1. What were the different changers at Intel over the first three years of Barretts tenure?

He expanded into the production of information and communication appliances as well as services related to the Internet. He also reorganized internal system to avoid duplications and improve coordination within the organization. The example of duplication was that the network operations group and the communications unit sometimes were in competition with each other, selling similar products to the same customers and Barrett needed to reorganize them. Moreover, new business units were created to enable decentralization and delegation of decision making, which makes the company better coordinated and more nimble. Barrett also wanted to change the culture of the organization toward better customer relations and away from a perspective of being the only real competition in the marketplace. 2. Of the internal organizational pressures for change discussed in this chapter that are associated with organizational change-growth, integration and collaboration,

reestablishment of organizational identities, new broom, and power and political pressures- which ones were experienced within Intel? In this case new broom pressures were experienced within Intel, as Barrett was the new changed CEO, he made drastic changes to push the organization outside its comfort zone and into new endeavors, such as producing information and communication appliances and providing Internet services. And also there is Identity pressures were experienced which duplication in the organization. For example, the network operations group and the communications unit sometimes were in competition with each other, selling similar products to the same customers. 3. Are there other external or internal pressures for change that you can identify? There are others external and internal pressures effect to Intel for change. Every technology company had been affected by 9/11 as Geopolitical Pressures. This pressure predicted Intel market share to be declined as other companies did. That can be Market Decline Pressures on Intel. Moreover Craig Barrett said, "When you have common interfaces, common protocols, then everyone can innovate and everyone can interoperate.

Companies can build their businesses, consumers can expand their choices, the technology moves forward faster, and users get more benefit." due to certain external circumstances Intel began to lose its position as a market leader. Under Barretts leadership, stock prices fell and their fiercest competitor, Advanced Micro Devices, was producing a processor chip that performed more effectively than Intels Pentium III chip and customers seemed to be more interested in how fast their modem connection was than in the speed of their computer chip. Therefore, it became Barretts obligation to maintain Intels position within the technology industry that his predecessors worked so hard to achieve, by reorganizing the entire organization to adapt to the changes of a dynamic market. So there can be hyper competition pressures and pressure to main the Intel reputation in the technology market. 4. What overall conclusion do you draw about why Barrett made the changes he did? Which issues were dominant? Why? Barrett made the changes because to counteract the market decline that caused by 9/11 so Barrett decided to expand Intels portfolio by producing information and communication appliances, and providing Internet related services to consumers. And also Barrett merged several of Intels business units into one entity, thus suspending redundancies within the organization and alleviating resources for other organizational endeavors. He made these decisions because this allowed the organization to compete in a variety of markets, rather than rely solely on their ability to manufacture quality chip processors. Secondly he has decided to invest in the R&D into new production technologies in order to cut chip-making cost. He made this decision because of the hyper competition pressures and he hoped that he would be able to increase sales and pull out in front of his competitors through these investments. And he had reorganized to make it more nimble and to avoid duplication and create better organization.

5. What pressures for change might face Barrett in the future? How do you arrive at his assessment? There will be still hyper competition pressure and also integration and collaboration pressures may come out due to the changes of structural and cultural changes in the organization. 6. What advice would you give Barrett for how to cope with these change pressures? To counteract the hyper competition pressure Barrett should focus well in the R&D not only for the cost and also should predict the future challenges as rapid technology changes and what other rival firms will come out with which innovation and creative products that can beat Intel in the market. For the integration and collaboration pressures, Barrett may do the survey within the organization to the employees, stakeholder, supplier and customers, are they aligned with the structural changes or not and how to improve it.

Reference: http://www.intel.com/content/www/us/en/standards/global-standards-interview-craigbarrett.html/qa0904.htm http://books.google.com.my/books?id=OSAkMZ3SMQ0C&pg=PA238&lpg=PA238&dq =why+Barrett+made+changes+at+Intel&source=bl&ots=R0sGC2EpeH&sig=8mfZfESa SL3Pm10L1Gyuji1haXg&hl=en&sa=X&ei=eJWnUeSuPMqxrAe01IHYCA&ved=0CEc Q6AEwAw#v=onepage&q=why%20Barrett%20made%20changes%20at%20Intel&f=fal se