Biography of a CEO - Ben Verwaayen

The Context of the biography is located in the Frenchfantastic."
company Alcatel that has recently merged with theHis cultural experience is what Alcatel may have been
American Lucent. The merger started in Decemberlooking for: ... "Alcatel-Lucent ... forged in a
2006 with many difficulties: losses, a shrinking marketso-far-unsuccessful transatlantic merger ... is riven by
share, aggressive competition from China, and a stockpartisanship and internal strife."
plumbing more than 60% of its value (which is - takingLucent's origin is a spin-off from AT&T and
into account the financial disasters - not that unique)."Alcatel was laying fibre-optic cable for fun in France."
In an interview Verwaayen is asked about thisThere are similarities as well as huge differences he
situation; mainly about the cultural-"divide" between theadmits; in both cases we had to deal with: "reality and
French and the US. Verwaayen explains politicallyperception. Both are extremely important." (1) He
correct that "this is an normal international (global)stresses the crucial importance of the organization to
company that is more than French-American, but has"understand the strategy and how to achieve it."
locations in 130 countries."People are keen to know what to do.
When the chairman Serge Tchuruk and CEO PatriciaHad the individual companies lost purpose? Or, as
Russo stepped down in july of 2008, people thoughtVerwaayen showed that: the internal view of the
that Quigley from an Australia office would becomecompany is completely at odds with the external view,
the next CEO, but surprisingly it didn't happen.which is one of "a company under siege".
What has Verwaayen got, that Alcatel was lookingVerwaayen's task is to deal with change; the Alcatel
for?equipment is facing a threat from the telecom market
Verwaayen is first of all not a stranger in telecom: hethat is more and more internet-based, a change similar
has experience in companies like KPN, ITT (thein the market for cameras where "mobile phones are
predecessor of Alcatel), lucent and BT. "He lives innow taking more photographs than cameras." (1).
Paris." Philip Camus (of French Origin) was chosen toYet, he thinks that ... "the challenge for Alcatel-Lucent is
be the next president and chairman of the board ofa bigger one .. (because) the company is still riven with
which Verwaayen will be a member. Camus lives ininternal strife... -- the talk of 'what's your background'
the US.and what's your blood group' has to end," referring to
In an interview with Andrew Cave the former BT bossthe tendency among employees to identify with the
Ben Verwaayen tells why he rejected politics to takecompany they came from." (1) This is hard to imagine
on the task of reviving Alcatel-Lucent. He had leftin a situation where only 25 percent of the group
British Telecom just a month earlier, and peopleemployees work in the US and 17 percent in France,
thought he would go into politics:which adds up to a minority of only 42 percent.
"Yes, I am very interested in politics and the relationshipNow why is this biography a good match for Alcatel?
between public policy and private companies. But whatHe worked both for Lucent as well as for Alcatel
gives people the feeling that I have left business for(when it was still part of the ITT conglomerate). That,
the field of politics?... I am not a politician. I think I havetogether with his interest in politics he fits quite well in
proven that.this dire environment.
Ben Verwaayen is 56 when he starts at Alcatel and(he) was born the fifth of six children to parents who
he belongs to the People's Party for Freedom andran a family chemicals firm in a small Dutch village and
Democracy in his native Netherlands ... "and (he) is onesays he discovered early in his life that he wanted to
of very few CEO's to have written a politicalbe a "change agent".
manifesto." (1)He organized the first student parliament at school and
In addition, his first promotion, at US conglomerate ITT,during his national service he set up a union to lobby
came after he headed to Brussels in 1975 to protestfor better conditions. "Initially, after graduating with a law
about the company's alleged role in the overthrow ofand international relations degree from Utrecht
Salvador Allende's government in Chile ­ ITTUniversity, he wanted to be a journalist or politician and
responded by making him its Netherlands publictook his first job at the ITT subsidiary because it gave
relations chief.him time to sit on a state committee to reform the
Now he ... "still likes to pronounce his views ... he likesarmy." (1)
"constructive conflict" and vigorous debate more thanHis management style is: "unreasonable with targets
didactic policy pronouncements."but passionate about people," (1) He had a blog to
He also values passion, an anecdote shows how hecommunicate with the BT group's 95,000 workers.
once stopped a meeting and announced: "Can weH.J.B.
please celebrate this moment? This is passion. This is