In year 2006, amidst investor disquieted over the damages of CEO Robert Nardelli and Home Depot's declining stock price, Relational Investors determined to further investigate the scenario.
In particular, Relational felt Nardelli's expansion plan for the business had caused the fall in the stock price. Relational meant to begin a proxy fight if the board did not reassess the company's strategy and determined to put money into Home Depot. Shortly thereafter, Nardelli left Home Depot and the board offered Relational a board seat. This case describes the evaluation of the difficulties at Home Depot of Relational, why they decided to invest, and how they went about getting their recommendations implemented.
Relational Investors and Home Depot (A) Case Study Solution
PUBLICATION DATE: March 18, 2009 PRODUCT #: 409076-PDF-ENG
This is just an excerpt. This case is about LEADERSHIP & MANAGING PEOPLE
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