ABB: Accountability Times Two (B)

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Publication Date:
May 19, 1992

Industry:
Energy & Natural Resources

Source:
Harvard Business School

Describes internal allocation conflicts in a complex global company structured as a matrix organization. ABB Switzerland has secured and will build an important power station project; however, internal market allocation policies dictate that this work be handled by ABB Sweden. Transfer pricing issues are described. The president of ABB Switzerland must decide whether or not to escalate the conflict up to superiors for resolution.

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ABB: Accountability Times Two (B)

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