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This case illustrates the tension/balance that firms with complex and risky business models must consider in designing their internal controls. It describes the environment in which a derivatives trader engaged in massive directional positions on major European stocks and indexes without being detected for over a year. Although the case could be used to teach the basics of internal controls, it is likely to be more effective by eliciting a debate about how predictable the incident was, and whether or not there was anything fundamentally flawed about the company's choices in terms of strategy, control systems and culture. It also provides an opportunity to discuss the challenges of dealing jointly with a market-wide crisis (subprime) and a company-level crisis.

This B case, which accompanies "Hudson's Seafood Corporation (A)" (UVA-OM-0875), is ideal for use in service- and operations-management business courses. It presents the business decision made by an owner who has considered which option to focus on for each of his two restaurants: a distinctive service package or reshaping one restaurant around the market currently being successfully served by its sister restaurant. A teaching note (UVA-OM-0875TN) that includes video from the era when the A case was written is available to support both cases in this set.

Supplements the (A) case.

Citigroup faced considerable distress in early 2009. In late 2008, the bank had accepted $45 billion in preferred equity from the United States government via the Troubled Assets Relief Program (TARP). Yet, the stock had continued to slide in early 2009. In late February, the company announced that it would convert as much as $50 billion of preferred stock into common stock, at $3.25 per share. The case asks students to evaluate the pricing of preferred stock relative to common stock at this time. As the case takes place during a period of considerable uncertainty in global capital markets, and conventional sources of arbitrage capital have been depleted, the apparent mispricing may not be as attractive as it initially seems. In the B and C case, students must decide whether their view of the appropriate pricing changes, when the apparent mispricing worsens. A final additional teaching point relates to the formation of a synthetic short position using the options markets.

Citigroup faced considerable distress in early 2009. In late 2008, the bank had accepted $45 billion in preferred equity from the United States government via the Troubled Assets Relief Program (TARP). Yet, the stock had continued to slide in early 2009. In late February, the company announced that it would convert as much as $50 billion of preferred stock into common stock, at $3.25 per share. The case asks students to evaluate the pricing of preferred stock relative to common stock at this time. As the case takes place during a period of considerable uncertainty in global capital markets, and conventional sources of arbitrage capital have been depleted, the apparent mispricing may not be as attractive as it initially seems. In the B and C case, students must decide whether their view of the appropriate pricing changes, when the apparent mispricing worsens. A final additional teaching point relates to the formation of a synthetic short position using the options markets.

Supplements the (A) case.

Supplements the (A) case.

This case series explores the leadership story of director Mark O'Neill as he oversees a major innovation initiative at Kelvingrove, Scotland's most visited museum. The A case describes his background, philosophy, and the actions he takes over a period of more than a decade to win the support of both staff and funders for the innovation. The B case examines the reaction of the public and art critics. O'Neill arrives at Kelvingrove to find an institution in turmoil after a series of dramatic changes that have alienated visitors and funders alike. Utilizing an innovative style of management that he describes as "maze behavior," he succeeds in moving the traditionally discipline-bound, curator-dominated museum into a cross-disciplinary, visitor-oriented experience. He does this by engaging the curators in creating exhibits based on stories rather than professional classification schemes such as paintings, geology, etc., using an approach that includes a deep understanding of his audience and the imaginative use of forms. He also gains the community's political and funding support to accomplish his goals.

This case is suitable for courses in entrepreneurship and managing small or family business. It is a follow up to the UV2037 case and raises further issues about family demands for larger dividends, family business investing in family member businesses, whether family members should have a way to liquify their family business stock, and the question of whether in-laws should attend family business meetings.

Describes Autodesk's engagement in Integrated Project Delivery-a new model of risk management, inter-firm teamwork, and multi-objective (aesthetic, cost, and sustainability) optimization in building projects. In 2008, Autodesk, Inc. the world's largest design software company, decided to engage in Integrated Project Delivery (IPD) for the design and construction of its new Architecture, Engineering and Construction Solutions (AECS) Group headquarters, near Boston. Under IPD, the project's architect, builder, and client (Autodesk) entered a contractual agreement to share all project risks and profits. During the project, however, Autodesk was unsatisfied with the design progress, and asked the project team to introduce a three-story atrium in the headquarters' design. Logistically, it was not a good time to make changes as the team had already made significant design progress. The team was also working under a tight budget and delivery deadline. However, the aesthetics would appear to be greatly improved by changing the design. The project's architect and builder had to decide whether accommodating the atrium into the current schedule and work sequencing was an acceptable risk.

Describes Autodesk's engagement in Integrated Project Delivery-a new model of risk management, inter-firm teamwork, and multi-objective (aesthetic, cost, and sustainability) optimization in building projects. In 2008, Autodesk, Inc. the world's largest design software company, decided to engage in Integrated Project Delivery (IPD) for the design and construction of its new Architecture, Engineering and Construction Solutions (AECS) Group headquarters, near Boston. Under IPD, the project's architect, builder, and client (Autodesk) entered a contractual agreement to share all project risks and profits. During the project, however, Autodesk was unsatisfied with the design progress, and asked the project team to introduce a three-story atrium in the headquarters' design. Logistically, it was not a good time to make changes as the team had already made significant design progress. The team was also working under a tight budget and delivery deadline. However, the aesthetics would appear to be greatly improved by changing the design. The project's architect and builder had to decide whether accommodating the atrium into the current schedule and work sequencing was an acceptable risk.

This case is appropriate for courses that focus on the areas of environmental sustainability and systems thinking. Students explore how the structure and information flows in the shrimp industry can create boom and bust performance. Key decision-making policies by industry participants and public administrators are designed and tested for improving industry performance through an in-class simulation. The A case (UV3569) serves as background.

The first round of bidding on the rights to develop Iraq's oil field did not go as planned. All the bidding groups wanted to charge a fee per barrel that the Iraqi government considered too high. As a result, the Iraqi government conducted the auction a second time, this time making it clear that it would not consider fees above $2.00 per barrel. (In addition, the winner needed to deposit $500 million with the Iraqi oil ministry.) Only one bid was accepted: a consortium of the company formerly known as British Petroleum (now BP), the China National Petroleum Company (CNPC), and the Iraqi-state-owned South Oil Company. The consortium had previously bid $3.99 for the same field. It now had to negotiate the actual terms of the contract with the Iraqi government. In addition, the executives in London and Beijing needed to decide whether it made sense to exercise the option they had just purchased. Would they be throwing good money after bad by investing in the Rumaila super-giant field at such a low fee per barrel, or would there be strategic returns down the line?

In 2005 Sonance, a high-end audio company and the inventor of the in-wall speakers category, was faced with declining profitability and shrinking market share. The company had to rethink its marketing strategy to find a path to profitable and sustainable growth. This case summarizes management's decisions as well as the events and developments that followed the 2005 situation discussed in Sonance at a Turning Point, Columbia case #080515A.

As Acumen Fund, a global venture philanthropy firm, moves forward with an investment portfolio exceeding $22 million, it runs into two critical measurement problems. First, how should it track the performance of each investment when its interest is not just the bottom line, but also social impact? What should its performance tracking system look like to enable ease of comparison, and to identify problems before they become too significant to fix? The second challenge involves attracting investors. Acumen wants to build the field of "social investing" by creating a new asset class for investors who care about social impact. Doing so will require working with competitors in the field in order to establish benchmarks and standards of measurement. How can Acumen build industry-wide benchmarks when peer organizations are concerned about confidentiality of data? Without such comparisons, how will Acumen attract investors to the field?

A United States private equity fund, The Saboput Group, must decide whether to invest in a new technology park development in Chennai, India. The B case provides the reader with due diligence observations, which reveal numerous potential problems with the investment. The reader must decide whether the The Saboput Group should go through with the investment.

The "Strategic Conversations at Suncorp Commercial Insurance" case series examines the actions taken by the senior executives of the Australian-based Suncorp Commercial Insurance, working with strategy consultant 2nd Road, to build an aligned and committed workforce following a difficult merger with a rival insurer, Promina Group. The A case outlines both the process used, which features the widely participative "strategic conversation" developed by 2nd Road, as well as the outcomes achieved. The A case introduces the context of the merger, the integration challenges by CI's senior leader, Mark Milliner, and the emergence of the "thriving city" metaphor that becomes the basis of the approach. The B case examines the cascade process designed to roll the metaphor out to all employees. The C case shares the results of pre- and post-tests done to ascertain the extent to which participation in the process increased the understanding and commitment to the new strategy for those involved.

The "Strategic Conversations at Suncorp Commercial Insurance" case series examines the actions taken by the senior executives of the Australian-based Suncorp Commercial Insurance, working with strategy consultant 2nd Road, to build an aligned and committed workforce following a difficult merger with a rival insurer, Promina Group. The A case outlines both the process used, which features the widely participative "strategic conversation" developed by 2nd Road, as well as the outcomes achieved. The A case introduces the context of the merger, the integration challenges by CI's senior leader, Mark Milliner, and the emergence of the "thriving city" metaphor that becomes the basis of the approach. The B case examines the cascade process designed to roll the metaphor out to all employees. The C case shares the results of pre- and post-tests done to ascertain the extent to which participation in the process increased the understanding and commitment to the new strategy for those involved.

Supplement for IMD484