The "Write" Life
Staying Hungry, Staying Curious
About "Me" a.k.a "I" and/or "Myself"
- Craig Lobo
- Digital Marketer | Tech Enthusiast | Football Fan | Storyteller ... Formally Dabbling in Brand Building, Content Development and Business Strategy
Monday, September 8, 2014
Strategic Corporate Social Responsibility Case Presentation - The Corporation
An in-class case analysis presentation of 'The Corporation', focusing on Marks&Spencer and Primark's respective approaches to Corporate Social Responsibility, conducted during the Corporate Governance, Business Ethics & Strategic CSR module at the Willamette University's Atkinson Graduate School of Management MBA Program.
Corporate Governance Case Presentation - Cobra vs Commerzbank
An in-class presentation of the 'Cobra versus Commerzbank' case analysis, conducted during the Corporate Governance, Business Ethics & Strategic CSR module at the Willamette University's Atkinson Graduate School of Management MBA Program.
Friday, August 29, 2014
A New Dawn For The Three Lions
Any ardent
supporter of the England national football team would drool over a first-team
squad like this:
GK: David James
RB: Gary Neville
CB: John Terry
CB: Rio Ferdinand
LB: Jamie Carragher
CM: Steven Gerrad
CM: Frank Lampard
CDM: Paul Scholes
RW: David Beckham
LW: Joe Cole
ST: Wayne Rooney
Add to this, a
bench which included the likes of Ashley Cole, Sol Campbell, Michael Owen,
Nicky Butt and Joey Barton among other household names, all at their prime, and
you have what was one of the most formidable sides to have ever played the
beautiful game. Sure, I've taken the occasional casting liberty and made slight
positional alterations to create this star studded formation, but isn't that
how it should’ve been? I mean, Paul Scholes and Jamie Carragher still had
several good years left when they prematurely called it quits on their
international careers, as was evident from their stellar performances for
United and Liverpool respectively. Anyway, this was the exact side which started
most of England’s games in Euro 2004 – Not too far off is it?
But despite their
seemingly illustrious demeanor which could intimidate almost any opposing
manager or player if they so much as glanced at England’s team sheet, this divinely
assembled squad is astonishingly remembered for all the wrong reasons and is
often associated with all that could have been. Be it the frequent clash of big
egos resulting in poor team spirit, bad coaching decisions like deploying Paul
Scholes in a wide position, or the failed Lampard-Gerrad midfield partnership, excuses
such as these began to characterize the squad and the end result was simple failure to
deliver on the pitch.
The side’s glorious
celebrity status didn't help either, nor did the fact that they were constantly juxtaposed, if not directly compared, to the highly acclaimed world cup winning
England side of 1966. The fact that this was England’s solitary world cup trophy throughout their glamorous history and that this was the side widely touted to end the wait for a second, piled even more pressure onto the talented lot. Put plainly, the weight
of expectation coupled with poor man management wore down and eventually broke
this great team.
But quite contrary
to popular belief, the future doesn't look all that bleak for the three
lions – at least on paper, given the oodles of talented young protégés churned
up by English clubs each year. However, if the past has taught us
anything, it is never to blindly trust what we see on paper as it can be deceptive. For this very
reason, I decided to take a stab at analyzing the flaws of previous England
sides to;
- Devise an appropriate formation
- Attempt to select the potentially best from the rest
- Predict potential success, failure or the same old homespun mediocrity
With all that said,
I think England’s next generation squad should look somewhat like this:
Barring Joe Hart,
who should captain this side, everyone in the squad will be below 25 years of
age with few occasional exceptions. Keepers tend to peak later in their
footballing careers and Hart’s quality, experience, and leadership on the pitch
will be much needed. The purpose is to start afresh with a nascent goal to rid the team of unnecessary heads. I would love to see England consider a squad like this for a change and play a simple 4-2-3-1 formation. It certainly won’t bring instant success and Euro 2016 will have to be sacrificed for the purpose of implementing it properly, but England don’t have much to lose either – It’s not like they are poised to win the next major competition, so it makes sense that they rather build for Russia 2018. To that effect, here is the squad I would place my money on:
NO.
|
PLAYER
|
POSITION
|
CLUB
|
1
|
Joe Hart ( C )
|
GK
|
Manchester City
F.C
|
2
|
Eric Dier
|
RB
|
Tottenham Hotspur
F.C.
|
3
|
Calum Chambers
|
CB
|
Arsenal F.C.
|
4
|
Phil Jones
|
CB
|
Manchester United
F.C.
|
5
|
Luke Shaw
|
LB
|
Manchester United
F.C.
|
6
|
Adam Lallana
|
RW
|
Liverpool F.C.
|
7
|
Raheem Sterling
|
LW
|
Liverpool F.C.
|
8
|
Jordan Henderson
|
CDM
|
Liverpool F.C.
|
9
|
Jack Wilshere
|
CM
|
Arsenal F.C.
|
10
|
Ross Barkeley
|
CAM
|
Everton F.C.
|
11
|
Daniel Sturridge
( VC )
|
ST
|
Liverpool F.C.
|
SUBSTITUTES
|
|||
1
|
Danny Rose
|
LB
|
Tottenham Hotspur
F.C.
|
2
|
Jack Rodwell
|
CDM
|
Sunderland A.F.C.
|
3
|
Jon Flanagan
|
RB
|
Liverpool F.C.
|
4
|
Chris Smalling
|
CB/RB
|
Manchester United
F.C.
|
5
|
John Stones
|
CB
|
Everton F.C.
|
6
|
Kieran Gibbs
|
LB
|
Arsenal F.C.
|
7
|
Harry Kane
|
ST/FW
|
Tottenham Hotspur
F.C.
|
8
|
Nathaniel
Chalobah
|
CDM
|
Chelsea F.C.
|
9
|
Connor Wickham
|
CDM/CB
|
Sunderland
|
10
|
Jack Butland
|
GK
|
Stoke City F.C.
|
11
|
Alex
Oxlade-Chamberlain
|
RW/LW
|
Arsenal F.C.
|
PROSPECTIVE
CALL-UPS
|
|||
12
|
Tyler Blackett
|
CB/LB
|
Manchester United
F.C.
|
13
|
Jordan Rhodes
|
ST
|
Blackburn Rovers
F.C.
|
14
|
Michael Keane
|
CB
|
Manchester United
F.C.
|
15
|
Nathan Redmond
|
LW/RW
|
Norwich City F.C.
|
16
|
Zeki Fryers
|
LB
|
Tottenham Hotspur
F.C.
|
17
|
Theo Walcott
|
RW/ST
|
Arsenal F.C.
|
If your wondering why Tottenham pair, Kyle Walker and Andros Townsend, do not appear in the team-sheet, its probably because they have not been very convincing for England despite being given several opportunities to prove their salt. But, I wouldn't rule them out entirely and certainly think that they should be a part of the fray, as should Chelsea's Patrick Bamford, Southampton's James Ward-Prowse and Manchester United's Nick Powell. The fact is there are too many 'potential starlets' today, while attaining even a glimmer of success depends on the ability to weed out misfits.
This is a system built around the concepts of youth, a fresh start and an even playing field – Basically, a player’s brand or celebrity status will have absolutely no bearing whatsoever on his chances to feature in the national side. Since long, the English FA has stuck to a rigid age-old mentality that required the nation’s best players to perform exceptionally and become big stars at club level before being given the opportunity to earn their first cap. While I believe this to be a fairly sound approach, I feet that England wait a little too long before providing first-team opportunities to very talented youth players, which isn't always the best thing to do. It’s almost as if a player isn't worthy to play for the country if he doesn't start for his club every week and this is not always true – We have seen numerous shining examples of players who performed brilliantly for their countries but weren't all that great for their clubs and vice versa, namely Miroslav Klose and Thierry Henry respectively.
Returning to the England squad from that minor digression, I think it’s best if we reverse the system discussed above - Instead of having promising players become stars first and then earn a place in the team, why not give them the opportunity to play for their nation from a younger age and become stars along the way? This way, they will be able to keep their egos in check, or won’t even have any since they are only eager kids who are enthused to play the game and just grateful for the opportunity to represent their country at such a young age. They will learn to love and respect the national team, before some of them go on to earn millions in club football. More importantly, they won’t have to fixate on earning their first cap for their country and then try too hard to perform in a platonically assembled team consisting of peers who have been hits at their respective clubs, but have never played together before. As clichéd as it may sound, real football management is seldom like FIFA 14, although it would be great if it were! You cannot simply put together a bunch of fairly senior proven star players and expect them to deliver – They have to be nurtured, preferably since their early playing days, in order to adapt to each other’s styles. In this process, a manager will realize that some of his favored selections didn't really work out, while others will surprise and that is why a team is built, not assembled.
If his work at Tottenham and Portsmouth are any testament, having a strict and experienced disciplinarian like Harry Redknapp to manage such a young, volatile side will be a must. Moreover, Redknapp seems like a man on a mission; someone who actually cares about England and with a robust plan to bring about a positive change in paradigm, or at least his interviews tend to suggest that.
I think the only
way English football can move forward is if they let go of their past
– At present, there are way too many dead-weights and under-performers included
in the team based on meaningless reputations, which are weighing the side down.
With this mentality, it is difficult to expect the requisite and sought after radical change -
There will always be weak links in the team as every senior player with a shiny
profile will want to hold onto his place, irrespective of his actual contribution
on the pitch. If it were a professional business setting, the term ‘accountability’
might resoundingly come to mind.
With that said, I believe that everything that has been done thus
far, hasn't been all and entirely detrimental – There were definitely some good
points to ponder on. Taking a cue from their performance at this world cup, for
instance, I enjoyed watching England attack with lightening pace in a team that
was technically built around Liverpool’s Raheem Sterling. It may not have been
as evident to the naked eye, but he was given a playmaker’s role and was
clearly the fulcrum of the squad. It showed that the talented youngster can
operate well as the cog in the side, is adept at handling high pressure
situations without crumbling and flourishes in a free role where he can pull all the strings.
One thing that perspicuously did not work in England’s
favor was the much hyped mix of youth and experience which
they possessed. Personally, I consider this ideology to be overrated and
almost never used in the correct context - It makes sense only when you have a
well-functioning unit that has played together for a sufficient period of time,
like the Germans. It does not blatantly mean that you pick five experienced
players and six promising youngsters at random. Despite his impressive club record
and his legions of dedicated fans worldwide, Wayne Rooney has not been a hit for England
- In fact, none of the persisting superstars of the golden generation have been
able to fire on all cylinders, even with major changes to the squad. It is important that players
like Steven Gerrad and Wayne Rooney understand this harsh reality and reckon that it is time
to move on. It’s the decent thing to do and the only way things have a chance to
change for the better. There is no point in retaining ample
experience just for the sake of it, and if
experienced players aren't contributing equally to the cause, they must be
subjected to the same fate as their colleagues. Competency, merit and performance must be given equal, if not more, importance than superfluous 'years of service'.
Following in the light of this concept, the system in
question will need certain players of yesteryear and even the generation, to
simply move on. Especially the big misfiring names vis-à-vis Gerrad, Rooney, Glen
Johnson, and Ashley Young. Frank Lampard has already retired although he should’ve done so earlier. If these players consecutively announce
their retirements, others of a similar mold will soon follow suit until the entire
bandwagon of expendables is cleared out - An old fashioned downsizing of sorts, if you will. Even fairly decent performers like Gary
Cahill should seriously consider their place or be willing to rotate, in an
effort to conform to the objectives of the long-term project – One in which the
country comes first and no player is bigger than the team.
Sadly, this is the only way the model can
work effectively - The young guns must be trusted with the opportunity to run the show
independently and autonomously, without being overshadowed by their decorated
predecessors. Germany and France have already understood this, which is why Ribery,
Lahm, and Mertersacker called time on their careers when they didn’t have
to. It is a risky approach, but also one which has paid handsome dividends to the
German and Belgian national sides in recent years. France has also adopted a
similar philosophy and Spain is on the verge of doing so. In today’s world of football,
change is the only constant and there isn't much in the way of a secure
approach.
Tuesday, May 6, 2014
Corruption - The Con Man Who Took Down His Own Country (Then Ran For Office)
This is a business dynamics & systems thinking analysis of the Goldenberg scam which caused the Kenyan recession in 1993. Please listen to this podcast available here:
http://www.npr.org/blogs/money/2013/03/26/175382519/episode-447-the-con-man-who-took-down-his-own-country-then-ran-for-office
Causal loop diagram explaining the Kenyan policy for increasing foreign capital in the country and the ability of Goldenberg to exploit the policy.
Causal loop diagram explaining how Kamlesh Pattni
was able to leverage his advantage after Goldenberg shut down, despite being a
famous scam artist
Policies that could have kept Pattni
from succeeding after the initial scam
·
A
mandatory requirement that allowed purchase of government treasury bills, only
after or at the same time as the stated amount of U.S dollars was deposited.
This would have prevented Pattni from doubling his earnings from interest after
defaulting on his deposits at the end of the three month period, despite being
charged a 3% penalty. (See the ‘Recession Cycle’ loop)
·
A law
which required a more thorough and external (possibly outside
auditors/investigators) review of any individual(s) who filed for a banking
license, prior to issuing one. Pattni received his banking license too easily
and amid suspicion and speculation among banks of a then potential scam. (See the
‘Goldenberg Scandal’ & ‘Expected Reaction’ loops)
·
It was
mentioned in the podcast that Pattni was acquitted of all his charges by the
Kenyan court of law. This only served to reinforce his then transformed image
as a catholic preacher and further disguise his misdoings, positioning him to
stand for office. Surely, a more detailed investigation and verdict would not
have been farfetched considering the available and obvious evidence against
him. Moreover, his community service and handouts were clear signs of him
attempting to cover up the scam. (See ‘Goldenberg Scandal’ & ‘Expected
Reaction’ loops)
·
The
entire Goldenberg scam could have been avoided altogether, had the Kenyan
government chosen not to turn a blind eye to the export of smuggled gold. This
would not have been all that difficult since they were already aware of the practice and a basic policy which regulated the export of such gold would have
crushed the whole operation. However, this can also be attributed to the
imperfections, inefficiencies and corruption which was widespread within the
government itself. (See the ‘Leveraged Advantage’, ‘Charity’ & ‘Politics’
loops)
Future Scenario Analysis: Recharge MyDenim Custom Jeanswear & Regeneration
Scenario
The cost of hub
rentals in the future will increase to the extent that it will restrict
geographic expansion and thereby limit consumer reach. This is a relatively Surprise-Free scenario, because past trends have shown that the cost of real
estate, especially rentals, in central geographical locations (Hubs) has been
on a gradual yet constant rise.
Uncertainties And
Trends
Uncertainty 1:
Current Competition
|
Scenario
The cost of hub
rentals in the future will increase to the extent that it will restrict
geographic expansion and thereby limit consumer reach.
Strategy
·
License or outsource manufacturing operations
·
Invest in premium delivery services like
priority mail to reduce lead-time and improve consumer reach.
·
Develop an IMC strategy to engage consumer
interaction and boost virality.
|
Uncertainty 2: Current cost of Expansion
|
Uncertainty 2: High cost of Expansion
|
|
|
Uncertainty 1: Intensive
competition
Plot
This scenario
takes into consideration the possibility that the cost of hub rentals in the
future will increase to the extent that it will restrict the geographic
expansion of MyDenim’s business and thereby limit its subsequent consumer
reach. This is a very realistic prospect because past trends have shown that
the cost of real estate, especially rentals, in central geographical locations
(Hubs) is on a gradual yet constant rise.
Cities
or regions that are strategically located or have a close proximity to prime
urban centers obviously attract the attention of sellers, which in turn,
increase the density of occupants and this drives up the cost of real estate. This
is an ongoing phenomena which is widely prevalent in our major cities today
that are not short of ever increasing clusters of factories, stores or offices.
We can thus extrapolate this trend to expect a similar situation in the future,
wherein MyDenim may be unable to penetrate newer markets owing to an unforeseen
spike in such costs.
Impact
On Business Model
MyDenim’s
business model requires an increasing number of hubs, or centrally located
manufacturing units, to expand its market and consumer reach. But if the cost
of renting real estate property to support these hubs soars unreasonably, the
entire operation may experience stagnation of growth which can make it
unsustainable in the long run.
Plausibility
Judging
from the behavior of the global real estate market over the last rounded decade
(2000 – 2010), which debatably is a conservative approach owing to the sub-prime mortgage crises in the U.S. and the European recession, the average rate of rental
displays an oscillatory increase. Since
only 3 out of the 10 years showed a decline in rental prices, we can estimate
the odds of this scenario actually
becoming a reality to be approximately 3:10 (See graph below).
Precursors
The following
indicators can provide an early warning that this scenario may be unfolding as
a reality as they are factors that lead to higher rental prices in major
cities.
· Government Regulation: Many well-intentioned policies like
housing-choice vouchers, affordable housing mandates, rent control, height
regulations, historic designations, and protective zoning laws contribute to
the creation of a bifurcated, distorted market — one in which a $500 apartment
can exist next door to a $3,000 one. Affordable housing mandates, which usually
require a developer to set aside a small percentage of new units for affordable
housing, sound good in theory, but developers simply pass on the cost of the
affordable units to other residents, driving up the cost of market-rate rents.
· Plummeting Crime Rates: As crime rates plummet, more people are
willing to live within cities. That decrease in crime, coupled with a cultural move away
from suburbanization, reversed the wealth/population flight that marked the second
half of the 20th century. Many cities are now close to, or exceeding, their
1950 population highs. There is a positive correlation between rising rents and
house prices and falling crime rates in places like Atlanta, Washington, New
York, Los Angeles, and Chicago.
· Social Stratification: Along with high unemployment, and stagnant and
falling wages for bottom- and middle-income earners, the hollowing out of the
middle class brought with it a geographic realignment. As the economy required
higher levels of education, a lot of cities, especially on the coasts, became
hubs for a lot of well-paid people who could afford higher rents and higher
house prices.
· Market Speculation: This is one of the most hidden factors to high
rental costs: large landlords and investors who can afford to buy up huge
swaths of the available housing stock, reducing the natural elasticity of the
market. Investor-driven developments are catalysts that can speed up the pace
at which neighborhood rentals change.
Recommended
Strategic Actions
These strategies
align with the ideology of ‘reserving the right to play later’.
·
License or outsource manufacturing operations
If the rental expenses for hubs becomes
unsustainable, it will make more sense for MyDenim to either license or
outsource some or all of its manufacturing operations for new regions. This is an operation that will commence now, on a
smaller scale, irrespective of fluctuations in future rental rates. This option
will give MyDenim the flexibility to reach newer markets without having to bear
the costs of renting out its own facility. While there will be a fraction of
revenue loss as a result of the Licensing operation or outsourcing fee, it will
give MyDenim the formidability needed to survive in a changing landscape.
· Invest in premium delivery services like priority mail to
reduce lead time and improve consumer reach
As per the present strategic plan, MyDenim will
fulfill a small proportion of its customer deliveries via premium services like
priority mail. This will be especially true in the case of customers who either
demand the service or those who are located in outlying destinations, beyond
the normal reach of the nearest hubs. It is plausible that this operation could
be easily scaled up in the future, if opening new hubs is no longer a viable
option. It will help reduce the average lead time and maintain greater
consistency of deliveries.
·
Develop an IMC strategy to engage consumer interaction and
boost virality
This is another strategy which will commence
immediately and with minimal financial investment initially. We plan on
gradually growing this effort and pumping more revenue into the marketing
budget to improve customer knowledge of MyDenim’s brand and offerings. Should
hub rentals become too expensive, there will be a significant fraction of the
intended investment that can be directed towards this IMC strategy, thus scaling
it up to a greater extent. This will slowly but surely build the MyDenim brand
and propagate it to a larger audience, who wouldn’t mind longer lead times or
marginally higher prices. This relationship marketing initiative will
complement the first two strategies for this scenario.
Annex One: List of MyDenim Risks
1. Threat of customer
dissatisfaction
2. Limited geographic
presence
3. Failure to attain
expected market share due to existing competition
4. Delays and inconsistencies
in delivery time
5. Machine breakdown and/or
system failure
Annex Two: List of four different
scenarios discussed in the team, including the one with full write-up (In
green)
Uncertainty 1:
Current Competition
Scenario
Globalization
along with digital marketing add more pressure on margins due to increased
availability of information through social media. Consumers become more
selective as supplies exceed demands
leading to consumer selectiveness. Therefore, companies have to adapt
by redesigning their supply chain models to relief preassure on their margin.
Strategy
Develop an effective supply chain model by incorporating the following
three main attributes.
·
Lean: Effective and low-cost operations
·
Fast: Speed in fulfilling customer’s
orders by adapting to change and realizing results.
·
Flexible: Effective process that enables
clients to increase flexibility in their end-to-end supply chain.
|
Scenario
The cost of hub rentals in the
future will increase to the extent that it will restrict geographic expansion
and thereby limit consumer reach.
Strategy
·
License or outsource manufacturing operations
·
Invest in premium delivery services like priority mail to
reduce lead-time and improve consumer reach.
·
Develop an IMC strategy to engage consumer interaction
and boost virality.
|
Uncertainty 2: Current cost of Expansion
|
Uncertainty 2: High cost of Expansion
|
Scenario
Fashion industry trends show positive signs in the emerging markets;
however, consumers’ awareness is expected to increase because the power
shifts to their hands.
Strategy
·
Invest heavily in big data solution to
track consumers’ behaviors.
·
Build more hubs within close proximity to
the emerging markets since consumers prefer quick delivery.
|
Scenario
A natural
disaster occurs, leading to a machine breakdown that affects the production
capability and this would affect delivery time and customer satisfaction.
Strategy
·
Buy more machines working in different places
so that it reduces risk
·
Buy an insurance that covers natural disasters
|
Uncertainty 1:
Intensive competition
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