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Ivey Publishing | Where the world looks for business cases

July 2012


IN THIS ISSUE:
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New Cases in Operations Management, Management Science & Information Systems
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New Cases in Operations Management, Management Science & Information Systems

The newest cases from the Ivey case collection are available for review. View New Cases for more details on cases registered in your discipline.

 

Half a Century of Supply Chain Management at Wal-Mart

A stock analyst is preparing a recommendation on what his firm, a large U.S. investment house, should do with its stake in Wal-Mart Stores, Inc. Wal-Mart, the world’s largest retailer, was trying to recover from a series of missteps that had seen competitors such as Dollar Stores and Amazon.com close the performance gap. Competitors had copied many aspects of Wal-Mart’s distribution system, from cross-docking product to eliminate storage time in warehouses, positioning stores around distribution centres, and widespread adoption of electronic data interchange (EDI), to manage ordering and shipping from suppliers.

 

There are several topics that can be discussed with this case:

  • Supply chain management
  • Sustainability of competitive advantages
  • Competition in global retail.

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HCL Technologies

In 2011, HCLT ERS (Engineering and R&D Services), a division of HCL Technologies, a global IT services corporation headquartered in New Delhi, India, had to devise next year's plan for the Engineering Out Of The Box (EOOTB) business concept that it had initiated in 2009, which transformed the division's ability to create "16 productized solutions" and to engage new and old customers in new revenue services. The productized solutions were heavily reliant upon IT platform-based solutions and services. The EVP, Global Sales, Engineering and Research Services (ERS), HCL Technologies, and the EOOTB team must consider the potential user experiences that ERS could gain from EOOTB in conjunction with its customers and its ecosystems (partners, collaborators, third party providers).

 

The case illustrates:

  • How the ERS division built on EOOTB's competitive advantage and the productized solutions to scale up.
  • What the potential new markets and user experiences that EOOTB could provide.
  • What new thought leadership positioning towards customers could be.
  • What the delivery ecosystems that would be necessary are, and how the team should execute.

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Strategic Sourcing at Whirlpool China: Finding the Ideal Supplier

It was April 10, 2011, when the head of Whirlpool’s Asia International Procurement Office in Shanghai was informed by his colleagues that the company was about to launch a new energy-efficient refrigerator model in just six months. For the new refrigerator model, the basic difference was in the motor; the current AC motor would need to be replaced with a DC motor, which was more efficient but also more expensive. He would have to find a suitable supplier of DC motors in a very short time. Delayed sourcing of components would cause delays in the production of a new refrigerator, and thus, a later launch of new products. Within the home-appliance industry, the fierce level of competition meant that any delays in launching new products would result in a loss of sales for the stragglers. How should Whirlpool go about the process of finding a suitable supplier for the required DC motor parts? Should the company explore the possibility of developing their current supplier, or should they quickly engage an existing supplier of DC motors?

 

The case study is written for a graduate or MBA course in purchasing and supply management or supply chain management, especially one related to setting up or designing a new supply chain. The case gives students a chance to develop their analytical and decision-making skills on a complex strategic sourcing decision. This case study should motivate students to think about the important dimensions of strategic sourcing in order to identify, evaluate and select the optimal supplier. Overall, the case involves the following issues:

  • Strategic sourcing: searching, evaluating and selecting suppliers.
  • Single sourcing versus multiple sourcing: pros and cons.
  • Technology sourcing versus raw material sourcing.
  • Supply risk management: hedging and alternative suppliers, mitigating supply chain disruptions.
  • Supplier evaluation and supply-balanced score cards, key performance indicators (KPIs), supplier performance measurement.
  • Supplier performance improvement and development.
  • Supplier quality management: total quality management (TQM), supplier certification (ISO 9001 and TS16949.

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It's Nice to Meet You!

We have enjoyed meeting so many of our loyal and new customers over the years and it was wonderful to see so many again during the ASAC and AIB conferences recently. Be sure to stop by the Ivey Publishing booth at any of the following conferences to learn more about our products and services or to just say hello!

 

Academy of Management – Boston, MA - August 3-7
American Marketing Association – Chicago, IL – August 17-19

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