February 02, 2008 – Business Ethics Article Exxon Mobil and 2007: Record Profits Oil companies like Chevron and Royal Dutch Shell reported strong profits in 2007. Chevron, the second-largest American oil company, reported profits of $18.7 billion (increase by 9 percent compared to last year). Royal Dutch Shell reported the best figure ever for a [...]
Articles
From a sluggish Caterpillar to an alert CAT
January 27, 2008 – Business Management Article Chairman and chief executive of Caterpillar Inc, Jim Owens, expects to see record results again in 2008, in what he thinks will be a challenging year. But he hopes to see the world’s biggest maker of earth-moving equipment have all-time record results again fuelled by growth in markets [...]
GE’s Turnaround and Jack Welch’s straight talk
January 26, 2008 – Business Management Article “Jacked Up: The Inside Story of How Jack Welch Talked GE into Becoming the World’s Greatest Company” is a 315-page book written by author Bill Lane. Bill Lane is none other than Jack Welch’s former speechwriter. In his book Bill recounts how John Francis Welch Jr. (Jack Welch) [...]
HR Best Practices at FedEx, a Best Company to Work For
January 26, 2008 – Business Management Article FedEx (NYSE: FDX), is among the 100 “Best Companies to Work For” in the US announced by FORTUNE magazine and the Great Places to Work Institute. FedEx (the largest employer in 2008 list and only shipping company included) now figures in this list in 10 of the past [...]
Mattel, 2007 the year of the product recall and the rebound
January 31, 2008 – Business Management Article For Mattel, 2007 was dubbed “the year of the recall.” ‘How will Mattel fare in the aftermath?’, was a question put forth by many. Analysts were divided over whether the leading toy maker was able to handle the crisis situation effectively. About Mattel Mattel Inc (MAT), the world’s [...]
Ryanair the low-cost carrier with lower third-quarter profits
February 04, 2008 – Business Management Article RyanAir: The ‘Southwest’ of European Airlines in 2007 Download Case Study on Ryanair in pdf format The low point… Ryanair, Europe’s biggest low-cost carrier reported its third quarter results with net profits dropping 27 percent compared to a net profit of 48 million a year earlier. Ryanair cited [...]
Starbucks for a dollar, Storm in a coffee cup?
January 23, 2008 – Business Management Article Starbucks (SBUX) is famous for its frappuccinos and mochas and has always concentrated on premium coffee, typically costing more than £2 a cup. But now Starbucks Corp is testing $1 coffee and free refills. Starbucks says that this test is not indicative of any new business strategy. Well, [...]
Will restructuring help Starbucks Turnaround?
February 22, 2008 – Business Management Article Starbucks, the leading retailer, roaster and brand of specialty coffee in the world, has been struggling amidst a faltering economy, its own rapid growth (international expansion and growing presence in 43 countries) and increased competition from cheaper rivals. Starbucks wants to turnaround its business by providing customers with [...]
Of Wal-Mart price cuts, Struggling Retailers and Weak 2008 Retail Sales Forecast
January 29, 2008 – Business Management Article Wal-Mart Stores Inc (WMT) announced a price cut on thousands of items including groceries, popular electronics and other items. Price cuts range from 10 percent to 30 percent. Though Wal-Mart announces such price cuts during the holiday shopping season, this promotional move (just before the Super Bowl football [...]
A ‘Whirlpool’ of a result
February 05, 2008 – Business Management Article Whirlpool’s fourth-quarter results 2007 Whirlpool, the appliance maker announced its fourth-quarter results. Its net income rose 72% to $187 million up from $109 million, a year earlier. Revenue increased 7.5% to $5.33 billion from $4.95 billion. Gross profit margin rose to 15.7% from 14%. Chairman and Chief Executive [...]
Wal-Mart’s Marketside or Tesco’s Fresh and Easy stores in US
January 14, 2008 – Business Management Article Wal-Mart Stores Inc (WMT), the world’s largest retailer, will open small-format grocery stores named ‘Marketside’. These stores to be set up in Arizona will be roughly 20,000 square feet in size to begin with. This in comparison to Neighborhood Markets, Wal-Mart’s existing stores which are almost double in [...]
Nokia’s three-way strategy to capture the mobile music segment
Launching devices with advanced multimedia capabilities and that stimulate consumers’ imagination. Using the Internet, adding value to devices with innovative services like the Music Store and Comes with Music. These services offer the best possible mobile music experience to the customer. Providing the customer with the best updated/dynamic local content with suitable partnerships.
McDonald’s Pricing Strategy in India
McDonald’s in India McDonald’s began operations in India in 1996. The fast-food chain started making profits after it broke even in 2008. Reports suggest that McDonald’s two subsidiaries in India, Connought Plaza Restaurants based in New Delhi and Hard Castle Restaurants in based in Mumbai posted accumulated losses of Rs 189.19 crore and Rs 119 [...]
P&G’s Leadership Case Study – ‘Build From Within’
Succession Planning at P&G “If I get on a plane next week and it goes down, there will be somebody in this seat the next morning,” – A.G. Lafley, P&G’s CEO as quoted in Fortune magazine. Lafley took over Procter & Gamble (P&G) as CEO in 2000 and since then has been very successful in [...]
Corporate Social Responsibility (CSR) and McDonald’s
The chief electoral office of Delhi, India decided to launch a series of advertisements in April 2009 at McDonald’s retail outlets to encourage young voters for the Lok Sabha elections – the largest ever democratic process in the world. McDonald’s which has around 155 restaurants in India (including 35 in Delhi) is keen on the [...]
Restructuring challenges at electronics giant Sony
In December 2008, Japan’s Sony Corp. – the world’s second-largest consumer electronics maker – announced a few restructuring measures primarily aimed at changes in management and manufacturing. These include: A $1.1 billion savings plan in its electronics division Cutting 16,000 jobs Pulling out of businesses and limiting investment for savings of almost 100 billion a [...]
Nokia’s new Brand campaign and Manufacturing in India
Nokia in India – New Brand campaign In October 2008, Nokia, the world’s largest mobile phone maker launched a brand new campaign with the tagline ‘It’s not just a phone, it’s who we are’. Nokia selected Priyanka Chopra, former Miss World and current Bollywood actor, as the Brand Ambassador. The company believes the young actor’s [...]
Michael Dell’s Turnaround plan working
Dell posts higher-than-expected quarterly profit Michael Dell’s return and turnaround plans were paying off as the world’s No. 2 personal computer maker, posted higher-than-expected quarterly profit aided by strong demand from consumers and foreign markets and cost cuts. Last year, Dell had lost its spot as top PC maker to Hewlett-Packard (HP) and was struggling [...]
Home Depot and other retail chains slow down expansion plans
Home Depot, the largest home improvement chain in the United States has shelved plans to open 50 new stores as it battles hard with the housing slowdown and economic downturn. (The chain will still open the 55 stores it planned for 2008. But it will not build 50 stores it has had in the works [...]
Sony Ericsson Mobile Music Strategy not working
Sony Ericsson and low profit expectations in 2008 On March 19, 2008, Sony Ericsson warned of a sharp decline in profit expectations. The No.4 player in the cell phone industry cut its current-quarter profit forecast ($276 million) to less than half the year-ago level ($571 million). Reasons given were a slowdown in consumer spending on [...]
Jamie Dimon – The man behind JPMorgan’s Turnaround
Jamie Dimon (Dimon), president of JPMorgan is referred to as one of the best numbers men around, a Wall Street legend or the right-hand man to Sandy Weill – the titan of banking behind Citigroup. He is also known as an aggressive banker, savage cost-cutter, direct boss who eschews excessive wealth ($44.4 million or £22.2 [...]
Will Tesco succeed in the U.S?
The British are coming Tesco Group is UK’s biggest retailer and operates more than 2,500 stores in the UK and 12 other countries in Europe and Asia. For years, Tesco had plans to enter the U.S. retail market. It was believed that Tesco even looked into possibly acquiring key parts of the Albertson’s grocery chain. [...]
Adidas Reebok Merger Case Study
The sporting goods industry has seen many mergers and acquisitions (M&A) driven by rising competition and industrial growth. In 1997, Adidas acquired the Salomon Group for $1.4 billion. In 2003, Nike acquired Converse for $305 million and in 2004 Reebok acquired The Hockey Company for $330 million. Adidas and Reebok – Two mega brands, with [...]
Restructuring at Sears – Can the Retailer Turnaround its business?
Sears – Moving from centralized to decentralized management structure In 2005, Sears Holdings was formed with the merger of Kmart and Sears. When the merger took place, a centralized managed structure was essential to control costs and focus on integrating the two companies. But recent profit declines and its struggle to win customers from its [...]
Nokia and its Growth Strategy in China
The Chinese mobile devices market has grown tremendously since the 90s. Nokia has been trying to establish a strong presence in the Chinese market since mid 80s. Nokia has made significant investments in research and manufacturing facilities. In the Chinese market, Nokia faces stiff competition from global players like Motorola, Samsung and also from domestic [...]
Tesco takes on US WalMart
Tesco takes on US Wal-Mart Case Contents 1. Introduction – Tesco in US Retail Market2. Tesco – Company Background and Timeline3. TESCO at a Glance4. Localization Strategy – Tesco in South Korea5. Tesco’s Business Strategy in the US – Healthy food, No waiting6. Store Formats7. Financial Highlights8. Related Reading Download Case Study (in PDF format) [...]
Daimler Chrysler Merger and De-merger
Daimler Chrysler De-merger In early 2007, Daimler sold 80 percent of Chrysler to private equity firm Cerberus Capital Management LLC for $7.4 billion. This strategic move ended a nine-year merger. Daimler can now concentrate on its luxury Mercedes brand and its truck business. Daimler Chrysler Merger – Marriage made in heaven? In 1998, Daimler and [...]
HP and Compaq Merger
HP and Compaq Merger The failure of the merger between two leading competitors in the global computer industry, Hewlett-Packard Company (HP) and Compaq Computer Corporation (Compaq) failed as the synergies identified prior to the merger did not materialize. HP bought Compaq for US$ 24 billion in stock. This was the largest ever deal in the [...]
AOL-Time Warner Turnaround Strategy
AOL-Time Warner Turnaround Strategy The problem faced by Time Warner after its merger with AOL is an issue which merits discussion. The AOL-Time Warner merger in 2001 resulted in the largest media company in the world. AOL joined hands with Time Warner (TW) to create synergy between its online businesses and Warner’s media business. Two [...]
Wal-Mart in Japan Case Study
Wal-Mart in Japan The focus of this case study is the hurdles faced by retailing giant Wal-Mart in the Japanese market. In the early 90′s, Wal-Mart’s decision to globalize is a major focus area. Issues covered in the case study include: Download Case Study (in PDF format) Wal-Mart’s entry strategy in Japan WalMart’s best practices [...]
Management Case Studies: Writing a good Case Study
Management Case Studies: Writing a good Case Study A Plain English handbook by the US Securities and Exchange Commission in the late 90’s to help companies draft clear SEC disclosure documents emphasize the need for writing clear informative text. As Warren Buffett mentions in the preface, it is quite difficult to understand what the companies [...]
Apple Computers Channel Conflict Case Study
Apple Computers Channel Conflict In 2003, an Apple reseller, Tom Santos, filed a lawsuit against Apple Computers Inc. . The court case alleged Apple of showing undue preference to its own Apple retail and online stores. The lawsuit claimed that Apple Computers was neglecting Apple reseller stores while shipping new goods. Many believed the suit [...]
GlaxoSmithKline – Supply Chain Challenges
GlaxoSmithKline – Supply Chain Challenges – Part 1 Supply chains have improved drastically in the past ten to fifteen years. The revolution can be attributed to companies’ shift in focus to efficiency. This applies both to the supply and manufacturing operations. GlaxoSmithKline is an example in case. Its efforts in improving production processes and packaging [...]
GE and Jack Welch Leadership Case Study
GE and Jack Welch Leadership and Entrepreneurship Case Study John Francis Welch Jr. better known as Jack Welch needs no introduction as a successful entrepreneur and leader. Jack Welch took a company and transformed it into a world-class performer and the most admired one too. Jack Welch was the the CEO from 1981 to September [...]
Managing a Global Organization : Merger and Consolidation
Managing a Global Organization during Merger and Consolidation The foremost challenge for IT management teams as they develop and manage a global organization via merger and consolidation is to make certain the production teams of the merged entities keep up their present business at standard service levels. Typically, when mergers occur the operations/production teams find [...]
HR Practices – Human Capital Index Study
HR Practices – Human Capital Index Study A Human Capital Index study was conducted twice (1999 and 2001) by Watson Wyatt, a global human-capital consulting firm to understand the correlation between how organisations manage their human capital and its effect on their financial performance. The Human Capital Index study included analysing HR practices and financial [...]
Oprah Winfrey – Leadership and Entrepreneurship Case Study
Oprah Winfrey – Leadership and Entrepreneurship Case Study Oprah Winfrey’s skills as an entrepreneur are noteworthy. Oprah Winfrey is the Chairman of the Harpo group of companies. Oprah is a top television talk show host. How Oprah became one of the richest women and a successful entrpreneur in the world along with leadership qualities. Oprah’s [...]
Six Sigma Implementation Strategies
Six Sigma Implementation Strategies Begin with Lean Sigma: Begin with Lean Sigma if company requires quick implementation because most successful companies grow out of Six Sigma or Lean in parallel. Begin small: The best way to exhibit the value of implementing Six Sigma formally is to begin with a few small projects and uphold their [...]
Supply Chain Strategies to save costs
Supply Chain Strategies to save costs Outsourcing supply chain functions can enhance: • Cost reduction (10-20%)• Efficiency• Customer satisfaction• Revenues and• Competitiveness. One manufacturer was able to reduce its inventories by USD 1 billion, cut down on inventory holding costs by USD 124 million and reduce delivery times to dealers by 26%. Major areas where [...]
Poka Yoke – Mistake proofing
What is Poka Yoke? Poka Yoke is Japanese methodology for “mistake proofing” to avoid non-conformities from entering into processes. It allows defect detection and elimination at the source. It can also be used as a continuous improvement tool. In short, Poka Yoke is a methodology that ensures that Quality Management Systems (QMS) perform efficiently. Poka [...]
Leadership Best Practices
Best Practices in Leadership Leadership is defined as the abilities and the activities of the leaders in the company to inspire a culture of Business Excellence in achieving the objectives of the company. Some leadership best practices in leadership that are clearly visible: Rewarding performers not only on their financial results, but various other factors. [...]
Lenovo Globalization Strategy
Lenovo Globalization Strategy Slow and steady no longer wins the race. Globalization teaches Lenovo to embrace risk and leave a lumbering legacy behind.To go global Lenovo, the leading PC manufacturer in china took various steps like: Lenovo – globalization plans Lenovo is sponsoring the 2008 Olympic Games Lenovo acquired IBM’s PC unit Lenovo changed its [...]
GM e-Business Strategy
GM e-Business Supply Chain Strategy e-business strategy of General Motors (GM) the world’s largest automobile manufacturer. GM’s need to adopt e-business in its manufacturing supply chain operations. Supply chain and demand chain Dis-advantages of GM’s e-business strategy. GM factsGM brands includeBuick, Cadillac, Chevrolet, Daewoo, GMC, Holden, Hummer, Opel, Pontiac, Saturn, Saab, and Vauxhall. General Motors [...]
A Guide to Case Study Writing
A Guide to Student-Written, Instructor-Facilitated Case Writing by Paul Michael Swiercz, Ph.D. The George Washington University Student-Written, Instructor-Facilitated (SWIF) case study writing is a powerful tool for helping both students and instructors redefine their roles. The guide is divided into two sections. The first section provides background information on the case-study-writing process and answers the [...]
How to analyze strategy case studies :Resources
Analysing a case study requires careful thinking through the issues, considering a range of strategies and actions and recommending a “solution” to the case issues. The following books/resources will be helpful: Guide to case analysis, McGraw-Hill Preparing an effective case analysis / South-Western College Case studies / University of St Thomas, St Paul, Minnesota. Analysing [...]
Managing Innovation profitably- Xerox PARC?
Case in point- Innovation without Profit –XEROX PARC –Managing InnovationPARC was established in 1970 as the research division of Xerox Corp. Its goal – to invent the technology of the future. Till it was incorporated as a Xerox subsidiary in 2002, it spanned over 30 years. Notwithstanding its technical excellence, Xerox PARC failed to take [...]
Even Swaps make complicated decisions easy
No, even swaps do not make complicated decisions easy. A manager still has to choose the values to be set and the trade-offs he decides to make. However, even swaps do provide a consistent method for making trade-offs and a rational framework in which to make them. By simplifying and automating the mechanical elements of [...]
Even Swaps: A basis for business/corporate strategy selection
How to select the best business or corporate strategy? Apply Even Swaps. The answer seems very simple. But what are even swaps anyway. In a case study method or a real life business situation, there exist many strategic alternatives. But selecting a particular strategy which satisfies both corporate and stakeholder objectives is a crucial part [...]
What is SWOT Analysis?
SWOT ANALYSIS involves identifying the strengths and weaknesses, which are internal to the organisation and the opportunities and threats, which come from outside the organisation. Strengths ‘S’Strengths are those rudiments of the company that are useful and secure. For e.g. Company service that is well acknowledged by the customer Weaknesses ‘W’Weaknesses are those rudiments of [...]
How to analyse a case study?
Firstly, get a general feel. •Identify companies and industry sectors which are of concern? •How has the company performed in the last few years/ historically? Good, very good, bad, very bad or ugly.•How has the company progressed over a span of time? Which successful or failed strategies has it adopted/followed? •What are your primary assumptions [...]