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URGENT need assistance with this case study:
Growth. It's the Holy Grail of strategy and what every leader wants for his or her organization. However, maybe it's time to reevaluate that thinking. Maybe there are some benefits to be gained from thinking small. For instance, that's what the venerable IBM discovered as it attempted to navigate the ever-changing technology market with its behemoth technology services unit and all the accompanying layers of decision making and costs. As companies outsourced their technology needs to lower-cost Indian companies, IBM wasn't able to compete. That's when former CEO Sam Palmisano (who is now the company's chairman) decided it was time to think small. Instead of being the "classic" multinational company with country-by-country operations working in isolation, Palmisano reorganized IBM into an integrated global enterprise with centers of expertise focused on industries and technical skills. Rather than continuing to do business using massive corporate divisions and units, he created a much more nimble global network for delivering services. In fact, that strategic readjustment has helped the company improve its performance, financially and operationally. In addition to allowing companies to be more nimble and responsive to markets, a focus on thinking small can deliver innovation benefits as well. A major impediment to creativity and innovation tends to be the bureaucratic hierarchies that can smother new ideas. By decentralizing decision making and giving employees the freedom they need to make significant decisions without having to jump through a bunch of corporate hoops, strategic leaders can have an environment that's more conducive to creativity, collaboration, and innovation. In today's environment, that might be the golden ticket-the ability to turn creativity into something productive.
1. Is growth bad?
2. What challenges does a company that's growing face?
3. How can it handle those challenges?
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