Article Studied:
How the world’s oldest Company reinvented itself by
Albrecht Enders
Lars Haggstrom
Havard Business Review Jan 2018
The article is discussing an x company which started in 1288 and the oldest corporation in the world had to remove 1/3 rd of its employees almost 30000 to restructure and rework on its existence which was at stake.
The organization was facing a giant and heavy structure, the concepts organizational behavior was strictly relied on by following the following methods:
Leveraging using in-house skills not spending on consultants who would give paper solutions which would not understand culture and working style of the company.
Motivating fresh though the process by allowing everybody in the organization be part of the new path building projects, lead to 250 people applied for 16 posts which were created to change the way of thinking and adding a fresh perspective to companies way of functioning.
Newer and fresh talents and skills were found which organization never knew existed. The selection process was through with interviews, tests and various evaluations.
The entire process faced resistance as the seniority and in some cases, the power of some senior members was at stake, but senior team members were made to work in the group and created new power structures.
The essential component of motivation was clubbed with training and following newer concepts like technology and innovation.
The power groups were redistributed by learning new skills, developing and growing.
The whole experience of Path builder program heavily relied on in-house resources and their maximum innovation and utilization
Extensive training and streamlining of the thought process of senior managers resulted in 14 project proposals for 4 projects.
The entire article indicates how organization culture involving and using existing manpower by fine-tuning behavior and culture of the organization has increased share price by almost double since 2011.
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