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Lucy Normen, Chief Operating Officer of Sweetbriar Hospital, had just gotten off the phone with her Emergency Department Director, Dr. Max Warner. He was very upset with the present situation in the ED: people currently boarding in the ED hallways because there were no open inpatient beds; some patients waiting over 24 hours to be admitted; stressed out medical staff." Dr. Warner worried about possible mistakes-and likely drops in patient satisfaction scores. Lucy was puzzled. They had just spent millions of dollars on expanding the hospital's emergency department, yet in the three months since it re-opened things had gotten worse rather than better. She had a strong feeling that her problems were all related to inefficient patient flow throughout the hospital, but didn't quite know how to address them.

Lucy Normen, Chief Operating Officer of Sweetbriar Hospital, had just gotten off the phone with her Emergency Department Director, Dr. Max Warner. He was very upset with the present situation in the ED: people currently boarding in the ED hallways because there were no open inpatient beds; some patients waiting over 24 hours to be admitted; stressed out medical staff." Dr. Warner worried about possible mistakes-and likely drops in patient satisfaction scores. Lucy was puzzled. They had just spent millions of dollars on expanding the hospital's emergency department, yet in the three months since it re-opened things had gotten worse rather than better. She had a strong feeling that her problems were all related to inefficient patient flow throughout the hospital, but didn't quite know how to address them.

An extensive global survey by three Harvard Business School professors finds that employees agree on core standards of corporate behavior. But meeting those standards will require new approaches to managing business conduct. The compliance and ethics programs of most companies today fall short of addressing multinationals' basic responsibilities, let alone such vexing issues as how to stay competitive in markets where rivals follow different rules. Companies must bring to the management of business conduct the same performance tools and concepts that they use to manage quality, innovation, and financial results.

Dr. Barrett Rollins, Chief Scientific Officer of the Dana Farber Cancer Institute, attempts to engender cross-scientist collaboration by applying project management principles to medical research. The resulting innovation, Integrative Research Centers, are novel in this field and present a substantial challenge to the Institute's culture, which had previously allowed faculty scientists complete autonomy over their research. Center leaders are required to develop a business plan, adhere to agreed-upon performance metrics, and undergo regular progress reviews conducted by a peer-led oversight committee. The Center for Nanotechnology in Cancer, a new but crucial center in the program, has failed to meet almost all of its objectives in the first year. Furthermore, a heated dispute between two faculty members in the center has complicated matters significantly. Rollins is flummoxed by these problems because he thought he had provided resources and clear objectives to all of the centers. He must urgently diagnose the main reason(s) for the center's shortcomings and develop a plan of action so that this center's problems do not undermine the whole initiative toward greater scientific collaboration.

In May 2011, Chairman Chen Yuan of the China Development Bank (CDB) was thinking back on CDB's financing of a major project between Petroleo Brasileiro SA (Petrobras), Brazil's state-owned oil and gas producer and China Petroleum & Chemical Corporation (Sinopec), one of China's largest oil companies. Signed two years earlier, the deal was an oil-for-loan agreement in which Petrobras committed to a 10-year oil supply to Sinopec in exchange for a $10 billion loan from CDB. The case study describes the deal and its importance to both countries. The case also discusses CDB's evolution from a policy bank to more of a commercial enterprise.

This case is excellent for teaching both MBAs and executives how to create a blue ocean strategy that is hard to imitate and sustainable. It focuses on Wikipedia versus Britannica.com in the online encyclopedia industry. The case teaches participants the importance of aligning the three strategy propositions of value, profit, and people around both differentiation and low cost to break the value-cost trade-off and create a blue ocean that is hard to imitate. Compelling firsthand video interviews with Jimmy Wales, the founder of Wikipedia - along with other key executives, staff and volunteers, otherwise known as Wikipedians - bring this case to life in the classroom. It can be downloaded from https://www.blueoceanstrategy.com/teaching-materials/wikipedia/ The case is also available in Chinese.

New research shows that a surprisingly high number of technology projects go wildly over budget, sinking careers and companies. Managers contemplating technology initiatives need to take steps to avoid IT "black swans."

Having studied the relationship between how newly merged companies brand themselves and their subsequent stock performance, the authors find that a "fusion" branding strategy-one that combines elements of the two companies' names and logos-leads to superior financial returns three years out. The reason, they believe, is that this approach sends reassuring signals to employees, customers, and ultimately investors.

The authors describe how the new science of social network analysis helps pharmaceutical companies determine which doctors have the most influence on other doctors' prescribing preferences and would be the most valuable potential customers for pharma companies to target. The tool has great potential in other fields as well.

Could the presence of teddy bears make executives behave more ethically? New research shows that adults cheat less and are more generous when reminders of children are near.

Behavioral economists know that because people struggle to think about money and risk in a systematic way, they may make irrational, counterproductive financial decisions for themselves and their organizations. The world of personal financial advice provides an example: Most people estimate that they'll need 75% of their current salary in retirement-because that's the benchmark they've heard from financial advisers. But when they describe how they expect to live, it turns out they'll actually need 135%.

A campaign to make management more of a profession-one that adheres to higher aims that self-interest or economic benefit-is under way. But professions actually have another defining feature: a specialized body of knowledge that practitioners must apply in their daily work. In law, people must pass an exam to gain admission to the bar. In medicine, doctors are required to complete continuing education. The idea of setting knowledge standards for managers is starting to gain traction, but if it is to take hold, business schools, management publications, and public and private organizations will need to take action.

At its corporate headquarters, the pharmaceutical giant Lilly has broken free from the tyranny of the cube farm, redesigning its offices with flexible, customized spaces. The result: lower overhead and costs and higher creativity and productivity. Here's a closer look at what 21st century office space looks like.

The case describes Information Technology at Cirque du Soleil in 2000, when a new Chief Information Officer was hired. The main challenge of the CIO was to find out how IT could best serve the Cirque. She was convinced that to meet this challenge, she had to develop an IT strategic vision that would be accepted by the top management of Cirque du Soleil, to deploy a highly professional IT group and increase the credibility of IT among the firm's leaders.

Spreadsheet Supplement for case UV2559.

This case describes an IQ experiment in which 66 students, under the direction of their professor, used Excel to generate simulated IQs. The instructions were such that the generated IQs should have come from a normal distribution with a mean of 100 and standard deviation of 15. The sample average IQ, however, was 104.3. Students are asked to use their data-analysis skills to make sense of the results. The data set also contains gender (male or female) and fall section (A, B, C, D, or E) for each student, which allow for additional statistical analyses (tests of equality of means).

This short case describes a famous experiment conducted by Sir Ronald A. Fisher and colleagues to test Dr. B. Muriel Bristol's claim that she could tell-only by tasting-whether milk or tea was poured first into her cup. Using hypothesis testing, students must answer the question of how many correct picks the lady tasting tea (LTT) must make in order to "prove" her claim.

The case describes the selection of an information technology (IT) product to support the operations of 1-888-Junk-Van, a small waste-collection business based in Ontario, Canada. Marcus Kingo, the business owner, had five alternatives from which to choose, namely a database upgrade, contracting out development of a new software application, using Google Docs, using an online tool framed as Platform as a Service (PaaS), or implementing a small-business enterprise resource planning (ERP) system. Each option presents strengths and weaknesses, and students are left to make a decision. The case exemplifies the IT deployment challenges faced by small companies. The case emphasizes the general industry characteristics and the particular operational circumstances that led the owner to identify the need for IT. Such circumstances, as well as the particular features and commercial conditions of each alternative, should serve as the main background for arriving at a decision.

Porsche Canada wants to encourage their Canadian customers to drive their cars in winter. The prize is increased sales of cars (by consumers currently unwilling to buy a Porsche only for summer driving) and winter accessories, such as snow tires. This is a three-fold challenge because Canadians generally believe that luxury vehicles should not be driven in winter due to to ice and salt; that sports cars generally performed poorly in winter conditions; and it was unwise to drive a luxury car in winter where it could be more easily scratched or damaged.

Fairmount Minerals, producer of industrial sand in the United States, embarked upon a journey of sustainable development in 2005. The mining industry had an unenviable reputation that threatened the sustainability of the company. Given the strong personal values of stewardship of the planet and community held by the CEO, and because of the reputation of the industry, Fairmount Minerals was moved to action to integrate sustainable development in every step of its value chain - from mining to shipping the product to the customer. Fairmount's journey had been exciting and full of hard work and dedication to the practice of sustainable development. The three broad themes of people, planet and prosperity resonated in all facets of the company. Starting in 2006, each year the organization generated a set of bold goals and monitored its progress toward these goals. These goals clearly spelled out the benefit for the environment and the planet. The question that remained was how this benefit translated into prosperity for the stakeholders and the company. Under what conditions did this stewardship of planet and people lead to increased growth for the company?