...Geico Advantages to a Total Rewards Approach There are several advantages to using a total rewards approach to compensating the workforce. The top five are described in the text (pp. 15—17). The following paragraphs discuss the facets of the Geico total rewards program that align with these advantages: The first facet is Increased Flexibility. A total rewards approach, which combines transactional and relational awards, offers tremendous flexibility because it allows awards to be mixed and remixed to meet the different emotional and motivational needs of employees. Flexibility is a two way street. Both employers and employees want more of it. As the importance of flexibility has become more understood, more companies are allowing employees to determine when they work, where they work, and how they work. Total rewards recognizes that employees want and in many instances demand, the ability to integrate their lifestyle and their work. (WorldatWork, (2007). Geico cares about their employees’ life, now and in the years to come. Their total rewards approach offers several flexible plans for their employees. As a full-time GEICO associate, they are offered a competitive and comprehensive Total Rewards Program. It includes a variety of options to preserve their health and well-being, build wealth, secure their financial future, and enjoy more out of life. The second facet is improved recruitment and retention. A total rewards strategy is critical...
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...Geico Total Rewards Program Francena Hicks Dr. David Fountaine,SPHR Talent Management HRM53201016 10/27/13 Introduction The purpose of this paper is to discuss the Geico employees’ Total Rewards Program and its alignment to the advantages of total rewards programs in general that are noted in the literature. According to the Geico website, there are five benefits to their Total Rewards Program: Health & Well-Being, Education & Training, Finance & Retirement, Time off & Leave, and Family & Life. The first part of this paper will look at these five programs in-depth and explain how Geico intends to benefit its employees. This analysis will include an evaluation of the effectiveness of the communication of Geico’s total rewards program based on the website’s descriptions of the benefits and include two recommendations for improvement to the program and/or its communication practices. By assuming that there are two weaknesses to the current plan, this paper will provide two improvements for these weaknesses to make employees happier. The final half of the paper will match Geico’s program with data from the literature on the effectiveness and benefits of these types of programs and discuss any implications there may be for the Geico program. Determine which facets of the Geico total rewards program align with the five (5) top advantages of a total rewards program outlined in Chapter 2 of the textbook and discuss your reasoning. Geico’s total rewards program...
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...Hathaway and GEICO Insurance © 2001 Tim Glowa White Paper: Examining Berkshire Hathaway’s 1995 Purchase of GEICO Insurance Tim Glowa Tim@Glowa.ca September 12, 2001 © 2001 Tim Glowa September 12, 2001 -1- Berkshire Hathaway and GEICO Insurance Table of contents © 2001 Tim Glowa Executive Summary.................................................................................................... 3 Introduction................................................................................................................. 4 Review of the case: Berkshire Hathaway purchasing GEICO.................................... 4 Strategic Outcome....................................................................................................... 7 Finance........................................................................................................................ 7 Time Value of Money................................................................................................. 8 Assessment of the GEICO purchase ........................................................................... 8 Time value of money ................................................................................................ 11 An examination of the GEICO acquisition in hindsight........................................... 13 Limitations of Discounted Cash Flow ...................................................................... 15 Limitations of this Analysis ..............
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...Case Study 2: Warren E. Buffett, 1995 This case was prepared by Professor Robert F. Bruner as the basis for classroom discussion rather than to illustrate effective or ineffective handling of an administrative situation. On August 25, 1995, Warren Buffett, the CEO of Berkshire Hathaway, announced that his firm would acquire the 49.6 percent of GEICO Corporation that it did not already own. The $2.3 billion deal would give GEICO shareholders $70.00 per share, up from the $55.75 per share market price before the announcement. Observers were astonished at the 26 percent premium that Berkshire Hathaway would pay, particularly since Buffett proposed to change nothing about GEICO, and there were no apparent synergies in the combination of the two firms. At the announcement, Berkshire Hathaway’s shares closed up 2.4 percent for the day, for a gain in market value of $718 million.1 That day, the Standard & Poor’s 500 index closed up 0.5 percent. The acquisition of GEICO renewed public interest in its architect, Warren Buffett. In many ways he was an anomaly. One of the richest individuals in the world (with an estimated net worth of about $7 billion), he was also respected and even beloved. Though he had accumulated perhaps the best investment record in history (a compound annual increase in wealth of 28 percent from 1965 to 1994),2 Berkshire Hathaway paid him only $100,000 per year to serve as its CEO. Buffett and other insiders controlled 47.9 percent of the company, yet Buffett...
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...Geico: Successful Marketing Case Study Miranda Furstoss MBA-FP6012 – Integrated Global Marketing Assessment 5 June 29, 2015 Geico: Successful Marketing Case Study Abstract Geico is an insurance company who writes multiple lines of insurance, yet focuses on the auto insurance segment of the industry. They excel in marketing to their target audience which is what makes them an excellent organization for a marketing case study. Their marketing efforts propeled them from the small direct-marketing company they began as to one of the leading auto premium writers in the United States today. By reviewing the marketing system and efforts of Geico, it is easily seen how the right marketing tools and strategies in place can prove successful for any organization. Company Overview Geico is an insurance company founded by Leo Goodwin in 1936 that began as a carrier for the select market of military and government personnel, but later expanded to offer services to everyone (Geico, n.d.a). Goodwin had a vision to create a successful auto insurance business by targeting such a specific group, and he certainly succeeded. Since ending their first year with 3,700 auto policies, they now have more than 13 million policies in force and are still going strong (Geico, n.d.a). In fact, the growth from its meager beginning to now has risen it to the second position of persinal auto insurers in the United States, a nice position in such a competitive market (Das, 2014). They are well-known...
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...UNSURANCE The Ugly Truth about Unethical Business Practices in the U.S. Insurance Industry “Because there is no such thing as a 'good neighbor' who is 'on your side' with 'good hands' holding an 'umbrella' that will keep you and your pet gecko dry when mayhem strikes. Unfortunately, you'll have to take 'responsibility' for yourself—which also means that you may have to hire a lawyer.” –Chris Davis, Attorney at Law By Chris Davis, Attorney at Law References in quote: Travelers Insurance - Umbrella logo. Geico Insurance - Gecko mascot. State Farm Insurance - Tagline 'Like a good neighbor..."Allstate Insurance - Tagline "You're in good hands." Nationwide Insurance - Tagline is 'On Your Side" Liberty Mutual - Tagline "Responsibility" UNSURANCE: The Ugly Truth About Unethical Business Practices in the U.S. Insurance Industry Davis Law Group, P.S. 2101 Fourth Avenue Suite 1030 Seattle, WA 98121 Phone: 206-727-4000 Fax: 206-727-4001 info@injurytriallawyer.com www.InjuryTrialLawyer.com Copyright © 2014 by Davis Law Group, P.S. All rights reserved. No part of this report may be reproduced, stored in a retrieval system, or transmitted by any means, electronic, mechanical, photocopying, recording, or otherwise, without written permission from the author. Printed in the United States of America. There is no attorney-client relationship unless the attorney and the client sign a written agreement. Your receipt of information from this website, receipt of books or reports via...
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...Dramatic improvement and a paradigm shift In our first Journey report, covering 1979 to 1993, we reached three main conclusions about performance in the property and casualty insurance industry: 1. Risk management is the primary driver of success, not investment performance, expense management or financial leverage. We suggested that risk management had four components: enterprise risk management, capital management, product market management, and transaction excellence. 2. Performance is remarkably consistent and selfreinforcing. Winners keep winning, while persistent underperformers tend to be acquired or go out of business. 3. Winners capitalize on counterintuitive “ironies of risk.” They seek rather than avoid risk, bridge underwriting and claim silos, focus rather than diversify the book, and ignore rather than try to game the cycle. We updated our analysis in The Journey Revisited In 2003, we examined the causes of poor industry profitability in absolute terms and relative to other...
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...Unanswered Questions New Answers Q&A Categories Coupons Guides Sign In | Sign Up Home Search Settings Top Contributors Help Center English▼ Home Answers Answers.com > Wiki Answers > Categories > Business & Finance > What is motivation explain maslows theory of motivation? What is motivation explain maslows theory of motivation? In: Business & Finance, Human Behavior, Psychological Disciplines [Edit categories] Distance Learning MBAwww.regenesys.co.zaAchieve an exclusive MBA, or BBA through E-Learning 011 669 5000 Zimbabwe Classifiedswww.classifieds.co.zwproperty, cars, jobs, computers, dating, travel, hardware, furniture Ads Answer: Maslow's Theory of Motivation - Hierarchy of Needs In 1943, Dr. Abraham Maslow 's article "A Theory of Human Motivation " appeared in Psychological Review, which were further expanded upon in his book: Toward a Psychology of Being In this article, Abraham H. Maslow attempted to formulate a needs-based framework of human motivation and based upon his clinical experiences with people, rather than as did the prior psychology theories of his day from authors such as Freud and B.F. Skinner, which were largely theoretical or based upon animal behavior. From this theory of motivation, modern leaders and executive managers find means of motivation for the purposes of employee and workforce management. Abraham Maslow's book Motivation and Personality (1954), formally...
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...------------------------------------------------- 1. Which of the following is NOT a step that might be used to improve the quality of a firm’s marketing intelligence? ------------------------------------------------- A. Watching how the stock market reacts to interest rate changes B. Motivating distributors to pass along important intelligence from the marketplace. C. Collecting competitive intelligence by buying a competitor’s products D. Setting up a consumer panel ------------------------------------------------- 2. When Molly’s parents retired, they decided they wanted to travel. They found an ideal job that allows them to travel for free, but the only catch is they have to stay at Holiday Inns. During each stay, they test all the amenities offered by the motel and evaluate each. The evaluation forms are sent to the motel headquarters where it becomes part of the motel’s __________ systems. ------------------------------------------------- A. Accountability information system (AIS) B. Marketing intelligence C. Experiential research data D. Marketing research ------------------------------------------------- 3. Which of the following is an example of primary data that would be used by Topps card company to determine popularity of its new hologram baseball card series? ------------------------------------------------- A. Sales records for baseball cards gathered by the industry’s trade council. B. Data from sales records kept by exclusive dealers of Topp’s...
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...UVA-F-1483 Version 2.3 WARREN E. BUFFETT, 2005 On May 24, 2005, Warren E. Buffett, the chairperson and chief executive officer (CEO) of Berkshire Hathaway Inc., announced that MidAmerican Energy Holdings Company, a subsidiary of Berkshire Hathaway, would acquire the electric utility PacifiCorp. In Buffett’s largest deal since 1998, and the second largest of his entire career, MidAmerican would purchase PacifiCorp from its parent, Scottish Power plc, for $5.1 billion in cash and $4.3 billion in liabilities and preferred stock. “The energy sector has long interested us, and this is the right fit,” Buffett said. At the announcement, Berkshire Hathaway’s Class A shares closed up 2.4% for the day, for a gain in market value of $2.17 billion.1 Scottish Power’s share price also jumped 6.28% on the news2; the S&P 500 Composite Index closed up 0.02%. Exhibit 1 illustrates the recent share-price performance for Berkshire Hathaway, Scottish Power, and the S&P 500 Index. The acquisition of PacifiCorp renewed public interest in its sponsor, Warren Buffett. In many ways, he was an anomaly. One of the richest individuals in the world (with an estimated net worth of about $44 billion), he was also respected and even beloved. Though he had accumulated perhaps the best investment record in history (a compound annual increase in wealth for Berkshire Hathaway of 24% from 1965 to 2004),3 Berkshire paid him only $100,000 per year to serve as its CEO. While Buffett and other insiders controlled...
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...C H A P T E R 1 The Nature and Scope of Managerial Economics chief of Omaha, W arren E. Buffett, the renowned chairman andstartedexecutive officerpartnership Nebraska-based Berkshire Hathaway, Inc., an investment with $100 in 1956 and has gone on to accumulate a personal net worth in excess of $30 billion. It is intriguing that Buffett credits his success to a basic understanding of managerial economics. Berkshire’s collection of operating businesses includes the GEICO Insurance Company, Buffalo News newspaper, See’s Candies, and the Nebraska Furniture Mart. They commonly earn 30%–50% per year on invested capital. This is astonishingly good performance in light of the 10%–12% return typical of industry in general. A second and equally important contributor to Berkshire’s outstanding performance is a handful of substantial holdings in publicly traded common stocks such as The American Express Company, The Coca-Cola Company, and Wells Fargo & Company. As both manager and investor, Buffett looks for ‘‘wonderful businesses’’ with outstanding economic characteristics: high rates of return on invested capital, substantial profit margins on sales, and consistent earnings growth. Complicated businesses that face fierce competition or require large capital investment and ongoing innovation are shunned.1 Buffett’s success is powerful testimony to the practical usefulness of managerial economics. Managerial economics answers fundamental questions. When are the characteristics of a market...
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...Buffett Chairman and CEO Berkshire Hathaway Inc. Selected, Arranged, and Introduced by Lawrence A. Cunningham Professor of Law Director, The Samuel and Ronnie Heyman Center on Corporate Governance Benjamin N. Cardozo School of Law Yeshiva University © 1997; 1998 Lawrence A. Cunningham All Rights Reserved Includes Previously Copyrighted Material Reprinted with Permission TABLE OF CONTENTS INTRODUCTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PROLOGUE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 27 I. CORPORATE GOVERNANCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . A. B. C. D. E. Owner-Related Business Principles................ Boards and Managers............................. The Anxieties of Plant Closings An Owner-Based Approach to Corporate Charity. A Principled Approach to Executive Pay.......... 29 29 38 43 47 54 II. CORPORATE FINANCE AND INVESTING. . . . . . . . . . . . . . . . A. B. C. D. E. F. G. H. I. 63 Mr. Market........................................ 63 Arbitrage.......................................... 66 Debunking Standard Dogma 72 "Value" Investing: A Redundancy................. 82 Intelligent Investing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89 Cigar Butts and the Institutional Imperative 93 Junk Bonds. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...
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...Buffett Chairman and CEO Berkshire Hathaway Inc. Selected, Arranged, and Introduced by Lawrence A. Cunningham Professor of Law Director, The Samuel and Ronnie Heyman Center on Corporate Governance Benjamin N. Cardozo School of Law Yeshiva University © 1997; 1998 Lawrence A. Cunningham All Rights Reserved Includes Previously Copyrighted Material Reprinted with Permission TABLE OF CONTENTS INTRODUCTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PROLOGUE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 27 I. CORPORATE GOVERNANCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . A. B. C. D. E. Owner-Related Business Principles................ Boards and Managers............................. The Anxieties of Plant Closings An Owner-Based Approach to Corporate Charity. A Principled Approach to Executive Pay.......... 29 29 38 43 47 54 II. CORPORATE FINANCE AND INVESTING. . . . . . . . . . . . . . . . A. B. C. D. E. F. G. H. I. 63 Mr. Market........................................ 63 Arbitrage.......................................... 66 Debunking Standard Dogma 72 "Value" Investing: A Redundancy................. 82 Intelligent Investing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89 Cigar Butts and the Institutional Imperative 93 Junk Bonds. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...
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.................................................................................................................... 1 II. Columbia’s Past and Current Strategies..................................................................................... 2 Past Strategies.......................................................................................................................... 2 Current Mission and Vision Statement.................................................................................... 2 New Mission and Vision Statement ........................................................................................ 3 III. SWOT and Environmental Analysis......................................................................................... 3 Columbia SWOT Analysis ...................................................................................................... 3 Columbia SWOT Matrix ......................................................................................................... 4 Cabela's SWOT Matrix............................................................................................................ 4 Patagonia SWOT Matrix ......................................................................................................... 5 Lululemon SWOT Matrix ....................................................................................................... 5 Under Armour SWOT Matrix ................
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...other industries, products, or brands have used humor in advertising to help position themselves in the marketplace? Do you think the strategies have worked? Where wouldn’t humor work? Humor wouldn’t work all that well with serious purchases (e.g., health), but one might think it wouldn’t have worked with something as serious (boring?) as insurance. Might that be because the humor is associated only with the name and not the insurance company’s attributes? B2B might be a place where humor might not seem appropriate (chemicals, machines), yet it might cut through the ad clutter. 2. Now that AFLAC is a widely known brand name, what should its next advertising campaign strategy be? How should AFLAC link the new strategy to the same business and marketing plans? Do you think the company should drop the duck? Why or why not? Once the name...
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