© Farhan Mir 2007 IMS Principles of Management MBA & BBA (Case Studies & Examples) Lectures 1 By: Farhan Mir

© Farhan Mir© Farhan Mir

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Principles of Principles of ManagementManagement

MBA & BBA MBA & BBA (Case (Case Studies & Examples) Studies & Examples) Lectures 1Lectures 1

By: Farhan MirBy: Farhan Mir


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Lecture AdministrationLecture Administration

Case StudiesC.F. Martins (Guitar Company)

Lipschultz, Levin & Gray (CPA Firm)

KFC (Fast Food Resturant)

Managers in SpotlightMr. Rehman Fraz Khan (Regional Manager –KFC)

Mr. Asad Hussnain Bukhari (Manager Operations –Area Multan)

Mr. Khurram Raza Zaidi (Branch Manager Bank Alflah Vehari Road Multan)


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -The People’s CompanyThe People’s Company

The new way of looking at The new way of looking at working environmentworking environment


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Lipschultz, Levin & GrayLipschultz, Levin & GrayIntroduction

A Chartered Professional Accounting Company offering variety of financial services to individuals and small & Large organizationsStephen P. Seigel is the CEO facing new yet challenging tasksOffer Financial consultancy to variety of organizations and their people throughout the worldOver 50 years of services for the accounting, tax and consultancy needs of these organizations


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -The The People’s CompanyPeople’s Company

The Focus on PeopleThe norms of the organization are based upon people involvement and participation Creative, talented & diversified employees are the key components of company’s overall postureTo have a unique and creative way of providing financial services company focuses on acquiring and maintainning group-based and friendly human resources


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -The The People’s CompanyPeople’s Company

Some significant changes at the company

The use of non-conventional ways to achieve the tasksThe dull CPA work is carried out with new exciting waysInnovation is there every where in the company especially in the arrangements of thingsAn example is a miniature “Golf Course”The idea is to create openness in the office environment where people could interact with each other


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -The The People’s CompanyPeople’s CompanyThe Different look about the company

The interior is quite unique and differentThe interior is quite unique and different

The giant abacus (ancient computer)The giant abacus (ancient computer)

A welcome wall with something about A welcome wall with something about business, innovation and commitmentbusiness, innovation and commitment

The setting is based on fun and exciting The setting is based on fun and exciting environment but employees are well focused on environment but employees are well focused on their taskstheir tasks

The tend to set new standards almost everyday, The tend to set new standards almost everyday, where to be “great” is not enoughwhere to be “great” is not enough

The core of the company is based on services The core of the company is based on services offered withoffered with

Integrity, Confidentiality, Honesty and Openness


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -Discussion QuestionsDiscussion Questions

Keeping professional excited about work that can be routine and standardized is a major challenge for Siegel. How could he use technical, human, and conceptual skills to maintain an environment that encourages innovation and professionalism in his CPA firm?What Management Roles would Siegel will be playing?

Made a presentation to potential clientsassessed the feasibility of adding a new consulting serviceKept employees focused on the company’s commitment to customers


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Lipschultz, Levin & Gray -Lipschultz, Levin & Gray -Discussion QuestionsDiscussion Questions

What can you tell about LLG’s emphasis on customer service and innovation? In what ways does the organization support its employees in servicing customers and in being innovative?

Would LLG’s approach work for all CPA firms? Why or Why not? What could other managers learn from Steven Siegel?


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C. F. Martins –C. F. Martins –the the famous guitar famous guitar companycompanyThe story about successful The story about successful management and leadershipmanagement and leadership


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C. F. Martins –C. F. Martins –the famous the famous guitar companyguitar company

IntroductionStarted in 1883 in United states offering Started in 1883 in United states offering acoustic guitarsacoustic guitarsThat makes Martin one of the longest That makes Martin one of the longest continually owned and operated family continually owned and operated family businesses in America businesses in America Martin acoustic guitars—considered the Martin acoustic guitars—considered the world over to be the finest you can play world over to be the finest you can play longevity is sustained due tolongevity is sustained due to

QualityQualityInnovationInnovationExcellenceExcellence


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The focus on qualityA Martin guitar, because it is crafted with A Martin guitar, because it is crafted with the best raw materials, and made by the best raw materials, and made by world-renowned skilled craftspeople, world-renowned skilled craftspeople, becomes a magical sensual experience—becomes a magical sensual experience—to completely satisfy your personal to completely satisfy your personal aesthetics aesthetics

Throughout these years the management Throughout these years the management and employees have not compromised on and employees have not compromised on qualityquality

The tools and techniques have changed The tools and techniques have changed but the quality standards have remain at but the quality standards have remain at the same dazzling hightsthe same dazzling hights


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C. F. Martins –C. F. Martins –the famous the famous guitar companyguitar companyThe Core Survival Features

Martins have also remained socially responsible and ethical by utilizing legal natural materials rather alternative wood speciesMartin used partially damaged woods for for their guitarsIt follows the CITES guidelines (Convention for International Trade in Endangered Species of Wild Fauna and Flora


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Martins as a LeaderChris the owner travels around the world Chris the owner travels around the world to hold instructional clinicsto hold instructional clinicsAlthough company is rooted in past but Although company is rooted in past but Chris is ready to use non-conventional Chris is ready to use non-conventional meansmeansChris launched a low priced model in Chris launched a low priced model in 1990s and that paid off for Martins1990s and that paid off for MartinsChris thought if Martins worship it past Chris thought if Martins worship it past then there will be no Martin left to then there will be no Martin left to worshipworshipUnder his guidance company sales went Under his guidance company sales went upupHis management style is known as His management style is known as friendly and personal, yet firm and direct friendly and personal, yet firm and direct


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C. F. Martins –C. F. Martins –the famous the famous guitar company- Discussion guitar company- Discussion QuestionsQuestionsWhich Management skills- conceptual,

human, or technical- do you think would be most important for Chris martin?

How might a commitment to social responsibility affect the way managers perform the managerial functions?

What management roles would Chris be playing as he

Visits Martin dealership arround the world


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C. F. Martins –C. F. Martins –the famous the famous guitar company- Discussion guitar company- Discussion QuestionsQuestions

Chris made the statement that “If Martins just worship its past without trying new things, there won’t be a Martin left to worship.” What are the implications for managers throughout the company as they plan, organize, lead and control?


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Kentucky Fried Chicken Kentucky Fried Chicken (KFC)(KFC)

The Global company that serves The Global company that serves you with same quality and care you with same quality and care throughout the worldthroughout the world


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Kentucky Fried Chicken Kentucky Fried Chicken (KFC)(KFC)IntroductionIntroduction

KFC is based in KFC is based in Kentucky, and is the Kentucky, and is the world’s most popular world’s most popular chicken restaurant chain.chicken restaurant chain.

Founded by Colonel Founded by Colonel Harland Sanders in 1939.Harland Sanders in 1939.

8 million customers each 8 million customers each day.day.

KFC Division is run by KFC Division is run by Cheryl Bachelder, Cheryl Bachelder, President and Chief President and Chief Concept Officer. Concept Officer.


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Kentucky Fried Chicken Kentucky Fried Chicken (KFC)(KFC)

KFC is part of Yum! Brands, Inc., which is the world's largest restaurant system with over 32,500 KFC, A&W All-American Food™,Taco Bell, Long John Silver's and Pizza Hut restaurants in more than 100 countries and territories.

KFC has more than 13,700 restaurants in more than 100 countries and territories around the world.


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Kentucky Fried Chicken Kentucky Fried Chicken (KFC)-(KFC)-ProductsProducts


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From $105 to 7.2 Billion in 50 From $105 to 7.2 Billion in 50 yearsyears Colonel Harland D. Sanders perfects secret blend of 11 herbs and spices in Corbin, Ky., Colonel Harland D. Sanders perfects secret blend of 11 herbs and spices in Corbin, Ky.,

and restaurant.and restaurant.

1952, Col. Sanders started franchising his recipe door to door financed by his 1952, Col. Sanders started franchising his recipe door to door financed by his $105.00$105.00 SS SS

CheckCheck

1964, Col Sanders had more than 600 franchised outlets in the US and Canada.1964, Col Sanders had more than 600 franchised outlets in the US and Canada.

1964, Sold his interest in his company for 1964, Sold his interest in his company for $2 million$2 million to a group of investors. to a group of investors.

1966, KFC went public1966, KFC went public

1971, KFC was acquired by Heublein Inc. for 1971, KFC was acquired by Heublein Inc. for $285 million.$285 million.

1982, Heublein & KFC Inc. was acquired by RJ Reynolds1982, Heublein & KFC Inc. was acquired by RJ Reynolds

1986, RJ Reynolds & KFC, was acquired by PepsiCo, Inc. 1986, RJ Reynolds & KFC, was acquired by PepsiCo, Inc. $840 million.$840 million.

1997, PepsiCo, Inc. spined-off of its qsr’s into independent Tricon Global Restaurants.1997, PepsiCo, Inc. spined-off of its qsr’s into independent Tricon Global Restaurants.

2002, Tricon changed it's corporation name to Yum! Brands, Inc. .2002, Tricon changed it's corporation name to Yum! Brands, Inc. .

NOW:NOW:

– Yum Brands, Inc. is the world's largest restaurant company in terms of system units Yum Brands, Inc. is the world's largest restaurant company in terms of system units

with nearly 32,500 in more than 100 countries and territories. with nearly 32,500 in more than 100 countries and territories.

– Yum! Brands, Inc., is a Fortune 300 company Yum! Brands, Inc., is a Fortune 300 company

– Yum! Brands, Inc. global system sales totaled more than Yum! Brands, Inc. global system sales totaled more than $22 billion$22 billion in the year 2001. in the year 2001.

– Current Market Cap value on the NYSE is Current Market Cap value on the NYSE is 7.2 Billion7.2 Billion


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KFC- KFC- Fighting its ways Fighting its ways through Success and through Success and ControversiesControversies Standardization &

QualityGlobal company so Global company so restaurants worldwiderestaurants worldwide

Maintaining quality Maintaining quality standards worldwide is standards worldwide is one of the successes of one of the successes of KFCKFC

Numerous restaurants Numerous restaurants have the same approach have the same approach of making and selling of making and selling products with slight products with slight variation (e.g. Standard variation (e.g. Standard Uniform per Country)Uniform per Country)


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KFC- KFC- Fighting its ways Fighting its ways through Success and through Success and ControversiesControversiesIn Pakistan

Initially was subjected to questions Initially was subjected to questions raised about the way in which the raised about the way in which the chickens were used in the foodchickens were used in the food

Fat people filing suits against the fast food companies like KFC, MacDonald's and King BurgerNow find itself in a fresh controversy

Wild Life supporters are protesting Wild Life supporters are protesting against KFC and specially the way it against KFC and specially the way it “kills” the Chicken for Halal food“kills” the Chicken for Halal food


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Managers in SpotlightManagers in Spotlight

Inside stories about three Inside stories about three professionals who have professionals who have progressed into top management progressed into top management within few yearswithin few years


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Mr. Asad Husnain Bukhari (The Mr. Asad Husnain Bukhari (The Beginning of a Promising Career)Beginning of a Promising Career)Introduction

Got his MBA (MIS) degree in 2001 from Got his MBA (MIS) degree in 2001 from

Institute of Management SciencesInstitute of Management Sciences

Was Class CRWas Class CR

Cool-Minded & CooperativeCool-Minded & Cooperative

Mature & ProgressiveMature & Progressive

Immense Human Skills (Ability to work with Immense Human Skills (Ability to work with variety of people with extraordinary ease) variety of people with extraordinary ease)

Joined a Software House as a System Analyst and Joined a Software House as a System Analyst and Designer and worked on variety of projects especially Designer and worked on variety of projects especially Online DevelopmentOnline Development

Was always Interested in Learning so did part-time Was always Interested in Learning so did part-time teaching in private institutes and at BZU as wellteaching in private institutes and at BZU as well


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Mr. Asad Husnain Bukhari (The Mr. Asad Husnain Bukhari (The Early Days at NADRA)Early Days at NADRA)Joined NADRA in 2002

Joined NADRA as an Assistant Director at one of its Joined NADRA as an Assistant Director at one of its Swift Registration CentreSwift Registration Centre

As Assistant Director (Incharge of the center) As Assistant Director (Incharge of the center) he was actively involved in the management he was actively involved in the management functions especially functions especially planningplanning of overall centre of overall centre

Since NADRA was shifting (molding itself) into a Since NADRA was shifting (molding itself) into a role model Public organization in Pakistan so an role model Public organization in Pakistan so an Incharge like Asad also was heavily involved in Incharge like Asad also was heavily involved in the the LeadingLeading role role

A NSRC (Swift Center) is financially independent A NSRC (Swift Center) is financially independent Unit and has to support itself financially so Unit and has to support itself financially so ControllingControlling remains a definite part of any remains a definite part of any Assistant Director’s JobAssistant Director’s Job


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Mr. Asad Husnain Bukhari (The Mr. Asad Husnain Bukhari (The Guy proved himself not Guy proved himself not ordinary)ordinary)Successes at NSRCsSuccesses at NSRCs

His three centers were declared as the best His three centers were declared as the best among the various NADRA centers in Pakistan among the various NADRA centers in Pakistan many times (a proof of his many times (a proof of his Efficiency & Efficiency & Effectiveness)Effectiveness)

Became famous for identifying corruption cases Became famous for identifying corruption cases at NADRAat NADRA

An Opportunity knocked at the doorAn Opportunity knocked at the door

NADRA wanted to establish centers in foreign NADRA wanted to establish centers in foreign offices in major countries like US & UKoffices in major countries like US & UK

Conducted a test for the foreign posts and Conducted a test for the foreign posts and employees from 74 NADRA centers appliedemployees from 74 NADRA centers applied

Asad Bukhari topped the test and was appointed Asad Bukhari topped the test and was appointed at a center in UKat a center in UK


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Mr. Asad Husnain Bukhari - Mr. Asad Husnain Bukhari - Getting into Higher RanksGetting into Higher Ranks

Regional Manager Operations

On his return was On his return was appointed as the Regional appointed as the Regional Manager Operations Manager Operations (Multan) (Multan)

Not only was looking Not only was looking forward the overall forward the overall operations of the region operations of the region with audit and control of with audit and control of the region centers but was the region centers but was appointed as incharge of appointed as incharge of the NADRA’s special project the NADRA’s special project of Automatic Billing of Automatic Billing Machine known as “NADRA Machine known as “NADRA KIOSKs”KIOSKs”


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Mr. Asad Husnain Bukhari-Mr. Asad Husnain Bukhari-Deputy Manager NICOP Deputy Manager NICOP Directorate Directorate Has recently promoted as the Deputy

Manager NICOP (National ID Card for Overseas Pakistani) ProjectHis Strengths as a Manager

Pinpoint Planning & Vision

Well Documented

Team based Management Approach

Very Technical (Technically Sound i.e. knows or can develop techniques or methods to accomplish any task)

Patient yet Progressive (Continuous Improvement)

Professionalism & Interpersonal Skills


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Mr. Khurram Raza Zaidi- Mr. Khurram Raza Zaidi- Intellectualism with Style and Intellectualism with Style and ConfidenceConfidenceIntroduction

Did his Masters in Business Administration with specialization in Information Systems

Was the better students in the Was the better students in the sessionssessions

ConfidentConfident

Focus was on Skills rather on gradesFocus was on Skills rather on grades

Was doubtfully the best as far as the Was doubtfully the best as far as the communication skills are concernedcommunication skills are concerned

Always focused on acquiring new Always focused on acquiring new skills skills

Did many additional coursesDid many additional courses


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Mr. Khurram Raza Zaidi- Mr. Khurram Raza Zaidi- A jump A jump start at one of the leading start at one of the leading BanksBanksStarted his career at Bank Alfalah

Was inducted in as a MTO (Management Trainee) and was subsequently hired as a Credit OfficerAlways was interested in the field of Financial Analysis and therefore settled in quicklyWas the youngest MTO of his batch at that timeHe was very technical & intelligent and was able to adjust with different Managers during his early days at the Bank


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Mr. Khurram Raza Zaidi- Mr. Khurram Raza Zaidi- Success was on his waySuccess was on his way

Success at Bank AlfalahAfter two years of rigorous efforts was appointed After two years of rigorous efforts was appointed as the Credit Manager in 2003as the Credit Manager in 2003

Again was the youngest Credit Manager at Bank Again was the youngest Credit Manager at Bank AlfalahAlfalah

In 2005 was promoted to open a Branch of the In 2005 was promoted to open a Branch of the Bank and was the youngest branch managerBank and was the youngest branch manager

In 2006 was given the charge of another Branch In 2006 was given the charge of another Branch that was much bigger in volumethat was much bigger in volume

His success key factors wereHard Work

Technical Competency

His attitude with People


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Mr. Khurram Raza Zaidi- Mr. Khurram Raza Zaidi- Bisecting the Managerial Bisecting the Managerial PositionPositionAs a Branch Manager

He is engaged in all managerial functionsHe is engaged in all managerial functions

The planning is mostly done on annual The planning is mostly done on annual basis (where they set goals and general basis (where they set goals and general guidelines to achieve those goals)guidelines to achieve those goals)

On the way to achieve those goals he has On the way to achieve those goals he has to perform all other managerial functions to perform all other managerial functions i.e. i.e.

He has to generate & control He has to generate & control resources, lead & monitor so on and so resources, lead & monitor so on and so forthforth


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Mr. Khurram Raza Zaidi- Mr. Khurram Raza Zaidi- Bisecting the Managerial Bisecting the Managerial PositionPositionPlanningPlanning: Involves defining desitnation i.e. : Involves defining desitnation i.e.

making budgets of human and non-human making budgets of human and non-human resources.resources.

OrganizingOrganizing: the resources needed to get to the : the resources needed to get to the destination defined in the first phase. This destination defined in the first phase. This involves identification and taking the desired involves identification and taking the desired resources (both human and material resources).resources (both human and material resources).

LeadingLeading: on the way, there are definitely ups and : on the way, there are definitely ups and downs. Some times your team gets stuck. You downs. Some times your team gets stuck. You have to motivate them and have to remain have to motivate them and have to remain ahead them.ahead them.

ControlControl: Basically involves measuring : Basically involves measuring performances in banking. In banking either you performances in banking. In banking either you achieve your goals or not. There is nothing in achieve your goals or not. There is nothing in between. This involves appraising the between. This involves appraising the performance and identifying loopholes etc.performance and identifying loopholes etc.


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Mr. Khurram Zaidi- Mr. Khurram Zaidi- Highlighting Highlighting some Issues & Remediessome Issues & Remedies

The first and far most important problem is keeping the team motivated on the way to achieve targets. If you have 30-35 people working under you, you need to be ahead of them and at least should have 30-35 perspectives of looking at things. Keeping focus: Being at a centre of decision making, you come across numerous focus busters, mood destructors and spirit killers. But you have to stick to "Flush Technique" to drain out such negative forces. Focus I suppose is the life blood of any achievement. Updation of Knowledge Base: As a manager to better manage things, You are supposed to be a good learner. Being the leader of the team, You need to be ahead of your team mates. Striking the Balance: Pre-occupation some times makes it difficult to strike a balance in personal and official life. But I think at the start of career, you need to sacrifice your social life a bit to get long-term gains

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© Farhan Mir 2007 IMS Principles of Management MBA & BBA (Case Studies & Examples) Lectures 1 By: Farhan Mir