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Semco's Transformation from an Autocracy to an Entrepreneurial Democracy

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Semco's Transformation from an Autocracy to an Entrepreneurial Democracy
Introduction
The following case study is based on a company named SEMCO. SEMCO is best known for its industrial democracy and innovative business management policies. The objective of this case study is to analyze the transformation of SEMCO`s autocratic style of management to a decentralized, participatory style. Let us study in brief.
History of SEMCO
SEMCO, A Brazilian manufacturing company, invented by the founder’s entrepreneur son, Ricardo Semler, turning it into one of the worlds most unusual and admired workplaces. SEMCO’s headquarters is located in São Paulo, started in 1952 by Ricardo’s father, Antonio Semler, with a small patent for a centrifuge that could separate lubricating oil from vegetables, later growing under the entrepreneur’s hands into one of those countries most successful companies.
Ref: (http://www.freeonlineresearchpapers.com/history-semco)
50s
Founded in 1953 by Austrian engineer Antonio Curt Semler, SEMCO starts manufacturing centrifuges for the vegetable oil industry.
60s
Taking advantage of naval growth in Brazil in the 60s, SEMCO also starts producing hydraulic pumps, load pumps, axles and other components for the naval industry.
60s to the 80s
During this 20 year period, SEMCO has equipped over 70% of the domestic naval fleet.
80s
Ricardo Frank Semler, the founder’s son, takes over at the company and implements a series of changes.
In the 80s SEMCO was directed towards a single industrial area and due to the small number of customers. Then, it’s started diversifying its businesses and purchases manufacturing licenses from other companies, such as Philadelphia Mixer and Little ford Day.
In 1982 SEMCO starts producing mixers for the chemical, pharmaceutical, food and mining industries. The stage is considered the first cycle of changes carried out by Ricardo Semler.
In 1984 the company started manufacturing industrial refrigeration equipment, air-conditioning systems, food processors and other equipment.
In 1984,

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