Customer Reviews

Saving Big Blue: Leadership Lessons & Turnaround Tactics of IBM's Lou Gerstner

5 star:		(3)
4 star:		(5)
3 star:		(2)
2 star:		(2)
1 star:		(6)

 

 

I was disappointed by this book. As an ex-IBM'er who was there during the bad times as well as the Gerstner led recovery, I was looking forward to insights about the times and the man. The book lacked both. It was written in a sloppy way, with the same tired facts about stock price recovery and growth in different parts of IBM's business being repeated over and over again. When it appeared there would be some fascinating insight, it faded into nothingness e.g. when Slater started to write about the demise of senior execs, the best he could do was trot out some triteness about the disposal of Lou's brother Richard who was at that time a consultant. The book was filled with quotes from Fortune and many other business magazines as if all his research was done from them. Over all, a disappointment.

Too wishy washy for me. Seemed more like a PR release. Bob Slater should write for Microsoft's PR department. Hardly objective, not that I disagree with how Lou Gerstner turned around the company. The man is my hero. Its too touchy-feely, Leave it to Beaverish.

Mr. Gerstner has indeed steered IBM from some very troubled waters. However, the turn around is much more reactionary than it is thought out and planned. With the bulk of Gerstner's compensation issued in the form of stock options he has been very motivated to bring the stock price up. The real story is yet to be written. Will his title as the savior of IBM stand the test of time? Or will time reveal that the companies infastructure and future were sold short to raise the stock price long enough for Gerstner and his appointed executives to grab the cash and run? That will be the real story and it remains to be written.

Lou makes changes by selling all resources that are not nailed down. That includes employee benefits. In the long run Lou will look a lot more like chainsaw Al Dunlop from Sunbeam. IBM has Unions from Lou workings will be next title.

Let's see. Gerstner comes to IBM during a recessionary period when IBM is making no money. The recession passes and IBM starts making money again. Is Lou in any way responsible for the recession ending ? Nope. What scary wonderful thing has he done to increase IBM's business ? Nada. How has the stock price increased then ? By borrowing money and using it to buy back stock at inflated prices. What kind of business leader resorts to stock buy backs instead of growing market share ? One who has no technical background or understanding of what market he is in. Lou is nothing more than a finacial trickster with a lot of good advisors hiding the fact he hasn't a clue about the high tech market IBM is in. IBM will be in much worse shape when the next recession hits as the money that could have been used to develop new markets and new research programs has bee squandered on stock buy backs and option programs for high level executives. The 1999 reduction in pension benefits will be seen as the turning point in Lou's leadership at IBM. It's all downhill for IBM from here with the poor morale Lou has caused with his "I've got mine, you get yours" attitude.

As a former employee of both IBM and AT&T, I lived through years of lack of leadership, innovation and bad management decisions. Lou Gerstner demonstrated that a few common sense principles (listen, customers, focus) go a long way in building a business. I enjoyed the book very much and recommended it to my co-workers.

In the whoel sceme of the book, it appears that the author is focusing on financials of the company and not the person.

This is an important book to see how Lou Saved Big Blue for a few years by selling everything not nailed down. But the real book will be written when there is nothing left that he can sell... no land, no employee benefits, just Global Services. Wait for the next book to get the real story.

As both an IBM employee & one very interested in the workings of this unique company, I enjoyed reading 2 just-released books in the past 2 weeks, Robert Slater's Saving IBM and Garr's. Slater's was the business case version of IBM. Garr's was the real scoop behind the workings of not just Gerstner but his many lieutenants, both long-time IBM employees and outsiders. Although I was somewhat embarrassed by some of Garr's stories, including the FUMU's, I still enjoyed the book. I was disappointed in the lack of coverage with IBM Global Services.

I'm a fellow IBM employee as well. This book was interesting to read for the history of my employer and CEO, but it could have used a more rigorous analysis. It's just too light and breezy. Reading the end notes closely, I think that the author also heavily relied on secondary research (Fortune, Business Week, Harvard Case Reviews) which were already well-known. Result: little new info and penetrating analysis.