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Supplements the (A) case.

Following Intel Inc.'s decision to replace flawed Pentium chips, the company faces revenue recognition choices. Events leading up to IBM's decision to halt shipment of computers that have Intel's microprocessor inside and Intel's decision to replace all the flawed chips are outlined. Intel must decide whether to: make a provision for the costs of replacing the chips, defer recognition of revenue on the flawed chips that it has now agreed to replace, or make no entries on grounds of materiality.

Supplements the (A) case.

Sunbeam Television, owner of a television station in Miami (a Fox affiliate), buys Channel 7 (a CBS affiliate) in Boston. They bring to the Boston station the concepts and ideas of their Miami news product--that is, a crisp, content-based design rather than one centered around personalities. Industry changes force them out of the CBS affiliation in Boston. Having considered both FOX and NBC, Sunbeam finally settles on NBC. The implications and motivations of their decision are to be discussed.

Supplements the (A) case.

A large entertainment company, extensively criticized for producing violent, offensive, and anti-social material, is considering whether to sell its material to a semi-illegal operation that is beaming satellite TV into Turkey. The opportunity raises many questions about cultural sensitivities and the concept of American cultural imperialism around the globe, especially in the traditional Muslim Middle East. The young executive responsible for the deal wonders if his company will be perceived as a "Western vulture."

Bob Reiss, a seasoned entrepreneur, "accidentally" started Valdawn in 1988 and in six years built the company into a $7 million marketer of "fun and fashion" watches. Valdawn, a "virtual" company, has very few employees or fixed assets and enjoys attractive profit margins and, Reiss believes, bright prospects for growth. Nevertheless, Reiss is wary of making the investment such growth would require and wonders whether he should scale back the business or sell his interest.

Supplements the (A) case.

Supplements the (A) case.

Addresses the challenges faced by Ben Rosen and the company board of directors as continuing problems force it to make a decision about the ongoing governance of the firm. The issues are complicated by the current CEO and founder, Rod Canion, who has had, until recently, a very successful track record and is very highly regarded within the company and the industry.

Nokia faces the challenge of implementing the global network model: global R&D and production networks for global learning and control combined with local sales and customer service for a local market presence. It launches an international logistics project to provide integrated solutions delivery and after-sales service. This case describes Nokia's IT strategy study, which clarified the need for, and architecture of the new logistics system.

A proposal for reengineering the order management process of an HVAC products and services company receives only half the funding it needs. The proposal appeared to offer a very high return on investment, but would require substantial funding and dramatic changes in work processes and the information technology required to support these processes. The firm's president must decide whether to fully fund the reengineering effort and how quickly to roll out the new program.

Examines the process of privatization and transformation the company underwent and identifies challenges facing the company as it seeks to become a global oil company.

This case exposes students to refinements in JIT (just in time) purchasing. It explains in detail Bose's concept of JIT II, how it operates, and what its advantages and disadvantages are. Students can critique the JIT II idea and decide if it should be extended to parts that are used in proprietary areas. Students should have some prior exposure to JIT purchasing concepts (e.g., partnering). The case could be used in an operations course or in a course on business-to-business marketing.

This note provides an introduction for a course or module covering the basic elements of production or service operations and how processes are managed. Begins by discussing the activities that take place in a "process." Analysis tools such as the process flow diagram are provided. The types of management choices involved in designing, operating, and improving processes are described. Measures of process performance and basic process analysis are introduced. The different cost structures, capabilities, and performance characteristics of alternative types of processes are touched upon. Finally, the note focuses briefly on the complexity stemming from uncertainty and variability in processes and their external environments. A rewritten version of an earlier note.

Dr. Prathap Reddy has created India's first corporate hospital, Apollo Hospitals of Madras. The hospital is managed according to an integrated philosophy of customer service and support to employees. A new hospital, in the city of Hyderabad, has not performed as well, however. Futhermore, the company is considering widely franchising the Apollo brand name, and establishing India's first health maintenance organization. Main subjects for analysis and discussion include: the connections between Apollo's management philosophy and its success in Madras, the reasons for Hyderabad's less impressive performance, and the merits of franchising and establishing the HMO given Apollo's expertise and conditions in India.

The Indian Hospitals Corp. (IHC), a branch of Apollo Hospitals Group, is considering building a hospital and primary-care medical center in Colombo, the capital of Sri-Lanka, a small island off the southern coast of India. This case describes economic, social, and political conditions in Sri Lanka, particularly in and around Colombo, and the proposed project. There are both promising signs and potential problems.

The owner of a shipping company has to make a decision on how best to use the available capacity of one of his vessels.

Harimann International, a small producer of finished textiles, receives a large, unexpected order at the beginning of the off-season. Unfortunately, none of the available embroiderers (subcontractors) can commit to finishing the goods in time for internal processing (bleaching, cutting, sewing, washing, and packing) to be completed in time to guarantee the shipping date. This case offers a rich context for analyzing problem solving under uncertain conditions and exploring risk-reduction opportunities.

Spreadsheet supplement for case 596-036.