ORGANISATIONAL DEVELOPMENT STRATEGIES

A Case Study of Levis Strauss & Co: identifying key problems and approaches to solve it

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Abstract

There are varied ranges of issues which have been emerging at Levis ranging from structural

to behavioural problems. As can be seen in Levis the leadership behaviour is incapable of

creating a bright future for the company through a varied pursuit of opportunities made

available in the merging environment for the company (McElhany, 2009).

The corporate structure of the company is such that Robert Haas the CEO of the company is

being held accountable to no one, except for his uncle, and his cousins (2). There is no board

of directors to whom they can report or verify the results which are being published. Another

issue is that of highly narrowed down product line due to which the company has started

losing market share as they are not launching new products as per the external environment’s

demands. Due to lack of effective marketing and promotional planning and processes its

advertising campaigns have proven to be failure and the in-store presentations have turned

out to be embarrassing (Business Success Review (BSR), 2012). The manufacturing costs

have increased so much that even a budget of $850 million proves insufficient and such huge

amount had to be budgeted for bringing change in manufacturing cycle which is already

turned redundant. Thus Levis has totally failed in consistently re-engineering itself to be

lucrative in the current markets.