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Title: LAFARGE (B): LOOKING TO THE FUTURE

Reference: 306-518-1

Product type: Case

Author(s): Som, A

Publisher: ESSEC Business School

Settings: France, China, India; Building, construction material; Sales 16 billion euros, 80,000 employees in 76 countries; 2003-2006

Topics: Chief executive officer (CEO) succession; Portfolio restructuring; Organisational restructuring; Change; Internationalisation; Industry consolidation; Strategy; Growth; Emerging country; Albert Frere; Building materials; Cement industry; Holcim; China; India

Publication year: 2006

Length: 12 pages

Data source: Field research

Status: Active

Abstract:

This is the update of the case 'Lafarge: From a French Cement Company to a Global Leader' (304-019-1). The case discusses the recent changes that Lafarge faced after there was a chief executive officer (CEO) succession. It discusses what usually new CEOs do after they assume power and how the global 'mantra' of value creation is a prime concern for all. The case also discusses how a single powerful shareholder can influence the destiny of a 170 year-old organisation and how top-management responds to such a challenge. The update ends with growth opportunities in emerging countries and compares successful operations in China with not as successful growth in India.

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