Supply Chain Management
llulu677
casestudymethod.pptxWhat Is a case study?
Description of a real‐world business situation involving a problem to be analyzed/solved and a decision to be made.
Case studies are usually complex with incomplete information and constraints.
Case studies place students in the role of a decision makes. There are no simple solutions, but in‐depth analysis, exchanges of perspectives, critical thinking help to make difficult decisions
Case study Analysis
1. Short Cycle Process
– Quickly read the case to get an overview
– Also, take the following steps:
• Review the case subtitles • Look at exhibits and figures provided
• Read the case questions (if any)
– Identify: • Decision maker in the case and its
position/responsibilities/role
Main issue and importance for the organization
Reasons for issue and level of urgency
Case Study Analysis
2. Long Cycle Process
– Detailed reading of the case (summarize paragraphs, background information, core problems, alternatives, etc.)
– In‐depth case discussion: • Step 1: In‐depth analysis • Step 2: Analyze case data • Step 3: Generate alternatives • Step 4: Key decision criteria • Step 5: Evaluate alternatives • Step 6: Derive recommendation(s)
Step 1: In‐depth analysis
• Define the issue(s) – What is/are the issue(s) that need to be resolved within the
context of the case?
• Symptoms vs. Root‐cause – Differentiate the symptoms of the problem (what is visible) from the problem itself
– Understand the cause‐effect link
– Identify the root cause(i.e., key‐problem that causes problems)
• Characterize issue(s) based on:
– Importance/Relevance – Urgency – Solvability
Step 2: Analyze case data
Analyze and understand the data
Understand limitations and opportunities of provided data
– Content: What information is provided? – Completeness: If data is incomplete, what assumptions are necessary and reasonable?
– Usefulness: Can the data support my analysis? How can I use the data to derive better alternatives?
Step 2: Analyze case data
• Use Decision support tools to...
– analyze the problem, – identify potential solutions.
• Some tools/frameworks/techniques:
-Kraljic’s Matrix -SWOT Model -Porter’s Five Forces Model -Total Cost Analysis -Sensitivity Analysis -Analytical Tools (simulation, forecasting, optimization, ...) ...
‐ be creative
Step 3: Generating alternatives
Be practical, realistic and relevant
– Relevant: Do alternative help to solve the key problem?
– Practical: Are proposed alternatives feasible?
– Realistic: Make reasonable assumptions where necessary. Avoid unrealistic alternatives that are beyond the scope of the case and lead to more questions than answers
Note: Not doing anything is (usually) not an option
Step 4: Key decision criteria
• Key decision variables help to identify alternatives that solve key problem (and symptoms) effectively/efficiently
• Potential key decision variables – Profitability, RoA, RoI – Sales, market share – Customer satisfaction, corporate image – Employee morale, safety, turnover, etc. – Improve flexibility, resilience, sustainability
• Choice of one or more key decision variables depends on case study
Step 5: Evaluating alternatives
• Ways to compare alternatives:
– Pros and cons analysis
– Ranking method
– Financial analysis (e.g., net present value)
– Weighted‐point system (if you have more than one decision variable)
• What else to consider:
-Compare long‐ vs. short‐term effects -Consider required investments, organizational changes, etc.
-Think of obstacles when implementing your decision
- Reflect on unintended consequences that haven’t been considered before
Step 6: Deriving recommendations
• Present plan with your recommendations:
-Support recommendation with key decision variable.
- Explain how recommendations solve problem (root‐cause) and address symptoms
-Explain necessary steps necessary to implement solution, e.g., timeline and required investments
-Make sure to be convincing (“sell” your proposal)!
