FAG Kugelfischer : A German Restructuring

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Publication Date:
March 12, 1998

Industry:
Manufacturing

Industry:
Financial Services

Source:
Harvard Business School

A large German manufacturer of ball bearings and precision machinery experiences severe financial difficulty brought on by poor management practices, an ill-conceived acquisition of a former East German ball-bearings company, and an industry recession. The company hires a German professional turnaround manager who in past turnarounds of German firms has engaged in “U.S.-style” corporate downsizing practices including massive layoffs and asset sales.

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FAG Kugelfischer : A German Restructuring

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