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Essentials of Strategic Management 5th Edition_2

Tham khảo tài liệu 'essentials of strategic management 5th edition_2', kinh doanh - tiếp thị, quản trị kinh doanh phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | PART I INTRODUCTION TO STRATEGIC MANAGEMENT 1 BASIC CONCEPTS OF STRATEGIC MANAGEMENT How does a company become successful and stay successful Certainly not by playing it safe and following the traditional ways of doing business Taking a strategic risk is what Ford Motor Company did when top management led by its new CEO Alan Mulally decided to change the way it made automobiles. Already a successful CEO at Boeing Mulally had been handpicked in 2006 by William Bill Clay Ford Jr. to replace him as CEO of the company. This was a highly unusual selection given that Mulally had no previous experience in the auto industry. Led by Bill Ford as Chairman the board had wanted a CEO who would take a new approach and break Ford Motor out of its bureaucratic lethargy. Even though the company in 2006 was still profitable thanks to its Financial Services segment it had not made a profit in autos since 2000. Top management had already instituted a turnaround plan to lay off employees close factories and modernize plants but this was not enough to move the company forward. The company needed a new direction. As Ford s new CEO Mulally wanted to concentrate on making smaller more fuel-efficient cars and on matching production with consumer demand. He supported a plan to redesign factories to make multiple models instead of just one. He also endorsed the global strategy of building one auto for multiple markets worldwide instead of multiple models tailored to national or regional tastes. The company had tried building a world caf before but had failed due to conflict among its regional divisions. To fund these strategic changes Mulally raised 23.5 million from 40 banks using all of the firm s buildings stock intellectual property stakes in foreign automakers and even its trademark blue logo as collateral. As CEO he overcame internal opposition to divest the money-losing but prestigious Jaguar Land Rover and Aston Martin brands. At that time marketing manufacturing and product .