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Article

Combining Contemporary and Soviet-Era Management Practices to Achieve Excellence at Knauf CIS

Global Business and Organizational Excellence. 2014. Vol. 33. No. 6. P. 21-34.

This study analyses the development of Russian manufacturing subsidiaries of MNCs, by underlying the close relationship between local embeddedness and business excellence. We illustrate this relationship by the example of Knauf CIS, a subsidiary of international family-owned company Knauf. We find that the  relationship between Knauf’s HQ and Knauf CIS does not hinder the subsidiary’s creativity, and innovativeness; subsidiary’s management processes successfully combine the HQ’s management standards and guidelines with specific managerial and innovation routines, that in a great part are reminiscent of the practices in the Soviet industry during the period of its rapid development (1955-1978).