From complexity to clarity: How ABB transformed its operating model (B)

Senior leaders rarely get their most important work done by issuing orders. A CTO cannot compel a partner firm, a dean cannot order a faculty to embrace a curriculum, a ministry cannot be forced to share data. On the questions that matter, outcomes depend on people with agendas and loyalties of their own. This note details a two-part discipline for understanding and influencing stakeholders. The diagnostic section asks who can affect the outcome, where their influence comes from and how things look from their side. It challenges common intuitions: coalitions beat individuals, intensity beats headcount, friendships are not alliances, and the fiercest resistance defends identity and legacy, so no concession will buy it off. Tools include the influence-alignment matrix, network mapping, listening tours, decision archaeology and force-field analysis. The strategic section converts diagnosis into movement, i.e. how to: frame each ask in the currency the audience values, sequence conversations so support accumulates before the decisive meeting, secure small commitments and avoid reactive coalition building, where a leader's own defensiveness unites opponents who agree on nothing else. Written for leaders in business, universities, government and non-profits, the note compares stakeholder management challenges across sectors and closes with a transparency test separating influence from manipulation. A companion exercise (IMD-2789-E) turns the frameworks into a plan for a live challenge.

Founded in 1920 as a modest trading house in the Arabian Gulf, Zamil Group has grown into one of the Middle East's most diversified business groups, with activities spanning manufacturing, petrochemicals, real estate and investments. As the portfolio expanded and some operating companies were listed or divested, the family gradually shifted from a family‑managed operating conglomerate toward a financial holding model. This strategic transition fundamentally reshaped the family's role – from hands‑on operators to long‑term owners and stewards of a diversified portfolio. At the heart of the case is the question of how enterprising families define success. Rather than equating success solely with financial performance or the preservation of specific legacy assets, the AlZamil family articulates a broader, multi‑dimensional conception of success that includes long‑term continuity, professionalization, societal contribution and the preparation of future generations. The case explores how this definition of success informs key governance choices, such as stricter family employment policies, the increasing reliance on non‑family executives, and the creation of a family office dedicated to wealth management and next generation development. The case also surfaces an important tension faced by many long‑lived family firms: whether selling a founding or symbolic business should be viewed as a failure or a responsible act of stewardship. By presenting the sale of the AlZamils' legacy business, the case invites participants to contrast a heritage‑preservation logic with a stewardship‑and‑portfolio logic and to reflect on how different families reconcile emotional attachment with long‑term adaptability. The case is based on interviews with four family members holding leading roles in the AlZamil family enterprise system.

Unlock senior leaders’ competitive edge: how AI elevates decision-making, coaching, and talent management – while mitigating cognitive offloading and bias.

In 2022, Novo Nordisk was transitioning from its longstanding focus on diabetes treatments to multiple therapeutic areas while navigating other important challenges: • Changing market, competitive and regulatory environments • Dramatic growth due ...

Daniela Studer, a highly accomplished executive with a background in engineering and global leadership, now serves as the only woman on the board of Flosser, a niche construction materials company recently acquired by a larger public firm. Despite her expertise and a mandate to professionalize the board, Daniela finds herself struggling to influence the top management team. Dysfunctional dynamics that range from a lack of trust in the CTO to an exclusive relationship between the CEO and CFO threaten Flosser's performance and culture. Daniela's attempts to address these issues are met with resistance; her direct style, celebrated in her previous executive roles, is now seen as abrasive, and she is advised to be "gentler" in her board interactions. This case invites readers to reflect on the challenges of transitioning from an executive to a non-executive director role, a situation in which authority is more about influence than direct control. Daniela's dilemma – whether to confront the CEO directly, adapt her approach, or remain silent – raises critical questions: Is her struggle rooted in the inherent limitations of non-executive power, related to the entrenched culture of a family business or is there an element of unconscious gender bias? Does her experience as a minority on the board shape how her contributions are received, or is the resistance she faces more about her methods? Ultimately, the case challenges readers to consider what it truly means to lead from the boardroom, how to navigate complex interpersonal and organizational dynamics, and how gender and role expectations intersect to shape the effectiveness and credibility of board members.

The case describes Hilti's transformation from a premium tool maker to a solution provider in commercial construction, while keeping its innovation leadership. Confronting industry pain points such as lost tools, downtime, safety risks and thin margins, Hilti created Fleet Management FM. This subscription bundles NURON tools, repairs, loaners, theft coverage, and Hilti's ON!Track asset management system into predictable monthly payments. IoT connectivity delivers real-time insights on utilization, battery health and maintenance. Moving towards end-to-end optimization E2E, FM digitally connects warehouses, vans and administrative processes, unlocking measurable productivity and margin improvement. FM also operationalizes circularity: productivity analyses right-size tool parks often by 2030 fewer assets, tools are refurbished or donated for a second life, and non-usable materials are recycled via a global network of local partners. The case illustrates how business model innovations with global coverage necessitate fundamental organizational transformations that can take many years. It allows students to develop concise, concrete and convincing value propositions in a B2B market environment. It also facilitates a discussion on solution readiness offering, supplier, contract, and customer and the identification of a sustainable competitive advantage based on the VRIO framework.

How can a global conglomerate radically simplify its operating model?

Philip Morris International CEO Jacek Olczak discusses the triumphs and challenges of a bold business transformation with Jean-François Manzoni.

The good news is that the tech giant is planning a handover while the business remains strong. After more than a decade at the helm, Mr Tim Cook's time as Apple's chief executive is, reportedly, nearing its end. The iPhone maker's board has steppe...

This technical note presents a comprehensive framework for achieving adaptive advantage, which is the ability to consistently evolve at a speed that surpasses environmental and competitive change. In today's rapidly changing business environment, ...