Publications
Publications
- March 1995 (Revised January 1998)
- HBS Case Collection
Germany's Evolving Privatization Policies: The Plaschna Management KG
Abstract
Describes the evolution of the German government's approach to restructuring East German firms. Three organizations and their interactions are examined: 1) the Treuhand, Germany's privatization agency; 2) the Plaschna Management KG, a private organization funded by the Treuhand and designed to reduce the potential inefficiency of state-owned enterprises; and 3) VEM, an electric motor producer that was once a large Kombinat and is now the largest firm managed by the Plaschna Management KG. Particular attention is paid to the Plaschna Management KG, an organization created to address problems with state-owned enterprises by specifying precise tradeoffs between multiple objectives and by constraining the government from actively interfering in management decision making.
Keywords
Citation
Dyck, Alexander, and Karen Wruck. "Germany's Evolving Privatization Policies: The Plaschna Management KG." Harvard Business School Case 795-120, March 1995. (Revised January 1998.)