Conflict Management in Organisations Essay Example | Topics and Well Written Essays - 2500 words

Conflict Management in Organisations - Essay Example There are different levels of which conflict occur in organizations: within the individual (role conflict where, for example, the individual feels a clash between his role as an executive and parent); between two immediate individuals; between persons when they are working in a group or in teams; between different groups within organisations (out of rivalry arising out of variety of reasons like resource allocation, mergers); and finally between the organization and the society when there is a mismatch between organizational goals and societal goals (e.g. environment). Given this situation, it is in the interest of the organization to see that conflict does not harm or injure the organizational process in achieving its goals. With the individual differences, of people who comprise the organization, it will be a futile to think of developing a group which will be free of conflict with members completely aligned and harmonious. The issue would be as to how to manage conflict in an orga nization so that it actually benefits out of it. Experts see potential positive benefits to the organization when conflict is constructively managed, not avoided. It is even recommended that conflict is stimulated by a better group performance. What this paper is about: In this paper, the attempt is to understand the general nature of conflict how it arises and why and how it should be managed by organizations. In order to have some focus on this huge and highly researched topic, the paper confines itself only to issues relating to the topic of conflict and its management process in a group/teams and the role of group leadership in successfully managing conflict. Group effectiveness is one of the key determinants of success of an organization. Groups in organizations are very often formal (departments and divisions) but increasingly their working is seen to be informal, where there is a large delegation of responsibility and where the group is allowed to choose its process and task breakups. "The ability of groups to benefit from cognitive conflict (that is, differences in information, knowledge, and opinions) can be a critical source of competitive advantage."(Philips and Thomas-Hunt, p 37)

The Role of Information Systems to Support an Organization Essay

The Role of Information Systems to Support an Organization - Essay Example These management systems are also termed as collaboration systems. In the days of the past, collaboration among peers or colleagues was not as easy as it has been made by the aid of collaboration systems. The well-known quote â€Å"Two heads are better than one† can be used to define the concept of collaboration systems. It is a common practice in organizations for people to work together and this collaboration usually achieves better results than working in isolation. Pinnadyne (2009) stated that collaboration might involve the activity of generation of an idea, creation of a new concept or implementation of a common goal. Therefore it can be defined as the joint venture to achieve a common goal with a shared direction. Collaboration Systems have the following tools: Content management involves the process of storing information for retrieval by users whenever the need arises. Hartland (2009) explained that it facilitates the workflow of a group of peers or colleagues that would be involved in accessing or adding content in the repository. It can be considered as a collection of processes that provide management of the workflows involved in the system. There might be many users involved in the process of adding data to the repositories therefore there needs to be a mechanism to handle such activities. The data in the content management systems might be of different types for example, documents, video clips, images, personal information etc. Content management system in an enterprise is considered to be their vital asset nowadays as it gives a structured look to their unstructured data, while catering to all the diversity of formats that might exist in the data. Another critical aspect of content management is the ability to keep versions of data as it evolves. The version number is a well-known mechanism to keep track of old and new data. Some organizations do not value older versions of data but it also has a

Equal Pay for Women Research Paper Example | Topics and Well Written Essays - 3000 words

Equal Pay for Women - Research Paper Example There are different factors or causes of the pay gap between the two genders such as education, skills, discrimination, and experience. In this paper, we will discuss why the pay gap exists and how that pay gap affects the lives of women in our societies. Common Factors of Pay Gap Let us discuss some of the most common factors of pay gap in order to get a better understanding of the issue. Talent and Confidence Talent of women is one of the most influencing factors regarding the difference in the pay gap between men and women. In most of the societies, women are not considered equal to men. Women are considered less talented and less skilled as compared to men. It is really a misconception because talent and skills have no concern with the gender of a person. Many women in the history have performed exceptional roles in various fields of life. We can take examples of Annie Easley, Henrietta Swan Leavitt, and Rita Levi-Montalcini who marked their names in the list of most talented wom en scientists of the world. Therefore, we cannot say that skills and talent of women are less as compared to men in any field of life. Most of the employers do not prefer to hire women because they consider women less productive. Women also face sexual harassments and different kinds of discrimination during their jobs, which discourages them from going out to do some job. Such women usually do not have much confidence to report any incident related to harassment or wage discrimination to the higher authorities. The less confidence of women is one of the most critical elements behind the pay differences, which exists between men and women. Some employers think that women are not confident enough to face major challenges that occur during jobs. They think that male employees have more ability to face the challenges as compared to female employees and that is one of the reasons for why employers offer high wages to male employees and comparatively low wages to female employees. Employ ment Opportunities Another factor behind the pay differences is employment opportunities for men and women. Employers think that men usually have more employment opportunities and they can get alternate jobs easily whereas women do not have enough job opportunities So, the employers offer high wages to male employees in order to retain them. The governments of most of the countries are also responsible for creating such pay gaps between the two genders. It is the responsibility of the governments to provide equal employment opportunities to both men and women in order to reduce the pay differences. Governments need to understand the importance of work for women because in the present world, it is not easy for men to work alone in order to earn for their families. Women need to provide financial help to their husbands in order to run the cycle of life but when there will be less job opportunities and low pay scales for women; they will not be able to support their husbands in a prope r way. Therefore, governments should take steps to reduce the pay gaps that occur due to less employment opportunities for women. Pay Gap Due To Color The pay gap, which exists between the two genders, is significantly wider in case of women of color. â€Å"

Mip for Saint Maybe Essay Example for Free

Mip for Saint Maybe Essay â€Å"Ian had stopped rasping and ran a hand along the slat’s edge, trying to gauge the curve. All his years here, he had worked with straight lines. He had deliberately stayed away from the bow-back chairs and benches that required eye judgment, personal opinion. Now he was surprised at how these two shallow U shapes satisfied his palm. (347-348) 1. Context: This passages is found towards the end of the book in chapter 10,†Recovering from the Heart-of-Palm Flu† While making a crib for his soon to be child, Ian comes across this thought. This was around the time Ian and Rita had gotten married. It show how after Ian let and tried new things in his life that made him happier. Also this made him more open-minded as a person by seeing that there are more ways than just one to do things, and not being afraid of things that are different than what he is used to. Another interpretation is that Ian has been freed from his guilt and is now allowed to experience things, get on where his life left off so long ago. This is really the resolution of the internal conflict that Ian has been going through since the climax of the book at the start. He is now guilt free and able to enjoy life. This also really effects the kids, Thomas, Agatha, and Daphne, because they felt like they had ruined his life by having to raise him, and so they still felt like they owned him. Now they can feel content know that his life is moving forward. The Bedloe’s don’t have to carry their burdens and are all able to carry on now. 2. Significance: This connects to the essential questions and themes of Saint Maybe. Theme #2,† Redemption can only be achieved through forgiveness of oneself and others,† This shows that Ian forgave himself because he changed his life for the better. Had he not forgave himself he would still be using â€Å"straight lines†, or still be the same Ian who felt guilty about causing his brother’s death being cautious not using his â€Å"personal opinion†, and not being able to have â€Å"U shapes† or happiness with his life. So, in a sense, by being able to create what he did show that he has feels redeem, by being able to move on and try new things. This Passage also answers Essential Question #2, â€Å" Does forgiveness need to be earned or should it be given? † because it show how Ian had to work so hard to achieve the â€Å"satisfaction† of being set free from his guilt, or forgiven, for what he thought he did. Had he not tried he would have never been forgiven he would still lead a life of despair and depression and die not ever getting to enjoy his life. Another that can be answered is Essential Question #4,† Under certain circumstances do individuals deserve a second chance? †Cleary Ian need a second for what had happened. Ian blamed himself at first but since he tried so hard and changed what he is used to doing just for forgiveness he is entitled to a â€Å"second chance† a chance to live again and have a good outlook on life, to grow up. 3. Literary Devices: One literary device used in this passage is tone. The tone use here is happy and uplifting. This voice the author chose, by using worse like, â€Å"satisfied† and â€Å"surprised†, tells us he is now not the same depressed person that he once was and that he is content with where his life is now. He has stop dwelling on the past and changed for the better. Another literary device is used here is foreshadowing. It foreshadows that the rest of Ian life, and all the Bedloe’s lives, will not be plague with what had happened and will live normal lives. By being able to try new things such as the â€Å"U shapes† it shows that he has moved on and is able to try new things without the fear of making a mistake. In other words he is no longer a â€Å"saint maybe† and is a new man. This passage is really is symbolism for Ian’s forgiveness and him being able to move on. The â€Å"straight lines† symbolize Ian’s life before he forgave himself not able to put his own â€Å"†¦ judgment and personal opinion† in things because he felt guilty for what he did to his brother and was afraid to do anything like it again because he was so traumatized. After he forgave himself he was able to do the â€Å"bow-back chairs and benches† because he is able to use his opinions. He is able to do so because he is now a different person, a free (forgiven) man, able to do as he pleases, not able to doubt himself anymore. So the change in his style of wood working really displays the change in his life.

India during The Great Recession

India during The Great Recession India during the ‘Great Recession Introduction: Economists called the financial crisis of the 2007 2009 as the â€Å"Great Recession†, since it is a critical factor and vital cause for the failure of many businesses and significant influencer that has worsened many economies. After US busted out the housing bubble, this raised the rates of sub-prime and mortgage rates. India, the country which is fully an export driven economy like many other countries, the GDP of India mainly relies on domestic consumption. If a countrys GDP is based on domestic consumption, then how this financial tsunami did left vestige in India. The software industry, though not a prime deterministic factor for Indian economy, contributes notable financial transactions towards Indian economy. This brought flow of foreign funds in to the economy. The portfolio investments are visible in the Indian stock exchanges where foreign borrowings and FDI inflows remain less visible. When the global economies started decelerating, all these three factors bound t o decease, which caused an impact on Indias emerging economy. The following essay is presented in a macroeconomic perspective, when the period of growth alternated to a period of stagnation, how Indian economy faced the crisis and how government and Reserve Bank of India responded by taking various steps to handle the economic downturn. Effects in Indian Economy India, after a subsequent growth, experienced a decline in its economy due to the global economic downturn. Faced many uncertainties like stumbling industrial growth, reduced foreign exchange and diminishing rupee value. This economic instability gave a worst hit in Indian economic portfolio by acutely affecting Indian banks. Many public sector units and banks, who invested money into derivatives, were funded by Lehman Brothers Inc and Meryl Lynch Inc for the exposure in the derivatives market. As Lehman Brothers Inc dissolved, many companies including leading banks in India filed losses for few hundred million dollars. The impact of this huge financial crisis affected not only the financial markets primarily, but also the Indian IT industry, availability of global funds, and decrease in exports. Reduced Availability of Global Funds The availability of the global funds, which is accounted as one of the major driving force of the emerging economies like India, was considerably less. The initial stage experienced a rise in the interest rates and the equity prices were affected as the funds transformed into bonds. This less inflow didnt affect the GDP of the Indian economy, since it holds the larger share on its domestic household savings. Indian companies, which relied on the foreign funds for its trading activities, were allowed less access, which affected corporate profitability due to high interest rates, created large demand for the domestic fund access and peer supply pressure restricted from capacity increase. Effects in Indian Exports India faced a sudden decline in its exports during this economic crisis, as a piece of Indian economy is a sole dependent on exports. In October 2008, after 35% growth in the previous months, filed its decrease in exports calculated to 15%, and shipments decreased to 33.33%, recorded to be a largest drop ever. This drop affected many industrial sectors right from the manufacturing goods to jewellery exports. This fall in the exports which lead to many job losses estimated to be 1million and closure of many small units. Effects in Indian IT Industry As discussed above, one of the main tools to transact and access the flow of foreign funds is the Indian IT industry, which contributes significantly a mind share towards the Indian GDP. Indian IT companies are well accredited for its quality software and services, well stated to be a major employment opportunity creator. Since, India has abundant labor resources and plays a major service provider across the globe. Many foreign companies are attracted to the Indian IT companies for its software development and for its service outsourcings. The recent outsourcing boom into India from the foreign countries mainly from US left an impact in the in the IT industry, which is accounted to be a major player in employment and foreign exchange. Approximately 60% of the Indian IT sectors revenue is fully based only on the US suppliers. Around 30% of the industrys revenue is generated from the financial services companies from US. Indian companies were appreciated for its flexibility in work, Qu ality product deliveries and for its efficient services. As there were no intense partnering between Indian firms and major financial services, major share of the IT firms were saved from the impact of the recession. Even though, some Indian IT companies partnered with US financial companies like Lehman Brothers Inc and Meryl Lynch Inc affected a little. This slowdown in the US economy lead 70% of the firms to negotiate for lower rates with their suppliers and nearly 60% have cut back the contracts. The sudden fall in the US economy reduced the growth of Indian IT firms down by 2-3%. Now and then many new outsourcing opportunities were given to the Indian companies from the US firms, which involved in mergers and acquisitions, since the companies would look forward to reduce its selling, general and administrative costs through offshore developments. Even when some firms were affected a little in the economic downturn, however this crisis created equal opportunities in the outsourcing side of the IT industry. Effects in Indian Financial Industry The Indian financial market remained resilient, when the foreign institutional investors disappeared. As the impact of the economic crisis, the mental attitude of investors took a drift to withdraw from risky markets ended with substantial capital outflow that led to a liquidity crunch putting Indian stock market under huge pressure. Indian market continued to be healthier since its prime drive is through domestic consumption which includes productivity in agricultural sector, domestic infrastructure products and through small medium enterprises. Indian banks have gained the investors trust and have most of the deposits, since most of the banks are nationalized and the investments are protected by the Indian Government. Even though the domestic banking is secure as the nationalized banks remain the core of the system. This economic crisis created fragility as many banks invested the investments of US financial firms into the derivatives. Many other factors like decline in the foreign exchange reserves held by Reserve Bank of India, diminished value of rupee with respect to US dollar value, and decline in the share value of the stocks. Steps for the Recovery Efforts made by the Reserve Bank of India to stop the depreciating rupee value led to a proportionate fall in the foreign reserves value of India. The Indian economy experienced a high inflow of money in the form of capital investment. This decreased the value of rupee with dollar; India faced a large trade deficit and factor payments abroad such as debt repayment and profit repatriation. Along with this the stock market side also showed a decline after its steady increase during previous months. The government of India and the Reserve Bank of India started responding to this challenge by following various efforts and procedures in order to maintain a free flow position of rupee liquidity, maintain the foreign exchange liquidity and maintain it credit tracks through strict monetary policies to avoid inflationary pressures. But however, it changed its current approach towards the current scenario eased the monetary constraints by reducing the interest rates, reduced the quantum of bank reserves impounded by central bank and expanded with liberalization to refinance facilities for export credit. To manage the foreign exchange, the Reserve Bank of India made an upward adjustment on interest rate ceiling on the foreign deposits by non-resident Indians. Substantially relaxed the external commercial borrowings regime for corporate. It allowed access to foreign borrowing to non banking financial companies and housing companies. The Reserve Bank of India even took many unconventional measures to boost up the economy from the liquidity scenario. Many Indian banks were given a currency swap facility especially for Indian rupee and US dollar to fulfill the short term fund requirements. IT also supported many non banking financial organizations through an exclusive refinancing channel. Housing and exports were boosted to reach higher levels by enabling the lending resources even to small industries. In addition to the various efforts of the Reserve Bank of India, the Central Government of India constituted the Fiscal Responsibility and Budget Management Act to make the fiscal sustainable in the global economic crisis. The emergency act by the government of India seeks a relaxation from the fiscal targets. Two fiscal acts were launched. Both the fiscal acts valued around 3% of the GDP, which included agricultural farmer loan waiver, infrastructure investments, additional coverage for SMEs and public spending. These fiscals were injected to stimulate demand. As the result the amount accounting to 7% of the GDP made available in the financial system. India is witnessing a mixed result of growth prospects in this economic downturn. The services sector which accounts for the 57% of the Indias GDP and has been the prime growth engine in the last five years is slowing mainly in the construction, transport, communication, trade, hotels and restaurants. Indias exports which account for 15% of the economy grew 3.4% to 168.7 billion in the fiscal year ended march 3108, missing a target of 200 billion set by the government. Corporate margins were down due to the high input costs and the weakened demand. Business confidence had been affected due to the uncertainty in the economic condition. India certainly had some advantages in this financial crisis. The inflation fell sharply, faster than expected, which is measured by the wholesale price index. Thus the fall in inflation should revive consumer demand and reduce costs for the corporate. Fiscal prices will open up the spending on the infrastructure developments as the decline in the global crude oil and naphtha prices will reduce the amount of subsidy given to the oil and fertilizer companies. Imports are expected to shrink more than the exports, to keep the current account deficits at some modest levels. The banking system in India with its well capitalized and prudently regulated measures, helped to sustain the financial market stability to a larger extent. Gaining confidence from the foreign investors on Indian economy is an additional plus, due to the comfortable levels of foreign reserves. The negative impact of the wealth loss effect in the capital markets that have plagued the developed countries will not affect India because majority of Indians have bordered themselves away from assets and equity markets. Credit for agriculture will also remain unaffected because of Indias mandated priority sector lending. The farm waiver package from the government acts as an additional insulation to the agricultural sector. Indias several social safety and awareness programs e.g. the rural employment guarantee program, will protect the poor and migrants from ill effects of global crisis. Conclusion Thus the global financial crisis made a hit in the Indian economy. After severe uncertainties in various sectors such as IT industry in India, Financial market in India, Non availability of global funds and impact in the export business have given broader outlook to the impact of the global financial crisis, starting from US and how it had en route to India. All the fields were discussed with several insights on how the various industries have been affected by this economic downturn, some had opportunities to grow and some were flattened, since the Indian economy is one of the emerging economies in the world, which recorded to be the least affected by this economic crunch. Even government faced a wide range a problems during this credit crunch. The Indian Government and The Reserve Bank of India, worked collaboratively with consultation and coordination, after initiating and implementing various processes, rules and acts, kept this huge economic problem under control. Thus the global economic crisis is inevitable till the economy of the developed, developing countries become stable and self sustainable. The effects of the economic downturn are a test to check the financial stabilities in market and regulations across the global economy.

Fear and Loathing in the Creative Process :: essays papers

Fear and Loathing in the Creative Process A student at Illinois Wesleyan University recently confessed to holding a morbid fear of parked cars. He said, â€Å"I’m terribly afraid one of them will roll right over me† (Hamel). The actual odds of a parked car suddenly rolling over him are extremely slim; however, that does not alleviate his fears. It takes this poor boy a great amount of personal will power just to walk across a street where there are parked cars. As senseless as a fear of parked cars may be, people constantly allow their lives to be manipulated through fears. Political figures fret for days, sometimes weeks, over the wording of a tiny passage from their acceptance speech; poets spend decades of their lives search for that one word to give an infinite amount of meaning to a poem no one will ever read; and authors hold back some of their most inventive creations due to fear of public response. The key is that people must be willing to set aside public opinion and write of the things in their hearts. Into the Waste Land In 1922, T. S. Eliot published a poem that sent critics into a fury. Attacking everything from structure to meaning, the public response was a far cry from good. However, this poem went on to become regarded as the most influential English poem of the twentieth century. The poem was entitled â€Å"The Waste Land†. Eliot was not without reservation in writing his poem, however. When first written, he was so displeased with the result that he scrapped the bulk of the poem. It wasn’t until several years later, not to mention several drafts later, that he was content enough to publish (Eliot, 35). How would modern poetry be different had Eliot not released â€Å"The Waste Land†? What would poets today be writing if Eliot had let his fears of public rejection persuade him not publish? It is not as if Eliot couldn’t have known how his poem would be received. A variation upon a theme is accepted; total rewriting of the theme is not. Eliot did what few writers are ever able to, namely, publishing a piece that was radically different from anything the world had ever seen. Despite initial criticism, people soon saw the work as more than a failure; they began to see it as the beginning of a new poetic era. Fear and Loathing in the Creative Process :: essays papers Fear and Loathing in the Creative Process A student at Illinois Wesleyan University recently confessed to holding a morbid fear of parked cars. He said, â€Å"I’m terribly afraid one of them will roll right over me† (Hamel). The actual odds of a parked car suddenly rolling over him are extremely slim; however, that does not alleviate his fears. It takes this poor boy a great amount of personal will power just to walk across a street where there are parked cars. As senseless as a fear of parked cars may be, people constantly allow their lives to be manipulated through fears. Political figures fret for days, sometimes weeks, over the wording of a tiny passage from their acceptance speech; poets spend decades of their lives search for that one word to give an infinite amount of meaning to a poem no one will ever read; and authors hold back some of their most inventive creations due to fear of public response. The key is that people must be willing to set aside public opinion and write of the things in their hearts. Into the Waste Land In 1922, T. S. Eliot published a poem that sent critics into a fury. Attacking everything from structure to meaning, the public response was a far cry from good. However, this poem went on to become regarded as the most influential English poem of the twentieth century. The poem was entitled â€Å"The Waste Land†. Eliot was not without reservation in writing his poem, however. When first written, he was so displeased with the result that he scrapped the bulk of the poem. It wasn’t until several years later, not to mention several drafts later, that he was content enough to publish (Eliot, 35). How would modern poetry be different had Eliot not released â€Å"The Waste Land†? What would poets today be writing if Eliot had let his fears of public rejection persuade him not publish? It is not as if Eliot couldn’t have known how his poem would be received. A variation upon a theme is accepted; total rewriting of the theme is not. Eliot did what few writers are ever able to, namely, publishing a piece that was radically different from anything the world had ever seen. Despite initial criticism, people soon saw the work as more than a failure; they began to see it as the beginning of a new poetic era.

CEO and Head of the Audit Committee of the Board of Directors Essay

This memo is in response to your request concerning how to establish the appropriate tone. The purposes of this memo are, first, to explain the meaning and significance of evaluating control environment; second, to discuss the integrity and ethical values; third, to show the organizational structure; fourth, the importance of establishing commitment to competence; finally, to establish and segregate the division of responsibilities of finance and accounting department in order to establish the appropriate tone. Control Environment Control environment is the step engaged by a company to prevent fraud; both misappropriation of assets and fraudulent financial reporting. It has an equal role in assuring control over manufacturing and other processes. As a result of fraudulent financial reporting, the objective of accounting company is to study the causal factors that are associated with fraudulent reporting and to make recommendation to reduce its incidence. COSO emphasizes that internal control is a process to an end, and not an end in and of itself. The process is effected by individuals, not merely policy manuals, documents, and forms. By including the concept of reasonable assurance which recognizes that the cost of a company’s internal control should not exceed the benefits expected to be obtained. The control environment sets the tone of the company by influencing the control awareness of individual. It may be viewed as the foundation for the other components of internal control. The effectiveness of internal control depends on the integrity and ethical values of the personnel who are responsible for creating, administrating, and monitoring controls. Integrity and Ethical Values Integrity and ethical values are very importan... ...cide what skills are required to appropriately perform job responsibilities. Second, it must staff those jobs with individuals who have the needed skills. Trade-offs can be made in fulfilling these step, such as placing a less experience person in a demanding job and providing that person with extra supervision. Develop a matrix management in other to share authority. Delegate authorities in other to accomplish the organization’s goals, and make sure that people who are making decisions understand that they will be responsible. Works Cited Auditing & Assurances Services by Messier 9th edition 2 (COSO Internal control Framework, Executive Summary) 3 http://www.isaca.org/Journal/Past-Issues/2009/Volume-3/Pages/Tone-at-the-Top-Is-Vital1.aspx 4 http://www.coso.org/documents/990025P_Executive_Summary_final_may20_e.pdf 5 www.journalofaccountancy.com †º May 2004‎

Catholic and Jewish Rituals Stemming from Sacred Texts

In the last few thousand years, various religions have made the choice to record their various stories and teachings, to eliminate the â€Å"Chinese Whispers† effect that alters the details of these important themes. These writings are often utilised by those who follow the religion as a reference point to base their rituals on. The monotheistic religions of Christianity, more specifically Catholicism, and Judaism are both largely founded in their respective sacred texts and rely on these as a story to live by that guides and directs them through their ritualistic lives.Some rituals comprised from elements in religious texts are the community worship, a day of rest and the use of bread as a spiritual symbol. The form of community worship used by Catholics is the mass. Traditionally, it occurs on Sunday morning, and it attended by the Catholics of the community (The Catholic Archdiocese of Perth, 2008). However, in more modern times, it is only the more devoted worshippers that regularly attend mass at a cathedral/church/chapel. Within the mass are many rituals comprised from bible stories, such as the reciting of the Our Father.It is in the bible when Jesus is asked how to pray by his disciples, Luke 11: 1-13 (The Catholic Youth Bible, 2004). It was here that the Messiah first prayed the most well known Catholic prayer, which is used routinely by not only Catholics, but all of Christianity. The recording of this incidence in the scared text provides a reference point for the ritual of prayer in Catholicism. Jewish peoples attend the Synogogue, where they also pray as a community. This community is split, men and women must worship separately, as combining the two genders will cause a distraction and reduce the focus the individuals may place on their prayer (Chabad. rg, 2012. During the time that is spent in the Synagogue, ritual dictates that the Torah is read at various points throughout. The Torah is made up of the five books of Moses, as it is said t hat on Mount Sinai, God tells him what to record. Among these books, are the 613 commandments. The most famous of these are referred to by the Jewish people as the 10 Statements (BBC, 2009), while Catholics name them as the 10 Commandments, as they place less importance on the other 603 than the Jewish people do.The day of rest used by Catholics originated in the book of Genesis, where it is stated that God rested on the seventh day and sanctified it (Genesis 2:2) (The Catholic Youth Bible, 2004). In present times this has been adapted to the expression, â€Å"Even God rested on the seventh day,† reinforcing the theory that this ritual of rest is still observed in modern times even by those who do not follow the religion. This day of rest is called the Sabbath and happens every Sunday. Catholics take this to mean that if even God had to rest on the seventh day, so should they.Those in Judaism also have the day of rest for the same reason, thought the scripture reference diffe rs though they call it the Shabbat and it happens from Friday at sundown to Saturday at sundown. During this time, they must fast and everyday chores and work are not executed (Judaism 101, 2011). Despite both rituals both being derived from the same text, they have branched throughout time to form the state they are both currently in, thanks to the numerous influences that have been placed on each. While, in one sense it could be said these originated from the same ‘book’, this is incorrect.Both of this sacred days began due to the direction God gave in the creation story, however, the two religions have significant difference in their sacred texts. From a Catholic perspective the story begins in Genesis 2: 1-3 (The Catholic Youth Bible, 2004), though a Jewish person would it is in Bereshit 2: 1-3. These are the same stories, being told under different names – Bereshit being one of five books of the Jewish Torah (Volker Doorman, 2008) and Genesis being one of si xty-six books in the Catholic Bible.In Catholicism, bread is used in the Eucharist in memory of the Last Supper (Luke 22: 1-23) (The Catholic Youth Bible, 2004), when Jesus gave the bread of his body and wine of his blood to his apostles to symbolise giving himself to them, as he would be the next day when he was crucified. This meal was made immortal in the painting by Leonardo Da Vinci, which is known to most of the Western World. The current significance of this painting commemorates the importance of that night to Catholic peoples.However, the bread is used on Judaism for an entirely different reason, during the Passover/Pesach (Exodus 12/ Sh’mot 12). During this time, they may not eat anything leavened, as is set out in Leviticus 23:5 (The Catholic Youth Bible, 2004). The unleavened bread, which is usually braided to form a pattern in the bread, is the only bread that they are allowed to consumed in this time. The Passover meal has enormous significance to the Jewish and Christian peoples, it marks the time that the ancient Israelites were freed from slavery in Egypt by the 10 plagues sent by God.The most well known of these plagues was one that killed the first-born of the Egyptian families. The name comes from the presence of the lamb’s blood on the door, which alerted the spirit that it was not an Egyptian inside, but an Israelite – therefore it must ‘pass over’ that dwelling (Historic Jesus). The various aforementioned rituals, comprised from elements in religious texts are community worship, a day or rest and the use of bread as a spiritual symbol.They are all used by the monotheistic religions of Christianity, more specifically Catholicism, and Judaism – founded in their respective sacred texts and partially reliant on these stories as a guide and to provide direction to them through their ritualistic lives. Without the sacred texts, these religions would lack the structured way that they now operate and the true meaning of the stories would be lost among the many different tales.

A year had departed since that fatal day

Everyday I pathologically relived those agonizing memories every detail had been scrutinized while sat in this chair being handed chipped mugs of luke warm instant coffee in return for reassurance that I was still present in this empty and hollow world. I never responded; there was no point, but they gained their reassurance from my deep laboured breathing and went away content. I'd never enlightened anyone as to my thoughts, my inner most feelings; I had no one to trust. How could I trust them they held out their hand and pulled me back from that cliff top, the only place I felt comfortable. They said they would help me. Instead they gave me a room full of memories; an environment where my goal was unattainable, and concluded for themselves a reason â€Å"why† based on half truths and other peoples opinions. â€Å"He can't cope, poor chap† was a common phrase for gods sake I wasn't coping, I was planning. They had people come to sit with me on a Tuesday. All kinds of people: young, old, professional, dole fraudsters, priests. Sometimes a familiar person would come and sit beside me who'd talk at me and I wouldn't force myself to listen. Sometimes my ears would pick up as they talked about people who I'd known and things I'd done. I couldn't remember them but they made sense. I never acknowledged them and they left soon after, shaking their heads and having a conference in the corridor at my expense. I only trusted one person, and she was unreachable. This day had felt different from the outset; something had unbalanced my routine and my usual blueprint of thought. I awoke a little earlier and glared around my room, my cage. This was not my home; it was a prison for my thoughts. I ambled my way to the lounge; it was an unsettling place, not pleasant like my lounge at home. Our lounge at home. Our home that was. Instead it was a mild form of hell. I regained my territorial seat near the window and blocked out all the bawls and whimpers from my surroundings and stared aimlessly out onto the main road. It was morning rush hour and as my eyes filled and discharged, the lights of this dreary winter morning mingled from one colour to another. I saw the box of tissues resting on the sideboard, their miserable attempt at making this unfamiliar room more homely, but I didn't reach for them. I could have looked round to see what was going on, but I knew. I heard the cries, the crashes, the screams of restraint and the eerie silence that followed. I knew that it was soon to be accompanied by the sound of glass being swept, the tinkling like a wind chime blowing softly in the humid Barbados breeze of my honeymoon. Our honeymoon. Sat on the beach sipping cocktails and each night making passionate love in the most luxurious apartment in town. It was a happy thought I know but instead it drew a tear. I stepped back into my world. Each day was identical. But not this day, today was a year since that horrendous day. The day I repeat in my head over and over, that I couldn't escape from if I wanted to. But I didn't want to, I didn't want to escape from it, for escaping would be forgetting and I couldn't lose the pressures memories we had. Memories were all I have now. Nobody knew why I sat here looking at this road. Just as well because if they did they wouldn't allow it. It was a constant reminder. Most days I would see the same white Astra with the same dinted bonnet and cracked bumper, pass over the same spot it did a year ago today. Some days it would be late but it would nearly always be there. Sometimes I would see it on an evening, the new haphazardly applied â€Å"Kill Your Speed† sticker strategically on the rear bumper. It would always slow for the crossing. The driver always slowed for the crossing, but he hadn't one day. Maybe one was enough for him. Maybe he knew next time he wouldn't get off so lightly. They let me out, but I didn't want to go. â€Å"The door is open,† they said, sure it was open but I wasn't going to pass through it. I could see the world from the 4th story lounge the windows were sealed shut. Shame, it would have been quick and painless, but not part of the plan. It was 9am; she would have been on her way to work now. I would normally give her a lift, but not that day. That day she wanted to walk. A final goodbye kiss accompanied by a waving hand as she disappeared round the corner, the distinctive clicking of her heals disappearing. My house was just around the corner from here. Our house. Not anymore. My things had been put into storage and my landscaped garden has been bulldozed for a square of low maintenance turf. It was nearly time to meet her. I got up from my seat and wandered to my room. I rummaged round my bedside draw until I found my key. It glinted in the light like a precious jewel. Some would say it looked sinister, but it was the only way I could join her, and I had made a promise so I had to keep it. I walked out of the room; out of the door and down the four flights of steps to the ground. There was no need to rush, by the time they had noticed, I'd have crossed over. I walked out of the suburbs until the houses thinned and the city life died away behind me. I passed under the neatly trimmed fern archway and into the grassy pastures where I knew I would find her. I'd only been here once before but I knew my way. When I reached where she lived now, I sat down. The ground was cold. I put my hand in my pocket and reached for my key. I watched with intent as I ran the cold metal down the un-weathered skin of my inner left arm. It tingled slightly. I placed the key back in my pocket and lay down, my left arm on the concrete. I closed my eyes and remembered how it had happened; as I waited for the ice to thaw on the car windows I heard the screech of the brakes and the heart wrenching scream. I remembered how I had dropped the ice scraper and run along the snow dusted path to the crossing. I remembered how I had looked for her as I ran calling her name louder with each step. I remembered seeing the windscreen of a white Astra smeared with red blood, and now in front if it she had lay there helplessly. No one had tried to help. I remembered how I had flopped to my knees and gazed into her eyes as she breathed slower and slower. How the sirens wailed in the background. How I had scooped her head in my arms, her long hair that had been so smartly and expertly tied into a tight bun bound with a red ribbon – ruffled. Her designer jacket that I had bought her for Christmas – ripped. I remember how she gazed back and pulled my head closer to hers and whispered â€Å"I'm not going to make it, am I?† I remembered how I had croaked back the tears and told her â€Å"Wherever you go, I go. I can't live without you† She smiled back at me, a tear rolled down her face and she whispered, â€Å"I don't want to leave you. God please don't let me†¦.† She gasped for breath but breath didn't come. She held me tight, looked at me as another tear rolled down her cheek and was accompanied by two of mine. â€Å"I love you. I'll be with you soon† I had said. S he nodded and closed her eyes. Her arms relaxed and fell from around me. I had ran back to the house, fumbled at the lock with my frozen blood stained hands and grabbed the knife from the drawer. I had ran back to where she was. I can't have been longer then thirty seconds but by the time I got there all that was left was a pool of blood. An ambulance wailed down the street, taking her away from me. The knife had already cut into my wrist and that's when they pulled me back, that kind faced policeman had robbed me of fulfilling my pact and my promise. I opened my eyes I was here now. I felt weak as the blood poured from my left arm onto the cold gravestone. I looked at her name and the faded flowers that her parents had painted onto the headstone. My eyes felt heavy but as my life flowed out onto her final resting place, the closest I could be to her, I could see her walking towards me. Her hair expertly tied in a tight bun bound with a red ribbon. The designer jacket I had bought her for Christmas. She reached out a hand and pulled me up. I took one last look back at myself, and followed her.

Difference between women now and centuries ago Essay

Women are important asset in one’s life even if you are living in the 1800’s, 1900’s or nowadays. The difference between women living years ago and now might varies, such as cultural, social, and fashionable differences. Have you ever wondered what women’s role in life was? Well this depends on the perspective of the person whether a male or a female, it also depends on the time zone. At various time throughout history, working women were viewed as cruel and not devoted to help their children and family. This is wrong; women should develop, gain rights, and become more independent because ignorance kills the identity of a person. What’s the difference between women’s life nowadays and before? Men considered women in ancient societies to be only wives who cook, and take care of their house and children; on the other hand nowadays men look at women as a respectful hard worker and an important asset to our society. Examples of change, women in ancient societies were forbidden to vote. Yet, a brave woman Lydia Taft was courageous enough to be the first women who breaks the rule and vote , after this courageous act New Zealand decided to allow women to vote , since then women made a great change and made their rights approximately equal. Women in the earlier centuries were not allowed to be sociable, they were not allowed to walk on the streets alone or even travel alone, and on the other hand women recently are free to do whatever they like. Even marriage has different aspects many years ago women didn’t have a choice who to marry or to see his face. Marriage took place through tribal processes and father’s decision, but Nowadays women might marry without even caring what her parent’ point of view. This gave the freedom of choice, and by this way less family divorces will occur. Job opportunities for women differ from back then and now. What comes in mind when someone first asks you what is the gender of an engineer instantly what comes in mind is a man. Nowadays this all changed women have many unlimited opportunities in jobs. They can get paid sometimes more than men, they can now run companies, and unlike many years ago their best job is to be teachers. Another aspect is their clothing. Women were extremely cautious when it comes to what to wear. Back then it was rude to wear like nowadays small skirts, Shorts that show thighs, and much more. Education plays an important role to portray how women nowadays differ than women lived centuries ago. Education back then was only offered to men, this lead huge inequality between sexes. This made illiteracy rate high and affect the society negatively making only one brain in the family working rather than two brains. Education is the core of life. Nowadays education is a must and societies are in a good shape due to both sexes educated. Due to the publisher Cox, Matthews & Associates, Inc., from a journal of an unknown author, his point of view stands with that education for women is a vital role that has high opportunities unlike women that didn’t get educated centuries ago. â€Å"Many of us here at Diverse have been privileged to meet dynamic women in the world of higher education and beyond. They lead some of the most demanding and consequential organizations and programs on the planet. No longer sitting on the decision-making sidelines, they have shattered the glass ceiling and, subsequently, have introduced new ways of thinking about and approaching leadership.† Women that are recognized and entered history books will always be praised and remembered as heroes; unlike women living centuries ago that are illiterate. Example from Belle S.Wheelan , president of the accrediting body since 2005, it also means â€Å"Students Are Central to Success,† a fitting description for what motivates her on the job. Wheelan is the first African American and the first woman to lead SACS.† Women struggled a lot in the earlier centuries, but as time passes everything changes. Women achieved a lot and made it into the highest rank in over society. A wise man once said â€Å"Every brave warrior was once a defenseless baby and every building was once a picture it’s not about where you are today but where you’ll reach tomorrow†. Reference: 25 WOMEN MAKING A DIFFERENCE. (2012). Diverse Issues in Higher Education, 29(2), 10-15. Retrieved from http://search.proquest.com/docview/928543490?accountid=8555

Hamlet Gray or Dorian Hamlet

Throughout the play Hamlet we see the themes of obsession and good vs. evil, Hamlet struggles with his inner demons until his tragic and untimely death. In the novel The Picture of Dorian Gray we meet a character that is very similar to Hamlet in his continuous struggles with his good vs. evil persona and obsession with youth. Many character is Oscar Wilde’s, Dorian Gray represent those of Hamlet. Both Dorian Gray and Hamlet who have love interest that both happen to die in the midst of Hamlet and Gray’s battle within them selves. All though not all characters are represented you see a pattern with the minor character that help show the tragic hero’s true intentions. Both Hamlet and Dorian Gray struggle with obsession through their lives. While Hamlet’s is more of an obsession with avenging his father’s death while Dorian Gray obsesses over youth and beauty. Hamlet is obviously the more likable character but is makes you wonder how did Oscar Wilde m ake his audience able relate to Dorian, a greedy, evil and selfish human being?Although Hamlet had a peculiar way of showing his love and devotion to his father the reader can still understand why he would seek revenge and obsess over his death, Shakespeare show’s us Hamlet’s true intentions with his famous and lengthy soliloquys. Dorian Gray’s entire philosophy is based off selfishness. Hamlet, unlike Dorian feels guilt for is crimes until the death of Claudius while Dorian Gray puts himself in a false sense of security, while his conscience often thinks about repenting he slowly falls deeper and deeper into evil with the help of The Yellow Book and Lord Henry.Good vs. Evil is large contrast in both novels; both characters suffer with their Evil side but only Hamlet makes an attempt to redeem himself. Towards the end of his life Hamlet attempts to apologize for the deaths of Laertes father and sister, Ophelia and Polonius, He is even upset about the death of La ertes whom he didn’t mean to kill. Dorian Gray on the other hand hardly mourns for the death of his ex-fiancà © Sybil, and take’s great relief in the  deaths of James, Sybil’s brother who comes to avenge her death, his admirer Basil and former friend Alan.While he tries to hide his hypocrisy by constantly false repenting his portrait continues to grow in horror and eventually shows the transformation of what an evil soul he has become. Hamlet, the tragic character who finally realizes toward the end of the play all the pain and suffering he has caused apologizes, dying and noble and honorable death. Dorian Gray on the other hand dies by his own hand, killing himself by stabbing, a death that is neither honorable nor noble.Although the reader could see that Dorian Gray’s last action before death is his way of showing guilt. He can no longer stand the stain on his empty and black soul and kill’s himself, finally showing the true Dorian Gray. Doria n and Hamlet both resemble the obsessive and even murderous side but where they differ is that Hamlet has a conscious unlike his counterpart, Dorian Gray

The History of the Snowmaking Machine

The History of the Snowmaking Machine By definition, snow is crystallized ice particles that have the physical integrity and the strength to maintain their shape.† It’s normally created by Mother Nature, but when Mother Nature doesn’t deliver and commercial ski resorts or movie makers need snow, thats when snowmaking machines step in. The First Machine-Made Snow Manmade snow started out as an accident. A low-temperature laboratory in Canada was studying the effects of  rime icing on the intake of a jet engine in the 1940s. Lead by Dr. Ray Ringer, the researchers were spraying water into the air just before the engine intake in a wind tunnel, trying to reproduce natural conditions.  They didn’t create any rime ice, but they did make snow. They had to repeatedly shut down the engine and the wind tunnel to shovel it out. Attempts to commercialize a snowmaking machine began with Wayne Pierce, who was in the ski manufacturing business in the 1940s,  along with partners Art Hunt and Dave Richey. Together, they  formed the Tey Manufacturing Company of Milford, Connecticut in 1947 and sold a new ski design. But in 1949, Mother Nature got stingy and the company was hit hard by a slump in ski sales due to a dry, snowless winter. Wayne Pierce came up with a solution on March 14, 1950.  I know how to make snow! he announced when he  arrived at work on that March morning. He had the idea that if you could blow droplets of water through freezing air, the water would turn into frozen hexagonal crystals or snowflakes. Using a paint spray compressor, a nozzle and some garden hose, Pierce and his partners created a machine that made snow. The company was granted a basic-process patent in 1954 and installed a few of their snowmaking machines, but they didn’t take their snowmaking business very far. Maybe they were more interested in skis than in something to ski on. The three partners sold their company and  the snowmaking machines patent rights to the Emhart Corporation in 1956. It was Joe and Phil Tropeano, owners of the Larchmont Irrigation Company in Boston,  who bought the Tey patent and began making and developing their own snowmaking equipment from Pierces design. And as the idea of making snow started catching on, Larchmont and the Tropeano brothers began suing other makers of snowmaking equipment. The Tey patent was contested in court and overthrown on the basis that the Canadian research led by Dr. Ray Ringer predated the patent granted to Wayne Pierce. A Flurry of Patents In 1958, Alden Hanson would file a patent for a new type of snowmaking machine called the fan snowmaker. The earlier Tey patent was a compressed air-and-water machine and had its drawbacks, which included loud noise and energy demands. The hoses would also occasionally freeze up and it wasn’t unheard for the lines to blow apart. Hanson designed a snowmaking machine using a fan, particulate water and the optional use of a nucleating agent such as particles of dirt. He was granted a patent for his machine in 1961 and is considered the  pioneering model for all fan snowmaking machines today.   In 1969, a trio of inventors from Lamont Labs at Columbia University named Erikson, Wollin and Zaunier filed a patent for yet another snowmaking machine. Known as the Wollin patent, it was for a specially developed rotating fan blade that was impacted with water from the rear, resulting in mechanically atomized water leaving the front. As the water froze, it became snow. The inventors went on to create Snow Machines International, manufacturers of the snowmaking machine based on this Wollin patent. They promptly signed licensing agreements with the Hanson patent holder  to prevent an  infringement dispute with that  patent.  As part of the licensing agreement, SMI was subject to inspection by a Hanson representative.   In 1974, a patent was filed for the Boyne Snowmaker, a ducted fan which isolated the nucleator to the outside of the duct and away from the bulk water nozzles. The nozzles were positioned above the centerline and on the downstream edge of the duct. SMI was the licensed manufacturer of the Boyne Snowmaker. in 1978, Bill Riskey and Jim VanderKelen filed a patent for a machine that would come to be known as the Lake Michigan nucleator. It surrounded the existing nucleator with a water jacket. The Lake Michigan nucleator exhibited none of the freezing problems that earlier fan snowmakers sometimes suffered from. VanderKelen received a patent for his Silent Storm Snowmaker, a multiple speed fan with a new style propeller blade, in 1992.

Draft Corporate It Strategies in the Global Business Environment (1) Essay Example

Draft Corporate It Strategies in the Global Business Environment (1) Essay Example Draft Corporate It Strategies in the Global Business Environment (1) Essay Draft Corporate It Strategies in the Global Business Environment (1) Essay Technology In The Global Environment Topic: Corporate IT Strategies in the Global Business Environment Professor: Dr. Ata Doven * Globalization * Competitive Environment * Developing a Global Strategy * Toyota Global IT Strategy * Sanwa Bank and Citigroup IT Strategy Multinational enterprises (MNEs) are the key drivers of globalization, as they foster increased economic interdependence among national markets. The ultimate test to assess whether these MNEs are global themselves is their actual penetration level of markets across the globe, especially in the broad ‘triad’ markets of NAFTA, the European Union and Asia. Yet, data on the activities of the 500 largest MNEs reveal that very few are successful globally. For 320 of the 380 firms for which geographic sales data are available, an average of 80. 3%of total sales are in their home region of the triad. This means that many of the worlds largest firms are not global but regionally based, in terms of breadth and depth of market coverage. Globalization, in terms of a balanced geographic distribution of sales across the triad, thus reflects a special, and rather unusual, outcome of doing international business (IB). The regional concentration of sales has important implications for various strands of mainstream IB research, as well as for the broader managerial debate on the design of optimal strategies and governance structures for MNEs. GLOBALIZATION: Globalization refers to the process of integration across societies and economies. The phenomenon encompasses the flow of products, services, labor, finance, information, and ideas moving across national borders. The frequency and intensity of the flows relate to the upward or downward direction of globalization as a trend. There is a popular notion that there has been an increase of globalization since the early 1980s. However, a comparison of the period between 1870 and 1914 to the post-World War II era indicates a greater degree of globalization in the earlier part of the century than the latter half. This is true in regards to international trade growth and capital flows, as well as migration of people to America. If a perspective starts after 1945- at the start of the Cold War- globalization is a growing trend with a predominance of global economic integration that leads to greater interdependence among nations. Between 1990 and 2001, total output of export and import of goods as a proportion of GDP rose from 32. 3 percent to 37. 9 percent in developed countries and 33. 8 percent to 48. 9 percent for low- to middle-income countries. From 1990 to 2003, international trade export rose by $3. 4 to $7. 3 trillion. RATIONALE A primary economic rationale for globalization is reducing barriers to trade for the enrichment of all societies. The greater good would be served by leveraging comparative advantages for production and trade that are impeded by regulatory barriers between sovereignty entities. In other words, the betterment of societies through free trade for everyone is possible as long as each one has the freedom to produce with a comparative advantage and engage in exchanges with others. This economic rationale for global integration depends on supporting factors to facilitate the process. The factors include advances in transportation, communication, and technology to provide the necessary conduits for global economic integration. While these factors are necessary, they are not sufficient. Collaboration with political will through international relations is required to leverage the potential of the supporting factors. HISTORICAL BACKGROUND Globalization from 1870 to 1914 came to an end with the World War I as various countries pursued isolationism and protectionism agendas through various treaties- the Treaty of Brest-Litovsk (1918), the Treaty of Versailles (1918), the Treaty of St. Germain (1919), and the Treaty of Trianon (1920). U. S. trade policies- the Tariff acts of 1921, 1922, 1924, 1926, and the Smooth Hawley Tariffs of 1930- raised barriers to trade. These events contributed to the implosion of globalization for more than forty years. Toward the end of World War II, forty-four countries met in an effort to re-establish international trade. The milestone is referred to as Bretton Woods, named after the New Hampshire country inn where the meeting was held. Results of Bretton Woods included the creation of the International Monetary Fund (IMF), the World Bank, and subsequently, the General Agreements on Tariffs and Trade (GATT). In 1948 the International Trade Organization (ITO) was established as an agency of the United Nations, with fifty member countries and the Havana Charter to facilitate international trade but it failed. As a result, GATT rose to fill the void as a channel for multilateral trade negotiations and recognition of Most Favored Nation status that applied the same trading conditions between members that applied to other trading partners with most favored partner standing. GATT involved a number of different multilateral rounds of trade negotiations to reduce trade barriers and facilitate international trade. In the first round, the twenty-three founding members of GATT agreed to 45,000 tariff concessions affecting 20 percent of international trade worth $10 billion. Many of GATTs trade rules were drawn from the ITO charter. Subsequent trade rounds involved more members and additional issues, but the basic foundation of GATT remained the same. In the second round, the Kennedy Round of the mid-1960s, the focus continued with tariff reductions. In the third round, the Tokyo Round (1973–1979), 102 countries participated to reform the trading system, resulting in tariff on manufactured products reduced to 4. 7 percent from a high of 40 percent at the inception of GATT. Important issues revolved around anti-dumping measures, and subsidies and countervailing measures. The reduction of trade barriers enabled about an average of 8 percent growth of world trade per year in the 1950s and 1960s. In the fourth round, the Uruguay Round (1986 to 1993), 125 countries participated to develop a more comprehensive system. On April 15, 1995, in Marrakesh, Morocco, a deal was signed to create the World Trade Organization (WTO), which replaced GATT with a permanent institution that required a full and permanent commitment. The WTO encompasses trade in goods, services, and intellectual property related to trade with a more efficient dispute settlement system. COMPLEXITIES AND CONTROVERSIES: The increase of globalization surfaced many complex and controversial issues as economies and societies became more interdependent with greater frequency of interactions between one another. A number of important trends make up globalization including: (1) location of integration activities; (2) impact upon poorer societies; (3) flow of capital; (4) migration of labor and work; (5) diffusion of technology; (6) sustainability of the natural environment; (7) reconfiguration of cultural dynamics; and (8) development of organizational strategies for global competition. Expansion of MNCs in the 1990s encompassed highly skilled workers, service work, and global virtual teams. Firms started to outsource information technology (IT) functions as early as the 1970s, but a major wave of outsourcing started in 1989 with the shortage of skilled IT workers in developed countries. At the same time, the trend of shifting work around the globe to leverage the different time zones began with the financial industrys ability to shift trading between the various stock exchanges in New York, Tokyo, and Hong Kong, and London. Technological innovations in computers and the internet enabled other industries, such as software engineering, data transcription, and customer service centers to also shift work around the globe. Higher education and high-skill health care jobs are also embarking on global outsourcing. In 2001, outsourcing expenditures amounted to $3. 7 trillion and the estimation for 2003 is $5. 1 trillion. The impact of global outsourcing is not just a relocation of jobs, but also a dampening of employee compensation levels in more developed economies. For example, in 2000, salaries for senior software engineers were as high as $130K, but dropped to about $100K at the end of 2002; and entry-level computer help-desk staff salaries dropped from about $55K to $35K. For IT vendor firms in countries like India, IT engineering jobs command a premium Indian salary that is at a fraction of their U. S. counterparts. In sum, migration of labor and work create complex globalization dynamics. For a company to make profit, it requires its reach more customers . In other words it requires to expand its customers base. It has to enter the global market. To enter a global market for expansion certain issues at regional level should be considered. These include understanding the geographic scope of the industry and structure analysis. Geographic scope of industry In the international context it is necessary to define the geographic scope of the industry and those factors that may change the scope of the industry. The factors that shape the internationalization of the industry include: Market similarity Scale/scope comparative advantage Regulation Market stability: The upper vertical dimension is the market condition, whether the market is effectively one or several geographically defined segments because of similarities or dissimilarities in taste, requirements, communication channels etc. Within the same region the market conditions are similar than other regions. Scale/scope: The left horizontal dimension refers to the sources of increasing returns to scale in production process. Businesses in close proximity have the advantage of increasing economies of scale in production of process in companies in same region. Comparative advantage: The right horizontal scale refers to comparative or competitive advantage of a particular location. These include dynamic changes resulting from experience especially in periods of significant technology change. Regulation: The lower vertical dimension refers to regulation intervention that limits the geographic scope of the industry such as tariffs and non-tariffs to trade and limits on cross border investment. A bigger diamond on globalization map may indicate that the industry is more receptive to global competition pressure. Application to sample of industries: Market similarity Commercial aircraft Soft drink Scale/scope comparative advantage Regulation The commercial aircraft industry is more global in terms of sales by virtue of market integration and, large scale economies and knowledge advantage. Soft drinks are smaller on these dimensions. Industry structure analysis The competitive forces in an industry determines the degree of inflow of investment ,return to free market and thus the ability of firm to sustain above average returns. Michael porter described five forces to analyze the industry structure. The five competitive forces- entry, threat of substitution, bargaining power of buyers, bargaining power of suppliers, and rivalry among current competitors shows the high level of competition . All five competitive forces jointly determine the intensity of industry competition and profitability and strongest forces or force governing and crucial in strategy formulation. For example, even a company with strong market position in an industry where potential entrants are no threat will earn low returns if it has a superior, lower cost substitute. Even with no substitute and blocked entry intense rivalry among competitors will limit the returns. New Market Entrants * entry ease/barriers * geographical factors * incumbents resistance * new entrant strategy * routes to market The underlying structure of an industry reflected in terms of forces should be distinguished from many factors that can affect the profitability and competition. Each firm has its weaknesses and strengths in its industry structure. A number of technical and economical characteristics of an industry are important for the strength of these forces. Buyer Power * buyer choice * buyers size/number * change cost/frequency * product/service importance * volumes, JIT scheduling Competitive Rivalry * number and size of firms * industry size and trends * fixed v variable cost bases * product/service ranges * differentiation, strategy Supplier Power * brand reputation * geographical coverage * product/service level quality relationships with customers * bidding processes/capabilities Product and Technology Development * alternatives price/quality * market distribution changes * fashion and trends * legislative effects Supplier Power Any business requires inputs- labor, parts, raw materials, and services. The costs of inputs have a significant effect on company’s profitability. The strength of suppliers determines the whether the cost would be hig h or low. Suppliers have the most power when: The input(s) are available only from a small number of suppliers. For example, if you are making computers and need microprocessors, you will have little or no bargaining power with Intel, the world’s dominant supplier. The inputs are unique, making it costly to switch suppliers. If you use a certain enzyme in a food manufacturing process, changing to another supplier may require you to change your entire manufacturing process. This may be very costly to you, thus you will have less bargaining power with your supplier. If input purchases don’t represent a significant portion of the supplier’s business. If the supplier does not have dependency then there is less power to negotiate and vice-versa. For example,. Wal-Mart has significant negotiating power over its suppliers because it is such a large percentage of suppliers’ business. Suppliers can sell directly to customers.. For example, a manufacturer could open its own retail outlet and compete against you. Difficult to switch to another supplier. Lack of knowledge of supplier’s market. There will be little information about market demand, prices, and supplier’s costs. Reducing the Bargaining Power of Suppliers Most businesses don’t have the resources to produce their own inputs. If you are in this position, then you might consider forming a partnership with your supplier. This can result in a more even distribution of power. For instance, Dell Computer uses partnering with its components suppliers as a key strategy to be the low-cost/high-quality leader in the market. This can be mutually beneficial for both supplier and buyer if they can: Reduce inventory costs by providing just-in-time deliveries, Enhance the value of goods and services supplied by making effective use of information about customer needs and preferences, and Speed the adoption of new technologies. Another option may be to increase your power by forming a buying group of small producers to buy as one large-volume customer. If you have the resources, you may choose to integrate back and produce your own inputs by purchasing Bargaining Power of Buyers Buyers have more power when: Industry has many small companies supplying the product and buyers are few and large. For example, there is little negotiating power if several competing companies are trying to sell similar products to one large buyer. The products represent a relatively large expense for customers. Customers may not price shop for a quart of oil, but they will price shop if purchasing a new vehicle. Threat of entry Success may inspire others to enter the business as a competitor. The threat of new entrants is the possibility that new firms will enter the industry. New entrants bring a desire to gain market share and often have significant resources. Their presence may force prices down and put pressure on profits. Analyzing the threat of new entrants involves examining the barriers to entry and the expected reactions of existing firms to a new competitor. Barriers to entry: 1. The costs and/or legal requirements needed to enter a market. These barriers protect the companies already in business by being a hurdle to those trying to enter the market. In addition to up-front barriers, a new competitor may inspire established companies to react with tactics to deter entry, such as lowering prices or forming partnerships. The chance of reaction is high in markets where firms have a history of retaliation, excess cash, are committed to the industry or the industry has slow growth. . Unique Barriers Entry barriers are unique for each industry and situation, and can change over time. a). Well established brand names and fully differentiated products,: as a potential market entrant it will require an expensive marketing campaign to introduce new products. Barriers to entry are usually higher for companies involved in manufacturing than for companies that provide a service because there is often a significant expense in setting up a production f acility. b). Regulatory. To produce organic food there is a three-year wait before land may be certified. During the waiting period, producers must raise the crop as organic, but may not market it as organic until the three-year â€Å"cleansing process† of the land is completed. Overcoming barriers to entry may involve expending significant resources over an extended period of time. Industries based on patentable technology may require an especially long-term commitment, with years of research and testing, before products can be introduced and compete. Factors Affecting the Threat of New Entrants The threat of new entrants is greatest when: Processes are not protected by regulations or patents. In contrast, when licenses and permits are required to do business, such as with the liquor industry, existing firms enjoy some protection from new entrants. Customers have little brand loyalty. Without strong brand loyalty, a potential competitor has to spend little to overcome the advertising and service programs of existing firms and is more likely to enter the industry. Start-up costs are low for new businesses entering the industry. The less commitment needed in advertising, research and development, and capital assets, the greater the chance of new entrants to the industry. The products provided are not unique. When the products are commodities and the assets used to produce them are common, firms are more willing to enter an industry because they know they can easily liquidate their inventory and assets if the venture fails. Switch ing costs are low. In situations where customers do not face significant one-time costs from switching suppliers, it is more attractive for new firms to enter the industry and lures the customers away from their previous suppliers. The production process is easily learned. Competitors are attracted to an industry where the production process is easily learned. Access to inputs is easy. Entry by new firms is easier when established firms do not have favorable access to raw materials, locations, or government subsidies. Reducing the Threat of New Entrants Enhancing marketing/brand image, utilizing patents, and creating alliances with associated products can minimize the threat of new entrants. Setting a price that earns positive but not excessive profits could lessen the threat of new entry in your industry. Threat of Substitutes Products from one business can be replaced by products from another. If a commodity product is undifferentiated, customers can easily switch away from product to a competitor’s product with few consequences. In contrast , there may be a distinct penalty for switching if product is unique or essential. Factors Affecting the Threat of Substitution Substitutes are a greater threat when: Product doesn’t offer any real benefit compared to other products. It is easy for customers to switch. Customers have little loyalty. Reducing the Threat of Substitutes Staying closely in tune with customer preferences and differentiating product by branding. Rivalry among Competitors Companies in an industry are mutually dependent; actions by one company usually invite competitive retaliation. Rivalry among competitors is often the strongest of the five competitive forces, but can vary widely among industries. This measures the degree of competition between existing firms. Rivalries can occur on various levels. In some industries, rivalries are centered on price competition- especially companies that sell commodities such as paper, gasoline, or plywood. In other industries, competition may be about offering customers the most attractive combination of performance features, introducing new products, offering more after-sale services or warranties, or creating a stronger brand image than competitors. In some cases the presence of more rivals can actually be a positive- for instance in a shopping area, where attracting customers may hinge on having enough stores and attractions to make it a worthwhile stop. Rivalry will be higher if: * There are a large number of similar sized firms (rather than a few dominant firms) all competing with each other for customers * The costs of leaving the industry are high e. g. because of high levels of investment. This means that existing firms will fight hard to survive because they cannot easily transfer their resources elsewhere * The level of capacity utilization. If there are high levels of capacity being underutilized the existing firms will be very competitive to try and win sales to boost their own demand * The market is shrinking so firms are fighting for their share of falling sales * There is little brand loyalty so customer are likely to switch easily between products Developing a Global Strategy The first approach is the top-down approach. It treats sourcing as strategy and integrates the business’s strategic plans with its sourcing plans. The second approach discussed is the bottom-up approach. This approach, building upon the idea of zero-based sourcing, is a methodology for identifying those areas of the business that are least likely to be providing unique competitive advantage when done internally. Both approaches work and can be used simultaneously. And two other important management ideas. The first is that of an outsourcing framework. The outsourcing framework provides a structure for mapping the activities of an organization so that they can be consistently examined from a sourcing perspective, whether that perspective is the top-down approach, the bottom-up approach, or both. The other key idea introduced is the often overlooked opportunity for creating competitive advantage through unique ways an organization combines its internal and external sources. Top-Down Approach Strategy is essential to the success of any organization. It answers the critical questions about what’s happening in the environment and marketplaces the organization serves, how it makes a unique and competitively viable difference in serving the needs of the customers in those markets, and how it allocates and invests its resources toward the achievement of those ends . any organizations view sourcing as an operational decision made only in response to the business’s strategy. Sourcing as strategy suggests that, instead, outsourcing is an integral part of the development of that strategy; that an organization’s sourcing decisions are essential to its ability to create competitive advantage. This changes when in the strategic process the question of the sources of c ompetitive advantage gets asked and answered. Sourcing as strategy is, then, a top-down approach to identifying the sources of competitive advantage- both internal and external- and then ensuring that the organization’s investment and execution plans are aligned with this strategy. Instead of positioning business process outsourcing as an outcome of the organization’s investment decisions, sourcing as strategy positions it as an essential driver of those decisions. The first step of the process is to segment the organization’s marketplace. This segmentation is typically done by identifying the combinations of customers served and the products and services with which they are served. These groups may then be further broken down by geographies or other delineations unique to the markets that the organization operates in or intends to operate in. When complete, this segmentation may result in as little as two or as many as dozens of segments. The identification of these segments is the essential first step in developing the organization’s strategy and is the basis for all the steps that follow. The second step is to project the changes in these segments over the planning period. Typically, this planning period can be no more than two to three years. This shortened strategic planning time frame is a direct result of the hyper-competitive environment. It is also a key reason that internal investments, which typically require much longer periods to achieve a full return, can no longer, be the default option for organizations. The potential changes in the environment are looked at in terms of projected changes in society, business, and their overall structures; changes in the customers themselves, including their needs, preferences, and financial situations; and, of course, changes in technology and its potential impact on all of the other factors being considered. There need not be only one projection. Scenario planning can be used to describe more than one possible future along with the unique characteristics and probabilities of each. The third step is to assess each of the segments in terms of their over- all size and growth. Just as importantly, each segment must be looked at in terms of the current competitors, likely future competitors, and how each competitor may fair in terms of its market share. The fourth step is to decide, based on the opportunity available to the organization, which segments to pursue and what it will take to dominate in each. The former means selecting those segments that are most attractive in terms of growth and opportunity. The latter means deciding what competitive advantages the organization needs to have in order to not only successfully compete, but to move itself toward a position of leadership. These needed competitive advantages should be stated in specific, measurable terms. If cost is an element of advantage, then what cost points does the organization need to hit to be uccessful? If differentiation is the road to dominance, then specifically what will that differentiation be? Will it be design, features, performance, quality, ease of use? Prestige, speed, customer service, guarantees, or other characteristics? And, how are they to be objectively measured? At the end of step four, the organization has created a list of market segments it desires to serve and what it believes is needed to compete and win in those segments. The fifth step, source, is then the essential link between the market-facing side of the organization’s strategy and the sourcing side. It is the mapping of the required competitive advantages across the operational activities of the business to determine where and how each advantage will be created. Some of these competitive advantages may be found in the organization’s internal operations, but others are just as likely to be sourced through external relationships, while still others may come from unique ways the organization blends its internal and external sources. All other activities- those that need to be done and done well but offer little or no opportunity for creating a competitive advantage- are nonstrategic and should be sourced at the operational level on a purely competition-driven basis. Sourcing as strategy is a senior- level executive process, competing nonstrategic, commodity activities is an operational-level process. The sixth step is to forecast the business outcomes from these decisions about segments and sources of competitive advantage. For commercial organizations, this forecast is in terms of revenue, costs, profit, and other key financial indicators. For noncommercial enterprises, these outcomes may be forecasted in different terms, such as budget targets and the number of constituents served. This is the process of taking the strategic plan and turning it into a set of forecasted outcomes. This can be expected to create a slight Iterative loop where the segments served and sources of competitive advantage get adjusted to bring the forecasts in line with intended outcomes. The seventh and last step of the top-down process is to invest in execution. This means allocating all the forms of investments available to the organization: its capital, its operating funds, its people, and its intellectual properties. This alignment- this fit, if you will- between the organization’s strategic plan and its execution plan is the essential step in transforming strategy into action. This seven-step process makes sourcing an integral part of strategic planning. It expands the view of the sources of competitive advantage available to an organization, thereby enabling it to better compete in the market segments it chooses to pursue. It also elevates the organization’s outside relationships so that the ones that contribute competitive advantage are treated as an integral part of the organization’s strategic planning process and as part of its network of strategic assets. The top-down approach also requires that the strategic plans of the organization and of its key outside sources be connected. The result is a weaving together of a network of relationships at the highest levels of the organization. Bottom-Up Approach The bottom-up approach does not mean that decisions are made at lower levels of management. What it does mean is that the process used for identifying outsourcing opportunities focuses on selecting activities that do not contribute a unique competitive advantage, and then competing these commodity-type activities against the marketplace of providers. It represents a zero-based sourcing approach where all areas that do not deliver a unique competitive advantage are evaluated from a competitive sourcing perspective. Since they were first introduced by the author in 1996, the following three questions have been used by hundreds of organizations to determine the areas of the business that are least likely to deliver a unique competitive advantage: 1. If starting from scratch today, would we really build the capability inside? 2. Are we so good at it that others would hire us to do it for them? . Is this an area of the business from which our future leaders will come? If the answer is yes to all three questions, then the activity is either a source of unique competitive advantage or close enough to one to remain internally sourced until evaluated from a more strategic, top-down perspective. If the answer is no to any of the three, then looking at what the marketplace of external service providers has to offer is appropriate. The first question of the three-question test captures the essence of zero-based sourcing. It asks what the organization would do if it was being formed today. Would it invest in creating the capability internally or would its leaders’ first inclination be to look for sources available in the external marketplace? It also tests the organization’s existing sourcing choices against what new competitors entering its marketplace are doing. Are new competitors also building this capability for themselves, thereby validating its unique? contribution or suggesting that adequate external sources are not available, or are they acquiring the capability from the outside and then focusing heir internal investments elsewhere ? The importance of this single question in properly shaping a company’s investment decisions has recently been revalidated by the venture capital market. Many venture capital firms now require that companies they plan to invest in externally source all of their non-differentiating functions, such as finance, accounting, human resources, and ba sic information technology services. The second question gets at the very heart of organizational hubris. Successful organizations are, often because of their very success, filled with a belief that because they are successful, they must be good at everything they do, and that the unique ways they do things directly contribute to that success. This belief is often reflected in statements such as â€Å"we are different† or â€Å"we are unique. † One great way to challenge this hubris is to simply ask if other companies would hire yours to perform that internal function for them. Could your company sell this activity as a service in an open, competitive marketplace? Could it successfully compete against the marketplace of service providers that do it for a living? Would another company hire yours to process its receivables, payables, or payroll? Is there a marketplace for your organization’s real estate portfolio management services? Are your assembly and test capabilities markedly superior to the norm for the industry? Are they superior to the top companies that perform that work for your competitors? Finally, the third questions establishes just how valued the skills needed to perform the activity are to the organization. Are they the skills that are so highly prized that they are reflected in the knowledge- and experience- set of the company’s top leaders? In its chief executive officer? Activities that are based on highly valued skills naturally receive the lion’s share of internal funding for their development and support. The people in those areas are likely to be able to see a career path leading to the company’s corner office. The organization is likely to be attracting the best and brightest in those fields. Whereas the top-down approach examines sourcing as a contributor to competitive advantage, the bottom-up approach sets out to separate the areas that the organization is performing internally more out of habit than out of need. It results in the creation of a list of activities that should at least be tested more thoroughly as potential areas for improved performance through business process outsourcing. As pointed out earlier, the bottom-up and the top-down approaches are not mutually exclusive. The bottom-up approach can be used to quickly move the organization in the direction of better leveraging its assets through outside relationships. The top-down approach can be used to turn sourcing into a competitive advantage. Toyota Corporation IT Strategy Mr. Hiroshi Okuda, chairman of Toyota, Speech When the Ground Rules Change (as he titled a 1998 speech at the Yale School of Management), and the implications that has for Toyota and the global automobile industry. He sees three watersheds in the history of the automobile industry. Each time, a new business model changed the ground rules for the industry. Each time, the new model seemed invincible. And each time, it gave way to changing circumstances and a new business model. Our old business model is breaking down for four main reasons. One, we need to decentralize our manufacturing and RD activities. Two, the product and process paradigms that Henry Ford established are themselves breaking down. Three, information technology is transforming the inner workings of the automobile. It is also transforming the way we develop and make and sell our products. And four, the changing product paradigm and the growing role of information technology will open our industry to a vast array of competitors. Gone are the glory days of the early 1980s when any Japanese car could sell in the U. S. market at a premium. A strong yen, the collapse of Japans bubble economy, and a depressed Japanese auto market significantly changed the industrys structure, and now only Toyota and Honda remain as independent Japanese producers. Toyotas response is a strategy that, in the next two decades, will have significant impact on the global industry and on transportation and logistics generally, and will ensure the companys position as the industry leader. Intelligent Transportation System (ITS) ITS is a concept being pursued in several venues rather than a well-defined term. However defined, it has two principal components: an onboard system for managing the car and an external traffic management system. In its ultimate form, which requires both components, actual driving is automated: the driver becomes a navigator, and then only to the extent of entering a destination or indicating the desire to pull over at a rest stop. There are many features that partially automate driving or provide navigational assistance short of this, and all can be termed aspects of ITS. As part of a larger strategy, Toyota has been developing a packaged system for each of the two principal components. In Japan ITS is organized around VERTIS (Vehicle, Road, and Traffic Intelligence Society), an organization set up by the government, companies, and universities in 1994. In 1996 Japan passed a Transportation Efficiency Act. Similar legislation was passed in the United States in 1991- the Intelligent Systems Transportation Efficiency Act (ISTEA)- allocating $60 million a year for six years. The idea was that each country would do R;D and system research, then meet and exchange information on the status of their projects. The acts cover more than just ITS, but most government involvement relates to ITS. ITS Strategy Toyota has been exploring the development and use of ITS since the mid-1970s (that is, from just after the first oil crisis). Hidekazu Ohe, manager of Toyotas ITS project, has worked on the system since its inception. However, it is only since the mid-1990s that ITS has become an actual part of its commercial products. As of 1998 Toyota had spent over $1 billion on the project (more recent data have not been released). By 2015, it expects the Japanese market for ITS-related products and services to exceed ? 60 trillion, with the rest of the worldwide market even larger. Toyota wants to establish a transportation infrastructure through which the highway can sense and communicate with each vehicle. It will then be easier to introduce more advanced functions as they are developed or as permission to use them is obtained from governments. In 1993 Toyota summarized its evolving smart car approach as responding to the needs of our information-oriented society in which automobiles are now increasingly equipped with navigation systems and sophisticated communication devices. Cars are gradually becoming intelligent vehicles. Toyota is developing and introducing car electronics to enhance communication between people, automobiles, and society. To make this vision a reality, the company has divided ITS into five basic work areas. By coordinating and managing the interactive relationships among them, Toyota intends to achieve growth and development as a total mobility company. The first area is the intelligent car, a vehicle that incorporates sophisticated an d complex systems and functions. These include the onboard computer, sensors, and other elements that control the cars various functions. It thus supports, and is the foundation for, the other areas. Second is multimedia for the vehicle- the Internet on Wheels, which represents a new arena for mobile communications. The third area covers support facilities that will achieve smoother traffic flow by coordinating vehicles and the transportation infrastructure. Fourth is business and organizational logistics, where Toyota will work with other firms to develop a comprehensive set of tools that will support more efficient transportation of goods and services through improved utilization of the existing road system. In the fifth area, new or radically improved transport, Toyota will work to develop transport systems for the next generation. Matsushita and NEC are involved in building the electronics and computer systems for the project, including the navigation system that is part of the onboard computer. Nomura Research Institute and Mitsubishi Research Institute are involved in software development. Reflecting the importance of communications to ITS, Toyota had an ownership interest in IDC Telecommunications (the company was purchased by Cable and Wireless in 2000). CW will continue IDCs support of Motorolas cellular system in Japan. Toyota also invested in telecom provider DDI (now part of KDDI, having merged with IDO and KDD in December 1999. ) Navigation Systems Japan has a high-level navigation system developed by the auto industry with Japans Vehicle Information and Communication System (VICS), a public corporation. Planning began in 1990, and the system was introduced in 1996 in the countrys three principal metropolitan areas: Tokyo-Yokohama, Osaka-Kyoto-Kobe, and Nagoya. Since early 2000 all of Japan has been included. The government allocated ? 370 billion for infrastructure investment. Traffic data obtained from the national and local police go to VICS for editing and are relayed to appropriately equipped cars. Toyota has been a leader in navigational systems from the beginning, with a 45% share of the 2 million systems in 1997. By April 2000 the market had grown to 5 million units, and most new cars in Japan come with the capability. During 1999, Toyota and its partners launched a second-generation system that added visual data on gas stations, convenience stores, and other facility ocations to the traffic and weather data. Called nav, it is a subscription service. An option, MONET, can arrange road service, supply data on events, make restaurant reservations, and the like. Nav also can be combined with a cellular phone that gives audio information in addition to the visual display. VICS buys software and hardware from Toyota and its corporate partners. Toyota sells the hardware for this system both in its new cars and on a dealer-installed basis. An affiliate, Toyota Media Station, provides the interactive MONET service. Toyota has formed e-plat, a joint venture with NTT Data, an affiliate of the dominant telecom provider. The company makes the multimedia kiosks that are being installed in many convenience stores (FamilyMart in particular, but not 7-Eleven, which is working with its traditional IT suppliers, NEC and NRI. The hardware is compatible with Toyotas navigation system, so that cars will be able to communicate with the kiosks to order and pay for concert tickets, make hotel reservations, and the like. Toyotas proprietary system for Japan is called Nihon ITS. Several other automakers license it for use on their vehicles. In 2000–01 Toyota introduced a next-generation system in Japan with features such as two-way communications. Initially this is for automatic toll collection, but it can be extended to include automatic account debiting for parking, gas, and roadside services. These capabilities require only a one-way system (such as EZ-Pass, which is used for tolls in the United States), but Toyota sees an advantage to going directly to a two-way system- if only to provide a larger market for two-way services when they are introduced. With a system working in Japan, Toyota plans to proceed outside Japan. To that end, it has joined General Motors North American geo positioning consortium. Daimler-Chryslers ITGS was the first sophisticated navigation system in operation, but Toyota believes it and Japan lead in developing and selling such systems. Comparable systems in the United States have at least two web sites: smartTrek. org and smarttraveler. com. Separate from purely navigational aids, Help me or emergency call systems are offered by Opel, Volkswagen, and DaimlerChrysler in Europe, and by Ford and General Motors (Northstar) in the United States. However, these systems do not have the customer-oriented features of Japans version, nor are they building the basis for a full-fledged ITS using a multiple-function, two-way road communication system. With an installed base of 5 million units, Japan is clearly the global leader. Staying Ahead To maintain its lead in navigation systems and ITS, Toyota is working hard on three major pieces of ITS: an Internet application package, the onboard computers operating system, and the hardware in the car. The project team is pursuing two major avenues in their approach to globalizing ITS. One involves discussions under International Standards Organization for harmonization of traffic information control interfaces. This initiative is composed of 15 working groups, and Japan is pushing to get a single international standard in cooperation with ITS America and Europes ERITCO, which are the equivalents of VICS. The other avenue is a more flexible approach, because there are differences between countries on whether a real-time system such as Japans or a request version such as in the United States is the more appropriate. The U. S. ituation is complicated by the fact that traffic- and automobile-related issues are handled primarily by states rather than the federal government. Toyota therefore is designing its system and introduction strategy to work even if there are multiple standards. This is similar to Nokias approach to developing a phone that can be adapted easily to different technical and regulatory environments (chapter 11). Toyota believes that if it has a syste m that works and can be introduced anywhere, it has a good chance of becoming the de facto global standard, which is a key part of Toyotas long-term strategy. Onboard Computer In current vehicles, each feature has its own controller. Thus, brakes are controlled separately from fuel injection, and the navigation system, telephone, and radio also have their own controllers. If the car is going to be controlled as a whole, there needs to be a single computer directly managing all aspects of the vehicle. Under Toyotas ITS, there would be a single computer for the vehicle, directly linked to the servos that monitor and control the vehicles various functions. It also will have the capability of displaying information to the driver and passengers. Nippon Denso will manufacture the onboard computer to Toyotas specifications, and Higashi Fuji is working with Toyota to develop the software to manage the car and communicate via the Internet. Toyota is building the controllers (two-way communications system) that will line the highways. In developing the operating systems, Toyota has borrowed from existing systems. However, it is modifying them to make its own proprietary systems, based on its knowledge of the car in terms of both mechanics and electronics. The highway operating system will be externally based- supported and controlled by an Internet platform that Toyota is developing. It will communicate with the onboard computer, which has its own operating system, to run the car. The two operating systems are linked and integrated so that the information the highway provides ultimately controls the cars movement. Toyota has found few people in Japan able to develop such software, so once it had developed the basic idea of what it needed, it went elsewhere in Asia and to the United States to get the programs coded. Toyota believes its competitors are significantly behind in developing onboard computers and Internet-based control and communication systems, with Daimler-Chrysler the closest. Automated Driving The technology for automated driving exists and is being used. An automatic driver system is being piloted in Australia and another in Essen, Germany. These cities have built dedicated roadways for buses driven automatically. Called dual-mode buses, when they need to be driven off the special road, a human operator takes control, as on a normal bus. Toyota is involved in the Australia project; DaimlerChrysler, in the German one. Toyota calls its version an intelligent multimode transit system (IMTS) that combines the advantages of trains and buses. IMTS includes the platooning of commercial vehicles. That is, the system allows trucks to safely follow each other much more closely than would otherwise be the case. ) Package delivery service Yamato Transport is said to be ready to use the technology for its intercity trucks once it is available in Japan. Widespread implementation of automated driving requires construction of infrastructure and, particularly for indivi dual drivers, settling of legal questions. These will take several more years . Toyota sees ITS allowing an intelligent parking lot that provides data on parking availability, guides vehicles to spaces, and collects fees automatically. A system in Vienna reports the number of spaces available in nearby garages on streetside display panels, but has no interactive features. ) While waiting for automated driving, Toyota will continue development of features that are entirely onboard the vehicle, such as automatic sensing and adjustment for distance between cars using radar. These are part of its Advanced Cruise-Assist Highway Systems program. IT at Toyota Better communication, improved plant productivity, and increased client satisfaction (that is, better quality at a lower price) are the objectives when Toyota selects, develops, and implements IT. As Kensuke Nagane, head of the IT planning group, explains, the purpose of IT is not to change the system or operation strategy, which works very well, but to enhance them. IT Philosophy The basic IT strategy is to use systems to enhance existing strategies and organizational structures. Behind this is the companys core philosophy: Since its establishment, Toyotas principle has been to strive constantly to build better products at lesser costs. To this end, Toyota has developed its own unique production method. This system is based on the idea of just in time, the idea of Toyota Founder Kiichiro Toyoda. This system also seeks to thoroughly eliminate all sorts of waste in order to reduce prime costs. Toyota also places a maximum value on the human element, allowing an individual worker to employ his capabilities to the fullest through participation in the productive management, and improvement of his given job and its environment. With the motto Good Thinking, Good Products, each individual worker is making his best effort to assure Toyotas customers the highest quality product, with an understanding that it is in his work process that quality is built in (quoted from the companys booklet Opening the Window, p. 3). Toyota shares common IT approaches with other leading software users. They include the creation of large proprietary interactive databases that promote automatic feedback between various stages of the design, order, production, delivery, and service process. Indeed, this kind of iterative routine is fundamental to its smart design and production strategy, and its Level 3 I T approach. Management recognizes that better cycle times between order and delivery reduce costs and improve forecasts. Similarly, more rapid design cycles mean quicker incorporation of new technologies. Customer satisfaction is improved hrough more timely completion of the sales process and constant product enhancement. This outlook helped Toyota become firmly established in the late 1970s as the worlds most efficient and lowest-cost producer of high-quality automobiles. Toyota has taken the lead in extending the lean production paradigm for automobiles into totally integrated management (TIM). Although it is unusual for the leader of one production revolution to lead the next, as indicated by Chairman Okuda at the start of this chapter, Toyota has clearly recognized the need for change and the role of IT in generating this new development. The companys TIM approach, using its new smart cars combined with its smart design and smart-production scheduling, has significantly improved productivity and market advantage through its monitoring, controlling, and linking of every aspect of producing and delivering vehicles and after-sales service. IT Structure Toyotas basic information system is a three-tier mainframe system involving hundreds of millions of lines of code, similar to most other large Japanese companies. The mainframes control the approximately 1000 servers, which control the networking system and communicate with the plants, with their equipment, and with dealers and suppliers. The mainframes schedule production and JIT delivery, as well as track orders. There are some 3000 CAD/CAM terminals. The company put a PC on the desk of every office worker in 1996, about 30,000 altogether, and networked them into the overall system. PC use has reduced paper use. Because it is a real-time, on-line system, it has been totally integrated with Toyotas business operations, as is true for most large Japanese firms. It is completely managed and maintained by Toyotas internal systems group, with internal communication through its own fiber-optic system and with customized middleware providing the interface between users within the company. Overseas operations have their own systems. These are not integrated extensively with the system in Japan, but they are networked for exchanging data on distribution and the total global supply chain in a preprogrammed format. This means, for example, that Toyota in Japan can send information to its U. S. dealer network regarding delivery of specific vehicles. Toyota also can send parts orders to overseas suppliers. Ultimately, the company may divide IT into inside and outside Japan systems. Already, for example, Toyota uses almost 100% Hewlett-Packard hardware outside Japan, whereas inside Japan it does not use much HP equipment. Globalization is one area the IT planning group is working on, because it is often a problem getting domestic and overseas systems to communicate, especially in places where the communication infrastructure is weak. Sourcing Software Software selection is very pragmatic. It depends on the softwares cost versus its contribution to increasing the overall value of the car, or to reducing the cost of designing and producing a car. Decisions to develop in-house or to buy are made case by case, based on experience. This is the same routine Toyota uses to decide between designing-in and ordering customized or standard parts for a car. It also is the decision process that led it to reduce fat design (the number of option choices Toyota allows a customer for items such as steering wheels) when it discovered replacement part inventories were becoming too high. Therefore, it represents Toyotas normal strategic routine for introducing new technologies and innovations, whether organizationally or in the car. Except for the operating systems, Toyota has generally developed its own software and IT systems, and outsourcing has not been considered a real option, except to captive subsidiaries and for components that then typically are customized. This is because software is recognized as an integral element within an overall management strategy, and as such must be controlled directly by the company. Generally, integration is done by first assessing the possible business uses of the software or IT within the organization, its operations, or its products, with particular focus placed on ITs role in enhancing Toyotas ability to develop, produce, sell, and service different types of vehicles. Toyotas overseas operations are independent with respect to their IT systems, although Toyota is introducing a global standard for at least some software. Overseas factories are more likely to use packages for office support, but the systems that run the factories are basically the same as those used in Japan, which means they are company-developed. Toyota decided in the late 1990s to reorganize its software development. As part of this, it spun out five software development subsidiaries, all Toyota majority-owned. The other owners mostly are Toyota-related companies or key suppliers to the venture. Buying New Systems Toyota has bought new PC hardware and software every five to six years, even though new versions are available much more frequently. This is in keeping with Toyotas philosophy of using the simplest way to achieve an objective, and to implement what works. This schedule allows it to get the functionality it wants, without so much time lost to retraining and transferring data. The PCs, which use a Japanese version of Windows, are primarily for e-mail and word processing; most workers do not use the features added in upgraded software. This approach reduces costs: a new PC plus software runs $2000 in direct costs. With 30,000 PCs, that is a $60 million purchase decision. The IT planning group estimates that the total all-in cost of a new PC system- including system integration, training, and support- is almost $7000 per PC, raising the total corporate expenditure to some $200 million. That said, if an employee needs an upgrade or a special computer, the request is evaluated on its merits. The cycle for workstations and CAD/CAM systems needed for design and engineering is much faster, though still driven by the engineering groups actual requirements. Such changes require the IT group to work closely with Toyotas parts suppliers to ensure compatibility, so that design and engineering data can be easily exchanged. Toyotas production IT group meets regularly with the makers of its computers. For mainframes these are Fujitsu and IBM. For backup support, fault-tolerant computers from Tandem (bought by Compaq in August 1997) are used. Sun, Hewlett-Packard, and Compaq (as the June 1998 buyer of DEC) supply CAD/CAM and engineering workstations. The IT planning group sees no reason to switch from UNIX, but would consider alternatives if UNIX ceases to meet Toyotas needs. PCs are from IBM, Hewlett-Packard, and Compaq. International Retail Banking- Sanwa Bank and Citigroup Overview Citicorp is in the forefront of technology in electronic banking and is testing the limits of regulation. It  instills fear in the hearts of competitors. That observation was made by Value Line  in September 1985, and  it  remains true today of its successor, Citigroup. ITs role in consumer banking is the focus of this example, looking specifically at Citigroups international retail banking and at Sanwa Banks retail banking strategies in Japan. Sanwa, now part of the UFJ Group and Financial One alliance, has been the acknowledged domestic leader in using  IT  to  achieve  an  advantage  in Japanese consumer banking. It  is the domestic leader because Citibank is the overall leader internationally, including among international banks in Japan. Citis drive  to  build market share in Japan receives special attention because  it  is  an  excellent example of  how  Citi is using  IT  to  exploit and enhance its advantages in a large and rapidly changing financial services market outside the United States. Japan is Citis highest growth consumer-market segment, with core income increasing 66% in 2000, compared  to  22% for the overall global consumer segment. The number of accounts jumped 85% from 1998  to  2000, going from 1. million  to  over 2. 8 million. Sanwa Bank Sanwa Bank is combining  IT  and a life-cycle approach  to  customers in managing and navigating the competitive pressures of the Big Bang and the even bigger loan-loss problems. However, as a diversified bank with a long tradition of serving corporate clients,  it  is not relying solely on retail banking for survival. Sanwa Bank Ltd. became part of the UFJ Group with Tokai Bank and Toyo Trust effective 1 April 2001. On 15 January 2002,  it  merged with Tokai Bank. The umbrella company is UFJ Holdings Inc. UFJ stands for United Financial of Japan. ) Before becoming part of UFJ, Sanwa was one of Japans  leading  city banks, ranking sixth in assets during the 1990s. Based in Osaka,  it  was formed in 1933 by merger. Tokai was created by the 1941 merger of three Nagoya banks. Neither was part of a prewar  zaibatsu. Not only have Japanese banks been consolidating, they have been affiliating with established  firms  in other market segments  to  offer one-stop shopping. In July 1999, Sanwa agreed with five other  firms  to  form  an  alliance in the retail market and asset management segments. Others have joined since, with several of the brokerage  firms  merging  to create Tsubasa Securities Co. Called Financial One, the Alliance for the Future,  it  includes  firms  from life insurance, property and casualty insurance, securities, trust services, and banking. The goal is  to  have more regular customers with the alliance each are utilizing the services of several alliance members. Sanwa has about 17 million retail and consumer loan accounts (March 2000). Consumer lending of ? 5. 9 trillion was about 24% of total domestic loans outstanding. The majority is for housing. In July 2001 the three UFJ Group members announced that in January 2002 they would completely merge their credit card operations. With 6. 3 million customers,  it will be the third largest issuer in Japan. Global Retail Banking IT Strategy The strategy Sanwa developed is continuing  to  be implemented by UFJ. This is  to  create a competitive  advantage  with what Sanwa calls continuous relationship marketing. This involves emphasizing  IT  and automated branches  to  deliver  an  expanding range of services related  to  Sanwas life-cycle determination of its customers requirements. Because the retail market is less volatile and lower risk than traditional business lending or other banking areas such as derivatives, achieving a strong position can be very beneficial  to  Sanwas, and UFJs, future growth. Success depends on  how  well Sanwa addresses two elements that connect its retail banking infrastructure with its  IT-intensive retail marketing strategy. These are the appropriate stage in a customers life cycle  to  start marketing a product and the most effective way  to  market and deliver a product or service. To  address the former, Sanwas detailed evaluation of Japanese consumers patterns of personal development requires collecting, managing, and analyzing substantial amounts of data. The second related and central concern is for the bank  to  use  IT  to  control the costs of meeting the identified demands. This includes the expense of developing new customers, products, and services, and of delivering a service or product  to  a particular market segment. Sanwas approach  to  addressing these issues has been  to  develop a matrix that identifies different customer groups and their banking needs according  to  current lifestyles. It  cross-matches this with a set of products for which  it  carefully controls costs. The costs and returns are closely analyzed in terms of the two major ways Sanwa can deliver products and services. One way is traditional full-service branches. The other is electronically, via the telephone, mobile phones, the Internet, ATMs, credit cards, mail, and convenience stores. ATMs and automated branches are system-intensive and thus are subject  to  user-base economics. That means their success can create a beneficial loop. The traditional way is expensive. It  is particularly costly relative  to  the potential returns from new customer segments such as young people just starting careers. Yet, Sanwa recognizes  it  is very important  to  capture these people as clients, because this segment is the fastest-growing retail banking market in Japan. Further, as these individuals progress through their lives, their economic needs and earning power will grow, and they will become more profitable customers for financial products ranging from mortgages  to retirement products. Target Market Sanwas main target is the mass of middle-class consumers, especially those  it  can reach electronically and through direct marketing campaigns. Within that group, its focus is those in their twenties and thirties,  to  whom  it  offers  a particular set of products such as ATMs, credit cards, and telephonic banking. To  those in their forties and fifties who have married,  it  wants  to  expand loans for housing, childrens e