Assessment Managerial Problem Solving
Before you do anything else. You must read the following case study.
After you read this the rest of the assessment will make sense.
Case Study
You are excited. You have just been appointed as the managing
director of the biggest supply chain company in Australia, Max-Rail. In
your previous role you managed a small team to create an optimized
inventory system that saved your company three million dollars. The
success of that campaign has gotten you this big promotion.
Max-Rail is a formerly state owned company that was set free under
the current regime. Their policy was based on a view of the world that
said all utilities, whether they be: rail, sea, air, electricity or water,
should be competitive entities. That is, all companies, private or
public, should be able to compete with each other to deliver optimum
value. You didnt see the big deal with this because in your previous
position you had to optimize a small group of people managing the
supply of steel into Northern Australia. As you showed commercial
initiative in your work, you were handpicked to manage the supply
chain nationally to ensure that outcomes were delivered smoothly
across the business. In fact, your main key performance indicator is
that you are to manage the supply chain across the market to ensure
positive outcomes. In particular, your bosses want to see a robust,
efficient, supply chain that can go from generating several million
dollars worth of revenue to generating several billion. As you have
been assigned this role, you are quite nervous but carry a certain
confidence that you can achieve this based on your previous record.
One of the reasons you have been asked to do this is because your
boss is a sustainability expert. At the welcome function you had a bit
too much wine and found yourself talking to your new boss discussing
the value of sustainable enterprise. He mentioned that he had a
project coming up called the green train initiative. The idea was to
used existing rail, with a green energy company in tow, to promote
sustainable enterprise. You spotted him a cab charge back and he, full
of promises and smiles, promised you a management role in the
project. You smiled realizing that this would never happen.
One Month Later
You are now quite stressed. It turns out that the bosses didnt really
know what they meant when they created your position. There are no
clear guidelines, rules, policies or anything you can draw from to deal
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with the critical issues you engage with on a daily basis. The budget
they gave you is full of rubbery figures. None of the current
stakeholders you engage with are happy, clients are not happy and the
team of people you now manage are showing signs of declining
morale. Not only that but sales are down because the market has
perceived the company as not being ready and are voting with their
feet. Your route from Darwin to Perth has two other competitors who
are quickly eating in on your territory.
One day you are sitting at your desk contemplating the wisdom of your
decision went the phone rings. Its your immediate boss with that offer
to run the green train initiative. He asks you to meet him to discuss it.
On the way to the meeting you feel an ulcer growing steadily in your
stomach. After the meeting you feel that you have grown two. In
short they have given you a month to sort out the main issues with
your role in the project.
You have been tasked with overseeing this project. Your boss in a
flash of inspiration decides that your success in the new role will be
measured by how well you perform in managing this project. You will
learn more about his project as you progress through the simulations.
You have four key selection criteria in this role:
1.
2.
3.
4.
To
To
To
To
demonstrate a high conceptual ability
organize plans for the green train initiative
deliver timely advice and strategies
demonstrate a highly developed problem solving capability
Your deliverables are:
1. A plan to fix the communication breakdown between the green
train initiative and business optimization team
2. Coming up with the pros and cons of the green train plan.
3. Mapping out alternatives to the green train plan after it failed to
make a profit on its first run
You have three scoping exercises to complete before writing a final
short report. If you succeed in this your boss will be excited and your
future will be secure.
Rationale
To help you along the way the people in charge of the business have
isolated three groups of issues you need to tackle. You will be given a
brief on each issue and asked to write a one-page plan to respond to
the issue. If you are successful you get to keep your job.
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Course Assessment
To assist you with this task you have to conduct three key things. The
first is a series of simulations due at different points in the semester.
The simulations are separate handouts offered through the course to
help you along the way.
Simulation #1 Communication Breakdown
As part of the merger you have been asked to work with a newly
purchased business entity specializing in business optimization. From
the start of your time working with these people you have had a
problem with their lack of communication with the rest of the team.
They have good ideas but fail to integrate with the group. Currently
they reside in another building and dont feel the need to cross the
street to liaise with you or your newly appointed team.
The problem
is this unit has the information you need. What can you do to learn to
work with this eclectic bunch of nerds?
At the moment they simply go about running mathematical models
without sharing the results with the team other than through email.
This annoys you and your team because this crucial data is essential to
the successful design of the merger.
Your task is to outline a one-page plan to better engage with the
optimization team. Remember you were hired to optimize the new
supply chain, you need the talent, skills and resources of this team.
Your plan must include the following:
A) A general overview of the problem and what the causes of the
communication breakdown might be (one paragraph)
B) A communication improvement strategy
C) A timeline for planned improvement
Your boss has given you one day to complete this task. You will
hand this task one week after the class date.
Due date is 4th September 6pm via the course website
Simulation Exercise #2 The innovation problem
After the success of the first communication exercise, you feel a boost
of confidence. The data from the optimization team has led to several
service improvements. The sales coming in have made your bosses
happy. The growth in the core logistics business of moving freight
from one part of the country to the other have resulted in a couple of
good opportunities for development.
The first opportunity is a new green energy company that is asking for
the rail services you provide. They want to ship coal from Queensland
to Western Australia, which is a route you already provide. However
they want to do it in such a way that you are no longer uses your own
rail carriages. They want to use their own rail carriages with their own
branding on it. Further, your big boss is a sustainability advocate and
got his current job by promoting sustainable development in the rail
industry. He has put pressure on you to accept this proposal. To make
matters worse your finance team has crunched the numbers and this
deal would mean that for every three trips, there and back, the profit
margin is likely to be less than one half of a percent (0.5%). To add to
your woes in making this decision, your boss is a powerful political
figure. He has organized a site visit to see the trains to promote the
business. He wants you to present a case for and against the
adoption of the trains using common sense English. You need to do
the following
A) using a table, a concept map or something visual break down
the pros and cons of adopting the green train plan.
B) Identify what are the linked issues in this case? Who are the
major players and what kind of influence do they have?
C) Present your findings in a way that is suitable for the big boss.
Tools to help you do this exercise:
http://www.youtube.com/watch?v=KhgxuNvbNrA
http://www.youtube.com/watch?v=8uoZpTYmrmo
Due October 16th 6pm via the course website.
Simulation Exercise #3 What is a wicked problem?
After your stellar performance in implementing the green train strategy
your bosses are almost convinced that you can stay in your position.
Suddenly, on the way from the depot in Townsville to the Mount Isa the
train derails. The paper thin margins used to forecast the profitability
of the green train are completely thrown out the window. Your big
boss storms into your office demanding an explanation. He wants
you to explore the issue of paper thin margins and figure out what it
means for the company. Should we have a disaster management plan?
Should we find something to do instead? Is the deal to be cancelled?
How should be structure this problem? To successfully complete this
task you need to:
A) Identify four different ways to structure this problem that is
what are four different ways of thinking about and defining this
problem?
B) For each of these different strategies what can be done to better
understand this issue?
Due October 16th 6pm Course Website
Assignment Report 50% - Due -
30th October 6pm.
As mentioned in the course overview the assignment asks you to write
a business report to plead your case to your boss. You are to deliver a
short report to your boss. You are free to use any format you like.
Here are the general things expected from the report.
1. A plan to fix the communication breakdown between the green
train initiative and business optimization team
Whats your plan to fix the communication breakdown?
2. Coming up with the pros and cons of the green train plan.
What are the pros and cons of the green train project?
3. Mapping out alternatives to the green train plan after it failed to
make a profit on its first run
What are ways to manage the green train project moving
forward?
Possible Structure
Introduction outlining your solution to the three key problems.
Fixing the communication breakdown whats your plan and process?
The pros and cons of the green train project
Analysis - Alternative ways of looking at the green train project
instead of just profitability.
A) Outline - Identify four different ways to structure this problem
that is what are four different ways of thinking about and
defining this problem?
Conclusion and plans for the future.
References (if needed).
The point of this report is to outline your fix to the major issues
indicated by the executive director of the green train project. Keep it
under 2000 words. Use diagrams, pictures, videos and whatever you
can to demonstrate your ability to address these critical issues.