Lorin Walker, Matthew VanSchenkhof
Journal of Critical Incidents
January 01, 2016
The press hinted at a possible hostile takeover, and Jerry Bailey knew his job was on the line. Bailey was keenly aware that things needed to change quickly. Radosta Oil’s stock price was in a precipitous and continuing slump, having fallen by almost 20% over the last 12 months, while competitors’ stock prices were holding steady or slightly increasing. In addition, morale was at an all-time low, with people leaving the company in droves. The senior team was traumatized and casting about for direction. Bailey had been named Radosta Oil’s chief executive officer in the wake of the former CEO’s sudden and traumatic death. The last four months had been a maelstrom of activity for the recently appointed CEO, and now he was expected to present his turnaround plan to the board of directors in five weeks. Bailey had just finished a whirlwind, three-week tour of Radosta Oil, and was creating a cohesive, balanced scorecard (BSC) strategic approach to map out a clear and integrated path to recovery.