Charlotte Beers Case Study

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Will Eide Individual Case Submission Charlotte Beers Leadership and Organizational Change July 7, 2011 Word Count: 1,499 Executive Summary Despite progress in driving operating margins up from a low in 1991 of 4.1% to 7.6% in 1993 (see Appendix) and achieving major wins with new clients and lost clients, Ogilvy & Mather (“O&M”) still had confidence issues. The company was a bit like an abused foster child, pawned off to new parent WPP and in need of tender loving care and firm direction. CEO Charlotte Beers instilled confidence in the executive suite by focusing them on their core strengths in direct marketing and creative advertising and encouraging them to embrace their terrific client roster. Finally, she instituted…show more content…
Local managers were accustomed to making steady income from local clients. These clients were keys to attracting larger multinational clients, but they were not integral to the Beers’ vision. But for the local managers, these clients represented present income and important relationships. Solution and Action Plan Charlotte Beers and her team should spend 1994 focused on achieving wholesale corporate buy-in and resolving tensions between the local managers and her global client teams. She should press ahead indoctrinating the firm in Brand Stewardship with a few adjustments. 1) Institutionalize Brand Stewardship: develop an internal culture of pride and ownership in Brand Stewardship with the appointment of a Brand Stewardship Officer and the symbolization of key successes with a Brand Hall of Fame. The Brand Stewardship Officer (“BSO”) can create a cross-regional and cross-service group to organize education seminars and training across the company. The BSO will be a strong signal that O&M is directionally focused on integrating this new philosophy. Furthermore, the creation of a Hall of Fame will create public recognition of successes such as Jaguar and American Express, which will allow employees to see the fruits of their labors. It also provides concrete examples to countervail doubters and detractors. 2) Create a Matrix Structure for the WCS: align functional departments, particularly finance, and disciplines with geographical
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