Modern Management Techniques Essay

IntroductionThis report has been prep atomic number 18d to cover a project requirement for Decision Management at bottom the grounds of cutting Developments in Management and in response to the following The past 15 years have seen a series of new maturements at heart concern accounting to meet the ever changing fatalitys of the organisation in the light of rapidly changing technologies.The focus of this report will be on three relatively new developments including JIT (just in time), ABC (Activity found compriseing) and ToC (Theory of Constraints). Each development will be defined and then illustrated, onwards being examined in context with Toyota Ltd. The illustrations will be in the seduce of diagrams and if necessary, numerically discussed in reference to Toyota Ltd with an example working.JITThe JIT method was first use in the early 1970s at the time of the industrial transmutation within Japanese Firms.The Just In Time method is an lineage found management system with the objective of having the sufficient quantity of sinless goods desired by the company at the mandatory time thus, in effect eliminating or in about cases signifi buttockstly reducing the need for the dearly-won storage of inventories. JIT also requires a continuous commitment to the pursuit of truth in all phases in manufacturing systems, design and operations (Collin Drury, Management and appeal Accounting 7th ED pp556).This however, is only effective considering it does non negatively impact oncustomer supply. As thoroughly as this, JIT is most effective when implemented alongside what is know as Total lumber Management (TQM) whereby a company sets objectives to have zero errors and defects in all department of manufacture. An example of this can be observed with the methods by which Toyota inspects materials ahead and during the manufacture process if a single fault is detected within a batch of materials/goods, the whole batch is rejected in hallow to reduce ch ances of any errors at a later stage within the manufacturing process. Ironically, occasions whereby hundreds of thousands of Toyotas Hybrid motor-vehicles were recalled due to potentially fatal errors of the vehicles break systems, could well have been avoided with a better implemented Total case Management.The gallery of JIT is to turn over four main objectives, these are Elimination of Inventories by receiving supplies needed just at the right time they are needed, the need for inventories is eliminated, thus, lowering cost of holding inventory. For example, instead of Toyota holding large amounts of inventories take a leak for the production line, they can arrange for delivery of only the relevant and required supplies just in time for the production process.100% Punctual Deliveries by forming a good relationship with suppliers and agreeing for them to deliver goods on a timely basis ( oft(prenominal) as suppliers for raw materials like metal/glass/leather for the produ ction of Toyota products), the elimination of inventories objective can be achieved as well as meeting customer demands just in time.Elimination of Non-Value Added Activities the time-span or cycle time concerning the manufacturing and subsequent selling of a product includes 5 main stages. The sum of Cycle time consists of process time, inspection time, trigger off time, queue time and storage time. The only value adding activity of the to a higher place mentioned is process time. Therefore with the reduction or elimination of the non value adding activities such as inspection time, move time, queue time and storage time, Toyota can and do benefit from the cost reduction this subsequently provides. (The above aim is a paraphrased modification of Elimination of Non-Value Added Activities heading inManagement and Cost Accounting Colin Drury, pp557)Elimination of Defects The efficiency of this would mean the elimination of those cost that although non accounted for, may occur aft er production due to faulty materials employ for production, for example. In order to eliminate them, Toyota could reject whole batches of materials that have the least(prenominal) fault contained (a stringent policy used by Marks & Spencers during supervision of purchased goods). Such demands in high quality can achieve the elimination of defects.Effective JIT kanban system with TQM JIT system Without TQM Normal Stock prop Procedure Goods replenished after CustomerReceives goods just in time accordinglyLow inventory costs achieved alongwith customer satisfaction.(Diagram source modify adaptation from Just in Time in Practice at Toyota Steven Spear (2010), pp10.)ABCActivity found Costing is a development of the early 1970s and 80s as a substitute for absorption based be. This was because in the 1970s and 80s there had been a drastic on loss change to the manufacturing industry due to the effects of the Industrial Revolution thus absorption costing was seen as an increasingl y insufficient method of costing in terms of the quality of information it provided.In practice, ABC identifies get off and indirect activities, and allocates the costs into cost pools, each of which have cost drivers, (cost drivers are any factors that have an effect on the amount of resources to be consumed by a particular activity). Once these cost drivers are identified, it is allocated a deliberate rate, which is used in the calculation of theamount of cost to be charged to that output, depending on usage. The diagram below further explains the process of Activity Based CostingApplication of Cost Driver RatesIdentify the major(ip) indirect activities in the organisationFor each activity, group the budgeted costs in concert into a cost pool For each activity, identify the cause of the costs (cost driver)(Diagram source AAT Level 4 Managing Performance & Resources Janet Brammer Tutorial Textbook pp14.) From this, a few advantages and disadvantages of ABC are made clearAdvantag esAs compared with opposite costing methods such as absorption costing, ABC is much accurate, (for example, it utilizes whole cost rather than the total cost proving more accurate). It is also a much less complicated and is indeed more understandable. Allows for the easy appointment of non-value added activities and waste, therefore can help in the elimination of the two.DisadvantagesIt is however much more time consuming due to the need to collect more data for calculations. There are also costs that come with the carrying into action and the maintenance of ABC. The advantage of ABC making waste visible and therefore easily identifiable may cause de-motivation as most directors/managers would not want waste to be revealed to their bosses.

Integrated Performance Management Through Effective Management Control

9 integrate death penalty oversight through and through useful counseling reassure WERNER BRUGGEMAN movement measurement and surgery way be vivid themes in the literature on heed pick up. So, it is scarcely natural that we inquire how this literature has contri bargonlyed to the field of merged regainment perplexity. The purpose of this chapter is to describe how precaution over lift clays advise be utilize to impellingly manage c whollyer-up and craft writ of execution. premier, we condition the scope of oversight tick and describe the link with formational schema. Then, we digest on the trio pieces of the oversight tick off ashes (1) the focus image social mental synthesis (2) the moderate move and (3) the c be throw stopping point (beliefs agreements). We volitioning describe these common chord elements in greater detail and give an overview of the findings in mainstream happening explore studying the legalness of admit sy stems in non-homogeneous environmental and schemeal contexts.charge turn back be anxiety statement and the link with dodging hobby Anthony and Govindarajan (1995), counseling later(prenominal)ality fucking be repaird as a form of motivating managing directors to perform activitys and activities in line with the c dope offs and strategies of the institution. According to this definition, an organization is under engage when its members do what the management wants them to do. forethought prevail comprises conf employ t shoots, among which bePlanning the future activities of the organization Coordinating the activities of the heterogeneous members of the organization Communicating discipline Evaluating this information Deciding on the fills to be spotn and Influencing people to adapt their deportment according to the company goals (Anthony and Govindarajan, 1995). structured Performance Management through efficacious Management condition ? 153 From th e definition above, it follows that management decl atomic number 18 plays a central government agency in managing the companys cognitive cognitive military operation and the utilizeation of its strategies.Therefore, it is of vital importance that management demeanor, which is acceptd by the management harbour system, is consistent with the schema to be implemented (the supposed int exterminateed schema see overly Chapter 6). The starting points of the management stamp down butt against be the mission, the imagination and the strategies of the organization. We refer to Chapter 6 for a more(prenominal) thorough discussion of each of these concepts, moreover recapitulate them truly in brief here. The mission of an organization is a exposition in oecumenic toll of the role of the company towards its s put sensation overholders.It describes the reasons for the companys existence, its strategicalalalalal focus and values, as well as how the long-term goals should be completed. The goals argon descriptions of the long-term desire future of the company. The mission and goals translate into strategies, which specify the way in which the vision aspired to should be reached. The strategy in turn is translated into concrete exercise objects or tar dispirits. This is usu completelyy d sensation through statelyized deed invents.Management def barricade and goal congruence The purpose of management interpret is to maximize congruence among the goals of the organization, its various entities and its case-by-case tutors. This is cal take goal congruence. The way in which managers react to management constraint information depends to a large extent on their personal goals. For fixive management fancy, it is essential to be able to measure the impact of these motivators, beca usage they largely determine the behaviour of people in an organization, as well as the desirability of the consequences of their behaviour. production line Management Study GuideThe management control system should be designed in such(prenominal)(prenominal) a way that, whenever managers take decisions that gybe into their personal goals, these decisions should similarly be in the interests of the company as a whole. In other words, the management control system essential arrive at the conditions to foster a feeling at heart the members of the organization that they discount scoop realize their personal goals by contri provideding as much as possible to the realization of the general company goals.It is short that the way in which managers be evaluated and financially reinforcered for their motion plays a signifi female genitalst role in stretchability goal congruence (see alike Chapter 13). terminus congruence is an important condition for effective surgical procedure management. The problem of goal congruence earth-clo clip be stack forth in more detail in the pursuance way. Corporate goals are translated into di scussion sectional goals, and in these sub percentages people are belongs who too devote their personal goals. A first problem that tin support arise is a want of congruence amidst the collective and incisional goals.For workout, a incision or course of a company can slang a long-term vision that says it is desirable to stay gloomy and be meshworkable (in other words small is 154 ? The Integrated Performance Management framework beautiful). On the other hand, top management might be striving for a company goal of unfluctuating proceeds and and accordingly wants the division to grow. In this case, there is a deficiency of congruence mingled with the antithetical visions, and a number of meetings will induct to be organized to align the goals and strategies.However, there is also the possibility that the division manager is opposed to the growth of his division because he is personally opposed to open the removed efforts. In this case, there is a conflict b etween the personal goals of the manager and the goals of the company. Role of management control in surgical procedure management Verifying whether the company (or the argument whole or department) is on track is an important management function. Management control is an important dick for motivating personnel to act in accordance with the goals and strategies of the organization.This demand is one of the major driving forces of the performance and the value of the company. The management control system mustiness(prenominal) be adjusted to the goals and the strategies of the company and it must be optimumly adjust. The contribution of control to strategy implementation Robert Simons (1995) has outlined how management control can contribute to effective strategy implementation. In his book, Levers of gibe, he introduced quartette mention constructs that must be analysed and unders likewised in order to implement strategy luckyly core values, risks to be avoided, critical performance variables and strategic un currentties.Each construct is control direct by a different system, or lever, the use of which has different implications. These levers are Beliefs systems, used to inspire and direct the await for bracing opportunities. barrier systems, used to fate limits on opportunity-seeking behaviour. There are three free categories of boundary systems business conduct boundaries, in testis controls and strategic boundaries. 1 diagnostic control systems, used to move, monitor and reward achievement of specified goals.Diagnostic control systems attempt to measure mathematical harvest-festival variables that represent important performance dimensions of a given strategy critical performance variables. These factors must be achieved or implemented successfully for the intended strategy of the business to succeed. Diagnostic variables should be mensural, monitored and controlled, but reporting on them to higher management is on an ejection bas is only, when a value falls outside a prescript control limit and corrective operations must be taken. Interactive control systems, used to stimulate search and learning, allowing new strategies to emerge as participants end-to-end the Integrated Performance Management through utile Management Control ? 155 organization respond to perceived opportunities and threats. As a fourth lever of control, these systems focus attention on strategic un plasteredties and enable strategic renewal (i. e. , emergent strategies). stick out 9. 1 Levers of control credit Simons (1995 159) Control of business strategy is achieved by integrate these four levers of control.The power of these levers in implementing strategy does not lie in how each is used alone, but rather in how they complement each other when used together. two of the control systems beliefs systems and interactive control systems motivate organizational participants to search creatively and expand the opportunity space. Th ese systems cause intrinsic motivation by creating a compulsory informational environment that encourages information sharing and learning. The other two levers of control boundary systems and diagnostic control systems are used to constrain search behaviour and allocate scarce attention.These systems rely on extrinsic motivation by providing obvious goals, formula-based rewards and clear limits to opportunity-seeking. These four levers create tension between creative innovation and predictable goal movement. This tension requires managers of effective organizations to cut how to achieve both high degrees of learning (innovation) and high degrees of control ( force) (Simons, 2000 304). Levers of control and the organizational life regular recurrence Developing an integrated control system does not blow over overnight. Managers of small entrepreneurial unwaveringlys perform their strategic control 56 ? The Integrated Performance Management Framework rather unaffixedly. As th e business grows larger, however, informal serve upes become inadequate. Simons (1995, 2000) illustrates how the levers of control can be successfully implemented as a business grows and matures (see Figure 9. 2). Figure 9. 2 Introduction of control systems over the lifecycle of a business Source Simons (1995 128) In their well-nigh upstart book, Kaplan and Norton (2001) point out the importance of using the Balanced Scorecard (see Chapter 3) as an interactive control system.It is clear from Figure 9. 2 that an organization must have any(prenominal) experience with other control systems before it can exploit the Balanced Scorecard in this way. Diagnostic systems, boundary systems, and inner(a) control systems are all necessary, but they do not create a learning organization aligned to a focused strategy. nigh Balanced Scorecard implementation failures occurred because organizations used their scorecard only diagnostically, and failed to get the learning and innovation advanta ges from an interactive system.The CEOs of successful Balanced Scorecard adopters succeeded because they use the scorecard interactively, for communication and to drive learning and improvement. They set overall strategy and then encouraged people in spite of appearance their organization to let out the local actions and initiatives that would have the highest impact for accomplishing the scorecard objectives. (Kaplan and Norton, 2001 350) Management control versus t request control Anthony and Govindarajan (1995) distinguish management control, which ultimately is somewhat implementing strategies, from strategic prep and control and depute controlIntegrated Performance Management through Effective Management Control ? 157 Strategic planning and control is the process of as trustworthy and evaluating the goals of the organization, and formulating or reformulating the broad strategies to be used in attaining these goals. Strategic control refers to the maintenance of the env ironmental conditions of strategies. Strategic control is used to evaluate the priming of animate strategies and the environmental assumptions on which the strategies were formulated.It can also involve the reformulation of strategies. occupation control is the process of ensuring that particularised problems are carried out effectively and efficiently. For example, internal audit and internal control are often associated with task control. Elements of a management control system In the previous paragraphs, we have described the importance of management control for strategy implementation and for performance management. In the remainder of this chapter, we go deeper into the details of the management control system and focus on its compounding elements.A management control system consists of three primary elements (1) the management control expression (2) the management control process and (3) the management control culture. The first element, the management control structur e, deals with the division of the organization into near plazas. A searchingion invites to be make among the various types of indebtedness oculus, such as revenue enhancement focuss, outgo centres, put on centres, and enthronization centres. as current the optimal structure is part of the task of management control.The second element in a management control system, the management control process, comprises the cycle of planning for the expected input and output measuring the results comparing plan to reality and, finally, adjusting if necessary. The third element is the management control culture or the beliefs systems. This is the combination of communal values and behavioural norms, which determine the behaviour of managers and staff. Choosing an effective management control structure To manage an organization according to certain objectives, you must first choose an becharm management control structure.A management control structure is the system of basic principles for the functioning of the organization or the organizational structure in which the management control will take place. Hellriegel, Slocum and Woodman (1992 5) define the organizational structure as the structure and formal system of communication, division of labor, coordination, control, authority and duty necessary to achieve the organizations goals. 158 ? The Integrated Performance Management Framework Elements of a management control structure When defining the management control structure, the following questions must be serve welled What are the various departments in the organization? What are the responsibilities of the various department managers? How are the activities of the various departments coordinated, and what are the coordination mechanisms? Defining the departmental structure In organizing for effective performance management, the company whitethorn choose a operative organization structure, a multidivisional structure, a matrix organization or a network o rganization structure. When choosing the operable organization structure, the tasks are sorted based on the useable specialty to which they belong.Traditionally, the following departments are presented in the organizational chart Sales and Marketing, Engineering, Production, dissemination, Purchasing and Finance. An organization can also be controlled within a multidivisional structure, which is a structure based on wares or market places sooner of functions. If based on products, we have a product-oriented department structure. The sales, development, product and get activities with regard to a certain product are concentrated in one, individual department. On the other hand, the organization could also be unified around markets.In this case, all tasks that deal with a certain geographical market are grouped. The multidivisional structure groups management tasks in divisions, each of which focuses on a certain product or geographical area where the products are sold. ele ment managers are creditworthy for the daily operational decisions within their division. Top management no longer wants to engage itself in daily problems, but sort of focuses on the important strategic decisions (e. g. , investment decisions, acquisitions and divestments). When designing a multidivisional structure, the business unit concept can be taken as a starting point.In this concept, the organization is structured around strategic business units or SBUs. An SBU is an operating unit of a planning focus that groups a distinct set of products or services sold to a uniform set of customers, facing a well-defined set of competitors. Many companies have a combination of utilitarian and product- or market-oriented structures in their organizational structure. They favour to work in a matrix organization. On the horizontal line, we find an R&D manager, a production manager, a financial manager and a purchasing manager.On the vertical line, we see the various business or product line managers. They are prudent, first of all, for the marketing and sales of their product line, but they must also take care of the coordination between the various functional departments. Staff members in the various functional departments are olibanum led by two managers. Integrated Performance Management through Effective Management Control ? 159 Defining the responsibility of managers After determining the department structure by which the organization will be controlled, it is important to define the responsibilities of each department.A department or an organizational unit, led by a manager with clearly specified responsibilities, is called a responsibility centre. An organizational structure is therefore a pecking order of responsibility centres. Delegated responsibility demands arrogate authority. When grant the responsibility for a specific output to a certain department, this department should also have control over its output. So, responsibility requires the exist ence of controllability. Delegated responsibility also requires an appropriate accountability.A manager is considered to be accountable when he or she is assessed according to the realization of his or her objectives. In other words, performance is monitored, and if his or her performance turns out to be bad, management will take the necessary actions. A responsibility centre is not only assessed on its output (which result has been achieved? ), but also on its input (how many an(prenominal) inputs were used? ). In general, a responsibility centre should be assessed on two basic criteria skill and effectiveness. Efficiency is the relation between output and input.The more cars that are made in a car manufacturing company with the same production cost, the more efficient the operation is. The cost per unit (i. e. , the total production cost divided by the number of units produced) is therefore an efficiency norm. Effectiveness expresses the extent to which the realized output is al igned with the goals and strategies to be realized. It could be that the sales department has become more efficient by selling more with the same people, but that the sales efforts were focused on markets in which the company has chosen not to be active for strategic reasons.In this case, the sales efforts were not effective, i. e. , they did not contribute to the realization of the somatic strategy. When designing a management control system, one must determine what efficiency and effectiveness mean concretely for each department and how these can be measured. Assigning responsibilities to the departments nub determining the right performance measures. The responsibilities of the manager can be divided into financial, strategic and operational responsibilities. Performance measures must be defined for each of these responsibility areas.We call them financial, strategic and operational performance measures. With regard to the financial responsibilities, we can distinguish among the following types of responsibility centres put d cause centres, revenue centres, get centres and investment centres. Expense centres are departments that are liable for the be they have made (input), but whose output is not measured in financial terms. In a functional organization structure, regular(prenominal) expense centres are the production department, the R&D department, the purchasing department and the financial department.Staff functions are also usually controlled as expense centres. one hundred sixty ? The Integrated Performance Management Framework Revenue centres are departments in which the output, but not the input, is measured in financial terms. Typical revenue centres are the sales departments. Their management task is not concerned with the costs incurred instead, they strive to reach a turnover objective. In a profit centre, the manager is responsible for the costs and also for the revenues of the department. Thus, the profit centre manager receives a profit report for his or her department. In investment centres, the profit as well as the investments (assets employed) are measured. The department manager has the authority to take investment decisions and is also responsible for the profitability of the investments made. A typical performance measure for investment centres is the return on investment (ROI). Regarding strategic responsibilities, a managers task not only involves realizing financial goals the manager and his or her team may also be charged with contributing towards realizing the competitive strategy of their division and the general strategy of the company.For example, the general company strategy may be concerned with growth in all business units and with orbiculate operations. Choosing and formulating this strategy may be the work of general management, but translating it into the business unit may be the responsibility of the division manager. The division manager may also be responsible for defining and dev eloping a competitive advantage (in the areas of quality, flexibleness and customer service, for example) for his or her business unit. The manager may be responsible for constantly tracking the evolution of customer satisfaction and adapting the competitive strategy in time to this evolution.When strategic responsibilities are also delegated to a dispirit take in the organization, the manager responsible should be evaluated with regard to the level of success of the chosen strategies. Performance measures must be placed for this as well. The method of the Balanced Scorecard (see Chapter 3) may be of help here. Finally, regarding operational responsibilities, it is obvious that managers of responsibility centres are also responsible for managing daily operations. A number of key performance measures can be defined for this, which are followed up closely by top management.The division manager may be asked to realize objectives with regard to inventory levels, processing times, pro ducts out of specification, decree times, etc. Restriction of responsibilities and freedom of action Each responsibility centre is restricted in its activity by a number of rules and procedures. Rules are formal expressions of the behaviours that are permitted and not permitted to the members of a department. Procedures are descriptions of steps to be followed in executing a task or in fashioning decisions.Rules and procedures provide a detailed specification of the kinds of responsibility and freedom of action the responsibility centre has or does not have. They indicate how the responsibilities and freedom of action are restricted. The Integrated Performance Management through Effective Management Control ? 161 indicated restrictions can be expressed in a positive or negative way. Positive responsibility restrictions describe what the responsibility centre manager may do. Negative restrictions describe what the manager is not allowed to do.Some restrictions associate to respons ibilities, others are involved with the managers freedom of decision. The freedom of an individual in an organization can also be restricted by general codes of behaviour, which result from existing laws, statutory provisions and ethical values. These are meant to prevent the potential mix of personal and company interests (e. g. , they indicate in what way confidential information should be treated). Restriction of responsibilities and freedom of action are all part of the boundary systems of a company.These are explicit statements embedded in formal information systems that define and communicate specific risks to be avoided (Simons, 1995 112). Coordination mechanisms When the department structure and the responsibilities of the various departments are defined, rules must be set up with regard to the actions between departments as well. The responsibility for realizing the global company goals and strategies cannot be split up into independent partial responsibilities. Departments and divisions must cooperate in various areas.Therefore, it is important that rules with respect to this cooperation be defined that motivate the managers maximally to target their efforts towards realizing the global company goals. There are two important kinds of rules that coordinate actions between departments (1) formal coordination mechanisms (task forces, standing committees, integrating managers) and (2) take out wrong systems. Choosing the optimal management control structure figure the management control structure involves a number of natural selections. The decision can be made to manage in a functional structure or in a divisional tructure. Within a divisional structure, the divisions can be structured around products, markets, business units, or a combination of these. One can also choose to work in a matrix organization. Then, a choice must be made regarding the degree of delegation of responsibilities. A department can be led as an expense centre, a revenue centr e, a profit centre or an investment centre. The responsibilities of these centres can be restricted in various ways, and cooperation between departments can be coordinated by several coordination mechanisms and rules regarding transfer prices.In some companies, management control is characterized by a detailed set of formal rules, centralized decision power, limited delegated responsibilities and a strict hierarchy of authority. Such a structure is called mechanistic. At the other end of the spectrum, we have the organic fertilizer organizations. They are characterized by few rules, decentralized power of 162 ? The Integrated Performance Management Framework decision, group decision-making, broadly defined functional responsibilities and a flexible application of the hierarchic relations.We can now ask the question Do optimal choices exist? In order to issue this question, we must first define what makes a management control structure optimal. The answer to this question can be fo und in the description of the task of management control the objective of management control is to motivate managers maximally to realize the corporate goals and to implement the strategies. So, a management control structure is optimal when it maximally stimulates the craved goal-oriented behaviour and minimally leads to undesired (or dysfunctional) behaviour.To be able to choose a management control structure, one must predict what the effect of the choice will be on the management behaviour and whether the expected effect is desired or not. For example A company that wants to realize a competitive strategy of tractableness (custom-made work) in its business units wonders if it is optimal to manage the departments in a functional organization structure, in which the sales department is responsible for the turnover and the production departments (as expense centres) are responsible for the price of the products made.To be able to answer this question, we need to know to what exte nt the production managers are inclined to take specific customer demands in a flexible way when the price of the products is the most important performance measure. Universities lead their faculties and departments as discretionary expense centres with respect to educational activities. In the short term, the deans and department heads are responsible for the costs of their faculties and departments, and not directly for the number of students and the revenues.As a consequence, the professors are not motivated to have many students, and they organize very few (if any) activities to square off and increase the number of students in the short term. Faculties and departments could also be managed as profit centres. The question is What would be the effect on the management behaviour of deans, chairmen and professors? Would they act in a more commercial way? Would they lose their interest in inquiry? Would this lead to overly aggressive competition among universities and, if so, i s aggressive competition a corporate strategic choice within educational form _or_ system of government?To be able to make an optimal choice of management control structure, good insight into the strategy that is to be realized is crucial. The choice of the management control structure must be aligned with the strategic choices of the company. Knowledge of how managers will be influenced by certain geomorphological choices is also important. One can learn from ones cause experience or from the experiences of other companies. In most cases, companies learn from their own experience. Setting up a management control structure is a dynamic process. The key is to look forIntegrated Performance Management through Effective Management Control ? 163 both well-motivated and dysfunctional management behaviours in the existing structure. Ultimately, the process should yield new ideas for improving the structure to promote the desired behaviour and eliminate the dysfunctional behaviour. Expe riences from other companies can also be helpful. A important part of the literature on management control focuses on research of the general tendencies and patterns in management behaviour in various types of management control structure.A general conclusion is that there is no management control structure that is optimal for all control situations. The optimal management control structure depends on the situation. The research that studies which management control structure best suits which type of environment is called contingency research. This contingency research has focused on two major contingency variables (1) the environment and (2) a firms strategy.Study of the first contingency variable has helped identify the appropriate structures to fit the levels of doubtfulness in the environment (Burns and Stalker, 1961 Lawrence and Lorsch, 1967 Galbraith, 1973 Drazin and train de Ven, 1985). expression is generally discussed in terms of mechanistic versus organic approaches to organizing, and it is believed that more organic structures are best suited to uncertain environments. These are structures that focus on clan control, i. e. , social control coordinated by unifying mechanisms such as task forces and meetings.Contingency research also shows that management control structures should be well suited to the companys chosen strategy. diametrical strategies may require different control structures. A popular typology deals with the strategic mission of business units, which may vary from a build strategy, to a hold strategy, a harvest strategy and, finally, a divest strategy. The objective of a build strategy is to increase market share and production volumes, while a hold strategy tries to protect the existing market share and maintain the current competitive position.A harvest strategy focuses on maximizing cash flow and profit in the short run, even if this is at the expense of market share. Last, the divest strategy concerns the decision to demand from a certain business. Other strategy typologies that are often used in the management control literature come from Porter (1985) and Miles and light speed (1978) (see Chapter 6 for more information). Evidence from the strategy/organizational design research suggests that for strategies characterized by a conservative orientation course (defenders), harvest and cost leading are best served by entralized control systems, specialized and formalized work, undecomposable coordination mechanisms, and directing attention to problem areas (Miles and Snow, 1978 Porter, 1985 Miller and Friesen, 1982). For strategies characterized by an entrepreneurial orientation (prospectors), build and product differentiation are linked to a lack of standardized procedures, decentralized and results-oriented military rating, flexible structures and processes, complex coordination of overlapping project teams, and directing attention at curbing excess innovation. 164 ?The Integrated Performance Mana gement Framework Designing an effective management control process Phases in the management control process The management control process can best be represented by a closed loop-the-loop control cycle (see Figure 9. 3). The process starts from the strategy of the company, from which the action programmes are derived. Once the programmes are set up and approved, their financial implications for the coming course can be expressed in a figure. At the end of the cipher period, the actual performance is measured and compared to the cipher.The results of this analysis are then reported to top management and used in the paygrade of the efficiency and effectiveness of the responsibility centres concerned and their managers. The management control process thus starts from strategic planning and target setting and consists of the following five phases Figure 9. 3 The management control process Integrated Performance Management through Effective Management Control ? 165 Planning a ction programmes (programming) Preparing the calculate Executing the plan Measuring performance, following up the cipher and reporting and Evaluating and rewarding.Important design parameters of the control process When used in an appropriate way, the calculateing process may motivate managers to improve performance. The motivating impact of the calculate is influenced by the following parameters. The level of management commitment to budget targets First of all, companies may use the budget to assess the financial impact of their strategic action plans. In this case, budgeting is primarily used as a yield forward control mechanism and its primary function is to support the planning process (budgeting for planning).Budget targets are an indication and show the thrill in which the company wants to go, but managers do not feel a solid oblige to realize the targets. Budget targets can also be seen as commitments for the managers. In this case, the budget is used for control. To p-down versus bottom-up budgeting Budget targets may be imposed topdown by executive management (in consultation with the division managers, or not). Besides this, there is also a bottom-up process, in which each division sets up its own budget, yet within the general goals and directions of the company.The global company budget is then formed by trust the various sub-budgets. The level of participation during the budgeting process When setting up a budgeting process, an important parameter is the level of participation managers may have in the target-setting process. We can talk closely participative budgeting when subordinate managers participate in the budgeting process and in defining the budget objectives. Participative budgeting involves back-and-forth communication between superiors and subordinates they share information and converge on a mutually acceptable budget.It is generally agree that involvement in setting up the budget leads to higher credence than when the budg et is imposed fully from the top. Moreover, it is assumed that participative budgeting has a positive effect on the commitment of the division managers who have to realize the budget later on. The impediment of budget targets It is necessary to think about guidelines regarding the degree of difficulty in realizing the budgets (goal difficulty). Certain companies have a policy of pragmatic budgets, where the budget objective will be accepted if it most probably can be reached.Other 166 ? The Integrated Performance Management Framework companies prefer challenging budgets, where top management expects the division managers to work very hard. The basic assumption behind challenging budgets is that managers can always achieve more with their team than they think they can. The task of top management is to stimulate managers to try to excel themselves over and over again. In this situation, managers who submit realistic budgets are evaluated poorly beforehand and a more challenging budg et is imposed on them from the top.Whatever the budget philosophy, a budget can be accepted if it holds sufficient task content, i. e. , if the team in the department will have to exert a lot of effort to realize the budget. As a general rule, the set targets ought to be realistic but challenging. This performer that they may not be set unattainably high, which results in frustration and manipulation of data, but they may also not be to a fault easily achievable, because then most of the performance stimulus disappears. Tolerance for budget slack It should also be verified whether or not the budget is too pessimistic.Some managers may be inclined to build a certain slack into their budget. The phenomenon of budget slack occurs when a manager submits a budget in which a certain buffer is built in so that the budget objectives are relatively easy to reach. Indeed, in a participative budgeting process the tendency might exist to ask more than one strictly needs to cover oneself aga inst unforeseen circumstances or out of apprehension that top management will reduce the budget by a certain amount.For example, if the purchasing department fears that it will no longer be able to buy raw materials at the prices that were budgeted in the past, it can ask for extra means for this part of the budget. It can also be that managers prefer not to set the budget standards too high in companies where their subventiones are calculated on the degree to which they have reached their budget objectives. In all these cases, the general interests of the company are not respected because, by build in budget slack, the company funds are not optimally allocated.Fairness in budget target setting When assessing the budget, one should verify whether the task content of the budgets of the various departments are of equal value. The budget negotiation process is not only a vertical negotiation process in the organization, it is also a process of comparing the planned efforts of the va rious departments. fighting(a) managers, who always work with challenging budget objectives, may become demotivated when they discover that other departments are tolerated when they exert less(prenominal) effort (i. e. , make less profit or be less productive).However, equally balancing the task content of the budgets of the various departments presents difficulties because the management problems may differ widely per department (e. g. , different management functions, product groups, markets, etc. ) and the concept task content is difficult to measure objectively. The task content of a budget depends on the experience of the manager and his or her team. There is also a certain Integrated Performance Management through Effective Management Control ? 167 psychological insight involved here.Some managers, along with their teams, feel more apace swamped with work than others. In any case, clear imbalances in the performances of the various departments need to be eliminated as quickl y as possible. For instance, in a profit centre structure, where all divisions are making profits and a certain division is constantly in the red, a thorough restructuring plan must be set up in the short run to make the department profit-making as fast as possible. Tightness of budget control With regard to following up the budget, a choice can be made between ridiculous and loose control.The pie-eyedness of the control is determined by the degree to which restrictions are imposed on the freedom of subordinates and fury is placed on reaching the predefined objectives. In most cases, it is assumed that tight control provides more certainty that the people in the organization will act as is expected of them. This can be done by determining the activities in detail, by following up very accurately the results of the departments, and by exerting pressure on the responsible managers to adjust quickly potentially adverse anomalies. With tight budget control, it is frequently (e. g. m onthly) verified whether the real costs and revenues are in accordance with the planned short-term objectives. Undesired anomalies in the budget are not tolerated and must be eliminated quickly. The advantage of tight control is that managers become more aware of the importance of costs and profitability, and they actively seek ways to eliminate inefficiencies. However, tight control may also have undesired dysfunctional effects. Focusing on short-term results too intently may encourage managers to organize actions that optimize profitability in the short term, but that are disadvantageous in the long term.For example, in order to reach its budget figures, the purchasing department may check to buy cheaper, but qualitatively inferior, raw materials. However, this may lead to significant quality problems in production and possibly to lower quality end products, which result in losing the goodwill of the customers. When the emphasis is primarily on reaching budget objectives in the s hort term, managers may also not be motivated to make the strategic investments that are necessary for the long-term endurance of the company.Moreover, excessively tight budget control may lead to mental synthesis in slack when setting up the budget objectives or to compete accounting tricks to artificially boost the short-term results. On the contrary, with loose budget control deviations from the budget that arise in between are unmarked by top management, and there is a trust that potentially unfavourable anomalies will be eliminated by the divisional managers at the end of the budget period. The budget is used more for communication and planning, and there is less pressure to undertake immediate short-term actions to adjust the results.The use of budget performance in rewarding managers When setting up the budget, for managers of responsibility centres it is required that the 168 ? The Integrated Performance Management Framework proposed objectives be realized (although we k now some companies that start paying bonuses when only 80 per cent and even 60 per cent of the budget target is realized). At the end of the year, the actual results are compared to the planned objectives and are further analysed by means of variance analysis.In this way, the budget is an ideal basis for evaluating the performances of the responsible managers. Managers who succeed in realizing the proposed objectives must be rewarded for their good performance. This reward may be of a financial reputation (e. g. , bonus, salary increase or other financial advantages), but the reward may also be more focused on non-financial motivators, such as promotion, extension of responsibilities and recognition. A bonus for performance relative to the budget can be determined indispensablely or by formula.To be effective, the reward system must be designed in such a way that it optimally motivates the managers to act in accordance with the corporate goals and strategies. Optimizing manageme nt control process policies A management control process (and more specifically, the budgeting process) is effective when it motivates managers on the various levels of the organization to perform actions in line with the organizational goals and strategies. From contingency research on management control, evidence suggests links between strategy and the characteristics of the management control process.Defenders, and companies with conservative, cost leading strategies, find cost control and specific operating goals and budgets more appropriate than entrepreneurs, prospectors and companies with product differentiation strategies (Simons, 1987 Dent, 1990 Chenhall and Morris, 1995). Chenhall and Morris (1995) have found that tight control is capable for conservative strategies they also found tight control in entrepreneurial situations but, importantly, operating together with organic decision ports and communications.Some research has been focused on the relationship between the chosen competitive strategy and the management control process. Differentiation strategies are associated with a de-emphasis on budgetary goals for performance evaluation (Govindarajan, 1988). Govindarajan and Fisher (1990) found that product differentiation with high sharing of resources (between functional departments) and a reliance on behavioural control was associated with enhanced effectiveness.Bruggeman and Van der Stede (1993) found that business units implementing differentiation strategies based on a make-to-order strategy preferred loose control in budgeting, while business units with a cost leader strategy or a differentiation strategy based on standard products found tight budget control more suitable. They also found that bottom-up budgeting and a commitment to budget targets was considered optimal for all competitive strategies. Overall, Van der Stede Integrated Performance Management through Effective Management Control ? 169 2000) has shown that product differentia tion strategies are associated with less rigid budgetary control, but this is also associated with increased budgetary slack. It has also been suggested that bonus systems must be suited to the strategy. Anthony and Govindarajan (1995) suggest that formula-based bonus determination approaches should be used with a harvest strategy and that subjective bonus determination is optimal for build strategies. Contingency research has also found relationships between characteristics of the management control process and the level of uncertainty in the environment.Companies operating in an environment of unpredictable change require an appropriate set of control process characteristics. Uncertainty has been related to performance evaluation characterized by a more subjective evaluation style (Govindarajan, 1984 Moores and Sharma, 1998), less reliance on incentive-based pay (Bloom, 1998), non-accounting style of performance evaluation (Ross, 1995), and participative budgeting (Govindarajan, 1 986). As environmental uncertainty increases, using more participative budgeting increases performance. In contrast, when environmental uncertainty is low, participative budgeting ecreases performance. In situations where environments are stable and predictable, there is little informational benefit from participation because superiors have sufficient information to develop budgets. Companies may also operate in a hostile, difficult environment. This is an environment that is stressful, dominating and restrictive. environmental hostility has been associated with a strong emphasis on meeting budgets (Otley, 1978). aggressiveness from intense competition has been related to a reliance on formal control and sophisticated accounting, production and statistical control (Khandwalla, 1972 Imoisili, 1985).The optimization of target-setting approaches seems to be related to task complexity. Locke and Latham (1990) found that difficult goals lead to higher performance, but this effect is mod erated by task complexity. The result leads us to expect that performance will be higher when managers are invited to work towards challenging targets, take out when the performance task is too complex. The appropriateness of bottom-up budgeting has been associated with information asymmetry between superiors and subordinate managers (Shields and Young, 1993).When subordinates have much better information about their business than their superiors do, bottom-up budgeting leads to more accurate budgets, arising from the use of the subordinates better information. When top-down budgeting is used in the case of high information asymmetry, subordinates may rule in the budget because it is not consistent with their information. Top-down budgeting is beneficial in situations where superiors have sufficient knowledge about the subordinates activities being budgeted. one hundred seventy ? The Integrated Performance Management FrameworkThe role of beliefs systems The management control cult ure is the third and final part of the management control system. Managers behaviours and actions are not only influenced by structural and procedural elements, but also by the formal beliefs systems in the organization. Simons defines beliefs systems as the explicit set of organizational definitions that fourth-year managers communicate formally and reinforce systematically to provide basic values, purpose, and direction for the organization (Simons, 1995 34).Beliefs systems are an important element of an organizations corporate culture. The corporate culture is the set of values, beliefs and norms of behaviour shared by members of a firm that influences individual employee preferences and behaviours (Besanko et al. , 2000). Ouchi (1980, 1981 Ouchi and Johnson, 1978) considers culture as an alternative control system in the organization. He introduces the idea of clan control, by which he means control through an internal system of organizational norms and values. Culture influenc es the behaviour of individuals.Individuals who value belonging to the culture will align their individual goals and behaviours to those of the firm and pay more attention to selfcontrol. A culture that is intensively held by most employees is called a strong culture. Culture can support a companys competitive advantage (Barney, 1986). It is supportive when the values espoused by the culture are very much in line with the chosen direction and the performance objectives of the firm (e. g. , a company with a product leadership strategy where all employees love to change things and learn from new experiences).In this case, we talk about a high performance culture. In other words, the culture is clearly aligned with the strategy of the firm. Of course, the opposite also holds. If there is a cultural misfit, culture can also be a source of persistently poor performance. This occurs when the values underlying the firms culture are in conflict with the chosen strategic direction. For examp le, a culture stressing efficiency, stability and routine behaviour will not support the implementation of a flexibility strategy. In this case, culture may be a barrier to change and managers will experience a low performance culture.So, it is important that the majority of the employees believe what top management believes. It is the task of management control to define a set of common beliefs. It frequently happens that top managers have explicitly expressed the vision, the mission, the goals, the key values and the strategies of the firm, but lower-level managers and employees do not share the underlying beliefs. Goal statements about creating shareholder value are experienced as guanine terminology when employees do not feel the passion of working on value-creating projects.A strategy of highquality products will not succeed if all employees are not convinced that they should work to zero defect and do their work right the first time. Many flexibility strategies fail because p eople do not like to change their Integrated Performance Management through Effective Management Control ? 171 Figure 9. 4 The origins of unhealthy corporate cultures Source Kotter and Heskett (1992 145) 172 ? The Integrated Performance Management Framework plans. In general, successful strategy implementation needs beliefs systems supporting the chosen strategy.The beliefs of employees and managers may be hard to change, but they can be influenced by training sessions, by inspiring leadership, and by demonstrating the success of the new strategy and successful strategic projects. John Kotter and James Heskett (1992) have written a book about corporate culture and performance in which they propose a bit-by-bit approach to the creation of a high-performance culture and focus on the origins of healthy and unhealthy corporate cultures. Their ideas are presented in Figure 9. 4 and Figure 9. 5. Figure 9. 5 The creation of a performance-enhancing culture Source Kotter and Heskett (1992 147)Integrated Performance Management through Effective Management Control ? 173 final stage Control and evaluation is the fourth component of our Integrated Performance Management Framework. In this chapter, we have shown the important role of management control for strategy implementation and for performance management. Developing an appropriate management control system is a prerequisite for effectively managing an organization. On a broader level, Simons (1995) has shown that control of business strategy is achieved by integrating four levers of control.These levers create tension between creative innovation (emergent strategies) and predictable goal movement (intended strategies). This proves the crucial role of control in the strategy implementation and performance management process. We then focused our attention on the three basic elements of the management control system (1) the management control structure (2) the management control process and (3) the beliefs systems. We have analysed optimal management control structures and processes from a goal congruence perspective.That is, we have investigated how to design a management control structure and process that maximally stimulates goal-oriented behaviour and leads to minimal dysfunctional behaviour. Attention is also remunerative to how strategy affects the choice for a particular management control system. It is clear that management control also interacts with the organizational behaviour component. From Chapter 10 on, we investigate this fifth component in greater detail. Note 1 Business conduct boundaries are those that define and communicate standards of business conduct for all employees.Like the Ten Commandments, they specify actions that are forbidden. Internal controls are the policies and procedures designed to image reliable accounting information and safeguard company assets. Strategic boundaries define what types of business opportunity should be avoided, thereby drawing a street co rner around the opportunities that individuals are encouraged to exploit. Strategic boundaries are installed to ensure that individuals throughout the organization are engaged in activities that support the basic strategy of the business (Simons, 2000 289).

Our Casuarina Tree Essay

Our Casuarina Tree is a poem by Toru Dutt, an Indian poet. The poem gives an objective description of the maneuver and the charm associated with poets childhood. It begins with an sum up of the giant shoetree with a creeper wrapped around it uniform a huge python. It is the centre of busy life of birds and beasts. The tree is portrayed as grand and charming. It has become dear to the poet because of the memories that surround it memories of a clipping when happy children played under its shade. The thought brings out an intense hunger for the playmates, who are now no more alive.For their sake, the tree has become a symbol of their retention. The tree is an graven image memory of the poets joyous past which the evil waves of metre had swept away. The last stanza unfolds a desire of the poet for the immortality of the tree whitethorn Love defend thee from Oblivions curse. In the poem the poet celebrates the dish antenna and the majesty of the tree. She uses the medium of the tree to receive her memories of the past. The poet attempts to recapture the happy time of her childhood in the company of her siblings Abju and Aru.She immortalises those glorious moments of happiness by recalling the memory of the tree. The emphasis goes beyond that one tree. In this poem, the poet delicately recaptures the past and binds it to her present. The tree has been made immortal by Toru dutt. The first two stanzas scrutinize the tree objectively. The following two subjectively analyses its relation with the poetess own state of being. It connects the immortal tree to the mortal siblings, and thereby renders them immortal.

Leo Burnett Company LTD Essay

king of beasts Burnett is an advertising agency that was founded in 1935 in Chicago. one and however(a) of their clients is Ontann Beauty C atomic number 18 (OBC), which is a leading spheric manu positionurer of health and beauty care products. OBC has been awarding Leo Burnetts (LB) its business for many years. OBC has been a client of LBs Toronto and capital of the United Kingdom offices since 1958 and mid-1970, respectively. OBC has centralized its international marketing campaign for a given brand and creates the confabulation materials as guides for topical anesthetic offices to follow. Local offices are then trus dickensrthy for adapting these raw worldwide materials and divulgeing local below the line materials. LB in any case centralized its decision making to better service it authoritative client. In 1998, OBC presented a advanced skin care line that would range a rapid growing population of consumer over the age of 50. This new skin care line would be calle d forevermore one-year-old, and was more(prenominal) expensive than other OBC skin care products. OBC awarded its advertising and brand communication to LB. Mirroring the global OBC squad structure LB global brand police squad remained in capital of the United Kingdom and formed planet police squads in Toronto and Taiwan. The Taiwanese team up would receive the creative templates from the LB global team and would adapt for the local market. In addition, they would shed to adapt the television ads and retake photos for the ingrain ads with an Asiatic model. The Toronto team would use English television ads and print advertising for the Canadian market. Furthermore, they would produce direct marketing and Web site materials.In short, the Toronto group had less autonomy, and was not able to adapt to the Canadian market. The results showed the Forever Young launch in Taiwan was achieverful. While the results of the launch in Canada was below action standards, in spite of th e success of the isolated pre-launch test. Furthermore, LBs future business with OBC was now in jeopardy and tension embossed within LB to modify the OBC brand in the Canadian market. One of the first contri thating movers is the idea of Pluralism of Cultures vs. Cultural Pluralism. What should a firm allowance attention to The unique cultural characteristics of Canada or the variety of cultures within Canada? In my opinion, cultural pluralism is a contri plainlying factor in the lack of success of the launch. Canada has many different cultures within its estate. When LB decided to use the data from a small town in the interior of Britishcapital of South Carolina to make a general assumption about the entire nation of Canada they should amaze known that one area should not be the gritty print for an entire nation. The product trail and product sales moguled long hundred against its objective, which had a base index of 100. This is a successful result, but that is only(pren ominal) one area in Canada.For example, Canada is known for having a French and British influence in different areas. Canadian also has many Ameri fire cultural norms. The Canadian launch indexed 50 against a base index of 100, which is not a surprising result considering the fact that LB only tested one area of Canada. Next, we have the idea of a global mindset. LB had their global team headquarters for the project in London. The suit for this was because London had experience in leading global business teams and it was finisher to OBCs global team. When dealing with Canada, LB London wanted to vex English record television ads & print ads in the Canadian market. At the same time, LB allowed Taiwan to exercise autonomy. This proved to be washed-up for the Canadian market, and successful for the Taiwanese market.The reason for this is the idea that there require to be shared views when it comes to pretending globally and locally. The ads being run in Taiwan were adapted to in clude a popular Asian actress, and this also allowed the product to show how effective it was on Asian skin. Taiwan is a successful example of incorporating local and global thinking. In Canada, ads featured a blond Caucasian actress as the lead in television and print ads. The Toronto team was not able to adapt the ads as they best adopt fit. The Canadian culture may not accept the ad because it was filmed under London assumptions and values. It did not take into consideration Canadian values. Specifically, Canadian consumers perceived the ads as violent. The case does not specify why it was considered violent, but if LB London allowed local thinking that situation might have been avoid.Another factor that contributed greatly to the events that occurred is culturally mediated cognitions in communication. parley was very difficult in many cases for both LB Toronto and London. Teams relied more and more on e-mails and earpiece calls. Although emailing is quick and easy to create, this does not help develop relationships, which does not build trust between parties involved. Also, Meta communication is not involved, which tramp be important in different cultures. For example, in an email youare not able to hear the tone of a voice or the facial expression of the person sending the email. Speaking on the address has similar weaknesses, which include not being able to visually count the person reactions. Lastly, videoconferences are personable, but may not be as convenient. This was apparent in the presentation of a creative concept to the London team which took 45 minutes and lead to frustration.The last contributing factor was poor management of global teams. One of the main problems was the inability to extend instanter to Carmichael. LB Toronto wound have to receive Annabel Forin, and then she would come across Carmichaels. Geoff spoke about the challenges he faced when working with someone elses art direction by stating, This would be easier if I co uld connect right away with Annabelle, but shes on the road so much of the time its hard to catch her. Lastly, referring to Toronto and Taiwan as a satellite may lower morale of employees because they may feel as though they are not as important as the headquarters in London. Lastly, the inability to manage global teams lead to extremely tight timeframes because the devil teams would not be able to communicate effectively their desires leading to reiterate changes in materials.My first recommendation is the ability to allow LB Toronto to think locally. To achieve this LB London should produce a creative template for a brand, but allow the Toronto team the adapt for the local market. The Toronto team knows whats best, and has in-depth knowledge in their local market. The only problem that Carmichael sees with this is the fact that appoint executives have departed and that giving autonomy to an inexperienced team may not be a good idea, but I feel as though LB Toronto has a better clasp of the local market than LB London even with the absence of key figures. By allowing Toronto to have more autonomy this well also strike the amount of interaction between London and Toronto because they are not using LB Londons work so the need for eternal clarification will not be necessary. My Second recommendation is to improve marketing research on countries that LB plans to enter. The prelaunch test of British capital of South Carolina was not enough to make an assumption of the entire Canadian nation. Leo Burnett needs to ensure that they are identifying the different cultures and testing doescultures.Once they have ample research on a particular company they can then enter the market. For example, if they enter US market it is important to cognise that different areas of the country might value skin care products differently. In New York City skin care product may be popular, but in Seattle it may not be as popular. If emails and phone calls are still used there m ay be an untoward outcome between the culturally mediated cognitions in communication of two parties. With that being said, my third recommendation is to have a quick and wide preparation session to better understand how to effectively collaborate with other foreign team. By learning the culturally mediated cognitions in communication and communication protocol it will assist when two teams need to peach with each other on the phone or through email.The training sessions will include guidelines for communicating, and how to efficiently communicate your message to another countries team. Lastly, I recommend a better means of communication within LB through a better management of a virtual global teams. As mentioned before communication seemed very difficult especially for Geoff and Cathy Lee. rideting a hold of Carmichael was very inconvenient since they needed to first contact Annabel Forin. LB needs to create a better communication apparatus so that a team member can commun icate directly with their supervisors, or their supervisors supervisor. This will allow members of team to get answers more efficiently instead of not receiving a response.The launch of Forever Young proved to be a challenge for Leo Burnett, but with the implementations of my recommendations we can insure that the losses we face in Canada are neer faced again.

Audie Murphy

World War two was the greatest of exclusively wars of all time fought on this earth, with millions of men from every corner of the planet fighting for the arrive that they felt right. Out of all of these men from this war and arguably whatsoever war audio recording Murphy is the greatest. Born the seventh bulge out of dozen children to a sharecropping family on June 20th 1924, all audio wanted to do in life was to be somebody (Gale). To do this speech sound had to fight against the odds his entire life on to his way to becoming one of Americas almost recognized and cherished people during and later on the War.One of the reasons Audio was such an paradigm to the rest of America, is be nonplus at the decease of the day he was Just an characterless boy. Even before the war, at the age fifteen in 1939 Audio dropped out of school to help support his family. The year after that his fix left his family making him the man of the house, only to have his mother intermit when h e was seventeen in 1941. These events would cause most men to violate but this Just drove Audio into trying to help the cause at war, to make himself somebody.At offset he did not succeed in enlisting being only five foot five inches and a hundred and twelve mounds none of the branches of the armed forces would accept him. Eventually on the 30th of June 1942 the US Army accepted him, placing him in company B, world-class battalion, and 15th infantry regiment of the 3rd division. After extensive planning in Africa he was in part of the invasion of Italy, after his low contact with the enemy he said Ten seconds after the first shot was fired at me by an enemy soldier, combat was no longer glamorous, Then later saying But it was important, because all of a sudden I wanted very much to stay unrecorded (Gale).This represents very well of how Americas youth, though ready felt with their first attempt of war. Out of all the times that Audio went above the call in which he was asked to during his time at war, at that place were two instances in which he proved to everyone that he was a hero. The first instance happened when his company do their way north the eastern border of France during operation dragoon (Biography). at that place was a hilltop dotted with German machine gun and sniper come near he single handedly worked his way up the hill taking them out (Gale). In the midst of this his friend, Lattice Tiptop Joined him in the assault.The Germans at this point acted like they surrendered, with this Lattice stood up then was shot from the untruth Germans (Biography). Seeing his friend getting shot, after being lied too, Audio went on a rampage taking out the remaining go up using the German guns and grenades (Gale). For this Audio was given the second highest award for valor, the marvelous Service Cross, and for his next act of valor he is awarded the Congressional thenar of Honor. Audio received the highest of all medals in woods in France. It al l began when his B Company was ambushed by six German tanks and infantry.He then held mark to call in artillery while his troops retreated to the wood lines safety. He then headed too tank destroyer that was already chalk up and mounted to 50 Caliber gun, proceeding to mow down the Germans infantry. He was exposed on three sides but with deadly accurate shots he kept off all the advancing troops. Artillery then came in with deadly effectiveness, a squad of Germans tried to sneak up on Murphy but when they were within ten yards they were taken out. He was blast in the leg but fired till the ammwholeion was gone, strip back to the wood effective and drove the remaining Germans out.Audio at the end of it all saved his men and took fifty German soldiers in the fighting (Honors). After the Germans surrender to the allied forces, Audio returned home to America. He was paraded somewhat for being a hero of war and was put on the bandaging of Life on July 16, 1945. After seeing this p hoto actor crowd Chaney asked Murphy if he would try a career in Hollywood. He started doing small movies and wrote a book about his stories in the European campaigns To quarry and Back. The post war America loved this book became a subject area bestseller and later a movie in which he starred in (Biography).In conclusion Audio Murphy was perhaps the most import unit during the entire war. He killed two-hundred and forty enemies in the process of saving his men. He is the most decorated person in history with thirty-three medals, of them there are three Purple Hearts and French Crosses of War, a silver gray Star, Distinguished Service Star, and a Congressional Medal of Honor. Through Audio Murphys heroic acts of selflessness and by keeping his head level in horrific situations, he became one of Americas most loved people during and after the war. Work Cited Audio Murphy.

Saudi Arabian Cultural Mission

This proposal provides insights on the challenges that the Saudi Arabian Cultural Mission, the agency that assists in the administration of policies and programs that enable students learning in the United States (US) to meet their need pertaining to education and culture, and mediates between educational institutions in the US and the other branches establish in Saudi as well as the predicament that Saudi students studying in the US under the Saudi governments sponsorship are facing, which the researcher deems to be primarily.A consequence of the agencys tribulation to provide adequate solutions and the resulting students powerlessness to raise their concerns to appropriate authorities.An intensive literary productions review on materials that reflect the interdependence of the Arabian cultural complaint and the Saudi students it serves in the United States was conducted to gather pertinent information for this study. cultivation gathered revealed that the major concerns of t he students namely1) inadequacy in language growth due to inappropriate language education curriculum2) cultural unlikeness resulting to isolation and formation of cliques3) delay in defraying teach fees resulting to a proceeds of late registration and, in austere cases, to students having to drop off from school4) the agencys reluctance in assisting students to acquire relevant in-migration documents and5) the breathing inappropriate matching system that determines students eligibility to be accepted to trustworthy courses they intend to apply for are primarily caused by the agencys current programs inadequacy to respond to the needs of their clientele.Recommendations presented propose reasonable modifications to the existing practices carried on by the agency which if ever adopted are deemed to alter the current state of interdependency between the cultural mission and the Saudi students studying under the government sponsorship in the United States.

Abercrombie & FItch vs American Eagle Essay

INTRODUCTIONFashion may be defined as a way of living, decorating, etc., which is popular today, but will soon abide their popularity. It is something passing and temporary, a simple craze of the moment to be looked see upon with dislike. For example, tight pants atomic number 18 the fashion today, but altogether a short while ago handsome loose pants were the effectuate of the day. If today a man appears in society wearing broad pants, he would be held up to ridicule, but only a a few(prenominal) years ago they were the height of fashion, symbols of good taste and culture. Ameri earth-closet shoot Outfitters (AEO) and Abercrombie & wood pussy (A&F) are dickens companies that play a major voice in the clothing industry. The following discussion with compare and contrast the warring advantages of the supply chain of the two companies.COMPANY HISTORYAEOAmerican bird of Jove Outfitters, Inc., a billion dollar corporation, is ranked as 1 of the largest sell chains in Amer ica. With their central collective headquarters in Pittsburg, Pennsylvania, and two other corporate facilities hardened in New York City and Tokyo, Japan, American bird of Jove, Inc. operates numerous mainline stores, pulverisation stores, franchised stores, and distribution circle rounds across the country and the globe.In 1977, brothers, Jerry and Mark Silverman, who owned and operated Silvermans Menswear, a Retail Ventures, Inc. connection, founded American double birdie Outfitters. Opening their first store in Novi, Michigan at cardinal Oaks Mall, the Silverman brothers were hoping to diversify their menswear line (AEO watchfulness Co., 2013). Several stores were undefendcapable up and a catalog was created. American Eagle Outfitters continued to grow into 1990, when Jacob Price excessivelyk oer which led to the introduction of perfunctory, private-label sell for men and women. In 1994, American Eagle Outfitters becamepart of the NASDAQ stock exchange, which enabled the opening of 90 stores the following year (AEO circumspection Co., 2013). In 1996, new executives joined AEO and decided to modify the engineer demo graphicals of the target market and reach more women, as well as digest on those who were between the ages of 18 and 32.Shortly after, American Eagle expand to e-commerce with ae.com. By 2000, American Eagle operated 500 stores and revenues for the participation quintupled to $1 billion. The Canadian market was penetrated in 2001 and in 2003 American Eagle expanded to Hawaii. aery, a chump extension of American Eagle, boil downing on intimates for women, was launched in 2006. a nonher(prenominal) line extension, 77kids, which offered clothing for babies to pre-teen girls and boys, was established online in 2008 and the first 77kids store was opened in 2010. Today, American Eagle Outfitters, Inc. operates all over 1,000 stores, including 911 American Eagle Outfitters stores, 158 Aerie stores, and 21 77Kids stores, 21 of which are franchised around the globe. Additionally, ae.com, which includes links to Aerie and 77kids, reaches 77 countries.American Eagle Outfitters offers apparel, space, and accessories for both men and women. Clothing deal is comprised of denims, sweaters, graphic Ts, fleece and sweatsuithirts, outerwear, tops and shirts, dresses, and skirts. Shoe merchandise includes sneakers, boots, flats, sandals, slippers, clogs, heals, loafers and socks. Accessories merchandise consists of jewelry, hats, sunglasses, scarves, bags, effect and cologne, purses, and wallets. Aerie offers merchandise for college girls that include dorm wear, such as sweats and pajamas, exercise apparel, bras, underwear, accessories, and some personal care items. 77kids offers apparel for infants, children, and preteen girls and boys (AEO Management Co., 2013).A&FAbercrombie & Fitch originated in 1891 as a retail sporting goods store based in New York City. It was known for its full variety of expensive and often exotic sporting equipment and attire, ranging from tennis shoes to elephant guns. For more than half a century, the stores apparel, guns, tackle, and other merchandise were the image of wealth and prestige.When it expanded, the firm confined its new branch stores to downtown areas of large cities and to resort areas. In the early 1970s, Abercrombie & Fitch attempted to let on its client base by adding less-expensive items to its usual stock and by move into the suburbs, where other stores had been building for some time. Although these steps did attract new customers, they came too late Abercrombie & Fitch was in financial trouble and filed for bankruptcy in 1976 after 85 years in business (cyclopedia Britannica Online, 2013). Oshmans fast Goods, Inc. bought the firm in1978. In 1988 Abercrombie & Fitch was bought by The Limited, Inc (Encyclopedia Britannica Online, 2013). Repositi id as the swopmarked casual luxury fault, it became parent to the subsidiary patsys Abercrombie kids, a childrens line launched in 1998 and marketed as Abercrombie Hollister Co., a line for lateer teens launched in 2000 RUEHL No. 925, a line targeting post-graduates launched in 2004 and Gilly Hicks, a womens line launched in 2008. pursuance Abercrombie & Fitchs overhaul, the company received significant criticism for its publicise and its clothing, which were perceived by legion(predicate) as encouraging its target auditory modality to adopt a sexually promiscuous lifestyle (Encyclopedia Britannica Online, 2013).MISSION contentionAEOAmerican Eagle has a clearly defined set of corporate values which guides the actions of employees at all levels of the AE organization PEOPLEThe vitality of our company resides in our people. We collaborate, we engage, we achieve (About.com, 2013). INTEGRITYWe hold ourselves accountable to the highest standards. In the showcase of difficulties and challenges, we dont compromise (About.com, 2013). PASSIONOur passion infuses our actions and p urpose. It transforms stores into places of energy and customer delight (About.com, 2013). INNOVATIONWe operate in a dynamic and warring industry. We continually refine the unique processes that drive our business, and we use insightful enquiry and analysis to balance our instinct and to guide our decisions. Our associates embody entrepreneurial spirit, flummox creative solutions, and initiate change (About.com, 2013). TEAMWORKWe work together listening to one another, reaching consensus and supporting group decisions. We celebrate achievements. Because we respect and trust one another and commit ourselves to our company goals, our teamwork succeeds (About.com, 2013).Additionally American Eagle has a service goal that guides employees in their e rattlingday retailing tasks We respond to the inevitably of our customer and enjoy the satisfaction of a job well do (About.com, 2013). A&FAbercrombie and Fitch focuses upon high-quality merchandise that compliments the casual spotless American lifestyle (About.com, 2013). But beyond that simple mission statement, Abercrombie & Fitch emphasizes its brand vision, brand attributes, and the value of the Abercrombie & Fitch brand, which has been of ultimate importance since chief executive officer Mike Jeffries took on the leadership role. Abercrombie & Fitch has said this active its brand to its stakeholdersThe A&F brand is more authentic and relevant than ever. The brand is our lifestyle, our focusit ensures growth and promises st expertness. A great brand is a center of growth and revenueit represents a relationship with customers. Its not a faddish chip to be cashed in on nearsighted gains. The value of having a great brand is far-reaching and cannot be overstatedits a snowball effect. The A&F label gives us the ability to evolve, creating endless growth opportunities. It helps us attract the brightest, most talented young people from around the country. It attracts millions to our website. It allows for great er profit margins. It lessens the risk of moving on new business concepts. It promotes innovation. It ensures long-term profitability. It adds built-in value to everything we produce. It accelerates growth. It stabilizes. It gives focus and direction. It produces an ruttish response in consumers (About.com, 2013).Comparing these two mission statements, it is clear that American Eagle Outfitters is focused more on just their merchandise, unlike Abercrombie & Fitch. AEO has a passion not only for their brand and employees but their consumers as well. while A&F, is only focused on their brand not on theoperational execution of its employees, or the experience of its customers.This holds true of A&F because recently their CEO, Mike Jeffries, came under fire for reportedly saying they only target to thin and beautiful people which is why they do not sell or make any size over 10 or large for women. Mike Jeffries has said, Thats why we hire better-looking people because good-looking p eople attract other good-looking people, and we insufficiency to market to cool, good-looking people. We dont market to anyone other than that (Walker, 2013). On A&Fs website, they claim to embrace variety show by means ofout the entire organization but what Mike Jeffries has been quoted saying, is contradictory of what the company claims they are nearly.We are committed to embracing the diversity of our associates and management throughout our organization. On the surface, our dedication to maintaining a respective(a) workings and shopping environment can be easily seen by walking through one of our stores, domestically and internationally. More notably, Abercrombie & Fitchs commitment can be seen through our exceptional diversity programs, whether they are internal or external, and the results they yield. Diversity reflects the multidimensional insights we share collectively. Simply put, it is imperative to our growth that we staff our business with diverse talent and run ou r business with an inclusive mindset (Abercrombie & Fitch, 2013).SUPPLY imageAEOAmerican Eagle Outfitters strategy to improve apparel factory working conditions starts with factory inspections based on their Vendor Code of Conduct. They then focus on remediating the issues they find during those inspections, which often includes additional factory training and efficacy building programs (AEO Management Co., 2013).They partner with other brands and retailers, multi-stakeholder organizations, civil society groups, trade unions, governments, and others to better understand and address what is happening in the factories and countries where their clothes are made. By working together, they strive tocollectively develop more sustainable solutions to the problems they find (AEO Management Co., 2013).Finally, they are committed to being obvious about how they are doing. By reporting publicly on their efforts, this is one of the many ways they ensure that they remain focused on their goals , disciplined in their efforts, and accountability for their performance (AEO Management Co., 2013).A&FAbercrombie & Fitch has very tight control over the design and manufacturing of their clothing. To help the company bound control, have higher margins and protect the brand, they design their own ranges which are construct exclusively for A&F.The head office for A&F is located in Ohio and is called The Campus. At this location, there is a center known as the Innovative Design Center. Here, a dedicated team uses over 100 wash, quality assurance, lab and graphic machines (Webb, 2009). They are responsible for merchandise design and development. Design packages were created by the company to reduce the time and speak to of product development (Webb, 2009). These design packages are then given to the vendors.By keeping strict control over design, manufacturing and product development, the company is able to protect the brand from being copied and having the image damaged. By having greater control, it allows A&F to deliver on their promise to the customer and consumer. This in turn creates a relationship based on trust and gives them a agonistic advantage.Again, with Abercrombie & Fitch, they are more focused on keeping control of their brand and image, while American Eagle Outfitters are trying to improve factory conditions for their workers. This once again proves that A&F does not care about their people.CONCLUSIONIn summary, Abercrombie & Fitch and American Eagle Outfitters play a significant role in the clothing industry. While A&Fs practices are somewhat contradictory and outlandish, AEO remains the opposite. A&F needs to take a cue from AEO and focus more on their consumers than just their brand. There is no question why it is that AEO is ranked at 649 on the Fortune 1000 List and A&F is tracking behind them at 651 (Salesforce, 2013).Works CitedAbercrombie & Fitch. (2013). Diversity Commitment. Retrieved from A&F Cares http//www.anfcares.org/diversity /commitment.jsp About.com. (2013). Abercrombie & Fitch Mission Statement. Retrieved from About.com http//retailindustry.about.com/od/retailbestpractices/ig/ social club-Mission-Statements/AbercrombieFitch-Mission-Statement.htm About.com. (2013). American Eagle Company Mission Statement. Retrieved from About.com http//retailindustry.about.com/od/retailbestpractices/ig/Company-Mission-Statements/American-Eagle-Mission-Values.htm AEO Management Co. (2013). AEO History. Retrieved from American Eagle Outfitters http//phx.corporate-ir.net/phoenix.zhtml?c=81256&p=irol-history AEO Management Co. (2013). AEO Supply Chain. Retrieved from American Eagle Outfitters http//www.ae.com/web/corpResp/supply_chain/our_strategy.jsp Encyclopedia Britannica Online. (2013). Abercrombie & Fitch. Retrieved from Encyclopedia Britannica Online http//www.britannica.com/EBchecked/topic/1121/Abercrombie-Fitch Salesforce. (2013). Fortune 1000 Company List. Retrieved from Data.com Connect https//connect.data.com/d irectory/company/fortune/1000 Walker, T. (2013, May 08). Not available in XL. Retrieved from The Indepedent http//www.independent.co.uk/ watchword/uk/home-news/not-available-in-xl-abercrombiefitch-ceo-mike-jeffries-accused-of-only-wanting-thin-and-beautiful-people-8608022.html Webb, B. (2009). Managing the Fashion Brand Case Study Assignment.

World Peace

21st the world is encouraged to recognize that day as a day of quiescence. I think it is quite easy for pot to look at places slightly the world where there is clearly antagonism going on, whether it be the Middle East, Africa, or inner cities in the unite States, and think why cant there simply be placidity. To me calmness is non about looking at places of hostility around the world and saying there must be serenity there. touchable peace around the world begins in spite of appearance you.Check inside and aboveboard answer the oppugns Am I at peace inwardly myself? How do I express and encourage peace in my interactions with others? Many nation if they be honest are not at peace within themselves. They have all(prenominal)owed what is going on their physical world to disturb their peace. With their peace disturbed, they have either consciously or unconsciously disturbed the peace of those around them. I believe we must master peace within ourselves before we can h ope to have authentic peace with anyone else. That is not to say that the two cannot be pursued simultaneously.There are marvellous organizations such as The Center For Non-Violent Communication, that can assist you in twain recognizing the needs both within yourself and others so that you can have dovish win/win conversations even in difficult circumstances. You can in like manner make a conscious choice to release the thoughts, feelings, and beliefs that are responsible for(p) for disturbing your peace, and reprogram your subconscious mind to create peace in your life. In honor of International repose Day 2009, I have created ex affirmations for personal peace within you, and ten affirmations for peace around the world.In a country, Peace is a term that most commonly refers to an absence of aggression, violence or hostility. Peace isnt the absence of violence merely rather the presence of justice. In a society, peace happens when different desires are in one agreement. Pe ace is based on many things, culture, education, family values, experience, & score (to name a few) but the basis is the same-to co-exist without war, killing, & overpowering a fellow being. According to me, Peace is the feeling that alls right with the world.When everyone around me in my family, my fri send away circle and my neighbourhood is happy, eager to love, accept and relate I feel at peace. Also, to me it means following what my heart says and sharing correlative trust and respect for people around me. However, in todays world, peace and harmony face various threats. Terrorism, regional imbalance, economic disparity, and genial inequality are some of the factors which threaten peace today. We all are so engrossed in our busy lifestyles and yet want our lives to be peaceful.We expect that peace to be omnipresent but what we need to encounter is the fact that if we want peace- we have to live peacefully, love everyone, forgive, forget, etc. . Its not enough to stand aroun d asking if world peace will ever happen because that wont do anything. Actions spill the beans louder than any words. If everyone conveys living the peaceful, loving expressive style, things will transfigure. But someone has to start and lead by example.Mahatma Gandhi once said You must be the change you wish to see in the world. We cant rely on anyone else to do this. We have to do these ourselves. Acceptance, compassion, and tolerance are the foundation of peace. Mahatma Gandhi showed that peace ends suffering and oppression, not by warring against an enemy but by bearing witness to wrongs and allowing sympathy and common humanity to do their persevering work. Nelson Mandela and Mother Teresa lived different aspects of peace, which was proven to be a viable way to achieve great things. A Human Approach to World PeaceWhen we rise in the morning and listen to the radio or analyze the newspaper, we are confronted with the same sad news violence, crime, wars, and disasters. I c annot recall a single day without a report of something terrible happening somewhere. eventide in these modern times it is clear that ones precious life is not safe. No former generation has had to experience so much rubber news as we face today this constant awareness of awe and tension should make any sensitive and compassionate person question seriously the progress of our modern world.World peace is an ideal of freedom, peace, and pleasure among and within all nations and/or peoples. World peace is a Utopian idea of planetary non-violence by which nations willingly cooperate, either voluntarily or by virtue of a system of governance that prevents warfare. Although the term is sometimes used to refer to a cessation of all hostility among all individuals, world peace more commonly refers to a permanent end to global and regional wars with future conflicts resolved through nonviolent means.

Non Parametric and Chi-Square Distribution

Individual Paper 3 Non parametric and Chi-squargon distribution apprize Summary I worked for a logistic company. My major responsibility was in charge of the storage and transportation of parts of cars betwixt two atomic design 18as, which are about 1400 miles apart. One of my jobs is collecting the goods from suppliers and arranging the trucks to deliver them. There are five truck drivers, and each of them is assigned to deliver on each weekday throughout a whole year. Before the rake, we will check the superior of the goods and Make sure that there are no damage goods.When arriving at the destination, the staff will check the goods again and record the modify goods that occurred in transit. At the end of every month, we will pay for the compensation correspond to the number of the defective goods. In order to reduce the number of the dishonored goods during the delivery, I want to identify the reasons why they are damaged. In this study, I want to find out that whether s ome drivers are more flat to make the goods damaged during their delivery.Variable to be measured Two variables are to be measured. The first variable is just the five truck drivers, and the second mavin is the quality of the goods after the delivery. Determination of Population Population in this discipline is defined as the all goods delivered from Tianjin area to Guangzhou area. Statistical method To read relationship between the two variables above which are both tokenish in terms of info type, I decide to use Chi-squared streak of a contingency table. Sample SelectionThe information about delivery is recorded in our computer system, including the delivery date, name of the driver, the number of damaged goods and so on. I take out the data about 52 weeks during the previous year and record them into the following table Quality transport Driver Passed Damaged come in Driver A Driver B Driver C Driver D Driver E Total Hypothesis The objective is to des cribe whether there is a relationship between the five drivers and the number of damaged goods.The null hypothesis will touch on that there is no relationship between the two variables H0 The two variables are independent The alternative hypothesis specifies one variable affects the other, expressed as H1 The two variables are dependent Use the formula ?2=i=1k(fi-ei)2ei ? =(r-1) (c-1) which calculates the test statistic. Or use the Excel by importing the data into the function of Data Analysis Plus, Contingency Table. Then I could bear chi-squared Stat, p-value. The number of degrees of freedom v=(r-1)(c-1)=(5-1)(2-1)=4.If I employ a 5% significance level, the rejection region is X2 X2 a, v = X2 . 05, 4 = 9. 49 Comparing the results, if the p-value is great than 9. 49, there is not enough evidence to infer that there is a relationship between the five drivers and the number of damaged goods if the p-value is not great than 9. 49, I can reject the null hypothesis in respect of the alternative, which means there is a relationship between the five drivers and the number of damaged goods. So I can reduce the number of damaged goods through improving the drivers conditions.