Professional Documents
Culture Documents
The
Man Who Turned IBM
Around
Background Note
Louis was born on march 1, 1942 in Minolta, new York.
Louis graduated in engineering in 1963.
After a college he joined the reputed management
consultancy firm McKinsey in 1965.
In 1975, Louis appointed as a director of the firm.
Louis learned at McKinsey was to focus on problem that
hand and create an environment that encourage people
to come with ideas in firm.
THE TURNAROUND
STRATEGY
In 1994, Gerstner made efforts to improve the
reporting procedures. He is closely monitor
the production schedule, cost schedule, sale
of different products.
Louis stared focusing on specific problems
related to individual units.
Louis realized personal computer division had
good potential and it was performing poorly.
The division was facing tough competition
from companies such as Dell, HewlettPackard, and Compaq.
Improving the situation he appointed Richard
Thomson who was colleague at American
IBMs
EMPHASIS ONE-BUSINESS
In 1997, Gerstners focus on networkcentered computing strategy evolved
into a full-fledged
e-business "strategy in IBM.
IBM provided the complete package for
e-business (e.g. hardware, software,
training, security, networking, and
services)
Lotus Notes Groupware added another
powerful feature to IBMs e-business
solutions.
THE CRITICISM
IBM
intact
and
change
the
corporate