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MGT Group: Reconstructing the Supply Chain After a Cross-Border Factory Relocation
Established in 1945, MGT Group (MGT, or the Group) was headquartered in France. Its LSD factory was a well-known global engineering provider specializing in the design and manufacture of high-precision valves. At the end of 2007, MGT decided to transfer the LSD factory in France to its Fuzhou factory in China. Two people were put in charge of this project: Kevin Lurton, vice-chief operations officer of MGT Control Systems Division, and Jian Li, the general manager of MGT Fuzhou Company. Lurton and Li faced a series of challenges, ranging from the need for strategic planning to the need for an implementation policy for supply chain reconstruction during this cross-border factory relocation. Amid the tide of globalization, enterprises are already able to extend their footprint to every corner of the world. For many multinational enterprises, transferring a product line, or even a whole factory, to another country has become a key step toward globalization. -
Veracity Worldwide: Evaluating FCPA-Related Risks in West Africa
This case addresses corruption, reputation, and expropriation risks associated with a potential mining play in West Africa. Mine Master, a US-based multinational mining company, was considering investing in a zinc concession in a post-conflict West African country. Its potential partner, UK-based Megametals, had acquired the rights to the operation in question in 2005, at the end of the country's civil war and in circumstances that raised potential concerns. The case protagonist, Steven Fox, CEO of risk assessment and advisory firm Veracity Worldwide, had to evaluate the various risks at play and guide Mine Master's CEO on whether to proceed with the partnership. Should he advise that Mine Master go ahead with the deal with Megametals? What could be the potential downside to such a move? -
CARD Group: Mutually Reinforcing Institutions
CARD (Center for Agricultural and Rural Development) is a Philippines-based microfinance organization that began as an NGO and has since expanded into eight related entities providing services to the poor. Under Founding Director Dr. Aristotle Alip's leadership, CARD has become one of the top microfinance institutions in the world. More recently, larger commercial and financial institutions are seeking a slice of the microfinance market. The main dilemma Dr. Alip faces is: Should he partner with commercial institutions to reap benefits from their larger sources of capital and technology expertise? Would that mean compromising his original mission of elevating people from the base of the pyramid? -
Driving Profitable Growth at US Auto Parts
USAP faces extraordinary opportunities to change the way that automobiles are serviced in the US by selling parts at fair prices though online channels. -
Anne Riley: Laid Off
This case describes the experience of Anne Riley, a 28 year old private equity analyst, who was laid off in 2008. The case explores the emotions she felt throughout the process and how she handled the experience. -
Trucost: Valuing Corporate Environmental Impacts
Trucost provided corporate environmental performance data and analysis to institutional investors and corporate managers, but after operating for a decade had yet to achieve profitability. Trucost was struggling to effectively differentiate its high quality products from its lower-cost competitors, and needed to develop a strategy to educate the marketplace and pursue new distribution channels. Increased investor interest in environmental issues-and an ever growing number of corporate environmental ranking-led to a proliferation of competitors to Trucost, and an industry shakeout were predicted. How should Trucost compete? -
Saskatchewan Provincial Park Campsite Management and Reservation System
The manager of Visitor Services with Saskatchewan Park Services (Park Services) was thinking ahead to next year, even though 2011 was still four months away. Park Services had experienced a number of turbulent years around the provincial park campground reservation system. While the problems experienced were largely invisible to the public placing reservations for campgrounds, over the years the behind the scenes machinations required to process campground reservations has placed an onerous burden on Park Services staff, both in Regina and the local provincial parks. Additionally, the present system severely limited the type of services that could be developed for tourists and campers due to the lack of quality data on campers. While steps had been taken in 2009 and 2010 to address some of the major problems surrounding the campground reservation system, serious issues remained that required action. This was particularly true when the system in place in Saskatchewan was compared to new campground reservation systems recently employed in Alberta, Manitoba and the federal national park system. The manager reflected on the turbulent 2008 season, the relative calm in 2009 due to the success of the temporary fixes and the new issues that had arisen in 2010. She was feeling the need to move forward and decide on a more permanent solution that resolved the operational problems of the present reservation system while also laying the foundation for improved services for campers. -
Triumph
The case is set immediately following a catastrophic fire that destroyed the Triumph Motorcycle Company's manufacturing facility in England. After having gone out of business in the 1980s, the company was resurrected by a British entrepreneur, John Bloor and, at the time of the fire, was in its tenth year of renewed operations. The decision facing Bloor and his team after the fire was whether to rebuild and resume their strategy as before or if another course of action might be worthwhile. Students are challenged to identify and articulate Triumph's strategy during its renaissance and evaluate whether other alternatives might be more appropriate. This mirrors the assignment given to McKinsey and Company when they were engaged to help Triumph during their recovery. The case provides information about Triumph's history as well as a current picture of the motorcycle industry. -
Spreadsheet Modeling Exercises
These exercises, designed for use in a spreadsheet modeling pre-matriculation course, provide a baseline education in spreadsheet modeling and Microsoft Excel to incoming MBA students who have not had extensive modeling experience or exposure to Excel. -
Spreadsheet Modeling Exercises, Spreadsheet Supplement
Spreadsheet supplement for case UV6325. -
Environmental Reporting: Toward Enhanced Information Quality
Managers and stakeholders are increasingly aware of the importance of the environmental impact of a firm's operations when assessing risk and attempting to determine future profitability. Unfortunately, financial accounting systems often fail to fully disclose these environmentally-related costs. The reasons underlying this incomplete disclosure are myriad, ranging from measurement issues to the structure of the firm's chart of accounts. In many ways, the issues facing managers and stakeholders who are attempting to assess environmental costs arising from business operations resemble the issues faced when attempting to determine the costs of producing poor quality products. The negative impact on the environment from business operations can be viewed as a failure in the same way that the negative impact of producing a defective product can be seen as a production control failure. Similarly, costs are incurred to prevent and detect environmental failures, and the cost of failure-particularly if not addressed within the firm-can be huge and unknowable. Drawing on the experiences of firms employing quality measures and reporting, this article presents an environmental cost reporting model to provide greater transparency on environmental impact of business operations to managers and firm stakeholders. -
Implementing Global Corporate Citizenship: An Integrated Business Framework
Recent economic, social-political, and natural disasters have all served to highlight the fragility of the global marketplace. As such, it is no longer questioned as to whether or not companies should be good corporate citizens; that is a given. Rather, concern in the 21st century centers on how businesses can become better global corporate citizens. Unfortunately, without clear guidance regarding how this may be accomplished, global corporate citizenship will remain a fringe activity and not become a critical component of an organization's core business strategy. The integrated framework presented herein identifies key elements and tips for implementing a business-based approach to global corporate citizenship. -
What Would Don Draper do? Rules for Restoring the Contemporary Agency Mojo
What are the timeless truths of advertising? How can agency leaders manage their teams, creative talent, and clients? To answer these and other questions, the mythology of the "Golden Age of Advertising" is examined and analyzed herein. Specifically, using ad-man Don Draper-protagonist of the fictional but already culturally iconic television series Mad Men-as a mythic archetype, lessons are extracted for contemporary advertising practitioners. Ten timeless rules are proposed and explicated in the areas of managing intra-agency leadership processes, managing creative processes, and managing client relationships. -
UNILEVER TEA (A): REVITALIZING LIPTON'S SUPPLY CHAIN
The case documents Unilever's journey to revitalize Lipton brand through sourcing all its tea from Rainforest Alliance Certified (TM) farms. It provides a framework for discussions around the challenges of aligning supply chains behind the re-positioning of a high-value brand as sustainable. It also explores the business case for sustainable sourcing of agricultural raw materials and raises questions on the potential to improve the economic health of the entire supply chain. Learning objectives: Understand the business case for major brands to convert to sustainable sourcing. Understand the challenges of aligning suppliers behind a major market transformation effort. Illustrate the dilemmas of adapting to a changing business context while staying on course with long-term objectives. Change the traditional perception of business responsibility in pushing forward the agenda for action on sustainable agriculture and other "mega-issues." -
Attune Foods: Challenging the Goliaths with Authenticity
The US organic cereal business is fascinating: while most brands of organic breakfast cereals were founded by hippies who wanted to make a difference in the world in the 70s and 80s, many have been taken over by large "traditional' food companies. Attune Foods and its brands Uncle Sam and Erewohn is an exception: it is a small, independent player. Its ambition is to become a leading digestive health brand in the country: not exactly a popular conversation topic at most family dinner tables. Attune faced two challenges: - Develop a way to communicate about digestive health in a consumer-friendly way. - Communicate its differentiation with food giants like General Mills and Kellogg in a compelling way, with way less financial resources. Attune decided to base its strategy on authenticity: a less costly strategy that the company believed would allow it to clearly communicate its message and to differentiate it from the big boys. It applied the concept of authenticity in all aspects of its business (e.g., product definition, production and sourcing, communication). The case describes the company and its competition. The challenge facing Attune at the time of the case was to double the size of the company within four years. -
BP in Russia: Bad Partners or Bad Partnerships? (A)
Following the Deepwater Horizon oil spill, BP seeks to expand its assets and revenues, so it looks to Russia, but a planned alliance with a Russian state-owned oil company is thwarted by objections from another Russian oil partner. This case maps BP's strategic alliances and illustrates the importance of alliance management. -
Salmones Puyuhuapi Part I
This case series is appropriate for undergraduate, MBA, executive education, and MBA Exec audiences but is specifically designed for decision analysis, a first-year MBA core course. In the Part I case, Osvaldo Correa, CEO of Salmones Puyuhuapi (SP), must decide how to respond to news that the ISA virus has infected a competitor's salmon farming site. The alternatives include harvesting SP's 900,000 salmon two months early, waiting for the fish to grow and risk losing fish to the virus, and vaccinating the fish. The "harvest now" alternative is evaluated using normally distributed fish weights. It is necessary to account for monthly growth of the fish and mortality to value the ends of the decision tree. Other alternatives, e.g. testing the water, fish, and marine life can be studied with the expected value of perfect information. Vaccination is an example of the value of perfect control. -
Exeter Group, Inc. (B)
This case presents a brief description of the decisions the company made regarding whether or not to pursue each of the four projects that are the basis of the (A) case. -
Term Sheet Negotiations: A "Rich-vs.-King" Approach
To give students and entrepreneurs a framework to guide their term-sheet negotiations with Venture Capitalists. -
The Wen Group
Three brothers that own and lead a second-generation family business in Hong Kong, encounter problems of nepotism and governance, and endure considerable conflict. The case asks how to resolve these family and business issues.