The Big Picture of

Business Problem
Solving
 Today’s discussion
1. Business case understanding – What is a
business case?
2. Key skills to solve business case
3. Do it together - Practice

Broader. Bolder. Better

 Today’s discussion
1. Business case understanding – What is a
business case?
2. Key skills to solve business case
3. Do it together - Practice

Broader. Bolder. Better

What is a business case?
Business case as a medium to communicate a company’s situation

Consultant Company Management team

(Us) (problem/opportunities) (BOD, commissioner,
shareholders, etc)

Broader. Bolder. Better

Type of business cases
According to ACRC, CIMA, Case Interview

Source: HSBC training manual.

For further exploration: http://www.acrc.hku.hk/case/case_topicindex.asp
Type of business cases
According to ACRC, there are 3 types of business cases

Hint:
Most of the cases are the
combination from several
types of cases. Thus, having a
team with varied background
will be our advantage.

Source: HSBC training manual.

For further exploration: http://www.acrc.hku.hk/case/case_topicindex.asp
Type of business cases
According to ACRC, there are 3 levels of business cases

Level 1
The simplest case (rated “1” in complexity) simply tells a
story, defines the issue(s) and presents the solution(s) that were worked
out. Students then evaluate whether the solutions used were the correct
ones.

Level 2
A case rated “2” tells a story, defines the issue(s) and asks students to
seek appropriate solutions (which may or may not be presented in the
case).

Source: HSBC training manual.

Type of business cases
According to ACRC, there are 3 levels of business cases

Level 3
A case rated “3” tells a story and asks students to define the issues as well
as seek solutions. A case rated “3” will likely be chosen during the final
round(s) of a case competition.

Source: HSBC training manual.

Type of business cases
Practice: identifying type of business cases

Answer: Level 2 cases; Finance & investment; strategy & general management
case
Type of business cases
Practice: identifying type of business cases

Answer: Level 1 cases; strategy, general management, and marketing case

Type of business cases
Practice: identifying type of business cases

In less than 20 years, Uniqlo has become the leading fast-fashion retailer in Japan and a strong
player in other Asian countries like China, Korea and Taiwan. Since 1998, the company has
expanded sales at double-digit rates, thanks to an aggressive pricing policy combined with a high
level of quality, a mix that proved hard to resist for Asian customers. Key to Uniqlo’s strategy and
success was an agile supply chain inspired by the “fast-fashion” model pioneered by Inditex and
also utilized by H&M, the two largest fashion retailers in the world.

While Uniqlo demanded competitive prices from its suppliers, it also offered them continual
technical assistance in developing and perfecting their manufacturing techniques, and supported
them with a high flow of orders.

Nineteen ninety-eight was an important year for Uniqlo, as the opening of a flagship store in one of
the hottest fashion districts of Tokyo projected the brand in Japan at a national level. At product
level, a partnership with Toray, one of the world’s leading producers of composite and synthetic
fibers, resulted in garments that had performance and properties no natural material could match.
Working with Toray forced Uniqlo to refine its supply chain further, that became “just-in-time,”
mimicking that of other highly competitive Japanese companies.

With an efficient but regional supply chain, Uniqlo faced rising manufacturing costs in China and
was experimenting with new supply chain models in low-cost locations like Bangladesh. Uniqlo’s
supply chain had proved effective in the Asia Pacific region, but could the same model be scaled
worldwide? Was the low growth rate Uniqlo experienced in the US, and particularly Europe, also
due to the limitations of its current supply chain?
Answer: Level 3 cases; strategy, general management, and production &
operation management
Type of business cases
According to CIMA, there are 2 types of business case

Problem
Something that the company want to solve.
(Business Issue and Ethical Issue)

Proposal
Something that the company want to do.

Source: CIMA 2015 Tips & Trick Book

Type of business cases
According to CIMA, there are 2 types of business case

Business issue vs ethical issue

A business issue is one that directly affects revenue, costs
or profit of a company.

An ethical issue is one that presents a moral dilemma to

the management. Common ethical issues surround a duty
of care to a stakeholder, confidentiality, conflict of interest,
unfairness, lack of objectivity and so on. I

Source: CIMA 2015 Tips & Trick Book

Type of business cases
According to CIMA, there are 2 types of business case

An approach to a business problem:

1. Explain the impact of the problem (financial,
strategic, or reputational impact)
2. Discuss potential solutions to the problems
3. Recommendation

Source: CIMA 2015 Tips & Trick Book

Type of business cases
According to CIMA, there are 2 types of business case

An approach to an ethical problem:

1. Explain the ethical dilemma
2. Give advice how to resolve the ethical issue

Source: CIMA 2015 Tips & Trick Book

Type of business cases
According to CIMA, there are 2 types of business case

An approach to a proposal:
1. Background of the proposal
2. Discussion of the proposal
• Strategic proposal (new products or new market for
example), use johnson and scholes strategy feasibility
acceptability suitability assessments.
• Operational proposal (factor surrounding the decision,
detail the adv and disadvt)
3. Recommendation
• Accept or reject?
• If accept -> detail implementation issues and how to deal
• If reject -> justification and recommendation what the
business should do

Source: CIMA 2015 Tips & Trick Book

Type of business cases
Practice: Solving a problem

Source: CIMA 2015 Tips & Trick Book

Type of business cases
Practice: Solving a problem

Source: CIMA 2015 Tips & Trick Book

Type of business cases
Practice: Assessing a proposal

Source: CIMA 2015 Tips & Trick Book

University Business Case Competition
Business case competition from all around the world
 Today’s discussion
1. Business case understanding – What is a
business case?
2. Key skills to solve business case
3. Do it together - Practice

Broader. Bolder. Better

Solving Business Case – Key Skills

Solving Presenting
Solving Business Case – Key Skills

Reading Key issue Recommen Impact &

Analysis
(understanding) question dation implementation

Solid foundation: knowledge in business theory, tools, and case studies

Reading (Understanding)
Answering question: What is happening? Why is it happening?

Skeptical reading:
What is happening? Why is it happening?
Knowing the story of the company’s problems or opportunity.
Speed reading techniques
Reading techniques

20/80 rule of information

20% are key words 80% are key words

Containing important Use to connect words
information
e.g. that, the, a, etc
e.g. verbs, nouns,
adverbs, adjectives

Source: Adam Khoo Learning Technology group

Speed reading techniques
Reading techniques

Reading problems:
What the hell is it talking about?

One paragraph, one idea

Read the question first
Read the headline first
Example
Leading fast-
fashion
In less than 20 years, Uniqlo has become the leading fast-fashion retailer in Japan and a strong retailer.
player in other Asian countries like China, Korea and Taiwan. Since 1998, the company has Strategy:
pricing, quality
expanded sales at double-digit rates, thanks to an aggressive pricing policy combined with a high to customers;
level of quality, a mix that proved hard to resist for Asian customers. Key to Uniqlo’s strategy and supported by
success was an agile supply chain inspired by the “fast-fashion” model pioneered by Inditex and agile supply
chain
also utilized by H&M, the two largest fashion retailers in the world.

While Uniqlo demanded competitive prices from its suppliers, it also offered them continual Uniqlo support
technical assistance in developing and perfecting their manufacturing techniques, and supported their suppliers
them with a high flow of orders.

Nineteen ninety-eight was an important year for Uniqlo, as the opening of a flagship store in one of Development
the hottest fashion districts of Tokyo projected the brand in Japan at a national level. At product of the
level, a partnership with Toray, one of the world’s leading producers of composite and synthetic company;
additional
fibers, resulted in garments that had performance and properties no natural material could match. value
Working with Toray forced Uniqlo to refine its supply chain further, that became “just-in-time,” proposition
mimicking that of other highly competitive Japanese companies.

With an efficient but regional supply chain, Uniqlo faced rising manufacturing costs in China and
was experimenting with new supply chain models in low-cost locations like Bangladesh. Uniqlo’s
supply chain had proved effective in the Asia Pacific region, but could the same model be scaled Key questions
worldwide? Was the low growth rate Uniqlo experienced in the US, and particularly Europe, also
due to the limitations of its current supply chain?
Solving Business Case – Key Skills

Reading Key issue Recommen Impact &

Analysis
(understanding) question dation implementation

Solid foundation: knowledge in business theory, tools, and case studies

Analysis
What, so what?

What, so what?

Differentiate between FACTS/CAUSE and EFFECTS.

Taking key take away from facts and information.
Knowing the condition and conclude it.
Gathering facts and make conclusion

Source: CIMA 2015 Tips & Trick Book

Analysis
Business analysis tools

Tools for analysis (quantitative & qualitative)

1. Situational analysis (SWOT analysis, PESTEL, 5
forces)
2. Company analysis (Business model, BCG matrix)
3. Financial analysis (ratio, etc)
4. Evaluating (Fishbone, VRIN, McKinsey business
horizon, Design thinking, johson and scholes
feasibility suitability acceptability)
5. Strategy (Ansoff matrix, brand pyramid, blue
ocean strategy, etc)
Analysis
Powerful analysis tools: Business model
Analysis
Practice

Source: CIMA 2015 Tips & Trick Book

Solving Business Case – Key Skills

Reading Key issue Recommen Impact &

Analysis
(understanding) question dation implementation

Solid foundation: knowledge in business theory, tools, and case studies

Key question
Asking the right question

Make sure to barking up

to the right tree;
Defining issue question
Key question
Asking the right question
Key question
Asking the right question
Solving Business Case – Key Skills

Reading Key issue Recommen Impact &

Analysis
(understanding) question dation implementation

Solid foundation: knowledge in business theory, tools, and case studies

What is the best recommendation?

1. Innovative
2. Based on data & insights (connected
with previous finding; well justified)
3. Realistic, practical
4. Strategic focus
5. Considering short term, medium term,
and long term
Key Impact & Implementation

Impact
Financial, strategic, reputation impact

Implementation
Financing – short term debt, long term debt,
share issuance, internal funding
Step by step action plan – Timeline & KPIs (plus
points)

Risk & mitigation

Possible risk & how to mitigate (prioritization!)
 Today’s discussion
1. Business case understanding – What is a
business case?
2. Key elements to solve business case
3. Do it together - Practice

Broader. Bolder. Better

The Big Picture of
Business Problem
Solving