Hi there,
Welcome to this e-book on Case Studies.
Case Studies are one of the most interesting admission selection processes conducted by business
schools. Although case studies are part of the selection procedure for some B-schools only (IIMs and
top B-Schools like XLRI, SP Jain, NMIMS, and IMT Ghaziabad conduct case based GDs), it is important for
you to familiarize with them.
Handling case studies requires a combination of skills. You need to think on your feet and need to
showcase an ability to understand the contexts and scenarios provided to you. Once you have done this,
then you need to articulate your response to the given situation.
The purpose of this e-book is to provide you a holistic coverage of concepts for Case Studies.
This E-book contains:
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Concepts and tips for handling Case Studies
Solved Case Studies
Long and short Case Studies for practice
This e-book will help teach you how to handle case studies and will provide you with a framework to
handle this admission procedure. This is the ultimate guide for Case Studies and you should use every
piece of advice in this guide to make sure you craft the best possible answers.
Happy Learning....:)
Team Bulls Eye
What is a Case Study?
As is clear from the name, a case study is a real life situation followed by certain questions. The
Candidates are supposed to discuss the answers of these questions in the Group Discussion. The
Candidates will be provided with a set of facts about the situation. Generally, these real life situations
are related to business. They can be presented in the form of text, graphs, tables or charts. Candidates
are expected to recognise the crux of the problem and give solutions to solve it. B-Schools get an insight
into the candidate’s business acumen and analytical skills based on their response to the questions
related to the case. IIMs and top B-Schools like XLRI, SP Jain, NMIMS, and IMT Ghaziabad conduct case
based GDs.
The cases can be related to issues like increasing employee motivation or maximizing sales and profits.
Cases related to Ethical Dilemmas have also been asked frequently in a majority of B-Schools. Following
are two examples for you to get a clear idea about case studies:
Sample Case 1:
A young port engineer is proud to be the executer of a multi-million dollar repair of one of the ships
of his shipping company. But then he finds that the contracted firm has overcharged his company by
1/3rd of the original amount, which he then brings to his boss’s notice. Though the officials then set
up a meeting, they agree to split the amount and seem to him to be very cavalier about the entire
deal. He then realises that though the company respects his integrity, they will not do anything about
this (i.e. they are corrupt themselves). If he does not sign the passing order, he may lose his job, and
there were not many companies offering the kind of role he wanted. Also, he has an ailing mother.
What can he do now?
Sample Case 2:
An FMCG firm spends a good amount in giving training to its employees for skill enhancement. An
Engg+MBA with 6 years of work-experience and the training certification applies to another MNC,
gets a lucrative job offer and is deciding to quit as there aren't enough growth opportunities in this
organisation. His manager is in a fix as he is working on some project for 10 months and if he leaves
then he would have to find a replacement and the company’s money invested on his training would
also go waste. Discuss on what should be the policy guidelines for such employees? What should the
manager do and what should be the rules for such development programmes?
Skills Evaluated in a GD
A case study, just like a group discussion, is designed to assess certain group performance skills of an
individual. The difference stems from the fact that a Case Study tests a larger and slightly different skill
set as compared to a normal group discussion.
The following is a list of special traits, which the evaluators look for while assessing a candidate:
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Analytical Skills:
The core competence of an MBA is analysis of the situation: breaking down data, formulating it into
a pattern that makes sense and deriving an efficient conclusion or recommendation. You should
display this skill through targeted and accurate piecing together of the data while simultaneously
wrestling the group towards a solution for the case. After self-analysis, you should cogently present
the findings and recommendations for the group to discuss further.
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Quantitative Skills:
Some case studies involve working with numbers to reach an effective solution. In such a situation,
a quick calculation on rough sheet to present the relevant figures for the group will make you stand
in very good light with the evaluator.
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Flexibility:
This refers to the ability of the candidate to consider the opposing point of view in light of the
facts/figures presented in the case. There is no single solution to the case and thus a flexible
candidate should not leave out good options in his analysis even if they were presented with an
opposing point of view.
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Leadership Skills:
Leadership is demonstrated by taking charge of the discussion and trying to achieve a consensus.
The consensus does not have to be the best; instead, it should aim to incorporate all viewpoints.
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Presentation/Communication Skills:
Just like group discussion, effective communication forms an integral part of case study too. The
skills tested are: articulation in presentation, fluency, body language, eye contact and coherence.
Remember, when speaking, it is always better to take a small pause rather than babble!
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Behavioral/Personality traits:
The personality traits being evaluated during case studies are: attitude, well balanced conduct,
patience, team work, cogency and assertiveness.
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Goal Orienta�on:
This parameter is evaluated through the candidate's willingness to arrive at a solu�on and intelligent
use of other's content.
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Confidence:
Last but not the least, the level of confidence, pro-ac�veness and ac�on orienta�on form an
important part of a candidate's.
Action plan to handle challenges in case studies
Cases are certain illustrative situations depicting the profile and context of any problem. To make sure
you are able to handle a case study successfully, it is important to identify and develop a strategy. Case
Studies require a more analytical approach than a group discussion. Generally, the questions asked at
the end of the case study are a “trap” for the students. The symptoms should not be mistaken for the
root problem.
The following action plan should enable you to sail your way past the case study with ease:
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Situation/Context Analysis:
The first step in a case analysis is to go over the case line-by-line and jot down the relevant points,
facts and data. The aim of this exercise is to capture the crux of the case in brief. Both the internal
as well as the external factors relevant to the case should be elucidated. This analysis provides a
shape for things to come in further analysis. The factors external to a case , say, related to an
organization would comprise things like level of competition, market share, raw material prices,
tight labor market conditions, price-cutting, customer preferences, etc. The factors internal to the
organization comprise mainly of its labor policies, dispute-redressal systems, project approval
schemes, marketing strategy, capacity expansions, etc.
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The 'PACER' format for Case Analysis:
This standard format is applicable to most of the case studies. Some minor variations might be
needed depending on specific situations. It might not always be possible to fit the entire format to
a specific case; however, an attempt should be made to incorporate as much as possible. It usually
helps to write down the format headings on a sheet of paper and then fill in the details accordingly.
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P- Problem Definition:
The problem should ideally be defined in a crisp, single line, incorporating the most important
decision issue to be solved in the case. To have a better grasp of the problem, being
quantitative at this stage helps. An important thing to remember is not to mistake the
symptoms for the root problem. For example, a falling market share or a decline in sales is,
invariably, a symptom while the real problem may lie with the nature of the industry or the
quality of the product.
A- Alternatives Generation:
The next step is to list down the various alternatives to resolve the problem and achieve the
objectives set out in the case study. At this stage, all the alternatives that come to mind should
be listed even if an alternative provides only a part solution to the problem at hand.
Sometimes, this part solution can be later combined with some other alternative to provide a
complete solution.
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C- Criteria for evaluation of alternatives:
List down the parameters that are important to the solution of the problem at hand. These
parameters can be profitability, growth in market share, image, sales, etc.
E- Evaluate the alternatives:
This stage uses the criteria to evaluate the various alternatives generated earlier. The positive
and negative aspects of each alternative are to be kept in mind while evaluating the
alternatives.
R- Recommendations:
At the end of the analysis, provide recommendations to resolve the situation. Also look at
short-term as well as long-term implications of the recommendations in solving the problem.
Popular “Do's” and “Don'ts” in a case study
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Things to do:
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Take time to analyze and think through the case
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Weigh the pros and cons and various trade-offs between two or more choices
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Break down the complex problem into small, distinct pieces to enable better articulation
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Listen attentively, even to conflicting ideas, as they might provide part solution to the
problem
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Summarize the analysis periodically
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Be consistent, and not monotonous
Things NOT to do:
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Jump to a conclusion at the start
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Worry about speaking all the time
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Worry about not having specific industry knowledge
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Worry if you are not able to completely solve the case. Remember, the structure of
thoughts is as important as the final result
Solved Case Studies
Case I: CHEMCO CASE
Started in 1965, ChemCo is a leading manufacturer of car batteries in the U.K. market. Since then, it has
been under the charge of Mr. Jones, the founder-owner of the firm. In 1999, the company decided to go
for a diversification by expanding the product line. The new product was batteries for fork-lift trucks. At
the same time, Mr.Marek was appointed the Senior Vice President of marketing in the company.
However, soon after its successful diversification into fork-lift batteries, the sales in this segment began
dropping steadily. Mr.Marek wanted to introduce some radical changes in the advertising and branding
of the new business but the proposal was turned down by the old-fashioned Mr. Jones.
At this juncture in 2002, the firm is losing heavily in the fork-lift batteries business and its market share
in car batteries is also on a decline. Mr. Jones has asked Mr.Marek to show a turnaround in the company
within a year. What steps should Mr.Marek take to take the company out of its troubles?
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Some of the facts on the case are:
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ChemCo is a quality leader in the U.K. car batteries market.
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Customer battery purchases in the automobile market are highly seasonal.
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The fork-lift business was added to utilize idle capacity during periods of inactivity.
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This is a low-growth industry (1% annual growth over the last two years)
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Large customers are sophisticated and buy based on price and quality. Smaller customers
buy solely on price.
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There is a Spanish competitor in the market who offers low priced batteries of inferior
quality.
Situation Analysis:
Company:
o Established player in car batteries
o Losing heavily in fork-lift truck batteries
o Old fashioned owner resistance to change
Competition
o Low priced competitors
o Foreign competitors gaining market share
Customers
o High quality product, but low end customers care more about price than quality
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Problem Definition:
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Mismanaged product diversification in a price sensitive market
Alternatives:
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Alternative 1: Establish an Off-Brand for the fork-lift business
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Alternative 2: Educate the customer market about product quality
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Alternative 3: Exit the fork-lift battery business
Criteria for evaluation of alternatives:
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Establishing the firm's quality image
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Increase in market share
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Increase in sales
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Cost of the product
Evaluation of Alternatives:
Alternative 1
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Protect firm's quality image in the automobile industry
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Redesigned product to reduce the cost of manufacture
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Low price to enable it to compete with Spanish producer
Alternative 2
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Make use of the quality leadership in car batteries market
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Offer reliability testing, extended warranties etc. to promote quality image
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Set higher prices to extract surplus from these advantages
Alternative 3 and 4
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A passive strategy, not proactive
Recommendations:
Alternative 1 is recommended in this case. Since the firm operates in an industry which has low
growth, hence it can expand market share and sales only by taking the customers from other
players. Hence, it needs to tackle the Spanish competitor head-on by aggressively pricing its
product. At the same �me, launching a low-priced product under the same brand name erodes the
high quality image in the car ba�eries market. Hence, the best op�on is to go for an off-brand to
target the fork-li� customers who are increasingly becoming price sensi�ve. This will enable the
company to ward off the threat in short-term and build its posi�on strongly in the long-term.
Case II: NAKAMURA LACQUER COMPANY
The Nakamura Lacquer Company (NLC) of Kyoto, Japan, employed several thousand men and produced
500,000 pieces of lacquer tableware annually, with its Chrysanthmum brand becoming Japan's best
known and bestselling brand. The annual profit from opera�ons was $250,000.
The market for lacquer ware in Japan seemed to have matured, with the produc�on steady at 500,000
pieces a year. NLC did prac�cally no business outside Japan. In May 2000, (much to your chagrin!) the
ambi�ous and dynamic, Mr. Nakamura (Chairman, NLC) received two offers from American companies
wishing to sell lacquer ware in America. The first offer was from the Na�onal China Company. It was the
largest manufacturer of good quality dinnerware in the U.S., with their “Rose and Crown” brand
accoun�ng for almost 30% of total sales. They were willing to give a firm order for three years for annual
purchases of 400,000 sets of lacquer dinnerware, delivered in Japan and at 5% more than what the
Japanese jobbers paid. However, Nakamura would have to forego the Chrysanthemum trademark to
“Rose and Crown” and also undertake not to sell lacquer ware to anyone else in the U.S.
The second offer was from Sammelback, Sammelback and Whi�acker (henceforth SSW), Chicago, the
largest supplier of hotel and restaurant supplies in the U.S. They perceived a U.S. market of 600,000 sets
a year, expec�ng it to go up to 2 million in around 5 years. Since the Japanese government did not allow
overseas investment, SSW was willing to budget $1.5 million for the next two years towards
introduc�on and promo�on. Nakamura would sell his “Chrysanthemum” brand but would have to give
exclusive representa�on to SSW for five years at standard commission rates and also forego his profit
margin toward paying back of the $ 1.5 million.
What should Mr. Nakamura do?
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Situa�onal Analysis:
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The Nakamura Lacquer Company: The Nakamura Lacquer Company based in Kyoto, Japan
was one of the many small handicra� shops making lacquer ware for the daily table use of
the Japanese people.
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Mr. Nakamura- the personality: In 1948, a young Mr. Nakamura took over his family
business. He saw an opportunity to cater to a new market of America, i.e. GI's of the
Occupation Army who had begun to buy lacquer ware as souvenirs. However, he realized
that the traditional handicraft methods were inadequate. He was an innovator and
introduced simple methods of processing and inspection using machines. Four years later,
when the Occupation Army left in 1952, Nakamura employed several thousand men, and
produced 500,000 pieces of lacquers tableware each year for the Japanese mass consumer
market. The profit from operations was $250,000.
The Brand:Nakamura named his brand “Chrysanthemum” after the national flower of Japan,
which showed his patriotic fervour. The brand became Japan's best known and best-selling
brand, being synonymous with good quality, middle class and dependability.
The Market: The market for lacquer ware in Japan seems to have matured, with the
production steady at 500,000 pieces a year. Nakamura did practically no business outside of
Japan. However, early in 1960, when the American interest in Japanese products began to
grow, Nakamura received two offers
The Rose and Crown offer: The first offer was from Mr. Phil Rose, V.P Marketing at the
National China Company. They were the largest manufacturer of good quality dinnerware in
the U.S., with their “Rose and Crown” brand accounting for almost 30% of total sales. They
were willing to give a firm order for three eyes for annual purchases of 400,000 sets of
lacquer dinnerware, delivered in Japan and at 5% more than what the Japanese jobbers
paid. However, Nakamura would have to forego the Chrysanthemum trademark to “Rose
and Crown” and also undertaken to sell lacquer ware to anyone else the U.S. The offer
promised returns of $720,000 over three years (with net returns of $83,000), but with little
potential for the U.S. market on the Chrysanthemum brand beyond that period.
The Semmelback offer: The second offer was from Mr. Walter Sammelback of Sammelback,
Sammelback and Whittacker, Chicago, the largest supplier of hotel and restaurant supplies
in the U.S. They perceived a U.S. market of 600,000 sets a year, expecting it to go up to 2
million in around 5 years. Since the Japanese government did not allow overseas
investment, Sammelback was willing to budget $1.5 million. Although the offer implied
negative returns of $467,000 over the first five years, the offer had the potential to give a $1
million profit if sales picked up as anticipated.
Meeting the order: To meet the numbers requirement of the orders, Nakamura would
either have to expand capacity or cut down on the domestic market. If he chose to expand
capacity, the danger was of idle capacity in case the U.S. market did not respond. If he cut
down on the domestic market, the danger was of losing out on a well-established market.
Nakamura could also source part of the supply from other vendors. However, this option
would not find favour with either of the American buyers since they had approached only
Nakamura, realizing that he was the best person to meet the order.
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Decision problem: Whether to accept any of the two offers and if yes, which one of the two
and under what terms of conditions?
Objectives:
Short Term:
o To expand into the U.S. market.
o To maintain and build upon their reputation of the “Chrysanthemum” brand
Long term:
o To increase profit volumes by tapping the U.S. market and as a result, increasing scale of
operations.
o To increase its share in the U.S. lacquer ware market.
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Criteria: (In descending order of priority):
o
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o
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Risk criterion: Since the demand in the U.S. market is not as much as in Japan.
Brand identity criterion: Nakamura has painstakingly built up a brand name in Japan. It is
desirable for him to compete in the U.S. market under the same brand name
Flexibility criterion: The chosen option should offer Nakamura flexibility in manoeuvring the
terms and conditions to his advantage. Additionally, Nakamura should have bargaining
power at the time of renewal of the contract.
Short term returns: Nakamura should receive some returns on the investment he makes on
the new offers.However, this criterion may be compromised in favour of profit maximization
in the long run?
Options:
o
o
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Profit Maximization criterion: The most important criterion in the long run is profit
maximization.
Reject both: React both the offers and concentrate on the domestic market
Accept RC offer: Accept the Rose and Crown offer and supply the offer by cutting down on
supplies to the domestic market or through capacity expansion or both
Accept SSW: offer; accept the SSW offer and meet it through cutting down on supply to the
domestic market or through capacity expansion or both. Negotiate term of supply.
Evaluation of Options:
o
Reject both: This option would not meet the primary criterion of profit maximization.
Further, the objective of growth would also not be met. Hence, this option is rejected.
•
o
Accept RC offer: The RC offer would assure net returns of $283,000 over the next three
years. It also assures regular returns of $240,000 per year. However, Nakamura would have
no presence in the U.S. with its Chrysanthemum brand name. The RC offer would entail
capacity expansion, as it would not be possible to siphon of 275,000 pieces from the
domes�c market over three years without adversely affec�ng opera�ons there. At the end
of three years, Nakamura would have li�le bargaining power with RC as it would have an
excess capacity of 275,000 pieces and excess labor which it would want to u�lize. In this
sense the offer is risky. Further, the offer is not flexible. Long-term profit maximiza�on is
uncertain in this case a condi�on that can be controlled in the SSW offer. Hence, this offer is
rejected.
o
Accept SSW offer: The SSW offer does not assure a firm order or any returns for the period
of contract. Although, in its present form the offer is risky if the market in the U.S. does not
pick up as expected, the offer is flexible. If Nakamura were to exhibit cau�on ini�ally by
supplying only 300,000 instead of the an�cipated 600,000 pieces, it could siphon off the
175,000 required from the domes�c market. If demand exists in the U.S., the capacity can
be expanded. With this offer, risk is minimized. Further, it would be compe�ng on its own
brand name. Distribu�on would be taken care of and long-term profit maximiza�on
criterion would be sa�sfied as this op�on has the poten�al of $1 million in profits per year.
At the �me of renewal of the contract, Nakamura would have immense bargaining power.
Recommenda�ons:
Nego�ate terms of offer with SSW. The terms would be that NLC would supply 300,000 pieces in the
first year. If market demand exists, NLC should expand capacity to provide the expected demand.
o
Ac�on Plan:In the first phase, NLC would supply SSW with 300,000 pieces. 125,000 of these
would be obtained by u�lizing excess capacity, while the remaining would be obtained from
the domes�c market. If the expected demand for lacquer ware exists in the U.S., NLC would
expand capacity to meet the expected demand. The debt incurred would be paid off by the
fi�h year.
o
Con�ngency Plan: In case the demand is not as expected in the first year, NLC should not
service the U.S. market and instead concentrate on increasing penetra�on in the domes�c
market.
Practice Case Studies: Short
Q.In a public sector company, the workers are very lazy and do not do their allotted jobs in the
stipulated time. The vice-president calls the manager and questions him about the situation. The
manger says that the workers are bored with their jobs and their salary is not adequate. He is not willing
to take a decision. What should the V.P. do? Who is at fault? Devise a solution.
Q.A software company was entering a new area of MIS. This company had a good reputation in the
software areas. The company won a contract for MIS for a pharmaceutical company. The project was
scheduled for completion in one year. But after 8 months a large part of the project was incomplete. Not
completing the project on schedule will bring loss of face and litigation for the company. What should be
the company do?
Q.Mr. A works in a multinational firm where he is Senior Manager (Production). Recently, Ms. B was
appointed Vice President of the company, with Mr. A reporting to Ms. B. Due to some problem in the
production line, Ms. B requests a late evening meeting with Mr. A. When Mr. A goes for the meeting,
Ms. B makes some inappropriate advances on him. Mr. A promptly reports the matter to company HR
manager. The HR manager finds it hard to believe Mr. A's story and along with Ms. B, accuses him of
inappropriate conduct. The matter has leaked to the press and is causing bad publicity for the company.
What should the company do?
Q.A person with software skills gets a job in a hardware firm, on a temporary basis. He is not doing well
and is feared to be sacked within one year. His boss gives him letters of recommendation to apply
elsewhere. At the end of the year, when is to be thrown out, he files a case against the firm, showing the
recommendation letters. How will the company come out of this mess?
Q.Mr. X has a distinguished academic record and excels in sports and other extra-curricular activities
since childhood. He joined ABC as salesman. In the company it was noticed he was conceited and his
interaction with other people was not exactly cordial. He was indifferent to suggestions from superiors
and subordinates. However, he was a star performer as salesmen and always crossed targets, in the
time he had spent with the company. The company needs a new regional sales manager to improve the
performance of a loss-making region, should they appoint him?
Q.The M.D.'s driver had been with the company for 25 years. He was very good at his job. One day he
took the car home after dropping the M.D. late at night. While driving him, he accidentally kills a girl
crossing the road. Although it was not his mistake, the court punishes him. The personnel officer in the
company recommends dismissal. What should the company do? Retain him or fire him?
Q.A restaurant owner is currently setting up a new restaurant. For the restroom, he has three options:
paper towels, roller towels and hot air dryers. Dryers have an initial cost of Rs. 500 each and monthly
service charges of Rs. 100. Paper towels cost 5 paisa and the number of paper towels used varies
directly with the number of customers. Toweling rolls cost Rs. 5 per roll and will be changed daily. Which
option should the owner go for considering this is going to be a posh restaurant?
Q.Mr. A buys a two-storied house which already has two tenants residing in it. The tenants refuse to
vacate the premises even after notices and reminders. On court's order, the ground floor is vacated to
enable Mr. A to shift to his new house. However, the tenants on upper floor have made life a living hell
for Mr. A. The upper floor tenants have secured a stay order in the case. Mr. A's lawyers, in connivance
with the tenants, have suggested him to reach for a out-of-court settlement by paying hefty amount to
the tenants. Mr. A is unable to pay such a huge amount. What should Mr. A do?
Q.John was the personnel executive of a reputed bank and had been working there for 15 years. During
this period he had developed a good rapport with the subordinates. The subordinates commonly sought
his help for their personal problems. Frank was a clerk and had been working with the bank for the past
20 years. One day, Frank went to John and confessed to him an event of his past. He said that when he
was a teenager, he was caught stealing and had been sentenced to prison for 2 years. But he escaped
from the prison, when 6 months were left. This had been a secret since, but he often had nightmares
and he asked John to help him. John expelled Frank from the bank and handed him over the police.
When the Vice-President came to know about John's actions, he sacked John on the grounds that he had
breached the faith of the employee. John wrote a letter to the President explaining that he was not a
priest and so cannot be expected to remain confidential. Since Frank was a runaway convict he had
done his social duty by handing him over to the police. Moreover, it was company's policy not to employ
any ex-convicts. Since all his actions were justified, he should be reinstated. What should the president
do?
Q.Illingworth is an engineer in forging division of BAB, an engineering company. He has been working in
the organization for the last 6 years and has been consistently rated as one of the most innovative
employees of the organization. Illingworth came out with a proposal to import 2 forges from Germany
which could save a lot of money and increase productivity of the organization. The management gives
an in principle approval. Illingworth goes ahead and orders for the import. At the close of financial year,
Mr. Rarely the chairman gets to know that the financial position of the company is not sound and that
he has to curtail unnecessary expenditure. Mr. Rarely calls Illingworth and says that the management is
not supporting his project which is going to cost the company 4.5 Cr. Illingworth is held responsible for
the decision to import the forges. What happens to the project initiated by Illingworth?
Q.Litson, a textile company is relocated from Murray to Fairley due to high labour costs. It advertises for
posts at the new location and gets around 500 applications out which 260 were selected. Three other
companies in the same region lose their competent employees to Litson. They accuse Litson of foul
practices. One of the three companies which have lost its employees to Litson is a customer of Litson
and accounts for 18% of the market share of Litson's products. This company threatens to cancel all its
orders to Litson, if he doesn't restrain from poaching people from the company. What should Litson do?
Q.Co. A is the manufacturer of large jet engines in the U.S. with a 40% market share. The major
purchasers of jet engines are the commercial airlines. There is one major U.S. competitor and a potential
Japanese competitor who will not be able to enter the industry for another 10 years. The U.S
competitor's prices are below Co. A's but it delivers the engines in 3 months while Co. A does it in 2
months. Co. A is going into losses. What should the higher management do?
Q.A South India based food retailer is looking to expand into North India. The retailer has 15% market
share in South India, with three major competitors having 10-12% shares each. The rest of industry is
fragmented amongst smaller players. Two of the competitors already have operations in North India.
Our company has no experience of retailing n North India and a minimal knowledge of the region.
Should the company open stores in North India too?
Q.A lady by the name of Lata has been working in an insurance company for the last 5 years, joins a fast
moving consumer goods company. She is a very bright prospect and does outstandingly well in her
training period of one year and her colleagues during that period also vouch for that fact. After one year
of training, she is given charge of a small territory in which she does very well and is again praised by her
colleagues and supervisors alike. She is then given charge of a much larger territory after a few months.
Her supervisor after a time complains to the senior management that Lata has not been good at her job
and is finding it difficult to handle her customers. Even the person in charge of overseeing Lata's training
personally, reports that she is not performing well. Lata in turn complains that her job is going on
perfectly well and if there are any complaints it's because she is being victimized in the male dominated
atmosphere. The matter is then reported to the head office. What should head office do?
Q.M. Soft is a software co. established 6 years ago by PCC (a construction firm). PCC cannot give a very
high salary as it would not be consistent with their other business. The ultimate aim of MSoft is to enter
the export market but in 6 years they do well in the domestic market. MSoft decides to hire a firm
SYSQS to start a training program and to improve their business operations. SYSQS does a good job and
MSoft starts to reap the benefits in the form of several prestigious projects. MSoft employs 15 new
people. Then in the middle of a crucial project, two senior executives leave for better remuneration.
What should the GM of MSoft do?
Q.A fertilizer company, Pizza and Urea, is located near a village, Payamudirsholai on the banks of river
Pamba. One day, the villagers find fish dying due to fluid waste from the fertilizer plant. The community
makes a representation to the Govt. through their local MLA and fishing being the main source of
income for these villagers, Govt. issues an order whereby the fertilizer company is to be closed down
and they also have to pay compensation to the villagers, while the fertilizer company's contention is that
it is not due to their fault. The company manages to get a stay order on the govt. ruling from the High
Court. While, the social activists go to Supreme Court and hope for justice, common villagers suffer due
to the death of fish. Suggest a solution to the problem in the case.
Q.Chemco is a subsidiary of an engineering company with a turnover of Rs 75 Crores and a 15% bottom
line. It initiated implementation of an enterprise wide integrated software and systems solution and
hired the best consultant - Dramco. The scheduled budget was Rs. 2.5 crores and time frame was 2
years. At the end of 2 yrs, a committee was formed to review the implementation part. The MD found
that the project was only 40% complete and facing serious cost and time overruns. The top management
blames the consultant and the plant level managers and workers for the delay. On the other hand, the
consultant blames top management. Identify the problem and discuss the course of action.
Practice Case Studies: Long
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The Exotic Melons:
You are the manager (Worldwide Sales CB Melons) in a Dubai-based company that deals in
selling exotic fruits. CB Melons are a special variety of melons that can be cultivated only on
the sandy dunes surrounding the CB oasis in the Sahara desert. Worldwide demand and
supply have been quite stable so far at 100 melons a year, with the supply being just
sufficient to cover the demand.
CB Melons have traditionally been sold to the sheikhs in the Middle East, and Hollywood
and Bollywood actors and actresses. Their exorbitant prices take them out of reach of
common people.
In January 2002, the research centre at Punjab Agricultural University (PAU), India discovers
that CB melons can cure the fatal MarGaya syndrome in pregnant women, which kills both
the mother and the child. Also, it can cure the fatal MaraGaya syndrome in diabetic
patients. Both these symptoms are very rare. Unfortunately for you, in May 2002, the
MaraGaya syndrome strikes 2000 people in America and the MarGaya syndrome strikes
1000 pregnant women in Sweden. 100 CB melons are required to cure the 1000 cases in
America while 100 are required to cure the Swedish problem. You know that the patients in
both the countries cannot afford the high cost of CB melon treatment. You also know that
the revenues from treating patients would be much lower than selling them to sheikhs and
film stars.
You are in a real dilemma. What would you do?
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Confidential Information?
Mr. SecretKeeper is a Corporate Head (HR) in a company. He is very nice and gets along well
with all people. People often consult him for help and advice. One person (named “Mr. A”)
approaches him for a job because he is right now jobless. Mr. SecretKeeper takes the guy's
qualifications and asks him to come after a week however, since no job available. He keeps
frequently postponing the job offer. Mr. A keeps visiting the HR head, Mr. Secret Keeper,
often and becomes his close friend. Then, one day, Mr. A confides with the HR Head “I was
in prison for 18 years for a crime that I had not committed. With two years remaining of the
sentence, I ran away from jail. Even now, police is in look out for me.” Mr. SecretKeeper
tells the person to go home and that he would give him a job. However as soon as he
leaves, Mr. SecretKeeper calls up the police and gives the details of Mr. A and asks them to
arrest Mr. A. Because of this betrayal of trust by the HR head, people in the organisation
have started losing faith in him. A senior person in the office complains to the VP that the
Mr. Secret Keeper has “broken faith”, so others could not come to him.
Assume that you are the VP of the company. What would you do about the situation?
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In a fix!
You are the young dynamic, blue-eyed boy (girl) in a firm, which is a known leader in the
industrial oils business. Under your leadership, the company has done extremely well in a
slow, sluggish, mature market and has also effectively warded off competition from the
superior industrial oil segment.
However, as a young blooded individual, you decide that the company should branch into
something more glamorous and contemporary. You manage to convince the top
management to get into the film-making business.
The film-making business is started as another division, where the systems and processes
are kept the same to have uniformity across businesses. You manage to hire top talent in
this field Mr. A, Mr. B and Mr. C from different competitors. You have big hopes from the
trio as these people have come together as a team for the first time. You grant every
freedom to these people to recruit their own subordinates.
Barely a month after the film-making business has started, you are in a fix! Mr. B throws his
cap, sheds a zillion tears and tells you in a choked voice that he would rather die than
continue with your business. A couple of months later Mr. C blames your policies and quits.
Your six monthly profit and loss statement shows that film-making business had been a
horrific disaster. The only remaining member of the star trio, Mr. A says that the business is
slightly out of form and that he might deliver if you grant him complete freedom.
You can now see your own future as dark as the industrial oils your company specializes in.
You are wondering what went wrong and what should you do now?
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Tension on the job:
Sujit Bhattacharyya (Bhola) had been an exceptionally bright student throughout his studies
at IIT-Kharagpur. He devoted four years in pursuit of academic excellence. He had very few
friends. Few peers liked him, but he was the darling of all his professors. Bhola joined TELCO
from the campus as production supervisor in charge of vehicle assembly. Bhola used to
manage shop floor operations consisting of truck assembly and in a shift 30-33 operator
used to report to him. The IQ level of a typical operator could be compared to that of a class
VIII student, but years of experience had made them confident about their job.
The operators, by virtue of doing the same job for so many years, had developed a highly
robotic style of functioning and were highly resistant to change. The trade union was
powerful and exercised a lot of leverage with the management, to secure incentives and
overtime payment, which were fixed at a uniform rate across the departments.
Nilesh was an operator in charge of front axle assembly. The number of trucks that rolled
out of the factory was equal to the number of axles assembled. Thus, Nilesh was looking
after a highly sensitive assembly operation. Nilesh, lately, had lost a lot of money in the
stock market, had frequent quarrels with his wife and many times used to come drunk to
the shop floor. His abrasive behavior had caused a lot of worry to Bhola. Nilesh also started
absenting himself from duty and became casual in his approach. Subsequently, Nilesh was
transferred to the quality control department to reduce his physical workload. Bhola found
it very difficult to find a suitable replacement for Nilesh in the assembly area. He had to
frequently interchange workers who were unable to cope with the high pressure work at
the axle assembly. They deliberately started going slow, and thereby, affected productivity.
Bhola did his best to pinpoint the problem. He was under tremendous pressure from the
top to increase productivity to previous levels.
The workers started demanding additional incentives and overtime payments. The
management, on the other hand, was opposed to any change in the incentive structure.
Bhola was helpless. He tried his best and at times did the work himself. The workers,
sensing that Bhola had little control over them, became more aggressive and further slowed
their work. Bhola suffered an emotional breakdown and had to stay away from work for
two months.
Discuss what the main issues in the case are and what would be your approach in this
situation.
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The Dilemma!
You are the GM (HR) of a small firm involved in manufacturing and selling AM/FM radios. Of
late, sales of radios have declined due to emergence of TV, Cable etc. The main
departments are the production, marketing and accounting.
Bharat is a clerk in the accounting department. He has been with the company for 15 years
now. He knows the job well, but of late, is increasingly coming late for work. He is married
with two children and he cites family problems as the cause of late arrival on job. Every time
he promises to mend his ways, but has not done so till date.
Om is the production supervisor. He has been with the company since its inception 30 years
ago and commands a lot of respect from his workers. But, age is catching up on him fast.
Also, the much younger workers are increasingly questioning and resisting his authority. If
chucked out of the job, it might be difficult for him to find another job at his age. He is due
to retire in another two years. Jai is a young MBA in marketing from a major B-School. He
joined the company a year ago and started new advertising and marketing campaigns, at a
tremendous cost to the company. His plans met with initial success, but then the sales were
back to its initial levels. He handles the company's dealers in the northern region. But, his
initial success seems to have gone to his head. He increasingly feels discontented when
some of his new ideas are turned down by the higher management.
Jagdish is a marketing executive with the company for the last 6 years. Though not an MBA,
he was still hired for the job due to his sharp acumen. In the years to follow, with an
increasing mumber of MBA's joining the company, he was denied promotion last year. This
caused bouts of deep depression, from which he recovered after two months. After that, he
has been complacent in his work and sometimes even rude to the customers.
In a desperate cost-cu�ng measure, your company decides that it must reduce the
workforce as a first measure. These four are the possible candidates for job termina�on.
You, as a group, have to decide how many you will sack, which ones, and why?