In the case of Seagram, the CEO turned to values to stimulate change in the organization. Discuss the main issues with which the company was faced at the time and why the CEO used values to drive change in the organization. Do you think his approach was successful? Why or why not?

SUMNIARY ON THE CASE ANALYSIS - LEADING CULTURE. CHANGE AT SEAGRAM Seagram is a Canadian multinational beverage company with headquarters in Montreal, it is a major distiller of Canadian whisky based in Waterloo, Ontario. It was founded in 153?. It was renamed Seagram Company ltd. in 1924 and acquired in EDEN] by French conglomerate Vivendi. Seagram has about 14-,EIEIG Employees. Seagram is known for their alcoholic beverages. Seagram seeks to increase profit through global expansion using reengineering and diversification as a sn'ategy. Tney embarked on a diversification process from the 1933s to 1930s. Their goal was to acquire fruit juice beverage company and to expand into entertainment business. But they were challenged with a decline in sales which led to an increase in government regulation and taxes on liquor. The second business model was on re-engineering. This occurred in 1994-. The goal of this strategy was to manage business processes, and reduce cost and identify future growth opportunities. However, it faced careful scrutiny of the business processes which involved a lot of employees. These barriers to the business process es led to the identification of the following key issues. Firstly, the culture and work processes, also they were challenged with maintaining their image to the world and to their employees, and lastly there was a lack of trust and effective communication between top and lower levels due to the hierarchical structure. The leader of Seagram came on board to manage tnese issues usin~=l certain approaches. He recognized the need for strategic repositioning and redefinition of Seagram's competitive advantage, planned organizational change by creating a powerful coalition to reengineer the work processes, and created new governing values which are Consumer and Customer focus, Respect, Integrity, Teamwork, Innovation, and Quality. From the case analysis, Seagram initiated the changes to their organizational processes using the eight stage change process. Aldnoug'n Seagram started the implementation process using the first five process in the change process, they failed to incorporate the last three process. This gave rise to certain questions surrounding the change efforts. To answer these questions and bring about the desired change, Seagram should initiate plans to increase the innovative efforts through the examination of best practices of other companies. Also, there should be employee involvement to provide a measurable goal. A valuebased approach should be used a measuring yardstick and communication. Bridging the gap in communication between the top and lower level should be achieved by creating mechanisms that will enable the employees to dust the management. Seagram was also being charged to empower broad-based actions to achieve the change. In order for Seagram to effectively anchor the new changes firmly into the corporate culture, the following observations have been made for the future: Recognitions should be given to those that live the values, there should be a clear mechanism for implementation and follow-up, the training should be extended beyond the top 1,200 managers, the employees who have been acquired from Ifor-l's.-'L'niversal should sub scribe to the value of Seagram. In conclusion, major change will not happen easily, it takes time as a lot work will be done in tne phase of the transformation process. Values should be way of understanding different be'naviours not a measure of success. Similarly, the clarity of direction for the change snould have a motivating action and be in line with the vision of Seagram. Finally, Cultural improvement will result in innovative ideas for Seagram's business processes. The Seagram Values As Seagram Employees We Commit to the Following Values: Consumer and customer focus: Everything we do is dedicated to the satisfaction of present and future consumers and customers. Respect: We treat everyone with dignity, and we value different backgrounds, cultures, and viewpoints. Integrity: We are honest, consistent and professional in every aspect of our behavior. We communicate openly and directly Teamwork: We work and communicate across functions, levels, geographies, and business units to build our global Seagram family We are each accountable for our behavior and performance. Innovation: We challenge ourselves by embracing innovation and creativity, not only in our brands, but also in all aspects of our work. We learn from both our successes and failures. Quality: We deliver the quality and craftsmanship that our consumers and customers demand-in all we do-with our products, our services and our people. By living these values: We will achieve our growth objectives, and we will make Seagram the company preferred by consumers. customers, employees, shareholders, and communities.EXHIBIT 2 Seagram Values in Action Consumer and We demonstrate through our actions that consumers and customers have top priority in our daily work. K KK customer focus We treat each person we deal with as a customer. We work continually to understand our consumer and customer's requirements and anticipate future needs. We seek ideas and contributions from people, regardless of their level. Respect We have a climate where issues are openly discussed and resolved. We have a balance between our professional and private commitments. We deliver what we promise. Integrity We disclose facts even when the news is bad. We make decisions based on what's best for the company, rather than personal gain. We share across borders, across affiliates and across functions to learn from one another. Teamwork K KK We work together to achieve consistent, shared goals. We consider the impact our activities have on other areas of Seagram. We create an atmosphere where continuous improvement and creative thinking are encouraged. Innovation K KK We look for new ways to remove layers of bureaucracy to enable speed and action. We have patience with new ventures and recognize there will be failures. We produce results that consistently meet or exceed the standards of performance our consumers Quality and customers expect. We consistently improve our processes to better serve our customers. We get the job done accurately and on time