Xu Yibo, 57, was appointed as the new chief of Shanghai's State-owned asset watchdog on Tuesday, where he will be responsible for implementing an ambitious plan to stimulate the city's 11 trillion yuan ($1.81 trillion) national assets.

Shanghai has made a series of personnel changes among the leaders of its State-owned enterprises since the city's chief official Han Zheng, in a December meeting, urged an unleashing of the potential of Shanghai's massive but poorly-managed national assets.

Xu's appointment was due to his years of work experience in management post in such enterprises, according to the meeting at which the appointment was made, and he has been assisting the deputy mayor in SOE reform since serving as the deputy secretary general of the municipal government.

Shanghai is looking to form five to eight non-financial multinational companies with a sizable amount of overseas assets, overseas sales revenue and outbound investment, from its SOEs within the next five years, according to the reform plan.

Don't miss:

Singapore's Temasek to be 'model' for SOE reform

Central SOEs watchdog vows to battle corruption

Profits of China's central SOEs slightly up

SOEs revenues up, profits growth down in 2013