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Selected Case

published: 12 Jan 1993

  • Topic: Leadership & Organisations
  • Industry: Automotive
  • Region: Europe

This case documents a major restructuring of Daimler-Benz's holding organization in 1993. It considers the rationale for the change, the introduction of the changes, and an initial evaluation. The goal was to debureaucratize the Holding so as to be able to respond more quickly to the demands of the business units.

Pedagogical Objectives:
This case provides students with an inside look of how a large industrial giant is attempting "to learn to dance". The ambitions of the restructuring were extensive, as were the difficulties initially in implementing the change. Instructors can discuss the challenge of cultural and structural changes as well as some of the technologies for overcoming resistance.