Case studies

The learning outcomes are as follows: to evaluate the suitability of Surplus business model from accounting, finance, strategy and cultural perspectives; to identify the factors that contribute to the reluctance of business partners to join Surplus ecosystem and to suggest solutions; to identify the factors that contribute to the reluctance of consumers to join Surplus ecosystem and to suggest solutions; and to address unique funding and financial challenges faced by Surplus.

This case study discussed the challenges faced by Surplus Indonesia, a company founded upon the belief that a harmonious balance can be achieved between profitability and environmental stewardship. Stemming from the founder’s encounter with leftover food going to waste after buffets, Surplus embarked on a pioneering initiative using an application technology to address food wastage at the consumer level. Collaborating with various stakeholders such as retail outlets, restaurants, bakeries, cafes and hotels, the goal was to combat food waste while supporting Sustainable Development Goals 2, 12 and 13: Zero Hunger, Responsible Consumption & Production and Climate Action, respectively. Each meal saved through the Surplus app not only translated to reduced expenses for businesses but also contributed to reducing greenhouse gas emissions from landfills. Surplus’ overarching mission was to cut food waste and loss in Indonesia by half by 2030, fostering an environment where food waste is virtually nonexistent in the nation.

Undergraduate as well as graduate courses that focus on sustainability, accounting, financing and strategy

Teaching notes are available for educators only.

CSS 1: Accounting and Finance.

The learning objectives of this case study based on Bloom’s Taxonomy (Bloom et al., 1956) will be to analyze the procurement process and identify the parameters for the procurement of services; evaluate the potential risks and challenges associated with relying on a single vendor for critical services; apply the four-stage model of crisis management to the breach of contract by Fresh Bites Catering; examine how adopting sustainable procurement practices, such as diversifying suppliers and establishing contingency plans, can mitigate these risks and ensure business continuity; and analyze the dynamics, roles and potential conflicts between the principal (Multan University) and agent (Fresh Bites Catering) using the principal–agent theory (PAT).

This case study explores the challenges and implications of sustainable procurement within the context of Multan University’s cafeteria services. It delves into the sudden contract breach by Fresh Bites Catering, a long-time partner responsible for providing central cafeteria services, and examines the resulting operational crisis faced by the university. This case study highlights key procurement processes, including vendor selection, contract management and adherence to sustainability principles, as well as the risks associated with single-vendor dependency. By applying frameworks such as the PAT, the four-stage model of crisis management and sustainable procurement practices, this case study encourages students to critically assess the failures in contract enforcement, risk mitigation and service continuity. Additionally, it stimulates discussion on the benefits of robust risk management strategies, multi-vendor approaches and clear contract terms to prevent future disruptions in essential services. This case study serves as a valuable tool for understanding how procurement strategies influence organizational performance and long-term sustainability in higher education institutions.

This is a decision-making case and can be taught in Master of Business Administration courses in purchase and supply management and operations management. This case study is mainly written to make students understand and analyze the potential risks of a single vendor, the benefits of diversifying suppliers and sustainable procurement.

Teaching notes are available for educators only.

CSS 9: Operations and logistics.

Risk identification and qualitative assessment are the learning outcomes.

The Bharat Bijlee Construction Limited (BBCL) was one of the largest construction companies operating in the power sector in India. After successfully completing a few projects in the Middle East, BBCL decided to expand its presence into African region. The BBCL was awarded a $85m contract for three sub-station projects to modernise Algeria’s power grid system by the “Shariket Karhaba Koudiet Eddraouch Spa”, a state-owned company in charge of power generation, transmission and distribution in Algeria.

The project, which is the first of BBCL in Saharan region in Algeria’s, presents many unique situations that company had never encountered before, including sand dunes, severe weather, remote locations, supply chain & logistics, strict contractual deadlines and a high level of construction risk. The project manager for BBCL was sceptic about how well his company would perform under the present project circumstances. How could he better align himself with the client, the various on-site local contractors and the numerous suppliers spread around the world?

The case emphasises the identification of various project risks that the project manager might encounter in the project. What do the PESTLE and ASCE frameworks for risk identification each represent, and how are they helpful for the project team in understanding various risks? How should the project’s qualitative risk assessment be conducted? And how can a heat map be a better tool for comprehending the criticality of each risk in the project?

Undergraduate and post graduate courses in project management, civil engineering and architecture domain.

Teaching notes are available for educators only.

CSS 2: Built Environment.

After completion of the case study, the students will be able to define and compute equivalent units of production, apply management accounting procedures for manufacturing businesses (Furqani Sugar Mills), calculate product cost and track product cost flows and prepare process cost summary using the weighted average method. By studying this case, learners will gain insights into the challenges and financial complexities faced by a sugar mill and how strategic decisions and economic analysis can impact the sustainability and profitability of such businesses.

This case study explained the problem Mr Zoraiz, chief financial officer (CFO) of Furqani Sugar Mill, was facing. The problems started in the month of November 2020. Mill’s owner Mr Jabbar asked him for suggestions that employees should not be laid off. So he was analysing and estimating the cost of production when increasing production. He was focusing on cost reduction in process or increasing production, and utilization of resources efficiently and effectively. This case study focused on the market segment of the sugar industry for process costing. Furqani Sugar Mill, founded in 1992 in Pakistan (Company Document), had a noble mission to improve the lives of local peasants by producing sugar and molasses. Pakistan heavily relied on agribusiness, particularly sugar production, which contributed significantly to manufacturing. However, Furqani Sugar Mill faced a dire situation despite its vital role. During the sugarcane season, it struggled due to a shortage of raw materials, primarily sugarcane. Zoraiz, the CFO, grappled with running the mill below total capacity in recent years due to two significant issues: government-fixed sugar prices and limited sugarcane supply from local farmers. The high cost of sugarcane hindered Zoraiz’s desire to operate at total capacity. Zoraiz, Furqani’s CFO, must decide what he can do so that the mill can operate at its total capacity. The future of Furqani Sugar Mill hung in the balance as Zoraiz navigated complex financial decisions while striving to uphold the mill’s legacy and commitment to the local community.

This case study is suitable for teaching in several modules, notably managerial accounting and control systems, management accounting decision-making and cost and management accounting. Specifically, it covers performance management and process costing in management accounts. It is appropriate for teaching at the undergraduate and postgraduate levels.

Teaching notes are available for educators only.

CSS 1: Accounting and finance.

This case study will help business management students learn the dynamics of distribution management in the rural context. After working through the case and assignment questions, the students will be able to:▪ Understand the transformation of rural retail from traditional models to organized modern retail;▪ Understand the opportunities and challenges of rural markets with specific reference to automobile products;▪ Identify and evaluate the various distribution channels available for rural markets; and▪ Devise a suitable rural-centric distribution model for automobile products following an appropriate logistics system.

Manan Motors, a dealership of Honda Motorcycle & Scooter India (HMSI) Private Limited in Hathras City of Uttar Pradesh province in India, has been operating successfully for the past two decades. Mr Manoj Bansal, the director at Manan Motors, was primarily targeting the urban markets with 60% dependency on the scooter portfolio of HMSI. But multiple pressures like stringent vehicle emission norms, price rise of two-wheelers and the impact of the pandemic took a toll upon the urban business of Honda Motorcycle and Scooter India Limited and subsequently upon Manan Motors. The sales for HMSI dipped from 15,121 million units in 2020–2021 to 13,466 million units in 2021–2022. Consequently, Bansal decided to alter the business strategy of Manan Motors and shift its focus from the urban to the rural territory of Hathras, where it could foresee demand for entry-level two-wheelers (engine capacity between 75 and 110 cc). Rural markets were developing, so Bansal realized that supplying a low-cost, low-end model to the rural Indian market was an opportunity for his dealership. Bansal’s decision to focus on the rural vertical of its two-wheeler business stirred several questions that floated in his mind. Should they manage distribution on their own, or through some channel members, or should they follow a rural-specific modern retail model?

The case study is designed for use by a postgraduate or executive-level audience for subjects such as sales and distribution management, distribution management and rural marketing. Students will understand the concept of distribution management and associated keywords specific to rural markets. The case study provides an opportunity to discuss and decide how a company can penetrate the rural market and also discusses the opportunities and challenges of rural distribution.

Teaching notes are available for educators only.

CSS 9: Operations and logistics.

The case study’s primary learning objectives are to develop a number of professional competencies, such as personal ethics and citizenship, decision-making acumen and business acumen. Students deal with a novel situation, underpinned by four Sustainable Development Goals (reduced poverty, quality education, decent work and economic growth, and reduced inequalities) and are required to consider a broad range of historical and cultural nuances in a resource-constrained environment, to address the dilemma at hand.

This case study tracks the efforts of a non-profit company called Just Grace, which was established in 2012 in Cape Town. Just Grace’s mission is to uplift the Langa community, an underprivileged urban suburb in Cape Town, via educational, career development and social programmes. Just Grace’s programmes have achieved success in Langa. The dilemma now facing Just Grace is whether their existing model is transferable to a rural community in the Eastern Cape in South Africa.

The case study is aimed at both local and international postgraduate students studying an honours or master’s degree in a business-related field such as accounting or an MBA.

CSS 1: Accounting and finance.

Teaching notes are available for educators only.

Upon completion of the case study, student will be able to discuss valuation of new-age ventures and understand how it is different from the valuation of organisations with a longer history; analyse the considerations (quantitative and qualitative) while evaluating investments in new-age ventures; and develop a framework involving the various dimensions of investment readiness.

The fintech space in India has seen an upsurge of activities since 2016. The growth of Paytm, RazorPay and many such ventures and the drastic improvements in this ecosystem have been significant catalysts for this segment of new-age tech companies. Funding and valuations have seen a sharp increase, especially when businesses worldwide felt the after-effects of the pandemic, with India being home to a large number of unicorns, second only to the USA. Open Financial Technologies Ltd (OPEN TECH) is one such venture that claimed its spot as the 100th unicorn of India within a span of five years since inception. With a strong focus on disrupting the banking sector in India, this neo-bank aspires to be the equivalent of Stripe in India and eventually be a strong competitor in the international market.

Richard O’Neil is an active investor in the fintech space, based out of the UK, and he is currently looking to expand the market by considering investment options. In the process, Richard and his team have identified India as a viable and competitive market, as new venture support and funding are increasingly emphasized through policies such as Startup India, Make in India and many such more to sustain and propel its benefits. As the team was exploring ventures worth investing, Open Financial Technologies caught their attention. However, Richard, given his experience across fields and being a seasoned private equity investor, realised that valuing new-age companies is as much an art as it is a science. Multiple quantitative and qualitative aspects need to be considered while relevance of traditional valuation techniques to put a value on such entrepreneurial ventures is questioned. At this juncture, he finds it crucial to evaluate the investment readiness of OPEN TECH.

This case allows students to understand how valuation of new ventures is different from that of established companies and analyse the crucial factors worth considering while evaluating an investment proposal as a venture capitalist, which eventually helps shape the funding pitch of an entrepreneur in the space.

This case study can be useful for students undertaking graduate- and executive-level courses on business valuation and strategy and entrepreneurship, as well as entrepreneurial finance elective at the undergraduate level. One could use this case in courses on entrepreneurship and innovation, such as an introductory course on entrepreneurial finance and a course on venture capital and private equity. It also allows discussion on fintech and neobanking and the valuation of privately held companies.

Teaching notes are available for educators only.

CSS 1: Accounting and finance.

This case aims to introduce students to the social sector financing (internal and external) landscape, and its nuances. It specifically provides material to enable critical evaluation and decision-making around financing a for-profit social enterprise and its associated challenges.

The case highlights the fundraising options available to a social enterprise in an emerging economy like India. EnglishHelper Technologies Private Ltd. (EH) commenced operations in 2011 as a subsidiary of its parent Boston-based company, to provide technology-based learning solutions primarily to the underserved segments of the country’s population. Sanjay Gupta, co-founder and CEO, EH Inc., wanted to explore funding options suitable for the company’s next growth stage. The existing funding sources of equity from its parent company, grants and revenues (mainly from product sales to government schools) had worked well for EH in the initial years of its growth. But its financial performance was being impacted, and, additionally, further scaling up would require sources that could give a much larger quantum of funds and add support to EH’s operations. EH would also need to revisit its revenue model to strengthen its financial sustainability, by drawing lessons from the other prevalent ones in the ed-tech sector and make it more effective. The case encourages students to assess the various funding alternatives, internal and external, for a social sector private company with a for-profit model like EH, to enable it to achieve its scaling-up plans while serving its social mission.

The case is relevant for both undergraduate and postgraduate students and can be used in business administration programs.

CSS 1: Accounting and finance.

Teaching notes are available for educators only.

After working through the case and assignment questions, students will be able to recognize essential considerations for the initial public offerings (IPO) decision, compare different types of fundraising options for startups, evaluate the free pricing regime for IPO pricing, examine the pricing process of IPOs, explore the issue of valuation of IPOs and assess the decision choices of the founder regarding IPO given the trade-offs and market conditions.

The case study explores the dilemma of Ghazal Alagh, the co-founder and chief innovation officer of Mamaearth, a direct-to-consumer babycare and skincare unicorn, regarding its IPO decision. Mamaearth had filed the draft offer document with SEBI in December 2022, and Ghazal was busy engaging with the investment bankers for the upcoming IPO. However, the weak market sentiments and shelving of IPO plans by many startups were forcing her to think about facing the possibility of postponing the IPO or continuing the IPO process but at lower valuations. The case study provides an opportunity to explore a startup’s financing choices. It allows for discussion of various IPO challenges from the perspectives of founders, venture investors, regulators, investment bankers and new IPO investors.

This case study is best suited for senior undergraduate- and graduate-level business school students in courses focusing on entrepreneurship, corporate finance, financial management, strategic management and investment banking.

CSS1: Accounting and finance.

Teaching notes are available for educators only.

After completion of the case study, the students will be able to understand ABC analysis and develop a systematic approach using PDCA, analyze processes, technology, employee training and supplier relationships when analyzing shrink and developing solutions, evaluate how technology improves production inventory control and visibility and recognize the importance of fostering a culture of employee accountability and ownership to minimize inventory loss and improve overall operational efficiency.

On June 2, 2023, sitting in his office in Karachi, Pakistan, Khan Aamir, the manager of store and inventory at Euro Manufacturing, found himself immersed in a cloud of confusion. The incessant loss of inventory items, particularly the nut bolts and small accessories, had become a perplexing challenge. To address these losses and provide a cycle count report to the director of supply chain, Aamir, manager of store and inventory, was given the responsibility to take action. He was looking for a comprehensive approach to address the current problems and prevent further losses in the future. This case study examines the various reasons for the losses, including theft, inadequate inventory control methods, human error and problems with suppliers. It highlights the importance of established procedures, the use of technology (such as barcode scanning, radio-frequency identification tagging and inventory management software) and the cultivation of a culture of accountability among employees.

This case study is developed for class discussion in the course of operations management or supply chain management. This case study is suitable for use with undergrad students. This case study can be taught in a module on operations management or supply chain management, as part of a broader course in business management or industrial engineering.

Teaching notes are available for educators only.

CSS: 9: Operations and logistics.