Living By number
ACC 4291 – Integrated Case Study
Case Analysis Report on Living by Numbers – Value Creation or Profit?
The summary
This case basically explains about the dilemma that faced by Hafiz Hashim who is the CFO of MarineCorp Sdn Bhd (MarineCorp). This company was incorporated in 1992 and was a subsidiary of SURIA. MarineCorp has two wholly subsidiaries which are Green Port Sdn Bhd (GreenPort) and Sungai Emas Port Sdn Bhd. Its main operation was the maritime solutions providers for the SURIA group of companies like provide marine consulting services to SURIA and its related contractors that included those for newly vessels for upstream and downstream oil and gas operations. There are some problems occurred which are the chairman who is president of SURIA want Hafiz to use value based management (VBM) method to evaluate performance evaluation and appraisal of the employees based on economic earnings. Nevertheless, hafiz has different opinion with the chairman. He thought that value company performance should be measured based on investment make by equity and debts holders. It means that they need to see investment based on expected return and cost of capital incurred by company.
The protagonist
The protagonist or decision maker for this case is Hafiz Hashim. He is the CFO of MarineCorp and responsible to report the financial performance of MarineCorp and its two subsidiaries which are Green Port Sdn Bhd and Sungai Emas Port Sdn Bhd to the company’s board.
The major issues
There are two main issues faced by CFO of MarineCorp, Hafiz Hashim. First issue was when President of Suria had wanted Value Based Management (VBM) to be used for the Suria Group, its subsidiaries and associated companies. Second, Hafiz was in a dilemma whether to use economic earnings as required by the Group or profits as practiced by MarineCorp to report the financial performance of MarineCorp and its subsidiaries.
The problem
There are several problems that have been detected happen in the
Case Analysis Report on Living by Numbers – Value Creation or Profit?
The summary
This case basically explains about the dilemma that faced by Hafiz Hashim who is the CFO of MarineCorp Sdn Bhd (MarineCorp). This company was incorporated in 1992 and was a subsidiary of SURIA. MarineCorp has two wholly subsidiaries which are Green Port Sdn Bhd (GreenPort) and Sungai Emas Port Sdn Bhd. Its main operation was the maritime solutions providers for the SURIA group of companies like provide marine consulting services to SURIA and its related contractors that included those for newly vessels for upstream and downstream oil and gas operations. There are some problems occurred which are the chairman who is president of SURIA want Hafiz to use value based management (VBM) method to evaluate performance evaluation and appraisal of the employees based on economic earnings. Nevertheless, hafiz has different opinion with the chairman. He thought that value company performance should be measured based on investment make by equity and debts holders. It means that they need to see investment based on expected return and cost of capital incurred by company.
The protagonist
The protagonist or decision maker for this case is Hafiz Hashim. He is the CFO of MarineCorp and responsible to report the financial performance of MarineCorp and its two subsidiaries which are Green Port Sdn Bhd and Sungai Emas Port Sdn Bhd to the company’s board.
The major issues
There are two main issues faced by CFO of MarineCorp, Hafiz Hashim. First issue was when President of Suria had wanted Value Based Management (VBM) to be used for the Suria Group, its subsidiaries and associated companies. Second, Hafiz was in a dilemma whether to use economic earnings as required by the Group or profits as practiced by MarineCorp to report the financial performance of MarineCorp and its subsidiaries.
The problem
There are several problems that have been detected happen in the