Herman Miller.

Essay text:

. only crew' ? Exceeded Clean Air Act requirement with ?ethically correct' machines built to incinerate 98% of the toxic solvents from the staining of wood Herman Miller Case Study BUSINESS FROM THE OTHER STAKEHOLDER'S PERSPECTIVE ? Herman Miller profits over $40 million in the 1980's ? First loss recorded in 1992 of $3.5 million ? By 1995, a $1 million company, yet profits down to $4.3 million ? Major competitor "Hon Industries" reports steady profit increases ? Net income as percent of revenue declined steadily to .4% in 1995 ? Hon Industries percent of revenues two to three times better in 90's ? Decline in market of office furniture ? basic shift in demand / technology ? Stock unchanged from 1985 to 1995 ? Increased competition from Office Depot and Office Max CHANGES MADE ? J Kermit Campbell name first ?outsider' CEO in 1992 ? Max DePree retires and Campbell takes chairman position in 1995 ? "survival more important than preserving reputation of pristine employee relations" ? Quick and severe changes made o Top executives fired ? CFO ? head of workplace systems division o additional discharges and forced early retirements o closing of several showrooms o Texas and New Jersey plants closed ? Two months later, new chief executive named, Michael Volkema o Young, driven, charismatic and effective in cost-cutting o Volkema was from within Herman Miller ranks ? From 1990 Meridian acquisition ? By end of 2000 sales almost doubled to $1...