Reebok had enjoyed the rewards of phenomenal growth. As it grew into a much larger business with an established market share, it began to experience the pressures of intense competition, particularly from Nike. Reebok dropped to second place in the global marketplace and was rapidly losing ground.
The company also experienced a significant downturn due to major internal problems. Frequent leadership changes had left the company in turmoil, with no clear direction for the future, and energies and resources widely dispersed. The board and the executive team were deadlocked over strategy debates to recapture Reebok’s leadership role. With orders in decline and no clear management thrust, Reebok was plagued by infighting, confusion, and internal dissent.
CEO Paul Fireman hired Vanto Group to help define and articulate a future for Reebok and to launch the implementation of that future.
Working with Reebok’s senior management, Vanto Group was asked to help create a new corporate culture, one that both preserved the unique character of Reebok’s history and was appropriate to the scope of its global organization.
Vanto Group consultants worked with key leadership groups at Reebok to understand the existing culture and create new structures and practices consistent with a flourishing, cohesive, and unified organization. They worked to replace an environment of politics and personal heroics with one of powerful teamwork, supporting Reebok’s creative individualists in developing the necessary skills for collective problem solving and collaboration.
With this foundation in place, Vanto Group was able to bring together leaders from all levels of the Reebok organization to articulate a future that represented a compelling opportunity for the entire company.
With a new sense of purpose and direction restored, Reebok made significant strides in mobilizing its workforce. A new momentum tapped expanding markets, which contributed significantly to Reebok’s growing market share. The company’s stock climbed, outperforming the market and keeping pace with Nike.
By articulating a future that represented a compelling opportunity for the entire company, Reebok was able to regain its status as a leading player in the highly competitive sports and fitness industry.
Running a business is a complex matter and the heart of any business is people. I have yet to see anything that has such a positive impact on people’s ability to relate, communicate, and perform as Vanto Group has. Our experience resulted in the alignment of our people around a common vision for the future, along with a powerful set of commitments and accountabilities”
Former Chairman and CEO, Reebok International, Ltd. & Founder, Fireman Capital Partners