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Hollywood has made much out of what the tech savvy call The Singularity, the moment a machine is capable of thinking better than its creators. Sophisticated forms of artificial intelligence, along with Big Data and the Internet of Things, have already created a communications network that operates much like a brain. For businesses, the “rise of the machines” will create opportunities to help consumers adjust to change. The social dislocation caused by an increasingly mechanized society will spur consumers to focus on self-actualization and transcendence. Marketers and brand managers should take note that roughly one in 20 Americans, for example, practice yoga regularly, driving demand for yoga studios and instructors, not to mention clothing companies that represent such a fashion/lifestyle choice. Markets for massage therapy, nature experiences, organic foods, relaxation devices and other stress-busting/health-related products and services will grow along with interest in meditation. Opportunities will abound for companies that specialize in making the interaction between people and machines more seamless.

Instructor spreadsheet for product 8B14N038.

Student spreadsheet for product 9B14N038.

Alaska Airlines has recently recovered from a period of operational instability, yet its executives worry the airline is draining its reserves of customer loyalty and goodwill, due to losses over the past two years and variability in its statistics for on-time flights and mishandled baggage. After focusing many resources on operations in an effort to regain stability, the senior executives wonder whether the organization could endure if performance were to slip again. Is remaining status quo good enough, or should the airline’s leadership take action to transform the performance culture? See the optional companion technical note 9B14C060.

This technical note was written as a companion document for potential use with 9B14C059. It can also be read on its own to gain a greater understanding of how organizational change unfolds over time. This note can also be used as a companion to other business cases or for so-called “live” cases that profile challenges currently experienced by organizations. Finally, the technical note can also be used to guide data collection and analysis for the purpose of researching or writing new cases on organizational change using the framework or model.

The newly appointed innovation manager at Purolator, a market leader in the parcel delivery industry in Canada, is under pressure to deliver quick wins. The manager faces three dilemmas in his role, which is the first-of-its-kind in the company. How should he bring innovation to the attention of Purolator employees, particularly the senior managers? How should he develop the roadmap and set an agenda for unveiling innovation at Purolator? How should he ensure that innovation becomes a source of long-term competitive advantage at Purolator?

Comair Limited was South Africa’s largest private airline and consisted of British Airways SA and the low-cost airline kulula.com. After acquiring more fuel-efficient aircraft, Comair decided to adopt Sabre, a reservation and scheduling technology platform. Initially, some Comair executives thought that the Sabre implementation was an IT project, but they soon realized that all employees were affected and that a culture change was required to successfully implement the new standardized way of working. An organizational transformation company was hired and “Operation Crossover” was created as a reference point for employees and metaphor for change in order to enable the change process, starting with a change readiness assessment and culture change roadmap. How could Comair’s CEO capitalize on the positive changes from this project and maintain the profitability and growth of the last 68 years?

The entrepreneur owner of Proof Engineering is facing a difficult decision: whether to sell his family business to a large corporation and shift to a corporate career or abandon the deal and continue as an entrepreneur. Following a setback from a previous deal in which he sold 50 per cent of his company, the entrepreneur has managed to grow Proof Engineering into a successful international enterprise. However, this second offer presents many potentially lucrative opportunities. There are a number of motivations involved in the decision to sell — including personal, financial and business considerations.

In September 2008, the CEO of Rainbow Group, a Chinese group of companies specializing in environmental protection services, was in Beijing, China, thinking about his experience that evening. A few hours ago, eight senior executives from Rainbow Group’s subsidiary in Hangzhou had come to Beijing requesting that the CEO fire their general manager, who had been appointed by the CEO only six months ago. This manager had taken control of the Hangzhou subsidiary with ambitious efforts to implement lean management and better cost control, but had met resistance from the other managers. The CEO was reviewing this appointment and thinking hard. What was the problem? What should he do?

Globally acclaimed singer, actor, author and Grammy Award winner Ricky Martin “decided [on March 29, 2010] to put an end to the hell that was going on inside [his] mind” by using Twitter to openly declare his homosexuality. Issues posed by the revelation included: What options were available to Martin’s management before and after the revelation in order to effectively deal with situations that could have jeopardized Martin’s career and future projects? Should those close to Martin have planned for a potential brand repositioning strategy? If so, how should they have handled it?

In 2014, Paris Baguette was the largest bakery chain in South Korea with 3,200 stores throughout the country and 178 locations in China, Southeast Asia and the United States. Since 1988, the company had vertically integrated with ingredient suppliers and developed its own food processing capability, giving it considerable control over the value chain. In addition, it had developed an innovative franchise arrangement that allowed for improved cash flow from operations. However, in response to domestic market saturation, intense competition from local and multinational bakery chains and independent bakeries and a recent change in government regulations, its chief executive officer is wondering how best to achieve his goal of operating 6,000 stores in 60 countries worldwide and achieving revenue of KRW4 trillion by 2020. He is also considering whether it would be better to focus instead on improving the profitability of the company’s domestic operations and delay his expansion plans.

The University of Regina faculty association and the University of Regina administration are entering into contract negotiations just six months after settling their previous contract through mediation. Although the two parties have both conflicting and compatible interests regarding the ultimate collective agreement outcomes, their strained relationship complicates the bargaining process. Use with 9B15C005B.

The University of Regina faculty association and the University of Regina administration are entering into contract negotiations just six months after settling their previous contract through mediation. Although the two parties have both conflicting and compatible interests regarding the ultimate collective agreement outcomes, their strained relationship complicates the bargaining process. Use with 9B15C005A.

In late January 2009, the assistant deputy minister of Industry Canada was considering how to design the Knowledge Infrastructure Program, which had unexpectedly been assigned to the department in the recent federal budget. A $2 billion spending program focused on knowledge infrastructure, its projects were required to be completed within two years. The immediate goals were to provide a significant short-term economic stimulus and help create jobs during the economic recession. The long-term objective was to fund the modernization plans of universities and colleges. However, there were severe challenges that had to be met: the program must begin within 120 days; there were significant staff constraints in the department; the regulatory process and Auditor General’s standards must be followed and met; accountability standards had to be addressed; and the political element (both federal and provincial) of project selection must be taken into account. How could the program be designed and administered quickly despite the department`s limited capacity?

Excel spreadsheets for students.

Piron Smart Technologies Co. Ltd., a private enterprise located in an underdeveloped region of China, was transitioning from being a founder-centered to a professionally managed firm. In the summer of 2010, the founder and chairman of Piron attempted to hire a senior executive from a Western multinational firm as chief operating officer, with the promise of a later promotion to chief executive officer (CEO). The candidate turned down the offer and demanded to be appointed CEO from the onset, leading to a conflict between the newly arrived CEO and the insiders passed over in Piron’s search for a CEO. See supplement 9B15M016.

Supplement to 9B15M015.

In 2014, IMAX is a Canadian-based company synonymous with large-format, high-quality cinematic experiences. Following four decades of innovation, the bulk of its revenue now comes from providing technology to mainstream movie studios and multiplex exhibitors. IMAX has more than 900 cinema screens in 58 countries, with nearly half of them located in North America. Its chief executive officer believes that the route to becoming a billion-dollar company involves adding 1,100 screens in growth markets outside of North America. If about 400 of the new worldwide screens are designated for Brazil, Russia, China and India—the BRIC economies—how should IMAX allocate these new screens by country and by city?

Situated in Beijing, Tenglong Ltd. is a typical non-state-owned listed firm in China. After its initial public offering, the founder has retained majority ownership and operation control by serving as both chairman and chief executive officer. An independent director of the company is worried about its corporate governance practice. What puzzles him most is the fact that, despite the apparent weaknesses of the board, the company itself is doing very well in the market. As he reflects on his experience, he cannot help wondering whether there is anything wrong with the board and what an effective board should and should not do.

In 2010, the assistant general manager and head of strategic development at Lebanon’s BLC Bank attended the annual summit of the Global Banking Alliance for Women, a leading organization of financial institutions that drove the creation of women’s wealth worldwide. On her return to Beirut, she encouraged her bank to capitalize on the inclusion of women as a relevant differentiator from both a business and societal perspective. The result of research into the economic, demographic and social needs of the country was the launch in 2012 of the "We Initiative", a unique and comprehensive program dedicated to the economic empowerment of women in the Middle East and North Africa region. By 2015, the program’s success not only served the bank’s economic bottom line but also benefited the Lebanese economy and community as a whole and exemplified the bank’s sense of responsibility to its society.