Nestle Case Study

Nestle Organization

Which change did Nestle undergo?

First order change may be met with less resistance because there are not many changes taken place, but second order change requires one to become a thinker outside of the box. CEO Brabeck-Letmathe when he came into office, he introduced a different style of change his focus was on developing strengths of the organization not on purchasing businesses like the company had gotten used to. Brabeck-Letmathe felt that in order for him to give strength to the business, he had to make changes to the top, so he began to replace the old executive board members with 10 new ones. Brabeck-Letmathe believed if he started relying on the commitment of the managerial staff to help with the longevity of the company rather than improve its short-term operating profit he will sustain the business. Ceo Brabeck-Letmathe didn’t stay with the traditional way of doing things purchasing companies spontaneously. He operated in the second-order of change because the second order alters the very core of how things are done.

The need for incremental approach

Brabeck-Letmathe spoke about gradual change but did he implement it? The case study spoke of Brabeck-Letmathe initiating a complete overhaul change to the board of executives when he became the new CEO. Instead of him gradually making changes over a period of time, he quickly replaced the old board members with 10 new board members as soon as he became the new CEO, so he spoke about incremental changes, but his overhaul change did not indicate a gradual change so I have to disagree that his approach to change was gradual.

Discuss the differences and similarities between Brabeck-Letmathe’s view and yours?

I agree with Brabeck’s view on slow and steady change and I also agree with his statement “Why should we manufacture dramatic change? Just for change’s sake? To follow some sort of fad without logical thinking behind it?” The difference in his view and mines is I...