Ivey Publishing

Management

Hitt, M., Black, S., Porter, L.W.,2/e (United States, Pearson, 2009)
Prepared By Mehdi H. Nejad, Ph.D. Student (Strategy)
Chapter and Title Chapter Matches: Case Information
Chapter 1:
The Nature of Management

RETAIL EXECUTION: LINENS 'N THINGS
Adenekan (Nick) Dedeke

Product Number: 9B09M067
Publication Date: 10/30/2009
Revision Date: 2/26/2010
Length: 13 pages

In the decade that the chairman, president and chief operating officer of Linens 'N Things (LNT) had been leading the firm, there had been significant changes to the industry. Specifically, its main competitor was experiencing higher sales and profits with the result of increased market share. External advice was sought to identify strategies available to LNT to catch up to its competitor and a successful Guest Oriented, Locally-Driven (GOLD) pilot was launched. Due to dwindling interests and internal resistance to the initiative, however, the chairman was left to decide what to do with the roll-out. He had several options to consider: Should he maintain the current pilot, or simply shut it down? Could it be changed or altered to encourage participation? Should it be district-specific? Or perhaps issuing an executive mandate would generate involvement. The chairman knew any decision would have to consider these and other cultural and strategic issues.

Teaching Note: 8B09M67 (11 pages)
Industry: Retail Trade
Issues: Retailing; Organizational Change; Operations Management; Strategic Management; Leadership Issues; Organizational Culture; Northeastern
Difficulty: 4 - Undergraduate/MBA



TRANSKIN INCOME FUND: LEADING ENTREPRENEURIAL TEAMS
Gerard Seijts, Jana Seijts, Ken Mark

Product Number: 9B09C016
Publication Date: 9/1/2009
Length: 10 pages

Transkin Income Fund provided freight transportation services in Canada and the United States. In mid February 2009, in response to a sharp fall in demand for transportation services due to the economic crisis, the chief operation officer had suggested that each of his six freight divisions and six support divisions and the corporate division should all implement a salary rollback. The chief operating officer (COO) believed that a strong message needed to be sent to customers, shareholders, banks, owner-operators, drivers and suppliers that Transkin was being proactive by taking action internally to ride out the crisis. Two of the 13 general managers resented the COO's plan. The two dissenters were from Transkin's two most profitable divisions; they were also the most senior executives. Both had their own reasons to resist the COO's idea. The COO wondered how he should respond to both dissenters - he wanted the support of every general manager for the salary rollback.

Teaching Note: 8B09C16 (7 pages)
Industry: Transportation and Warehousing
Issues: Leading Change; Motivation; Recession
Difficulty: 4 - Undergraduate/MBA



ING INSURANCE ASIA/PACIFIC
Rod E. White, Paul W. Beamish, Andreas Schotter

Product Number: 9B06M083
Publication Date: 1/9/2007
Length: 15 pages

The new chief executive officer (CEO) of ING Insurance Asia/Pacific wants to improve the regional operation of the company. ING Group was a global financial services company of Dutch origin with more than 150 years of experience. As part of ING International, ING Insurance Asia/Pacific was responsible for life insurance and asset/wealth management activities throughout the region. The company was doing well, but the new CEO believed that there were still important strategic and operational improvements possible. This case can be used to discuss the local versus regional or global management issue and will yield best results if the class has already been introduced to different strategic and organizational alternatives in the international business context.

Teaching Note: 8B06M83 (12 pages)
Industry: Finance and Insurance
Issues: Subsidiaries; Organization; Leadership; International Management
Difficulty: 4 - Undergraduate/MBA


Chapter 2:
Social Responsibility and Managerial Ethics

NEW BALANCE: DEVELOPING AN INTEGRATED CSR STRATEGY
Vesela Veleva

Product Number: 9B10M011
Publication Date: 1/28/2010
Length: 21 pages

This case focuses on New Balance, a privately held company and the fourth largest athletic footwear manufacturer in the world. Founded over 100 years ago, New Balance has a strong social responsibility culture and mission established by its owners. Its commitment to employees, for example, was expressed through maintaining domestic manufacturing in the United States (the only large footwear manufacturer to do so presently) and avoiding layoffs in the deep recession of 2007-2009. In the late 1990s, the company established the Responsible Leadership Steering Committee to address human rights issues in overseas factories. Throughout the years, private ownership had allowed New Balance to take risks and make choices that publicly held companies might not have been able to do; at the same time, private ownership also meant lower pressures to disclose social and environmental performance. The owners were also very humble and hesitant to talk aloud about social responsibility. As a global player, the present challenge for the company has become to move corporate social responsibility (CSR) to the next level from doing what's right to fully integrating CSR into the business strategy. The overall goal of the case is to use the provided information from a comprehensive company assessment to identify a few key areas where New Balance can focus on and demonstrate industry leadership while also supporting the bottom line. A set of key questions is included at the end of the paper to guide student's discussion around critical issues for building an integrated CSR strategy for New Balance, considering its culture, structure and present level of corporate citizenship management.

Teaching Note: 8B10M11 (8 pages)
Industry: Manufacturing
Issues: Corporate Social Responsibility; Strategy Development; Business Sustainability; Performance Assessment
Difficulty: 4 - Undergraduate/MBA



SAMSUNG TESCO HOMEPLUS AND CORPORATE SOCIAL RESPONSIBILITY
Youngchan Kim, Kwangho Ahn

Product Number: 9B09M040
Publication Date: 7/13/2009
Revision Date: 7/29/2009
Length: 17 pages

Samsung Tesco Homeplus (STH), one of Korea's large hypermarkets, increased its investment in social contribution activities and systemized the organization in charge in the aftermath. It especially focused on education and cultural services, saving the environment and sharing with others. As a consequence, by December 2008, STH was considered one of the most innovative companies and one that realized true customer value. It had won a variety of awards, such as the Green Management award, Social Contribution Company award and the Eco-friendly Management award. After creating a corporate social responsibility (CSR) team in 2005, it won the CSR award given by the British Chamber of Commerce in Korea and was selected as one of Korea's Most Admired Companies. While much progress had been made, company executives wondered what factors would be the keys to their continuing CSR activities. This case presents points of contention and issues in the practice of corporate social responsibility by STH. Social contribution activities and STH were aligned with both sustainable management and customer value-oriented management. Various activities in extended education, environment and charity ultimately led customers to view STH as not just a discount store that simply sold products, but a value store. STH conducted systematic programs and activities in the areas of extended education environment and charity after having declared itself a social contribution company. This case illustrates how a company can develop its social contribution activities. In addition, discussion will centre on the long-term impacts that social contribution activities have on enterprises.

Teaching Note: 8B09M40 (10 pages)
Industry: Retail Trade
Issues: Corporate Social Responsibility; Customer Value Management; Ivey/Yonsei
Difficulty: 4 - Undergraduate/MBA



ADAPTING TO CLIMATE CHANGE: THE CASE OF SUNCOR ENERGY AND THE ALBERTA OIL SANDS
Pratima Bansal, Jijun Gao

Product Number: 9B08M073
Publication Date: 9/22/2008
Revision Date: 11/18/2008
Length: 17 pages

The chief executive officer of an oil and gas company must decide whether he wants to invest heavily in reducing greenhouse gases. Specifically, Suncor Energy must evaluate whether it should invest $425 million in carbon capture and storage or wait until there is greater certainty in the political, social and business environment. The case will help students develop skills of analyzing business decisions under higher environmental uncertainty, especially when the outcome is a long-term goal. Further, the issues presented in the case open up discussions about climate change and the interaction between business actions and societal expectations. There is also an opportunity to speak about the interaction between business and public policy.

Teaching Note: 8B08M73 (8 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Decision Making; Tradeoff Analysis; Uncertainty
Difficulty: 4 - Undergraduate/MBA


Chapter 3:
International Management and Globalization

LUNDBECK KOREA: MANAGING AN INTERNATIONAL GROWTH ENGINE
Paul W. Beamish, Michael Roberts

Product Number: 9B10M012
Publication Date: 2/11/2010
Revision Date: 2/12/2010
Length: 16 pages

In 2005, the vice-president of Lundbeck, a Danish based pharmaceutical firm, needed to decide what to do with one of his most promising subsidiaries, Lundbeck Korea. Over its short lifetime, under the leadership of the country manager and the Asia regional manager, the subsidiary had grown well beyond the original goals set for it. The vice-president wanted to create a reporting structure and management mix that would balance the local demands that Lundbeck Korea required for growth with Lundbeck's overall strategy of specialization, speed, integration and results. The case also traces Lundbeck's internationalization efforts in Asia over the past 20 years. The company had grown from pure licensing arrangements to establishing its own country level subsidiaries. This case introduces the dynamic tensions between taking advantage of local management expertise and executing a corporate strategy developed for an entire global group. In addition, it illustrates the importance, but difficulties, of being sensitive to local management goals, while promoting a global corporate culture.

Teaching Note: 8B10M12 (19 pages)
Industry: Manufacturing
Issues: MNE Reporting Structures; International Strategy; Emerging Markets
Difficulty: 4 - Undergraduate/MBA



A SPEED RACE: BENELLI AND QJ COMPETE IN THE INTERNATIONAL MOTORBIKE ARENA
Francesca Spigarelli, Ilan Alon, William Wei

Product Number: 9B09M097
Publication Date: 12/23/2009
Revision Date: 9/30/2010
Length: 16 pages

In 2005, the Qianjiang Group (QJ), a large-scale Chinese state-owned group, acquired the Italian company Benelli to expand its business in Western markets beyond Italy. Benelli's brand advantage was intended to provide the core competency for QJ to compete in the global motorbike markets; in addition, Benelli's capabilities and know-how in motorbike and scooter engineering also helped QJ complete its product portfolio. After a successful start, the many cultural differences related to an Italian business model and a Chinese company became problematic. Problems arose in integrating Chinese and Italian cultures and in coping with a completely different way of doing business, and the company was facing stiff competition from Japanese competitors. Despite excellent press and large industrial investments aimed at gaining efficiency and reducing prices, penetration of Western markets was difficult.

Teaching Note: 8B09M97 (18 pages)
Industry: Manufacturing
Issues: China; Competitiveness; Mergers & Acquisitions; Internationalization
Difficulty: 4 - Undergraduate/MBA



GENPACT INC. - BUSINESS PROCESS OUTSOURCING TO INDIA
Shih-Fen Chen, Ramasastry Chandrasekhar

Product Number: 9B09M078
Publication Date: 10/21/2009
Length: 25 pages

In September 2004, the chief executive officer (CEO) of General Electric Capital International Services (Gecis) was examining the company's options. Based near New Delhi, India, Gecis was a business process outsourcing (BPO) company. Gecis was set up in 1997 as an off-shore unit of General Electric Company (GE) and was a wholly-owned subsidiary. Earlier in July of 2004, GE divested itself of 60 per cent of its stake in Gecis with the result that Gecis was no longer a subsidiary of GE and was thus free to seek non-GE business. As part of several changes underway, there was a name change to Genpact Inc. (Genpact). The change in identity required the creation of management bandwidth, particularly in new client acquisition and business development. Also called for was a re-examination of the BPO business as a product line to be delivered to unaffiliated clients. The CEO recognized the need to begin negotiations with potential global clients. Each deal would involve many complexities in terms of geographies, languages and services. The CEO also was aware that all clients had areas of concern including loss of control, operations stability, savings targets and cultural compatibility. The CEO wondered how to develop a client acquisition strategy for Genpact as it moved from being a captive to an independent service provider.

Teaching Note: 8B09M78 (11 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Globalization; Service Outsourcing; Strategic Management; Customer Acquisition
Difficulty: 4 - Undergraduate/MBA



ROARING DRAGON HOTEL
Stephen Grainger

Product Number: 9B08M004
Publication Date: 3/5/2008
Length: 7 pages

The case looks at the takeover of the Roaring Dragon Hotel (RDH), a state owned enterprise in south-west China, by global hotelier Hotel International (HI) and discusses the cultural collision and organizational adoptions resulting from the intersections of two significantly different business cultures. Specifically in this case, the focus is on the challenge involved with downsizing, redundancy, communication, cultural sensitivity, strategic planning and in developing strategy. In south-west China in 2002, the RDH business environment was just emerging from the shadow of the planned economy and had retained its guanxi-based organizational culture. At RDH, relationship development and the exchange of favors were still important and occurring on a daily basis and there was little system or efficiency in the hotel's domestic management style and processes. In comparison, Hotel International had a wealth of international experience in providing accommodation, marketing and professional management in servicing the needs of a global market steeped in corporate governance. At the commencement of the management contract there was a deep division separating the organizational cultures of RDH and HI.

Teaching Note: 8B08M04 (8 pages)
Industry: Accommodation & Food Services
Issues: China; Cross Cultural Management; Strategic Planning; Cross Cultural Communication; Cultural Sensitivity
Difficulty: 4 - Undergraduate/MBA


Chapter 4:
Individual and Group Decision Making

HEALTH NUT
Colleen Sharen, Vanessa M. Strike

Product Number: 9B08M053
Publication Date: 8/25/2008
Revision Date: 8/11/2009
Length: 13 pages

Late in the afternoon on January 20, 2006, one of the owners of The Health Nut hung up the phone. Her account manager had just called to tell her that the bank was not going to extend any further credit to her small retail natural health products (NHP) store located in Grand Bend, Ontario. She and her life and business partner had owned The Health Nut since May 2003. While they had successfully grown sales, the business was not generating enough cash to sustain itself and provide the partners with adequate compensation. As a result, the business relied heavily on borrowing from the bank. Now that the bank was no longer a source of financing, the owners had a major problem on their hands. What should they do now? Something was going to have to change. They had about four weeks left before the business ran out of cash. The students will learn: 1. The role of emotion in decision making. 2. The nature and importance of due diligence. 3. When to let go of the business. 4. The importance of having enough working capital. 5. The dangers of over reliance on debt. 6. The challenges of cash flow management.

Teaching Note: 8B08M53 (11 pages)
Industry: Retail Trade
Issues: Decision Theory; Bankruptcy; Cash Flow; Organizational Behaviour; Human Resources Management; Opportunity Recognition
Difficulty: 4 - Undergraduate/MBA



OQOQO: SOCIALLY CONSCIOUS FASHIONS
Kyle Murray, Ken Mark, Megan Sherritt

Product Number: 9B06A023
Publication Date: 11/6/2006
Length: 8 pages

Chip Wilson, founder of lululemon athletica, a Vancouver-based manufacturer, distributor and retailer of high quality yoga apparel, started a new streetwear line of apparel that would combine fashion with social consciousness. The apparel sold at OQOQO was made from natural and organic materials, under safe and fair working conditions, and it was produced in a way to reduce environmental impact. There were some problems regarding the sourcing of materials and the customer's perception of certain materials such as soy and hemp. Chip must decide whether to expand the number of OQOQO stores.

Teaching Note: 8B06A23 (5 pages)
Industry: Manufacturing
Issues: Decision Theory; Decision Analysis; Corporate Responsibility; Retailing; Product Strategy; Growth Strategy; Market Strategy; Decision Trees; Decision Support Systems
Difficulty: 4 - Undergraduate/MBA


Chapter 5:
Strategic Management

PACIFICLINK IMEDIA: BECOMING A FULL SERVICE INTERACTIVE AGENCY
Andrew Karl Delios

Product Number: 9B09M023
Publication Date: 8/27/2009
Length: 13 pages

This case presents the decisions facing the managing director/executive director of PacificLink iMedia (PacificLink), more than 10 years after he founded the company. The company had experienced periods of growth and decline since its founding and was facing a period of uncertain growth given the turmoil in world markets in 2009, following several years of strong growth and expansion. The director anticipated that the company could continue to grow into new geographic or product markets, or perhaps become fundamentally altered in its governance structure and financial resource base, through an initial public offering. The case involves analysis of these alternatives for growth. It can be used to teach about sources of competitive advantage and evaluations of growth alternatives. See also the first and third cases in the three-part series, 9B00M024 and 9B16M202.

Teaching Note: 8B09M23 (10 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Internet Marketing; International Business; Growth Strategy; Strategy Development
Difficulty: 4 - Undergraduate/MBA



IMAX: LARGER THAN LIFE
Anil Nair

Product Number: 9B09M019
Publication Date: 5/22/2009
Revision Date: 5/4/2017
Length: 18 pages

IMAX was involved in several aspects of the large-format film business: production, distribution, theatre operations, system development and leasing. The case illustrates IMAX's use of its unique capabilities to pursue a focused differentiation strategy. IMAX was initially focused on large format films that were educational yet entertaining, and the theatres were located in institutions such as museums, aquariums and national parks. However, IMAX found that its growth and profitability were constrained by its niche strategy. In response, IMAX sought to grow by expanding into multiplexes. Additionally, IMAX expanded its film portfolio by converting Hollywood movies, such as Harry Potter and Superman, into the large film format. This shift in strategy was supported by the development of two technological capabilities - DMR for conversion of standard 35 mm film into large format, and DMX to convert standard multiplexes to IMAX systems. The shift in strategy was partially successful, but carried the risk of IMAX losing its unique reputation.

Teaching Note: 8B09M19 (11 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Business Policy; Strategic Positioning; Industry Analysis; Corporate Strategy
Difficulty: 4 - Undergraduate/MBA



RESEARCH IN MOTION: MANAGING EXPLOSIVE GROWTH
Rod E. White, Paul W. Beamish, Daina Mazutis

Product Number: 9B08M046
Publication Date: 5/15/2008
Revision Date: 5/24/2017
Length: 19 pages

Research in Motion (RIM) is a high technology firm that is experiencing explosive sales growth. David Yach, chief technology officer for software at RIM, has received notice of an impending meeting with the co-chief executive officer regarding his research and development (R&D) expenditures. Although RIM, makers of the very popular BlackBerry, spent almost $360 million in R&D in 2007, this number was low compared to its largest competitors, both in absolute numbers and as a percentage of sales (e.g. Nokia spent $8.2 billion on R&D). This is problematic as it foreshadows the question of whether or not RIM is well positioned to continue to meet expectations, deliver award-winning products and services and maintain its lead in the smartphone market. Furthermore, in the very dynamic mobile telecommunications industry, investment analysts often look to a firm's commitment to R&D as a signal that product sales growth will be sustainable. Just to maintain the status quo, Yach will have to hire 1,400 software engineers in 2008 and is considering a number of alternative paths to managing the expansion. The options include: (1) doing what they are doing now, only more of it, (2) building on their existing and satellite R&D locations, (3) growing through acquisition or (4) going global.

Teaching Note: 8B08M46 (19 pages)
Industry: Manufacturing
Issues: Telecommunication Technology; Change Management; Globalization; Staffing; Growth Strategy
Difficulty: 4 - Undergraduate/MBA



STARBUCKS
Mary M. Crossan, Ariff Kachra

Product Number: 9A98M006
Publication Date: 5/14/1998
Revision Date: 5/10/2017
Length: 23 pages

Starbucks is faced with the issue of how it should leverage its core competencies against various opportunities for growth, including introducing its coffee in McDonald’s, pursuing further expansion of its retail operations, and leveraging the brand into other product areas. The case is written so that students need to first identify where Starbucks competencies lie along the value chain, and assess how well those competencies can be leveraged across the various alternatives. It also provides an opportunity for students to assess what is driving growth in this company. Starbucks has a tremendous appetite for cash since all its stores are corporate, and investors are betting that it will be able to continue its phenomenal growth, so it needs to walk a fine line between leveraging its brand to achieve growth while not eroding it in the process. This is an exciting case that quickly captures the attention of students.

Teaching Note: 8A98M06 (13 pages)
Industry: Accommodation & Food Services
Issues: competitiveness; industry analysis; growth strategy; core competence; coffee
Difficulty: 4 - Undergraduate/MBA


Chapter 6:
Planning

STRATEGIC PLANNING AT APPLE INC.
Kyle Murray, Miranda R. Goode, Fabrizio Di Muro

Product Number: 9B09A026
Publication Date: 1/11/2010
Length: 12 pages

Apple Inc. is one of the world's most successful and most recognizable companies. Over its 30 year existence, the company had seen a lot of changes in the computer industry. What would the future hold for the computer giant in a rapidly changing world? How should the company allocate resources between its more traditional offerings (computers) and its newer products (iPods, iPhones, Apple TV, etc.) in order to maintain and improve its market position. Also, how should Apple's unique retail strategy be used to support the company's product decisions, and by capitalizing on new and emerging trends thus further maintaining its competitive advantage.

Teaching Note: 8B09A26 (7 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Competitive Advantage; Strategic Planning; Retailing; New Products
Difficulty: 4 - Undergraduate/MBA



WESTJET IN 2009: THE FLEET EXPANSION DECISION
Stewart Thornhill, Ken Mark

Product Number: 9B09M063
Publication Date: 9/24/2009
Revision Date: 8/26/2010
Length: 18 pages

Thirteen years after it began operations with three airplanes, WestJet is the second-largest airline in Canada. It has grown revenues at an annual rate of 37 per cent per year for the past 11 years, and is poised to become the country’s dominant airline in the future. As it has grown, WestJet seems to have made changes to its original strategy of low-cost, no-frills, point-to-point, single-class service. The case examines WestJet’s strategy over the years and focuses on the company’s latest decision point: whether to add smaller planes to its single-model Boeing fleet. The objective of the case is to examine changes in a company’s strategy over time, and to review the potential impact of these changes on a company’s future performance.

Teaching Note: 8B09M63 (10 pages)
Industry: Transportation and Warehousing
Issues: Strategic Planning; Strategy Development; Strategic Positioning; Change Management; Airline Industry
Difficulty: 4 - Undergraduate/MBA



TURNAROUND AT THE STRATFORD FESTIVAL: IT IS A LOT LIKE DIRECTING A PLAY
Gerard Seijts, Ken Mark

Product Number: 9B06M026
Publication Date: 2/5/2010
Revision Date: 9/9/2009
Length: 15 pages

The executive director of the Stratford Festival of Canada was contemplating the organization's future. The Stratford Festival had come a long way since the dark days in the early 1990's. The recovery began with the artistic director, who had built substantial audience momentum through his artistic choices. The executive director, a former Stratford Festival actor, had been in the role for less than a year. He needed to determine what course of action he should recommend to ensure the Stratford Festival's survival and return to greatness.

Teaching Note: 8B06M26 (7 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Action Planning and Implementation; Change Management; Leadership
Difficulty: 5 - MBA/Postgraduate


Chapter 7:
Organizational Structure and Design

JACQUES KEMP: TOWARDS PERFORMANCE EXCELLENCE
Rod E. White, Andreas Schotter

Product Number: 9B06M084
Publication Date: 1/9/2007
Revision Date: 9/21/2009
Length: 19 pages

Over the past two years, ING Insurance Asia/Pacific had successfully implemented a new organizational and operational framework called Towards Performance Excellence (TPE), which was developed with inputs from functional heads, senior management and staff at the business unit level. TPE detailed and organized everything ING Asia/Pacific needed to execute its strategy effectively. TPE divided ING's business processes into six core categories: portfolio, marketing, organizational, operational, reputation and financial. Each category included aspects of execution known as drivers, which required managers to identify specific objectives and key performance indicators (KPIs) for each driver or sub-driver. The case includes many original exhibits and is ideally taught as the follow up case of the ING Insurance Asia/Pacific, Ivey product #9B06M083 or as a standalone case, which illustrates a real example of regional versus local organizational management.

Teaching Note: 8B06M83 (12 pages)
Industry: Finance and Insurance
Issues: Organizational Design; Organizational Structure; International Management
Difficulty: 4 - Undergraduate/MBA



BEIJING EAPS CONSULTING INC.
Mitch Rothstein, Lily Jiao Li

Product Number: 9B09C005
Publication Date: 3/31/2009
Length: 9 pages

Beijing EAPs Consulting Inc. (BEC) is a rapidly growing consulting company whose number of employees has increased from six to 16 in just one year. BEC has adopted a new project management system, using project managers to coordinate several employees from various departments. Due to the heavy workload, most employees must work on multiple projects. Collaboration between projects and department managers is not very smooth. The chief executive officer must decide how he can improve the collaboration efforts across the company's different departments.

Teaching Note: 8B09C05 (4 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: China; Organizational Change; Communications; Project Management; Organizational Structure
Difficulty: 2 - Intro/Undergraduate



ALICE SADDY: CARING FOR THE COMMUNITY
Colleen Sharen

Product Number: 9B08C016
Publication Date: 8/11/2008
Revision Date: 5/6/2014
Length: 10 pages

The human resources manager at the Alice Saddy Association (Alice Saddy), a non-profit agency in London, Ontario, Canada, supporting people with developmental disabilities who lived independently rather than in group homes, informed the executive director that some of the support workers believed that the current organizational structure caused confusion, slowed decision making and created potential risk for the people served by Alice Saddy. The executive director agreed that there were some problems related to the structure of the organization. However, the structure reflected the mission of Alice Saddy and changes were likely to be resisted by the management team for that reason. The executive director had to decide how to proceed.

Teaching Note: 8B08C16 (8 pages)
Industry: Social Advocacy Organizations
Issues: Organizational Structure; Corporate Culture; Mission Statements; Organizational Change
Difficulty: 4 - Undergraduate/MBA


Chapter 8:
Managing Diverse Human Resources

AGCHEMCO COMPANY
William J. Russell

Product Number: 9B08C001
Publication Date: 10/31/2008
Length: 14 pages

This case involves a personnel matter at an agricultural chemical industry mining complex. A middle-level supervisor has been accused of gender-based and other discrimination. The complaint has come primarily from one employee who works under that supervisor's direction, but is supported at least in part by the testimony of other employees. The evidence is typical of the sorts of evidence that usually attend human resource disputes. Company policy manuals bear on the propriety of the mill coordinator's conduct apart from the issue of discrimination. Ultimately, an appellate process is also integrated into the procedural tools. This case considers the process by which the employment discrimination complaint is investigated, considered and resolved, including the weighing and evaluation of information gathered from those in the workplace. Various practical, legal and ethical issues typical to such cases are apparent.

Teaching Note: 8B08C01 (12 pages)
Issues: Perception; Work-Force Management; Risk Management; Morale; Mining; Ethical Issues; Employee Grievances
Difficulty: 4 - Undergraduate/MBA



A DIFFICULT HIRING DECISION AT CENTRAL BANK
Mark S. Schwartz, Hazel Copp

Product Number: 9B06C004
Publication Date: 3/1/2006
Revision Date: 9/15/2009
Length: 21 pages

The case is designed to encourage readers to select among three highly qualified candidates for an important managerial position. In doing so, readers are required to establish the set of criteria that they believe should be taken into account when making an important hiring decision for the bank. Through the process of considering and prioritizing potential criteria with respect to the three potential candidates, readers are led to evaluate and reflect upon the vision, mission and core ethical values of the bank.

Teaching Note: 8B06C04 (13 pages)
Industry: Finance and Insurance
Issues: Ethical Issues; Corporate Culture; Human Resources Management; Employee Selection
Difficulty: 5 - MBA/Postgraduate



STAFFING WAL-MART STORES, INC. (A)
Alison Konrad, Ken Mark

Product Number: 9B04C006
Publication Date: 1/26/2004
Revision Date: 10/6/2009
Length: 9 pages

Wal-Mart Stores, Inc. is a large Fortune 500 retail chain. The distinction of being the top-ranked company comes with intense scrutiny from the public and, especially, critics. Wal-Mart, a company lauded for its rapid response capability and stated commitments to gender equality is shown to be deficient in some glaring areas - the percentage of women compared to men at all levels of the company, and the compensation paid to women versus men at all levels of the company, to cite two examples. An executive vice-president must examine why these inequalities exist when the company seems to be doing everything else right. The company is the target of several gender discrimination lawsuits and the executive vice-president has the opportunity to obtain information that would be useful in the current situation, and must determine what information is needed. In the supplement, Staffing Wal-Mart Stores, Inc. (B), product 9B04C007, the executive vice-president receives information and must determine how to address the situation.

Teaching Note: 8B04C06 (7 pages)
Industry: Retail Trade
Issues: Management Decisions; Pay Equity
Difficulty: 4 - Undergraduate/MBA


Chapter 9:
Leadership

STRATEGIC LEADERSHIP AT COCA-COLA: THE REAL THING
W. Glenn Rowe, Suhaib Riaz

Product Number: 9B08M040
Publication Date: 11/4/2008
Length: 15 pages

Muhtar Kent had just been promoted to the CEO position in Coca-Cola. He was reflecting upon the past leadership of the company, in particular the success that Coca-Cola enjoyed during Robert Goizueta's leadership. The CEOs that had followed Goizueta were not able to have as positive an impact on the stock value. When his promotion was announced, Kent mentioned that he did not have immediate plans to change any management roles but that some fine-tuning might be necessary.

Teaching Note: 8B08M40 (8 pages)
Industry: Manufacturing
Issues: Performance Evaluation; Management Style; Leadership; Corporate Strategy
Difficulty: 4 - Undergraduate/MBA



THERE IS NOTHING PERMANENT EXCEPT CHANGE... EVEN AT THE ICELANDIC POLICE DEPARTMENT
Gerard Seijts

Product Number: 9B08C009
Publication Date: 8/14/2008
Revision Date: 2/25/2010
Length: 21 pages

The Minister of Justice for the Republic of Iceland is contemplating how to work with the various stakeholders to implement the recommendations for the structure of policing. The main issue to address is how to consolidate the number of region-based police forces. The minister's views on restructuring the police force are shared by the police association; however, a number of municipalities and police commissioners are not as enthusiastic about the proposed changes to the structure of the police organization. He understands that change is never a pain-free process. Formal reports have been submitted and now is the time to make some decisions.

Teaching Note: 8B08C09 (6 pages)
Industry: Public Administration
Issues: Implementation; Leadership
Difficulty: 4 - Undergraduate/MBA



DICKINSON COLLEGE: INSPIRATION FOR A LEADERSHIP STORY (IN THE VISION OF A FOUNDING FATHER)
Michael J. Fratantuono

Product Number: 9B08M012
Publication Date: 5/6/2008
Length: 23 pages

In January 1999, William Durden was named the 27th president of his alma mater, Dickinson College. He quickly came to understand that for much of the 20th century, the Dickinson community had lacked a strong sense of organizational purpose. By autumn, Durden had turned to the life and writings of Dr. Benjamin Rush, the man responsible for securing the college charter in 1783, as the inspiration for the story. After introducing Durden and the challenges confronting Dickinson, the case describes the early history of the college and the ideas and accomplishments of Rush. It then provides students with a brief overview of the strategic challenges that had surfaced for Dickinson by the mid1990s. Finally, the conclusion indicates that Durden still had to resolve many issues associated with the identity story.

Teaching Note: 8B08M12 (19 pages)
Industry: Educational Services, Social Advocacy Organizations
Issues: Leadership; Management of Change; Management Style; Strategy Development
Difficulty: 4 - Undergraduate/MBA



JOHN MEREDITH OF HUTCHISON PORT HOLDINGS
Kathleen E. Slaughter, Jeffrey Gandz, Nigel Goodwin

Product Number: 9B07C027
Publication Date: 6/4/2007
Revision Date: 5/24/2007
Length: 18 pages

This case examines the life, career and leadership style of John Meredith, the group managing director of Hutchison Port Holdings (HPH). Meredith established the company in 1972 based on his vision for more efficient global trade. Under his leadership, the company grew to become the world's largest container port operator. The company grew from owning and managing a single container port to owning and managing 45 container ports by May 2007. This case also examines the importance of leadership at all levels of organizations. When a company grows quickly and sets up operations around the world, it must constantly train new leaders. However, HPH had difficulty finding and training enough leaders who were willing to lead the company's new port operations in far-off destinations. The case examines HPH's actions thus far and asks what other measures may be appropriate in the future.

Teaching Note: 8B07C27 (7 pages)
Industry: Transportation and Warehousing
Issues: Management in a Global Environment; Management Development; Leadership
Difficulty: 4 - Undergraduate/MBA


Chapter 10:
Motivation

KYLE EVANS AT RUFFIAN APPAREL: STAFFING A RETAIL ESTABLISHMENT
Ann C. Frost, Kevin Hewins

Product Number: 9B09C008
Publication Date: 1/27/2010
Length: 11 pages

Ruffian Kelowna, one of 19 British Columbia Ruffian Apparel locations, is underperforming. Recent management turnover and low unemployment in the region have left Kelowna short-staffed and in need of a new store manager to take over for the interim manager. Both sales and performance results are far below acceptable levels, and the store appears to be floundering. The newly hired B.C. regional manager for Ruffian Apparel is looking into the problem and needs to report back to Vancouver with his recommendations. This case can be used to demonstrate how different theories of motivation might apply to goal-setting and compensation plans. The case illustrates how an inappropriate or poorly structured compensation plan and motivational goals can lead to ineffective and detrimental results. Students who immediately attribute the problems of the case to the lack of a store manager will fail to explore the potential for increasing employee motivation and productivity across the board.

Teaching Note: 8B09C08 (5 pages)
Industry: Retail Trade
Issues: Staffing; Compensation; Pay for Performance; Motivation
Difficulty: 3 - Undergraduate



DR. JACK PERRY, DDS
John S. Haywood-Farmer, Eleni Mitsis

Product Number: 9B07C016
Publication Date: 5/15/2007
Length: 6 pages

Dr. Jack Perry, a sole practitioner dentist in a small town in Ontario, had a meeting with one of his employees who suggested that there were several problems in the office. These include: low morale, lack of motivation to grow the business, fill cancellations, follow up on collections, and engage in cross-sell procedures. He had noticed these problems previously but felt unsure about his personnel and business management skills. Using his notes from a presentation made by a business consultant at a dental conference, he must decide how to act in order to address these problems.

Teaching Note: 8B07C16 (5 pages)
Industry: Health Care Services
Issues: Morale; Motivation; Employee Attitude; Compensation
Difficulty: 4 - Undergraduate/MBA



ELISE SMART
Jeffrey Gandz, Elizabeth Spracklin

Product Number: 9B03C010
Publication Date: 5/31/2003
Revision Date: 9/4/2013
Length: 7 pages

Elise Smart must decide what performance assessment to give one of her employees who has, uncharacteristically, failed to meet one of her key objectives for the year. The situation is difficult for several reasons; the causes of the unacceptable performance are not clear; the employee has previously received excellent appraisals, including a recent one by the vice-president; and the employee was absent for a good part of the year on maternity leave. The various factors that influence sustained performance (ability, motivation, resources, role clarity, reinforcement) are examined, as well as steps leaders can take in improving performance of those for whom they are responsible.

Teaching Note: 8B03C10 (7 pages)
Industry: Finance and Insurance
Issues: Motivation; Performance Evaluation; Management Performance; Management Behaviour
Difficulty: 4 - Undergraduate/MBA


Chapter 11:
Groups and Teams

DEVELOPMENT OF A MULTINATIONAL PERSONNEL SELECTION SYSTEM
Diana E. Krause, Reiner Piske

Product Number: 9B07C041
Publication Date: 1/4/2008
Length: 17 pages

The owner of a company with production plants in various regions in the world wants to standardize the methods of personnel selection for the Asian-Pacific region (APAC). A new system of personnel selection has to be developed for middle management positions in APAC. The owner delegates this task to a cross-functional, multinational project team that operates in Hong Kong headed by a human resources (HR) executive and expatriate from Germany. In terms of the new personnel selection system, he has two opposing goals in mind: the new personnel selection system should be highly specific for a particular country and simultaneously valid for different countries. A series of issues must be resolved in order for the project to be successful. Some of these issues are related to the personnel selection system; the job requirements to be assessed, the modules it must include, the stages and methods of each module, and the implementation of the system across countries in APAC. Other issues are interpersonal, such as the cultural differences and the heterogeneous perspectives that exist among the team members, and a conflict between the HR executive and the owner.

Teaching Note: 8B07C41 (9 pages)
Issues: Cross Cultural Management; Aptitude Diagnostics; International Personnel Selection; Teamwork
Difficulty: 4 - Undergraduate/MBA



ANITA JAIRAM AT METROPOLE SERVICES
Alison Konrad, Ken Mark

Product Number: 9B06C003
Publication Date: 2/6/2006
Revision Date: 9/15/2009
Length: 5 pages

The senior project manager at Metropole Services is getting the sense that her business relationship with her software development group is taking a turn for the worse. According to her, she was their project manager and it seemed strange that her team members - all subordinates, were excluding her from an important client meeting. She must figure out what the issue is, and if something truly is wrong, take the appropriate steps to correct it immediately.

Teaching Note: 8B06C03 (4 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Personnel Management; Leadership; Human Behaviour; Communications
Difficulty: 5 - MBA/Postgraduate



LEO BURNETT COMPANY LTD.: VIRTUAL TEAM MANAGEMENT
Joerg Dietz, Fernando Olivera, Elizabeth O'Neil

Product Number: 9B03M052
Publication Date: 11/28/2003
Revision Date: 1/8/2019
Length: 16 pages

Leo Burnett Company Ltd. is a global advertising agency. The company is working with one of its largest clients to launch a new line of hair care products into the Canadian and Taiwanese test markets in preparation for a global rollout. Normally, once a brand has been launched, it is customary for the global brand centre to turn over the responsibility for the brand and future campaigns to the local market offices. In this case, however, the brand launch was not successful. Team communications and the team dynamics have broken down in recent months and the relationships are strained. Further complicating matters are a number of client and agency staffing changes that could jeopardize the stability of the team and the agency/client relationship. The global account director must decide whether she should proceed with the expected decision to modify the global team structure to give one of the teams more autonomy, or whether she should maintain greater centralized control over the team. She must recommend how to move forward with the brand and determine what changes in team structure or management are necessary.

Teaching Note: 8B03M52 (14 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Difficulty: 4 - Undergraduate/MBA



ART AND PRACTICE OF LEARNING AT OAK VALLEY INC.
Allen Morrison, Cyril Bouquet

Product Number: 9A99M047
Publication Date: 5/9/2000
Revision Date: 1/21/2010
Length: 9 pages

Oak Valley Inc. is a $2.1 billion Toronto-based company operating in various consumer markets. In early 1993, the company launched a management development program with the objective of promoting a culture that thrived on best practices. Five years later, the chief executive officer is attempting to evaluate the impact of the program on participants. Hoping to generate new insights that could be applied to similar events in the future, he has asked a team of five past participants to meet to discuss what they learned. This short case deals with the attitudes and behaviors most conducive to individual and group-based learning. The case provides an excellent vehicle for discussing how people learn, how teams can accelerate the learning process, and how companies can create positive learning environments.

Teaching Note: 8A99M47 (8 pages)
Industry: Manufacturing
Issues: Employee Training; Management Training; Personal Development; Group Behaviour
Difficulty: 4 - Undergraduate/MBA


Chapter 12:
Communication and Negotiation

JIM LANDER AT THAMESFORD LOGISTICS
Michael Sider, Ken Mark

Product Number: 9B09M090
Publication Date: 12/11/2009
Length: 5 pages

An operating manager who as an equity stake in Thamesford Logistics is preparing himself for what he believes will be a difficult conversation with Thamesford Logistic's chief financial officer (CFO) on a current project despite the fact that the operating manager has a legal dispute with the CFO on another deal. In the recent past, the operating manager and the CFO were partners trying to package and sell a mining project on behalf of the mine owners. The agreement between the two expired and the CFO continued to push the project ahead, cutting the operating manager out of the proceeds. A disagreement over the ownership of the success fee led to the operating manager's lawsuit against the CFO. Meanwhile, Thamesford Logistics is trying to acquire a rival in Montreal. This pending transaction requires the operating manager and the CFO to cooperate on the deal. The operating manager is thinking about how he should approach a meeting with the CFO, what he should say, what he would not say and what he wanted to achieve by the end.

Teaching Note: 8B09M90 (4 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Conflict Resolution; Management Behaviour; Communications
Difficulty: 4 - Undergraduate/MBA



PAY ZONE CONSULTING: A GLOBAL VIRTUAL ORGANIZATION
Malcolm Munro, Sid L. Huff

Product Number: 9B08C004
Publication Date: 1/14/2008
Revision Date: 2/16/2008
Length: 11 pages

Pay Zone Consulting is a small, highly specialized global consulting group providing information management solutions for the exploration and production sector of the oil and gas industry. The company operates entirely virtually with consultants and software developers in different parts of the world. The principals are considering growth options but are intent on preserving the quality of life provided by their virtual business model. The case examines the communication technologies employed by the principals in support of their virtual teamwork and describes the administrative information technology infrastructure that enables the firm to operate with no administrative staff or office. The case also discusses the organizational and personal factors underlying the company’s ability to operate successfully virtually.

Teaching Note: 8B08C04 (9 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Difficulty: 4 - Undergraduate/MBA



COMMUNICATIONS CHALLENGES AT UWO
Michael Sider, Jenni Denniston

Product Number: 9B04C028
Publication Date: 9/20/2004
Revision Date: 10/9/2009
Length: 10 pages

The director of communications at a large university has reviewed results of a communication survey completed by employees. He is pleased that the overall results were favourable, but is concerned with comments in a recent employee newsletter that provided negative feedback of the survey. It is the director's responsibility to take the results of the research and develop a formal communications plan, but as he compares the study findings to the article is confused as to how he should tackle the problem.

Teaching Note: 8B04C28 (3 pages)
Industry: Educational Services
Issues: Human Resources Management; Human Behaviour; Communications
Difficulty: 4 - Undergraduate/MBA


Chapter 13:
Operations Management

WAL-MART CHINA: SUSTAINABLE OPERATIONS STRATEGY
David J. Robb, Ben Hopwood, Lei Wang, Jun Cheng

Product Number: 9B08D009
Publication Date: 5/5/2009
Length: 20 pages

A German expatriate had moved to China in 2005 to take up a merchandizing position at the Wal-Mart China headquarters in Shenzen. By 2008 he had been promoted to the new position of senior director for sustainability for Wal-Mart China (retail) and Global Procurement. His new position required that he lead the rapidly-approaching inaugural Wal-Mart Sustainability Summit. The senior director must ensure that Wal-Mart China's five Strategic Value Networks (SVNs), which were tasked with leading sustainability change within the organization, continued to engage stakeholders by implementing innovative solutions that not only cut costs but also lead to more sustainable operations. The case describes Wal-Mart China's operations (including purchasing, distribution and retail) in the context of the company's desire to improve sustainability in a manner appropriate to China. The immediate issue is to identify opportunities to improve the sustainability of Wal-Mart China's distribution systems and retail operations.

Teaching Note: 8B08D09 (14 pages)
Industry: Retail Trade
Issues: China; Distribution; Purchasing; Logistics; Supply Chain Management; Sustainability; Tsinghua/Ivey
Difficulty: 4 - Undergraduate/MBA



PROCESS MANAGEMENT STRATEGY FOR XYZ LIMITED - KLTD DIVISION
Srinivasan Maheswaran

Product Number: 9B09D007
Publication Date: 10/14/2009
Length: 4 pages

The case describes the situation faced by the vice-president of operations at Konkan Leaf Tobacco Development, the tobacco processing unit of XYZ Limited. This unit is in charge of procurement and processing of different varieties and grades of tobacco grown in southern India. The tobacco leaves are categorized into different varieties on the basis of quality and location of the crop. The company has two processing plants with varying processing capacities. Due to the seasonal and agricultural nature of the commodity, the company is finding it difficult to maintain efficiencies between the inflow of the tobacco and the requirement of the processing line capacity, resulting in frequent start-stop situations for the processing lines. This case enables students to develop strategies for the process management to achieve the optimum process schedule, which will result in the fewest stoppages of the process lines and optimization of both the utilization of the processing lines and the inflow patterns among the processing units.

Teaching Note: 8B09D07 (8 pages)
Issues: Mapping Inflow and Processing Line Capacity; Process Management; Capacity Utilization; Forecasting
Difficulty: 4 - Undergraduate/MBA



PAEDIATRIC ORTHOPAEDIC CLINIC AT THE CHILDREN'S HOSPITAL OF WESTERN ONTARIO (ABRIDGED)
Robert Klassen, Kellie Leitch, Manpreet Hora

Product Number: 9B09D011
Publication Date: 10/30/2009
Revision Date: 1/13/2010
Length: 9 pages

This abridged case simplifies the multiple patient flows and number of healthcare workers. The Chief of Paediatric Orthopaedic surgery was very concerned by the long times that the young patients (and their parents) were experiencing in the orthopaedic clinic. Long wait times tended to aggravate the already pent-up distress and concern that they were feeling. She glanced at recently collected data on service times and wondered how the process might be improved, while continuing balancing budgetary pressures to reduce costs. Moreover, any changes couldn't be done in isolation, as her clinic shared resources with other departments. A monthly executive meeting was fast approaching, and expectations were starting to run high that her efforts might be able to spur improvements in other department too.

Teaching Note: 8B09D11 (14 pages)
Industry: Health Care Services
Issues: Health Administration; Process Design/Change; Process Analysis; Service Operations
Difficulty: 4 - Undergraduate/MBA



SYNNEX INTERNATIONAL: TRANSFORMING DISTRIBUTION OF HIGH-TECH PRODUCTS
Shih-Fen Chen, Lien-Ti Bei

Product Number: 9B08A019
Publication Date: 12/1/2008
Revision Date: 7/8/2014
Length: 22 pages

The case describes how Synnex Technology International Corporation (Synnex) in Taiwan transformed itself from a local distributor of electronic components into a global logistic conglomerate of communication and information products between 1985 and 2007. The case analyzes the channel structure of electronic product distribution and explains how Synnex introduced innovative practices to transform its operation. The case is designed for MBA students to grasp some fundamental issues related to distribution channel design and supply chain management in a marketing or logistic management course.

Teaching Note: 8B08A19 (10 pages)
Industry: Manufacturing
Issues: Marketing Channels; Logistics; Distribution Channels; Supply Chain Management; CNCCU/Ivey
Difficulty: 4 - Undergraduate/MBA


Chapter 14:
Control

LONDON PUBLIC LIBRARY
Vaughan S. Radcliffe, Ian Nichol

Product Number: 9B07B005
Publication Date: 5/6/2008
Length: 14 pages

The chief executive officer (CEO) of the London Public Library (LPL) had developed and had begun to implement a strategic plan to improve the LPL. The strategic plan was based on a balanced scorecard. The four perspectives measured by the balanced scorecard were: the community perspective, the internal processes perspective, the organizational readiness perspective and the financial perspective. With two years before the deadline to achieve the plan, the CEO had to decide on what she would focus next.

Teaching Note: 8B07B05 (3 pages)
Industry: Public Administration, Social Advocacy Organizations
Issues: Development of Balanced Scorecard; Financial and Nonfinancial Performance Measures; Performance Assessment; Management Control; Performance Measurement; Accountability in the Public Service; Performance Evaluation; Management Accounting; Accounting Methods
Difficulty: 4 - Undergraduate/MBA



PART KING, INC.
Mary Gillett, Lindsay Brock

Product Number: 9B08B001
Publication Date: 4/1/2008
Length: 10 pages

A newly appointed operations manager was expected to provide his expertise in the planning, launch and ongoing operations for three corporately-owned Part King stores, the first of which was scheduled to open in December 2005. The operations manager wondered if moving to a corporate model made sense at all or whether it was better to retain the franchise structure that was already in place. He was particularly concerned about how best to motivate the managers of a corporate-owned store given that they did not share in its ownership. Were there some components of the control system that was currently in place in the franchise store model that would also be appropriate for the corporate-owned store model that was in the works? Were there some components of the existing control system that needed improvements as well?

Teaching Note: 8B08B01 (8 pages)
Industry: Retail Trade
Issues: Transfer Pricing; Incentives; Control Systems; Budgeting
Difficulty: 4 - Undergraduate/MBA



THEATRE CALGARY: CONTROL SYSTEMS IN AN ORGANIZATION IN CRISIS
Mary Gillett, Tom Ewart

Product Number: 9B06B005
Publication Date: 3/17/2006
Revision Date: 11/27/2014
Length: 12 pages

Theatre Calgary was a non-profit performing arts organization in Calgary, Canada. In its 2002/03 season, it faced a financial crisis that nearly ended in bankruptcy. It survived the crisis and made many changes to its budgeting and control systems to solve some of the deficiencies that had led to the financial difficulties. As the president prepares for a board meeting, the board of directors want to know if the current budgeting and control systems will ensure long-term stability. This case details Theatre Calgary's budgeting system and paints an accurate picture of the organization, and provides students the opportunity to recommend changes to control systems.

Teaching Note: 8B06B05 (13 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Control Systems; Budgeting; Arts Administration
Difficulty: 4 - Undergraduate/MBA


Chapter 15:
Organizational Change and Development

CREATING A PROCESS-ORIENTED ENTERPRISE AT PINNACLE WEST
T.S. Raghu

Product Number: 9B10E002
Publication Date: 3/2/2010
Revision Date: 2/4/2015
Length: 18 pages

Pinnacle West is in the energy-related services business and headquartered in Phoenix, Arizona. Its largest subsidiary, APS, is a power utility that serves over a million customers across Arizona. The case was written when one of the biggest recessions in recent history hit global and U.S. markets. Written from the perspective of the vice-president and chief information officer, the case chronicles the various recent successful process change initiatives at Pinnacle West. The vice-president has achieved initial success in instituting a process-oriented culture inside his own information technology (IT) services organization, and in some specific business units within Pinnacle West. He now faces a significant crossroads in his process orientation strategy for Pinnacle West. He has to devise a strategy for a wider rollout of a process-oriented strategy throughout Pinnacle West and determine if the larger enterprise is ready for this strategy. He has to consider various issues in making this decision - resource availability, change management competency and buy-in from other top-level managers. He has to carefully weigh the various options in rolling out this strategy, as he fears that any misstep may derail his carefully executed plans for bringing a process-oriented approach to managing at Pinnacle West. This case can be used in an introductory systems course. It can also be used in a course on business process management or operations management.

Teaching Note: 8B10E02 (8 pages)
Industry: Utilities
Issues: Organizational Change; Information Technology Strategy; Change Management; Business Process Re-Engineering
Difficulty: 5 - MBA/Postgraduate



LEADING CHANGE AT SJHC AND LHSC: BURR UNDER THE SADDLE OR A GRAIN OF SAND IN THE OYSTER
Gerard Seijts, Ken Mark

Product Number: 9B06C010
Publication Date: 10/12/2006
Revision Date: 9/16/2009
Length: 19 pages

The transfer of perinatal services at St. Joseph's Health Care Centre (SJHC) to the Women's and Children's Services at London Health Sciences Centre (LHSC), included the relocation of clinical programs, 500 staff and about 40 physicians. SJHC's perinatal program had been among the hospital's premier programs and was recognized as a world-class tertiary perinatal program for more than 30 years. The hospital's comprehensive care for newborns included providing care for very sick infants and extremely premature babies. The move to LHSC was a source of much concern to key stakeholders, leading scientists and specialists with much negative impact on recruitment, retention and staff morale. The vice-president, acute and ambulatory care at SJHC and the vice-president, women and children's clinical business unit at LHSC were appointed to help prepare leaders throughout all stages of the restructuring. On their agenda were the following issues: culture, safety procedures, team conflict, excessive turnover, structure, leadership orientation, among others. Where should they start; and how could they get physicians, patient care leaders and staff to think past six months, given that there are numerous issues that keep them busy on a daily, weekly and monthly basis?

Teaching Note: 8B06C10 (10 pages)
Industry: Health Care Services
Issues: Personal Development; Consolidations and Mergers; Leadership; Organizational Change
Difficulty: 4 - Undergraduate/MBA



CHRISTINA GOLD LEADING CHANGE AT WESTERN UNION
Alison Konrad, Jordan Mitchell

Product Number: 9B06M007
Publication Date: 1/13/2006
Revision Date: 9/17/2009
Length: 11 pages

The chief executive officer of Western Union had just begun implementing a new organization structure. Changing the structure set out a clear message of Gold's desire to change the company's mindset to a new more global culture. Already the CEO was finding that leaders in the United States were reluctant to give up control of product lines. At the regional level, she had keen leaders in place who wanted to push out the responsibility within their own regions and move towards a decentralized plan. While the CEO supported this notion in principle, she wanted to ensure that the right leaders could be placed in decentralized offices in order to execute on the six strategic pillars that she had laid out for the organization. One thing was certain - the CEO had made it clear that no revenue decreases would be forgiven amidst the change. Many considerations had arisen: What pace of change should she take? How would she deal with resistance to change? How could she ensure that the new structure would support Western Union's global expansion?

Teaching Note: 8B06M07 (13 pages)
Industry: Other Services
Issues: Organizational Change; Globalization; Organizational Design; Corporate Structure
Difficulty: 4 - Undergraduate/MBA



DELOITTE & TOUCHE: INTEGRATING ARTHUR ANDERSEN
Gerard Seijts, Ken Mark

Product Number: 9B04C004
Publication Date: 1/16/2004
Length: 14 pages

In 2002, approximately 1,000 Arthur Andersen employees joined Deloitte & Touche, effectively creating the largest professional services organization in Canada. The combined entity employed 6,600 people and represented annual billings of over $1 billion. A co-chair for the national integration team was faced with a huge challenge: to develop a company-wide plan to create support materials to aid the Deloitte staff in integrating the Andersen staff in the organization. The integration process was monitored through a monthly survey and would be used by the team to benchmark unit to unit over time, and to take remedial action at specific stages if the integration goals were not attained. The most recent survey indicated that Deloitte employees felt that in the company's haste to finalize the deal with Andersen, it was forgetting about its own employees. Some within the Deloitte organization did not understand the amount of attention given to Andersen employees, whom they viewed as damaged goods. The co-chair and integration team must determine the best way to deal with the feedback and the cultural differences that are surfacing.

Teaching Note: 8B04C04 (7 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Change Management; Mergers & Acquisitions; Employee Attitude; Corporate Culture
Difficulty: 4 - Undergraduate/MBA