Case Study

Skanska USA Building and the Utah data center bid (A)

4 pages
June 2014
Reference: IMD-7-1586

In 2010, Skanska USA Building is involved in a competitive bid for the National Security Agency’s Utah Data Center. President Bill Flemming must submit a bid that will be low enough to win against four rivals, yet high enough to allow the company to make a profit. The case describes the bidding process, the approach taken by Skanska, the organizational and strategic setting, as well as the career consequences of success and failure. The case ends by asking students to determine what bid they would offer to win the contract for the Utah Data Center.

Learning Objective

Examine a strategic decision under conditions of intense competitive rivalry and high uncertainty. Explore decision biases and errors, and think about the way that managers make decisions under pressure.

Keywords
Decision Making, Competitive Strategy, Construction, Competitive Bidding
Settings
Northern America, United States of America
Skanska, Construction and Engineering
2009-2010
Type
Published Sources
Copyright
© 2014
Available Languages
English
Related material
Video
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