GREEN

TECHNOLOGY –
CASE A

IBUS 255 - 02
FINAL TEAM CASE
DUE: NOV. 21 @ 4 p.m.
POST TO E-LEARN
LEARNING OUTCOME:
Most acquisitions end in failure, especially international, and one major reason is the lack of successful
integration. This case aims to increase your awareness and understanding of how integration in a cross-
cultural acquisition requires a powerful integration team.
1. Explain worldview and how it impacts the conduct of business.
2. Identify and explain all major components of culture, which have a direct and indirect impact on
activities related to clients, staff and co-workers from a variety of cultures.
3. Apply cultural concepts and theories to a variety of situations, scenarios, and case studies.
4. Practice cultural research strategies and skills related to an in-depth study of a culture.

GREEN TECHNOLOGY: Leading Change

John Chow, Director of China Operations for Green Technology, one of the leading technology
companies which manufactured memory and storage solutions used in automobiles and consumer
electronics, received a call from the company’s President Peter Murphy to advise him that the company
would be offering him a new job. This promotion involved turning around the troubled plant in Jakarta,
Indonesia, which the company acquired a few years earlier. If John were to accept this offer, he would
be promoted as Director of Asia-Pacific Operations. He was also expected to bring with him to Jakarta
a team of Chinese managers, who had already worked with him on previous acquisitions John had mixed
feelings about this offer.

What made this offer so unprecedented was that that the senior managers had bypassed using experts
from the head office in the U.S. and were offering him this challenge and related promotion which
indicated senior management’s recognition of John and his team’s stellar track record in China.
Nonetheless, John was aware that the new project would be a make or break moment for his career
at Green Technology.

GREEN BY THE NUMBERS

Green was founded in Boise, Idaho, in 1980 by Ward Walton, Joe Perkins, Dennis Williams, and Dave
Pitman as a consulting company. Startup funding was provided by 4 local Idaho businessmen. Later it
received funding from Idaho billionaire J. R. Simpleton, whose fortune was made in the potato business.
In 1981, the company moved from consulting to manufacturing. In 1984, the company consisted of:

• 17 countries
• 13 manufacturing sites* and 14 customer labs
• 40,000 team members

Guided by his growth-oriented policies, Green Technology had embarked on a strategy of large-scale
acquisitions of other companies. Early 2020 Green Technology had acquired a Finnish Swedish plant in
Nanjing, China and a plant in Jakarta Indonesia. In November of the same year, Green Technology
acquired another capacitor plant in Shenzhen, China.

In the annual report in May 2020, the company reported revenue growth of 38% year on year in FY2020.
“We are gaining ground” said the president in the letter to its shareholders. Nevertheless, there were

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signs that Green Technology’s sales were declining with its stock price dropping to under $31 per
share. Among trouble spots, the Jakarta plant had continued to lose money ever since its acquisition in
2020 and there was no sign of improvement.

The Jakarta Plant

The Jakarta Plant was located in an industrial park. It was established in 2010 by a 40-year-old Chinese-
Singaporean entrepreneur, K.M. Ho, who later decided to join forces with a European private owned
company. Mr. Ho turned himself into Director of his plant but he did not run the plant himself. Instead
he appointed a Singaporean General Manager who was supported by management staff recruited from
various countries in Southeast Asia, such as Singapore, Indonesia, Burma and Philippines. The
management team had been working for Mr. Ho for 25 years.

After the plant was purchased by Green Technology, Mr. Ho was appointed as Green’s Vice President.
Green Technology retained the original management team, continuing the tradition of the plants
operational autonomy. The easy-going policy, however did not bring much success and even after
spending US$5.5 million on consultants for help turning around the plant, the future looked dim. After
an inspection trip to the plant a few months before Jim was asked to help, Green Technology’s president
and other senior management had come to the conclusion that a “hands-off” approach would not work,
a more radical solution was necessary.

John Chow – Director of China Operations

Was 40 years old and had received a bachelor’s degree in business administration from Shanghai
University, a master’s degree in Economics from Xiamen University and an MBA from Queens
University, Canada. Before joining Green Technology, he had served as HR Manager at Ritz Carleton,
Toshiba and Black & Decker accumulating a rich experience in HR management and leadership.

During his time at Green Technology John successively held the positions of HR manager, HR Director
of China, HR Director of Asia-Pacific, Corporate Director of HR Development, General Manager of
the Shanghai Plant, and Director of China Operations. His HR management experience added up to 12
years. In 2015 he was selected by Green Technology as one of the 25 next generation global leaders.
Among his proven track record, his proudest achievement was the integration of Green’s Shanghai and
Shenzhen plants, which marked a shift in career from HR management to business operations.

Shenzhen Plant
John was appointed by Green Technology’s head office as General Manager of the Shenzhen Plant in
late 2018. Prior to this appointment John had worked at the U.S. head office for over a year after his
promotion from HR Director of Asia-Pacific to Corporate Director of HR Development. He was
expected to return to China to integrate and turn around the plant, which had been poorly run by the
original management team since the acquisition was completed and was suffering continuous losses.

The New General Manager

In December 2018, accompanied by two executives, John came to the Shenzhen plant in the capacity
of Director of Global HR Development. Later that evening the current GM of the plant informed the

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staff that it would be his last day at Green Technology and he did not know who would be his successor.
The next day John went to work at the plant. What he noticed that day was something he will never
forget: “Not a single person was smiling; everyone was looking at me with dagger eyes, aware that I was the
person who had fired their GM the day before with whom they had worked 18 years together. The 15 meter
hallway from the receptionist’s desk to my office seemed like eternity.”

Late in the afternoon, executives from head office called together all the managers and announced that
John Chow would be the new GM. Later, the Sourcing Manager named Lenny Fung, along with the
Quality Manager and the Production Manager were asked to stay for a talk, for they had been
recommended by the former GM for their job performance and were expected to stay at the plant as
core members.

The Perfect Team

In his first week at the plant the staff simply avoided speaking to John. Alone in his office, he had to
attend to such trivial matters as printing documents. By the time Friday rolled around the Quality and
Production Manager had quit their jobs. Lenny continued working at the plant but John did not trust
him and as he stated “I had to be very careful in dealing with Lenny, although he turned out to be the main
source of assistance and information in the following months. I observed carefully and kept on pondering what
was beneath all that kindness.” He wasn’t fully convinced by Lenny’s commitment to the plant integration
until 10 months later, and then Lenny was put in the important position of Senior Manager of Supply
Chain.

The Shenzhen plant was heavily staffed by the state (government) which complicated things. The
outdated management style sat oddly with Green Technology’s culture. John thought about hiring new
faces and setting up his own team. Seeing equipment and maintenance engineering as the lifeblood of
assembly lines and the driver of operating efficiency, he asked to internally transfer Allen Ma a technical
expert he could count on to this Shenzhen team to work as Senior Manager Maintenance at this plant.

John also hired other team members including Sandy Wang a quality control expert. Therefore, in
John’s team Lenny, Allen and Sandy were dubbed the “iron triangle.” As per Lenny, “John was theory-
savvy, Allen was sliver-tongued (able to speak in a way that makes other people do or believe what you
want them to do or believe), Sandy was discreet, he himself was flexible. They were different but at the
same time complementary and they learned from each other.”

Training

John came to Shenzhen at a time when the world economy was turning from bad to worse – a time
when limited resources were available for major undertakings. The new management team felt down,
employees were on the defensive and seldom volunteered more information than asked for. By
consulting each manager for a better picture of operations, John became aware of severe
interdepartmental barriers and thus established the Department of Supply Chain and Department of
Manufacturing to integrate the resources. Meanwhile the management team frequently inspected the
production lines and amicably offered suggestions to those in charge, only to arouse violent protests
and disagreements. It was not until the employees saw some really clever ideas offered by the
management team and some big problems solved that mutual trust was built and the antagonism
dissipated.

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Due to the economic recession, 150 out of 300 were laid off in 2019. Following down sizing was six
months of training. Unsuitable managers were replaced, team building and leadership training
commenced, and offsite meetings were held to broaden their horizon. John sent Allen and Sandy for a
one week crash course on lean manufacturing, financial indicators and HR management which gave the
two new understanding in HR, finance and other fields.

Profit Making

Late 2021, the business finally rebounded. As the executives worked out incentives based on team and
plant performance, the plant started to do exceeding well. Output, yield rate, on time delivery
continuously broke records, with performance benchmarks rising for 15 months. The plant came out
on top! The integration was wrapped up in a year making for a complete success. Allen was promoted
as Plant Director in January 2022.

Integration of Nanjing
The success at the Shenzhen plant convinced John that his team had grown cohesive and potent enough
to try something bigger. He asked head office for the task of integrating the Nanjing plant. The
integration of the plant had been on Green Technology’s agenda for along time but it was postponed
over and over again due to lack of resources and confidence.

In August 2022 the head office appointed John Chow Director of Operations in China Region, directly
responsible for both the Shenzhen and Nanjing plants. The next day, he sent an email to the management
of Nanjing plant, introducing himself, appreciating everyone’s dedication over the past years, expressing
his best wished and sharing his integration plan:

My integration team and I will work closely with the current team at Nanjing Plant
to build on past achievements and create a better future. Here, I would like to share
with you our plan: In the first 3-4 weeks, we will fully acquaint ourselves with the staff,
organization and management system in the plant. You are expected to share your
knowledge with us for the sake of mutual understanding. In month 2, we will put
forward a short term system improvement plan and allocate relevant personnel and
begin to execute it. We need your courage to change and think outside the box. In
month 3, we will set our eyes on strategic development for the future, basing our
roadmap for the Chinese business.

Breaking the ice

On same day that the email was sent, John led Allen Ma, Lenny Fong, Sandy Wang, the HR Manager and
the Manager of Manufacturing to Nanjing. The first meeting between the six members of the integration
team and the plant managers started tensely. The managers appeared skeptical if not annoyed with the
integration. However, the integration team members were experts in each field so they had an
overwhelming advantage. John tried to smile as naturally as possible. He pointed at Lewis and continued,
“There he is. At first I did not think highly of him, but he managed to integrate into our team, and today
he has become one of the key members of our team”. Lenny smiled and nodded in response to all the

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curious eyes. After the meeting John asked to meet various employees, especially the veterans, to know
more about the plant.

In the first few weeks, the team adopted the strategy of investigating without making any appraisal or
suggestion Like a 3rd party evaluation agency, they probed carefully into every aspect of the
organizational ladder – from top executives to engineers, technicians and operators. From there on,
appraisals, suggestions, tests and demands were given while the investigation continued. By the end of
the second month, the integration team understood the daily realities of personnel and operations. The
managers who failed to meet the standards were gradually marginalized and asked to leave.

Building Trust

John and his team were soon faced with unparalleled external pressures. In retaliation for his dismissal,
the plant’s former GM not only plotted the interruption of raw material supplies, but also contacted its
biggest client, a Fortune 500 appliance company based in Europe to share damaging information about
the plant’s inability to deliver products, saying the new team lacked experience and technology. John
contacted the supplier right away. At the same time, the supply manager of the client brought a slew of
people to the plant, determined not to leave until the products were delivered. Through mutual efforts,
the crisis was finally resolved and the team impressed the plant’s employees at all levels.

On September 2022, John wrote a letter to all the operators and quality checkers, praising their initial
success in revamping the plant and also unveiled the details of the new pay policy and promised to offer
incentives through culture, teamwork and management. Three months of integration resulted in
employees’ trust in team and recovery of the plant.

A New Challenge
John could not help wonder whether fortune would smile on him for a third time. He was wondering
if his proven track record would translate in another country since the Jakarta Plant was totally different
from the two plants he had already integrated. With a history of 30 years, as well as 100 culturally
diverse employees from Southeast Asia, the Jakarta Plant was more complicated and unpredictable than
both the Shenzhen and Nanjing Plants which had less than 300 employees.

One of John’s coworkers had shared her experience in Jakarta: “One day strikes and demonstrations
were staged by the Indonesian Union Workers “IUW” outside a restaurant where my friend and I were
having lunch. It was a scene of violence, vandalism and looting. The restaurant owner locked the door
and warned diners not to risk their lives by going out.

Turning around from the office window, he fixed his eyes on the map of the world on the wall and
located Jakarta. The very thought of the bloody anti-Chinese riots in 1998 made him shiver. Two days
later, Peter Murphy called John again asking about his decision. John knew he had to make a big decision
that would impact his career immediately.

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 ********* Make sure to include questions with your answers ********
➢ If you use external research material, you will need to cite using APA
formatting.
➢ Identify each person’s contribution to answers at the end of your paper
➢ Save document in word (NOT PDF) as follows:Your team # + Green
Technology Case.doc
➢ Late submissions after deadline will NOT be accepted

CASE QUESTIONS – Teams 3 + 5

1. Part A: Summarize the key cultural points in the case in 250 words using
ChatGPT. Do not exceed limit. Include this summary in part 1 of your answer.

Part B: Now review this summary and identify the main cultural points missed
by ChatGPT. Again, make sure this is written in your OWN WORDS not
ChatGPT.

2. Why did the U.S. head office choose a Chinese team instead of an American
team for this plant integration? Make sure to explain clearly!

3. Evaluate the integration process implemented by John in Shenzhen and

Nanjing. What 3 cultural concepts were applied to make the adjustment and
integration successful? Number each point. COPY BELOW TABLE AND
INSERT ANSWERS

CULTURAL CONCEPTS EXPLANATION

#1
#2
#3

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 4. What is one KEY strategy John should take with him from his experience in
Nanjing and Shenzhen to Jakarta that you think would work positively for
him? Before answering this question please do research on past
Indonesian/Chinese relations. Explain the strategy with good reasoning.

IBUS 255-02 Team Case Study Final Project

Your team will be assigned a case study for you to analyze. This assignment consists of
three parts:

1. Team Case Study Presentation – 15 minutes

2. Team Case Study paper - 8 pages and slides (Upload to e-Learn)

3. Peer evaluations. Done in e-Learn, completed on day of presentation.

Case Study Presentation and Case Discussion

PRESENTATION/POWERPOINT SLIDES:
Time Limit: 15 minutes – you will be cut off if you exceed the time limit!

• Make sure you practice with your team BEFORE the day of actual
presentation.
• Team members will equally participate in the presentation.

Your team’s goal is to present a dynamic, engaging presentation that includes the
following:

• Cover page should include title, names and date

• Second page should show an agenda for the presentation (list names
showing who is covering what topic)
• Overview of the case (other team members may not be familiar with your case!)
support it with images/pictures so we can better understand the key players
• Relevant and interesting information about the culture(s) presented in the case.
• Key Issues presented in the case and your recommendations
• Watch this video to get a better idea around team presentations. Click Here
• Case discussion should involve the class (pose questions to engage the class);
you make up the questions.
• At the end of presentation one activity that involves student participation
(other than case discussion – do not use an activity that has already been used by
another group)
• Other topics that your team deems relevant to the presentation/case.

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 • Your presentation should follow the order of listed questions.
• Have a clear conclusion – what do you want us to take away from your
presentation?
• Format & look of slides should be consistent – same font/size and appearance
• Your team is responsible for deciding how to present the material to class
• Suggestion: Try to use more visuals than text in your PowerPoint presentation.
• Avoid reading directly from notes or slides! Marks will be deducted for this.

PAPER:
Case Study Report Guidelines
1. The report follows APA report format, in-text citations, and references.
2. The report should be 1.5” spaced, use a 12-point font, and eight pages in length
excluding title and reference pages and appendices. Do not exceed the
maximum page numbers!
3. Page limit 8. Do not exceed this number.
4. Proof read for spelling and grammar before submitting paper to me.
5. Include the following in your team report:

• Title page that includes: Title of Case Study, Course Number, Full Names, Date
• List each question and follow with answer.
• In-text citations required.
• Reference page following APA format.

Rubric for Grading (Note: feedback inserted in your paper)

Excellent Very Good Satisfactory Needs Work

90-100% 80 – 89% 70 – 79% 60 – 69%

Missed cultural points

Why did head office

choose Chinese team?

3 cultural concepts in
Shenzhen and Nanjing

John’s number one

strategy in Jakarta

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References/citations

Organization/
Grammar/Proof reading
by all team members

PowerPoint slides