Taking Charge of Domtar

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Taking Charge at Domtar: What it Takes for Turnaround 1. How did Domtar’s strategies align with its mission? Explain your answer.
Domtar’s mission under new CEO Raymond Royer: * Meet the ever-changing needs of our customers, * Provide shareholders with attractive returns, and * Create an environment in which shared human values and personal commitment prevail.
In order to achieve the goals in the Domtar mission statement, Royer established and communicated strategic direction and specific goals. The new strategic direction that Royer set for the company was one of preferred supplier status in the pulp and paper industry. The organization’s new goals focused on vastly improving return on investment and quality in customer
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Royer knew he had to have a strong, well-established culture going into each new deal. And that’s exactly what he and his team did. Of course, establishing this culture meant including everyone from the top on down. Management at all levels were involved in training of the culture, process improvement efforts and performance management. Not only was it Domtar’s message for growth, but it was its transparency in its communication and its “practice what you preach” attitude in day to day activities that truly got Domtar to achieve supplier status, be more competitive, and return their long-term debt rating to investment grade.
To go a step further, Domtar should continue what it started back in the 90s if it hasn’t done so already. While the new culture is becoming a “way of life” for the organization, major changes can fall flat even after initial success. Focus should be made on keeping the culture at the forefront of company meetings, internally branded documents, etc. The most successful processes are cyclical in nature. With a culture that revolves around ongoing process improvement, change management and governance procedures need to be a clear part of the overall “Domtar way.”
While the company is on the right track with rewarding its employees financially (who isn’t driven by money?), it might also benefit from diving deeper into the work styles and drivers that make up each employee.

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