
News Archive
Harvard Business Review, June 2004
"Capitalizing on Capabilities" by Dave Ulrich and Norm Smallwood
"In late 2002 and early 2003, the global [InterContinental Hotels]
organization -- recently spun off from Bass Group -- faced bloated
overhead costs in the competitive hotel industry, experienced a decline
in business and vacation travel because of the worldwide economic
downturn and the spread of severe acute respiratory syndrome (SARS),
underwent a brand name change (from Six Continents), and battled a
hostile takeover attempt by British entrepreneur Hugh Osmond. Deutsche
Bank analyst Mark Finnla, in a January 2003 report, described the
hotels as "chronically underperforming...[and] making less than a third
of what they should be." in an effort to improve performance, chief
executive Richard North initiated an "organization review."
Learn how BayHill Group subsidiary 1.0 Consulting helped
InterContinental Hotels perform a capabilities audit in this
Harvard Business Review article.
(Note: Harvard Business Review full-text articles may required purchase.)
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