Organizational Transformation - Essay Example

The management at Bombardier believes that leading change involves having the ability to deliver the message of change in both words and actions, and in being able to motivate people to change. To lead change, the leaders must first understand the change necessary and then they need to role model the change. This case study evaluates the change leadership adopted by the top management at Bombardier and how the company transformed itself into an employer of choice. Organizational background Canada’s Bombardier, established in 1942, initially started manufacturing snow/winter equipments.

In the 1960s, they started making snowmobiles and similar equipment which boosted company revenues to a large extent. During this period the people were all trained, motivated and made to speed up. The growth in sales during that period reached $200 million and they made profits as well (Baghai et al, 1997). Following the energy crisis in 1973 when the demand for snowmobiles declined, Bombardier, led by Laurent Beaudoin gradually diversified into trains and airplanes (Connell, 2007). It entered the aerospace industry in the 1980s and today it is the world’s largest train manufactures and ranks third in civil aircraft (Simpson, 2011).

They differentiated themselves in the industry by offering a family of products with capacities of 30 to 70 seats in turbo props and 50 to 70 in jets (Baghai et al, 1997). They could thus match the size of the plane to the needs of a particular route and this strategy helped them save money through standardized training, maintenance and parts. They also entered into joint ventures for business aircrafts in other parts of the. Canada’s Bombardier, established in 1942, initially started manufacturing snow/winter equipment.

In the 1960s, they started making snowmobiles and similar equipment which boosted company revenues to a large extent. During this period the people were all trained, motivated and made to speed up. The growth in sales during that period reached $200 million and they made profits as well (Baghai et al, 1997). Following the energy crisis in 1973 when the demand for snowmobiles declined, Bombardier, led by Laurent Beaudoin gradually diversified into trains and airplanes (Connell, 2007). It entered the aerospace industry in the 1980s and today it is the world’s largest train manufactures and ranks third in civil aircraft (Simpson, 2011).

They differentiated themselves in the industry by offering a family of products with capacities of 30 to 70 seats in turboprops and 50 to 70 in jets (Baghai et al, 1997). They could thus match the size of the plane to the needs of a particular route and this strategy helped them save money through standardized training, maintenance, and parts. They also entered into joint ventures for business aircrafts in other parts of the world. They went in for acquisition when they felt it would strengthen their competitive position.

At each stage, they do not sit back and keep assessing the business situations, their growth, and direction. They keep an eye open for new opportunities that may arise, which is a typical entrepreneurial characteristic – OR – opportunity recognition.