Gus Pagonis

1
Gus Pagonis the Sears Logistics Group

• David Hoffman
• Yenny Bayou

2
Introduction

• Leader in the retail Industry
• Lost focus competitive advantage
• Consolidate supply chain logistics
• Needed Strong Leadership

3
Outline

• Strategic HR Implications in Pagonis recruitment
  
• Pagonis leadership style
• New HR practices
• Cultural change
• Current and Future Implications
• Recommendations

4
Strategic HR Implications

• Mis-Alignment between HR practices
  Organizational Strategy
• Gus Pagonis joins Sears
• Consolidation of logistics units
• Strong Leadership and implementation
• Forced change in culture

5
Pagonis leadership style

• No non-sense Work Hard Play Hard
• Demanded perfection
• Aggressive and fast paced
• Make it Happen philosophy

6
New HR practices

• Stringent Communications Procedures
• Ups and Downs
• 3 X 5 Cards
• Sensing sessions/Stand Up meetings
• PSM System
• Informal Departmental/Scheduled Field Visits
• Sit-Down Meetings/Stand-Up Meetings

7
Rewards Programs

• Met Strategic Goals and Mission
• Rewarded flexibility efficiency
• Low Cost
• Adverse effect of non-commitment
• Levels of reward -vs- contribution
• Lack of equitability

8
Cultural change

• Sears culture was slow before Pagonis
• Initiated by example a fast paced attitude
• responded on time quickly to all issues
• No non-sense get the job done or else?
• Lead by example to quickly solve issues
• Ghost Busters Team
• Created Flexibility Adaptability

9
Alternatives

• Recruit new VP of SLG
• Less aggressive
• Family oriented atmosphere/loyalty
• Engage outside consultants
• Fast efficient expertise solutions
• Dissolve Logistics utilize Logistics company

10
Recommendations

• Reconsider Pagonis techniques
• Future needs may change
• Re-evaluate rewards system
• Foster creativity,flexibility
• Assess communications systems
• May be constricting
• Time constraints reduces viable alternatives

11
Conclusion

• Gus Pagonis re-invented Sears business
• Organizational Goals and HR requirements aligned
• Cultural change has occurred
• New identity and direction
• Future requirements may require a different style
  of leadership

12
QUESTIONS?