VIJAYA SCHOOL OF BUSINESS MANAGEMENT

OPERATIONS MANAGEMENT
CASE STUDY

Case 1: The Hawkins Supply Company is currently faced with an

inventory rotation problem. This difficulty stems from the fact that some
supplies must be used prior to a stated expiration date. Upon receipt
new shipment of these perishable items must be stacked beneath the
boxes that are currently in inventory. A substantial amount of time is
consumed in restacking the items according to their expiration dates.

Question: The Company would like to reduce the double and sometimes
triple handling of items. How can this goal be achieved? Are there
alternative solutions which might also be effective?

Case2: The Jones Company operates a centrally located storeroom in

their manufacturing complex. Evers afternoon each craft foreman (Tin
shop, Electric shop, Iron workers etc) writes a requisition for common
use items that will be required for the next day’s work. These common
use items include nuts, bolts, screws, washers, flashlight batteries and
gloves. All specially items are ordered separately.

During the night shift, store room personnel fill the orders of items
requested by the craft foreman. Each morning, one or two workers from
each dept go to the store room with a four-wheel platform truck to pick
up the filled order.

Question: Although studies have never been performed to determine

the amount of time craftsmen spend waiting for supplies, it is the
thoughts of the management that idle craft manpower is a problem
resulting from this procedure. How can time spent travelling to and from
the described store room be reduced. Thus eliminating or decreasing
crafts personnel travel time?
 VIJAYA SCHOOL OF BUSINESS MANAGEMENT
E –GLOBAL BUSINESS

CASE STUDY-1 UNFAIR PROTECTION OR VALID DEFENSE ?

“Mexico Widens Anti – dumping Measure …………. Steel at the Core of US-Japan Trade
Tensions …. Competitors in Other Countries Are Destroying an American Success Story … It Must
Be Stopped”, scream headlines around the world.

International trade theories argue that nations should open their doors to trade. Conventional
free trade wisdom says that by trading with others, a country can offer its citizens a greater volume
and selection of goods at cheaper prices than it could in the absence of it. Nevertheless, truly free
trade still does not exist because national governments intervene. Despite the efforts of the World
Trade Organization (WTO) and smaller groups of nations, governments seem to be crying foul in the
trade game now more than ever before.

We see efforts at protectionism in the rising trend in governments charging foreign producers
for “dumping” their goods on world markets. Worldwide, the number of antidumping cases that were
initiated stood at about 150 in 1995, 225 in 1996, 230 in 1997 , and 300 in 1998.

There is no shortage of similar examples. The Untied States charges Brazil, Japan, and
Russia with dumping their products in the US market as a way out of tough economic times. The US
steel industry wants the government to slap a 200 per cent tariff on certain types of steel. But car
markers in the United States are not complaining, and General Motors even spoke out against the
antidumping charge – as it is enjoying the benefits of law – cost steel for use in its auto product ion.
Canadian steel makers followed the lead of the United States and are pushing for antidumping actions
against four nations.

Emerging markets, too, are jumping into the fray. Mexico recently expanded coverage of its
Automatic Import Advice System. The system requires importers (from a select list of countries) to
notify Mexican officials of the amount and price of a shipment ten days prior to its expected arrival in
Mexico. The ten-day notice gives domestic producers advance warning of incoming low – priced
products so they can complain of dumping before the products clear customs and enter the
marketplace. India is also getting onboard by setting up a new government agency to handle
antidumping cases. Even Argentina, China, Indonesia, South Africa, South Korea, and Thailand are
using this recently – popularized tool of protectionism.

Why is dumping on the rise in the first place? The WTO has made major inroads on the use of
tariffs, slashing tem across almost every product category in recent years. But the WTO does not have
the authority to punish companies, but only governments. Thus, the WTO cannot pass judgments
against individual companies that are dumping products in other markets. It can only pass rulings
against the government of the country that imposes an antidumping duty. But the WTO allows
countries to retaliate against nations whose producers are suspected of dumping when it can be
shown that : (1) the alleged offenders are significantly hurting domestic producers, and (2) the export
price is lower than the cost of production or lower than the home – market price.

Supporters of antidumping tariffs claim that they prevent dumpers from undercutting the
prices charged by producers in a target market and driving them out of business. Another claim in
support of antidumping is that it is an excellent way of retaining some protection against potential
dangers of totally free trade. Detractors of antidumping tariffs charge that once such tariffs are
imposed they are rarely removed. They also claim that it costs companies and governments a great
deal of time and money to file and argue their cases. It is also argued that the fear of being charged
with dumping causes international competitors to keep their prices higher in a target market than
would other wise be the case. This would allow domestic companies to charge higher prices and not
lose market share – forcing consumers to pay more for their goods.

Questions

1. “You can’t tell consumers that the low price they are paying for a particular fax machine or
automobile is somehow unfair. They’re not concerned with the profits of companies. To
them, it’s just a great bargain and they want it to continue.” Do you agree with this statement?
Do you think that people from different cultures would respond differently to this statement?
Explain your answers.

2. As we’ve seen, the WTO cannot currently get involved in punishing individual companies for
dumping – its actions can only be directed toward governments of countries. Do you think
this is a wise policy ? Why or why not? Why do you think the WTO was not given the
authority to charge individual companies with dumping? Explain.

3. Identify a recent antidumping case that was brought before the WTO. Locate as many articles
in the press as you can that discuss the case. Identify the nations, products (s), and potential
punitive measures involved. Supposing you were part of the WTO’s Dispute Settlement
Body, would you vote in favor of the measures taken by the retailing nation? Why or why
not?
E GLOBAL BUSINESS CASE STUDY 2:-Case study of hacking problem statement:

Ethical hacking :A TECHIQUE TO ENHANCE INFORMATION SECURITY Mapping

with real world: the vast growth of internet has brought many good things like
electronic commerce, e-mail, easy access to vast stores of reference material
etc. AS, with most technological advances, there is also other side: criminal
hackers who will secretly steal the organisation’s information and transmit it to
the open internet. These type of hackers are called black hat hackers. So, to
over come these major issues, another category of hackers came in to
existence and these hackers are termed as ethical hackers or white hat
hackers. So, this paper describes ethical hackers, their skills and how they go
about helping their customers and plug up security holes. Ethical hackers, their
skills and how they go about helping their customers and plug up security
holes. Ethical hackers perform the hacks as security tests for their systems.
This type of hacking is always legal and trustworthy. In other terms ethical
hacking is the testing of resources for the betterment of technology and is
focused on securing and protecting IP systems. So, in case of computer
security, these tiger teams or ethical hackers would employ the same tricks &
techniques that hacker use but in a legal manner and they would neither
damage the target systems nor steal information. Instead, they would evaluate
the target system’s security and report back to the owners with the
vulnerabilities they found and instructions for how to remedy them. Ethical
hacking is a way of doing a security assessment. Like all other assessments an
ethical hack is a random sample and passing an ethical hack doesn’t mean
there are no security issues. An ethical hack’s result is a detailed report of the
findings as well as a testimony that a hacker with a certain amount of time and
skills is or isn’t able to successfully attack a system or get access to certain
information. Ethical hacking can be categorized as a security assessment, a
kind of training, a test for the security of an information technology
environment. An ethical hack shows the risks an information technology
environment is facing and actions can be taken to reduce certain risks or to
accept them. HACKERS GOOD, CRACKER BAD although the term “ hacker” is in
widespread use, the sense in which it employed is generally incorrect popular
media & entertainment providers have long used it to describe anyone who
tampers with a system, particularly in connection to criminal activity. This
journalistic misuse of the name upset many “traditional “ hackers, who
responded to the verification of their good name by offering a new term for
these individuals: “ crackers” crackers are vandals & thieves whose sole
purpose the unauthorised “ cracking” into secure systems for personal gain.
This darker side hacking has three main motivations with varying degrees of
harm. The most begin cracks are attempts to gain unauthorised access in order
to satisfy a personal motive such has curiosity or pride. More malicious
cracking seeks to gain unauthorized access in order to tamper with or destroy
information. The goal of the most serious & professional crackers is
unauthorised access to systems or computer services in order to steal data for
criminal purpose. Systems commonly under attack are universities,
government agencies, such as the Department of Defence & NASA, and large
corporations such as electric utilities & airlines. Many crackers are professional
criminals involved in corporate or government espionage & have links to
organised crime. A relative newcomer to the “hacker” field, script kiddies are
not particularly knowledgeable about computer and networking details.
Instead, they download readymade tools to seekout weakness on systems
accessible via the internet. They do not target specific information or a specific
company but rather scan for opportunities to disrupt & vandalize systems.
Most “hackers” and “hacking” events reported on by the popular press are
actually of this type.

CRIMINALIZATION legislators and law enforcement began to get serious about

criminalizing & prosecuting these activities in the mid-1980’s. Congress passed
its first hacking related legislation, the federal computer fraud and abuse Act,
in 1986. The act made computer tampering a felony crime punishable by
significant jail time & monetary fines. By the mid 1990’s several high –profile
arrests had taken place and signalled the seriousness with which government
& businesses were dealing with these activities. Kevin mitnick, perhaps the
known hacker of t6his era, was arrested twice, served significant jail time, and
was barred from touching a computer for several years after completing his
sentence.

QUESTIONS:-

1. How do you illustrate the phrase “HACKER GOOD & CRACKER BAD” with
real time examples?
2. “Information is king”, how do you justify this ? and how the safety of
information is important to be safeguarded and secured?

VIJAYA SCHOOL OF BUSINESS MANAGEMENT

TOTAL QUALITY MANAGEMENT

Short Case 1: Ekincare

Hyderabad based ekincare Manages around 1200 employees at 5 locations.
ekincare is a serious business that’s boasted a respectable turnaround for
nearly a decade. Yet in order to increase that margin further still, managers are
worried about the growing complaints at all branches. In order to tackle this,
they wanted to implement improvements across the board. Patient
satisfaction being the single-most important aspect of the healthcare industry,
assumingy ourself in the role of TQM Manager, lay out a perfect strategy to
tackle the issues and increase the profit margins.

Short Case 2: Santa Cruz Guitar Co

Southern California has a rich history in electric guitar manufacturing
that dates back to the 1940s.Some of the world's most iconic guitar
companies, including Fender, Gibson, and Rickenbacker, have called
Southern California their home. Yet strangely, the Guitar customers are
seems to benot that much satisfied based on surveys published in the
local newspapers by a market research firm. Many customers expressed
quality issues. Dan Roberts, CEO of Santa Cruz Guitar Co (SCGC) sees a
great opportunity from the published content. SCGC although operates
in the same market but is still a small-scale company. Stepping into the
role of Dan, lay down a strategy in front of TQM to grab the market
share while filling the gaps to provide Quality Guitars for the customers.

VIJAYA SCHOOL OF BUSINESS MANGEMENT

FINACIAL SYSTEMS AND SERVICES(FINANCE)

CASE 1: These days, the development of a country is also judged by its

system of transferring finance from the sector where it is in surplus to
 the sector where it is in surplus to the sector where it is needed most to
give strength to the economy. SEBI is under taking measures to develop
the capital market. In addition to this, there is another market in which
unsecured and short term debt instruments are actively traded every
day. These markets together help the savers and investors in directing
the available funds in to their most productive investment opportunity.

Questions:

1. Name the function being performed by the marked in the above case.
2. Name the market segment other than the capital market segment in
which unsecured and short term debit instruments are traded. Also,
give any three points of difference b/w the two.

CASE 2: A bank named ‘Dhan Sangraha Karta’ allows Kapoor family to

deposite their money time and again in it. It gives a define return to this
family which is in the form of interest to get this interest the money
stored in the household of Kapoor family gets entry in to this bank.
Nearby there is a stock exchange Mr. Raj and Kapoor, who is the head of
the family, goes there and buys securities. He says that in this way more
return in earned by him on his saved money though the risk is also there.

Questions:

1. Identify the process in the above case performed by the bank and the
stock exchange?
2. What are the roles of the bank and the stock exchange with respect
to each other?
3. Name a condition of the bank to perform its role in this process.
4. Name a condition for the stock market to perform its role in this
process.
VIJAYA SCHOOL OF BUSINESS MANAGEMENT
INVESTMENT MANAGEMENT(FINANCE)

CASE1: Smart Tyres and Brisk Tyres companies’ shares are presently sold
at Rs 60 and Rs 100 respectively. Annual dividends over the next year are
 expected to be Rs 1.5 and Rs 2.5 respectively. Smart’s projected earnings
per share is Rs 2.5 and Brisk s – Rs 4. Smart’s dividends are expected to
grow at 10 per cent per annum in the future and Brisk’ s by 9 per cent.
Financial analysts have estimated the likely prices for the year ahead on
two stocks to be Rs 66, Rs 72, Rs 75 for Smart, and Rs 114, Rs 126. Rs 132
for Brisk.

Questions:

1. You are asked to examine the return of each company’s stock.

Choose one stock to be purchased for a holding period of one year.
Support your choice.
2. If the investor’s required rate of return is 15 per cent and he wants to
hold the stock for a longer period, which stock would you suggest?
Why?

CASE 2:

The market information regarding the following stocks is given in

the table.

Stock α β

ABC -.05 +1.6 .04

RSE +.08 -0.3 .00

GIV +1.1 .10

.00

Question:

1. If the market index is expected to have a return of .20 and a variance

of .20 which single stock would the investor prefer to own from the
risk and return point of view?
2. Interpret the value and α value of RSE.

VIJAYA SCHOOL OF BUSINESS MANAGEMENT

MARKETING ENGINEERING(MARKETING)
 Case Study1 : Sunscreen at the beach
You and your friends are at the beach, passing around a bottle of sunscreen. Your
friend Jamie is explaining that the reason that the white sunscreen goes on clear is that
the titanium dioxide, the material that physically blocks the sun, is in nanoparticle
form, so small that the particles don’t reflect visible light - they become invisible.
“In fact, the nanoparticles are actually smaller than your skin cells,” Jamie says. “But
don’t worry – studies1 show that the nanoparticles don’t go through your skin, they
stay on the surface, as long as you don’t have a cut or something,” Jamie pauses
thoughtfully. “I guess you could accidentally ingest them though, like if you used your
hands to eat after applying sunscreen.”
“I don’t see anything on the bottle that talks about nanoparticles,” you say, looking at the
label.
“That’s because the manufacturers don’t have to put anything on the label. There are no
regulations about using this nanotechnology in consumer products, no rules about
labeling
products,” Jamie replies.
You look along the beach and in the water and notice how many people there are – it’s a
really
hot day, and it seems like everyone in town is at the beach. You wonder how many
people are
wearing sunscreen with nanoparticles. You also imagine it washing off each person’s skin
in the
ocean, or at home in the shower.
“What happens to these nanoparticles in the environment?” you ask Jamie. You
remember
hearing news stories about different chemicals and pollutants getting into fish, and
interfering
with the ecosystem in different ways. You wonder about nanoparticles, which can be
smaller
than cells. Jamie shrugs, “I’m not sure, I think scientists are still doing research on that.”
What do you think about the sunscreen you just put on your skin? What are the benefits
and
risks, to you and to others (including the environment)? Will you use the sunscreen
again? Are
there alternatives to using this sunscreen?

Case Study 2: The new and improved tennis racket

Your friend tells you about this amazing new tennis racket.

“You HAVE to have it! It’s super strong and really lightweight,

because it’s made with carbon nanotubes. Plus, the Big Retail Store

is selling them at a very low price!”

“How can it be such a low price if it’s new technology?” you ask.

You’re excited, because even though you don’t really need a new

racket, you would love to have a new one.

“I dunno - maybe because of where it’s made,” your friend replies. “Many companies have
their

products made in other countries, where wages are lower, because it’s cheaper than making
them

here. That makes the products cheaper for us to buy.”

That afternoon, you’re surfing the internet to find out what carbon nanotubes are. You see an

article1 that says that because of the size and shape of these types of nanoparticles, inhaling

carbon nanotubes may have similar effects as asbestos, a material that was banned in the
1970s

and 80s, – the lungs have difficulty clearing out asbestos particles, often resulting in a certain

type of lung cancer. You also read that when carbon nanotubes are embedded in the tennis

racket material there is no danger of inhaling particles – so using the racket is safe.

You search for more information about inhaling nanoparticles, and find a scientific study2
that

linked the illnesses and deaths of factory workers to plastic nanoparticle inhalation from
paint.

The ventilation system in the factory was broken, and the workers had no safety training or

safety equipment for working with nanoparticles. They were not using carbon nanotubes or

making tennis rackets, but it makes you wonder about the conditions in the factory where
they

ARE making the rackets with carbon nanotubes.

What are the issues here? Do you buy the nano tennis racket? What would you consider in
making this decision? Is there other information you would want to know?

VIJAYA SCHOOL OF BUSINESS MANAGEMENT

 SUB :- ADVERTISING AND RETAIL MANAGEMENT(MARKETING)

Case Study 1 – Coca-Cola collaborates with App Annie.

Coca-Cola is a beloved beverage brand enjoying worldwide recognition and profit. Other
than its trademark soft drinks, the company also has several sister brands under its name.
Over the years, Coca-Cola has developed into a tech-savvy, modern business, thanks to its
innovation strategies.The latest app developed by Coca-Cola includes the Coca-Cola
Freestyle for customers, Coke Notify Service Request for retailers

As one of the most recognized corporations in the world, The Coca-Cola

Company offers over 500 brands to people in more than 200 countries and employs
more than 700,000 people around the world. In addition to its namesake Coca-Cola
drinks, just some of the company’s leading brands around the world include Dasani
waters, Gold Peak teas and coffees, Honest Tea, Minute Maid juices, Powerade sports
drinks, Simply juices, smartwater, Sprite, vitaminwater and Zico coconut water. The
company has built dozens of mobile apps, ranging from the mixology guide Coca-
Cola Freestyle for consumers to Coke Notify Service Request for retailers to Dasani
Purefill, an app designed to help college students stay hydrated via self-serve water
stations.
The company was founded in 1892 and is headquartered in Atlanta, GA.
Challenges
All around the world, people consume The Coca-Cola Company’s products 1.7 billion
times every day — about 19,400 beverages every second. Because many consumer
interactions with the company’s brand occur in secondary outlets, such as grocery
stores and stadiums, it's particularly valuable to have accurate data that sheds light on
the myriad marketing challenges and opportunities that come with being such a
ubiquitous and multi-faceted brand.

Questions:-

1.Explain the background of Coca-Cola, and why is it such a relevant brand.

2.List down the various sister brands and companies under Coca-Cola.
3.Discuss the innovation strategies that the brand adopts
4.Explain the three significant apps launched by Coca-Cola
5.Summarize the challenges faced by Coca-Cola
6.Talk about App Annie Intelligence and its benefits.
7.Discuss how App Annie contributes to better customer engagement.

Case study 2 – Raymond’s experiment with khadi

Raymond is a significant textile business worldwide known for its fabric quality and fitting
suits. The brand now plans to customize its fabric to suit the Indian market. For this, the
market experts narrow down to the traditional Indian material- “Khadi”.
Khadi is a hand-woven, light, and comfortable fabric with some rich cultural and historical
significance. Raymond, in its latest marketing strategy, tried to integrate Khadi in modern
fashion. The marketing team adopted innovative advertising ideas to make their product more
appealing and relatable.Raymond breaks the general perception of Khadi, presenting
differently

Raymond in re-positioning India’s traditional fabric ‘Khadi’ as a new fashionable fabric, as

part of its growth strategy.Raymond’s deal with the statutory government body Khadi Village
and Industries Commission (KVIC) that branded and promoted Khadi. The deal allowed the
company to offer ‘Khadi by Raymond’. Raymond’s puts efforts at changing certain pre-
conceived notions about Khadi through a new advertising campaign

WINDS OF CHANGE AT RAYMOND

Despite Raymond’s innovations in textiles and its strong retail footprint, it was still not
financially sound. By the mid-2010s, Raymond had been facing a deep financial crisis for
some years. The key reason for the company’s decline was the rise in brands, both Indian and
international, which offered custom-tailored clothing and readymade clothing. Between 2009
and 2013, while the cost of capital and interest charges rose, the margins of the company fell
by 5%....

KHADI – INDIA’S TRADITIONAL FABRIC

Khadi was considered a traditional fabric in India that was woven on handlooms using yarn
that was hand-spun from cotton, wool, or silk or any combination of two or all these yarns. In
India, the yarn was spun using the ‘Charkha’, a small wooden spinning wheel...

THE AGREEMENT BETWEEN RAYMOND AND KVIC

In 2016, the time was ripe for both Raymond and KVIC to collectively make a new move in
the Khadi space. In December 2016, Raymond signed a Memorandum of Understanding
(MoU) with KVIC. The public-private partnership (PPP) was a first of its kind initiative in
India between two Indian brands (Raymond and Khadi), which were thought to be
representative of the cultural heritage of India...

RAYMOND’S EFFORTS TO MAKE KHADI MARKET-READY

As part of the agreement, Raymond agreed to a guaranteed minimum procurement of Khadi

and Khadi products for a period of five years. The company made primary purchases of
muslin cotton, wool blends, and silk from KVIC...

THE LAUNCH OF KHADI BY RAYMOND

In May 2017, Raymond launched the new ‘Khadi by Raymond’ product line at a fashion
show. The new product line included a variety of fabric blends and ready to wear apparel.
Industry observers opined that never before had Khadi been presented with so many customer
options...
THE PROMOTION OF KHADI BY RAYMOND

In India, Raymond had a strong brand presence. The common belief was that the first suit that
an Indian man ever purchased would be a Raymond one. Keeping that in mind, the company
positioned itself in the premium segment. Raymond’s main communication message was
centered on the theme of ‘Raymond: The Complete Man’. Raymond mostly positioned itself
as an occasion-led brand with customers expected to make purchases at special events in their
lives such as, weddings and birthdays, among other occasions...

THE FUTURE OF KHADI BY RAYMOND

In FY 2018, Raymond purchased as much as 0.72 million meters of grey khadi fabric.
Raymond, which had started out working with 20 Khadi clusters across India, had increased
its association to more than 75 clusters in 16 Indian states, by December 2018. To further
complete the company’s Khadi collection, Raymond added shoes and accessories such as tie
pins and lapel pins....
Questions

1. Scrutinize the re-positioning strategy of a traditional brand.

2. Evaluate the social impact of a public-private business partnership.

3. Examine the new marketing mix of a brand.

4. Analyze the marketing strategy undertaken by a company to alter customer
perceptions

VIJAYA SCHOOL OF BUSINESS MANAGEMENT

COMPENSATION MANAGEMENT( HR)
 CASE STUDY

CASE 1: ABC Company is an engineering company with employee’s strength of

1000. The Company has a system of incentive linked monthly productivity
bonus for the shop floor employees which serve the purpose of rewarding
good work. The HR director, Mr. David has been facing a dilemma, how to
evaluate the performance of middle management and how to link it with
productivity. After deliberate discussions with the individual managers, he
develops a plan. The plan is designed to enhance teamwork and proved
incentives for improvement & excellence among middle level managers. Briefly
the pay will be split into two components.

The first consists of 80% of original salary, which will be a filed

component and will be determined as before. The second component of 20%
will be flexible and will depend upon ability of each team as a whole to show
minimum of 5% improvement in their respective areas.

The scheme when discussed with managers received a number of

negative remarks. One manager said that why should their performance
depend upon the performance of other members of the team. The new pay
scheme makes them team players first and specialist in their area next.
Another objection was that why the good persons in the team should suffer, if
the other members are not measuring up to the expectations. More over there
are number of external factors which affect the individual and collective
performance. For e.g.: - if a product suddenly goes of demand, affecting
marketability. Why should the concerned marketing team be penalized for
something beyond its control.

Now Mr. David is in a right position. The company has been the trend
setter in executive compensation in Indian industry as this have been paying
the best compensationawareness campaign Evers year as a strategy to build
awareness of perceived inequities between the pay of CEDs and the frontline
employees. Such awareness often prompts employees to consider forming a
union, resulting in the growth of national unions.

The publicity has causes some turmoil at oak wood laws. For the first
time, the company’s CEO pay is feathered as an example of perceived excesses
in the executive suite. Several field managers have been in touch with Dun
Henry, the director of human resources, to report that employees are
outraged at the rate of pay of the company CEO and other top executives. In
addition to their desire to remain union free. Don also knows that such outrage
could lead to low morale and other problem at oak wood.

The union targeted oak wood because it is a big company that has faced
some financial challenges. The landscaping company has more than 15000
employees in offices throughout the Midwest and most of their employees are
frontline labourers. The media coverage has been extensive in the area and
many company employees who viewed the story were surprises will the new
plan ensure that it remains that way? If the plan succeeds ABC set another
trend in executive compensation.

Questions: -

1. Do you think it is appropriate to evaluate managers on the basis of

productivity?
2. In your opinion, which is the most suitable criteria for incentive plans,
individual performance or team performance.
3. If you were the HR director, what would you do?

CASE 2: CEO Pay in Needs.

A recent campaign by organized labour unions bought the issue of

executive compensation into the public eye. Media coverage of executive
compensation concerns has been extensive over the last few weeks with
articles in National publications and a featured story on a television special, in
addition to stories on local news stations. This extensive coverage has
highlighted public concerns of the high level of pay that top executive receive.

The union promotes an executive to learn the CEO is among the highest
paid in the United States.

The news was especially difficult to hear as the company recently

announced that employees would not receive an annual pay increase due to
the financial challenges the company is facing.

The oak wood CEO’s annual salary is $975000. Add in a bonus, stock
awards, retirement benefits and other benefits and his total compensation is
close to $10 million a year. The average landscaping technicians is paid $28000
annually. The display is clear and Don must now plan a response to address the
employees concerns.

Questions:

1. What additional information about the CEO’s pay packages should Don
identify to potentially share with the employees?
2. How can Don explain the pay disparity to the employees to ease their
concerns about the fairness of the CEO’s pay?

VIJAYA SCHOOL OF BUSINESS MANAGEMENT

INDUSTRIAL RELATIONS AND LABOURLAWS( HR)
 CASE 1: In Jay Engineering works after a 3 month strike the work had
resumed. However on the very first day of resumption of work there was
a problem on account of shortage of snacks in the first shift which
resulted in a tool down. In the first shift on the day of resumption of
work, samosas were served as snacks for breakfast. The normal rule was
that each workman should take only 2 pieces of snacks. However as the
samosas were tasty, the workmenstarted consuming more than 2
samosas which resulted in shortage of samosas. Ashok, a workman who
was a very reasonable had person and who was considered as very close
to the management had come late to the canteen. When he found that
the samosas were not available, he raised a hug and cry and demanded
from the canteen officer that samosa should be serves to him and that
he would not accept any other except samosa. The canteen officer
expressed his inability to serve samosa and instead offered to serve
biscuits. Ashok declined to accept the same. Ashok got upset and took
his grievance to the union committee members. The union Committee
members felt that this was an opportunity for them to win over ashok to
their side.
They therefore took up the cause of Ashok with the canteen
officer. They threatened the canteen officer that resort to a tool down if
the grievance of Ashok was not resolved. The canteen officer expressed
his inability to serve samosa to Ashok but offered to serve biscuits
instead. Not satisfied with the solution given by the canteen officer. The
union committee members gave a call for a tool down. The activities of
Jay engineering works came to agrinding halt.

Question:
As a personal manager of this company how would you handle this case?

CASE 2:-
Hindustan Textile Mills is a spinning unit of 50,000 spindles. The main product
is cotton yarn of 40 count. The mil is situated in central India. Mr. T Patel who
is the General Manager of the plant manages the unit. He is a B. tech of 1960
batch and is associated with the organization for the last 15 years. The plant
started its production in the year 1989. The total strength the worker is 1750.
All the workers are on the regular rolls of Hindustan Textile Mils and majority
of them belong to Bihar. The workers are not unionized but strong groups from
particular regions have influence on the workforce from a particular area.

Mr. Pramod Mishra joined the mill on 01.12.1995 as Trainee and he was
promoted as Tenter from 8.8.2000 in the ring department. He belongs to
Chappra district of Bihar. On 25.9.2001, Pramod Mishra was taking charge of
the night shift and there was some argument that took place with the evening
shift, Mr. Babloo, Mr. Mahesh, shift officer intervened in the matter and the
issue was resolved. Babloo is a resident of Balia in U.P.

On 10.10.2001, in the night shift at around 1:30 am, Rakesh Kumar working as
Tenter in blow room met with an accident. His right arm came in to contact
with the machine and he shouted for help. Pramod Mishra rushed to the spot
and meanwhile 3 other workers of Speed frame and draw frame also reached
the spot and started their effort to pull Rakesh from the machine, Mr. Mahesh,
shift officer with the timekeeper Mr. Kanhaiya Lal also joined them. There was
blood al around. Mr. Mahesh intervened in between and took charge of the
machine along with Mr. Gyan Singh, maintenance foreman. They were able to
pull Rakesh Kumar out of the machine and in the meanwhile there were group
pf 50 workers gathered on the sot. Kanhaiya took Rakesh to the hospital.

Meanwhile there was an argument that started between Mr. Pramod Mishra
and shift officer Mr. Mahesh that the machines are not safe and the
management is not keen about the safety of workers. Mr. Radhey, Mr.
Deendayal, Mr. Prabhu Prakash also joined Mr. Pramod Mishra. Pramod
Mishra took an iron rod from the blow room and started souting to all the
workers to stop the plant. He along with Mr. Radhey, Mr. Deendayal and Mr.
Prabhu forced al workers to come out of the plant and damaged window
glasses of the main hall. The whole issue took an ugly turn.

Question:-

You are the Personnel Manager. How will you handle the situation and
describe the legal as well as other actions to resolve the issue.