Name: Situation Analysis: The basic problem is that Cuccia and Mediobanca feel threatened by the merger and

have mobilized their extensive network to directly and indirectly influence individual board members. Mediobanca is by far the most central player in the network of direct and indirect influences a position carefully built!up by the aging Cuccia and his cronies who have been in power for most of the century. The numbers show it has the most outgoing influence on others as measured by row sums of the influence matrix. "owever they also have high influenceability as measured by the column sums of the influence matrix. Thus it is technically possible to mobilize the network against them. # key player in all this is $enerali who occupies a key brokerage role in the network of dependencies and whose board is split on the issue. Mediobanca normally controlled $enerali via a shareholder%s pact with &azard but &azard was in favor of the 'nicredito deal. (n addition the chairman of $enerali )ernheim was a senior partner at &azard and also in favor of the 'nicredito deal. #nother key player is *esiata who brokers the relationship between Cuccia and )azoli and is rewarded with the chairmanship of $enerali. #belli and +aviotti and ,rofumo are young modern managers who were instrumental in modernizing (talian banking and who frame the situation in terms of its technical merits -i.e. the 'nicredito offer is a good deal.. Cuccia is an old guard patriarch who leads like a $odfather. This creates a gap between them.

5102 Week 6: CASE: Abelli & Saviotti, Banca Comercialle taliana

!enti"y:
%ey &layers

#ro$Eurobanka coalition
1' Alberto Abelli BCI Director since 1997, BCI CEO since 1998 2' (ui)i *austi BCI Director since 1990, BCI CEO 1990-1997 and in 2000, appointed as honorary chairman of BCI +' Alessan!ro #ro"umo Former cons !tant at "c#insey and CEO of $nicredito Ita!iano in 1998% ,' (uci -on!elli Chairman of Credito Ita!iano since 198& and "edio'anca Director since 1982% 5' #ier"ranscesco Saviotti BCI director since 1997, BCI CEO since 1998% "odern and yo n* mana*ers 'ein* instr menta! in moderni/in* Ita!ian 'an0in* and framin* the sit ation in terms of technica!

#ro$Banca ntensa coalition

1' Enrico Cuccia (onorary chariman of "edio'anca and sti!! its de factor 'oss% )nd ar* a'!y the most po+erf ! Ita!ian ' sinessman since +or!d +ar II 2' .iovanni Ba/oli Chairman of Banco Intesa since 1998, +' .ia"ranco .utty Cice chariman and CEO in ,enera!i% BCI -ice Chairman and director since 1997 ,' (ui)i (ucc0ini "em'er of the E.ec ti-e Committee of ,enera!i, BCI director and chairman since 1998%

1ana)erial mental sc0emas

C ccia, specia!!y is !i0e an o!d * ard patriarch +ho !eads !i0e a ,odfather% /

Name: 2orientations34 Sources o" &o5er o" t0e key &layers 6ulnerabilities

merits% "erit and technica! e.pertise 1he position ho!ds in the 'oard 5ac0 of a!!ies +ho -a! e fact a! merit of the sit ation 5ac0 of stron* re!ationship +ith the centra! 'an0 and the *o-ernment 5ac0 of co nter-ai!in* re!ationship +ith their shareho!ders% Creatin* a 'an0 more adherent to the mar0et needs 1o mer*e BCI +ith $nicredito 'an0 2reser-in* !e*acy and ma.imi/in* shareho!der6s -a! e

2o!itica! po+er 3ocia! net+or0in* +ith ma4or shareho!ders 1he top position in the 'oard 30i!!f ! anta*onist on the mana*ement team !i0e )'e!!i and 3a-iotti "edio'anca 'oard and its a!!ies is - !nera'!e to 3a-iotti6s inf! ence as he sits 'oth on 'oards of "edio'anca and as +e!! as (d2 )-oidin* sin*!e shareho!der to o+n too m ch share in "edio'anca 1o me mer*e BCI +ith Banca Instensa

1otivations7 interests

Social net5orks o" t0e key &layers: a3 Brea!t0 b3 Stron) vs' 5eak ties4 c3 8n 50at bases4 c3 Centrality: $ !e)ree 9 ei)envector $5it0in 50at )rou&s 2content34 :o5 !o t0ey use t0eir social net5orks to 7o se of socia! net+or0in* and on!y emphasi/in* on +hat is -ia'!e 'ased on fact a! merit% $sin* the centra! 'an0 and *o-ernment officia! net+or0 to s pport the mer*er of BCI +ith Banca Intesa Inf! encin* the 'oard mem'ers and 0eepin* their contro! on 0

Name: ac0ieve t0e decision ma0in* process for their 'enefit outcome t0ey !esire4 8t0er &layers: 1% Desiata, +ho 'ro0ers the re!ationship 'et+een C ccia and Ba/o!i and is re+arded +ith the chairmanship of ,enera!i% 2% )ntonia Fa/io the *o-ernor !eadin* the Banca d Ita!ia the re* !ator%