• Appirio: New Venture on a Cloud

    Appirio, a Cloud Computing services and consulting business, is experiencing explosive growth buoyed by its successful strategic partnerships with Google and Salesforce.com. The company practices what it preaches -- choosing to keep all of its systems in the cloud. Appirio's senior leadership team is convinced that building its venture on the cloud offers extreme competitive advantages in terms of agility, ability to scale and employee empowerment to drive rapid innovation. Will Appirio ascend to rocket heights or are the skies darkening with challenges that will hurt a cloud pure-play such as Appirio? What lessons, if any, are there for other entrepreneurs hoping to turn their IT systems into an entrepreneurial growth engine?
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  • Blue Heron Capital Partners,

    The subject of the case is a socially-responsible hedge fund. The options valued are written on two firms AstraZeneca plc and Medco Health Solutions, Inc. with documented and recognized social responsibility practices.
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  • Inventory Management

    Introduction to Supply Chain Management, published by Business Expert Press in February 2013, is a ten-chapter book written by Edmund Prater, Professor of Operations and Logistics and the University of Texas at Arlington. Developed for students of supply chain management, executives seeking a primer, and practitioners, the text offers an overview of SCM and provides a framework for subsequent, more detailed study. The book reviews the evolution of SCM concepts and discusses trends in global markets and strategic competitiveness. It focuses on the major issues involved in managing a competitive supply chain including forecasting, inventory management, distribution, dealing with uncertainty, reverse logistics, and customer service. In Chapter 5, the authors introduce inventory management and its implications for the organization. Tools and techniques used in inventory management, including the Economic Order Quantity Model (EOQ), and the factors directly impacting inventory - cost, order size, forecasting, capacity planning, and production scheduling - are explored. Inventory management practices and trends in inventory control are discussed. The chapter concludes with an example highlighting how to perform an EOQ analysis.
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  • Successfully Navigating the Turbulent Skies of a Large-Scale ERP Implementation

    Enterprise resource planning (ERP) systems introduce changes on a larger scale than most other systems. They link various components of the organization and modify its structure by deploying standardized processes and data models, which can lead to higher efficiency and significant cost savings. This case shows the adjustment dynamic between an ERP system and the other components of the organization. The project is a very large one, involving an investment of several hundred million dollars. The results are impressive. Bombardier implemented new processes through the use of the system, changed the roles of its employees, created a different way of looking at the organization and its activities and established new value indicators that helped crystallize the new behaviours.
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  • Taboo Scenarios: How to Think About the Unthinkable

    Taboos are a universal feature of social systems. Even the most avowedly open-minded organizations place tacit constraints on what can be said and even thought. Business leaders ignore these constraints at their peril. This article examines the role of the sacred, profane, and taboo in society, and links these phenomena to the psychology of moral outrage. In public debates, taboos are rarely as absolute as first assumed and can often be reframed as tragic choices. Leaders must performa delicate balancing act if they are to prevent taboos from blinding managers to either threats or opportunities. On the one hand, leaders who let their intellectual curiosity get the better of them risk paying a steep career price. On the other, leaders who bury their heads in the sand risk even worse consequences. Navigating this dilemma brings into sharp tension the policy prescriptions of advocates of authentic leadership (who see honesty as a trump virtue) and proponents of Realpolitik (who see organizational hypocrisy and obfuscation as unfortunate but unavoidable tactics necessary in an imperfect world.)
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  • Corporate Reputations: Built In or Bolted On?

    While there is widespread support for the notion that organizations with better reputations outperform their rivals, there is uncertainty about how to create such a reputation, especially among the managers responsible for this task. For example, organizations often give money to worthy causes or create social responsibility programs in the hope that this will appeal to their stakeholders. When approaches such as these are only loosely coupled to the strategy of the organization they appear to be "bolted on" rather than "built in." Thus, they are likely to foster a reputation that is less consistent with the principal actions of the organization and less credible. They are also easy for competitors to imitate. Because of this, a reputation grounded in the strategy of the organization has a better chance of providing a sustainable competitive advantage. This article presents a normative framework that illustrates a strategy-led approach to reputation building.
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  • Win the Brand Relevance Battle and then Build Competitor Barriers

    The only way to achieve real growth is to develop offerings so innovative that they create new categories or subcategories making competitors irrelevant because they lack a "must have" feature or benefit. The alternative, engaging in "my brand is better than your brand" brand preference competition, virtually never works because of market inertia. This article, based in part on hundreds of case studies, shows how to identify the "must haves" and discusses barriers to competitors such as going beyond functional benefits, finding shared interests with customers, ongoing innovation, superior execution, scaling the concept, becoming an exemplar, and branding the innovation.
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  • B2B Brand Architecture

    This article, based on work with dozens of Business-to-Business firms, extracts general principles of brand architecture design based on specific examples, and then tests these principles by applying them more broadly to a wide sample of brand architectures. B2B brand architecture is a function of two key dimensions: the organizational structure, in particular, the extent to which a firm is centralized or decentralized (in terms of its product range, sales, and marketing); and the extent to which the firm's market offerings are standardized versus customized. This framework and the axiom of risk alleviation through the sales process together capture the principal elements of B2B brand architecture design.
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  • The Renaissance CIO Project: The Invisible Factors of Extraordinary Success

    As the role of the CIO continues to evolve, the determinants of CIO success remain elusive. Numerous articles and books have been written offering solutions to this problem. Is it placement in the organization's reporting structure, a combination of technical and managerial skills, or something more unique? This article identifies the most important role-specific CIO career success factors based on an examination of the careers of fourteen highly successful CIOs selected by a committee of globally respected peers.
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  • Flexible Footprints: Reconfiguring MNCs for New Value Opportunities

    Powerful technological, regulatory, and economic forces compel the senior executives of multinational corporations (MNCs) to repeatedly re-evaluate and reconfigure value chains in the search for ongoing competitive advantage. However, releasing assets from existing activities and redeploying them to new opportunities is a challenging and poorly understood task. In particular, the standard strategic management concepts of use- and firm- flexibility overlook the crucial international dimension of location. Utilizing examples from GM, Qantas, and a mining MNC, this article argues that strategic flexibility should be consciously measured along all three dimensions. By using the decision tool set out in this article, MNC executives can map their worldwide footprint of strategic roadblocks and opportunities to expand into new markets, divest redundant businesses, and build flexibility to adapt to future challenges.
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  • Misguided Policy? Following Venture Capital into Clean Technology

    In a search for Schumpeterian solutions, the Obama Administration has made venture capital a cornerstone of its Clean Technology policy, adopting a strategy of providing large loan guarantees to a few venture capital-financed firms. This article argues that three key conditions are necessary for venture capital to successfully open new economic spaces and then it applies them to assess the viability of venture capital investment in clean technology. The article concludes that large loan guarantees are unlikely to be effective. Other government policies such as SBIR grants, university R&D support, certain (de)regulatory actions, large-scale demonstration projects, and/or procurement decisions can better encourage both incremental and Schumpeterian innovation without distorting the turbulent dynamics of newmarket creation. This analysis can also be applied to other sector- and market-specific innovation policies.
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  • Variety: Taking the Biz Overseas

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  • Delhi Metro Rail Corporation

    In 2009, the Delhi Metro Rail Corporation, the organization tasked with building a Mass Transit System for India's capital city Delhi, witnessed the biggest crisis in its history. A bridge under construction collapsed killing six people and injuring 15 more. Despite its history of meeting deadlines and working with allocated costs, the Corporation came under a lot of public censure. There was immense pressure on the Corporation to suspend its engineers and fire the construction contractor. On the other hand, it had to meet the deadline of operationalizing the second phase of the Metro Network by October 2010 in time for the XIXth Commonwealth Games. The case focuses on the challenges that the Managing Director Dr. E. Sreedharan faced as the crisis unfolded. It examines the Corporation's unique structure and management ethic that had so far enabled it to function within timeline and costs.
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  • DONG Energy: Clean and Reliable Energy

    The head of Denmark's largest energy group pondered how to use their limited resources to advance the delivery of clean and reliable energy. The Danish State owned DONG Energy had started life as an importer and trader of gas and oil. Under the leadership of the current CEO, Anders Eldrup, the company had become an energy group, present in all steps of the gas and oil value chain and particular, in the EU market leader in offshore wind energy. As a developer and operator of wind farms, it was one of the world's leaders. In 2011, the company faced several strategic questions including whether and where they should continue investing in offshore wind and how to identify the next key growth businesses of the future.
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  • Cahiers du Cinema and The French Film Industry

    The French film magazine Cahiers du Cinema contributed to strengthening the characterization of film as art in France. The note provides background information on the magazine's history, on the French film industry and on French film magazines
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  • Theory of Pricing Analytics

    Pricing Segmentation and Analytics is a five-chapter book written by Tudor Bodea, Assistant Professor in the Operations Group at the University of Groningen, and Mark Ferguson, Professor of Technology and Management at Georgia Tech's College of Management. The book was published by Business Expert Press in 2012. The pricing of products and services is among the most important decisions directly impacting the bottom line of any business. This book presents a highly methodical approach to pricing analytics, applying a set of tools that use historical sales data and mathematical optimization to set and update prices offered through various channels in order to maximize profit. The authors guide both students and professionals on how to identify and exploit pricing opportunities in various business contexts. The first chapter introduces the basic concepts of pricing analytics and explains what types of data can be manipulated. Common assumptions regarding the customer's willingness-to-pay are discussed, along with price-response functions. The authors explain how to estimate price elasticity, and how it varies at the product, firm, and industry levels, as well as in the short term versus long term. Basic price optimization techniques are then explored.
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  • The Practice of Pricing Analytics

    Pricing Segmentation and Analytics, is a five-chapter book written by Tudor Bodea, Assistant Professor in the Operations Group at the University of Groningen, and Mark Ferguson, Professor of Technology and Management at Georgia Tech's College of Management. The book was published by Business Expert Press in 2012. The pricing of products and services is among the most important decisions directly impacting the bottom line of any business. This book presents a highly methodical approach to pricing analytics, applying a set of tools that use historical sales data and mathematical optimization to set and update prices offered through various channels in order to maximize profit. The authors guide both students and professionals on how to identify and exploit pricing opportunities in various business contexts. In the second chapter, the authors provide an overview for developing pricing capabilities within an organization. Major topics discussed include techniques for selecting appropriate methods for estimating price elasticity, as well as the variables to consider when estimating promotion effects and price optimization.
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  • Dynamic Pricing and Markdown Optimization

    Pricing Segmentation and Analytics, is a five-chapter book written by Tudor Bodea, Assistant Professor in the Operations Group at the University of Groningen, and Mark Ferguson, Professor of Technology and Management at Georgia Tech's College of Management. The book was published by Business Expert Press in 2012. The pricing of products and services is among the most important decisions directly impacting the bottom line of any business. This book presents a highly methodical approach to pricing analytics, applying a set of tools that use historical sales data and mathematical optimization to set and update prices offered through various channels in order to maximize profit. The authors guide both students and professionals on how to identify and exploit pricing opportunities in various business contexts. The third chapter explores dynamic pricing, the practice of continuously adjusting prices to maximize profit by shaping demand (through price changes) to meet the available supply. In practice, this involves quoting each customer her or his individual price. Markdown optimization, an analytical tool used to clear excess inventory with respect to profit margins, and one of the most common and practical forms of dynamic pricing, is then examined. The chapter concludes with two case studies examining how price markdowns can be used in practice.
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  • Pricing in Business-to-Business Environments

    Pricing Segmentation and Analytics is a five-chapter book written by Tudor Bodea, Assistant Professor in the Operations Group at the University of Groningen, and Mark Ferguson, Professor of Technology and Management at Georgia Tech's College of Management. The book was published by Business Expert Press in 2012. The pricing of products and services is among the most important decisions directly impacting the bottom line of any business. This book presents a highly methodical approach to pricing analytics, applying a set of tools that use historical sales data and mathematical optimization to set and update prices offered through various channels in order to maximize profit. The authors guide both students and professionals on how to identify and exploit pricing opportunities in various business contexts. The fourth chapter explores customized pricing analytics, where a firm responds to a request-for-bids or request-for-proposals with a customized price response. The pricing analytics methodology is described in a step-by-step process from an actual application.
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  • Customer Behavior Aspects of Pricing

    Pricing Segmentation and Analytics is a five-chapter book written by Tudor Bodea, Assistant Professor in the Operations Group at the University of Groningen, and Mark Ferguson, Professor of Technology and Management at Georgia Tech's College of Management. The book was published by Business Expert Press in 2012. The pricing of products and services is among the most important decisions directly impacting the bottom line of any business. This book presents a highly methodical approach to pricing analytics, applying a set of tools that use historical sales data and mathematical optimization to set and update prices offered through various channels in order to maximize profit. The authors guide both students and professionals on how to identify and exploit pricing opportunities in various business contexts. The fifth and final chapter examines aspects of behavioral science to pricing. Examples include the asymmetry of joy and pain that customers feel in response to price decreases and increases. The authors offer a set of best pricing practices based on these behavioral responses.
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