The Restructuring of ABB India
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ICMR HOME | Case Studies Collection
Case Details:
Case Code : BSTR143
Case Length : 12 Pages
Period : 1998-2004
Organization : ABB
Pub Date : 2005
Teaching Note :Not Available
Countries : India
Industry : Heavy Engineering
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Background Note The history of ABB, the Swedish-Swiss construction-based conglomerate, could be traced back to the mid-1880s. In 1883, Ludvig Fredholm established 'Elektriska Aktiebolaget' in Stockholm, Sweden, to manufacture electrical lighting and generators.
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In 1890, the company merged with 'Wenstroms & Granstroms Electriska Kraftbolag' to form 'Allmanna Svenska Electriska Aktiebolaget', later known as 'Asea'. In 1891, Charles EL Brown and Walter Boveri established Brown, Boveri and Cie (BBC) in Baden, Switzerland. Brown-Boveri was the first company to transmit high-voltage AC power. In 1988, Asea and BBC merged to form ABB (Asea Brown Boveri Limited), one of the world's largest electrical engineering companies. The company was headquartered at Zurich, Switzerland. In the first year of the merger, ABB acquired nearly 40 companies and later embarked on a large-scale expansion program in Central and Eastern Europe, Asia and both the Americas through strategic investments, joint ventures and acquisitions.
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By 2003, the ABB Group of companies operated in around 100 countries with a workforce of 115,000.4
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ABB Limited was a global provider of power and automation technology to utility and industry customers. The power technology division offered a broad range of products, systems and services for efficient and environment-friendly power transmission and distribution.
The automation technology division delivered products and services for industrial control and enabled plant and process automation across all major industrial sectors. Since the late 1990s, BB had shifted focus from large-scale solutions to alternative energy solutions and advanced products and technology in power and automation... |
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