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On completion of the case study, students will understand the following learning objectives: the characteristics of quantitative easing (QE) and when it may be appropriate to implement QE; how QE differs from a conventional bond purchasing programme; the impact of direct financing of the fiscus by the central bank on its independence; how the macro-economic and political environments affect and influence national economic policy; the difference between traditional and unconventional monetary policies and potential implications for an economy like South Africa. The learnings from this case study can be used in other global economic environments, particularly in emerging markets. This case study provides valuable insights into decision-making, institutional independence, policy coordination, deficit financing, causes and consequences of price inflation, risks relating to monetary instability and the correct application of monetary policy.

After the announcement of the COVID-19-related lockdown in March 2020 and the subsequent slow-down of economic activity in South Africa, the South African Reserve Bank (SARB) had to consider appropriate macro-economic tools to ensure both price and financial stability in South Africa. The macro-economic policy tools had to be considered in light of the South African economic context, which included acknowledgement of South Africa’s debt crisis and slow economic growth. The central bank responded by introducing the following measures: reducing interest rates to a record low of 3.5% to give consumers financial relief and to promote spending in the economy; purchasing government bonds in the secondary markets to stabilise financial markets; facilitating the loan guarantee scheme that was aimed at providing financial relief to small- and medium-sized enterprises; relaxing the capital and liquidity adequacy requirements that commercial banks are required to meet; and ensuring availability of liquidity to banks through facilities such as the weekly repo auctions. However, despite introducing these interventions, the SARB faced calls from politicians, analysts and academics to do more. Various commentators argued that the SARB could introduce QE and directly finance government spending by purchasing government bonds. Some commentators argued that the reluctance of the SARB to pursue these suggestions was a result of the close alignment and relationship between the SARB and National Treasury. The dilemma faced by Governor Lesetja Kganyago of the SARB was threefold, namely, whether it was appropriate for the central bank to pursue the initiatives and, if so, whether the bank could pursue them without compromising its independence, and if the introduction of those initiatives would not adversely affect the ability of the central bank to fulfil its mandate of price stability and financial stability. In this regard, the governor and his executive team were required to consider the long-term implications of introducing the initiatives on consumer price inflation, independence of the SARB and the appropriate use of monetary policy tools to fulfil the central bank’s mandate. But the question was: What policies should the governor favour?

This case study is based on various macro-economic theories. Therefore, it would be useful to teach this case study in macro-economic courses in the following programmes: master’s in business administration, bachelor of commerce, bachelor of economic sciences and business science studies, as well as on executive education programmes, which consider macro-economic policy. In general, students who undertake economics, business and general management, finance, legal, commerce and banking studies could learn from this case study.

Teaching notes are available for educators only.

CSS 3: Entrepreneurship.

The 12^th South Asian Games were held in India in Guawhati and Shillong in February 2016, after repeated rescheduling. There were a number of challenges to organizing the games such as lack of infrastructure, legacy of corruption from past games, shortage of time etc. However, the games were held within 90 days of the announcement of venues and final dates. Sri Yadav, the Secretary, Department of Sports wants to understand the key drivers of success behind organizing the event. He also wants to understand how the success of Indian athletes at SAG could be leveraged for success at larger events.

The Indian electricity sector was opened to the private sector under the IPP policy. The NTPC, India's largest and perhaps most efficient generator had to respond to the changing scenario. It set out to set up the Simhadri project in Andhra Pradesh, going beyond to original mandate. The IPP policy, its perversities, the background of the power sector, the problems there in and the response of NTPC are discussed. Case (B) discusses the issues related to Project Planning and Implementation.

International business and strategy, strategies in emerging markets.

This case can be used in undergraduate, graduate and executive education courses in international business, strategy management and strategies in emerging markets. Further, the case may also be useful to teach sub-topics such as fit between external opportunities and internal strengths (resources and capabilities) and new business model challenges.

Robert Bosch Engineering and Business Solutions (hereafter referred as RBEI) had been chosen by the Management of Bosch in India to engage in the Government of India (GoI) Smart City Business Opportunity. Dhiraj Wali, Vice President RBEI and the present head of RBEI Smart City Projects (RBEI/SCP) over the past few years had been prospecting the non-Bosch clients especially the GoI clients for RBEI. He understood the implications of this big-ticket business opportunity for RBEI. At the same time, he was worried about the complications involved in such large projects, how should RBEI position itself to make the most of this significant business opportunity?

The dynamics and internal challenges of an established captive division of a multinational (i.e. Bosch) venturing into business transactions with non-captive (i.e. non-Bosch) especially government sector clients. The new business opportunities facing a multinational in emerging markets such as India. Understanding the GoI Smart City Mission and its big-ticket business opportunity. To show how the captive units of MNC evolve over the years of operation leveraging, the competencies gained to succeed in the marketplace. The reasons for this range from internal needs to increase the gains from the past investments to exploiting the external business prospects available resulting in both new opportunities for specialization and customers.

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CSS 5: International Business.

The learning objectives have been prepared in accordance with the Blooms Taxonomy (Engelhart et al., 1984). After completion of this case, students would be able to examine and expand the concept of institutions (i.e. a sport as an institution in this case) and understand how important it is to incorporate them in the policy level decision-making (Knowledge); understand a different form of the social institution (i.e. Jallikattu) and capture its relevance for all the involved stakeholders by taking into consideration the challenges that could stem from their interplay (Application); analyze the interests of various stakeholders and their concerns that add to the complexity of a socially relevant issue (Analysis); and integrate the developments of an event (i.e. Jallikattu) over its timeline and develop an action plan for being prepared or for resolving such exigencies, especially for public policy decision making (Synthesis).

The case is centred on Senaapathy Kangayam Cattle Research Foundation whose primary aim is conservation and breeding of native breeds of cattle. The protagonist of the case, Karthikeya Sivasenapathy, managing trustee of this foundation, has invested significant efforts to create awareness on the importance of Jallikattu. Jallikattu is an ancient Indian sport played in the rural regions of Tamil Nadu state in India and has been in existence for over 5,000 years. This issue has come into limelight due to its initial ban by the Supreme Court of India in 2014 and its subsequent stay on the ban in 2016. While there are several arguments surrounding this controversy, the arguments can be broadly classified under those who support the ban (i.e. oppose Jallikattu) and those who oppose the ban (i.e. support Jallikattu). Due to the involvement of various stakeholders (government supreme court, animal welfare boards and breed saviour groups) with conflicting objectives, the dynamics of decision-making to settle this issue became very complicated, confusing and time-consuming for Karthikeya. By using the lens of institutions and stakeholder theory, the authors explain the issue around Jallikattu in this teaching note. Teaching note also documents the unfolding of events that happened after 12 January 2017 which succeeded in lifting the ban on Jallikattu.

The case is written for undergraduate and graduate-level students pursuing business programmes and for senior management professionals participating in the executive education programmes. The case is suitable for those who are expected to work in an environment where there is a multitude of complex, formal as well as informal institutions. This case can be used to teach the concepts of institutions, the dynamics involved and to give the flavour of the interactions between these different institutions in solving a social issue. It will fit well into courses on strategic management, social movement and institutional theory.

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CSS 1: Accounting and Finance.

This case provides an opportunity to discuss the design and implementation of a Public Private Partnership project. It describes the Delhi Airport Metro Express Line project from conception to completion, and the subsequent dispute between the Public and Private partners leading to the Concession Agreement going into arbitration. Students discuss the reasons for failure and come up with suggestions for another metro rail project currently in the design stage.

Supply chain management.

The case is suitable for post graduates in management, and for those managing small sector supply and manufacturing systems.

ACPL is an organisation which moved from trading to manufacturing a technology product instrument transformers (ITs) for power utility companies for 11 years, competing with the best in industry, reducing internal costs, and modernising the supply chain. ACPL was started as a trading organisation in electrical items in Delhi by Munish Kumar, an engineer by profession in 2001. In 2004 he ventured into manufacturing, which expanded in two locations in Ghaziabad, NCR Delhi. Later his two sons, engineer and management graduate, respectively, joined the organisation. In less than a decade, by 2007, ACPL had grown to be a private limited organisation. ACPL manufactures ITs required by power boards and companies for conversion and usage of high voltage (11 kV/33 kV) transmitted power into 220 V single phase/440 V three phase power. From tender/enquiry through manufacturing to inspection and despatch takes a long supply chain cycle time holding space as well as inventory. An interview with the chairman of ACPL in the case highlights issues affecting its margins and growth. The long process to delivery time may be in vogue in this type of industry but this holds up a huge inventory. The company management has been working to resolve this crisis along with an urgent need to grow in a competitive environment. The problem is being addressed.

This case study should help students to understand the concept of the supply chain and supply cycle, in a manufacturing company in particular. It has been found that students understand the supply chain as part of the marketing function dealing with finished stocks, warehousing and delivery to end customers as per agreements, and arranging payments from customers. The supply chain also deals with in bound materials management. Raw materials planning, purchasing, inventory management are crucial for effective business operations management in any organisation.

Teaching notes are available; please contact your librarian for access.

Nokia India Pvt Ltd (NIPL) was part of Nokia Corporation, Finland. In March 2013, the Indian Income Tax department accused NIPL of evading taxes amounting to USD 3.5 billion. Simultaneously, the market share of Nokia Corporation declined following increased competition from android devices. In September 2013, Nokia announced the sale of its global Devices and Services division to Microsoft Corporation. The Indian IT department freezed the assets of NIPL, disallowing transfer of assets and Microsoft excluded the Chennai plant of NIPL from the deal. In mid-April 2014, NIPL offered Voluntary Retirement Scheme (VRS) to its workers. Despite efforts by trade unions, the plant finally shut operations on November 1, 2014 leaving 30,000 direct and indirect employees jobless. The case discusses the labour relations impact in global manufacturing chains.

This case is a sequel to the “IndiGrid: Creating India's First Power Transmission InvIT (A)” case. It describes the deal that would replace the trust's original sponsor, Sterlite Power, with a new set of KKR-led financial investors. It provides an opportunity to discuss the consequences of this change on the new investment manager's outlook for management and future acquisitions. The new investment manager, freed from the limiting interest of the original sponsor, had to search for investment opportunities from the perspective of incoming financial investors, which included the new sponsor. It also provides an opportunity to evaluate the trade-offs in investing in operational utility-scale renewable energy assets by the IndiGrid, which had so far only acquired operational transmission assets in its portfolio.

The computerisation of a government department is a very challenging process as it involves multiple stakeholders and power centers. Stakeholder identification as well as designing a system specific to the needs of a particular department can be a complex process. The computerisation of a police department in ASWI was initiated in the mid 90s but had not been a success. The case illustrates the challenges of the computerisation process in a bureaucratic environment. With multiple touch points and interdependent processes, designing and successfully implementing a technology solution for such an environment could be a major challenge. The case provides an opportunity to understand the reasons for IT project failures. The managerial strategies that can make an IT project successful and the situations in which these strategies can also be discussed.