• Shangri-La Hotels and Resorts: Achieving Service Leadership

    Shangri-La Hotels and Resorts (SLA) owns and manages the largest deluxe chain in Asia. In 1993, the managing director recognized that there was a need to create a common goal and a set of common values to bind all Shangri-La Hotels and to instill among them the feeling that they were all part of the same organization. The "Shangri-La 2000" strategic plan was developed to achieve these objectives. This case provides a detailed account of the formulation process of "Shangri-La 2000" and how it was communicated to every employee at Kowloon Shangri-La (KSL)--one of the 38 Shangri-La Hotels. A major challenge faced by the general manager of KSL was how to interpret the performance measurements taken before and after the implementation of the strategic plan to assess its effectiveness. He also wondered what he could do to maintain the momentum of "Shangri-La 2000" at KSL amid the adverse operating environment brought about by the Asian economic crisis.
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  • Torrington Wuxi Bearings: From a State-owned Enterprise to a Sino-American Joint Venture

    Torrington Wuxi Bearings (TWB) was a Sino-American joint venture that manufactured ball and roller bearings in China. When Jesse Chen, the new general manager, arrived, the company had recorded three straight years of losses. Together with his new management team, Jesse undertook a series of measures aimed at transforming TWB from a state-owned enterprise (SOE) to a market-driven sales organization. This case allows for a discussion of issues related to a radical organizational change in a former SOE in China and the strategic considerations in entering the Chinese market.
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  • Cathay Pacific Airways: "Service Straight from the Heart"

    In 1993, the cabin crew of Cathay Pacific Airways, Hong Kong's flag carrier, went on a large-scale strike, which damaged crew morale. Peter Buecking was appointed general manager of inflight services in 1995. With his inflight service strategy, he restored the morale of cabin crew and improved the quality of inflight services. With the onset of the Asian economic crisis in 1997, Cathay Pacific's revenues dwindled and profits declined. Inflight Services Department (ISD) was under tremendous pressure to cut costs. At the same time, Buecking received a promotion and left ISD. How would his successor in ISD go about cutting costs while maintaining the cabin crew's morale and the quality of inflight services?
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  • Smartex: An Electronic Cash System

    Mercantile Bank of Australia, together with six other Australian banks, acquired a license to issue Smartex, a smart-card-based electronic cash system, in Australia. Australia had been a popular country for conducting smart-card trials because it possessed a sophisticated telecommunications infrastructure and a highly urbanized population that had demonstrated keenness toward adopting new technologies. The case examines the process used by Smartex licensees to develop and launch Smartex in Australia. Also, the second-generation Smartex chip, which has a multifunctional capability, will soon be available. How should the Smartex licensees promote this new chip to make use of its enhanced capability without confusing consumers?
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