ABSTRACT

Most ailing organizations have developed a functional blindness to their own defects. They are not suffering because they cannot resolve their problems but because they cannot see their problems. When the strategy and culture of an organization must radically change to enable management to rescue it from bankruptcy and failure, decisive action provides the surest turnaround. Brunswick Corp., best known for its bowling equipment, experienced crisis in 1982. The severity of the situation, with Wall Street coaching and second-guessing on the sidelines, demanded quick, decisive action, but action calculated not to overwhelm Brunswick’s culture. Despite the gravity of the staff cuts, the decision eventually helped bolster face-to-face communications and provided more motivation for accomplishing goals. New strategies and ventures include acquisition of a software company, creation of injection-molded parts made of powdered metal, a consolidation of the four outboard motor product lines, and numerous other projects that give the company’s new culture a chance to flourish.