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Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

The Swedish (and European) instrument mechanical industry has experienced a crisis since they started to meet serious competition from Bal- tic and South East Asian countries some years ago. The biggest competitors nowadays come from China; this phenomenon has commonly been called the “Chinese threat”. Being aware of the seriousness of the situation, cor- porations in several European countries have decided to combine their strengths and form clusters (as e.g. in Portugal). In Sweden, so far, such forms of cooperation have been less common.The leaders of three firms in Middle Sweden – Modellteknik AB in Eskilstuna, T-mold AB in Tvärred/Ulricehamn and Formverktyg in Nynäshamn AB – decided to go together and form a cooperation in order to improve their chances of surviving in the Global marketplace. Although these companies differ considerably in their routines and their traditions, and even though they are located in different areas, these firms are in the process of growing together to meet future challenges. The cooperation has taken a rather loose and flexible form, i.e. non-institutionalised, which leaves room for other potential firms to join the project., krAft project, Case ID-009, krAft

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

The Swedish (and European) instrument mechanical industry has experienced a crisis since they started to meet serious competition from Bal- tic and South East Asian countries some years ago. The biggest competitors nowadays come from China; this phenomenon has commonly been called the “Chinese threat”. Being aware of the seriousness of the situation, cor- porations in several European countries have decided to combine their strengths and form clusters (as e.g. in Portugal). In Sweden, so far, such forms of cooperation have been less common.The leaders of three firms in Middle Sweden – Modellteknik AB in Eskilstuna, T-mold AB in Tvärred/Ulricehamn and Formverktyg in Nynäshamn AB – decided to go together and form a cooperation in order to improve their chances of surviving in the Global marketplace. Although these companies differ considerably in their routines and their traditions, and even though they are located in different areas, these firms are in the process of growing together to meet future challenges. The cooperation has taken a rather loose and flexible form, i.e. non-institutionalised, which leaves room for other potential firms to join the project., krAft project, Case ID-009, krAft

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft

The Swedish (and European) instrument mechanical industry has experienced a crisis since they started to meet serious competition from Bal- tic and South East Asian countries some years ago. The biggest competitors nowadays come from China; this phenomenon has commonly been called the “Chinese threat”. Being aware of the seriousness of the situation, cor- porations in several European countries have decided to combine their strengths and form clusters (as e.g. in Portugal). In Sweden, so far, such forms of cooperation have been less common.The leaders of three firms in Middle Sweden – Modellteknik AB in Eskilstuna, T-mold AB in Tvärred/Ulricehamn and Formverktyg in Nynäshamn AB – decided to go together and form a cooperation in order to improve their chances of surviving in the Global marketplace. Although these companies differ considerably in their routines and their traditions, and even though they are located in different areas, these firms are in the process of growing together to meet future challenges. The cooperation has taken a rather loose and flexible form, i.e. non-institutionalised, which leaves room for other potential firms to join the project., krAft project, Case ID-009, krAft

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft

The Swedish (and European) instrument mechanical industry has experienced a crisis since they started to meet serious competition from Bal- tic and South East Asian countries some years ago. The biggest competitors nowadays come from China; this phenomenon has commonly been called the “Chinese threat”. Being aware of the seriousness of the situation, cor- porations in several European countries have decided to combine their strengths and form clusters (as e.g. in Portugal). In Sweden, so far, such forms of cooperation have been less common.The leaders of three firms in Middle Sweden – Modellteknik AB in Eskilstuna, T-mold AB in Tvärred/Ulricehamn and Formverktyg in Nynäshamn AB – decided to go together and form a cooperation in order to improve their chances of surviving in the Global marketplace. Although these companies differ considerably in their routines and their traditions, and even though they are located in different areas, these firms are in the process of growing together to meet future challenges. The cooperation has taken a rather loose and flexible form, i.e. non-institutionalised, which leaves room for other potential firms to join the project., krAft project, Case ID-009, krAft

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

A relatively young company in a very competitive environment, Bräcke Trähuskomponenter AB, located in Bräcke in Northern Sweden face problems of profitability. The company mainly produces construction elements for wooden houses. Since its start in 2000, the company has tried to obtain structural support from the county administration but this has been denied several times. Trying to improve the financial situation of the company, the CEO decided to invest in management training of the staff in order to build a more efficient cooperation between the workers. To achieve this a team supervisor was hired who taught a number of manag- ers about how to lead groups according to the so called PUFF-model. The essence of the model is to establish goals, suggest measurements and con- tinuously follow up de facto accomplishments. Although this model soon showed some results, the company still depends on outside help. The CEO is still relying on subsides for the future existence of the company. Small companies often tend to underestimate market forces.

The Swedish (and European) instrument mechanical industry has experienced a crisis since they started to meet serious competition from Bal- tic and South East Asian countries some years ago. The biggest competitors nowadays come from China; this phenomenon has commonly been called the “Chinese threat”. Being aware of the seriousness of the situation, cor- porations in several European countries have decided to combine their strengths and form clusters (as e.g. in Portugal). In Sweden, so far, such forms of cooperation have been less common.The leaders of three firms in Middle Sweden – Modellteknik AB in Eskilstuna, T-mold AB in Tvärred/Ulricehamn and Formverktyg in Nynäshamn AB – decided to go together and form a cooperation in order to improve their chances of surviving in the Global marketplace. Although these companies differ considerably in their routines and their traditions, and even though they are located in different areas, these firms are in the process of growing together to meet future challenges. The cooperation has taken a rather loose and flexible form, i.e. non-institutionalised, which leaves room for other potential firms to join the project., krAft project, Case ID-009, krAft

Having been a contract manufacturing company, TOMVA AB gradually reduced its mechanical production and concentrated upon its core activities, the development of machines and machine components. In addi- tion, some employees have started as pure consultants within the mechani- cal industry.The come about of this development was in large due to the personal crisis the company’s founder and CEO suffered from during the years 2001- 2003 when it became clear that he was involved in too many sides of the business. He believes that his problems, largely one of not being able to limit himself, are typical for many entrepreneurs who start, build, adminis- trate and try to develop and extend their business. In the long run the risk is that enormous pressure and responsibility are accumulated and solely rest upon the entrepreneur’s shoulders. Due to this situation he was forced to re- think and re-organize the entire company.For TOMVA today competences have been strengthened within cer- tain key areas, and a great part of the decision-making process is left to the co-workers. The company now leaves much of its production to other sub- contractors and concentrates upon design, development, service and consult- ing., krAft project, Case ID-003

tarting out as a family business within environmental tech- niques, Mercatus Engineering AB, with its base in Vimmerby/Småland, grew rapidly during the 1990s when protection of the environment was a new market. After a short period of uncertainty in 1999, the board decided to invest intensely in its staff and in the re-organisation of the company. During one year all employees were given special training with the goal to obtain a higher degree of team spirit. The company says the investment has paid off. Mercatus has received a row of awards for their efforts.Although such staff training might be fruitful for the company at- mosphere, and companies frequently mention it as a reason for improve- ments, the question is whether it is the primary reason for the increased earnings and effectiveness of many companies. Investment in staff is a well used form of marketing, both internally and externally. Companies typi- cally want to show that their individual actions are the real reasons for change when in many cases it is Business cycles and external forces. After a period of slack environment issues have become a booming market again. New technologies are developed and launched successfully., krAft project, Case ID-001, krAft

Office furniture company Glimakra Akvamatik AB, with its base in Glimåkra/Southwest Sweden, underwent several steps of technical improve- ment in order to maintain its competitive position in the Swed- ish/Scandinavian market. The furniture branch was hit by a satu-ration of the market in the beginning of this decade. This change was mainly due to and ran parallel with the drastic decline of the IT-market.Glimakra’s overall strategy has been continuous investment in new technologies followed by marketing research: Primarily investing in re- search of sound absorption, the administrative board decided to intensify their marketing activities by employing academic assistance in order to pro- duce an objective documentation of the effects of their screen systems. Throughout the tests specific prerequisites were applied in order to copy an authentic office situation. When companies start to invest more in their busi- nesses again Glimakra hopes to regain a considerable part of their market for office furniture in Scandinavia., krAft project, Case ID-004, krAft

Being a small company within the metal industry, Berglunds Mekaniska AB, located in Löddeköpinge/South Sweden, faces a lot of the typical problems of the branch. The metal industry is a low tech segment. The problems become particularly clear in smaller companies. Many of these companies lack even a clear vision for the firm’s future. Few have developed a strategy. An immediate consequence is that these companies are more vul- nerable to change in demand as they find themselves at the mercy of a small local market.The mechanical industry has traditionally been considered to be con- servative. With increased competition the acquisition of new knowledge has become a necessity. Smaller companies like Berglunds are increasingly de- pending upon outside help for their survival. With the case of Berglunds, an external business consultant has showed how both administration and lead- ership have been run ineffectively. These problems are to be improved suc- cessively by continuously coaching the CEO/owner and the staff. The coach- ing process is planned to be maintained for a longer period of time., krAft project, Case ID-002, krAft