Case studies

In 2007 Conseco's CEO, C. James Prieur, faced a complicated set of problems with his company's long-term care (LTC) insurance subsidiary, Conseco Senior Health Insurance (CSHI). CSHI faced the threat of congressional hearings and an investigation by the U.S. Government Accountability Office, triggered by an unflattering New York Times article alleging that CSHI had an unusually large number of customer complaints and was denying legitimate claims. This threat came in addition to broader systemic problems, including the fact that the entire LTC industry was barely profitable. What little profitability existed was dependent on the goodwill of state insurance regulators, to whom the industry was highly beholden for approvals of rate increases to keep it afloat. Furthermore, CSHI had unique strategic challenges that could not be ignored: First, the expense of administering CSHI's uniquely heterogeneous set of policies put it at a disadvantage relative to the rest of the industry and made rate increases especially necessary. Second, state regulators were negatively predisposed toward Conseco because of its notorious reputation and thus were often unwilling to grant rate increases. Finally, CSHI was dependent on capital infusions totaling more than $1 billion from its parent company, Conseco, for which Conseco had received no dividends in return. Faced with pressure from Conseco shareholders and the looming congressional investigations, what should Prieur do? Students will discuss the available options in the context of a long-term relationship between Conseco and state insurance regulators. Prieur's solution to this problem proved to be innovative for the industry and to have far-reaching consequences for CSHI's corporate structure.

After reading and analyzing this case, students will be able to: evaluate the impact of a regulatory environment on business strategy; and assess the pros and cons of various market strategies as well as recommend important non-market strategies for a firm in crisis in a highly regulated industry.

Trend Micro, an antivirus and Internet content security software provider, accidentally releases a flawed pattern file update that disables users' computers. The primary impact is on users in Japan, where 150,000 customers are affected. As the media press for answers and the stock price plummets, Eva Chen (CEO) and Akihiko Omikawa (president of Trend Micro Japan) must decide how to respond.

To consider a range of crisis management options, including apologizing, sharing information, and compensating harmed customers and illustrate the role of corporate culture in determining a company's response to a crisis. Trend Micro's strong customer orientation and collaborative culture guided its response and led to a full recovery in a short period of time.

International business, Strategic management

BA and MA; courses: International business, Management courses with special focus on emerging and developing countries, Intercultural management, Strategic management.

Freetown, Sierra Leone, West Africa, June 2013 – Representatives of the London Mining Corporation and Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH were discussing the details about the official launch of the From Mines to Minds project. The From Mines to Minds project consisted of two components technical, vocational and educational training at St. Joseph's and functional adult literacy for people who could not benefit from the upgrade of St. Joseph's in 17 communities around the mine site. Each of them had committed 200,000 euros to the project. While the mining company favored an early launch due to internal and external pressures, the development agency evaluated that they needed to have a consolidated program before advertising it locally and nationally. This joint decision on the official launch revealed more structural issues in the “fit” between these two organizations in this cross-sectoral partnership designed to contribute to local and national sustainable development.

The purpose of the case is twofold. The first aim is to introduce students/participants to the challenges that arise when entering into a cross-sectoral partnership with another organization in a development project. The second aim is to expose students to the operational, business and strategic challenges related to operating in the volatile local and national context of a least developed economy.

Teaching Notes are available for educators only. Please contact your library to gain login details or email: support@emeraldinsight.com to request teaching notes.

Public management, sustainability.

The case is suitable for undergraduate and masters' courses.

The case is about the dilemma between the lucrative economic profit from swiftlet farming and the invaluable heritage and social wellbeing of the residents in a world heritage city. In 2011, the United Nations Educational, Scientific and Cultural Organization (UNESCO) issued a letter to the Malaysian government expressing concern over the issue of the swiftlet industry in Georgetown, Penang. Swiftlet farming is a lucrative agriculture sector in Malaysia and is considered one of the key projects under the Malaysian Economic Transformation Program. Yet, this industry posed a threat to the well being of George Town due to its impact towards the city's heritage status. The operation of swiftlet farms in shop houses in George Town not only forces residents to coexist with thousands of swiftlets in the populated city, but also deteriorates the condition of its heritage buildings. A quick solution by the government authorities is needed in order to respond to UNESCO's enquiries. A fair consideration looking at the aspects of economy, environment and society is vital in ensuring the future of the city.

These include: understanding the complex issues of trade-offs between economic profit vis-à-vis the environmental social heritage; understanding and appreciating the conflicting governmental objectives and the way to address the conflicting demands of the stakeholders (NGOs, industry and business association and the general public); identifying and determining ways to align environmental interests with economic interests in order to formulate sustainable solutions; and formulating an action plan and providing practical recommendations to solve the problem.

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request 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.

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.

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.

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.