Tranter India (B): The high price of growth
The case describes the rolles coaster years of Tranter India in three different acts. Part A shows the raise from 2006 to 2009, delivering fast growth by tripling revenues while increasing the margin. Only in part B, one comes to realize that the high growth period was not sustainable as cash related metrics were clouded. Tranter had increased inventory to handle extra capacities. And under the aim of high growth, market share was hunted for through extra credit terms. This came back to haunt the company. To turn around the sinking ship, two interventions are considered: introducing Lean and upgrading the ERP system. Part C unveil Lean as the cosen path and what the challenges of the implementation were and how it ultimately led to success.
cash is king! – Don’t get fooled by positive looking Key Rations – only Cash is King! – Growth does not necessarily have to be good. Change management: Change is more than implementing process and systems. Change has to go deeper and become a culture. Only then it can sustain. Changes do not happen overnight. Strategy: a competitive advantage which is imitable is not lasting advantage. Inimitability increases when competitive advantage is complex and knowledge based.
Tranter India, Manufacturing
2006-2011
Cranfield University
Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]
Harvard Business School Publishing
60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]
NUCB Business School
1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.
Research Information & Knowledge Hub for additional information on IMD publications
- Tranter India (A): Challenging the status quo
- Tranter India (B): The high price of growth
- Tranter India (C): Lean implementation
- Tranter India (A): Challenging the status quo
- Tranter India (B): The high price of growth
- Tranter India (C): Lean implementation
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
COVID-19 challenges the value systems of family firms and urges them to adapt their behaviors, affecting their identities. This study aims to explore how and why family businesses strategically respond to challenges to their identity during COVID-...
In this study, we analyze how the performance-aspiration gap influences strategic change in family firms, providing evidence of the moderating role of family ownership in this relationship. According to socioemotional wealth (SEW) theory, family o...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in I by IMD
Research Information & Knowledge Hub for additional information on IMD publications
in Small Business Economics October 2024, vol. 63, pp. 993–1018, https://doi.org/10.1007/s11187-023-00846-3
Research Information & Knowledge Hub for additional information on IMD publications
in Review of Managerial Science October 2024, vol. 18, pp. 2981-3005 https://doi.org/10.1007/s11846-023-00703-3
Research Information & Knowledge Hub for additional information on IMD publications
IMD Center for Sustainable and Inclusive Business Report, October 2024
Research Information & Knowledge Hub for additional information on IMD publications