Short Biography:

Ram Charan is a very popular businessman, well-known due to he has a gift for advising in economic troubles.

He started out as a worker in his family’s shoe shop in a little town in India, until he was graduated as engineer and went to Australia and Hawaii because of different jobs. When Dr. Charan found out his talent for business he held a MBA and got a doctorate in Harvard Business School (where he collaborated a little while later). He has worked with numerous top-executives of important companies as DuPont, Novarties, Bank of America and so on.

Among his achievements there are many awards for the work and the teaching he has performed in his career. Furthermore, Dr. Charan is famous for his countless books and articles about business advice.

How the CEO of DuPont reacted to the current economic crisis?

According to the sample page from the book “Leadership in the Era of Economic Uncertainty” by Ram Charan, Chad Holliday, chairman and chief executive officer of DuPont, knew thanks to a major customer in Japan that the current economic crisis was spreading globally.

Just after that encounter, Mr. Holliday called a meeting of the heads of the company in order to know what the situation of the company was at that moment and how could they change that situation.

Soon after he noticed the crisis became more obvious, started up the Corporate Crisis plan according to which all the DuPont’s senior managers would valuate the causes of the crisis and decide what they should do to solve it.

The plan basically consisted in explaining the employees the crisis which was approaching, in an informal way. On the other hand, each employee must gave three ideas in order to reduce costs and conserve cash. It was successful and the company reaction to the economic crisis began in less than six weeks. This way, Chad Holliday showed how should act any leader involved in an economic crisis.

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