Case Analysis Tip-Hrdm 423
Case Analysis Tip-Hrdm 423
CASE NO. 1 – (Please follow prescribed Case Analysis Guide as you analyze the case)
SIA Corporation
In the early years of the new century, it wasn’t hard to see that Pacific Plans Corporation couldn’t keep doing business
the old-fashioned twentieth-century way. Chief knowledge officer Jerry Santos fully realized he owed his new position in the
newly created knowledge management department to this challenge.
Headquartered in the Makati, Pacific Plans was an umbrella organization offering a wide range of insurance products to
commercial customers of all sizes throughout the country and, increasingly, to multinational corporations throughout the
world. Over the years it had diversified into various types of insurance by absorbing smaller companies until it now consisted
of more than 30 separate business units. Each had its own hierarchy, characterized by strong top-down administration and the
well-defined rules and procedures typical of the insurance industry; virtually every employee possessed specialized knowledge
about a narrowly defined market niche.
Upper-level management had given the matter considerable attention and conducted that Pacific Plan’s refined
division of labor into technical specialists needed to give way to a collaborative learning organization, one where employee
empowerment and open information made it possible for a single underwriter to be knowledgeable about a variety of
products. Jerry’s knowledge management department, housed within human resources, could make a contribution toward this
goal.
Jerry devised an elegant solution, if he did say so himself. He oversaw the development of software that allowed any
Pacific Plan employee to post a query, have that question directed only to those employees with relevant expertise, and then
receive an answer, often in a matter of minutes and usually before the day was out. The only hitch was that hardly anyone was
posting queries on the easy-to-use system.
Why? Rachel Reyes, a veteran Pacific Plans underwriter, clued him in. Especially after weathering a turbulent period,
one that had seen plenty of layoffs in the insurance industry, many employees viewed the restructuring as the first step in a
process that would lead to pink slips landing on their desks. Some employees, in fact, saw their own highly specialized
knowledge as a kind of job insurance policy. “I know that’s not what your knowledge-sharing efforts are about and that their
fears are unfounded,” she reassured him. “But you’ve got about 9,999 other employees who are at least willing to entertain
the possibility that sharing what they know isn’t in their interests.”
Questions:
1. What are some of the social, political, and economic forces that are influencing Pacific Plans’ decision to become a learning
organization?
2. If you were a specialist at Pacific Plans, how and why would you respond to the proposed changes? What steps would you suggest
Jerry take to increase employee utilization of the knowledge-sharing system in particular? How can he encourage Pacific Plans
employees to share information?
3. What general obstacles would you foresee in a company such as Pacific Plans trying to make the transition from a hierarchical, or
bureaucratic, general measures managers can take to smooth the way?
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CASE NO.2 - (Please follow prescribed Case Analysis Guide as you analyze the case)
Quirino Corrugated Parts & Services
Larry Quirino grimaces as he tossed his company’s latest quarterly earnings onto his desk. When Manila-based Quirino Corrugated
Parts & Services Co.’s sales surged past the P50 million mark awhile back, he was certain the company was well-positioned for steady growth.
Today the company, which provided precision machine parts and service to the domestic corrugated box industry, still enjoys a dominant
market share and is showing a profit, though not quite the profit seen in years past. However, it is no longer possible to ignore the fact that
revenues were beginning to show clear signs of stagnation.
More that two decades ago, Larry’s grandfather loaned him the money to start the business and then handed over the barn on
what had been the family’s Marikina Valley farm to serve as his first factory. Today, he operates from a 20,000 square-meter factory located
near San Mateo just a few miles from that old barn. The business allowed him to realize what had once seemed an almost impossible goal:
He was making a good living without having to leave his close-knit extended family and rural roots. He also felt a sense of satisfaction at
employing about 100 people, many of them neighbors. They were among the most hard-working, loyal workers you’d find anywhere.
However, many of his original employees were now nearing retirement. Replacing those skilled workers was going to be difficult, he realized
from experience. The area’s brightest and best young people were much more likely to move away in search of employment than their parents
had been. Those who remained behind just didn’t seem to have the work ethic Larry had come to expect in his employees.
He didn’t feel pressured by the emergence of any new direct competitors. After slipping slightly a couple years ago, Quirino’s
formidable market share—based on its reputation for reliability and exceptional, personalized service—was holding steady at 75 percent. He
did feel plagued, however, by higher raw material costs resulting from the steep increase in steel prices. But the main source of concern
stemmed from changes in the box industry itself. The industry had never been particularly recession resistant, with demand fluctuating with
manufacturing output. Now alternative shipping products were beginning to make their appearance, mostly flexible plastic films and reusable
plastic containers. It remained to be seen how much of a dent they’d make in the demand for boxes.
More worrying, consolidation in the paper industry had wiped out hundreds of other plants survivors either opening regional facilities
or entering into joint ventures abroad. The surviving manufacturers were investing in higher quality machines that broke down less frequently,
thus requiring fewer of Quirino’s parts. Still, he had to admit that although the highly fragmented Philippine. corrugated box industry certainly
qualified as a mature one, on one seriously expected Philippine manufacturers to be dislodged from their position as major producers for both
the domestic and export markets.
Quirino was clearly at a crossroads. If Larry wanted that steady growth he’d assumed he could count on not so long ago, he suspect
that business as usual wasn’t going to work. But if he wanted the company to grow, what was the best way to achieve that goal? Should he
look into developing new products and services, possibly serving industries other than the box market? Should he investigate the possibility of
going the mergers and acquisitions route or look for a partnership opportunity? He thought about the company’s rudimentary Web page, one
that did little beside give a basic description of the company, and wondered whether he could find ways of making better use of the Internet?
Was it feasible for Quirino to find new markets by exporting its parts globally?
All he knew for sure was that once he decided where to take the company from here, he would sleep better.
Questions
1. What would the SWOT analysis look like for this company?
2. What role do you expect the Internet to play in the corrugated box industry? What are some ways that Quirino could better use the
Internet to foster growth?
3. Which of Porter’s competitive strategies would you recommend that Quirino follow? Why? Which of the strategies do you think
would be least likely to succeed?
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CASE NO. 3- (Please follow prescribed Case Analysis Guide as you analyze the case)
Crowdsourcing
Last year, when Ai-Ai told her friend, Ben Chan, that Bench, a Makati based T-shirts manufacturer, was going to experiment with
Crowd-sourcing, he warned her she wouldn’t like the results. Now, as she was about to walk into a meeting called to decide whether to adopt
this new business model, she was afraid her friend had been right.
Crowdsourcing uses the Internet to invite anyone, professionals and amateurs alike, to perform tasks such as product design that
employees usually perform. In exchange, contributors receive recognition—but little or no pay. Ai-Ai, as vice president of operations for Bench,
a company specializing in witty T-shirts aimed at young adults, upheld the values of founder Chris Cruz, who like Ai-Ai was a graphic artist.
Before he sold the company, the founder always insisted that T-shirts be well-designed by top-notch graphic artists to make sure each screen
print was a work of art. Those graphic artists reported to Ai-Ai.
During the past 18 months, Bench’s sales stagnated for the first time in its history. The crow-sourcing experiment was the latest in
a series of attempts to jump-start sales growth. Last spring, Bench issued its first open call for T-shirt designs and then posted the entries on
the Web so people could vote for their favorites. The top five vote-getters were handed over to the in-house designers, who tweaked the
submissions until they met the company’s usual quality standards.
When CEO Robin Padilla first announced the company’s foray into Crowdsourcing, Ai-Ai found herself reassuring the designers
that their positions were not in jeopardy. Now Ai-Ai was positions all but certain she would have to go back on her word. Not only had the
crowdsourced tees sold well, but Robin had put a handful of winning designs directly into production, bypassing the design department
altogether. Customers didn’t notice the difference.
Ai-Ai concluded that Robin was ready to adopt some from of the Web-based Crowdsourcing because it made T-shirt design more
responsive to consumer desires. Practically speaking, it reduced the uncertainty that surrounded new designs, and it dramatically lowered
costs. The people who won the competitions were delighted with the exposure it gave them.
However, when Ai-Ai looked at the crowdsourced shirts with her graphic artist’s eye, she felt that the designs were competent, but
none achieved the aesthetic standards attained by her in-house designers. Crowdsourcing essentially replaced training and expertise with
public opinion. That made the artist in her uncomfortable.
More distressing, it was beginning to look as if Ben had been right when he’d told her that his working definition of crowdsourcing
was “a billion amateurs want your job.” It was easy to see that if Bench adopted crowdsourcing, she would be handing out pink slips to most of
her design people, long-time employees whose work she admired. “sure, crowd-sourcing costs the company less, but what about the human
cost? Ben asked.
What future course should Ai-Ai argue for at the meeting? And what personal decisions did she face if Bench decided to put the
crowd completely in charge when it came to T-shirt design.
CASE NO. 4 – For this case, disregard the prescribed Case Analysis Guide and just answer the assigned task after the case.
Initially, relate the case scenario in class before discussing your assignment.
Smelly’s Shoes
At 18, Angel Locsin began her career with Smelly’s Shoes, a shoe retailer, as a stock clerk. Her desire to interact with customers,
combined with knowledge of the shoes and their manufacturers, led her to apply and be promoted to floor salesperson within the
first six months. Today, six years later, Angel is Regional Manager of a four district area, with combined sales of 2.4 million
pesos, from 14 stores, and 143 employees. Sam Smelly believed that anyone, even his relatives, should start the same place he
did: at the bottom, then go as far as their energy, talent, desire, and abilities could take them. Promotion from within is
embedded in Smelly’s culture and heritage, believing that success comes from not only knowing your products, customers and
function, but also the company.
Smelly’s management expects employees to assume responsibility for their own careers and to let management know what
position they wish to hold, what they want to learn, and what their long and short term goals are. Such a philosophy isn’t for
everyone. There is a 22% turnover for new hires within the first year, but it drops to 3% for managers who have adapted to a
culture of such high expectations. Angel, impressed with your initiative as a part time student and part time employee, challenges
you with a special: Angel asks you to help her develop a new position titled “Human Resource Manager,” and suggests that if you
perform well in love the following special assignment, you may be on your way to fast tracking your career at Smelly’s too.
Specifically, she asks you to develop a job description, an advertisement for Smelly’s Shoe’s newsletter, and a job analysis for a
Human Resource Manager who will report to her at job grade 15. She would like to meet within one week to discuss the
descriptions, newsletter advertisement, type of job analysis used and why, and your internal recruiting suggestions.
You are to bring a rough draft for Human Resource Manager description and analysis to the meeting. Based upon your drafts an
internal search for best candidates will begin.
Assignment:
Prepare the following:
1. Job description (to include purpose, duties and responsibilities, work experience requirements, working relationships,
educational requirements, skills and competencies, expectations and success factors).
2. Describe the job analysis you will use and why.
3. Internal recruiting suggestions.
4. Create a sample newsletter advertisement.
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CASE NO. 5 - (Please follow prescribed Case Analysis Guide as you analyze the case)
The Supervisor
Karen Lowry, manager of a social service agency in a midsized city in Illinois, loved to see her employees learn and
grow to their full potential. When a rare opening for a supervising clerk occurred, Karen quickly decided to give
Charlotte Hines a shot at the job. Charlotte had been with the agency for 17 years and had shown herself to be a
true leader. Charlotte worked hard at being a good supervisor, just as she had always worked hard at being a top-
notch clerk. She paid attention to the human aspects of employee problems and introduced modern management
techniques that strengthened the entire agency.
However, the Civil Service Board decided that a promotional exam should be given to find a permanent placement
for the supervising clerk position. For the sake of fairness, the exam was an open competition---anyone, even a
new employee, could sign up and take it. The board wanted the candidate with the highest score to get the job but
allowed Karen, as manager of the agency, to have the final say-so.
Because she had accepted the provisional opening and proved herself on the job, Charlotte was upset that the
entire clerical force was deemed qualified to take the test. When the results came back, she was devastated.
Charlotte placed twelfth in the field of candidates while one of her newly hired clerks placed first. The Civil Service
Board, impressed by the high Score, is urging Karen to give the new clerk the permanent supervisory job. Karen
wonders whether it is fair to base her decision only on the results of a written test.
1. Ignore the test. Charlotte has proved herself and deserves the job.
2. Give the job to the candidate with the highest score. You don’t need to make enemies on the Civil
Service Board, and, after all, it is an objective way to select a permanent placement.
3. Devise a more comprehensive set of selection criteria—including test results as well as supervisory
experience, ability to motivate employees, and knowledge of agency procedures—that can be explained
and justified to the board and to employees.