Chipping Away at Intel
Chipping Away at Intel
Mabel Dawson
Managing Organizational Change – HRM 560
Professor Gordon
Oct 23, 2011
Abstract Craig R. Barrett is the fourth CEO at Intel and has 3 more years until his mandatory retirement age. Upon his arrival he had a strategy and made some significant changes within the company. He made bold moves in the form of production of information, production of network servers, and reorganized the company. He is almost at the end of his tenure and is wondering what his legacy will be with Intel. A lot of the changes he made were during the time of September 11, 2001 and the entire market segment that Intel is a part of is feeling the effects of this day. Prior to September 11, Intel shares were trading at $26 per share and after that day Intel shares fell to $20.00. Craig Barrett has visualized many changes for Intel that would make them the top competitor in their market. Will he be able to capitalize on the changes he has made within the company and have an outstanding legacy to be proud of?
1. Discuss the different changes at Intel over the first 3 years of CEO Barrett’s tenure. According to Palmer, Dunford, & Akin (2009), Barrett inaugurated changes within Intel that he envisioned would better suit the company and the organizational structure as a whole. He made changes in areas of production of information and communications appliances, and Internet services as he envisioned taking Intel into a different direction other than chip makers of PCs. Along with this change came problems of product delays, recalls, overpricing, and bugs in the software system. Stakeholders as well as everyday consumers were not thrilled with Intel during this time period and most analysts visualize a major drop in Intel stock price. Barrett continued to make changes during his tenure with ventures on new market structure. Because he failed to do due diligence in the market arena he wanted to take Intel, the company had to withdraw from
Mabel Dawson
Managing Organizational Change – HRM 560
Professor Gordon
Oct 23, 2011
Abstract Craig R. Barrett is the fourth CEO at Intel and has 3 more years until his mandatory retirement age. Upon his arrival he had a strategy and made some significant changes within the company. He made bold moves in the form of production of information, production of network servers, and reorganized the company. He is almost at the end of his tenure and is wondering what his legacy will be with Intel. A lot of the changes he made were during the time of September 11, 2001 and the entire market segment that Intel is a part of is feeling the effects of this day. Prior to September 11, Intel shares were trading at $26 per share and after that day Intel shares fell to $20.00. Craig Barrett has visualized many changes for Intel that would make them the top competitor in their market. Will he be able to capitalize on the changes he has made within the company and have an outstanding legacy to be proud of?
1. Discuss the different changes at Intel over the first 3 years of CEO Barrett’s tenure. According to Palmer, Dunford, & Akin (2009), Barrett inaugurated changes within Intel that he envisioned would better suit the company and the organizational structure as a whole. He made changes in areas of production of information and communications appliances, and Internet services as he envisioned taking Intel into a different direction other than chip makers of PCs. Along with this change came problems of product delays, recalls, overpricing, and bugs in the software system. Stakeholders as well as everyday consumers were not thrilled with Intel during this time period and most analysts visualize a major drop in Intel stock price. Barrett continued to make changes during his tenure with ventures on new market structure. Because he failed to do due diligence in the market arena he wanted to take Intel, the company had to withdraw from