Decision Making Analysis

Decision Making Analysis

This paper discusses the decisions made by incoming CEO Anne Mulcahy. Xerox was facing massive debt and an unprofitable future. Paving a better future for Xerox, Mulcahy improved the company image through strategic decisions. Having twenty four years of experience at Xerox, Mulcahy redefined the image of Xerox and placed a plan of recovery.

Decision Making Analysis

Anne Mulcahy was appointed CEO to Xerox Corporation in 2001 when Xerox was “teetering on the verge of Chapter 11 bankruptcy”. With over seventeen billion dollars of debt, unprofitable annual records, and unhappy customers, Mulcahy had a lot to change. Mulcahy and her team created a plan to help recover Xerox’s finances and redefine the brand image. Her recovery plan included cutting operational costs by downsizing in sales, administration, and operations. This alone reduced the debt in half. Her plan to improve company image was based on consumer reviews and employee productivity. Through this, changes were made with their products to better identify with their consumer.

The decisions made by Anne Mulcahy were smart. The stress endured by improving the fiscal issues of Xerox Corporation and innovating the company image and corporate culture is a lot to bear. Prior to the economic downfall faced in year 2001, company cultures were not defined by how its employees felt. To improve the company, she asked many employees around the world, in various office locations, what they felt the company needed to improve its image and products.

In four years, the company drastically improved from where it was. However, unfortunately it has not been enough to take the company to an impressive level. The competition against Xerox Corporation has been fierce with large corporations such as Hewlett Packard and Canon.