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Leadership at
Effective Strategic
Leadership
Developing a long-term vision of the
Determines
Determines
Strategic
Strategic
Direction
Direction
Exploits &&
Exploits
Maintains
Maintains
Core Competencies
Core
Competencies
Develops Human
Develops
Human
Capital
Capital
Sustains
Sustains an
an
Effective
Effective
Organizational
Organizational
Culture
Culture
Effective Strategic
Leadership
Emphasizing
Determines
Ethical
StrategicPractices
Direction
Exploits &
Establishing
Maintains
Balanced
Core Competencies
Organizational
controls
Case Background
Muhtar Kent promoted to the CEO position in Coca-Cola
Leadership
Robert Goizueta
Douglas Ivester
Douglas Daft
Neville Isdell
Muhtar Kent
Goizueta Is It !
Educational
Background
Career
Timeline
1981
Leadership Style
More
More Intellectual
Intellectual and
and less
less hands-on
hands-on
Motivated
Motivated management
management teams
teams through
through economic
economic profit
profit
targets
targets
Established
Established a
a sense
sense of
of direction
direction so
so people
people knew
knew where
where
they
are
going
and
have
enough
freedom
they are going and have enough freedom
Gave
Gave immense
immense importance
importance to
to long-term
long-term relationship
relationship
building
building
Display
Display of
of energy,
energy, integrity
integrity and
and courage
courage to
to take
take risk
risk
Business Strategy
Risk Taking
Divested non-core
businesses such as
farming, plastics,
orange groves,
desalting plants,
steam
generators
Focus on
economic
profits
Subjected each
business to the
financial formula of
return on capital
being greater than
cost of capital that
later became a tool
for increasing
shareholders wealth
Investments
Borrowed billions to
buy independent
bottlers in order to
upgrade distribution
systems
Failed attempts
Launch of New Coke
in 1985
Purchase of Columbia
Pictures (non-core
business)
Company
performance under
leadership
Cocahis
Cola expanded
domestically
and internationally
It became Americas most admired
company after being turned around
financially, organizationally and
culturally
Stock price increased 5829%
Market Value grew 34 times
Always Douglas
Ivester
Educational
Background
Career
Timeline
Leadership Style
Business Strategy
Company
performance under
his leadership
Leadership Style
Business Strategy
Company
performance under
his leadership
Educational
Background
Career
Timeline
Leadership Style
Business Strategy
Company
performance under
his leadership
Muhtar Kent?