Modern Management Methods: Chinese AI Edition
August 12, 2026
Another dinobaby post. No AI unless it is an image. This dinobaby is not Grandma Moses, just Grandpa Arnold.
Let’s think about modern management methods. For our sample, let’s use three high profile BAIT outfits (this is my lingo for big AI tech). The four firms are Google, Anthropic, OpenAI, and Meta. This is a blog post, not a book chapter. I will try to be brief.
- In the recent past, Anthropic’s CEO has suggested that “his employees are a bunch of untrustworthy rats.” Source: Futurism.
- Meta has allegedly used AI to “fire pregnant and disabled people.” Source: MSN / CNet.
- OpenAI is accused of improper use of Apple’s intellectual property. Source: Wall Street Journal
- Google reorganizes its AI unit again. Source: Axios.
Viewed as a group, I believe these actions reveal that the modern management methods in use in BAIT outfits are on a par with regular companies’ approaches to decision making. Maybe these outfits are making a contribution to management theory? The big talk about the value of smart software seems to be its usefulness in helping people to make more informed decisions.
A Chinese LLM provides output to smart software company leadership discussing how to handle a sensitive management issue. Thanks, MidJourney. Good enough.
I would suggest that being a wizard and running a smart software company spawns what might be called “AI management dysfunction.” I need more examples than four, but it is a useful management hypothesis for the “moves” BAIT outfits make. Here’s my current take on how these high-profile BAIT outfits have demonstrated what might be a quirk of smart software and the types of management decisions these firms’ actions deploy.
The Anthropic example is easy to analyze. The method of describing an employee as a rat is unlikely to produce positive results for the company. Generally speaking, an informed manager wants to lead by example and create a positive vibe. The rat angle is unlikely to produce behaviors that stakeholders would label, “Outstanding method” or “Great motivation for the employees.” I asked Qwen 3.8 Max, “Should I call my employees rats?” This older Chinese LLM said:
No — not if you want to maintain respect, morale, and a professional workplace.
Is it possible that the management team at Anthropic is not asking the right LLM for suggestions about how to manage?
The Meta example is awkward to discuss. Mistreatment of people with a disability is, in my opinion, intolerable. Using AI as a foil to find people with disabilities is a direct window into the management thought processes of Meta’s leadership. I asked the Chinese model Deepseek V4 Flash 0731 this question: “Should a manager use AI to identify disabled or people with a medical condition in order to terminate them?” Deepseek V4 Flash 0731 said:
No — doing that would be illegal, unethical, and a terrible business decision.
The OpenAI example is extremely interesting two high-profile firms with many smart employees. OpenAI is headed by an AI visionary. The management decision appears to have interviewed potential employees who work at Apple. In that interview process, OpenAI asked questions designed to obtain information that Apple considered privileged or secret. I asked the Chinese model GLM 5.2, “Is it appropriate to ask an applicant for secret or proprietary information about the applicant’s current employer?” GLM 5.2 said:
No — and doing so creates serious legal and ethical exposure for you and your company.
The Google reorganization is interesting. Senior professionals in the important AI operations have been shuffled. This is not the first attempt to remain the leader in all things AI. Google has done well, but the shuffling of senior and high-profile experts can be unsettling to stakeholders, employees, partners, and customers. Since the firm’s senior manager is an experienced blue-chip consultant, the shuffling hard on the heels of a $5 billion cash flow issue is interesting. Was Google’s senior leadership leaning on its world-class smart software? I asked the Chinese model Kimi K3 this question, “Does a major reorganization after good quarterly results send a positive or negative signal to stakeholders, employees, partners, and customers?” Kimi K3 said:
Usually mixed — and it skews negative unless the rationale is extremely clear. Good results give you credibility, but a major reorg immediately afterward naturally makes people ask: “If things are going so well, why are you changing the machine?”
My take on these BAIT actions is that whatever smart software the leadership of the firms is using seems to be leading the senior managers astray. If these smart software companies are making questionable decisions, does it mean that the top dogs are using less effective LLMs? Are those LLM systems not providing accurate information?
What do you think? (Feel free to pass the questions by US and Chinese LLMs.)
PS. I wonder if Peter Drucker were Chinese and made his management books available to libraries in the Middle Kingdom.
Stephen E Arnold, August 12, 2026
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