With the aim of preparing Leo Apotheker, a board member and Deputy Chief Executive

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Principles and Practice of Management
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• Principles and Practice of Management
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• CASE STUDY (20 Marks)
• With the aim of preparing Leo Apotheker, a
  board member and Deputy Chief Executive, as the
  next CEO, Henning Kagermann, SAP's executive
  board's Chairman and Chief Executive Officer
  (CEO), requested the supervisory board to appoint
  Leo as co CEO. In the past, the same pattern of
  leadership transition was adopted by SAP for
  grooming successors at SAP. Leo would work with
  Henning as co CEO at SAP for a year before taking
  over as sole CEO of the company.

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• Henning's contract with SAP expires in May
  2009. Moreover, SAP had invested heavily to
  create trendsetting innovations in the areas of
  service oriented architecture (SOA), new
  solutions and business models for the midmarket,
  but it faced challenges from its nearest
  competitors like Oracle, which is moving fast
  ahead in SOA. For executing its strategy, SAP was
  looking forward to Leo, who was different from
  the previous bosses of SAP as he was neither a
  member of the founder's generation nor a geek.
  Leo had a strong sales background. The case
  facilitates discussion on the leadership
  transition at SAP and Leo's ability to rise to
  the occasion.

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• Answer the following question.
• Q1. Discuss the leadership transition at SAP and
  succession planning.
• Q2. Explain the cultural changes in the
  organization opportunities for business growth.
  
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