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Case
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Reference no. 9-392-098
Published by: Harvard Business Publishing
Originally published in: 1992
Version: 25 September 1996

Abstract

ABB Germany faces some newly emerging strategic and organizational challenges resulting from Europe 1992 and German reunification. In terms of organization, ABB Germany has created a holding company and has separated operations and service activities into legally independent units, a shift that is gaining popularity in Europe. Strategic opportunities and challenges are described for two business areas: standard products and transportation. Why does ABB prefer to break the organization into legally separate units? What are the advantages and disadvantages of this approach? What, as a result, is likely to happen to the international matrix? What explains the recent success of standard products? What will happen to the transportation business in Europe? Will the German operation become ABB's European locomotive? May be used with: (9-393-130) 'ABB Deutschland (A)'; (9-393-131) 'ABB Deutschland (B)'; (9-393-132) 'ABB Deutschland (C)'.
Location:
Size:
Large, 33,000 employees, USD5 billion revenues
Other setting(s):
1990-1991

About

Abstract

ABB Germany faces some newly emerging strategic and organizational challenges resulting from Europe 1992 and German reunification. In terms of organization, ABB Germany has created a holding company and has separated operations and service activities into legally independent units, a shift that is gaining popularity in Europe. Strategic opportunities and challenges are described for two business areas: standard products and transportation. Why does ABB prefer to break the organization into legally separate units? What are the advantages and disadvantages of this approach? What, as a result, is likely to happen to the international matrix? What explains the recent success of standard products? What will happen to the transportation business in Europe? Will the German operation become ABB's European locomotive? May be used with: (9-393-130) 'ABB Deutschland (A)'; (9-393-131) 'ABB Deutschland (B)'; (9-393-132) 'ABB Deutschland (C)'.

Settings

Location:
Size:
Large, 33,000 employees, USD5 billion revenues
Other setting(s):
1990-1991

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