Ivey Publishing

Management – Leading and Collaborating in a Competitive World

Bateman, T.S., Snell, S.A.,10/e (United States, Mc-Graw Hill - Irwin, 2013)
Prepared By Eunika Sot,
Chapter and Title Chapter Matches: Case Information
Chapter 1:
Managing and Performing

Yong Li, Jing Li

Product Number: 9B14M122
Publication Date: 5/7/2015
Revision Date: 5/8/2015
Length: 15 pages

As the world’s largest online retailer, Amazon had a 12.3 per cent worldwide market share and had operations in 10 countries. However, its performance was markedly unbalanced across different countries. For example, it had a significant market share in Germany at 21.4 per cent, while it only owned 1.7 per cent of the Chinese online retailing market. In this way, Amazon faced critical challenges in developing future international strategies. Should it continue its global expansion into new markets? What should the company do with less successful markets, such as China?

Teaching Note: 8B14M122 (11 pages)
Industry: Information, Media & Telecommunications
Issues: Online retailing; emerging markets; global
Difficulty: 4 - Undergraduate/MBA

Anne Snowdon, Alexander Smith, Kevin Bernard, Hannah Standing Rasmussen

Product Number: 9B14M053
Publication Date: 7/10/2014
Revision Date: 7/10/2014
Length: 14 pages

Cancer Care Ontario, the organization that oversees cancer treatment in Ontario, is challenged with establishing an innovative approach to reducing wait times for breast cancer and prostate cancer therapy across Ontario after wait times increased to more than two months. The special advisor on cancer issues to the Ontario Minister of Health and Long-Term Care needs to report his recommendation to Cancer Care Ontario’s board of directors, who manage all regional cancer centres in the province. The major challenge is to balance the needs and values of all the various stakeholders, while developing short-, medium- and long-term solutions to the wait list dilemma.

Teaching Note: 8B14M053 (9 pages)
Industry: Health Care Services
Issues: Health care; stakeholder; performance management; privatization; Canada
Difficulty: 4 - Undergraduate/MBA

John Gray, Michael Leiblein, Shyam Karunakaran

Product Number: 9B08M078
Publication Date: 11/14/2008
Revision Date: 6/22/2009
Length: 11 pages

The Scotts Miracle-Gro company is the world's largest marketer of branded consumer lawn and garden products, with a full range of products for professional horticulture as well. Headquartered in Marysville, Ohio, the company is a market leader in a number of consumer lawn and garden and professional horticultural products. The case describes a series of decisions regarding the ownership and organization of the assets used to manufacture fertilizer spreaders. This case is intended to illustrate the application of and tradeoffs between financial, strategic and operations perspectives in a relatively straightforward manufacturing make-buy decision. The case involves a well-known, easily-described product that most students would assume is made overseas. Sufficient information is provided to roughly estimate the direct financial cost associated with internal (domestic) production, offshore (non-domestic) production and outsourced production. In addition, information is included that may be used to estimate potential transaction costs as well as costs associated with foreign exchange risk.

Teaching Note: 8B08M78 (13 pages)
Industry: Manufacturing
Issues: China; Human Resources Management; Outsourcing; Globalization; Operations Management; Supply Chain Management; Operations Strategy
Difficulty: 5 - MBA/Postgraduate

Chapter 2:
The External and Internal Environments

Ying Zhang, Sheng Yun Yang

Product Number: 9B14M142
Publication Date: 3/13/2015
Revision Date: 3/13/2015
Length: 12 pages

Chery Automobile Co., Ltd. is one of the few private automobile companies in China. Compared to state automobile companies, it lacks adequate resources and state support; compared to joint-venture brands, it cannot leverage popular and profitable international models. Despite these obstacles, Chery has developed dramatically over the last decade, becoming the top automobile exporter among all automobile companies in China. Strategic alliances served as the foundation of its amazing growth, accelerated technological catch-up and helped it thrive in overseas markets. Since 2012, however, Chery’s domestic sales have continuously decreased, similar to other automobile companies worldwide. Due to the Global Financial Crisis, intense competition in the automobile industry and fast technological change, Chery has been confronted with new challenges in the past two years, such as decreasing sales in the domestic market and more opportunities overseas. Despite its leading position in exports, Chery needs to figure out the next stage of strategic development in adapting to the current and future environment. What should Chery do next?

Teaching Note: 8B14M142 (17 pages)
Industry: Manufacturing
Issues: Automotive; internationalization; strategic alliance; China
Difficulty: 5 - MBA/Postgraduate

Homer H. Johnson

Product Number: 9B11M112
Publication Date: 1/6/2012
Length: 8 pages

From 2005-2006, Federated Department Stores converted some 15 regional department store chains into a single national brand, Macy’s, with 810 stores across the United States. In addition, the company repositioned the consolidated Macy’s in the overall retail landscape in an attempt to differentiate the new company from its competitors. These maneuvers were undertaken to counter decreasing sales and profits in the traditional department store industry. Some retail analysts suggested that the consolidation of Macy’s, while interesting, was destined to fail because the traditional department store was an obsolete entity; however, other analysts suggested that Macy’s strategy might hold the key to success in a declining industry. In 2008, the U.S. economy entered a recession, and by 2011 it remained far from booming. Did Macy’s need to change parts of its strategy to remain competitive? What would need to change?

Teaching Note: 8B11M112 (7 pages)
Industry: Retail Trade
Issues: Strategic Repositioning; Strategy; Strategic Decision-making; Department Stores; United States
Difficulty: 3 - Undergraduate

Mario Koster, Rob Alkema, Christopher Williams

Product Number: 9B10M073
Publication Date: 9/23/2010
Revision Date: 5/4/2017
Length: 17 pages

Starbucks enjoyed tremendous growth over the previous two decades. In 2007, it had a global reach of over 17,000 stores in 56 countries. Between 2007 and 2009, however, Starbucks' relentless march was slowed by three forces: increasingly intense competition, rising coffee bean prices and a global economic recession. In order to remain profitable, the company started to scale back its overseas operations. In 2010, Starbucks was faced with a critical strategic decision: Should the company resume its international expansion and once again intensify its commitments in overseas markets? If so, what approach should the company take? Had the pace of Starbucks' internationalization (i.e. the rate of opening new stores abroad), the rhythm of its internationalization (i.e. the regularity by which stores were opened abroad) and geographical scope of its internationalization (i.e. number of new countries entered) had an impact on the company's performance in previous years? Could Starbucks learn from its prior internationalization within the coffee industry in order to guide its future international strategy?

Teaching Note: 8B10M73 (10 pages)
Issues: Decision Making; International Strategy; Market Entry; Internationalization
Difficulty: 4 - Undergraduate/MBA

Chapter 3:
Managerial Decision Making

Heike C. Wörner

Product Number: 9B15M027
Publication Date: 6/18/2015
Revision Date: 6/29/2015
Length: 17 pages

Tremendous changes in the global competitive landscape threaten Deutsche Lufthansa AG, the largest airline group in the world. Three large Gulf carriers, Emirates, Etihad Airways and Qatar Airways, as well as Turkish Airlines, now stand to compete with Lufthansa on the traditionally profitable long-haul segment. Chairman of the executive board and chief executive officer has to act quickly if Lufthansa is to keep its top spot. Having ignored the threat from low-cost airlines in the past, Lufthansa must now be better prepared to respond. It is crucial that Lufthansa finds adequate strategic options for sustaining and further expanding its market-leading position.

Teaching Note: 8B15M027 (11 pages)
Industry: Transportation and Warehousing
Issues: Airlines; competitive threats; decision-making; profitability; aviation industry; strategic management; strategic analysis; competitive advantage; competitive strategy
Difficulty: 4 - Undergraduate/MBA

Won-Yong Oh, Kyle Yoon

Product Number: 9B14M052
Publication Date: 7/8/2014
Revision Date: 7/7/2014
Length: 15 pages

Firms in Korea’s securities and brokerage industries have experienced fierce competition in the domestic market, which has led to international expansion being considered a popular strategic alternative. The chief executive officer of Hyundai Securities Co., Ltd., a Korean securities firm, envisions his company becoming the “pan-Asian market leader.” As a result, he is pursuing an international expansion strategy in Hong Kong and Singapore. However, given the popularity of international expansion in these areas, the markets are highly competitive. Has the CEO made an appropriate strategic decision?

Teaching Note: 8B14M052 (8 pages)
Industry: Finance and Insurance
Issues: Financial services; international expansion; subsidiary; Korea; Hong Kong; Singapore
Difficulty: 3 - Undergraduate

Hari Bapuji, Paul W. Beamish

Product Number: 9B08M010
Publication Date: 2/21/2008
Revision Date: 5/18/2017
Length: 14 pages

On July 30, 2007 the senior executive team of Mattel under the leadership of Bob Eckert, chief executive officer, received reports that the surface paint on the Sarge Cars, made in China, contained lead in excess of U.S. federal regulations. It was certainly not good news for Mattel, which was about to recall 967,000 other Chinese-made children's character toys because of excess lead in the paint. Not surprisingly, the decision ahead was not only about whether to recall the Sarge Cars and other toys that might be unsafe, but also how to deal with the recall situation. The (A) case details the events leading up to the recall and highlights the difficulties a multinational enterprise faces in managing global operations. Use with Ivey case 9B08M011, Mattel and the Toy Recalls (B).

Teaching Note: 8B08M10 (28 pages)
Industry: Manufacturing
Issues: Supply Chain Management; Offshoring; Outsourcing; Product Quality; Product Recall; Multinational Enterprise Stakeholders; the United States and China
Difficulty: 4 - Undergraduate/MBA

Chapter 4:
Planning and Strategic Management

Jeff Moretz, Chirag Surti

Product Number: 9B15M002
Publication Date: 6/24/2015
Revision Date: 6/24/2015
Length: 10 pages

By the end of 2013, PC Financial remained one of the few successful no-frills banking providers in Canada. Since its founding in 1998, the company had grown into a significant competitor in consumer financial services with nearly three million customers and $644 million in revenue. The financial crisis of 2008 and the competitive situation in Canadian retail financial services had led to the acquisition and in some cases closure of several of its competitors. While the changes in the market arguably seemed to be beneficial by reducing competition, they also raised questions about the company’s ability to continue as a separate operating entity.

Teaching Note: 8B15M002 (10 pages)
Industry: Finance and Insurance
Issues: Five forces, resource-based view, low cost competition, operations
Difficulty: 4 - Undergraduate/MBA

Karin Schnarr, W. Glenn Rowe

Product Number: 9B14M114
Publication Date: 11/10/2014
Revision Date: 4/22/2019
Length: 15 pages

In 2014, Tim Hortons Inc., a powerhouse in the Canadian quick service restaurant industry for 50 years, has a number of strategic choices to make if it is going to address increasing competition and shifting consumer trends. To have an international presence, it needs the financial resources, organizational capabilities, store saturation, product innovation and brand recognition to compete with Starbucks, McDonald’s and Dunkin’ Donuts, the world’s largest and best known providers of fast food such as coffee, donuts and sandwiches. However, while the brand is almost synonymous with Canada, it is far less known beyond that country’s borders. In mid-August, the company announced its potential acquisition by 3G Capital, the Brazilian parent of Burger King, but this still has to be approved by its shareholders and likely by Canadian and U.S. regulators. The potential merger might help the company move forward, but will it be enough to create a competitive advantage on a global scale?

Teaching Note: 8B14M114 (11 pages)
Industry: Accommodation & Food Services
Issues: Industry analysis; competitive strategy; merger and acquisition; strategic choice; Canada; United States
Difficulty: 4 - Undergraduate/MBA

Paul W. Beamish, Bassam Farah

Product Number: 9B10M100
Publication Date: 11/30/2010
Revision Date: 4/17/2014
Length: 16 pages

AWARD WINNING CASE - MENA Business Cases Award, 2012 European Foundation for Management Development (EFMD) Case Writing Competition. The Chabros International Group case examines how a Lebanese multinational wood company confronts a drastic drop in its largest subsidiary's sales after 2008's global economic crisis. Antoine Chami, Chabros's owner and president, was reviewing his company's 2009 end-of-year financial statements and, in particular, a 30 per cent drop in sales in Dubai. In 2007, a year before the global economic crisis, Chami had invested more than $11 million to acquire and expand a sawmill in Serbia to meet Chabros's growing lumber sales demand. With a much higher capacity to produce lumber and a much lower probability to sell it, Chami had to decide what to do to overcome this challenge. Should he close parts of his Serbian sawmill? Should he try to boost his company's sales to use all of his sawmill's available capacity? If so, should Chabros try to increase sales within the countries where it already operated (UAE, Saudi Arabia, Qatar, Oman, Egypt) or should it expand into a new country (Algeria, Bahrain, Iran, Iraq, Jordan, Kuwait, Libya, Syria, Tunisia)? Would Morocco, among other countries, be the best country to expand into? Was it the right time to embark on such an expansion?

Teaching Note: 8B10M100 (15 pages)
Industry: Manufacturing
Issues: International Expansion; Market Entry; Growth Strategy; Exports
Difficulty: 4 - Undergraduate/MBA

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

Chapter 5:
Ethics and Corporate Responsibility

Peter W. Moroz, Simon Parker, Edward Gamble

Product Number: 9B15M050
Publication Date: 6/3/2015
Revision Date: 5/24/2017
Length: 10 pages

The director of corporate responsibility at Cameco Corporation, a global uranium mining company, is debating whether to engage in formal negotiations leading to a partnership with a remote First Nations community in northern Saskatchewan, and if so, how. The director knows that a partnership may be costly upfront but it might also lead to future opportunities. Keenly aware of the need to manage rapidly growing expectations within the First Nations community, while also managing the expectations of long-term partners, the director needs to decide on a way forward that will deliver the best results for all concerned.

Teaching Note: 8B15M050 (11 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Challenges; Aboriginal communities; reputation; social responsibility; sustainable value creation; Indigenous Peoples; Aboriginal Peoples
Difficulty: 4 - Undergraduate/MBA

Won-Yong Oh, Seoyeon Park

Product Number: 9B14M128
Publication Date: 11/5/2014
Revision Date: 11/4/2014
Length: 13 pages

Amway Korea Ltd. faces both motivations and challenges as it pursues enhancement of the firm's social responsibility in a multi-level marketing industry. This case asks students to consider whether the firm’s social participation can be an effective solution to gain legitimacy and enhance its reputation. Stakeholders and the general public have two different views about the firm’s attempts at corporate social responsibility: the window-dressing view (that the firm is making a distrustful attempt to deceive stakeholders) and the value-enhancement view (that the firm is making a genuine investment to improve its responsibility and stakeholder value). Students are also introduced to the concept of creating shared value, which Amway Korea adopts as a strategic initiative in its role as a corporate citizen.

Teaching Note: 8B14M128 (9 pages)
Industry: Retail Trade
Issues: Creating shared value; multi-level marketing; corporate social responsibility; Korea;
Difficulty: 3 - Undergraduate

Matthew Thomson, Ken Mark

Product Number: 9B11A039
Publication Date: 9/22/2011
Revision Date: 6/7/2012
Length: 12 pages

Pepsi Canada has developed and launched the Refresh Project, a campaign to fund socially beneficial ideas developed by individuals, businesses, and non-profit organizations. Each cycle — approximately two months in duration — will see interested parties submit ideas. Pepsi Canada relies on visitors to its website, www.refreshingeverything.ca, to vote on the best ideas. During every cycle, approximately $1 million is available for distribution. While Pepsi Canada’s management has been very supportive of the initial cycle, an analyst is wondering how this corporate social responsibility initiative will have an effect on the bottom line.

Teaching Note: 8B11A039 (5 pages)
Industry: Manufacturing
Issues: Advertising Strategy; Advertising Media; Marketing Management; Corporate Social Responsibility; Soft Drinks; Canada
Difficulty: 4 - Undergraduate/MBA

Chapter 6:
International Management

Yves Plourde, Jean-Louis Schaan

Product Number: 9B15M013
Publication Date: 4/10/2015
Revision Date: 4/10/2015
Length: 14 pages

In May 2011, the Public Bike System Company, based in Montreal, Canada, was preparing to answer a request for proposal by New York City to create a financially self-sustaining public bike-sharing system. Three years earlier, the company, owned by the Montreal Transit Authority, had created Bixi, a service that made bikes available to members through docking stations, powered by solar energy, spread across the city. Although its financial structure was still unproven, it was a promising solution that aimed to revolutionize urban transportation. In partnership with other private bike-sharing organizations, the company had successfully expanded to Minneapolis-St. Paul and Washington D.C. but had experienced problems with its implementations in Melbourne, London and Boston. Furthermore, the system in Montreal could not provide evidence of profitability, forcing the city government to step in by guaranteeing loans and providing additional cash flow. It also did not have a clear business plan as to how, when and where its international expansion should take place. Now, news of its problems in Montreal had made headlines in New York, putting the future of its expansion ambitions in doubt.

Teaching Note: 8B15M013 (13 pages)
Industry: Other Services
Issues: Growth; strategy; expansion; Canada; United States; Australia; United Kingdom
Difficulty: 4 - Undergraduate/MBA

Paul W. Beamish

Product Number: 9B14M171
Publication Date: 1/8/2015
Revision Date: 3/26/2014
Length: 11 pages

This exercise assesses one’s exposure to the rest of the world’s peoples. A series of worksheets require the respondents to check off the number and names of countries they have visited and the corresponding percentage of world population which each country represents. By summing a group’s collective exposure to the world’s people, the result will inevitably be the recognition that together they have seen much, even if individually some have seen little. The teaching note provides assignments and discussion questions which look at: why there is such a high variability in individual profiles; the implications of each profile for one’s business career; and, what it would take for the respondent to change his/her profile.

For marketers, it underscores the need to gather greater base knowledge about opportunities abroad.

Teaching Note: 8B14M171 (6 pages)
Issues: Career Development; Intercultural Relations; Team Building; Internationalization
Difficulty: 4 - Undergraduate/MBA

Bo Bernhard Nielsen, Torben Pedersen, Jacob Pyndt

Product Number: 9B08M014
Publication Date: 5/29/2008
Revision Date: 5/10/2017
Length: 21 pages

ECCO A/S (ECCO) had been very successful in the footwear industry by focusing on production technology and assuring quality by maintaining full control of the entire value chain from cow to shoe. As ECCO grew and faced increased international competition, various value chain activities, primarily production and tanning, were offshored to low-cost countries. The fully integrated value chain tied up significant capital and management attention in tanneries and production facilities, which could have been used to strengthen the branding and marketing of ECCO's shoes. Moreover, an increasingly complex and dispersed global value chain configuration posed organizational and managerial challenges regarding coordination, communication and logistics. This case examines the financial, organizational and managerial challenges of maintaining a highly integrated global value chain and asks students to determine the appropriateness of this set-up in the context of an increasingly market-oriented industry. It is suitable for use in both undergraduate and graduate courses in international corporate strategy, international management, international marketing, supply-chain management, cross-border strategic management and international business studies in general.

Teaching Note: 8B08M14 (15 pages)
Industry: Manufacturing
Issues: Marketing Management; Operations Management; Global Strategy; Vertical Integration; Value Chain; Competitor Analysis
Difficulty: 4 - Undergraduate/MBA

Paul W. Beamish, R. Azimah Ainuddin

Product Number: 9B06M006
Publication Date: 11/30/2005
Revision Date: 5/23/2012
Length: 16 pages

This case presents the perspective of a Malaysian company, Nora Bhd, which was in the process of trying to establish a telecommunications joint venture with a Finnish firm, Sakari Oy. Negotiations have broken down between the firms, and students are asked to try to restructure a win-win deal. The case examines some of the most common issues involved in partner selection and design in international joint ventures.

Teaching Note: 8B06M06 (12 pages)
Industry: Information, Media & Telecommunications
Issues: Intercultural Relations; Third World; Negotiation; Joint Ventures; Finland; Malaysia
Difficulty: 4 - Undergraduate/MBA

Chapter 7:

Simon Parker, Ramasastry Chandrasekhar

Product Number: 9B14M063
Publication Date: 5/22/2015
Revision Date: 5/22/2015
Length: 13 pages

Entravision, a leading Spanish-language broadcasting company in the United States that targets Hispanic Americans, has just set up a digital analytics division called Luminar, which uses Big Data to focus a company’s marketing to a particular set of consumers. The idea of launching Luminar has been mooted by an outsider who is a friend and protegé of the company’s founding chairman. As the incumbent president of the new division, he is grappling with some major issues. How should he secure the buy-in of line and staff managers at Entravision? How should he find a structural fit between Entravision and Luminar? How should he leverage business opportunities beyond digital analytics? What kind of entry barriers can he build so that Luminar retains its first mover advantage?

Teaching Note: 8B14M063 (6 pages)
Industry: Information, Media & Telecommunications
Issues: Big data; digital analytics; corporate venturing; United States
Difficulty: 4 - Undergraduate/MBA

Helena Barnard, Jonathan Marks

Product Number: 9B14M161
Publication Date: 12/23/2014
Revision Date: 12/23/2014
Length: 10 pages

A new managing director of Microsoft South Africa was appointed in 2007 at a low point in Microsoft South Africa’s dominance of the software industry. He set out to address the issues by focusing on four pillars: people (employees), partnerships, revenue and local relevance. The latter included regulatory compliance requirements regarding social transformation and meeting the stringent Broad Based Black Economic Empowerment codes. The managing director knew that targets had to be met in order to build the relationship with head office and that once this was in place, it would be easier to manage the requests that were to come related to local relevance.

Teaching Note: 8B14M161 (8 pages)
Industry: Information, Media & Telecommunications
Issues: Business model innovation; subsidiary mandate; corporate social responsibility; inclusion; South Africa
Difficulty: 5 - MBA/Postgraduate

Allen H. Kupetz, Adam P. Tindall, Gary Haberland

Product Number: 9B10M041
Publication Date: 5/5/2010
Revision Date: 5/3/2017
Length: 13 pages

A critical question facing a company's ability to grow its business internationally is where it should go next. One company facing that decision was GENICON, a U.S.-based firm that manufactured and distributed medical instruments for laparoscopic surgeries. Although the minimally invasive surgical market in the United States had long been the largest in the world, international markets were anticipated to grow at a much faster rate than the U.S. market for the foreseeable future. GENICON was already in over 40 international markets and was looking in particular at the rapidly emerging markets - Brazil, Russia, India and China - as potential new opportunities for growth. This case is appropriate for use in an international business course to introduce market selection strategy. It can also be used in sessions on international marketing, entrepreneurship and business strategy.

Teaching Note: 8B10M41 (9 pages)
Industry: Manufacturing
Issues: China; International Expansion; Entrepreneurial Marketing; Emerging Markets; International Business
Difficulty: 4 - Undergraduate/MBA

Chapter 8:
Organization Structure

Marina Apaydin, Hend Mostafa, Mariam Mohamed Sherin, Mariam Ali Mobarak, Amal Mohsen Fahmy, Dina Sameh Labib

Product Number: 9B13M098
Publication Date: 3/31/2014
Revision Date: 3/27/2014
Length: 7 pages

This is the second case in the Azza Fahmy series. This case and the three others in this series (9B13M097, 9B13M099 and 9B14M023) can be used together or on a standalone basis.

This case series features a female Egyptian entrepreneur who faces the challenge of developing her self-titled jewellery brand. In this case, the entrepreneur realizes the importance of having a clear organizational structure with different departments and a clear chain of authority. As a result, she hires her daughter as the managing director to take on the responsibility of developing a mission, vision and explicit organizational structure. This restructuring allows the company to grow further, which leads the entrepreneur to consider her opportunities in the international market.

Teaching Note: 8B13M098 (10 pages)
Industry: Other Services
Issues: Internationalization; institutionalization; alliances; Egypt
Difficulty: 4 - Undergraduate/MBA

Jean-Louis Schaan, Ramasastry Chandrasekhar

Product Number: 9B13M112
Publication Date: 10/30/2013
Revision Date: 10/30/2013
Length: 17 pages

In early 2013, the head of business development and commercial operations of Arla Foods, a dairy enterprise focused on Northern European markets, is examining, in the light of a new five-year strategy, alternatives to the existing organization structure. His dilemma is to determine the best structure that can deliver the strategy, which is focused on renewed international expansion. The new structure must support the company's strategy in relation to both the existing core markets in Northern Europe and also the growth markets of the future in countries of Asia and Africa. It must ensure that Arla Foods has the right competitive stance in individual markets, which vary widely in terms of customer buying habits and retail formats. It must also ensure regular innovation of dairy categories developed from local resources and marketable globally.

Teaching Note: 8B13M112 (9 pages)
Industry: Retail Trade
Issues: Strategy implementation; organization structure; innovation; globalization; key success factors; customer focus; United States.
Difficulty: 5 - MBA/Postgraduate

Justin Paul, Marc Chaix, Shruti Gupta

Product Number: 9B11C018
Publication Date: 7/11/2011
Length: 15 pages

This case deals with the challenges faced at L’Oseraie, a nursing home located in the northeast of France. The director of L’Oseraie had to meet her new boss and brief him on the organization’s challenges while offering suggestions. A key obstacle involved employee motivation and engagement, particularly after a recent absenteeism episode. Furthermore, the lack of health care staff in France meant that employees might need to be sourced from abroad, perhaps from Eastern Europe or the French-speaking countries of North Africa. How could the director implement a strategy that would alleviate the day-to-day problems of the nursing home?

Teaching Note: 8B11C018 (8 pages)
Industry: Health Care Services
Issues: Health Care Administration; Organizational Structure; Employee Retention; Human Resource Management; France
Difficulty: 5 - MBA/Postgraduate

Tom A. Poynter, Paul W. Beamish

Product Number: 9B08M037
Publication Date: 4/15/2008
Revision Date: 5/18/2017
Length: 12 pages

Victoria Heavy Equipment (Victoria) was a family owned and managed firm which had been led by an ambitious, entrepreneurial chief executive officer who now wanted to take a less active role in the business. Victoria had been through two reorganizations in recent years, which contributed to organizational and strategic issues which would need to be addressed by a new president.

Teaching Note: 8B08M37 (7 pages)
Industry: Manufacturing
Issues: Growth Strategy; Organizational Structure; Leadership; Decentralization
Difficulty: 4 - Undergraduate/MBA

Chapter 9:
Organizational Agility

Sandeep Puri

Product Number: 9B13A049
Publication Date: 1/31/2014
Revision Date: 1/29/2014
Length: 7 pages

The Indian packaging industry — represented by a mix of paperboard, plastics, metals and glass — had seen great change leading up to 2013. In 2012, Ajanta Packaging ranked among the top suppliers of glass bottles in India with an employee base of more than 50 and net revenues of US$100 million. The glass-bottle industry had a derived demand and depended on major industries using glass bottles in India, such as the liquor and beer, soft-drinks and pharmaceutical industries.

The case discusses the stiff competition faced by the glass-bottle industry from different packaging options and materials that had entered the industry in the last four to five years. It assesses the changing market dynamics that could have a big impact on the future of Ajanta Packaging, with many companies shifting to PET bottles, Tetra Pak, flexible packaging and other innovative packaging solutions, to reduce costs and improve the durability of products. Ajanta Packaging was highly dependent on glass-bottle sales, as 95 per cent of its revenue came from them. Should it carry on with the same product range, exploit the declining glass-bottle industry with more customers of glass bottles or enhance its product range with more varieties of PET bottles?

Teaching Note: 8B13A049 (8 pages)
Industry: Wholesale Trade
Issues: Business environment; CRM; India
Difficulty: 5 - MBA/Postgraduate

Malcolm Munro, Sharaz Khan

Product Number: 9B13E020
Publication Date: 7/25/2013
Revision Date: 3/6/2017
Length: 13 pages

WestJet Airlines grew from a startup regional carrier in 1996 serving five Western Canadian cities to an international airline with more than 80 destinations and 9,000 employees by 2011. In a strategic move to implement code sharing and several other strategic IT applications to enhance WestJet's competitiveness, the CEO and his executive team hired an experienced and highly successful CIO to bring WestJet up to par with other airlines. The new CIO was asked by WestJet to assess its IT competence as part of a corporate drive to gain competitive advantage by delivering innovative guest services. The executive saw IT as the key to WestJet achieving its ambitions and corporate growth so formulated an ambitious plan to restructure the IT organization. But certain senior IT staff members, some of whom had been with the company since the beginning and had played a major role in developing the existing systems, believed the plan was ill advised and unworkable. The executive had to convince both senior management and the IT group that implementing the new IT governance model was essential if WestJet hoped to achieve its strategic goals.

Teaching Note: 8B13E020 (11 pages)
Industry: Transportation and Warehousing
Issues: Information technology governance; corporate strategy; Canada
Difficulty: 4 - Undergraduate/MBA

Lucia F. Miree, John E. Galletly

Product Number: 9B12M007
Publication Date: 3/19/2012
Revision Date: 3/12/2012
Length: 15 pages

This case is about a software development company, Telerik, which was based in Bulgaria and had international offices. The company was founded in 2002 and had become a world leader in user interface (UI) components for Microsoft’s .NET framework. It was still managed by its original four founders and had grown to 400 employees. In 2006, in response to fast growth and to retain its rapid development product process, Telerik adopted agile development, which was a values-driven process that included decentralization, rapid development cycles, intense customer service, teamwork, and face-to-face communication.

Telerik had moved into a new and modern building and its physical environment was designed specifically to facilitate agile development. The company’s management style was informal, hands-on, consultative, and development-driven, with a youth-focused culture. Its recent innovations in benefits, including concierge services and stock options, had given Telerik an edge in human capital with an employee turnover rate of under five per cent. The founders’ success was based upon the rapid deployment of committed human capital in a culture of teamwork and custom. They were excited about the growth of Telerik, but wondered how the company could continue to be successful and innovate.

Teaching Note: 8B12M007 (10 pages)
Industry: Information, Media & Telecommunications
Issues: Agile Management; Organizational Culture; Information Technology; Employee Engagement; Product Design/Development; Bulgaria
Difficulty: 3 - Undergraduate

Chapter 10:
Human Resource Management

Robert D. Austin, Dana Minbaeva, Simon Schafer

Product Number: 9B14M085
Publication Date: 7/17/2014
Revision Date: 7/17/2014
Length: 11 pages

Tokyo Jane is an accessible fashion jewelry company that makes and markets its products as “luxury for less” by designing, importing and selling fashion jewelry pieces that look luxurious but cost only a fraction of the high-priced items that inspired them. Finished products are air-shipped to company headquarters in Copenhagen, Denmark from factories in China, stocked in the head office and delivered to 400 retail partners —small fashion boutiques, big department stores and online shops — who then sell to consumers in Europe, Scandinavia, the United Kingdom and Canada. The two partners who founded the firm in 2005 are facing several problems: the brand definition is not well enough developed to support the next stage in the firm’s growth, certain challenges have outstripped available human resources — they have only three permanent employees and a revolving number of interns — and distribution operations and management need to be rethought as the firm rapidly increases the scale of its operations. Things come to a head in April 2013, when they are confronted by an important customer about quality issues with their products. How can they not only save their company but continue to grow?

Teaching Note: 8B14M085 (7 pages)
Industry: Retail Trade
Issues: Fashion; brand management; human resources; Denmark
Difficulty: 4 - Undergraduate/MBA

Albert Wöcke, Robert Grosse

Product Number: 9B11C012
Publication Date: 6/28/2011
Length: 17 pages

This case deals with the problems that Platmin faces as it heads toward full production at a new open-cast mine in Pilanesberg, South Africa. Platmin is in a very difficult situation that is affecting the viability of the operation. The main issue is the timing of the production — investment in mining is typically heavy in the beginning, but when the mine starts producing, payback of loans is usually substantial. Any delay in production has an exaggerated effect on the payback period and, by extension, the viability of the mine. The second major issue is the economic downturn, which has seen the price of platinum decline substantially; however, this may benefit Platmin because it is a low-cost producer, and the downturn has led to some competitors leaving the industry or “mothballing” operations that are not viable at the current platinum price. On the other hand, while Platmin is seeing a shakeup in the industry, it is experiencing pressures on its margins, and this also has an effect on its capital funding.

Teaching Note: 8B11C012 (5 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Industrial Relations; Government and Business; Stakeholder Management; Platinum; Mining; South Africa; GIBS
Difficulty: 5 - MBA/Postgraduate

Yuping Du

Product Number: 9B11M038
Publication Date: 6/22/2011
Length: 10 pages

This case examines the family business constitution created by Dawu Group’s founder, Sun Dawu. It was the only such system in China to date, and made it possible for the group to survive near-fatal challenges. The case starts with problems Sun Dawu encountered, such as a salary-rise request from a recently elected board member; managers’ doubts about the constitution system; and the suspicion of external experts and journalists regarding the group’s elections. The case examines the history of Dawu Group, the family business constitution system, and the approach Sun Dawu took to address succession. One of the issues the family business owner faced was whether it was possible to solve the internal challenges and external doubts about family business succession and governance and, if so, how.

Teaching Note: 8B11M038 (11 pages)
Industry: Agriculture, Forestry, Fishing and Hunting
Issues: Family Business; Board/Management Relations; Business Sustainability; Corporate Governance; Human Resource Management; China; Ivey/CMCC
Difficulty: 4 - Undergraduate/MBA

Chapter 11:
Managing the Diverse Workforce

Stephen Grainger

Product Number: 9B14M170
Publication Date: 1/28/2015
Revision Date: 2/10/2015
Length: 10 pages

Three friends have followed their entrepreneurial dream to build a five-star hotel in Liepaja, a seaside city in Latvia. After a few early profitable years, the hotel is struggling, due to the massive downturn in the Latvian economy as a result of the European Union financial crisis and slow recovery. The hotel has declined from generating an annual profit to now making a loss or barely breaking even. On several occasions, the co-owners have considered selling up while they can still break even. With the European Union showing signs of recovery, business confidence is returning and the future is starting to look up. The co-owners must decide whether to put all their struggles behind them, retain the ownership of the hotel and look forward to the potential days of profit that lie ahead. Alternatively, they can move in an almost opposite direction, by selling up and moving on. What strategic direction will produce a successful outcome?

Teaching Note: 8B14M170 (10 pages)
Industry: Accommodation & Food Services
Issues: Operations; developing economy reform; motivating workforce; Latvia
Difficulty: 4 - Undergraduate/MBA

Subramaniam Ramnarayan, Charles Dhanaraj, Krithiga Sankaran

Product Number: 9B13M023
Publication Date: 4/24/2013
Revision Date: 4/23/2013
Length: 16 pages

Carborundum Universal Murugappa International (CUMI) was a leading abrasives manufacturing company based in India with global operations in Russia, South Africa and China. In the global abrasives business, China held 50 per cent of the raw materials for the industry. China was also the largest market for abrasives worldwide and was expected to contribute to one third of the global demand for abrasives. CUMI had the vision to become a global leader in the abrasives industry within 10 years. It had successfully expanded operations in Russia and South Africa, where it was seen more as a partner than a conqueror in its acquisition strategy. In 2006, the company entered China through a joint venture with a Chinese state company but subsequently bought out the partner. However, the company was facing several problems with its stand-alone operation there, especially in terms of maintaining its workforce and hiring local managers. It was clear that winning market share in China was necessary, but the complexity of the Chinese market had proven to be a challenge. The managing director had to present a strategy for working successfully in China to the board.

Teaching Note: 8B13M023 (22 pages)
Industry: Manufacturing
Issues: Internationalization strategy; mode of entry; joint venture; Russia; South Africa; China; India
Difficulty: 5 - MBA/Postgraduate

Jane M. Howell, Ken Mark

Product Number: 9B12C030
Publication Date: 6/11/2012
Revision Date: 6/12/2012
Length: 20 pages

The chief executive officer of Mission Hills, a Chinese golf course operator, is thinking about how to expand his resort operations into Hainan Island, a few hundred kilometres away. He is wondering what his organization needs, from a human resources standpoint, to be able to develop another five-star resort. Mission Hills is a top golf course brand in China employing 7,000 people in its Shenzhen and Dongguan facilities. The expansion to Hainan Island is part of a larger plan to establish Mission Hills resorts around China.

Teaching Note: 8B12C030 (8 pages)
Industry: Real Estate and Rental and Leasing
Issues: Human Resource Management; Management Training; Management Style; Manpower Planning; China
Difficulty: 5 - MBA/Postgraduate

Chapter 12:

Jean-Louis Schaan, Ramasastry Chandrasekhar

Product Number: 9B15M032
Publication Date: 3/25/2015
Revision Date: 3/25/2015
Length: 12 pages

The newly appointed innovation manager at Purolator, a market leader in the parcel delivery industry in Canada, is under pressure to deliver quick wins. The manager faces three dilemmas in his role, which is the first-of-its-kind in the company. How should he bring innovation to the attention of Purolator employees, particularly the senior managers? How should he develop the roadmap and set an agenda for unveiling innovation at Purolator? How should he ensure that innovation becomes a source of long-term competitive advantage at Purolator?

Teaching Note: 8B15M032 (10 pages)
Industry: Other Services
Issues: Competitive strategies; managing change; process rigor; Canada
Difficulty: 5 - MBA/Postgraduate

Cherlyn Granrose, Alison Konrad

Product Number: 9B12C033
Publication Date: 6/26/2012
Revision Date: 10/25/2012
Length: 11 pages

The purpose of this exercise is to assess students’ group leadership and followership skills. Participants prepare for the exercise individually by reading six mini-cases that describe people-management challenges and then selecting a solution for these challenges from the options provided at the end of each case. During the exercise, participants are randomly assigned to discussion groups of five to six members, where each person serves as a leader for one case and as a participant for the remaining five case discussions. The discussions give participants the opportunity to exhibit effective leader and follower group behaviours and to demonstrate their oral communication, judgment, and decision-making skills. Self-assessment and group observation forms are provided.

Teaching Note: 8B12C033 (10 pages)
Industry: Other Services
Issues: Assessment Centre; Group Leadership; Management Skills
Difficulty: 4 - Undergraduate/MBA

Valerie Wallingford, Sharon Gritzmacher

Product Number: 9B11M063
Publication Date: 8/11/2011
Length: 3 pages

This case focuses on a significant problem faced by county-owned Prairie Health Service’s administrators: What could be done to reduce multiple billings and other redundancies among the four divisions of the organization? The administrators’ goal was to implement an integrated records management system that would streamline the registration and billing processes for patients, thereby increasing efficiency and timeliness, as well as reduce financial losses. While this was a fiscally responsible goal for the organization, the records management software package selected by the CEO was inadequate for the task. Rather than listen to the recommendations of his division administrators who had spent considerable time researching potential software, the CEO seemed to be basing his selection decision on the personal relationship he had developed with sales representatives from one of the software firms.

Teaching Note: 8B11M063 (7 pages)
Industry: Health Care Services
Issues: Management Behaviour; Records Management Software; Board/management Relations; Ethics
Difficulty: 3 - Undergraduate

Chapter 13:
Motivating for Performance

Albert Wöcke

Product Number: 9B15M001
Publication Date: 3/20/2015
Revision Date: 3/20/2015
Length: 9 pages

The entrepreneur owner of Proof Engineering is facing a difficult decision: whether to sell his family business to a large corporation and shift to a corporate career or abandon the deal and continue as an entrepreneur. Following a setback from a previous deal in which he sold 50 per cent of his company, the entrepreneur has managed to grow Proof Engineering into a successful international enterprise. However, this second offer presents many potentially lucrative opportunities. There are a number of motivations involved in the decision to sell — including personal, financial and business considerations.

Teaching Note: 8B15M001 (8 pages)
Industry: Manufacturing
Issues: Career; motivation; harvesting business; South Africa
Difficulty: 5 - MBA/Postgraduate

Mary Weil, Ken Mark

Product Number: 9B13M018
Publication Date: 2/14/2013
Revision Date: 2/14/2013
Length: 10 pages

The vice-president and general manager of the Canadian operations of a multinational vehicle manufacturer learns that the plant he supervises will be shut down in 15 months. In the months leading up to the shutdown announcement and subsequent winding down, he needs to manage the communications and followup with several stakeholder groups. The vice-president and general manager needs to balance several issues, including the need to keep production high and waste down, while preparing to lay off the workers who will be contributing to the plant’s short-term success. To be used with supplemental cases (9B13M019, 9B13M020).

Teaching Note: 8B13M018 (7 pages)
Industry: Manufacturing
Issues: Corporate Reputation; Crisis Management; Stakeholder Management; Communications; Strategy; Motivation; Canada
Difficulty: 4 - Undergraduate/MBA

Karen MacMillan

Product Number: 9B11C034
Publication Date: 9/7/2011
Revision Date: 10/10/2018
Length: 5 pages

The owner of a large hardware, furniture, and building centre faced a dilemma regarding how to manage the upcoming wage review process. After two consecutive years of frozen wages, employees were impatient for financial progress, but there was no extra money in the budget. It was possible to pump savings from upcoming process improvement initiatives into wage increases. However, the owner had limited motivation to channel hard-won funds to underperforming employees. On the other hand, he was eager to reward the people who added value. Yet a plan that rewarded only some employees could result in an angry backlash. He had to decide if he wanted to divert the savings into compensation and, if so, he needed an effective distribution plan.

Teaching Note: 8B11C034 (8 pages)
Industry: Retail Trade
Issues: Motivation; Compensation; Organizational Justice; Bounded Rationality
Difficulty: 4 - Undergraduate/MBA

Chapter 14:

D.V.R. Seshadri, Mandar Nayak

Product Number: 9B15M048
Publication Date: 7/21/2015
Revision Date: 7/21/2015
Length: 13 pages

As a result of teamwork and small steps taken by the four cousins and founders, who also fill the top management positions, ID Fresh has grown, in less than 10 years, from a kirana store (a small Indian neighbourhood grocery/retail shop) to a successful mid-sized ready-to-eat and ready-to-cook food company. The managing director recognizes the need to transition to a more proficient organization by recruiting highly motivated professionals to fill the management positions. In doing so, the company will need to reconcile the working style of the incoming professionals with the founders’ humble background and strong ethics and values that are based in their religious faith.

Teaching Note: 8B15M048 (16 pages)
Industry: Accommodation & Food Services
Issues: Entrepreneurial mindset; professionalizing; family owned organization; founders as employees
Difficulty: 4 - Undergraduate/MBA

Lyn Purdy, Ken Mark

Product Number: 9B14M057
Publication Date: 11/27/2014
Revision Date: 11/24/2014
Length: 13 pages

In March 2010, a newly promoted engineering area manager at Military Arsenal Systems, a Vancouver-based defence contractor, has just become team leader for a key program at the firm. His biggest challenge is how to lead his team, given that he is dealing with a range of personalities and the fact that he was a peer before he became their leader. How can he prove himself to be an effective leader not only to his team but to senior management? Can he rally the team quickly enough to meet the stringent deadlines for supplying the sophisticated armoured vehicles contracted by the U.S. Army for its mission in Afghanistan? See supplement 9B14M058.

Teaching Note: 8B14M057 (8 pages)
Industry: Manufacturing
Issues: Teamwork; operations; leadership; decision-making; culture; project management; Canada
Difficulty: 4 - Undergraduate/MBA

Christopher Williams, Emily Liaw

Product Number: 9B11M101
Publication Date: 11/3/2011
Revision Date: 9/28/2017
Length: 14 pages

On January 17, 2005, 3M Taiwan’s function head of its health care business division found himself in a meeting with the Acne Dressing project team. In 2004, the function head had initiated a project team to exploit local market needs for 3M hydrocolloid dressing, a technology that had existed in the company for many years without any practical applications. The local project team suggested applying the material for acne treatment. The product would be known as Acne Dressing. There was no standardized solution for acne treatment in Taiwan. If developed, Acne Dressing would be a brand new product in the local market.

The biggest challenge would be how to change local consumer behaviours on new acne treatment products. In addition, since there were no similar products in the market, the project team only had limited information and potential sales and volumes were uncertain. If the local development was launched, Acne Dressing would be 3M’s first product application of hydrocolloid dressing technology. With little previous experience in product development and no similar products existing in the market, the function head had to decide fast whether to proceed with this new product development. If so, what options did the local project team have? What kind of resources and support should the local health care business segment seek from headquarters for the product development? Should the local project team collaborate with other subsidiaries?

Teaching Note: 8B11M101 (10 pages)
Industry: Manufacturing
Issues: Risky Innovations; Project Management; Project Development, Health Care; Taiwan
Difficulty: 4 - Undergraduate/MBA

Chapter 15:

Jana Seijts, Paul Bigus

Product Number: 9B12M110
Publication Date: 11/27/2012
Revision Date: 11/26/2012
Length: 6 pages

The executive of Government and Corporate Affairs at Qantas Airlines faced a communication situation that was spiralling out of control. Qantas had launched a contest through the social media service Twitter, asking participants to use Twitter to describe their “dream luxury inflight experience.” However, the competition dissolved as thousands of people used the opportunity to express negative comments about Qantas. By the second day, nearly 15,000 people worldwide had used social media to vent their frustrations with the airline.

The executive needs to devise a plan of action, before additional damage is incurred by one of Australia’s strongest brands.

Teaching Note: 8B12M110 (5 pages)
Industry: Information, Media & Telecommunications
Issues: Communications; Twitter Social Media; Brands; Consumer Relations; Australia
Difficulty: 4 - Undergraduate/MBA

Jana Seijts, Paul Bigus

Product Number: 9B12M106
Publication Date: 11/12/2012
Revision Date: 11/9/2012
Length: 12 pages

In April 2011, Sony’s PlayStation and Qriocity services were attacked by an illegal and unauthorized intrusion into the company network, compromising user account information. For five days, the corporation turned off both its PlayStation Network and Qriocity services while it conducted a full and complete investigation with the help of an external security firm. Although brief statements about the issue were posted on the PlayStation blog site, Sony did not publicly disclose the full extent of the security breach or the expected date when network services might return to normal, leaving many people speculating if personal or financial information had been illegally obtained. The timing was complicated by the imminent announcement of the launch of Sony’s first tablet computer. With its public statement, Sony intended to communicate key points of information about, explanations of and solutions to the network interruption. With over 70 million PlayStation Network and Qriocity service user accounts worldwide, customers, industry analysts, investors, consumer protection groups and government officials were all waiting for answers.

Teaching Note: 8B12M106 (8 pages)
Industry: Information, Media & Telecommunications
Issues: Communications; Network Security; Personal Information; Branding; United States; Japan; Global
Difficulty: 4 - Undergraduate/MBA

Jana Seijts, Paul Bigus

Product Number: 9B12C020
Publication Date: 4/24/2012
Revision Date: 5/3/2012
Length: 14 pages

On June 30, 2011, Research in Motion (RIM) co-CEOs Jim Balsillie and Mike Lazaridis unexpectedly found themselves facing serious public scrutiny, not from competitors, market analysts, or consumers, but from one of their own senior executives. In an attempt to have their voice heard, an anonymous senior-level RIM employee addressed an open letter to both Balsillie and Lazaridis; however, the letter was sent to the online technology news provider Boy Genius Report (BGR). In a year during which RIM already faced pressures from a dwindling market share, failed product attempts, and a sinking stock price, Balsillie and Lazaridis needed to figure out how to respond to the claims of the letter publicly, but more importantly how to communicate to RIM employees internally.

Teaching Note: 8B12C020 (8 pages)
Industry: Information, Media & Telecommunications
Issues: Communications; Leadership; Corporate Culture; Employee Attitude; Organizational Behaviour; Uncertainty; Smartphones; Canada
Difficulty: 4 - Undergraduate/MBA

Chapter 16:
Managerial Control

Hang Zhu, Wei Fang, Aili Yang

Product Number: 9B12M092
Publication Date: 1/25/2013
Revision Date: 3/24/2014
Length: 13 pages

A $2.4 billion bid made by a competing company presented the founder and chairman of China Huiyuan Juice Group Limited with a dilemma. He had successfully transformed his company from a small-scale canned-fruit manufacturer into the largest juice producer in China. Despite the strong need for external funds to achieve further growth, the company’s founder had always been prudent in introducing outside investments into the firm, carefully maintaining his control of the business. To him, Huiyuan Juice was almost like a child that he had nurtured, rather than a product to be sold. However, the company’s rapid expansion had placed its founder under increased pressure and he now had to decide whether or not he should sell.

Teaching Note: 8B12M092 (7 pages)
Industry: Accommodation & Food Services
Issues: Corporate governance; family business; growth constraint; China; Ivey/CMCC
Difficulty: 5 - MBA/Postgraduate

Murray J. Bryant, Ramasastry Chandrasekhar

Product Number: 9B11M066
Publication Date: 8/9/2011
Length: 13 pages

In January 2011, the group medical director of Apollo Hospitals Enterprise Ltd (AHEL), India’s largest integrated health care provider in the private sector, is weighing his options in promoting clinical excellence among group hospitals. AHEL has been using a clinical scorecard, called ACE@25, as a tool to measure and monitor clinical excellence, which is becoming a source of differentiation in the Indian health care industry. ACE@25 measures 25 clinical parameters, benchmarked against the best hospitals globally, every month. The group medical director is wondering whether his role should be limited to monitoring clinical outcomes or whether, in order to drive clinical excellence, he should also prescribe the steps that the medical superintendents of individual hospitals should take in improving outcomes on their watch.

Teaching Note: 8B11M066 (5 pages)
Industry: Health Care Services
Issues: Managerial Accounting and Control; Clinical Governance; Health Care; Performance Management; India
Difficulty: 4 - Undergraduate/MBA

Murray J. Bryant, Ken Mark

Product Number: 9B10B001
Publication Date: 1/25/2010
Length: 15 pages

A stock analyst is reviewing information about Finning International Inc. He wonders how strategy at Finning's business unit-level is translated into financial and individual performance metrics at the line of business level. The case study describes Finning's internal management systems and shows how the metrics at the various levels are in alignment with the company's overall objectives.

Teaching Note: 8B10B01 (10 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Accountability; Management Decisions; Management Systems; Control Systems
Difficulty: 4 - Undergraduate/MBA

Chapter 17:
Managing Technology and Innovation

Jean-Louis Schaan, Ramasastry Chandrasekhar

Product Number: 9B14M119
Publication Date: 10/9/2014
Revision Date: 10/10/2014
Length: 13 pages

The world’s second largest home appliances company has introduced a change in its global organization structure. Electrolux AB has consolidated its research and development, marketing and design functions at the top to form what is known as the “Innovation Triangle.” This change is in tune with the pursuit of innovation as a source of differentiation in a competitive industry. The concept has been tested in Electrolux Brazil for four years before being scaled up globally. The amplified version of the Innovation Triangle has a singular objective: to facilitate innovation enterprise-wide by leveraging cross-functional, cross-geographical and cross-business synergies. The ultimate goal is to launch new products faster, better and in greater number. The unveiling of the new organizational structure presents an opportunity for the company's Innovation team to review the company’s ongoing innovation initiatives. The four-member team grapples with issues around improving the company’s innovation pipeline.

Teaching Note: 8B14M119 (7 pages)
Industry: Manufacturing
Issues: Innovation triangle; culture; internal collaborations; best practices; differentiation; scaling up; Sweden
Difficulty: 4 - Undergraduate/MBA

Daniel Doiron, Davis Schryer

Product Number: 9B13M092
Publication Date: 9/27/2013
Revision Date: 7/24/2015
Length: 19 pages

By 2015, Cervus Equipment Corporation, based in Calgary, Alberta, has grown its business substantially through regional acquisitions and strong organic growth. The company was founded in the 1990s to manage and consolidate farm equipment dealerships in western Canada but, in partnership with original equipment manufacturers, has branched into the construction equipment and long haul trucking manufacturing industries and has moved into New Zealand and Australia. The board of directors is now looking for the new chief executive officer to chart an innovative growth strategy that will see the company triple in size over the next five years. The market fundamentals to support this growth are quite strong and realistic; however, the growth opportunities in the company’s traditional Canadian markets are not sufficient and its customers’ requirements are being driven to new levels of complexity due to a technology revolution happening within the industry. At the same time, its experience overseas has ultimately provided an opportunity to develop a greater understanding of the differences in international markets and new cultures. Management needs to come up with a growth plan that puts the company into non-traditional markets or new industries while addressing the changes happening in the industry.

Teaching Note: 8B13M092 (10 pages)
Industry: Wholesale Trade
Issues: Growth by acquisition; agriculture; construction; heavy equipment wholesale; integration; Canada; New Zealand; Australia
Difficulty: 4 - Undergraduate/MBA

Luis Alfonso Dau, David T.A. Wesley

Product Number: 9B12M040
Publication Date: 4/5/2012
Revision Date: 4/5/2012
Length: 10 pages

This case examines two of the leading video rental services in the United States, Blockbuster and Netflix, and how each adapted to changing technology and market forces. At the end of the case, Blockbuster has declared bankruptcy and Netflix has seen its first decline in subscribers since its founding in 1997. Netflix also faces a number of new threats, including illegal file sharing, rental kiosks, and new low-cost video-on-demand (VOD) services. Netflix responds to these threats by announcing that it will split the company in two — Netflix will focus exclusively on streaming content, while a new subsidiary called Qwikster will be restricted to providing DVDs by mail. Customers overwhelmingly react negatively to the announcement, and Netflix’s stock price plunges by more than 50 per cent.

Teaching Note: 8B12M040 (7 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Competitive Advantage; Innovation; Technological Change; Technological Disruption; Movie Rental Industry; United States
Difficulty: 2 - Intro/Undergraduate

Chapter 18:
Creating and Leading Change

Neng Liang, Chun (Jane) Xie

Product Number: 9B15M015
Publication Date: 3/16/2015
Revision Date: 3/16/2015
Length: 11 pages

Piron Smart Technologies Co. Ltd., a private enterprise located in an underdeveloped region of China, was transitioning from being a founder-centered to a professionally managed firm. In the summer of 2010, the founder and chairman of Piron attempted to hire a senior executive from a Western multinational firm as chief operating officer, with the promise of a later promotion to chief executive officer (CEO). The candidate turned down the offer and demanded to be appointed CEO from the onset, leading to a conflict between the newly arrived CEO and the insiders passed over in Piron’s search for a CEO. See supplement 9B15M016.

Teaching Note: 8B15M015 (10 pages)
Industry: Manufacturing
Issues: CEO; succession planning; career choice; transition; private company; governance; China
Difficulty: 5 - MBA/Postgraduate

Meredith Woodwark, Matthew Wong

Product Number: 9B13M084
Publication Date: 8/23/2013
Revision Date: 11/18/2014
Length: 13 pages

AWARD WINNING CASE - Laurier School of Business and Economics Best Case Award 2013. The owner of Sawchyn Guitars makes fine handmade acoustic guitars and mandolins. After 40 years of operating from a two-storey backyard garage, he contemplates a shift from a solely custom-order business to a storefront location. Although his custom-order business is still strong, the owner sees the opportunity to realize his dream of providing a full-service musical instrument haven for the local music community through a proper storefront. After opening a new retail location, public reception to the new store is overwhelmingly positive, but the success in new business lines restricts the capacity to build new instruments. Despite the enthusiastic response to the store, the business is experiencing unanticipated growing pains related to managing small-business growth.

Teaching Note: 8B13M084 (11 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Small Business Management; Change Management; Opportunity Assessment; Canada
Difficulty: 2 - Intro/Undergraduate

Robert W. Keidel

Product Number: 9B11M042
Publication Date: 6/8/2011
Length: 14 pages

By mid-2007, Wawa, headquartered outside Philadelphia, had grown into a chain of 564 convenience stores (200 of which sold gasoline) within a 250-mile radius. A privately owned firm, Wawa employed over 16,000 people and had $4.67 billion of sales in 2006, an increase of 19.6 per cent over the prior year. It was widely admired as a highly effective and humane organization with a loyal and expanding body of customers.

This case addresses Wawa’s supply chain management (SCM) in the context of strategic direction, organizational design, and future growth opportunities. Over an eight-year period, Wawa had transformed its supply chain from a disjointed array of parts into a coherent, high-functioning system. Issues before the company now included (1) the relation between SCM and competitiveness; (2) the nature of the typical store and store manager; and (3) possible expansion beyond Wawa’s current area of operations. Another question concerned Wawa’s stores. Historically, these had featured a friendly ambience where “everybody knows your name,” but the company was moving towards larger, more standardized units with fewer offerings, with the goal of minimizing customer throughput time. What would this shift mean for the role of the store manager, and for the overall customer experience? Finally, to what extent was Wawa “landlocked” in its concentrated, middle-Atlantic market? Could — and should — the company attempt to export its distinctive value proposition, culture, and methods to other geographic areas?

Teaching Note: 8B11M042 (14 pages)
Industry: Retail Trade
Issues: Supply Chain Management; Geographic Expansion; Convenience Stores; United States
Difficulty: 5 - MBA/Postgraduate