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Business Process Transformation at the CIA (B)
When Dick Calder is named head of the CIA's Directorate of Administration (DA) in 1995, he faces the task of leading a beleaguered organization through a difficult period. As the unit responsible for providing its more glamorous intelligence-gathering and analyzing counterparts with administrative services-ranging from logistics support to telephones to personnel services-it has borne the brunt of a decade of agency budget cuts. Other directorates are not sympathetic, however, and view the DA as wasteful and unresponsive. In hopes of improving the DA's services and its customers' level of satisfaction, Calder proposes a novel solution to the directorate's woes: budget "givebacks." Under this cost-recovery scheme, the DA would give its budget back to the "mission" directorates, which would then purchase support services from the DA or, if they chose, another provider. Calder reasons that the specter of competition would improve the DA's delivery of services; at the same time, it would encourage the other directorates to buy more prudently, in line with the agency's shrinking service budget, particularly because they would be allowed to retain any savings they realized. It is a radical proposal for an inherently conservative agency-one, moreover, whose covert mission makes unusual demands on the deliverer of the most routine services. This series of organizational change cases follows Calder's efforts to implement budget givebacks in the DA. They detail his strategy for winning support for his idea, the experiences of several pilot giveback programs he initiates, and the sharp resistance he encounters both within the DA and from the other directorates. Together, the cases raise questions about adaptation to a changing political and fiscal environment, as well as the management of innovation in an organization deeply skeptical of change. HKS Case Number 1516.0 -
Managing Knowledge at Booz-Allen & Hamilton: Knowledge On-Line and Off (A)
Case A: The authors believe that knowledge management is a convergence of at least three factors: an appreciation of knowledge issues, the availability of sophisticated IT technology, and the managerial competence to suitably craft jobs and culture. This case takes the reader through the experiences of Booz-Allen & Hamilton in crafting their knowledge system and dealing with these factors. -
Restructuring General Motors North America (A): Pay-for-Performance
Presents the new pay-for-performance scheme adopted by General Motors (GM) in its 1999 reorganization of its sales and marketing organization. Once in operation, many administrative problems developed requiring a reconsideration of the scheme's basic architecture. -
Northwest Airlines and the Detroit Snowstorm (A)
Northwest Airlines forced hundreds of passengers to wait up to 8 1/2 hours on aircraft after reaching their destination in an unusually horrible service disaster. The case explores what occurred, why it occurred, and the feelings of those involved. -
Northwest Airlines and the Detroit Snowstorm (B): Northwest's Response
Supplements the (A) case. -
Northwest Airlines and the Detroit Snowstorm (C): Class-Action Status Is Granted to Suits over Northwest Delay
Supplements the (A) case. -
Organization Design of Owner-Managed Companies
Provides a concise overview of the key considerations and components of an organization's design. Examines how an organization's design must fit with both owners' goals and the organization's key success factors. Identifies several key aspects of an organization's design. -
Harley-Davidson Motor Co.: Enterprise Software Selection
Describes Harley-Davidson's decision process for defining and selecting an enterprise-wide procurement software package and the institutional changes introduced as part of this process. Tells the story of Harley-Davidson's approach in developing integrated business processes and information systems to meet the needs of a visionary procurement strategy. Central to this activity was the evaluation and selection of an enterprise software package and implementation partner to support the strategy. Describes managerial reasoning and tactics to introduce significant organizational change into a setting where team-based responsibility and a culture of autonomy are prominent. -
Harley-Davidson Motor Co.: Enterprise Software Selection, Spreadsheet Supplement
Spreadsheet supplement for case 600-006. -
Seagram Greater China Office Relocation in Hong Kong
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Rougemont Fruit Nectar: Distributing in China
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Kowloon Development Co. Ltd.
Anthony Ng, the general manager of Kowloon Development Co. Ltd., has been approached by a real-estate agent proposing a new development project for possible investment by Kowloon Development. Although the project is attractive, there are a number of associated uncertainties that complicate Ng's decision about whether or not to recommend investment. He has only a few days to review the proposal and make a decision before the next board meeting. -
Edward Jones
Edward Jones is a leading, highly profitable retail brokerage firm with a unique strategy very different from those of its rivals. The case describes Jones's activities and allows a rich discussion of its positioning choices, supporting activities, and tradeoffs. Jones must cope with a rapidly evolving industry, which, at least on the surface, is a threat to its strategy. -
Chrysler and BMW: Tritec Engine Joint Venture
A gifted project leader lacks significant new product development experience. The case highlights the issues and procedures related to defining the project strategy: organizing senior management approvals and support for creating a "heavyweight" team; aligning the disparate perspectives, interests, and biases of project members; and implementing best-practice tools for managing teams within the project. Creates a framework for establishing organizational design rules and key new product development processes, and also provides insights about models of leadership for new product development. -
Management Development Plan in a Family Business
Defines management development objectives for family members employed in their family business. Outlines a process of putting these individuals on a career path to provide them with needed developmental experiences while respecting the broader needs of the organization. -
Corbin-Pacific
Reviews the history of Mike Corbin's entrepreneurial career and describes in detail the successful organization he has created. Explores his management philosophy and leadership. Explores the usefulness of continuing family involvement in this business. -
Comments on Standard Times and the Division of Labor
A brief note on the origins and uses of standard times in production process flow diagrams and on the benefits and drawbacks of division of labor. A rewritten version of two earlier notes. -
How to Frame a Message: The Art of Persuasion and Negotiation
The essence of effective persuasion and negotiation comes down to the ability to craft "frames." A frame orients a reader or listener. It provides the perspective we want the other party to adopt, a rationale for the evidence we present, and the sequential pattern for presenting that evidence. Building a frame consists of four basic steps: 1) Determine your specific objective; 2) Conduct a SWOT (strengths, weaknesses, opportunities, threats) analysis of the other party's current status; 3) Determine the other party's core values; and 4) Write a simple, vivid, evaluative statement linking the three sides. The frame must orient a decision-maker to assess information from the specific perspective that casts the most favorable light on your proposal. -
Strategic Brand Valuation: A Cross-Functional Perspective
In companies in which a brand is the key source of competitive advantage, it is essential to collect and evaluate data as a part of brand management. To do this, managers need information from a variety of functional areas throughout the firm. One of the ways accountants can provide useful information for marketers is by conducting periodic brand valuations, assigning financial value to the equity created by the name or image of a brand such a NIKE or Intel. Doing this aids management decisions regarding short-term expenditures and long-term benefits. We describe here how brands can be valued and how this information can be used for decision-making. Methods of brand valuation include cost-based approaches, market-based approaches, income-based approaches, and formulary approaches (which use multiple criteria in arriving at brand value, as practiced by the consulting firm Interbrand and Financial World magazine). Advantages and disadvantages of these approaches are noted. The measure of brand value may include subjective elements, but the lack of a financial measure means that the importance of intangible assets might be overlooked. Brand valuation, as a bridge among different functions and disciplines, appears to be the most promising technique capable of illustrating the importance of the brand to managers. -
Preparing Family Business Cases
Advises students on how to prepare and discuss a family business case.