...i. EXECUTIVE SUMMARY In the case “Avoiding the Alignment Trap”, the objective is to inform the readers that companies relying on technology to distance themselves from competitors can sometimes be a problem versus doing them good as they can potentially fall into the “alignment trap”. This term is used to refer to companies who believe that IT and business priorities have to be tightly linked or aligned to produce growth not putting into consideration other factors. The key problem is aligning a poorly performing It organization to the right business objectives won’t get the objective accomplished and hence the company falls into the alignment trap. IT can pose as a bottleneck to growth in most companies if executives are focusing on the wrong remedy for IT problems if they are not considering other factors. The case recommends that the path to IT-powered growth is to reduce complexity, source IT staffing and software wherever it makes the most sense and create start to finish accountability connected to business results. Once this is accomplished, then align their entire IT organization to the strategic objectives of the overall business using governance principles that cross organizational lines and making business executives responsible for key IT initiatives. ii. CURRENT SITUATION Currently, eleven percent of the surveyed respondents are caught in the alignment trap where they are spending 13% more than the average company on IT but are receiving 14% lower revenue...
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...Smith, President | From: | Ryan Parsons | cc: | | Date: | January 8, 2014 | Re: | New Integrated System – Committee Members | | | Hi John, The purpose of this Memo is to notify you that I have selected the committee members for the development of the new system that you have charged me with overseeing. Here is the list of the individuals selected for this committee: * Jillian Koch – Spa Manager Jillian is 29 and currently manages the spa on Parkland Dr. She has been with Spa Works for 5 years and was very excited to be part of this committee. She believes that this is a great opportunity to have some input to make the new system more user friendly for her employees. She seems to have a great relationship with her employees, and should be able to excel in the team environment of this committee. * Joe Carlson – Fitness Center Manager Joe is 31 and currently manages the Fitness Center on Quinpool Ave. Joe has a background with Computer Systems from University and I thought this might be a great asset for this committee. Joe has some great ideas about what is needed or needs to be improved in the new system from the Fitness Center perspective. As a member of this committee, Joe will be the liaison between the committee and the Fitness Center personnel and will be expected to contribute ideas for the system that will benefit the three fitness centers. * Elizabeth Vogel – Accounting Manager Elizabeth is 48 and currently works as Manager in Human Resources. She is much...
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...strategic business partners. This may be particularly difficult in a rapidly changing organization where the lack of stability tends to leave people with the feeling that they are victims of change rather than champions of it. However, one key to creating a successful HR function is to organize the chaos caused by change. This can be accomplished by forging ahead with innovative strategic plans that add value to the company instead of retreating into comfortable, traditional roles that will not effectively improve a company's bottom line (Cipolla, 1996). Effective strategic planning involves analyzing current data and identifying trends that may affect a company's future performance. Next, it involves mapping out a strategy that will most likely result in a company's success over the long term. A study by Eichinger and Ulrich (1995) indicates that in the next five to seven years at least 10 profound changes will alter the course of businesses and the function of HR. They identify these changes as (1) global economic and financial, (2) technological, (3) political, (4) structural (to the business organization), (5) educational, (6) labor-related, (7) social, (8) conflicts due to globalization, (9) environmental, and (10) crime-related. These changes are dominated by the shrinking world, as telecommunication, travel, information, ideologies, partnerships, and businesses are becoming global. As a result, businesses, regardless of size, must become global in their thought processes to...
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...Human capital is the most single factor for sustained growth. Entrepreneurs know that growth means there is hope for another day of success. When there a demand on your product is rising, you grow your company. 2. Describe economies of scale and economies of scope as rationales for firm growth. . Economies of scale are the cost advantages that a business can exploit by expanding their scale of production. The effect of economies of scale is to reduce the average costs of production. Some examples of how economies of scale work: Technical economies of scale: Large-scale businesses can afford to invest in expensive and specialist capital machinery. For example, a supermarket chain such as Acme or Wegman’s can invest in technology that improves stock control. It might not, however, be viable or cost-efficient for a small corner shop to buy this technology. Specialization of the workforce: Larger businesses split complex production processes into separate tasks to boost productivity. By specializing in certain tasks or processes, the workforce is able to produce more output in the same time. Marketing economies of scale: A large firm can spread its advertising and marketing budget over a large output and it can purchase its inputs in bulk at negotiated discounted prices if it has sufficient negotiation power in the market. A good example would be the ability of the electricity generators to negotiate lower prices when negotiating coal and gas supply contracts. The major food retailers...
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...organizations and governments Important to have clearly defined functions/processes Ex. human resources, production, marketing and finance Customers: people/organizations that buy the product Consumers: those who use the product Consumer goods: sold to the general public and can be split into: Consumer durables: products that last a long time Non-durables: products that needs to be consumed very shortly after purchase Capital goods: purchased by other businesses Added value: difference b/w the value of inputs and the value of outputs Allows a business to sell its products for more than production cost (leads to profit) Comes in the form of: Speed/quality, prestige, brand image, feel-good factor, perceived value, inability to achieve cheaper products elsewhere Opportunity cost: best alternative decision that is foregone when making a decision Leads to rational decision making Choose options that will generate the highest valued benefits to the business Role of profit: Acts as incentive to produce Acts as the reward for risk takers Encourages innovation and invention Acts as an indicator of growth Signals when to switch b/w low-profitability and high-profitability business activities Survival in the long run Money for owners (surplus, on the other hand, is put back into the business) • • • • • • • • • • Factors of production: resources used to produce a good or provide a service Land: natural resources incl. renewable...
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...POLITICAL RISK Globalization is the name of the game, every business and individual has a direct or indirect connection with it. Even in the tightest locked-up economy, there is a level of dependence with the global economy. Brands and products have managed to break the national frontiers and sail the murky waters of international markets. The 21st century has seen a more regulated and somewhat “fair” and competitive playfield. International organizations, such as the International Monetary Fund (IMF) and the World Trade Organization (WTO), have gained strength while working to ensure a firm and stable environment for trade and payments at a global scale. Smaller, regional organizations also play a strong hand and trade regulations can be found at a country and state level. This colossal amount of regulations and regulators aim, for the most part, to establish a fair environment for the benefit of both the consumers and the companies; yet, these regulations pose great, and sometimes hidden, risks. But these regulatory risks represent one of the many institutional differences companies may face when entering a foreign market. In order to have a better understanding of the potential political risks, one must study, not only the current state of the targeted area, but also the historical context and analyze examples of other companies in similar situations. Sometimes the industry, or even the area are not the same, but the knowledge gained is still valuable and many points can...
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...CHAPTER 1 WHAT IS STRATEGY AND WHY IS IT IMPORTANT? McGraw-Hill/Irwin 1. Understand why every company needs a sound strategy to compete successfully, manage the conduct of its business, and strengthen its prospects for long-term success. 2. Develop an awareness of the four most dependable strategic approaches for setting a company apart from rivals and winning a sustainable competitive advantage. 3. Understand that a company’s strategy tends to evolve over time because of changing circumstances and ongoing management efforts to improve the company’s strategy. 4. Learn why it is important for a company to have a viable business model that outlines the company’s customer value proposition and its profit formula. 5. Learn the three tests of a winning strategy. 1–2 WHAT DO WE MEAN BY STRATEGY ? ♦ What is our present situation? ● ● Business environment and industry conditions Firm’s financial and competitive capabilities Creating a vision for the firm’s future direction Crafting an action plan that will get us there 1–3 ♦ Where do we want to go from here? ● ♦ How are we going to get there? ● WHAT IS STRATEGY ABOUT? ♦ Strategy is all about How: ● ● ● ● How to outcompete rivals. How to respond to economic and market conditions and growth opportunities. How to manage functional pieces of the business. How to improve the firm’s financial and market performance. 1–4 WHY DO STRATEGY ? ♦ A firm does strategy: ● ● ● To improve its financial performance. To strengthen...
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...sphere of influence, a set of core values in the areas of human rights, labour standards, the environment and anti-corruption: Human Rights * Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights; and * Principle 2: make sure that they are not complicit in human rights abuses. Labour * Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; * Principle 4: the elimination of all forms of forced and compulsory labour; * Principle 5: the effective abolition of child labour; and * Principle 6: the elimination of discrimination in respect of employment and occupation. Environment * Principle 7: Businesses should support a precautionary approach to environmental challenges; * Principle 8: undertake initiatives to promote greater environmental responsibility; and * Principle 9: encourage the development and diffusion of environmentally friendly technologies. Anti-Corruption * Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery. Human Rights For more information on the Global Compact's business and human rights programme, please see also our Human Rights issues page. Principle One Businesses should support and respect the...
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...its output stand out from its competitors and therefore capture greater market share. Goods and/or services in different industries Goods and services in different industries will always be differentiated from one another. They will always try to differentiate themselves from their competitors in order to attract customers. Influences on operations There are seven major influences on operations: * Globalisation - Globalisation is known as the increasing economic and financial integration of economies globally. The term broadly refers to the global alterations that are taking place to eliminate national boundaries from the key business functions. * Technology – Technology has also had a great influence on production. Businesses must access the latest technology in order to compete effectively. Newer technology makes the production process cheaper and more efficient. Recent technologies include robotics, computer assembly lines, computer aided design (CAD), computer aided manufacturing (CAM), scanning systems and barcoding, wireless computer systems and superfast broadband and smart phones and satellite navigation. * Quality...
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................................................................................. 2 Risks .............................................................................................................................................................. 4 Cost of Cybercrime........................................................................................................................................ 6 Prevention Steps ........................................................................................................................................... 7 Conclusion ................................................................................................................................................... 10 References .................................................................................................................................................. 11 1 Importance of IT Security Introduction For the business professional information technology (IT) security is of upmost importance. The reliance that companies have on information systems in conducting everyday business transactions has facilitated the need for increased security measures. The losses that a company can incur due to data breaches, denial of service attacks, malware, or ransomware can be devastating. This paper will highlight the different types of security breaches, the costs incurred due to cyber-crime, along with steps that a business professional can take to strengthen...
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...of Elite Entrepreneurs,” released on March 5, 2013. Who should read this: “Whether you are thinking of starting a business, celebrating your first year in business, or approaching ten years in business, you’ll find tremendous value in reading this book,” Johnson writes. In other words, any entrepreneur looking for a mentor will find helpful tips here. Elevator pitch: Entrepreneurship can be taught, and Kevin D. Johnson wants to teach it. This book includes 100 easily digestible lessons in strategy, people, finance, marketing and leadership, including lots of anecdotes from his own experience. Author: Thirty-three-year-old Kevin D. Johnson is a serial entrepreneur and the president of Johnson Media Inc., a multimillion-dollar marketing and communications company. Strategy 1. Think big: Failing to reach your potential is a lesser-known, lesser-understood type of business failure. Entrepreneurs fail to think big because they are limited by their environment or their lack of expertise, or they lack the motivation or self-confidence. 2. Create new markets: Studies have shown that “blue ocean” businesses account for a disproportionate amount of the profits and revenues. 3. Work on your business, not in your business: Doing lots of operations work leads to early burnout. You should hire key employees so you can spend your time making plans for growth. 4. All risk isn’t risky: Entrepreneurs may have a tolerance for risk, but they also have the ability to make calculations and...
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...Week Six Learning Team Reflection Law/531: Business Law John Fossum November 11, 2012 Introduction: With the current economy the markets are expanding and taking companies globally. Laws in on how business is conduct varies vastly from country to country. It is important that the laws are understood and not confused with others. There are global practices that have been put in place as well to help protect businesses that conduct business globally. The Foreign Corrupt Practice Act of the 1970’s is just an example of the United States law that was put in place to protect companies. Team C elaborates on these practices through the review of several articles. Future of Anticorruption Laws Stricter laws against corruption in international business transactions gained momentum during 2010. In reaction to fraudulent practices abroad, the United States authorities collected larger fines and imposed stiffer penalties in concordance with the Foreign Corrupt Practices Act (Morley, Hadley, & Saulnier, 2011). FCPA violations are a new law enforcement priority and are concurrent with the emphasis on fighting global terrorism. In addition, the United Kingdom revised their anti-bribery laws to impose greater regulations than the FCPA (Morley, et al. 2011). In response to the increase in number of cases, the United States adopted more aggressive enforcement measures, expansive jurisdiction, and bounty payments to whistle-blowers (Morley, et al. 2011)...
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...Investigation into the Marketing Strategies used by Commercial Banks in Managing Service Breakdown among SME Customers. Some Experiences in Kenya By Anyim Kevin Ouma and Dr Justus M Munyoki Paper for presentation during the 1st AIBUMA Conference to be held in Nairobi from 25th to 27th August 2010 in Nairobi, Kenya ABSTRACT This study sought to establish the strategies used by ccommercial banks in Kenya in Managing Service Breakdown among SME Customers. The study focused on five commercial banks namely Barclays, Kenya Commercial Bank, Standard Chartered, Equity and Fina bank which currently offer services to SME customers. A self-administered open and closed ended questionnaire was utilized in collecting primary data from the field. Data collected was analyzed using descriptive statistics. The study found that lack of clear communication with customers, long procedures; intrusive documentation and lack of flexibility are some of the causes resulting in service breakdown. It also established that the main strategies used by banks to deal with services breakdown include; designing services to fit the needs of customers; ensuring that services are always oh high quality without compromise; putting relevant systems in place; having competent employees in place; on time delivery of services and ensuring that services are driven by customers to increase acceptance and satisfaction. Key words: Services Break down, strategies Introduction This study...
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...ALWAYS LEARNING B401 Assignment Business Environment PROFESSOR: Apoorva Chaudhry th SUBMISSION DATE: 4 May 2016 15100150 PEARSON COLLEGE LONDON BUSINESS & ENTERPRISE STUDENT – LEVEL 4 B401: Business Environment 15100150 Level 4 ALWAYS LEARNING 2 PEARSON B401: Business Environment 15100150 Level 4 B401 – Assignment ..................................................................................................................... 5 business environment .......................................................................................................................... 5 Task 1 ........................................................................................................................................... 5 part 1 ....................................................................................................................................................... 5 Part 2 ....................................................................................................................................................... 7 Part 3 ....................................................................................................................................................... 8 TASK 2 - Power Point Slides’ notes ..................................................................................................... 9 TASK 3 ..............................................................................................
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...BUSINESS STRATEGY OTHER ECONOMIST BOOKS Guide to Analysing Companies Guide to Business Modelling Guide to Business Planning Guide to Economic Indicators Guide to the European Union Guide to Management Ideas Numbers Guide Style Guide Dictionary of Business Dictionary of Economics International Dictionary of Finance Brands and Branding Business Consulting Business Ethics Business Miscellany China’s Stockmarket Dealing with Financial Risk Future of Technology Globalisation Guide to Financial Markets Headhunters and How to Use Them Successful Mergers The City Wall Street Essential Director Essential Economics Essential Finance Essential Internet Essential Investment Essential Negotiation Pocket World in Figures BUSINESS STRATEGY A Guide to Effective Decision-Making Jeremy Kourdi THE ECONOMIST IN ASSOCIATION WITH PROFILE BOOKS LTD Published by Profile Books Ltd 3a Exmouth House, Pine Street, London ec1r 0jh www.profilebooks.com Copyright © The Economist Newspaper Ltd 2003 Text copyright © Jeremy Kourdi 2003 All rights reserved. Without limiting the rights under copyright reserved above, no part of this publication may be reproduced, stored in or introduced into a retrieval system, or transmitted, in any form or by any means (electronic, mechanical, photocopying, recording or otherwise), without the prior written permission of both the copyright owner and the publisher of this book. The greatest care has been taken in compiling this book. However, no responsibility can...
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