INTRODUCTION TO BUSINESS LAW ESSAY

Introduction to Business Law
             Introduction to Business Law

Introduction to Business Law

Order Instructions:

INTRODUCTION TO BUSINESS LAW (200184), SPRING SEMESTER 2015
PROBLEM SOLVING ASSIGNMENT (Assessment 2)

Instructions
This document consists of three (3) pages including this page.
There are three (3) questions and all questions must be answered. This assessment task contributes 30% of your final grade. The questions are not equally weighted. This assessment task is based upon the content covered in Weeks 4 and 5 (Contract law).

Word limit: The word limit for the entire assignment is 1500 words. There is no 10% margin of error on the word limit and you may not use footnotes to get around the word limit (eg, such as by placing extra text in the footnotes – footnotes should be used for the reference only as a general rule, not for added descriptions).

Referencing style: Assignments must be referenced adopting an appropriate business referencing style.
Submission: You must submit your assignment answers in accordance with the procedure outlined in the Learning Guide (i.e., must be submitted through Turnitin). The assignment must be submitted by the due date and time, or late penalties will begin to accumulate until received.

If relevant please review the University Policies on Applications for Extensions and Special Consideration. Please note that if you are applying for an extension or special consideration you MUST ATTACH YOUR WORK DONE on the assignment up to the date of your application. Do not assume your application will be successful. You need to upload your assignment as soon as you are able, to ensure penalties are minimised.

Please do NOT affix an Assignment Cover Sheet to your assignment. Assignment Cover Sheets are automatically built-in to Turnitin.

Do NOT attach a copy of these instructions, or of the questions, as part of your assignment, but number your answers to correspond to the numbered questions.

Marking: The marking criteria and standards are set out in the Learning Guide and will be used when marking and to provide feedback on your assignment. You may find it helpful to consult these while working on your assignment. See the Learning Guide for other information about marking and return of assignments.

SAMPLE ANSWER

INTRODUCTION TO BUSINESS LAW

Question 1

A valid contract should satisfy all legal aspects which include: offer and acceptance, the contractual capacity of the parties, consideration, and legality of the contract.[1] For an offer to be valid, it should be made by the offeror then the offeree should accept it. The parties should have the capacity to enter into contractual agreements in regards to age and sound mind. In addition, there must be consideration in terms of a promise of money for goods or services to be delivered.

A contractual agreement becomes binding when the offeree accepts the offer. An offer must be accepted by the offeree as it is, if anything in regards to the terms of the contract is changed, then it amounts to a counteroffer. An offer is made when the offeror expresses his intention to enter into a contractual agreement on particular terms, with the aim of making the terms presented binding immediately the offeree accepts the terms. There are different forms in which an offer can be communicated such as conduct, email, fax, newspaper, and letter.

Acceptance occurs when the offeree indicates that they are ready to bind themselves to the terms and conditions stipulated in the offer. For the acceptance to be effectual, it must be equivocal, implying that the contractual partners need to accept the terms of the contract as presented. In Powell v Lee (1908) 99 L.T. 284, the court was of the view that communication of acceptance is paramount to the validation of a contract. In the case where acceptance is communicated, but there is no meeting of the minds, then no contract will be deemed to exist.[2] This will be contrary to the mirror image principle which requires the offer to be accepted just as it is. Thus, when the offeree presents different conditions to those presented by the offeror, this amounts to a counteroffer, leading to the nullification of the previous offer. Accordingly, if the offeree accepts the original offer, but with additional qualifications or conditions, this also amounts to a counteroffer and it’s not binding to the other party unless they accept the additional conditions.[3]

In the case scenario, it can be implied from the facts that the parties were in a legal capacity to enter into a contractually binding agreement. Dorothy made an offer to Brian for the sale of her house ‘Gum Leaves’ at a price of $2,000,000. However, Brian’s response was that he would buy the house at $1,500,000 and in four installments over a period of two years. In this case, Brian made a counteroffer. He did not accept the offer as was made by Dorothy. Dorothy’s response to Brian’s counteroffer was in line with the mirror image principle because it was exactly as the original offer made by Brian. She accepted to sell ‘Gum Leaves’ to Brian in four installments as offered by Brian. This created a binding contractual agreement between Dorothy and Brian. The contract came into force the moment Dorothy accepted the counteroffer made by Brian.

With regards to Lionel’s scenario, Lionel also made a counteroffer because he offered to buy the house at $1, 750,000 and not $2,000,000 as originally offered by Dorothy. Dorothy, on the other hand, responded to Lionel by accepting the counteroffer but with an additional condition that the contract could only be binding if it was drawn up in a form that was acceptable to her family solicitors. Thus, there was no valid contract between Lionel and Dorothy, and Lionel was not liable for breach of the contract through his action of revoking the offer. It is possible for an offer to be revoked by the offeror before communication of acceptance.

In conclusion, there is a binding contract between Dorothy and Brian for the sale of “Gum Leaves” at $1,500,000 and in four installments at a period of two years, whereby the failure of Dorothy to fulfill her part of the contract leads to breach of the contract.

Question 2

Under contract law, a contract comes into existence the moment the offeree accepts the terms and conditions of the offer.[4] In the case scenario, an agreement was made between Emily and Rachel for the sale of Fang to Emily for $3,000 in two installments of $1,500 each. A contract is valid if there is consideration between the parties. Consideration refers to the promise to fulfill a particular obligation upon payment of a certain specified sum of money.[5] Rachael gave out her dog to Emily basing on Emily’s promise to pay $3,000. Thus, the two parties entered into a binding contractual relationship, the breach of which leads to legal consequences.

With regards to the issue of whether or not the dog was even tempered, this was not part of the contract in the express sense. Although there are implied terms with regards to merchantability of contractual goods, the issue of a dog’s tempers is tricky because it is not possible to objectively determine Rachael’s liability on the ground that she promised that the dog was even tempered. The objective test for determining the extent to which a contractual term is binding to the party that makes it is based on how a reasonable bystander could interpret the issue of a dog’s tempers. It is likely that when Rachael sold the dog to Emily, it was even tempered. This is because dogs usually change their tempers depending on different circumstances and environments. In addition, Emily had not stipulated such a condition as to temperament during the time at which the parties were entering into the contract. Thus, Emily is still required to fulfill her part of the bargain by paying off the remaining installment of $1,500.

Question 3

This question addresses the issue of avoidance of liability using disclaimers.[6] In general, contract law supports the aspect of freedom in contractual dealings and aims at allowing parties to make their own choices in regards to allocation of the risk associated with the particular contract in which they are entering. Thus, courts basically try to ensure the enforcement of the terms of the contract decided upon by the parties. Section 2-719 of the UCC provides for the freedom of parties to ensure that remedies and consequential damages are limited as much as possible. However, a contract may be invalidated if a clause is found to be unconscionable in the sense that it has elements of one-sidedness, oppression, and harsh agreement.

An exclusion clause can be included in a contract for purposes of putting a limitation on the liability of a party of breach of contract or negligent conduct. However, reliance on such a contract will only be successful if the clause was incorporated into the contract and it can be interpreted to mean that the clause covers the loss in question.

With regards to incorporation, an exclusion clause can be included in a contract through the ‘course of dealing,’ signature or notice. Where a notice is given in regards to the exclusion of liability of a party to the contract, the notice should be made known to the other party. The notice should be displayed at a conspicuous place where the other party can see it and become aware of it before taking up the risk. In addition, if the notice is on a piece of paper, and it is written in small letters to the extent that the other party cannot see, such an exclusion clause is not binding. This is because there is no meeting of the minds between the parties involved in the contract. At least for a contract to be binding to the parties involved, there must be mutual agreement with regards to what these parties are entering into.

In addition, a party cannot avoid liability for gross negligence on the ground that the claimant foresaw the consequences of their actions. The court interprets disclaimers and exclusion clauses in a manner that ensures that they are not one-sided and oppressive to one party. The court’s interpretation aims at determining whether the disclaimer indeed covers the breach that has taken place. The main approach followed by the court is that exclusion of liability only occurs where clear words have been used. This implies that in case of any ambiguities in the disclaimer, the court applies the contra preferentem rule whereby the disclaimer is construed against the party that drafted it.[7] In addition, the court may still hold the party relying on the disclaimer liable where the disclaimer indicates inconsistencies or repugnancy to the major purpose of the contract. Furthermore, under common law, it is not possible for a party to exclude or restrict a fundamental breach in whatever situations because this results into unfairness.[8]

In the case scenario, it is evident the ferry company included a disclaimer on the ticket given to Phillip. Phillip had used the ferry on a previous occasion, but in both instances, he did not see the disclaimer placed on the ticket. Due to the fact that the court will interpret the disclaimer in line with the contra preferentem rule, it will find that the ticket was first written on the reverse side, meaning that it could not be easy for the party purchasing a ticket to see it. In addition, the party purchasing the ticket and reading the disclaimer could imagine that the words “All vehicles and passengers use this ferry at their own risk” were applicable to factors beyond the control of the ferry operators such as force majeure and hardship.[9] However, Phillip lost his car as a result of the negligence of the captain of the ferry. The ferry company cannot claim that the disclaimer covered the breach in question. Thus, the ferry company is still liable for Phillip’s loss.

References

Anson, William Reynell, Jack Beatson, Andrew S. Burrows, and John Cartwright. Anson’s law of contract. Oxford University Press, 2010.

Furmston, Michael Philip, Geoffrey Chevalier Cheshire, and Cecil Herbert Stuart Fifoot. Cheshire, Fifoot and Furmston’s law of contract. Oxford university press, 2012.

Koffman, Laurence, and Elizabeth Macdonald. The law of contract. Oxford University Press, 2010.

Lopez v. Charles Schwab & Co., Inc.118 Cal. App. 4th 1224 (2004).

McKendrick, Ewan. Contract law: text, cases, and materials. Oxford University Press, 2014.

Perillo, Joseph M., and John D. Calamari. Calamari and Perillo on contracts. West Academic, 2009.Treitel, Guenter Heinz. The law of contract. Sweet & Maxwell, 2003.

Powell v Lee (1908) 99 L.T. 284.

Schot, Natasha. “Negligent liability in sport.” (2005).

Smith, Stephen A., and Patrick S. Atiyah. Atiyah’s Introduction to the Law of Contract. Oxford University Press, 2006.

Uniform Commercial Code (UCC).

[1] Anson, William Reynell, Jack Beatson, Andrew S. Burrows, and John Cartwright. Anson’s law of contract. Oxford University Press, 2010.

[2] Furmston, Michael Philip, Geoffrey Chevalier Cheshire, and Cecil Herbert Stuart Fifoot. Cheshire, Fifoot and Furmston’s law of contract. Oxford university press, 2012.

[3]  Uniform Commercial Code (UCC) Sec. 2-207

[4] Lopez v. Charles Schwab & Co., Inc.118 Cal. App. 4th 1224 (2004).

[5]Smith, Stephen A., and Patrick S. Atiyah. Atiyah’s Introduction to the Law of Contract. Oxford University Press, 2006.

[6] Perillo, Joseph M., and John D. Calamari. Calamari and Perillo on contracts. West Academic, 2009.Treitel, Guenter Heinz. The law of contract. Sweet & Maxwell, 2003.

[7] Koffman, Laurence, and Elizabeth Macdonald. The law of contract. Oxford University Press, 2010.

[8] McKendrick, Ewan. Contract law: text, cases, and materials. Oxford University Press, 2014.

[9] Schot, Natasha. “Negligent liability in sport.” (2005).

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Reflection on Business Law Essay Paper

Reflection on Business Law
            Reflection on Business Law

Reflection on Business Law

Order Instructions:

I would send the assignment by email.

SAMPLE ANSWER

Reflection on Business Law

Unit 1: Judicial Concepts

The law in business is also an essential element that provides a critical understanding of the business environment in which an organization operates and generally impacts the commercial transactions of an entity. The law therefore ensures that considerations are given on an aspect that deals with an organizations contracts, partnerships, taxations, torts, intellectual properties, consumer protection including international trade. An instance of this can be depicted in an event that a corporation is entering into a joint venture. The law comes in place to institute the functions of the venture.

Court decisions in relation to law also have an impact on the policies and the legislative executive actions that may influence the operations of businesses within a given environment. The state decisions in which businesses are expected to abide by can influence the decisions of a business venture operating in different countries. For instance, the Virgin Atlantic in opening its operations in the Asian countries need to abide by the air regulatory laws that govern the region. These factors therefore may force the airline to limit some of its operations to meet the regulations of the market.

Unit 2: Basics of Contract Law: Formation, Breach, and Remedies

A contract is understood as a legal and voluntary agreement made by individuals who have the appropriate capacity. The different types of contracts are: implied contract – this includes obligations that arise from a mutual agreement as well as intention to promise, which have not been expressed in worlds. Express contract – both parties state the terms, either in writing or orally, at the moment when the contract is formed. Contracts under seal – conventionally, a contract became an enforceable legal document only if the contract was stamped using a seal. Executed contract – one where nothing is remaining to be carried out by either party.  Executor contract – where some future obligation or act remains to be carried out in accordance with its terms.

The following are the elements of a contract: (i) an offer – one party in the contrast promises to perform something or to avoid doing a particular specified action in future.

(ii) Acceptance – the offer is accepted explicitly by the other party. (iii) Consideration, or an exchange of value – a valuable thing was promised in exchange for the particular non-action or action. (iv) Mutuality – the parties in the contract had a meeting of the minds with regard to the agreement. Both parties understood and were in agreement on the basic terms and substance of the contract.

Unit 3: Intellectual Property, Creditor-Debtor Relations, and Employment Law

The different protections for business intellectual property include copyright, registered design, trademarks, trade secrets, and patents. Patent: strength – patent owners might bring a patent violation suit on anybody who makes use of the invention without permission. Investors might file a Provisional Patent Application in order to protect patentable invention before it is complete. Weaknesses – patents only last for 20 years and as soon as they expire the inventor does not have legal protection over the invention given that it has fallen into public domain.

Copyright: strength – lasts the author’s lifetime plus 7 decades, and protects creative work from being utilized by others with no permission. Weakness – if an employee creates something, the employer will own the copyright for that idea or product.

Unit 4: The Business Entity and Agency Law

In limited partnerships, the limited partners have to agree not to take any active role in the everyday management of the partnership’s business. As such, the limited partners are protected from the individual liability for the actions of the partnership.

In limited liability corporations, the corporation is a distinct legal entity. Generally, a corporation, and not the corporation’s owners, is legally responsible for the debts that are incurred during the course of its business. The liability protection which is afforded to limited partners is the same as the protection that is afforded to a corporation’s shareholders.

Unit 5: Tort Law, Consumer Protection, and Product Liability

Intentional torts against property include trespass to land, and trespass to personal property. Unlike intentional torts, negligence does not require intention on the part of the tortfeasor, and neither does it require that the tortfeasor believe or know the effects that might be caused by her/his omission or action.

A tort is a private legal action that does not involve the state but the people who may seek protection in filing suits in an event that harm is caused. Through this, the state may therefore come in to prosecute the violation that would see the organization be sued for the damages that are accrued in the act. It is therefore essential that organizations operating in various environments are enlightened with these laws in order to function effectively.

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Succession Planning at CapraTek

Succession Planning at CapraTek
Succession Planning at CapraTek

Succession Planning at CapraTek

Order Instructions:

In the CapraTek: Succession Planning simulation, you identified the three best candidates for the plant manager position, interviewed each candidate, and selected your top choice. For this assignment, you will create a career development plan for the candidate you chose.

Assignment Instructions
Write an analysis of your experience and results, addressing the following:
• Articulate why you selected the candidates you chose to interview for this position.
• Analyze why you chose the candidate you decided to hire for this position.
• Develop a career development plan for your chosen candidate, based on your practice with the CapraTek simulation.

Background info on company:
CapraTek is leveraging its culture of innovation to expand into emerging wireless technologies. As part of that diversification, CapraTek is developing advanced smart-home technology.

Last month, CapraTek announced that it will begin development of an integrated wireless system that will provide seamless integration of virtually all home electronics and appliances all controlled through a single, wireless device and a simple web-based interface. The system (Alfred!) will be produced in a new manufacturing facility in central Illinois. Groundbreaking on the new facility will begin this summer with full operations to be accomplished in three phases over the next two years.

While most workers at the new plant will be hired locally, manager and supervisor positions will be filled through a combination of transfers and promotions from the two current U.S. CapraTek manufacturing plants and local hires. The new plant manager, Mark Cranston, had been the assistant plant manager at CapraTek’s Spartanburg South Carolina plant. His promotion leaves a vacancy at the South Carolina plant that will need to be backfilled quickly as the current plant manager is scheduled to retire in less than two years.

Email you received:
From: Evelyn Unger, Senior HR Generalist

I am assuming that you have had a chance to read Kathleen’s announcement on the company intranet – if you haven’t, you should.

The bottom line is that we didn’t see Mark’s promotion coming and there has not been much done in terms of succession planning at that plant (or, to be honest, at our other plants). It is looking like there isn’t a strong internal candidate to take Mark’s place, so we will be posting the position and looking externally to fill the position.

With the current plant manager slated to retire, we’d like to avoid this kind of thing happening again, so I’d like you to take a look at the management and supervisory in Spartanburg and come up with a development plan for one of those individuals. Basically, identify one person who you think has the potential to be a strong internal candidate to replace Chuck when he retires. Identify what needs to be done in terms of succession planning and career development planning, and be prepared to talk about it later this week. You’ll probably want to set up virtual meetings with several potential candidates to talk about their goals and current plans.

I’m asking a couple of other people to do the same thing, so be prepared to defend your choice!

I’ll follow up with you later.

SAMPLE ANSWER

Succession Planning at CapraTek – Week 9

Introduction

Succession plan is important for any business to help them avoid inconveniences. This planning ought to start early to ensure that events and activities flow smoothly. This paper aims to develop a career development plan for selected candidate to take up the position of manager in CapraTek Company. It as well provides reasons for selecting candidates selected for interview, and provides an analysis for choosing the candidate hired.

Reasons for selecting candidates selected for interview

In organizations such as CapraTek, changes are deemed to occur. Some of these changes require immediate course of action as opposed to others. The current plant manager is destined to retire in less than two years and this will leave vacant position of an assistant plant manager as Mark Cranston is promoted to the position. The vacancy left requires an individual that has the requisite skills and experience to fill the same. According to Tichy (2014), It is important for organizations to have a clear plan on its succession strategy to ensure continuity and success. Succession sometimes may be problematic and even cause negative implications to an entity. The process of succession should be done right and should not merely be selection of names to fill the position. One of the most important things to do is to engage all the stakeholders fully (Hall & Hagen, 2014). They must be part of the process to ensure selection of the right candidate. Potential candidates require serious scrutiny and assessment to determine their capability to take up the position. The scrutiny may require hiring of an external manager to take up the position as is the case at CapraTek. The third important consideration is to carry out a stress test and simulation to determine indeed whether the candidate has the skills and the ability to take the organization to the next level even in absence of the CEO (Tichy (2014). The last point of consideration is acknowledging that the successor needs to recover from mistakes and have the heart and willingness to learn (Barbour, 2014). The successors require mentors and conducive working environment as preparation for the bigger task.

To ensure smooth transition, it is important to start early preparations to identify the right candidate to fill the position that will be left vacant (Sims, 2014). Selection and recruitment is the first stage. The recruitment panel has to carry out an assessment to determine whether there was any suitable person within the organization for the position. However, there was no suitable candidate and this necessitated consideration of an external recruitment. Through the process of recruitment, three candidates emerged to be the best and therefore were invited for an interview to take up the position. A number of reasons were considered and these three met the threshold. The three have enough experience in working in companies that deal with similar technologies that Capra Tek is dealing in. There leadership have been tested for many years and was recommended. All of them have managed to transform their companies and driven them to grow and become successful. For instance, one of the candidate selected managed to achieve 80 percent growth rate in the company he used to work within a period of two years. The company had stagnated, hence was not making profits and the investors were now getting discouraged and withholding their investments. The three candidates as well exemplified qualities of leadership. Their communication skills and social skills were astounding. The level of intelligence was also astonishing, hence; they emerged to be the potential candidates that would help Capra Tek achieve its goals even as it embarked on expansion initiatives as part of its diversification initiatives. The candidates’ competencies were assessed using multiple tools and even their personality assessed using Myers-Briggs Type Indicator (Mattone, 2013). The results indicated the three candidates fit for the position. The qualities and qualifications of the three therefore matched the requirements of the position, hence contributing to their selection.

Analysis for choosing the candidate hired

The position however, required one manager and therefore, further scrutiny was done to find the most qualified person to take the position. One candidate emerged the best after further evaluation of their suitability. One of the reasons that promoted or contributed to hiring of this candidate was his style of management and leadership. The candidate style of management rhymes with that of Capra Tek. Hence, was not going to be hard for him to acquaint himself with the systems of operation. The candidate, as well gets along well with other stakeholders. In this company, stakeholders play a key role and are valued. Someone that will be able to create a conducive environment for all stakeholders will therefore stand higher chances of achieving goals. Involving others in key decision reduces the resistance level towards change and as well contributes to teamwork. The culture of the organization is hinged on innovation and to achieve this, people must be involved in key decision-making processes.

Other reason that guided the selection of this candidate is his previous performance rate. He was the only candidate that has recorded consistence performance record. He had opportunity to work in different companies and all this companies he left a legacy that many other people admire and remember. Therefore, his consistency in his performance as documented in his performance reviews as well as his appraisal makes him outstanding candidates to take the company to the next level.

Career development plan for candidate selected

Career development plan is a framework that provides guidance regarding ones career planning (Furbish, 2013). Every individual has to have a plan on what they wish to achieve in their careers. The goals should be specific, measurable, attainable, and reliable and time bound (Furbish, 2013). It is important to understand the exact thing that you are trying to accomplish. One should also be in a position to know whether the goals have been achieved through assessment and measurement. The goals should be reliable and the actions to take known. The goals as well require a specific timeframe to achieve (Mattone, 2013).

The candidate currently holds a Master’s degree in Business Administration from University of Harvard. He also holds a degree in Engineering from Boston University. He has wide array of skills and knowledge in management having held managerial positions in various organizations for more than 10 years. The candidate as well has vast skills in leadership that has contributed to his success in the organizations that he has worked.

The candidate has as well diverse knowledge in wireless technologies, having worked in a technology company for duration of 5 years. The experience he holds therefore, matches the job description, something that makes him the best for this position.

Despite these achievements, the candidate has not yet achieved all his goals and visions. He is still working hard to become the best manager across the world. This is his long-term goal. The short-term unattained goal is to train on cross culture. This will allow him to understand people diversity and global environment when interacting with people across the globe. The other long-term goal is to pursue a Doctorate degree in Business Management to advance his knowledge in the business management. The candidate believe that in-depth knowledge in business coupled with his already experience will enable him execute his duties diligently.

Achieving these goals is yet another important question that one ought to ask him/herself. The candidate has clear about the strategies that will enable him to achieve the goals. He will have to utilize online learning opportunities to pursue courses on cross culture. He also plans to undertake evening classes to accomplish his career goals of acquiring a doctorate degree. This however, will require proper time management to be in a position to manage his managerial duties in the company as well as his personal ambitions.

To be among the best managers across the world, is something that will be determined by his performance in the current job. Therefore, working hard and applying suitable management strategies will be key to achieve these dreams.

It is important to note that, it may not be easy to achieve these goals solely. He will require other people and resources to facilitate their accomplishment. The candidate has his savings as well as company sponsorship that will aid him to achieve his career objectives. He also plans to learn and share with other executives, colleagues, and experts to improve his skills and knowledge base in management.

Conclusion

It is evident that success plan is critical to ensure better transition. Organizations that have put in place appropriate procedures on filling of vacancies experience smooth transition and vice versa. It is also important for entities to ensure that they adopt suitable recruitment and selection procedures to attract the right candidates for their organizations. Career development planning as well is important to help provide insights on the future plans of candidates. Every person should have a career development plan to ensure success in his or her future endeavors.

References

Barbour, T. (2014). Business Succession Planning Best Done from Day One. Alaska Business Monthly, 30(12), 40-43.

Furbish, D. (2013). A review of career development and planning: a comprehensive approach. Journal Of Employment Counseling, 50(3), 138-140. https://www.doi:10.1002/j.2161-1920.2013.00032.x

Hall, L. O., & Hagen, C. D. (2014). Holistic Approach to Succession Planning Provides Added    Value for Clients: Financial Service Professionals Play Key Role in Successful Plans.(cover story). Journal Of Financial Service Professionals, 68(1), 78-83.

Mattone, J. (2013). Powerful succession planning, USA: American Management Association

Sims, D. M. (2014). 5 ways to increase success in Succession Planning. TD: Talent Development, 68(8), 60-65.

Tichy, N. (2014). Succession: How to Get This Process Right. Mworld, 13(4), 26-30.

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A Law Case Pertaining Intellectual Property

A Law Case Pertaining Intellectual Property
A Law Case Pertaining Intellectual Property

A Law Case Pertaining Intellectual Property

Order Instructions:

Please see upload.

SAMPLE ANSWER

A Law Case Pertaining Intellectual Property

  1. The context, purpose, importance and relevance of intellectual property law in a business environment
  2. Identify the parties who are involved in before the court.

The parties involved in court are Apple Inc. And Samsung limited.

  1. Provide a brief background to the problem

Two giant telecommunications companies Apple and Samsung have been battling out in courts about infringement of intellectual property disputes. The two companies have been having a series of lawsuits regarding the design of tablets and Smartphone (Apple vs. samsung lawsuit, 2011). The two companies are litigating against each other over patent infringement suits.

Intellectual property is one important intangible asset that is gaining a prominent position in the global economics. Changes in the world business environment have influenced the development of business models where intellectual property is central elements in establishing potential growth and value (Banks, 2012). Intellectual property is important because of its ability to provide a company with competitive advantages (Research and markets, 2010). Take for instance in the case of Samsung vs. Apple, people consider the shape of a tablet before purchasing it such as whether it is excellent when in rectangular form or rounded corners. The use of touch screen technology also provides a competitive advantage in the Smartphone production industry, and these giant companies protect other companies from adopting such technology (Apple vs. samsung lawsuit, 2011). The purpose of intellectual property is to encourage innovation and invention of new ways of doing things. On the same note, intellectual property rights are instituted to ensure that creators and inventors of new ideas benefit from their own invention. And as such, the law about intellectual property is important in the business world for ensuring that intangible assets are protected and that entrepreneurs enjoy the benefits of their creativity and innovation (Banks, 2012).

  1. Specific disagreements between the two parties

In this case Apple accused Samsung of copying software features such as universal search, quick links, slide-to-unlock, automatic word correction and background syncing (Apple vs. samsung lawsuit, 2011). The patents Nos. were 5,946,647; 7,761,414; 8.046, 721; 8,074,172 and 6,847,959.  Their argument was that their patents make the user interface more engaging and enable ease of use. On the other hand, Samsung Accused Apple for infringing ‘239 patent about video transmission functionality and patent camera and folder organization functionality (Apple vs. samsung lawsuit, 2011). The U.S. Patent Nos. is 5,579,239 and 6,226,449.

  1. Ruling of the court

The court ruled that Samsung infringed Apple’s patent “quick links for ‘647”. The Jury also found that the “slide-to-unlock feature” was used in some of the Samsung devices, for instance, Galaxy Nexus (Apple vs. samsung lawsuit, 2011). The Judge also ruled out that Samsung infringed “automatic word correction” patent.

  1. Evaluate key judicial concepts that influence the decisions related to business
  2. Was there a dissenting opinion? If so, explain why some of the judges or justices disagreed with the majority in the decision.

Yes.  There was a dissenting opinion on the ‘647 patent. The judges differed that the patent was too broad. The Samsung counsel argued that Judge Koh infringement and damages claim should have been removed because it was erroneously supported based on a wrong claim. Judge Koh had disagreed with Posner claim of construction earlier in Apple vs. Motorola.

  1. Provide examples and cites dissenting rules and reason for dissent

The United States Court of Appeals affirmed construction of ‘647 “quick links” after seven and half months. Judge Posner allowed the Chicago trials to take place though it was cancelled earlier (Apple vs. samsung lawsuit, 2011). Judge Posner decision on denial of an injunction was supported by most of the judges though Chief Judge Rader differed.

  1. Do you agree with court’s decision? Why or why not

Yes. I agree with court decision because such claims should be heard in a court of appeal so as to recognize the value of patents and compensate the inventors however much cheap a patent might look (Research and markets, 2010).

References

Apple vs. samsung lawsuit full of secret combat. (2011). Reuters Hedgeworld, Retrieved from http://search.proquest.com/docview/907562431?accountid=45049

Banks, T. (2012, Aug 28). Apple vs samsung – what does it mean for design? Design Week (Online), Retrieved from http://search.proquest.com/docview/1035364317?accountid=45049

Research and markets: Intellectual property in business transactions: Protecting the competitive advantage. (2010, May 12).Business Wire Retrieved from http://search.proquest.com/docview/276293904?accountid=45049

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Management of Organisation 2 Paper

Management of Organisation 2
Management of Organisation 2

Management of Organisation 2

Management of Organisation 2

Order Instructions:

MONDETTA EVERYWEAR
Leena Malik prepared this case under the supervision of John F. Graham solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality.
Ivey Management Services prohibits any form of reproduction, storage or transmittal without its written permission. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Management Services, c/o Richard Ivey School of Business, The University of Western Ontario, London, Ontario, Canada, N6A 3K7; phone (519) 661-3208; fax (519) 661-3882; e-mail cases@ivey.uwo.ca.
Copyright © 1999, Ivey Management Services Version: (B) 2010-03-04
In June 1992, the office of Mondetta Clothing Company in Winnipeg, Manitoba, was alive with activity as Mondetta’s four owners and their support staff were busy at work. In the company’s meeting room, samples were being examined for the upcoming fall fashion line, while in the back warehouse, new clothing shipments were being sorted. After several years of rapid growth in the Canadian casual wear industry, Mondetta’s managers were committed to making their company a success through further market penetration. They wondered whether they should continue to solidify clothing sales in Canada or proceed with their desire to expand into the American, and eventually, the European markets. In order to make a reasonable decision, each expansion alternative would require careful examination of market and industry data as well as the company’s ability to handle another phase of increased growth.
COMPANY BACKGROUND
Mondetta Clothing Company was founded as a partnership in Winnipeg, Manitoba by brothers Ash and Prashant Modha, and Raj and Amit Bahl. The brothers were close friends who started by operating a small business selling cards and stationery while studying at University. In 1987, they decided to offer local casual wear buyers unique fashions by designing and manufacturing a line of beachwear and casual pants. Working out of their families’ basement, they managed product designs, production, marketing and distribution and were rewarded with $10,000 in sales in that year.
During the following two summers, the company’s casual cotton pants, shorts and tops were sold outside the city from a booth at Winnipeg’s popular Grand Beach. With a population of approximately 650,000, Winnipeg was the largest distribution centre between Vancouver and Toronto, and offered a direct connection to the United States.
As the Mondetta name proceeded to gain exposure in the Winnipeg market, the brothers were awarded the Small Business Achiever Award by Winnipeg’s Uptown Magazine, as well as other distinguished industry and media honors. In 1988, their sales grew to $25,000 and reached $125,000 by 1989. In May 1990, after most of the brothers had completed their undergraduate studies, they incorporated the business and
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started full-time company operations. Soon Mondetta expanded from a few local retail stores to more than 350 outlets across Canada, with sales beyond $2.4 million. The company’s financial statements are presented in Exhibits 1 and 2, and a ratio sheet is shown in Exhibit 3.
MONDETTA EVERYWEAR
The name Mondetta was based on French word-play for “small world” and the focus of the collection was the high quality appliqué and embroidery on cotton clothing. Mondetta catered to a market that generally desired clothing that offered something different from what was available in most regular stores. Their most popular items were their “flagshirts”, sweatshirts adorned with the flags of world countries, and their styles were targeted to the socially or politically concerned man, woman or young adult who enjoyed superior quality casual or street wear.
Consumers over 30 years old generally looked for a product made of high quality materials with superior graphic designs, while younger customers looked mainly for quality through an established brand name. Although the younger 13 to 30-year-old segment was highly influenced by fashion trends, the price of the apparel nonetheless remained an important consideration in their buying process. Word of mouth and the visual appearance of the clothing also influenced both consumer groups, who approached trendy wear stores to find the hottest new clothing available.
THE TRADE ENVIRONMENT
Innovative clothing companies like Mondetta often started their businesses by selling clothing to trend- setting independent stores in the hope that their products would create a new fashion craze. Once a trend had been created, product visibility and sales were increased through movement into the mainstream clothing stores.
Independent Stores
Independent store owners usually managed one or, at most, two local stores in a city or town. Some independents were considered to be local trend setters, while others were followers who copied the trend makers after product exposure had been created. Purchases were performed from one location, usually the store itself, using fashion trend information. Since independent stores generally did not have the ability to purchase in large quantities, volume and early payment discounts were not granted. Payment terms to producers were 30 to 60 days with a 50 per cent mark-up to retail customers.
Many independents were considered to be poor credit risks due to their limited financial resources, unstable management and variable clientele. The most successful independents distinguished themselves through their management style and the establishment of their own reputation, visibility and local market niche. Even though placement in an independent store appeared risky, it was an important channel for brand name and trend creation.
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Page 3 9A93J001 The Chain Stores
The chain store network was divided into regional chains which serviced either western or eastern Canada, and national chains. Chain stores were more stable and creditworthy than independent stores and had more purchasing power than the department stores. Chain stores expected a 55 per cent product mark-up as well as a two per cent warehousing discount. Early payment terms were three per cent in 10 days net 60 days.
Most chain stores offered relatively little product advertising and relied on in-store displays and word of mouth to attract customers. The need to approach only one or two buying offices for each chain offered the provision of wide geographic distribution with less selling effort than required for the independent stores.
The Department Stores
Canadian department stores such as the Bay and Sears were generally less flexible and entrepreneurial than other retail outlets and relied on more tightly controlled planning of operations. Department stores purchased clothing (based on product type) from central or regional buying offices through designated buyers. Some department stores also specifically allocated budgets for the exploration of goods from local companies to match merchandise with local demand. In order to get placement in a department store, clothing company representatives had to approach the appropriate buying officer. For casual and street wear, this officer was more likely to be the menswear or womenswear buyer.
Department store demands were usually very high. Most expected signed contracts specifying desired prices, mark-ups, volume discounts and early payment discounts. Mark-ups on cost for casual wear were close to 50 per cent, while volume and early payment discounts ranged between three to five per cent each. Although product distribution was usually allocated per store location by the clothing firm, products had to be sent to the department store’s central warehouse before being shipped to designated store outlets. This system resulted in an additional two per cent warehousing discount. Some department stores also demanded a one to two per cent advertising discount. The resulting nine to 14 per cent worth of discounts allowed Canadian department stores to sell products at a lower price than other retailers, thereby creating the perception that department stores sold discount low quality clothing.
American Stores
With expansion into the United States a serious consideration, the brothers recognized that American trade dynamics differed from Canadian dynamics in several important ways. First, the discount image of Canadian department stores made independent and chain stores hesitant to take on products originally featured in a department store. However, in the United States, department stores such as Bloomingdales, Macy’s and Nordstroms were perceived as leaders in the fashion industry. Therefore, initial placement in these stores created a fashion trend that the independent and chain stores were willing to endorse. Second, the American market was dominated by numerous strong retail stores and apparel companies that were more aggressive and demanding than their conservative Canadian counterparts. Third, highly diverse consumer tastes and the desire for more bold and flashy items resulted in an intensely competitive retail environment.
The American apparel industry was also undergoing a period of change and restructuring. By 1989, discount stores and mail order firms had gained market share at the expense of specialty department and
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?chain stores. In fact, discounters replaced department stores as the largest retail segment. Another trend in the American apparel industry was the formation of close, interdependent relationships between retailer and supplier based upon a joint commitment to mutual profitability through in-store boutiques. In addition, in order to improve efficiency and lower costs, retailers were making efforts to narrow their supplier structure with larger commitments and bigger orders.
THE COMPETITION
Competitors in the casual wear industry sold similar products (jeans, sweatshirts and t-shirts) adorned with their brand names in retail chain, department and independent stores throughout Canada and the United States. In Winnipeg, an independent company called “Passport International” had recently opened a retail outlet next to Eaton’s downtown store. Passport’s designs were identical to Mondetta’s with the exception of the logo, and the clothing was also sold at a lower price. For example, Mondetta’s highly successful flagshirt which retailed for $79.95 was sold for $64.99 in Passport. Passport also offered customized flags of any country compared to Mondetta’s 45 flags. Although Passport was made of lower quality materials, customers wanting a Mondetta but not able to afford one generally turned to Passport for their designs. Passport International was rumored to be opening a new location in Toronto’s Fairview Mall by fall 1992.
Nationally, Mondetta clothing was placed side by side with other established brand name products such as the Guess Jeans, Request and Pepe Jeans. However, the companies selling these labels had wider retail distribution networks in both Canada and the United States. Top industry names such as Guess Jeans, Buffalo Jeans and B.U.M. Equipment were all associated with large American and European firms, and the success of these companies was due to the creation of a highly visible media hype focused on brand name and product promotion. Because competing products were normally placed side-by-side in the store, sales depended more on brand name and reputation than on product differentiation.
Guess and B.U.M. were also beginning to license themselves in the European market. Through licensing, a European manufacturer had the right to produce and sell approved designs using a clothing’s brand name and logo. In the European and American high fashion markets, country of origin was less important than factors such as quality, style and price, particularly in the medium to higher price ranges. Exhibit 4 presents an overview of major international apparel markets and producers as well as their main strengths and weaknesses.
THE ENVIRONMENT
Increased opportunities for Canadian apparel firms to enter the large American market were becoming available because of the gradual reduction of trade tariffs under the recent Canada/U.S. Free Trade Agreement. However, Canadian companies wishing to export to the United States faced many established competitors. In addition, their flexibility was reduced due to a requirement to place 50 per cent Canadian content in their goods. As a general rule, apparel made from third country fabrics was not eligible for duty-free treatment under the agreement. Freer trade with the United States also prompted several large American retailers to expand into Canada, thereby increasing competition for the Canadian consumer. By June 1992, North American Free Trade talks with Mexico were well underway and an agreement was expected to be reached before the end of 1992.
Currency fluctuations appeared to have little impact on export competitiveness with the United States. On the other hand, the devaluation of the Canadian dollar relative to European currencies over the past two
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?years had sparked renewed interest by Canadian manufacturers in the European market. However, in Europe the duty-free movement of goods among European community countries, strong competition from European designer labels, and the aggressive marketing of private-label manufacturers, hindered Canada’s apparel trade in this market.
MONDETTA’S CURRENT STRATEGY
Mondetta’s strategy focused on product exclusivity rather than market saturation. This was achieved through careful selection of industry sales agents and retailers for clothing promotion. In 1989 and early 1990, Mondetta clothing was sold throughout western Canada in high quality regional and national chain stores and local independent stores. Since heavy price discounting by department stores compromised Mondetta’s high quality exclusive image, department store sales were restricted to Eaton’s in Winnipeg. In late 1991, after the establishment of western Canadian sales, Mondetta expanded into Ontario, Quebec and the Maritimes. Management’s sales goal for the 1992 fiscal year was $5 million to $6 million which they hoped to achieve through increased national and international market penetration.
Finance
Although monthly cash flow forecasts based on pre- to booked orders were prepared, the frequent opening of new accounts resulted in completely different cash requirements than those projected. This situation was beginning to strain Mondetta’s $250,000 line of credit for inventory financing. While government incentives to support small business were available to companies that promoted local employment, poor economic conditions in 1992 and the company’s young age made government agencies hesitant to provide funds. Banks were also afraid to lend funds to what they labelled as “here today, gone tomorrow” businesses. This feeling was created by the recent bankruptcy of several highly successful Winnipeg clothing companies that were owned and operated by young managers.
In order to deal with a difficult cash situation, Mondetta operated by customer order. This system enabled the company to match receivables with payables while carefully managing supply relationships to ensure timely payments. Management hoped that a new computerized system for accounting, purchase orders, production, marketing, and receivables would assist with the development of strict cash management plans.
Marketing
Mondetta’s managers tried to foster a mystique cult following and to avoid market saturation by restricting their products to a limited number of superior quality stores. To create visibility for its flagshirts, the company employed industry agents who targeted trendy name to setting stores in each location before distributing to the high quality chain stores. Agents received a 10 per cent commission on the Mondetta selling price (industry commissions ranged from eight to 12 per cent). Marketing communications consisted mainly of press exposure, word of mouth and the graphics appeal of the clothing. In Winnipeg, Mondetta clothing was also displayed on transit shelters.
The brothers participated in two semi-annual trade shows hosted by Salon International. Trade shows created product visibility and were attended by numerous retail sales agents and buyers. The Spring/Summer show was held during February in Montreal while the Fall/Winter show was held during
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August in Toronto. A trade show booth cost approximately $20,000, with a space cost of $5,000. Travelling and on-site expenses resulted in a total cost of $30,000 per show.
Mondetta’s major customers were: Bootlegger (nationwide), Below the Belt, and Off the Wall (western regional chains), and Eaton’s in Winnipeg. Approximately 40 per cent of the company’s sales volume resulted from these accounts. In terms of overall sales, Western Canadian sales comprised 80 per cent of the company’s business with 18 per cent in Ontario and only two per cent in Quebec and the Maritimes. In contrast, Canadian retail apparel sales in 1991 were around 37 per cent in Ontario, 34 per cent in Quebec and the Maritimes, and 29 per cent in Western Canada.
Mondetta’s most popular logos, “Mondetta Everywear” and “The Spirit of Unification”, were company trademarks. Traditionally, the two fashion lines (spring and fall) focused on the theme of international awareness and globalization. In 1993, the company hoped to sell four fashion lines (one per season) which placed more emphasis on the Mondetta name than on the flags.
Operations
The apparel design either led to rapid product acceptance or rejection, thus making it the first and most crucial step in the production process. Other major steps in apparel manufacture were material sourcing, pattern making, fabric cutting, sewing, and finishing.
During the first two years of operations, Mondetta clothing was produced in Winnipeg by eight to ten medium-sized clothing manufacturers. However, when the product’s quick success raised producer demands, unit labor and material costs escalated, forcing management to search for offshore manufacturers in order to reduce production costs and increase production capacity. An agent was subsequently secured for Hong Kong through some well established industry contacts. Although offshore production created periodic quality control problems, the cost of wasted production was much less than the cost of local production, and a 20 per cent savings was realized on every T-shirt produced abroad.
By 1992, approximately 40 per cent of Mondetta’s product line was produced in Hong Kong. While both local and offshore manufacturers had the capacity to produce approximately 10,000 t-shirts per month, shipment time for overseas production took an additional month. To avoid sales forecast misjudgments, Mondetta relied on pre-booked orders to trigger production with an additional 20 to 25 per cent buffer inventory built into each order.
Imports from Hong Kong were highly dependent on a quota system whereby the Canadian government allowed a maximum number of goods to be imported annually from Hong Kong based on product type and category. After the appropriate quota had been determined, the Hong Kong government divided it among manufacturers who produced goods for Canadian companies. This system placed the burden on the manufacturer to find adequate quota to supply the desired amount requested by the Canadian importer. If quota was unavailable, the manufacturer had to purchase the desired amount from a quota market before beginning production.
Human Resources
Mondetta Clothing Company was managed by Ash, Prashant, Raj and Amit. The company also employed a customer service representative and a support staff of four people. Ash Modha, Mondetta’s President
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?and Chief Executive Officer, was 23 years old and had just completed a Bachelor of Arts in Economics from the University of Manitoba. His brother, Prashant, aged 25, had completed a Bachelor of Science in Chemistry in 1988 and received a Master of Business Administration degree from the University of Manitoba in June 1991. Raj Bahl, also 25 years of age, had a Bachelor of Arts degree in Applied Economics from the University of Manitoba. His brother, Amit, had attended the University of Winnipeg but chose to work instead.
The company had no structured hierarchy and the brothers operated in an informal team-oriented atmosphere. Internal communications and reporting structures were also not formally specified. Traditionally, day-to-day operations were completed by the most experienced and available person. Major operating decisions were given deliberate individual consideration before a consensus was reached. During crisis situations, decisions were made quickly after careful consideration of available alternatives.
Although responsibilities were not formally segmented, increased growth had started to create a more divisionalized approach to management. Ash and Raj were primarily responsible for the company’s fashion designs. Ash also managed the company’s production requirements while Raj was responsible for marketing and sales force management. Prashant monitored the company’s financial operations and Amit organized distribution, shipping and receiving.
FUTURE STRATEGY
The four brothers were committed to the company’s growth and were considering several growth opportunities such as further penetration into Eastern Canada, expansion into the United States, and licensing in western Europe.
Continue Penetration Into Eastern Canada
Consumer acceptance of Mondetta clothing in eastern Canada, particularly in Quebec, appeared slower than in western Canada. Mondetta’s managers believed that slow sales in Quebec were due to poor product visibility created by inexperienced sales agents. In addition, retail sales in Quebec were controlled by large powerful buying groups. Established relationships with the buyers of these groups would be essential to product acceptance.
Although the company was experiencing healthy growth in Ontario, the Mondetta name was still relatively unknown in a large potential market. Management’s biggest concern was Passport International’s expansion to Toronto’s Fairview mall where Mondetta was also sold. If necessary, mall advertising and billboards would cost approximately $6,800 for six months.
Other marketing communications could also be used to speed up product exposure in both Ontario and Quebec. Economical advertisements such as point of purchase ads would cost approximately $25,000 per year. A Mondetta fashion catalogue could also be printed and distributed at an annual cost of $10,000 to $15,000. Advertising in the French version of Elle fashion magazine in Quebec would cost $7,000 per issue. Management wondered which forms of advertising should be purchased in eastern Canada, and what sales level would be required to break even.
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The nature of the apparel industry demanded that management approach their American entry with caution in order to avoid unmanageable rapid product acceptance or damaging product rejection. First, management had to consider which areas of the country to target. Exhibit 5 outlines American apparel consumption by region. Largely populated areas with the highest apparel consumption were the eastern states, while the north-western states more closely resembled the Canadian market. In addition, the appropriate distribution channels and distribution strategy for market penetration and trend creation had to be determined.
The brothers also needed to determine suitable product selection and market penetration strategies. Since production in Manitoba would be insufficient for demand, apparel would have to be shipped directly from Hong Kong to the United States, requiring quota negotiations similar to those for Canada. Sales agent commissions would be approximately 10 per cent of Mondetta’s selling price and American retailers would likely demand a 50 to 60 per cent product mark-up on cost. Some chains would also try to negotiate buy-back options or replacement of non-selling styles and volume discounts. Annual travelling and other expenses were estimated around Cdn$5,000 to $10,000, while annual trade show expenses would be $25,000 for the summer Magic Show in Las Vegas. The Magic Show was one the largest trade shows in America, attracting 52,000 agents, buyers and retailers.
American sales growth could not expand beyond Cdn$500,000 in the first year due to Mondetta’s limited ability to handle rapid international growth. Profit margins would be similar to those earned in Canada since losses on export duties would likely be recovered with the currency exchange.
Pursue Licensing in Europe
Successful name licensing could create new product demand and expand brand name exposure in both the United States and western Europe. Many well known names such as Guess Jeans and Buffalo Jeans were already licensed. Guess Jeans already had 22 licenses across the world while Buffalo was licensed in major European centres.
Through licensing, another company would be granted exclusive rights to manufacture, promote, distribute, and sell products using the Mondetta name with Mondetta designs or approved designs. The major advantage of licensing was widespread market penetration with minimal capital and financing requirements. There were also several risks. First, finding appropriate licensees could be difficult due to the required product specifications, quality and commitment. Second, licensees could demand that Mondetta handle the majority of product advertising. Third, a licensee could copy Mondetta’s sample designs and sell clothing under a new brand name. The brothers hoped that careful selection of licensees would reduce the risks and they were planning to attract licensees for kidswear, shoes and womenswear while continuing their main fashion designs and product lines.
The average license agreement was usually three years. During the three-year term, the licensee would be required to pay a non-refundable initial license fee as well as an annual license fee. Initial and annual fees could range from $10,000 to $1,000,000 depending on the size and reputation of the licensee. Management hoped major licensees would generate $2 million to $3 million in sales during their first year of operations. In each and every calendar year throughout the term, licensees would have to spend an average of six per cent of sales to advertise and promote the apparel. In addition, a royalty of eight to 10 per cent of sales would be owed to Mondetta. Mondetta would also incur lawyers’ fees and trademark
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?costs for different geographic areas. For example, Canadian trademarks for “Mondetta Everywear” and “The Spirit of Unification” each cost approximately $1,500.
DECISIONS
Clearly, the task of determining where to take Mondetta Clothing Company was not an easy one. While the company’s rapid market acceptance appeared to promise greater success in the future, further market penetration demanded careful consideration of alternatives before making the appropriate strategic decisions.
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9A93J001Total revenue Cost of goods sold Gross profit
Operating expenses: Accounting and legal Advertising and promo Bank charges and interest Bad debts
Depreciation and amortization Factoring commissions Insurance
Leases and equipment Management bonus Miscellaneous
Printing and stationery Parking
Property and business tax Rent
Repairs and maintenance Salaries and benefits Telephone
Travel and entertainment Utilities
Total operating expenses
Earning (loss) before tax Income taxes
Income tax reduction resulting from loss carry forward
Net earnings (loss)
$
29,390
2,649 1,224 3,198 3,702
0 0 0
265 0 307 695 0 0 1,288 0 1,437 1,136 1,693 0 17,594
11,796 0
0 11,796
$
573,217
7,732 29,135 14,726 21,735
9,038 52,006 810 8,498 110,400 1,328 9,055 46 1,276 12,696 528 75,339 12,091 14,731 970 382,140
191,077 43,517
3,864 151,424
Exhibit 1
STATEMENT OF OPERATIONS (For the Year Ended April 30)
19901
$104,896 75,506
1991
$247,970 178,543 $ 69,427
2,699 8,964 8,762 4,031 2,504
920
593 1,398 0 1,531 1,167 207 822 9,246 182 29,005 6,516 7,974 477 $ 86,998
(17,571) 0
0 $ (17,571)
1992
$2,436,644 1,863,427
1 For the period covered by this date the organization was a partnership. The firm was incorporated May 1, 1990.
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Current assets: Accounts receivable Inventories
Prepaid expenses
Total current assets
Fixed assets:
Equipment and leasehold improvements Accumulated depreciation
Fixed assets (net)
Exhibit 2
BALANCE SHEET (As of April 30)
4 month period 1990
ASSETS
$ 76,473 38,780 1,472 $ 116,725
$ 0 0 $ 0
1991
72,789 54,961 1,794 129,544
13,583 2,306 11,277
14,041 58,880 62,676
0
0 135,597
7,820 18,379 26,199
1992
875,641 433,653 3,752 1,313,046
53,895 10,982 42,913
6,593 1,362,552
57,936 185,840 790,847 110,400
39,653 1,184,676
0 22,218 22,218
$ $
$ $
$ LIABILITIES AND SHAREHOLDERS’ EQUITY
Other assets Total assets
Liabilities Current liabilities:
Bank overdraft
Bank loan
Accounts payable Bonus payable Income taxes payable
Total current liabilities
Long-term liabilities: Note payable
Payable to shareholders Total long-term liabilities
Shareholder’s equity Share capital Retained earnings
Total equity
Total liabilities and shareholder’s equity
0 $ 116,725
3,588 144,409
??????????$
$
$ $
1,539 41,400 27,585
0
0 70,524
34,049 0 34,049
$
$
$ $
???????$
$ 12,152 $ 116,725
n/a 12,152
$
$ (17,387) $ 144,409
184 (17,571)
$
$ 155,658 $ 1,362,552
21,804 133,854
?????????363
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PROFITABILITY
Total revenue
Cost of sales
Gross margin Operating expenses:
Accounting and legal Advertising and promotion Bank charges and interest Bad debts
Depreciation and amortization Factoring commissions Insurance
Leases and equipment Management bonus Miscellaneous
Printing and stationery Parking
Property and business tax Rent
Repairs and maintenance Salaries and benefits Telephone
Travel and entertainment Utilities
Total operating expenses
Earning (loss) before tax Income tax
Net earnings (loss)
LIQUIDITY
Current ratio Acid test Working capital
EFFICIENCY
Age of accounts receivable Age of inventory
Age of payables
Exhibit 3 RATIO SHEET
1990
100.0% 72.0% 28.0%
2.5% 1.2% 3.0% 3.5% 0.0% 0.0% 0.0% 0.3% 0.0% 0.3% 0.7% 0.0% 0.0% 1.2% 0.0% 1.4% 1.1% 1.6% 0.0%
16.8%
11.2% 0.0% 11.2%
1.66
1.11
$ 46,201
266 187 133
1991
100.0% 72.0% 28.0%
1.1% 3.6% 3.5% 1.6% 1.0% 0.4% 0.2% 0.6% 0.0% 0.6% 0.5% 0.1% 0.3% 3.7% 0.1%
11.7% 2.6% 3.2% 0.2%
35.1%
-7.1% 0.0% -7.1%
0.96
0.55
$ (6,053)
107 0 117
1992
100.0% 76.5% 23.5%
0.3% 1.2% 0.6% 0.9% 0.4% 2.1% 0.0% 0.3% 4.5% 0.1% 0.4% 0.0% 0.1% 0.5% 0.0% 3.1% 0.5% 0.6% 0.0%
15.7%
7.8% 1.6% 6.2%
1.11
0.74
$ 128,370
131 0 129
?????????364
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?STABILITY
Net worth/total assets Interest coverage
GROWTH
Sales
Net income Assets
Exhibit 3 (continued)
10.0% 4.7%
1990-1991
136.4% (249.0%)
23.7%
(12.0)% (1.0%)
1991-1992
882.6% 0.0% 843.5%
11.0% 14.5%
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Source: Apparel Retailing in the United States
Exhibit 4
THE INTERNATIONAL APPAREL MARKET
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Exhibit 5
AMERICAN APPAREL CONSUMPTION BY REGION
Source: U.S. and Canadian Governments
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SAMPLE ANSWER

Management of Organisation 2

The case is about Mondetta Everywear, a clothing company located in Winnipeg in Canada. The company is owned by four individuals also brothers (Laughren, 2013). The case therefore provides an in-depth analysis about the company that gives insights on the operation and best growth strategy for the company. The company has sound financial resources that have contributed to its expansion. Through licensing, the company has also managed to ensure that they preserve their copyrights (Laughren, 2013). There is also a fit between personal and corporate objectives since the four owners have resolved to work hard to ensure that the business to whom they have shares succeeds.

SWOT analysis as well provides insights about the company. Internal issues of the company are understood through the strengths and weaknesses. Strength includes, lean management structure and stable finances (Laughren, 2013). Weakness includes stiff competition. Opportunities include ready market in some of the foreign countries such as USA. Threats includes, different trade dynamics in part of the markets, and changes in fashion trends

Segment 1 Segment 2 Segment 3
Who Young people Adults Young and adults
What Jeans Sweatshirts t-shirts, swimming costumes
When Throughout the years Throughout the years Throughout the years
Where Canada USA Western Europe
Why Usually clothing
How Press exposure Word of mouth, trade shows Graphic appeal of clothing, display on transit shelters
Market size Small Larger Larger

Implications:

Segment 1 Segment 2 Segment 3
Product Variety of products to get wider customer base Different designs increased customer base Products came in various designs and this increased profitability
Price Prices were competitive  aimed to attract more customers and increase sales Prices were competitive  aimed to attract more customers and increase sales Prices were competitive  aimed to attract more customers and increase sales
Place The markets varied and included Canada market which was potential  Extending in USA increased  sales but was met with competition Widened market to Europe and this impacted on sales volume
Promotion Media helped to expose the company products Use of word of mouth as well increased awareness  Use of graphics as well as word of mouth increased the level of sensitivity increasing sales volume

 

The products are distributed using independent stores and chain stores (Laughren, 2013). The company uses these distribution channels sparingly and decisively to ensure that the customers get access to their products. For instance, chain stores are preferred in USA as opposed to Canada markets hence, this ensures that more customers access to their products. Competitors in the market are many such as Passport International that contributes to stiffer competition in the market. They have reduced market share and as well leading to reduction in prices of the products.

The company is as well affected by various external factors such as social, economic, technological and politics. The environment of operation is stable hence, the company has confident in the markets. The economic situation is also stable. The advancement of technology requires the company to embrace innovation to remain competitive. Cultures vary and this should be considered in the designs of their clothing.

Corporate capabilities as well affect the business. The company uses various marketing strategies such as word of mouth which has enabled it to get more customers. This form of advertisement however takes long period for many customers to know about the products. Financial manages is good. The company employs competent employees that have enabled it to succeed in their initiatives. The company has as well managed to maintain its fixed costs as well as variable costs hence achieved a breakeven point.

I recommend the company to survey other potential markets that are yet to be explored and take the opportunity. They should as well change their distribution strategy, consider using technology to market, and sell its clothes to reach wider customer bas

Reference

Laughren, T. (2013). Management of Organizations COM 1007, Laurentian University; Ivey         Publishers.

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Case Study of an ERP (Rolls-Royce)

Case Study of an ERP
Case Study of an ERP

A case study of an ERP implementation and prepare a critical summary. The case study will outline an ERP implementation that has been successful or
unsuccessful – either is perfectly OK.
– critical summary should include discussion of the perceived benefits of the ERP system and also challenges of implementation of the system across the organisation.
-focus on one case study organisation in depth.
-draw on other academic articles and materials in order to formulate your critique/discussion. So for example you might find a second article that is a
literature review of ERP benefits – you could use this like a checklist to evaluate the case study article.
-critically summarise the case study in 3 pages, including any diagrams or figures you find helpful.

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Globalisation and Technology and its Effects

Globalisation and Technology and its Effects
     Globalisation and Technology and its Effects

Globalisation and Technology and its Effects to the Success of a Company

Order Instructions:

Dear Admin,

Please read the instructor feedback, the project proposal and the project outline in the email then modify the project

all the files I sent them by email. Please I need a very high quality paper as I got F grade last time.

Thank you,

SAMPLE ANSWER

Introduction

The changes that have been realized in globalization and technology have many effects on the success of every company. This according to sources wholly depends upon the efficiencies in the planning of the process involved in all the activities of the organizations, having a team of motivated employees and efficient management of workers. Therefore, performance management is paramount to ensure that business activities are thriving, and employees are motivated to work towards achieving corporate sustainability. Employees and all stakeholders should work together in an effective and efficient manner to enable the company to meet its goals.

This can be achieved by aligning of performance measurement with human resource practices as well as the company’s strategic goals and objectives. A performance management system needs to be harmonized with organization Human Resource activities such as training, development, and reimbursement system for it to be efficient (Bhave & Brutus, 2011). This paper therefore seeks to underline the various approaches that can be employed by Wal-Mart with the aim of improving its competitive edge and efficiency over its competitors. The paper will also establish the essence of performance management for the company and the approaches that the company can employ in integrating an effective performance management approach into its initiatives.

WalMart Approach in Employing PM into its Operations

WalMart, an American company that is situated in New York, has more than 8000 branches in the US as well as the neighboring countries. It is a retailing international organization that deals with more than hundred million entrepreneurs each week with many employees all over the world. Nevertheless, its competitive policy has not been associated with its performance management systems. This also implies that its competitive plan is not linked with the Human Resource interior functions of the staff incentive compensation policies, training and development. In order to exploit its capability, Wel-Mart should develop its management strategies. It should make use of every chance that comes together with structured and proficient performance management systems.

Sources indicate that organizational strategy should be directly tied to performance management to help in achieving organization goals (Bhave & Brutus, S 2011). Performance measurement is imperative in enhancing the efficiency of strategic planning. Performance management offers vital data and controls for the human resource of Wal-Mart that enables the company to develop and implement strategic plans. Wal-Mart uses performance measurement as an instrument that assists to offer a sense of direction for the organization by directing on the distribution of capital based on the performance of different retail stores in various locations (Wal-Mart Stores, 2014). By properly allocating scarce resources appropriately in various Wal-Mart Stores, the company utilizes the limited resources to provide optimum services to customers and increase enterprise revenue.

The Importance of Performance Management to Wal-Mart

Performance measurement enables an organization to ascertain whether an organization meets the requirements of its customer (Jiang et al., 2012). Performance measurement allows Wal-Mart to assess and understand the customer’s tastes and preferences through evaluation of sales data, customer feedback obtained through customer complaints among other performance appraisal methods geared towards understanding the customer buying behavior. This information plays a significant role in letting the management know if the company is providing products that customers require (Hajmohammad et al., 2013).

Performance measurement also helps a management to identify areas that need improvement in the organization. Measuring performance from all spheres of the organization such as financial performance, employee performance, customer satisfaction and benchmarking against other organizations enables Wal-Mart to identify areas with weakness (Wolf, 2014). And develop plans that help in improving the organization standards.

Performance measurement also plays an important role helping Wal-Mart to converse and evaluate the progress of the company towards accomplishing its strategic objectives. Assessment of administrative performance through balanced scorecard and evaluation of staff by the human resource based on their job performance is necessary for Wal-Mart. In ascertaining that the company is working towards attaining it’s the strategic plan. Having a well prepared performance measurement plan helps in addressing the company and staff performance issues that are essential to develop an efficient and sustainable premeditated plan (Gruman & Saks, 2011).

Linking Performance Management with Human Resource Activities

Employees play an important role in ensuring that an organization achieves its strategic goals. Therefore, a well-motivated staff improves job performance enabling an organization to achieve the company’s goals and objectives resulting to corporate sustainability. Performance management is interconnected with human resource activities in various ways. Performance Management provides critical information for the Human resource to enable the department to plan activities such as the development of training systems, workforce planning, make recruitment and hiring decision as well as developing compensation and motivation schemes (Kehoe & Wright, 2013).

Performance management helps an organization to identify each and every employee strength and weakness. The Human resource department uses such information to develop efficient training programs to help improve employee skills and performance level. Human Resource of multinational companies such as Wal-Mart develops regular training schemes. These plans are tailored towards improving the employee’s knowledge base to help developing their skills and steer the organization towards achieving corporate goals.

Performance management is paramount for feeding the human resource department with important data for developing an efficient allocation plan for the workforce. It is the responsibility of the human resource department of Wal-Mart to allocate duties and responsibilities for all the employees. Data obtained from performance measurements such as performance review enable the human resource to make an important decision to allocate the employees where they are best suited to work.

Performance management provides critical performance appraisal data that enable human resource managers to develop effective compensation and motivation schemes. By and large, the goal of performance management is to achieve a fully engaged, productive and well-motivated workforce. Therefore, Performance management enables Wal-Mart Human Recourse managers to set performance expectation and evaluate the employees based on performance standards, organization goals. Wal-Mart can adopt competency models as a way of evaluating employee performance by articulating employee characteristics, skills, knowledge and other abilities that are imperative in helping the company attain its long-term strategic goals.

Thus, enable the organization to develop an efficient reward system that rewards employee performance rather than the outcome of employee actions. Human resource managers offer reward and recognition for good performance as a way of motivating employees to meet their targets and surpass them. The human resource requires developing fair and equitable reward systems based on the formal record of outstanding performance obtained through effective performance measurement systems.

In other organizations, some unmotivated and lazy employees receive performance quantity with a lot of doubts.. Such employees view performance management as an instrument used to divide and judge their performance negatively. On the contrary, some managers feel that performance management in a way brings division among the employees.

The relationship between performance management and strategic planning

The vision, the mission, and corporate values of Wal-Mart should be aligned with the organization strategic plan. On the same note, the performance management system should be developed and modeled in a way to reflect the corporate values of Wal-Mart. Strategic forecasting is basically a regimented effort geared to fabricate fundamental actions based on sound decisions that assists to provide direction to the organization. Consequently, performance measurement plays the significant role of improving individual performance to facilitate the overall perfection of staff. This propensity harmonizes strategic planning efforts to amplify the overall company efficacy.

Performance Management System in Wal-Mart is linked with strategic plans of the company to check that the organization’s strategic plan is adhered to at all levels of the organization (Wal-Mart Stores, 2014). Wal-Mart evaluates the managerial performance of the company’s branch managers through balanced scorecard and assesses all its employees based on their job performance. So as to ascertain if all the stakeholders of the company at all levels are working towards satisfying the customers in providing high-quality products and services all the time. Therefore, enable Wal-Mart to achieve organization strategic goals and business sustainability.

Performance management plays a central role in transforming policies into realistic plans. At Wal-Mart, directors build up overarching measurement scales to assist in tracking business activities through performance measurements (Hahn & Kuhn, 2012). Such measurement balances transform to the overall goals of the organization. Each department centers on particular performance measurement attribute to assist enhance departmental performance. For example, the marketing team at Wal-Mart is concerned more with sales made, suitable leads and translation rates at the section. The operation staff centers on assessing performance about delivery time, quality fulfillment and number of orders filled. On the other hand, the customer care department, measure performance based on customer satisfaction and feedback. These different performance measurement scales assist the organization in attaining the overall strategic goals by translating strategy into action.

Conclusion

Wel-Mart in its approach to achieving the requirements of performance management needs to blend the proponents of its employee’s goals and the components of performance management. The application of this method requires that the objectives and purposes of this company are designed in a manner that enhances the decision-making process for the development of employee relation.

This can be achieved through the use of the feedbacks gained from the PMS performed during transfers, promotions, pay increments and reductions and even terminations. Out of this, it is essential to determine that the performance management system needs to be harmonized with organization Human Resource activities such as training, development, and reimbursement system for it to be efficient. This apparently means that employees and all stakeholders should work together in an effective and efficient fashion to enable the company to meet its goals.

References

Bhave, DP., & Brutus, S 2011 A macro perspective to micro issues. Industrial and organizational psychology, 4(2): 165-168

Wal-Mart Stores, Inc 2014, Wal-Mart Stores, Inc. Marketline Company Profile, pp. 1-41, Business Source Complete, EBSCOhost, viewed 17 Jul. 2015

Van Dooren, W., Bouckaert, G., & Halligan, J. (2015). Performance management in the public sector. Routledge.

Jiang, K., Lepak, D. P., Han, K., Hong, Y., Kim, A., & Winkler, A. L. (2012). Clarifying the construct of human resource systems: Relating human resource management to employee performance. Human Resource Management Review22(2), 73-85.

Aswathappa, K. (2013). Human resource management: Text and cases. Tata McGraw-Hill Education.

Hajmohammad, S., Vachon, S., Klassen, R. D., & Gavronski, I. (2013). Lean management and supply management: their role in green practices and performance. Journal of Cleaner Production39, 312-320.

Wolf, J. (2014). The relationship between sustainable supply chain management, stakeholder pressure and corporate sustainability performance.Journal of business ethics119(3), 317-328.

Gruman, J. A., & Saks, A. M. (2011). Performance management and employee engagement. Human Resource Management Review21(2), 123-136.

Hahn, G. J., & Kuhn, H. (2012). Value-based performance and risk management in supply chains: A robust optimization approach. International Journal of Production Economics139(1), 135-144.

Kehoe, R. R., & Wright, P. M. (2013). The impact of high-performance human resource practices on employees’ attitudes and behaviors. Journal of Management39(2), 366-391.

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E-commerce Essay Assignment Services Available

E-commerce
                            E-commerce

E-commerce

Order Instructions:

Select one of the research study articles that you found, giving preference to one that has an abstract that falls short of APA standards. (You will find these standards noted in the APA Publication Manual sections) Use the following questions as a guide to asses the abstract, and then rewrite the abstract accordingly:

• Did the author include a reference to the research study using a format consistent with the APA Publication Manual?

• Did the author mention the problem addressed within the study?

• Did the author state the central purpose of the study?

• Is information about the sample, population, or subjects provided?

• Are the key results summarized?

• Is the journal article clearly a report of a research study (instead of an essay, opinion paper, typology, or synthesis of past research)?

• Is the abstract no longer than a short paragraph (i.e., less than 1 double-spaced page)?

Be sure to submit the text of the original abstract, your brief assessment based on the above questions, and your revised abstract to your Instructor. Also copy and paste the original copy of the abstract in the word document at the beginning of your assessment before beginning the assessment and then follow with the corrected abstract.

SAMPLE ANSWER

Original Abstract

With the explosion of the e-commerce in the past decade, different buying patterns

and preferences have emerged for customer groups and other demographics. These patterns have been measured and collected by numerous independent marketing, business and even academic studies to understand how consumers connect with the new adventure of e-commerce. As the internet and online shopping is growing at a very fast pace worldwide, investigating this trend within Bangladeshi context is crucial considering that it is a relatively new trend in the country, the result is a lack of literature. This paper consists of the groundwork with a brief introduction of recent trends in e-commerce on people of Bangladesh; particularly its impact on university undergraduate students in Sylhet region. This has been followed by their general perceptions and preferences of the online shopping including products and website selection. Each of these e-commerce “characteristic” is compared to information combined from survey questions and open-ended discussions with a small sample group of university students at undergraduate level in Sylhet region. It also investigates into positive as well as negative website characteristics and sum up the favorable elements into a description of an e-commerce website that would suitable to the group being studied. Findings have been presented by means of the formation identified during the data analysis, indicated that an increasing number of the students at undergraduate level are now using the internet for purchase. It also observed that between male and female students, male students are purchasing products online more than female students. Although student’s participation is increasing, there are some limitations for what the potential numbers of students are not able to purchase via online (Rahaman et al., 2015)

Abstract Revision

The format in which the author included references is not in agreement with the APA Publication Manual. The Author of the research paper mentioned the problem addressed in the study. The research is about the present trends in e-commerce as seen in a sample of undergraduate university students in the Sylhet region of Bangladesh. The Author indicated through contextual analysis the main purpose of the study. The objective of the study being to show the potential of e-commerce (Harris, 2006).
The author provided some information about population, sample or subjects of the study. The subjects of the study include undergraduate university students in the region of Sylhet in Bangladesh. A summary of key results, as witnessed in the abstract of the research paper, is provided although very briefly (Beins, 2012).I analyzed the article and discovered that it was not an essay, typology, opinion paper or synthesis of past studies. Rather, it was an abstract of a research paper, of which I assured to be an original work of research that was carried out. However, I found the abstract to be longer than one paragraph and single spaced.

Revised Abstract
E-commerce has been adopted successfully in the past decade. It has caused the emergence of likes and numerous buying cycles for a variety of consumer groups and other factors of the population. The information being inferred from the study of consumer trends is used to understand how buyers relate to the advent of e-commerce. This research paper examines the effect of this new trend in Bangladeshi, but there is a hindrance of published materials. The paper introduces new and emerging trends in Bangladeshi, the effect it has on the undergraduate university students in Sylhet region.
Inquiries into the positive and negative characteristics of the websites adding the active elements to come up with a perfect image of e-commerce that relates to the sample being researched. Results show that an increasing number of undergraduate students mainly use the internet for shopping. Also noted, was the fact that more male students were buying goods online than their female counterparts. However, there exist some demerits of e-commerce, although the number of pupils participating in online shopping is rising steadily.

References

Beins, B., & Beins, A. (2012). Effective writing in psychology: Papers, posters, and presentations. Malden, MA: Wiley-Blackwell.

Harris, M. J. (2006). Three steps to teaching abstract and critique writing. International Journal of Teaching and Learning in Higher Education, 17(2), 136-146.

Rahaman, M. (n.d.). Online Shopping Trends, Pattens and Preferences of University undergraduate students: A Survey Study on Sylhet region. Retrieved March 29, 2015, from http://publicationslist.org/data/gdeb/ref-8/GDEB_6.5.pdf

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The balanced score card (BSC) Assignment

The balanced score card (BSC)
        The balanced score card (BSC)

The balanced score card (BSC)

Order Instructions:

Dear Admin,

The balanced scorecard’s (BSC) four focus areas are financial, customer, process, and learning and growth. The scorecard incorporates measures derived from an organisation’s strategy. Although retaining financial measures of past performance, the balanced scorecard also introduces the drivers of future financial performance.

Address the following issues/questions:

Critically evaluate the advantages of using the BSC approach to performance measurement and identify critical areas in terms of implementation of the BSC. Should public sector or not-for-profit organisations develop a BSC? Use examples to illustrate your points as well as suitable academic references.

And consider the following questions:

•What are the advantages of using the balanced scorecard?

•What are the critical areas that should be considered in its implementation?

•Should the balanced scorecard be used across different organisations?

Also,

1) The answer must raise appropriate critical questions.

2) Do include all your references, as per the Harvard Referencing System,

3) Please don’t use Wikipedia web site.

4) I need examples from peer reviewed articles or researches.

5) Turnitin.com copy percentage must be 10% or less.

Appreciate each single moment you spend in writing my paper

Best regards

SAMPLE ANSWER

Introduction

Balance scorecard approach is a strategic system of management and planning that is widely used in the business environment with the sole aim being to have all the activities of an organization well aligned with the vision of the organization. Further, this approach helps to ensure that the communications of the organization both internal and external are improved. The third and equally important goal of balanced score card is to help assess the performance of the organization against the already laid don strategies and goals.

Advantages

The balanced score card has a couple of benefits to the business. As the name suggests, it is a business strategy whose aim is to bring about balance within an organization. The traditional strategies that have been in place have only concentrated on only certain aspects of an organization (Niven 2010). This has often led to imbalance and the resulting effect is that it is not possible to fully assess the performance of the organization. With the balanced score card, every aspect of the organization is carefully considered and assessed. The balanced score card has four main areas of focus. These are processes, customer, finances and growth. All these aspects spread out to cover all other areas of an organization.

Due to the fact that each area is assessed separately, departments have to become creative and generate new ideas that will ensure that they remain afloat. Unlike in the past where departments in an organization depended on each other for performance, each department is now assessed independently. This has encouraged need for every department to perform as expected.

Although there is separation of departments, there is a chain of activities that are interconnected and run across departments. As such, instead of having unhealthy competition among departments, teamwork is encouraged. The cyclic nature of interdependence in activities means that each department must be supportive of each other (Gerard, 2012). This has been identified as one of the strong pillars of the balanced score card approach.

With a balanced score card, it helps to give the management, at a glimpse, the nature of operations of the organization (Kaplan & Norton 2013). The approach helps to summarize and consolidate under a single platform of the activities and operations of an organization. As such, monitoring becomes easier and does the assessment. This makes it easy to assess whether or not the organization is meeting its goals as projected in the vision and the strategic plans of the organization.

Implementation

In implementing the balanced sore, there are areas that must be carefully considered. The first is the how well the strategy blends with the vision and mission of the company. Any strategy that does not support the projected goals of the organization will not contribute to such an achievement (Smith 2010). It is therefore crucial that care is taken to ensure that there is proper alignment of the two.

Further, in the implementation of the same, it is important to consider the contributions towards performance of the business (Niven 2010). The business core card that is set in place must have its primary objective as boosting and improving performance of the organization. A company’s performance determines its future. In performance, there are very many issues that are considered including customer satisfaction. It is not just the profit margins that are considered but also how well the customers of the business are served. Customers are the biggest asset of any organization. Their satisfaction largely determines the performance of the organization.

Use of Balanced Score Card

Although the balanced scorecard is often used in business organizations, it is often applicable in nonprofit making organizations. The balanced score card’s aim is not just to ensure that profit margins come up (Brown, 2007). Rather, the aim is to ensure that an organization can match its performance to its goals, long term and short term and its vision. Further, it helps make the management’s work easier by consolidating the activities of the organization. In so doing, the performance of the company goes up.

Certainly, the balanced score card has been as being very effective in profit making organizations. Every aspect of the business and especially the finances are out in check and this helps to push the profit margins considerably.

Conclusion

In an era where organizations are seeking to improve performance management, business scorecard is an idea that cannot go unnoticed. The pivotal role played by this strategy has helped increase the ability of organizations reach their intended goals. It has been realized that proper implementation of the balanced score card helps improve customer satisfaction. The overall value of services and products of the company also goes up. Besides bringing harmony in the activities of an organization, it also helps to streamline the in-house activities of the organization. Teamwork becomes more evident and this in turn boosts performance Channels of communication are also opened up. This means even in organizations where there is structural bureaucracy, those down in the ladder can still communicate to the top management. Balanced score card is business idea that has been tried and tested and has proven practicable.

References

Brown, M, 2007, Beyond the balanced score card: improving business intelligence with analytics, New York, Analytics Press.

Gerard, B, 2012, Balanced scorecard 100 success secrets, New York, Prentice Hall

Kaplan, & Norton D, 2013, Alignment: using the balanced scorecard to create corporate   synergies, London, Sage.

Niven, R, 2010, Balanced score card: step by step, California, John Wiley and Sons

Smith, R, 2010, Business process management and the balanced score card, California, John        Wiley and Sons

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Organisational Change Management Case Study

Organisational Change Management
Organisational Change Management

Organisational Change Management

Case study to be written in four(4) sections
talking about Triggers for change , including wider Macro environment (PESTLE)

SECTION ONE: Introduction to the report (600 words)
The introduction allows your busy client/ reader to preview the nature of the project you have undertaken for your busy client/ reader. Essentially, the introduction forecasts the basic organization of the report. The following questions should be addressed and/or considered in the introduction to the report:
• What are the underlying and wider case study problems and key issues facing the SCC organisation?
Be specific and concise. Clearly and initially explain and outline how different external environmental pressures are causing the need for urgent change at
SCC. Then clearly explain how some different internal problems might arise from the need for change.
This means that the opening of your report should outline and explain the relationship between the internal and external environment, concisely using
theories, concepts and examples which are referenced.
Your goal here is to show the reader that you understand the problem or opportunity, as well as the relationships or events that will affect the problem and
its solution.
• What is the purpose of the report proposal?
Even through it might seem obvious to you, the purpose of the proposal is to describe a problem or opportunity and propose a course of action. Be specific in explaining what you want to do. A good report will provide the client with a clear selling point which clearly and concisely tells the reader what the
overall report will conclude and decide. This purpose of providing the reader with a clear selling point is to capture a busy client’s attention and interest.
• What is the organization of the proposal?
Provide concise signposts which clearly indicate what will be explored in each section. Signposts are important because they clarify for the reader/ client
how the report will be logically structured and what the report will focus upon in each section.
section 2 (2400 words)

SECTION TWO: Background
Because not all clients will necessarily be competent in your field, the background section needs to clearly articulate the context behind your research.
The Background Sections require you to conduct comprehensive research. Your suggestions need to be based on the research that you have conducted, and this research needs to be demonstrated to your client.
Again, your ethos as a sound provider of business advice is largely based on the research that supports your findings and ideas.

Background Sections
Normally all of the categories of background information listed in the report introduction can be fully developed. This means that the different report
sections will be logically linked.
Please use the following background sections as a guide for the focus and structure of section two of the report. The order of these sections can be varied
if such an alteration makes sense.
• How possibly might your client address the underlying problems faced outlined during the introduction?
Problems – Findings (750 words): In this sub-section of the report clearly outline and explain how your client can address the underlying problems, and theburning platform issue of the need for urgent change.
You might consider in this section Kotter’s idea of developing a guiding coalition to align top down down and bottom up change. This section will need to
connect more broadly with the relationship between organisational development and employee involvement. For example, a guiding coalition involves developing a group of managers/ leaders such as a management team. Therefore, involving groups relates to the collective character of change. A guiding coalition as a group relates also to the political character of change. Furthermore, individual members of a guiding coalition also requires change agency skills which also
relate, more broadly to both the management and leadership of change.

Solutions Focus – Findings (750 words) In this sub-section of the report clearly outline and explain what specific change management practices and
interventions such as organisational development methods might be used. Then outline how long the possible time scales or time frames (when) for these change management practices and interventions might be. In this section you might consider for example what specific time based organisational development (OD) methods such as future search and open space might be used, and when (time scale).

SECTION THREE: Conclusions
Limitations (450 words) Critically reflect upon and recognize the limitations of your proposed possible solutions. This section should present a balanced
conclusion to your work, and reflect your analysis in the preceding sections.
This section might consider the ongoing problems of continuous change for people in organisations such as the psychological contract, engagement and
insecurity, and practical difficulties of OD and employee involvement.

SECTION FOUR: Recommendations
Implementation – recommendations (450 words) In this final sub-section of the report clearly outline and explain how and in what ways your solutions outlined above can or will actually be executed or implemented.
This section of the report might consider leadership development programs which enable continuous change in the longer term to be addressed, and changes to leadership styles which enable more effective leadership of change. Other examples of what might be considered include:
• Employee Assistance programs (EAP) – these are OD and EI methods which directly address problems of employees coping with change, and link to softer
approaches to change
• External consultants or Envoys – You might consider SCC employing external change experts such as envoys (see ACAS) who can provide specialist knowledge and expertise regarding different aspects of restructuring and change.
• Team working/ building: You might consider recommending developing group working through use of T groups to help people cope with changing roles and relationships, or communities of practice to developing knowledge working and innovation and thus new product development
• Management accounting frameworks: You might consider linking accounting frameworks such as the balanced scorecard and intellectual capital to soft aspects of change such as leadership and people management.

Case study – CEO memo
County council staff warned over major job cuts
HUNDREDS of jobs will go at Suffolk County Council – but staff are not doing enough to prepare for the brave new world.
That is the blunt message to thousands of council staff from chief executive Andrea Hill in her latest newsletter.
Mrs Hill warns that while the council has developed a policy entitled “A New Strategic Direction,” staff have been far too slow in putting it into practice.
She said: “I am more convinced than ever that our new strategic direction is right.
“We spent many months co-authoring it and sharing it. My concern is that we are not delivering it.
“People know the ‘burning platform’ of financial crisis is coming, but we are acting as if it’s off the shores of Louisiana – too remote to affect us.”
She warned that losing jobs was not the answer to the council’s financial problems – a gap of £153 million is expected to open up in the council’s budget by
2013.
She said in the newsletter: “This will mean fewer people will work for the council in the future. There will be job losses. I don’t know how many – if I did,
I would tell you – but we need to reduce our staffing costs.
“Just reducing our headcount however won’t close our budget gap: I thought it would, but I was wrong. If we cut our managers by 30% – that’s about 400 posts
– it would save £55m. So cutting jobs alone is not enough.
“I don’t expect us to be running a big redundancy programme because we can’t afford it.”
Mrs Hill says she wants to reduce the demand on the council’s services: “To prevent the £153m budget gap, we need to switch off the demand for our services in two ways: by addressing the root cause of social problems and fixing them once and for all; and by building social capital to strengthen communities to help themselves.
“Where services still need to be provided, we will work collaboratively with district councils, health, police and the voluntary sector to join up services
across the public sector using lean systems thinking to cut out waste and meet real (rather than perceived) customer needs.
“Currently the council is not fit to do this.”
Opposition leader Kathy Pollard was surprised by the tone of the newsletter.
She said: “I’m not sure what she means about switching off the demand for services – how do you switch off the demand for children’s services? How do you stop people becoming old and frail? Do you stop them from using libraries? It just doesn’t make sense.
“And we pointed out that the council took on a lot of new members of staff last year. Is that all going to be pushed into reverse?”
Council leader Jeremy Pembroke has said that the county badly needs to change the way it operates, and that Mrs Hill was hired because of her skill at coming
up with radical solutions to serious problems facing the county.
“That is why we felt we had to pay for the best when it came appointing a new chief executive,” he said.
The full text of Mrs Hill’s newsletter:
Reshaping the council: A call to action
On Friday, whilst the country was excitedly watching the outcome of the General Election and who might form the next government, there was as much energy and excitement in a community hall in Kesgrave. Why? Because 175 managers from across the council were working out how to implement the New Strategic Direction.
We know a new government signals a new era of financial austerity. With the General Election Campaign over, politicians of all parties will need to get real about the size of the spending cuts to come. I’m not expecting our budgets to increase for the next 6 years, but our costs will. If we do nothing, our budget gap will be £153 million by 2013.
I am more convinced than ever that our New Strategic Direction is right. We spent many months co-authoring it and sharing it. My concern is that we are not delivering it. Friday’s workshop proved that at least 175 colleagues understand the direction. People know the ‘burning platform’ of financial crisis is coming, but we are acting as if it’s off the shores of Louisiana – too remote to affect us. So Friday was a call to action – the start of a new programme of
change that will reduce our costs.
The New Strategic Direction is about radically redesigning public services across Suffolk to achieve the Suffolk Story priorities in the new, reduced,
financial context. It is about challenging our spend and dramatically reducing our costs. To prevent the £153m budget gap, we need to switch off the demand
for our services in two ways: by addressing the root cause of social problems and fixing them once and for all; and by building social capital to strengthen
communities to help themselves. Where services still need to be provided, we will work collaboratively with district councils, health, police and the
voluntary sector to join up services across the public sector using lean systems thinking to cut out waste and meet real (rather than perceived) customer
needs. Currently the council is not fit to do this: that’s why I wrote ‘Reshaping the Council’ to challenge us into a new way of thinking. That’s why I’ve brought in a new Director for Organisational Change (Max Wide) to develop a hardnosed programme to implement the New Strategic Direction.
I believe the council needs to change. It is too slow, too complex, over elaborate, risk adverse, designed more for the regulator than the customer, and now
– in a new financial climate – too expensive. I know it will need to be leaner, smaller, cheaper, more creative, and more innovative. That means we need to radically rethink what we do and how we do it. We have to develop more commercial skills to understand our costs better and drive them down.
This will mean fewer people will work for the council in the future. There will be job losses. I don’t know how many – if I did, I would tell you – but we
need to reduce our staffing costs. I heard a rumour last week that some people thought if they got on the invite list for Friday’s workshop, their jobs were
safe. Not true. Those who attended heard me tell them that. I want our most creative, innovative, hardworking colleagues to stay in the council. I’ll try to encourage that to happen. Just reducing our headcount however won’t close our budget gap: I thought it would, but I was wrong. If we cut our managers by 30%
– that’s about 400 posts – it would save £55m. So cutting jobs alone is not enough.
I don’t expect us to be running a big redundancy programme because we can’t afford it. Nor do I think we have the public sympathy to spend taxpayers’ money on paying people to leave. So we’ll need to think more creatively about how we get staffing costs down – we certainly can’t afford to keep recruiting people (we recruited 1,800 new staff last year) or to allow non-performance to go unchallenged.
The great thing about Friday’s workshop is it showed managers across the council know that the council needs to change. The reality of the financial crisis
is well known. The need for change is accepted – what we now need to focus upon is how to change. How to “de-treacle” the council without alienating the regulators. How to radically rethink whether we should still deliver all services. How to reduce demand for our services in the future. How to rethink our current assumptions.
Andrea Hill
Chief Executive

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