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The second part of this two-part case examines the actions that Ashok Leyland (AL) took to achieve its aggressive growth plan and the consequences it faced when there was an abrupt negative demand shock. The case describes the challenge before AL's management when faced with bankruptcy, and invites readers to consider how this once-proud company could be transformed and led towards profitability and growth.
Learning Objective
- To illustrate how a firm's performance and survival is impacted in a recessionary environment with declining industry factors.
- To evaluate business turnaround and recovery strategies available to firms operating in challenging economic conditions.
- To discuss the challenges in implementing and adjusting to tough strategies that would eventually take the firm on a path of recovery.
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StrategyAshok Leyland (A): Reaching for the Stars - Embarking on a New Vision and Strategy
This case documents the history of Ashok Leyland (AL), the second largest commercial vehicle manufacturer in India, and captures its growth and journey up to 2007, when the company adopted its new vision of more than doubling in size in a fairly mature industry. The challenge that the case poses to students is to understand how the firm, widely regarded as a small player globally and as a regional one even within India, could fulfill this ambitious vision.
Learning Objective
To examine the challenges in managing an aggressive vision for growth.
Kannan SrikanthGeetika ShahPublished: Jul 25, 2018 -
StrategyAshok Leyland: Shattered Dreams - Transformation For Survival (Combined Version)
Case A & B (ISB113 & ISB115) have also been made available in a combined version.
Learning Objective1. To examine the challenges in managing an aggressive vision for growth. 2. To illustrate how a firm's performance and survival is impacted in a recessionary environment with declining industry factors. 3. To evaluate business turnaround and recovery strategies available to firms operating in challenging economic conditions. 4. To discuss the challenges in implementing and adjusting to tough strategies that would eventually take the firm on a path of recovery.
Kannan SrikanthGeetika ShahPublished: Jul 25, 2018