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A $100 million loss, plummeting advertising sales, a stock price that has fallen from an all-time high of $237 to less than $10 per share, layoffs
A $100 million loss, plummeting advertising sales, a stock price that has fallen from an all-time high of $237 to less than $10 per share, layoffs that cost 800 people, including the previous CEO, their jobs— welcome to Yahoo. One of the causes of the precipitous drop in the value of Yahoo's stock was the company's inability to subdivide work and workers into separate organisational units responsible for completing particular tasks. For example, Yahoo has no sales unit to cultivate and call on advertising customers. Yahoo caused itself trouble when it decided to not engage in employee empowerment.
At this once phenomenally successful company, so many basic things have gone wrong that the question is, where do you start to fix it?
How would you implement the Customer Departmentalization structure to fix the problems faced by Yahoo?
