Thursday, November 2, 2023

#HiredbymyGoodLooksandOozingSexAppeal

 In 2017, I secured my first position as a Fly-in/Fly-out Worker here in West Australia. Back then, finding employment in the mining industry was a formidable task, and I was genuinely grateful for the opportunity.

Around three months into the job, a recruiter reached out to me regarding another job prospect. I informed her that I had just recently started with Orica. To my surprise, she responded with a somewhat mocking tone, asking, “How did you manage to secure a job at Orica?”

It was at this moment that I felt like I was facing discrimination due to my employment with one of West Australia’s premier mining companies. In a light-hearted response, I casually mentioned to her that I was hired by my Good Looks and Oozing Sex Appeal.

This amusing exchange led to the creation of the hashtag, #HiredbymyGoodLooksandOozingSexAppeal. 

 

Wednesday, November 1, 2023

INTEL

A few weeks following my graduation, I received an invitation for an in-person interview at a prominent global microchip corporation. This initial interview was scheduled at their Makati Office, despite my relative experience, I eagerly anticipated this opportunity, as it marked the beginning of my career as a Mechanical Engineer in the Philippines.

The interview was set for 8 am, and my enthusiasm prompted me to arrive around 7:30 am. Upon arrival, I was greeted by the HR representative who had initially contacted me. I promptly submitted my academic credentials, including my diploma, resume, and transcript of records.

While waiting, I observed a gentleman, whom I assumed to be the manager, engaging in a discussion with the HR representative while reviewing my documents. Approximately five minutes later, the HR representative returned my documents and regretfully conveyed that they had decided not to proceed with my interview.

Feeling utterly disheartened, I inquired about the reason behind their decision. The HR representative informed me that my transcript of records revealed a substantial number of academic failures, which did not align with their company’s hiring criteria.

In my frustration and evident disappointment, I was on the verge of expressing my discontent by forcefully closing their main door and venting my frustration internally. It was disheartening to realize that a company of their stature appeared unprofessional in their candidate assessment.

Regrettably, I later learned that both their Makati office and manufacturing plant had ceased operations around 2008. Most likely because of the two of them. I couldn’t help but wonder about the whereabouts of the HR representative and the presumed manager, contemplating a meeting with them to convey my belief that they deserved to experience unemployment.

 

 

Unilever Case Study Analysis Questions

  1.     Does it seem that Unilever has made a commitment to operating in a socially responsible manner? Based on the five components of a socially responsible strategy depicted in Figure 9.2 in Chapter 9, is Unilever’s strategy socially responsible? How does it address the needs of all of its stakeholders? Explain.

·       Employee Diversity

-       Unilever has taken steps to promote diversity and inclusion within its workplace. This includes initiatives to create an inclusive workplace and ensure equal opportunities for employees, irrespective to their background.

·       Environmental Sustainability

-       The company has set an ambitious targets to reduce its environmental footprint, including goals to reduce carbon emissions.

·       Community Involvement

-       Unilever engages in community involvement through various initiatives, including partnerships to promote hygiene and sanitation in developing countries.

·       Corporate Governance

-       Unilever maintains a system of corporate governance that includes a board of directors responsible for overseeing the company’s performance and ensuring compliance with laws and regulations.

·       Ethics

-       Unilever is committed to maintaining high ethical standards in its marketing practices, with a focus on providing accurate and honest representation of its products and services.

2.     How does Unilever link rewards and incentives to strategically-important employee behaviors and the company’s targeted sustainability outcomes?

·       Performance-based incentives

·       Recognition programs

·       Training and Developments

·       By using these mechanisms, Unilever fosters a corporate culture that values and encourages sustainability. These incentives reinforce the company’s commitment to sustainability and encourage to actively participate in achieving targeted sustainability.

3.     Evaluate the key environmental strategy implementation efforts at Unilever. Has management allocated sufficient resources to the sustainability effort? Exercised strong leadership? Instituted policies and procedures that facilitate good execution of sustainability? Demonstrated prudent financial management, based on your analysis of its recent financial performance? Explain.

·       Resource Allocation

-       Unilever’s “Clean Future” program demonstrates their dedication to environment sustainability.

·       Leadership

-       Unilever’s CEO, Alan Jope, has been a vocal advocate for sustainable business practices.

·       Policies and Procedures

-       Unilever has instituted policies and procedures that facilitate the execution of sustainability efforts. These targets waste reduction, and environmental impact assessment.

·       Financial Management

-       Unilever’s recent financial performance shows a commitment to prudent financial management in the context of sustainability. They have managed to balance sustainable practices with profitability.

4.     What grade would you give to Unilever for its efforts to become a socially responsible, environmentally sustainable corporation?

·       High grade for efforts. “A” grade for efforts to become a socially responsible and environmentally sustainable corporation. Unilever’s holistic approach to sustainability and their efforts to align their business practices with environmental and social responsibility goals are commendable. They have shown that sustainability can be integrated into their core business operations, making a positive impact on both their company and the wider community.

5.     What recommendations would you make to Alan Jope to increase Unilever’s triple bottom-line performance? Provide a justification for these recommendations.

·       Enhance Supply Chain sustainability

·       Be more responsible in sourcing raw materials, reducing waste and minimizing emissions. By fostering sustainability throughout the supply chain, Unilever can achieve better environmental performance and strengthen their social responsibility by improving the well-being of communities and workers in their supply chain

·       Strengthen Employee Engagement

·       Unilever should implement initiatives that empower and motivate their workforce to actively contribute to the company’s sustainability goals. This can enhance social responsibility and boost overall performance through increased motivation and productivity

·       Expand Philanthropic Efforts

·       Unilever should consider expanding its philanthropic efforts, with a particular focus on addressing global social and environmental challenges. Increase charitable contributions and partnerships in area like clean water access, poverty alleviation and climate action.

 

 

Case 20: Boeing 737 Max Case study analysis Questions

1.     Does it seem that Boeing has made a commitment to operating in a socially responsible manner? Based on the five components of a socially responsible strategy depicted in Figure 9.2 in Chapter 9, is Boeing’s strategy socially responsible? How does it address the needs of all of its stakeholders? Explain.

Employee Diversity

·       Boeing has policies in place to support employees, including safety initiatives, professional development programs and a commitment to diversify and inclusion within the workforce.

      Environmental Sustainability

·       Boeing has made commitments to improve its environmental sustainability. This includes initiatives to reduce carbon emissions, enhance fuel efficiency, and invest in research for sustainable aviation fuels.

Community involvement

·       Boeing engages in philanthropic efforts through its charitable contributions and community engagement programs. Their portfolio focuses on education, workforce development and veteran support, aiming to positively impact communities where the company operates

Corporate governance

·       Boeing has a system of governance that includes a board of directors responsible for overseeing the company's performance and ensuring compliance with laws and regulations.

      Ethics

·       Boeing is expected to maintain high ethical standards in its marketing practices, ensuring accurate and honest representation of its products and services. Consumer safety is a significant concern.

For shareholders, it strives for financial growth and stability through innovation and market leadership in aviation. For employees, it emphasizes safety, professional growth, and a diverse work environment. For communities, it invests in philanthropy and sustainability initiatives. For customers, it prioritizes delivering safe and reliable aircraft.

 

2.     How does Boeing link rewards and incentives to strategically important employee behaviors and the company’s targeted sustainability outcomes?

Performance–based incentives. Employees involved in sustainability initiatives, such as designing fuel-efficient aircraft or improving manufacturing processes to reduce waste, may be eligible for performance-based bonuses.

Employee Recognition Programs. Employees engaged in developing eco-friendly technologies or proposing innovative sustainability ideas might receive recognition awards, fostering a culture that values sustainability contributions.

Training and Development Opportunities. Employees might receive incentives like access to specialized training, skill development, or mentorship, encouraging them to align their behaviors with sustainability goals.

3.     In what ways, if any, is Boeing exercising corporate social responsibility? Are there any changes to its CSR strategy that you would suggest? If some shareholders complained that Boeing has been spending too little or too much effort on corporate social responsibility, what would you tell them?

Boeing has been exercising its corporate social responsibilities through Environmental Sustainability, Philanthropy, Diversity, and Ethical Business Conduct.

Boeing should include in their Corporate Social Responsibility the stakeholder engagement. Improving engagement with a broader range of stakeholders, including local communities, environmental organizations, and shareholders, can provide a more comprehensive understanding of CSR expectations and concerns.

Boeing’s CSR initiatives demonstrate a commitment to environmental sustainability, community engagement, and ethical business conduct. Balancing CSR efforts to align with both business interests and society expectations is essential for sustainable growth and long-term shareholder value.

4.     What grade would you give to Boeing for its efforts thus far to become a socially responsible, environmentally sustainable corporation?

Grade B. Boeing has shown commitment to environmental sustainability, community involvement and philanthropy, and its efforts in diversity and inclusion.

5.     What recommendations would you make to David Calhoun to increase Boeing’s triple bottom-line performance? Provide a justification for these recommendations based on the outlook for Boeing and the attendant risks.

Sustainable innovation. Boeing should invest in research and development to create more fuel-efficient aircraft, reduce carbon emissions, and minimize the environmental impact of air travel.

Diversity. Strengthen efforts to enhance diversity within the company.

Stakeholder engagement and transparency. Actively engage with stakeholders including customers, employees, suppliers and the wider community to understand their expectations and concerns.

 

Case 21 Walt Disney Case Study Analysis Questions

 1.     What is The Walt Disney Company’s corporate strategy?

·       Create high-quality family content

·       Exploiting technological innovations to make entertainment experiences more memorable

·       Expanding internationally

2.     What is your assessment of the long-term attractiveness of the industries represented in The Walt Disney Company’s business portfolio?

·       Media Networks

·       This will depend on Disney’s ability to adapt to changing consumption patterns and evolve in the streaming era.

·       Parks and Resorts

·       It can be cyclical and is sensitive to economic conditions and geopolitical factors.

·       Studio Entertainment

·       The film industry remains attractive in the long term, driven by global demand for entertainment.

·       Consumer Products

·       Can be a steady source of revenue. However, it is subject to changing consumer preferences and economic conditions.

·       Interactive media

·       Disney’s investment in the digital platforms, mobile apps, and gaming shows their commitment to adapting to these changes.

3.     What is your assessment of the competitive strength of The Walt Disney Company’s different business units?

·       Disney’s competitive strength varies across its business units, with a particularly strong position in Studio Entertainment and Consumer Products due to its extensive portfolio of franchises and characters. The media networks and interactive media segments face ongoing industry changes, and Disney has been actively adapting to remain competitive. Overall, Disney’s strong brand, intellectual property, and commitment to innovation position them well in their respective industries. However, continuous adaptation is crucial in the evolving landscape of entertainment and media.

4.     What does a 9–cell industry attractiveness/business strength matrix displaying The Walt Disney Company’s business units look like?

·       High Business Strength = Studio Entertainment

·       Low Business Strength = Interactive Media

5.     Does The Walt Disney’s portfolio exhibit good strategic fit? What value chain match-ups do you see? What opportunities for skills transfer, cost sharing, or brand sharing do you see?

·       Content creation

·       Skills in content creation can be transferred and shared across business units. For instance, popular franchises and characters from Studio Entertainment can be leveraged for content in the consumer products segment

·       Streaming Services

·       Skills in content curation, data analytics and digital marketing can be shared across these segments to optimize the streaming services performance and customer experience

6.     What is your assessment of The Walt Disney Company’s financial and operating performance in fiscal years 2015-2019? What is your assessment of the relative contribution of each business unit to the financial strength of Disney based on the 2018 and 2019 fiscal year financial data?

YEAR

Operating Revenues (In millions)

Net Income (In millions)

Operating Activities (In millions

Total Assets (In millions)

2015

52,465

8,852

11,385

88,182

2016

55,632

9,790

13,136

92,033

2017

55,137

9,366

12,343

95,789

2018

59,434

13,066

14,295

98,598

2019

69,570

10,913

5,984

193,984

 

·       With the help of Disney’s various business units, Disney was able to change from a successful production studio to a comprehensive interactive experience. From 2015, its net revenue of 52,465 (in millions) has improved steadily. Growth in revenue is a sign of a successful business

7.     What actions do you recommend that The Walt Disney Company’s management take to improve the company and increase shareholder value? Are there specific actions that you recommend to successfully integrate the 21st Century Fox or improve the likelihood of success for Disney’s direct-to-consumer and over-the-top media services? Do you have recommendations for lessening the impact of COVID-19 on financial performance?  Your recommended actions must be supported with a convincing, analysis-based argument.      

·       To improve and increase shareholder value, and to address the successful integration of 21st Century Fox, here are some recommendations:

1.     Maximize Disney plus

·       Continue to invest in Disney plus. Focus on content development, user experience and international expansion

2.     International expansion

·       Focus on expanding Disney’s global footprint, especially in emerging market

3.     Mitigate pandemic impact

·       Diversify revenue streams and implement flexible pricing models. Especially in the theme parks and resort segment

4.     Sustainable cost management

·       Implement efficient cost management measures to optimize profitability in the face of economic uncertainties

 

Tuesday, October 31, 2023

Case 27 - Nestle

 Reflecting on my personal encounter with Nestle Philippines:

In the year 2000, shortly after earning my engineering degree, I applied for a cadet engineer position at the Nestle Manufacturing Plant located in Cabuyao, Laguna, Philippines. Nestle held a prominent status in the Philippines, and the prospect of working for this company was highly regarded.

Conveniently, the Nestle Manufacturing Plant was just 15 kilometres away from my residence in Laguna, making it a practical choice for employment. However, during the initial interview stages, the HR representative requested that I visit their head office, which was situated approximately 35 kilometres away. Fortunately, I progressed successfully through the initial interview and received an invitation for the final interview at the manufacturing plant.

To my surprise, the process required me to first visit the head office, after which a shuttle van would transport me to the manufacturing plant. I adhered to the schedule, arriving at the head office at 7 AM, where I boarded a shuttle van with heavily tinted windows bound for the manufacturing plant. As we reached the entrance gate of the manufacturing plant, our van encountered striking Nestle workers, who surrounded our vehicle and attempted to peer through the tinted windows. I overheard one of the workers ominously say, "I know where you live!"

Naturally, fear gripped me at that moment, and I conveyed my concerns to the individual conducting the interview. Regrettably, my apprehensions were met with indifference, signalling a red flag for me.

During the interview, I was presented with a standard behavioural question. I was asked how I would handle a situation where a fellow employee was underperforming while I maintained a proactive and independent work style, despite both of us receiving the same salary. I replied by expressing that it was not my responsibility to scrutinize the performance of other employees. Instead, my focus was on my personal development and work ethic. If a colleague's performance issues were evident, it should be the duty of the supervisor to address and rectify them.

I received an offer following the interview, but ultimately, I decided not to pursue employment with Nestle.

 

Wednesday, October 11, 2023

Case 14: Go Pro in 2020: Have Its Turnaround Strategies Failed

 1.     What are the strategically relevant factors in GoPro’s macro-environment? What does a PESTEL analysis reveal about the action camera in 2020? Does the external environment of the drone industry present attractive opportunities to GoPro?

P = Political Factors = changes in regulations can affect product development, sales and market entry strategies

E = Economic = Economic fluctuations, exchange rates and consumer purchasing power can influence GoPro’s sales and profitability

S = Social = Trends in adventure sports, vlogging and outdoor activities can positively influence the demand for action cameras, aligning with GoPro’s target market

T = Technological = Advancements in camera technology, image stabilization, and connectivity capabilities significantly affect GoPro’s competitiveness

E = Environmental = Growing awareness of environmental issues may drive demand for sustainable and eco-friendly action cameras

L = Legal = Legal issues related to patent, copyrights and intellectual property can affect GoPro’s ability to innovate

The external environment of the drone industry presents an attractive opportunity to GoPro. GoPro can collaborate to integrate their cameras with drones, enhancing their value proposition for drone enthusiasts and professionals.

2.     What is your assessment of GoPro’s business model and competitive strategy? Does its approach to delivering customer value contribute to a sustainable competitive advantage?

Business Model. Built around providing high-quality, durable action cameras and related accessories to a target market of adventure enthusiasts.

Competitive Strategy. GoPro has focused on product innovation and differentiation by constantly improving camera features, image quality and durability. They aim to provide a superior product compared to its competitors.

Sustainable Competitive Advantage. Having a high-quality product, a strong brand and a vibrant user community, has historically contributed to a sustainable competitive advantage. The camera’s durability, advanced features and association with extreme sports and adventure have established a strong position in the action camera market.

However, to maintain a sustainable competitive advantage, GoPro needs to continuously innovate, adapt to changing consumer preferences and invest in technology to stay ahead of competitors.

3.     What are GoPro’s key resources and competitive capabilities? What is the competitive power of its most important competitive assets?

Key Resources:

Technology. GoPro’s technology in designing and manufacturing action cameras is a significant resource.

Brand. The GoPro brand is an asset, associated with adventure, high-quality video capture and durability.

Competitive Capabilities:

Product innovation. GoPro excels in innovation, improving their cameras with advanced features like image stabilization, high resolutions and waterproofing.

Brand Loyalty. GoPro has fostered strong brand loyalty and engagement through user-generated content, social media presence and a vibrant community.

Quality and Durability. GoPro is known for the quality and durability of its products. This reliability instils trust in customers, influencing purchasing decisions and repeat purchases.

4.     What is your assessment of GoPro’s financial performance the past three years? (Use the financial ratios in the Appendix of the text as a guide in doing your financial analysis.)

Operating Profit Margin

2017

2018

2019

Revenue

1,179,741

1,148,337

1,194,651

Operating Expenses

547,990

455,396

415,122

Operating Profit Margin = Sales revenue – operating expenses / Sales revenue

53.55%

60.36%

65.24%

 ·       GoPro have recorded a steady increase of Operating Profit (or Operating income) for the years 2017 / 2018 / 2019, suggesting a better cost management and higher profitability from core business activities.

5.     Based on the preceding analysis, and the first quarter 2020 statement of operations, what is your overall evaluation of GoPro’s business situation as the company moved into 2020? Does the company’s strategy have the potential to provide the company’s shareholders with an opportunity for above-average market returns in the next 3 – 5 years?

GoPro faced a range of challenges leading up to 2020, including increased in competition, pricing pressures, and a highly competitive market for action cameras. The company had been working to diversify its product offerings, focusing on software and services to complement its hardware. GoPro has also been emphasizing innovation in its camera products, aiming to differentiate itself through superior technology and features, solidifying its position as a leader in the action camera market.

GoPro has the potential to provide the company’s shareholders with an opportunity for above-average market returns in the next 3 – 5 years depending on the following:

Market dynamics. If GoPro can accurately predict and adapt to the market dynamics, it can capitalize on market demands.

Innovation. GoPro’s ability to innovate and introduce compelling products with enhanced features, image quality and usability will be key.

Cost management. Effective cost management and operational efficiency are critical to improving profitability and ensuring financial stability.

6.     What strategic actions should GoPro management take to reestablish GoPro’s financial and market performance? 

GoPro’s management should consider a multifaceted strategic approach that addresses product innovation, market expansion, cost management, and customer engagement. Adaptability to market trends and consumer preferences will contribute to the company’s long-term success.

 

 


A Son Never Forgets

Before moving to Australia in 2014, I spent a decade working in the Middle East, from 2004 to 2014. I held the position of Lead Power Contro...