Question

 What should Jorgen Knudstorp do to turn the company around? Suggest changes throughout the value chain to support that strategy? Be specific.

Answer 1

Combining both the parts together here is what I feel Mr Jorgen Knudstopr should do & the changes that are desired throughout the value chain:

• Employee engagement has been the emphasis & priority by the CEO and I believe the same should be given the prime focus as it will help to keep building the reputation and help for growth.
• The increase emphasis om customer satisfaction at the value chain level will help to create more loyalty and spread across families for generations to come.
• Over the years I feel Lego has taken loyalty for granted and making the brand stretch thin and hence after failures like Lego clothing they should take more focus on developing the current products and provide better support to consumers.
• The expansion should be looked more carefully and the CEO needs to make sure that the vision and learning need to be the prime focus.
• Doing too many things at the same time needs more focus and approach from the brand. The community of Lego needs to be nurtured well before moving to other product lines.

Suggestions:

• Lego can consolidate the market further by engaging students through various digital platforms.
• By adding new ways like video games, TV series content the group can capture a lot of markets.

The CEO has already made the structure circular and moving away from typical executive committee the focus should be on development, leadership development, planning better for demand and supply capacities, and priority customers being serviced as the focus.

Net Promoter Score is a strategy that is anyways used by the group and hence the focus should be on implementing customer nurturing measures.

Some of the markets are becoming very volatile & political environment is becoming a factor and hence the group needs to look at measures to protect and develop the product. The firm products are made from oil & hence the environmental impact has to be measures & a responsible stand has to be taken.

The expansions like the ones in China needs to ensure the same vision and culture. Offices in London, Singapore and Shanghai have to remain close to the philosophy and focus on developing customer relationship.

Lego has learnt that they won't do everything & hence that should be key learning going forward.

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