Hermann Gudmundsson, the new chief executive officer (CEO) of both Esso Iceland (provider of fuel and lubricants) and Bilanaust (an automotive spare parts retailer) was starting to develop an organizational strategy to carry the two firms forward for the next few years. His overriding concern was to create value for themselves and the customers they served, and Gudmundsson considered several methods to achieve that goal: should each company be led and managed on a stand-alone basis, or would a formal merger bring the hoped-for synergies? He determined that the best approach would be to capture an accurate picture of the talent existing in both organizations but was unsure of the best method to sort, rank and evaluate the talent existing in each of Esso Iceland and Bilanaust. Ultimately, he wanted to create a list of objectives for the evaluation program and methods to implement the findings.
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