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<title>Globalization</title>
<link>http://www.bizcovering.com/tags/Globalization</link>
<description>New posts about Globalization</description>
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<title>Service Marketing: Trends That are Changing the Marketing Approach of Service Companies</title>
<link>http://www.bizcovering.com/Marketing-and-Advertising/Service-Marketing-Trends-That-are-Changing-the-Marketing-Approach-of-Service-Companies.267059</link>
<description>
<![CDATA[<p>Companies engaged in service must continue to reinvent themselves in order to survive the global market. Service companies must constantly instill competitive change in their organization to stay alive. Many business gurus believe that change is no longer optional but inevitable. Many big companies went down in the past because they fail to recognize important trends in their internal and external environment that are affecting their business. Managers of service companies must be well informed of these trends so that they will be guided accordingly on what corporate changes they will implement in their respective companies.</p>
<p>Below are some of the trends that are shaping the marketing approach of service companies:</p>
<ol>
<li> Focus on Customer Service and Customer Satisfaction. Companies of the past tend to focus on their internal being. Their capital expenditures are geared towards expansion of network, technical superiority, and market domination by size or scale. These companies fail to recognize the fact that unless customer needs are taken to account, these initiatives will not bring success or profit. </li>
<li> Focus on the Service Value. Customers want value for their money and they expect that company's offerings must be of prime quality at the least possible price. This is opposite to the principle of business operations. Companies will need more money to execute first-class service because it requires investment on well-experienced employees which will require higher salaries, high-end facilities which will require bigger capital budgets and additional employee trainings which will result to increase operational expenditures. Managers of service companies are tasked to design a service model that are valuable to their customers but priced reasonably. In the past, companies believe that as long as they are &amp;ldquo;big&amp;rdquo; in terms of scale, size and, resources their perceive value is high. This is no longer true today. The best judge of your company's value is your customers. </li>
<li> Focus on Information Technology. We all know how technology changed not only our day to day lives but also how it shaped the business landscape. One of the best contributions of technology is information. Technological advances led to the availability of information in all sectors of the organization. Examples of information are consumers' purchasing behavior, consumers' consumption pattern, consumers' data information and so on. Information made the decision making process of top executives easy and later resulted to further innovation and improvement on the company's strategic direction. Companies who failed to use information also failed to understand their customers. </li>
<li> Focus on Globalization. Globalization has swept companies from all over the world by storm. Local markets are already saturated by local players and the best way to expand their sales is to tap emerging international markets. However, internationalization approach is not as simple as transporting your service to another country. If your company's service model is effective in your local market, it is not a guarantee that it will also be effective in other countries. Culture, social behavior and customs of the foreign country must be taken into account. Many companies who jumped in the globalization band wagon failed to adjust their service approach when setting-up a foreign franchise. In the fast-food industry for instance, Mc Donald's beef burger may not be a hit in countries like India because cows are sacred in this country. Some American fast-food chains that plan to establish branches in the Middle East or some parts of Asia change the composition of their ingredients of their food products and modify the service orientation of their staffs in order to adapt to the taste and customs of the locals. </li>
</ol>
<p>These are just some of the emerging trends that managers of service companies must consider. Many companies that did not recognize these signs and failed to adapt to these trends have suffered and send millions or even billions of their resources in to the trash bin.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FMarketing-and-Advertising%2FService-Marketing-Trends-That-are-Changing-the-Marketing-Approach-of-Service-Companies.267059"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FMarketing-and-Advertising%2FService-Marketing-Trends-That-are-Changing-the-Marketing-Approach-of-Service-Companies.267059" border="0"/></a>]]></description>
<pubDate>Tue, 23 Sep 2008 05:54:53 PST</pubDate></item>
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<title>Forces That are Affecting the Business Environment</title>
<link>http://www.bizcovering.com/Business/Forces-That-are-Affecting-the-Business-Environment.248517</link>
<description>
<![CDATA[<p>The business landscape is changing rapidly. Companies must continuously adapt to the evolution of the business environment for them to survive. Business managers must be responsive to these changes to protect the existence of their organization. These changes in the business landscape maybe considered as threat or opportunity to the company.</p>
<p>Listed below are some of these forces that are changing the business setting.</p>
<ol>
<li><strong>Technological Innovations.</strong> Internet, microprocessors, automation, information hi-way,  etc., these are some of the technological innovations that are penetrating the  business community and are affecting the way companies compete. For instance,  more and more companies are focusing on online marketing models to sell their  products or services. </li>
<li><strong>Globalization.</strong> Local companies feel that they already saturated their local market and  the only way for them to grow is to tap the market of other countries. The world  economy is becoming a single market place resulting to intense competition  among multinational and local companies.</li>
<li><strong>New Breeds of Workforce.</strong> Due to globalization, employees from all sorts of race and  nationality are moving to and from these multinational companies. Diversity of  the workforce is changing how companies are being managed. </li>
<li><strong>Deregulation.</strong> Government regulations are changing the way business operates. The  protectionist policies of the government are now being dismantled from one  country to another. Affected companies must beef up their operations since their  respective government will no longer be there to guard their turf.</li>
<li><strong>Emphasis on Human Capital.</strong> More companies are producing more services than  tangible products. Even manufacturing firms are adding value added services to  their physical products. The growing importance of services led to the emphasis  on education and human capital. Companies are relying more and more on the  skills and creativity of their employees. As such, they are investing more capital  on &amp;ldquo;knowledge workers&amp;rdquo;.</li>
</ol>
<p>These mentioned forces are changing the way companies compete with each other. The new business landscape is becoming more and more merciless to organizations that are unprepared to meet these challenges. Companies who are not committed to the doing even more than their best will probably die and become food for the worms.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FForces-That-are-Affecting-the-Business-Environment.248517"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FForces-That-are-Affecting-the-Business-Environment.248517" border="0"/></a>]]></description>
<pubDate>Wed, 10 Sep 2008 07:52:23 PST</pubDate></item>
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<title>Miele: Proof That Globalized Products Can Have Value</title>
<link>http://www.bizcovering.com/International-Business-and-Trade/Miele-Proof-That-Globalized-Products-Can-Have-Value.162409</link>
<description>
<![CDATA[<p>Globalization has reduced the price of producing a product by lowering the walls between countries and making communication and trade easier.  This allows for offshoring: an easy way for companies to reduce the cost of manufacturing.  Companies send labor away from home to countries like China, where labor is very cheap and there is an excess of population in need of employment.  The work is done in China, for a very low price, then sent back to the home country and marketed.  A small portion of the money saved by offshoring is reflected in the price, but most of it goes directly to the company.  This basic model of globalization is essentially to offshore the mindless work, the work that anyone can do, the work that the company doesn't need to pay full attention to.  This system is used because it not only saves money, it makes room at home for the innovation, and that is what really makes a product marketable.  Miele, a home appliance company, places much more focus on the quality of its products.  Besides selling products because of new and exciting innovations, Miele sells expensive products that consumers have great trust in because of their high-quality standards.  By keeping the manufacturing of their vacuums in their country and in their control, Miele maintains a much higher quality standard that is unparalleled by the standard vacuum cleaner.  The price Miele pays for not offshoring all labor makes the vacuums much more expensive, but the trust consumers have in Miele vacuums makes up for the difference in price and allows the company to continue operating in the same way.</p>
<p>All manufacturing of the components used in making Miele vacuums is done in Germany, which allows for the company to control quality to a higher degree.  In a more conventional vacuum company, all the major components would probably be bought from a different Chinese company, and the assembly would be done in China also.  Because this way of building a vacuum lets the quality control out of the company's hands, Miele chooses to do almost all the work in Germany, where the company originated.  The production of a Miele vacuum begins at the main Miele factory in G&amp;uuml;tersloh, where the electronics are made,&amp;nbsp;  The electric motor is produced in Euskirchen, and the main components are made in Bielefeld, which is also where the vacuums are developed.  The plastics and spare parts are manufactured in Warendorf, and finally everything is shipped to the Hong Da factory in China where the pieces are assembled.  Only the assembly of the product, just one piece of the process, is completed outside of Germany.  Miele also manufactures its own factory equipment in Germany, meaning the manufacturing itself will be more reliable and produce better results.  Miele even has a management system that is &amp;ldquo;continuously monitored by Miele auditors within the context of fixed assessment programs.&amp;rdquo;  This kind of monitoring would be difficult to accomplish in China, where laws make control over production from afar very hard, if not impossible.  This level of control is especially important when producing the electric motors, which are essential to almost all of Miele's appliances.  Miele needs electric motors that it can depend on, and the only way for the company to achieve that is to make the motors themselves.  For this very reason, &amp;ldquo;Rather than outsource to low-cost suppliers, it makes 4 million electric motors a year (enough for all its products) in its own plant near Cologne.&amp;rdquo;  Because Miele keeps its production in Germany, it can have much more control over manufacturing, and this makes the products more reliable and of higher quality in the end.</p>
<p>For Miele to stay ahead of other companies' innovations and still keep the quality high, it devotes even more money and facilities to product development than competing companies.  When other companies offshore labor overseas, they do it mostly because it allows for the innovation of new technologies and products to occur at home.  This system makes the products innovative and new, but not of high quality.  Miele is all about quality, but to compete in the market it must also be innovative.  To make up for the decrease in attention towards innovation, Miele does two things: first, it devotes over 12% of its earnings to innovation alone.  This is much more than any other company allows for innovation, and it is part of the reason Miele products are 50-70% more expensive than competing products.  Miele also divides its product development between the three different factories, in which those products are produced.  This allows for a tight-knit connection between innovation and production, one that could not have existed if the innovation and production were being done on two different sides of the world.  These two efforts promote innovation in Miele products, so they are not left behind while competitors set their focus mainly on innovation.</p>
<p>Along with keeping their products high-quality and innovative, Miele also builds them to last, and tests them to makes sure they will last.  With high-quality products like Miele's come the need for longevity.  Miele incorporates longevity into each of its products, and certifies that each will last for 20 years or more.  This certification is the promise that Miele has made the product with care, and the techniques used reflect the highest quality in the industry.  Miele makes sure that their products are trustworthy by putting them through heavy testing.  The ovens are tested &amp;ldquo;using machines that open and shut their doors 60,000 times to simulate the rigours they will withstand in their owners' kitchens.&amp;rdquo;<a href="#endnote_anchor-11" target="_blank"></a> A personal account of a Miele vacuum also shows that the quality difference is notable, and that the vacuum lasts: &amp;ldquo;That the Miele stands up to this heavy use and abuse day in and day out is a tribute in itself.&amp;rdquo;  The made-to-last approach that is put into making the vacuums pays off in customer satisfaction.  Miele also incorporates longevity into their products in a different way: by keeping them up-to-date.  Miele has a patented technology called the Electronic Update system, which allows for the technology installed to be updated years after it is purchased.  This technology is very unusual in today's world: most companies want customers to purchase new products instead of updating old ones.  The Electronic Update system is the finishing touch to Miele's promise of longevity: the company makes sure that your product will stay together and up-to-date for years to come.</p>
<p>As the downside of not offshoring all labor, Miele vacuums are much more expensive to produce and much more expensive to buy.  Other companies offshore the labor because it really saves money.  For example, an average laptop made in China costs $700 to buy, but only $15 to manufacture.<a href="#endnote_anchor-14" target="_blank"></a>The price difference is based mostly on the fact that the labor isn't of high quality, but it still is an enormous price difference.  The Portable Canister Cleaner from Hoover sells for only $79.99, so a probable manufacturing price could be about $10.  The price Miele pays for not exporting cheap labor is monetarily high: a Miele Mango Red S514 vacuum sells for $659, and that price nearly reflects the cost of the manufacturing.  These increased production prices do more than just raise the price of the product: it can make the company unsustainable.  A senior executive from a rival company said, &amp;ldquo;In my view, to survive they will have to face the music and move more of their production out of Germany, while making parts such as motors in their own factories is just not viable.&amp;rdquo;  Miele disagrees, saying that they can stay the way they are, but already the company has had to remove every tenth employee from their Germany factories to save production costs.<a href="#endnote_anchor-18" target="_blank"></a> The hardships that come with not offshoring to achieve high quality products definitely affects the company in a negative way.</p>
<p>Since the company began, Miele appliances have been consistently innovative, long-lasting and of high quality, so much that consumers have developed enormous trust in the company, and are willing to pay 50-70% more for the appliances.<a href="#endnote_anchor-20" target="_blank"> </a>Consumers know that, &amp;ldquo;If quality, period of use and price are taken as a whole, then Miele machines are superb value for money.  Miele appliances are quite literally worth the money.&amp;rdquo;<a href="#endnote_anchor-21" target="_blank"></a> That is why consumers keep coming back to Miele, even though they pay a premium.  This is very different from how other companies attract customers: they offshore manufacturing and focus on innovation.  For other companies, everything is about new and exciting products that sell for less and less money.  Miele's customer base is partially made of new buyers who want a break from bad vacuums, but the majority of customers are people who know the value of a Miele appliance and trust that the value will stay the same.  The same customer mentioned above says, &amp;ldquo; I would not hesitate to buy another Miele if this one were to someday die beyond my ability to fix it.&amp;rdquo;  Reader's Digest even said that Miele is the &amp;ldquo;most trusted domestic appliance brand in Europe.&amp;rdquo;  Miele has won that award each of the six times Reader's Digest has conducted the survey.  Because Miele has been so dependable, customers trust it much more than a conventional brand, and that is how Miele sells products.</p>
<p>All in all, Miele's strategy of keeping manufacturing close to home and designing products that are innovative and built to last results in consumers that have confidence in the quality of the products.  This offsets the economic disadvantages of producing products domestically.   Miele's company model is very different from the one used by most companies, but it works.  It's a different kind of globalization: one based around quality, not price.  As described by a Miele owner, &amp;ldquo;The Miele canister vacuum cleaner is similar in many ways to a fine imported sports car. It is expensive, it has superb German engineering, and sleek, sexy good looks, and when it works, it works extremely well.&amp;rdquo;<a href="#endnote_anchor-25" target="_blank"></a> This comparison is accurate, and that is why people buy expensive Miele vacuums.  Like a fine Porsche, customers with enough money will buy a Miele product because they have trust in the brand, and they are well aware that the vacuum is made with the finest components.  The shining reputation that Miele has acquired makes up for the hefty price tag that comes with the product.  Miele understands the global corporate economy, and takes advantage of it.  They effectively compete in the international market with their unique development, manufacturing, and marketing strategy of producing excellent, high quality products that are incomparable to any other.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FInternational-Business-and-Trade%2FMiele-Proof-That-Globalized-Products-Can-Have-Value.162409"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FInternational-Business-and-Trade%2FMiele-Proof-That-Globalized-Products-Can-Have-Value.162409" border="0"/></a>]]></description>
<pubDate>Wed, 09 Jul 2008 07:14:59 PST</pubDate></item>
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<title>McDonaldization</title>
<link>http://www.bizcovering.com/Major-Companies/McDonaldization.127365</link>
<description>
<![CDATA[<p>In 1954 a man called Ray Crock bought the rights to a hamburger stall in California, owned by two brothers called McDonald.  It became the McDonald's chain that now operates about 21,000 restaurants around the world.  It is said that a new one opens every three hours.  McDonald's is perhaps the most aggressive example of corporate identity.</p>
 
<p>McDonald's is defined by its logo, the Golden Arches, which is very simple and very powerful because it is applied to so many materials: packaging, menus and even buildings. Staff rituals represent another facet of corporate identity.  Nowhere is this more apparent than at McDonald's, which trains its employees at <a href="http://en.wikipedia.org/wiki/Hamburger_University" target="_blank">Hamburger University</a> in <a href="http://en.wikipedia.org/wiki/Oak_Brook,_Illinois" target="_blank">Oak Brook, Illinois</a>.</p>
 
<p>The first McDonald's restaurant was built at Des Plaines, <a href="http://www.roadsideamerica.com/map/il.html" target="_blank">Illinois</a> in 1955.  It is now a museum with 1950s cars permanently displayed alongside.  The golden arches are transformed into architectural elements, soaring over the building.</p>
 
<p>McDonald's has become emblematic of <a href="http://en.wikipedia.org/wiki/Globalization" target="_blank">globalization</a>.  This is sometimes referred as the "<a href="http://en.wikipedia.org/wiki/McDonaldization" target="_blank">McDonaldization</a>" of society.  Because McDonald's is so closely identified with the <a href="http://en.wikipedia.org/wiki/United_States" target="_blank">United States</a>, its expansion has been seen as a form of American <a href="http://en.wikipedia.org/wiki/Cultural_imperialism" target="_blank">cultural imperialism</a>.  Along with America's recent foreign policy, including the war in Iraq, some people argue that America is becoming a new imperial power.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FMajor-Companies%2FMcDonaldization.127365"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FMajor-Companies%2FMcDonaldization.127365" border="0"/></a>]]></description>
<pubDate>Tue, 20 May 2008 15:50:55 PST</pubDate></item>
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<title>Diversity Management and Equal Opportunities</title>
<link>http://www.bizcovering.com/Business/Diversity-Management-and-Equal-Opportunities.111385</link>
<description>
<![CDATA[<h3>Business Case Defined</h3>
 
<p>To understand fully what the "business case for diversity management and equal opportunities" really is, it is important to know the meaning of business case. Business case pertains to a planned proposal for business change based on terms of costs and benefits.  This is an initial requirement before a huge project is undertaken and is necessary for a number of project management processes.</p>
 
<p>The business case is expected to address the business need of the project.  It must include the reason for undertaking the project, the perceived business advantages, options involved complete with the reasons behind choosing which option to carry out, the projected costs, risks and gap analysis.</p>
 
<h3>Business Case for Diversity Management</h3>
 
<p>The &amp;ldquo;business case for diversity&amp;rdquo; simply means that companies believes that employing a diverse workforce allow them to be in a position to understand the demographics of the customers they serve much better making them better able to thrive in the marketplace than companies that hire only a limited group of employee demographics.  Also, a company that supports diversity of workforce is better able to address employee satisfaction and retention issues.</p>
 
<p>It is important to note that diversity in workforce means employing people without discrimination to gender, age and ethnic or racial backgrounds.  Since globalization is the current overwhelming trend in business, diversity in the workplace is a better accepted and applied concept now more than ever.</p>
 
<p>The business case for diversity has been examined by a number of researchers and no research support was found to support the &amp;ldquo;diversity business case&amp;rdquo;.  Also, in US companies are not allowed to hire on the basis of race or ethnicity for whatever profit reason it may be.</p>
 
<p>An important requirement of the business case is how a company uses its diversities. This is called inclusion. If the company has a diverse workforce yet the employer does not take advantage of the wide range of experience within his organization then it could not enjoy the advantages offered by background diversity.</p>
 
<p>Diversity issues change with time.  Implementation of diversity is more often than not limited to the Human resources department.  UK companies see it as a tool to a good economic case that enables them to reach new markets.  Diversity then becomes an extra marketing tool to bring in new customers.</p>
 
<p>Diversity could either be superficial or deep-level.  Superficial diversity refers to differences in gender, race and nationality. Deep-level refers to differences brought about by knowledge and cultural values. It is often noted that in a company setting increase interaction among a diverse workforce lessens the significance of superficial diversity and increases the importance of deep-level as the team learns how to function as a unit.  According to studies, in deep level diversity, the informational diversity or the differences in knowledge contributes positive results to the performance while value diversity or differences in cultural views could lead to negative results.</p>
 
<p>Certain processes could have positive contribution to deep level informational diversity. One is the need to share unique views with others. In a group setting though, members tend to discuss what they have in common rather than their differences.  In order to encourage sharing of unique knowledge, it is important to let the group know who has knowledge on certain things.</p>
 
<p>Also, instead of group information sharing, debate should be encouraged so as to allow members to challenge the ideas of other members.  Processing deep information that way could lead to positive results.</p>
 
<p>Critics of business case for diversity believe that it is not effective because there is currently no published research that shows how surface-level diversity can improve the organization.  Also, most research shows surface diversity to have no or even negative results to employees' performance.</p>
 
<h3>Legal Issues Surrounding Diversity</h3>
 
<p>UK employers are cautioned in using &amp;ldquo;diversity programs&amp;rdquo; because no court has ever found programs to be enough reason to have hiring preferences. This is in compliance with anti-discrimination laws practised by UK companies.  This forces UK companies to comply with diversity laws.</p>
 
<h3>The Business Case for Equal Opportunity</h3>
 
<p>The "business case for equal opportunity&amp;rdquo; strives to eliminate discrimination and harassment in the workplace in order to reap the following benefits: more productivity among employees, higher moral in the workplace,  higher staff retention, reducing complaints and the time involve in resolving them and to make the company more appealing to employees.</p>
 
<p>According to Guy Russo, McDonald"s CEO, &amp;ldquo;commitment to Equal Opportunity makes good business sense because it ensures a company attracts and retains the best people. EO policy also provides confidence to employees that they will be treated fairly and receives equal access to opportunities."</p>
 
<p>The business case for equal opportunity intends to create an environment where people are not excluded from activities on the basis of permanent traits such as race, disabilities, creed, religion, gender and others.  The "business case for equal opportunity" must enable employees' similar access to education, employment and health care.  Also, employers are required to implement action plans that allow participation of minorities and women in the workplace.  The "business case for equal opportunity" must provide an equal opportunity policy statement, analysis of the current work force, recognition of problem areas, creating goals and timetables for employment opportunities, particular action programs to address problem areas, promote community action programs, and creating an effective internal audit and reporting system.</p>
 
<p>To indicate that an employer practices equal employment opportunity, abbreviations such EOE or MFDV (or Male, Female, Disabled, Veteran) are added in job advertisements.</p>
 
<p>Critics of the "business case for equal opportunities" pointed out that methods of finding out if equal opportunity is carried out is not complete.  Opportunity as a matter of fact is difficult to measure.  In reality, equal opportunity in employment is considered to be present if people of similar abilities achieve similar results after doing similar amount of work.</p>
 
<h3>Similarities of Business Case for Diversity Management and Equal Opportunities</h3>
 
<p>Both "business case for diversity management and equal opportunities" aim to employ people without discrimination as to age, sex, race, creed and others.  These thrusts are intended to maximize opportunities within the organization.</p>
 
<p>Business cases for both diversity management and equal opportunities must comply with the legal frameworks of the country like the anti-discrimination laws in the UK.</p>
 
<p>Both "business case for diversity management and equal opportunities" rely on the results of the implementation of business cases. A company that does not take advantage of its diversity or in the implementation of equal opportunities will not most likely reap its desired benefits in the end.</p>
 
<p>Both business case diversity and equal opportunity aims to promote positive results in employees' performance.</p>
 
<p>Culture is an important emphasis to both business cases.</p>
 
<p>Emphasis in differences in cultural or informational views is considered important in business case diversity. While, business case for equal opportunities would much rather emphasize employee similarities.</p>
 
<p>Employee satisfaction and retention are important to both.</p>
 
<h3>Differences</h3>
 
<p>Diversity business case is sometimes used as a marketing tool to penetrate new market shares.  Equal opportunity is a tool to achieve the best employees by providing a safe and equal social environment.</p>
 
<p>Business case diversity is more concerned of managing diversity to the company's advantage.  Business case equal opportunity is aimed to promote employees' well-being.</p>
 
<p>Cooperation among employees is strongly encouraged in business case for equal opportunities. In business case diversity management, there is more to be gained if employees do not focus on common grounds but in their diversity of knowledge especially in informational diversity.</p>
 
<p>Business case for equal opportunities is more concerned with employee relations rather than contributions as practiced in business case diversity.  Maintaining or promoting high morale among employees is an important tool to achieve equal opportunities for employees.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FDiversity-Management-and-Equal-Opportunities.111385"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FDiversity-Management-and-Equal-Opportunities.111385" border="0"/></a>]]></description>
<pubDate>Sat, 19 Apr 2008 15:49:46 PST</pubDate></item>
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<title>Total Quality Management</title>
<link>http://www.bizcovering.com/Management/Total-Quality-Management.87734</link>
<description>
<![CDATA[<p>According to (Melnyk S. and Fredendall, L. 2004, p. 7), &amp;ldquo;TQM or total quality management as a culture defines the total commitment to quality and attitude expressed by everyone's involvement in the process of continuous improvement of products and services through the use of innovative scientific methods. Quality goods and services are at the top of the food chain alone with price when making the final decision as to whether or not to pursue a purchase. The need for TQM plays a major role in the globalization process. Total quality management has a great deal of historic literature proving to be a valuable asset for many reasons.</p>
 
<p>Continuous improvement techniques provide a clear focus for globalization. Globalization exemplifies the motivating factors impacting the economy each day. Because of some of the areas globalization has impacted, consumers tend to seek quality global acquisitions alone with products and services whole- heartedly.  Value implies a customer's evaluation alone with punctuality and quality expected of a product given a fair market price for a product or service.</p>
 
<h3>Scenario</h3>
 
<p>Who manufactures coach hand bags? Some individual's purchase counterfeit bags on purpose and others are simple victims of circumstances. At any rate, some actually look for a quality product when making a final decision to purchase a product. Feel this one the lady implied? On a recent excursion of mere infatuation to Concepts nail Salon in Valdosta, Georgia, an Asian lady offered some of the most elaborate finds of her coach and designer hand bags line. You can talk to me about anything in here&amp;hellip;Her pick of the crop was a black or red leather coach bag that caught the eye instantly! Thinking to oneself, what a wonderful bag, the immediate idea was to run and check out the price on the internet. Honestly, this handbag retail at Macy's for 750.00. Wow! The search was now over for a Coach handbag. And yet, socially this seemed wonderful but morally, matters did not line up.</p>
 
<p>The consortium of management issues can be classified as either traditional or quality focused management styles in nature. Traditional styles are non conducive to quality. Displaying such attitudes requires implementing management and labor leading to breached relationships within time; trust can be restoredthereby producing a more efficient working environment empowering people to want to succeed (Burrill, C. Ledolter, and J.1999).  Traditional management typically fosters attitudes to connect people by enabling positive parallels throughout the organization.</p>
 
<p>Rapid changes in management have occurred towards the future of quality. For example, we are committed to quality customer service. One reason for these changes includes the growing concepts of competition. In which case, the people come first in most situations. Resulting from these antics are quality goods and services which has been greatly increased.</p>
 
<p>Currently, several pioneers have blazed a trail concerning TQM. For instance, Kaizen believes that (1) An organization should provide a product or service suitable to satisfy the customer (2) To promote higher profits it would be feasible to meander towards lower cost and less defects and (3) More empowerment of employees to accomplish organizational goals should be displayed as a clear vision for the organization (p. 469).The idea of encouraging training leads to process improvements.</p>
 
<p>Philip Crosby made a point of defining the zero defects concept. In industries such as manufacturing quality improvement is vital. He stated that motivation is the leading factor for errors. Employees who are highly motivated will typically exemplify lower margins of errors (p. 494). Lack of knowledge and lack of attention were the main puns in Crosby's design model.</p>
 
<p>In short, TQM has engraved its mark on society. Everyone has their own definition of quality. The more successful organizations still recognize the need to achieving sound business success. The global market place maintains that in order to be successful quality is the underlying factor.</p>
<p>&amp;nbsp;</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FManagement%2FTotal-Quality-Management.87734"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FManagement%2FTotal-Quality-Management.87734" border="0"/></a>]]></description>
<pubDate>Wed, 27 Feb 2008 09:18:39 PST</pubDate></item>
<item>
<title>Globalization</title>
<link>http://www.bizcovering.com/Business-and-Society/Globalization.77354</link>
<description>
<![CDATA[<p>The term globalization has many definitions and yet it is by far a better over-all way of making a living. (Hill, 2005), agrees that globalization refers to the &amp;ldquo;shift toward a more integrated and interdependent world economy&amp;rdquo;. What this means for business is that the economy is not faltering from expectations. Globalization is on an up rise lending many opportunities for organizations to expand their capital by establishing a network system around the world by lowering costs whereas goods and services are inexpensive. The area of production is of a special interest in the globalization market. There are several theories in place that support the concepts of globalization. These theories include HeckscherOhlin, New Trade and Porter's theories and the theories of Free Trade. Each of these theories is unique and each lends a special blend in the support of globalization.</p>
 
<p>Three of the major drivers of globalization would be politics, technology and communication. Leadership in other countries is not always so quick to react to change. Oftentimes these influences accommodate forces that carry a higher degree of autonomy and a greater influence than others (Beck, 2000). Because these influences are centralized at a grand scale of change taking place their influence affects technological training and build barriers of communication on society as a whole.</p>
 
<p>Globalization affects the impact of our community in a major way. Let's just begin by mentioning the fact that whether we know it or not a venture to the opposite side of town could have the potential to portray the events of having traveled to another country. Globalization first begins at home. Change in the community is impacted by an increase in international trade, creation of international agreements, international flows of cash, and a system of global financial systems. The position of fair trade intent is to establish a work relationship in order to help the population move to a place of economic self-sufficiency and security (2000). Empowerment allows the people to become stakeholders in there communities and there organizations on a global level.</p>
 
<p>The list of regional trading blocs is numerous. These entities consist of the intergovernmental associations that promote and maintain activities for various regions of the world. Some of the major blocs are (EU), European Union, (NAFTA), North American Free Trade Agreement and(ASEAN), Association of Southeast Asian Nations (2008). Perhaps in a particular area of my community, the chance to suggest that several of the local activities seem to have adopted assistance of (ASEAN), Association of Southeast Asian Nations has created a stable, highly prosperous and competitive economic region of interest.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness-and-Society%2FGlobalization.77354"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness-and-Society%2FGlobalization.77354" border="0"/></a>]]></description>
<pubDate>Sat, 26 Jan 2008 09:26:51 PST</pubDate></item>
<item>
<title>Globalization: A Natural Phenomenon</title>
<link>http://www.bizcovering.com/Business/Globalization-A-Natural-Phenomenon.68232</link>
<description>
<![CDATA[<p>"Arguing against globalization is like arguing against the laws of gravity." - Former UN Secretary General Kofi Annan </p>
 <p>Globalization excites the leading industrialized countries such as the superpower America while it frightens the sensibilities of the mostly traditional population of developing and third-world countries. Let us briefly see the benefits and disadvantages.</p>
 <p>Globalization, a word that means to have an item or product accessible and available to the whole world, has a positive connotation among the leading industrialized countries because the leading industrialized countries are usually the ones who are the producer or source of these items that are candidates for globalization. Because their products are available to a larger consumer-base, there is more probability of economic success for that particular country and, subsequently, to its inhabitants. The inhabitants of these countries are also able to buy products at a cheaper price. The producers are able to sell the products at a cheaper price because the products were created by a cheap labor force.</p>
 <p>In contrast, the infusion of imported products offends the traditional stance of some people in developing or third-world countries. They resent being Westernized and seeing the young population carrying iPods, eating Cadbury, wearing Guess jeans or watching Justin Timberlake in MTV. Because of globalization, too, some argue, resources of a certain country are used not by its citizens but by foreigners. Chinese labor workers are answering to British bosses. Acres of land rich in profitable natural resources are bought by non-citizens. People receive services not from fellow countrymen but from strangers. </p>
 <p>Regardless of the negative outcomes of globalization, people cannot inhibit this phenomenon. Former UN Secretary General Kofi Annan likens it to the laws of gravity because the world is such a small place for commercial dealings to be only intra-states or intra-nations. It must only be expected that throughout time, more products will be globalized. Resources might be available in one area of the world while it won't be in another. Trees might be too depleted in the Philippines to be logged down. What would be smart, of course, is to find an alternative source; to go find trees in Africa. Furthermore, labor might be too expensive here in America and, thus, business-owners would look in another direction to find the cheapest labor, such as in China. Globalization is such a natural occurrence because individuals are natural wanderers and are intrinsically social, unsatisfied with being cornered in one place, dealing with the same set of consumers. Additionally, it is interesting for consumers to acquire and taste products from abroad. There is a sense of being able to conquer with globalization, of being one with the whole world. It gives an individual a sense of security that anything is within reach.</p>
 <p>What must be undertaken is not the inhibition of a natural phenomenon but the direction of how globalization must be equally practiced by nations. </p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FGlobalization-A-Natural-Phenomenon.68232"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FBusiness%2FGlobalization-A-Natural-Phenomenon.68232" border="0"/></a>]]></description>
<pubDate>Sat, 22 Dec 2007 09:01:53 PST</pubDate></item>
<item>
<title>Innovation is Critical to Success</title>
<link>http://www.bizcovering.com/Education-and-Training/Innovation-is-Critical-to-Success.60143</link>
<description>
<![CDATA[<p>“Innovation is the specific instrument of entrepreneurship - the act that endows resources with a new capacity to create wealth,” said Peter Drucker, the Father of Modern Management. </p>



 <p>Advances in computing and telecommunications, changes in sociopolitical environment, globalization, increased competition, and fickle whim of the consumers have transformed the business landscape. In this ever-changing market, what works today might not necessarily work tomorrow. 

</p><p>

I believe that innovation that breaks through traditional thinking, methodology, and architectures to deliver commercially viable and highly differentiated products is fundamental to create a long-term, successful, profitable business that can survive in a constantly evolving industry. </p>



 <p>When talked about innovation for success, it is a process of taking insights and new ideas, investing in knowledge and capabilities, and converting them into solutions and services that satisfy customer needs. Many consider innovation as invention. I believe innovation is a “commercialized creativity” and a continuous process that enhances business performance. 

</p><p>

In short, innovation is the engine that drives corporate growth. Significant, monumental innovation resulting in commercial success must be part of the executive vision and be embraced by the innovators. However, customers do not value only innovation, but the possibilities enabled by innovation that make it a commercial success.

</p><p>

 Nurturing innovation in science and technology helps ensure that discoveries and breakthroughs occur; however, the social and economic benefits of an innovation that contribute to the standard of living and quality of life of the people is the substantial innovation that leads to success.</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FEducation-and-Training%2FInnovation-is-Critical-to-Success.60143"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FEducation-and-Training%2FInnovation-is-Critical-to-Success.60143" border="0"/></a>]]></description>
<pubDate>Tue, 20 Nov 2007 02:34:12 PST</pubDate></item>
<item>
<title>Out of the Middle East: The Emergence of an Arab Global Business</title>
<link>http://www.bizcovering.com/International-Business-and-Trade/Out-of-the-Middle-East-The-Emergence-of-an-Arab-Global-Business.56681</link>
<description>
<![CDATA[<p>Out of the Middle East, The Emergence of an Arab Global Business by Kamal A Shair is an extremely timely, just published last year, and well worth reading portrait of a Middle Eastern patriot, activist, businessman and Jordan's Senator.  It also allows one to familiarize oneself with some of the Middle Eastern history inasmuch as it made Mr. Shair move from Jordan to Lebanon and then again to Jordan.  Through pictures of Beirut destroyed in fighting and then rebuild from ground up, one can get an inkling of the intensity and extent of fighting that took place and the effort it had to take to rebuild.  Not much is said about either the number of casualties or religion.</p>
  
  <p>Kamal A Shair was born in Salt, Jordan (Transjordan under the British rule) in 1930.  His parents had seven other children and even though approximately 1 in 10 boys and 1 in 30 girls went to school in the area in those days, Mr. Shair's father, a textile trader who was both well read and traveled but himself had only a couple of years of formal education, provided for all of his children's tuitions.  For an inside picture of an Arab family that continues to elude a lot of journalists, writers and researchers in the West, this is the book to read.</p>
  
  <p>Mr. Shair studied in Jordan and left for Lebanon to study at the American University of Beirut.  He then studied in the United States receiving PhD from Yale University.  He became a founder of Dar Al-Handasah, 
<a target="_blank" href="http://www.dargroup.com">dargroup.com</a>
, a small start up engineering consultancy he has nurtured into a global company it is today over the last five decades.</p>
  
  <p>Originally the idea of Dar Al-Handasah appeared to have a Middle Eastern company provide engineering and architectural consulting for the construction projects in the Middle East.  At the time, 1956, the construction projects in the Middle East were managed and run by Western firms.  Slowly but surely Dar Al-Handasah was able to start winning bids and their first major project put them in Kuwait.</p>

  <p>“We arrived in Kuwait, and were put up in the government's comfortable guest house.  The next day, not without some concern, we called at the palace to be received by Sheik Abdullah.  The very word "palace" conjures up the idea of splendid chambers with luxurious furnishings, so I was astonished when we were shown into Abdullah's office.  It was a modest room, with a small metal desk. My own office, in fact all partners offices, were smarter and better equipped than this.  As an Arab nationalist I felt ashamed that this great man, he not only led Kuwait to independence but introduced reforms that laid the foundations of a successful modern state should do his work from such humble accommodation.”</p>
  
  <p>Many other projects followed and Dar Al-Handasah started to compete for projects outside of the Middle East as well.  Today the company has offices around the world and consults on structures ranging from harbors to airports, from hospitals to hotels, from tunnels to bridges.  Some of its projects include Dubai International Airport Expansion, Four Seasons Hotel George V in Paris and Los Angeles Federal Courthouse.</p>
  
  <p>Very early on Mr. Shair parted ways with his original partners and single-handedly led Dar Al-Handasah hiring experts based on merit and expertise without preference to country, be it from the West or from the Middle East or from any other country around the globe.  In time, through many travails, the issue of legacy started to nag at Mr. Shair more and more and he quite early on thought to prepare his business to survive him. He moved to restructure and give more independence to Dar Al-Handasah than it would make sense from his own financial perspective.  </p>
  
  <p>As an engineer it appealed to Mr. Shair to provide modern, safe and beautifully designed structures to his home region.  Being able to employ people gave him even more satisfaction.  But Mr. Shair's passion, it appeared to me, was mostly in history and philosophy of the region and it was being able to give back to his own community through his own literacy volunteering, building schools and then going on to accept the offer of going into Jordanian politics that truly crowned his efforts.</p>
  
  <p>For anyone interested in either Middle East or business  Out of the Middle East is an excellent read.  It will provide one with information on the Middle Eastern history and customs that might otherwise take at least 2 other good books to cover.  As far as the business development angle. It is a first hand story from Dar Al-Handasah original Founder and Chairman.  </p>
  
  <p>Interestingly, this might also be a good read for people who enjoy self-help genre.  We are inundated with the “How to” and “Success” titles focusing on quasi-psychological and behavioral characteristics such as positive thinking or positive attitude.  It might be worthwhile to compare that type of off the shelf advice with Out of the 
<a target="_blank" href="http://en.wikipedia.org/wiki/Middle_east">Middle East</a>
 story of Mr. Shair's success and how he set out to make it happen.  </p>
  
  <p>Out of the Middle East was published in the U.K. by I. B. Tauris, <a target="_blank" href="http://www.ibtauris.com/">Ibtauris</a> and is available in the States through Palgrave Macmillian, 
<a target="_blank" href="http://www.palgrave-usa.com">Palgrave USA</a>.
</p><a href="http://www.pheedo.com/click.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FInternational-Business-and-Trade%2FOut-of-the-Middle-East-The-Emergence-of-an-Arab-Global-Business.56681"><img src="http://www.pheedo.com/img.phdo?x=&u=http%3A%2F%2Fwww.bizcovering.com%2FInternational-Business-and-Trade%2FOut-of-the-Middle-East-The-Emergence-of-an-Arab-Global-Business.56681" border="0"/></a>]]></description>
<pubDate>Wed, 07 Nov 2007 09:53:26 PST</pubDate></item>
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