THE PROBLEM

Ben Verwaayen, former chief executive of British Telecom, was this month named as the new CEO of Alcatel-Lucent, the telecommunications equipment group. The company has suffered in recent years from a mishandled integration following the 2006 merger of Alcatel and Lucent, which heightened cultural differences between its American and French arms. What actions can incoming executives take to resolve internal strife in a global business? Is improved performance the best cure for cross-border antipathy? Or should a new management team address cultural issues head-on?