Guiding Case Analysis Questions:
1. Was Siemens in need of change AND ready for change when Eitel took over? Explain?
2. Evaluate the decision to invest company resources into the Great Game of Life Program. In making a decision, what alternatives would you have considered?
3. If you were a member of Fenway Partners (i.e., an owner of Simmons), would you have supported the Great Game of Life proposal?
4. Assume Siemens moves forward with the plan for the Great Game of Life, what recommendations would you make to maximize success?
principles, concepts, and theory
3 biggest clients’ bankruptcy 110/658 M
Supplier bad foam cushion-> delay schedule damage profitability
7.2 M investment into culture change program decision
CEO: Charlie Eitel->former successful experience on implementing the program
President: Bob Hallyer-> personal interest and other top management team: stakes are high->no
New York based equity firm worries too
1870s-1936 From wooden box to wooden framed bed to bedding
2 generation of family business
Innovation -> transparent leader
5000investment to 43M revenue
1987 operated in 15 countries with a full range of products
Participate in public sector: WW1 WW2 Korea War
Using successful people to advertising: Roosevelt Eleanor/ Henry Ford/ Thomas Edison
1978 non family member CEO-> unstable ->2001Zreo waste program internal reduce to 18 concentration mattress products.
770 retail outlets
Direct (company-owned subsidiaries)->hotel motel hospital dorm US government
Eitel’s team bring in
Empower people within boundaries
Support each other
Manufacturing plant competition instead of collaboration and low morale sergeant
Janesville Wisconsin: Tony Saliture 1951 work in Simmons believe...