...Why Does Big Corporations Move to Another Country to Save Revenue? “The United States of America’s economy is in shambles.” Statements like these are heard more often than ever in today’s media. More depressing economic dialogue usually follows them, though I was not trying to include a pun alluding to the Great Depression. This dialogue usually refers to the great economic bailout organized by the government and paid for by the people, however is not every circumstance in which the government has spent money in some way or another paid for by the people via taxes? That is an argument for another time. The next most popular economic anecdote with which the media uses to boosts its ratings is concerning the major three United States based automotive corporations: Ford Motor Company, General Motors Corporation, and Chrysler. The bailout of these automotive manufacturing corporations has stirred great debate within the walls of the Capitol. The proponents of the bailout state that even if we do not go through with a bailout for these automotive manufacturing companies, the country in some way or another will ultimately being paying the same – if not an increased – amount of money to support all of the people that will lose their jobs if these corporations are to go under (Graves). The people against the bailout say that these corporations are coming to the government due to the bailout of major banks and insurance firms and wanting “a piece of the pie” for themselves. There are...
Words: 1523 - Pages: 7
...Currently Riordan Manufacturing is having a challenging time trying to gather all the data that generates from its Finance and Accounting departments. All of the plant locations have different kinds of Finance and accounting systems, which may be the main reason Riordan Manufacturing has a hard time maintaining the data received. The company’s three operating locations each have their own Finance and Accounting systems. The plant in Pontiac, Michigan and the plant in Albany, Georgia feed data to the corporate headquarters in San Jose, California. Riordan Manufacturing also has a joint venture in Hangzhou, China. Although there is no mention of China’s data output on the company’s Intranet site, the company has facilities there that manufactures plastic fan parts. There should be data coming from that headquarters must there but the status of the Finance and Accounting system used in China is currently unknown. Corporate headquarters currently has a license for an Enterprise Resource Planning (ERP) system that is fully integrated and Windows based. It is designed specifically for plastics processing and assembly manufacturers. The ERP software has a financial management application included, along with manufacturing and distribution applications. The license the San Jose location has is from proprietary software, so it does not include the source code. Because the software does not come with a source code there is no way to modify the software for customization purposes. When...
Words: 398 - Pages: 2
... commercially suitable vehicle. Most of the companies that comprised the young General Motors Company were weak, and their operations were uncoordinated. Many were in debt. It was not until the 1920s, when a new concept of management was forged and a new concept of product emerged, that GM really began to prosper. General Motors sales for its first full fiscal year ending September 31, 1909, totaled 25,000 cars and trucks, 19 percent of total U.S. sales. Net sales totaled $29,030,000 and its payroll at the peak of the manufacturing season numbered more than 14,000 mostly in Michigan. In 1995, GM sold 8.3 million cars and trucks worldwide with net income of $6.9 billion and worldwide employment averaging 714,000 workers. General Motors has 284 operations in 35 states and 158 cities in the United States. In addition GM of Canada operates 21 locations, GM de Mexico operates 5 locations, and GM has assembly, manufacturing, distribution or warehousing operations in 49 other countries, including equity interests in associated companies. General Motors has operations in 41 countries outside North America and accounts for about 17 percent of the vehicles sold in the world's competitive markets. GM operations outside North American accounts for over one-third of the corporation's vehicle sales. GM products (of all types) are sold in 170 countries around the world....
Words: 5757 - Pages: 24
...spreadsheet, or transmitted in any form or by any meanselectronic, mechani cal, photocopying, recording, or otherwisewithout the permission of Harvard Business School. TIMOTHY A. LUEHRMAN Stryker Corporation: In-sourcing PCBs In late May 2003 executives in Stryker Corp orations Instruments business were actively considering a change in their sourcing strategy fo r printed circuit boards (PCBs), a key electronic component of many of Stryker Instruments medi cal products. Currently, Stryker purchased PCBs from a small number of contract manufacturers. The Instrument s business anticipated spending more than $10 million in each of the next two years on PCBs, an amount that would increase as the Instruments business grew. In re cent years, the performance of some contract manufacturers had been unsatisfactory with respect to quality, delivery and/or responsiveness and Stryker had repeatedly found itself looking for new suppliers. More generally, contract manufacturers tended to operate on thin margins with scant capital. Ba nkruptcies were not uncommon, and even without bankruptcy, a financially weak supplier was simply less reliable. Given recent events and the shaky appearance of several current suppliers, Stryker Instruments had resolved to address the issue. Stryker Instruments manufacturing managers stud ied three options for improving the situation. Option #1 was to maintain the current basic...
Words: 2568 - Pages: 11
...The company was founded by Dr. Riordan, a professor of chemistry he started Riordan plastics, Inc in 1991. Riordan Manufacturing is a global plastics, medical supplies, stents, automotive parts, appliance manufacture's parts, airplane parts, and beverage containers manufacturer. Riordan has 500 employees with a projected annual earnings of $46 million and a fortune of 1000 enterprises with revenues of $1 billion. Riordan Manufacturing has 4 worldwide locations Albany Georgia, Pontiac Michigan, Hangzhou China, and the company headquarters in San Jose. In the following paragraphs we will be describing formal and informal power structures, the effective organization structures, effects on employee behavior, the characteristics of employee behavior, potential sources, and a evaluation of Riordan Manufacturing. Formal and Informal Power Structures Riordan Manufacturing is formed by a formal and informal power structures. Riordan, formal power structure was established in the corporation to recognized the organizational chart and legitimate power which correspond to the formal authority that controls organizational resources in the corporation. Riordan informal power is divided into individual departments, each department is led and managed by an employee who has more knowledge than others in that department. The power and political structure of Riordan Manufacturing influence their employees behavior by collaborating and involving certain levels of hierarchy requiring employees to...
Words: 1108 - Pages: 5
...|[pic] | | | |[pic] | |Corporate Compliance Plan | |Interoffice Memorandum | | | | | | | |Patrina Smith | | | |Business Law 531 ...
Words: 2923 - Pages: 12
...Amway From Wikipedia, the free encyclopedia (Redirected from AMWAY) Amway Type Private Industry Direct selling Founded 1959 Founder(s) Rich DeVos Jay Van Andel Headquarters Ada, Michigan, United States Area served Worldwide Key people Steve Van Andel (Chairman) Doug DeVos (President) Products Amway Home, glister, G&H, Nutrilite, Artistry, AmwayQueen, eSpring, ATMOSPHERE... Revenue US$ 11.3 billion (2012)[1] Employees 20,000[2] Parent Alticor Website Amway.com Headquarters in Ada, Michigan Amway (short for American Way) is an American multinational direct-selling company that sells a variety of products, primarily in the health, beauty, and home care markets to consumers and independent business owners.[3][4][5] Amway was founded in 1959 by Jay Van Andel and Richard DeVos. Based in Ada, Michigan, the company and family of companies under Alticor reported sales of USD$11.3 billion for the year ended December 31, 2012 - the seventh consecutive year of growth for the company.[1] Its product lines include home care products, personal care products, jewelry, electronics, Nutrilite dietary supplements, water purifiers, air purifiers, insurance and cosmetics. Amway conducts business through a number of affiliated companies in more than a hundred countries and territories around the world.[6] Amway was ranked No.114 among the largest global retailers by Deloitte in 2006, and No.25 among the largest private companies in the U.S. by Forbes in 2012.[7] Contents...
Words: 3300 - Pages: 14
...is base on Ada Michigan, United States. Today it Amway got it own manufacturing facility that is 3.5 million square feet plant which manufacture it own product and distributed it using Multilevel marketing or MLM by the network of more that 3 million distributor in more that 80 territories or countries around the world. Today Amway got a manufacturing plant in Thailand,Korea,China,India and Vietnam. The company recorded the most growing pace on 1990 to 1997 which the revenue increase from US1 billion to US7 billion which 2/3 sales is coming outside from America which mostly coming from Asia. Amway which are one of the largest MLM company and the pioneer in MLM, selling it own product which can divided in 5 categories which namely as a Home Care,Personal Care,Nutrition & Wellness,Health & Fitness and Home Tech all categories is in Product Catalog. Beside selling own product it also sells other company product in the Shopping Catalog. Some of the Amway that very popular in the market is Nutrilite supplement and Artistry cosmetic. n 1997, Amway using a new concept, which are online concept to distributor it product by the distributor. The new company is set up that is calling Quixtar because of this new concept and on 2000 the Alticor company is set up and own by Rich Devos and Jay Van Andel. Alticor is a holding company of Amway Corporation. Amway is the biggest company which is know as Amway Coporation in Alticor. Access Business Group that offer manufacturing and distribution...
Words: 503 - Pages: 3
...INTRODUCTION The United States Steel Corporation more commonly known as U.S. Steel is an integrated steel producer with major production operations in the United States, Canada, and Central Europe. The company was the world's 13th largest steel producer in 2010. It was renamed USX Corporation in 1986 and back to United States Steel Corporation in 2001 when the shareholders of USX spun off the oil & gas business of Marathon Oil and the steel business of U. S. Steel to shareholders. In 2001 it was still the largest domestically owned integrated steel producer in the United States, although it produced only slightly more steel than it did in 1902, after significant downsizing in the 1980s. U.S. Steel is a former Dow Jones Industrial Average component, listed from April 1, 1901 to May 3, 1991. It was removed under its USX Corporation name with Navistar International and Primerica. Formation J. P. Morgan and the attorney Elbert H. Gary founded U.S. Steel in 1901 (incorporated on February 25) by combining Andrew Carnegie's Carnegie Steel Company with Gary's Federal Steel Company and William Henry "Judge" Moore's National Steel Company for $492 million ($13.58 billion today). It was capitalized at $1.4 billion ($38.63 billion today), making it the world's first billion-dollar corporation. At one time, U.S. Steel was the largest steel producer and largest corporation in the world. In 1907 it bought its largest competitor, the Tennessee Coal, Iron and Railroad Company, which...
Words: 5405 - Pages: 22
...Auto Industry’s Impact on Households The automotive industry is an essential piece to the economy of the United States. Currently, there are about 850,000 manufacturing workers and 1.8 million auto dealership workers that are employed in the automotive industry today (Amadeo). This industry was and continues to be negatively impacted by the recession that has plagued our nation’s economy since 2008. Unemployment has been one of the biggest issues in the auto industry, along with the negative impact on the government and firms in the United States. Therefore, I will focus on how households have been impacted by the auto industry recession. This will include how unemployment affects households, why the auto industry needed to be bailed out and what areas of households have been hurt the most by the unemployment. A massive amount of job cuts in the American automotive industry was the result of a devastating recession that the United States began to face in 2008. Job loss results in immediate problems for workers and in turn, the household that worker lives in. When a worker loses their job, the entire family of that worker is affected because now that family cannot live the way it is used to living with steady income. This was a problem that 174,192 workers had to come up with a solution to, because that is how many jobs were cut in the 2009 automotive industry (Challenger, Gray and Christmas 2). The unemployment rate has risen from 7% in 2007 to over 25% in the automotive...
Words: 1175 - Pages: 5
...Riordan Manufacturing is an international manufacturer of plastics and is currently make its mark on the industry as an industry leader. Currently Riordan Manufacturing has four locations that all serve different purposes in the company. Riordan Manufacturing has locations in Albany, Georgia, Pontiac, Michigan, Hangzhou, China and the corporate headquarters in San Jose, California. Riordan Manufacturing uses a Wide Area Network (WAN) that allow the three locations to be connected to the corporate headquarters in San Jose, California. Along with the Wide Area Network to connect the locations to the Corporate Headquarters of Riordan Manufacturing, each location has its own Local Area Network (LAN). Network Architecture. The topology of the networks varies from site to site. The network of the Corporate Headquarters and the location in China both use a bus topology in both networks there is a single 100BaseT line that is either connected to a server or an interface device. The other two site Albany, Georgia and Pontiac, Michigan both use what seems to be a partial mesh topology or a hybrid topology. The servers on these networks are all connected together , the interface devices are connected to the server, and the clients and printers are then connected to only the interface devices. All of the locations have their own local area network which is connected to the Corporate Headquarter though a point to point connection which is a star topology. The China location has a point...
Words: 2198 - Pages: 9
...Topic Proposal (Week 1 Assignment) For my course project I have chosen to compare and contrast the organizational changes in the two publically traded companies of General Motors (GM) and Ford. The North American companies were both founded in the state of Michigan. General Motors Corporation (now known as General Motors Company) was founded in the year 1908 by William C. Durant in Michigan. Ford Motor Company was founded in June of 1903 by Henry Ford. Only GM received federal assistance from the US government’s treasury department (Klier & Rubenstien, 2012). The program that provided this assistance is called TARP: The Trouble Asset Relief Program. TARP contributed to saving millions of American jobs in the auto industry; and also preventing the complete collapse of the American auto industry itself. During the US economic crisis in the early 2000’s both GM and Ford faced major pressures to change in order to survive. Both companies suffered losses of millions of dollars and were left with making major decisions to restructure, rebuild, and re-organize their companies if they wanted to stay in business. Similar changes that both companies made were in leadership, manufacturing, and employee relations. Ford has made a comeback by adding new products and redesigning older models (Tepper, 2014). GM made changes by cutting its least profiting products and improving its higher selling cars. I am interested in this topic because although this was a major story almost a decade...
Words: 290 - Pages: 2
...Law/531 January 9, 2012 Ayodeji Badaki Riordan Corporate Compliance Plan As an international plastics manufacturer employing 550 workers and $46 million in projected annual revenues, Riordan Manufacturing Corporation is focused providing customer product solutions and promoting a climate that focuses on the long term viability of the company. An important part of providing customer product solutions is being able to establish long term relationships with clients. This means that the company strives for transparency and ethics in it business dealings with all stakeholders. In the changing, fast moving and global business world today, it is essential that officers and directors are equipped with the resources to analyze and make decisions quickly. Equally important is the ability to assess and mitigate the risks associated with doing business both locally and abroad. This corporate compliance plan serves as the formal written document that outlines the process Riordan uses to both establish and maintain compliance with all applicable federal, state, local and international laws. Legal liabilities of Officers and Directors Riordan is committed to creating a corporation of well informed and properly supported employees that will provide a climate focused on the long term viability of the company (Riordan mission). In order to meet this commitment, it is essential that the officers and directors work to emulate this commitment in decision making and treatment of the...
Words: 1384 - Pages: 6
...bankruptcy, as hard as it might be, would give the city a new start and a new way of managing and thinking. This city needs restructuring and functioning under a new economic vitality. By developing new strategic plans such as new employment opportunities and offering reliable services for its residents and businesses, city of Detroit will regain its role in the economic vitality of Michigan. The economy of Detroit plays a key role in the economic development of Michigan. City of Detroit is known as the Motor City for the innovations in the auto industry but also for its goal diversifications into emerging fields such as information technology and advanced manufacturing. Encouraging advantage are the different tax incentive programs that city of Detroit offers. For example, Detroit Renaissance Zone Tax includes a waiver of city income and utility users taxes, most city property taxes, county property taxes. The program applies to businesses that will conduct business within the area and are not delinquent in any local, county or state taxes and once qualified there is no need to reapply. Should our corporation consider being part of big changes in Detroit and consider the benefit of tax incentives, I would be happy to further assist in this initiative. source of...
Words: 315 - Pages: 2
... General Motors General Motors Corporation (GM) is the world's largest full-line vehicle manufacturer and marketer. Its brands include Chevrolet, GMC, Buick, Cadillac, Saturn, Hummer, Saab and Pontiac, which was discontinued in 2009. Opel, Vauxhall, and Holden comprise GM's international nameplates. GM system of global alliances, GM holds stakes in Isuzu Motors Ltd., Fuji Heavy Industries Ltd., Suzuki Motor Corporation, Fiat Auto, and GM Daewoo Auto & Technology. Other principal businesses include General Motors Acceptance Corporation and its subsidiaries, providers of financing and insurance to GM customers and dealers. The company has approximately 326,000 employees. (referencebusiness.com) General Motors is one of the world's largest auto manufactures. . It was the world’s largest car maker from 1931 to 2008, when it was surpassed by Toyota (newyorktimes.com). The company was founded in 1908, and today manufactures cars and truck domestically and internationally. For most of the 20th century, General Motors was the biggest company in the industry worldwide. It not only led in automotive innovations, but it helped to define the new bureaucratic multinational corporations that shaped the post-war economy. Chrysler Chrysler LLC, for years America's third-biggest automaker, is a U.S. automobile manufacturer headquartered in the Detroit suburb of Auburn Hills, Michigan. Chrysler was first organized as the Chrysler Corporation in 1925. Chrysler and its subsidiaries...
Words: 1234 - Pages: 5
