...While reading these two chapters from two different CEOs, I wasn't surprised to find very similar ideas and strategies between them. The bottom line is business sense in the right way. Both CEOs have incredible business sense that they could walk into any company and make it better than before. The difference between the two is how they communicate with the reader. You have Michael Dell, CEO of Dell Computer Corporation who speaks mostly common sense. This chapter was an easier read for me. Then you have Andy Grove, CEO of Intel who speaks more on the senior management level and adding common language of everyday people in the mix. Michael Dell speaks of cutting out the middleman to ultimately increase your bottom-line, while Andy Grove mostly discusses keeping up with change in your business. Dell's approach is simple, knowing what your customer wants in order to keep them happy and satisfied which in turn can only help your business. I would say that in Dell each customer "owns" a piece of the company. There are no distributors, the customer calls in tells you exactly want they want or what they think they want and by having someone answering the phone that is knowledgeable about the product can guide the customer in the right direction for perfect end item. I say what a great idea, always keeping the customer involved so you keep making what the customer wants. How can a company that is product driven fail with that type of attitude? Grove's success comes from...
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...Compare Chapters 2 and 5 What the Best CEOs Know Written by Jeffery A. Krames The purpose of this paper is to compare and contrast two very successful corporate leaders within the IT industry based on the book What the Best CEOs Know (Krames, 2003). Chapters two and five cover Michael Dell from Dell Computer Corp and Andy Grove from Intel Corp, respectively. We will look at five topics including their main contributions, resistance encountered, similarities, differences, and significant factors. Michael Dell knew as a young man it was critical to focus on customer needs. His concept of cutting out the “middleman” to improve information flow was genius and not common to the computer industry (Krames, p. 58). Dell’s strategy of listening, responding, and delivering on customer needs proved very successful. The CEO talked to customers as often as possible and used technology to his benefit (Krames, p. 61). The Internet was used extensively to reach customers globally for ordering, demand forecasting, and to gain product feedback. Dell’s efficient use of technology and the direct marketing model minimized overhead. The cost efficiencies gained were passed on to the consumer and helped quickly differentiate Dell from its competitors (Krames, p. 62). These concepts also helped Dell remain responsive and agile as they grew exponentially. The CEO was successful at inspiring his workforce and organizing around the customer (Krames, pp. 68-70)...
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...Comparison and Contrast of the Professional Stories of Michael Dell and Andy Grove Melissa A. Honea Northcentral University ABSTRACT Michael Dell and Andy Grove were both successful businessmen who use different approaches to their businesses. Both men had success and failures that shaped their business into the successful company’s they are today. Michael Dell tried a new approach to his business that he quickly saw was a failure. He realized that the approach he currently uses is the most successful for his company. Andy Grove made his company successful twice. While in the memory business he had 100 percent of the market share. He learned a hard lesson when his company was pushed out of its market share by competitors. The company had to quickly find a new niche. After three years, the company was successful again. Comparison and Contrast of the Professional Stories of Michael Dell and Andy Grove Michael Dell Michael Dell became an entrepreneur at the age of 12 when he advertised his business “Dell Stamps” in a local trade journal. While in college, Dell turned his dorm room into a personal computer laboratory and started selling them. In 1984, Dell started Dell Computer Corporation. In 1988, the company went public raising $30 million at its initial public offering (Krames, 2003a). Dell’s philosophy is to put the customer at the center of his business. All computers are custom ordered by the customer. The production process does...
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...choices a company makes. We will also make suggestions on how the company can improve its sales by using the 4Ps. Finally we will look at two separate alternatives for a company and determine if is better to create a line extension or remain using the original product to save on costs. Question 1 A market leader in pharmaceuticals A market leader in pharmaceuticals should emphasize a customer-oriented strategy. According to Kotler & Keller (2012), “A market leader has the largest market share and usually leads in price changes, new product introductions , distribution coverage and promotional intensity” (p. 299). With that said, market leaders must be vigilante in order to stay on top. Though a market leader, such as Advil, possesses a majority of the market, Tylenol could discover innovative technology that could knock Advil out of first place. A few strategies a market leader could adopt include, expanding total market demand, and protecting market share. When total market demand expands, market leaders tend to gain the most in sales. For example, if Advil found a way to encourage increased use of their product, then because they are already the market leader in pain relievers they would gain the most sales if market demand for pain relievers expanded. Using a customer oriented strategy would mean Advil would look for new customers or increased usage from existing customers. Sherman (2014) suggests that direct and subtle messages in advertising a product would have...
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...shipped more than 1 billion to date. In 1999, Nvidia was listed on the NASDAQ under the symbol NVDA. The company currently has 8,000 employees worldwide, has 6,000 patent assets, and reported $4.3 billion in revenue in fiscal year 2013. According to co-founder, president and CEO, Jen-Hsun Huang, Nvidia’s mission has always been to build a great company and be the most important 3D graphics company in the world. Organizational Strengths and Weaknesses Nvidia Corporations first major organizational strength has been their product mix, and as the manufacture of graphics processing units for PCs shifted its attention to the mobile computing boom, Nvidia has done so seamlessly. Nvidia manufactures some ome of the most popular top-of-the-mind brands such as GeForce, Quadro, Tegra, Tesla, nForce and currently holds more than 2,300 patents worldwide. Nvidia’s strength in this area has helped to increased its addressable market, and has advanced computing power to not only gamers, but to researchers, users of motor and aero vehicles alike, and of course mobile devices. The second major strength of the Nvidia Corporation has been in the area of innovation. After designing a chip, the company continues to evolve and it endeavor to improve that chip and come up with a more efficient...
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...Human Sexuality Assignment At its core, Great By Choice is a deep exploration of what distinguishes top performers from their peers during times of chaos, crisis, instability and uncertainty. Rigorous in its approach but practical in its presentation, Great By Choice to me seems like the perfect handbook for college seniors such as myself. In tackling the question of what distinguishes top performers in times of uncertainty, the authors first define what exactly a top performer is and then highlights the three key ingredients that these individuals were discovered to possess. 10Xers are leaders who built companies that started from a position of vulnerability, rose to beat their respective industries by at least 10 times, and did so in the midst of instability, crisis, and uncertainty. They are characterized by three behaviors: fanatic discipline, empirical creativity and productive paranoia. Towards the end of the book, the authors also explore luck and how much of an influence it has on successful or unsuccessful outcomes. They hone in on the notion of return on luck, arguing that fortune is but one variable in the equation of success. “Defeat is not the worst of failures. Not to have tried is the true failure.” –George Edward Woodberry What is success? And more importantly how does one obtain it? Some would be surprised to know that some of the greatest success stories came only after a myriad of failures. But it is no surprise that the recipe for success is a complicated...
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...Most CEOs success stories started with an entrepreneur, an idea, and a business loan. Michael Dell (Dell, Founder and CEO) and Andy Grove (Intel, Cofounder and CEO) success’ stories were no exception. Michael Dell launched his company in 1984 with a unique business model known as” mass customization” (Krames, 2003, p 59) or a “one-to-one” (Krames, 2003, p 59) between customers and company. The company delivered what the customers exactly want with “rock-bottom prices” (krames, 2003, p.59). With no margin paid to distributer or middleman. Dell increased customer savings while keeping a healthy profit margin. Dell’s business success continue to grow, four years later the company went public and Michael Dell at age 27 was named the “Youngest CEO” of a Fortune 500 Company. The second CEO and cofounder of Intel Andy Grove and other two engineers launched their company in 1968 with the invention of microprocessor that revolutionized the industry. Andy Grove dominated the market with little or no competition until 1984 when a Japanese company which provided the same products took over the market by lowering their prices, after trying almost everything, Andy Grove and his top managers decided to leave of the memory chip business and switch to solely microprocessors ship. They went on to build the world’s largest chip-making business (Krames, 2003, p 135) Along the way, both CEOs faced some challenges. In 1980 Andy Grove had to make a crucial decision when he decided it is time for...
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...topics in this overview, visit www.intel.com/go/responsibility to view or download our 2008 Corporate Responsibility Report, prepared using the Global Reporting Initiative’s G3 Sustainability Reporting Guidelines. What can we make possible? The paper is certified Ancient Forest Friendly and according to Forest Stewardship Council (FSC) standards. Contains 100% post-consumer recycled fiber and is processed chlorine-free. Produced at an FSC-certified printing facility. Copyright 2009 Intel Corporation. All rights reserved. Intel, Intel logo and Intel Core are trademarks of Intel Corporation in the U.S. and other countries. © *Other names and brands may be claimed as the property of others. Recycled Supporting responsible use of forest resources 0509/SPF/LAI/AP/7.5K Please Recycle To view or download the Intel 2008 Corporate Responsibility Report, visit L E T T E R F R O M O U R C E O www.intel.com/go/responsibility Throughout our 40-year history, Intel has pushed the boundaries of innovation, creating products that have fundamentally changed the way people live and work. But what we make possible goes well beyond our product roadmap. By working with others, we are finding opportunities to apply our technology and expertise to help tackle some of the world’s greatest challenges—from climate change and water conservation to education quality and the digital divide. Our commitment to corporate responsibility is unwavering, even during economic...
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...Electronics has reached $ 110.2 billion market capitalization, for the first time beyond Intel, the world's largest semiconductor manufacturer revenue, Samsung in 2009 to $ 117.8 billion in annual sales, revenue has surpassed HP as the world's largest electronics company, is the world's first two big chip plant, second in size only Intel 2008 is to have up to 21 products in the world market share in the market up to the first supplier. 3.1.1.1 Financial resource Through financial analysis of Samsung, we can see that it is now in a strong financial position. As the data shows, Samsung has high amount of total assets and net sales .Although its debt isn’t in a very low level, its net income still keeps growing, reaching to13.8 billion dollars in 2009. Organizations in such a strong financial position can be more responsive to new opportunities and new threats. 3.1.1.2 Technological resource Innovation is crucial to Samsung's business. As new technologies are being constantly introduced to the market, speed is essential for remaining competitive in today's digital era. In case of that, Samsung’s R&D centers are set up all over the world. The R&D network spans six Samsung centers in Korea and 18 more in nine other countries, including the United States, the United Kingdom, Russia, Israel, India, Japan and China, as well as other research centers and universities. These centers are tasked with hiring top-notch local talent, investigating the latest local technology trends, and bringing...
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...“How am I doing as a leader?” asks Larry Bossidy, CEO of AlliedSignal in a meeting with his operating mangers. “The answer is, how are the people you lead doing? Do they learn? Do they visit customers? Do they manage conflict and initiate change? Are they growing and being promoted? “When you retire, you won’t remember what you did in the first quarter of 1994, or the third. You’ll remember how many people you developed – how many you helped have a better career because of your interest and dedication to their development. When you’re confused about how you’re doing as a leader, find out how the people you lead are doing. You’ll know the answer.” Andy Grove, CEO of Intel: Roger Enrico, CEO of PepsiCo; Jack Welch, CEO of General Electric; and Admiral Ray Smith of the U.S. Special Operations Command agree with Bossidy. All are respected leaders of successful organizations that constantly outthink and outmaneuver their competitors. Though those leaders have been 1 2 instrumental in their companies’ success, they have also built large pools of talent. They have contributed to their organizations’ success by personally developing leaders at all levels. Once upon a time Here’s what you would see if you visited Grove, Enrico, Welch, and Smith leading their businesses. Intel. In Santa Clara, California, Andy Grove is teaching Intel managers how to lead in an industry in which the product (semiconductors) doubles in capacity every 18 months. In Grove’s teaching sessions, he...
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...The code of ethics that are used by the HR managers determines the discipline procedures and the satisfactory behavior for all workers in the organization organogram. When the leaders themselves have high standards of ethics, it inspires the workers within the organization to encounter the same level (French, 2006). Due to ethical leadership, it magnifies the company’s reputation in the community and financial market. For instance, if the top management of GM Motors are ethical then it is would have a positive effect on the rest of the hierarchy. A strong reputation for harnessing ethics and integrity in the local community, may lead the company’s business to...
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...definition of marketing is setting up automatic, repeatable systems that create an environment where people want to buy from you instead of you having to sell them. Just as a bee is lured to the nectar of a flower, business people are lured to money. Entrepreneurs are the honeybees of our economy. Ultimately the goal of an entrepreneur is to extend the life of his or her enterprise for a lifetime. As a business owner, your ultimate product is a satisfied customer. Some facts about the Internet and search engines: Over 80 percent of Internet users use search engines to find information A typical search can often generate thousands if not millions of results Only those websites listed in the top 100 will ever see any significant traffic Each day, millions of online businesses are competing for those top 100 spots The best marketing advice I can give you is find the right audience, ask people what they what, and after that, simply give it to them. Marketing is the science behind encouraging interested people to buy. The success of any business basically comes down to these key points: You first have to increase the number of customers. Second, increase the amount of the average order, and third, increase the frequency of articles. There are two basic ways to make money from your website. Portal website A portal website is specifically designed to generate the bulk of its profit from the sale of advertising Sales Website A sales web site is designed to...
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...The Globe Samsung’s unlikely success in mixing Western best practices with an essentially Japanese business system holds powerful lessons for today’s emerging giants. by Tarun Khanna, Jaeyong Song, and Kyungmook Lee A s today’s emerging giants face the challenge of moving beyond their home markets, they have much to learn from the pathbreaking experience of South Korea’s Samsung Group, arguably the most successful globalizer of the previous generation. Twenty years ago, few people would have predicted that Samsung could transform itself from a low-cost original equipment manufacturer to a world leader in R&D, marketing, and design, with a brand more valuable than Pepsi, Nike, or American Express. Fewer still would have predicted the success of the path it has taken. For two decades now, Samsung has been grafting Western business practices onto its essentially Japanese system, combining its traditional low-cost manufacturing prowess with an ability to bring high-quality, high-margin branded products swiftly to market. The two sets of business practices could not have seemed more incompatible. Into an organization focused on continuous process improvement, Samsung introduced a focus on innovation. Into a homogeneous workforce, Samsung introduced outsiders who could not speak the language and were unfamiliar with the company’s culture. Into a Confucian tradition of reverence for elders, Samsung introduced merit pay and promotion, putting some...
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...“A critical component of any winning business is an HR function that improves business results. I highly recommend this book to HR and business leaders everywhere.” —William S. Allen, Senior VP, Group HR, AP Moller-Maersk AS, Copenhagen, Denmark “Got business? This book does. By asking (and answering) the tough questions about HR relevance for line managers, shareholders, and customers, readers will clearly understand the why, how, and what of HR transformation.” —Rich Baird, Joint U.S. and Global Leader, Advisory People and Change, PwC “Wow, they have done it! Many HR shops need transformation but don’t have the answers. This book is the roadmap, answers the questions, provides the rationale, and describes how HR transformations should unfold. Read it, but better yet—do it!” —Richard W. Beatty, Rutgers University, coauthor of The Differentiated Workforce “A must read for an HR team that wants to add the most value to the business.” —Bob Bloss, HR Executive Vice President, Hallmark “A thoughtful and practical guide that will help leaders navigate some of the most important decisions about building the HR organization of the future.” —John Boudreau, USC Marshall, coauthor of Investing in People and Beyond HR “Two bangs for your hard-earned buck. First, a very strong summary of the key tenets of the most important HR thinking. Second, highly practical examples of what to do and—even more importantly—what NOT to do when embarking upon transformation.” —Reg Bull...
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...undertakes in order to create and sustain competitive advantages. This definition captures two main elements that go to the heart of the field of strategic management. First, the strategic management of an organization entails three ongoing processes: analysis, decisions, and actions. That is, strategic management is concerned with the analysis of strategic goals (vision, mission, and strategic objectives) along with the analysis of the internal and external environment of the organization. Next, leaders must make strategic decisions. These decisions, broadly speaking, address two basic questions: What industries should we compete in? How should we compete in those industries? These questions also often involve an organization’s domestic as well as its international operations. And last are the actions that must be taken. Decisions are of little use, of course, unless they are acted on. Firms must take the necessary actions to implement their strategies. This requires leaders to allocate the necessary resources and to design the organization to bring the intended strategies to reality. As we will see in the next section, this is an ongoing, evolving process that requires a great deal of interaction among these three processes. Second, the essence of strategic management is the study of why some firms outperform others. Thus, managers need to determine how a firm is to compete so that it can obtain advantages that are sustainable over a lengthy period of time. That means...
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