TASK:
Write a 2000 word essay in which you discuss and critically analyze claims that Weber’s bureaucracy can contribute to increased efficiency and effectiveness in today’s organizations.
Management Skills aiming at Output Maximization Sample Answer
Introduction
Management in any given organization requires these of the skills of management that aim to maximize on the output of the organization. The management is faced with myriads of problems that require concrete approaches in order to arrive at solutions without many disruptions. One of the articulate measures embraced by managers is the adoption of Max Weber’s bureaucracy. Max Weber’s bureaucracy touches on the hierarchical order of offices in a bid to have the effectiveness of the decisions made as well as their implementation.
The main point of interest in the Max Weber’s bureaucracy is the power and authority in the organizations. This is appropriate because, these are the focal points in an organization and their usage or misuse thereof, can determine the competitive advantage of the given organization. This paper analyses the contribution of Max Weber’s bureaucracy to the efficiency and effectiveness in today’s organizations. It analyses how this bureaucracy increases in the efficiency and effectiveness of organizations by considering its impact where it has been adopted. In so doing, references have been reviewed so as to come up with the ideas adopted by other scholars. Some views against the effectiveness of this bureaucracy have also been highlighted.
Management Skills aiming at Output Maximization according to Max Weber’s bureaucracy
Max Weber was much concerned with the modern large scale organizations. The main point of focus in his argument is the utilization of power and authority in the organizations in an effort to achieve higher outputs and increase the competitive advantage of the organization. Sager & Rosser (2009) note that; realizing the many setbacks experienced by managers in the execution of duties especially in the large scale organizations, Max Weber thought that the solution lies in the adoption of bureaucracy. He advocated for the ranking of offices in hierarchical order. In line to the hierarchical ordering of the offices, there should also be impersonal rules to guide the engagements in those offices. The holders of those offices are guided by the impersonal rules as well as the jurisdictions and duties associated with such offices. The essence of this is that, the power is in the office not in the incumbents of the office.
The other crucial point in the Max Weber’s bureaucracy is the appointments of the holders of the offices. According to the bureaucracy, the appointment of the office incumbents is done in regard to the specialized qualifications. This means that, the consideration that is made in the appointment of the employees is their specialized qualification and not other factors such as their charisma. The principles of this bureaucracy have been adopted in large scale organizations. Its application has not just been in the business organizations, this bureaucracy has been adopted even in other organizations not related to business for instance political organizations.
The bureaucracy has helped organizations in a myriad ways. Stark (2014) maintains that; the crucial aspects of organizations have gained much assistance in terms of their execution with the adoption of bureaucracy. For instance, in the large scale organizations, there has been efficient planning following the adoption of bureaucracy. Mobilization and centralization of resources has also been possible following bureaucracy systems. Where it has been adopted, there have been great outputs. It is those observed outputs that have made bureaucracy to be lauded as the most effective form of administration.
Management Skills aiming at Output Maximization and Hierarchical offices
One of the outstanding features of Max Weber’s bureaucracy is the aspect of hierarchical offices. This denotes the ranking of offices such that there are the top offices, middle and the bottom offices. The ranking of the offices is done in accordance with the power and the authority associated with the office bearers. The power and the authority are distinctively associated with the office such that, outside the office, the office bearer does not carry the prescribed power and authority. Spicer (2015) clarifies that; the hierarchical ranking of the offices yield efficiency and effectiveness in the organization because of the executed supervision of the lower offices by the higher offices. The tying of the offices with the authority and power ensure that the higher offices have substantive power to supervise he lower offices. This ensures that the duties prescribed are carried out in good time and with the maximum effort required.
The supervision of the lower offices by the higher offices following the hierarchical ranking ensures that there is a correction of any misdeeds in the shortest period of time. This brings a lot of efficiency and effectiveness in the undertakings of the organization. This hierarchical ordering of the office ensures the subordination in the employees such that execution and supervision of duties is done smoothly. The attributes of the hierarchical ordering of the offices have been adopted not only in business organizations. Political parties and ecclesiastical organizations have also adopted the hierarchical ranking of offices. This follows the efficiency associated with the hierarchical ordering of the offices.
The adoption of the hierarchical order of offices does not entail that the upper office holders take the work of the lower order offices. It only denotes the execution of power and authority as well as the deliberations of supervision. Van der Voet (2014) acknowledges that; the lauded aspect of the hierarchical ranking of the offices that is associated with the efficiency and effectiveness of this method of administration is the separation of the private life from the office engagements. This form of administration advocates for the total separation of the office bearers’ private life from that of the office. It calls for a total embrace of the official duties without consideration of the officer’s private life. It does not encourage the mixing of private life with the engagements of the office. This increases the efficiency and the effectiveness both from the management and the office bearers’ point of acting.
The impersonal part of the bureaucracy ensures that individuals are not guided by personal intuitions and their private interrelationships. This aspect of the bureaucracy entails the guiding of the office bearers as well as the workers, by the impersonal rules. This means that, the rules are already stipulated and there is no question about them. They are there to be followed. The upper offices are charged with the duty of ensuring that the lower offices follow the impersonal rules. Hutchinson & Bouchet (2014) maintain that; the notion of impersonality in the rules elicits effectiveness and efficiency. This is very much unlike the cases of democracy where the rules are made by the people. Under such circumstances, the workers are likely to associate the rules with those who contributed them. It therefore becomes easy for them to refute them and go against them. However, with the impersonality associated with bureaucracy, the workers do not associate the rules with an individual. They are stipulated rules which must be followed. This spirit ensures that the rules are followed without question. Such impersonal rules have proved to be very effective in ensuring that there is the subordination of the lower office bearers to the upper office incumbents. With this subordination, supervision becomes easier and duties are performed with a lot of effectiveness.
For instance, in a production organization, the impersonal rules ensure that workers arrive at the work station in the stipulated time. They also carry out their duties without much questioning of the related links. Those who are charged with the duty of ensuring that there are raw materials do so in good time. Those charged with production operations will also do without questioning how others are executing their jobs. Impersonal rules as an aspect of bureaucracy minimizes time wastage. There have been observed wastage of much time when organizations embrace the democratic way of management. Consideration of the different peoples’ opinions subject organizations to wastage of a lot of time. Impersonal rules in bureaucracy overcome this challenge by ensuring that the workers follow set rule. However, this does not denote that the workers cannot air their suggestions. They can do so but not in a direct way or expect the suggestion to be implemented with immediate effect.
Management Skills aiming at Output Maximization Specialized qualification appointments
Jo & Rothenberg (2014) observe that; the principles of Max Weber’s bureaucracy touch on the appointment of the office incumbents following their specialized qualification. In line with his aspect, there has been continued consideration of the specialized qualification of the employees in organizations. When the employees are given duties in which they have specialized, it becomes easier for them to do the duties in an efficient manner. Following familiarity with the issues touching on their duties, they find it easy to do their jobs. This contributes efficiency and effectiveness in the organization. Goals of the organizations are easily reached at.
The consideration of the specialized qualifications of the employees continues to be of great concern not only in the business organizations but also in the other areas such as politically oriented organizations. The appointment of the specialized qualified personnel emanate from the impersonal rules of the bureaucratic systems of management. When the appointment of personnel is supposed to be according to the specialized qualification, it is not questioned in the bureaucratic systems. The involved people will have to follow the procedures of coming up with the specially qualified person to fill the posts. According to Farell & Moris (2013) when the posts in an organization are filled by people with specialized qualification, there is efficiency and effectiveness following higher output due to the familiarity of the issues dealt with in the organization.
The principles of bureaucracy as denoted by Max Weber yield effectiveness and efficiency in organizations through the notable achievements. The principles such as hierarchical offices, impersonal rules as well as appointment according to the specialized qualification lead to better planning in the organization. With the hierarchical offices, every office incumbent is aware of the part that the play in planning. They therefore do the planning without the misgivings associated with other styles of administration. For instance in democratic management, there could be misgivings in the planning because whatever is planned is subject to be withdrawn following the disagreements of such ideas by other workers. In the bureaucracy system, each office has their own boundaries in the planning and execution of duties.
The principles also help in the mobilization and division of resources. Al-Wagdani (2010) discloses that; the impersonality notion associated with bureaucracy ensures that there is evenness in the acquisition and distribution of the resources. This is because; the effects of subjectivity and peoples’ ideas do not interfere with the activities of acquisition and distribution of the resources.
Management Skills aiming at Output Maximization and Point against
There has been much lauding of the bureaucracy system of administration in the organizations especially the business and politically oriented ones. However, this system of management cannot be said to be exclusively perfect. There are some weak points associated with it. These points may, in given situations contribute to lack of efficiency and effectiveness in the organizations. For instance, the aspect of failure to address the individual particulars may go a long way in eroding the effectiveness and the efficiency associated with the bureaucracy. Bureaucracy does not engage in the individual particularities.
Bartels (2009) assert that; bureaucracy does not consider the individual private life in the stipulation of duties. This may lead to the employees’ disconnection of the private life and the work callings. When workers feel that the management is not giving much care to what happens to their individual life, they feel demoralized especially when the employees would have wished for some sort of assistance from the organization in order to arrive at some solution. This leads to unhappy workers who may be very ineffective and less efficient in their undertakings. This emanates from the feeling that the organization is just using the employees as vessels of achieving its goal without realizing their value as human beings.
Management Skills aiming at Output Maximization Conclusion
The bureaucracy system of management that originated with Max Weber has gone great depths in assisting the managers of today’s organizations to achieve effectiveness and efficiency. Its main principles touching on hierarchical ranking of offices, impersonal rules as well as appointment according to specially has realized efficiency and effectiveness in the modern day organizations. However, there are a few misgivings associated with this noble system of administration. This mainly touches on the inability of bureaucracy to give attention to the individual particularities, hence employees feel not valued.
Management Skills aiming at Output Maximization References
Al-Wagdani, AM 2010, ‘A Reconstruction of Max Weber’s Theory of Bureaucracy. (English)’, Journal Of King Abdulaziz University: Arts & Humanities, 18, 1, pp. 1-46, Academic Search Premier, EBSCOhost, viewed 13 April 2015.
Bartels, KR 2009, ‘The Disregard for Weber’s Herrschaft’, Administrative Theory & Praxis (M.E. Sharpe), 31, 4, pp. 447-478, Business Source Complete, EBSCOhost, viewed 13 April 2015.
Farrell, C, & Morris, J 2013, ‘Managing the neo-bureaucratic organisation: lessons from the UK’s prosaic sector’, International Journal Of Human Resource Management, 24, 7, pp. 1376-1392, Business Source Complete, EBSCOhost, viewed 13 April 2015.
Hutchinson, M, & Bouchet, A 2014, ‘Organizational Redirection in Highly Bureaucratic Environments: De-Escalation of Commitment Among Division I Athletic Departments’, Journal Of Sport Management, 28, 2, pp. 143-161, Business Source Complete, EBSCOhost, viewed 13 April 2015.
Jo, J, & Rothenberg, L 2014, ‘The Importance of Bureaucratic Hierarchy: Conflicting Preferences, Incomplete Control, and Policy Outcomes’, Economics & Politics, 26, 1, pp. 157-183, Business Source Complete, EBSCOhost, viewed 13 April 2015.
Sager, F, & Rosser, C 2009, ‘Weber, Wilson, and Hegel: Theories of Modern Bureaucracy’, Public Administration Review, 69, 6, pp. 1136-1147, Business Source Complete, EBSCOhost, viewed 13 April 2015.
STARK, A 2014, ‘BUREAUCRATIC VALUES AND RESILIENCE: AN EXPLORATION OF CRISIS MANAGEMENT ADAPTATION’, Public Administration, 92, 3, pp. 692-706, Business Source Complete, EBSCOhost, viewed 13 April 2015.
Spicer, MW 2015, ‘Public Administration in a Disenchanted World: Reflections on Max Weber’s Value Pluralism and His Views on Politics and Bureaucracy’, Administration & Society, 47, 1, pp. 24-43, Business Source Complete, EBSCOhost, viewed 13 April 2015.
van der Voet, J 2014, ‘The effectiveness and specificity of change management in a public organization: Transformational leadership and a bureaucratic organizational structure’, European Management Journal, 32, 3, pp. 373-382, Business
Explain the duties of directors of a corporation we else owes similar duties? what remedies area available for the breaches of duties
SAMPLE ANSWER
The directors of a company are the key personnel that are responsible for the management of the company. In most cases, the directors of the company work collectively as a board in order to the chant the way forward as one sole entity. The articles of association give the board of directors to delegate authority to individual directors as considered appropriate by the company. The duties and responsibilities of directors are statutory duties with their legal capacities in order to drive the company forward. The operations of the directors are closely guarded by the company constitution to ensure that all their work is reasonable and has no conflict of interest. In their duties, the directors exercise independent judgment and are not obliged to accept benefits from third parties. The directors are responsible for drawing policy initiatives for the company in accordance with the scope operations of the company.
In some instances, one or more directors can breach their duties as far as company operations are concerned. However, the law provides for a variety of remedies in the event a director breaches his duties by contravening his moral and legal authority. The remedies for breach of duties include a court injunction or declaration and compensation where appropriate. In the case where the company property is lost, the director can be ordered to restore the company property or account for profits. In case of contract breach, rescission of the relevant contract can be ordered to act as a remedy for the breach of duty. In extreme cases where the director portrays gross violation of the company rules, the director can be dismissed and be replaced with other responsible persons who can act with due diligence.
Reference
Cheeseman, H.R. (2012). Business Law 8th Edition. Prentice Hall
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Questions
Part One: (1 attachment: PowerPoint-M&A Theories and Major Synergies Models)
1- One of the first M&A steps is to screen the market in order to identify potential targets. Suggest three potential targets and document your choice with qualitative and quantitative analysis.
The three targets companies, but we need to do qualitative and quantitative analysis
• www.engilitycorp.com
• www.olivegroup.com
• www.dji.com
2- Describe each of the potential targets using the relevant M&A theories and the relevant synergies valuation models, as listed below.
• Synergies: Operating Synergy & Financial Synergy
• Valuation: The Discounted Cash-Flow (DCF) Model, The Discounted Future Earnings (DFE) Model, The Multiple Model, The Comparable Transactions Model
3- What are the potential synergies that may come from merging with each of the identified targets? Suggest an economic assessment of these synergies.
4- Based on your assessment and analysis done in questions 1to 3, recommend the firm among the three selected ones that should be subject to be merged with Tawazun. Recommend an execution plan for this merger within a realistic timeline and illustrate how and when the synergies will be achieved.
A) Explain each of the below on the three Targets Selection Framework
• Profitable and financially healthy targets: Gross Profit Margin, Net Profit Margin, Current Ratio, Quick Ratio, Dept to equity, Return On Equity, Return on Asset, EPS, P/E (for each of the three companies)
• Stability of the revenues
• Publically listed or private?
• Maturity (age of the firm)
• Geographical consideration
• Business model similarities and/or complementarities
• Existence of a Competitive advantage or not
• Regulated industry/sector or not
• Size: too much small or too much large (implications on the M&A financing scheme)
• Dependence on one customer or not
• Long-term contractual arrangement with suppliers?
• Law suits?
B) Overview of the Selected Targets
• Industry
• Products
• Business model
• Governance structure
• Financial facts and performance
• etc.
C) Use one or more of the valuation models to assess the potential synergies
D) Be conservative (not too optimistic…)
E) Cover different dimensions as much as possible
• Operations
• HR
• Finance
• Strategic
• IT
F) Recommendation and first draft of M&A Planning
Part Two: (3 attachments: Reading 4-M&A Execution Imperatives, Reading 3-a- Performance Assessment in M&A, and Reading 3-b- Performance Assessment in M&A)
5- According to Wang and Moini (2012) and Zollo and Meier (2008), what are the different methods used to assess the performance of M&A? Describe them.
6- According to Arthur et al. (2003), what are the main executions problems for which M&A may fail? Describe them.
7- According to Arthur et al. (2003), what are the two M&A integration imperatives? Describe them.
8- In question 4 of the part one, you recommended and execution plan for a target integration. Enhance this plan using some of the relevant performance metrics.
9- Explain how your recommended execution plan prevents from M&A execution problems?
SAMPLE ANSWER
Introduction
According to Basmah and Rahatullah (2014), mergers happen when organizations verify that consolidating their business operations with an alternate venture is of profit. This is generally helpful as expanded quality for the shareholders. While a merger of equivalents can happen when two organizations consolidate, this is not regularly the situation. Rather, the two organizations will go to an assention in which one of the organizations buys the other association’s regular stock from its shareholders in return for the buying organization’s basic stock. Here and there, money or different sorts of installment are utilized as a part of request to encourage the value exchange. Nonetheless, the most well-known methodology for a merger is the stock-for-stock plan (Adomako, Gasor & Danso, 2013). At the point when a merger happens, it is uncommon that there is an exchange of stock on a coordinated premise. This is almost constantly finished with a proportion. This is on account of the organizations are seldom of precisely the same size. For instance, Company A may be obtaining the stocks from a littler Company B. In the event that Company A is three times the extent of Company B, then the degree would be 1:3. As such, for every three shares of Company B, Company A would pay with one of its own stocks.
Part One
Engility
This is a company formed a couple of years ago to offer various technological solutions. For the past three years, the company has been busy providing critical services and support to the American department of defense and Federal civilian agencies with technological solutions to these bodies. In the recent past, the company has expanded their operations in line with their capabilities and brand in order to take advantage of the market opportunities. Therefore, the company is determined to enhance value for their customers by providing business services that are benchmarked with other similar businesses in the industry. The company has a workforce composed of character, skills, and expertise that are necessary for undertaking the most challenging tasks that may arise in the course of their operations. Since the company operates in more than 40 countries, the company has a wide market for their products and this enhances their strategic position (Engilitycorp, 2015). The company boasts a global of excellence in command and control system software, engility services, global security and engineering solutions, linguistic operations, and technical support.
Olive group
This is a company that provides resilient safety, security, and technological systems that support the core business functions in the oil and gas sector (Olivegroup, 2015). The oil and gas industry continue to venture into remote and high risk areas due to increased demand for hydrocarbons and this requires technological solutions to minimize such risks. The Olive group takes advantage of the need to provide advanced security, safety, and technological solutions in the energy sector that is subjected to high risk operations. In addition, the Olive group is determined to take care of the criminally and the politically motivated threats in the oil and gas infrastructure that increases with increased global demand.
DJI
DJI is a company that provides creative tools used to capture images that were previously out of the reach of human beings. The company operates flying cameras with the ability to move in the air and capture images that are then transmitted to the central server for adequate analysis. The DJI products are able to capture professional and high quality images and videos in every corner of the world, thus enhancing surveillance systems. Through their commitment to R&D and innovation, the company has managed to produce easy-to-use devices combined with advanced technologies and modern designs that promote the ethos of “form follows function”. Due to its strategic headquarters in the Chinas Silicon Valley, Shenzhen, the company benefits from direct access to raw materials, creative talent pool, and other important supplies that improve their chances of success (DJI, 2015). Due to the nature of their products, DJI has successfully managed to redefine various industries by accomplishing safer, faster, and more efficiency that before.
Analysis of the marker screening
From the above analysis, the three companies can form a very successful merger due to the nature of their operations. Since the companies operate in related environments, their merger can create more efficiency leading to improvement in their overall productivity (Cefis, Marsili & Schenk, 2009). This is because the security operations provided by the two companies will provide solutions to the highly risky oil and gas operation of the other company. In addition, the ability of these companies to form a merger will enhance their market power due to increased quality of their products. Due to the quick growth anticipated with mergers, the companies will have enhanced market power due to their diversified product portfolio. Since these three merging companies operate in related industries, they are likely to share information related to the market of their products and this will have them in formulating an advanced business operation strategy.
Operating synergies
According to Weber and Shlomo (2012), operating synergy is a type of a synergy that results to companies increasing their income and growth by the use of the same level of assets. It is useful, and divided into the four parts. These four parts are inclusive of the economies of scale that makes the organization to be more efficient in its operation due to combined effort following the merger that has been done. There is more profit that is evident in the company when merging is done and this increase the profitability of the company (Vu, Shi & Hanby, 2009). This is only evident, where both the parties are involved in the same kind of business that is headed in the same kind of direction with the same aim of profit making as the main outputs. Operating synergies give yield to a more increased pricing seen to be experienced by the company at hand the company that has merged will have high increased profits and higher margins following the reduced competition that is now evident. When companies come to work together, there is combined strengths will provide diverse strengths that will propel the organization forward. On the side of technology, it will improve because, the strengths that were employed by the single companies will now be put together leading to high productivity. Operating synergies will lead to a combination of multiple strengths and higher growths in the market (Schraeder & Self, 2003).
Financial synergies
These are type of synergies that are related to payoffs and in some cases, they can related to low, high or even both pay offs. When projects are of low rate, there is a high cash flow in such an organization and the value of that firm is highly increased following the high returns in the same organization (Schief et al, 2013). When a big company acquires a large company, the value of that big company will automatically increase due to the acquisition that has been made. This will further define the debt capacity of the two companies that have merged together to be highly increased because, there is consolidation of cash flows and other accounts of the two companies (Rosi, Shlomo, & Raviv, 2013). There is what will be termed as a tax case resulting from the acquisition of the smaller company the larger one. The companies will tend to benefit themselves by ensuring that that they manipulate the taxes by ensuring that they write off loses of other companies to reduce their tax liability. This will of high benefit to such firms who will evade the huge taxes they are entailed to pay but will be a loss on the other side if the laws governing the country finds out the trick the company is using to evade responsibilities. Whenever there is diversification, the firms are liable to face huge problems and more in the case of the investor’s diversification.
Discounted cash-flow (DCF) model
This is the main valuation model that is highly considered by companies that are about to carry out the mergers and acquisition process (Pillania, 2011). When the cash flow of a given company is well analyzed, it is thus very easy to tell the value of that given company and the amount of money that ought to be paid for it to be acquired by a much bigger company. The value of the company will give its estimated cash flow in the future; hence the other company acquiring it will tell if it will be able to benefit from it. This is a very rare opportunity that is used to measure the attractiveness of the investment opportunity to the acquiring company in a more realistic way (Nogeste, 2010). The cash flows of the firms is done separately, then from the combined firms and this is done to get the actual analysis of each firm with the aim of getting the true value and the benefits that can be experienced by the firm. The calculation follows two models that are to be followed to ensure that the actual value of the company is well tabulated. The model involves the forecast period and the terminal period, which have to be analyzed to get the cash flow made during that time. After the computation of the company’s value, it is prudent to get the cash flow over the life of the company in comparison to its present value. This is useful in analysis the amount of money the company big company acquiring the smaller company will be required to pay (Merikas, Polemis, & Triatafyllou, 2011).
Discounted future Earnings (DFE) Model
This is another type of model used in the analysis whose main aim is to relate the present value earnings of the given firm with its synergy value in the same given company (Mehta & Hirschheim, 2007). The company’s present value of the future earnings in most cases, it recommended to be compared with its synergy value especially to the smaller company and that of the two companies combined to give the credit worth of all.
Multiple models
The product of the flow of synergy is well tabulated by the use of this model and it is also compared with the value of the synergy that is present in the company. Comparison of the two firms is as well done through the use of this model, thus, for the comparison to be more effective, the common variable present in both the companies is kept constant. In the case of multiple cases, the synergy of the individual company is highly recommended to be compared with the difference between the multiple values of the firms at the combined state to ensure that the multiple value is accurately tabulated (Malik et al, 2014). The multiple value of the combined firms will be excess as compared to the value of the individual firm implying that in the case of multiple tabulations, the multiple firm have to be involved in whole.
Comparable transactions model
The common variable, which is maintained constant to all firms, is compared with the synergy and the product of the synergy that flows in all the organizations under the comparable transactions model. This also implies that, the comparable transaction model is useful in the comparison of the comparable transactions with the company’s synergies.
Question three
Operation synergy
There are two types of potential synergies that come as a result of merging the three companies inclusive of the financial and the operating synergies. On the side of the operating synergies the economies of scale on the side of the company’s will be said to increase following the merged efforts of the three companies. The organization will now be more efficient in its operations due to, the combine efforts that come as a result of the merging of the companies. The cost incurred in the production of the company’s product will be reduced, leading to increased profit to the company (Huang & Kleiner, 2004). This is because all the parties are therefore, involved in the same type of business that entails all having the same goal of making profit and improving the performance of the company. Once the companies have merged together, the competition power will be reduced; thus, the power of pricing will be increased at a very high rate. This will increase the company’s sales and profit at the same time; hence increasing the value of the company. Merging of three companies leads to a high combination of the multiple strengths that may result to the way of success to the newly formed company. The strength of one company might compliment the strength of the other company to mean that, when all these strengths are combined together the capability of the company will be increases to a higher percentage (Fiarield, Ogivile, & DelVecchio, 2002). This will therefore result to higher growth in the market, which will mean all the customers of the old companies will now be customers of the new company. The potential of the market growth will highly be increased such that, no matter the pricing of the products, people will tend to buy the products of the company because they can only access them there. The potential of the market growth will highly be increased such that, no matter the pricing of the products, people will tend to buy the products of the company because they can only access them in that one company.
Financial Synergy
This is termed as good potential for growth for the newly formed company that will now have a guaranteed increased number of customers old and newly formed ones. On the side of financial synergies that are formed as a result of the merging of the three companies, the cost of capital may be high, low or even the two circumstances can as well be noted depending on various situations in the three companies. The organization will have a high cash flow that will result from the low rate of projects that is evident in the company. The debt of the newly formed will be rated higher than before due to the companies that have merged to form the new company; thus, combining their debts together (Dorota, 2012). This will be a disadvantage to the new company that will have to pay huge amount of debts, for it to pave its way through. The debt will increase as a result of consolidating the cash flow, accounts of all the companies and other accounts belonging to the individual companies as well. In some instances, the company will tend to manipulate the tax that it ought to pay just for the sake of its own interest gain. This can be done through the use of the profits of one organization to cancel the losses of the other organizations to mean that, the tax liability of the new organization is increased (Clayton, 2010). The three companies that have merged together were from diverse grounds with diverse leadership, management that might be a problem to the new company, which is at a high risk of encountering insurmountable challenges in the incorporation of the diverse operations from the three companies.
Assessment
Based on the above assessment, the best company to be merged with Tawazun is Engility since they are closely related in the sense that they both deal with military technologies. In this regard, it would be very easy to streamline the operations of the two companies since they have related clients. Since the companies come from very different markets, the merger between them is likely to cause an improved market for the merged companies. Engility alone operates in more than 40 countries and this makes them a strategic partner for the merger with Tawazun due to the large nature of their market. Englity also forms a strategic partner of Tawazun due to their global excellence in command and control software, global security, and engineering solutions.
Execution plan
The beginning of the execution plan will begin with creating a unified organizational culture for the merged companies since the two companies comes from diverse cultural environments. The next stage will involve merging the vision and mission of the companies. The next stage involves integrating the personnel of the two companies into one unit to build the team momentum required for the success of the organization. This will help to develop the human capital that ensures the planning and retention of the best talent needed for the proper implementation of the company’s mission and vision. Integrating the cultures, formulating mission and vision statement, and development of the human capital can be done within one year period.
After the actual merger, the synergies will automatically be obtained and this will help the companies to create some opportunities that were not available in case they were working independently (DivyaPriya, 2012). After the merger, the companies will form one big company and this will enable them to achieve economies of scale, resulting into more profits. Merger enables the company to reduce the competition among them and this increases their pricing power, leading to more profits from their sales. In addition, the merger will enable the companies to have a combined strengths that if they were operating independently. Since these companies come from diverse geographical locations, they would achieve higher growth due to the increased market presence. The merger between these two companies will also result in financial synergies, such that their debt capacity would increase as their cash flow and other accounts are consolidated, leading to increased debt capacity.
Part 4 A.
A vital part of the successful merger or acquisition is proper evaluation of the target company (Schef et al, 2013). Like nearly any sales transaction, this can result in differing opinions. The company selling stocks will want the price to be high. The purchaser will work to achieve the lowest price. Since there are often many millions of dollars involved, methods for determining the value of a company have been developed. One method for establishing the value for a company is to use comparative ratios. Many ratios exist, and the most common of them are the Price to earnings ratio (P/E ratio) and the Enterprise Value to Sales Ratio (EV sales). The P/E ratio includes the acquiring company make an offer which is some multiple of the target company’s earnings. Examining the P/E ratio can provide the purchasing company with guidance concerning the multiple which should be used in the purchase. A higher P/E ratio will generally lead to the use of a higher multiple. The EV sales ratio allows the acquiring company to base their purchase multiple on the revenues of the company (Rossi, Shlomo, & Raviv, 2013). If the company has a relatively high EV sales ratio, then the multiple paid for the purchase stocks will be higher.
Another important factor to consider when determining the value for a company is its replacement cost. If the value for the company were the sum of its staffing and equipment costs, the company doing the acquisition could purchase the staff and equipment in order to evoke the acquisition. This type of evaluation is used primarily when the assets for a company are tangible such as vehicles, mines, and products. Companies which are in the service industry may have assets such as ideas and people, which do not lend themselves to this type of valuation.
Gross profit margin is the type of profit in a given company that is calculated with the selling price multiplied by 100 and it can best be defined as the selling price that is turned to profit of a company. Return on assets is well used in showing of how a company’s given assets are in the fore front of giving high returns and profits to the same company (Nogeste, 2010). The best way of tabulating the return on assets is by dividing the net income of the same company with its average total assets that will give the actual tabulations. This will give the actual figure gained by the company after it has employed the usage of its assets in profit making.
The current ration of the company is its financial ratio hat is used in the measure of resources of the firm that it will use in the paying of acquired debts either through the bank or any other loner channel (Pillania, 2011). The company’s market liquidity ratio can be compared to the company’s current ratio; hence, tabulated by diving the current assets with the current liabilities. This is the best way of a company that is interested in comparing of its current assets with its current liabilities that it will be entailed to surrender on failure of paying the acquired loan.
Quick ratio is the measure of the how fast a company will be in a position of using its available cash that will be needed to clear its liabilities within then given time as earlier agreed. The faster the company uses its money to clear its debts the higher the position it will attain of acquiring bigger loan from the same loner. The quick ration is obtained through the addition of the accounts receivable, the cash and cash equivalent with the marketable securities whereby, the total sum is divided by the current liabilities.
Debt to equity ratio indicates the relative equity that belongs to the company’s shareholders equity in combination of the debt a company has been in a position of acquiring to finance its assets to work accordingly (Mehta & Hirschheim, 2007). This type of a ratio is mostly termed as the risk leverage a company has to incur in its operations of expanding the business to higher heights. To obtain debt to equity ratio, the total debt that a company has acquired is divided by its equity. This will therefore, give the financial leverage of the company as a whole and corrections will be done on the right places.
Return on equity will best give the required return to the company’s interest by measuring all its efficiency of a company on how profit is given to the shareholders on each unit. It can best be tabulated by dividing the net income with the shareholder equity of the given company to ensure the returns are equal to the fiscal year net income. This is a ratio that is given in percentage terms; thus, also referred to as the return on investment. It can be given by tabulation of the Net Income that is divided with the Total Assets.
Stability of the revenues will have an impact on the success of the merging companies such that the more stable their revenues, the more profitable the merging venture is due improved profitability. Since both the three companies have stable revenues, they are likely to take advantage of the synergies created by the merger to increase their profitability.
The nature of the companies, whether public or private, affects the success of the merging process. For public companies, the process of merging usually becomes complicated since it involves government bureaucracies and processes which often take long time to reach conclusions. In addition, some government entities are usually guided by some laws and regulation that requires the parliamentary not to continue with the merging process. For the private companies, the merging process becomes relatively easier since the ownership of the companies is in private hands with main focus driven by profits. This is quite different for public listed companies since the government is also highly concerned on other factors such as the loss of employment and environmental impact of such mergers. Since all the three targets are privately owned, the process of merger is simple and faster due to less bureaucracy involved.
Maturity age of the firms also determines the success of the firm, such that the firms at their maturity level are likely to carry out successful mergers than firms at their advanced stages. Firms are maturity level are have reached their final stage of their growth and have nothing left apart from forming mergers and acquisitions to form multinational corporations. Since all the three firms are at their maturity levels, it becomes simple and profitable for them to form mergers that they will use to benefit from opportunities that come from globalization.
The geographical location should always be considered for firms intending to form mergers since it determines the level of market penetration of the proposed merger. Companies that are located in different places have more capability to increase their market presence that those companies located in the same geographical location. The fact that these companies are located in different locations enables them to form strategic partners for merger that would result into increased market presence.
The nature of the business model also affects the success of the merger, such that firms with similar business model integrate their business activities easily than those firms with different business models. All the above companies strive to achieve innovation in their businesses, they form potential targets for the merger due to similar business model.
The existence of competitive advantage also has an important role to play in the merger process since such combination of attributes supports the synergies developed (Nogeste, 2010). Since all these merging companies have highly qualified staff, this gives them a competitive advantage necessary for the merger process. In addition, the location of these companies makes it possible for them to attain natural resources that enable them to make their products with lots of ease. All these merging companies also focus on innovation from new technologies such as robotics and information technologies. According to Pillania (2011), the competitive advantage gained from these individual attributes will enable the merging companies to outdo their rivals in the industry and realize more profits needed for the success of the organization.
The nature of the industry, whether regulated or not, determines the success of the overall merger of the organization. According to Nogeste (2010), the technological sector is not much regulated and thus companies have enough freedoms to explore their innovative strategies as long as they are observing the patent and copyright laws. These merging companies have rare patent litigation incidences and this means that they are well prepared in observing their patent and copyright laws. Therefore, the regulation in the technology industry is less likely to interfere with their operations.
According to Basmah and Rahatullah (2014), the size of the merging companies has implications on the financing scheme. All these companies are medium sized companies and this implies that they have moderate influence of the financing scheme. Since the size of the companies is somehow similar, this will highly positively impact the merging process due to similar perspectives.
Both Engility and DJI are highly dependent on one customer, which is the government, for their supplies. On the other hand, the Olive group has a diversified market for their products. In this regard, the three companies are not dependent on one customer since others serve the government while the other serves the general publics. This diversified customer base enable the merging companies to have a diversified market for their products and this reduces the nature of risk due to global market risks.
The nature of contractual relationships with the clients also determines the success of the merging companies. If one of the merging companies have long-term contractual relationships with their suppliers and the other is not, the process of negotiating the contract agreements may become complicated (Cefis, Marsili, & Schenk, 2009). On the other hand, if both companies have short-term contractual relationships with their suppliers, the process of merging the companies becomes very easy and simple. In addition, the lawsuits arising from any company should be determined before the merging process. This is because companies with lawsuits are risky to merge with since the legal battles can result into huge financial and reputational losses for the companies. In turn, this would impact the level of profits realized by the organization. In this regard, it is safe and secure to merger companies which are free form law suits in order to reduce the risks that may result from the legal proceedings.
Part B
Overview of the selected Targets
The above mentioned firms operate in the high-tech industry that is characterized by accelerated innovation cycles, margin pressures, and intensive global competition. In addition, this industry is characterized by complex supply chains. In order to competitive in the high-tech industry, a company has to respond rapidly to the highly changing market conditions and demands and incorporate into their strategies. Therefore, such companies needs to have a an efficient and reliable landscape to support their complex business processes at all time of their operations (Clayton, 2010). Due to the capital intensive nature of the company, it barriers to entry are so high that only few players exist in the market.
The products for these three companies are related to robotic cameras with the potential of providing surveillance to areas that are beyond the reach of human beings. These cameras have the capability of capturing images and video from all the corners of the earth with the aim of improving security and reducing the risks in various types of businesses. These products can also be used in high risks operation such as military operations to provide surveillance and support where necessary.
The business model for the three companies is somehow the same since both of them apply the concept of innovation to create hi-tech products. Both the three companies invest a lot of money in R&D to create cutting edge products that can perform highly sophisticated security surveillance. The In addition, the governance structure of the three companies is also related since they are both headed by the CEO who is supported by various level managers. In the past few years, these three companies have had a strong financial performance with strong asset based and high sale. Therefore, these companies shows strong financial performance and their financial projections are also bright.
Part C
The merger between these companies can also be viewed under various valuation models. The discounted future earnings model can effectively be used to analyze the performance of these three companies in case of merger. The discounted future earning analysis helps to determine the current value of each of the merging companies in accordance to their estimated cash flows. The present value of the future earnings for both the organizations is then calculated for both the companies and the combined firms separately.
Part E
The operations of the company are somehow similar since they both operate in the high-tech industry. The operations of the company are geared towards achieving technological solutions that are capable of providing enough security in the most effective manner. The human resources available for these companies are also similar from the fact that they both employ highly skilled and talented pool of professionals to drive innovation from the companies. In addition, the human resources should develop and maintain a highly skilled manpower to support R&D initiatives. Since these companies have readily available market, their sales provide them with huge financial strength. In addition, these companies are credit worthy and can easily access loans for financial to finance various projects. Security is one of the main concerns for most organizations since breach of it can result into series of losses. In this regard, these three companies operate a strategic business since they have a wide market for their products across the industry. These companies take advantage of the development in information technology to develop their products, leading to improve efficiency in their operations.
Part F
I recommend that merging of these companies will result into positive synergies that would result into increased market presence and improved sales. In addition, the merger between these companies would result into increased talent pool, leading to improved chances for innovation and subsequent development of the company.
Part two
Methods used to assess performance
There are Different methods of assessing the performance of Mergers and acquisition of a given company. They are inclusive of the level of analysis, time dimension that is classified into long-term measurers and short to medium measures (Wang & Moini, 2012). The other method is the complete model that is basically used in the analysis of the logical progression that entails the consideration of the firm performance with its short term acquisition. The integration of the companies will enable the new company to reach its desired target level by ensuring that the desired level is attained for the success of the company. The task level of the new company will be highly increased following the merging of the two companies as the control systems of the company will be well aligned for smooth operations. When the degree of target level is attained by the three organizations in a satisfying manner will be the task level obtained by the merged organizations (Zollo & Meier, 2008). The transaction level will be well improved to ensure that, the company is well encompassed to ensure that the revenue growth is high together with the efficiency of the cost that is incurred in production. This will mean that, the acquired and merged companies are now having a good transaction level that can be measured by the amount of value that is generated by the new company. The value creation is very important as its realization by the new company will aid boost its transaction level that will be a measure of its new value after merging has taken place.
The performance that will be now be evident after the acquiring and merging of companies has taken place; thus, being in a reputable position of clearly the performance of the firm that is newly formed. In a firm there is a variation that mostly occurred during the time of relevance when the business plan was to be executed is also used in the definition of the company’s level of performance and its credit worth. When the performance is at a high level, the rating of the company’s level will be higher compared to other type of business.
When dealing with the matters of time horizon there are different classification that are followed inclusive of the long term measures together with the short to medium measures that are followed to ensure time is not wasted anyhow rather should be used for the well-being of the company. The period of implementation will be covered by the completion of transaction that is needed to be covered by the firm in combination of the consequent creation (Wang & Moini, 2012). The quality of the conversion of the information technology and t effectiveness of the knowledge e that ought to be well transferred defines the short to medium measures that ought to be employed for the job to be well done in the given company. The retention of the employees in the new company will a long term measure that the company will have to use in ensuring that when workforce is maintained things will be all right (Weber & Shlomo, 2012). Customers, suppliers and the business partners is a task that has to well-coordinated by the entire formed company only if it deems them necessary to it. If need be, the relationship of the partners with the new company ought to be well improved to ensure that, the company’s performance will be at the fore front.
Complete model considers the company’s short term and its performance over a long and the short period of time with the aim of acquiring the returns and stock over a short given period of time. When the transaction period has been announced, the company is required to give its stock analysis over that given time to ensure the model of acquisition is completed. When dealing with the completion of the long term windows, knowledge of what happened during the integration period has to be incorporated following that it is of great use to the acquisition and the merging program of the company. The success of the strategic move evident in the merging program is also analyzed by the market because the market will have a direct effect after the merging of the companies has been done (Vu, Shi & Hanby, 2009).
Execution problems
The main execution problems that may fail the process of merger and acquisition are inclusive of; under communication, missing momentum, information issues that are addresses too late, unclear financial expectations, unclear strategic concept and the master plan that might be missing (Wang & Moini, 2012). The new organization structure might have high compromises that might interfere with the functioning of the company; thus becoming a problem that might result from the merging and acquisition a company. When a company has done the acquisition and merging the integration of the companies ought to be the shortest possible because of delayed loss may be highly incurred as a result. When problems are evident, the potential that is used in the building of the synergies is therefore not maximized and this also leads to the destruction of the share-holders value on the same company (Zollo & Meier, 2008). Momentum that is obtained early will tend to produce acquisitions that are successful; whereas, those which do not obtain early momentum will tend to suffer loss. The deal of acquiring the mergers depend on the execution that is put forth to ensure that the acquisition process is smoothened (Schief et al, 2013). Different cultures accompanied by different management styles will be prone to bring out.
Integration imperatives
The integration imperatives explained by the Arthur are the urgency imperative and the execution imperative. The mergers that will prove to have a high progress will be the one that the market will easily trust to operate with for its growth and prosperity. The management with highly recognized actions will be at a high consideration by the company that is out to acquire the acquisition process (Arthur et al, 2003). The highest prioritized projects have to be won quickly to create a good impression to the investors that value is being created in the company that they want to acquire. There ought to be a very high urgency inclosing of underused facilities that may be the source of los to the company’s. Investors will be highly in need of knowing the value they will attain after attain the best out of the management.
Execution plan with metrics
The extent of the execution plan has an important role to play in the success of the merger and acquisitions. For proper integration to take place, it is necessary to set expectations regarding the merger in order to determine whether the merger is a success or a failure. The management can decide to set a particular financial target, say 30% profits, to be realized after the merger of these companies has taken place. creating such a blue print for the organization enable the teams involved to work hard with the aim of ensuring that such a dream is realized. The execution plan should be developed such that it can easily show results as quickly as possible to demonstrate confidence in maintaining business momentum and continuity (Schraeder & Self, 2003). The execution plan should also focus on gaining and retaining more customers than the individual companies had. In this regard, a proper target of the customers can be set, which is above the individual companies, so that assessment can be made later concerning the number of new customers acquired.
Execution plan to prevent M&A problems
Execution plan can adequately be used to prevent the problems identified in the post-merger integration. During the execution, proper communication should be enhances using the right channels and media in order to ensure that all issues are ironed out in good time (Wang & Moini, 2012). In addition, the execution plan needs to entail realistic and clear financial expectations to avoid failures due to unrealistic financial projections. The new organizational structure should also be arranged that it incorporate the managerial aspects of the merging companies and allow for proper communication flow within the organization. The organization should also create a master plan to help establish the momentum needed for the success of the organization. According to Zollo and Meier (2008), all the people involved in the execution plan should be fully committed and should be ready to follow the clear strategic concept set by the organization. All the execution plans should have set timelines in order to ensure that all the issues are addressed within good time.
Reference
Adomako, S., Gasor, G. K., & Danso, A. (2013). Examining human resource managers’ involvement in mergers and acquisitions (M&As) process in Ghana. Journal of Management Policy and Practice, 14(6), 25-36. Retrieved from http://search.proquest.com/docview/1503084748?accountid=45049
Arthur, B., McDonald, T., & Herd, T. (2003). Two merger integration imperatives: Urgency and execution. Strategy & Leadership; 31, 3; ProQuest Central
Antila, E. M., & Kakkonen, A. (2008). Factors affecting the role of HR managers in international mergers and acquisitions. Personnel Review, 37(3), 280-299.
Cefis, E., Marsili, O., & Schenk, H. (2009). The effects of mergers and acquisitions on the firm size distribution. Journal of Evolutionary Economics, 19(1), 1-20.
Clayton, B. C. (2010). Understanding the unpredictable: Beyond traditional research on mergers and acquisitions. Emergence : Complexity and Organization, 12(3), 1-19. Retrieved from http://search.proquest.com/docview/847014363?accountid=45049
DivyaPriya, B. (2012). A study on impact of mergers and acquisitions in the growth of total assets and profits of selected merged banks. Sumedha Journal of Management, 1(2), 90-96. Retrieved from http://search.proquest.com/docview/1339409324?accountid=45049
Dorata, N. T. (2012). Determinants of the strengths and weaknesses of acquiring firms in mergers and acquisitions: A stakeholder perspective. International Journal of Management, 29(2), 578-590. Retrieved from http://search.proquest.com/docview/1020619654?accountid=45049
Fairfield-Sonn, J., Ogilvie, J. R., & DelVecchio, G. A. (2002). Mergers, acquisitions and long-term employee attitudes. The Journal of Business and Economic Studies, 8(2), 1-16. Retrieved from http://search.proquest.com/docview/235797496?accountid=45049
Malik, M. F., Anuar, M. A., Khan, S., & Khan, F. (2014). Mergers and acquisitions: A conceptual review. International Journal of Accounting and Financial Reporting, 4(2), 520-
Mehta, M., & Hirschheim, R. (2007). Strategic alignment in mergers and acquisitions: Theorizing IS integration decision making. Journal of the Association for Information Systems, 8(3), 143-149,151-174. Retrieved from http://search.proquest.com/docview/198830538?accountid=45049
Nogeste, K. (2010). Understanding mergers and acquisitions (M&As) from a program management perspective. International Journal of Managing Projects in Business, 3(1),
Rossi, M., Shlomo, Y. T., & Raviv, A. (2013). Mergers and acquisitions in the hightech industry: A literature review. International Journal of Organizational Analysis, 21(1), 66-82.
Schief, M., Buxmann, P.,Prof Dr, & Schiereck, D.,Prof Dr. (2013). Mergers and acquisitions in the software industry. Business & Information Systems Engineering, 5(6), 421-431.
Vu, D. A., Shi, Y., & Hanby, T. (2009). Strategic framework for brand integration in horizontal mergers and acquisitions. Journal of Technology Management in China, 4(1), 26-52.
Weber, Y., & Shlomo, Y. T. (2012). Mergers and acquisitions process: The use of corporate culture analysis. Cross Cultural Management, 19(3), 288-303.
Wang, D & Moini, H. (2012). Performance Assessment of Mergers and Acquisitions:
Evidence from Denmark. E-Leader Berlin.
Zollo, M & Meier, D. (2008). What Is M&A Performance? Academy of ManagementPerspectives, pp55-77
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Changes do occur in systems and in organisation on daily basis. It is always expected that during change, current status of things will not be the same. These changes can therefore be well explained and understood through these system archetypes.
System archetypes are behavior patterns exhibited in systems. These archetypes are behaviors patterns, well-expressed using circles of causality hence they resemble in their structures (Sterman, 2000). Therefore, it is important to identify the system archetype as well find a leverage to ensure that changes in a system is efficient.
Casual loop diagram helps to explain behaviors of a system, illustrating a collection of connected nodes as well as the feedback loops that exists courtesy of the connections. One or more nodes in the diagram represent the symptoms of the problems being experienced (Sterman, 2000). The other nodes are known as casual chains implying that they are the ones that cause the problem.
It is also important to understand how the casual lops work. The casual loop consists of arrows, nodes and feedback loops. Nodes represent various aspects such as truth ratings, false attack, detected deceptions, and false promises among others. A node as well has a value and a name as it represents something in the real world. The diagram has two types of arrows that indicate how they influence each other. One of them is solid arrow also known as direct relationship, as it indicates the point where node A value varies directly with the value of another node –B. The second arrow is dashed and it indicates an inverse relationship and it indicates instances where the value of A increases while the value of B decrease or goes down (Sterman, 2000).. Balancing and reinforcing loops are two types of feedback loops. In a balancing feedback, loop changes happen in opposite directions, and this causes the loop to balance its behaviors as it endeavors to achieve specific goal. In this balancing loop, there is interaction of the current and desired state that leads to a gap. If the gap is greater, the motivation/pressure to come up with a solution is higher. The solution or action propels the current state towards that states expected and in the process, the gap diminishes. In case the state is changed to the expected one, this gap is filled as the goal is attained. On the other hand, reinforcing feedback loop is where a change in one node moves or oscillates around the loop to trigger a change at the same node in the same direction. These changes may cause the loop to either decline or grow.
These predictable patterns are valuable in organizations, especially when it comes to management of problems. They are also used to improve team conversation as people or team members can be able to reach an agreement on various issues or when deliberating on issues that they hold varied opinions. The gap is reduced through balancing of feedback loop.
The loops are also valuable in helping teams to counter-intuitive dynamics as they enable them to express their opinions and to reach compromises on some issues. Teams have an opportunity to reflect back on their actions and make amendments or correction that ensures that the team remains productive.
Archetype patterns as well have the capability of improving processes in an organisation. They provide a framework or a guideline of how an entity can achieve its objectives. The organization is able to attain their desired goals by reflecting on the current situation and taking the right action to achieve their set goals. Therefore, it contributes to efficiency in an organization. An example of the loophole diagram is the casual loop diagram. The manager sets desired targets every year and takes decisive actions to ensure their achievement. A good example at my place of work is where the manger managed to achieve a desired target in terms of sales volume by improving the quality of products and recruiting qualified and professional people in the organization.
This topic is therefore important and can help entities to achieve their goals if they understand how to adopt systems archetypes. Nevertheless, the three questions are? How can the archetypes be useful in environmental sustainability? What skills and knowledge should individual posses to understand and adopt these archetypes in their organization? What are the challenges or limitation of these archetypes in management/?
HLTH 8465 Week 2 Discussion
The Strategic Planning Process
The strategic planning process is essential for any non-profit or government organization, as it helps organizations achieve their missions and goals. This process includes various elements such as stakeholders, sustainable outcomes, resources, and community connections, with each element fulfilling a particular role in the planning process. For this Discussion, you examine strategic planning and consider the most important element of the process.
Answer the following Questions:
1. An explanation of the most important element of the strategic planning process (e.g., stakeholders, sustainable outcomes, resources, community connections, etc.).
2. Include how this element of planning helps public and non-profit organizations achieve optimal results.
3. Then, explain how this element of planning relates to your own professional experiences.
Article:
1. Karel, S., Adam, P., & Radomír, P. (2013). Strategic planning and business performance of micro, small and medium-sized enterprises. Journal of Competitiveness, 5(4), 57–72.
2. Kash, B. A., Spaulding, A., Johnson, C. E., & Gamm, L. (2014). Success factors for strategic change Initiatives: A qualitative study of healthcare administrators’ perspectives. Journal of Healthcare Management, 59(1), 65–81.
3. Zollo, M., Reuer, J. J., & Singh, H. (2002). Interorganizational routines and performance in strategic alliances. Organization Science, 13(6), 701–713.
4. National Council of Nonprofits. (n.d.). Strategic and business planning for nonprofits. Retrieved June 14, 2014, from http://www.councilofnonprofits.org/strategic-business-planning-for-nonprofits
Please apply the Application Assignment Rubric when writing the Paper.
I. Paper should demonstrate an excellent understanding of all of the concepts and key points presented in the texts.
II. Paper provides significant detail including multiple relevant examples, evidence from the readings and other sources, and discerning ideas.
III. Paper should be well organized, uses scholarly tone, follows APA style, uses original writing and proper paraphrasing, contains very few or no writing and/or spelling errors, and is fully consistent with doctoral level writing style.
IV. Paper should be mostly consistent with doctoral level writing style.
SAMPLE ANSWER
Strategic Planning
Despite the fact that the main goal of strategic planning process is to come up with a plan, the importance of the whole process squarely lies within the process itself. The process therefore grants the stakeholders the opportunity to familiarize themselves with every activity that happens within the organization. The stakeholders are given an opportunity to give their opinion about what they feel concerning the organization in terms of the strength and weakness (National Council of Nonprofits, 2014). The stakeholders also share their perceptions of its strengths and weaknesses, and to discuss critical issues affecting, or likely to discuss the most serious things affecting the organization. During this process, the finals decision to be incorporated in the strategic plan ought to have been agreed upon by every stakeholder. This is simply because, despite the fact that though one person is very efficient, eliminates the opportunity to distribute the ownership of the organization hence interferes with the future of the organization (Karel, Adam & Radomír, 2013.57-72).
Sustainable outcomes, resources, community connections are very essential in the description of the organization. This therefore entails analysis of the detailed description of the organization’s Strengths, Weaknesses, Opportunities, and Threats. The process is usually conducted step by step in order to ensure all issues are tackled. In addition, analysis of the Political, Environmental, Social, and Technical factors which are currently affecting the organization are also considered. Both approaches are embraced especially when the organization wants to adopt a new program in the shortest time possible (Kash et al., 2014.65-81).
Strategic planning is therefore very essential to both nonprofit and public organizations. Strategic plan provides the guideline which guides decision-making process and a basis for a comprehensive planning. The plan also explains the strategy of the organization to the outsiders so as to involve them and also acts as a stimulator for growth of the organization.
The element of planning is very relevant to my professional. The process describes clearly the specific route to follow in order to achieve laid down objectives in an organization (Zollo, Reuer & Singh, 2002.701-713).
References
Karel, S., Adam, P., & Radomír, P. (2013). Strategic planning and business performance of micro, small and medium-sized enterprises. Journal of Competitiveness, 5(4),57–72.
Kash, B. A., Spaulding, A., Johnson, C. E., & Gamm, L. (2014). Success
factors for strategic change Initiatives: A qualitative study of healthcare
administrators’ perspectives. Journal of Healthcare Management, 59(1), 65–81.
Zollo, M., Reuer, J. J., & Singh, H. (2002). Interorganizational routines and performance in strategic alliances. Organization Science,13(6), 701–713.
Change Management and Perspectives on Dialogue Order Instructions: In the assigned articles for this unit, you read about dialogue and shared meaning. Based on these author’s perspectives, how would you update the learning that you described in Unit 6’s discussion,
Change Management and Perspectives on Dialogue
“The Value of Dialogue.” What did the articles add to your thinking about dialogue?
Change Management and Perspectives on Dialogue Sample Answer
BUS4802 – Change Management -Additional Perspectives on Dialogue
Substantial information is available about dialogue and its value. Many authors have provided significant insights into dialogue to enhance understanding. The paper provides an additional /update on the learning from previous discussions on dialogue and suggestions on additions required to the topic of dialogue.
Based on the previous discussion, a number of updates are required to better understanding of the value of dialogue. One is that people must listen to one another without resistance to provide answers to issues raised. It, therefore, becomes important for individuals to inquire through examining, suspending and reconsidering the validity of their own beliefs and assumptions and examining other points of views (Jones, 1996). Incorporating aspects of sight, touch, taste, hearing as well contributes to the creation of a dialogic relationship that allows participants to develop their relationship with the environment/world.
The article as well improved my thinking about dialogue. I was able to understand how dialogue can be used to change conversations and achieve productive positive results. Of course, in any conversion process, every participant wants to get the approval of what they say. The four levels point that participants need to uphold to achieve these positive results are a container, intention, frame, action, and the result (Jones, 1996). It is important to understand the situation /context the conversion takes place, the intention of the other person and whether they align with yours, what the other person is thinking about themselves, situation, others obstacles, what is to be said and the results. Understanding in this process, enhance dialogue. It is also important that for dialogue to be successful, it must begin from the inner part of an individual. An individual is expected to suppress some of their certainties and assumptions they hold about certain aspects under discussion and focus on the most important issues that relate to the topic of discussion.
Change Management and Perspectives on Dialogue Reference
Jones, M. (1996). Dialogue: The Emergence of Shared Meaning. New Leaders, Reprinted with permission.
Leading and Managing Organisational Change I need an essay in the following subject:
Leading and managing organisational change
Leading and Managing Organisational Change
The HR leader may be faced with developing strategies to respond to organisational change, or he or she may have the opportunity to promote and lead an organisational change initiative. Some types of significant structural change, such as those brought on by restructuring, mergers and acquisitions, or downsizing, hold both challenges and opportunities. ‘We buy companies to get excellent people’ said Mark Zuckerberg in 2010 to sum up Facebook’s acquisition strategy (Goldberg & Lobb, 2012, p.2). Organisational growth, talent management and business performance can all be enhanced through change initiatives and can present a real opportunity for HR to add value; at the same time, not all staff may experience these changes as positive. For this Key Concept Exercise, you will examine the role of the HR professional in planning for and managing change.
Leading and Managing Organisational Change Reference
Goldberg, L. G. & Lobb, A. (2012) ‘The Facebook IPO litigation’, Harvard Business School, 9, June, pp.1–23.
Think of an organisation in which you’ve worked, or which you know well, which has gone through a significant structural or other type of organisational change. Consider what the implications of these changes were, or might have been, for the HR leader(s) of the organisation.
Analyse the role of the HR leader(s) in the organisational change example you chose. In your analysis, connect concepts from your readings about organisational change and HRM to your experiences and observations.
Leading and Managing Organisational Change Essay Formulations and Questions
In formulating your essay, consider the following questions:
Exploring similarities and differences in your perspectives on the role of the HR leader in leading and managing organisational change
Sharing alternative perspectives on ways that HRM could have been used differently in the organisational change situations you analysed Synthesising general lessons about how HR leaders can leverage organisational change to achieve important organisational or strategic objectives
What did the HR leader(s) do to lead and/or manage the organisational change?
How do the HRM approaches used to address the change reflect theories, models, or other thinking about the role of HRM in organisational change from your readings?
How do they diverge from ideas evident in your readings?
1)The answer must raise appropriate critical questions.
2)The answer must include examples from aviation experience or the web with references from relevant examples from real aviation companies. I prefere example from Qatar Airways, Etihad airline, Emireates airline, Al Arabia Airline.
3)Do include all your references, as per the Harvard Referencing System,
4) Please don’t use Wikipedia web site.
5) I need examples from peer reviewed articles or researches.
Note:To prepare for this essay please read the required articles that is attached
Appreciate each single moment you spend in writing my paper
SAMPLE ANSWER
Human resources leaders have to constantly grapple with change. For them, leading and managing organizational change is one of their foremost responsibilities. How change is managed more often than not is the difference between success and failure of change in addition to determining the level and degree of opposition to change.
As a concept, change management will often start with an awareness of the need to change. In order to diagnose the unique characteristics and indicate the direction in which action needs to be taken, it would be important to undertake a situational analysis of the factors that precipitated the change (Battilana, & Casciaro, 2012). Consequently, an evaluation after identification is carried out on the choice made of the preferred action.
In essence, managing change during the transitional state becomes key to the success of the change process. Thus challenges associated with change sprout and have to be managed comprehensively. The challenges that have to be anticipated and planned for will include low stability, misdirected energy, loss of momentum, conflict and resistance to change.
Since change is not an entirely linear and logical process, but rather a cumulative, reformulation-in-use and interactive process. The type of change will in some instance shed light on why people are resistant to change. It is not all about the end, the means is equally important. On the whole, change is either strategic or operational.
Strategic change focuses on transforming the organization. As a concept, it is concerned with the long-term, organization-wide and broad issues. It seeks to get the organization to its future, generally defined by its strategic scope and vision (Benson, 2011). It covers the mission and purpose of the organization, its corporate philosophy on such important aspects as quality, growth, values, innovations, customer needs and technologies employees.
Strategic change thus covers the organizational strategic goals and competitive position ideal for cementing its competitive advantage and development of product-market development. Overall, strategic change takes place only in the context of social, economic and competitive environment, its internal resources, culture, capabilities, systems and structures.
In structural change, the ability of the organization to point out and appreciate the competitive forces that are active and how they change over time linked the ability of the business to mobilize and manage the necessary resources required to cement a particular response through time. It should never be treated simplistically but rather as a sequence of logically planned and executed events.
Operational change has a lot to do with procedures, new systems, technology and structures that have an immediate effect on the working arrangement within a particular part of the organization (Buchanan, Fitzgerald, Ketley, Gollop, Jones, Lamont, Neath, & Whitby, 2005). On their own, their impact is more individual and focused that strategic change, thus the need to handle them with utmost care.
In as much as change is a good thing, it will more often than not be resisted by people. The reasons why people resist change is as varied as there are people in this world. Basically, the main reason for resistance to change is the threat to the familiar. This will affect behavior patterns, status and financial rewards. Resistance to change presumes that the management is rational in its quest for change and that employees are irrational, stupid and emotional in not responding to the change as the management anticipated.
However, given each person’s individuality, when an individual decides that the change will leave them worse off than they were previously, the resistance to change becomes real and rational in terms of the individual’s self interest. Thus some of the main reasons for resisting changes that have emerged over time and from research include;
The shock of the new – when individuals rightly or wrongly interpret change as leaving them worse-off with regards to methods of working, established routines and conditions of employment. Irrespective of management assurances as to the benefits of the desired change, employees have legitimate reasons not to believe everything management tells them. The risk of loss of employment make employees takes all communication from the management with a pinch of salt. For them, management only looks out for the organization and not the employees and all they do for employees is hidden behind ulterior motives intended to improve profitability and not employee welfare (Amstrong, 2006).
Economic fears – threats on job security and loss of money
Inconvenience – the changes bring more challenges to the employees life,
Uncertainty – employees appreciate that even the best laid down plans could be unruffled at any time.
Symbolic fears – for employees each change despite assurance of maintaining status-quo, will undoubtedly result in small changes that could have a negative effect due to the value attached to the symbols. Some of the symbols include reserved parking space or separate private office (Arnette, 2013).
Threat of interpersonal relationships – when a group perceives rightly or wrongly that they change would disrupt customary standards and social relationships, they will offer resistance to change.
Threat to status or skill – this is when an individual interprets the change to mean they will be de-skilled or status reduces, the natural reaction is to resist the change.
Competence fear – this is borne by the individual’s ability to acquire new skills or cope with new demands.
Overcoming resistance to change can be an uphill task. However it is important that no effort be spared in achieving change – especially if it has been determined to be beneficial to an organization. To begin with, an analysis of the potential impact of the change by taking into account its effect of peoples jobs (Heugens, & Lander, (2009). The analysis point out the areas in need of specific or general support by individuals and which areas have a higher probability of eliciting resistance.
As far as possible, individual negative and hostile reactions need to be identified and measures put in place to mitigate resistance. This allows for the mapping of likely fears and feeling so as to try and relive those that can be classified as unnecessary worries and ambiguities resolved. For the individual championing the change – change agent, must always be alive to the likelihood of new ideas being viewed suspiciously and thus the need to invest significantly in discussion intended to make the proposal totally understandable to all.
By involving employees in the change management, organizations benefit from employees giving feedback on arising issues and concerns, which can tem be addressed promptly. Thus by an organization making employees achieve a feeling of ownership of the change, it benefits from employees being more happy to live with the change since they feel that the organization valued them enough to involve them in the planning and execution of the strategy – the strategy is not longer for the organizations but is owned by the employees.
For example, the planned changes to be implemented by Etihad Airlines on Jet airways are intended to make the Jet more profitable. To achieve this, Etihad set out to instill in Jet ‘Etihads’ way of doing business. The Etihad way is includes returning Jet Airways to profitability in the shortest time possible. Etihad achieves this by implementing the ‘multilateral’ strategy which identifies loss-making airlines that have access to key markets and bringing them to the Etihad family.
On its part, Etihad gets access to key source markets and for the airlines, a chance at continued operations and guaranteed profitability in the future. Secondly, all Etihad tie-ups are designed to nature loyal customers. This way, Frequent Flier Programme members get access to a wider array of redemptions options that are designed to increase customer loyalty. Thirdly, Jet will benefit from increased efficiency. Etihad will in the long run, make Jet airways to operate more efficiently by seeking to best serve customers from its point of strength as opposed expending immense energy in areas that others can better perform.
Leading and Managing Organisational Change References
Amstrong, M (2006) A handbook of Human Resource Management Practice, Kogan Page Publishers, London.
Arnette, A. A (2013) Effective Change Management Process for Successful PMO Implementation: A Delpi Study, Capella University, pp. 1-147, retrieved February 13, 2015 from http://search.proquest.com/docview/1498125363
Battilana, J & Casciaro, T (2012) Change Agents, Networks and Institutions: A Contingency Theory of Organizational Change, Academy of Management Journal, Vol. 55, No. 2, pp. 381-398.
Benson, R. A (2011) A Phenomenological Study Exploring Change Management in Public General Aviation Airports, Walden University, pp. 1-318, retrived February 13, 2015 from http://search.proquest.com/docview/1498125363
Buchanan, D., Fitzgerald, L., Ketley, D., Gollop, R., Jones, J. L., Lamont, S. S., Neath, A. & Whitby, E. (2005), No going back: A review of the literature on sustaining organizational change, International Journal of Management Reviews, No. 7, pp. 189–205
Donna, H (2014) Broken Agreement and Management in the Airline Industry: An Intrinsic Qualitative Case Study of Major US Airlines, Capella University, pp. 1-131 , retrieved February 13, 2015 from
Goldberg, L. G. & Lobb, A. (2012) ‘The Facebook IPO litigation’, Harvard Business School, 9, June, pp.1–23
Heugens, P., & Lander, M. W. (2009). Structure! Agency!: A meta-analysis of institutional theories of organization. Academy of Management Journal, No. 52, pp. 61–85.
Ramanathan, T. R (2008) The Role of Organizational Change Management in Offshore Outsourcing of Information Technology Services: Qualitative Case Studies from A Multinational Pharmaceutical Company, University of NorthUmbria as Newcastle, pp, 1 290 retrived February 13, 2015 from http://search.proquest.com/docview/304824801
Vazirani, N (2013) An Integrative Role of HR in Handling Issues Post Mergers and Acquisition, Journal of Management, Vol. 9, No. 2, pp. 82-88
Human Resource Manager and Management Order Instructions: I need an essay in the following subject:
Leading and managing organisational change
Human Resource Manager and Management
The HR leader may be faced with developing strategies to respond to organisational change, or he or she may have the opportunity to promote and lead an organisational change initiative. Some types of significant structural change, such as those brought on by restructuring, mergers and acquisitions, or downsizing, hold both challenges and opportunities. ‘We buy companies to get excellent people’ said Mark Zuckerberg in 2010 to sum up Facebook’s acquisition strategy (Goldberg & Lobb, 2012, p.2). Organisational growth, talent management and business performance can all be enhanced through change initiatives and can present a real opportunity for HR to add value; at the same time, not all staff may experience these changes as positive. For this Key Concept Exercise, you will examine the role of the HR professional in planning for and managing change.
Human Resource Manager and Management Reference
Goldberg, L. G. & Lobb, A. (2012) ‘The Facebook IPO litigation’, Harvard Business School, 9, June, pp.1–23.
Think of an organisation in which you’ve worked, or which you know well, which has gone through a significant structural or other type of organisational change. Consider what the implications of these changes were, or might have been, for the HR leader(s) of the organisation.
Analyse the role of the HR leader(s) in the organisational change example you chose. In your analysis, connect concepts from your readings about organisational change and HRM to your experiences and observations.
In formulating your essay, consider the following questions:
What did the HR leader(s) do to lead and/or manage the organisational change?
How do the HRM approaches used to address the change reflect theories, models, or other thinking about the role of HRM in organisational change from your readings? How do they diverge from ideas evident in your readings?
1)The answer must raise appropriate critical questions.
2)The answer must include examples from aviation experience or the web with references from relevant examples from real aviation companies. I prefere example from Qatar Airways, Etihad airline, Emireates airline, Al Arabia Airline.
3)Do include all your references, as per the Harvard Referencing System,
4) Please don’t use Wikipedia web site.
5) I need examples from peer-reviewed articles or researches.
Note:To prepare for this essay please read the required articles that is attached
Human Resource Manager and Management Sample Answer
Change in any organization is inevitable and, therefore, it is crucial for a human resource manager (HRM) to have the skills to manage the changes that occur within an organization. The market trends are ever changing and, thus, to keep up with these trends, an organization requires appropriate realignments which are the role of a HRM. In essence, the HRM is the change forerunner and needs to take complete duties of the entire process of the scheduling and effecting the changes within an organization. The HRM would have to change the HR utilities in order for an organization to compete favorably and sustainably in the market (Charles, 2012, p.22).
In the face of change, the success of an organization lies in the effective planning of the HRM department. The effective HRM planning guarantees that the organization always have an assortment of competencies ready to discharge their skills on vital job opportunities (Chris, 2009, p.67). An organization that lacks an efficient HRM department will not have the capabilities to recruit proficient entrants that will match the required job positions. The best example of the role of HRM in leading and managing organizational changes can clearly be exhibited from the Etihad Airlines whose HRM department has been the main reason for its continued success.
According to James Hogan, the Etihad Airlines president, the major success of the organization in the recent years is chiefly because of its competent HRM staffs. James attributes this success to the HRM department, because of how the team has managed the transitions resulting from the adoption of the new technology in enhancing customers’ experience and satisfaction. The president of the organization appreciates the level of competence exhibited by the team of the HR management department in such a way that it never had significant impact on the organizational affairs (James, 2012, p.13).
The question that most HRM novices would ask is just how the Etihad Airline HRM department was able to lead their workforce into embracing such major changes successful? According to James, who also happen to be among the chief executive managers of the organization, the process registered success because of the awareness initiative the HRM team started much earlier before the idea was fully implemented. The HRM department was well aware of the challenges that a change in the system would impact (James, 2012, p.22). The education program entailededucating of the staff crews both in handling the new technology system that the airline intended to adopt and dispensing the fears associated with change among its workers. This move was in attempts to warrant the workers that they was not going to be any layoff of workers as well as sensitizing them that the change was meant to improve efficiency in the service provision to the customers.
These program can be viewed as both a strategic and operational changes. The education carried out was in line with the objective of the organization objectives of sustainable job opportunities by avoiding instances of laying off of worker due to lack of the competencies that would have been required thereafter the changes were effected. Additionally, it can also be viewed as operational planning because it would involve use of the new technology in the operations of the organization (Dan, 2004, p.15). However much the process was successful, there were challenges encountered, the major one being the fear of competence and the threat to status. Nonetheless, these problems were well solved by the sensitization approach used by the HRM department of the Etihad Airlines.
From the foregoing, the Etihad Airline seemed to have employed the Lewin model in managing the change. The model has three major steps namely: unfreezing, changing and refreezing (Jan, 2010, p.77). From the Etihad Airlines, the unfreezing process was utilized in the earlier sensitization and awareness creation program that prepared the workers for the change. The second process of change, was done by effecting the use of new technology into its operations. For example, the use computerized security scanning systems for checking passengers. The final stage of the Lewin model ensued with the full operations of the technology in the Etihad Airline system to provide services to its customers.
Corporate Social Responsibility CSR Order Instructions: I need an essay in the following subject:
Corporate Social Responsibility CSR
• Exploring similarities and differences in your perspectives on the costs and benefits of CSR for organisations and their stakeholders
• Sharing alternative perspectives on the ethical, cultural, social, political and economic dimensions of CSR: In other words, how can CSR help organisations address these types of issues in an environment of globalisation and change?
• Initiating discussion about the role of the HR leader in CSR
The following conditions must meet in the essay:
1) The answer must raise appropriate critical questions.
2) The answer must include examples from aviation experience or the web with references from relevant examples from aviation companies.
3) Do include all your references, as per the Harvard Referencing System,
4) Please don’t use Wikipedia web site.
5) I need examples from peer reviewed articles or researches.
Note: To prepare for this essay please read the required articles that is attached
Appreciate each single moment you spend in writing my paper
Corporate Social Responsibility CSR Sample Answer
Corporate Social Responsibility (CSR) is where business can be integrated into social and environmental concerns in an operation that is going on in a given area (Stewart, 2003). Globalization has made businesses and their society to become a big concern when many of the business want to expand and grow at a high length. Therefore, a lot of emphasis has been given to diverse business ethics and the educated on the implications of such measures which may affect the CSR. The sustainability notion supports the view that organizations can benefit for a long period of time and support good initiative in the society. According to Zwetsloot (2003), the types of different approaches towards ethics and CSR
According to Guest and Woodrow (2012), HR contributes to the responsible leadership of CSR at various levels within the organization. HR provides functional support to CSR activities by deploying responsible leadership and coordination depending on the organization configuration of CSR interface. HR also contributes to responsible CSR leadership through stabilized or emerging practices by playing an enabling role and building internal environmental environment by applying advanced HR practices. In addition, the HR plays an active role in CSR activities by deployment and supporting initiative that entails responsible practices within their organization. Through their direct and indirect roles in various departments, the HR plays an active role in transforming corporations into agents of the world benefit. A significant area of HR contribution to CSR is through enabling responsible leadership in managing the relationship with the employees (Wang & Chaudhri, (2009). The HR professional delivers process and tools that facilitate the interaction with the employees involved in CSR activities and support the management of the employer-employee relationships.
According to Greenwood (2002), corporate social responsibility is all an upcoming business in the world of business needs to face the challenges in the society at different levels. There are many problems which have to deal with to get a lasting solution that will be of benefit to the business and they are inclusive of the economic sector and the social part of the business. CSR is well known in handling such problems and this shows how important it is to a given business. According to Shen (2011), there are many problems which need to be handled by the CSR and if not well handled they may lead to the depletion of the environment and even workers may not get the right working conditions leading to problems in labor. Many people in the society need help, therefore the business finds for a way out to help such people even if it calls for providing them with employment. It is the responsibility of the government to ensure that all the organizations are enrolled for social responsibilities that will be of great use to the society despite it being perceived as a factor that leads to weakening the economic growth (McWilliams, Siegel, & Wright, 2006).
In the recent past, CSR has become part of business culture since most of the big firms are already involved in big firms. Without practicing CSR activities, such firms fear that they may be the odd one out in the corporate world. Politically, organizations are expected to engage in CSR activities since new laws and regulations are being enacted to enforce companies to start practicing CSR activities (Stewart, 2003)
The interest of the company need to be expanded through the reporting of issues that need to be put into consideration to prevent interfering with the functioning of the business (Gond, Igalens, Swaen, &Akremi, 2011). When trying to check if a company is involved in the tackling of some of its critical issues, CSR ought to report a lot of issues that may be involved in the degradation of the environment and even polluting it. The responsibility of the CSR is to enable the organizations to be encouraging others for them to actively participate in the improving of the challenges faced in the organization.
Through the use of the CSR the companies are in position to have a mutual relationship with the society which will help them curb with the rrising challenges in the business (Cadwell, Truong, Linh, Tuan, 2011). Theories find it hard to prove if they are the true members of the society and they have to describe their intentions of doing their work as required by the law governing the business (Yang, Colving, Wong, 2013). Sustainable productivity is well advocated for by the business legitimacy and this helps the firm to have a firm stand of getting opportunities to apply for public resources and even have the right to enjoy the corporate returns (Guest & Woodrow, 2012). The business need to be responsible for the CSR activities and it need to be responsible for the interest of the shareholders and the public in general for them to be well informed. The activities of the CSR are associated with the interest of the shareholders who eventually bring impact on different groups, which involves the behavior of the organization workers either positive or negative. According to Shen (2011), a business has to have the ethical and societal responsibilities which may go up to the responsibilities of the stakeholders; since, the activities of CSR and business ethics. According to Grenwood (2002), businesses can be accountable to their stakeholders whereby, they also tend to be involved in their provision of moral and ethical support to their communities at large (Gond et al, 2011). In a case where the organization decides to support climatic change campaign, CSR is to be highly considered in doing so; since this helps in the avoidance of ecological degradation. It is an ethical act for any business to engage itself in CSR matters; hence, this helps the organizations to practice their business ethically. This approach is important because it helps in the promotion of the moral business operations that extend to legal compliance and also in the development of a society as whole. The society wiill benefit from the profits invested in the business and they have to keep in touch with the CSR to face the challenges in the society that may interfere with their functioning.
Corporate Social Responsibility CSR Bibliography
Cadwell, C., Truong, D., Linh, P., Tuan, A. (2011). Strategic Human Resource Management as Ethical Stewardship, Journal of Business Ethics, 98:171–182
Gond, J., Igalens, J., Swaen, V., Akremi, A, E. (2011). The Human Resources Contribution to Responsible Leadership: An Exploration of the CSR–HR Interface. J Bus Ethics 98:115–132
Greenwood, M.R. (2002). Ethics and HRM: A Review and Conceptual Analysis. Journal of Business Ethics, 36: 261-278, 2002
Guest, D, E & Woodrow, C. (2012). Exploring the Boundaries of Human Resource Managers’ Responsibilities, J Bus Ethics, 111:109–119
McWilliams, A., Siegel, D. & Wright, P. (2006). “Corporate social responsibility: strategic implications”,Journal of Management Studies, 43 (1) 1‐18
Shen, J. (2011). Developing the concept of socially responsible international human resource management.The International Journal of Human Resource Management,Vol. 22, No. 6, 1351–1363
Stewart, L (2003). “Reputation and corporate responsibility”, Journal of Communication Management, 7 (4) 356 – 366
Wang, J &Chaudhri, V. (2009). Corporate social responsibility engagement and communication by Chinese companies, Public Relations Review 35 (1) 247–250
Zwetsloot, G.I.J.M. (2003). From Management Systems to Corporate Social Responsibility.Journal of Business Ethics. 44 (2) 201-208
Yang, N., Colvin, C., Wong, Y. (2013). Navigating Corporate Social Responsibility Components and Strategic Options: The IHR Perspective. Academy of Strategic Management Journal, Volume 12, Number 1, 2013
Differences in Institution and Organization Characteristics
1. Answer this question by providing evidence from 1-2 industries from 2-3 countries(China, Germany, Japan, US, UK)
2, please follow or see the documents that I uploaded which give more or very details on it. Especially, Must see ‘essay topic explain.PDF’
3, it needs to have an introduction(include thesis statement)body paragraphs and the conclusion
4, be more critical for the essay. Organization means a systematically organized collection of people, with a common goal and identity associated with an external environment, like a business entity or a government department.
