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Analysis Of The Transformation Of Home Depot

Decent Essays
Organization transformation is one of the ways companies can reinvent themselves to survive a crisis. However, organization transformations don’t always work for some companies. The purpose of this paper is to discuss the positive and negative changes that took place at Home Depot during the time Bob Nardelli was CEO. The writer will discuss current performance and other company information. And last, the writer will conclude with a Christian worldview regarding Home Depot’s transformation and present success. Bob Nardelli’s top down approach that he was used to for so many years at General Electric was not the path to take for Home Depot (Brown, 2011). The managers at Home Depot were used to being independent and decentralized. They were not used to taking orders from the corporate office. In fact, they had always made their own decisions doing what they thought would work best for their stores. Because of Home Depot’s entrepreneurial culture that they were accustomed to for twenty-two years, the stores would not survive a top down approach to change. Moreover, a change that drastic would have to be strategically done to have any success. Nardelli, coming from a background of structured management, failed to realize that what worked for one organization might not work for another. Home Depot was known to have an unstructured and entrepreneurial type of culture, entirely different from GE where Nardelli had previously worked (Brown, 2011). Therefore,
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