Fundamental of Business for Managers: Essay

Sample Essay

Words 1,792

Using the information from below, describe Mr. Stavropolous’ decision-making style. How did he see the relationship of decision making to the corporate structure?
Mr. Stavropolous comes across in the interview as a very dynamic and forward-looking Chief Executive. The changes he has made are bold and innovative trying to keep the organization not only competitive but a market leader in most of the businesses. DOW being the fifth largest chemical company in the world.

The first thing that the CEO discusses is his product line and how they changed and restructured it to become more competitive. The company divested about $10 billion worth of assets and became a leaner company having 14 business lines and being world leaders in all of them. Mr. Stavropolous believes that it is impossible competing with giants like P & G and lever in products where they lead; instead, he prefers to excel in the chemical industry innovation.

There were two phases of the whole restructuring process. He calls it the repositioning phase and three objectives were achieved in the first phase:

  • Re-engineer the organization.
  • Get earnings that are more consistent and become less cyclical.
  • And to change the balance sheet to make a long-term investment.

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