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Company crisis situations - Case Study: Everyone Counts at Black and Decker
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Written Assignment 2 Case Study: Everyone Counts at Black and Decker Today, Black and Decker is one of the world's largest producers of power tools and household products, including chain saws, drills and cordless hand vacuum cleaners. In the 1980s, however, the company was struggling. Profits were down, and expenses were high. Management was unproductive and was characterized by some analysts as lazy. Production budgets were bloated. Clearly, the company, which had factories in 30 countries and distributed products to over 100 nations, needed a new vision. When Nolan Archibald entered the top spot at the company, he quickly went to work, eliminating 2000 jobs, many from managerial ranks. Along with this trimming of staff levels, Archibald instituted a reorganization of a new emphasis on quality. These efforts worked: one year, the company earned $100 million in profits on sales of $2.3 billion. Following the reduction in management levels, Black and Decker leaders realized...
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