The TOM Challenge: TOM Winners and Losers Assignment

December 09, 2015

Read The Full Prompt

The basic thesis of the TOM course is that company performance is driven by the alignment between the company’s business model and operating model. As defined in the “Introduction to the RC TOM Course” note, a business model is defined as how the firm creates and captures value, and an operating model refers to the processes that transform a firm’s assets (e.g., capital, labor, intellectual property, equipment, etc.) into valuable actions.

Please identify one organization in the global economy that you think is highly effective (or one that is highly ineffective) at driving alignment between its operating and business models

  1. Did you choose the company as an example of effectiveness or ineffectiveness? Why?
  2. Describe the company’s business and operating models. What is interesting about them?
  3. Do the models align and support each other?  How?  What specific features of the operating model are designed to create and sustain competitive advantage?  What features of the business model leverage unique capabilities of its operating model?  What are the implications for performance?

Submitted (929)

How does Amazon deliver the best customer experiences?
Anh Le
Last modified on December 9, 2015 at 11:22 pm
Wide selection, low price, and convenience make Amazon the default online shop for most people. The high volume order makes it easier for Amazon to centralize its fulfillment management and automating its processes to reduce cost and serve its customers [...]
Taco Bell: When You Don’t Have Time for Freshness
Cheesy Gordita Crunch
Last modified on December 9, 2015 at 9:43 pm
In order to better serve its customers, Taco Bell stopped cooking its meat.
Fabindia: Connecting India’s rural economy to the Market
HB
Last modified on December 7, 2015 at 4:27 pm
Fabindia - creating value for customers while improving rural livelihoods.
Speedo: Inspiring Everyone to Dive In
Jessica Yuan
Last modified on December 9, 2015 at 11:28 pm
Innovation and Community Swimming for All
Azimo – The Future of Remittances
KSC
Last modified on December 9, 2015 at 5:30 pm
R.I.P Checkbooks and High Bank Fees – How Azimo can transform the remittance market and unleash $15B in the developing world
SpaceX – Reducing the cost of access to space
Rockets
Posted on December 9, 2015 at 9:51 pm
SpaceX uses product and process innovation to reliably deliver the lowest cost per kg of payload to orbit.
Osprey Drives Alignment Through Strong Core Values
Sam Y
Posted on December 9, 2015 at 6:48 pm
Osprey Packs, Inc. is highly effective at driving alignment between its operating and business models. The company designs and produces packs for the outdoors. The company is known for its innovative design; high-quality, custom-fit products; and love for adventure. It [...]
Kennedy Brothers: About Partnership
E
Last modified on December 9, 2015 at 3:15 pm
A sports medicine rehabilitation center that simultaneously delivers state of the art care and gives back to the community
Instacart: Changing the game for groceries
Sophia Catherine
Posted on December 9, 2015 at 9:56 pm
Instacart promises to change the way we buy and sell groceries, but what can it really offer?
First Gen – Power to the People
Rafa
Posted on December 8, 2015 at 11:36 pm
How an energy player will spare no expense for operational efficiency
Best-In-Class Retailer Nordstrom Inc. Maintains Top Spot As Ecommerce & Consumer Experience Leader
Grace
Posted on December 9, 2015 at 10:59 pm
How Nordstrom Inc.'s operational model made it the darling of the retail industry
Lenddo: Increasing Financial Inclusion in Emerging Markets through Social Media
AnilAmin
Posted on December 9, 2015 at 6:32 pm
Lenddo has been highly effective in revolutionizing microfinance through its social media-based credit rating system; now, it’s taking its algorithms to a broader set of applications. With offices in Manila, Bogota, Mexico City and New York, Lenddo has assisted more [...]
In-N-Out: A Fast Food Cult
Jackie
Last modified on December 9, 2015 at 12:32 am
Analyzing In-N-Out's secret sauce (the operating model, not the spread packets)
Corning Incorporated: Always Bright Ideas
Rex Flostereo
Last modified on December 7, 2015 at 7:07 pm
Shining a light on why you need to know about Corning!
SpaceX: Making Life Multiplanetary
J. Taylor Wiegele
Last modified on December 9, 2015 at 8:17 am
Through cutting-edge innovation, vertical integration, and an emphasis on recruiting/retention, SpaceX will succeed at making life multi-planetary and enable humanity's survival.
Porcelain God: The Buc-ee’s Empire
Michael Streit
Last modified on December 9, 2015 at 6:04 pm
How a gas station developed a cult following by cleaning its bathrooms
Rent the Runway – Fashionable Operations
Zhihan Ma
Posted on December 6, 2015 at 1:16 am
“We’re not in the fashion business. We’re in the fashion-technology-engineering-supply chain-operations-reverse logistics-dry cleaning-analytics business.”
View from the top – How has OMOTENASHI been performed in the sky?
ymatsuzawa
Posted on December 9, 2015 at 8:34 pm
Omotenashi, a word famously used by Christel Takigawa during her final presentation for a bid for Tokyo Olympics 2020, means the hospitality in Japanese. All Nippon Airways has always emphasized the importance of the hospitality for its success.
McKinsey – A Lack of Structural Optimization
Matthew Ressler
Last modified on August 7, 2017 at 5:09 pm
McKinsey is a highly established consultancy that is hampered by its regionally focused operating structure.
Chobani: Sour Milk Never Tasted So Sweet
Sophia Popova
Last modified on December 4, 2015 at 2:38 pm
How a Turkish farmer grew a 90-year-old abandoned Kraft factory into the world’s largest yogurt plant.
Elsevier: empowering knowledge or “enemy of science”
Yifeng
Last modified on December 10, 2015 at 12:08 am
How the world’s scientific community turned against the world’s largest academic publisher.
Ollie’s Bargain Outlet: Good Stuff Cheap!
YG
Posted on December 9, 2015 at 11:29 pm
Company Overview: Ollie’s Bargain Outlet (“Ollie’s”) is a discount retailer offering brand name closeout merchandise through 202 stores across 17 states. The compelling value proposition Ollie’s offers consumers of “Good Stuff Cheap®” is directly a function of their ability to [...]
Robaina: A Model Cuban Cigar Brand
Will
Last modified on December 9, 2015 at 10:25 pm
The Robaina cigar operation is constrained by a business model that makes success difficult; however, by focusing on its operational strengths, Robaina has managed to remain Cuba's premier cigar brand for more than 150 years
TransDigm: Nothing Plane About It
jp10010
Posted on December 8, 2015 at 7:08 pm
TransDigm is not just another manufacturer - it has carved out a unique niche based on the combination of its operating and business models
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