The strange and cumbersome corporate beast that is the industrial conglomerate must adapt — or die. In the US, General Electric’s share price has collapsed since its troubled power equipment division slumped to a loss and concerns grew about its financial health. In Switzerland, speculation swirls over Zurich-based ABB, which is in talks with Japan’s Hitachi about divesting all or part of its power-grids division. In the limelight is Ulrich Spiesshofer, ABB’s Germany-born boss since 2013. A company veteran, he transformed ABB’s robotics division, which is now its fastest growing unit. As chief executive he has cut costs and focused the group, which has annual sales of $34 billion, around four pillars: industrial automation and electrification, as well as robotics and power grids. Yet ABB continues to underwhelm investors. Its share price has fallen 20 per cent over the past year, compared with 13 per cent at German rival Siemens. (GE is down 55 per cent). Two years ago, ...
