ORGANIZATIONAL CHANGE WITHIN THE SWEDISH HEALTH CARE SECTORFor the last two decades, introducing and implementing new organization and management models have been particularly common aspects of the health care sector in both Sweden and other European countries. In the mid-1980s, the health care sector adopted market-based models for organization and management that were inspired by those used by private organizations. The collective term for this international trend is New Public Management. This new management method consisted in part of establishing purchaser units and replacing the traditional grant-based budget and budget dialogue with negotiations and agreements between purchaser and producer, buyers and sellers. Many areas, however, experienced considerable implementation problems and in Sweden the model had hitherto never been fully implemented according to the original idea (for a more in-depth account, see for example, Hallin and Siverbo, 2003). In order for the provider of financial resources to avoid financial problems, there is a cap on the number of reimbursable services, which eliminates the financial incentive to expand operations beyond a certain level. Another limitation is that the orders are not specific with regard to quality and therefore, they only have a limited impact on operations (see for example, Berlin, 2006). The purchaser/producer model entails a strict division of labor as well as a far-reaching decentralization, which produces a risk of sub-optimizing and higher transaction costs.A few years into the 1990s, the ideal of the market model was replaced in Sweden by the idea of cooperation. Cooperating across organizational boundaries and finding efficient solutions was supposed to ensure good and accessible health care and address the risk of sub-optimizing. Hospital units were merged based on the ideal of cooperation. The changes, therefore, were more fundamental than mere cooperation between independent organizational units. Independent hospitals merged according to the fashionable term of the day. Independent hospitals formed hospital groups with divisions and a joint corporate leadership. Another example of a new structure was the so called team hospitals. In some instances the process was quick. Results from evaluations of the market models * The authors are respectively, Professor and Prorector at University College of Borås, Sweden; and a Researcher at