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Course Project-Part 3: Diagnosing the change in those companies and their barriers and resistors.
Part I. Diagnostic Model (Macy’s, Inc. 7-S Framework)
Macy’s, Inc., which was once known as Federated Department Stores until 2007, has grown to become of the nation’s largest upscale retailers in the world. The Macy’s brand operates over 800 department stores in 45 states, Guam and Puerto Rico, and also over the internet as macys.com. A large part of Macy’s growth throughout the years has been acquiring other small retail stores under its Macy’s brand such as Filene’s and Jordan Marsh stores. During the 1990s, the company filed bankruptcy in order to reorganize outstanding debt and made changes to its management team. Terry Lundgren, president and chief operating officer for the past five years with Federated, adds the title CEO to his name in 2002.
Part II. Model Analysis (Macy’s)
Strategy: Local shoppers of the stores that were acquired weren’t impressed with the many changes taking place within Federated. A new initiative was set in place to help with efforts to protect the environment. They also started to use the social media networks to reach customers in larger volumes.
Structure: James A. Zimmerman, who was once chief executive officer and chairman of the board, retires. Terry Lundgren, who is CEO, president and chief operating officer, now also becomes the chairman of the board.
Systems: Introduced a new customer loyalty program with many new benefits for its valued customers.
Style: Launched a national advertising campaign. The company changed its corporate name from Federated Department Stores to Macy’s, Inc.
Staff:
Skills: In order to revive the company, the chain added exclusive merchandise from celebrities such as Martha Stewart, Donald Trump, Usher and Jessica Simpson.
Superordinate goals: To grow sales and to continue to increase the levels at which the company can be profitable. The “My Macy’s” initiative is expected to revive the

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