Managing companies which are part of international groups

Over the years, many Swedish companies have come under foreign ownership, often as part of large, international groups.

This means that the company and its management face tough and rather different challenges than when the company was in Swedish ownership.

Unfortunately, and, it has to be said, sometimes unnecessarily, in some cases the consequences have been drastic, with the closure or relocation of all or part of a company, e.g. research or production units.

Over the years, Impact has worked with a number of companies which have found themselves in foreign ownership. We want to highlight some of the factors which have to be considered to ensure a successful outcome, whether the operation remains in Sweden or moves offshore.

• Take the time to familiarise yourself with and understand the owner company, its management and the culture brought about by the new situation
• Provide the Group management team and owners with the information they request
• Be proactive and maintain the initiative through frequent communication
• Do not promise too much
• Always deliver according to plan
• When faced with a choice – give Group units priority over your own operation and local customers
• Always explain the rationale behind what is happening to the staff, and work actively to create a context and promote cooperation within new constellations

Our own attitude may influence the decisions made by our owners. The secret is to both make and demonstrate on-going improvements in efficiency and effectiveness to justify our continued existence.

Internal campaigns are important in creating understanding and the right conditions. For example, Sweden is at the outer rim of the market and is basically an expensive country for production operations. If we are to survive, our performance and efficiency must be second to none.