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Management

Case Folio


January' 06
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Articles

ABB: Providing `Access to Electricity'

-- Ajith Sankar R N, Sanjib Dutta

The case discusses the `Access to Electricity' programs initiated by ABB as part of its Corporate Social Responsibility activities in a few less developed parts of the world. The program was begun at Ngarambe, a village situated near the Selous Game Reserve in Tanzania. Here, besides bringing electricity to Ngarambe, the electrification project helped in the economic and social development of the village while taking care of environmental concerns. ABB used the `Access to Electricity' project as a learning experience and committed itself to undertaking more such corporate social responsibility activities with the long-term aim of generating stable revenues.

Childhood Obesity: Should Junk Food be Regulated?

-- Jitesh Nair, Rajavardhan Palakodeti,
Ramalingam Meenakshisundaram

The case provides an overview of the marketing of junk food to children across the world, and the role of government regulations and industry self-regulation. The case looks into the concerns raised by consumer groups and health organizations due to the increasing levels of childhood obesity which have reached alarming proportions. Junk food manufacturers like McDonald's, Kraft Foods, PepsiCo, and Coca-Cola have come under intense pressure to withdraw advertisements and promotional campaigns that target children. The case also gives a brief account of the arguments put forward by the Alliance for American Advertising (AAA) in defense of the `rights' of companies to advertise to children. This case also discusses the regulations framed by governments in Europe and Australia, and the initiatives taken by the junk food manufacturers to control obesity in children. It looks at some of the promotional campaigns these companies have designed to motivate children to adopt healthier lifestyles.

 

The Adidas - Reebok Merger

-- Pushpanjali, Ruchi Chaturvedi

The case discusses the proposed merger of Reebok International Limited with Adidas-Salomon AG. It describes the recent trends and studies the ongoing merger in the sporting goods industry. The case presents the rationale behind the decision to merge. Finally, the case ends with a debate on whether the merger would be successful.

Starbucks' Human Resource Management Policies and the Growth Challenge

- -Shirisha Regani, Sanjib Dutta

Starbucks is one of the best-known and fastest growing companies in the world. Set up in 1971, in Seattle, the company initially grew slowly but expanded rapidly in the late 1980s and the 1990s. By the early 2000s, there were nearly 9,000 Starbucks outlets across the world and the company's eventual retail target was to open 30,000 outlets. It was widely believed that the company's success and rapid growth could be largely attributed to its committed and motivated workforce. This case discusses the human resource management policies and work culture at Starbucks. Starbucks cared about its employees and was one of the few companies in the retail sector to provide generous benefits to both full-time workers as well as the part-timers. This ensured that employees remained motivated, and Starbucks had a relatively low employee turnover. However, in the early 2000s, the company faced the challenge of finding and retaining the right number and kind of employees to sustain its future growth.

Six Sigma at Motorola

- -Yamini Aparna, Vivek Gupta

Motorola is the pioneer in introducing the `Six Sigma' quality program. The company has won the Malcolm Baldrige National Quality Award twice in 1988 and 2002. The case discusses the circumstances that led to the evolution of Six Sigma in Motorola. It explains in detail how Six Sigma was implemented at Motorola and the results achieved by the company after its implementation. The case also throws light on the recent developments including Motorola's `New Generation Six Sigma' program and explains how the company intends to use it for bottom line improvement and better business performance.

The Search: How Google and its Rivals Rewrote the Rules of Business and Transformed Our Culture

-- John Battelle

In The Search, author John Battelle describes the evolution and the future of Internet search. Fittingly, given its dominance in the field, a good part of the book is devoted to the fascinating story of Google, the company that could well define the future of information dissemination and retrieval over the Internet.

 
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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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