Business Finance
Webster University BBC Contract with Siemens Case Questions

Webster University

Question Description

I’m studying for my Management class and need an explanation.

Write a one-page paper that thoroughly addresses the questions below.


  1. The BBC originally contracted with Siemens, a successful and capable technology solution provider. What happened to the DMI project when it was being managed by Siemens, and what was the BBC's response?
  2. How would you describe the communication of project status from the BBC DMI project team to their executive sponsors and government oversight team?
  3. Summarize: List and describe FOUR bad project management practices that led to the failure of this project.

One of our tasks this week was to review the "Four Hour House" video, and another similar video "The 2-Hour House."

These amazing stories show "Project Management" at its finest. As you watched the videos, you were asked to jot down notes about the project management "Best Practices" you observed taking place during the construction projects.

For this week's discussion board, please post your EIGHT Best Practices that you observed in the 4-hour and 2-hour House videos.

Videos available on Youtube

Read Case 1 in the Tanglewood Stores Case and complete the following assignment:

1. Develop recommendations for how the organization should staff its operations, focusing on strategic decisions pertaining to staffing levels and quality. Identify and address each of the strategic decisions in your analysis and recommendations. These decisions are discussed in the textbook.

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● TANGLEWOOD CASEBOOK for use with STAFFING ORGANIZATIONS ● ● 9th Ed. Kammeyer-Mueller 1 TANGLEWOOD CASEBOOK To accompany Staffing Organizations, ninth edition, 2018. Prepared by John Kammeyer-Mueller Carlson School of Management University of Minnesota Minneapolis, Minnesota E-mail: Copyright ©2018 Pangloss Industries, Inc. Tanglewood Casebook to Accompany Staffing Organizations, 9e 1 INTRODUCTION TO THE CASE CONCEPT Rationale for the Tanglewood Case Many of the most important lessons in business education involve learning how to place academic concepts in a work setting. For applied topics, like staffing, learning how concepts are applied in the world of work also allows us see how the course is relevant to our own lives. The use of these cases will serve as a bridge between the major themes in the textbook Staffing Organizations and the problems faced by managers on a daily basis. The Tanglewood case is closely intertwined with textbook concepts. Most assignments in the case require reference to specific tables and examples in the book. After completing these cases, you will be much more able to understand and apply the material in the textbook. With this in mind, it should be noted that the cases are designed to correspond with the types of information found in work environments. This means that for many important decisions, the right answers will not always be easy to detect, there will be more than one correct solution, and often the very information that would make decisions easy is missing. Remember that ambiguity in any case corresponds to reality; although it may be frustrating at first, you should remember that business problems are themselves often confusing and require important judgment calls that don’t have any single “right” answer. Successful Case Performance A major component of the case method is learning how to apply and communicate classroom knowledge in a realistic setting. Each case should be prepared in the form of a report to be given to the top management team at Tanglewood department stores. The following guidelines for successful case performance are useful for checking your work: 1. a. b. c. 2. a. b. c. d. e. 2 Are responses and recommendations grounded in good management practice? All responses need to incorporate what you’re learning in Staffing Organizations effectively and accurately. Show mastery of all relevant concepts. Recommendations should be directly related to best practices described in Staffing Organizations, and make effective use of the information provided in the case. Recommendation should take potential problems into account based on what you’ve read, and incorporate methods to respond to these issues. Does the report communicate effectively? Avoid grammatical errors and confusing sentences. Break the text into clearly marked subheadings so it is easy for the reader to find relevant information. Explain technical concepts and statistics in a way that an intelligent reader who is not familiar with them could understand what is being reported. Present tables cleanly with relevant information highlighted for the reader. Explain why you chose to use information and data in the way that you did. Prepared by John Kammeyer-Mueller Case 1: Tanglewood Stores and Staffing Strategy CASE ONE: TANGLEWOOD STORES AND STAFFING STRATEGY Section Objectives The goal of this section is to help you learn more about the basic environmental concerns the Tanglewood Department Store chain is facing. This information will help you to understand how competition, strategy, and culture jointly inform the effective development of a selection plan. Organization Overview and Mission Tanglewood is a chain of general retail stores featuring items such as clothing, appliances, electronics, and home decor. The company operates in the moderate price niche, targeting middle- and upper-income customers. Tanglewood’s strategic distinction is an “outdoors” theme, with a large camping and outdoor living section in every store. The store also distinguishes itself by its simple, elegant, and uncluttered design concepts for the store and their in-house products. The company’s mission statement is: Tanglewood will be the best department store for customers seeking quality, durability, and value for all aspects of their active lives. We are committed as a company to providing maximum value to our customers, shareholders, and employees. We will accomplish this goal by adhering to the core values of responsible financial management, clear and honest communication, and always keeping performance and customer service in the forefront. Tanglewood was originally founded in 1978 by best friends Tanner Emerson and Thurston Wood. The initial concept was a single store in Spokane Washington, named TannerWood, which sold a combination of outdoor clothing and equipment that the pair had designed themselves. The employee handbook notes that, “Tanner and Thurston financed their early store plans with credit cards and personal loans from friends and family. They had so little money that they slept in sleeping bags in the back room and put every penny they made back into the stores.” The first store’s unique merchandise offering and personable sales staff made them successful quite rapidly, allowing Emerson and Wood to move out of the back room and add several more stores during the early 1980’s. The merchandise offerings expanded over time to incorporate more conventional retail items, while still retaining the elegant, yet outdoors look for the stores overall. Emerson and Wood eventually decided to rename their store chain Tanglewood in 1987. Much more rapid growth began around this time. As Emerson put it, “we worried for a long time that expanding would compromise our vision of a small, personable shopping experience. We had always wanted to run the type of store that we would love to work and shop at. Around 1987, after we had 10 stores, we realized we had developed a fairly successful blueprint for running stores with a strong base of employee participation, Tanglewood Casebook to Accompany Staffing Organizations, 9e 1 Case 1: Tanglewood Stores and Staffing Strategy customer satisfaction, and profitability. So we decided to spread out to cover the northwest.” During the 1990’s the expansion strategy really took root. Most of the expansion occurred by purchasing other existing stores rather than building new stores. Emerson and Wood had been heavily involved in the management of the stores, but found that increasingly the corporate administration was a more pressing concern. The company arrived at a regional structure for its operations. Emerson and Wood took on the positions of CEO and President of the company, respectively, while a team of regional managers more directly oversee day to day operations. The company currently has a total of 243 stores open in the states of Washington, Oregon, Northern California, Idaho, Montana, Wyoming, Colorado, Utah, Nevada, New Mexico, and Arizona. Prior to any further expansion, however, the company needs to consolidate its current management strategy. The process of growth has been very quick in the last 5 years, and has involved buyouts of several smaller chains of department stores. While all the stores under the Tanglewood name have the same basic look, the management styles and human resource (HR) practices still reflect the historical differences between stores. Wood noted in a recent interview with Business Monthly, “Tanglewood really needs to slow down and take a hard look at our corporate culture. Right now, we need to consolidate and make sure we’re as close to the company’s original mission as we can be. Our success is due entirely to our strong culture—this is something we need to hold on to.” These concerns have lead Tanglewood to bring in external human resources consultants like you to help centralize the organization’s practices. The brick-and-mortar stores have been extensively expanded through the use of an online order portal, starting in the early 2000’s. The emerging plan for Tanglewood has been to continue to offer both the online and in-store experience, while maintaining a focus on their physical store locations as a competitive advantage. Because the company has always emphasized customer service, and they have found that in-store sales tend to generate longer-term revenue streams as customers form personal relationships with expert salespeople, online sales are a supplement to, but not a replacement for the in-store experience. Tanglewood does offer extensive in-store pickup options and assistance for any customer who purchases items online. In-store returns with immediate replacement for most items are also allowed, even if the items were purchased online. Because online sales are not considered a core area of competitive advantage for Tanglewood, the day-to-day administration of the online sales function was outsourced several years ago. Another major concern for Tanglewood has been the westward expansion of companies like Kohl’s and Target. The possibility of more direct competition has lead Tanglewood to critically examine their HR policies and practices. For staffing, in particular, the organization feels there absolutely must be a workforce of committed, qualified individuals who will help carry the Tanglewood philosophy into the future. 2 Prepared by John Kammeyer-Mueller Case 1: Tanglewood Stores and Staffing Strategy Competition and Industry 1 The Tanglewood Department Store chain operates in the nondurable general retail industry, which fits into industry 45211 as classified by the North American Industry Classification System (NAICS). This industry engages in the sale of consumer goods including clothing, small appliances, electronics, and other housewares. The retail industry accounts for over $4 trillion in annual sales. Recent estimates indicate that the retail industry employs approximately 15 million people. A comparison of several top retail stores and outlets is presented below. Note that although Land’s End has few physical stores and none in the areas where Tanglewood operates, it is a direct competitor in terms of products offered. The operating revenues indicate total sales for these organizations, and the growth rate tracks changes in the sales for each retail chain. The financials show that Tanglewood is a moderately sized organization with solid growth potential. Revenue (in billions) Dillard’s 1-Year Sales Growth 1-Year Employment Employment (in 1,000s) Growth Number of Stores $6.42 (4.98%) 21.6 0.0% 290 $18.69 (2.70%) 138.0 -1.43% 1,155 Land’s End $1.56 (5.92%) 5.3 -37.5% 16 REI $2.56 5.5% 12.0 0.0% 132 $12.87 7.7% 78.6 1.03% 1,254 $7.2 13.1% 52.3 1.75% 243 $3.61 (2.61%) 6.6 2.38% 929 $3.55 (2.84) 24.0 0.0% 402 Kohl’s Ross Stores Tanglewood American Eagle Outfitters Urban Outfitters Competitive Response and Strategy The company’s specific niche is similar to that occupied by REI or Land’s End, appealing to middle- and upper-income consumers looking for convenience and reasonable prices. This means that Tanglewood uses a layout and provides the same products offered of general merchandise retailers. Tanglewood also focuses on stocking quality products, providing customer service, and a more designer appearance than discount stores. This strategy is further supplemented by the company’s trademark “look” which involves an outdoors theme, complete with real wood décor and use of natural colors. 1 Information on the retail industry is adapted from Hoover’s, ( and company financial statements. Tanglewood Casebook to Accompany Staffing Organizations, 9e 3 Case 1: Tanglewood Stores and Staffing Strategy Like its competitors, Tanglewood has developed several proprietary brands of merchandise which are designed to complement its look. While the actual products are made by subcontractors, Emerson and Wood have personal responsibility for all products that are produced. Their own brands include Burford Kitchen, which includes wood-accented, rustic, sturdy kitchen utensils, and Wilderness Outfitter clothing and camping goods lines. The stores also have emphasized small home electronics, housewares, and bedding accessories. Despite the company’s effort to emphasize its western appearance and theme, there is no shortage of high-technology innovations in the way that Tanglewood operates. As noted previously, they have worked hard to ensure that their web portals provide a clear guide to merchandise available in the stores. Through their “County Store” concept they have also made their stores a pick-up location for items ordered online. This allows them to utilize their low-cost shipping arrangements to the benefit of customers. Emerson notes, “We have a lot of consumers in places like rural Idaho, who don’t want to drive an hour to one of our stores and then find out what they wanted isn’t available. The online County Store makes sure that if they want something, we will have it in stock.” In addition, online shoppers who visit bricks-and-mortar locations also often buy other merchandise in the stores. Organizational Structure The structure of most retail stores is relatively similar, and Tanglewood has essentially evolved to have a structure that looks something like the familiar organizational hierarchy. This appearance is deceptive, because employees at all levels of the corporation are encouraged to make suggestions regarding operations. More than one major operational change has come from an employee suggestion. Each store is managed by a single individual who has three assistant store managers working beneath him or her. The Assistant Manager for Softlines is in charge of all areas related to clothing and jewelry. The Assistant Manager for Hardlines is in charge of all non-clothing merchandise, including sporting goods, bath, bedding, and home decor. Another way to think of the distinction is that Softlines consists only of things that are worn, while Hardlines consists of nothing that is worn. The Assistant Manager for Operations and Human Resources is primarily responsible for activities, including security, clerical work, merchandise loading and warehousing, cashiers, and human resources management. Although the Assistant Manager for Operations is technically in charge of the smallest number of employees, this tends to be a more powerful position because it includes more managerial responsibilities, including staffing the store and training new hires. Department managers are in charge of specific product groups such as electronics, women’s clothing, or shoes. For each shift there is also a designated shift leader who completes most of the same tasks as store associates, but also has some administrative responsibility. Overall, with 1 store manager, 3 assistant managers, 17 department managers, approximately 24 shift leaders, and approximately 170 associates, there are around 215 4 Prepared by John Kammeyer-Mueller Case 1: Tanglewood Stores and Staffing Strategy employees per store. All employees, full or part time, are members of the core work force. Tanglewood does not extensively use a flexible workforce, such as temporary employees. A core workforce is viewed as essential for the organizational values and culture, described below, that Tanglewood seeks to develop and maintain. Regional Manager (12 total) Store Manager (about 20 per region) Assistant Store Manager for Hardlines Assistant Store Manager for Operations and HR Assistant Store Manager for Softlines 6 Department Managers (Sporting goods, electronics, kitchen, bath, outdoor, domestics) 5 Department Managers (Security, Administration, Warehouse, Cashiers, Maintenance) 6 Department Managers (Women’s, men’s, misses, children and infants, shoes, perfume and jewelry) 12 Shift Leaders (Two per Dept. Manager) Operations associates (About 50 total—10 security, 5 admin, 10 warehouse, 20 cashiers, 5 maintenance/custodial) 12 Shift Leaders (Two per Dept. Manager) Store associates (About 60 total—10 per department manager) Tanglewood Casebook to Accompany Staffing Organizations, 9e Store associates (About 60 total—10 per department manager) 5 Case 1: Tanglewood Stores and Staffing Strategy Stores are organized into 12 geographical regions, with approximately 20 stores per region. Each region has a regional manager who oversees operations of the stores. The store managers report directly to the regional managers. There is considerable variation between regional managers in how they run their HR practices. The tendency for some regional managers to encourage human resources practices which are counter to the Tanglewood philosophy is a major reason that an external consulting firm was brought in to centralize human resources. The breakdown of stores and employment by division is as follows: Division 1 2 3 4 5 6 7 8 9 10 11 12 Area Covered Stores PCs PCs/S Employees Eastern Washington 25 3,120,000 124,800 5,400 Western Washington 25 3,011,000 120,440 5,400 Northern Oregon 18 1,850,000 102,778 3,900 Southern Oregon 16 1,710,000 106,875 3,400 Northern California 23 3,000,000 130,435 4,900 Idaho 17 1,366,000 80,353 3,700 Montana and Wyoming 18 1,418,000 78,778 3,900 Colorado 23 4,550,000 197,826 4,900 Utah 19 2,351,000 123,737 4,100 Nevada 19 2,241,000 117,947 4,100 New Mexico 18 1,875,000 104,167 3,900 Arizona 22 5,580,000 253,636 4,700 Total 243 52,300 Note: PCs is the population of the area covered; the abbreviation PC for Tanglewood means “potential customers.” The PCs/S is the number of potential customers per store. Employee figures are rounded to the nearest hundred. 6 Prepared by John Kammeyer-Mueller Case 1: Tanglewood Stores and Staffing Strategy Organizational Culture and Values Whereas many elements of the Tanglewood operational plan have been based on other firms within the retail industry, the company’s culture and values are distinct from most of its major competitors. From its inception, this company has emphasized employee participation and teams. At orientation, every employee hears the philosophy that Wood and Emerson proclaimed as their vision for employee relations, “If you tell someone exactly what to do, you’re only getting half an employee. If you give someone the space to make their own decisions, you’re getting a whole person.” Most retail stores have a strict hierarchy with assistant store managers providing directives to their subordinates, and most associates’ primarily follow orders. Tanglewood, on the other hand, has allowed each department manager to formulate distinct methods for running their departments in coordination with the employees they supervise. There is still a well-defined ordering of job responsibilities, but efforts are made to involve employees in the decision process when possible. One of the most important cultural elements of the organization is an emphasis on “straight talk” in all areas of the business. The company provides employees with information on the company’s share price and overall profitability for each quarter, along with other details about company activities. Profit-sharing for all employees is part of the company’s push to encourage employees to think like managers. In addition, mandatory weekly store meetings (one meeting for each shift) give employees a specific time to voice their suggestions for in-store improvements. Associates who make suggestions that are implemented by management receive financial bonuses. Department managers are also given financial incentives for successfully developing and implementing new policies and procedures, further reinforcing the participatory management style of the company. Every shift is run based on a team con ...
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Final Answer



BBC Contract with Siemens
Institutional Affiliation




The 2004 contract between Siemens and BBC involved the different strategies that would
improve technological aspects around the latter. In the project, Siemens was required to
strategize on the re-engineering how BBC creates its content by developing and managing the
audio and video programming right from their desktops. Even after getting a non-competitive
£79 million contract from BBC, Siemens was unable to meet the milestones, and what followed
was a “no-fault” project termination in 2009 (Savvas, 2011). BBC expressed their
disappointments claiming that the risk would be transferred back to their financial pool, which
they would need to use the fixed price strategy in case such happened again. They ended up
adding £27.5 millio...

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Carnegie Mellon University

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