Implementing Leadership Change

Running head: IMPLEMENTING A LEADERSHIP CHANGE

Implementing a Leadership Change

University of Phoenix

Implementing a Leadership Change

Gene One is an eight-year-old biotechnology company focused on the genetic manipulation of plants to improve yield, resist disease, and expand growth area. Don Ruiz, Gene One’s founder and CEO, successfully turned his idea, and a $2 million investment, into a $400 million a year company. Don’s leadership and ability to build a cohesive leadership team are largely responsible Gene One’s success. Don recently launched an initiative to initiate an IPO within 36 months, but this plan is in jeopardy as Don Ruiz unexpectedly passed away last week. Don’s last testament bequeathed his ownership to a trust comprised of his siblings who now must develop a succession plan and restructure the leadership of Gene One. This paper will detail the results of the succession plan.

IPO Success

Any decision to replace company executives will focus on the corporate master plan. Prior to his demise, Don Ruiz implemented a plan to have an IPO within 36 months. To hurdle the obstacles associated with this plan the succession plan will first identify what aspects of an IPO contribute to its success. The succession team has identified the areas of superior knowledge, patents, and the leadership team as three categories that benefit Gene One during the IPO process (Bach, 2008).

Superior knowledge refers to the amount of knowledge about product, process, and market that the executive management team retains. Studies showed that the knowledge retained by the executive team was a direct reflection of the knowledge of subordinates and increased potential investors confidence in the organization. In the case of Gene One, Teri Robertson not only has working knowledge of the products produced but also was directly involved with their development. The rest of the management team have talents in their own areas or expertise, but...