[10:28:48] ysbq: yeah lets start

[10:29:08] ysbq: DEC - 2010 Q 1.

[10:29:18] ysbq: 7 mins READING TIME
[10:42:41] unknown: are we done?
[10:42:55] ysbq: yeah i am ready
[10:43:01] potter2009: ready
[10:43:06] ms1689: ready
[10:43:13] savvy2012: ready
[10:43:19] savvy2012: apart from i have no clue lol
[10:43:23] yaroslava: i am good to go
[10:43:33] unknown: I understood the case
[10:43:43] unknown: but no clue how to target the question
[10:43:53] savvy2012: {unknown} but not the questions lol same as me
[10:44:03] ysbq: it is regarding the methods on strategic groth
[10:44:24] ms1689: I think it wants us to analyse the position which is both internal and external
[10:44:25] yaroslava: i think we have to cover parenting strategies
[10:44:40] ysbq: {yaroslava} yeah u are right
[10:44:42] yaroslava: and strategic position
[10:44:50] ysbq: how many have u covered that topic
[10:44:53] potter2009: i would also look at ansoff model
[10:45:05] savvy2012: i might have covered..
[10:45:08] unknown: in the context of corp strategy
[10:45:21] potter2009: related market diversification - vertical and horizontal
[10:45:44] unknown: topic on unrelated diversification too
[10:46:02] yaroslava: {potter2009} i agree becoz they have to justfy diversification as a stratergy

[10:46:43] unknown: {ysbq} I havent covered parenting strategy

[10:47:05] savvy2012: {yaroslava} which big topic does parenting strategy is included in?
[10:47:50] ms1689: {savvy2012} Strategic choice
[10:47:56] ms1689: I think
[10:48:29] ysbq: ok guys we know that we have to justify our answers but for portfolio anaysis there are
set models and matrices such as BCG, Ashridge and directional policy matrxi
[10:48:37] yaroslava: i keep geting disconnected for some reason
[10:48:41] ysbq: things like that would be better to use
[10:48:49] yaroslava: {ms1689} you are right
[10:49:50] ysbq: for positon of each company we can use PEST or SWOT
[10:49:51] unknown: it asks for performance of all three
[10:50:15] ysbq: yeah
[10:50:20] unknown: assessement shd include position too
[10:50:28] unknown: does that mean some ratio's
[10:50:38] ms1689: {ysbq} agree. For positon analysis we have to look at both internal and external
factors
[10:51:03] ysbq: guys look the total industry turnover is given to identify dogs, stars in BCG matric
[10:51:06] ysbq: all agree
[10:51:27] ysbq: so we can calc the market share
[10:51:34] potter2009: yup
[10:51:47] ysbq: and the industry growth in told to us in the text of the case
[10:51:49] unknown: {ysbq} but BCG is if our portfoli has more than one product right?
[10:52:00] ysbq: yep
[10:53:14] ysbq: now i want u guys to open ur text and just have glimpse of thses models so we are
good to go , since i have a feeling that this is though one and there have been a lot of digression while
pursuing this question
[10:53:21] yaroslava: can someone copy the question to this particular sceen?

[10:53:36] potter2009: lets start with shoalpro as they acquired them 1st in the scenarion
[10:55:01] potter2009: solely canning and processing with a 40% mkt share
[10:55:19] yaroslava: I think firstly we cover the role of a corporate parent(takeovers and mergers) How
can they be managed?
[10:55:59] yaroslava: Then we look at J&W on how the parent can add value
[10:57:36] ysbq: ok
[10:57:49] potter2009: ok but briefly as it want us to look at the individual companies postion
[10:58:04] yaroslava: 3 things..as a portifolio manager...synegy managers...and parent developer
[10:58:05] ysbq: yeah
[10:58:19] ysbq: lets do Shoal Fish first
[10:58:30] ms1689: {yaroslava} may be we can discuss how suitable the aquisition of each company is in
relation to Shoal plc strategy
[10:58:36] ysbq: state and model and positon in the porfolio
[10:58:59] unknown: we got to get market share first right?
[10:59:03] yaroslava: i keep disconnecting help
[10:59:06] ysbq: yeah
[10:59:14] ysbq: {yaroslava} same problem with m
[10:59:33] ysbq: {yaroslava} try using another web browser
[11:00:11] unknown: so 5 %, 4.6%, 4.9 %
[11:00:16] yaroslava: {ms1689} i a gree with you, just stating wat i think we should cover at a corporate
level and obviously linking to strategic position of each firm
[11:01:07] savvy2012: u guys are so clever :)
[11:01:13] ysbq: guys contine on brb in 5 min some one at my door
[11:01:26] yaroslava: {savvy2012} why
[11:01:51] unknown: maket share in 2009 is 11.31 % right?
[11:01:52] savvy2012: {yaroslava} parhaps i should have read the book :D
[11:02:02] potter2009: {unknown} i dont make that their mkt share

[11:02:04] ysbq: {savvy2012} take 5 min and go thru the topics

[11:02:26] yaroslava: {savvy2012} yeah book is good, i think
[11:02:31] potter2009: 12% 11.8% and 11.3%
[11:02:36] ysbq: {potter2009} yeah
[11:02:51] ysbq: analyse the prospects of market growth
[11:02:59] ysbq: for each company
[11:03:16] potter2009: so their mkt share is decreasing
[11:03:45] potter2009: they fall into a ballast business as the need help from their corp parent
[11:05:10] potter2009: 60% business sold to wholesale markets which they could expand into or look to
become own customer
[11:05:22] potter2009: which would help if they bought captain haddock
[11:09:11] unknown: so Soalfish has low market growth and low market share
[11:09:21] unknown: so Dog right?
[11:09:23] yaroslava: In this case Shoal plc acquired Shoal fish as synegy managers to share resources,
increase buying power and used backward intergration by taking over a supplier in oder to secure
suplies for its other subsidiary Shoal Pro.
[11:09:42] asadkoolpk: well UK market is dead like dumb A s s :d
[11:10:29] potter2009: i dont think they are that bad as a dog
[11:10:56] potter2009: as they are the 6th largest fleet
[11:11:08] potter2009: but they should build or harvest
[11:11:09] yaroslava: however, Shoal fish operate in a challenging market place where the ocean has
incurred overfishing resulting in government intervention
[11:11:19] yaroslava: hence poor growth
[11:11:34] ms1689: {yaroslava} The acquisition might have helped ShoalPro in getting supplies but as
Poter said it has reduced ShoalFish's market share.
[11:11:54] yaroslava: {ms1689} with you
[11:11:55] unknown: but we need to remember that it is supporting shoalpro

[11:13:01] unknown: and might support captain Haddock

[11:13:08] potter2009: true
[11:13:25] potter2009: it could become a problem child if corp parent does nothing
[11:13:38] yaroslava: it has 35 boat but half is onwned by independent operated boats, thus stiff
competition for the market
[11:15:07] ms1689: ShoalPro gets grants from government and it is expected to improve emplyment.
However, getting supplies from ShoalFish reduces the chance of employing locals which the government
may not like
[11:15:41] ysbq: so Shoal Pro is operating in a market with high market growth
[11:16:32] yaroslava: tell us when we finish on co and moving to the next..please
[11:16:33] ysbq: and it has a huge market share hence, where we will place it in BCG
[11:17:08] ysbq: whcih company are we done till now
[11:17:36] unknown: {ysbq} cash cow?
[11:17:37] yaroslava: shoal pro for me
[11:17:41] ysbq: yeah
[11:18:00] ysbq: ok i am disconnecing again and again .... :(
[11:18:05] potter2009: ShoalPro own's 40% of market cash cow agreed
[11:18:19] ysbq: i donnuo why u guys continue i am gonna reboot
[11:18:33] yaroslava: {ysbq} yo turn its given me a break
[11:20:05] potter2009: but they are attractive to other fishing companies so they should harvest
company
[11:21:07] potter2009: corp parent would act as a portfolio manager
[11:21:35] yaroslava: {potter2009} in which case?
[11:21:37] savvy2012: guys what does BCG stand for? :(
[11:21:54] potter2009: shoalpro
[11:22:54] yaroslava: {potter2009} so how will shoal add value here?
[11:23:32] potter2009: by watching their external mkts

[11:23:40] unknown: {savvy2012} Boston consulting group

[11:24:16] potter2009: and continue to find fish to purcharse.
[11:24:30] savvy2012: {unknown} thanks
[11:24:55] yaroslava: {potter2009} by enforcing regorous performance targets for fend competion off
[11:25:13] yaroslava: {potter2009} am with you there
[11:25:23] potter2009: we are not told who they sell products to but by buying captain haddock cld
help
[11:25:36] potter2009: you have such a good way of putting things
[11:26:02] yaroslava: {potter2009} you too mate
[11:26:27] potter2009: they also need to understand their demand conditions and factor conditions
[11:27:06] potter2009: Next ShoalFarm?
[11:27:52] potter2009: wait sorry so you think corp parent is a synergy manager again here
[11:28:10] ms1689: ShoalFarm has lowest contribution and market share
[11:28:31] ms1689: it is not currently performing well
[11:28:43] potter2009: true
[11:29:05] unknown: {ms1689} but it is improving slowly
[11:29:38] ms1689: However, it is kind of new in the market and Shoal Plc has invested hugely so it is in
its growth stage
[11:29:40] potter2009: gp is but not mkt share
[11:30:12] unknown: its question mark stage
[11:30:39] potter2009: love how u brought in industry life cycle there ms1689
[11:31:10] ms1689: As the western ocean is sufferring from over-fishing, the ShoalFarm might be the
solution to continous supplies to ShoalPro
[11:31:17] yaroslava: its a at a question mark stage and this is whre shoal plc become a Perent
Developer
[11:31:58] potter2009: they have to ensure they have the resouces and capabilities needed to turn
question mark into a cash cow or star

[11:32:19] yaroslava: the holding co's skills and expertise are used here to improve performance of
thius business strategic unit
[11:32:19] potter2009: as this cld be a new mkt sector
[11:33:32] potter2009: would it fall under heartland business then/
[11:34:51] yaroslava: {potter2009} what is that never heard of heartland bus
[11:35:05] potter2009: Ashridge model
[11:35:19] yaroslava: {potter2009} ah, thank you
[11:36:32] potter2009: so whats everyones conclusion on the portfolio of the parent and group
[11:37:21] yaroslava: {potter2009} i think it does mr potter.feel and benefit..high/high
[11:37:36] potter2009: thanks
[11:38:08] savvy2012: {yaroslava} can u explain this in more detail, why exactly?
[11:38:38] savvy2012: whats "feel" about and whats "benefit" about? in simple words please as i dont
understand notes
[11:40:26] ms1689: {savvy2012} Feel is how much holding company knows about its subsidiary's
activities and therefore how much aid it might be able to give
[11:41:03] savvy2012: {ms1689} isnt that benefit?
[11:41:23] yaroslava: Feel..the fit between the SBU and what skills and resouces and understanding HQ
could supply to help SBU achieve its critical success factors
[11:42:08] yaroslava: Benefit...Opportunities for helping the SBU achieve the CSFs
[11:42:08] ms1689: Benefit is the opportunities to the subsidiary achieve its CSF
[11:42:28] savvy2012: ok thanks guys , u can move one
[11:43:11] yaroslava: So here we have said that the parent is a developer, how can they help shoal
farm do better?
[11:44:19] yaroslava: Under the Ashridge model this fall under the heartland..high feel/ high
benefit..unless if we dont agree
[11:44:56] yaroslava: Ashridge is another way of taking the portifolio theory further.
[11:45:00] unknown: thanks guys I got to go
[11:45:07] unknown: bye

[11:45:09] potter2009: manage costs more more efficiently

[11:45:12] potter2009: bye
[11:45:19] savvy2012: 6
[11:45:21] yaroslava: {unknown} thank you for you cvontrinution
[11:45:38] unknown: {yaroslava} {yaroslava} thanx bye
[11:45:38] yaroslava: {potter2009} yes
[11:47:20] yaroslava: help with investment strategies, help secure new fish farms and help reduce cost
and in that way the parent can help shoal farm flurish.
[11:47:52] yaroslava: {savvy2012} did that help?
[11:49:24] yaroslava: hello''' are you guys there, we can finish this on saturday
[11:49:39] savvy2012: {yaroslava} im just reading
[11:49:40] savvy2012: im here
[11:49:41] potter2009: i am
[11:50:12] ms1689: I think lets move on to (b)
[11:50:35] yaroslava: k
[11:50:54] savvy2012: {yaroslava} yes it helped a bit, thanks
[11:51:08] potter2009: so overall the parent co has a dviersified porfolio of related companies
[11:52:02] yaroslava: yeah
[11:52:39] yaroslava: b(i) what models apply here?
[11:53:05] savvy2012: Bologun and Hope Heiley?
[11:53:15] yaroslava: I was think planning rational model
[11:53:19] ms1689: {potter2009} I think so. At the moment Pro is doing well because it is getting
uninterrupted supplies from Shoalfish. Then it will get its supplies from Shoal Farm once it is developed
properly
[11:53:28] yaroslava: {savvy2012} wow whats that one?
[11:54:01] ms1689: {savvy2012} heard of it but cant remember what it is
[11:54:05] yaroslava: disconnecting agin

[11:54:12] ysbq: whats going on

[11:54:25] ysbq: i mean whcih part of question
[11:54:30] savvy2012: {yaroslava} i think its about acceptance of strategic change..
[11:54:37] savvy2012: {ysbq} part b
[11:54:44] ysbq: ok
[11:54:44] savvy2012: trying to decide which models
[11:55:17] ysbq: part (i) or (ii)
[11:55:23] savvy2012: (i)
[11:55:56] yaroslava: Ansoff as well here
[11:56:41] ysbq: i think the part (i) will discuss abt the people change managemrnt
[11:57:16] yaroslava: {ysbq} is the part of an HR area?
[11:57:29] ysbq: yeah
[11:58:03] yaroslava: {ysbq} not read that topic yet but i hope to draw knowledge here b4 reading it
[11:58:22] ysbq: it is 13 marks so how will be divided the marks in the portions that we have to address
regarding change
[11:58:32] potter2009: sorry kept getting disconnected
[11:58:51] ysbq: it is a problem with everyone today
[11:59:03] yaroslava: {potter2009} been there
[11:59:18] ysbq: so lets structure our answer for part (i) b
[11:59:33] ysbq: one portion to address in people management
[11:59:52] ysbq: second portion is financial management
[12:00:17] yaroslava: {ysbq} and the other 2marks for stating approp modles
[12:00:30] yaroslava: models
[12:00:49] ysbq: which models u suggest
[12:00:52] potter2009: paradign?
[12:01:11] potter2009: cutural web?

[12:01:36] ysbq: ok m
[12:01:51] yaroslava: Rational planning model but focusing on implementation
[12:01:52] ms1689: As Savvy suggested Bologun & Hope Contexual features
[12:02:13] potter2009: what is that
[12:02:20] yaroslava: {ms1689} and that one which i am keen to learn here
[12:02:38] potter2009: bologun and hope?
[12:02:41] ysbq: yeah
[12:02:42] yaroslava: {ysbq} what have you got?
[12:03:42] ysbq: a model that define the type of change with regard to extent and speed of change
[12:03:57] ms1689: it talks about timescale, scope, diversity, capacity, readiness, power of the process
change managers
[12:04:36] ysbq: like a change could be evolution, adaptation , recolution or reconstrcution
[12:04:48] potter2009: ok
[12:05:10] ysbq: based on that we have to identify and devise the strategy for change management
[12:05:56] ysbq: so what u guys think , what is the typr of change they want in captain haddock
[12:06:27] ysbq: read the para above the numbers of captian haddock
[12:07:30] potter2009: they need goood mgmt skills
[12:07:43] potter2009: to motivate staff
[12:08:11] ysbq: {potter2009} that is the requiste , but first of all we have to identify the type of change
[12:08:12] ysbq: ?
[12:08:33] ysbq: i mean to say is it revolution
[12:08:46] ysbq: or evolution or reconstrution
[12:08:58] ysbq: or adaptation
[12:09:11] potter2009: adaptation
[12:09:56] ysbq: anyone wanna contribute sth here
[12:10:43] ysbq: guys dam dee didly .......anyone wanna say sth here

[12:10:44] ysbq: :D
[12:11:24] yaroslava: tell me if this is a business processes question or a HR question then i might see
light..its dark out here!!!!
[12:11:35] savvy2012: i dont think its revolution as they are not going to change anything dramatically
[12:12:05] potter2009: they need to adapt to their mkt and re able to be utilise the resouces they do
have
[12:12:11] savvy2012: i dont think its evolution either.. as culture on the restaurant level is already good
[12:12:13] ysbq: in my opinion its evolution
[12:12:27] potter2009: is that not starting from scratch?
[12:12:46] savvy2012: they just need to keep same quality of operations but management just needs to
sort out their investments to get financial position on right track
[12:12:57] potter2009: here here savvy
[12:13:05] ysbq: good u have getting the point hence , we are reconstructing the company
[12:13:53] ms1689: they need to maintain what is already good and change what is not working. So, the
main change is moving from wholesalers to inhouse supply of fish and possibly reorganisation at
mangement level.
[12:14:31] potter2009: how should they do that?
[12:14:58] potter2009: ignore my question i think that is part (ii)
[12:15:05] ms1689: So, we need to consider the culture change and readiness of staff at Captain
haddock to the new change
[12:15:28] ysbq: well this is how i conclude, read the last text of case
[12:15:37] savvy2012: i think they are ready as they are already unhappy with current management
[12:15:44] savvy2012: (the temporary management)
[12:16:03] potter2009: interim mgmt might not be taking things seriously
[12:16:04] savvy2012: as one of their employee representatives mentioned that
[12:16:40] ysbq: they want the change to happen quickly so it is BIG BANG but the change in it self is realignment of organisaion
[12:17:01] ysbq: hence, i believe it would be re-construction

[12:17:19] yaroslava: the co had a disastrous diverfication and we all know that diversification is not
justified unless we take a co that is doing bardly and make it profitable, mostly for sell it on. So why do
we think Shoal PLc will be sucessful here?
[12:17:55] yaroslava: will it by business re-engineering?
[12:17:59] ysbq: {yaroslava} so we are re-aligning
[12:18:11] potter2009: strategic change might also be influenced by bad diversification. Shoal Plc can
bring in expertise of this
[12:18:16] savvy2012: they bought Captain Hadock for 1
[12:18:23] ysbq: does my logic make sence
[12:18:25] ysbq: sense
[12:18:32] potter2009: yes
[12:19:11] savvy2012: it does have potential of making profit as if they get rid of investments they will
make 10% gross profit margin as industry average which will be 14, which is much higher than other
divisions
[12:19:26] ysbq: so we have identified the type of change now we can work on how we can manage it
[12:19:39] ysbq: {savvy2012} yeah
[12:19:53] yaroslava: yeah
[12:20:38] ysbq: so we got marks for identification of model and the type of change , now lets share
how we will manage it
[12:21:06] ysbq: so how will the reconstruction be managed
[12:22:09] ms1689: We identified the model so we need to discuss them one by one.
[12:22:31] ms1689: Time: we already said that the change is urgent
[12:22:32] yaroslava: reconstruction is agent change with limited impact''sudden
[12:22:45] ms1689: Scope:
[12:22:50] ysbq: ok
[12:22:55] ysbq: go on
[12:23:03] ms1689: how much of the organisation is going to change
[12:23:25] ysbq: u have read the case wht u suggest

[12:23:58] savvy2012: on the restaurant ;level its not going to change much (if new management will be
same as old management but not interim management)
[12:24:23] ms1689: i think the change they need is at management level as they are those who screwed
Captain hadock
[12:24:30] ms1689: {savvy2012} agree
[12:25:54] savvy2012: Preservation - are there processes, competences and staff that will need to be
retained?
[12:26:14] ysbq: so the management would be changed and through internal recruitment and
promotion the new managment be inducted as the culture of cpatian haddock holds
[12:26:24] savvy2012: i think here too things will stay the same to keep good culture, reputation and
processes
[12:26:29] ysbq: this will lead to less resistance
[12:26:39] yaroslava: the managing director and the chairman who resigned must have been
competent, they have to recruit that sort of skill mix
[12:26:57] ms1689: I think the way they train staff is already good so may be they should keep
Haddock's way
[12:27:11] yaroslava: the co has been doing well under them besides diversification gone bad
[12:27:21] ysbq: the Shoal group can inject the necessary funds to make it going
[12:27:47] ysbq: since we are suggesting re-aligning so diversification would be dropped
[12:27:53] ysbq: by captain haddock
[12:29:03] yaroslava: should they continue intraining or recruit outside? I think business re-enginering
call for such drastic change in oder to see what might work going forward.
[12:29:09] ysbq: the Shoal can help the change by substitutin the suppliers and it would give an
opppourtunity to improve workign cap by availing better credti period , since it is parent co
[12:29:26] ysbq: what else guys think , brainn storm...
[12:30:08] ms1689: {yaroslava} intertraining has proved to be working well and get recognition by the
government and also brand recognition. So, they should keep it.
[12:31:51] savvy2012: quality of food and service is good so they should keep this competitive
advantage as thats what they are known for
[12:32:02] ysbq: yeah

[12:32:03] potter2009: value add process

[12:32:04] yaroslava: defaulting on bank covenants and the economic recession has lead to hard capital
rationing for Haddock, but shoal plc is large and has financial resources to see it through this takeover
and turn the co around. will have to renigotiate with banks and so on
[12:33:21] ysbq: ok lets move to part (ii)
[12:33:22] ysbq: now
[12:33:26] savvy2012: yes and they have conpetences too - they know everything about fish :D
[12:33:39] yaroslava: {savvy2012} yep
[12:33:50] ysbq: yeah
[12:33:58] savvy2012: which models in (ii)?
[12:35:03] yaroslava: {savvy2012} we dont need one i think
[12:36:08] ysbq: yeah we just have to identify the elements and strategic chanege
[12:36:20] ysbq: wht are the elements ?
[12:36:24] ms1689: whaat is cogency?
[12:36:49] yaroslava: so i think we pick what has been a problem for haddock, there are quite a few and
say how can that be changed.
[12:37:49] ysbq: cogency?????// dunno
[12:38:58] savvy2012: cogent means "Appealing to the intellect or powers of reasoning; convincing:"
[12:39:54] yaroslava: why would an eximiner put such a word..to confuse? no becoz he does not want
to give away the answer..this simply means convincing and in an exam you are likely to be trhown off
balance with such a stupid word.
[12:40:15] savvy2012: yeah
[12:40:31] ms1689: {savvy2012} thanks
[12:40:45] yaroslava: so we identify first
[12:40:54] yaroslava: then analyse
[12:41:06] ysbq: yes and relate with logic
[12:41:48] savvy2012: to achieve their goal of turning round profitability they quickly need to bring
good management on board to keep culture good before its too late, as its already starting to slip back.

[12:41:56] yaroslava: so what do we need to change abt the way haddock is run?
[12:42:03] yaroslava: {savvy2012} thus it
[12:42:25] savvy2012: they also need to sort out investments and bank covenants
[12:42:39] ysbq: yeah
[12:42:46] ms1689: they also need to cut costs
[12:43:17] ysbq: they need to get back on track and leave the destructive diversification in which they
ventured into
[12:43:29] savvy2012: eah perhaps they can do it because now instead of getting fish from external
suppliers they will be able to supply from other 3 companies
[12:43:42] yaroslava: the company need to change haddock's diversification policy
[12:43:51] ysbq: yeah
[12:44:15] savvy2012: so they can retain profit which they were giving away to wholesales before
within a group
[12:44:41] ms1689: while doing the change they may need to check how acceptable this is with the
Haddock stakeholders
[12:45:02] ysbq: yeah
[12:45:10] savvy2012: perhaps staff needs to be explained whats happening and that its all going to be
fine and their jobs are going to be safe. because if staff are unaware of whats happening they might
leave
[12:45:41] yaroslava: They were using interim management before they were acquired..what should be
shoal plc strategy be, considering that haddock has been successful by drawing resources from a local
uni..should tis change?
[12:45:47] ysbq: {savvy2012} communication and inclusion of staff in change deicsion making
[12:45:50] ms1689: {savvy2012} yes, they need reassuring that their jobs are still secured
[12:46:13] ysbq: so industrial actions and strikes could be avoided
[12:46:36] potter2009: they could try to full the position internally but if they dont have the resources
they night need to bring in external expertise
[12:47:01] yaroslava: ?

[12:47:03] potter2009: which they could benefit from. or look within the group for mgmt roles to be
fulfilled
[12:47:11] savvy2012: {yaroslava} i think they should still keep same training practices as thats what
they got good reputation for and one of best regarded brands
[12:47:45] potter2009: it takes time for organic groeth to occur
[12:47:50] potter2009: growth
[12:48:42] ysbq: what else?
[12:49:35] savvy2012: all people throughout organisation should be aware of new startegies
[12:49:51] ysbq: {savvy2012} that is aleady told
[12:49:55] savvy2012: so they clearly know where they going so they can all work towards same goals
[12:50:00] yaroslava: wots thier gross margin compared to the sector?
[12:50:01] ysbq: training guys,,,,,
[12:50:19] ysbq: no sector info given
[12:50:28] ysbq: the g/p margin is 10%
[12:50:29] potter2009: their making a loss
[12:51:45] ysbq: wait my bad the sector g/p margin averages 10 % but cap. haddock is loss making
[12:51:49] yaroslava: thus got to change as well but i guess we have done cuting costs
[12:52:11] ysbq: so they need to improve drastically
[12:52:49] yaroslava: {ysbq} yes otherwise this acquisition might be a bad statergic decision
[12:53:36] ysbq: yeah i guess we are done with this part also
[12:53:41] ms1689: {yaroslava} like inbound and outbound resources can now be shared with the Shoal
plc and this will help improve the gross profit margin
[12:54:04] ysbq: since we have started repeatin ur answers
[12:54:20] yaroslava: {ms1689} i like the way you put it
[12:54:33] yaroslava: {ysbq} ok move on
[12:55:12] ysbq: part (c)
[12:55:38] yaroslava: Thus J&W model

[12:56:38] potter2009: portfolio managers add value by expertise in diversification and building a
company
[12:56:45] ysbq: yeah
[12:56:49] yaroslava: Which describes what role the parent can play to add value to its SBUs
[12:57:55] savvy2012: its usually to do with unrelated diversification which is not the case here
[12:57:56] yaroslava: {potter2009} acquiring and exploiting opportunities
[12:58:06] potter2009: nice
[12:58:14] ysbq: yeah
[12:58:23] potter2009: agree savvy
[12:58:29] yaroslava: they also digest business when it is not doing well
[12:59:18] yaroslava: but its sbu are not that bad
[13:00:05] savvy2012: he head office costs are usually low and they usually dont provide many
centralised services to SBUs
[13:00:23] ysbq: ok
[13:01:04] yaroslava: adding value is done via financial controls to make a sub perform adequately aft
which they can be sold for a profit, but in this can shoal is turning haddock {for insrance} around
[13:02:23] yaroslava: disconectin over!
[13:02:59] yaroslava: wots next?
[13:03:04] ysbq: yeah that is right but haddock will add value to the group as whole and Shoal operates
in the fish business
[13:03:08] savvy2012: Synergy managers...
[13:03:11] ysbq: yeah
[13:04:33] savvy2012: business looks for resources and competencies which can be shared between
existing and future SBUs so that costs can be saved
[13:04:58] ysbq: yeah thats right u are talking abt strategic fit
[13:05:02] ysbq: go on
[13:05:04] savvy2012: so parent needs to know SBUs very well to be able to identify synergies

[13:05:13] ysbq: yes

[13:05:29] yaroslava: Additional value is added by exploiting synergies betwn various Sub units, sharing
resources eg shoal fish was bought to secure supplies for shoal pro
[13:05:40] ysbq: yeah
[13:06:18] savvy2012: so in this case are they Symergy manager?
[13:06:26] savvy2012: i think partually but not completely
[13:06:52] yaroslava: Since they are all in the same trade, that means each company has a vast amount
of cvustomers available to them through synergies
[13:06:58] ysbq: yeah they are since the business supplement eacjother
[13:07:16] ysbq: they form a vlaue network
[13:07:28] yaroslava: {ysbq} thus the one
[13:07:58] yaroslava: Cross marketing is also possible
[13:08:05] ysbq: yeah
[13:09:18] ysbq: guys what else
[13:09:36] ysbq: i guess this topic is though to remember and interprte
[13:09:58] savvy2012: Parental delevopers
[13:10:09] yaroslava: {savvy2012} yes
[13:10:18] potter2009: bye everyone
[13:10:25] ysbq: {potter2009} bye
[13:10:41] savvy2012: {potter2009} see u next time
[13:10:49] ms1689: {savvy2012} bye
[13:10:59] savvy2012: {ms1689} im not going
[13:11:04] ms1689: {potter2009} bye
[13:11:16] ms1689: {savvy2012} sorry was meant to click at potter
[13:12:00] yaroslava: PARENTS CAN HEL AND TEACH THEIR CHILDREN TO COMPLETE TASKS.thus us
humans{provided the children need help and parents has skills to supply help needed} What company
does this apply to?

[13:12:27] savvy2012: Parental developers... they look to use competences based at head office , such
as tight fin controls, to improve performance of all SBUs
[13:12:58] ms1689: I guess like the realtionship b/n Shoal plc and Captain Haddock?
[13:13:13] ms1689: could be sen as parental developers
[13:13:14] yaroslava: Haddock, will need lots of help from shoal plc in order to suceed.
[13:13:20] savvy2012: {yaroslava} i suppose they give direction to their children
[13:13:24] ysbq: so Shoalplc can help in doing that, this would improve the position of haddock
[13:13:27] yaroslava: {ms1689} yes please
[13:13:37] yaroslava: {savvy2012} ya
[13:13:46] savvy2012: {ms1689} yeah i think Shoal is a parental delevoper here
[13:14:01] yaroslava: yes
[13:14:44] ysbq: ok i guess we are done for today
[13:15:03] ms1689: tough question overall
[13:15:05] yaroslava: we have done..allelujah!
[13:15:30] yaroslava: {ms1689} i thought so, took us long to get off the blocks
[13:15:39] savvy2012: oh.. im looking forward to readin answer to this one.. it was like walking in the
dark room...
[13:15:50] yaroslava: ive learnt a lot thogh
[13:15:57] ms1689: {yaroslava} especially a.
[13:15:59] ysbq: yeah it is really though , i want u guy to read tha chapter on stategic chioces
[13:16:08] savvy2012: yeah its good to see models in practice
[13:16:21] yaroslava: {ysbq} yeah
[13:16:30] ysbq: and then go see the answers
[13:16:50] yaroslava: so what the question for saturday..jun 09?
[13:17:05] ms1689: {yaroslava} June10
[13:17:10] ms1689: ?

[13:17:23] yaroslava: {ms1689} i always skip right?

[13:17:30] ysbq: Q1 June -2010
[13:17:44] ysbq: for sat. 0900 am uk time
[13:17:48] ms1689: {yaroslava} I know, you like skipping the years. lol :)
[13:17:53] yaroslava: then dec 09 sun?
[13:18:06] yaroslava: {ms1689} haha
[13:18:25] ysbq: we did dec-10 so we should do jun-10
[13:18:28] ysbq: :D
[13:18:44] yaroslava: {ysbq} sunday?
[13:18:50] ysbq: thanks a lot to all
[13:19:01] ysbq: saturday. 0900 am uk time
[13:19:07] ms1689: Thanks guys.
[13:19:08] ysbq: two session now
[13:19:19] yaroslava: and sunday its 09
[13:19:32] ysbq: keep checking the yeah it will be dec-09
[13:19:44] ysbq: will tell in sat session do not u worry
[13:19:46] yaroslava: {ysbq} you got it.
[13:20:07] yaroslava: see you guys, you are lovely people
[13:20:13] ysbq: KEEP CHECKING THE FORUM OF P3
[13:20:20] ysbq: today was ahrd
[13:20:21] ysbq: hard
[13:20:24] ysbq: and bad
[13:20:34] ms1689: yes, today is my eater and you all are good eggs
[13:20:40] yaroslava: {ysbq} hard yes, bad no
[13:20:42] ms1689: Easter

[13:20:48] ysbq: lolz

[13:21:11] yaroslava: nice
[13:21:17] yaroslava: bye