MBA6130: Effective Workplace Participation - Case Study and Literature Review

Internal Code: MAS3106

Effective Workplace Participation

Case Study: Mr. Thorne called me last fall about an idea he has for a piggyback rail terminal to be located halfway between Dallas and Houston. I got a group of second year students at the B- school to do a feasibility study of the idea. Thorne’s idea is to develop a rail terminal on 9,000 acres he owns there and ship truck trailers into and out of Texas via rail. The idea of a truck trailer riding “piggyback” on a rail car is not new. But what is new is the idea of a hub serving two major cities. This terminal would draw business from both Dallas and Houston and would be built on land that is 1/100 the cost of Dallas or Houston industrial property. That’s where the economies come in. Thorne also owns a railroad that already serves the proposed terminal site. Hopefully this terminal will transform the surrounding real estate into an attractive industrial site. Mr. Thorne suggested that the terminal could be segregated from the rest of his business in order to provide a cleaner way for me to participate in the equity. At this stage, we think it will require around $1 million to get started: $300K for equipment and $700K for one year’s operating expenses. I’d put in as much money as I could and Mr. Thorne would supply the rest. In addition to profit sharing, I’d be paid $50-70K, salary and bonus, to start- up and run the facility. Questions:

• Give some brief background information about the situation in the case study and the decision that Dave is facing.
• State the purpose of the report. (Are you explaining, analyzing, recommending or a combination of these?)
• Indicate the methodology used: literature review and close reading of the case study to identify key factors in the decision.
• Include any relevant definitions, theoretical foundations, the report’s scope (boundaries) and limitations.
• Give an overview of the report’s structure, including the sections.