Cushy Armchair, based in Hong Kong, is a leader in the global armchair business, controlling fully autonomous business groups in 17 countries. Cabletronica has recently acquired the company and has sent one of their own senior personnel to restructure operations and integrate the company with another of their furniture divisions outside of the country. Acting as a consultant, the founder of Cushy is approached regarding a communication on a change in policy, but the new head of the company decides to use the parent company's standard method and now must manage with the results change can have on a cross cultural, multinational business.
This is a supplement to Maple Leaf Foods (A): Leading Six Sigma Change, product 9B01C032. The vice-president Six Sigma discusses the experience the company has gone through now that Six Sigma is a year into implementation. Some issues that he is grappling with include managing excessive demand for Six Sigma Black Belts, managing Black Belts as an organization and working to keep Six Sigma top of mind for managers as other business-related programs (or campaigns) emerge.
Chrysler and Daimler-Benz shareholders approved the largest corporate merger in history. After months of talks, the chairman of the German-based Daimler-Benz management board and the chairman and chief executive officer of the U.S.-based Chrysler Corporation were preparing for when the two companies would officially combine forces to create the fifth largest automobile company in the world. These two managers were officially charged with the responsibility of amalgamating two enterprises that were vastly different from each other. Chrysler was known for its efficient production and economically priced vehicles. Daimler-Benz sold only luxury vehicles, and its reputation was based on craftsmanship, quality and safety. Chrysler executives were in the habit of limiting business expenses; Daimler-Benz executives were not. Between the two companies, there were huge discrepancies in cultures, market segments, product lines, salaries and attitudes. Aware of the excitement of their investors and the concern of their critics, the two leaders are expected to forge and promote the vision on which Daimler-Chrysler will base its future.
Maple Leaf Foods is a leading global food processing company with operations in Canada, the United States, Europe and Asia. Under new management and with the desire to substantially upgrade the leadership capabilities throughout the firm, the chief executive officer and vice-president of Six Sigma (an approach and methodology for eliminating defects in any process) embarks on a revolutionary change journey in this previously change-resistant multinational food business. The project has been rolled out to three of the 10 independent operating companies, and he must analyse the launch to determine whether it is on track, and what can be done differently or better. The supplement Maple Leaf Foods (B): Six Sigma in 2002, product 9B03C001, follows the progress of the Six Sigma program a year later.
Cushy Armchair, based in Hong Kong, is a leader in the global armchair business, controlling fully autonomous business groups in 17 countries. Cabletronica has recently acquired the company and has sent one of their own senior personnel to restructure operations and integrate the company with another of their furniture divisions outside of the country. Acting as a consultant, the founder of Cushy is approached regarding a communication on a change in policy, but the new head of the company decides to use the parent company's standard method and now must manage with the results change can have on a cross cultural, multinational business.
Norwest Labs provides agricultural and environmental testing services. While the agricultural market is seasonal and highly sensitive to the weather, the environmental market is relatively stable, as it is primarily developed because of regulatory compliance testing required of its clients. The company's CEO and founder is confronted with serious challenges: a substantial financial loss, cash flow problems, growing competition and a potential regulatory change that would eliminate mandatory testing by its clients. The purpose of the case is to consider whether the conditions and timing are appropriate for introducing employee gain sharing as a means to implement organizational change. Norwest Labs (B) and (C) are also available, cases 9A99C012 and 9A99C013.
A gain sharing plan was introduced at Norwest Labs. However, because of a number of serious problems with its implementation, the plan is being redesigned. While working towards redesigning the plan, the company suffered a financial crisis after losing 20 per cent of its business from the elimination of mandatory environmental testing by its clients. The purpose of the case is to consider whether open book management, which involves the sharing of financial information and forecasts with everyone in the company, would be appropriate to affect behavioral change across the organization. This is a follow-up to Norwest Labs (A), case 9A99C011. A Norwest Labs (C) supplement is also available, case 9A99C013.
Employee and management perceptions of the impact of gain sharing and open book management on behavioral change are provided in this supplement to Norwest Labs (A) and (B), cases 9A99C011 and 9A99C012.
The senior vice president of one of the world's leading producers of premium wine and head of a joint venture, faces a series of quality problems with the brand. At the same time, he has the unprecedented task of building a state of the art winery in less than 10 months or he risks losing the entire harvest. This case is intended to be used in conjunction with the Robert Mondavi Corporation: Caliterra (B) case, number 9A99C005, and the (C) case, number 9A99C006.
A new independent management staff was hired and most, including the new general manager, came from outside the wine industry. The new managers are having a difficult time trying to convince their parent to accept their judgement. Marketing is an area where significant differences in opinion began to arise. This case is a supplement to Robert Mondavi Corporation: Caliterra (A), case number 9A99C004.
Differences of opinion continue between Caliterra and Mondavi's marketing team. Caliterra's managers believed that Americans simply did not understand the difference between images of Chile and other Latin American countries. From their perspective, communications developed in California did not conform to the Caliterra vision, to be the quality and image leader in the super premium Chilean wine category. This case is a supplement to Robert Mondavi Corporation: Caliterra (A), case number 9A99C004.
The president and general manager are reviewing a pay for performance system. The president needs to determine whether or not these systems were properly designed to ensure that they are producing higher quality product at progressively lower costs. If not, he needs to consider how he might suggest that these and other systems be changed in order to achieve cost and quality objectives.