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San Miguel: Succession in the Philippines' Largest Corporation
In September 2011, San Miguel Corporation (SMC) celebrated its 122nd anniversary. Its chairman had just turned 76. Two years earlier, he had travelled to the United States to receive a cardiac ablation to correct an irregular heart rhythm. Succession-related questions were on his mind. SMC needed a clear plan for the leadership transition. The charismatic chairman spent his life successfully exploiting business opportunities, growing SMC from a small brewery company into a giant business group. By 2011, SMC was the largest corporation in the Philippines in terms of revenue-accounting for about 6 per cent of the country's gross domestic product and employing about 17,000 people. The group engaged in a wide range of businesses including mining, oil refining and distribution, power, telecommunications, airlines, airports, and infrastructure. How could the company continue to thrive without its remarkable leader? Finding a path towards a smooth leadership succession would be a difficult task. -
Building Success Habits: Networking and the Science of Self-Change
As exercising is to physical fitness, networking is to relational fitness, i.e., the health and resilience of your networks of social and professional contacts requires consistent attention. This case outlines a process by which to establish an approach to networking that is long-term, strategic, and semi-automatic-i.e., how to develop a networking habit. -
Christine Lagarde
The case covers the youth and career trajectory of Christine Lagarde, across her time at Baker & McKenzie, as a minister in the Government of France, and as the head of the International Monetary Fund (IMF). The case highlights the challenges and opportunities that she faced during each phase of her career and how she managed them. Lagarde started her career in 1981 as a lawyer at the global law firm Baker & McKenzie, which employed approximately 2,500 lawyers across 35 countries by 1999, when she became the firm's first non-American and female chairman. In 2005, she became France's Minister for Foreign Trade in President Jacques Chirac's administration, and was the EU's de facto finance minister when the financial crisis was most acute. In 2011, she was then selected to head the IMF in 2011. Since 2011, Lagarde built the foundations for the IMF's adaptation to the realities of the twenty-first century. By 2017, shortly after Lagarde began her second term as the Managing Director of the IMF, the world faced pressing issues as a result of the rapidly-evolving, hyper-connected global economy-ongoing recovery from the global financial crisis, the rise of emerging economies, deeper cross-border integration, technological change, and growing wealth and income inequality within countries. These interrelated dynamics were playing out alongside heightened anxiety within the populations of some major advanced economies about what these changes meant for them. The concerns manifested themselves in an inward focus, rumblings of protectionism, and questions about the worth of international cooperation and the multilateral system itself. Lagarde believed that the challenges facing the world economy warranted not less but more global cooperation. In this context, she had to determine how the IMF-as the leading advocate of global economic cooperation since its creation-could better demonstrate its effectiveness. She knew that it was a critical moment. -
Why Do Good Employees Stay in Bad Organizations?
Family and work are two of society's most important institutions. It is understandable, then, that some similarities would exist between the two. One unfortunate aspect of such relationships is that families and organizations may be abusive to members. When this occurs in familial relationships, research has identified dynamics that keep people in the abusive situation. We consider here how those same dynamics can occur in abusive organizations to identify factors that keep employees in unhealthy work environments. We then examine intervention techniques and concepts that can be used to enable people to recognize an abusive organization, the long-term damage such organizations can inflict on employees, and ways to assist individuals in exiting an abusive organization setting. Our intention is to create awareness of the harm that can be caused by abusive organizations and provide a framework that will enable people caught in a pattern of organizational abuse to understand their choices and behaviors. -
Managing Diversity and Inclusion at Yelp (B)
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Rahzi's Dilemma: Decision-Making at Samudera Pharma Corporation (A)
This is a three-part case. Case A introduces Rahzi Putera, a product manager at Samudera Pharma Corporation (SPC), one of Indonesia's largest manufacturer and distributor of generic pharmaceuticals. SPC had earlier that year entered into an agreement with Braxton Biotech Corporation (Braxton) in India, to distribute Epogex, a drug used for the treatment of anaemia. The regulators at the Ministry of Health gave a conditional registration that Epogex could be sold in the country, but only to the private sector, until SPC conducted a clinical study to monitor the safety and adequacy of the drug. Rahzi was tasked to manage the clinical study. When the Epogex shipment arrived, temperature readings showed that it had been frozen. Epogex's product leaflet very clearly stated that the product should be discarded if frozen. However, when Rahzi recommended throwing away the supply, he faced great resistance from both his colleagues and superiors at SPC, and Braxton. Braxton provided data from a quality assurance study it had conducted in 2012, which concluded that the product remained stable despite the temperature excursions. Rahzi now had to make a decision whether to commercially sell the once-frozen shipment of Epogex, which would not be used in the clinical study. Case B sees Rahzi sending an email to all the key decision makers at SPC, stating his concerns about selling the frozen shipment stock to the public, and strongly recommending that it be destroyed. However, he is once again pressured to approve the frozen batch of Epogex for commercial sale. In Case C, Rahzi speaks to his boss, Alia Iman, again to support him in destroying the stock. Alia agrees and convinces her boss, Bobby Suharto, to do so. Unhappy about how the incident was managed, Rahzi quits SPC shortly thereafter. -
Rahzi's Dilemma: Decision-Making at Samudera Pharma Corporation (B)
Supplement to case SMU312. This is a three-part case. Case A introduces Rahzi Putera, a product manager at Samudera Pharma Corporation (SPC), one of Indonesia's largest manufacturer and distributor of generic pharmaceuticals. SPC had earlier that year entered into an agreement with Braxton Biotech Corporation (Braxton) in India, to distribute Epogex, a drug used for the treatment of anaemia. The regulators at the Ministry of Health gave a conditional registration that Epogex could be sold in the country, but only to the private sector, until SPC conducted a clinical study to monitor the safety and adequacy of the drug. Rahzi was tasked to manage the clinical study. When the Epogex shipment arrived, temperature readings showed that it had been frozen. Epogex's product leaflet very clearly stated that the product should be discarded if frozen. However, when Rahzi recommended throwing away the supply, he faced great resistance from both his colleagues and superiors at SPC, and Braxton. Braxton provided data from a quality assurance study it had conducted in 2012, which concluded that the product remained stable despite the temperature excursions. Rahzi now had to make a decision whether to commercially sell the once-frozen shipment of Epogex, which would not be used in the clinical study. Case B sees Rahzi sending an email to all the key decision makers at SPC, stating his concerns about selling the frozen shipment stock to the public, and strongly recommending that it be destroyed. However, he is once again pressured to approve the frozen batch of Epogex for commercial sale. In Case C, Rahzi speaks to his boss, Alia Iman, again to support him in destroying the stock. Alia agrees and convinces her boss, Bobby Suharto, to do so. Unhappy about how the incident was managed, Rahzi quits SPC shortly thereafter. -
Rahzi's Dilemma: Decision-Making at Samudera Pharma Corporation (C)
Supplement to case SMU312. This is a three-part case. Case A introduces Rahzi Putera, a product manager at Samudera Pharma Corporation (SPC), one of Indonesia's largest manufacturer and distributor of generic pharmaceuticals. SPC had earlier that year entered into an agreement with Braxton Biotech Corporation (Braxton) in India, to distribute Epogex, a drug used for the treatment of anaemia. The regulators at the Ministry of Health gave a conditional registration that Epogex could be sold in the country, but only to the private sector, until SPC conducted a clinical study to monitor the safety and adequacy of the drug. Rahzi was tasked to manage the clinical study. When the Epogex shipment arrived, temperature readings showed that it had been frozen. Epogex's product leaflet very clearly stated that the product should be discarded if frozen. However, when Rahzi recommended throwing away the supply, he faced great resistance from both his colleagues and superiors at SPC, and Braxton. Braxton provided data from a quality assurance study it had conducted in 2012, which concluded that the product remained stable despite the temperature excursions. Rahzi now had to make a decision whether to commercially sell the once-frozen shipment of Epogex, which would not be used in the clinical study. Case B sees Rahzi sending an email to all the key decision makers at SPC, stating his concerns about selling the frozen shipment stock to the public, and strongly recommending that it be destroyed. However, he is once again pressured to approve the frozen batch of Epogex for commercial sale. In Case C, Rahzi speaks to his boss, Alia Iman, again to support him in destroying the stock. Alia agrees and convinces her boss, Bobby Suharto, to do so. Unhappy about how the incident was managed, Rahzi quits SPC shortly thereafter. -
The Incident in Kabul
Captain William Waverly was a member of the US Army's forces in Afghanistan, and was stationed in a post in western Kabul, beginning in late 2011. He was the commander of this post, one of the several bases in that city. US soldiers guarded the power plant located at this post. Waverly and his team also launched the security and stability operations from this location. For this latter function, the US Army always conducted security and stability operations jointly with the Afghan municipal police forces. To conduct these operations, the US government had supplied fuel to the Afghan forces to operate their armored vehicles for city patrols. However, to begin to ensure that the Afghan government was now developing and perfecting its own fuel acquisition, storage, protection, and distribution processes, the two-star US Army general in this region in Afghanistan ordered, in early 2012, all US units to stop providing fuel to the Afghan forces. The objective of this order was to make the Afghan government self-reliant on its own fuel procurement and protection processes. A few days after the order to stop providing fuel to Afghan forces, Afghan police armored trucks pulled into the post for a patrol and expected gas. A tense situation quickly developed. The head of the Afghan forces, Ghotai Sharma, upon learning from one of Waverly's sergeants that he was not getting gasoline that day, became upset. Sharma drew his pistol, started gesticulating and raised his voice. Sharma's troops swung their gun turrets from their armored vehicles toward the US soldiers and Waverly heard the familiar metallic click associated with Sharma's troops chambering an ammunition round in an AK-47 weapon. At the same time, he heard in his earpiece the chattering from his own US troops as they coordinated who was covering what target among the Afghan police should a firefight break out. -
Bharat Petroleum: Long-Term Wage Settlement
In May 2012, the director of human resources at Bharat Petroleum Corporation Limited was involved in negotiating a long-term collective agreement between management and the unions at the large public-sector oil corporation in India. The negotiations had begun in 2009 and were stalled largely because of wage issues. Due to time-bound promotions and open-ended pay ranges, workers' salaries had spiralled out of control. When economic conditions changed from an administered price mechanism with government subsidies to one in which the corporation was expected to compete with national and multinational private-sector companies, the issue of high operating costs had to be addressed. After 13 rounds of discussions, there was still no agreement. The management team needed to decide which of the issues originally identified were essential for resolution and which were only desirable. The team also had to decide how to approach the negotiation in order to secure agreement from the unions. -
Bharat Petroleum: Long-Term Wage Settlement, Student Spreadsheet
Student spreadsheet to accompany product W17585. -
Managing Diversity and Inclusion at Yelp
This case explores the industry-wide lack of employee diversity in the technology sector, and Yelp's decision to take a leadership position in identifying strategies to increase diversity. The goal of the case is to provide an opportunity for students to develop a framework for understanding the factors that might lead to a less diverse workforce, and for evaluating approaches to increase diversity. The case opens in 2014, when Yelp hired Rachel Williams into a newly created position - the Head of Diversity and Inclusion. Rachel was tasked with developing strategies to ensure that Yelp was attracting and retaining a diverse, productive workforce, and creating a welcoming environment for all employees. The case puts students in Rachel's footsteps upon being hired, and tasks them to propose a set of changes for Yelp to make to increase the diversity of the workforce. -
Wake Up Call
In 1993, three consultants at different stages in their careers must decide how to respond to what they considered to be unethical behavior from a partner at their firm. They each considered the potential consequences of reporting a senior colleague and the impact it could have on their careers. -
Wake Up Call (B)
Supplement to case 418001. -
Shirdi Infratech: Should a Star Manager be Fired?
Shirdi Infratech Pvt. Ltd. was in the wooden furniture manufacturing business and dealt with a wide range of diversified products such as modular kitchens, furniture, and doors. With its normal profit margin, the firm was growing, but not at a rate that satisfied the owner. At the same time, the business faced personnel management issues. The dilemma began in 2015 when the owner learned that one of his top performers had potentially leaked confidential information to a competitor and was offered employment by them. The owner recognized this employee's importance, as well as the critical timing of the project he was working on. In light of this, would the best option be to retain that employee or let him go? The owner was also concerned about social capital management, and how to use the employee's intellectual skills to develop others in the organization. -
Canaan Group: Reshaping the ECS Division
In January 2015, the chief executive officer (CEO) of the Canaan Group, a privately owned logistics conglomerate of businesses in Vancouver, Canada, was considering how to capitalize on opportunities in the freight forwarding industry. The first thing he needed to do was stabilize the Export Cargo Specialist (ECS) division. The ECS division focused on ocean freight forwarding-helping customers coordinate and ship goods from origin to destination. To counter a glut of shipping capacity and fall in demand over the past few years, the CEO had restructured the roles and assignments in the division. He attempted to create a cross-trained workforce capable of performing a range of functions for clients. However, issues emerged with the restructuring, leading to employee departures and, along with the industry changes, a net loss in operations. The CEO was looking to turn things around and avoid further mistakes. He wondered if he should give his restructuring experiment more time, bring in an experienced project manager, or promote a current ECS staff member to find a solution. -
Leadership Implosion: Failure to Change = Failure to Thrive
The DNA of Leadership: Creating Healthy Leaders and Vibrant Organizations is a 9-chapter book published by Business Expert Press in 2017 and written by professional coaches Myron Beard and Alan Weiss. It is the result of the authors' work with thousands of executives; Beard and Weiss reviewed these executives and identified what is needed for high levels of success. They provide readers with powerful and practical ways to change their behavior in order to become outstanding leaders. Each chapter has a "Coach's Corner" that outlines the lessons of the chapter and challenges executives to identify behaviors they need to change to become better leaders. The book then encourages readers to create "Personal Goal Plans" to achieve their goals. In Chapter 1, Beard and Weiss identify several causes for leadership failures, focusing on executives who have been recently promoted into their role. These failures include the inability of leaders to move into strategic-thinking roles, identify priorities, move from working in the business to working on it, relinquish control of some tasks, and engage colleagues. At the end of the chapter, the authors provide four tips for avoiding leadership implosion, which include migrating to leadership, changing your vision, changing your focus, and making the relational leap. -
Knowing the Business: Moving from Passenger to Driver
The DNA of Leadership: Creating Healthy Leaders and Vibrant Organizations is a 9-chapter book published by Business Expert Press in 2017 and written by professional coaches Myron Beard and Alan Weiss. It is the result of the authors' work with thousands of executives; Beard and Weiss reviewed these executives and identified what is needed for high levels of success. They provide readers with powerful and practical ways to change their behavior in order to become outstanding leaders. Each chapter has a "Coach's Corner" that outlines the lessons of the chapter and challenges executives to identify behaviors they need to change to become better leaders. The book then encourages readers to create "Personal Goal Plans" to achieve their goals. In Chapter 2, the authors highlight the importance of understanding your business's strategy to guaranteeing its success. They identify three business issues that leaders should understand in order to most effectively lead their organizations: understanding a company's business model, translating strategy into tactics, and measuring success. They go in-depth on each business issue, outlining cases that illustrate the issues and behaviors/practices that leaders can use to show that they understand them. -
Setting a Vision: Avoiding the Fog of Tomorrow
The DNA of Leadership: Creating Healthy Leaders and Vibrant Organizations is a 9-chapter book published by Business Expert Press in 2017 and written by professional coaches Myron Beard and Alan Weiss. It is the result of the authors' work with thousands of executives; Beard and Weiss reviewed these executives and identified what is needed for high levels of success. They provide readers with powerful and practical ways to change their behavior in order to become outstanding leaders. Each chapter has a "Coach's Corner" that outlines the lessons of the chapter and challenges executives to identify behaviors they need to change to become better leaders. The book then encourages readers to create "Personal Goal Plans" to achieve their goals. In Chapter 3, the authors describe a leader's responsibility to set goals for their organization and guide it to achieve them. They outline different leadership responses to this challenging role in the form of the timid leader, the overbearing leader, and the goldilocks leader. They write that effective leaders are able to harness several keys to successful vision development: managing feelings, collaborating, setting agendas, working on the strategy, and managing outcomes. They then describe effective leaders as acting as periscopes for their organizations, constantly surveying markets and other external factors. They continue to describe specific ways to set a corporate vision and communicate this vision to both internal and external stakeholders. -
Effective Delegation: Trusting Others Not to Steal Your Wallet
The DNA of Leadership: Creating Healthy Leaders and Vibrant Organizations is a 9-chapter book published by Business Expert Press in 2017 and written by professional coaches Myron Beard and Alan Weiss. It is the result of the authors' work with thousands of executives; Beard and Weiss reviewed these executives and identified what is needed for high levels of success. They provide readers with powerful and practical ways to change their behavior in order to become outstanding leaders. Each chapter has a "Coach's Corner" that outlines the lessons of the chapter and challenges executives to identify behaviors they need to change to become better leaders. The book then encourages readers to create "Personal Goal Plans" to achieve their goals. In Chapter 4, the authors describe ways leaders can effectively delegate responsibilities to maximize productivity and develop subordinates. They identify the obstacles leaders face as they decide to delegate responsibilities. They first instruct leaders to assess their team in order to effectively delegate and then go over what prevents leaders from delegating even when they want to/know how and what successful delegation looks like.