Krasny Oktyabr Clothing Factory

This case serves to introduce students to role of the firm and the need for information systems to help guide management decision making, in particular the need for financial accounting. Many students begin in accounting class with the assumption that it is bookkeeping on steroids. This case circumvents the standard "why are we here" teaching materials by creating a scenario in which the student breaks a business into its operational elements. With this established, the student quickly appreciates the need for accounting.

The case should be used on the first day of classes. It requires little preparation and background knowledge. As a consequence, many students feel comfortable participating in the discussion. Not only does this discussion lay the foundation for the case, but also it serves to incorporate students from learning environments where class participation is not encouraged. The case can be completed in 30 to 45 minutes to permit introduction of the instructor and related class management concerns.