Acer:

What was stan Shihs strategy?

Employee ownership, delegated accountability, management frugality, joint ventures, Clear
priorities a) Customer, b) Employees and c) Stakeholder, Global Brand local touch Globalization, Client Server Organization Model, Fast food business concept, Less inventory
and Minimum process time, Targeting the market with economies of scope, Continuous and
sustainable and Product innovation
Is promoting microprocessors a strategy?
Yes, it is a part of cost efficient strategy where the company was just at its new born stage and
could not afford to invest more. And moreover as they were good in product designing this
in-directly helped them in the long run of their business by creating a shift in increased
customer size.
On a scale of 1 to 10, what grade would you give stan shih as the leader of multitechs
startup?
Would rate 7 (10 being highest) for Shih. Positive: Majority of his strategies, approaches and
methods were very highly efficient and contributed to the success of the firm. This throws
limelight on the new ways of operating business. Negative: But still, initially he missed out
the core concept of delegation the responsibility of profit and loss across business unit which
created a major loss. Managers were not trainer up to international standards and this task
which was assigned to paratroopers was not closely monitored.
Similarly, He Would have had analyzed the outcome of major decisions taken by Liu and
other Business units before its implementation phase. Acquisition and expansion of the
company was not done in accordance with long term business goal. No proper forecasting
model was there with which the drop in minicomputer market would have been analyzed in
prior. He was also not able to cope of with the competitive dynamics in the PC market and
adapt a better pricing strategy.
What grade would you give leonard liu as CEO?
Would rate 5, Positives: Liu addressed the burning communications issues across employees
for better decisions, reduced the number of top level managers, introduced productivity and
performance evaluations. Most significantly, he introduced the Regional Business Unit/
Strategic Business Unit (RBU/SBU) organization. Proper allocation of roles and
responsibilities across business units and employees. Made all SBUs and RBUs accountable
for profitability. Negative: No alternative plan to support organizational re-structuring. He
implemented tight controls and began layoffs. Particularly the new iron-fisted management
style and was not able to get adapted to commoners culture.