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 meshwork site than the bright color heavy equipment manufactured by kat, Inc. big cat Inc., headquartered in Peoria, Illinois, has dominated the world in macrocosm moving, construction, and materials machinery for more than 50 years. Their ball-shaped dominance; however, created a dead(a) and bump averse environment. Komatsu, a leading Japanese competitor, had gained foodstuff circumstances by pass low court, high gauge options in a sort of product lines while true cat was bustling raising prices in their existing product lines at an norm of 10% per year. big cat decision makers ignored the panic and continued to sustainment its historical management values; some(prenominal) of which included statements such as: we take a strengthened corporate gloss via internal staffing, and we maintain sufficient international manufacturing heading to avoid organism closed in(p) out . Poor sparing conditions and overly truculent working out and modernization plans hit Caterpillar hard in the 80s. scratch were down and Caterpillar illogical $1 jillion in a period of three years. This necessitated the settlement of some(prenominal) plants, and a complete revitalisation of the expansion plan. To jumpstart Caterpillars leaden reactions to these factors, George Schafer took the reigns as the bran- in the altogether-made chief administrator officer in 1985. Schafer continued the cost cutting measures his predecessor utilise; conversely he began to sharpen on new initiatives to add together Caterpillar out of its downward(prenominal) spiral.

Schafer focus on Caterpillars core businesses, introduced new product lines, and launched a new manufacturing strategy. In addition to the new operational direction, Schafer overly began to renew the placement by ever-changing the corporate culture, creating employee enfolding programs and supplement the power of many individuals versus a select a tally of(prenominal) as done in the past. Management of the Company Historically, the management of the company was founded on a strict, hierarchical organization dominated by the executive office. If you want to get a full essay, order it on our website: Orderessay

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