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Managing Climate Change: Lessons from the U.S. Navy
The U.S. Navy operates on the front lines of climate change. It manages tens of billions of dollars of assets on every continent and on every ocean, which take many years to design and build and then have decades of useful life. This means that it needs to understand now what sorts of missions it may be required to perform in 10, 20, or 30 years and what assets and infrastructure it will need to carry them out. Put another way, it needs to plan for the world that will exist at that time. The navy is clear-eyed about the challenges climate change poses. It knows that the effects of a warmer world will expand the geographic scope of its mission and increase demand for its military and humanitarian services. Climate change will also decrease its capacity to deliver those services, as the risk of damage to its bases and ports increases. This article examines the navy's approach to climate change and reflects on the implications for business. -
CEO Activism (B)
Supplement to case 617001. -
CEO Activism (A)
This case introduces CEO activism, a phenomenon in which business leaders engage in political or social issues that do not relate directly to their companies. The case uses several examples to describe why business leaders are engaging in CEO activism, and the potential benefits and drawbacks: (1) how Angie's List's CEO responded to the state of Indiana passing a controversial religious freedom law; (2) how Duke Energy's CEO supported pending U.S. legislation addressing climate change, and (3) how Chobani Yogurt's CEO publicly supported refugees. Students are then provided with the situation faced by PayPal CEO Dan Schulman after North Carolina passed House Bill 2, which Schulman perceived as discriminatory against LGBTQ (lesbian, gay, bisexual, transgender, and queer) individuals. Students are asked to consider whether Schulman should engage in CEO activism, and if so, how best to approach the situation. The (B) case provides an update on Schulman's decision. -
uberPOOL
This case describes Uber's uberPOOL service, which let multiple Uber users who were headed in the same direction share a ride and pay substantially lower fares. -
Product Development Fundamentals
This note introduces key managerial issues in new product development. It describes the product development funnel and alternative approaches to structuring product development teams including functional, lightweight, heavyweight, and autonomous/dedicated teams, which vary in their capacity to manage integration. More formal product development approaches including the stage-gate process and critical-path method are described, as are agile methods and principles-and related tools such as scrum, extreme programming, feature-driven development. Product development metrics including lead time, capacity, and productivity are defined and discussed. -
Indigo Agriculture
Indigo Agriculture had successfully developed and launched its first commercial product, microbe-enhanced cotton seeds, on an accelerated product development timeline. In late 2016, as the company was about to launch their second product, winter wheat, the management team proposed to again accelerate their development timeline and introduce six new products in four countries within the next 12 months. The CEO and Director of Business Development met to discuss the feasibility of accelerating their timeline, potential bottlenecks in the product development process, resource management, and the potential need for a more formalized development process. -
United Airlines: More Out-and-Back Flying?
This spreadsheet supplement accompanies 617-010 United Airlines: More Out-and-Back Flying? and is intended to provide students with an opportunity to apply analysis concepts with real operational data. -
United Airlines: More Out-and-Back Flying?
The case looks at United Airlines when it is facing a decision on whether to shift its aircraft routing to more "out-and-back" routing in order to try to improve its on time performance. As one of the world's largest airlines, United had a very large fleet and hub-and-spoke network that provided passengers with a wide range of destination choices, but as with any complex system unless everything ran perfectly all the time, it inevitably faced cascading delays and missed passenger connection problems. While out-and-back routing tended to isolate operational issues, more traditional linear routings tended to offer high equipment utilization. The case offers students an opportunity to examine the effects of variability on different routing strategies. -
Nuclear Energy: An Answer to Climate Change?
Environmental activist groups have traditionally opposed nuclear energy. However, the growing environmental problems associated with global climate change requires major changes to reduce the carbon intensity of electricity generation. Should environmental groups reverse course and support the construction of new nuclear plants--using technology that could be rapidly deployed at scale--to reduce greenhouse gas emissions that are causing global climate change? -
Sustainability at IKEA Group
By 2014, IKEA Group was the largest home furnishing company, with EUR28.5 billion of sales, and planned to reach EUR50 billion by 2020, mainly from emerging markets. At the same time, IKEA Group had adopted in 2012 a new sustainability strategy that focused the company's efforts on its entire value chain from its raw materials sourcing to the lifestyle of its end consumers. The plan especially centered on wood, which represented 60% of IKEA Group's total procurement in volume and constituted a key lever for the company to increase its positive impact on sustainability. IKEA Group Management therefore had to decide how to manage its portfolio of wood sustainability initiatives, especially in the context of the company's aggressive growth plan. -
Process Analytics Simulation: Solutions
A set of exercises and instructions to be used with the Process Simulator software made by Pro Model. These exercises allow students to investigate the impact of variable processing times on the performance of simple in-line processes. Includes color exhibits. -
Groom Energy Solutions: Selling Efficiency
Groom Energy Solutions helps organizations reduce their energy use and costs through the implementation of energy efficiency measures, which create long-term financial and environmental benefits. With early success serving customers in the cold storage and industrial manufacturing sectors, the seven-year-old company must now decide whether to continue expanding within these segments or transition into commercial retail and office buildings, which offer growth potential and unique challenges. Groom Energy must also decide which geographic regions provide the best opportunity. This case study provides background on the history of the energy efficiency industry, the energy efficiency paradox, and the benefits and challenges of a business focused on implementing efficiency measures. The case is particularly relevant to courses focused on energy management, environmental sustainability, and entrepreneurship within the energy and sustainability areas. -
EnerNOC: DemandSMART
EnerNOC is an energy company with an innovative business model: it serves as an intermediary between electric utilities and electricity users. It contracts with electricity users willing to reduce demand during periods of peak energy demand, and sells this as excess capacity to electric utilities. The company is facing an upheaval in the energy markets due to the dramatic growth in natural gas fracking and the resulting increase in natural gas supply. The case enables students to evaluate the EnerNOC's business model--including its environmental implications--and the potential impact of fracking on its business. The case is accessible to non-specialists, as it provides background on the electric utility industry and the debate about fracking for natural gas. Given the substantial environmental impact of the energy and electricity industries, the case is particularly relevant for courses that focus on energy, the natural environment, and environmental sustainability. -
The Hybrid Vehicle Market
This note describes the hybrid electic vehicle market, the results of different automaker strategies, and the environmental regulatory issues that can promote or inhibit market growth in the United States. Introduces students to the technologies and regulatory aspects of vehicles using alternative powertrains and fuels including hybrid electric vehicles, plug-in hybrids, electic vehicles, and deisel engines. Enable students to evaluate the success of the Toyota Prius, especially when used as an updated supplement to a case discussion of Toyota Motor Corp.: Launching Prius (HBS Case 706458). -
Fiji versus FIJI: Negotiating Over Water
This case examines negotiations between a company and government over natural resources. The Fijian government proposed a substantial increase in its water extraction tax that would only apply to large extractors and thus to FIJI Water and not to its competitors. FIJI Water responded by calling the increase "discriminatory" and threatening to shut down its operations, but in the end its negotiations resulted in its agreeing to pay the tax increase. -
Trucost: Valuing Corporate Environmental Impacts
Trucost provided corporate environmental performance data and analysis to institutional investors and corporate managers, but after operating for a decade had yet to achieve profitability. Trucost was struggling to effectively differentiate its high quality products from its lower-cost competitors, and needed to develop a strategy to educate the marketplace and pursue new distribution channels. Increased investor interest in environmental issues-and an ever growing number of corporate environmental ranking-led to a proliferation of competitors to Trucost, and an industry shakeout were predicted. How should Trucost compete? -
FIJI Water: Carbon Negative?
Seeking to go beyond global best practices in reducing environmental impacts, FIJI Water, a premium artesian bottled water company in the United States, launched a Carbon-Negative campaign that would offset more greenhouse gas emissions than were released by the company's operations and products. The case examines the controversies surrounding this program as well as the program's impacts on the environment and FIJI Water's brand image. The company also faced decisions regarding how to best manage its relationship with the Fijian government, which recently dramatically raised imposed export taxes and could limit FIJI Water's access to water, its primary raw material. The case enables students to better understand the challenges of implementing an environmental strategy and of negotiating with parties that control raw materials, and invites discussion of the effectiveness of various approaches and the general lessons for the management of companies seeking to operate in an environmentally responsible manner. -
Carbon Footprints: Methods and Calculations
Describes methods to calculate the carbon footprint (greenhouse gas emissions) of an organization's operations and supply chain, and a product or service. Illustrates concepts with examples of calculating the carbon footprint of organizations and products. Provides data necessary for carbon footprint calculations. -
InterfaceRAISE: Sustainability Consulting
InterfaceRAISE is a sustainability management consulting firm created to leverage the capabilities of its parent company Interface Inc., a carpet manufacturer recognized as a global leader in corporate environmental sustainability. This case illustrates the challenges of turning an internal capability into a clientâ€facing revenue stream. This is made especially difficult by the fact that the parent company is a manufacturing firm and InterfaceRAISE is a professional services firm (consulting). InterfaceRAISE is not being staffed by a traditional consulting firm model, relying instead on the partâ€time availability of employees in the parent company. At the time of the case, InterfaceRAISE was grappling to identify the appropriate business model for the type of consulting firm it wants to be, to determine what its client portfolio should look like, and to set its pricing structure. InterfaceRAISE needed to decide how to accelerate its growth while better achieving its three objectives: improving its clients' sustainability performance, enhancing its parent company's brand image and sales, and increasing operating profits. -
The Cage-Free Egg Movement
Describes the social movement confronting conventional egg production techniques (battery cages) based on animal welfare concerns, and some merits and drawbacks of cage-free alternatives. Highlights animal rights activist campaigns, political and regulatory responses, and announcements by some companies to shift egg purchases or sales from conventional to alternative production methods.