Norwegian School of Management: Management Control
Lecturer: Hanno Roberts
Authors: Aqsa Butt
IRIZAR is a luxury coach builder and a part of large Co-operative Corporation (MCC) with share holdings in five other countries. It went through crisis in the 1990s as a result of changes in internal and external environments. To survive in the crisis and regain competitiveness in the market place, Mr. Saratxaga was appointed as the new leader of the company. He made revolutionary changes (i.e. change in mission and business model through participatory management) and was able to achieve trajectory growth rate in sales and expansion into other countries.
The key elements of Irizar’s business model included: flat organization (with decentralized autonomy of responsibility and control of own goals), value proposition (i.e. how value was delivered through human resources structure and its value networks), Target market segment (i.e. focused on luxury coaches in premium market), values chain activities (i.e. inter-play of interaction and communication between employees, teams, customers and suppliers in service delivery), Partner Networks (i.e. communication and distribution channels in the network) and Core competencies (i.e. leadership skills, recruitment process and incentive system). The features interconnect to create a network focused on building capacity for innovation, which created long term learning for Irizar.
For Irizar to sustain the business model for long term growth however, it needs to make some choices. For example, they should implement control systems e.g. accounting controls and object controls like personnel controls, action controls and cultural controls for proper allocation of resources and responsibilities, and also steer the direction of the company towards its goals. Other choices available include performance management tools like balance scorecard to communicate the strategy within and across units of the partners in the network. Lastly, interactive control system and social network analysis (SNA) can be implemented to respond to uncertainties that may evolve within the network and especially as the company grows. These control systems however require training, motivation, commitment, clearer communication channels to make them workable. Table of content
1What are the features of Irizar's business model?4
1.1.1Figure 1: Main Features of Irizar Business Model.4 2What allows this business model to work?5
2.1Management Control System5
2.1.1Figure 2: Management Control Systems6
2.2Performance Management Systems6
2.3Interactive Control System7
2.3.1Figure 3: Sample of a proposed Social Network Analysis (SNA) at Irizar7 2.3.2Conditions7
3The interconnection of the business model‘s features, and why it has worked well8 3.1.1Figure 4: Interconnectivity of Irizar Business Model Features (adapted from 7-S McKinsey Model)8 4The role of innovation in the business model and in its enabling conditions10 4.1.1Fig. 5: Roles of Innovation in Irizar’s Business Model.11 5References:12
What are the features of Irizar's business model?
The features of Irizar’s Business Model determine the critical factors which influence strategic changes in the company. These features are interconnected based on the 7-S McKinsey model described in the figure 4 in agreement with Forcadell. F.J et al (2002), on the Knowledge Management Strategy of Irizar.
Based on the case analysis, the main features are presented (see figure 1 below) critical to value creation in the delivery process. In effect, they interact to form the corporate culture or the shared values that the people stand for and believe in.
1 Figure 1: Main Features of Irizar Business Model.
...Business Case Development Guidelines
Any request for funds in support of activities that are essential to a business unit's base activities may be considered for incremental program funding and are driven in response to:
Documented user needs
Work process changes
Information systems changes
Significant network or technology enhancements
Quality and service improvements
Major operating efficiency improvements
Market, Technical or concept trials
The Business Case should answer the following questions:
What is the opportunity/problem you are trying to solve?
What is the desired result you are looking for?
What is the nature of the improvement?
What must be invested to get the desired result?
What are the new production operational costs?
What are the spending reductions, revenue improvements or profit improvements?
What are the qualitative benefits, such as customer satisfaction, strategic value, cycle time improvements, etc.?
What are the concerns or risks?
What is the exit strategy if an initiative is not returning investment?
Should be in the form of a business case or proposal for market or technical trial funding.
Submission should be able to adequately substantiate the request for incremental funding by establishing the:
Need for funding
Benefits to be derived
Corporation's ability to execute the program
...Global Business Case Study – ALDI
This report will discuss the nature of ALDI, investigate the classification of ALDI, outline the responsibilities ALDI has to its stakeholders and explore the internal and external influences that have contributed to ALDI achieving business success within Australia. It will also evaluate the expansion of ALDI into Australia and give a recommendation of strategies that would be appropriate for ALDI to ensure future growth.
The nature of ALDI’s business
ALDI is an international “cut-price” grocery company that has been operating for over 50 years first opening in Germany (ALDI, about ALDI Australia); ALDI opened its first store in Australia in January 2001 and now has over 300 effectively operating stores across Australia. ALDI prides itself on ensuring that 100% of their profits are reinvested back into the Australian business. ALDI aims to provide consumers the opportunity to buy ordinary groceries at a high quality but for a low price.
The classification of ALDI
ALDI is large global corporation that has created over 4,500 jobs within Australia. ALDI is positioned within the tertiary industry sector as it’s supplying a service and a product for the Australian consumer. ALDI Pty Ltd indicates that it’s a propriety business stating that it’s a private company with limited liability.
The responsibilities ALDI has to its stakeholders
ALDI has large responsibilities to its stakeholders and aims to...
...Case Assignment 1 (23rd September, 2014)
Due: 15th October 2014 in class
Centre for the Arts (Case 6 in the case book)
Case Questions: (You do not have to answer them in Q&A format. Please read the note: “How to write an analysis of a case”)
1. As Erin White, what recommendations would you make that might result in achieving break even for the scheduled Halo performance?
2. As Erin White, what recommendations would you make to improve seat revenue for the following two theatrical performances?
3. As Debbie Slade, what role do you think theatrical performances should play in future programs? Explain.
4. What should Debbie Slade do?
Please read the note “ How to write an analysis of a case”
Cases will be evaluated as if teams are in a work situation and have been given the responsibility by senior management to analyze a marketing related business situation and to develop recommendations for the business.
Generally, cases will be graded on the following criteria:
• Quality of analysis
• Application of marketing and business terminologies/ theory
• Adherence to the requirements
All cases, unless otherwise specified, are to be submitted typewritten (letter quality). 12 pts. Times New Roman, 1.5 spaces on 8 ½ x 11 inch white paper with one inch margins. Only stapled hard copies will be accepted. Maximum 6 pages (excluding exhibits).
Cold case investigation is a growing concern due to increased numbers of unsolved cases and pop culture appeal. This paper will walk you through what a cold case investigation is, how one begins, and factors such as the use of volunteers can effect the outcome of a cold case investigation. Each year the number of unsolved cases in the U.S. goes up, but with limiting funding and lack of manning something has to be done to keep the numbers down. A dedicated cold case unit is the best answer to this problem.
Cold Case Investigation
Approximately one-third of all homicides in the United States are not cleared within the first year of being committed. These cases are dubbed cold cases after active investigation has been terminated for any of several reasons. If investigators lose the trail or cannot come up with enough evidence, witnesses, or a suspect the case may be closed. More important or high publicity cases may become a priority and with lack of a trail a case is closed. These cases can be placed on a back burner until time and manning is available to conduct a more thorough investigation and continue where previous investigation left off. The low clearance rate has also been attributed to the number of experienced...
The court has a duty to actively manage cases pursuant to rule 25(rule of civil procedure 2000)…..
what is the overriding objective of managing cases?
* (1) These Rules are a new procedural code with the overriding objective of enabling the court to deal with cases justly.
* (2) Dealing with a case justly includes, so far as is practicable –
* (a) ensuring that the parties are on an equal footing;
* (b) saving expense;
* (c) dealing with the case in ways which are proportionate –
* (i) to the amount of money involved;
* (ii) to the importance of the case;
* (iii) to the complexity of the issues; and
* (iv) to the financial position of each party;
* (d) ensuring that it is dealt with expeditiously and fairly; and
* (e) allotting to it an appropriate share of the court’s resources, while taking into account the need to allot resources to other cases.
Application by the court of the overriding objective
The court must seek to give effect to the overriding objective when it –
(a) exercises any power given to it by the Rules; or
(b) interprets any rule subject to rules 76.2, 79.2 and 80.2.
Duty of the parties
The parties are required to help the court to further the overriding objective.
Court’s duty to manage cases
(1) The court must further the...
...UNDERSTANDING THE CASE PROCESS
The purpose of this section is to help you to understand what a case is and how you, as a student of business, can more effectively prepare your answers and benefit from a case discussion.
The material covered in this section includes:
1. Understanding what a case is.
2. Reading a case effectively.
3. Analysing and preparing for a case discussion.
4. Reporting your case findings.
5. Discussing the case.
1. Understanding what a case is.
Socrates, the teacher-philosopher, used questions rather than statements of fact, to lead his students through the reasoning process. As a student we can try and help you learn in several ways, and the case approach does much the same thing that Socrates did by asking questions. You, as the student, are not told the answer to a problem, but will have to build your own solution. This is a type of active learning where your instructor will guide you in your case discussion to the point at which you discover the solution for yourself.
So cases are a problem-solving situation. You are given a story, based on a real business situation, and then you are asked questions or posed a problem based on the situation outlined in the case. Some cases are short, and focused on a very...
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...CASE STUDY WORKSHEET
This form can be used to organize your thoughts about a case. As you perform your analysis remain open to the
fact that your interpretation of the facts may change and therefore you should constantly revisit your answers.
Define the Problem: Describe the type of case and what problem(s) or issue(s) should be the focus for your
analysis. Cases tend to fall into one of three categories that sometimes overlap:
Ø Decision Cases describe a decision faced by the case protagonist (character). The student ultimately
must choose among a finite set of distinct decision alternatives.
Ø Problem Cases require a student to diagnose a problem in a business case and to formulate possible
Ø Evaluation Cases illustrate a business success or failure. The student analyzes the underlying reasons
for that success or failure to arrive at management lessons.
An analysis of GE s revitalization efforts during the tenure of their infamous CEO Jack Welch. This detailed
examination of the impact of Mr. Welch s leadership style and the changes he implemented .
The learning objective is to understand the evaluation of Welch s strategy and how it impacted the company.
There is no question that Welch had a positive and important effect on GE s long-term success. It is, however,
important to note that this...