CEO as Change Agent
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Case Details:
Case Code : LDEN052
Case Length : 15 Pages
Period : 2000-2007
Pub Date : 2008
Teaching Note :Not Available Organization : Miller Brewing Company; JCPenney Corporation, Inc.; Whirlpool
Corporation
Industry : Beverage; Retail; Electricals & Electronics
Countries : Europe, USA
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Caselet 1: Norman Adami And Miller Brewing Company
“People talk about the fact that people resist change.
They don't resist change. They resist being changed. Change is a constant. It's
not a variable. It's really about how you enable change to happen, and it's got
to be an environment to enable change.”1
- Norman Adami, President and CEO, Miller Brewing Company,
in 2006.
“The arrival of Norman (Adami) is a seminal moment. He
helped take away $10 billion to $12 billion in [AB's] market cap.”2
– Anthony J. Bucalo, Analyst, Bear Stearns3, in 2006.
In 2002, the South African brewing major South African Brewing Company (SAB)
acquired one of the leading brewing companies of the US – Miller Brewing Company
(MBC) – to form SABMiller, Plc (SABMiller). In the 1970s, MBC was an aggressive
player in the beer market but gradually lost its edge by the late 1990s. Though
it was one of the oldest and most renowned brewing companies in the US, the
period between 1990 and 2002 saw stagnation in the sales of MBC, while its arch
rival Anheuser-Busch4 (AB) went from strength to strength. While MBC was finding
it hard to increase its beer sales beyond 43 million barrels throughout that
decade, AB increased its beer sales by around 27.9 million barrels between 1999
and 20025.
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MBC's new product launches, such as 'Miller Clear'beer also
failed to make an impact in the market. Its relationship with distributors also
deteriorated. In 2002, MBC showed a 1.25
percent decline in revenues as compared to 2001...
Caselet 2: Myron E Ullman And Jcpenney - Next Page>>
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