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Operations Management Quality Management.

The case can be used in a number of course contexts, including undergraduate and graduate courses in operations management and quality management.

Central Tobacco Plant (CTP) is a tobacco processing and packaging company, operating in the Central America and Caribbean region. This case focuses on a waste measurement exercise conducted in the cigarette production department of CTP, which was commissioned by George Edwards, the Secondary Manufacturing Department Manager. The reason for the exercise was the announcement that CTP could possibly face a plant audit, where a poor result could cause the shifting of manufacturing of some products, or, in the worst case scenario, all of it product lines, to one of the larger, and more efficient manufacturing plants in the Central America and Caribbean region. The waste measurement exercise is carried out as a three-week student–industry project by two students pursuing an MSc programme at the local university, who are mentored by both Edwards and by a university supervisor. At the end of the exercise, Edwards needs to consider the appropriateness of the current waste measurement system, the quantities of waste produced and opportunities to reduce waste.

The case has four primary learning objectives: to illustrate the role of performance measurement in process improvement, to explore the perspective of lean manufacturing in waste management, to apply basic quality tools in the analysis of a manufacturing process and to identify opportunities for process improvement.

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CSS 9: Operations and Logistics

Upon completion of the case study, the students will be able to find the challenges and underlying structures that cause the problem; the students will be able to identify the dynamic variables and develop the interconnection and interlinkages among the time-delayed variables to build the story of the business case; the students could develop the block diagram and could build the system dynamics model using the simulation software STELLA, and if they do not have the simulation software, even then they could have a mental model to understand the problem well; the system dynamics students can design the policies to make the system better behaved and recommend solutions; and the students could make mind maps and develop the mental model and could recommend solutions and way forward to overcome the challenges and solve the issues.

Tradeasia is a small-scale manufacturing firm that had started its business activities near Sundar Industrial Estate, Raiwind, in September 2007. The company’s prime focus was to buy the potato starch from chips manufacturing companies and, then, extract the potato starch from the waste potato using its own machinery and sell it as a sizing agent to textile mills. Quality characteristics in terms of better millage and enhanced gullibility made it compatible with Rafhan corn-based starch. The major challenge linked to potato starch was its degree of wetness; the potato starch either extracted from rotten potato or procured from the potato chips manufacturing companies had a high degree of wetness and moisture content. Wet potato starch sometimes had more than 60% moisture content, which was really a challenge. Owing to the high degree of wetness, the wet starch was prone to fungus growth, and within hours, the fungus created toxins if it was not dried immediately, and then after 24 h, toxins acquired a black colour, and they became hardened like pebbles. The starch then was unusable even for sizing purposes for textile products. Reduction in the degree of wetness was really a big challenge and demanded prompt action and high productivity of the operational staff to make that product dry for sale purposes. This was the biggest challenge that ended up in huge inventories of wet starch. Capacity constraints and operational inefficiency killed the company’s productivity and affected the company’s profit.

This case study is written and developed for MBA and MS-level supply chain students of the system dynamics course or those studying management of supply chain complexities. This case study discusses the operational challenges while running the business; huge inventories, capacity constraints and inefficiency in production operations were the challenges associated with almost all manufacturing industries. This case study discussed not only why such challenges are appearing in the business but also the solution that resided in the wisdom shared by the employees in the board meeting. An integrated system dynamics model could be used to design the policies to overcome such challenges. Even the block diagram of the model and causal loop diagram could help to conceptualize the problem and explore the way forward.

Teaching notes are available for educators only.

CSS 7: Management science.

Operations management.

This case study is intended for MBA, final year industrial engineering and 1st year PhD students, for use in graduate engineering, post graduate and executive level management programs. The case study illustrates operational and participative management control system in a matrix and flexible organization structure.

Satish Arora (CEO) and Praveen Arora (Director Finance), a husband and wife team, own and operate Go-Goal Hydro Power Ltd (Go-GoalHPL) as a small medium enterprise (SME). Go-GoalHPL renovates hydro power generating machines up to 250 MW rating. Their current renovation/overhauling projects are located at different sites in India. Go-GoalHPL has grown its business by pursuing new avenues that include execution of major renovation projects and construction of new projects on a turnkey basis. Go-GoalHPL's management, despite their on-going successes, are concerned about severe capacity shortages if immediate actions were not taken. They have identified three capacity expansion options: continue current operating practices and obtain additional production space; undertake a make-versus-buy study and consider outsourcing parts; and implement world-class manufacturing techniques through adoption of focused factories. The first two options represented simple incremental changes while the third presents a radical alternative that required a major reorganization of the company operations and support functions.

These include knowledge about competitiveness, corporate survival, sustainable business, operations management, productivity, performance.

Teaching notes are available for faculty. Please consult your librarian.

Through this case, participants will be able to:

▪ understand the different approaches to preparing operating budgets;

▪ classify the costs based on traceability to its cost centres;

▪ understand the difference in budget preparation and its analysis under different cost centres;

▪ put together the required information, identify the format and prepare major operating budgets; and

▪ evaluate operating budgets and give suggestions to the company based on budget analysis.

This case is about a manufacturing company that is going to introduce a budgeting system. It highlights the process of information collecting from key employees for budget preparation. This case also deals with various decisions to be made during the implementation of the new system such as the context of budgets, cost units and sequence of budgets.This case will help students to enhance their understanding of the operating budgets. The students will able to visualize the difficulty faced by companies to implement a new system.

This case is applicable in the courses such as Master of Business Administration, Master of Commerce or other postgraduate studies. This can also be discussed in professional courses such as Chartered Accountants, Certified Management Accountants, Company Secretaries, Institute of Cost and Works Accountants of India and Chartered Financial Analysts.

Teaching Notes are available for educators only.

CSS 1: Accounting and Finance.

“Samsung Electronics had experienced a series of quality-related problems, including the recall of one of its LCD TV models. Unfortunately for quality director Kevin Sarni, there was no single root cause behind these problems: Samsung's supply chain management, product design, and testing/quality assurance functions all played a role.

Sarni regularly worked with quantitative data from Samsung's customer complaint database, but recently he had been shown comments about Samsung products posted on the website ConsumerAffairs.com. The number and emotional tone of the website postings concerned him; he worried these kinds of complaints might touch off a social media—fueled public relations firestorm that would make his job more difficult.

He wanted to analyze this feedback, but had no experience with qualitative data. An internal Six Sigma Black Belt consultant suggested he start by creating an affinity diagram and use that to create a Pareto chart to determine which issues to address first. Once Sarni completed the unfamiliar diagrams he had still another task ahead of him: examining the results to see if they justified taking short—term action to address the quality problems raised in the complaints.”

After analyzing the case, students should be able to:

• Organize and analyze qualitative data using affinity diagrams

• Identify priorities using Pareto charts

Organize and analyze qualitative data using affinity diagrams

Identify priorities using Pareto charts

The case reinforces the importance of approaching problem solving in a methodical and data-driven manner and demonstrates the power of visual (vs. table-driven) tools.

Manufacturing, Western management theories and Japanese management practices.

This case can be used in project management or management-related courses at tertiary institutions at Undergraduate and Postgraduate level.

This case provides students with an opportunity to find out what make Toyota so successful in manufacturing through its famous production system as well as the underlying Toyota Way principles. All students are expected to understand the Toyota Way model with a balanced view that goes beyond a set of lean tools such as just-in-time. This case opens a historical account for the Toyota Way model by connecting with possible Western management theories and Japanese management practices.

It is expected to significantly benefit students with industry experience with the intention of initiating appropriate changes in their own industry and/or organization by applying what they have learnt from the Toyota Way, through bridging with Western management theories.

Teaching notes.

On a fine afternoon in January 2015, Divakar Kaza, President, Human Resources, at Lupin Ltd., took a sip of coffee from his cup, and shared the good news he had just received, with Rituraj Sar, head of Learning & Development. Lupin had just won the ‘Outstanding Company of the Year’ Award at the CNBC-TV18 India Business Leadership Awards, 2014-15¹. The accomplishment was heartening, given that it reinforced similar recognitions in the recent past. Lupin had won the NDTV Business Leadership Award for the Indian Pharmaceutical Company of the year in 2012, backed up by the same acclaim in 2010 by Frost & Sullivan².

Human resource management and leadership development.

MBA course on Human Resource Management.

This case present the talent management practice at Steelcase. It highlights the approach taken by the company in managing its high performers. The approach taken by Steelcase links leadership development with performance management and succession planning. It also describes the distinct characteristics that make the approach taken by Steelcase different from other companies that implement talent management. This case presents policy options that companies can consider in developing a talent management program.

Understand and describe the interconnection between various talent development activities. Compare and assess policy options in developing talent management programs. Analyze how Steelcase nurture a high performance culture among its employees. Describe the leadership behaviors Steelcase is seeking to develop among its leaders.

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Industrial Relations and People Management.

Graduate or Postgraduate level, Executive working in manufacturing sector.

This case highlights the industrial relation issues in a public sector undertaking, a government-owned company in India. The case depicted the issues taken place in the company in the year 2015-2016. The primary data were collected by a working professional, who dealt with and was involved in the scenarios discussed in the case. Other modes such as in-depth interviews were also taken as per requirements. This case also highlights the importance of roles of unions and association in these organizations. Factors which are important to maintain industrial harmony were analyzed and their perspective with respect to production loss were addressed.

Every employee must be dealt with in a dignified manner with rationale. Hierarchy is required to be in place but doesn’t need to be authoritative. Be communicative and transparent while taking action. There should be no compromise on indiscipline at workplace and decision to be taken accordingly. Manage conflict by involving all the concerned authorities from outset. The analysis of the case shows that if the rationale was followed while managing the people it will lead to industrial harmony. Role of trade unions and association will prove beneficial as they will become a part of creating a solution in the matter of discords, ensuring growth for the company and its employees. It is important to mention here that the case was developed on the basis of the first-hand experience of the author.

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

CSS 6: Human Resource Management.

In 2003, ITC responded to the high level of obsolete inventory by shifting risk from finished products to manufacturing and raw materials. This required that their supply chain be much more flexible and responsive than it was in the past. By 2006, changes in the supply chain that included moving manufacturing in-house improved flexibility and responsiveness. Obsolete inventory was significantly reduced and the company was much better at matching supply and demand. Cost, however, continued to be higher than that at third parties. The company had to decide on the appropriate tradeoff between cost and responsiveness when structuring its supply chain.

The case illustrates how Wills has changed its supply chain to become more flexible and responsive. This change, however, has come at a cost. The case requires the students to analyze the tradeoff between cost and responsiveness/flexibility to decide on an appropriate level of flexibility/responsiveness. The case also requires the student to understand the relative value of increased flexibility versus increased responsiveness.