Ivey Publishing

Managing the Information Technology Resource: Leadership in the Information Age

Luftman, J.N., Bullen, C.V., Liao, D., Nash, E., Neumann, C. (United States, Pearson, 2004)
Prepared By Zeying Wan, Ph.D. Student (Information Systems)
Chapter and Title Chapter Matches: Case Information
Chapter 1:
Introduction

CISCO SYSTEMS INC.: MANAGING CORPORATE GROWTH USING AN INTRANET
Michael Parent, Debra Rankin

Product Number: 9A97E018
Publication Date: 12/5/1997
Revision Date: 2/3/2010
Length: 10 pages

Cisco is the world's largest, and leading manufacturer and distributor of routers and switches. In order to achieve this position, it has adopted an aggressive growth strategy, acquiring companies, their employees, and new employees at a rate of 250 to 300 employees per month. The Cisco Employee Connection (CEC), a corporate intranet, is the primary means by which new employees are absorbed and acculturated. The CEC is also the principal means of interaction for the multi-functional work team approach Cisco employs. This case critically assesses this approach to scaling an organization, and the extent to which it can be maintained and transferred.

Teaching Note: 8A97E18 (19 pages)
Industry: Manufacturing
Issues: Internet; Computer Industry
Difficulty: 4 - Undergraduate/MBA



QUEST FOODS ASIA PACIFIC AND THE CRM INITIATIVE
Allen Morrison, Donna Everatt

Product Number: 9B01M011
Publication Date: 4/30/2001
Revision Date: 5/18/2017
Length: 15 pages

Quest Foods International is one of the world's largest manufacturers of fragrances, flavors and textures for the food, beverage and consumer products industries. Quest Foods' regional vice-president is in the process of implementing a business process re-engineering project for the company. His current efforts focus on developing an information technology-based customer relationship management (CRM) system that he believes could give the company a sustainable competitive advantage with customers in the region and throughout the world. His ultimate goal is to bring Quest to the next phase of e-business. Despite high ambitions, his initiatives are making little headway. Internal opposition to change is significant and some key customers are growing concerned that Quest's CRM plans might miss the mark. Faced with considerable time and resource pressures, he is wondering how to set priorities and where to focus his energies.

Teaching Note: 8B01M11 (13 pages)
Industry: Manufacturing
Issues: International Business; Leveraging Information Technology; Business Process Re-Engineering; Customer Relations
Difficulty: 5 - MBA/Postgraduate


Chapter 2:
IT Strategy

INFORMATION SYSTEMS AT FIRSTCARIBBEAN: CHOOSING A STANDARD OPERATING ENVIRONMENT
Louis Beaubien, Sonia Mahon

Product Number: 9B04E032
Publication Date: 3/22/2005
Revision Date: 10/9/2009
Length: 10 pages

The Canadian Imperial Bank of Commerce and Barclays Bank PLC were in advanced negotiations regarding the potential merger of their respective retail, corporate and offshore banking operations in the Caribbean. Currently there are four systems in operation in the region. All are carry-overs from the pre-merger operation of the bank. Each of the systems has different pros and cons consisting of degree of fit with the organization strategy, likely impact on organizational culture, and functionality. As part of the effort to standardize practices across the organization, a choice for one standard operating system must be made. This case may be taught on a stand alone basis or in combination with any of four additional cases that deal with various functional issues regarding the actual merger and integration. The four additional cases deal are: CIBC-Barclays: Should Their Caribbean Operations be Merged?, product 9B04M067; Harmonization of Compensation and Benefits for FirstCaribbean Bank, product 9B04C053; CIBC-Barclays: Accounting for Their Merger, product 9B04B022 and Note on Banking in the Caribbean, product 9B05M015.

Teaching Note: 8B04E32 (8 pages)
Industry: Finance and Insurance
Issues: Mergers & Acquisitions; Integration; International Management; Management Information Systems; University of West Indies
Difficulty: 4 - Undergraduate/MBA



BUSINESS INTELLIGENCE STRATEGY AT CANADIAN TIRE
Nicole R.D. Haggerty, Darren Meister

Product Number: 9B03E019
Publication Date: 11/5/2003
Revision Date: 10/19/2009
Length: 13 pages

Canadian Tire Corporation consists of five main business groups: a large retail chain providing automotive parts, sports and leisure and home products; a financial division; a petroleum division; a specialty automotive parts division; and a retailer of casual and work wear clothing. The information technology group is faced with developing an implementation plan for the development of a business intelligence infrastructure and business capability at Canadian Tire Retail. Concurrent to this initiative is the development and implementation of an information technology strategy for Canadian Tire Corporation, which places a number of programs on the priority list, with business intelligence seen as a high priority item for which the organization can score some quick win business success.

Teaching Note: 8B03E19 (6 pages)
Industry: Retail Trade
Issues: Information Systems; Business Intelligence; Knowledge Based Systems; Information System Design
Difficulty: 4 - Undergraduate/MBA


Chapter 3:
Strategic Alignment Maturity

FINE COATING INC.
Sachi Sakthivel

Product Number: 9B04E010
Publication Date: 5/14/2004
Revision Date: 10/9/2009
Length: 8 pages

Fine Coating Inc. provides coating services such as phosphate, powder and electrostatic coating to automobile parts manufacturers. Major customers of Fine Coating Inc. are urging the president of the company to implement Electronic Data Interchange to reduce their costs while Fine Coating Inc.'s cost of operations have been increasing. The president needs to identify strategic and operational information systems in response to various organizational, market and environmental pressures. In addition to justifying the investment he needs to determine the source for systems development and an approach to managing the development project.

Teaching Note: 8B04E10 (14 pages)
Industry: Manufacturing
Issues: Strategy Development; Competitive Advantage; Feasibility Analysis; Information Systems
Difficulty: 4 - Undergraduate/MBA



CANADIAN IMPERIAL BANK OF COMMERCE WIRELESS STRATEGY
Mike Wade, David Hamilton

Product Number: 9B01E001
Publication Date: 3/7/2001
Revision Date: 12/17/2009
Length: 23 pages

The director of business development of the electronic banking division of the Canadian Imperial Bank of Commerce (CIBC) had just won a long-fought battle to implement a wireless banking initiative for customers with mobile devices such as cell phones and personal digital assistants. Now he had to make a number of key decisions relating to the strategy. These decisions included which services to offer (banking as well as non-related services), which devices and standards to support and whether to partner with a third-party content supplier. An extensive glossary of wireless technology terminology is included with this case.

Teaching Note: 8B01E01 (3 pages)
Industry: Finance and Insurance
Issues: Telecommunication Technology; Strategy Implementation; Technological Change; Consumer Behaviour
Difficulty: 4 - Undergraduate/MBA


Chapter 4:
The Role of the CIO

REGENT STREET BANK
Denis Shackel, Ken Mark

Product Number: 9B05C013
Publication Date: 8/12/2005
Revision Date: 9/28/2009
Length: 7 pages

The chief information officer of Regent Street Bank is trying to weighing the merits of installing word recognition software at Regent. In light of recent financial scandals, a compliance tool like word recognition software would enable Regent to electronically monitor transactions between employees and clients. From a business standpoint, the ability to reduce the risk of illegal activities would reassure stakeholders in the bank: employees, clients and investors. Besides, Regent's email policy, available to all employees, clearly stipulated that electronic mail systems provided by Regent are its property and that the bank reserves the right to access, monitor and archive all email messages without prior notice. On the other hand, what if the word recognition software flagged a personal email message, resulting in his or her direct manager finding out about a private situation? After all, Regent's email policy did allow employees to use email for personal reasons. More importantly, how should the CIO consider the potential ethical issues, such as privacy.

Industry: Administrative, Support, Waste Management and Remediation Services
Issues: New Economy; Privacy Issues; Business and Society; Ethical Issues
Difficulty: 4 - Undergraduate/MBA



INFORMATION TECHNOLOGY DIVISION AT THE HONG KONG JOCKEY CLUB
Anne Marie Francesco, Bee-Leng Chua

Product Number: 9B05C005
Publication Date: 3/22/2005
Revision Date: 9/28/2009
Length: 10 pages

The Hong Kong Jockey Club, a non-profit gaming organization and social club founded in 1884, was unusual, for through its payment of taxes and donations to the community, it had over the years funded a sizeable portion of Hong Kong government expenses and charitable work. The newly hired director of the information technology department is concerned about inefficient operation. The IT division had been an established part of the club for many years, and throughout time, had been organized and reorganized to meet the changing needs of the club. A task force is put together and an external consultant is brought in to review the division's organization. Upon completion of the review, the director of the division learns that the person heading the review plans to resign and must decide what to do.

Teaching Note: 8B05C05 (8 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Organizational Structure; Group Behaviour; Corporate Culture; Change Management
Difficulty: 4 - Undergraduate/MBA


Chapter 5:
IT Processes

KL WORLDWIDE ENTERPRISES, INC.: PUTTING IT TO WORK
Richard M. Kesner

Product Number: 9B05E023
Publication Date: 1/13/2006
Revision Date: 11/11/2015
Length: 21 pages

The KL Worldwide Enterprises Inc. case provides a rich context within which to explore the information technology (IT) issues that confront a global enterprise engaged in the manufacture, sales, and distribution of durable goods. The primary purpose is to give students a real-world, hands-on simulation of an IT systems development process that spans the entire lifecycle of an IT project from initial project scoping and justification through acceptance testing and deployment. The KL case emphasizes the design and delivery of enterprise resource planning, supply-chain management, decision support system, and e-commerce solutions for both for-profit and not-for-profit organizations. The case leads the reader into a consideration of the many opportunities to improve KL’s performance through the better design and integration of IT-enabled processes and services, including designing a new e-commerce or DSS capability and reengineering KL’s supply-chain and product design practices.

Teaching Note: 8B05E23 (9 pages)
Industry: Manufacturing
Issues: Operations Management; E-Commerce; Information System Design; Information Systems; Northeastern
Difficulty: 4 - Undergraduate/MBA



TOYBOX: MANAGING DYNAMIC DIGITAL PROJECTS
Darren Meister, David Singer

Product Number: 9B02E014
Publication Date: 2/6/2003
Revision Date: 12/1/2009
Length: 12 pages

Toybox is the visual effects division of Command Post, Canada's largest full service postproduction company and industry leader in technical and creative services for film, television, video and digital audio productions. Toybox's visual special effects manager believes that an improved information system for managing digital projects is required to cope with future growth. For example, during recent production work on a feature film, difficulties in workload, signoffs and rework reached an unsustainable level. The visual special effects manager must choose between an off-the-shelf product and a custom in-house solution. However, his decision is complicated by the creative work environment and the number of systems to which the new system must be integrated.

Teaching Note: 8B02E14 (7 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Make or Buy Decision; Information Technology; Animation Studio; Computer Selection
Difficulty: 4 - Undergraduate/MBA


Chapter 6:
Planning-Related IT Processes

INDIAN OIL CORPORATION LIMITED: PROJECT MANTHAN
Abhijit Gopal, Manish Kumar

Product Number: 9B04E002
Publication Date: 10/13/2004
Revision Date: 10/9/2009
Length: 16 pages

Indian Oil Corporation, a public sector undertaking of the Government of India, is faced with the prospect of the deregulation of the oil industry in India and the need to compete with nimble new market entrants. A major initiative toward this end is the enterprise resource planning system that the company has commissioned. Now, several years into the implementation, several snags arise; the implementation is clearly not going as planned. The company must decide how to bring the implementation back on track and also use the lessons it has learned to re-evaluate whether it is headed in the right direction.

Industry: Manufacturing
Issues: Enterprise Resource Planning; Change Management; Technological Change; Information Systems
Difficulty: 4 - Undergraduate/MBA



IIF AND QUATEAMS CREATING A CUSTOM CRM
Nicole R.D. Haggerty, Jordan Mitchell

Product Number: 9B04E030
Publication Date: 11/23/2004
Revision Date: 10/9/2009
Length: 19 pages

IIF (Institute of International Finance) was eight months into the customized development of a customer relationship management system (CRM) by a small software development firm, QuaTeams. IIF, a member organization, wants to replace their current CRM, an Access database, by integrating member information from different departments: economic research, membership, events and finance. In addition, they want to be able to handle the growing number of members and track the interactions between their staff and their membership. With two months to go before the scheduled launch, both sides must make decisions to overcome the remaining technical hurdles they have with the database and security. The IIF must also consider implementation issues and think of creative ways that the customer relationship management system can be used once the system is operational. The objective of the case is to introduce students to the development of a custom CRM and how the process of developing and implementing a CRM can change the way an organization deals with its customers.

Teaching Note: 8B04E30 (17 pages)
Industry: Finance and Insurance
Issues: Customer Relationship Management; Management Information Systems; Computer System Implementation; Project Management
Difficulty: 4 - Undergraduate/MBA


Chapter 7:
Managing Emerging Technologies

GOOGLE INC.: LAUNCHING GMAIL
Darren Meister, Ken Mark

Product Number: 9B04E019
Publication Date: 9/20/2004
Revision Date: 10/9/2009
Length: 7 pages

Google is a very popular Internet search engine firm. The company has just announced the launch of Gmail, a free, Web-based e-mail service that allows users up to one gigabyte of storage capacity, more than 100 times that offered by other free services from competitors. In return for free e-mail, Gmail would scan its users' e-mail with the goal of delivering targeted ads. Immediately, privacy groups denounced Google's plans.

Teaching Note: 8B04E19 (5 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: E-Commerce; Competitiveness; Management Information Systems; Management of Technology
Difficulty: 4 - Undergraduate/MBA



YODLEE INC. - THE VERTICALONE INTEGRATION (A)
John Melnyk, Darren Meister

Product Number: 9B03E002
Publication Date: 4/2/2003
Revision Date: 10/19/2009
Length: 11 pages

Yodlee is pioneering an emerging technology, account aggregation, that allows Internet users to authenticate only once to have access to personal password-protected account data from many sources. Yodlee offers this technology on a co-branded application service provider basis, primarily to financial institutions. In January 2001, the company acquired its only significant competitor VerticalOne; the combined entity has almost 100 accounts, but 25 installed clients are on the VerticalOne platform. Yodlee managers must devise a plan for integrating VerticalOne into Yodlee and migrating the installed base of VerticalOne clients to the Yodlee platform. The supplement, Yodlee Inc. - The VerticalOne Integration (B), product number 9B03E003, presents what Yodlee did.

Teaching Note: 8B03E02 (10 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Information Technology; Acquisitions; E-Business Models; Action Planning and Implementation
Difficulty: 4 - Undergraduate/MBA


Chapter 8:
Organizing IT

ZS ASSOCIATES
Deborah Compeau, Arfat Qayyum

Product Number: 9B02E007
Publication Date: 5/23/2002
Revision Date: 12/1/2009
Length: 13 pages

ZS Associates is a consulting company with offices in the United States, Europe and plans to establish an office in Canada. The manager of scheduling realizes that the company's scheduling system would not be able to keep up with the needs of the firm. The current system tracks the consultant's skills and their assignments to various projects. An MBA student working as an intern with the firm must provide a recommendation whether to develop software in-house, have new software custom built externally or purchase off-the-shelf software. He must analyse the options while considering the growth needs of the firm, features required in the software and cost.

Teaching Note: 8B02E07 (11 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Systems Analysis; Management Information Systems; Computer System Implementation; Information System Design
Difficulty: 4 - Undergraduate/MBA



MANAGING THE GROWING WEB PRESENCE OF MEDISYS HEALTH GROUP INC.
Michael Parent, Ken Mark

Product Number: 9B00E017
Publication Date: 12/7/2000
Revision Date: 1/8/2010
Length: 7 pages

Medisys Health Group, a leading occupational health company, was founded in 1981. It began to look at the North American market for expansion, seeking ways to leverage the Internet to become a leading medical information management company. With a couple of Internet projects on the go, it is up to the director of Internet strategy to explain how each piece fits into the overall business strategy. He contemplates shifting the business from the provision of medical services to the provision of information using an application service provider model. This case may be used in conjunction with Ivey case 9A98E011, Creating a Web Site for Medisys Health Group.

Teaching Note: 8B00E17 (10 pages)
Industry: Health Care Services
Issues: Strategic Change; Internet; Organizational Change; Information Systems
Difficulty: 4 - Undergraduate/MBA


Chapter 9:
Human Resource Considerations

LUCENT TECHNOLOGIES: HALTING INFORMATION TECHNOLOGY EMPLOYEE TURNOVER
Scott L. Schneberger, Ken Mark

Product Number: 9B01E016
Publication Date: 8/31/2001
Revision Date: 12/18/2009
Length: 7 pages

Lucent Technologies is a worldwide company that delivers systems and software for next-generation communication networks. The company is restructuring to try to improve its stock value after significant losses. A key component of the company's restructuring is the retention of their information technology employees. There is an industry wide shortage of IT workers, causing a large number of these worker to job-hop for better pay. The chief executive officer needs to decide what employee compensation programs should be in place, determine if workplace conditions and rules need to be changed and if the company's recruiting program is attracting the best talent.

Teaching Note: 8B01E16 (7 pages)
Industry: Information, Media & Telecommunications
Issues: Personnel Management; Information Systems; Employee Retention; Management of Technology
Difficulty: 4 - Undergraduate/MBA



COMPUTER SCHOOL'S.NET PROJECT (A)
Nicole R.D. Haggerty, Noah Ivers

Product Number: 9B04E005
Publication Date: 3/4/2004
Revision Date: 10/9/2009
Length: 13 pages

Computer School is a large post-secondary, career-focused education firm. The chief executive officer of the school has determined that the IT department is in a state of disarray. The IT department was not identified as part of the core business strategy but is deemed as fundamental to the operation of the organization. Before proceeding with growth strategy, the CEO knew that gaining control of this department and establishing procedures for managing these resources more effectively would be an important aspect of laying the foundation for growth.

Teaching Note: 8B04E05 (6 pages)
Industry: Educational Services
Issues: Management Information Systems; Management of Technology; Management of Professionals; Information Systems
Difficulty: 4 - Undergraduate/MBA



CHAMPION PRODUCTS
Derrick Neufeld, Puneet Talwar

Product Number: 9B03E009
Publication Date: 4/2/2003
Revision Date: 10/19/2009
Length: 8 pages

The general manager of a janitorial wholesaling firm, Champion Products, is faced with a resignation letter from the company's network administrator and systems programmer. The general manager would not be disappointed to see the network administrator and his poor attitude leave the firm, but he wondered how easy it would be to replace him, particularly in the wake of the company's recent acquisition ISG Products. The general manager must decide whether to negotiate better terms with the network administrator or let him go.

Teaching Note: 8B03E09 (6 pages)
Industry: Wholesale Trade
Issues: Information Systems; Consolidations and Mergers; Knowledge Management; Personnel Management
Difficulty: 4 - Undergraduate/MBA


Chapter 10:
Management of Change

NORTEL - RE-INVENTING I/S
E.F. Peter Newson, Olga Volkoff

Product Number: 9A97E001
Publication Date: 9/8/1997
Revision Date: 2/3/2010
Length: 15 pages

With changes in both technology and the environment, Nortel has had to evolve from a company that sells a collection of telecommunication products to a company that sells integrated packages of products that satisfy specific customer needs. In the past, I/S has been spread across the various product divisions, supporting a highly decentralized corporate structure. Now it has been charged with transforming itself to facilitate the company's need for greater integration, including a move to standardized systems. I/S must re-define its role and restructure itself to fulfill its new mandate. After an extensive analysis and design exercise, the I/S function has been re-visualized as centering on three key processes: client management, solution delivery, and business support. This represents a significant change from a traditional I/S shop that focuses on building applications and infrastructure. While there is broad support for the changes in principle, actually getting the new processes fully articulated and implemented presents a significant challenge.

Teaching Note: 8A97E01 (11 pages)
Industry: Information, Media & Telecommunications
Issues: Information Systems; Business Process Re-Engineering; Restructuring; Management of Change
Difficulty: 4 - Undergraduate/MBA



RBC ROYAL BANK: SERVICE PLATFORM IMPLEMENTATION
Deborah Compeau, Phoebe Tsai

Product Number: 9B05E001
Publication Date: 1/31/2005
Revision Date: 9/28/2009
Length: 16 pages

The vice-president - RBC Banking business & information solutions must develop an implementation plan for the bank's new paperless transaction system. The new system will reduce costs in proof processing and will facilitate the role of the customer service representatives, allowing the CSRs to shift from transactional to sales oriented roles. The system must be implemented across the company within 12 months. Challenges concerning the timing of installation, sequence of rollout, scope management and prioritization must be addressed.

Teaching Note: 8B05E01 (8 pages)
Industry: Finance and Insurance
Issues: Management Information Systems; Computer System Implementation
Difficulty: 4 - Undergraduate/MBA


Chapter 11:
IT Governance

FIRST FIDELITY BANCORPORATION (C): MANAGING AN OUTSOURCING RELATIONSHIP WITH EDS
Paul W. Beamish, Kerry McLellan, Barbara L. Marcolin

Product Number: 9A93E006
Publication Date: 7/7/1993
Revision Date: 3/3/2010
Length: 11 pages

First Fidelity Bancorporation had outsourced its information systems conversion and on-going data centre management to Electronic Data Systems (EDS) on a ten-year contract. The EDS-FFB relationship was one year into the arrangement (1991) when several challenges had surfaced, the most urgent of which was an $8 million cost overrun on the conversion project. The EDS account manager had the choice of absorbing the costs, seeking compensation from the bank or suggesting a compromise. Several other challenges would also have to be addressed in the relationship, such as an incompatible software platform, resistance, difficult communications and flexibility to accommodate future bank directions and acquisitions. Background cases First Fidelity Bancorporation (B): Selecting an Outsourcing Vendor and First Fidelity Bancorporation (A)) are available.

Teaching Note: 8A92M17 (16 pages)
Industry: Finance and Insurance
Issues: Relationship Management; Managing Implementation; Outsourcing; Information Systems
Difficulty: 4 - Undergraduate/MBA



JAY NIELSON & AKKA INTERNATIONAL: OUTSOURCING IN INDIA
Michael Parent, Tom Sperry

Product Number: 9B04E027
Publication Date: 10/13/2004
Revision Date: 10/9/2009
Length: 11 pages

Jay Nielson has done charity work in India with Akka International for a number of years. After a recent trip, the president of Akka proposed that Nielson enter into a joint venture with Akka to provide information technology outsourcing services to American companies. Akka was willing to provide $100,000 in seed money to fund the venture. Nielson must decide if he wants to undertake this challenge and what it would take to make this work. This also poses an ethical dilemma for him. Should he risk losing the much-needed funds in the hope of bettering a number of lives, or request the seed money be used to provide direct services to the most needy?

Teaching Note: 8B04E27 (5 pages)
Industry: Social Advocacy Organizations
Issues: Non-Profit Organization; Outsourcing; New Venture; International Business
Difficulty: 4 - Undergraduate/MBA


Chapter 12:
IT Business Communications

NAVIGATORS OF CANADA
Derrick Neufeld, Jared Fast

Product Number: 9B02E013
Publication Date: 1/9/2003
Revision Date: 12/1/2009
Length: 17 pages

The Navigators of Canada is a non-profit religious order operating on 19 campuses and in 20 communities across Canada, and is part of a 104-nation, 3,700 staff member global organization. The Canadian organization is suffering from insufficient information systems planning, and significant communication challenges have risen due to the geographic separation of its staff members. The president of The Navigators of Canada believes that information technology can help, but he is unsure how to proceed.

Teaching Note: 8B02E13 (7 pages)
Industry: Social Advocacy Organizations
Issues: Information Systems; Non-Profit Organization; Team Building; Communications
Difficulty: 4 - Undergraduate/MBA



HILL & KNOWLTON: KNOWLEDGE MANAGEMENT
Darren Meister, Ken Mark

Product Number: 9B04E003
Publication Date: 3/4/2004
Revision Date: 10/9/2009
Length: 15 pages

Hill & Knowlton is a division of one of the world's largest communication services group. Tagging e-mail communications to support knowledge management codification and connection strategies is an important issue for managers. Issues related to privacy and performance need to be considered. The worldwide director of knowledge management at Hill & Knowlton needs to assess the degree to which tagging should be enforced in a communication services organization that supports numerous clients around the world.

Teaching Note: 8B04E03 (5 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Knowledge Based Systems; Communications; Knowledge Management; Leveraging Information Technology
Difficulty: 4 - Undergraduate/MBA


Chapter 13:
Measuring, Reporting, and Controlling

RBC INVESTMENTS: PORTFOLIO PLANNING INITIATIVE
Derrick Neufeld

Product Number: 9B05E005
Publication Date: 4/11/2005
Revision Date: 10/20/2010
Length: 11 pages

The newly hired head of Strategic Resources Planning and Management at Royal Bank of Canada Investments (RBCI) must develop a dashboard mechanism for strategically assessing and managing RBCI's non-interest expenses, excluding brokerage fees associated with providing value-added service to clients. After a week of analysis, two things became apparent; first, the four major business units within RBCI were operating independently, neither collaborating on projects nor sharing information. Second, most of the non-interest expenses spent was related to information technology projects. Consider that RBCI was spending nearly $700,000 per day on service delivery, the senior management team was extremely eager to see what the head of Strategic Resources Planning and Management would propose. This case presents information technology portfolio management challenges facing large organizations, and challenges students to develop performance metrics that will be useful at the most senior levels of the organization.

Teaching Note: 8B05E05 (18 pages)
Industry: Finance and Insurance
Issues: Portfolio Management; Planning; Information Systems; Cost Control
Difficulty: 4 - Undergraduate/MBA



WATERLOO REGIONAL POLICE SERVICES: THE CIMS PROJECT (A)
Deborah Compeau, Scott L. Schneberger, Jane Gravill

Product Number: 9B01E013
Publication Date: 9/5/2001
Revision Date: 12/18/2009
Length: 12 pages

Waterloo Regional Police Service, along with seven other police services, collaborated and invested resources in a computer system project that would streamline functions such as computer aided dispatching, records management, mobile workstation environments and most importantly, information sharing between these police services. The project has been in progress for several years, and a number of major issues with the computer system vendor were still unresolved. The chief of the Waterloo Regional Police Service must decide whether to continue with the installation of the computer system or move on to other options.

Teaching Note: 8B01E13 (10 pages)
Industry: Public Administration
Issues: Information Systems; Strategy and Resources; Relationship Management; Project Management
Difficulty: 4 - Undergraduate/MBA


Chapter 14:
Assessing the Value of IT

MERCEDES-BENZ USA: INVESTING IN IT INFRASTRUCTURE
Steven R. Kursh, Michael Hoch

Product Number: 9B06E003
Publication Date: 1/13/2006
Revision Date: 9/17/2009
Length: 10 pages

The national manager for technical training at Mercedes-Benz USA, is considering using streaming media and distance learning as a supplement to class-room based education, but is concerned that this innovative and risky IT investment could have a negative affect on the company's quality reputation. He needs to evaluate the viability of the e-learning option, including selecting between two vendors, Microsoft and Real Networks. This case provides students with an opportunity to develop a methodology based on capital budgeting analysis for evaluating and executing IT investments. The case is particularly valuable for helping students to consider the risks related to the execution of IT investments, even when an investment has a high ROI. Supplement material, Implications of Streaming Media: A Technical Note, product 9B06E002 is available.

Teaching Note: 8B06E03 (18 pages)
Industry: Retail Trade
Issues: Automotive; Telecommunication Technology; Computer System Implementation; Financial Analysis; Northeastern
Difficulty: 4 - Undergraduate/MBA



NRG INVESTMENTS: CHOOSING AN INTERNET STARTUP FOR VENTURE CAPITAL FINANCING
Derrick Neufeld, Ken Thomson

Product Number: 9B01E018
Publication Date: 7/11/2001
Revision Date: 12/18/2009
Length: 13 pages

NRG Investments is a venture capital group whose current area of investment interest lies in Internet startups that specialize in information personalization software and infrastructure software. The director of NRG Investments is in the process of researching two very similar business plans in an effort to determine which idea, if either, merits NRG's $500,000 venture capital financing package. Management representatives from each of the two companies, ConciergeConnectInc. and Hotel Services Online, have already met with NRG Investments to provide the details of their Internet business plans. Both companies provide software packages that would interconnect concierges in high-traffic hotels, condominiums and offices with a wide variety of service providers (e.g., travel services, restaurants, ticket purchases, etc.). Both sets of entrepreneurs have been identified by NRG as being capable managers. The director's decision will therefore be based on her assessment of the products, market attractiveness, technology, revenue models, potential partnerships, possible exit strategies and company values.

Teaching Note: 8B01E18 (5 pages)
Industry: Finance and Insurance
Issues: E-Business Models; Internet; Investment Analysis
Difficulty: 4 - Undergraduate/MBA