...distinctive mission, vision and value statement. The mission and vision statements are central to the strategic planning process because they provide a company’s reason for existence and what it wishes to achieve. The value statement serves as a moral compass for the company and its staff helping with decision making and forming a standard (SHRM, 2012). Once the mission, vision and value statements are determined we can focus on the next phase of strategic issues that need to be addressed in the planning process. 4. 5. CanGo lacks a defined company culture. While some take their work very seriously, others look at their work as just a job. It is time for CanGo to define their Company Culture. 6. Corrective action II. 7. Having a strong and healthy company culture can create a powerful and long lasting competitive advantage. This kind of advantage is difficult to detect by your competitors, and will become one of the most important motivators in making employees productive (Muratović, 2013). It is also important to note that just defining a company culture is not enough to have your employees adopt it. First, it must be clear to each employee what they are expected to do, and how it will help the company. This is important, as it gives each employee a sense of purpose and pride in what they are doing. Next, define how management...
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...[pic] MGMT 405 Operations and Production Management Answer set 1 (Reference chapters 1 – William J. Stevenson-2007, ninth edition) Discussion Questions 1. What do you understand by the term ‘Operations Management’? ANS: ✓ Operations Management is the management of that part of an organization that is responsible for producing goods and/or services. The management of systems or processes that create goods and/or provide services. i.e. Every book you read, every e-mail you send or every medical treatment you receive involves the operation function of one or more organizations 2. Identify the three major functional areas of business organizations and briefly describe how they interrelate. ANS: ✓ Finance- is responsible for securing financial resources at favourable prices as well as analysing investment proposal and providing funds for marketing and operations. ✓ Marketing is responsible for assessing consumer needs or wants and selling and promoting the organization’s goods and services. ✓ Operations is responsible for producing the goods or providing the services offered by the organization. 3. Describe the nature of operations function. ✓ ANS: The operations function consists of all activities that directly related to producing goods or providing services. It is the core of most business organizations because it is responsible for the creation of organization’s goods or services. Its essence is to add value during...
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...Back to Modern History SourceBook Modern History Sourcebook: Adam Smith: The Wealth of Nations, 1776 An Epitome Book I, Chapter 1. Of the Division of Labor: THE greatest improvement in the productive powers of labor, and the greater part of the skill, dexterity, and judgment with which it is anywhere directed, or applied, seem to have been the effects of the division of labor....To take an example, therefore, the trade of the pin-maker; a workman not educated to this business, nor acquainted with the use of the machinery employed in it, could scarce, perhaps, with his utmost industry, make one pin in a day, and certainly could not make twenty. But in the way in which this business is now carried on, not only the whole work is a peculiar trade, but it is divided into a number of branches, of which the greater part are likewise peculiar trades. One man draws out the wire, another straights it, a third cuts it, a fourth points it, a fifth grinds it at the top for receiving, the head; to make the head requires two or three distinct operations; to put it on is a peculiar business, to whiten the pins is another; it is even a trade by itself to put them into the paper; and the important business of making a pin is, in this manner, divided into about eighteen distinct operations, which, in some factories, are all performed by distinct hands, though in others the same man will sometimes perform two or three of them. I have seen a small manufactory of this kind where ten men only were...
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...Compare the functional structure to that of the divisional structure, including the nature of their design, their respective advantages and disadvantages, and the types of environments in which each might best be used. What role may these factors have had at Citibank in 2009? FUNCTIONAL Nature of Design Functional departmentalization High level of centralization Jobs are narrow and highly specialized Best used for creating specific, uniform products Advantages High efficiency Little redundancy Uniformity of control Simple Inexpensive Allows for rapid decision making Specialization of labor Disadvantages Inflexible Insensitive to subtle differences across products, region and clients Little decision making authority Communication between functional areas may be difficult Forces accountability to the top Minimized career development opportunities Sometimes comes with low employee morale Poor delegation of authority Inadequate panning for products and markets Types of Environments (in which might be used) Best for stable or predictable environments Well suited for organizations with single or dominant core products DIVISIONAL (pp.162-166, Chapter 4 PPT slides and class notes) Nature of Design Workflow departmentalization Decentralized - Low level of centralization Semi-autonomous Advantages Flexible and innovative Sensitive to subtle differences across products, regions and clients Creates career development...
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...Two First, lets discuss what is outsourcing? As found on ivestopedia.com outsourcing is a practice used by different companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally. It is sometimes more affordable to purchase a good from companies with comparative advantages than it is to produce the good internally. In the long-term outsourcing presents cheaper prices on consumer goods, allowing individuals as well as companies to spend money in other ways. Slide Three Many individuals are not aware of the benefits of outsourcing. As seen in this graph from publicagenda.org 69% of Americans believe that outsourcing is bad for the economy where as 17% believes it helps. Slide Four Lets look at the benefits of outsourcing. The first is Cost. In order for companies to remain competitive, they must find the easiest way to reduce costs. Lowering labor costs is just one way of doing this; also boosting efficiency will help cost reduction. “As a result of moving these support jobs oversees, a reduction in cost is seen for the company in the form of lower labor costs. This in turn will lower the cost of the goods and services to you, the consumer, and the company will remain competitive. This need for reduction in prices is consumer-driven.” Slide Five Continuing the discussion of benefits, free trade allows for any country involved to benefit because of comparative advantage. If a certain country can...
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...ITC eChoupal Initiative 1. What was ITC’s motivation for creating the eChoupal IBD as a division of ITC was the agricultural commodities export division and in March 1999 it was clear that it was lagging behind other divisions in the company. What could be done? The main crop that IBD was responsible for was Soybean, one of the causes of the lag behind other divisions was the inefficiencies in the supply chain network of the industry. By creating the eChoupal ITC would attempt to help create a more efficient and profitable supply chain model than the mandi model. 2. What are the old and new physical flows and information flows in the channel? In the Mandi Model: information was available to the farmer by either the government, town centre talk or yesterdays prices from the Mandi. Physcially product was moved from the farm across the region to the Mandi (auction) and then taken to the buyer for either export or processing. In the eChoupal model, an internet capable computer was set up with access to a website that provided industry specific information regarding industry transactions and prices as well as regionalized weather reports and information sharing such as best practices. Physically product was moved from the farm direct to the buyers (ITC) facilities. Farmers could also by product from the ITC through the eChoupal which allowed them to get these items without goiung to town etc. 3. What principles did ITC employ as it built the newly fashioned...
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...CHAPTER 7 IMPLEMENTING STRATEGIES: MANAGEMENT AND OPERATIONS ISSUES CHAPTER OUTLINE | |The Nature of Strategy Implementation | | |Annual Objectives | | |Policies | | |Resource Allocation | | |Managing Conflict | | |Matching Structure with Strategy | | |Restructuring, Reengineering, and E-Engineering | | |Linking Performance and Pay to Strategies | | |Managing Resistance to Change | | |Creating a Strategy-Supportive Culture | | |Production/Operations Concerns When Implementing...
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...gain them though exchange and for a nation, it is to increase the social wealth. Hereby, the way to gain gold and silver is international trade. II. THE DEVELOPMENT PROCESS OF THE THEORIES: 1. CLASSICAL INTERNATIONAL TRADE THEORY In the late 1790s, the point of mercantilism was challenged by the classical economists. Based on criticizing the mercantilism, Adam Smith proposed the division of labor theory. It has been 41 years from Adam Smith proposed the absolute cost in his the Wealth of Nations in 1976 to David Ricardo proposed the comparative cost in his the Principles of Political Economy and Taxation in 1817. This is the foundation period of international trade theory, that is, the Classical period. The absolute cost of Adam Smith is based on the division of labor theory. Adam introduced the division of labor theory to the field of international trade and established his absolute cost theory, thus demonstrating the fact that a nation can make the sources of each country most efficiently used to gain the increase of the total production, the enhance of consumption level and the save of labor time as long as the nation specially produce the products of which its production cost is lower than any other country in order to exchange the products of which the cost is high than any other country with its cost-low products. Adam pointed out that the base of...
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...What are the main advantage and disadvantages of forming an industrial cluster? The main advantages of Industrial cluster are : ● Industry clusters provide production and marketing cost savings to member firms, such as, lower labor costs from sharing a labor pool. ● Industry clusters provide enhanced opportunities for cluster firms to focus on fewer activities and to adopt new production technologies and organizations ● Industry clusters facilitate the development of links, cooperation, and collaboration among area firms, that is, clustering stimulates networking. ● Industry clusters allow communities to focus industrial development programs on the needs of specific industries. * Information spillovers : enterprise can easily learn from other enterprises * Division of labor: they can easily transact intermediate goods and service with each other * Formation of market for special skills : they can easily find workers with desired skills (and such workers can easily find jobs) * Industrial clusters can attract customers * Industrial clusters can attract material suppliers Shortcomings to Industrial Cluster . The principal shortcoming inherent in following such a strategy is that the likelihood of success, for many rural communities, will be small. Industry clusters are difficult to establish for three reasons: ● Communities will have difficulty identifying clusters that best fit their local economies ...
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...parts of the organization, as well as the distribution between the rights and responsibilities. It manifests itself through the division of labor, the creation of specialized units and the hierarchy of positions is a necessary element of an effective organization because gives it the internal stability and allows for some order to the use of resources. Depending on the nature of relationships between different parts of the organization are following types of organizational structures: a linear function, linear function (or staff) who belong to the category of so-called "hard", defined fixity of borders, a set of incoming items, fixed links, the matrix, design, and fragmented adhokraticheskuyu categorized as flexible or adaptive structures that have the ability to easily change and adapt to new tasks and objectives. Lenaynaya management structure - system, which has a higher and some lower courts. With this control system, the principle of unity of command, subordinate only to fulfill orders of one leader, edinonachalnika, which are concentrated in the hands of all management functions. This management structure is logically more coherent, but less flexible. Advantages: the unity and clarity of management, coordination of actions of performers, ease of management, efficiency in decision making, personal responsibility of the head. Disadvantages: high demands on the head, the lack of links to planning and decision making; fixes the relationship between authorities, the concentration...
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...necessary requisites of union avoidance, what went wrong in the process, which resulted to the shutdown of Turomo Philippines? OBJECTIVES * To find out the main reason behind the formation of labor unions in companies. * To find out the lapses of the union avoidance policy * To find out certain actions that could have been implemented in order to avoid the shutdown of the company. SWOT ANALYSIS STRENGTHS * Turomo Philippines was firm and determined in sustaining its no union policy. * Turomo Philippines is already a well instituted company due to its US roots. * Turomo Philippines has initiated and offered a number of benefits to counter the formation of labor unions. * Turomo Philippines was wise enough in covering up the real reason behind the division of the company into two. | WEAKNESSES * Turomo’s implementation of the no-union policy which caused the revolution of their employees. * Turomo failed to hear the cries and grievances of their employees with regards to their implanted policies. * Turomo Philippines abrasive style in the monitoring of their employees created a negative impact to their workers | OPPORTUNITIES * Turomo Philippines is an oligopolistic company in the manufacture of IV Fluids. * Turomo Philippines easily attracts prospective employees to work in their company because of their benefits offered. | THREATS * The threat imposed by the formation of under-the-table labor unions. * Turomo’s firmly stands in their...
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...organization divides its tasks and then coordinates them. It defines the firms’ decision-making authority and serves as the connecting fiber between the company’s strategy and the actions and behaviour of its members. An organization structure designates formal reporting relationships, encompassing the number of levels in the hierarchy and the span of control held by managers and supervisors; identifies groupings of individuals into specific positions, work units, teams, departments, division and others as well as the groupings of these submits into the total organization. Organization structure is reflected in the organization chart. The organization chart is the virtual representation of a whole set of underlying activities and processes in an organization. It can be quite useful in understanding how a company works. It’s also shows the various parts of an organization, how they are interrelated, and how each position and department fits into the whole. The concept of an organization chart – showing what positions exist, how they are grouped, and who reports to whom. Several Dimensions of Organization Structure and Design Chain of Command An unbroken line of authority that links all persons in an organization and shows who reports to whom. It is associated with two underlying principles. Unity of Command – each employee is held accountable to only one supervisor. Scalar Principle –refers to a clearly defined line of authority in the organization that includes all employees...
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...Comparative Advantage and Absolute Advantage ______________________________________________________________________________________________ absolute advantage: A country, individual, or firm has an absolute advantage in producing a good if production of the good absorbs fewer resources (or less time, in the case of an individual) than are required in other countries or by other individuals or firms. comparative advantage: A comparative advantage in producing or selling a good is possessed by an individual or country if they experience the lowest opportunity cost in producing the good. ______________________________________________________________________________________________ Comparative Advantage The division of labor facilitates production of a given good, but how do individuals or groups determine which specific goods or services to produce? The maximum potential gains from trade tend to be realized if you specialize in that activity which you can do at the lowest cost relative to other people’s costs. In 1817, David Ricardo, an influential early economist, focused on international trade when he generalized this idea into an economic law. The law of comparative advantage: Mutually beneficial exchange is possible whenever relative production costs differ prior to trade. This law applies to all exchanges, whether between individuals or nations. Opportunity cost is the key to comparative advantage: Individuals and nations gain by producing goods...
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... lower-level managers have little freedom to make decisions. Although most organizations fall somewhere between these two extremes, there is a pronounced trend toward more and more decentralization. Advantages/Benefits of Decentralization: Decentralization has many advantages/benefits, including: 1. Top management is relieved of much day-to-day problem solving and is left free to concentrate on strategy, on higher level decision making, and coordinating activities. 2. Decentralization provides lower level managers with vital experience in making decisions. Without such experience, they would be ill-prepared to make decisions when they are promoted into higher level positions. 3. Added responsibility and decision making authority often result in increased job satisfaction. Responsibility and the authority, that goes with it makes the job more interesting and provides greater Incentives for people to put out their best efforts. 4. Lower level managers generally have more detailed and up to date information about local conditions than top managers. Therefore the decisions of lower level management are often based on better information. 5. It is difficult to evaluate a manager's performance if the manager is not given much latitude in what he or she can do. Disadvantages of Decentralization:...
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...skills needed in order to succeed in college and/or enter the job market (“High School Teachers”). Responsibility: the state or fact of being responsible. High School teachers have numerous responsibilities, such as creating lesson plans, grading tests, and making sure the appropriate academic lesson is taught each and every day. High school teachers have some responsibilities that teachers at a lower level do not necessarily have. High school educators have the responsibility of helping each and every one of their students prepare educationally for post high school higher education and/or the work force (“High School Teachers”). When entering into the Educational field, one will have a plethora of decisions to make, such as, what grade or age and what subject one would like to teach. Adding to the decisions is if one would like to work at a private or public school. Deciding whether to work at a private or public school is a big decision because public school math teachers must have completed a bachelor's degree program and be licensed by their state while private school math teachers generally need a bachelor's degree, but are not necessarily required to be licensed ("Math Teacher: Education Requirements") The title “high school teacher” is a very general term, as there are a great number of subjects that one entering the field can decide to teach. Focusing on high...
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