Operations Management Data-Analytics-Based Decision-Making at Teach for India
The case is designed to be used in courses on Nonprofit Operations Management, Data Analytics, Six Sigma, and Business Process Excellence/Improvement in MBA or Executive MBA programs. It is suitable for teaching students about the common problem of lower rates of volunteerism in nonprofit organizations. Further, the case study helps present the importance and application of inferential statistics (data analytics) to identify the impact of various factors on the problem (effect). The case is set in early 2021 when Shefali Sharma, the Strategy and Learning Manager with Teach For India (TFI), faced a few challenging questions from a professor at the Indian School of Business (ISB) during her presentation at an industry gathering in Hyderabad, India. Sharma was concerned about the low matriculation rate of TFI fellows, despite the rigorous recruitment, selection, and matriculation (RSM) process. A mere 50-60% matriculation rate was not a commensurate return for an investment of INR 6.5 million and the massive effort put into the RSM process. In 2017, Sharma organized focused informative and experiential events to motivate candidates to join the fellowship, but it was not very clear if these events impacted the TFI matriculation rate. After the industry gathering at ISB, Sharma followed up with the professor to seek his guidance in performing data analytics on the matriculation data. Sharma wondered if inferential data analysis could help her understand which demographic factors and events impact the matriculation rate.
- Illustrate the importance of inferential statistics as a decision support system in resolving business problems
- Formulating and solving a hypothesis testing problem for attribute (discrete) data
- Visually depicting the flow of work across different stages of a process
Operations Management Executing the Bogibeel Bridge for Social Impact: Risk Planning and Managing Earned Value
The case goes on to describe the enormous challenges involved in building the 4.94 km long Bogibeel Bridge in the North Eastern Region (NER) of India. When it was finally commissioned in 2018, it was hailed as a marvel of engineering. With two rail lines and a two-lane road over it, the bridge spanned the mighty Brahmaputra river. The Bogibeel Bridge was India's longest and Asia's second-longest road and rail bridge with fully-welded bridge technology that met European codes and welding standards. The interstate connectivity provided by the bridge enabled important socio-economic developments in the NER that included improved logistics and transportation, the growth of medical and educational facilities, higher employment, and the rise of international trade and tourism. While the outcomes of the project were significant, the efforts that went into constructing the Bogibeel Bridge were equally so. This case study is designed to teach the importance of effective risk planning in project management. Further, the case introduces students to earned value analysis and project oversight in managing large projects. The case centers on Indian Railways' need to quickly discover why the Bogibeel project was not going according to plan. The case also serves as a resource to teach public operations management where the focus is on projects and operations that result in socio-economic outcomes.
The key case objectives are to enable students to:
- Appreciate the importance of risk planning and risk prioritization and learn strategies to manage various project risks
- Understand earned value management (EVM) and the associated metrics and calculations for project evaluation on time and cost schedules.
- Identify social impact outcomes in public/infrastructure projects.
Strategy SpiceJet: Flying in the Face of Imminent Shutdown
This case describes the plight of SpiceJet, an Indian low-cost airline that found itself in an acute liquidity crisis and on the brink of closure in December 2014. By the month's end, SpiceJet had no money to fuel its planes, run its operations or pay salaries, airport duties and taxes. Oil companies had refused to extend further credit to the airline until it settled its past dues. By late 2014, the operational footprint of SpiceJet, which had ballooned to 59 destinations, deflated when the airline had to reduce its fleet to 32 planes from 58 planes within a short span of six months. The lessors demanded that the planes be returned to them to reduce their risk exposure in SpiceJet. In January 2015, Ajay Singh, former chairman and founder of SpiceJet, came back on board five years after he sold the airline to media baron Kalanithi Maran of Sun Group. Singh was asked to bring the troubled airline back on track, a task that was fraught with challenges. Apart from managing the liquidity crisis, Singh had to find a way for SpiceJet to retain its key routes with a smaller fleet and recover ground where SpiceJet had been forced to recede. It was also crucial to raise employee morale and win back customer confidence and trust in the brand. The case unfolds the structural challenges of the Indian airline industry, which is characterized by steep discounting and overcapacity that eventually results in the underutilization of assets. Only an airline with limitless access to capital or very high operational efficiencies is likely to survive in this sector.
This case can be mapped for both MBA and Executive MBA courses in Strategy and Operations Management to: 1. Illustrate the operational dynamics of the airline industry and analyze dominant strategies. 2. Examine the plight of an airline going through a liquidity crisis. 3. Evaluate a comeback strategy that tweaks operational parameters and helps with better resource management. 4. Understand critical of aspects of revenue management
Operations Management Dr. Reddy's Laboratories Ltd: Inventory Management Under Resource Constraints
Set in 2016 in Hyderabad, India, the case follows Puvvala Yugandhar, Senior Vice President at Dr. Reddy's Laboratories (DRL), as he decides what to do about an underperforming production policy at their plants. Adopted a decade earlier, the policy, called Replenish to Consumption -Pooled (RTC-P), had not delivered the expected results. Specifically, the plants had been seeing an increase in production switchovers and creeping buffer levels for certain products, which had led to higher holding costs and lost sales for certain products. A senior consultant had suggested that DRL switch to a demand estimation-based policy called Replenish to Anticipation (RTA), which attempted to address the above concerns by segregating production capacity and updating buffer levels using demand estimates. However, Yugandhar, well aware of the challenges of changing production policies, wanted to explore a variant of RTC-P called Replenish to Consumption -Dedicated (RTC-D), which followed the same buffer update rules as RTC-P but maintained dedicated capacities for a subset of products.
By studying and solving the decision problem in the case, students should be able to better appreciate the challenges involved in making long-term operational changes. It gives them an opportunity to: (1) understand how each input might impact the final decision, and (2) how to weigh each of these inputs in arriving at the final decision.
Operations Management Aahan (A): Diagnosing Tuberculosis in Rural India
Manish Bhardwaj, co-founder of Innovators in Health, is contemplating setting up Aahan, a community based tuberculosis (TB) control program in rural India. The case describes TB diagnosis and treatment in the public and private healthcare sectors in India and the attendant challenges. A number of candidate interventions aimed at improving the existing system of healthcare delivery are presented at the end of the case, each one of which could form the core of Aahan. Students are encouraged to use operations management principles to quantify the potential public health benefits and costs of these interventions and prioritize them accordingly. Key concepts include process flow mapping, flow balance, Little's Law and selection of appropriate process measures based on the strategic objective of the process.
1. Illustrate process analysis through a public health application: (i) Process flow diagrams, (ii) Quantifying performance with appropriate metrics, and (iii) Little's law; 2. Quantify the link between operational changes in healthcare delivery and health outcomes via operational interventions; 3. Sensitize students to the interdependence between the following aspects of healthcare delivery in a resource-limited setting: (i) Public and private systems, (ii) Prevention, diagnosis and treatment.