* The company has been successful grow from small home operations to massive operations and still has the same culture as in the beginning. * The company has a good record of growth and therefore should also have good profits. * The company operates outside the traditional structure like the mission statement, a code of ethics (units may provide their own if they feel the need), formal job descriptions, managers, boss and so on. * Even though the company has grown they still use the principles of a small company. Such as being close knit, personal atmosphere, small business units, decentralisation decision making, and employees getting a lot of responsibility and input. * The unique human management – the lattice structure, the sponsor program, personal growth and development, the four principles, employees lots more responsibility and decision making, compensation -monetary/ non monetary for employees and the focus on leadership rather than management. * Innovation the company has no formal R&D but many new developments have come from Gore like dental floss and so on. Also all employees are encouraged to be creative.
2. How would you characterise W. L. Gore’s competitive strategy? What are the key elements of the strategies employed by its electronics, fabrics, industrial, and medical diversions?
* Gore is a company built on technology The competitive objective of Gore was to use core technology derived from PTFE and ePTFE to create highly differentiated and unique products. * Board product differentiation - unrelated diversification -Electronics, Fabrics, Industrial and Medical * Diversified conglomerate- product management – divided into four divisions, protect against swings in industry unrelated diversification * Maintain competitive pricing
Developing quality products by creating and protecting core technology * Three legs of the stool manufacturing, technology and sales these legs are tied together by a product specialist, who coordinate efforts to design, make and sell a product, and support functions such as HR, IT and finance. * Gore emphases product integrity and stood behind his product no matter that was manufacture was. Recalls defective products such as cosmetic or fitness flaws. Highest quality to meet and exceed costumers needs. Positive buying experience will carry on into other Gore areas and lead to more sales * Sharing and enhancing knowledge key to current and future products but some propriety knowledge information was shared on a need to know bases for security/ privacy reasons. Protecting technology and products/process from global interest through patents * It’s fairly different culture allows the firm to create thousands of highly competitive but completely unrelated products
Continuing globalization and deliberate growth
* Continued growth from two sources 1- Associate Innovation the culture at Gore is designed to promote innovation and ideas to be followed, developed and evaluated which leads to new products and process . This is called organic growth. 2- External Acquisition ( less significant)- evaluates opportunities to acquire new technology or unique capabilities that may enhance existing business. largest company to date had only 100 employees- no stock was exchanged due to being privately listed company and therefore acquisition was made with cash. Gore culture was an area that the acquired company need to fit in with and spent time integrating to the Gore culture..
3. What are the key approaches W. L Gore has taken to promote successful implementation and execution of the strategy? How has it gone about building a capable organisation? How have rewards and incentives been linked to key strategic targets?
WL Gore realised that...