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Evidence-based Recommendations for Employee Performance Monitoring
From security cameras to GPS tracking systems, nearly 80% of organizations use some type of electronic performance monitoring (EPM). EPM uses technology to gather, store, analyze, and report employee behavior data to assess performance and observe actions on the job (i.e., productivity, use of company time, incivility). The objective, real-time data that EPM systems collect can be used for performance appraisal, training and development, logistical tracking, wellness programs, employee safety, and more. Despite the organizational benefits of EPM, these systems can have adverse effects on employee satisfaction, organizational commitment, fairness perceptions, and employee behavior. Research provides evidence, however, that these downfalls can be mitigated by implementing these systems with employee attitudes and privacy perceptions in mind. Using theory and empirical research evidence, we offer five recommendations for maximizing the positive effects and minimizing the negative effects of EPM: (1) Be transparent with employees about EPM use, (2) be aware of all potential employee reactions to being monitored, (3) use EPM for learning and development rather than deterrence, (4) restrict EPM to only work-related behaviors, and (5) consider organizational makeup when implementing an EPM system. -
Managing Millennials' Personal Use of Technology at Work
Growing up with the internet and unparalleled access to technology, millennials (individuals born during 1981-1995, also known as Gen Y and Gen Me) extensively use various technologies for non-work-related reasons while at work. Both popular media and scholarly research have portrayed this issue negatively and have supported monitoring and restricting personal use of technology. However, if organizations are to attract and retain millennials-now the largest generation in the U.S. workforce-it is crucial to understand their characteristics and what drives them. Drawing on research on generational differences, organizational control, and cyberloafing, this article explains how unique characteristics of millennials lead them to engage in personal use of technology at work and how organizations might address this issue. Specifically, I contrast two one-sided approaches (deterrence and laissez-faire) that can lead to dysfunctional outcomes when used in excess and recommend more viable solutions. These solutions include establishing a workplace technology use policy based on shared understanding, fostering both relaxation and urgency mentalities, and training both millennials and their managers. -
Assessing the Maturity of Crowdventuring for Corporate Entrepreneurship
Corporate entrepreneurship is a process of strategic renewal and development of an existing business through the creation of new products, services, and activities, as well as new competitive postures and independent ventures. The performance of this process, which leverages the creativity and the initiative spirit of employees and managers, is thus relying on the capacity of the organization to create favorable conditions for the emergence of such latent entrepreneurial potential. The development of participatory innovation models and collective intelligence offer new insights for conducting research on factors enabling corporate entrepreneurship. In particular, the internal company 'crowd' can be investigated with the purpose to study the conditions under which the corporate entrepreneurship process can be successfully nurtured and conducted. In such view, this article moves from an extended review of corporate entrepreneurship and organizational innovation literature to define the concept of crowdventuring and to present an assessment tool aimed to evaluate the maturity of the crowdventuring process within an organization. The tool, which captures both individual and organization-related factors, is also used for an illustrative application into a multinational IT company. Some implications are also drawn at theory and practitioner levels. -
Circle Mapping Your Firm's Growth Strategy
This article offers an innovative graphical approach to facilitating an interactive discussion about identifying and assessing potential growth opportunities. Our approach, circle mapping, visually conceptualizes growth as occupying space, where market space is defined by a set of concentric circles. The circle presently occupied by the firm is defined by its current set of customers and the value proposition offered to them, while the outer concentric circles represent growth opportunities that are defined by new customers and value propositions. The process of circle mapping prompts leadership teams to formulate a growth strategy by visually mapping the value proposition for future customers in relation to the firm's capacity to access the resources and capabilities needed to successfully occupy those spaces. The model allows leaders to conceptualize growth strategies, such as leveraging success in one circle to target consumers in another. It can also allow leaders to evaluate the rewards and risks associated with different growth opportunities, while the visual aspect of the model assists with overcoming some common challenges of applying strategy frameworks to develop new strategies. By having leaders visually depict and justify where and why they want to grow, circle mapping helps firms conceptualize a profitable future and then confidently move toward that space. -
Frustration-driven Process Improvement
When employees are empowered to continuously record their employment-related frustrations- doing so on accessible, visually prominent media-process improvement becomes upgraded to operate in a truly continuous mode. Frustrations are a superior target of process improvement in that they get at deep-seated concerns of people who have first-order process awareness and are most directly impacted by process failings. Recording frustrations not only provides a sound basis for pressing on to solutions, but it is also cathartic. The act of recording frustrations prominently on company-sanctioned media provides a positive outlet for the frustrations themselves. -
Managing Innovation Dilemmas: The Cube Solution
Innovation has become a universal feature of corporate life. Almost no company can survive without innovation. However, when it comes to developing innovation strategies, managers often are left alone to decide which innovation types to pursue, how to balance them in an overall portfolio, how to allocate resources, and how to implement them. In short, managers face a variety of innovation dilemmas. One of the most pertinent problems is how to distinguish innovation types in a meaningful way. In this article, we introduce the innovation cube, a tool that helps position innovation types in a managerially meaningful way. Once managers know how to relate and compare their innovation types to those of other companies, the cube helps them to better formulate their innovation strategy. -
The Mobile Shopping Revolution: Redefining the Consumer Decision Process
The use of mobile devices by consumers and the accompanying response by retailers is rapidly revolutionizing the retail environment. In the past, retailers have focused primarily on the outcome (to purchase or not to purchase) of the consumer decision process, but now mobile technologies give retailers the opportunity to more actively influence the entire consumer decision-making processes. The increasing use of mobile devices by consumers makes shopping a continuous rather than discrete activity that requires retailers to engage with their customers at critical touch points of the decision process in order to provide a more customer-centric experience. This change in focus from the decision outcome to the decision process signifies an important paradigm shift for the retailing industry. After an extensive review of the literature, we identify four pillars that form the foundation for the mobile shopping revolution and represent the essential ways and means through which retailers can engage with consumers during the decision process. We also discuss the different areas in which the pillars can enable retailers to achieve a sustainable competitive advantage in the mobile shopping era. -
Managing Future Uncertainty: Reevaluating the Role of Scenario Planning
The business environment for many firms is changing rapidly and is becoming increasingly uncertain due to the disruption caused by new digital technologies, deregulation, new business models, and the threat of new competitive entrants. This dynamic competitive environment increases the level of uncertainty for senior executives and strategic planning teams who bear responsibility for the strategic development of the firm, particularly in terms of the future direction, scope, and the strategy required to deliver on corporate objectives. This in turn, places increased scrutiny on the strategic planning tools that are used to undertake a rational and comprehensive analysis of the competitive dynamics that inform strategy formulation. This article presents empirical findings and reflections on a scenario-planning project that sought to develop a long-term corporate level strategy. While scenario planning is an established constituent of the strategist's toolbox, the increasing level of dynamism and uncertainty in many markets has meant that it has seen a resurgence. This article presents empirical findings on how the scenario-planning tool was selected and applied before reflecting on the individual and organizational outcomes of using scenario planning to develop an organizational strategy in uncertain market conditions. -
JPMorgan Chase: Invested in Detroit (A)
Beginning in 2014, JPMorgan Chase launched Invested in Detroit, a $100 million philanthropic investment in the city over five years. The bank worked with local economic development organizations, workforce development organizations, small businesses, philanthropies, and the city government to put in place a series of investments to help turn around the struggling city. In 2017, JPMorgan Chases' chairman and CEO, Jamie Dimon, is faced the with decision of whether or not to expand the program to other locations in the U.S. -
BeautifulCoffee and Fair Trade: Working with Local Farmer Co-operatives in Nepal
Not long after John, BeautifulCoffee's (BC) newly appointed producer partnership manager, began his evaluation of the business relationship between BC and its coffee producer organization in Nepal, he realized that the relationship fell far short of internationally recognized fair trade standards. Furthermore, production quality was low because of poor management at DCF-Gulmi. BC was investing substantial resources in helping the local community in Nepal, and the term "fair trade" had significant appeal to Korea's ethical consumer segment. The fact that BC was unable to guarantee that DCF-Gulmi was being managed according to a democratic governance system - a key requirement for fair trade certification - raised legitimacy concerns for BC. John had to decide whether to prioritize social or business considerations. If he decided to prioritize the business aspect of fair trade, he would need to replace the partner supplier with a fair-trade certified, democratically run organization with the management capability to provide high-quality coffee beans. If this path was chosen, BC would still make a positive contribution to the well-being of coffee farmers - somewhere else - but would not help DCF-Gulmi improve its current situation, leaving it worse off than it was before it partnered with BC. Alternatively, BC could maintain its relationship with DCF-Gulmi, deepening its commitment to helping the farmers' organization improve its quality management capability and comply with fair trade standards. But this would require a larger financial and human resource commitment to pay for the recruitment and training of personnel with the necessary expertise in organizational change, co-operative management, and capacity building. Students will discuss the moral and strategic issues surrounding these two choices. -
Passion Connect: Turning Passion into Profit
In February 2017, the co-founders of Passion Connect were considering potential monetization strategies for their company. Passion Connect was an online platform based in Bangalore, India, that helped people identify, nurture, and live their passions. The company provided users with curated content, events, and connections related to their passions-from painting and music to travel and food. Passion Connect aimed to raise a Series A round of venture capital financing by the end of 2017. The co-founders had to find an effective monetization strategy before approaching potential investors. They had to consider both qualitative and quantitative outcomes for each strategy, the fit with the business's goals, and the impact on profitability, feasibility, and user experience. -
Sheng Siong - Mirror, Mirror... Whereto We Go?
Sheng Siong, one of the latest arrival of traditional grocers in the Singapore market, had been delivering better than average earnings. Why is this so? Would it be able to sustain its performance in an environment of intensifying competition, driven by new entrants and disruptive forces? What business adjustments does it need to make? Competitive advantages which had delivered in the past may be quickly eroded, and new ones need to be found, or current edges need to be sharpened. -
Whole Foods and JANA Partners
In 2017, JANA Partners decided to launch an activist campaign at struggling supermarket chain Whole Foods Market. The company had struggled for the past several years, and JANA thought the presence of new directors could help turn around its operations, while Whole Foods resisted, adding new directors and announcing ambitious new financial targets. Facing continued pressure from JANA despite the new changes, Whole Foods accepted an acquisition offer from Amazon, ending the engagement with JANA. -
Steinhoff International and the Stock Exchange
Steinhoff International Holdings N.V. was a holding company, whose subsidiaries manufactured, distributed and sold furniture and household products. Steinhoff was widely known as a South African company because it first listed on the South African Johannesburg Stock Exchange (JSE) and its global headquarters was in South Africa. However, Steinhoff went on to expand from distribution and manufacturing to retail businesses across 30 countries, employing over 130 thousand people. As its global revenues grew, especially in Europe, Steinhoff created a new holding company, Steinhoff International Holdings N.V. incorporated in the Netherlands and with a primary listing in Germany and secondary listing on the JSE. Steinhoff was soon mired in allegations and investigations of accounting misrepresentations, and came crashing on December 6, 2017 after admission of possible accounting irregularities. The case is set days after news broke out about the accounting irregularities and explores the decision of the Johannesburg Stock Exchange (JSE) on whether to suspend the listing of Steinhoff's securities. -
Wellington Global Impact
Wellington Global Impact is one of the first public equities impact investing strategies in the market. The case explores how the strategy was developed at Wellington, including an analysis of the culture that supported its development. It also explores the difficulty in marketing the strategy as a first-mover and the effort to demonstrate that investments can have both positive financial and social returns. Protagonists Eric Rice and Patrick Kent must find ways to show that it is possible to drive impact through a public markets vehicle and show the rigorous financial, impact, and ESG analysis that went into building the strategy. Students will gain exposure to concepts around firm strategy, portfolio construction, risk management, marketing, and impact investing. -
HP and Autonomy: Who's Accountable?
Written using public sources, this case uses Hewlett-Packard's (HP) purchase of Autonomy Corporation (Autonomy) to analyze the accounting treatment for the acquisition and subsequent goodwill impairment. While the case focuses on the accounting for mergers and acquisitions, it also provides for a variety of other discussion topics such as the effect of managerial incentives and CEO succession on accounting outcomes, managerial "spin" on disclosure of bad news, strategy in changing institutional environments, and financial reporting limitations of new economy firms with heavy investments in intangible assets. The case opens during the fall of 2011 (when HP purchased Autonomy). Some analysts applauded the shift in strategy that the Autonomy purchase signaled for HP. Others were unsure how Autonomy's cloud computing software fit HP's businesses. From there, events at HP suggested a sense of division and frustration between HP leadership, the board, and Autonomy executives. The board replaced HP CEO Leo Apotheker with Meg Whitman. For the next few quarters, Autonomy missed expected results, and by May 2012, HP removed Autonomy's CEO Michael Lynch. Shortly after, HP announced an impairment charge of $8.8 billion related to the Autonomy acquisition, driving the company to report a loss for the year, the first in 10 years. The HP disclosure emphasized the Autonomy acquisition (which occurred prior to Whitman's tenure as CEO) and accused Lynch and Autonomy executives of cooking the books to inflate the purchase price. However, analysis of the financial statements and related footnote disclosures reveal that this $8.8 billion was less than half the $18 billion total impairment that HP recorded in 2012. -
Negotiating Toward the Paris Accords: WWF & the Role of Forests in the 2015 Climate Agreement
In the lead-up to the United Nations' 2015 climate summit in Paris, excitement ran high and so did anxiety. Negotiators hoped for a new international agreement, the first such effort since the disappointing collapse of negotiations six years earlier in Copenhagen. But the text of the agreement was still subject to debate. This case focuses on the efforts of one mid-level participant in the process, Josefina Braña-Varela, policy director for Forests & Climate at WWF. Her focus: to try to ensure that forest protection received a specific mention in the Paris Agreement. Two years earlier, national delegates had added a set of rules and standards called the Warsaw Framework for REDD+ (Reducing Emissions from Deforestation and Forest Degradation) to the international climate regime. Under this framework, developing countries could qualify for payment in exchange for reducing deforestation or forest damage, or for introducing practices such as sustainable forest management. But participation in the program was entirely voluntary. It remained to be seen whether developed countries would provide enough funding to make it work, and whether developing countries would be willing to adopt policies to measure and reduce deforestation and forest degradation. In this context, Braña-Varela thought it crucial that the Paris Agreement send a signal that delegates viewed forest preservation not a side concern, but as an objective as critical as the reduction of greenhouse gas emissions from fossil fuels. Some negotiators were leery of doing so, however, for an array of reasons. The case provides enough background for the reader to understand the tensions over this issue, then follows Braña-Varela, a one-time forest negotiator for Mexico, in her new role at WWF. The case shows the strategic choices of a respected, but not especially powerful, figure, as she tries to influence a complex international process. Case number 2118.0 -
Is Destira My Destiny? Whether, When, and How to Join One's Small Family Business
In mid-2012, after successful years in large public companies and obtaining an MBA, middle daughter Jen, 32, is trying to decide whether the time is right for her to enter her mother and sister's small family business to grow it further. Destira, Inc. was a designer/manufacturer of gymnastics wear for girls, headquartered in California. Donna Levy founded the company in 1990, after years of making leotards for her three daughters, who were competitive youth gymnasts, and getting requests from other parents to make the garments for their own children. In 2005, when Donna's oldest daughter, Jodi, joined Destira, Donna gave her a 50 percent equity stake. Between then and year-end 2011, the pair grew the revenues from $550,000 to $1.06 million, increased the number of outlets carrying the brand, upgraded the internal accounting/operations software, and added an online direct-to-customer retail business. The case shows realistic considerations for the individual, family, and business when evaluating whether or not to commit to join the family enterprise. -
Thien Long Group Corporation: Stationery Success in Vietnam, Dynamic Ambition Beyond
This case is set in 2017, when Co Gia Tho, Chairman of the Board at Thien Long Group Corporation ("TLG"), a Vietnam-based manufacturer and supplier of writing instruments and stationery products, is considering further international expansion. While Vietnam already had over 65,000 points of sale across the country, the company is looking to grow stronger by developing overseas markets. Founded in 1981 as a small family business manufacturing ball-point pens, TLG had grown to become the top stationery manufacturer in Vietnam and a market leader in the region. By end-2016, the company had a market capitalisation of approximately VND 4,000 billion (US$176 million), and total revenue of VND 2,162 billion (US$95 million). Its products were being distributed to more than 50 countries across six continents. Export revenues accounted for nearly 15% of the group's total revenue, and had been growing at over 30% year-on-year for the past three years. And yet, it continued to be a challenging proposition. What could Co do to enhance TLG's reach overseas? Moreover, given the global megatrend of rapid digitisation which was causing headwinds for the growth of physical office supplies in the more developed countries, how best could it adapt its strategy in the face of the changing dynamics of this almost commoditised and highly fragmented stationery industry? -
Into Local Streets: Maryland National Guard and the Baltimore Riots, Epilogue
Supplement to case KS1253. On April 19, 2015, Freddie Gray, a young African American male, died while in the custody of the Baltimore Police. In response to his death, which occurred less than a year after a similar incident in Ferguson, Missouri, protestors mobilized daily in Baltimore to vocalize their frustrations, including what they saw as law enforcement's long-standing mistreatment of the African American community. Then, on April 27, following Gray's funeral, riots and acts of vandalism broke out across the city. Overwhelmed by the unrest, the Baltimore police requested assistance from other police forces. Later that evening, Maryland Governor Larry Hogan declared a state of emergency and activated the Maryland National Guard. At the local level, Baltimore Mayor Stephanie Rawlings-Blake issued a nightly curfew beginning Tuesday evening. "Into Local Streets" focuses on the role of the National Guard in the response to the protests and violence following Gray's death, vividly depicting the actions and decision-making processes of the Guard's senior-most leaders. In particular, it highlights the experience of the state's Adjutant General, Linda Singh, who soon found herself navigating a complicated web of officials and agencies from both state and local government - and their different perspectives on how to bring an end to the crisis. Case number 2116.0