As CEO of IBM, Samuel J. Palmisano used the momentum of the success gained under the leadership of Louis Gestner to steer the business in a new direction. Sam intends to restore the organization to the former status it held as a technological leader with an admirable company culture. Palmisano’s plan calls for the reorganization of the executive management board, restructuring of incentive programs, and an emphasis on collaboration across all divisions. Establishing closer relationships between researchers and clients is also a key factor in creating new opportunities for growth for IBM. E-business on demand is the new initiative at the heart of Palmisano’s strategy for the growth of IBM’s Global Services. E-business will transform IBM from a hardware and software company to an IT services provider.
Disbanding the executive management committee and creating a set of management teams was the first step in Palmisano IBM restructuring plan. “He created three of them:......
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