Gene one: Benchmarking

Benchmarking

Gene One entered the biotech industry in 1996 with ground breaking gene technology that helped the company grow to $400 million dollars in just eight short years. CEO Don Ruiz and his Board believe that in order to keep pace with demand and realize conservative annual growth targets of 40 percent, Gene One is going to have to go public within the next three years. In order to succeed Gene One needs IPO capital for new development, advertisement, and marketing. CEO Don Ruiz and his Board have devised a clear strategy with the help of key members in the investment community. It is their hope that implementing it will help Gene One realize its growth targets, establish the company as a strong competitor and show Wall Street that Gene One has the leadership and organizational capabilities to succeed as a public entity.

U.S. Cellular

In the past, the company U.S. Cellular based out of Chicago, Illinois needed a complete makeover to increase employee satisfaction and loyalty. The company's original business model was no longer applicable after many competitors entered the market. Their president and CEO Jack Rooney created a model called the "dynamic organization." The goal was to have satisfied associates because they deliver satisfied customers (Bingham & Galagan, p.44). Rooney wanted his associates to feel they understood what they were doing, were proud of it, and looked at their jobs as being really fulfilling.

When Jack Rooney came on board with the company there was no unified culture. There were 26 general managers. The management style focused on the senior leaders holding meetings and talking about things they did not know, and everyone was scared to talk. No one in the company had fun while they were at work which resulted in low retention rates.

How the company responded

U.S. Cellular's complete makeover started off with training for the top five leaders in the rules for the new dynamic organization. The training continued to trickle down to the vice presidents, who taught the directors, who taught the managers. "Listen Jack" was implemented which is a confidential e-mail that is sent directly to the CEO Jack Rooney that he addresses on a weekly basis. The dynamic organization works through motivating employees by giving them noble goals, and by concentrating on objectives rather than the tasks to get to those objectives. Leaders are evaluated on what they do and how they do it, twice a year. Jack Rooney believes the consequences of having an ineffective leader in a key position can be fatal" (Bingham & Galagan, p.46). Employees are recognized for outstanding performance with something called the "expect it award", as in "customers expect it". Employees are nominated every quarter and the winner gets a check, a letter and a call from CEO Jack Rooney. At the end of the year, 5 to 10 of the winners come out to Chicago, go to a ballgame, and have dinner with Rooney and all of the officers. Culture surveys are conducted for the company's leaders and employees, and 95 percent of the people who participate say that U.S. Cellular is a great place to be. After the rigorous interview process, the individuals who are hired work with Tom Griffin to start the on boarding process to learn the company.

Outcome to company's response

Since implementing the dynamic organization, U.S. Cellular's retention rates increased. When Rooney was asked how U.S. Cellular achieved high retention rates for the industry, he stated, "We treat our employees with respect. We train them well. We listen to them. We give them coaches who have been taught to lead in terms of a dynamic organization. We try and make them feel that they're the most important people in the company" (Bingham & Galagan, p.47).

Best Buy

Best Buy was founded in 1969 by Richard Schulze and a partner (Marketline Business Information Center, 2006). In 1971, Schulze bought out his partner and began to expand the chain. Best Buy grew rapidly between 1984 and 1987 and sales increased from $29 million to $240 million. In the next year