Wilh Wilhelmsen ASA of Norway was a traditional ship owning company that had diversified into the ?Maritime Services' sector. In addition to cargo transportation, its two main ?service' business areas were Ship Management (Barber International) and Port Agency (Barwil), established in 1975. Both companies had become big brand names in their respective fields. However, in recent years, there had been a noticeable slowdown in the net earnings of these companies, and initiatives were being taken to improve the bottom line. Consequently, in late 2003, the top management set up a project team to study the situation, and recommend the way forward to make the businesses improve their ROR. Phase One of the projects involved gathering relevant data through external and internal surveys, and recommending strategic changes to achieve the desired result. This was to be completed by end March 2004. Phase Two was to be the implementation of the proposed strategies, scheduled from April to December 2004. An analysis of the survey results show that Barber and Barwil were fundamentally different when it came to customers, work environment, and even employee ethos, and there was little by way of synergies. The project team faced the challenge of examining various strategic options to make their recommendations, which, if approved by the Board, would signal the launch of Phase Two.