Introduction To Strategic Management Business Essay

Introduction To Strategic Management Business Essay Alfred D. Chandler, an American business historian, defined strategy as follows: Strategy is the determination of the basic long-term goals and objectives of an enterprise, and the adoption of courses of action and the allocation of resources necessary for carrying out those goals. Here A. Chandler believes that strategy consists of equal importance to defining objectives and goals as it is to providing the measures for attaining them. Strategic management is a consistent level of managerial activity of setting up goals and tactics and ensures a variety of decisions by the top management to successfully achieve those aims or goals in the long term and at the same time providing for adaptive responses in the short term. This provides an overall direction to an organization. The strategic management process consists of three components: Strategic analysis, strategic choices and strategic implementation. These components are vital in a firm as it appraises the business and industries in which the firm is a part of. It also brings about a healthy competition and helps in defining of attainable goals in present and future and also reevaluates each strategy. The Components Of Strategic Management Process, in its plainest sense, is fixing tactical decisions, evaluatin g the strength and recognizing the critical external factors, which may play a part in influencing the position of the firm and also defining the factors that bring about the implementation of a firm through these components. Different from the classic business planning, Strategic management focus involves Mission, Vision and Out-of-the -box thinking. Top management uses strategic management to describe where and when they would want to position their firm in the industry. Strategic planning helps assess the firms opportunities and threats, exposes its strengths and weaknesses as well as encourages the firm to adapt. A SWOT analysis, strengths, weakness, opportunities and threats, is an excellent way to help develop a strategic plan. Like used by many Fortune 500 companies, these four components pose as the building blocks of a strategic plan for a firms existence. Similarly, PEST analysis (Political, Environmental, Social and Demographic and Technological factors) is a examination of the external marco-enviormental in which in firm exist. It helps to examine the effect of these influences on the firm as opportunity and threat in the SWOT analysis. It is also used for assessing the market rise and fall, and as such the position, potential and direction of the firm. The BCG (Boston Consulting Group) Matrix is a four-celled matrix; it is the most renowned strategic planning tool. It provides a graphical representation for the firm to examine diverse companies in its portfolio. It provides the management with a comparative analysis of firms potential and the evaluation of environment, which it operates in. Organization Structure Organization is a term that can be studied as a process as well as a structure. In a fixed sense, organization is a structure, where a team of people functions and tries to accomplish a certain objective. In the words of Kast and Rosenzweig, structure is the established pattern of relationships among the component parts of the organization. In this sense, the network of relationships among individuals and positions in the firm are refers to as an organizational structure. Organizational structure defines how responsibility, roles and power are coordinated, controlled, how information moves between the different stages of management and how they are assigned. When the most of the decision making power and control over departments and division lie with the top level management it is know as Centralized structure. In a decentralized structure, the decision making power is distributed over the departments and allowing them to enjoy certain degrees of freedom. There are four major components that affect organizational structures, they are, Environment, Strategy, Technology and Human Resource. Environment being are very volatile factor itself, managers will face more problems depending on how fast it changes. Thus, structures need to be more flexible in order to face these changes; this would also suggest the need to decentralize authority. Various strategies would need to utilize different structures. Such as a differentiation strategy would require a flex ible structure and low cost would need a more formal one. Organization structures are also determined by what type of technology is being used. For instance, a company that has an automated operational system would opt for a decentralized structure because the progress of employees would be monitored and the immediate supervisor would be able to provide guidance and when needed. One of the most commonly found structures found within firms is the functional structure, it consist of small units or departments which are grouped or identified by specialty, like finance, IT, logistics, sales, human resource, and so on. This distinguishes the departments by product produce by each unit or geographical region; this enables managers to maintain more control over each group. This structure is based on high specialization and high control and efficiency concept. In terms of effectiveness, the functional structure is most effective in small to medium size firms that only deal with a few produc t and services. A matrix structure is an organizational reporting structure frequently used for project-based teams. This structure uses both departments as well as products as determinates to group teams together; this allows ideas to flow between various parts of the organization. This is a complex structure of reporting relationships and has proven to be very flexible and can respond rapidly to change. It is effective for a large organization with a large number of products and services. Strategic Mapping A strategic group is a concept used in strategic management where companies that are a part of the same industry and provide similar business models and/or similar strategies are grouped together. For instance, the fast food industry can be divided into different fast food joints in terms of pizza or burgers, which can be based on different variables like time, price, presentation, etc. The number and the composition of the groups within the industry depend on the dimensions used to define them. Strategic management experts mainly use two-dimensional grid in order to justify their direct competitors, those with similar strategic models, and their indirect rivals. M. Hunt (1972) devised the term Strategic Group whist analyzing the appliance industry after discovering the high level of competitive rivalry. He the then subscribed this to the subgroups existing the industry. This then caused the industry to undergo rapid innovation, price reduction, increase in quality and lower profitab ility than normal economic models would deliver. M. Porter (1980) developed the concept and explained strategic groups in terms of Mobility Barriers. Value Chain Analysis This analysis focuses on every level of the business that it goes through from raw materials to the final user. The goal is to maximize value at the least possible cost. For one to better understand the activities from which an organization creates shareholder value and competitive advantage, it has been proven useful to simplify the business system into series of value-generated activities, also known as value chain. Michael Porter, in his book Competitive advantage (1985), introduced a value chain model that consists of arrange of activities that was found to be common to a wide range of firms. M. Porter identified these activities and classified them into primary and support activities. The primary activities include Service, Marketing Sales, Operations, Inbound and Outbound Logistics. Theses activities are supported by four components Infrastructure of the firm, Human Resource Management, Procurement and Technology Development. The main goal of the value chain analysis is these activities need to provide a higher level of customer satisfaction that exceeds the cost of them, thus creating profit margin. In other words, the firms margin depends on how effective the firm is on performing these activities efficiently, so that the level of customer satisfaction is sufficient enough for them to pay for the products that exceed the cost of the activity itself. By reconfiguring the value chain a firm may be able to achieve a competitive advantage by providing better differentiation or through lower costs. Value chain activities are not inaccessible from one another but rather one activity often affects the cost or the performance of the other. There may exist linkage between primary activities or between primary and support activities. The value chain analysis is a flexible tool for a firm; its competitors and the industry. It can be used to create or study the competitive advantage on both cost and differentiation. Cost advantage is done through a better understanding and squeezing out the cost from value adding activities and differentiation is achieved by focusing over those activities with core capabilities in order to out pre form the competitors. It provides a deeper understanding of the firms strengthens and weaknesses. The main advantage of value chain is that it is adaptable to any type of business, big or small. However, M. Porters book Competitive Advantage, the value chain is largely focused on manufacturing industry, thus puts off other types of business. Due to the complexity of the value chain analysis and the scope and scale of the value chain has proven to be intimidating, it is time consuming. To understand the firm competitors one must identify and examine the key differences and strategy drivers, hence, needing substantial information. The business information system is not always structured to draw out information easily for a value chain analysis.

Brave New World Government

Government: this word is used to define the system that maintains the state and her people. This system is run by officials who, hopefully, have the nation's best interest at heart; but these best interests for a country often find themselves conflicting in their particular perspectives. In the novel Brave New World by Aldous Huxley, the government has chosen to preserve the interest of state and this dystopia is the result of mankind choosing the wrong faction in the conflict of interest.To clarify, the principles, theories and arguments presented here in are democratic in orientation and not communistic, because the arguments aim toward freedom and rights. Those in control in Brave New World have misguided the nation’s populace into dystopia, they have lost the people's interest, they have disregarded the people's respect and they have effectively stolen evolution. There will always be a great conflict for those with the misfortune of being leaders: to preserve the state or the people.A decisive argument will skip the moral ethics and get right down to the primary idea: a nation is only possible through her people. This being said, it becomes logical that the right course of action for any leading party is that of the interest of the people; the interest of the people has been touted by many famous political icons throughout the ages as the most vital of a nation's concerns. In fact â€Å"the nation's concerns† is directly related to the concern's of her people. This idea, being understood, it is absolutely impossible in a utopian setting that there would be dissatisfaction.A good leader must make sure that their people are provided for, and this can be done simply by meeting the needs of the nation. If the nation wants for nothing, it can be assumed that order would automatically be ensured amongst her people. In Brave New World, the World Controllers have implemented human conditioning and predestination, these methods have indeed assured them that they operate within the nation's best interest. In fact, one can say that by brainwashing the people they have stolen control and not earned it, and the ‘utopia' in Brave New World can be defined as a controlled dictatorship.This is but another example of how the State has failed the people. Any ruler worth his salt must first earn the respect, or alternatively fear, of his subjects in order to reign successfully. Respect earns the ruler the trust of the people: this trust then allows for orderly conduct amongst the citizens of the country. Earning respect can be achieved by conducting one's self honorably and proving one's capabilities. Huxley presents another technique of acquiring respect by employing â€Å"hypnopaedia† as means of earning respect and gaining control over the nation. â€Å"Of course they don't.How can they? They don't know what it's like being anything else. We'd mind, of course. But then we've been differently conditioned. Besides, we start w ith a different heredity†(Huxley,5). Brave New World's Henry foster shows us how conditioning effects a person's values. The citizens do not respect the controllers, they merely adhere to the rules. Though this does not mean that they are dissatisfied, in actual fact they have no sense of dissatisfaction unless it stands opposed to their hypnopaedic prejudice. â€Å"What a hideous colour khaki is,† remarked Lenina, voicing the hypnop? ic prejudices of her caste†(Huxley,4). Essentially what Huxley has wrought is a world of mindless drones with no sense of self, which is quite possibly the worse outcome for mankind, to become enslaved by a system they created and lost control over. There is one major variable that needs to be considered in keeping order in a nation. People change, things change, nothing will ever remain the same for long, and a good government should be as adaptable as the people. If one is to properly maintain order, one must be able to conform wit h society and trends.These changes and trends are how mankind has learned and developed, and will continue to do so. As stated, government or those in power, must too be able to move forward or to risk losing control and becoming obsolete. This is quite possibly the biggest flaw in Huxley's Brave New World: mankind now controls and predestines the people that inhabit their world, and the price for this control has become progress. A society built on the basis of ‘Community, Identity, Stability’ will never be able to face the ever changing, fickle nature of humanity. In order to preserve control they must therefore eliminate evolution.They have stolen evolution’s format: the world and mankind will forever be stuck in the small cage of Brave New World, and in essence this eliminates anything that is truly either brave or new. In conclusion, it is safe to say that Huxley's utopia went about achieving its status in the wrong way. Mankind has lost its free will to the controlling powers of a system. This system cannot be called government, as it is more akin in characteristics to slavery. Man no longer has freewill and order is kept not through respect and intellect, but via degeneration nd conduct. The former sections of this essay present strategies and techniques used to maintain order in a society of individuals. Finally, it may be argued that the Brave New World protects society by locking them in a cage of ignorance; however, this is at the cost of freedom, and this is unacceptable. Mankind needs be free in order to progress as has been explained. Protection is all well and good but not at the cost of freedom: humans must be free to make mistakes in order to evolve, grow and create. Societal order must still be maintained, but not abused.Those in charge are well within their right to impose laws and rules, as long as these laws keep within a reasonable parameter. Protection is one thing, enslavement is another; if protection must come at t he cost of freedom then it is not worth it, and I am sure that those in Brave New World, if given the chance, would choose freedom. Huxley's utopia is a future that we should hope is never realized, it would bring us to ruin. If we must place faith in those in control, let us hope that they possess the qualities presented in this essay, and have the ability to lead a world of free people forward and beyond.

Culture of Lebanon Country Essay

Prescriptive were given to the patients. It consists of description, preparation and steps of the treatment that has to be provided. It also indicated here the responsibility of the patients in the given prescription to accomplish the desired effect. It provides a clinical care for the patient and for the outcome that it may bring. To make the baby born and grow into a loving and warm environment, some treatments and practices have to be completed. Some of these prescriptive were as follows. A mother has preferably given a hot food rather than cold ones during her pregnancy. This is believed to provide warmth for the fetus. During the time of menstrual cycle and post delivery period, they are given cold foods and preferred a cold environment. These are the beliefs that are being related to the hot and cold theory of disease prevention and maintaining good health that influence conception and pregnancy. To be a mother is the essence of being a woman. Many pregnant women practice some safety measures to protect their baby from harm. Some women practice to sleep on their backs to protect the infant; they keep having frequent intercourse and keep the vaginal canal well lubricated to facilitate an easier birth and keep on being active to prevent decrease of amitotic fluid and ensure a smaller baby. So they will not experience the pain of birth giving for a bigger offspring. For a very long period of time, taking care of infants is done by placing the baby in a crib or playpen. Small bedrooms are also designed for infants. However as time passed by, many mothers had been very busy in their work that they leave their responsibility, as the mother to their child, to kindergartens and even babysitters. The grandparents are also the one who commonly help in raising the child. In every part of the world, education is very important and so as in Lebanon. It had been also said that the first teacher of the child is his or her parents. This is true because it is the place where the child learns to do things on his or her own way. Taboo is a word used to describe an object and action that should be totally avoided due to social and cultural objections. One of the strict Lebanese Taboo practices is not to give birth when both parties are not yet married. In Lebanon, it is unusual to have an arranged marriage but it does not mean that it does not exist. Contracting marriage had been brought by present economic crisis of the country. Among Muslims, polygamy is accepted. However, very few people choose to live this kind of lifestyle. The issue of divorce is also very relative. It is easy to get divorced if you are a Muslim and harder for orthodox Christians. In Marinate communities, divorce is something that is very difficult. Moreover, if a mother is incapable of rearing the child or the money to get married or is protecting her honor and her family’s name, she hands the baby over the church and this is considered an irrational set of taboos. One thing that is sure to happen in the lives of everyone is death. Avery is expected to die at a certain point of time. It is something that every people should be prepared of, whether the death of the people around them or their own death. One of the most complicated things in such event is the funeral. This is the time wherein people often show and are encouraged to show their feelings of loosing a beloved. Most funerals in Lebanon are commonly followed by processions by which the people take the dead body in their final destination. Funeral Home Service in the place provides options on arranging funeral service. They can assist you with customary service, non-traditional service, cremation of the dead body with or with out the memorial service. They can also make the option and opportunity of transporting a family member into another city or state, and offer you with pre-burial planning. Death rituals have an emotional power – the funerals, the singing of laments, the distribution of food, the daily visits to the graves, and especially the rite of exhumation. These rituals help them face the universal paradox of mourning or grief: how they can accept the fact of bringing them to the end; how can living sustain relationships with the dead; and how they may continue their life on the earth and live meaningfully as part of the community. When a person dies, family and friends travel from long distance to get to the funeral. They are also having a festive watch over the body of the person before its burial. More grieving families, based on the tradition, engage in the protection of the dying and bereaved those who have difficulty dealing with the death. They expressed their feelings during the grieving process. In this case those health care providers assist the person by providing support and privacy during the bereavement. Lebanon has a highly developed medicine and health care. Lebanese people have a very little belief on the effectiveness of traditional medicines remains nowadays. The country has many doctors and health care provider than they actually need. There are also lots of hospitals continuously trying to be restructured and modernized. Lebanon has relatively good health care programs and free hospitals for the benefit of the public and all the people who care for their health but cannot afford to pay big amount of hospital bills. Advanced technology has provided modern medicines and complex indicative diagnostics. Some authorities advocate the increase in the use of paramedical workforce to care for the persons or patients with persistent and incurable infirmities. But modern practices in treating disease are not fully applicable in some areas such as urban places and the ethnic groups. Health care providers should consider lot of things and take careful assessment before they should practice their duties and execute their function. Lebanese ethnic groups are related and are engaged upon the use of folk medicine and folk medicine practices to treat their diseases. And they combine these with variety of prayers, use of herbal teas and medicines and other applications. As a health care provider, it is very much important that they are aware about the practices, its purpose and the way it should be carried out. References: Countries and Their Culture. 2007. Culture of Lebanon Retrieved September 19, 2007 from http://www. everyculture. com/Ja-Ma/Lebanon. html .F. A. Davis Company. 2003. Transcultural Health Care. Retrieved September 19, 2007 from http://www. fadavis. com/related_resources/1_1916_1. pdf George,J. Ethnic. no date. Cuisine: Lebanon. Retrieved September 19, 2007 from http://www. sallys-place. com/food/cuisines/lebanon. htm Federal Research Divition. no date. Lebanon A Country Study Retrieved September 19, 2007 from http://books. google. com. ph/books? id=nMwEs12tKJoC&dq=culture+of+lebanon+country+++&pg=PA77&ots=l6Hr7q-puC&sig=uqJRJNFJHf1THFZ9ILxWkJalpxo&prev=http://www. google. com. ph/search%3Fhl%3Dtl%26q%3Dculture%2Bof%2Blebanon%2Bcountry%2B%2B%2B%26meta%3D&sa=X&oi=print&ct=result&cd=1#PPA252,M1

Fair Value vs Historic Cost - 4348 Words

Review of Business Information Systems – First Quarter 2013 Volume 17, Number 1 Fair Value Accounting vs. Historical Cost Accounting Paul Jaijairam, Bronx Community College, City University of New York, USA ABSTRACT This paper reviews fair value accounting method relative to historical cost accounting. Although both methods are widely used by entities in computing their income and financial positions, there is controversy over superiority. Historical cost accounting reports assets and liabilities at the initial price they were exchanged for at the time of the transaction. Conversely, fair value accounting quotes the prevailing price in the market. Nevertheless, while both methods of accounting affect financial statements, the†¦show more content†¦Determining the true market value of an asset is sometimes controversial, especially for assets that do not have active and liquid markets. By definition, the fair value does not need the existence of an active market. In case of market inexistence, IASB offers guideline that looks at the type of assets or liabilities. For instance, for property, plant and equipment, depreciated replacement cost is recommended if market based evidence is unascertainable. For biological assets (animals and plants), IASB suggest the use of discounted present values of future cash flows (Weetman, 2011). Later, FASB introduced FASB ASC 820 – Fair Value Measurements and Disclosures (SFAS 157) (Zyla, 2010). The main aim of this statement is to offer additional guidance and information on issues that relate to fair value and its measurement. FASB ASC 820 – Fair Value Measurements, in technical terms, does not bring in any new accounting principle rather it provides financial analysts and auditors with â€Å"additional information on how the FASB intends fair value to be measure in any instance it is required in financial reporting† (Zyla, 2010). 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