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New Culture or Back to Roots? Lou Gerstner at IBM

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"New Culture or Back to Roots? Lou Gerstner at IBM (A),"

Read the case study, "New Culture or Back to Roots? Lou Gerstner at IBM (A)," on pages 82-84 in Implementing Organizational Change.

Answer the following questions:

a. How was the culture of IBM at the time of Lou Gerstner's arrival impacting the organization's ability to achieve outstanding performance?

b. Did Gerstner need to change the IBM culture in order to return the company to outstanding performance or did he need to reestablish its original culture?

c. How successful will Gerstner's efforts be? What other steps might he take?

The case is on page 82-84

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Case analysis of New Culture or Back to Roots? Lou Gerstner at IBM is given in this solution.

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Read the case study, "New Culture or Back to Roots? Lou Gerstner at IBM (A)," on pages 82-84 in Implementing Organizational Change.

a. How was the culture of IBM at the time of Lou Gerstner's arrival impacting the organization's ability to achieve outstanding performance?

The culture of IBM was impacting the ability of the company to achieve outstanding performance because of excessive formalism and rigidity. There was assurance of lifetime employment. Moreover, the employees were focused inside towards the company and were not customer oriented. They missed deadlines and their performance was not up to the mark. Their idea of servicing the customer was to provide service to IBM products that had been sold to the customers.

b. ...

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