Takenaka A, Nakamura S, Mitsunaga F, Inoue-Murayama M, Udono ...
Takenaka Komuten
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Transcript of Takenaka Komuten
![Page 1: Takenaka Komuten](https://reader035.fdocuments.us/reader035/viewer/2022081506/55931e631a28ab765c8b47b3/html5/thumbnails/1.jpg)
Case 5 Takenaka Komuten Company LTD
CONNESSON Rémi
KOSIOR Flora
LEPROUX Baptiste
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Background
Japanese general contractor
Design and construction of office public building …
Numerous awards for its high quality of construction
Non diversified character of the company
Top five construction firms in Japan
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Some figures
Create in 1930
Knows Big growth
Declin in building construction since 1990
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Dilemma
Most of the directors want expand the Takenata firm into other areas of contruction
Expand in civil engineering capacity
New offer of Atlas Engineering & Construction
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Dialogue
Between
Tom Jameson, President, Atlas Engineering & Construction
Kenji Taniguchi, Managing Director, Takenaka Komuten
Ruichi Takenaka, President, Takenaka Komuten
Discuss the possibilities of forming a joint venture company
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Exhibit 1 Summary of Main Points in Jameson's Proposal to Takenaka Komuten
Elimination of separate bid submission
Assurance to the client of integrated design, engineering, construction and quality control
Placement of Takenata Komuten and Atlas Engineering in a competive position
Equal distribution of profit and loss
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Exhibit 2Status of Projects Undertaken by Takenaka Komuten
Exhibit 3
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Exhibit 4 : Contract awarded to Takenaka directly and through negociation
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Exhibit 5 and 7Comparate the type of construction of Takenaka and Atlas
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Exhibit 6 : Financial and statistical summary of Atlas
Exhibit 8 : Projects in which Atlas was the sole contractor
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Current Situation of TakenakaKomuten
Communication Intercultural Management
Strength
TakenakaKomuten firm has a strategy of
specialization(non-diversified)
An important part of the
management is japanese.
Takana family takes the important decisions.
Weaknesses
The firm is in a precarious
position(a crisis could be
fatal)
No discussion between
employees and direction
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The firm is in a precarious situation
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Current Situation
Tom Jameson (president of Atlas Engineering & Construction) wants to convince Ruichi Tanaka (president of
TakenakaKomuten) and Kenji Taniguchi (managing director of
TakenakaKomuten)
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Should TakenakaKomuten form a joint venture company with Atlas?
Even if they risk losing their reputation of excellence ?
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#1 : Takenaka stays independant and stay on its sector of activity.
Avantages Drawbacks
-Reputation of excellence is preserved.-Takenaka family is the head of the company.
-Big risks of failure since the sector of activity of Takenaka family is declining.
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#2 : Takenaka stays independant but diversifies its sector of activity.
Avantages Drawbacks
-Takenaka family are the head of the company.-There is possibility that the firm can survive the building construction decline crisis.
-Takenaka is inexperienced in other sectors of activity.-Reputation of excellence is threatened.-Less resources are allocated to the main activity of the firm.
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#3 : Takenaka Komuten and Atlas Engeenering Construction form a joint venture company
Avantages Drawbacks
-Simple to put in practice since previous collaborations have existed.-Immediate prospects.-Opens more opportunities and sectors.-Reputation of excellence could be preserved.-There is still a separation between the two companies.
-Possibility of loosing the reputation of excellence.-Takenaka family is not the sole decision maker anymore.-It does not necessarily mean that both companies are stronger.
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#4 : Takenaka and Atlas merge to create a bigger company.
Avantages Drawbacks
-Immediate prospects.-Opens more opportunity and sectors.-Reputation of excellence could be preserved.-The new company will be stronger than before and become a big fish in the sector of civil and building engineering .
-Needs a lot of ressources to create the new company.-Possibility of loosing the reputation of excellence.-Takenaka family is not the sole decision maker anymore.-Annoy the segment of customers whom have chosen Tanaka for its non-diversified character .
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#5 : Takenaka family sells the company and leave to Bahamas.
Avantages Drawbacks
-It is the good life, no leaders problems anymore.-The youngsters of the family have a world of opportunities available to create start up on the next big thing (eg : Internet).
-Loosing the reputation of excellence.-Takenaka family is not the decision maker anymore.-For the elders the retirement may bring about a nervous breakdown.
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We recommand : …
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#3 : Takenaka Komuten and Atlas Engeenering Construction form a joint venture company
Because everybody win !
Takenaka : With a marketting operation can keep their reputation of excellence and get more contracts.Atlas : Will always work with the same other contractor (reducing costs and improving project implementation velocity)
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Questions ?