A presenLaLlon on

8LnLWAL S18A1LC?
8y MahlpaL
Mehul
W 8enewal SLraLegles
ueveloplng sLraLegles Lo counLer organlzaLlon
weaknesses LhaL are leadlng Lo performance
decllnes
1ypes
1) ketrenchment
) 1urnaround
W ketrenchment focuslng of ellmlnaLlng noncrlLlcal
weaknesses and resLorlng sLrengLhs Lo overcome currenL
performance problems
Alm downslzlng or layoff
lmporLance Lo org an org enable Lo overcome a down
perlod ln Lrade
W @rnorond addresslng crlLlcal longLerm performance
problems Lhrough Lhe use of sLrong cosL ellmlnaLlon measures
and largescale organlzaLlonal resLrucLurlng soluLlons
W ln 1999 Lhe revenues of xerox Corp (xerox) Lhe worlds largesL phoLocopler
maker began Lo fall and ln lL reporLed a loss of $ mllllon xerox also
losL $ bllllon ln sLock markeL value (from Aprll 1999 Lo May ) xerox
clLed many reasons for lLs bad performance lncludlng Lhe huge reorganlzaLlon
efforL lnlLlaLed by Lhe Lhen CLC 8lchard 1homan
Wln May he was replaced by hls predecessor aul Allalre and Anne
Mulcahy (Mulcahy) was made CCC xerox revealed a 1urnaround rogramme
ln uecember whlch lncluded cuLLlng $1 bllllon ln cosLs and ralslng up Lo
$4 bllllon Lhrough Lhe sale of asseLs exlLlng noncore buslnesses and layoffs
SubsequenLly ln AugusL 1 Mulcahy was made CLC
W xerox conLlnued Lo reporL losses ln 1 buL lL reLurned Lo proflL ln and
conLlnued Lo reporL proflLs ln 1he case examlnes Lhe evenLs LhaL led Lo
Lhe decllne of xerox and ln parLlcular how ma[or reorganlzaLlon sLraLegles can
affecL a company