IRL develops products that provide fully automatic detection, reporting and prediction of unwanted incidents (e.g., forestry wildfires) and help authorities to manage the critical infrastructure in an efficient and cost-effective way. By 2012, IRL had obtained its first contract from the Guangdong Academy of Forestry; it had also introduced angel investors, and funding was available for expansion. With a strong product for wildfire prevention, IRL wants to move quickly to penetrate into forestry markets, including 10 provinces in the People's Republic of China; Malaysia; Australia; and countries in Africa, the Middle East and South and Central America. For reasons associated with the nature of emerging economies, IRL decides to let local system integrators ("SIs") in each market own and serve the end customers, that is, the local government agencies. To mitigate credit risks, IRL also allows direct procurement of hardware by the SIs from IRL's manufacturer. As the company is considering whether to address the market potential of developed countries, such as Australia, it is pondering whether it should follow the same business approach it has adopted for the emerging economies. In addition, the company has an opportunity to raise up to US$7 million in capital in the near future. IRL has only spent around US$1 million since its inception. Should the company take this opportunity and raise the capital all in one go? What factors should the founders consider before making up their minds about this opportunity? With seven core critical infrastructure sectors that the company might targetï¼including transportation, water resources, power supplies and natural resources mining, agriculture, oil and gas, border security, and critical facilitiesï¼IRL sees huge market potential ahead. Facing the happy problem of market potential overwhelmingly disproportionate to its size and resources, what should the company do in the short-, medium- and long-term?
The Black Iris Systems vignette describes a brief scenario where the CEO of Black Iris Systems, Malcolm Briggs, receives opposing emails from two of his board members re: their differing points of view about their participation in the board. The scenario causes him to evaluate the role of board members and his goals for the organization.
Donatella, LLC will be losing a key board member in about two years, and the current board members must work to find a new member to replace him with someone with similar operational experience. After finding Peter Jeter, the company struggles with how to pay him, as detailed in an email chain between the board of directors. Sara Johnson, Donatella's CEO, becomes stuck in a situation of choosing to overpay this new board member, upset her board members, or restart the hiring process.
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.
The director of the investment wing of a financial-services provider must decide whether his firm should continue to invest in the former frontrunner in the personal-computer industry or switch strategies and invest instead in an up-and-coming competitor. At a time of significant technological change and slowing global growth, the director and his team of analysts set out to create an in-depth assessment of the personal-computer industry in order to make an informed decision about their firm’s optimum investment choices.
Petróleos Mexicanos (Pemex) was struggling. The national oil company of Mexico, Pemex held total reign over the Mexican oil and gas industry. The largest company in Latin America, it employed 140,000 people, made up 3% of Mexico's GDP, and provided nearly 40% of the funds for the Mexican government's budget. But production of oil and gas had been dropping for years, and the single field which had made up more than 50% of total production just five years ago, Cantarell, was in rapid decline. Pemex had been a cash cow for the Mexican state, but was notoriously inefficient and potentially corrupt. For the first time since the 1938 revolution which had nationalized the Mexican oil and gas industry, there was serious consideration of undertaking fundamental change at Pemex. 'Change could mean everything from altering the Mexican constitution to taking the company public.
Cervus Equipment Corporation has grown its business substantially over the past 10 years through regional acquisitions and strong organic growth. The company was founded 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 (CEO) 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. The CEO needs to come up with a growth plan that puts Cervus Equipment into non-traditional markets or new industries while addressing the changes happening in the industry.
The director of the investment wing of a financial-services provider must decide whether his firm should continue to invest in the former frontrunner in the personal-computer industry or switch strategies and invest instead in an up-and-coming competitor. At a time of significant technological change and slowing global growth, the director and his team of analysts set out to create an in-depth assessment of the personal-computer industry in order to make an informed decision about their firm's optimum investment choices.
During the month of November, many men in Canada and around the world participated each year in Movember by growing moustaches and collecting pledges. As a not-for-profit organization, Movember Canada strived to raise both money and awareness for men's health, specifically prostate cancer. The community development manager for Movember Canada faced an interesting challenge. The participation of more women represented a significant opportunity to make a large impact with monetary fundraising, but it also provided an important chance to change attitudes towards men's health. However, many organizations relating to women's health were already well established and successful at reaching out each year for support from female demographics. The manager needed to determine how the organization could attract and involve more women in battling a health issue that was not their own. Compounding the challenge was the efficient and simple campaign operated by Movember Canada, which relied on a lean team and low administrative costs.
SoJo is an online resource hub - optimized for web and mobile - focused on helping early-stage social innovators turn their ideas into action. Founded in Canada as a for-profit venture in 2010, the company depends mainly on volunteer part-time staff and competes for traffic in cyberspace with its own content providers. Many skeptics doubted the idea would ever work: why would content providers forego traffic on their own sites by relinquishing their "good stuff" to SoJo? Yet by 2012, with over 2,000 active users, 50 content partners, 1,300 Twitter followers, 80,000 articles viewed and more than 1,000 unique pieces of content that earned global praise from traditional business media outlets, SoJo is well positioned to grow even further and faster. However, its founder and chief catalyst, an award-winning social entrepreneur, is anxious to make the company self-sustaining by generating revenue through product and service extensions and by increasing its user base a hundred-fold. How can such a social enterprise be modeled to support the pace of growth it needs to remain the one best resource for change-makers the world over?
During the month of November, many men in Canada and around the world participated each year in Movember by growing moustaches and collecting pledges. As a not-for-profit organization, Movember Canada strived to raise both money and awareness for men’s health, specifically prostate cancer. The community development manager for Movember Canada faced an interesting challenge. The participation of more women represented a significant opportunity to make a large impact with monetary fundraising, but it also provided an important chance to change attitudes towards men’s health. However, many organizations relating to women’s health were already well established and successful at reaching out each year for support from female demographics. The manager needed to determine how the organization could attract and involve more women in battling a health issue that was not their own. Compounding the challenge was the efficient and simple campaign operated by Movember Canada, which relied on a lean team and low administrative costs.
SoJo is an online resource hub — optimized for web and mobile — focused on helping early-stage social innovators turn their ideas into action. Founded in Canada as a for-profit venture in 2010, the company depends mainly on volunteer part-time staff and competes for traffic in cyberspace with its own content providers. Many skeptics doubted the idea would ever work: why would content providers forego traffic on their own sites by relinquishing their “good stuff” to SoJo? Yet by 2012, with over 2,000 active users, 50 content partners, 1,300 Twitter followers, 80,000 articles viewed and more than 1,000 unique pieces of content that earned global praise from traditional business media outlets, SoJo is well positioned to grow even further and faster. However, its founder and chief catalyst, an award-winning social entrepreneur, is anxious to make the company self-sustaining by generating revenue through product and service extensions and by increasing its user base a hundred-fold. How can such a social enterprise be modeled to support the pace of growth it needs to remain the one best resource for change-makers the world over?
Just as Duke Energy and Progress Energy announce their merger-forming the largest utility company in the United States, to be led by the current Progress CEO-a nuclear reactor owned by Progress suffers major damage and must be taken offline. While Progress grapples with the scope of the repairs and an increasingly skeptical insurance provider, the Duke board begins to doubt their choice for the leader of the combined companies.
Morning Star, a collection of affiliated companies, had grown steadily since 1970 when Chris Rufer, president and founder, started the business hauling tomatoes to processing plants in a truck. The company's main products continued to be tomato-based, including a 40% share in the tomato paste and diced tomato market in 2013. Different from traditional manufacturing companies, Morning Star relied on self-management to execute the work in any part of the organization. The company was built on individual freedom, with the expectation that employees would take responsibility for holding their peers accountable and address performance failures directly. The case explores how the company can establish a compensation model that fairly compensates employees for their performance and provides a broad incentive to hold others accountable, while being consistent with self-management. This case includes color exhibits.
The case describes a pilot project on applying activity-based costing to measure the cost of treating patients. After an overview of Boston Children's Hospital and its local health care market environment, the case presents process maps and financial data relating to patients making office visits to a plastic surgeon for three different diagnoses. Students use the hospital's existing cost system and a proposed new system, based on time-driven activity-based costing, to calculate and compare costs and margins of the three types of office visits.
Through the lens of biopharmaceutical contract research organization (CRO) PAREXEL, this case traces the evolution of the firm as it reinvents itself in response to the transformation of the CRO sector from a small, secondary cluster of firms into a major player with essential capabilities for global drug development. The case begins as PAREXEL is pursuing an expensive globalization and IT strategy while many of its competitors focus on cost cutting. Over the prior 20 years, CEO Josef von Rickenbach had grown PAREXEL into a billion-dollar company by taking calculated risks and making bold investments based on anticipated industry trends and client demand. Now, despite slowing demand for CRO services, PAREXEL is betting that a global footprint and technology capabilities will become its key future competitive advantage. Near the end of the case, the timing transitions to a decade after Rickenbach made this strategic decision, describing the development of the industry and PAREXEL's place within it.