CASE STUDY The Ivey Case Method

Case Outline Opening Paragraph Organization Background Specific area of interest: Finance Specific Problem or Decision Alternatives Conclusion OPTIONAL

Analyzing the Case  CASE SOLVING PROCESS Define the IssueDefine the Issue Analyze the case dataAnalyze the case data Generate alternativesGenerate alternatives Select decision criteriaSelect decision criteria Analyze and evaluate alternativesAnalyze and evaluate alternatives Select preferred alternativesSelect preferred alternatives Develop an action and implementation planDevelop an action and implementation plan

Background  General Background: All relevant to the decision or issueAll relevant to the decision or issue Area for additional researchArea for additional research

GUIDELINE: You are creating a path to the answer

Tools for Analysis: Define the Issue  Immediate Issues (specific decision, problem or challenge faced by decision maker)  Basic Issues (larger and always there) Hedging Exchange rate riskHedging Exchange rate risk

Importance/Urgency Matrix LowHigh LowIII HighIIIIV Important Urgent Issue No. 1

ANALYZING CASE DATA: Cause/Effect Diagram CAUSES EFFECT

CONSTRAINTS AND OPPORTUNITIES Not always explicit in the caseNot always explicit in the case Consider the key resources of an organizationConsider the key resources of an organization May be implied by the environmental contextMay be implied by the environmental context Date and location of the caseDate and location of the case

QUANTITATIVE AND QUALITATIVE ASSESSMENT  Push the numbers: Use a spreadsheet  Always know why you are doing a calculation  Break calculations down into clear steps  Use graphs or diagrams to facilitate your interpretation

Selecting Decision Criteria  Before choosing an alternative Clearly define the criteriaClearly define the criteria Criteria provide the basis for evaluationCriteria provide the basis for evaluation Can be qualitative or quantitativeCan be qualitative or quantitative

Common Decision Criteria QuantitativeQualitative ProfitCostROICapacity Delivery time Risk Cash flow Competitive advantage Corporate image Ease of implementation FlexibilityObsolescence

Analyzing and Evaluating Alternatives  Alternative Analysis Matrix p. 49  Short Versus Long Term  Predicting Outcomes Decision tree diagram p. 51Decision tree diagram p. 51

Selecting the Preferred Alternative  There is rarely only one sensible course

Developing an Action and Implementation Plan  Must answer the questions: WhoWho WhatWhat WhenWhen WhereWhere HowHow What’s the contingency plan?What’s the contingency plan?