Abstract
Multinationals experienced a great growth after the European postwar boom. Factors in the 1970s included increasing competition from the United States, the emerging European market, as well as ongoing economic crises and changes in the international economy. The articles analyzes three case studies of Western European chemical companies—Hoechst, Akzo, and Rhône-Poulenc—to show the consequences of structural changes on management and the workforce. This article argues that (1) domestic export-oriented supplement investments lost importance, and the domestic workforce had a harder time meeting qualification requirements; (2) organizational changes incorporated divisional competitive elements into a company’s organization of work; and (3) managers had to learn to respect national path dependencies and specific skills of the local workforce. Furthermore, it illustrates the developments of the workforce in Europe and abroad and stresses the importance of nationality within the management of multinationals.
Highlights
Chemical Industry Reorganization in Western EuropeEurope’s economic “Golden Age” occurred between 1948 and 1973, when a compromise between management and labor was facilitated.1 High domestic demand and high exports characterized the European postwar boom; managerial decisions about investments abroad were accepted by employees because these supplemental investments were minimal and did not endanger home production
The managerial organization of work, the workforce structure, and the staffing policies of the companies in these three case studies were by no means completely parallel due to the individual business histories and the national contexts of the parent companies
For example, was foremost a producer of chemical fibers, Hoechst and Rhône-Poulenc were active in this business, too
Summary
Multinationals experienced a great growth after the European postwar boom. Factors in the 1970s included increasing competition from the United States, the emerging European market, as well as ongoing economic crises and changes in the international economy. This article argues that (1) domestic export-oriented supplement investments lost importance, and the domestic workforce had a harder time meeting qualification requirements; (2) organizational changes incorporated divisional competitive elements into a company’s organization of work; and (3) managers had to learn to respect national path dependencies and specific skills of the local workforce. It illustrates the developments of the workforce in Europe and abroad and stresses the importance of nationality within the management of multinationals
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