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Case Study

ABB Turbocharging (B): Implementing change in turbulent times

By Winter Nie, Wolfgang Ulaga and Athanasios Kondis

5 pages

November 2014

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Reference: IMD-3-2431

It is 2013 and the setting is very different. ABB’s performance during the last two years had been unsatisfactory and a series of developments in its external environment posed a unique set of challenges. Management decided to respond and launched a new segmentation initiative, laying the foundation of its future differentiation strategy. Case B provides an update on Sales 2010 a major sales initiative that was introduced at the end of 2007 and elaborates on the wave of change that took place since then; global financial crisis, Swiss franc crisis, overcapacity in the shipping industry and the intensifying competition on both fronts: product and service. It offers an overview of the new segmentation initiative and concludes by highlighting the challenges behind translating strategy to action.

Learning Objective

What does the current strategy prevent ABB from doing? How do you implement the segmentation and transform it into a growth driver? Is ABB ready to translate the value proposition into new product and service offerings? What are the implications for your internal (sales organization, R&D, manufacturing) and external (engine builders and end-users) customers? How do you convince them to buy-in?

Keywords

Change Management, Business to Business, Automation Technology, Power Technology, Process Automation, Turbocharging System

Settings

World/global, Switzerland
Asea Brown Boveri
2007

Type

Field Research

Available Languages

English

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