Renewal projects: Sender target and receiver competence in ABB "T50" and Skanska "3T"

Eskil Ekstedt and Hans Wirdenius

Scandinavian Journal of Management, 1995, vol. 11, issue 4, 409-421

Abstract: Renewal endeavors on the part of top management can focus either on the individual and organizational levels or on the physical and institutional levels. Changes directed specifically towards individuals and the organization tend to "fade away", while structural and institutional changes leave deeper marks on the organization. Here we compare ABB's radical renewal project T50 with a similar initiative in Skanska 3T. ABB is dominated by flow-process oriented companies, while Skanska is a typical representative of project production. There are physical, institutional, organizational and individual differences between the two production cultures, which restrict top management's choice of focus for change. These differences also determine the competence of organization members to receive the renewal message sent by top management.

Date: 1995
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