The University of Tennessee Chattanooga Illinois Tool Works Essay
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Can be short answers. Please put the questions as headings. Read Case 7: Illinois Tool Works: Retooling for Continued Growth and Profitability
- In its first 100 years, what type of diversification strategy did ITW use, and how has it changed since 2012? Do you think managers were encouraged to over diversify? Explain your answer.
- ITW has a long history of acquiring dozens of smaller companies. How do you think the firm was able to successfully assimilate so many acquired firms? Now that ITW is scaling back and only intends to acquire larger firms, do you expect the organization to enjoy the same success?
- If the firm’s diversification strategy has changed since 2012, does that mean its structure has changed as well? Explain your answer.
- ITW places a lot of faith in its employees by promoting from within. The CEOs have all risen through the ranks, and ITW is able to attract young talent by promising rapid promotions to leadership positions within individual divisions and SBUs. What type of manager is most likely to get promoted, and why?
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