1. Main challenges faced by Peter Blackburn in his new role Peter Blackburn used to be the Chairman of Rowntree UK and Ireland. Then Peter became the chairman-designate of the CSG, Chocolat Strategy Group designed after the acquisition (A+B type) of Rowntree by Nestle. This structure is responsible for the development of the Nestle confectionery business worldwide. So every Nestle zones (5) reports to CSG instead of reporting individually to each function head. Instead of having compartmented functional silos, each functional managers (Marketing, R&D…) will communicate between each other’s and better know what each other is doing.
The aim is to create a team dedicated to confectionery. Thus the challenge is to implement this new organizational structure both at the Nestle and at the Rowntree level. Peter needs to understand the company Nestle, as his new position involves a full management of Nestle people worldwide. As mentioned in the case, a short period after the creation of CSG, most employees are not enthusiastic in this new way of functioning. Indeed, their way of working has totally changed from before.
Peter role is to help set up this change quickly: how to make these people act differently, think differently. Indeed the main focus is now a European strategy. To do so Mr Nixon and Mr Blackburn created three brand coordinators positions. Each of them will be dedicated to a market (Block chocolate, countlines and boxed chocolate). Each of them will be part of CSG but responsible for the strategy, mainly in Europe and thus work with the different zone. Applied to Zone 1 (Europe) with the Head of Z1 held by Mr Neal, the may concern is to hire the three brand coordinators.
How to select them, and especially how to get them on board: these coordinators must come from Nestle/Rowntree senior marketing management and most of them are not convince by this new structure and position necessity. Finally the main point lied in the supposed need of both Rowntree and Nestle managers, but Nestle people are not easy to convinced. Finally difficulty lied in the sense that by taking them from their existing position, it will create a gap in their respective national organizations as they are holding key positions.
