Organizational Changes in Russian Industrial Enterprises: Mutation of Decision-Making Structures and Transformation of Ownership

Abstract

The paper summarizes the results of 20 case studies in Russian domestically oriented industrial companies. Through interviews with corporate executives and surveys of employees we revealed the changes in decision-making authority and transformations in control structures. Five major types of control, currently prevailing in Russian industrial companies are identified, and their strengths and weakness for building consistent corporate strategies are outlined. The possession by top executives of blocking interests (25-30% of the stock) in their companies is considered to be a necessary pre-requisite for building a consistent adaptation strategy.