultant. At that time, I was considering other positions and did not agree immediately. However, they remained persistent, repeatedly emphasizing that my background could precisely address NVC Lighting’s structural shortcomings—I spent 17 years at Philips Lighting, starting in finance, moving to operations, and eventually overseeing business across Greater China, which gave me a very complete management logic.

I later understood that what they truly valued was two things: first, my in-depth understanding of the lighting industry, from the supply chain to the market end; second, my long-term experience “fighting battles” in multinational corporations, familiar with how to drive change in complex organizations.They needed someone who could implement systems and also handle the practical issues of local Chinese enterprises—in their words, someone who could “plant new order within the old system.”

To be honest, NVC Lighting was in a period of extreme turmoil at that time. Coupled with the sudden outbreak of the pandemic, the external competitive environment deteriorated. KKR actually mobilized significant resources to persuade me to join. After several rounds of discussions, I realized this could be a transformation worth investing in. So, in the end, it wasn't just them convincing me; I was also attracted by the challenge—this was not merely a job issue, but a matter of organizational destiny and institutional evolution.

Lin Liangqi: That list was indeed not short. As soon as I came in, I realized that the problems were "three layers deeper and three sides broader" than expected.

First, the product quality system was imperfect—over 60% of products relied on outsourcing, mainly driven by a "low-price orientation," and there were many negative reviews about product quality control in the market. The company could not guarantee product consistency, let alone build brand trust.

Secondly, the overall confidence in the channel system declined. There was friction between headquarters and operation centers, and e-commerce had a direct impact on traditional dealers. Many partners were unwilling to invest and even chose to "exit".

Third, there was a huge gap in governance structure. NVC Lighting previously relied excessively on the judgment and coordination of the founding team, failing to establish systematic institutions and lacking institutionalized operational logic for internal division of rights and responsibilities.

Lin Liangqi: I would use one sentence to describe the situation at that time—repairing the engine while driving. My strategy was to start from the source, stabilize the products first, then fix the systems, and finally rebuild confidence.

On the product side, I first terminated the "price-oriented" supplier logic, changing "winning by price" to a strategic partnership relationship. We compressed our original 200+ suppliers to under 100, prioritizing partners with stable quality, strong responsiveness, and the ability to co-build and share risks. This step was very difficult, but absolutely necessary.

At the same time, we strengthened procurement and quality control processes, holding the quality red line at the source and no longer allowing "OEM volume-driven" practices. Many projects had to pass complete testing and evaluation before launch, which was a new management culture at the time.

Lin Liangqi: The first thing I did was not to set targets, but to "engage in heart-to-heart talks at the grassroots level." I visited the heads of major operation centers one by one to convey a core message: NVC Lighting must change, but this transformation is not exclusive; rather, it is about working together for mutual success.

I repeatedly emphasized, "Only when you make money do we have a future," hoping they would shift from being "passive merchants" to "active traders," and from "guarding their stalls" to "charging forward." Gradually, they began to believe and take action.

As a result, confidence in the channel operation centers was gradually restored. Many teams began to proactively layout new businesses, shifting towards digitalization, engineering projects, new retail, and other dimensions. The market resilience of the enterprise began to be rebuilt from here.

Lin Liangqi: I approached it from three aspects:

First, introduce a professional management team. For key positions including HR, finance, strategy, supply chain, and sales, we have extensively recruited managers with years of practical experience in multinational corporations. These individuals are not only familiar with processes but also capable of execution, enabling us to rapidly establish a modern governance framework.

Second, optimize the incentive mechanism. We have implemented a true "performance-oriented + long-term incentive" system, abandoning the previous asymmetric structure where "senior management benefited while grassroots struggled." Employee salaries and bonuses are distributed transparently based on performance, and we have also improved保障性 systems such as social security and commercial insurance.

Third, break the "bureaucratic" management culture. I often say that NVC Lighting is a company that gets things done; there is no need for bureaucratic jargon. I encourage everyone to call me "Old Lin." At our staff meetings, we don’t read from scripts; instead, we open the floor for questions. Organizational change is not forced through regulations but driven by trust.

Lin Liangqi: Correct. The essence of professionalism is never a piece of paper with rules, but the entire team's "acceptance of this way of playing." Only when the organization truly believes in and becomes accustomed to the system can the enterprise break free from dependence on any single individual. NVC Lighting has reached where it is today because everyone has begun to believe that things can be done well by relying on the system.

Lin Liangqi: Organizational reform is not a matter of how to draw an "organizational chart," but a systems engineering issue. At that time, I was very clear about one point: as CEO, I could not use a "treat the head when it hurts, treat the foot when it hurts" approach to patch up symptoms, but had to start with the mechanism itself. Flattening is not for the sake of looking good, but is the entry point for top-level design.

After the restructuring, the effects were very obvious. First, decision-making efficiency doubled — previously, the supply cycle for a specific project often took 45 days, but now it is compressed to within 15 days. Moreover, this efficiency gain is systemic, because the middle layer has reduced unnecessary transmission and distortion, making information flow more direct and transparent.

Second, we simultaneously restructured the incentive mechanism. Profit sharing and equity incentives were not only implemented at the team level but also extended to specific project leaders. This logic of "sharing credit and sharing responsibility" greatly stimulated employees' sense of ownership. Data shows that over five years, the turnover rate for core positions dropped from 18% to 6%, raising the organization's stability and combat effectiveness to a new level.

Lin Liangqi: In fact, measuring whether a professional manager has fulfilled their phased mission should not focus solely on short-term profits, but rather on the enhancement of the company's 'internal strength'.

First, I would choose the "Product Quality Index." Over five years, we halved our supplier base and reduced quality complaints by over 60%. Quality is the root of a brand; without it, everything else is merely decoration.

The second indicator is the health of our (Sales) channel system. Our Distributor satisfaction rose from less than 50% at its lowest point to over 85%. This reflects rebuilt trust and forms the foundation for ecosystem synergy; without it, professionalization is just spinning wheels.

Third is brand value. This is the most comprehensive external reflection. Our brand value in third-party assessments achieved a compound annual growth rate of 13% over five years, reaching 67.9 billion yuan, and we have ranked first in the industry for many consecutive years. This confirms the external market's recognition of our governance and strategic direction.

Lin Liangqi: Professional managers are different from founders. Our sense of mission stems from institutional arrangements, not from a "founder complex." Therefore, the handover of professional managers is essentially a shift from the role of "helmsman" to that of "rule designer," rather than a complete exit.

I have always believed that the key to determining whether a company's professionalism is truly mature lies not in whether an individual is "successful," but in whether a mechanism for institutional succession has been established. For example, is there clear board oversight? Is there a regularized succession mechanism? Is there a performance evaluation system for successors?

Once these become the organization's "muscle memory," it doesn't matter who takes the helm; the ship's course remains unaffected. This transition is precisely a phased validation of our professional governance.

Lin Liangqi: I prefer to view this as a role shift “from the steering wheel to the dashboard.” Previously, I was the driver; now, I am the one watching the route. My focus will not be on every frame of daily operations, but on longer-cycle, systemic issues.

Mainly focusing on three things: First, deepening and implementing the company’s ESG strategy. In the lighting industry, green supply chains, energy saving standards, and social responsibility will become part of long-term competitiveness and cannot remain mere slogans. Second, continuous injection of foundational technologies and innovation resources. Especially in the field of smart lighting, we must evolve from product thinking to systems thinking. Third, a user-centric brand growth logic, which is not only about marketing but also about the organization’s ability to build processes and mechanisms around user value.

Lin Liangqi:The true value battle lies not in tactical slogans, but in the simultaneous realization of brand premium power and a qualitative transformation of the customer structure.What I focus on most is not sales volume figures, but the shifts in three “proportions”:

1. The proportion of high-value scenario products in total Revenue;
2. The proportion of precision demand-driven business in resource allocation;
3. The depth and breadth share of strategic categories such as Health/Smart lighting in the SKU structure. These are the "value probes" that pierce the bubble.

Lin Liangqi: Combining my experience at NVC Lighting and my long-term observation of countless private enterprises, I believe that for Chinese private enterprises to achieve healthy development, they must make breakthroughs in several key areas:

First, it is necessary to encourage the professional manager system.Founding teams must dare to delegate authority at the appropriate time, recognizing that when a company develops to a certain stage, it needs professional managers to lead the enterprise towards a modernized and standardized development path. This is crucial for attracting top talent and achieving continuous innovation.

Secondly, importance must be attached to brand management, rather than just focusing on products.Many private enterprises, especially those starting from OEM manufacturing, always feel that "good wine needs no bush," putting all their energy into products. But I want to say that all companies that can develop in the long term are brand companies. Product innovation is the foundation of a brand, but brand building and investment are equally important; both must advance together. Branding is the key for enterprises to build trust with consumers and differentiate themselves from competitors; it is the most important weapon for enterprises to gain premium capabilities in the market and resist involution.

Thirdly, it is essential to establish a standardized corporate governance structure. The professional manager model requires a set of standardized corporate governance structures, where the board of directors is elected by the shareholders' meeting, and the board appoints the management team, forming a system of checks and balances with the separation of "ownership, decision-making power, and operational power." A sound corporate governance structure, including accountability to minority shareholders, fairness of financial statements, and standardized management, is the foundation for ensuring that the professional manager team can operate independently and professionally.

Finally, it is necessary to establish clear incentive mechanisms and a spirit of contract. The incentive methods for management need to combine medium-to-short-term and long-term incentives, and they must be clearly written down in black and white, with a spirit of contract, rather than being just casual remarks by the boss. Many private enterprises lack a spirit of contract, which not only affects employee motivation but is also detrimental to building a stable professional team. Clear, transparent, and redeemable incentive mechanisms are key to attracting and retaining outstanding talent and promoting the continuous development of the enterprise.

These recommendations are crucial because they address the core institutional and cultural challenges faced by Chinese private enterprises in their transition from entrepreneurial to modern, sustainable development models. Only by breaking through these bottlenecks can Chinese private enterprises truly achieve their professional transformation, as well as high-quality and sustainable development.

Lin Liangqi: I choose "System, People, Innovation". "System" refers to institutions; for an enterprise to go far, the governance structure must come first, not relying on whims; "People" refers to the team; a professional management梯队 capable of fighting battles is more important than one or two "firefighters"; "Innovation" refers to innovation; whether in technology, market, or organizational mechanisms, continuous evolution is required.

Lin Liangqi: First, hold the line. Don't assume that joining a private enterprise allows you to be 'more flexible.' The core of professionalism is not technique, but principle. You represent a set of replicable management values, not individual improvisation.

Second, learn to express yourself. Many Chinese managers are capable but poor at expression, fearing they will be seen as 'stealing the spotlight.' In reality, you must make your boss, the board, and the market understand what you are doing; trust is built through communication.

Third, enhance organizational synergy. Especially for managers with a technical background, it is crucial to understand 'dialogue' and 'empowerment.' Organizational transformation cannot be achieved by 'doing it all yourself.'

Fourth, build a relationship network. This is not about 'pulling strings,' but about leveraging your understanding of the upstream and downstream value chain to quickly assemble a combat-ready team.

Last but not least, learn finance. No matter what business you manage, numbers must become the language of your thinking. Financial literacy not only determines whether you can make decisions, but also whether you can win resources.

Lin Liangqi's departure has become a touchstone for testing the professionalism of NVC Lighting. When asked if he was worried that "reform achievements would fade with his departure," he pointed to the sixteen-character guideline on the conference room wall: "Quality First, Go with the Flow, Top-Bottom Integration, Internal-External Unity"—this is not only a strategic anchor, but also an institutional code embedded in the organizational DNA.

"To judge whether governance is mature, see if the company can operate normally without anyone," he thus defined the deeper meaning of succession, "My mission is to enable NVC Lighting to learn to 'grow up on its own'."

This rare smooth handover in Chinese private enterprises contains a subversive revelation: when professional managers transform from "firefighters" to "institutional architects," their ultimate value lies not in the legend of turning the tide, but in the ordinariness of retiring after success—because true change will ultimately transcend individuals in the name of institutions.