Herman Miller is an office furniture company founded in 1905. It has experienced both hardships and success over the years. More recently, it has faced challenges from the recession and shift toward more home working. The document evaluates alternatives for Herman Miller's future business model, including maintaining the status quo, improving the current model, or focusing on marketing and research & development. It recommends a combined approach of improving the current model while also investing more in marketing and R&D. A three-phase implementation plan is outlined focusing on the home office market in the short term, establishing a low-cost subsidiary and marketing campaign in the medium term, and partnerships and green initiatives in the long term.

1. Herman MillerAMAR ARORA
ALEX CHOW
PATRICK GODLEWSKI

2. Company History
 Back to 1905
 Herman Miller -> 1919
 Hardships and Success
 Recessions and Investment
Retrieved from: http://imjustcreative.com/wp-
content/uploads/2011/11/herman-miller-logo-design-1905.jpg

3. Company History
 Specializes in office furniture
 Being innovative
 Continuous expansion
 Design of The Decade -1989
Retrieved from:
http://designspiration.net/data/l/1020332116709_iiRb9913_l.jpg

4. Employment and Culture
 Empowerment
 Employee Stock Option Plan
 Company Performance
 Good Strategy Execution
Retrieved from: http://www.youtube.com/watch?v=XkqLZAEL_TQ

5. Employment and Current Situation
 2003: Lifelong Employment
 Strategy Execution
 Skills for the Future
 Employee Empowerment

6. Issues
 Recession
 Reinvent
 Business Model of the Future
 Shift toward Home Working

7. Alternatives
 Idea 1: Continue using current business model.
 Idea 2: Improve Current Business Model
 Idea 3: Marketing and R&D

8. Decision criteria
Alternatives Cost (35%) Profit (30%) Employee
Empowerm
ent (15%)
Innovation
(20%)
Total
Status Quo 1 (.35) 2 (.60) 2 (.30) 3 (.60) 1.85
Improve
current
business
model
3 (1.05) 1 (.30) 1 (.15) 1 (.20) 1.7
Marketing
and R&D
2 (.70) 3 (.90) 3 (.45) 2 (.40) 2.45
1 = best in
class
3 = worst in
class

9. Recommendation
 Combine alternative 2 and 3
 Start with small strategy change
 Start building on home office strategy
 Invest in more R&D and marketing
 Create a system for forecasting

10. Implementation plan
 Short Term-
 Investing into a home office team
 Create a team that study’s the market environment
 Start planning a marketing campain

11. Implementation Plan
 Medium Term-
 Create a subsidiary for a low cost strategy
 Utilize Marketing Campaign
 Improve Relations with supplier’s and create contracts

12. Implementation Plan
 Long Term-
 Partnership with companies that compliment Herman Miller
 Partner with celebrity's or famous companies to promote Herman Miller
 Start a Green initiative with products to promote themselves

13. Conclusion
QUESTIONS?