Organizational Assessment - Qwest (Q: Term Paper

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There were few positives that could be drawn toward the company's ability to meet the needs of its stakeholders. Former CEO Joseph Nacchio and six other executives of that era faced criminal proceedings. Nacchio was convicted, though that conviction has now been overturned and a retrial scheduled.

Since the settlement with the SEC in 2004, Qwest has worked to turn itself around. They have slowly instilled a new organizational culture. They were able to restructure their workforce, resulting in dramatic job loss while still maintaining the support of the union.

Shareholder value, while still low today, has been steadily increasing over the past several years. The company returned margins and returns in 2007 that were superior to the industry averages, something they had not been able to do previously.

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The improvement process is ongoing. Shareholder value has increased but the stock price has eroded steadily over the past year. Qwest still holds so much debt that they are unable to finance any major infrastructure projects., and they are still cutting employees, albeit at a much slower rate than in past.

It would be premature to form an opinion on the new management team, who have had less than a year with the company. However, there are signs that Qwest's performance has improved of late, and that the company will continue on the path of improvement in the coming years......

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