Thomas R. Piper

Lawrence E. Fouraker Professor of Business Administration, Emeritus

THOMAS R. PIPER, Baker Foundation Professor and Lawrence E. Fouraker Professor of Business Administration, Emeritus, is a faculty member in the Finance and Accounting Units at the Graduate School of Business Administration.  He has taught in the MBA Program, as well as in other Executive Education courses, including the Advanced Management Program and General Management Program.  He served as chairman of the MBA Policy Committee and was senior associate dean for 13 years.

Presently, he is studying ethics and corporate responsibility for future business leaders and shares responsibility for the School's efforts in the area of values, leadership, and corporate responsibility. He also oversaw two Senior Executive Programs sited in the Middle East and South Africa and was instrumental in an initiative to help establish outstanding market-oriented business schools in Central and Eastern Europe.

Professor Piper is the author of The Economics of Bank Acquisitions and a coauthor of Case Problems in Finance, now in its eleventh edition (with W. Fruhan, W. Kester, and R. Ruback) and Can Ethics Be Taught? (with M. Gentile and S. Parks). He is a consultant in the field of corporate financial management and was a director of FleetBoston Corporation, Marriott Corporation, and GenRad.

Books

Journal Articles

  1. Making Choices: Aspects of the History of the Harvard Business School MBA Program

    Nancy F. Koehn, Thomas R. Piper, V. Kasturi Rangan and Richard S. Tedlow

    Keywords: Higher Education; History; Decision Choices and Conditions; Boston;

    Citation:

    Koehn, Nancy F., Thomas R. Piper, V. Kasturi Rangan, and Richard S. Tedlow. "Making Choices: Aspects of the History of the Harvard Business School MBA Program." MBA Leadership and Learning (1992). View Details

Book Chapters

  1. Ethics, Organizations and Business Schools

    L. S. Paine and Thomas R. Piper

    Keywords: Ethics; Organizations; Business Education; Non-Governmental Organizations;

    Citation:

    Paine, L. S., and Thomas R. Piper. "Ethics, Organizations and Business Schools." In The Intellectual Venture Capitalist: John H. McArthur and the Work of the Harvard Business School, 1980-1995, edited by T. K. McCraw and J. L. Cruikshank. Boston: Harvard Business School Press, 1999. View Details

Cases and Teaching Materials

  1. Assessing a Company's Future Financial Health

    Thomas R. Piper

    The case provides students with (1) an understanding of the essence of long-term financial health; (2) familiarity with the calculation and meaning of various financial ratios; and (3) an understanding of the influence of a company's operating and competitive characteristics on its investment in various type assets, on the profitability of these investments, and on the financial structure of its balance sheet. The case also allows a discussion of (1) the incomplete and lagging nature of financial measures; (2) the influence of financial measures on behavior; and (3) the reality that financial analysis often results in better, more focused questions to be asked of management, not conclusive answers.

    Keywords: Financial Condition; Forecasting and Prediction; Investment Return; Operations; Competitive Strategy;

    Citation:

    Piper, Thomas R. "Assessing a Company's Future Financial Health." Harvard Business School Background Note 911-412, November 2010. (Revised May 2012.) View Details
  2. Monmouth, Inc.

    Thomas R. Piper and Heide Abelli

    The management of Monmouth Inc. is considering whether to acquire the Robertson Tool Company and the value and form that the acquisition should take. Value can be assessed using a variety of approaches including a DCF with WACC analysis, impact on EPS and market multiples. The case also requires the student to consider how the offer should be designed and implemented.

    Keywords: Competitive bidding; Forecasting; Stock offerings; Mergers & Acquisitions; Valuation, Margins; Stocks; Valuation; Mergers and Acquisitions; Forecasting and Prediction; Bids and Bidding; Manufacturing Industry; Consumer Products Industry;

    Citation:

    Piper, Thomas R., and Heide Abelli. "Monmouth, Inc." Harvard Business School Brief Case 104-226, July 2010. View Details
  3. Monmouth, Inc. (Brief Case)

    Thomas R. Piper and Heide Abelli

    Teaching Note for 4226.

    Keywords: Competitive bidding; Forecasting; Stock offerings; Mergers & acquisitions,; Valuation, Margins; Stocks; Valuation; Mergers and Acquisitions; Forecasting and Prediction; Bids and Bidding;

    Citation:

    Piper, Thomas R., and Heide Abelli. "Monmouth, Inc. (Brief Case)." Harvard Business School Teaching Note 104-227, July 2010. View Details
  4. Malden Mills (A) (Abridged)

    Nitin Nohria and Thomas R. Piper

    CEO Aaron Feuerstein of Malden Mills decided to pay idled workers after a massive fire at his mill in 1995. Focuses on the decisions made post-fire and the rebuilding process and eventual bankruptcy of the company. Also outlines creditors' struggle to decide whether to lend Feuerstein additional funds to enable him to regain control of the company after emerging from bankruptcy.

    Keywords: Insolvency and Bankruptcy; Financing and Loans; Employees; Leadership; Crisis Management; Social Issues; Manufacturing Industry; Massachusetts;

    Citation:

    Nohria, Nitin, and Thomas R. Piper. "Malden Mills (A) (Abridged)." Harvard Business School Case 410-083, March 2010. (Revised June 2010.) View Details
  5. Sarnia Corporation

    Thomas R. Piper

    A division manager must explain why his division failed to meet its budgeted profit performance as well as meet with members of his management team to discuss corrective action.

    Keywords: Budgets and Budgeting; Business Divisions; Profit; Management Teams; Managerial Roles; Failure; Performance; Strategy;

    Citation:

    Piper, Thomas R. "Sarnia Corporation." Harvard Business School Case 202-051, October 2001. (Revised May 2010.) View Details
  6. Jones Electrical Distribution

    Thomas R. Piper and Jeffrey DeVolder

    Jones Electrical Distribution is faced with a need for increased bank financing due to its rapid sales growth. Students must determine the reasons for the rising bank borrowing, estimate the amount of borrowing needed and assess the attractiveness of the loan to the bank. Allows students to practice ration analysis, financial forecasting and evaluating financing alternatives.

    Keywords: financial analysis; Cash flow; Forecasting; financing; Bank loans; Growth Management; Cash Flow; Financing and Loans; Forecasting and Prediction; Distribution Industry;

    Citation:

    Piper, Thomas R., and Jeffrey DeVolder. "Jones Electrical Distribution." Harvard Business School Brief Case 104-179, April 2010. View Details
  7. Jones Electrical Distribution (Brief Case)

    Thomas R. Piper and Jeffrey DeVolder

    Teaching Note for 4179.

    Keywords: financial analysis; Cash flow; Forecasting; financing; Bank loans; Analysis; Cash Flow; Forecasting and Prediction; Financing and Loans; Banks and Banking;

    Citation:

    Piper, Thomas R., and Jeffrey DeVolder. "Jones Electrical Distribution (Brief Case)." Harvard Business School Teaching Note 104-180, April 2010. View Details
  8. Getting Participant-centered Learning to Work

    Thomas R. Piper, James L. Heskett and Gustavo Herrero

    The newly appointed dean of a South American business school is eager to transform the learning process from the traditional lecture method to one that actively engages students and contributes to the development of critical managerial skills, attitudes, and world view. To be successful, a number of organizational processes must be changed, and strong alliances must be created with key members of the faculty, administrative staff, alumni, and students.

    Keywords: Change Management; Transformation; Business Education; Leading Change; Business Processes; Organizational Change and Adaptation; Alliances; Education Industry; South America;

    Citation:

    Piper, Thomas R., James L. Heskett, and Gustavo Herrero. "Getting Participant-centered Learning to Work." Harvard Business School Case 805-007, July 2004. (Revised May 2009.) View Details
  9. Johnson & Johnson's Corporate Credo

    Thomas R. Piper

    No corporate credo is better known than that of Johnson & Johnson. Describes the history of the credo, including the credo challenge initiated by the CEO, James Burke, in 1975 and the role the credo played during the Tylenol poisoning crisis.

    Keywords: History; Mission and Purpose; Goals and Objectives; Corporate Accountability; Reputation; Crisis Management; Corporate Governance; Management Teams;

    Citation:

    Piper, Thomas R. "Johnson & Johnson's Corporate Credo." Harvard Business School Case 304-084, January 2004. (Revised May 2008.) View Details
  10. Dressen (Abridged) (A)

    Thomas R. Piper

    John Lynch, CEO of the Dressen Division of Westinghouse, was elated by the proposed leveraged buyout by the private equity firm, Warburg Pincus Ventures. The buyout would rid the division of a 'bad' parent and place the division's destiny in its own hands. A recently instituted restructuring plan seemed likely to improve profitability, but the turnaround was in its infancy. Would sources of finance support a financing plan that relied heavily on debt? Would Warburg Pincus Ventures be prepared to pay a price sufficient to win the bidding contest?

    Keywords: Leveraged Buyouts; Restructuring; Forecasting and Prediction; Private Equity; Bids and Bidding; Valuation;

    Citation:

    Piper, Thomas R. "Dressen (Abridged) (A)." Harvard Business School Case 207-125, June 2007. (Revised August 2007.) View Details
  11. Nicholson File Company Takeover (A), The

    Thomas R. Piper

    The financial vice president must decide the value and form of an acquisition offer to be made to a small hand tool company.

    Keywords: Negotiation Preparation; Valuation; Negotiation Participants; Negotiation Offer; Acquisition; Manufacturing Industry;

    Citation:

    Piper, Thomas R. "Nicholson File Company Takeover (A), The." Harvard Business School Case 297-011, August 1996. (Revised June 2007.) View Details
  12. Nicholson File Company Takeover (B), The

    Thomas R. Piper

    Management of a small hand tool company must decide on the terms and conditions of its sale to a "friendly" acquirer.

    Keywords: Decisions; Negotiation Preparation; Negotiation Participants; Acquisition; Manufacturing Industry;

    Citation:

    Piper, Thomas R. "Nicholson File Company Takeover (B), The." Harvard Business School Case 297-012, August 1996. (Revised June 2007.) View Details
  13. Dressen

    Thomas R. Piper and Jeremy Cott

    Divisional management must decide whether to support a leveraged buyout by a private equity group and, if so, what percent of ownership should go to the various partners involved. The appropriateness of the financing structure and the value of the equity depend on the sustainability of the turnaround effected less than one year earlier.

    Keywords: Leveraged Buyouts; Capital Structure; Valuation; Ownership Stake; Forecasting and Prediction;

    Citation:

    Piper, Thomas R., and Jeremy Cott. "Dressen." Harvard Business School Case 200-041, January 2000. (Revised May 2007.) View Details
  14. Malden Mills (A)

    Nitin Nohria, Thomas R. Piper and Bridget Gurtler

    CEO Aaron Feuerstein of Malden Mills decided to pay idled workers after a massive fire at his mill in 1995. Focuses on the decisions made post-fire and the rebuilding process and eventual bankruptcy of the company. Also outlines creditors' struggle to decide whether to lend Feuerstein additional funds to enable him to regain control of the company after emerging from bankruptcy.

    Keywords: Wages; Situation or Environment; Ethics; Financing and Loans; Resignation and Termination; Employees; Insolvency and Bankruptcy; Manufacturing Industry; Massachusetts;

    Citation:

    Nohria, Nitin, Thomas R. Piper, and Bridget Gurtler. "Malden Mills (A)." Harvard Business School Case 404-072, December 2003. (Revised August 2006.) View Details
  15. STAR 2003

    Thomas R. Piper

    A shift in strategy from broadcasting standardized programs throughout its footprint to localized programming necessitates a review of STAR's organizational structure. Growing complexity and a need for local responsiveness point toward adoption of a country-based organizational structure. The question arises concerning the systems that must be in place if headquarters is truly to decentralize decision rights. The case also raises the issue of the need for senior executives at corporate to redefine their roles.

    Keywords: Corporate Strategy; Organizational Structure; Management Teams; Decision Choices and Conditions; Organizational Design; Complexity; Entertainment and Recreation Industry; Service Industry;

    Citation:

    Piper, Thomas R. "STAR 2003." Harvard Business School Case 204-014, November 2003. (Revised July 2006.) View Details
  16. Advanced Technologies, Inc.

    Thomas R. Piper

    The CEO of a semiconductor equipment manufacturer is assessing the financial forecasts and financing plan prepared by the chief financial officer. Continued rapid growth will create substantial financing pressures, especially if profitability fails to recover and/or if a major, unexpected economic downturn occurs.

    Keywords: Forecasting and Prediction; Earnings Management; Financial Condition; Financial Reporting; Risk and Uncertainty; Economic Slowdown and Stagnation; Outcome or Result; Growth and Development; Crisis Management; Profit; Financial Strategy; Semiconductor Industry; Manufacturing Industry;

    Citation:

    Piper, Thomas R. "Advanced Technologies, Inc." Harvard Business School Case 299-042, January 1999. (Revised June 2006.) View Details
  17. Cartwright Lumber Company

    Thomas R. Piper

    The Cartwright Lumber Co. faces a need for increased bank financing due to its rapid sales growth and low profitability. A rewritten version of an earlier case.

    Keywords: Growth Management; Forecasting and Prediction; Financing and Loans; Corporate Finance; Construction Industry; Forest Products Industry;

    Citation:

    Piper, Thomas R. "Cartwright Lumber Company." Harvard Business School Case 204-126, February 2004. (Revised March 2004.) View Details
  18. Scott Lawson's Dilemma

    Thomas R. Piper

    The head of SysCom's test equipment division is concerned about how to answer employee and customer questions concerning the possible sale or liquidation of the division. The consequences of alternative approaches (full transparency vs. strong optimism and reassurance) for the various parties differ substantially. Also involves important legal, regulatory, and reporting requirements.

    Keywords: Business Exit or Shutdown; Interpersonal Communication; Business Divisions; Corporate Governance; Ethics; Manufacturing Industry; Technology Industry;

    Citation:

    Piper, Thomas R. "Scott Lawson's Dilemma." Harvard Business School Case 204-107, December 2003. (Revised February 2004.) View Details
  19. Bob Holgrom and the Buyout of the Carlson Division

    Thomas R. Piper

    The head of the Carlson Division stands to benefit substantially in financial terms if a private equity firm wins the bid for the division. The division is in the early stages of a performance turnaround, with only three quarters of profit improvement and no audited figures. The division head has a well-developed plan to improve performance and is confident that operating profits will double within five years. If this occurs and if the private equity firm is successful in buying the division at its target price, the division head's equity interest may be worth $60 million in five years. How much should he disclose to strategic buyers and to the parent company in terms of the turnaround plans and prospects? What are the legal and ethical requirements?

    Keywords: Private Equity; Leveraged Buyouts; Corporate Disclosure; Ethics; Financial Reporting; Laws and Statutes; Performance Improvement;

    Citation:

    Piper, Thomas R. "Bob Holgrom and the Buyout of the Carlson Division." Harvard Business School Case 304-083, January 2004. View Details
  20. Nissan Motor Company

    Thomas R. Piper and Jeremy Cott

    Senior executives of Nissan and Renault are considering a major investment in Nissan by Renault. An important consideration is whether a major restructuring of Nissan's operations will be possible, given the value placed on lifetime employment and the impact on communities. Also of concern is the likely decrease in commitment to restructure once the equity investment has been made.

    Keywords: Restructuring; Organizational Culture; Investment; Problems and Challenges; Equity;

    Citation:

    Piper, Thomas R., and Jeremy Cott. "Nissan Motor Company." Harvard Business School Case 200-067, June 2000. (Revised January 2003.) View Details
  21. Butler Lumber Company

    Thomas R. Piper

    The Butler Lumber Co. is faced with a need for increased bank financing due to its rapid sales growth and low profitability. Students must determine the reasons for the rising bank borrowing, estimate the amount of borrowing needed, and assess the attractiveness of the loan to the bank. A rewritten version of an earlier case. Allows students to practice ratio analysis, financial forecasting, and evaluating financing alternatives.

    Keywords: Commercial Banking; Financial Crisis; Borrowing and Debt; Financial Strategy; Financing and Loans; Capital Structure; Forecasting and Prediction;

    Citation:

    Piper, Thomas R. "Butler Lumber Company." Harvard Business School Case 292-013, October 1991. (Revised January 2002.) View Details
  22. Atlantic Corporation-Abridged

    Thomas R. Piper

    A major paper company is considering acquiring the assets of a company that is threatened by a hostile takeover. The acquisition can be evaluated in terms of industry attractiveness, comparative advantage, and cash-flow analysis.

    Keywords: Projects; Cash Flow; Interest Rates; Valuation; Mathematical Methods; Horizontal Integration; Acquisition; Competitive Advantage; Aerospace Industry;

    Citation:

    Piper, Thomas R. "Atlantic Corporation-Abridged." Harvard Business School Case 297-015, July 1996. (Revised June 2001.) View Details
  23. Concordia Electronic Systems Test

    Thomas R. Piper

    The management of an electronics company must decide whether to use a single hurdle rate for all projects or to move to a system of different hurdle rates for each of its two divisions. The divisions differ substantially in terms of risk and seem to have substantially different costs of capital.

    Keywords: Business Model; Risk and Uncertainty; Cost of Capital; Valuation; Business Divisions; Electronics Industry;

    Citation:

    Piper, Thomas R. "Concordia Electronic Systems Test." Harvard Business School Case 298-115, March 1998. (Revised March 2001.) View Details
  24. Capital Budgeting: Discounted Cash Flow Analysis

    Thomas R. Piper

    This exercise comprises seven problems that collectively allow students to work through each type of cash flow that is encountered in capital budgeting. The instructor can also address such issues as product cannibalization and real options.

    Keywords: Capital Budgeting; Cash Flow;

    Citation:

    Piper, Thomas R. "Capital Budgeting: Discounted Cash Flow Analysis." Harvard Business School Exercise 298-068, October 1997. (Revised June 2000.) View Details
  25. Infinity Carpets, Inc.

    Ronald W. Moore and Thomas R. Piper

    A turnaround expert must determine whether a firm in distress is worth more as a going concern than its liquidation value. If so, the finances of the firm must be restructured in a way consistent with the bargaining power of the holders of the various securities. The restructuring requires a delay in principal repayment, rate concessions, and a debt-for-equity swap.

    Keywords: Restructuring; Borrowing and Debt; Financial Liquidity; Crisis Management; Value; Apparel and Accessories Industry;

    Citation:

    Moore, Ronald W., and Thomas R. Piper. "Infinity Carpets, Inc." Harvard Business School Case 299-014, September 1998. (Revised December 1998.) View Details
  26. Intercontinental Breweries (Abridged)

    Thomas R. Piper

    A senior executive of a U.S. multinational is attempting to develop a set of financial, operating, and ownership arrangements that will be acceptable to the management and employees of a major Polish company and to the Ministry of Privatization. The arrangements must also be consistent with the financial and strategic objectives of the U.S. multinational. A rewritten version of two earlier cases.

    Keywords: Food and Beverage Industry;

    Citation:

    Piper, Thomas R. "Intercontinental Breweries (Abridged)." Harvard Business School Case 298-090, December 1997. View Details
  27. Takeover of the Norton Co., The

    Thomas R. Piper

    After a decade of mediocre performance, the Norton Co. enters 1990 with the prospect of increased sales in the next few years. Yet Norton is pursuing slow growth industries, and a lower than expected earnings announcement at the beginning of 1990 has depressed earnings forecasts by brokerage firms. BTR, a large highly successful British conglomerate, is considering making a takeover offer of Norton but is troubled by a number of issues. This case takes a behind-the-scenes look at how a company like BTR would value a potential takeover target and analyze how the acquisition would impact BTR's operations and performance, and how it might stave off competing bids if it were to make an offer.

    Keywords: Mergers and Acquisitions; Business Conglomerates; Goals and Objectives; Forecasting and Prediction; Performance Evaluation; Revenue; Bids and Bidding; Business Processes; Ownership Stake;

    Citation:

    Piper, Thomas R. "Takeover of the Norton Co., The ." Harvard Business School Case 291-002, June 1991. (Revised December 1997.) View Details
  28. Clarkson Lumber Company

    Thomas R. Piper

    The owner of a rapidly growing retail lumber company is considering the financial implications of continued rapid growth. The magnitude of the company's future financing requirements must be assessed in the context of the company's access to bank finance and/or equity finance. A rewritten version of an earlier case.

    Keywords: Business Growth and Maturation; Financial Reporting; Forecasting and Prediction; Business Strategy; Financial Strategy; Commercial Banking; Borrowing and Debt; Equity; Corporate Finance;

    Citation:

    Piper, Thomas R. "Clarkson Lumber Company." Harvard Business School Case 297-028, September 1996. (Revised October 1996.) View Details
  29. Science Technology Co.

    Thomas R. Piper

    The president of a medium-sized electronics company is evaluating the financial forecasts and proposed financing program submitted by the chief financial officer. The forecasts are prepared in constant dollars, on which basis the proposed financing plan seems reasonable. However, when inflation is incorporated into the forecasts, the financing need far exceeds available sources of funds, and adjustment on the operating side is necessary. The danger of relying on a single set of forecasts based on the most likely outcome is also demonstrated.

    Keywords: Currency; Financial Strategy; Forecasting and Prediction; Inflation and Deflation; Risk and Uncertainty; Outcome or Result; Technology Industry; Electronics Industry;

    Citation:

    Piper, Thomas R. "Science Technology Co." Harvard Business School Case 275-058, November 1974. (Revised May 1994.) View Details
  30. Cooper Industries, Inc.

    Thomas R. Piper

    The executive president of a major industrial company must decide 1) whether to acquire a small hand tool company and, if so, 2) the value and form that the acquisition package should take.

    Keywords: Decisions; Valuation; Acquisition; Management Teams; Consumer Products Industry;

    Citation:

    Piper, Thomas R. "Cooper Industries, Inc." Harvard Business School Case 274-116, December 1973. (Revised November 1993.) View Details
  31. Play Time Toy Co.

    Thomas R. Piper

    The president of a toy company is considering the adoption of level production in a business characterized by highly seasonal sales. The issues include balancing the cost savings and the inventory risk, estimating the seasonal financing need, and determining the appropriate approach to the bank. A rewritten version of an earlier case.

    Keywords: Production; Cost Management; Banks and Banking; Sales; Goods and Commodities; Financial Management; Risk Management; Entertainment and Recreation Industry;

    Citation:

    Piper, Thomas R. "Play Time Toy Co." Harvard Business School Case 292-003, October 1991. (Revised November 1993.) View Details
  32. Dynashears, Inc.

    Thomas R. Piper

    A senior loan officer is reviewing the recent performance of a company that has failed to repay its loan as scheduled. The failure results from a cyclical downturn in sales, coupled with a lag in cutting back production. Inventory risk is minimal. Teaching objective: Practice in financial analysis and in understanding the impact of business cycle on durable goods companies. Also an opportunity to evaluate the situation from a lender's perspective. A rewritten version of an earlier case.

    Keywords: Borrowing and Debt; Business Cycles; Financial Condition; Risk and Uncertainty; Failure;

    Citation:

    Piper, Thomas R. "Dynashears, Inc." Harvard Business School Case 292-017, October 1991. (Revised November 1993.) View Details
  33. ProTech, Inc.

    Thomas R. Piper

    A company is considering the elimination of a product line. As part of that consideration, it must develop possible strategies for closing the division, and identify the economic and non-economic implications of the strategy. The situation is complicated by the company's need for an infusion of equity capital.

    Keywords: Marketing Strategy; Decision Making; Business Exit or Shutdown; Equity; Problems and Challenges;

    Citation:

    Piper, Thomas R. "ProTech, Inc." Harvard Business School Case 289-054, April 1989. (Revised March 1993.) View Details
  34. Dynatronics, Inc. (Abridged)

    Thomas R. Piper

    Provides an opportunity to evaluate an investment in a new product line in strategic, competitive, organizational, and economic terms. The economic analysis involves an estimation of the relevant cash flows and discounting them at an appropriate hurdle rate.

    Keywords: Product; Forecasting and Prediction; Investment; Capital Budgeting;

    Citation:

    Piper, Thomas R. "Dynatronics, Inc. (Abridged)." Harvard Business School Case 290-064, June 1990. (Revised January 1993.) View Details
  35. Consolidated Edison Co. (Abridged)

    Thomas R. Piper

    Faced with large external financing needs and a low stock price, Con Ed management must decide whether to pay a cash dividend in April 1974. Based on Consolidated Edison by G.C. Lodge.

    Keywords: Valuation; Decision Choices and Conditions; Financing and Loans; Energy Industry;

    Citation:

    Piper, Thomas R. "Consolidated Edison Co. (Abridged)." Harvard Business School Case 275-116, April 1975. (Revised December 1991.) View Details
  36. Advanced Medical Technology Corp.

    Thomas R. Piper

    A loan officer must decide whether to lend $8 million to a rapidly growing, high technology company. The company has had a series of relationships with three other banks. Reports from loan officers at these banks are mixed and raise questions as to the ease with which a relationship would proceed. The full range of issues must be considered in evaluating the credit worthiness (character, collateral, capacity, conditions, pricing). The loan officer must also determine how much weight to place on a comfort letter from a major pharmaceutical firm.

    Keywords: Decision Making; Commercial Banking; Financing and Loans; Financial Condition; Technology Industry;

    Citation:

    Piper, Thomas R. "Advanced Medical Technology Corp." Harvard Business School Case 287-028, October 1986. (Revised December 1991.) View Details
  37. Science Technology Co.--1985

    Thomas R. Piper

    The CEO of a U.S. electronics firm is assessing the financial forecasts and the financing plan prepared by the chief financial officer. Given the cyclicality of the industry and the volatility of the firm's performance, the CEO is unsure as to the usefulness of forecasts based on straight line extrapolation of rapid sales growth and stable relationships of profits and assets to sales. The teaching objectives include: 1) how many years into the future should the forecasts run given the level of uncertainty, 2) how can one deal with the high uncertainty when preparing the forecasts or designing a financing plan, and 3) how to estimate the financing needs under conditions of adversity.

    Keywords: Risk and Uncertainty; Change Management; Industry Growth; Forecasting and Prediction; Financial Strategy; Volatility; Electronics Industry;

    Citation:

    Piper, Thomas R. "Science Technology Co.--1985." Harvard Business School Case 289-040, February 1989. (Revised November 1991.) View Details
  38. Universal Circuits, Inc.

    Thomas R. Piper

    The manager of international finance of a major U.S. electronics company is concerned about the exposure of the firm to changes in exchange rates. Of particular concern is the exposure of operations to changes in real exchange rates. The teaching objectives include: 1) understanding operating exposure and contractual exposure; 2) understanding the issues in estimating operating exposure; 3) understanding possible actions to neutralize operating exposure; and 4) assigning responsibility for the management of operating exposure.

    Keywords: Credit Derivatives and Swaps; International Finance; Currency Exchange Rate; Business Plan; Risk and Uncertainty; Financial Management; Financial Strategy; Electronics Industry; United States;

    Citation:

    Piper, Thomas R. "Universal Circuits, Inc." Harvard Business School Case 286-006, August 1985. (Revised July 1991.) View Details
  39. Ocean Drilling, Inc.

    Thomas R. Piper

    Management must choose between two mutually exclusive bids to build two drilling rigs. Both bids involve attractive export credit financing denominated in foreign currencies.

    Keywords: Credit; Currency; Financing and Loans; Bids and Bidding; Natural Environment;

    Citation:

    Piper, Thomas R. "Ocean Drilling, Inc." Harvard Business School Case 282-050, December 1981. (Revised July 1991.) View Details
  40. Hintz-Kessels-Kohl A.G.

    Thomas R. Piper

    A truck manufacturer must decide whether to bid on the sale of 120 trucks to a private firm in Costa Rica. If a bid is submitted, a decision must be made on whether to protect against the credit, exchange rate, and sovereign risks.

    Keywords: Risk Management; Currency Exchange Rate; Truck Transportation; Cross-Cultural and Cross-Border Issues; Manufacturing Industry; Auto Industry; Germany; Costa Rica;

    Citation:

    Piper, Thomas R. "Hintz-Kessels-Kohl A.G." Harvard Business School Case 284-019, July 1983. (Revised July 1991.) View Details
  41. Wilson Lumber Co.

    Thomas R. Piper

    The Wilson Lumber Co. is faced with a need for increased bank financing due to its rapid sales growth and low profitability. Students must determine the reasons for the rising bank borrowing, estimate the amount of borrowing needed, and assess the attractiveness of the loan to the bank. A rewritten version of an earlier case by J.K. Butters.

    Keywords: Borrowing and Debt; Financing and Loans; Banks and Banking; Forecasting and Prediction; Sales; Financial Strategy;

    Citation:

    Piper, Thomas R. "Wilson Lumber Co." Harvard Business School Case 286-122, May 1986. (Revised February 1991.) View Details
  42. H.J. Heinz Co.: The Administration of Policy (A), (B), (C), and (D), Teaching Note

    Kenneth E. Goodpaster and Thomas R. Piper

    Teaching Note for (9-382-034, 035, 036, and 037).

    Keywords: Business Earnings; Management Practices and Processes; Motivation and Incentives; System; Ethics; Policy; Business Divisions; Organizational Change and Adaptation; Food and Beverage Industry;

    Citation:

    Goodpaster, Kenneth E., and Thomas R. Piper. "H.J. Heinz Co.: The Administration of Policy (A), (B), (C), and (D), Teaching Note." Harvard Business School Teaching Note 390-045, November 1989. View Details
  43. Poletown Dilemma, The

    Thomas R. Piper

    Senior management of General Motors must select a site for a new assembly plant to replace two plants located in Detroit. The economics strongly favor a site in an adjacent state. However, a relocation would have substantial, negative impact on the existing work force, the City of Detroit, and suppliers in the Detroit area. Selection of a Detroit site would result in higher costs and would require the taking by eminent domain of 1,200 homes in the community of Poletown. The case raises issues of corporate responsibility, business-government relations, and stakeholder analysis.

    Keywords: Factories, Labs, and Plants; Business and Government Relations; Corporate Social Responsibility and Impact; Business Offices; Management Teams; Restructuring; Economics; Auto Industry; Michigan;

    Citation:

    Piper, Thomas R. "Poletown Dilemma, The." Harvard Business School Case 389-017, August 1988. (Revised August 1989.) View Details
  44. Biltwell Shears, Inc.

    Thomas R. Piper

    A senior loan officer is reviewing the recent performance of a company that has failed to repay its loan as scheduled. The failure results from a cyclical downturn in sales, coupled with a lag in cutting back production. Inventory risk is minimal. This case is an updated version of Cutrite Shears.

    Keywords: Financial Condition; Financing and Loans; Corporate Finance; Manufacturing Industry;

    Citation:

    Piper, Thomas R. "Biltwell Shears, Inc." Harvard Business School Case 286-021, June 1986. (Revised May 1989.) View Details
  45. Marriott Corp.

    Thomas R. Piper

    Marriott is considering the repurchase of ten million shares. This is apparently at odds with the financial policies that the Board of Directors passed two years earlier. Students must discuss why the policies were passed and why changes are now necessary. Includes a discussion of debt policy, financing policy and dividend policy. Students also discover stock is currently undervalued.

    Keywords: Stocks; Policy; Governing and Advisory Boards; Change; Financial Strategy; Valuation;

    Citation:

    Piper, Thomas R. "Marriott Corp." Harvard Business School Case 282-042, December 1981. (Revised September 1986.) View Details
  46. Premier Furniture Co.

    Thomas R. Piper

    A credit analyst for a furniture manufacturer is confronted with two customers who have exceeded their credit limits. The financial performance of each has been weak, and one of the customers has a highly leveraged balance sheet. Industry conditions are weak; the manufacturer apparently has excess capacity; and the credit analyst is caught between the conflicting demands of the sales managers and the credit manager. The case provides an opportunity for ratio analysis.

    Keywords: Cost vs Benefits; Financial Statements; Credit; Sales; Manufacturing Industry;

    Citation:

    Piper, Thomas R. "Premier Furniture Co." Harvard Business School Case 286-130, June 1986. View Details
  47. Enzone Petroleum Corp.

    Thomas R. Piper

    A large integrated oil company is debating whether to switch from a single hurdle rate to multiple hurdle rates for project analysis purposes. Raises questions on: 1) determination of the cost of equity; 2) the usefulness of multiple hurdle rates to adjust for project risk; 3) differences between a project's risk and its impact on overall corporate risk; and 4) the limitations of project analysis and capital budget systems.

    Keywords: Risk and Uncertainty; Cost; Investment Return; Equity; Capital Budgeting; Energy Industry;

    Citation:

    Piper, Thomas R. "Enzone Petroleum Corp." Harvard Business School Case 275-113, April 1975. (Revised November 1984.) View Details
  48. MRC, Inc. (Consolidated)

    Thomas R. Piper

    A large diversified company must develop a strategy for a division whose performance has deteriorated due to its aging product. Alternatives range from liquidation to a major investment in a new product. The formal capital budgeting system is compared with the informal process by which projects are identified and presented. This case is a consolidation of MRC, Inc. (A) and (B) by R.W. Moore.

    Keywords: Corporate Strategy; Business Divisions; Capital Budgeting;

    Citation:

    Piper, Thomas R. "MRC, Inc. (Consolidated)." Harvard Business School Case 277-123, January 1977. View Details

Presentations

  1. Ethics, Economics, and Organizations." Presentation. "Breaking New Ground: Initiatives in Management Education, 1980-1995

    Lynn S. Paine and Thomas R. Piper

    Keywords: Ethics; Economics; Organizations;

    Citation:

    Paine, Lynn S., and Thomas R. Piper. Ethics, Economics, and Organizations." Presentation. "Breaking New Ground: Initiatives in Management Education, 1980-1995. Lecture at the Symposium in Honor of John H. McArthur Series, Harvard Business School, Boston, MA, October 01, 1996. View Details

Other Publications and Materials