Change Analysis Paper
May 13, 2012
Managing Organizational Change
The Change Analysis
The companies that I will be researching are Home Depot and HP Corporations. These two companies have recently undergone reconstruction within their companies that ultimately resulted in hiring new Chief Executive Officers (CEO).
Home Depot has undergone some recent changes that were affecting the company’s business overall. Robert Nardelli, the former CEO of Home Depot came under fire for the size of his pay package as well as his management style, stepped down and left company. “Nardelli had faced growing criticism from shareholders for what some …show more content…
While Nardelli was still in charge he implemented management changes that didn’t sit well with board members and workers. There was no longer a strong bond of the stockholders anymore and the rival of other companies such as Lowes etc were beginning to take its effects on the company.
According to James Senn, director Georgia State University 's Center for Global Business Leadership, the management credibility has been loss, and it needed to be increased in such a way that the Wall Street, investors, workers and customers would see a change. (Reuters, 2007)
Frank Blake, named chairman and CEO when Robert Nardelli resigned is making his own mark on improving the company. Blake has given stores more leeway to select products that are tailored to specific markets, moving away from a more centralized purchasing structure under Nardelli.
"It 's really working in our favor, because we can now order (products) market-specific as opposed to with a broad brush," said Lopez, who has worked at Home Depot for nearly 20 years. "The associates are so much happier."
In stores, workers feel more empowered to focus on basics in interacting with consumers who walk in, as opposed to collecting data on how many people are shopping, he added. (Jacobs, 2007)
The …show more content…
According to Author Dan Lyons “The real disaster came in August when Apotheker announced HP would spin off its PC division; exit the mobile device business that it had just entered with a $1.2 billion purchase of Palm in 2010; and spend $10.5 billion to buy Autonomy, a U.K. company that makes software used by giant corporations to perform data analysis that decision sent HP’s stock into a swoon. Shares fell 30 percent and have not recovered.”
Not only that HP’s troubles go back even further, to when the board hired Carly Fiorina, then after six years realized she wasn’t working out and fired her. Then came a spying scandal in which the board’s chairperson, Patricia Dunn, authorized an outside firm to spy on other board members whom she suspected of leaking private information. Then came the Hurd sex scandal, which HP handled clumsily. (Lyons, 2011) Just reviewing the history HP suffers from poor