Case studies

This case presents the dilemma of a multinational oil and gas company, ExxonMobil, as it factors in the ethical issues related to the environment and cultural differences in deciding whether to proceed with building a pipeline in Chad and Cameroon, two of the poorest and most corrupt developing countries in West Africa. The many players in this project included the World Bank--which cofinanced the project and put restrictions into place that would hopefully prevent pipeline-related government corruption in both Chad and Cameroon--and many environmental and human rights groups that warned of potential disaster. The case also covers the environmental and social analysis of the areas that would be affected by the pipeline.

Carol O'Reilly is the Executive Vice President of a regional bank in the New York metro area. She is evaluating an investment in online banking as an extension of bank services. Her bank, East Side Bank, is one of the most productive in the U.S. In fact, it was named America's most efficient bank in 1998. This became a cornerstone of their marketing strategy and they fiercely protected their efficiency ratio. She received a visiting contingent of bankers from Finland. Their use of technology and online banking was far more developed than most U.S. banks. Yet they were not nearly as efficient as the top U.S. banks. They discovered on their visit, that their cross selling had suffered as their online capability advanced. The U.S. bank customer was more profitable because they used multiple bank services and were willing to pay higher fees for the personal contact. This case centers on the implications of this revelation to East Side Bank.

The primary subject matter of this case concerns the potential impact of the adoption of online banking to a commercial bank. Secondary issues include strategic decision making in the banking industry and a comparison of the impact of technology on banks in Finland and the U.S.

The case has a difficulty level of three, which makes it appropriate for a junior level course. The case is designed to be taught in ½ hours and requires about 3 hours of preparation. It is designed for use in Strategy, Marketing, Money and Banking, or International Business courses.

John Caldwell, president of Kio-Tek (KT), presents his company's business plan to a group of 30 venture capitalists at the November 2001 annual meeting of the Portland Venture Group. John's presentation is included in the case as an exhibit. The case begins with a brief overview of the meeting and John's presentation. The body of the case describes the question and answer period immediately following John's presentation.

Included in the case is a set of exhibits that John has handed out to the audience as supplemental information. These exhibits provide additional information on marketing, management, and financial issues facing the company and John refers to them throughout the question and answer period. The VC's ask John a variety of questions in an effort to determine whether KT is an attractive investment opportunity

This case, developed from a wide variety of publicly available information, presents ethical and economic issues arising from the development, marketing, and pricing of a biotech drug. Genentech developed TPA, the first genetically engineered drug that could be used in clot-dissolving therapy for heart attack, and marketed it as Activase. Public outrage focused on the disparity between the drug's $10 direct manufacturing cost and what Genentech charged for its drug. Activase/TPA was priced at $2200 a dose, raising immediate concerns about its affordability and therefore availability to those who needed it. Additional issues arise from other events, including concern over related-party relationships between the company and organizations which researched and recommended TPA, as well as aggressive marketing of TPA to physicians and the company's refusal to participate in an international drug study to compare TPA with competitor drugs.

Threadneedle Investments, a leading UK Investment management company, was engaged in strategic discussions about future growth in its retail mutual funds business. The firm's Vice Chairman, Alan Ainsworth, was leading the discussion of strategic alternatives. The following options were being considered: expanding distribution of its funds in the UK by distributing directly; expanding its presence in the UK through the independent financial advisor (IFA)network; and/or building a larger presence in Germany, where Threadneedle was already established. The case takes place in June 2000 and draws much of its rationale and immediacy from the great bull market of the 1990's and the arrival of a new millennium. Investors were looking for new investment media to capture these returns. The case is based on field research including conversations with Mr. Ainsworth and his associates, internal company documents, interviews with experts in the field and library research.

This case looks at the design and implementation of a risk management strategy. It reviews the early moves by Great Plains Energy (GPE) to establish a corporate-wide Enterprise Risk Management program. The corporate Chief Risk Officer is Andrea Bielsker. Andrea appointed Jana Utter to take charge of coordinating the design and implementation of the ERM program. Utter faces a number of challenges. She has had to first conceptualize the program given the charge by the Board of Directors, then design a process by which she identifies the risks that the corporation faces, assist in designing measures for the risks, and work with the various divisions and functional areas to put processes in place to mitigate the identified risks.

Arizona Snowbowl, a ski area located in northern Arizona, experienced several years of inadequate snowfall resulting in both operating losses and negative cash flows. The CEO had to decide whether to commit $750,000 for an Environmental Impact Statement (EIS) related to a proposed $19.77 million snowmaking project that uses reclaimed wastewater. U.S. Forest Service approval was required. Data for this case were obtained from the EIS that the Snowbowl submitted to the U.S. Forest Service (USFS). Estimated skier days, revenue levels, capital costs and interest rates are provided to facilitate the decision modeling process. Students are expected to analyze the financial information and decide whether or not undertaking the EIS project is cost effective while taking into account the possibility that the regulatory and legal system might not allow the project to go forward.

Fonkoze is the largest Microfinance Institution in Haiti whose clients are mostly poor women. The authors had access to documents and meetings of the organization for an extended period, and observed the growth of the organization from a single office to 21 branch offices. In so doing, their staff had to spend increasing time in fundraising so that they could make more loans to the existing and new customers. This case presents the decisions of the Board and the management to alleviate some of those problems. Against a backdrop of political and civil turmoil, the case could be instructive for students and instructors alike. The Board had to decide whether to apply for status as a regulated bank, or to transform into some other financial entity.

Doris, the Executive Director of the JCC, had a Board of Directors that lacked the requisite skills, perspective, behaviors, and willingness to change policies and practices in order to meet external environmental opportunities and threats or to address internal competencies and competitive capabilities. Changes in the external environment were exacerbating the JCC's internal deficiencies. In addition, the Board created impediments to the professional staff's efforts to implement good managerial practices and policies. The current management team was acutely aware of the changes in the external environment, how these changes impacted the JCC's operations and what the JCC needed to do in order to meet these challenges. The management team was frustrated by a Board that did not provide leadership, fulfill their responsibilities, hold each other accountable and undermined management by intervening in day-to-day operations. The staff was passively hostile to the Board and to the management team. As consumers, the members' expectations were higher and more demanding. Doris and her management team had to resolve a myriad of strategic and operational issues that confronted the organization.

This case examines the ethical issues raised when businesses contract for the military during time of war. Dow Chemical Company was a military contractor during the Vietnam War and the primary producer of Agent Orange - a defoliant used to clear vegetation. Agent Orange has been linked to a number of serious medical conditions in war veterans and Vietnamese civilians. In 2004, Vietnamese citizens filed suit against Dow for illnesses they believe were caused by exposure to Agent Orange. Dow thought the issue should have been addressed through political and social policy, while Vietnamese citizens and U.S. Vietnam war veterans believed Dow was ethically responsible. As the case moved through the U.S. judicial system, some of Dow's investors grew uncomfortable with how it was handled. Dow CEO Andrew Liveris was left to wonder what his company could have done differently and what they could learn from the Agent Orange episode that might prevent similar problems in the future. This incident appeared to be a relatively distinct case, but in July of 2007 it was reported that the number of private contract employees in Iraq exceeded that of U.S. military personnel. Consequently, it is likely that companies and their stakeholders will have to address similar issues.

Dr. Lawrence Frazier was an emergency room physician who was an employee of Honore Staffing Services of Baton Rouge, Louisiana. He worked at Methodist Health System hospital in Grant, Georgia. He had recently added the title of ER Medical Director and served as liaison between Honore staffing and the Methodist hospital. His additional duties included overseeing the other physicians which staff the emergency room. Methodist had a bonus system in place based on obtaining 31 patients’ satisfaction surveys each month. Dr. Frazier believed that the small sample lead to erroneous results and created problems for the physicians under his supervision. He wanted to change the data collection process (e.g. sample size collected, instrument), but encountered obstacles when he broached the subject with his hospital administrators.

The financial statements of public companies located in the United Arab Emirates provide excellent examples of the impact that reporting investments at fair value can have on net income. This is because of the wide fluctuations in securities prices and real estate prices in recent years. Using an actual company, National General Insurance, which is located in Dubai in the United Arab Emirates, this case provides examples of the impact of fair value accounting for investments under International Financial Reporting standards (IFRS), for both securities and property investments. As US financial reporting moves towards harmonization with IFRS, it is critical to understand how reporting for investments under US Generally Accepted Accounting Principles (US GAAP) compares with international reporting standards. Specific learning objectives include gaining an understanding of the reporting requirements for investments under IFRS, understanding the difference between reporting requirements for investments under US GAAP and IFRS, and understanding both the positive and negative impacts on reported net income from using fair values for reporting investments.

In January, 2007, TJX reported that it had suffered from a computer intrusion. The company was sure neither of the identity of the perpetrators nor of how many customers were affected. A deeper analysis revealed that the intrusion had started earlier and affected more customers than previously thought. Ensuing investigation concluded that TJX was collecting unnecessary information, keeping it for too long and employing obsolete and insufficient safeguards. TJX denied any wrongdoing but implemented most of the recommended remedies to strengthen their security.

In 2007, BP sought and received regulatory approval to expand operations at its Whiting Refinery in northwest Indiana. Had the project gone forward as planned, the refinery would have discharged significantly higher levels of pollutants into Lake Michigan, but would have also contributed to economic development in the region. The result of BP seeking and being granted regulatory approval triggered a firestorm of controversy from multiple segments of society. This case study draws from secondary sources to examine the positions of a variety of stakeholders who influenced BP's decision as to whether or not it should expand its Whiting Refinery. Relevant stakeholders included for analysis are citizen and environmental organizations, political groups, trade associations, BP's employees, and stockholders. The intended target audience for this case is upper-level undergraduate business students studying issues related to business and society, such as corporate social responsibility and sustainable development.

Doug Scovanner, CFO of Target Corporation, was about to present his proposal at the November 2008 Board meeting. He was prepared to discuss immediate strategic actions which would provide support for working capital for the discount retailer. The retail community was about to suffer their worst fourth quarter in recent memory. Consumer spending had contracted, unemployment was rising and the deflated housing market had driven the economy into a recession. Although discount retailers had fared better than other industries during the second and third quarters, they were not immune to the overall economic downturn which had become a global crisis. To further complicate matters, Target's largest competitor, Wal-Mart, just posted third quarter growth even though Target was bracing for a busy holiday season. Scovanner anticipated further strain on working capital before year-end as cash flow tightened and the capital markets remained at a virtual stand-still.

Traditional Craft Designs is a sole proprietorship located in Trinidad and Tobago, West Indies. The firm's owner, Ms. Debra Atwell was recently offered an attractive opportunity to lease space at the Crown Point International Airport, Trinidad and Tobago to establish a retail outlet. She then met with an officer of the National Entrepreneurship Development Company to discuss the opportunity and seek a $40,000 loan to finance the capital and operating costs associated with the proposed retail outlet. Students are required to assist Ms. Atwell with the preparation of historical financial statements and a financial analysis that must accompany her loan application.

Accounting, corporate governance, business ethics.

MBA and EMBA.

China has largely changed its accounting practice in line with international norms. But its corporate governance structure continued to be administratively driven. Many Chinese-listed companies, especially big ones, are transformed from state-owned enterprises, with the government as their largest shareholder. It is no exception to Company C. Then what is the common pattern of accounting behaviour in China? An insight could be drawn by analysing this case.

Highlight two issues in point, namely accounting issue and governance issue. Chinese companies are now allowed to choose their accounting policies, while their top decisions are subject to government policies. Identify Company C's creative accounting by discussing China's accounting reform. In this regard, China has been relatively robust in terms of dropping its own practice and adopting western one. Discuss the corporate governance issues unveiled. What are company's performance criteria? Are they clearly established and enforced? And what about government's decision to change CEO twice in less than one year? What are the impacts on CEO's behaviour?

Teaching note.

The subject areas for this case are auditing, fraud and investigations. It is also relevant for teaching aspects of corporate governance.

This case consolidates techniques and methodologies of special investigations and demonstrates weaknesses in governance and internal controls. It is appropriate for final year undergraduate students and graduate students who have attended classes on basics of accounting and financial reporting.

The case is about institutional governance and the effects of ineptness at different levels of an organization that resulted in TAS. 133 billion being “improperly” paid out to 22 firms in the financial year 2005/2006.The case is structured to focus at the dilemma of the Director of Finance as an individual who featured in the latter stages of an extensive fraud where old unclaimable debts were revived and were being claimed and paid to fictitious assignees involving a number of Central Bank officials. However, the case seeks to interrogate issues related to financial records and controls in which the position of Director of Finance had more relevance.

Working on this case should result in enabling students to acquire expertise necessary for forensic accounting. It should also enable students to learn to gain an understanding of the practice of investigative and forensic accounting as well as an understanding of the interrelationships of the parties involved in forensic investigations.

Teaching note.

Management consulting, foreign direct investment, location decisions, business planning.

Undergraduate and Postgraduate Business and Management or Executive Education.

This case outlines the location decision-making process for Hay Group, a global management consulting firm. The process and factors involved in making decisions on new office openings in the Middle East region are highlighted. Particular attention is paid to location factors such as legislation, taxes, political risk and market attractiveness.

The case enables participants to learn about business conditions in the Middle East and to develop a business case for the opening of operations in new markets.

A teaching note is available on request.

Corporate social responsibility (CSR).

The Homegrown case is designed for teaching corporate social responsibility and business ethics at undergraduate and graduate levels. The case may be used on a variety of courses including: corporate social responsibility, business ethics and corporate social responsibility, and business ethics.

In May 2003, the headline of the East African newspaper screamed “The Kenyan Horticultural Industry under fire.” The industry was accused of exploitative labor policies with respect to working conditions, workers' welfare, sexual harassment, and exposure to harmful pesticides by the key stakeholders led by the Kenya Human Rights Commission. The stakeholders had announced plans to conduct national and international campaigns against the flower growing and exporting companies in Kenya. Mr Richard Fox, the Managing Director of Homegrown was worried that the publicity had adversely tarnished the image and reputation of the horticultural industry in Kenya as a whole, including Homegrown. He wondered how best to respond to these allegations. Should Homegrown wait to see what the competitors and other stakeholders would do, as these were industry-wide problems or should Homegrown take the lead? And if so, what should be the scope of the programs, given the diverse nature of the issues? He had to make decision quickly.

The case provides opportunity for students to analyze, discuss, and debate topical issues in CSR. At the end of the case, students should be able to: identify emerging CSR and ethical issues facing the horticultural industry in Kenya; analyze the cost of implementing CSR programs in business organizations; evaluate the impact of CSR programs on business performance; justify and defend choices on CSR, and ethical decisions.

Not included.

Tourism development, emerging market entrepreneurship.

This case may be used in lower or upper division courses. Lower division courses may want to focus on the elementary issues of project planning, business plan development, and marketing. Upper division courses will find opportunities to enhance the discussion with ethical dilemmas and more advanced business plan development.

The case takes place in a nature conservancy in Namibia. A local villager wants to open an attraction portraying local customs, traditions, art, and dance for tourists. This case can be used as an introductory strategy case study in at least three types of classes, strategic management, entrepreneurship, or hospitality management. The case presents many opportunities for students to analyze various business topics, including start-up financing, competitive and industry analysis, questions of pricing, product, and promotion, government relations, tourism development, and ethics. It is designed to be taught in either a 1 hour class or a 1.5 hour class with student preparation taking between 2 and 3 hours depending on the questions assigned. If students are asked to complete a business plan the preparation and discussion time will be longer.

Students will demonstrate ability to prepare a business plan, conduct market research, and evaluate potential business idea using Porter's five forces. Students will also demonstrate depth of understanding ethical dilemmas in an emerging and foreign market.

Teaching note.

Business strategy and human resource management.

Undergraduate Business and Management.

This case spotlights Oilfield Services branch in Abu Dhabi, United Arab Emirates. It focuses on various problems encountered whilst operating in Abu Dhabi. Oilfield Services was first established in Dubai in 1995, primarily to meet the growing demand of quality human resources in the oilfield, shipping, and fabrication sectors in the Middle East and Persian Gulf region. The case highlights the challenges of motivation and compensating staff and the importance of strategic decision making.

This case can be used to teach decision making, cost/benefit analysis, employee motivation, and compensation and elements relating to international business strategy.

A teaching note is available on request.

Organizational change.

Undergraduate and Masters level management programmes, particularly in management accounting, public sector accounting or organizational change.

This case study reflects organizational changes when Fijian Post and Telecom Company (FPTL) made a transition from a government department to a corporate entity. The focus of this case study is to examine some of the intra-organizational or micro-level changes that took place at the company. While the impetus for change may have originated in the Fiji Government's policies of public sector reform, the objective here is to outline the often slow pace of intra-organizational change within FPTL.

FPTL is a sole provider of postal and telecommunication services in Fiji. The organizational actors faced tensions and initially resisted the change to private business routines. However, with wider education and training on the change process, the resistance was reduced. At FPTL, a management team was set up to introduce commercial norms which were subsequently stabilized by the team through the ongoing process of educating employees on the benefits of changes and routinisation of new practices.The learning outcomes are to understand the difficulty of the change process and be aware of some of the resistance that may persist owing to cultural and political circumstance of a specific country.

Teaching note.

Agriculture knowledge, market intelligence, emerging business model.

It is best suited to teach undergraduates and graduates in the areas of rural marketing, agri-business management, service management and information and communication technology for development.

India is changing with great pace by inclusive growth on espousal of technology into the mainstream. Indian farmers are wholly depending even now on traditional methods for decision making on entire agriculture supply chain. The constant decision making provides middle men with a chance to exploit and empower themselves on the returns produced by farmers. Technology is creating waves providing an opportunity for farmers to benefit by adopting information and technology to solve their basic livelihood problems. The Thomson Reuter group launched a SMS-based mobile information service to support India's 250-million-strong agricultural community. The service, named Reuters Market Light (RML), is trying to provide a missing link by providing required information in the quickest possible time to farmers; user need-based services are critical to this. How far RML services are delivering in this context is quizzed by some analysts. Thomson Reuter's service started with the global climb down in commodity prices, coupled with increased risk of natural disasters as per experts. The competitors providing similar services at price which differ with RML wondered about the success, scalability and sustainability of its venture.

This is a practical view of how these interventions can be better looked at and can get into policy for a framework for rural areas' socio-economic development.

Teaching notes.

Ethics in IT, community informatics, management.

Undergraduate and postgraduate information technology and citizens' rights, strategic decision making.

This case spotlights Athlete Sports in Dubai, United Arab Emirates (UAE). It focuses on the malfunction of the company's equipment that is rented from ABC Sports Equipment. Athlete Sports has been in the UAE over a decade and has positioned itself fairly at the top due to its qualified coaches and quality of facilities it provides. The case highlights the company's transition from owning equipment to leasing equipment that increases profits. However, it also sheds light on ABC Sports' venture into code reusability in order to upgrade equipments faster. The case looks closely at the ultimate consequences of ABC Sports' practice and the impact it has on Athlete's Sports' clients and the subsequent decisions the managers are expected to make.

This case can be used to teach strategic decision making, and ethics in information technology.

A teaching note is available on request.

Islamic financial instruments, financial analysis, financial decision making.

Undergraduate Finance and Business.

This case highlights the financial decision making by the UAE Islamic Bank, regarding an investment with Towers company. It focuses on considering the appropriate Islamic mode of financing and computing the relevant financial ratios to make the right decision.

This case can be used to teach Islamic financial instruments, financial analysis and financial decision making.

A teaching note is available on request.

Strategic market entry; international business; marketing.

MBA/MA in management; international business; postgraduate.

This case is based on a real-life situation of an existing transnational firm contemplating to enter a new market in a developing country. It involves a gamut of issues ranging from firm-strategic market entry, competitive positioning, international marketing strategies (including international market segmentation) and international product lifecycle. These issues revolve on numerous theories namely theories on internationalization (motive, scope, process, scale and timing of entry) and globalization of markets (standardization versus adaptation). In the past, the market was heavily regulated and protected which makes market entry simply impossible. However, a change in government policy is opening up new opportunities for foreign providers to participate in the host country. Although the market potential is enormous, there are various factors that concern the firm in determining its market entry and marketing mix decision.

After carrying out this exercise, students are expected to be able to: evaluate a firm's internal and external position in market expansion decision; assess a country's attractiveness in terms of its potential, competitive intensity and entry barriers; identify and discuss the factors that influence firm's marketing mix decision (standardize/adapt); and determine the firm market entry and the tactical decisions.

Teaching notes.

Innovation, marketing, strategic decision making.

Advanced undergraduate, MBA/executive education.

Zwack Unicum is an enduring icon of Hungarian business and culture having survived many generations of change. The case describes historical development of Zwack Unicum focusing on the years after 1989 through EU Accession of Hungary in 2004, while the company shifted away from a family business to become a publicly traded company. Elements hint at how corporate governance changes incentivize and constrain decisions of top management. The marketing strategy called “Innovate on tradition” is examined and it demonstrates how product and marketing innovation can be led by leveraging tradition, and how companies in emerging markets faced with competition from established developed-country brands can use local culture to outmaneuver attempts at market-share capture. Threats explored include the impact of a global economic crisis on sales domestically and internationally, and the changing demographics in their primary places of commercial activity (an overall aging and decreasing population in tandem with a growing minority population). Management must find a balance between short-term and long-term strategic decisions and revisit the sustainability of a marketing strategy associated with messages that are not necessarily preferred by a growing number of their consumers.

To understand the need for wide-perspective, flexibility, and foresight in emerging markets and companies therein.

Teaching note.

Organizational behavior, leadership, strategic management.

This case can be used at Master's level management students as well as for executive education programmes. The case can be used to teach courses like organizational behavior, leadership and strategic management.

Mumbai Rail Vikas Corporation (MRVC) had been established with a purpose of catering the rail transportation requirement of Mumbai, the economic capital of India. After its establishment in the year 1999, commuters were hopeful but very less development and improvement was reported for six years. Mr P.C. Sehgal took over as Managing Director of MRVC in the year 2005. The primary task of Mr P.C. Sehgal was to implement the rail development plan proposed by Mumbai Urban Transport Project within the deadlines. Implementation of the given plan had various challenges and required high degree of coordination with different stakeholders (like Government of Maharashtra, Central Railway, Western Railway, etc.). It also required taking important decisions to move work fast and dealing with media and public pressure.

The case would instigate students to delve on the aspects of leadership and how the leader brings about change. The students would also get to know the challenges a leader face when he takes charge of an underperforming but critically important organization. Further the students are also exposed to the context of organizational management where the organization is trapped in a web of relations with conflicting stakeholders.

Teaching note.

– It is related to managerial accounting including style of management, evaluation method, risk management, responsibility accounting and reporting.

– It is suitable for both Bachelor's degree and Master's degree students to apply their comprehensive knowledge of managerial accounting on the case with relevance for the courses including managerial accounting, cost accounting, cost analysis and managerial accounting seminars.

– Information given by the case informs about the decentralized management structure and style of a data communication company, Data Communication Company Limited. The delegation of authorization is used as the main control of the company to monitor the performance of each department. The case study describes the company's specific methods as well as the monitoring procedures and the reports. In addition, it also addresses the management's concerns regarding risks as it relates to the current market situation.

– To study managerial accounting courses by using this case, it certainly enhances effectiveness and efficiency of accounting curriculum. This case specifically provides a realistic perspective, comprehensive information and solution capability relevant to real world challenges, which can be applied to managerial accounting.

– Teaching note.

The decade from 2000 until 2010 was a turbulent time for Toyota Motor Company. The carmaker came under significant criticism from the United States government, consumers throughout the world, and media critics amid allegations of poor quality control and vehicle safety concerns. Problems with accelerators and brake systems were found on several of its most popular models, a situation initially exacerbated by the slow and somewhat tentative response from top management. Toyota was accused of not addressing early warning signs that appeared several years before the crisis received intense negative publicity. Toyota struggled to retain the confidence of consumers and governmental regulators, eventually recalling approximately eight million automobiles.

Strategic management, sustainable development, business economics, construction management, energy management.

Undergraduate and Master's level business and management programmes with a focus on environmental or strategic management.

Fewer than two percent of Guinea Bissau's rural households had access to electricity from the grid. Efforts by the state monopoly to improve that figure by expanding the grid have had little effect, in part because the rural population was sparse. Central Electronics Limited, a public sector based company in India, was assigned to develop economic solar systems as a safe and eco-friendly substitute for the diesel gensets under IBSA (a trilateral, developmental initiative among India, Brazil, and South Africa) with the help of United Nations Development Program. The case provides an opportunity to examine the strategy of a small and poor nation to meet the needs of modern energy sources needed for improvement in health, education, transportation, and commercial development. The case focuses on Guinea Bissau's use of a trilateral partnership to achieve its rural electrification objectives despite several push backs.

Students will demonstrate ability to analyse, comprehend, and evaluate the essence of solar energy as an alternate for costly grid energy in the initial stage of development. It will also provide students to converse with the specific advantages of solar systems over conventional power generating systems and construct a novel solution that serves the needs of various stakeholders at the bottom of the income pyramid.

Teaching note.

Entrepreneurship, Corporate sustainability, CSR, Supply chain.

Master's courses: Entrepreneurship, Strategic management.

In 2002, potential risks deriving from emerging normative demands in the CSR debate prompted Axel Springer (AS) to rethink their supply chain strategy for Russian wood. Being one of the first movers in CSR in the publishing business, AS realized that current practices could spark future public discussion that might put pressure on AS, a key player in these supply chains. In early 2002, AS and one of their main suppliers, Stora Enso, started a joint initiative to redesign the supply chain processes in two of the major Russian logging regions to improve their social and ecological performance. Sometime later, other major players in the publishing sector as well as critical reviewers from several non-governmental organizations (NGOs) were invited to participate in the design of the new voluntary sustainability initiative called “Tikhvin Chalna project”, the second phase of which was accomplished by the end of 2006.

Learn that organizations (specifically high-brand owners) are responsible for practices within their entire supply chains (social as well as environmental performance).

Explore proactive corporate sustainability, CSR strategies are market but also institutional driven; Strategizing involves forming and transforming the rules, norms and standard models of customers as well as institutions such as NGOs or governmental bodies. Whether the initiator of such strategy is successful in increasing or manipulating demands is dependent on its resources and capabilities as well as on its network position. The case supports students in understanding resources being used to successfully transform or create institutional arrangements.

Discover that the value of a business' relationships and its network position.

Teaching note, Video files

Social entrepreneurship, Sustainability and Human Resource.

The case study is relevant for students of entrepreneurship and social entrepreneurship. This case can be used as a case in strategy (growth strategy), marketing and innovation subjects as well.

The case study revolves around Mr Harish Hande and his efforts to build a for–profit social enterprise Solar Electric Light Company (SELCO) to provide electricity to poor and under–served. Harish focused on providing cheap, clean and sustainable energy sources to rural customers at bottom of the pyramid of the society. From the conception of SELCO, Harish has been on a roller–coaster ride of success and failure. Harish has used the problems as a learning ground and improved his business model successfully. But, when Harish tried to scale his operations in 2005–2006 he failed miserably. Some errors in the decision coupled with external pressure had brought SELCO to a verge of collapse. Owing to the determination of Harish and his team, SELCO was able to revive from the difficult times to generate profits again. Harish now again wants to expand but this time he would not take any chances. He wants to analyze and discuss every possible issue, he might face during his expansion plans.

The key learning aspects of this case is to understand importance and practice of talent management. The case also highlights the best practices that SELCO uses to reach its clients and provide them complete solution.

Teaching note.

Finance, accountancy, auditing.

Supports information systems audit (ISA), auditing practises and controls, corporate governance and internal controls and financial management modules, business administration and MBA programmes.

The case study focuses on the implementation of ISA and information technology in the highly responsible task of executing financial audits The case emphasises on the fact that the advantages of ISA can only be reaped when they are amalgamated with an auditor's scrutiny, sharp eye, extensive knowledge of auditing systems and accounting principles and a rich experience of the auditing function. The suggested synergy also facilitates a reduction of around 60 per cent, in the cost of executing the audits and the man-hours required to complete the audit, as in the case of Jain Chowdhary & Company.

The case helps students to comprehend the relevance of audit trail. It emphasises on the importance of identifying the source of information and tracking raw data backward. It familiarises the students with the complexities involved in a real audit and emphasises on the role of logic, intelligence, diligence, patience and farsightedness while performing the auditing function. It is important for them to understand how White collar crimes take place in real business economy. This case, hence exposes students to these nuances and can make a student, from a non-commerce background, understand the key elements of efficient auditing. (Elaborate teaching objectives are appended in the teaching note.)

Teaching note.

Marketing strategy, retail/sales management and logistics.

Undergraduate and postgraduate.

Al Ain Dairy works is in one of the most highly competitive industries in the world – the food industry. In the dairy business, choice, freshness, safety standards, inventory management, supply chain and marketing are key to sustainability. Al Ain Diary explains some key challenges in this industry for managing and planning sales. This case builds on a previous case and can be used to teach marketing strategy, retail management and logistics. The case also gives an idea on the food industry especially the dairy market and some of the challenges associated with it.

Students can try forecasting and planning sales based on seasonal trends. Since the process complexity increases as the number of stock keeping units increase, the case provides a rich context of a company where inventory management is a key to success. Product portfolio management is another subject area of focus in this case. For market expansion, students can look at current organizational and market constraints, organizational competencies (and their transferability), and market synergies and similarities to recommend strategy.

Teaching notes.

Auditing, accounting, finance, control.

Upper level undergraduate, MBA, MS accounting.

This case takes an internal approach by exploring how PricewaterhouseCoopers - Egypt develops and applies industry specialization in an emerging market such as Egypt. The case focuses on three aspects of specialization. First, the strategic drivers behind specialization. Second, the internal processes of building industry-specific knowledge. Finally, the costs and benefits of specialization.

Industry specialization is a strategy:

• Specialization is a strategy primarily used by Big 4 auditing firms, such as PwC-Egypt as a means of differentiating it self from the market.

Specialization is a strategy primarily used by Big 4 auditing firms, such as PwC-Egypt as a means of differentiating it self from the market.

Industry specialization is a culture:

• For specialization to be fully effective a learning culture should be in place in which firm personnel are committed to continually seek new in-depth knowledge about clients and their industries.

For specialization to be fully effective a learning culture should be in place in which firm personnel are committed to continually seek new in-depth knowledge about clients and their industries.

Human resources are the most valuable asset of auditing firms:

• Auditing is a service that involves extensive professional judgment. Thus, knowledge and expertise of its personnel is what differentiates one auditing firm's staff from another.

Auditing is a service that involves extensive professional judgment. Thus, knowledge and expertise of its personnel is what differentiates one auditing firm's staff from another.

Teaching notes.

Reverse logistics, environment, CSR.

Bachelor and Graduate students.

This case describes the role played by the company in linking various processes and taking the lead in the development of a unique “circular” flow of recycling activity which includes recovery, reuse and recycling schemes. Traditionally businesses were not held responsible for the product after use by the consumer. But, with growing stakeholder expectations in the area of corporate social responsibility and sustainability, businesses are more conscious about managing their social and environmental impacts. Today businesses are beginning to look at reverse logistics not only in terms of economic impacts but also environmental impacts. While consumers and other stakeholders want businesses to be more responsible in the way the product is produced such as to minimize waste production, the expectations have also changed to recovery of products after use in order to reduce cost and environmental impact of recycling. Businesses are becoming more responsible about collecting, reusing, refurbishing or dismantling used products to minimize environmental damage.

The case is significant for teachers and students of “environment management”, corporate social responsibility, “supply chain” and “the importance of networks”. It can be used to understand how reverse logistics helps to minimize waste.

Teaching notes.

Infrastructure finance.

II MBA/Executive MBA (Project Finance, Infrastructure Finance).

It is generally believed that the economy of India is on the threshold of achieving significant growth in the coming years. The availability of adequate infrastructure facility will play a key role in realizing this growth potential. To accelerate the process of creating infrastructure capacity, the Government of India has opened up many infrastructure sectors for private sector investment. Creation of international standard airport facilities is an important component of such new infrastructure creation. This case study presents the initial development and financing closure of Bengaluru International Airport Limited (BIAL), the first major private sector airport in India. In retrospect, it is generally felt that BIAL was an important milestone in the privatization of airports in India. The blueprint for the greenfield PPP airport in Hyderabad was closely modelled on the BIAL project. The experience gained in the development of BIAL also played a major role in subsequent brownfield PPP airport expansion projects in Mumbai and Delhi.

The goal of this case study is to illustrate the complexities that exist in the process of infrastructure development and financing. This following are the expected learning outcomes:

• The importance of using an appropriate project structure.

• The prevalence of early returns to project sponsors as compared to lenders.

• The process of achieving financial closure.

• Analyzing project risks and returns.

The importance of using an appropriate project structure.

The prevalence of early returns to project sponsors as compared to lenders.

The process of achieving financial closure.

Analyzing project risks and returns.

Teaching notes.

Strategic management and social innovation

Undergraduate and graduate level management/business school students. It can be taught in strategic management and social innovation courses.

GOONJ is a non–profit organization which has life and dignity for lakhs of people in India over the last decade. It aimed at bringing up clothing as one of the important aspects of human life and make it available for the needy keeping their dignity intact. The case begins with Anshu Gupta, founder of GOONJ thinking deeply about the high–priority meeting to take GOONJ to the next level and scale up the operations of his social innovation. It then tries to bring up the potential problem of clothing and menstrual hygiene in India followed by explanation of the present working model of GOONJ which allows them to manage the operations with 97 paisa per cloth. With the dream of taking GOONJ to the next level and converting it into a nation–wide phenomenon, will the present model work?

This case will cover two important aspects: social innovation process (themes, challenges and implications for practice); and strategic management concepts (stakeholder theory, internal–external factor evaluation).

Teaching notes.

Sustainable development (in under-developed rural communities).

Bachelor's degree.

The case follows six young adults from Quebec, who are mandated with a three-month agro-environmental project in the fight against desertification and poverty, in Kamaka, a village in the Sahel region of Mali. The project's central element is the development of a community garden that would ensure the diversification of the community's nutritional diet, and the rehabilitation of the environment. The mandate also consists of various environmental awareness workshops pertaining to efficient energy consumption, composting, and solar food drying techniques. The project, in its fourth year of collaboration between the Quebec organization and their local Malian partner, does not seem to have been yielding the desired results. The team is faced with the challenges of understanding the opportunities and limitations of the project so that they can try to succeed where previous teams have failed; while overcoming the organizational and logistical shortfalls that they faced prior to the start of their work, as they simultaneously struggled to adapt to their totally new context.

How to prepare for, approach, and carry out local community development projects – environmental and/or social – in under-developed regions such as Mali. Mainly, how to create a shared vision with the concerned community; build an effective multi-stakeholder network; and ultimately co-create sustainable value (as per the proposed Senge model).

Teaching notes and short documentary online link.

Organizational innovation, leading change, customer service management in professional service firms.

Advanced undergraduate, MBA/executive education.

This case describes the human resource (HR) dilemma faced by BDO Hungary in 2010, an international audit and tax consulting partnership, operating in the country since 1989. In order to continue its past growth story and to reach closer to “Big Four” BDO has to enter new business segments, offer more services to its existing customers and seize higher value-added business potentials. The new strategy, however, is challenged by its incumbent, traditional core business: auditing, which is highly regulated by ethical, legal, and professional standards including non-advertisement regulations to which the resulting organizational culture and HR routines are congruent. The case is described from the perspective of the Equity Partner, HR Director and Executive MBA student, who is tasked with a new HR plan for training and development and is charged with implementing it successfully. How best to adjust current training and development policies to the best meet new strategic growth goals? How to develop existing human capital? How to make employees more commercially oriented in such a conservative, risk averse, and highly regulated environment? How to improve their customer service and the sales skill?

Exploring the importance of training and development in improving customer service levels in professional service firms operating in emerging markets. Understanding the limitations and the possibilities of transferring international HR policies and standards across borders and cultural differences.

Teaching notes.

Higher education leadership and planning.

Postgraduate/higher education.

Professor Rob Whelan was appointed President of the University of Wollongong in Dubai (UOWD) from the University of Wollongong in Australia (UOW). Professor Whelan brought to the job in Dubai the perspective that public-good benefits flow from a comprehensive institution engaged with the larger community and these are led by academic staff members who produce research that serves the national interest. To apply this model to UOWD meant a thorough analysis of the organization in terms of both its culture and its broader environment. This case explores the various processes through which a new leader takes stock of an existing institution, identifies the potential for development in a particular direction, draws upon a range of stakeholders to refine the vision and develop it into a strategic plan, gains support for the plan, and then implements change through close collaboration with the institution's constituents.

This case can be used to explore a number of issues in leadership and management including: identifying the various internal and external stakeholders in a complex organization; analysing strategies for mobilization for change, including the assessment of inclusive versus exclusive approaches; reviewing the opportunity costs of change; and assessing types of leadership.

Teaching notes.

In August 2007 the Mainsail II SIV-Lite was frozen by its trustee as a result of the ongoing credit crisis. The state of Maine held $20 million of Mainsail commercial paper in its Cash Pool portfolio, a short-term portfolio that puts temporary, excess state revenues to work. When word of the potential loss became public, the Treasurer came under attack. The case introduces the functions of a state Treasury department, with particular emphasis on the investment objectives and guidelines for the cash pool as well as its composition. The case reviews the events leading up to and including August 2007, the month when the credit markets first began to seize and when the financial crisis effectively began. It examines securitization, structured finance, and the Mainsail SIV-Lite structure in some detail.

Principles of Management, in particular, the topics of planning, organizing, leading, controlling, human resource management, and operations management.

The case will be helpful to undergraduate and graduate business school students for learning the subject, Principles of Management.

Vikas Jha, the newly appointed executive producer and CEO of Magic Films, is a troubled man today. At 29, he is also an unusually tired man to lead this social enterprise presently focussing on producing and distributing short films that carry a strong social message. A whole set of problems is plaguing this start up leaving Vikas totally clueless about the future course of action! The case dwells on the challenges of a film production start-up and provides an opportunity for readers to explore creative solutions to management problems.

Critical thinking, creative thinking, communication skills and leadership ability are some of the liberal arts outcomes that the case study attempts to deliver. In addition, it enables students to apply their knowledge and understanding of key principles of management in solving the case problems. Thus, the case also provides transfer ability as an important learning outcome.

Teaching notes. Additional material with respect to film production can be helpful to the students in appreciating the finer aspects of this case, which deals with filmmaking. In this direction, helpful links to useful resources are mentioned in the case study.

Strategic management of nonprofit organizations.

This case is appropriate for graduate level program/executive education courses; advanced topics in nonprofit management or strategic management of nonprofit organizations.

This case focuses on the central dilemma faced by arteBA Foundation in 2008. arteBA Foundation's chairman, Facundo Gómez Minujín, received an offer from a foreign company to purchase the art fair launched 17 years before – and by then acknowledged as the most prestigious fair in Latin America. Leading art fairs around the world were managed by for-profit companies that could view arteBA as a strategic asset to tap into new markets. Gómez Minujín called for an urgent board meeting. The young chairman had his qualms about selling the fair. In addition to corroborating arteBA's brand positioning in the region and rewarding the organization's efforts over the years, this purchasing offer afforded the possibility to undertake several projects to further develop and promote Argentine art – the true driver for most arteBA's members. The case describes the foundation's background and the fair's growth until the crossroads in November 2008. They include several accounts of instances in which the foundation took financial risks to enhance the fair's positioning, such as granting subsidized space to emerging galleries at its Young Neighborhood Program, expanding to include aesthetically risky offerings at its Open Space section, and financially supporting Brazilian galleries to attend the fair in order to enhance its Latin American scope and regional consolidation. Similarly, the case depicts how the foundation chose to uphold fair continuity in critical years (2001) amidst a dismal domestic setting. The dilemma presented by this case hinges on an organization's ability to build a market-based venture while preserving and pursuing its mission. To promote Argentine artists and art, arteBA Foundation had to help art galleries – for-profit businesses – to adopt more professional practices. Another challenge described in this case revolves around the need to “manage quality” in detriment of greater, immediate revenues. The last section revisits the central dilemma faced by arteBA Foundation. The mixed reactions of board members on the fair's purchase offer described in the introduction unfolded in a passionate debate at the board meeting. Two prevailing positions emerged in reference to the future of the organization. For some board members selling the fair afforded arteBA a chance to finally undertake new challenges, such as launching a grant program, offering financial support to artists, consolidating a new venture (South Limit), etc. Opposing board members contended that, without the fair, the foundation made no sense and that no other initiative could have such an impact on its field of choice. Finally, the board found it impossible to reach a decision on this matter in just one meeting and decided to resume its discussion after a recess.

This case has been designed to advance the following teaching objectives: gaining a better understanding of market-based ventures carried out by social organizations; discussing the alignment of market-based ventures to social missions at social organizations; adequately interpreting market trends to try to align them to a nonprofit's mission; identifying the primary capabilities needed by social organizations to manage profitable market-based ventures; developing a positive market orientation as a source of opportunities for a nonprofit; appreciating the significance of an active, committed board for market-based venture development; and highlighting the primary role of entrepreneurship and innovation when it comes to launching market-based ventures that add value to a nonprofit's brand.

Teaching notes are available.

Venture capital and private equity.

This case is suitable for II MBA/Executive MBA (venture capital and private equity/entrepreneurship/business models/managing family business) courses.

Soliton is a technology and software services company with operations in India and the USA providing machine vision products and virtual instrumentation services. Soliton was started by Ganesh Devaraj in 1998 after his return from the United States after higher studies. Ganesh hails from a business family in Coimbatore that had interests in the textile spinning sector. The family had been in the textile business since the early 1940s and had revenues of Rs 400 million and employed about 700 people. Ganesh, not wanting to continue in the traditional family business, ventured into the technology sector using his academic and professional experience. His family was supportive of his venture and funded his company for the first two years of operation and for scaling up operations. Ganesh is now evaluating various sources of raising additional capital at a time when there was general slowdown in the automobile sector as a result of the global financial crisis.

The goal of this case study is to illustrate the complexities that exist in financing growth of companies in uncertain times. This following are the expected learning outcomes: discuss and understand the nuances between different sources of early stage funding: personal wealth, family, and angels; compare and contrast the differences between family funding and venture funding; and highlight the benefits and limitations of family funding.

Teaching notes are available.