I beg you all to read about how IBM reorganized, and compare/contrast....
How IBM's Sam Palmisano Redefined the Global Corporation
If the above has you intrigued re transformation, check out this, it might just be the best $7 you've ever spent when trying to rationalize the transformation of a company from one competency to another.
IBM's Decade of Transformation: Turnaround to Growth
by Lynda M. Applegate, Elizabeth Collins
Source: Harvard Business School
31 pages. Publication Date: Apr 05, 2005. Prod. #: 805130-PDF-ENG
Describes IBM's decade of transformation. Provides background on the company's history and the factors that led to its near death in the early 1990s and to its remarkable turnaround during Lou Gerstner's reign as CEO.