Case Analysis

Guidelines

Case Method Main Objectives:

• To develop skills in understanding, processing, analyzing,

integrating, evaluation, and acting upon information.

• To provide practice in problem solving.

• To practice applying the theory and techniques to real life

problems.

• To help develop written and verbal communication skills.

I. Overview

A. Read the case through 1 or 2 times to get a feel for the focus and background.

B. Reread the case carefully and extract the factual data, key issues and problems.
At this stage, understand the situation without trying to solve the problem(s):

1. Profile the company background and situation given in the case.

2. Profile the market and product from information given in the case.
3. Identify the “players” named in the case, e.g. titles, duties.
4. Describe problems and/or options identified in the case.
5. Identify company goals, objectives, or policies stated in the case which may
become part of its decision criteria.

C. Problem Solving:
1. What are the objectives of the organization?
2. What is/are the decisions or the problems? (You man find more than
are specifically stated.)
3. What are the key relevant facts?
4. What are the alternatives?
5. What are the decision criteria?
6. What is your analysis or the alternatives using the decision criteria?
7. Which alternative(s) do you recommend?
8. What is your implementation (action plan) and what results do you
expect?
9. What additional research might enhance your
analysis/recommendations (experts, reading, references)?

D. Conceptual
1. Where does the case fit in the course?
2. What critical questions need to be addressed from the course material?
3. Do the lectures, readings, and/or text impact on the case
issues/problem situations?
4. Is there a theme evident through a series of cases in a topic/functional
area of a course?
 E. Approach

A research paper begins with a building process approach. Find a reference; read
the journal article which will likely lead to other articles and references. In the
process you build understanding which results in a conclusion or theory.

The case method can be seen as the reverse: you start with the issues,
question, or problem and trace it back to see what information relates to that issue,
question or problem. If it doesn’t relate you reject it until you have a fit between
the issue, question or problem and the pertinent information.

But it can also be seen as being similar to the research paper: you read the
material, construct a background, and build an understanding of the issues or
problems. This may lead you to other research. Your analysis builds from facts in
the case and other research. Like any research project, not all data may be
pertinent, so you must identify what is pertinent to the issue(s). This is developed
into a recommendation (instead of a theory). Because you take it one step further
to the implementation (action plan), the case analysis may be considered a form of
applied research.

II. Group Work Tips to Help with Success

A. Establish the decision criteria for dealing with group decisions and use them.

B. Set time limits for meetings and stick to them.

C. Assign each member with specific preparation responsibilities.

D. Stay focused in your meetings to the work at hand. Use your time efficiently
as some of your group members may have taken time away from work or
other courses to meet – socialize on your own time.

E. Have an agenda for each group meeting and ensure that each group member
has action items or “take aways” to complete for the next time your group
meets.

F. Be fully prepared for the group meeting:

1. Have outside information needed.

2. Complete individual case preparation agreed upon by the group.
3. Participate actively in the group.
4. Iron out minor disagreements between individuals after, not during, the
meeting.
5. Group leaders and secretaries are not necessary; everyone is responsible
for his/her own notes and contribution.
6. A case is no different than an exam problem; your individual effort should
be comparable.
 7. “Coat Tailers” who don’t contribute in the required quality and quantity
agreed on by the group should be dealt with:
a. If you want to submit the case without this member’ name
(i.e. that member did no work on the paper), you must tell
him/her well enough ahead of time so he/she has an
opportunity to contribute.
b. Some courses use peer evaluations to adjust for different
levels of effort on cases. Do not leave the problem to the end
of the term! If someone is going to be slammed in the
evaluation, they should know well ahead that it is coming –
talk to them, early and continuously.
c. Coordination and communication is a 2-way street. Just
because you haven’t heard from another member of the group
doesn’t mean “they” are the problem. If “they” don’t call
you, then you call “them.”

III Case Formats

There are a number of acceptable formats, each with own particular adherents, but
in general, some form of the following format shown below is normally used:

• Title Page (e.g. cover page)

• Table of Contents
• List of Exhibits or Appendices (may also be at the end of the Table of Contents)
• Executive summary
• Background
• Statement of Problem(s) or Statement of Issue(s)
• Situation Analysis
• Analysis of alternatives
• Recommendation(s)
• Implementation or Action Plan
• Bibliography or References cited (if any)
• Exhibits or Appendices (if any)

IV Case Grading

Every instructor seems to have his own particular formula or style which creates a
challenge for the student exposed to these differences. In general, most cases are
graded upon the following parameters:

a. The degree to which the major problems in a case have been

identified and analyzed – usually at least the 80% level is expected.
b. Degree to which recommendations are supported by facts and
analysis/justification.
c. Key assumptions should be identified, based upon information
from the case or outside readings.
 d. Use of correct methodology in applying analytical tools to evaluate
alternatives.
e. The recommendations and logic (justification/rationale/arguments)
used to evaluate the alternative solutions should be consistent with:
1. the key assumptions
2. interpretations of the case material (in case, readings, or
previously given in the paper, and
3. calculations and analyses.
f. Reasonable organization of material, grammar, spelling and overall
writing ability. You are business students so all work should be
presented in a professional manner, just as you would present work
to an employer or a client.

Allocation of marks to these measures varies not only by instructor, but

sometimes by case, since some cases lend themselves to development of some
areas more than others.

V. Case Questions

Some instructors ask that the specific questions given with a case be answered.
This is not a case analysis, but a way of focusing upon key points in a case.
Questions, when provided with a case, are intended to be an aid so that key points
or issues are not overlooked in preparing the case. Usually the issues raised by
these questions are addressed in the case report structure rather than being
specifically answered.

VI Performing a Case Analysis

A. Overview

The particular analysis which is required in a case will usually depend on

the case itself. There is no canned analysis which will be applicable to all
cases. Each analysis will depend upon the objectives of the company, the
topic or functional area of the course, and the problems and the available
data in the case, readings or external research.

The key to a logical analysis is to determine the decision criteria, to select

an appropriate form of analysis to determine whether the objectives will
be achieved, and then to apply this analysis to all of the solution
alternatives.

The recommendations will flow from the analysis and, in some cases, can
be further elaborated upon in the implementation phase.
B. Analytical Approaches (General)

While there is no single analytical approach which will work in all cases, a
number of models and approaches do exist. Students may be required to
use different approaches in various courses.

A major difficulty with some cases is the selection between two or more
alternatives which, depending upon your viewpoint, appear to be equally
effective in accomplishing the company’s goals.

Some alternatives can be evaluated on a financial basis (cost, revenue or

profit) and the results numerically evaluated. Other alternatives may
involve qualitative or more subjective issues, which cannot be converted
into cost/revenue factors. Some decision models require a numeric
ranking be assigned to each alternative. The overall results are then
viewed based on numeric point scores (with or without minimum hurdle
scores).

Many problems deal with profit, productivity or cost efficiencies. These

lend themselves to break even analyses, payback period, forecasting,
return on investment and other ancillary techniques. But, regardless of
which methodology is used, both quantitative and qualitative issues must
be addressed. The analysis and recommendations should include both of
these types of problems as well as the company’s objectives and
constraints.
 The decision process begins with a holistic view of the situation and then
separates this into modules or steps which, when recombined, form a
holistic solution to the problem. This process simplifies the decision-
making and develops a logical approach to problems in both business and
non-business settings [See chart.]

Overview

Background &
Situation Analysis

Criteria
-objectives of the company
-conditions to be fulfilled
Problem Definition
Constraints
-limitations both internal
and external, controllable
Alternatives and uncontrollable
Evaluate each discrete option

Screen
constraints – criteria

Alternative satisfies
Constraints and criteria? No

Yes

Composite
Solution/Recommendation

Implementation
Short term
Long term
C. The Analysis Process

1. Read the Case

Read the case thoroughly for understanding of the background, the internal
and external environment, and the facts as presented in the case. Read a new
case through without making any notes. This first reading will give you a
general introduction. Read it through a second time looking to confirm your
understanding. Then you are ready to take notes for make highlights on your
third reading.

2. Identify All Problems/Issues

This will involve listing all the problems identified directly in the case and
any which you have identified arising your reading of the case. Be sure to
identify the true nature of the problem, and not just the symptoms.

There may be multiple problems. By examining the listed problems, a natural

grouping should result. That is, an “umbrella” problem (or category of
problems) under which at least 40-50% of the individual problems could be
covered. This “macro” or “umbrella” problem becomes the major focus of the
decision process and should be written as a problem statement. In keeping
with this approach, the individual problems which do not fall under this
umbrella should be identified so that they can also be dealt with. In some
instances, these minor problems can be resolved in the implementation phase.

If the problems do not appear to fall into “umbrella” categories, then attempt
to group problems into Primary and Secondary importance levels.

Note: Care should be taken in the listing of problems so to identify the

root problem and not the symptoms of the problems.

Some cases may revolve more around opportunities or

Strategic directions, and not “problems.” The identification
process is the same, but the work “issue” might be a better
substitute for “problem” in the above paragraph.

3. Identify the Key Elements

Identify the “facts” of the case. Some facts may be more critical to the
problems at hand than others, so focus on the pertinent information. To help
assess the relevance of certain facts, you can apply the “So what Test.”
Simply ask yourself, so what does this have to do with my problem?

Among the facts which you identify should be the criteria and constraints of
the situation.
a. Criteria

Criteria are the objectives of the firm as stated in the case or in the
management policy statement. There may be primary plus additional
(and/or secondary) objectives which should all be included. It is
sometimes easier to identify these objectives as part of the background
section of your report, i.e. before you begin to discuss the problems.

The criteria should be specific, attainable, and measurable. In addition, it

is more effective to list discrete (i.e. individually distinct) criteria –
separately, not combining 2 or 3 as one criterion.

The criterion is what you are trying to achieve. How you achieve it are the
recommendation and implementation.

It is common to find that not all criteria have equal importance. If the firm
is cash-poor, improving cash flow would probably have a higher priority
than an objective to improve corporate image.

b. Constraints

Constraints are limitations of the company, and may arise either from
internal or external conditions. Internal constraints are those limitations
within the company and its operations. These are more likely to be
controllable in nature, but perhaps not in the short term. External
constraints arise from the market or other environmental conditions, and
are frequently beyond the control of the company:

(a) Controllable - Internal

- External

(b) Uncontrollable - Internal

- External

The decision process must recognize and work within the uncontrollable
constraints, but it can influence or remove controllable constraints,
depending upon the alternative solutions which are adopted. As with the
criteria, the constraints should be discrete and prioritized (or weighted).
 c. Other Key Facts

The other key facts will relate to the specific situation presented in the
case and the problems.

4. Perform a Situation Analysis

There are a number of methods to do a Situation Analysis, and sometimes the

case itself will lend itself to one approach over another. A combination of
methods may also be used. In all methods, you will be comparing the key
facts of the case with the environment and marketing theory. You may also
need to do additional research for this part of the analysis.

a. Marketing Mix

Evaluating the key facts and problems against the structure of the
marketing mix (product, price, promotion, place) will generally address all
the marketing issues.)

b. S.W.O.T.

Another approach is to categorize the situation under the categories of

Strengths, Weaknesses, Opportunities, and Threats (S.W.O.T.)

c. Environmental Analysis

A situation analysis is incomplete without addressing the environment in

which the case scenario is placed. This environment includes both
external (competition, demographics, etc.) and internal (non-marketing
functions/departments of the organization being studied) areas. Some of
these issues may already have been identified as a constraint under your
earlier identification of Key Facts.

Note: After completing your Situation Analysis, you should go back and
review the problems or issues which you originally identified.
Verify that the ones identified are still valid, with respect to the
further analysis you have done. (You may discover that one of
your “problems” was really only a symptom, or that it is an
uncontrollable constraint instead of a problem.)
5. Identify and Evaluate the Alternatives

g. What is an Alternative?

Alternatives represent the various options for decision-making.

Alternatives should also be stated as discrete items. Otherwise, a good
option may be discarded along with a bad one.

Most of the alternatives will come from the case, but the strength and
ingenuity of your solution is limited if there is no creativity in
generating alternatives. A review of the list of problems helps
generate alternatives. A look at the criteria identifies what you have to
achieve.

Remember, alternatives are how you will achieve; criteria are what
you want to achieve.

h. How do you Evaluate Alternative?

After identifying all options available for possible solution, you must
evaluate the merits of each against the criteria and constraints you
have already established. In this manner, you identify if (or how many
of) your objectives are achieved and if they are within the constraints.

With a lengthy list of alternatives, criteria or constraints, a summary

table (or chart) presentation may help the comparison between options.
Some solutions allow for combinations of several alternatives. In
other cases, the choice may be more of an “either or” situation.

Mathematical analyses or details referenced should be included as

exhibits or appendices. However, the key points used form these
materials should be included in the main body of the report. Example:
Your report might state, “The breakeven number of units is 535,000
(see calculations in Exhibit 1).”

Remember that many alternatives may not be perfect, and may include
some less-than-optimal aspects. You need to address both the positive
and negative aspects of each alternative.
 6. Make a Decision and Understand Its Impact

a. The Recommendation

After a thorough evaluation of each alternative, the decision should be

fairly clear. There may be one or more alternatives which are selected in
your recommendation.

b. The Implementation

Many decisions must be placed in a time frame (short-term, medium-term,

long-term), as one alternative may only cover one limited time period,
after which it is replaced by another action. In addition, some alternatives
might be required to be done simultaneously to b effective. So, this
section expands the decision to include how you plan to implement your
recommendations.

c. The Impact

Since not all alternatives are ideal solutions, there may be limitations, or
possible market reactions. Your recommendation and implementation
plans should address the overall expected results from taking these
actions.

VII. Writing the case Analysis Report

Writing the case report may not always follow the sequence used in conducting
the analysis. The degree to which it does follow the same sequence will depend
on your instructor’ required format. Here, the generic format in Section III has
been used. Note that you do not have a section in this format called “Key Facts.”
However, you will use these facts in the Background, Situation Analysis,
Alternatives and Recommendations to support your reasoning.

In general, your writing should be clear and concise: a case report is not a contest
in paper weight or maximum pages. Point form (often called “bullets”), where
appropriate, is normally acceptable. Use short, direct sentences and paragraphs.
Headers and sub-headers help break the information into smaller sections and
allow your reader to identify key points. Do not repeat the same information from
one section to the next of your report. Always spell-check your work – both a
computer check and a manual one (spell check with your word processing
software will identify typographical errors, but not words that are used in the
wrong context – ie. your and you’re).
A, Introductory Pages (format)

1. Title Page (e.g. cover page)

▪ Include report title
▪ Group members’ names and student ID numbers
▪ Course name, number and section
▪ Instructor’s name
▪ Date

2. Table of Contents
Indicate the page numbers where each major section starts.

3. List of Exhibits or Appendices (if any)

This may also be at the end of the Table of Contents

B, Executive Summary

An Executive Summary is a concise summary from which decisions can be made.

It is short, ranging from approximately 1 to 3 pages in length. It includes a
summary of the overall report, and especially of the recommendations and
implementation sections. This is the only section where duplication is expected,
since everything stated in this section should be detailed elsewhere in the report.
Remember, is not an introduction to the report. It is a synopsis of the entire
report.

C, Background

This section of the report should be short (a paragraph or two). It identifies the
type of company, market, recent activities, and key criteria which set the stage for
the situation under investigation. In some respects, this introduces the reader to
the case analysis.

D, Statement of Problem(s) or Issue(s)

This section of the report will follow closely to your analysis section. The length
of the section will depend on the number and complexity of problems. Lists or
point form is often used here. Remember, this section addresses only what the
problem is, not how you will solve it.

E, Situation Analysis

This section also closely follows your analysis work. Select a format for
presentation which best suites your material. Sub-headers are often used to break
up the section into more discrete units. Clearly set forth the business environment
(internal and external) for the case. Against this environment, your alternatives
will be evaluated.
F. Analysis of Alternatives

This section also closely follows your analysis work. You may begin with a list
of options, and then evaluate the merits of each alternative listed. Or, you may
identify each option (perhaps as a sub-header) and analyze it before going to the
next.

Some cases may lend themselves to grouping certain options and sub-options
which relate to taking that particular major decision path, e.g. Develop New
Product: a) Expand production facilities, b) Outsource. Other alternatives may
not be inter-related. Be sure to address both the positive and negative aspects of
each alternative, or groups of alternatives.

G, Recommendation(s)

Your analysis sections will give the individual evaluation of each alternative. The
Recommendation section will identify which alternative(s) have been selected and
provide the support as to why they are the best solution, i.e. a more holistic view.
Avoid simply repeating sections of the analysis section.

H, Implementation (Action Plan)

The implementation section is the action plan on specifically how the company
can make the solution work. How, when, where and what of the solution must be
addressed. Normally a portion of this section will be allocated to the short,
medium, and long-term plan, based upon the sequencing of recommendations and
the task(s) to be accomplished.

In some cases, this section may be combined with the Recommendation section,
and should be if you are merely repeating what you said in the Recommendations.

I, Bibliography, or References Cited (if any)

Other references used, e.g. published books, magazines, newspapers, interviews,

videos, internet sites, etc., should be listed in suitable College or MLA style for
such citations.

J, Exhibits/Appendices (if any)

If attachments are used, they should be clearly labeled. The purpose is to provide
additional details of some information used in analyzing the case and referenced
in the text portion of the report. You should never have an attachment which is
not referenced from the main body of your report. Attachments should be ordered
in the sequence in which they are referenced, i.e. if your first reference is to a
breakeven calculation, and then the detailed calculation becomes Exhibit (or
Appendix) #1.)
 Names

Class & Section: __________________________

Case: ___________________________

Characteristics Being Graded Max Mark Comments

Content
Executive Summary:
Concise overview of report. 5
Background & Statement of the
Problems/Issues:
Summary of background/situation
Statement of problem/issue(s) and
sub-problem/issue(s) by using
10
case facts to show why.
-Identify internal/external
constraints.
-Statement of criteria (objectives) for
the best possible solution
Situation Analysis:
Analyze the external and internal
organization, markets and influencing
30
factors. Format can vary, e.g.
Marketing Mix, S.W.O.T.,
Environmental Scanning, etc.
Analysis of Alternatives:
Identify possible solutions, and evaluate
each separate alternative based upon its 30
ability to work within the given
constraints and to satisfy the criteria.
Recommendation(s) & Implementation:
Best possible solution – justified by
facts to show why it is best. 15
Implementation of solution – how,
when, where, what.
General
-Understanding issues, facts, human
behaviour & principles discussed in this 10
course.
-Additional research.
-Writing ability – organization,
grammar, spelling, etc.
Overall Evaluation 100