SAMPLE 1 PROGRESS REPORT – TEAM NAME
I. Members:
II. Time Management
a. November 1st 10:00AM Group Discussion (CBC Lobby) b. November 4th 10:00AM Re-assessment of issues and potential solutions (Law Library) c. November 5th 3:30PM Assemble PowerPoint and Financial Analysis (CBC Lobby) d. November 5-7th Complete Executive Summary and finalize PowerPoint
III. Team Management
a. Immediate actions to be taken i. Relevant financials ii. Fiscal release in November reflecting recovery optimism and dynamism. b. Show liquidity headroom i. Selling fixed assets: Sell part of stock of airplanes ii. Ultimately renew UK CAA License and give a special attention to UK segment c. Show working capital management improvement i. Closing select retail outlets to shift focus to intermediaries rather than suppliers and shift focus to web channel (will also contribute to cost reductions) ii. Reducing costs by promoting internal integration and technological development in terms of e-commerce and increasing efficiency. d. Fix financial position i. Reduce current debt (aircraft-related bank loans) by selling part of the aircrafts
IV. Long term actions to be taken
a. Relevant financials i. Benchmark in order to achieve healthier financial position by comparing competitors’ ratios ii. Focus on the web channel iii. Promote long-term growth (once customers’ confidence is reestablished) and profit (realizing cost reductions, economies of scale)
iv. Restore shareholders and customers’ confidence v. Reduce cost of debt with better credit ratings and more solid financial position b. Specific challenges i. Most profitable region is failing, UK 1. Upcoming license renewal ii. Liquidity iii. Shareholder and Customer Confidence iv. Future Growth and Profit v. Working Capital Management vi. Financial Position
SAMPLE 2
Progress Report: Team Name
Team members:
Statement: Our team sees the current challenges that face TCG as an opportunity to restructure and rebrand and emerge as a stronger more strategic, profitable company.
Team Timeline & Expectations: Met with team on Saturday, October 31, 2015 o Discussed the case o Identified important key points and decided on our position; Green is on the right track o Brainstormed arguments to support Green’s decisions o Strategized on the approach to the case . Established short term/ long term solutions . Cross referenced competitor’s financial performance between 2011-2012 o Divided responsibilities: . Enrique: PowerPoint and evaluating management changes . Michael: Creating SWOT . Alex: Exploring long term actions and timeline for suggestions . Gio: Gathering team data and creating executive summary . Yanyn: Analyze financial data and potential improvements Deadlines: o Meet with team on Monday and Wednesday at 5:00 PM to discuss progress and new discoveries o Submit question research by Thursday by 11:59 PM o Meet with team on Friday at 6:00 PM to finalize executive summary and PowerPoint.
SAMPLE 3
Chapman Cup Progress Report Name of Team: Team Name Please list names of all team members:
The problem: Thomas Cook has been slow on the transition to travel e-commerce. Management has previously been concentrating on areas that are not growing markets, such as with their expansion of the physical retail shops in the UK. They have a wide variety of businesses that need to be analyzed for profitability and streamlined. They are also experiencing negative PR from their competitors and the press and they need to address client confidence in the brand in order to continue selling well. In short, TC needs to reduce costs and manage their cash flow through actions such as reducing overheads. Steps to analyse: 1) Prioritize the problem issues and agree on elements that needs to be addressed. 2) Complete a financial analysis for cash recognition: is there any way to improve this for immediate financial statement benefits? 3) Management: analyze the organization's effectiveness. Performance metrics. 4) Study competitor activity: web statistics and industry trends. 5) Research financial data on the retail store sector; what cuts can be made. Timeline: Thursday 5th November: team meeting, research and writing down the bones of the presentation. Friday 6th November: team meeting, writing power point and exec summary.
SAMPLE 4
Chapman Cup Progress Report
Name of Team:
Member 1 – Creative & Business Intel Member 2 – Sales & Marketing Member 3 – Creative & IT Member 4 – Financials & Analysis Member 5 – Strategic Management & Operations
First and foremost: Start with the end in mind. Where Thomas Cook Group wish to go? Corporate Evolution or Extinction?
Harriett Green, the newly appointed CEO of Thomas Cook Group, faces a daunting set of business and financial challenges at the 171-year old UK travel services company.
The company has lost almost £600 million in the last three quarters Stock price fall from 230 ($3.55) pence to a low of 8.8 ($.14) pence in the past two years Bonds trade down to as little as 40% of face value. The company's license to operate is to be reviewed by the United Kingdom's Civil Aviation Authority The company's license to operate is to be reviewed by the United Kingdom's Civil Aviation Authority
Immediate Need: Payments to suppliers Restructure debt
Plan must include: Company's high cost structure Raising substantial new capital Fix the balance sheet Create a profitable growth strategy Build a more effective organization and culture.
Imagine a man and woman sitting on a beach, with a drink in hand (fresh coconut water), watching the sunset.
What forces got them there?
INDUSTRY I – Examine travel industry and its trends A – All travel B – Vacations and holidays C – By county or region
We would need to know I – dollar spend II – Purchase decisions III – Length of holiday / vacations IV – percent of disposable income V – Etc
II – Option of purchase A – On Line B – Travel agent C – Telephone D – Mail (catalogue)
III – Options for holiday / vacation travel A – Stay at home B – Package tour C – Cruise D – same country vs foreign travel E – ala carte (book everything separately; air fare, hotel, rental car, etc)
VI – Trends in purchasing holidays (by region or country)
A – Packages B – All inclusive (Sandal’s) C – Cruise D – ala carte
THIS SHOULD ANSWER TWO QUESTIONS 1 – Is the future of the travel agent secure and sustainable? 2 – Is the future of tour operators (package tours) sustainable?
INDUSTRY – VACATION PACKAGES I – Largest competitors A – On-line B – Travel agents C – Catalogue D – Direct
1 - How do they compete?
2 – How do the customers differentiate between tour operators? A – product offering B – Distribution channels C – Price D – service E – Promotion
THIS SHOULD ANSWER THE QUESTION, WHAT MAKES THOMAS COOK GROUP DIFFERENT (better option)?
II – What will the demand be in 5 years for package tours (decline / flat / growth)
INDUSTRY – TRAVEL AGENTS I – Trends (regionally or by country) II – Life cycle of distribution model (this could be trends or show Travel agents in a mature / declining position) III – Alternatives IV – Demographics ( of travel agency users and on line users)
Focus on holiday packages
A – Can be sold by any distribution channel B – Flexibility or variety of packages (location, price, length of stay, etc) C –
PORTER’s 5 P’s for Tour Operators Bargaining power of supplier – weak Bargaining power of buyers – weak Threat of new entrant – High on-line Threat of substitute – High (cruise, ala carte, all inclusive, etc) Industry rivalry ?
PACKAGE TOURS Strengths: - Price - Flexibility (location, length of stay, comfort level) - Stable to growing demand
Weakness: - Distribution channel competition - Demand forecast risk
Opportunities (TCG) - On-line presence - Product differentiation - Total package - Ala carte (discount air fare on charters, discount hotels on surplus rooms) - Additional services - Core packages (the packages that demand can be easily predicted) - New packages - New target markets (Asia) - Finances of company will motivate people to change (take action or loss your job) - Finances (a lot of low hanging fruit to lower GS&A - DEFINE A NEW VISION FOR THE FUTURE
Weakness: - Financials – balance sheet (horrible), liquidity (none), expenses (high) and margin (shrinking) - Management – problems started in 2007/2008. Management only realized there was an issue after losses started in 2011. - Organizational structure – rambling and redundant
- Skills – may not have skills needed to change the company and implement a the components of a new vision.
ASSESSMENT OF ALTERNATIVES 1 – assess holiday / vacation package model 2 – assess delivery channel a – on line versus travel agents b – trends of the travel agent model 3 – assess product (packages versus ala carte)
POSSIBILITIES 1 – Develop on-line travel agency (including some of the following features) For Customers A – marketing tool to showcase packages B – ability to book / buy packages C – ability to book ala carte travel D – ability to book other vacations (cruises, all-inclusive)
For TCG E – facilitates payments F – ties in with in-house (TCG’s airlines, hotels, etc) and outside service providers G – Demand forecasting H – paperless travel documents I – communication with suppliers
2 – Eliminate redundant management while increasing sales A – TUI has an GS&A to sales ratio under 8%, TCG’s is over 19% B – Focus lines of business C – Restructure operations and incentives D – Increase sales I – new products II – Distribution channels III – marketing
3 – Raise cash and reduce expenses A – eliminate non-core assets B – close travel agencies that are close to other TCG travel agencies (without imparing sales)
C – Sale / leaseback all major assets
4 – Find a strategic partner A – Travel agent network could sell cruises (can we quantify $ value of Carnival or RCCL tapped into TCG’s travel agency network?)
COMPETITIVE REACTION - TUI would probably follow on-line travel agency
RECOMMENDATIONS 1 – 3 months - Secure credit facilities • Define future vision (this will allow the company to focus on core vs non-core) • STOP paying dividends
4 – 12 months - reorganize company to achieve the vision • Air operations • Hotel operations • Marketing operations • Travel agency • On-line • Product development • Etc • Forecast demand model • Eliminate redundant management • Strategic partner that could benefit from the travel agent network.
13 – 36 months - structure business to operate (profitability) with small margins. • Analyze company business • Assets committed • Revenues • Costs • Contribution • Determine future strategy of travel agency business (with strategic partner) • Reduce assets (sale or sale/leaseback) • On-Line travel agency
48 months - go to capital markets for equity investments (or capital from strategic partner)