Report on Exchanges - INSEAD CALT

More documents

Recommendations

Info

Rose confirms her availability….De : rose.delannoy@gdfsuez.com [mailto:rose.delannoy@gdfsuez.com]Envoyé : mardi 18 juin 2013 08:38Thanks for offering to set up the call. I will make myself available whichever the time. 6 or 6:30 pm.Rose…and in order to reach a common understanding of the challenge suggests splitting the teamin 3 Task Forces…De : rose.delannoy@gdfsuez.com [mailto:rose.delannoy@gdfsuez.com]Envoyé : mardi 18 juin 2013 09:21Dear all,In view of our decision to come, I would like to make sure we understand all in the same way whatdecision is required from the team.Based on the original instruction, I believe it is not “which sponsor” we must choose but which plan ofaction to come to a (future) final decision.See extract from the instructions:Thank you very much to those who watched Episode 1 and sent me your individual decision on the best partnerfor EagleRacing (and also to those who did not find the time to do it, but will hopefully have a look at theEpisode now, as described in the email below). You now probably expect to be able to see what happens inEpisode 2. But before proceeding to the next step we need a Robustness Check for this critical decision forEagleRacing. And we’ll do this in Teams!So, as you can see, you are now part of Team 3, and you will be able to see Episode 2 and the followingEpisodes, after deciding together on the best course of action.For example, I suggest: Split the team in 3‣ Team A: works on improving/securing Goodbrigde sponsorship (objectives: use the XLS and worddoc for the issues brought up under Goodbridge proposal)‣ Team B: works on clarifying Bauer’s intention and press issues, strengthening our confidence inthe deal (objectives: use the XLS and word doc for the issues brought up under Bauer proposal)‣ Team C: works on the EagleRacing issues brought up in Frederic’s document especially underchapter Alternatives.Process wise: start a joint meeting clarifying the context, issues and risks.Set a timing for work in teams and interim sharing sessions to adapt possible negotiation with Goodbridgeand Bauer based on (interim) results from the teams.If you share the same understanding on the original question and the suggested plan of action, we thenneed to confirm together the objectives of team A & B.NB. the XLS version here included is (I think) the latest version (sent by Isabelle on 16/06)RegardsRoseDATE :Environment and Context:What we know : actually not much (Business model, value chain, competitors, supply/demandfor sponsorship, etc..)AAA/INSEAD/062013 - 44
Current issues and subsequent risks :Eagle’s main sponsor cancelled its participation.The company needs to find 18M€ for next season (actual treasury forecast not known)If the company do not provide for the money, it risks going out of the businessTiming not precisely known : When does the problem arise if Eagle does nothing / or put itanother way How long does Eagle have before risk transforms into actual crisis ?Decision criteria and weight :Objectives :Weight : 0 = killer / 10 = must go8. Financial survival for next year9. Financial security for 3 years10. Exclusivity requirement from sponsor11. Ethics12. Brand / reputation / media positioning13. Concrete commitment of the offer14. Balanced partnership3. Short Term : Get the funding for next season4. Long Term : Gain access to a portfolio of stable and reliable investors/sponsors within awell balanced relationship.Alternatives :Can we buy Eagle some time ?6. Is it advisable/possible to think of a temporary cost reduction ? Yes / No / Need more intel7. Can Eagle obtain a payment break/credit from its suppliers ? Yes / No / Need more intel8. Can contractual dispositions with former main sponsor bring some kind of salvation (penaltiesetc..) ? Yes / No / Need more intel9. Can Credit or treasury facilities be found (loan, bond, share issue to public) ? Yes / No / Needmore intel10. Ask sponsors to pre-finance (faster or more than 1 season funding) to overcome cash shortageand buy time to find other sponsors ? Yes / No / Need more intelIs mutation of the company an option ?ooSell the company? Yes / No / Need more intelJoint with other racing team? Yes / No / Need more intelCan we overcome the problem and to which extend ?4. Ask suppliers to joint as partners (if not already the case) ? Yes / No / Need more intel5. Ask current sponsors to raise their contribution ? Yes / No / Need more intel6. Find other sponsors ? Yes / No / Need more intelo Leveraging : networking through partners/prospects : Approach competitors andpartners of sponsors & prospects in order to get them to become sponsors• Current sponsors ? Yes / No / Need more intel• Goodbridge ? Yes / No / Need more intel• Bauer? Yes / No / Need more intelAAA/INSEAD/062013 - 45
Page 1 and 2: EagleRacing Simulation ExchangesGMP
Page 3 and 4: Individual RepliesDiederik is the f
Page 5 and 6: Shahid announces that he did not re
Page 7 and 8: Sir Ralph takes time to see if he c
Page 9 and 10: Depending on the past nego with Goo
Page 11 and 12: me represents a risk to the image t
Page 13 and 14: …after finally receiving the emai
Page 15 and 16: …now Edson joins the discussion a
Page 17 and 18: …Edson would like to get some fee
Page 19 and 20: …allowing Frank to send the final
Page 21 and 22: Two Truths and a LieHi. Let me intr
Page 23 and 24: Peter agrees to sign with Bauer…D
Page 25 and 26: I am afraid I can’t join you in y
Page 27 and 28: …allowing Vincent to send the fin
Page 29 and 30: Financial security for3 yearsEthics
Page 31 and 32: The practical organization of our w
Page 33 and 34: I have added my comments to Rose’
Page 35 and 36: - Does the contract with Eagle’s
Page 37 and 38: Kind regardsRoseCriteriao requiring
Page 39 and 40: Isabelle joins the team and explain
Page 41 and 42: oLeveraging : networking through pa
Page 43: What will be the value of the brand
Page 47 and 48: …now she suggests a meeting agend
Page 49 and 50: If Frederic and Diederik do not add
Page 51 and 52: TEAM 4I try to activate the team by
Page 53 and 54: … Peter continues the game and su
Page 55 and 56: With regard to my opinion on the ca
Page 57 and 58: From above I would conclude that th
Page 59 and 60: Bernard too agrees to the Team Lead
Page 61 and 62: We are all in same boat reg Episode
Page 63 and 64: No matter what, we should probably
Page 65 and 66: …Thomas also joins the Goodbridge
Page 67: With the limited knowledge that we

Report on Exchanges - INSEAD CALT

Create successful ePaper yourself

Delete template?

Save as template?