Case Method SeminarRey Lugtu

ObjectivesAt the end of the session, each participant will:Be familiar with the general steps in going through the study methodLearn useful tools, techniques, watch outs, and tips on each of these stepsBe able to practice these steps on a simple case

What is Case?A case is an narrative of an actual, or realistic, problem that typically portrays policy makers confronted with the need to make a decisionTeaching cases present information, but not analysis; your is to supply the latter, as well as to advocate a solution.

Cases are Ill Structured ProblemThere is too littler information.The remedy: use your experience and common sense. At some point, make up your mind.There is to much information.The remedy: Focus on what is important to the problem at handThere is no right answer.The remedy: Make up your mind and be prepared to defend your opinion, but keep an open mind.

Why Use the Case Method?

The case method presents the greatest challenges confronting leading companies today-complete with constraints and incomplete information found in real business situation-and places the student in the role of the decision maker

Through the case method, students are exposed to real-life situations that are relevant, intellectually and emotionally engaging, and highly interactive.This creates a challenging learning environment that encourages everyone to share opinions and perspectives and learn from each other.

Why the Case Method?Best learning methodology used by the best business schoolsBased on realistic business concerns Process used to solve cases is similar to actual business processes on problem solving

Why the Case Method?Develops analytical capabilitiesDevelops data/facts handling skillsDevelops team effectiveness skillsDevelops communications and presentation skills.

Disclaimer Generally a case has no single correct answer; there are only choices, some better, some worse, and all open for discussion and interpretation.

Steps in Analyzing Read the case Analyze the caseDefine issues in the caseIdentify information relevant to the key issuesAnalyze the issues using the relevant informationDistinguish the major alternative solutionsSelect an alternativeSuggest procedures to implement the chosen plan of actionPrepare Your Presentation (Written or oral)

Figure 1: Approach CasesProblem is UndefinedProblem is DefinedApply concepts from readings;Use personal knowledge & experiencePerform Analysis to Determine Problems/OpportunitiesPerform Analysis for Defined ProblemDefine Key Issues & Evaluation CriteriaDevelop/SelectAlternative SolutionsSpecify Plans of ActionsPrepare Output

Step 1: Read the Case

Read the CaseGet a sense of the whole caseLook at the case before you read itWhat do title and headings tell you?Who are central character?What is the story about?Read the case quickly, look for the broad outlines

Case Reading TipsRead each case at least twice. The reading is to browse the whole case, the second is to take down significant facts make sure you understand the case in its entiretyCreate summary outline of significant facts

As you read the caseRemember that all behavior is caused, motivated, and goal-directed; behavior may see strange, or irrational but you can assume it makes sense to the actorSeparate facts from opinion; distinguish between what people say vs. do

It might be possible to get more information about the case (e.g.,the industry) but for the most part you will be asked to do your best with the information availableSeparate symptoms from underlying causesAvoid judgment; avoid premature solution

Step 2: Analyze the Case

Analyze the CaseState the issuesStick to the time frame of the caseAsk yourselfWhat is the case really about?What is the situation-what do you actually know about it from reading the case?What problems are the people in it dealing with? What issues are at stake?Where do you see conflict between ideas, perspective, and values?What would you have done differently?

More QuestionsWhat sort of organization does the case deal with?What is the nature of the industry?What is going on in the external environment?What problems does management appear to be facing?

More QuestionsWhat decisions need to be made?What are all the possible options? What are the pros/cons of each option?What criteria should you use when choosing an option? What does that mean about your assumptions?What are the objectives of the organization?What are the resources required or constraints influencing the decisions.

Steps 3: Present the Case

Prepare your presentationPrepare to justify, present and explain your analysis.Make something of your work. Ask yourself what you have learned from the case. Prepare to present and defend your conclusions.

Written Case Reporting FormatStatement of the problemObjectivesAssumptions/Areas of considerationAlternative Courses of ActionRecommendation/JustificationAction Plan

Formulating the Problem StatementThis is the most critical step in the Case Method. All your effort maybe wasted with misdirected or narrow Problem StatementUsually use the CEOs point of viewUsually provides the scope and limitation of your studyUsually in a question format e.g., how do we improve employee morale? What actions to take?Should not be answerable with yes or noKeep the statement concise and straight to the point

Listings the Key ObjectivesHave about three to five key objectives that you will be attaining once the problem identified is resolvedTest your alternative courses of action on how they meet the objectivesThe best recommendation is one that meets your key objectiveImprove productivityReduce turnover rateImprove attendance rate

Identify Areas for ConsiderationSelect only information that are related to resolving problem at hand List your major assumptions, including your basis for making these assumptionsUse different frameworks in summarizing your key facts such as SWOT Analysis or Porters Five Forces

SWOT AnalysisSWOT Analysis is an effective method of identifying your strengths and weaknesses, and to examine the Opportunities and Threats you face.

StrengthsList down key company strengths that help it achieve its objectives.Consider this from your own point of view and from the point view of the people you deal with.What are your advantages?What do you do well?

WeaknessesList down the key company weaknesses that are obstructing it from meeting its objectives.Consider from internal and external basis. It is best to realistic now, and face any unpleasant truths as soon as possible.What could be improved?What is done badly?What should be avoided?Do your competitors do better?

Opportunities List down the possible opportunities that the company can capitalize on to help it achieve its objectivesWhere are the good chances facing you?What are the interesting trends?Changes in technology and markets on both a broad and narrow scaleChanges in government policy related to your fieldChanges in social patterns, population profiles, lifestyle changes, etc.Local events

Threats List down sources of potential problems, or barriers in meeting the objectives.What obstacles do you face?What is your competition doing?Are the required specifications for your job, products or services changing?Is changing technology threatening your position?Do you have bad debt or cash-flow problem?

SWOT AnalysisAlways relate these with the problem and objectives of the case.In your case study recommendation, ensure that you show how the company cancapitalize on its strengthsdown play or eliminate its weaknessestake advantage of the opportunitiesreduce or eliminate threats

Alternative Courses of Action (ACA)Have at least two plausible ACAs. The more you provide the betterEach ACA must be defensiblePresents pros and cons of each one Each ACA must address the problem directly Must be based on the facts of the case

Generating ACAsIn thinking about the context for generating alternatives, think about:What are the decision-makers sources of power in the situation? (legitimate, reward, punishment, expert, referent)What are possible leverage point (changing technology such as machine, processes, product designs; changing organizational structure; changing reward systems, job descriptions education, changing personnel, changing culture)

Can individual behavior be changed (education, training reward reward system, job description, etc.)What are the constraints on the solution? (time, money, organizational traditions, prior commitments, external realities, legal etc.)What are the available resources (time, money, people, existing relationships, power)Should others be involved (in problem definition, data collection, generating alternatives, implementing solutions, monitoring and assessing realities)

In this stage it is important to avoid reaching for a solution too quicklyBe creative and put yourself in the caseTry living with various alternatives that you are thinking about What would be impact on you and others Be sure to think about the costs and benefits each alternative

Criteria for Coming Up with Your RecommendationDoes the alternative address the critical aspects of the problem? What are your objective? Be specific.What are the intended consequences; how will your decision improve the situation?What is probability of success; what are the risk; what happen if plan fails?

What does the plan depend on? What are the costs? What power and control needed?Who would be the change agent Does he/she have the power, skills, knowledge to be successful?Is the solution consistent with organizational realities?

Give your RecommendationsSelect one the ACAs that best addresses your problem statement and meets your key objectivesYou can choose more than one ACAs Give your major reasons why this ACA was chosen over othersProvide detailed implementation plan to test whether this recommendation is feasible Provide contingency plans in case there are any potential problems

Reminders In your case study recommendation, show how the company canCapitalize on its strengths Down play or eliminate its weaknessesTake advantage of the opportunitiesReduce or eliminate threats

The Case Study Group

Designating Roles in GroupsGroups that are created for in-class can be easily organized around the following four-person model.Each member of the group plays specific role that supports the teams collaborative effort.

Role in GroupsLeader: responsible keeping the group on task, maintaining the schedule, (meetings, deadlines), and maintaining contact information (phone numbers, emails).Encourager: Encourages conversation and inclusion of all opinions and guides the discussion toward consensus.

Prober: Ensures the assumptions are correct and there there is sufficient evidence for the solutionRecorder: Writes down the groups solution that will be submitted for the group grade

Group Meeting TipsCome prepared to contribute to the groupStart discussions early even if your group not completeBuild on each other ideasRespect each others view, esp if they are diverseMake decisions based on consensusAssign clear tasks/responsibilities to all

Group Presentation TipsDress for the partOrganize your presentationAll group members must participateDo not read your reportTry to capture audience interest and attention

Keep your presentation short and to the pointKeep it interesting for everyoneUse tables, figures, charts, and other exhibits to help communicate important points and ideas

Make sure your visual aids are legible to individuals in the back of the roomBe prepared to answer questions from facilitator/instructor and the classDuring the Q&A. be polite, confident and courteous. Do not be defensive

Case Reporting FormatStatement of the problemObjectivesAssumptions/Areas of considerationAlternative Courses of ActionRecommendation/JustificationAction Plan

Sample Case StudyBacolod Country Chicken

Written Report DevelopmentFormat Statement of the Problem Objectives Areas of Consideration Alternative Courses of Action RecommendationAction Plan

Statement of the ProblemHow to increase the Profits of Bacolod Country Chicken?

Objectives (by 2005)1) Increase total Revenue by 20% 2) Reduce Cost by 5% .3) Increase Customer Service (rated excellent in customer surveys)4) Increase Food Quality (rated excellent in customer surveys)

Areas for Consideration1) Profitability of the Manila Branch.2) Employee Skills3) Location4) Operational Costs5) Immediate Competitor Profile

Alternative Courses of Action1) Change Location2) Improve Menu (same food everyday?)3) Catering4) Delivery5) Replace employees6) Customer Surveys7) Competitor studies8) Sublease part of property9) Review food pricing10) Employee training

Recommendation1) Review food pricing2) Go into catering3) Do customer surveys4) Employee training5) Change menu

Action PlanAssign tasks to managers and staffPrepare plan for catering businessPrepare customer survey forms Conduct training needs analysis

Sample Case:The Case of the Sole Remaining Supplier

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