HomeResearch & Knowledgeback to Homeback to Research & KnowledgeHoneymoon interrupted: Mary Barra, CEO, GM (B)back to

Case Study

Honeymoon interrupted: Mary Barra, CEO, GM (B)

By Michael D. Watkins and Lisa Simone Duke

5 pages

June 2014

Reference: IMD-7-1566

It had been two months since Mary Barra had faced two days of questioning in both the US Senate and House of Representatives. After a no-holds-barred investigation by Anton Valukas of Jenner & Block, the report into the ignition switch fault at GM was made public. It made grim reading – showing a company with a deeply troubled culture, including rigid silos, lack of accountability, and skewed priorities. Based on the report, Barra announces firings and other measures.

Learning Objective

1) To illustrate the challenges facing a newly-appointed CEO facing a major crisis. 2) To highlight how a company’s culture can distort organizational decision-making and contribute to a major safety failure costing lives. 3) To explore the extent to which the failure was a “predictable surprise” and how it might have been avoided. 4) To discuss how to approach changing a “toxic” culture in a large and complex organization.

Keywords

Leadership, Transition, Chief Executive Officer, Succession

Settings

Northern America, United States of America
General Motors, Automotive, Automobiles
April to June 2014

Type

Published Sources

Available Languages

English

IMD case studies are distributed through case clearing houses. In order to browse the collection and purchase copies please visit the links below.

The Case Centre

Cranfield University

Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]

Harvard Business School Publishing

60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]

Asia Pacific Case Center

NUCB Business School

1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]

IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.

Contact

Research Information & Knowledge Hub for additional information on IMD publications

This case study is part of a series

Honeymoon interrupted: Mary Barra, CEO, GM (A)
Honeymoon interrupted: Mary Barra, CEO, GM (B)
Honeymoon interrupted: Mary Barra, CEO, GM (C)

This case study is part of a series

Honeymoon interrupted: Mary Barra, CEO, GM (A)
Honeymoon interrupted: Mary Barra, CEO, GM (B)
Honeymoon interrupted: Mary Barra, CEO, GM (C)

Keep reading

Article

Optimizing omnichannel assortments and inventory provisions under the multichannel attraction model

Assortment optimization presents a complex challenge for retailers, as it depends on numerous decision factors. Changes in assortment can result in demand redistribution with multi-layered consequences. This complexity is even more pronounced for ...

General Management

By Andrey Vasilyev, Sebastian Maier and Ralf W. Seifert

in European Journal of Operational Research

August 2025, vol. 324, no. 3, pp. 799-813, https://doi.org/10.1016/j.ejor.2025.01.035

Article

Novartis - Winning Culture - Talent - Switzerland

How do organizations recruit and retain staff amid a fierce global battle for the best people? Novartis’s Rob Kowalski explains how organizational culture can provide the winning edge in a competitive talent environment

Talent Management

in I by IMD

Article

The “partner” paradox: why inclusive language isn’t enough for LGBTQ+ support

Using gender-neutral language at work to refer to your same-sex partner is a small, internal negotiation that highlights a crucial nuance often missed in discussions about LGBTQ+ inclusion. Answer the following questions honestly to check whether ...

By Robert Vilkelis

in I by IMD

Article

Healthcare Leader’s Approach to Sustainable Transformation

First-hand insights from a healthcare executive navigating sustainability in a tightly regulated sector, where progress is slow, but leadership makes it possible.

Sustainability

By Núria Ibáñez-García

in I by IMD

Article

Are you community-centric? A checklist for leaders

A community-centric approach to organizing and managing can contribute substantially to solving the grand challenges of our time. Consult this checklist of enablers to see how it’s done.

By David Wagner

in I by IMD

Article

Europe must choose: reform and resilience − or drift into irrelevance

Donald Trump has been called many things but his newest label – the great unifier of Europe – might just stick. That provocative notion may raise eyebrows in Brussels, Paris, or Berlin, but Mr Trump’s return could be the shock that finally compels...

Geopolitics Innovation

By David Bach

in The National

14 June 2025

Article

The Great Trade Hack - Trumps Tariffs

The great trade hack reveals how Trump’s tariffs rewired global commerce, with economist Richard Baldwin warning that protectionism is now a permanent fixture.

AI Digital Transformation - Reshaping Organizations

AI digital transformation is reshaping work. Andrew Kilshaw shares why this shift is unique and how leaders can drive real change through its potential.

By Stéphane J. G. Girod and Michael R. Wade

in I by IMD

Article

Three ways to use GenAI to transform supply chain managementThree ways to use GenAI to transform supply chain management

Organizations see limited gains from GenAI in supply chains. Discover three ways to use GenAI to transform supply chain management for real impact.

By Carlos Cordon

in I by IMD

Article

How BYD went above and BeYonD Tesla - Future Readiness

BYD’s race to the top spot of IMD’s Future Readiness Indicator shows how keeping an eye on your core business while scaling up a few clear priorities is key to success.

By Howard H. Yu

in I by IMD

Optimizing omnichannel assortments and inventory provisions under the multichannel attraction model

By Andrey Vasilyev Sebastian Maier and Ralf W. Seifert
in European Journal of Operational Research August 2025, vol. 324, no. 3, pp. 799-813, https://doi.org/10.1016/j.ejor.2025.01.035

Summary

Contact

Research Information & Knowledge Hub for additional information on IMD publications