Zhujhang Iron and Steel Company

3964 Words16 Pages
EXECUTIVE SUMMARY: Developing a new strategy for an ailing organization is of key importance but is never easy, implementing this strategy is just as challenging, particularly if previous organizational values are deeply imbedded in the employees. This was the case with Zhujiang Iron and Steel Company. This report will attempt to conduct a detailed analysis and conclusive evaluation of the organization in order to appropriately evaluate key areas of importance. It will analyze the chosen strategy of value creation, it will go further to identify the strategy process, the resources and capabilities of the organization, and the method of entrepreneurship. Further analysis of the organizational culture of ZISCo as well as the organizational structure will also be critically discussed. It will attempt to identify key weaknesses as well as possible opportunities to capitalize and derive a logical explanation for the lack of significant change as a result of the new strategy and schemes implemented. Contents Introduction: 3 Critical Evaluation and Analysis: 3 The strategy: 3 The Strategy Process: 4 HRM, control and incentives: 6 Communication and Leadership: 7 Organisational Culture: 9 Organizational Structure: 9 Organizational Resources and capabilities: 10 Employees: 10 Technology: 11 Finance: 11 Inabilities: 11 Entrepreneurship 12 RECOMMENDATIONS: 12 Conclusion: 13 REFERENCES: 14 Introduction: Zhujiang Iron and Steel Company is a strategic unit of a much larger Guangzhou Iron and Steel Enterprises and Holding Limited (GISE). Poor performance before 2003 had caused reason for concern, and the introduction of a new president with new ideas and strategies saw a slight change until 2007. The report will delve deeply into the main issues behind ZISCos problems. The value creation strategy will be evaluated and justification of the pros and cons of

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