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The introduction of new industrial legislation in 1987, in the former Soviet Union, followed a policy of decentralization in which factories were given increased authority to seek their own customers and suppliers, agree prices, and to engage directly in foreign trade. Additionally, from 1987, various forms of co‐operative enterprise and leasing were established, State price controls began to be lifted from many products, and the groundwork was established for a wide range of industrial assets to be converted from public to private ownership. Discusses the major features of technological change and management behaviour likely to occur in the Commonwealth of Independent States, as enterprises continue to operate in an environment of decentralization in which authority and responsibility is being transferred to them from the previous State committees and industrial ministries. Specific attention is paid to the likely effects of this decentralization on markets,innovation and quality within the Commonwealth of Independent States. Details possible changes in supplies, workforce management, and management development as the effects of decentralization are diffused throughout these areas of industrial activity.

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