Business Case Studies: Operations Management

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Business Case Studies
in Operations Management
Tom Batley
edited by

Prentice Hall

an imprint of Pearson Education

This SprintPrint edition has been published directly from the manuscript received from the author in order to produce the book in the fastest possible time. It has not gone through the rigorous editorial and production processes normally afforded to Pearson Education titles. While every effort has been made by the author to ensure the accuracy of the text, Pearson Education NZ Ltd does not take responsibility for the editorial quality of this SprintPrint version.

Your comments on this book are welcome at Pearson Education New Zealand Limited 46 Hillside Road, Auckland 10 New Zealand Associated companies throughout the world © Pearson Education New Zealand Limited, 2002 ISBN 1 877258 32 6 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means. electronic. mechanical. photocopying. recording, or otherwise, without the prior permission of the publisher. Produced by Pearson Education New Zealand Limited Printed in Australia

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Table of Contents
Preface Acknowledgements Case Studies in Operations Management The Authors Students Guide to Using Cases vi 3 4

Operations Strategy Cases
Case 1: Wood Veneer Products Case 2: Oxygen Business Solutions: A "Shared Services" Case Case 3: Hubbard's Foods Ltd. Case 4: Express Data: Adding Value as a Middleman 9 15 22 34

Production Management Cases
Case 5: Champion Foundry Company Ltd. 41 Case 6: Mechanical Handling Engineers: Engineering Management with Style 50 Case 7: WJK Yarn Ltd. 61 Case 8: Clearline Instrumentation 69 Case 9: Unilever Australasia Petone 78 Case 10: Kiwi Packaging: Another Tight Schedule to Meet 88 Case 11: Firth Industries Ltd. Wellington Division 94

Service Industries Cases
Case 12: Continental Coach Tours: Quality and Service in a Service Industry Case 13: Peggydale Leathercraft A Lifestyle Business Case 14: Kelly Tarlton's Antarctic Encounter and Underwater World Case 15: Credit Union Otago 106 113 120 131

Project Management Cases
Case 16: The Rise and Demise of an Excellent Team: Introduction of New Technology in Architecture Case 17: Management Failure in Software Development Projects: Two New Zealand Cases 143 152

Small Business Cases
Case 18: Jan McLean Originals Case 19: The Lavender Growers: A Lifestyle Business Case 20: Cowell's Pavlova Kitchen Case 21: Chard Farm: Valuing Quality in the Wine Industry Case 22: The Cheltenham House, Hamner Springs Case 23: Bath Bloomers by Mix it Smooth, LLC Case 24: Wishbone Greeting Ca rds 162 171 177 183 194 201 209

iv Business Case Studies in Operations Management

Quality Management Cases
Case 25: Tecpak Industries Case 26: Service Quality: The New Kitchen Case 27: United Milk Products 218 229 236

Supply Chain Management Cases
Case 28: CLEAR Communications Ltd. 242

International Management Cases
Case 29: Nordica and Danaudio in China 253

Service Industries Cases Case 15

Credit Union Otago: Prospering in a Competitive Environment

Alexander Sibbald School of Business University of Otago New Zealand

132 Business Case Studies in Operations Management

This case study presents an opportunity to identify and discuss operational management strategies pursued by Credit Union Otago in particular, and the credit union industry in general, in their bid to survive and grow, whilst aiming to achieve both their economic and social objectives.

Credit Unions/
Credit Unions are financial services co-operatives, and are its purest form, as they deal exclusively with their members. They are the real 'people's bank', and have their roots in Germany in the mid nineteenth century. Two types of movement evolved from this period. The secular Schulze-Delitzsch type...
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