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Prize winner
Case
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Reference no. IMD-6-0315
Published by: International Institute for Management Development (IMD)
Originally published in: 2008
Version: 21.02.2011

Abstract

This is part of a case series. Two years after joining the LEGO Group as their Logistics Manager for Europe and Asia, Egil Moeller Nielsen finds himself fighting several battles at different fronts; the most difficult one on his home turf against his own management team. He is half-way implementing a bold plan: close down all existing local and regional logistics operations and consolidate all logistics and distribution activities from a central location in the Czech Republic, managed by an external partner - DHL. Outsourcing logistics services on a scale like this - in East-Europe - had never been done before by any other European company. The stakes are high as LEGO, struggling for survival, is also trying to re-invent itself. Should Nielsen push through his plan - in which he firmly believes - or give in to the mounting pressure from home and relax his efforts?

Teaching and learning

This item is suitable for postgraduate and executive education courses.

Time period

The events covered by this case took place in 2003-2008.

Geographical setting

Region:
World/global

Featured company

LEGO Group (The)
Employees:
5001-10000
Turnover:
EUR 1.2 Billion
Industry:
Toys

Featured protagonist

  • Egil Moeller Nielsen (male), Logistics Manager

About

Abstract

This is part of a case series. Two years after joining the LEGO Group as their Logistics Manager for Europe and Asia, Egil Moeller Nielsen finds himself fighting several battles at different fronts; the most difficult one on his home turf against his own management team. He is half-way implementing a bold plan: close down all existing local and regional logistics operations and consolidate all logistics and distribution activities from a central location in the Czech Republic, managed by an external partner - DHL. Outsourcing logistics services on a scale like this - in East-Europe - had never been done before by any other European company. The stakes are high as LEGO, struggling for survival, is also trying to re-invent itself. Should Nielsen push through his plan - in which he firmly believes - or give in to the mounting pressure from home and relax his efforts?

Teaching and learning

This item is suitable for postgraduate and executive education courses.

Settings

Time period

The events covered by this case took place in 2003-2008.

Geographical setting

Region:
World/global

Featured company

LEGO Group (The)
Employees:
5001-10000
Turnover:
EUR 1.2 Billion
Industry:
Toys

Featured protagonist

  • Egil Moeller Nielsen (male), Logistics Manager

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