Case Study Method

1. January 2008 Case Study Method Strategic Management How to handle a case study? Objectives Classic Strategic Management Process Method for Preparation Material from Strategic Management, Hitt, Ireland and Hoskisson, 2005, « Preparing an effective Case analysis », p.I-XI. Slides Daniel Degravel

2. 2 Outline What is a Case Study? Why using Case Study Method? Student preparation Method and its steps In-class discussion Evaluation

3. 3 What is a Case Study? 1- A story / situation / problem 2. Qualitative and quantitative information 3- At a certain level: Industry, Group of Organizations, Organization or part of an Organization 4- Questions or one large question 5- Focus on a specific topic 6- Characterized by uncertainty and necessity of assumptions

4. 4 Why Using Case Study Method? 1- Bring reality into the classroom Link material and real situations Use the Strategic Management process to identify and solve organizational problems 2- Increases students’ involvement Personal learning experience John Dewey: « Only by wrestling with the conditions of this problem at hand, seeking and finding his way out, does the student think and learn ».

5. 5 Why Using Case Study Method? 3- Understand complexity and ambiguity of practical world Few elements are certain Partial and incomplete Information Situation is the result of multiple interconnected causes 4- Development of skills Analytical and judgment skills To Read, To Understand, To Identify underlying problems, To Analyze, To Ask questions and To make pertinent recommendations; To Become a Manager: In fact Problem-Solving skills Communication skills: Oral and Written presentations 5- Make a more informed career decision Wide variety of Industries, Situations/Problems, Organizations and Roles

6. 6 Student Preparation 1- Key element Preparation: major determinant of the quality of learning for students 2- Requirements Mastery of case facts Some independent analysis of the case: you have been thinking about the case, alone or in group, but you have to bring some personal insight and reflection 3- Taking notes For class discussion, having short notes with main ideas and facts is of considerable help

7. 7 In-class discussion Several possible levels for structuration of the case study discussion Strong, Intermediate and Weak My preferred orientation is Intermediate (some questions but freedom within this framework) Instructor’s Role: Facilitator Guide discussion Solicit alternative points of view Encourage participation I will listen, ask questions, challenge individual’s views and extend the analysis Presentation Presentation by a Team (15mn maximum) and challenge/question by «challenging team(s) » Then in-class Discussion For presentation, you can use part or the whole question framework provided by the Instructor for each case study.

8. 8 Evaluation • Pertinence of work in solving the problem • Pertinence • Completeness • Cohesion • Substance • Clarity of work • Originality • Balance between Analysis and Recommendations

9. 9 Classic Strategic Management Process • Analysis of Goals, Strategic Mission and Intent • Analysis of external Environment and internal Environment • KRAS (Key Result Areas: zones of strategic « sensivity ») • Identification of Strategic Options • Choice of Strategic Actions (Objectives and criteria for choice) • Implementation of Strategic Actions • Control of Implementation

10. 10 Contents Context and Environment of the Organization I Implementation Put your strategic orientations and decisions into the real life of the Organization D A D Design Analysis Definition Choose your strategy and define it precisely, founding it on the outcomes of the Analytical step Understand the external and internal environment as determinants of your strategic choice Define Strategic Management and the way it works (actors and processes)

11. 11 CS Resolution Process I. Preparatory work Be familiar of content and objective of CS Be able to master the problem-solving process (I do have the answer to elementary questions) II. Body work III. Conclusion work Be able to integrate elementary answers into a coherent system to answer the central question

12. 12 CS Resolution Process (Ctd.) I. Preparatory work Be familiar of content and objective of CS • Reading of CS introduction and questions for first idea • First complete reading of the CS, taking notes in margin • Short analysis of the available material and topics: what type of material is available? • [Second reading of the CS (if time)] • Which ideas come up naturally (short brainstorming)

13. 13 CS Resolution Process (Ctd.) II. Body work Be able to master the problem-solving process (I do have the answer to elementary questions) II.a Meta-Analysis What is the main issue of the CS? Which fundamental questions should I need to explore/answer? M N times II.b Elementary analyses What is the elementary question? How can I answer (tool/means)? Use of method to determine/construct answer Reliability and limits of answer?

14. 14 CS Resolution Process (Ctd.) Be able to integrate elementary answers into a coherent system to answer the central question III. Conclusion work • Integration of several answers / topics into a coherent system • Development of final answer for central question • What is quality of my work? • Transformation into communicable format (report, speech, etc.) • Which other topics could be explored? • What is practical value for managers?

15. 15 CS Resolution Process (Ctd.) • No question • 2. A large open question • 3. Several detailed questions You’re the VP in charge of IKS’ s Business Development division. In your opinion, which strategy should IDK undertake at the 2013 time horizon? • What do you think of IDK’s competitive environment? • What have been the main trends in IDK’s industry for the last decade? • What is IDK’s competitive position? • What do you think of IDK’s low-cost strategy? • Do you think that the globalization strategy could be a valuable way of development for IDK? • Does IDK have capabilities to sustain such a strategy? • What are IDK’s main weaknesses? • Is IDK’s organizational structure adapted to its strategic requirements? • Why did IDK’s CEO try to change the culture of the firm? • IDK has increasing its outsourcing to India? What do you think? • What would you recommend to IDK’s CEO?

16. 16 CS Resolution Process (Ctd.) Tools Analysis of internal environment Analysis of external environment Goals Mission Intent PEST Marketing analysis (seg.) Industry value-chain Competitor analysis P5F Strategic mapping KSF SMP RBV (R&C) Competitive advantage Performance (function) Firm value-chain CSR S W O T Structure HR Culture Identification of Key result areas KRA CL-S BL-S Deployt. Function. Identification of strategic options Choice of strategic options with criteria Implementation (virtual) (only forecast or intent) F F F F F

17. 17 Method for Preparation 1- Gaining familiarity Become familiar with the case data In general (What, Who, How, Why and When) In detail (places, persons, situations and activities) Assess the status of information (First reading of the case) 2- Recognizing symptoms Something is not desired or expected Ensure that symptoms are not assumed to be the problem Symptoms should lead to the problem 3- Identifying Goals List goals by major parties

18. 18 Method for Preparation 1- Gaining familiarity Become familiar with the case data In general (What, Who, How, Why and When) In detail (places, persons, situations and activities) Assess the status of information (First reading of the case) 2- Recognizing symptoms Something is not desired or expected Ensure that symptoms are not assumed to be the problem Symptoms should lead to the problem 3- Identifying Goals List goals by major parties

19. 19 Method for Preparation 4- Conducting Analysis Choose models and tools for analysis Apply to situation (several iterations if necessary) 5- Making Diagnosis Identify problems and predicaments Prioritize problems and predicaments 6- Choose Strategic Action Identify (Discover or Invent) feasible strategic actions Examine their probable consequences Select a course of strategic actions (citeria to evaluate possible actions) 7- Doing Action Planning Design an implementation schedule 8- Controlling Assess the action to be implemented

20. 20 Dimensions ANALYSIS CAUSE SYNTHESIS EFFECT