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Suggests that adopting fashionable activity‐centred programmes such as TQM or re‐engineering, to parts of the entire organization without a general strategy tying them to long‐term corporate goals, seldom leads to desirable results. Indicates how an organization can build a climate which fosters creativity, harmony and teamwork, where continuous improvement becomes a way of life. Describes an integrated organizational development programme and its application in Bangor Hydro‐Electric Company. Shows how the company changed its culture,structure and operating procedures in order to to meet the demands of its rapidly changing environment.

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