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Case Study

Bata India limited (B): Turnaround

By Charles Dhanaraj and Ivy Buche

11 pages

December 2014

Reference: IMD-7-1625

Case B describes the four-phase turnaround strategy implemented by the Managing Director Marcelo Villagran that transformed Bata India from a position of bankruptcy in 2005 into a profitable enterprise in 2010. Significant changes had been made in setting the strategic direction of the company, revamping the product portfolio, managing unionism, streamlining production and sourcing networks, as well as remodeling retail operations and marketing tactics. At the end of 2011, Marcelo completed his tenure and passed on the reins of the company to Rajeev Gopalakrishnan. For Rajeev, the challenge was not only to sustain the success of Bata India but also to chart the future path of the company.

Learning Objective

1) Understanding organizational performance in the context of an emerging market (India); 2) Developing skills in diagnostic analysis and action plan formulation for organizational turnaround; 3) Understanding the underlying reasons behind the poor industrial relations and consumer orientation of firms in emerging markets; 4) Building change plans for improving labor productivity and consumer orientation in poorly performing firms.

Keywords

Strategy Implementation, Organizational Change, Transformation, Brand Positioning, Union, Management

Settings

Asia, India
Bata Shoes, Consumer Services, Retail, Consumer Goods, Footwear
2005-2011

Type

Field Research

Available Languages

English

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