It provides a framework for discussions around the implementation "pain points" of ambitious strategies with long-term objectives, which involve high uncertainties, risks and business opportunities. It opens the floor for an interesting discussion on how to take on the challenges of a changing business context and balance them against long-term objectives. Allianz and WWF joint venture evolved from a collaborative awareness-raising effort to an action-driven partnership with the ambition to lead the financial industry on the climate change issue by example. The partnership goals were to quantify climate change effects on financial services and use it as an innovation driver for products and services in insurance, banking and asset management business. In 2008, a year after the partnership was implemented, points of tension at the operational level accumulated, mainly in relation to the governance model and follow up on certain issues. In the same period, the financial markets crisis hit. This significantly changed the business environment and pushed Allianz to rethink their strategy and engage WWF on discussing where, if and how the partnership could be adjusted while keeping the core strategy. A video documenting Allianz' efforts on Corporate Responsibility can be used with this case (see link under Notes). Learning ojbectives: 1) Understand the challenges of rolling out sustainability strategies. 2) Illustrate the dilemmas of adapting to a changing business context while staying on course with long-term objectives, particularly in difficult business circumstances. 3) Illustrate the barriers and success factors of corporate sustainability partnerships. 4) Change the traditional perception of business responsibility in pushing forward the agenda for action on climate change and other "mega-issues".
In 2006 Andy Papathanassiou was faced with a new dilemma. After 15 years of working within the racing world of NASCAR, as athletic director for HMS, he was searching for the next breakthrough to improve pit crew performance. Earlier in his career, he had successfully halved pit times and changed standards across the racing industry by introducing athletic training and transforming pit crew members into pit athletes. In doing so, Papa created a legacy in motorsports and transformed auto racing. Papa's instinct was that within the matching process of assigning pit positions existed an opportunity that would improve performance. Papa was looking for ways to elevate the system dynamic whether it be "man or the machine." The next breakthrough would most likely be less dramatic than the first, though no less important. Fractions of a second could determine whether a race was won or lost. Other contributing factors were the continued evolution of racing, new automotive technologies and NASCAR's regular changing of the rules to keep the playing field level. Learning objectives: To illustrate operational process improvement methods, like lean, and open innovative techniques that can lead to improved performance and productivity in time-based competition. The case uses the concept and illustration of knowledge brokering techniques - using old ideas to find new answers and solutions for problems and how this can be applied to improve performance. It is a platform for considering improvement approaches in interconnected time-based production or service systems. The case also questions what will be the next breakthrough in performance and promotes discussion as to whether it will be a human or technological element.
Explores how the purchase of services is managed within the organization, the risks associated with current services purchasing practices, and how to improve the professional management of services purchases. Survey data obtained from benchmarking research performed by CAPS Center for Strategic Supply Research reveal that purchasing services is viewed as more difficult than purchasing goods. In addition, while purchasing of services is growing in importance and magnitude, the resources to manage it are not. Accordingly, there are huge opportunities for organizations to improve their services purchasing in terms of cost and value by dedicating more, and perhaps different, resources to services purchasing. Developing an outstanding capability to purchase services, and to manage that purchase, could truly be the next frontier for improved supply chain and organizational performance.
Bruynzeel Keukens, the Dutch kitchen industry leader faced a dilemma, it had audacious objectives in terms of maintaining leadership and increasing market share, yet its operations were not able to sustain such a pace any longer, it would have to be reengineered from scratch. Learning objective: This case provides a good opportunity to understand how supply chain management can have a huge impact on a company's strategy.
This is an MIT Sloan Management Review article. Do you consider distribution and inventory costs when you design products? Can you keep your customers informed of when their orders will arrive? Do you know what kind of inventory control systems your dealers use? If not, you've succumbed to the pitfalls of inventory management. You're not alone. Manufacturers have been concentrating on quality of incoming materials and outgoing products, but they haven't been paying as much attention to the costs associated with transporting and storing them. Describes 14 pitfalls of supply chain management and some corresponding opportunities. The more complex your network of suppliers, manufacturers, and distributors, the more likely you can gain operational efficiencies by attending to inventory.