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1. How did the information systems and the organization design changes implemented by Knudstorp align with the changes in business strategy ? Lego has been

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1. How did the information systems and the organization design changes implemented by Knudstorp align with the changes in business strategy ? Lego has been in the toy manufacturing business since 1932 .It produces building blocks and toys for kids . The company earned high profits since its start but has seen a rapid downfall in the year 2004 . In 2003 , sales had fallen off drastically ,dropping 35 percent in the US and 29% worldwide .It had massive debts almost equal to its annual sales .At this point of time Lego appointed Jorgen Vig Knudstorp as its new Ceo to the organization. This was the first time that the company appointed an outside person other than a family member as a Cleo . Knudstorp joined Lego group in 2001 .Former he worked as a consultant in Mc Kinsey 8c company and university researcher as Aarhus University .Knudstorp had a strategic plan in mind to first save the company from huge debts and bankruptcy .He chose to connection store network to the creation line and retailers .He chopped down his stock keeping units considerably .He sorted out meetings to the top customers of the organization who are the significant shareholders of the organization .He presented some new inventive showcasing techniques into the business which could support up the benefits of the organization .Lego began to make items on the prominent motion pictures , kid's shows and so forth .Lego additionally began to make computer games and go into the virtual world .This gave an enormous swing to the benefits of the organization .Lego executed incorporated frameworks , capital administration , and information administration .SAP and IBM gave the framework programming , administrations required to the organization

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