9B16C044_pcs.pdf - ALLERGAN SOUTH AFRICAu2019S MERGER...

This preview shows page 1 - 2 out of 12 pages.

9B16C044 ALLERGAN SOUTH AFRICA’S MERGER: CONTEXTUAL LEADERSHIP SUSTAINING CULTURE Caren Scheepers and Deepa Sita wrote this case solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. This publication may not be transmitted, photocopied, digitized, or otherwise reproduced in any form or by any means without the permission of the copyright holder. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Business School, Western University, London, Ontario, Canada, N6G 0N1; (t) 519.661.3208; (e) [email protected]; . Copyright © 2016, Richard Ivey School of Business Foundation Version: 2016-11-29 On February 5, 2016, Morné Steenkamp, country manager and chief executive officer (CEO) of Allergan South Africa (Allergan SA),1focused on Runway 17/35 below him. The gusting winds were pushing the Robinson R22 helicopter sideways while Steenkamp listened intently to the rhythmic “wop-wop” of the main rotor and checked the instruments and warning lights. After a swift ground rush, he brought the helicopter into a hover and taxied to the helipad, where he set the machine down on its skids. When the powerful spinning blades came to a standstill, Steenkamp stepped onto solid ground and smelled the newly cut grass at Grand Central Airport in Midrand, South Africa. Steenkamp could clearly recall the emotions he felt after having completed his first solo navigation flight in 2013, which took place just after he was appointed as country manager at Allergan SA. Steenkamp likened his flying experience to Allergan SA’s eventful journey of relentless pressure with little or no time to make a proper landing for “refuelling.” As he made his way to Allergan SA’s offices in Midrand, he considered the dilemma of sustaining the “supertribe” culturethat he had been building over the last couple of years: a difficult period of adversity that had included a hostile takeover bid, cost-cutting exercises, and, eventually, an acquisition. On arrival at his office, Steenkamp was confronted by one of his executives, who informed Steenkamp that he was resigning. Steenkamp knew it was bound to happenthat a couple of the members of his trusted top team would not be prepared to go through the turmoil of more acquisition processes. He was aware, though, that he had to encourage those with long tenure to remain with the business. They brought valuable social capital to the business through their relationships with a number of influential medical doctors, groups, and organizations. Steenkamp needed to review his leadership during the previous merger integrations and determine how he was going to deal with yet one more merger when his country team was still adjusting to those just completed.

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture