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S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

96

Impact of Fluctuation:
Stock / Forex / Crude Oil on Gold
Vikram K. Joshi

A b s t r a c t Gold which traditionally viewed as a safe haven in uncertain times, hit record highs in post-2000. The current bull-run in gold has lasted for a decade from
` 4473.60 per 10 gms in 2000-01 to record highs of ` 14,578.08 per 10 gms in
2009-10.

B e f o r e 2 0 0 0 , t h e d e m a n d f o r g o l d w a s e l a s t i c . H o w e v e r, n o w t h e

gold market seems entirely inelastic, as the appetite for the metal is high even a s t h e p r i c e s m o v e h i g h e r. I n t h i s p a p e r t h e e f f o r t s a r e m a d e t o a n a l y z e t h e reasons for rising gold demand and prices in Indian market and its relationship w i t h t h e f o r e x m a r k e t , t h e f l u c t u a t i o n s i n t h e s t o c k m a r k e t and t h e s o a r i n g crude oil price in the international market.

Key words: Stock Market, BSE SENSEX, Gold prices, FOREX Market, Crude oil prices. dwells on the rise in price of the yellow metal.

I

Dr. Vikram K. Joshi, Asst Professor, Dr. Ambedkar
Institute of Management Studies and Research
Deekshabhoomi, Nagpur.
Email: vikramkjoshi@gmail.com

n India, gold standard was treated as one of the most important measures or instruments of monetary system. The gold standard ceased to function a long time back but gold bullion still retains some of its old halo.
Gold bullion still figures in the discussions of the monetary system. Gold bullion is prized even in the age of demat trading and plastic money, because of its inherent quality as the original currency for trading, and therefore, a symbol of financial security. Paper money has been known to become worthless in a matter of days and stocks in a matter of hours. But gold hardly loses its glitter. Since 1980s, the perception of gold has slowly changed from an asset that must be hoarded to guard against a rainy day to a commodity that can be traded. This may be one of the reasons why India is the world’s largest consumer of gold, importing around 800 tonnes annually.
As gold which traditionally is viewed as a safe heaven in uncertain times, hit record highs in post-2000. The current

A Quarterly Journal

S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

bull-run in gold has lasted for a decade from ` 4473.60 per
10 gms in 2000-01 to record highs of ` 14,578.08 per 10 gms in 2009-10 as can be seen from table 1. It is seen that, before 2000, the demand for gold was elastic, however,

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now the gold market seems entirely inelastic, as the appetite for the metal is high even as the prices move higher.
The table below shows the gold prices during 1980-81 to
2009-10 in India and London.

Table 1: Prices of Gold

Year

Spread ( in `)

Mumbai

London

Gold Prices

Gold Prices

(` per 10 gms)

(` per 10 gms)

1980-81

1522.44

1484.67

37.76

1981-82

1719.17

1209.94

509.23

1982-83

1722.54

1250.38

472.16

1983-84

1858.47

1342.06

516.41

1984-85

1983.92

1293.78

Percentage rise

690.13

during decade

1985-86

2125.47

1289.76

835.71

1986-87

2323.49

1577.02

746.46

1987-88

3082.43

1912.54

1169.89

1988-89

3175.22

1960.38

1214.84

1989-90

3229.33

2063.01

1166.32

1990-91

3451.52

2164.26

1287.26

1991-92

4297.63

2841.07

1456.55

1992-93

4103.66

3332.95

770.71

1993-94

4531.87

3766.28

765.58

1994-95

4667.24

3864.15

803.09

1995-96

4957.60

4188.58

769.03

1996-97

5070.71

4283.94

786.77

1997-98

4347.07

3775.92

571.15

1998-99

4268.00

3952.00

316.00

1999-00

4393.56

3896.66

496.90

2000-01

4473.60

4007.79

465.81

2001-02

4579.12

4260.24

318.88

2002-03

5332.36

5062.11

270.25

2003-04

5718.95

5573.53

145.41

2004-05

6145.38

5976.14

169.24

2005-06

6900.56

6790.26

9240.32

9137.79

102.53

2007-08

9995.62

9897.12

98.50

2008-09

12889.74

12816.81

72.94

2009-10

14578.08

14449.29

36.05 %

110.30

2006-07

112.11 %

231.80 %

128.79

(Till May)
Source: Compiled and Computed from Economic & Political Weekly, EPW Research

Foundation, Current Statistics, Jan 5-11, 2008, p.73 &

http://rbidocs.rbi.org.in/rdocs/Publications/PDFs/178T_HB150909.pdf (for

A Quarterly Journal

2007 onwards data).

S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

From the table it can be seen that the prices of gold have increased by 112.11 percent during 1980-81 to 1989-90,
36.05 percent during 1989-90 to 1999-00 and again it rose sharply by 231.80 percent during 1999-00 to 2009-10. The percentage rise in gold prices during 1989-90 to 1999-00 was less as compared to the previous decade and last decade. The prices of gold plummeted sharply during 1996 to 1999 due to the following reasons. Firstly, the dollar price of gold has gone by 25 percent in the same period.
Secondly, the Indian gold import regulations have been

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liberalized and some benefits of globalization have been passed on to the consumers in the form of lower rupee prices. The higher demand for gold in India is the reason why prices of gold in India are higher as compared to the international market as can be seen from the chart above.
(Chart 1).
The following table shows the consumer demand of gold in
India and world by use during 2001 to 2009.

Table 2: Gold: Consumer Demand – India and World by Use

Year

World

India

Percentage to world total

2001 (Jan – Dec)

3370.1

702.0

20.8

2002 (Jan – Dec)

3026.4

547.3

18.1

2003 (Jan – Dec)

2848.4

568.7

20.0

2004 (Jan – Dec)

2236.0

617.7

27.6

2005 (Jan – Dec)

3098.5

721.6

23.3

2006 (Jan – Dec)

2662.0

715.5

26.9

2007 (Jan – Dec)

2810.9

769.2

27.4

2008 (Jan – Dec)

3048.2

712.6

23.4

2009 (Jan – Dec)

2423.5

480.0

19.8

Source: 1. Economic and Political Weekly, EPW Research Foundation, Current Statistics, Jan 5-11, 2008, p.73. 2. http://www.gold.org/assets/file/ pub_archive/pdf/GDT_Q4_2009.pdf (Annual Report RBI February 2010), and 3. http://www.scribd.com/doc/14037125/Gold-commodityrofile#fullscreen:on (for 2007 figures).

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S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

From the tables it can be seen that the consumption of gold in India is very high and India is largest consumer of gold in the entire world. The import of gold was 715.5 tonnes in the year 2006 and it rose to 769.2 tonnes during the year
2007 (Jan to June) i.e., rise of around 7.50 percent and was expected to reach 880 tonnes by the end of the year 2010 which represents the growth of 25.35 percent as compared to the year 2001. Also if we look at the consumption of gold in India as compared to the world consumption it is appreciably high and lies in the range of 18 percent to 27.6 percent. Thus, when one thinks of gold one think of India
– world’s largest consumer of gold.
Review of Literature
Wang M L et al (2010) have studied the relationship between the fluctuations in crude oil prices, gold price and exchange rate of US dollar with various currencies on the stock price indices of the US, Germany, Japan, Taiwan and China for the period 2006 to 2009. The results show that there exists a significant relationship between gold prices and the exchange rate. Toramana C. et al (2011), have analyzed the factors affecting gold prices in USA for the period 1992 to
2010. The factors considered for the study are Oil prices,
USA exchange rate, USA inflation rate and USA real interest rates. They have found highest negative correlation between gold prices and oil prices in USA. Also the study proved that there exists a high degree of correlation between gold prices and USA dollar. The other variables have no significant relationship with the gold prices. Kalra N. et al
(2012), has carried out the research to study for the period
2008 to 2011 to analyze the impact of various global and domestic factors on the Indian stock market. They have shown that there exists a positive and significant relationship of gold prices with BSE SENSEX.
In Indian context, the rally in gold prices were triggered by the global trend which normally sets prices in domestic bullion markets, is closely linked with the forex market and moves in the opposite direction of the US dollar.
Secondly, the soaring crude oil price is another factor which pushes demands and prices of gold. Thirdly, the fluctuation in the stock market, which causes economic uncertainty, favours the investment demand of gold. In this paper the impact of BSE SENSEX, FOREX and crude oil prices on movement of prices of gold in India are analyzed through an econometric enquiry.

99

Data Collection
The data are collected for the fluctuations in the BSE
SENSEX, gold prices and value of Rupees/Dollar during
30 th January 2008 to 14 th March 2008 and 3 rd June 2010 to
4 th August 2010. The above period is selected to study the relationship between the SENSEX, gold prices and the value of Rupees/Dollar as the SENSEX was relatively volatile and the value of Rupees/Dollar was relatively stable during the first period and the SENSEX was relatively stable and the value of Rupees/Dollar was relatively volatile during the second period. From the table 3 and chart 2, it can be seen that when SENSEX falls gold price increases and vice versa, but it is not true always. Whenever there are high fluctuations in the market, people prefer to make investment in gold and seasonal demand is the another factor. Also when the value of Rupees/Dollar appreciates demand for gold increases and vice versa as can be seen from chart 3. When dollar depreciates in value in international market, demand for gold increases in our country. Thus, it seems that there exists an inverse relationship between value of dollar and gold prices (and also demand) in India. Finally, the soaring crude oil price in international market increases the demand and price of gold in the country. This is evident from the fact that soaring crude oil prices and falling dollar pushed gold to an all-time high of Rs. 13,030 on March 14, 2008. This paper analyses these facts with the help of an econometric enquiry about whether these facts hold true statistically or are mere coincidences at different occasions.
Let us consider the following tables showing the comparison between BSE SENSEX, Gold prices and Value of Rupees/Dollar during 30 th Jan to 14 th Mar 2008 and 3 rd
June to 4 th August 2010 and the comparison between BSE
SENSEX, Gold prices, Value of Rupees/Dollar and Crude
Oil Prices during the same period (Table 3 and Table 4).
As seen in Chart 2 and Chart 4, when SENSEX – Relatively volatile; Value of Rupees/Dollar – relatively stable and
Crude Oil Prices – relatively volatile, the trend lines of
SENSEX and gold prices are going in opposite direction which shows an inverse relationship between SENSEX and gold prices. If we compare the trend lines of gold prices and value of Rupees/Dollar, the trend lines go in the same direction which show that there exists a direct relationship between gold prices and value of Rupees/dollar. Also, the

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S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

100

Table 3: Comparison between BSE SENSEX, Gold prices and Value of `/Dollar during
30 th Jan to 14 th Mar 2008 and 3 rd June to 4 th August 2010

Part (a)

Part (b)

Sensex – Relatively Volatile

Sensex – Relatively Stable

Value of `/Dollar – Relatively Stable

Value of `/Dollar – Relatively volatile

Day

BSE

Gold

Sensex

Value

price/

of Rs/

10 gms

BSE

dollar

Day

Sensex

Gold

Value

price/

of Rs/

10 gms

dollar

30 Jan, 08

17,759

11,785

39.39

3 June, 10

16,742

18,725

46.99

31 Jan, 08

17,649

11,785

39.37

8 June, ‘10

16,781

18,645

47.10

1 Feb, 08

18,233

11,890

39.36

9 June, ‘10

16,617

19,050

46.95

4 Feb, 08

18,660

11,515

39.44

11 June, ‘10

16,922

18,725

46.97

5 Feb, 08

18,663

11,405

39.55

12 June, ‘10

17,065

18,640

46.85

6 Feb, 08

18,139

11,470

39.50

15 June, ‘10

17,338

18,615

46.49

7 Feb, 08

17,527

11,630

39.53

16 June, ‘10

17,413

18,580

46.57

8 Feb, 08

17,465

11,710

39.63

18 June, ‘10

17,617

18,690

46.32

11 Feb, 08

16,631

11,895

39.69

19 June, ‘10

17,571

18,790

46.17

12 Feb, 08

16,608

11,835

39.69

22 June, ‘10

17,877

18,790

45.75

13 Feb, 08

16,949

11,620

39.75

23 June, ‘10

17,750

18,615

46.25

14 Feb, 08

17,766

11,685

39.60

24 June, ‘10

17,756

18,735

46.19

15 Feb, 08

18,115

11,788

39.67

25 June, ‘10

17,730

18,665

46.49

18 Feb, 08

18,048

11,650

39.78

26 June, ‘10

17,575

18,820

46.29

19 Feb, 08

18,076

11,650

39.93

29 June, ‘10

17,774

18,895

46.21

20 Feb, 08

17,613

12,005

40.20

30 June, ‘10

17,534

18,770

46.49

21 Feb, 08

17,735

12,200

39.92

1 July, ‘10

17,701

18,830

46.45

22 Feb, 08

17,349

12,230

40.03

3 July, ‘10

17,461

18,465

46.77

25 Feb, 08

17,651

12,265

39.96

7 July, ‘10

17,614

18,495

46.91

26 Feb, 08

17,806

12,055

39.90

8 July, ‘10

17,471

18,290

47.04

27 Feb, 08

17,826

12,345

39.78

13 July, ‘10

17,937

18,390

46.78

28 Feb, 08

17,824

12,325

39.87

14 July, ‘10

17,986

18,410

46.77

29 Feb, 08

17,578

12,520

40.01

15 July, ‘10

17,938

18,460

46.70

3 Mar, 08

16,678

12,745

40.14

17 July, ‘10

17,956

18,395

46.77

4 Mar, 08

16,340

12,805

40.31

20 July, ‘10

17,928

18,290

47.13

5 Mar, 08

16,542

12,585

40.29

21 July, ‘10

17,878

18,220

47.36

7 Mar, 08

15,976

12,855

40.52

27 July, ‘10

18,020

18,245

47.05

10 Mar, 08

15,924

12,740

40.50

28 July, ‘10

18,078

18,065

46.68

11 Mar, 08

16,123

12,845

40.45

29 July, ‘10

17,957

17,765

46.77

12 Mar, 08

16,128

12,725

40.33

30 July, ‘10

17,992

17,445

46.54

13 Mar, 08

15,357

12,965

40.44

3 Aug, ‘10

18,081

17,810

46.25

14 Mar, 08

15,761

13,030

40.44

4 Aug, ‘10

18,115

17,905

46.17

Source: Market Watch, Times of India, Jan 30 to March 14, 2008 & June 3 to August 4, 2010.

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S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

101

Table 4: Comparison between BSE SENSEX, Gold prices, Value of `Dollar and Crude Oil Prices
Part (a) :Sensex – Relatively Volatile; Value of `/Dollar – Relatively Stable; Crude Oil Prices – Relatively Volatile
Day

BSE Sensex

Gold Price/10 gms

Value of

Crude Oil

`/dollar

Prices ($)

1 Feb, 08

18,233

11,890

39.36

88.96

8 Feb, 08

17,465

11,710

39.63

91.77

15 Feb, 08

18,115

11,788

39.67

95.50

22 Feb, 08

17,349

12,230

40.03

98.81

29 Feb, 08

17,578

12,520

40.01

101.84

7 Mar, 08

15,976

12,855

40.52

105.15

14 Mar, 08

15,761

13,030

40.44

110.21

Part (b):Sensex – Relatively Stable; Value of `/Dollar – Relatively Volatile; Crude Oil Prices – Relatively Stable
Day

BSE Sensex

Gold price/10 gms

Value of

Crude Oil

Rs/dollar

Prices ($)

3 June, 10

16,742

18,725

46.99

71.51

11 June, 10

16,922

18,725

46.97

73.78

18 June, ‘10

17,617

18,690

46.32

77.18

25 June, ‘10

17,730

18,665

46.49

78.86

1 July, ‘10

17,701

18,830

46.45

72.14

8 July, ‘10

17,471

18,290

47.04

76.09

15 July, ‘10

17,938

18,460

46.70

76.01

21 July, ‘10

17,878

18,220

47.36

78.89

` /dollar

Source: http://www.nyse.tv/crude-oil-price-history.htm & Table 5 above.

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102

` /dollar

` /dollar

S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

A Quarterly Journal

103

` /dollar

S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

trend lines of gold prices and crude oil prices as seen in chart
4 goes in the same direction, implies that there exists a direct relationship between gold prices and crude oil prices.
Similarly, as seen in Chart 3 and Chart 5, when SENSEX –
Relatively stable; Value of Rupees/Dollar – relatively volatile and Crude Oil Prices – relatively stable, the trend lines of SENSEX and gold prices are going in opposite direction which show an inverse relationship between
SENSEX and gold prices. If we compare the trend lines of gold prices and value of Rupees/Dollar, here the trend lines go in the opposite direction (chart 3) which shows that there exists an inverse relationship between gold prices and value of Rupees/Dollar when value of Rupees/Dollar is volatile. Also, the trend lines of gold prices and crude oil prices as seen in chart 5 goes in the opposite direction, implies that there exists an inverse relationship between gold prices and crude oil prices when crude oil prices are relatively stable.
For analyzing the impact of the various variables on gold prices, the hypotheses are formulated for different occasions as mentioned in the various cases as discussed below: Data Analysis
Case 1: When SENSEX – Relatively volatile
H 0 : There is no relationship between gold prices and
SENSEX.
H 1 : There exists a relationship between gold prices and
SENSEX.
The output generated for the regression equation between gold prices and BSE Sensex when Sensex is relatively volatile using Analyse-it tool-pack of EXCEL, is given as below: As seen in table 5, the slope coefficient of regression equation indicates that as BSE Sensex increases by 1 unit, gold price decreases by 0.4543 units. Since Sensex is an index measured in 100s, the coefficient of Sensex implies that gold price decreases by ` 45.43 for every 100 extra
BSE Sensex rise. Similarly, when Sensex = 0, the price of gold is determined at `19,986. Secondly, the value of adj
R 2 comes to be 0.63 and R 2 comes to be 0.64 which is moderately high. Thus, we can conclude that the

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S C M S J o u r n a l o f I n d i a n M a n a g e m e n t , October - December, 2 0 1 2.

104

Table 5: Regression Analysis - Gold Price vs SENSEX n R

32
2

0.64

Adjusted R 2

0.63

SE

304.7

Term

Coefficient

95% CI

SE

Intercept
Slope

19986

17811 to 22160

1065

-0.4543

-0.5801 to -0.3285 0.06159

t statistic

DF

p

18.77

30

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...A Case Study by any Other Name Cathy Foster Liberty University   A Case Study by any other Name Researchers have different methods of observing their subjects. Among the most popular is the case study. Case studies are used a lot in psychology and one of the most famous psychologists that used case studies to detail the private lives of his patients was Sigmund Freud. What is a Case Study? “A case study is an observational method that provides a description of an individual” (Cozby & Bates, 2012). During a case study the individual is usually a person however that’s not always the situation. The case study can also be a setting, which can include a school, business, or neighborhood. A naturalistic observational study can sometimes be called a case study and these two studies can overlap (Cozby & Bates, 2012). Researchers report information from the individual or other situation, which is from a “real-life context and is in a truthful and unbiased manner” (Amerson, 2011). What are some Reasons for Using a Case Study Approach? There are different types of case studies. One reason to use a case study is when a researcher needs to explain the life of an individual. When an important historical figure’s life needs explaining this is called psychobiography (Cozby & Bates, 2012). The case study approach help answer the “how”, “what”, and “why” questions (Crowe, 2011). What are Some Advantages and Disadvantages to the Case Study Approach? Some advantages...

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...CASE STUDY COMPONENTS: Introduction: Identify case study topic and list assertions (3-6) that can be verified with evidence (field notes, interviews, etc.) 1. Assertions and Evidence: Discuss each assertion separately (minimum one paragraph for each assertion) and include supportive evidence. Underline assertion statements as presented. 2. Implications/Effects: Conclude with an interpretive discussion of implications/effects. Inferences and conclusions based on evidence presented can be drawn. SAMPLE CASE STUDY FOCUSING ON MANAGEMENT STRATEGIES: Management Case Study Introduction Throughout the study, Shelley’s class was well managed. Explanations and evidence to support the following six assertions regarding Shelley’s management style are presented: 1. Shelley did not focus extensively on behavior management; 2. Shelley monitored student behavior throughout lessons; 3. Shelley promptly dealt with potential disruptive behavior; 4. Shelley reinforced acceptable behavior; 5. Shelley was very tolerant of student interaction and discussion; and, 6. Shelley devoted a great deal of time to task management. Assertions and Evidence Throughout the study, Shelley did not focus extensively on behavior management. On most days, the students in Shelley’s class were very well behaved and seemed to be familiar with Shelley’s rules regarding classroom behavior...

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...Case Study for “Carl Robins a new employee for ABC, Inc.” Rodrequez M. Dover University of Phoenix Class: Comm/215 Essential of College writing Author Note This paper is my first case study report. My thesis for this report is: It is important before hiring for any job that we check all the requirements for the new recruits, and that we have all the things require for their training.". In this case study we learn quickly that Carl Robing was new at ABC, Inc. as a recruiter and he had recruited 15 new trainees to work for Monica Carrolls. We also learn that he did not have a outline or a way to keep up with what he would need for the new hires to start on time. Carl did not do some of the most important steps to make sure that this hiring process went off without a hitch. He did not secure the room that they would us for training or make sure that all the orientation manuals were correct. Carl did not make sure that all there information was in the system nor did he set up there mandatory drug screen. Carl upon receiving his new job should have took the time to research what he would be doing in his new position and what was the companies’ policies for each thing that he would be doing. I feel if Mr. Robing had done that doing his training he would have been better able to execute the task of hiring new trainees. I know some of you may be thinking how you know that they have these policies glad you asked. I know because the drug test was mandatory...

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...Case Study: Trip Seven Screen Printing Carolina Barvo Vilaro, Professor Terrell Jones Purchasing Management TRA3132 Florida State College at Jacksonville ABSTRACT This paper has the purpose to analyze the case study of Trip Seven Screen Printing. Through this paper I will discusses viable solutions for the problem that arise with the current supplier of Trip Seven Screen Printing. INTRODUCTION Being in constantly communication with suppliers, meet with the payments and be transparent in what both parties need at the time of generating an order, it will allow supplier to deliver a quality product or service, and achieve the expectations of the customer. It is important to build a good relationships with suppliers. It is a characteristic that e companies should take in consideration to succeed in the market. This will allow them to get good results for their business, improve the quality of the inputs and achieve future agreements which are beneficial for the company. Proper coordination with vendors allows companies to produce a better final product or service, which will generate greater customer satisfaction and, therefore, higher sales for the business. The good relationship becomes more crucial in the case of companies that rely on a provider in specific. This can be related to the case study in which Trip Seven Screen Printing has as a unique supplier, American Apparel, even though their relation has been satisfactory for the past years, recently, issues...

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...Case Study: Considerations on group development Case Study: Considerations on group development In the current business world, several organizations have adopted the idea of creating a team to address an emergency situation, to improve something that is idling or to create a new thing from scratch, all in order to work in a more effective and efficient way. Every group faces challenges and victories, even if small ones. According to Robbins and Judge, “Teams are more flexible and responsive to changing events than traditional departments or other forms of permanent groupings. They can quickly assemble, deploy, refocus, and disband”. (Robbins 308) It is with this in mind that this paper will analyze the case study number 3, “ Building a Coalition”, and develop thoughts and considerations about the issues in the study, connecting them to the theory on building teams. Group Development The story begins with the creation of a new agency by the Woodson Foundation, a nonprofit social service agency, and the public school system in Washington D.C., with the participation of the National Coalition for Parental Involvement in Education (NCPIE), which is an organization of parents that is involved in the school through the Parent Teacher Association (PTA). They share a common interest in building this new agency in order to create an after school program to help students learn. The three separate groups opted to develop a cross-organizational development team, responsible for...

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...Case Study 1: Prelude To A Medical Error 1. Background Statement My case study is over chapters 4 and 7. The title is Prelude to a Medical Error. In this case study, Mrs. Bee is an elderly woman who was hospitalized after a bad fall. After her morning physical therapy, Mrs. Bee felt she could not breathe. Mrs. Bee had experienced terrible spasms in her left calf the previous evening and notified Nurse Karing. Nurse Karing proceeded to order a STAT venous Doppler X-ray to rule out thrombosis. She paged Dr. Cural to notify him that Mrs. Bee was having symptoms of thrombosis. Dr. Cural was upset that he was being bothered after a long day of work and shouted at the nurse, telling her he had evaluated Mrs. Bee that morning and to cancel the test. When Nurse Karing returned to the hospital the next day, Mrs. Bee’s symptoms were worse. She ordered the test. After complications, Dr. Krisis from the ER, came immediately to help stabilize Mrs. Bee. Unaware of Nurse Karing’s call to Dr. Cural, Dr. Krisis assumed the nursing staff was at fault for neglecting to notify Dr. Cural of Mrs. Bee’s status change the previous evening. Denying responsibility, Dr. Cural also blames the nursing staff for not contacting him. Not being informed of Mrs. Bee’s status change, her social worker, Mr. Friendly, arrives with the news that her insurance will cover physical therapy for one week at a rehabilitation facility and they will be there in one hour to pick her up. An angry Nurse Karing decides...

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...1. In the case of Retrotonics, Masters’ management style has several features ,such as disrespecting and improper decision-making. Firstly, Masters ignored his subordinates’ feeling which make them embarrassed. For example, the production manager, Lee, who suffered Masters’ criticism in front of other employees(Drew 1998, para 4). Although employees need the evaluation from the manager, they tend to accept the criticism privately. Another factor of Masters’ management style is making decisions in improper ways. According to Drew(1998, para 3), Master set difficult and stressful deadlines for the staff. This is the main reason why employees in engineering apartment are stressed. Therefore, those decisions that Masters made have negative effects on both staff and productivity. 2. There are three management styles are suit for Masters’ situation, in terms of delegating, democratic style and autocratic style. Firstly, delegating which is an important competence for managers. Delegating can avoid to interferes in management. In Masters’ case, Imakito and Lee are experienced and professional in their work. Hence, delegating assignments to them is a method to achieve the business goals effectively. Furthermore, democratic style which encourage employees to share their own opinions and advice is suit for manage the engineering department, because most staff in this department are experts in their work(Hickey et al 2005, pp.27-31). Having more discussions and communication with those...

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...Case Studies  Engineering Subject Centre Case Studies:  Four Mini Case Studies in  Entrepreneurship  February 2006 Authorship  These case studies were commissioned by the Engineering Subject Centre and were written  by: · Liz Read, Development Manager for Enterprise and Entrepreneurship (Students) at  Coventry University  Edited by Engineering Subject Centre staff.  Published by The Higher Education Academy ­ Engineering Subject Centre  ISBN 978­1­904804­43­7  © 2006 The Higher Education Academy ­ Engineering Subject Centre Contents  Foreword...................................................................................................5  1  Bowzo: a Case Study in Engineering Entrepreneurship ...............6  2  Daniel Platt Limited: A Case Study in Engineering  Entrepreneurship .....................................................................................9  3  Hidden Nation: A Case Study in Engineering Entrepreneurship11  4  The Narrow Car Company...............................................................14 Engineering Subject Centre  Four Mini Case Studies in Entrepreneurship  3  Foreword  The four case studies that follow each have a number of common features.  They each  illustrate the birth of an idea and show how that idea can be realised into a marketable  product.  Each case study deals with engineering design and development issues and each  highlights the importance of developing sound marketing strategies including market ...

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...Case Study 3 Randa Ring 01/25/2012 HRM/240 1. How did the problems at Deloitte & Touche occur in the first place? I feel that the problem began in the work environment. It looks as if there was limited opportunity for advancement. As well that the company was not able to handle issues that a raised from work and family. I think that it was a wonderful idea to have the company made up of women. I feel that it was a very positive thing because a lot of their issues where not geared towards men. 2. Did their changes fix the underlying problems? Explain. Yes I feel that the changes that they made did fix some of their underlying problems. With them keeping their women employees no matter what position that they were in at the time went up. For the first time the turnover rates for senior managers where lower for women than men. 3. What other advice would you give their managers? They really need to watch showing favoritism towards the women. They did to treat everyone as an equal. I also feel that they should make the changes geared towards the men and women’s issues that have to deal with family and work. 4. Elaborate on your responses to these questions by distinguishing between the role of human resources managers and line managers in implementing the changes described in this case study When it comes to Human resource managers, they will work with the managers in implementing changes. As well they will make a plan to show new and current...

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...Case Study Southwestern University Southwestern University (SWU), a large stage college in Stephenville, Texas, 20 miles southwest of the Dallas/Fort Worth metroplex, enrolls close to 20,000 students. In a typical town-gown relationship, the school is a dominant force in the small city, with more students during fall and spring than permanent residents. A longtime football powerhouse, SWU is a member for the Big Eleven conference and is usually in the top 20 in college football rankings. To bolster its chances of reaching the elusive and long-desired number-one ranking, in 2001, SWU hired the legendary BoPitterno as its head coach. One of Pitterno’s demands on joining SWU had been a new stadium. With attendance increasing, SWU administrators began to face the issue head-on. After 6 months of study, much political arm wrestling, and some serious financial analysis, Dr. Joel Wisner, president of Southwestern University, had reached a decision to expand the capacity at its on-campus stadium. Adding thousands of seats, including dozens of luxury skyboxes, would not please everyone. The influential Pitterno had argued the need for a first-class stadium, one with built-in dormitory rooms for his players and a palatial office appropriate for the coach of a future NCAA champion team. But the decision was made, and everyone, including the coach, would learn to live with it. The job now was to get construction going immediately after the 2007 season...

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...Recovery of Trust: Case studies of organisational failures and trust repair BY GRAHAM DIETZ AND NICOLE GILLESPIE Published by the Institute of Business Ethics Occasional Paper 5 Authors Dr Graham Dietz is a Senior Lecturer in Human Resource Management and Organisational Behaviour at Durham University, UK. His research focuses on trust repair after organisational failures, as well as trust-building across cultures. Together with his co-author on this report, his most recent co-edited book is Organizational Trust: A cultural perspective (Cambridge University Press). Dr Nicole Gillespie is a Senior Lecturer in Management at the University of Queensland, Australia. Her research focuses on building, repairing and measuring trust in organisations and across cultural and professional boundaries. In addition, Nicole researches in the areas of leadership, teams and employee engagement. Acknowledgements The authors would like to thank the contact persons in the featured organisations for their comments on an earlier draft of this Paper. The IBE is particularly grateful to Severn Trent and BAE Systems for their support of this project. All rights reserved. To reproduce or transmit this book in any form or by any means, electronic or mechanical, including photocopying, recording or by any information storage and retrieval system, please obtain prior permission in writing from the publisher. The Recovery of Trust: Case studies of organisational failures...

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