In May 2014, Julie Hallman was about to assume the presidency of the struggling non-profit arts organization, the Falaise Foundation, which offered a residence for small groups of artists and scholars from around the world to work on creative endeavours at its extensive property in the South of France. The foundation was suffering financially due to a combination of weak fundraising, high operating costs, an ineffective board of trustees, and a murky relationship between the founding family and the foundation. Complicating matters was Hallman’s personal situation: she was the daughter of the foundation’s founder, who had run the organization his own way for decades until health issues forced him to step down. As a documentary filmmaker with a degree in Fine Arts, Julie Hallman had no business background. She had to develop an understanding of the root causes of the foundation’s problems and identify a set of strategies and actions to effect a successful turnaround.
In identifying high-potential employees and leaders, the HR world tends to prefer “all-rounders,” meaning individuals who score well across a range of competencies deemed necessary to lead and grow businesses. As a result, many HR departments focus executive development plans on individuals with limited weaknesses — weaknesses that can be fairly easily “rounded off” or trained away. The logic behind this appears sound. But this reasoning can eliminate leadership candidates with one or two significant soft spots even when they are outsized talents in other areas. And that’s not something that everyone on the executive floor accepts. Indeed, to many members of the C-suite, clear gaps in competencies are seen as the price that must be paid for an individual’s clear strengths — especially when those strengths are in areas that drive business performance. <br><br> An emerging body of evidence suggests that managers who are exceptional in key areas and weak in others have a much greater impact on corporate performance than individuals who are exceptionally well rounded. While more work needs to be done in this area, the existing work indicates that having an executive team with some distinct capability “spikes” rather than smooth across-the-board capabilities can make a significant difference to business performance. Thus, when selecting leaders, the HR world should not discount individuals with a distinctly uneven capability profile, especially when those distinctive capabilities are likely to be key performance drivers. In other words, mind the spikes, don’t mind the gaps.
When it comes to the development of future leaders, even the best CEOs can fail to give pipeline building the attention it deserves. Leadership pipelines should be viewed in the same way that an energy firm thinks about building pipelines that carry oil to market. In other words, it requires time, attention and significant financial resources. This article offers three steps that executives can follow to build a leadership pipeline. First, when developing a strong leadership pipeline, it is important to identify and target employees with the most potential for leadership positions. Second, organizations need to ensure that employees are able to develop in roles that push them beyond comfort zones. Finally, firms must invest in their leadership pipelines through executive development programs, executive coaching and mentorship initiatives. Such investments signal a commitment to future leaders, and when valued employees see this they double down on commitment to the organization. Smart companies do not spend money on leadership development in an attempt to buy employee loyalty; they invest money because not investing in people will always come back to haunt them.
Harlequin Enterprises is a well-known publisher of women's fiction and the global leader in series romance fiction. In 2013, e-book penetration of romance fiction has exceeded 50 per cent of unit sales. The vice-president of strategy is trying to make sense of the e-book opportunity and threat. She is wondering what impact e-books would have on Harlequin's business model: its relationship with authors, distributors and competitors.
This case describes the situation for Globalive in 2009 shortly after its bid to enter the Canadian wireless telecommunications sector had been denied by the regulatory agency on the grounds that it breached foreign ownership restrictions. The case covers the background to Globalive and the events leading to the regulator’s decision. Andrea Wood, the chief legal officer of WIND Mobile, the wireless brand owned by Globalive, must decide what recommendations to make to Globalive’s chief executive officer.
This supplement to Sun Life Financial: Planning for the Future, product 9B07M045, hones in on Sun Life's decision to re-enter the Indian insurance market.
The Sun Life Financial cases allow students to take a cross-enterprise leadership approach in examining Sun Life's effort to re-enter the Indian insurance market. Set in March 1999, a vice-president in Sun Life's international team is looking at international expansion options. In its domestic market, Sun Life, relative to its peers, has had below average financial performance. With the domestic insurers demutualizing (i.e. converting from a policy holder-held mutual company to a public company), Sun Life needs to find avenues of growth. In addition, there are rumours that the domestic insurance industry will be opened up to competition from the Canadian banks, whose market capitalization dwarfs that of the insurance industry. The (A) case, Sun Life Financial: Planning for the Future, product #9B07M045 lays out the macro issues and describes in general the various insurance markets around the world. The (B) case, Sun Life Financial: A Potential Indian Life Insurance Joint Venture, product #9B07M046, hones in on Sun Life's decision to re-enter the Indian insurance market.
AIG is an American insurance company. A trade dispute between the United States and the European Union threatens to block the accession of China to the World Trade Organization, and AIG plays a role - it is the only foreign firm to own fully-controlled subsidiaries in China. The disagreement concerns what will happen to these existing subsidiaries, as well as potential new ones that AIG might seek to establish in China in the future. What are the issues from the perspective of each of the stakeholders and what options are available that will resolve this dispute?
This case looks at the issue of whether an investment bank should invest in Tritortric, a privately held Turkish company specializing in white goods. Tritortric is planning an expansion in Europe either as OEM or through the acquisition of an existing European brand. Students will evaluate the attractiveness of Tritortric as a company and to provide guidance related to the mode of international expansion. This case also allows a broader discussion of how a company from an emerging country can compete against companies/brands from a developed one.
The managing director and founder of Bangkok-based Siam Canadian Foods Co., Ltd., was considering the emerging business opportunities in neighboring Burma (also known as Myanmar). Although relatively undeveloped compared to the rest of Southeast Asia, Burma had been experiencing increasing levels of foreign investment activity in recent years. Siam, who had considered entering Burma in the past but declined, needed to determine if the time was now appropriate for the company to enter the market.
This note examines Hong Kong's deregulated telecommunications industry from both industry and public policy points of view in March 2005. In recent years, the industry had been viewed as a model of deregulation and free enterprise, offering high quality service to consumers at a low price. However, the industry conditions were exceedingly challenging for the operators. Cutthroat competition had resulted in low margins and a high degree of fragmentation. The operators faced new challenges in the form of disruptive technology, new market opportunities in mainland China and the possibility of new competition at home. This note allows students to examine the determinants of industry structure, the goals and mechanisms of industry regulation, and market and non-market strategies that firms may use to respond to market conditions.
When its main products, gasoline lead additives, were banned in most developed countries, a U.S. company introduced an environmentally friendly, octane-boosting gasoline additive, methylcyclopentadienyl manganese tricarbonyl (MMT). The product was approved for use in Canada, but not sanctioned for use in Europe or the United States, due to health concerns. In response to public concerns about environmental hazards, the Canadian government introduced legislation that would ban both the import and transport of manganese-based substances, including MMT. Faced with the possibility of losing both its current Canadian market and the possibility of trade in other countries, the company considers a political strategy. Supplement to this case is Ethyl Corporation of Virginia: The MMT Battle in Canada (B), product number 9B02M049.
AIG is an American insurance company. A trade dispute between the United States and the European Union threatens to block the accession of China to the World Trade Organization, and AIG plays a role - it is the only foreign firm to own fully-controlled subsidiaries in China. The disagreement concerns what will happen to these existing subsidiaries, as well as potential new ones that AIG might seek to establish in China in the future. What are the issues from the perspective of each of the stakeholders and what options are available that will resolve this dispute?
The emphasis of this case is on the deliberate governmental policy to foster industrial structure transformation, by examining the transition of the Taiwanese economy from a manufacturing-based economy to that of a successful high-tech-oriented economy. The case affords discussion on political and societal issues pertaining to the conflicts between China and Taiwan and risk confronting businesses in this peculiar environment. It also serves as a platform to debate portability of science park concepts among different geographic regions and the necessary conditions for the continued survival of an established science park.
Taiwan's United Microelectronics Corporation (UMC), one of the world's leading semiconductor foundries, has grown dramatically in 16 years. UMC pursued a strategy of vertical disintegration as part of the chairman's vision of turning UMC into a pure-play foundry. This case discusses the major technological and competitive forces affecting the industry and looks at UMC's restructuring through the eyes of the chairman. The case provides enough detail to engage the class in a discussion of the merits of UMC's vertical disintegration strategy and the possible pitfalls of this approach going forward.
The Mexico-U.S. border environmental situation is outlined in this note which provides background information on the region. The nature and extent of the pollution problem and a brief overview of the current system of environmental regulation and enforcement in Mexico and under the North American Free Trade Agreement is also reviewed. The note also provides two caselets of companies operating in the border region. The principle objective of this note is to familiarize students with some of the major debates surrounding the relationship between globalization (expansion of international trade and investment) and the natural environment. It offers the chance for students to learn about the Mexican-U.S. border situation and to consider both the causes of and possible solutions to the serious and complex pollution problem in the region.
The managing director and founder of Bangkok-based Siam Canadian Foods Co., Ltd., was considering the emerging business opportunities in neighboring Burma (also known as Myanmar). Although relatively undeveloped compared to the rest of Southeast Asia, Burma had been experiencing increasing levels of foreign investment activity in recent years. Siam, who had considered entering Burma in the past but declined, needed to determine if the time was now appropriate for the company to enter the market.