Benefits and pitfalls of globalization for business Essay

Benefits and pitfalls of globalization for business - Essay Example Anthony Mcgrew defined globalization as a â€Å"process of deterritorialization – as social, political and economic activities are increasingly stretched across the globe†¦Ã¢â‚¬  (n.d., â€Å"Ch.1: Globalization and global politics†). This comprehensive view gives a glimpse of the trend towards borderless economic societies of the future from the current nation-states based on political considerations. Given the vast differences among the different countries and their peoples in respect of socio-political and economic conditions, this trend gives rise to both promises and pitfalls for the global businesses. Globalization benefits can be expected from cross-fertilization of ideas, access to best available talent/resources, creativity and technological growth arising out of global competition, creation of networks of alliances, etc. while pitfalls include uncertainty of political conditions and economic policies, impact on local industry and employment, fear of dominance etc. (Ali, 2006, pp.78-81, 141-143). Cross-fertilization of ideas occurs when firms come across different ways of solving a problem or completing tasks, which are more cost effective or in identifying newer opportunities and demands. For example, housing shortage in poor countries can give rise to generation of fresh demand and exploitation of newer/locally available materials and methods of construction. Coming to talent, it is noted that many global firms employ foreign nationals at all levels of organizations recognizing merit. Again, global firms like Procter & Gamble compete at global level through heavy investment i n R&D and this in turn creates new technologies and products. Networking is another beneficial aspect of globalization by which global firms and local suppliers join hands to create value for customers. Global firms face uncertainty when political changes occur which may impact international agreements apart from operations. Stability of government policies on investments, employment, profit repatriation etc. is essential for a business to thrive. Competitive politics give rise to issues like job losses, exploitation, dominance, interference etc. Further, events in one country or a region will quickly impact business prospects of global firms in many other countries. For example, the recent downturn in the US economy is impacting firms across Europe and Asia. Given the above analysis, governments, businesses and organizations like WTO are working towards co-operation among nations by promoting democratic governments that respect international laws and strive for the economic prosper ity of their citizens. This means that global businesses take on the responsibility of actively promoting local industry, skills and employment to create a win-win situation. Q.2: Address to shareholders Dear Shareholders, In the competitive world of business, we have to constantly strategize our operations and our decision to invest in Franistan eight years ago was based on sound economic and business principles. That the decision was right is seen in the nearly 19% reduction in cost of manufacture of our products and the more than corresponding increase in the net profits over the last five years. As per our corporate policy, your

Flow chart of the recruitment (top) and selection (bottom) process Assignment

Flow chart of the recruitment (top) and selection (bottom) process - Assignment Example The paper tells that recruitment can be done in two levels i.e. internal recruitment and external recruitment, although they both follow the same generic steps to accomplish the company’s objectives. Internal recruitment involves employment of individuals who have previously worked with the firm and includes processes like transfers, promotions and reinstatement of former employees. On the other hand, external recruitment involves the firm employing individuals who have never worked in the firm again from numerous sources available in the market. Internal recruitment has the advantage of increasing employee productivity since recruits are already aware of internal mechanisms of the firm, and they do not need a long time to readjust after appointment. However, internal recruitments deny the firm the benefits of innovation that come from employing people who are unfamiliar with the firm. Therefore, even firms with robust employee training and development programs should occasion ally do external recruitments to enrich the quality and diversity of its human resources. Selection is the process that follows recruitment and involves the passing of the new recruits through rigorous tests and elimination processes to ensure that the firm employs individuals who are most suited for their jobs. Current and potential requirements of a position must be matched with the candidate that possesses the best knowledge, skill, ability, and other personal characteristics that would enable them to perform one’s duties effectively and efficiently. ... These individuals are more likely to be satisfied with their job, less likely to be absent from duty, and are motivated to do their best for the firm as long as the firm takes care of their welfare (Cooper, Robertson and Tinline, 2003). The selection process takes a considerable period since the firm wants to assess the suitability of the individual; however, it also gives the new employee time to identify the suitability of the firm’s strategic plan to personal objectives. For instance, a suitable candidate would not want to work for a firm that does not reflect their personal values. Therefore, as the firm eliminates recruits who are unsuitable to work in its system, individuals get to choose if they want to work with the firm, ensuring both are sure of the possible consequences of the venture without having to make prior commitments (Cooper, Robertson and Tinline, 2003). Task 2: Catering Manager Job Description Job title: Catering Manager Reporting to: Managing Director Sal ary: ?30,000 per annum Hours: Full time (average 40 hours per week) Location: Greenwich Park, London Purpose of the Position The catering manager will oversee, direct, and organize all the catering functions. They will ensure successful planning and smooth running of events, work with clients to ensure that events are completed successfully, and get feedback from clients for use in future planning processes. Finally, the catering manager will have the duty of ensuring that healthy and productive relationship exists between employees and various product providers. Duties and Responsibilities Responsibility 1: The catering manager should assist clients in arranging their events, and even suggest service providers for other services that the events may

Nature of management and new technology Essay Example | Topics and Well Written Essays - 250 words

Nature of management and new technology - Essay Example To begin with, management has to co-create value with customers (Hill & Jones 2009, p. 96). This is because organizations are existing an age whereby consumers possess considerable information about given products and services. Organizations should utilize this awareness to collaborate with customers on the creation of products. In the current set up, organizations can use various tools in communicating with customers. For instance, the e-mail messaging system is helpful in sending information and receiving immediate feedback In addition, the management will consider an open administration framework. Innovation in communication media has given rise to various tools, which can be employed for correspondence (Arthur 2009, P. 56). This allows the enlargement of departments since it is easy to have correspondence among a large group of people. The management has become more visible to employees, as managements can easily utilize communication applications such as WhatsApp groups in communicating information to a large group of individuals simultaneously. It also becomes easy to immediately receive feedback from a corresponding number of people. More essentially, managements will have to form collaborative partnerships with stakeholders in suppliers in achieving

Financial accounting Essay Example | Topics and Well Written Essays - 1750 words - 2

Financial accounting - Essay Example There has been continued political as well as public pressure to have better regulation standards to ensure that there is economic growth. Scholars affirm that regulation of financial reports should start with solid corporate governance, making sure that the spirit of novelty is not negatively affected (Gibson 2012). Therefore, this paper seeks to offer a rational critical evaluation on financial reporting regulation and whether or not it should be reduced. Research shows that regulation of financial reports can be either right or wrong, depending on the nature of the firm and the extent to which such disclosures are regulated. However, it is evident that there are numerous drawbacks that come with having excessive guidelines; hence, they should be reduced to promote innovation, healthy competition, guarantee fiscal growth, and stability. Regulation is defined as a principle that governs a particular practice or behaviour. Various firms such as Enron have gone bankrupt and have reported failures in accounting because of unethical practices. As a result, most nations have focused on heavily regulating the financial reports and accounts to avoid failures such as those that happened in renowned firms like Lehman Brothers and Parmalat among others. Although regulation of financial reports is important and might appear sound, it should not be excessive as it damages the nation’s spirit of competitive innovation (Unerman &O’Dwyer 2004). Excessive regulation constrains innovation and business practices; hence, regulation of financial reporting should be minimised. It is important to understand that for a nation to be positively impacted by such standards, then, rules ought to start with solid corporate governance. It is the duty of the shareholders as well as the members of the board to examine carefully and e nsure that their firms are led in the right path to realise their goals (Whittington 2006). Encouraging accountability,

Principles of Managing Operations Essay Example | Topics and Well Written Essays - 2250 words

Principles of Managing Operations - Essay Example Galloway defines 'Operations Management' as 'all activities concerned with the deliberate transformation of materials, information or customers' Elaborating his definition he states that 'Operations Management' is "concerned with both the effective and efficient management of any operation." (1998 1-2) Johnston et al define 'Operations Management' as "concerned with the design, planning, control and improvement of an organization's resources and processes to produce goods or services for customers." Thus key management tasks in operations management are designing, planning, controlling, improvement of activities; transforming input resources into goods or services (input-transformation-output); understanding the organisation's strategic intentions and translating them into operations and performance objectives which in turn guide operations decisions about design, planning, control and improvement of operations resources and processes. (1997 15-25) Supermarkets are self-service food stores stocking and selling a variety of goods including groceries, foods, medicines, clothes, alcohol (where permitted) and other household goods. Supermarkets may offer some goods produced by them but more generally they retail products of many manufacturers. They are often chains of stores supplied by the distribution centres of large businesses. Today they offer home deliveries, online transactions, extend their services to credit cards and other financial products (e.g. Tesco in the UK). They operate on the principles of 'economies of scale' because of which they are able to offer products cheap and convenience because they offer a variety of goods and services in one location. While these features are common to all supermarkets, the creativity with which a supermarket market markets its products (or services), establishes its brand equity and ultimately the quality of services it offers lend it the winning edge. 1. Product Design: As we have seen earlier the brand differentiator in the case of supermarkets is their quality of service to customers. In the case of manufactured goods the customer is not involved in the transformation process and the finished product is stocked prior to supply. On the other hand, American Marketing Association defines a "service" as "Activities, benefits or satisfactions, which are offered for sale or provided in connection with sale of goods." (Galloway 1998 1-2) Customer satisfaction in the context of supermarkets is obtained by locating them in their vicinity or offering free home delivery, offering large varieties to suit customer tastes and delight, the ease with which a customer can find or is helped to find his/her requirements, the efficiency with which the customer is serviced, pricing vis--vis competitors and of course underwriting quality of the products sold. It is difficult to define which of these issues appeals to individual customers but to be in business a supermarket has to strike a balance among them. A customer who is not able to find (for e.g.) sugar in a supermarket, a customer who can not find his favourite brand of coffee because the supermarket does not stock it, a customer who does not find a ready attendant to

The Evolution of Capitalism Essay Example | Topics and Well Written Essays - 1000 words

The Evolution of Capitalism - Essay Example Marx and Engels were very critical of capitalism and the methods proposed by Smith. For them capitalism creates class antagonisms and the only solution is to overthrow capitalism. Carnegie like Marx acknowledges class divisions, but views inequality as inevitable and the solution lies in administration of wealth. The aim of this paper is to explore the evolution of capitalism and its impact on society through the works of Smith, Marx and Carnegie. Adam Smith is considered as the father of free market capitalism with the invisible hand controlling the market. Industrialization led to the factory system which changed work patterns. Laborers now produced commodities for exchange in the market with prices determined by forces of demand and supply instead of producing for own use (Sanders et al. 203). Due to lack of other means of obtaining subsistence food and maintaining their race, they offered their labor to factory owners in exchange of wages thus commodifying labor. Division of labo r became the norm in factories leading to labor productivity since workers could produce more products than if acting alone (204). Some operations are more complex than others requiring different skills and as such wages were paid according to level of complexity. Actors in this system are driven by self-interest. In Adam’s words â€Å"it’s not from the benevolence of the butcher, the brewer, or the baker that we expect our dinner, but from their regard to their own interest† (204). By pursuing self-interest (profit) the capitalists provide essential goods and revenue to the community without intending to do so. Though market mechanisms regulate the market, sometimes the employers combine to sink wages below the natural rate (207). Smith condemns such combinations as they hinder competition and same case applies to government interventions. Free trade is encouraged as a nation cannot be self sufficient; it could be cheaper to import than manufacture locally (207 ). Marx agrees with Smith that division of labor leads to improved productivity thus new wealth acquisition and that competition brings market efficiency (214).However, those who produce wealth do not benefit as capitalists accumulate the surplus value. This to Marx is exploitation of labor and also results into two antagonistic classes; the bourgeoisies (capitalists) and proletariat (working class) (216). The discussion during the early 19th century thus moved from discussing the rise of capitalism and centered on the class struggles produced by capitalism. Free trade and competition advocated by Smith only serve to encourage exploitation of workers by the capitalists. If the market is allowed to operate freely, capitalists employ and dismiss labor as they like and offer low wages since they have a reserve army of workers (217). Furthermore, labor has been replaced by machines. The solution offered by Marx and Engels to end class antagonisms is to overthrow capitalism and replace i t with communism. This entails abolishing private property and move from â€Å"each according to his ability; to each according to his needs† (215). Carnegie agrees with Marx that capitalism produces classes as evidenced in America. New classes of the rich and poor emerged with the gap between them widening as rich accumulate more wealth (220). Since competition is healthy and the government ought not to intervene in the market, his main concern is how this wealth

Teams in organizations Essay Example | Topics and Well Written Essays - 250 words

Teams in organizations - Essay Example Cross-functional teams include employees from different work areas who come together to complete a particular task. Such teams are usually effective in bringing people from various specialties and diverse areas together. Virtual teams rely on technology to bring together physically dispersed members to accomplish a task. The technologies allow members to collaborate online even when they are physically separated (Daria, 2015). Teams are important in organizations because they bring together member from diverse backgrounds and experiences hence wider points of view. The diversity in teams enhances decision-making, performance, and productivity. Teamwork ensures that tasks can be done faster and efficiently because many people are involved. However, there are some disadvantages of using teams in organizations. Conflicts may arise within teams because of individual difference and affect the organization. Communication may also be problematic due to diverse backgrounds and experiences of members hence lower productivity. Teams can also suppress individual creativity and thinking. The most effective teams within my organization are the cross-functional and self-managed teams. The diversity within cross-functional teams allows people from diverse specialties to exchange information, develop ideas and solve problems. Such teams are effective because early coordination among various specialties enhances innovation, speed, and quality. According to Kozlowski & Bell (2001), the ability of self-managed teams to work on their own without supervision increases their efficiency (p.