Scott Paper Company
Stuart C. Gilson · 2012
This chapter presents a case of efforts by Albert Dunlap, chairman and chief executive officer (CEO) of Scott Paper Company to revive the company from financial crisis in the year 1994. Upon assuming his duties, Dunlap immediately bought $2 million of the company's stock, with his own money, on the open market. He also hired a consulting firm to help him evaluate the high labor density at numerous sites of the company, which eventually suggested laying off of 2400 labors from various company sites. All sorts of other controllable expenses were examined. The final restructuring plan would provide answers to a number of difficult questions that Dunlap had had to grapple with in seeking a solution to Scott's problems.