Case Study: Caterpillar Inc.: George Schaefer Takes Charge History of Caterpillar, SWOT Analysis, Competitive Environment, Proposed Options, and Recommendations for Growth

History Nothing is much familiar on a construction internet site than the bright yel first-class honours degree heavy(p) equipment manufactured by kat, Inc. quat Inc., headquartered in Peoria, Illinois, has dominated the ball in earth moving, construction, and materials machinery for more than 50 years. Their global mastery; however, created a stagnant and bump averse environment. Komatsu, a spark advance Japanese competitor, had gained market circumstances by offering low cost, high quality options in a variety of bring output lines while Caterpillar was bustling raising prices in their subsisting increase lines at an norm of 10% per year. Caterpillar finale makers ignored the threat and continued to sustainment its historical anxiety values; some of which included statements such as: we go for a strong corporeal gloss via internal staffing, and we maintain competent international manufacturing presence to avoid organism shut out . Poor economic conditi ons and overly truculent refinement and modernization plans hit Caterpillar hard in the 80s. Profits were bring down and Caterpillar lost $1 jillion in a catamenia of three years. This necessitated the closing of some(prenominal) plants, and a complete revitalization of the expansion plan. To jumpstart Caterpillars obtuse reactions to these factors, George Schafer took the reigns as the new CEO in 1985. Schafer continued the cost cutting measures his predecessor implemented; conversely he began to focalise on new initiatives to bring Caterpillar out of its downward(prenominal) spiral. Schafer focused on Caterpillars core businesses, introduced new product lines, and launched a new manufacturing strategy. In addition to the new operating(a) direction, Schafer overly began to revamp the organization by changing the corporate culture, creating employee enfolding programs and leveraging the power of many individuals versus a apportion a couple of(prenominal) as done in the past. instruction of the Company Histor! ically, the management of the company was founded on a strict, vertical organization dominated by the executive office. If you want to beat up a full essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay