IBMquestion
1. Why do large companies like IBM find it so difficult to create new businesses? What are the primary barriers to success?
Large companies are inflexible and slow-going than their small competitors
It had complex structure, including seven groups and 39 businesses, but sales and distribution are organized by industry sector. Interdivisional rivalries happened a lot, making them hard to overcome challenges of inter-group collaboration
Their culture existed a powerful bureaucracy and inflexible hierarchy, which prevent them from innovation.
2. What is your evaluation of the “horizons of growth” model? What are the distinguishing features of emerging, H3 businesses?
The features of H3 businesses were emerging and still developing and were the seeds of the company’s future. In BCG matrix, those represent as question marks.
This model is not clearly defined. As we can find out through decision-making process, they hardly find out what were in H3 or H2 fields. Also, they didn’t develop clear processors for each horizon. Third, IBM culture is not creative and innovative, and this will make pipelines lack of H3 products.
3. How did the EBO management system evolve over time? What was accomplished during:
a. The Thompson era?
b. The Corporate Strategy era?
During Thompson era, he system were communicated throughout the entire company worldwide, responsibilities were consolidated and a basic formalization of a review process, but the method was still informal
During Corporate Strategy era, the process was formalized. And the program also added different expertise.
4. What are the key elements of the current EBO management system? What is your evaluation of the system?
The key elements are experienced leadership, clear strategy, secured resources, and tracking and monitoring.
The system didn’t developing on group level. It based on unclear criteria and ineffective transition among divisions.
5. How should Harreld:
a. Deal with those businesses now reaching H2
Large companies are inflexible and slow-going than their small competitors
It had complex structure, including seven groups and 39 businesses, but sales and distribution are organized by industry sector. Interdivisional rivalries happened a lot, making them hard to overcome challenges of inter-group collaboration
Their culture existed a powerful bureaucracy and inflexible hierarchy, which prevent them from innovation.
2. What is your evaluation of the “horizons of growth” model? What are the distinguishing features of emerging, H3 businesses?
The features of H3 businesses were emerging and still developing and were the seeds of the company’s future. In BCG matrix, those represent as question marks.
This model is not clearly defined. As we can find out through decision-making process, they hardly find out what were in H3 or H2 fields. Also, they didn’t develop clear processors for each horizon. Third, IBM culture is not creative and innovative, and this will make pipelines lack of H3 products.
3. How did the EBO management system evolve over time? What was accomplished during:
a. The Thompson era?
b. The Corporate Strategy era?
During Thompson era, he system were communicated throughout the entire company worldwide, responsibilities were consolidated and a basic formalization of a review process, but the method was still informal
During Corporate Strategy era, the process was formalized. And the program also added different expertise.
4. What are the key elements of the current EBO management system? What is your evaluation of the system?
The key elements are experienced leadership, clear strategy, secured resources, and tracking and monitoring.
The system didn’t developing on group level. It based on unclear criteria and ineffective transition among divisions.
5. How should Harreld:
a. Deal with those businesses now reaching H2