Perez

RattyMouse · Jul 15, 2013

There's been a lot of mocking and vilifying of Kodak's CEO Perez (and rightly so IMO). Yet now that it appears that Kodak is soon to exit bankruptcy and will secure over half a billion in new funding, would it be wrong to say that he has been a success?

For some reason, I never expected Kodak to survive bankruptcy. Everyone slammed all of Perez's moves painting him as an incompetent idiot. When and if Kodak exits bankruptcy, issues new stock (as planned) and completes its transformation from a film company into a commercial box printing company, perhaps we need to reassess him.

Seems very odd......

clayne · Jul 15, 2013

Do you honestly believe this guy actually carried them through the entire reorganization and emergence process? Additionally, "commercial box printing" company??

Ken Nadvornick · Jul 15, 2013

Perez was originally tasked with negotiating Kodak's transformation from an old-technology imaging company to a new-technology imaging company, thus preserving and eventually enhancing ongoing shareholder value. The hope by us was that Kodak film would, at some reduced but still sustainable level, survive that transformation.

Presiding over—and in way too many cases, aggravating—Kodak's death spiral into an ugly bankrupcy, thus wiping out all shareholder value entirely, was never the preferred, nor anticipated, outcome for Kodak's investors. Or employees. Or retirees. Or anyone else with a vested interest in the final outcome, including us.

Painting the pig's lips bright red wasn't how it was supposed to end. And calling Perez successful because he's the one who's now holding the brush is a bit disingenuous...

Ken

RattyMouse · Jul 15, 2013

Ken Nadvornick said:
Perez was originally tasked with negotiating Kodak's transformation from an old-technology imaging company to a new-technology imaging company, thus preserving and eventually enhancing ongoing shareholder value. The hope by us was that Kodak film would, at some reduced but still sustainable level, survive that transformation.

Presiding over—and in way too many cases, aggravating—Kodak's death spiral into an ugly bankrupcy, thus wiping out all shareholder value entirely, was never the preferred, nor anticipated, outcome for Kodak's investors. Or employees. Or retirees. Or anyone else with a vested interest in the final outcome, including us.

Painting the pig's lips bright red wasn't how it was supposed to end. And calling Perez successful because he's the one who's now holding the brush is a bit disingenuous...

Ken

But hasnt Kodak film survived? The film unit has a new owner who WANTS to film to be successful. What more could we want?

Make no mistake, I am no fan at all of Perez.

fotch · Jul 15, 2013

Losing billions of dollars, losing market share, & leaving the fate of the company in the hands of a third party (court) is the opposite of successful leadership. He should walk the plank in IMHO.

zsas · Jul 15, 2013

I beg you all to read about how IBM reorganized, and compare/contrast....

How IBM's Sam Palmisano Redefined the Global Corporation
http://blogs.hbr.org/hbsfaculty/2012/01/how-ibms-sam-palmisano-redefin.html

If the above has you intrigued re transformation, check out this, it might just be the best $7 you've ever spent when trying to rationalize the transformation of a company from one competency to another.

IBM's Decade of Transformation: Turnaround to Growth
by Lynda M. Applegate, Elizabeth Collins
Source: Harvard Business School
31 pages. Publication Date: Apr 05, 2005. Prod. #: 805130-PDF-ENG
Describes IBM's decade of transformation. Provides background on the company's history and the factors that led to its near death in the early 1990s and to its remarkable turnaround during Lou Gerstner's reign as CEO.

http://hbr.org/product/ibm-s-decade-of-transformation-turnaround-to-growth/an/805130-PDF-ENG

thegman · Jul 15, 2013

I expect the truth lies in the middle somewhere. I doubt Perez is a complete idiot, and to be fair he was placed an extremely difficult position to begin with. Also, I'm sure he made some mistakes, did not understand some of issues as well as he should have done, and wished he could have done things differently. Just as we all do at some point.

removed account4 · Jul 15, 2013

"out with the old, in with the new"

Bob Carnie · Jul 15, 2013

I vote to replace Perez with Mustafa.

Ian Grant · Jul 15, 2013

Bob Carnie said:
I vote to replace Perez with Mustafa.

Seconded

Ian

Sal Santamaura · Jul 15, 2013

RattyMouse said:
But hasnt Kodak film survived?...

Some of it. So far. For how much longer is an unknown.

RattyMouse said:
...The film unit has a new owner...

The film marketing function will have a new owner. Kodak (the "box printing company") will continue to manufacture the film. For how much longer is an unknown.

RattyMouse said:
...What more could we want?...

Lots and lots. However, we can't expect more.

Photo Engineer · Jul 15, 2013

I am probably the only one here who has met and talked to Perez one on one. He is a charming, convincing person! That said, I believe that his policies regarding color printers or nothing, and film is dead were not suitable for Kodak.

OTOH, the global depression at the time he was doing this all didn't help things. OTOH, he missed seeing that there was no market trend for home printers and he missed the chance to have an internet picturing site like Facebook. So, this combination of policies led to the present Kodak problem.

You might consider the fact that the billions going in to Kodak has all come in the form of contracts with Sony for Motion Picture products.

PE

Mustafa Umut Sarac · Jul 15, 2013

Hey! I am shocked and suprised with your post ! I am still laughing with fear. I hope nothing comes out from this

Mustafa Umut Sarac · Jul 15, 2013

I vote Perez to Elite Porn Movie directors colorist as the director of kodak. At least he knows to speak to most desirable art.

Bob Carnie · Jul 15, 2013

Can I call it or what,, Mustafa you would make a great CEO. Your ideas are way outside of the Box.

removed account4 · Jul 15, 2013

Bob Carnie said:
Can I call it or what,, Mustafa you would make a great CEO. Your ideas are way outside of the Box.

+1 !

MattKing · Jul 15, 2013

Photo Engineer said:
I am probably the only one here who has met and talked to Perez one on one. He is a charming, convincing person! That said, I believe that his policies regarding color printers or nothing, and film is dead were not suitable for Kodak.

OTOH, the global depression at the time he was doing this all didn't help things. OTOH, he missed seeing that there was no market trend for home printers and he missed the chance to have an internet picturing site like Facebook. So, this combination of policies led to the present Kodak problem.

You might consider the fact that the billions going in to Kodak has all come in the form of contracts with Sony for Motion Picture products.

PE

Ah, Ron ... this requires three hands.

And my understanding is that Sony weren't the only purchasers of the motion picture profuct.

Mustafa Umut Sarac · Jul 15, 2013

Thank you Bob, Ian, John,

You can all also handle such a job as you make your head out of mess with your art. I think all of Kodak engineers would be great artists and CEOs.

Tom1956 · Jul 15, 2013

I think it's perfectly obvious that Elmer Fudd could have done the job equally well as Perez. I can imagine George Eastman writhing and ringing his hands in his grave.

cliveh · Jul 15, 2013

Bob Carnie said:
I vote to replace Perez with Mustafa.

Mustafa would have that improbability drive and always keep the board members guessing.

Photo Engineer · Jul 15, 2013

MattKing said:
Ah, Ron ... this requires three hands.

And my understanding is that Sony weren't the only purchasers of the motion picture profuct.

I know that, and that is what it will need to save Kodak.

PE

Tom1956 · Jul 15, 2013

Advertising. Primetime TV (what there still is of it), and AM radio. Although I don't generally listen to much of it myself, I wonder what kind of film sales could generated on the Dash Limburger program, for instance. Or some network TV presentation. Do you realize the average 21 year old doesn't know what film is? My point is, film doesn't have to die like this.

Bob Carnie · Jul 15, 2013

Film is not dying yet, just those who don't want to use it.

=Tom1956;1522780]Advertising. Primetime TV (what there still is of it), and AM radio. Although I don't generally listen to much of it myself, I wonder what kind of film sales could generated on the Dash Limburger program, for instance. Or some network TV presentation. Do you realize the average 21 year old doesn't know what film is? My point is, film doesn't have to die like this.[/QUOTE]

Mustafa Umut Sarac · Jul 15, 2013

Kodak Film is equivalent to 5000 megapixel camera.

Kodak must write this to everywhere.

Mustafa Umut Sarac · Jul 15, 2013

They dont need but they dont know they dont need it. That ad would create a lots of internet , blog , forum , magazine , newspaper discussions and flame the peoples interest. Lots of people dont need 1 billion dollar per day but they would love to own it.

Perez

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