Answer for Abb Case: Strategic Rise, Decline, and Renewal
Case of ABB: Strategic Rise, Decline, and Renewal
Carina Gruber(S124586@student.hb.se)
Yin Wang(S125066@student.hb.se)
Silvia Abendaño Delgado(S124778@student.hb.se )
Introduction
In this paper, we research the five solutions to the case of ABB: strategic rise, decline, and renewal. We conduct our solutions by analysis of the kinds of CEOs’ strategies and structures from 1988 to 2008. We completed our solutions by identifying the ideas and factors, which cued key areas to go awry and affect the performance of the business; discussing the key strategic initiatives implemented by the various CEOs appointed; analysis of the pros and cons of matrix structures and compare and contrast with the structures; assessing ABB’s current corporate culture; commenting on some strategic options. Our solutions were based on the book called International Management Managing Across Border and Cultures.
1. Identify Percy Barnevik´s ideals and discuss the factors which caused key areas to go awry and effect the performance of the business.
Percy Barnevik´s management had a goal, the goal was to build a company that could lead business in each of the major areas of the world, for this he was focused on the next seven points:
* The development of a group-wide umbrella culture: ABB established a common set of values, policies and operational guidelines. * The development of core technologies and core competencies: being a technology leader and market share leader. * The development and use of multinational teams: Barnevik believed, that the use of such teams throughout the company gave a deeper insight into global and local business problems. * Application to the development of effective global managers: competence was the key to selection, he believed that global managers were made, not born. * Bulding a multi-domestic or federal organisation along a global-locan continuum: some companies would be super local, and some would be super global. * The
Carina Gruber(S124586@student.hb.se)
Yin Wang(S125066@student.hb.se)
Silvia Abendaño Delgado(S124778@student.hb.se )
Introduction
In this paper, we research the five solutions to the case of ABB: strategic rise, decline, and renewal. We conduct our solutions by analysis of the kinds of CEOs’ strategies and structures from 1988 to 2008. We completed our solutions by identifying the ideas and factors, which cued key areas to go awry and affect the performance of the business; discussing the key strategic initiatives implemented by the various CEOs appointed; analysis of the pros and cons of matrix structures and compare and contrast with the structures; assessing ABB’s current corporate culture; commenting on some strategic options. Our solutions were based on the book called International Management Managing Across Border and Cultures.
1. Identify Percy Barnevik´s ideals and discuss the factors which caused key areas to go awry and effect the performance of the business.
Percy Barnevik´s management had a goal, the goal was to build a company that could lead business in each of the major areas of the world, for this he was focused on the next seven points:
* The development of a group-wide umbrella culture: ABB established a common set of values, policies and operational guidelines. * The development of core technologies and core competencies: being a technology leader and market share leader. * The development and use of multinational teams: Barnevik believed, that the use of such teams throughout the company gave a deeper insight into global and local business problems. * Application to the development of effective global managers: competence was the key to selection, he believed that global managers were made, not born. * Bulding a multi-domestic or federal organisation along a global-locan continuum: some companies would be super local, and some would be super global. * The