...Modern Quality Management Explain each of the following statements as they apply to modern quality management. a. Customer service is the rule, not the exception. b. The absence of defects is a given rather than a source of competitive advantage. a) The foundation of modern quality management is that the customer is the main judge of quality. Part of the customer’s experience is also the customer service. Customer service is essential and vital to the success of a company because if people see the customer service as lacking, this can also translate to its products. Poor customer service can be seen as bad quality. This starts a chain reaction of affects – without customer service, customers view the product as lacking (not good quality) and will therefore look to other companies for the product. This means less customers, which means less money and companies cannot succeed without money. So to say that customer service is the rule, not the exception means that there is the recognition of customers and their perception of quality of a companies product an that quality and customer service is expected. It is a given. b) Another given under modern quality management is that the customer expects the absence of defects. It is not enough to be lacking in defects to constitute as a quality product. Quality has evolved to being more than lacking defects to focusing more on customer satisfaction. Customer expectations have to be exceeded so customers continue their patronage...
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...In order to develop a good strategy it is essential that you know your strengths and weaknesses, i.e. what it is you are good at. An internal analysis is “a process of identifying and evaluating an organizations’ specific characteristics, including its resources, capabilities, and core competencies” (p. 106, Coulter 2005). Internal analysis is important in order to find out where improvements are needed and what you could exploit more in order to gain competitive advantage. Internal analysis takes an inside-out perspective compared to the outside-in perspective of the external analysis. The question here is what you can do yourself. Other relevant questions are if the resources and competencies you possess fit the opportunities in the environment, and if the company can exploit these resources and competencies in new ways. There are three perspectives on how to gain competitive advantage through internal strategic analysis. The resource based view (RBV), the competence based view (CBV), and the dynamic capabilities view. The resource based view There are several types of resources that a company possesses; physical resources, human resources, financial resources, intellectual capital, threshold resources, and unique resources. The RBV is based on the view that these resources are unique if they create sustained competitive advantage, and that a company’s strategy should be based on these resources. For a resource to be unique, it has to possess four attributes; it needs to...
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...Applied Economics Letters, 2011, 18, 1121–1124 Management innovation, corporation core competence and corporate culture: the impact of relatedness Chich-Jen Shieh Department of International Business, Chang Jung Christian University, Kway Jen, Sector 1, 396 Chang Jung Road, Tainan, 71101 Taiwan E-mail: charles@mail.cjcu.edu.tw This study reports the results of a study of Management Innovation of Taiwanese businesses in China. Over 800 questionnaires were sent out to the Taiwanese owners/managers in Kun-Shan City, China, with 260 valid responses included in the study. Four relationships were examined in the study: the correlation between management innovation and corporation core competence, between management innovation and the corporate culture, between corporation core competence and the corporate culture and finally the effect of the corporate culture on the relationship between management innovation and corporation core competence. Findings and conclusions are discussed. I. Introduction Management innovations are processes such as new distribution methods or novel applications of technology in the management process, which enable organizations to reach their goals, and include object management, environmental research and judgment, coordination, integration and schedule control (Van de Ven, 2003; Van Ark et al., 2003b). Van Ark et al. (2003a) defined management innovation as a management product or management process that is based on some technology...
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...notably so the research-based view (RBV), which aims to understand organisational activities and their competitive strategies (Kraaijenbrink et al 2010). The focus of this report is to state how organisations achieve competitive advantage from the use of their resources and internal activities. The report will give a brief summary of the RBV paradigm, followed, the main base of the report will focus on how firms use their recourses, capabilities and competencies to achieve competitive advantage. Concluding comments will then be made further discussing the concept of RBV.! ! The RBV summary! The Ricardian1 perspective of the heterogeneity and immobility of competitive capability producing and rent earning resources flows through the core of the RBV (Barney, 1991; Kraaijenbrink et al 2010). Organisations are seen to strive for above normal profit generation, in unmediated competition with other firms within the same market. It further views organisations as profit maximising entities, guided by rational managers operating in such markets that, to a point are predictable and moving towards equilibrium (Leiblein, 2003; Kraaijenbrink et al 2010). From this the RBV takes an inside-out approach to dealing with the competitive environment, focusing on the firms resources and internal capabilities, that can be bundled together to provide a firm with sustained competitive advantage (SCA) (Barney et al, 2001). Internal capabilities and resources therefore depict the strategic choices an...
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...conclusion as to whether Zara have been able to create a sustainable competitive advantage, focussing primarily on their core competences developed over time. The resource based view stems from the idea that today’s market environments are so unpredictable and fast moving that it is wiser to form a base for strategy on the internal resources and capabilities of a company, rather than focussing on the external market (Grant, 2008). To gain a competitive advantage a firm must implement a strategy consisting of valuable and rare resources not being employed by current or potential competitors. To create a sustainable competitive advantage a firm must have unique resources that are non-imitable and non-substitutable (Barney, 1991). Competences derive from the integration of resources, assets, routines and values (Prahalad and Hamel, 1990). They become ‘core’ competences when they strategically differentiate themselves from other organizations (Leonard-Barton, 1992), helping them build a sustainable competitive advantage. Prahalad and Hamel (1990) state that a world leading company is unlikely to have more than five or six core competences and it is crucial to note that, while they can be discussed individually, it is when they are combined in a mutually reinforcing way that a sustainable competitive advantage can be obtained (Stacey, 2003). Zara’s primary core competency comes in their manufacturing process. From their beginning Zara exhibited a distinctive business strategy in...
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...program “eThink” was recognized with awards for excellence in communication. Yet four years later Enron went bankrupt, the programs of many companies were in ruins joining the ranks of Polaroid, DuPont, Reynolds, Ford and many others. What happened? We watched many companies failed while other organizations remained successful. What made the difference in the innovation process? While many companies failed, others were successful adding value fostering innovation and creativity. Many companies such as 3M, IBM, Disney, Microsoft, and Sony continued to innovate. This paper attempts to explain the reasons behind the failures and successes. 2. What is Innovation? Innovation is discovering new ways of creating value. Innovation serves as the lifeblood of many organizations whose survival and growth depend on developing new technology, products and services. A successful organization is a creative organization because creativity is the single most important contribution employees can contribute for its success. Innovation is of benefit only if it creates value. In a successful organization, innovation is sustainable and on-going, rather than a process characterized by succession of “boom and bust” events. A creative organization is “lead,” rather than “managed.” A sustainable innovative organization must be fluid...
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...Informal Definition By Miles, Snow & Coleman, “Managing 21st Century Network Organisations” – Formal Definition 3 “…multilevel hierarchies have given way to clusters of business units coordinated by market mechanisms rather than by layers of middle-management planners and schedulers.” “…linked competitive success to doing fewer things better, with less.” Dynamics, Snow C., Miles R & Coleman H. Managing 21st Century Network Organisations, Organizational Winter 1992, pp. 5-20. “Established firms downsized to their core competence, de-layering management hierarchies and outsourcing a wide range of activities. New firms eschewed growth through vertical integration and instead sought alliances with independent suppliers and/or distributors.” Summer Miles, R. & Snow, C. Causes of Failures in Network Organisations, California Management Review, 1992, pp. 53-72 4 Marketers and Distributers Producers Designers Suppliers 5 Globalisation • Competition has reduced all margins; thus, firms must cut costs and improve efficiencies – economies of scale • Strong new players at every stage of the value chain Technological Change and Technology Transfer • Shorter product life cycles • Lower barriers to entry, firms have become ‘stateless’ and can move freely across international boarders • Faster, lower cost communications and computer technologies Deregulation • Legal and policy changes produce uncertainty and increase competition Changing Workforce...
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...Accounting Systems Jeremy Void BSA 310 August 27,2012 Ivon Young Accounting Systems These days it is especially important to pay attention to details when it comes to deciding if your accounting system is providing the kind of information that may be required of you to produce. I think legal requirements and government regulations are becoming more demanding as to what they expect to see if someone such as the I.R.S. were to show up and ask for an audit. I would like to talk a little about a few of the key features, core technology, benefits, and costs of installing and maintaining an efficient accounting system and some of the benefits it would be to your company, especially in areas where details are crucial. Like the existing accounting system that you have all probably gotten used to here at Kudler, a new accounting system would be set up the same way; by modules. Each module would be more comprehensive and attentive to details that have been apparently overlooked by the present system. In the way of features, I could say that it is the most important overall feature a new system could offer this company. New technology has provided for faster, more detailed and organized data auditing and reporting. This is essential in today’s business world to keep accurate, itemized data entries in order to satisfy government business regulations such as standards set by the I.R.S. Detailed information is especially critical for a company like Kudler, whose business transactions...
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...automation of designs products. These companies approach are decided through respective design unit, frequently produce brand by exhaustively investigating a retail also completely accepting a current retail necessities. Automation compelled strategy contain numerous benefit. They allows the business into quickly bring brand into retail as well as accordingly infrastructures brands architectures opinions about business proficiency (Evens, P. & Wurster, T. 1997). 2 3 Summary of Intel's Technology Strategy: The strategy of Intel’s is to supply semiconductor chips and platforms to the digital society. As part of Intel’s general strategy to contest in each important market segment, in the manufacture and design of integrated circuits it uses core competencies, as well as global presence, financial resources, and brand recognition. Intel believes that it has the capacity, scale, and global reach to set up...
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...than the competencies of other organizations, which enables the production of a unique value proposition in the function of the business. A distinctive competency is the basis for the development of an unassailable competitive advantage. The uniqueness differentiates this competency from all others, whether a core competency or simply a competency. Leader's responsibility regarding competency -- ""...the task of building special values and a distinctive competence into the organization is a prime function of leadership."" Source: Selznick, 1957, pp 27. Sources of distinctive competency -- Distinctive competencies, the basis for competitive advantage, can come from technology, industry position, market relations, cost, business processes, manufacturing processes, people, customer satisfaction, or just being first. The insightful integration of complementary elements of the business model is the strongest form of competitive advantage known. This is because it is so difficult for competitors to understand and even more difficult to replicate, especially when the business model elements of value, purpose, vision, culture, and identity are intertwined in a powerful business solution. Examples of distinctive competency -- Toyota has a distinctive competency in lean manufacturing. GE has a distinctive competency in management development. These companies also have core competencies, core to their particular lines of business. They also have competencies necessary to operate...
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...integration of corporate social responsibility principles and stakeholder approaches into mainstream business strategy. Design/methodology/approach – A top-down and bottom-up approach was used to develop the proposed framework. The top-down approach focused on analyzing the main strategic management theories including social responsibility movements to identify complementary concepts and create a relevant topology. The bottom-up approach was based on empirical research on the views of business companies on corporate social responsibility, a review of best practices and case studies mainly in Greece. Findings – The paper describes a stakeholder-oriented integrative strategic management framework linking the main strategic management theories across value, responsiveness and responsibility dimensions. A mathematical model is presented describing the synergistic development of advantage-creating knowledge and advantage-creating stakeholder relations in accordance with the criteria of the resource-based theory. Research limitations/implications – The proposed management framework is based on the results of research projects and is not fully developed and tested. The approach will be refined, exploiting results from ongoing research including further empirical research and testing in business...
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...Executive Summary This report provides an analysis of Google’s development of new strategic resources, dynamic capabilities and core competency, Analysis of competency test, Google’s competency foundation to compete in shopping related searches and the positive impacts of Google’s competencies towards its business model. Moreover, this report provides recommendations that Google are effectively able to utilise. Introduction Google, a provider of multiple products and services, with the mission to “organise the world’s information and make it universally accessible and useful”, is the number one web search engine. Additionally, Google has an old online shopping service site whose rivals include Amazon and eBay (Newth, F 2012). However, recently, in 2012, Google announced its adaption of a new paid model, where retailers were now starting to get charged. Moreover, the bases discussed throughout the report will be grounded in Google’s competency test, and its impact towards Google business model (Newth, F 2012). Google’s development of new strategicresources, dynamic capabilities and core competency Google’s recent change of passing on costs, a fee, to online retailers who display their products on the Google online shopping site (Hartwig, J. I 2012), will require Google to develop new strategic resources, dynamic capabilities and a core competency. Firstly, developing new strategic resources to work aside Google’s new paid model (Hartwig, J. I 2012), will mean that Google...
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...learnt the individual components of leadership theories and philosophies in BUS 620 and in my professional & personal experiences. However, rarely I have recognized their real value in context to a broader perspective in a dynamic environment. This paper is an attempt to recognize these components in a larger framework towards my leadership development. To recognize the effective use of these components I need to create and find of my Leadership philosophy. Hence in this paper, I will be defining my perspective of leadership; I will then be exploring and reflecting upon my personal values, beliefs and assumptions about leadership. This would enable me to maximize my effectiveness as a leader and a team member. In conclusion, I will briefly explain the impact it can have in my current and future role as a leader. My definition of Leadership: Leadership is complex and its effectiveness is highly dependent on the context. Even though leadership cannot be practiced just by following a few principles, at the core, I believe it is an opportunity to bring the best out of everybody for a positive and lasting outcome by creating a win-win situation among the employees and the organization. My core values: I strongly consider that the core values influence the way an individual leads and motivates. Values guide the leader’s intentions in various contexts. I have...
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...quintessential factor in the way individuals, and communities process, and comprehend the enduring questions of life. Religious traditions through its characteristics seek to answer these timeless questions, which go beyond human comprehension and scientific understanding. Religious traditions are defined by its 4 characteristics: beliefs and believers, sacred texts and writings, ethics, rituals and ceremonies, which are continually being reinvented, reinterpreted and renewed. In order to keep a religion living and dynamic that embodies its core beliefs whilst still adapting facets to modern context throughout the ages like Christianity has been undertaking for the past 2000 years. Sacred texts and writings are an essential aspect of religious tradition that must be embraced. Whether they are written, oral or made into visual images, as they aid the adherents to understand the answer to the enduring questions of life. For example the bible is the most important, core document in Christianity as it contains the Word of God, it presents believers with the most important role model and practical exemplar for which they can base their existence around. Therefore adherents are able to understand that earthly life, possession and desires aren’t important compared to what comes after where they are able to live eternally with God in heaven. Henceforth it gives believer’s comfort and strength to live righteous even when times are tough as once earthly life is over they will be reunited...
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...In 1994, Wernerfelt received an award for the best paper of the decade in Strategic Management Review (A resource-based view of the firm, 1984). Considering the fortune of the article among practicing managers (Wernerfelt, 1995), he admitted that such a fortune had been leveraged by the 1990 article of Prahalad and Hamel in Harvard Business Review (“The Core Competence of the Corporation”). Directly addressed to people in management and strategy, this article was clearly prescriptive as to the best way to set winning strategies for the firm, especially as to diversification and the abusive use of SBUs (Strategic Business Units) in highly decentralized profit centres. “In the 1990s, top executives will be judged on their ability to identify, cultivate, and exploit the core competencies that make growth possible”. Since the 1990s, the resource based view (RBV) and the core competence approach (CCA) became very attractive for many researchers and consultants. Such interest was well supported by what seemed to be a clear and superior way of setting strategies by large Japanese groups which frequently served as a benchmark case of core competence management. The strong and pervasive trends for continuous technological innovation and for technological alliances created also a rich context for the use of RBV and CCA to strategy. Analysis and theory were tempted to move from transaction costs to resources or competences or capabilities sometime in a fuzzy way in interpreting strategic moves...
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