Un Convention on the Rights of the Child

The UN Convention on the Rights of the Child (1989) In 1989 world leaders decided that children needed a convention that protected their rights and that people recognised that children had rights too. They felt that children needed special care and protection that adults do not The Convention on the Rights of the Child is the first legally binding international instrument to incorporate the full range of human rights—civil, cultural, economic, political and social rights. The Convention has set out these rights in 54 articles and two Optional Protocols.It covers all the basic human rights and states that children everywhere have: the right to survival; to develop to the fullest; to protection from harmful influences, abuse and exploitation; and to participate fully in family, cultural and social life. The four core principles of the Convention are non-discrimination; devotion to the best interests of the child; the right to life, survival and development; and respect for the v iews of the child. Every right spelled out in the Convention is inherent to the human dignity and harmonious development of every child.The Convention protects children's rights by setting standards in health care; education; and legal, civil and social services. Article 29 is specifically aimed at children and their right to an education; it is based on equal opportunity and states that * Primary education is compulsory and free to all * Develop different forms of secondary education which should be free and with the offer of financial assistance if needed * Make higher education available for all Make educational information and guidance available for all children * Encourage regular attendance and reduce the number of drop outs. It also has guidance of how education should be delivered to the children * It should develop the child’s personality, talents and mental and physical abilities to their full potential * It should develop the respect for the child’s parents, cultural identity, language, values and the national values of the country in which the child lives or originates from * It should repare the child for the responsibilities of life in a free society in an environment that offers peace, tolerance, equality of sexes and friendship among people * It should offer the chance to develop in a natural environment. childrenandyouthprogramme. info/pdfs/pdfs†¦ /uncrc_summary_version. pdf 27. 10. 12 www. csie. org. uk/inclusion/child-rights. shtml 27. 10. 12 www. unicef. org/crc/ 27. 10. 12

Carl Jung’s Theory concerning Personality Types Essay

This essay will give an introduction to Carl Jung and what started his research, the essay will discuss Carls Jung’s personality types and their characteristics and will also discuss the Myers Briggs type indicator. The essay will also discuss falsification of type as well as what Carl Jung believed to be the cure for falsification of type. Criticisms of personality type and MBTI will also be discussed and in conclusion this essay will discuss how we can use personality types and MBTI within our own work. Carl Jung & The Beginning of Personality Theory Carl Gustav Jung was born in Switzerland in 1875. His first choice of study was archaeology but he went to study medicine at the University of Basil and while working for the neurologist Krafft Ebing he settled on psychiatry. After graduating he took a position at the Burghoeltzli Mental Hospital, he also taught classes at the university in Zurich, had a private practice and invented word association. In 1907 Carl Jung met Freud in Vienna where the two are meant to have spent thirteen hours talking their friendship started off strong with Jung championing many Freudian ideas but over time their friendship began to deteriorate. Jung felt that Freud focused too much on sexuality and that Freud’s concept of the unconscious was too limited and negative. The official break up happened when Jung resigned from the international psychoanalytic congress. Then in 1913 Carl Jung had a dream, he dreamt that there was a monstrous flood engulfing Europe and lapping at the mountains of Switz erland. He saw thousands of people drowning and civilization crumbling. In the following weeks he continued to have disturbing dreams in which he dreamt of eternal winters and rivers of blood. Carl Jung thought he was becoming psychotic but on the 1st August WWI began and Jung felt there had been a connection between himself and the rest of humanity, thus began Jung’s painful journey of self-exploration which formed the basis for his theory’s. Personality Theory Attitudes & Functions Carl Jung determined that people act and react to stimulus and situations differently. He classified people into two different groups, depending on  how they behaved. Jung called these two different groups attitudes and classified people as either extraverts or introverts; Extraverts – People who are extraverts are better able to deal with external stimulus such as people and objects. They search for things outside themselves to help fulfil them Introverts – People who are introverts are better able to deal with internal stimulus and look inside themselves for fulfilment. In addition to the two attitudes Jung further classified people into four functions types Sensory and Intuitive which refers to our preferred way of collecting information and Thinking and feeling which refers to the way we make decisions. Sensory – People who are more sensory tend to like specific answers and deal in facts and figures Intuitive – People who are more intuitive tend to p refer to gather information through ideas and theories. Thinking – People who are thinkers tend to prefer to make decisions based on scientific fact and concrete truths. Feeling – People who make decisions on their feelings, trust in their emotions and sensitivities. The four functions and two attitudes made up Carl Jung’s original personality types it was later expanded on and two more functions where added which deal with the way people live their lives these are judgers and perceivers ; Judges – Prefer to live in an orderly way and prefer structure and organisation. Perceivers – Prefer to live more spontaneously and are more adaptive. The theory was then used by Katharine Cook Brigg and her daughter Isabel Briggs Myers who after studying Carl Jung’s work extensively turned the theory of psychological types to a practical use. They created the Myer Briggs indicator believing that knowledge of personality types would help woman during WWII who were entering the work place for the first time by identifying which jobs would be more comfortable and effective for them. MBTI focuses on a normal population and emphasizes the value of naturally occurring differences. The two attitudes and six functions types make up for sixteen different combinations which provides detailed characteristics and help us determine which of the types we belong to , each of us has a dominate function with the other three being less dominate. The combinations and some of the characteristics are as follows. ISTJ People who fit in this category tend to be quiet, serious and earn success by  thoroughness and dependability. They value traditions and loyalty. ISFJ People who fit in this category tend to be quiet, friendly, responsible, and conscientious. They strive to create an orderly and harmonious environment at work and at home. INFJ People who fit in this category tend to seek meaning and connection in ideas, relationships, and material possessions. They want to understand what motivates people and are insightful about others. INTJ People who fit in this category tend to have original minds and great drive for implementing their ideas and achieving their goals. They can be sceptical and independent. ISTP People who fit in this category tend to be tolerant and flexible they are quiet observers until a problem appears, then act quickly to find workable solutions to the problems that may arise. ISFP People who fit in this category tend to be quiet, friendly and sensitive. They like to have their own space and to work within their own time frame. INFP People who fit in this category tend to be idealistic and are loyal to their values and to people who are important to them. INTP People who fit in this category tend to seek to develop logical explanations for everything that interests them. Theoretical and abstract, they are interested more in ideas than in social interaction. ESTP People who fit in this category tend to be flexible and tolerant; they take a pragmatic approach and are focused on immediate results. ESFP People who fit in this category tend to be outgoing, friendly, and accepting. They are lovers of life, people, and material comforts. ENFP People who fit in this category tend to be enthusiastic and imaginative. They are spontaneous and flexible and often rely on their ability to improvise and or their language skills. ENTP People who fit in this category tend to be quick, clever and outspoken. They are good at reading other people and can easily become bored by routine. ESTJ People who fit in this category tend to be practical and realistic. They act decisively and move quickly to implement decisions. ESFJ People who fit in this category tend to be warm hearted. They want harmony in their environment and work hard to establish and maintain it. ENFJ People who fit in this category tend to be warm, empathetic and responsible. They are highly attuned to the emotions and needs of others. ENTJ People who fit in this category tend to be blunt and decisive they assume leadership readily. They are usually well informed and well read. â€Å"Jung noted that it is not possible to use the attitudes of Extraversion and Introversion and the Judging and Perceiving functions independently of each other. People who prefer Extraversion will most likely focus their Perception and Judgment in the outer world while people preferring the Introverted attitude, when circumstances permit, will concentrate Perception and Judgment on ideas.† Falsification of Type In our lives we are not always able to work or live in a way that appeals to our strengths. This can happen for a variety of reasons either we are brought up in environments that are unsuitable to our personality types and we adapt to suit the situation or we may be financially unable to follow a career path that would be best suited to our personality type. A person may also be unaware of their strengths and may just have a feeling that they are not living the life they were meant to. Carl Jung believed that if we do not live or work in a way that best suites our personality type then we could develop a falsification of type. This occurs when we are forced to use our less predominate functions for long periods of time. Carl Jung believed that falsification of type could lead to many psychological problems. Carl Jung described Falsification of Type as â€Å"a violation of the natural disposition,† and explained that whenever Falsification of Type takes place a person first becomes anxious and irritable and then if the condition continues a person becomes neurotic. Jung strongly believed that if there was a reversal of type it could be very harmful to the physiological  well-being of a person and could often lead to an acute state of exhaustion. Research has been done which supports Jung’s theory and according to the research of Dr. Richard Haier of San Diego, when an individual is functioning from a style other than their natural lead style, the brain is forced to expend large amounts of energy trying to maintain the unnatural functions. The result is that the brain and brain-body system experience stress, chronic anxiety and exhaustion. Dr. Arlene Taylor worked with people suffering with PTSD and depression over an 11 year period and found that people living in a state of prolonged adaption appeared to display specific symptoms. There are eight commonly seen symptoms in people who appear to be suffering with a falsification of type theses are; 1) Fatigue – Prolonged adaption can require the brain to work up to 100 times harder. 2) Hyper vigilance – Prolonged adaption can create a state of hyper-vigilance as the brain goes on protective alertness. This is a safety mechanism and can show up in a variety of different ways 3) Immune System alteration – Falsifying Type can be thought of as the individual living a lie at some level. Lying can suppress immune system 4) Memory impairment – Cortisol, which is released under stress, can interfere with memory functions. 5) Altered brain chemistry – Prolonged adaption can interfere with hypothalamus and pituitary functions, which can interfere with hormonal balance. 6) Diminished frontal lobe functions – Prolonged adaption is a significant stressor, which can interfere with functions typically associated with the frontal lobes of the cerebrum. 7) Discouragement, fatigue and or depression – Prolonged adaption can lead to the repeated triggering of the conserve/withdraw reaction to stress. This can be especially true for introverted people although it is commonly observed in extroverted types who have been conditioned to introversion. This is far more common than most people (even researchers) believe. Discouragement tends to increase as fatigue increases, which often contributes to the development of depression 8) Self-esteem problems – .Any or all of the other symptoms can be contributed to diminished overall success in life, which directly affect self-esteem. Self-esteem issues can present as lack of confidence or lack of commitment to improving one’s outcomes Jung believed that the only way to cure falsification of type is to develop the functions and attitudes that people are naturally disposed towards. This is a long process where the sufferer will have to first identify their natural leanings and then work towards changing things within their lives so that their work, family and social lives’ are in balance with their natural strengths and attitudes. Criticisms of Personality Types & MBTI One of the main criticisms of personality types and the resulting MBTI is that it because it deals with the mind which is abstract it cannot be scientifically proven and that some of the personality types could be made to fit anyone as the use of the language and terms can be ambiguous. The MBTI also relies on a person answering questions about themselves and people may not be completely honest when answering those questions either because they are unaware of how they would react within a situation or that their perception of themselves is distorted. The way in which the questions are asked is also not specific so people may not know if the question is referring to the way they would react at work or the way they would react at home with friends and family. The MBTI also fails the double blind test in which participants do a test but are given a test done by someone else and asked if it fits them. Most of the participants find a way to make the results fit. One of the other arguments is that while it can be very useful in self-understanding it can also be used either intentionally or unintentionally to pigeonhole people. People are complex and fitting everyone into just sixteen different categories can limit peoples understanding of each other and themselves. It also could be used as an excuse for bad or inefficient behaviour. Conclusion Personality Types and the MBTI is still widely used today, the MBTI is used in company’s both big and small to understand and motivate staff and as a tool for management training. Personality Types and MBTI are also still used by therapist’s to understand their clients, as well as giving the therapist an idea of which therapeutic tools are best suited for each individual client. It can be used either by allowing the client to do a MBTI test that the therapist has acquired from a reputable source (not just a downloaded from the internet) or the therapist can lead a client through a process which will enable the therapist to discern which characteristics the client may lean towards. It is worth saying that an inexperienced therapist may face problems in trying to discern a client’s personality leanings without using a test or formal questions as it takes training and experience to be able to read a client effectively. Despite its critics personality types can be used as one of the tools a therapist can utilise to assist them in the treatment of clients as long as the therapist is aware of the potential problems with using the personality type or a MBTI test , such as pigeonholing a client into a specific category or allowing the client to use their personality type as an excuse or a crutch. Using the theory in balance with other treatments and being aware of some of the problems that may arise from using the personality types or a MBTI test can allow the therapist to approach the treatment of a client in a well-rounded and balanced way that is both beneficial and productive. References http://mbtitoday.org/carl-jung-psychological-type/ Author & publish date unknown MBTI type today http://www.cognitiveprocesses.com/ Linda V. Berens and Dario Nardi, Understanding Yourself and Others: An Introduction to the Personality Type Code http://webspace.ship.edu/cgboer/jung.html C. George Boeree Copyright 1997, 2006 http://www.myersbriggs.org/my-mbti-personality-type/mbti-basics/the-16-mbti-types.asp Isabel Briggs Myers, Gifts Differing https://coremap.com/index.php/books-and-articles/38-personality/124-falsification-of-type.html Written by Sherry Buffington Monday, 14 May 2012 10:28 Jessica Phillips HUDDE2A 13 Jackie Bock Carl Jung Personality Types & MBTI

Observation Techniques In Early Childhood and Education Essay

â€Å"By observation, we mean closely watch, listen to and generally attend to what a child is doing, and record your findings as accurately and objective as possible†. Reasons why observations are so important: To ensure normative development To know where children are in terms of Holistic development To plan developmental appropriate activities. To have a record of children’s progress in case of be required for the stakeholders (parents or other professionals) Through observations we can know children’s developmental progress and identify children with special needs. Factors that need to be taken under consideration when we carry out child observations (principles of good practice): Confidentiality: all information obtained in the observation must be treated with the strictest confidence (rights of the child and their family). Therefore: Ask for and get permission to carry out the observation from the parents or the workplace supervisor. Signature at the end of the observation is required. Never record the child’s name or the name of the childcare facility. Use codes to name the child (TC= Target child) or describe the childcare setting in general terms. Should not share this information outside the workplace setting. Accurate description: Record what is directly observable, not our own assumptions Example: TC appears to be very angry instead of TC is very angry. Objectivity: Observer must not be influenced for previous knowledge of the child, own emotional response to the child or interpretive things in a biased way (discriminatory). Children’s wishes and feelings: If the observation causes distress or discomfort to the child, you should stop. If a child ask you what are you doing, explain that you are watching her doing for example playing, you are very interested in what she is doing. Show what you are writing down if the child shows interest. Stop the observation and intervene if a child might have an accident, is going to be hurt or bullied. Disability: a child who has a disability may need extra time or support when being assessed. Ethnic, linguistic and cultural background: Find out form parents about a child’s home language development, including if a child is learning English as an additional language. It is also important to understand the child’s family culture, for example in some cultures show respect to adults is important, so the child seems â€Å"withdrawn†. To Involve the parents: Parental interviews, informal chats, home visits and questionnaires can give relevant information about the child development. Observation Techniques Narrative Description The observer writes down exactly what the child is doing and saying while being observed for 10 minutes or less. Codes are usually used to help write down everything quicker. The most popular is code system develop by Kathy Silva and her colleges (1980). Example: TC = Target child; C= Other child, A=Adult; ïÆ'  = Speaks to, eg. TCïÆ'  A Advantages No special equipment is needed. Very objective method. Enables to focus clearly on one child. Give detailed information about the child. Disadvantages Difficult to note down everything if the observer has not developed a good coding system. Difficult not to be interrupt. Checklist Description Use a list of skills typical for the age group of the  child we are observing. Normally used for Physical and Social development observations. Advantages Quick and easy to record and easy to understood. Observations can be carried out during different days. Familiar with milestones of development. Disadvantages Information record is limited to what is required by the checklist. Not relevant information may not be recorded. Great emphasis on the â€Å"milestones† of development, however children follow a similar developmental pattern, but they all develop in their own unique way. Time sample Description Give information about: Child’s activities (what the child is doing) Social group (who the child is with Language interactions (what the child is saying) Sometimes used when a child has difficult to interact with other children. Series of short observations (usually up to two minutes each) at regular intervals that must be decided in advance, to ensure objectivity. Advantages Good general picture of the child’s activities and interactions. To be able to carry out the observation in the normal daily routine. Disadvantages Give information just of one or two areas of development (social with some language). Can be difficult to interrupt what you are doing, or the observer may forget to observe at the time required. Personal learning Child observation is an important skill that must be learned and practiced when you want to work with children. We should have in account when we assess the child development that every child is unique and development is not directly related to age. To achieve conclusion about where child is in terms of holistic development must be an ongoing process of regular and periodic observation of the child in a wide variety of circumstances. Be aware that children have different learning styles, rates of learning and preferences therefore the assessment criteria can be met in different ways to suit the child. We should have in consideration as well the ethnic, linguistic and cultural background of the child and child’s parents and also if the child shows a disability or an additional need. Assessment a young children is not any easy task, it requires dedication, perseverance and time. The observer needs to pre-determine what needs to be assessed with regard to the child and then carefully plan what should be  collected over a period of time. In this way the observer can determinate what the child has learned or experienced. However, no matter which method of assessment is chosen, because each method has its strengths and limitations. That is why is very important to use different ways of assessing children to get an accurate, reliable level of the child development. REFERENCES Books: Flood, E.(2010).Child Development for Students in Ireland. Dublin.Gill & Macmillan. Meggitt, C, Kamen, T, Bruce, T., Grenier, J. (2011).Children and young people ´s Workforce.Oxon, Hodder Education an Hachette UK company. Website: Observation and Assessment, part â€Å"Special needs and early years†. http://www.sagepub.com/upm-data/9656_022816Ch5.pdf

Respiration and Diffusion Essay Example | Topics and Well Written Essays - 1000 words

Respiration and Diffusion - Essay Example The word equation is as follows: glucose   Ã‚   >   Ã‚   lactic acid (+ energy) A smaller amount of energy is liberated by anaerobic respiration compared to aerobic respiration. NB: Energy is indicated in brackets in each equation since it is not a chemical substance. Diffusion on the other hand is the movement of molecules of a particular substance from a region of reasonably high concentration to that of lesser concentration(wiki.answers.com ) The aspects that control the speed of diffusion consist of surface area, concentration gradient, and diffusion distance. Animals have developed to increase the diffusion speed across respiratory membranes by increase of the respiratory surface area, concentration gradient, or reducing the distance of diffusion. They are illustrated by Fick’s Law as follows: Fick’s Law of Diffusion: It states that: The speed of transmission of a gas through an area of tissue is proportional to the tissue area and the variation in gas partial pressure between the 2 sides and inversely proportional to the tissue thickness.(source) Volume of gas (per unit time)=Area/Thickness x Diffusion constant x (Partial Pressure 1 - Partial Pressure 2) dV/dt = A/T * D * (P1 - P2) Fick's Law of Diffusion looks at the rate of transfer of gases through tissues. For instance in respiration, the law governs the rate of transfer of Oxygen that comes from alveoli to the blood through the thin blood gas obstacle, and Carbon Dioxide in the reverse direction. (Karp, 2010). The outcome of this correlation is that the Carbon Dioxide will diffuse about 20 times more quickly compared to Oxygen through the tissue areas. This variation is as a result of the solubility of Carbon Dioxide being elevated and therefore raising the diffusion constant. The diffusion constant is relative to the solubility divided by the molecular weight square root. The Fick’s law equation can be practical to different localities and elements of a tissue. Diffusion of gas across thicker parts of tissue will reduce gas diffusion time contrasting to thinner tissue. In addition, bigger area influences the speed of diffusion, by presenting a raise in the volume of gas diffused (Sherwood, 2007). Respiratory system organs Respiration is attained through one’s mouth, nose, trachea, lungs and diaphragm. Oxygen gets into the respiratory system through the mouth and the nose. The oxygen then goes to the larynx and the trachea. In the chest opening, the trachea divides into two lesser tubes known as the bronchi. Every then splits again to form the bronchial tubes which go to the lungs where they split into several lesser tubes which attach to alveoli. The oxygen that is taken in pass through the alveoli then diffuses through the capillaries into the blood in the artery. Temporarily, the polluted blood from the veins liberates its carbon dioxide into the alveoli. Carbon dioxide takes the same course out of the lungs when one breathes out. A diaphragm assists in pumping carbon dioxide outside the lungs and draws oxygen into the lungs. As it relaxes and contracts, respiration occurs. It is by this means that one breathes in and out. Circulatory system The system includes the heart and the blood vessels and circulates blood all through the body. An individual’s body has approximately 5 liters of blood constantly circulating through the circulatory system.

Leadership and Ethics for Managers Unit 4 DB SA First Week Essay

Leadership and Ethics for Managers Unit 4 DB SA First Week - Essay Example Leadership should be based on competence and not on gender. Also, the ideal type of leadership is not gender based but should be based on characteristics. True, masculine trait has it good qualities and so is the feminine trait. These traits should be combined to form a set of leadership qualities that should be idealized by both genders. I chose Secretary of State Hillary Clinton and Oprah Winfrey. Hillary Clinton probably is one of the most powerful women in the United States and even in the world. She is smart, assertive and gracious and could be United States next President. She makes decision that affects the lives of many people both here and abroad. I also chose Oprah Winfrey not just for the success of her television show but also on the issues that she is advocating in her show. She also upholds positivity and learning and makes people believe in themselves. Oprah basically used her celebrity status to make a difference in other people’s lives. She may be very rich but she is not ostentatious and gives huge amount of money to

The U.S. government reaction to the Enron Scandal Research Paper

The U.S. government reaction to the Enron Scandal - Research Paper Example This paper focuses on response made by the government as a result of Enron scandal. The chaos caused economic losses to it stockholders and people have lost trust to the financial community. It has rendered the Code of Conduct and Ethics an insubstantial piece of covenant that could be disobeyed by seniors when they chose to do so. This paper used published literatures and materials in order to review government’s reaction on the said scandal so that risks of same incident are apprehended. An aftermath of the investigation showed perpetrators of the crime were persecuted, and the creation of a legislative Act that offered strict regulations and changes on the financial reporting. Enron was the 7th biggest corporation in the United States in 2001. It was founded in1985 and was involved in electricity, natural gas, communications and paper companies. The collapse of Enron in 2001 created ripple effects to its investors, its creditors, banks, employees, and the government. It has shattered the confidence of people to the financial markets and brought financial losses to its stakeholders, unemployment, and closure of two giant corporations, the Enron, and Arthur Anderson (AA). AA was also one of the largest accountancy and auditing firms in the world, and was the auditing firm of Enron. A long period of time has passed since then, and it is the duty of the government to take action on this big financial mess. Focus of this paper is to know what have been the reactions of the U.S. government toward this. Methodology Qualitative research using secondary sources of information, published articles, and journals will be used to establish information required. Knowing what the government has done to give justice to the people who lost money and employment will rebuild its trust to the financial system. Background Enron was the 7th biggest corporation in the United States in 2001. It was founded in1985 and was involved in electricity, natural gas, communications an d paper companies, but was better known for its matchless style of business operation of futures trading of gas and electricity and creation of new unusual markets of commodities as broadcast time for advertisers, internet bandwidth, and weather futures. From a $9 billion revenue in 1995, its annual revenues rose to over $100 billion in 2001. So, the world was shocked to find out that it has filed for bankruptcy in the mid -2001. What was unknown to the public before the bankruptcy was that Enron’s reported financial condition was covered with systematic, organized and planned activities to cover up the losses of Enron. The drop of Enron’s stock price from $90 per share in the mid-2000 to less than $1 per share at the end of 2001 caused 11 billion dollars of losses to shareholders (Yuhao Li, 2010). Findings and discussions a. Violations of Ethical Practices Causes of bankruptcy in Enron is a tangled web of unethical practices committed by the Auditor, senior management , laxity of government rules, investment houses, banks and board of directors, stock analysts who kept on pushing Enron’s stocks and media frenzy.(Tesfatsion, L. 2011) Causes of bankruptcy is also deeply seated on breaking the rules of The Code of Conduct and Ethics wherein truthfulness was not followed by management by not announcing the true health of the company and conflict of interest. There was conflict of interest between the role of Andersen as Auditor and as a Consultant for Enron. The report of accounting irregularities on reports of Enron, and the admission of AA’s employees tearing of documents and evidences related to Enron’s involvement had totally eroded AA’s reputation and the quality of his audits on the Accountancy field were put to doubt by his clients. As an Auditor and Consultant of Enron, AA has the duty to inform the shareholders the correct information as the report influences economic benefits for its shareholders. But in this ins tance, Anderson chose to betray the stockholders for his best

Economic Theory and Technological Change Term Paper

Economic Theory and Technological Change - Term Paper Example Commercialization is the process that turns an invention into innovation (Feldman, 2004). Innovation can be driven by new technological development or customer demand. Many new products arise from attempts to meet market demand than from new technologies. The technological breakthrough of the laser has led to various innovative applications of this technology, for example in keyhole surgery and laser-correction of poor eyesight. Windscreen-wipers used no new technology at all. They just met the market need for clean windows while driving (Different Kinds of Innovation). When most people think of corporate innovation, they think of product innovation which involves launching of a new product. Even a small improvement in a product can help keep a company one step ahead of its competitors. Process innovation may sound comparatively dull but is extremely important. In any large company, lots of people are involved in internal processes that allow the company to run smoothly and legally. These are the people in middle management, human resources, accounting, finance, administration, and the like. In general, they recognize processes that do not work well and have ideas about how to make those processes more efficient (The Four Kinds of Corporate Innovation). The economist Joseph Schumpeter’s major contribution of the economic vision of innovation has helped strengthen the theoretical base of one area of strategic management, that is, innovation strategy and innovation management within the enterprise. His theories are interesting also because they make a useful contribution to the multidisciplinary study (economics and management) of innovation.     

T-cells are MHC-Restricted Essay Example | Topics and Well Written Essays - 1500 words

T-cells are MHC-Restricted - Essay Example T-helper cells are so named because they produce and secrete protein molecules called cytokines that perform various functions within the immune system that direct and 'help' the immune response. Within the Helper T-cell group are two further subsets known as Th1 (or type 1) and Th2 (or type 2). Cytotoxic T-cells play a central role in the destruction of tumour cells and virally-infected cells, and are also thought to have an important role in transplant rejection. Differentiation of T-cells into CD4+ and CD8+ cells begins in the thymus during T-cell development. However, cells only become fully differentiated mature cells in the peripheral lymphoid system, during an active immune response. All T-cells originate in the marrow of long bones (such as the femur), and are derived from hematopoetic stem cells. Hematopoetic progenitors that derive from these stem cells travel to the thymus via the lymphatic system. Upon reaching the thymus they divide to generate T-cell precursors known as immature thymocytes (Schwarz B A, Bhandoola A. 2006). Approximately 98% of these precursor cells die in the thymus without becoming fully-differentiated T-cells, due to selection processes called positive and negative selection. The 2% of cells that survive selection eventually leave the thymus to become mature T-cells. At the beginning of the selection process, all thy... Thymocytes that bind the MHC-antigen complex with sufficient affinity (binding strength) are allowed to survive and move to the next stage of development. Thymocytes which do not bind with adequate affinity receive a chemical signal which causes them to undergo apoptosis, a process also known as programmed cell death, in which cells die in a way that cannot cause harm to the host. This first round of selection is called positive selection, because cells which bind with affinity are allowed to survive. During this process another type of selection occurs: cells which bind with MHC class II molecules develop into CD4+ cells, and cells which bind with MHC class I molecules develop into CD8+ cells. Those cells that survive the first round of selection migrate to the boundary between the cortex and medulla of the thymus. In the medulla, they are presented again with MHC molecules that present self-antigens. This time, the complex is presented by dendritic cells and macrophages, two types of antigen-presenting cells. In this situation, cells which bind with very strong affinity receive a death-inducing signal, and undergo apoptosis, while cells that do not bind with strong affinity are allowed to survive and continue development. It is at this stage, called negative selection, that the majority of developing T-cells die. Negative selection is a particularly important part of the development process, as it prevents the development of T-cells which react to self-antigens, and thus prevents the development of auto-immune disease (Baldwin TA, 2004). The cells that survive both positive and negative selection are mature nave T-cells, which then leave the thymus and begin to circulate in the lymphatic

Crime Reports for Washington State Essay Example | Topics and Well Written Essays - 1000 words

Crime Reports for Washington State - Essay Example al., 2004). This is significant because the number of arrests for both whites and blacks have a dramatic inverse ratio; nearly twice the number of white arrests were for DUI, yet 33% more blacks were arrested for drug abuse than for DUI, making blacks the only minority with more arrests for drug abuse than the other two minorities. The state of Washington has taken dramatic steps to end racism and gang violence by implementing strict laws in schools to end sex and race discrimination. This law was enacted in 1975 (Office of Superintendent of Public Instruction website, n.d.), enacted and bolstered by the OSPI through the construction and publication of guidelines, which were put into place in 1984. This reflects the success through education intervention that discrimination and racism can be discouraged through education. That is not to say that these problems do not exist in Washington State; a recent study conducted by George Bridges of the University Of Washington found disturbing news regarding the treatment of black youth in the juvenile justice system (Joel Schwartz, 1999). According to Bridges' findings, black juveniles received more severe punishment than their white counterparts. Moreover, Bridges says that "the reports tend to depict crimes committed by blacks as being caused by internal attributes or aspects of their character, such as being disrespectful toward authority or condoning criminal behavior, while white juvenile crime was more likely to be blamed on negative environmental factors, such as being exposed to excessive family conflict or hanging out with other delinquents." In the areas making enormous efforts to educate their way out of racism, we now have the problem of "unconscious racism" and stereotyping. Bridges goes on to explain that while the Washington State probation and corrections officials do seem to truly care for the state's youth, they carry the same type of concerns about blacks being more likely to re-offend than whites, just as civilians do, hence the harsher punishments. Since no real research has been conducted in Washington State in regard to racism

Know the benefits of an online presence Essay Example for Free

Know the benefits of an online presence Essay In this assignment I have to identify and describe five principal benefits that businesses gain by having a simple online presence. Remote locations The internet is a boon to anyone who lives miles away from a main shopping centre because they can simply select the items they want and order them online. This is vastly increases the choice of goods and services available to someone who lives in the highlands and Islands of Scotland for example. Customers with travel difficulties Even people who live in urban areas may not be able to get around as easily as they would wish from mothers with young babies to the elderly. In this case, it is far more convenient to buy online particularly when the whether is bad. Poor transport links In many rural areas bus services are very limited and train services may be non-existent or mainly available during the rush hour. Whilst it may be worthwhile taking a long or tedious journey on a special occasion, most people would prefer to make routine purchases quickly and easily online. Marketing Benefits Marketing benefits relate to those gains a business makes in a relation to knowing more than its customers, being able to target its products, services ad the website itself to meet Their needs. This will also make there company well known to other foreign countries and will be willing to do a transaction knowing of there prestige Compete with competitors The aim here is to prevent competitors getting online edge. This may be improving on the products, or services offered, the speed of delivery, the cost of delivery and/or constantly reviewing the style and design of the website itself to utilize new technological developments. It is quicker and easier to understand and compare competitor activities online than by visiting their stores or obtaining information on their products and services offline. Market research There are several ways in which organizations can obtain information from users of its website methods which you can do this is Through log files and cookies both log files and cookies collect information on site usage and provide valuable marketing information. Users can set their browsers not to accept cookies and not al sites have these. Every site, though, produces log files. These are the data records created by the web server that hosts the site Website activity software provides more detailed analysis of the log files than ISP would provide. Subscribers can find out which search engines drive traffic to the site, which pages are the most popular and particular page, that might be significant. Online Market Research this can range from a small pop-up questionnaire that asks a user to assess their online experience to comprehensive customer survey sent by an e-mail to registered users of the site or to volunteers who have agreed to form an online focus group. Rapidity of response to customer interest A web presence provides the opportunity to respond quickly to customers but not all firms take advantage of this. A website can provide several opportunities for customer contact, such as call me buttons and e-mail messages, but speed of response is vital Research has shown that internet users expect a faster response than customers who enquire by telephone or letter.

A Study On A Stakeholder Approach Business Essay

A Study On A Stakeholder Approach Business Essay How should corporate boards deal with trends favouring an engagement with the ethical dimensions of business and stakeholder orientation, and with any potential tensions of this engagement with shareholder returns. Illustrate your analysis with recent specific examples â€Å"All the work contained within is my own unaided effort and conforms with the Universitys guidelines on plagiarism.† This essay explores the role of the board, different stakeholder perspectives on ethics and offers practical insights for handling them. Shareholders are significant stakeholders that expect higher returns on their investment than with risk free savings. Yet organisations cannot exist in isolation; operate without employees or acceptance by broader society. This human dimension periodically conflicts with the wealth creation objective. Employees and society are also important stakeholders, holding different perspectives. Milton Friedman (1982) Edward Freeman (1984) The only group with a moral claim on the corporation is the people who own shares of the stock (shareholders) Many groups have a moral claim on the corporation that derives from the corporations potential to harm or benefit them (stakeholders) Freeman et al (2007) The dominance of investor rights, the diminishment of good, moral decisions question if we should consider value systems when assessing a business decision. The focus is on the conflicting demands of labor, government, investors, and managers in the hopes of resolving the ‘inherent conflicts. As such, one group must dominate in order to win. Stakeholders contradictory values require consideration by the CEO to select an appropriate strategic path. Stakeholder Group Interests Ethical Dimension Managers Power, prestige, compensation, legacy Potential conflicts of interest with shareholder value Customers Service, product quality, value Not taking defective product to market No price fixing, participating in cartels, no misleading advertisements Creditors Security of capital CEO may pursue overseas expansion policy putting funds at risk for unknown returns Suppliers Regular payments, continuity of business Avoidance of paying or soliciting bribes. Policy on acceptance of gifts. Shareholders Dividends, Capital growth, safe Short term vs. long term strategy. Returns from low cost countries may be through exploitation Government Taxes, Employment Tax avoidance schemes. Corruption in developing nations may require payment of â€Å"facilitation† fees Society No harm to employees. Employment. Preservation of environment Movement of jobs to low cost countries and ensuring health and safety practices followed even if country has lower standard. The CEO/management team are also stakeholders. Thus, tensions exist between the management and the governance board, which have a fiduciary duty to the principals (shareholders). The Board performs due diligence to ensure the appointed executive managing the firm acts appropriately in the interests of shareholders. An agency problem, where the goals of the shareholders (maximising returns) and the (management) agent are in potential conflict is challenging for the principals to confirm the agent is acting appropriately. E.g. the CEO wishes to pursue an ethical approach in the supply chain that costs more than the current standard, that shareholders find unattractive due to lower returns. A strong board could experience tensions in power and influence such that non executive directors use their position to balance control in the interests of shareholders. The boards ability to replace the CEO is the ultimate threat, which should also ensure compliance with any ethical code. A firm wit h good governance wouldnt combine the roles of Board Chairman and CEO, due to conflict of interest. Non profit organisations without shareholders also balance stakeholder concerns. Ethics, the moral principles that guide organizational behaviour are an area where a strategic choice can be made to be a leader (active stance) or merely respond to legislation (passive). Its the purview of management to determine the ethical position. The organization develops a code to support the practice. The ethical stance is likely to lead to diverse stakeholder opinions. For the ethical standard to be meaningful, performance should be measured. Business results still matter but so do how they were achieved. The emergence of the triple bottom line concept, which states that measures of Corporate Social Responsibility (CSR) should be included equally with financial and other performance indicators has highlighted the ethical position of firms. Bartlett (1990) Concerns about shareholder value have begun to influence major strategic choices, and not always to the good. While its reasonable that shareholders expect a return on their investment, many are short term holders looking for quick returns. With CEOs under pressure to produce immediate results, fundamentally conflicting values emerge within the companys stakeholders. An ethical stance could cost more through sustainable sourcing, investing in people and supporting auditing procedures. The additional expense burden may be considered too high in the current challenging economic climate. Abandoning ethical principles could be costly if Governments/trade associations levy fines for standards violations or adverse publicity results in loss of sales. Application of the Environment Strategy Competencies Organisation (ESCO) framework, Heracleous (2009), identifies potential stakeholder tensions around ethical issues, which will be discussed later. Environment Political Increasing legislation on pollution advertising. Standards for minimum wages and safety. Social Growing concern for quality of life creates pressure to reduce exploitation and conserve the environment/resources. Increasing number of pressure groups representing under privileged groups with special interests. Economic Globalisation of companies requiring many to operate in developing countries. Technological New technologies alter working practices such as automation reducing manual labour but balanced against employment loss. Strategy Low cost Outsourcing/off shoring to low cost countries requires thorough audit to meet ethical standards Differentiation Marketing ethical products at a premium requires rigorous compliance programme. Higher standards may apply to belong to â€Å"ethical† funds or associations Core Competencies Service excellence Cost control Ethics as core value helps appreciate customer perspective. Ethical position may be higher cost Organisation Process Procedures, checklists or guidance on ethical issues available and training to support Seek synergies with ethical dimensions Culture Embed values in organisation stories, management living the values. Align reward system with ethical results People Selection and retention through ethical values. Board competent to challenge management Holistic personnel development Ethics training Structure Ethics officer role, decisions on how to operate overseas may be influenced by level of control Society expects organizations not to harm employees or the environment. For profitability in the current business situation, organizations cant afford to have an ethical image at odds with the values of contemporary society. Its good for business to take ethical positions, which can directly influence consumers and also indirectly shape government perceptions of the industry to help avoid legislative hindrances. Porters (1985) bargaining power of consumers and suppliers of labour, are increasingly influenced by ethics. An ethical approach to employment through non discrimination and fair pay assists in the attraction and retention of talent that avoids further associated costs. As ethics involves exercising judgement its not easy to teach. Paine (2000) For many, running the numbers is a more enjoyable type of mental activity than deliberating about the issues. As the less favored cognitive capacities fall into disuse, they can be expected to deteriorate. This makes it harder for board directors to make sound decisions and also for firms to train personnel and codify. Yet this complexity is no excuse for not trying. The firm may target the ethically/socially aware consumer segment. Firms with high active engagement are considered â€Å"ethical organizations† where their philosophy drives both what the company does and how it achieves it. This requires commitment to high standards, rigorous training and monitoring/publishing of data. Management evaluates the advantages of this approach and determines if its appropriate for the business. There may be significant consequences for failure to deliver potential loss of status in â€Å"ethical† funds with associated loss of investment and potential decrease in market capitalisation. Some ethical funds use shareholder pressure to bring about changes in company policy. Usually an active screening process will remove organizations from the fund that have behaved negatively with respect to core values such as corruption or exploitation. There are different ways to take stakeholder views into consideration when making company decisions and it would be advisable to have principles to guide the process. Power brings influence, so large multinational companies in particular have high ethical/social impact. This can be harnessed as a force for good. However, whether it is the role of organisations is debatable. Increasingly consumers and businesses prefer to purchase from organisations with high ethical standards. Trudel and Cotte (2009) found †¢ consumers with high existing ethical expectations will allow a greater price premium †¢ punishment is greater than the premium prepared to pay †¢ companies neednt be 100% ethical to be rewarded Organisations pursuing an ethically responsible differentiation strategy could market at premium price provided consumers are educated about those products. Certain consumer groups may push for the entire range to be ethical which may increase costs or otherwise prove challenging. Equally consumer expectations may shift and force 100%. Governance At lower levels, management should enforce the ethical principles that have been set. There are two possible approaches: through compliance or integrity (value) based. Managers should explain the position with respect to issues that employees are likely to face like accepting gifts that may be deemed inducements. If employees believe their ability to do their job is negatively impacted they might not support the principles. The organisation ought to ensure rewards align with desirable behaviour and there are consequences for non compliance. Exploration of ethical issues When short term shortages exist, such as with swine flu medication an ethical debate for management may surface as to whether to exploit the situation and request higher prices. However, pharmaceutical companies elected not to, as they position themselves, as highly ethical and apparent profiteering from vulnerable people would contradict their stated values. Public sensitivity to drug pricing is high. Yet pharmaceutical companies choose to obey the letter of the law with respect to low cost generics rather than its spirit, which allows them to continue to reap high financial returns for modest payoffs. While they claim to use the revenue for further research its arguably at odds with the greater benefit of society not all stakeholders are equal. MSN (2009) As part of its drive to cut health care costs, the Obama administration wants to stop payments pharmaceutical companies make to generic drug makers to delay the launch of cheap copies. Drug companies have successfully argued in court that their patents allow them to make the deals. Conformance with legislation is expected. Companies that violate rules are rightly punished. Pharmaceutical companies could find the Obama response is more severe than the prior value of legal compliance. Marketing There are obvious ethical issues associated with advertising to children. Other marketing issues that may stimulate debate between management and the board are withholding information that may adversely influence purchase decisions or handling unhealthy products. The Independent (2009) French government bans all advertising of mobile phones to children under 12 is announced by the Environment Minister, and he will ban the sale of any phone designed to be used by those under six. The majority of children in Western society have mobiles and many firms have used â€Å"pester power† to their advantage. The introduction of legislation confirms societys distaste for the practice and good boards should have used environmental scanning to see this trend emerge, proactively determine a favourable company stance and if necessary challenge management executives on their policy. Failure to clean up ones own area can lead to harsher standards when Governments are forced to act. The firm should recognise the importance of satisfying different stakeholders but agree that customers are vital, as it costs less to retain customers than to attract them. Reichheld (1994) found a 5% increase in customer loyalty led to significant increases in profits (25 100%) through further purchases and recommendations, providing a cost effective marketing advantage. A strong ethical stance could be a strategic lever to generate consumer loyalty. Innovations that are more environmentally friendly or ethically based are key for future success to align with societys expectations and could also be a source of competitive advantage. Ethics may become a tiebreaker between competitors so companies need to understand key customer values that drive purchase decisions. Ultimately consumer pressure may require ethical standards to become a core business driver rather than representative of the philanthropic values of the company. Tobacco firms have been heavily criticised for their advertising. BAT has gone beyond the requirements of legislation in many countries and is proud of their stance as evidenced on their website. Operating responsibly If a business is managing products which pose health risks, it is all the more important that it does so responsibly. Our International Marketing Standards (IMS) set down detailed guidance on all aspects of tobacco marketing. Central to the IMS is our long held commitment to ensuring that no marketing activity is directed at, or particularly appeals to, youth. The IMS are globally applicable. Adherence by our companies forms part of our regular internal audit process. We publicly report any instances of incomplete adherence each year. Supply Chain The Co operative website declares While other retailers have recently discovered the commercial benefits of an ethical approach to business, our beliefs define who we are. Were proud that our ethical approach started in 1844 when the Rochdale Pioneers established a set of values and principles in response to a society that was being exploited. Understandably the co op is the UKs longest supporter of Fairtrade products. Fairtrade ensures producers operate sustainably and applies a premium for investment in education healthcare or farm improvements. UK Fairtrade sales have increased 4267% since 1998. (Fair trade website). The Co op also offers banking, which operates ethically including its investment portfolio. They experience little conflict between stakeholders positions as they trade on their philosophy. The Guardian reported Primark fired three of its Indian clothing suppliers after discovering they were using child labour to work long hours in poor conditions. Many organizations are pursuing cost cutting in the current economic climate. However, there are clearly ethical and monitoring issues related to outsourcing to low cost countries. Global trading now impacts even minor purchasing decisions. Financial concerns like tax efficiency and lower overheads are increasingly becoming a more important element of competitive (cost reduction) strategy. This puts pressure on management to ensure such sourcing is conducted to appropriate standards and a robust audit programme exists for overseas subcontractors. With management from a distance there are options for visibility and control. The debate to exercise a high degree of control in local markets may mean elevated costs associated with establishing a subsidiary or joint venture. As the higher costs of ethical control may not be in the best financial interests of shareholders this conversation may reach the Board for discussion of congruence with the financial position and overall strategy. In some countries managers preferentially employ family members. From an ethics perspective employment should be offered to the best qualified candidate. It can readily be envisaged that managers put pressure on employees to meet targets and this may give rise to ethical dilemmas. The tensions that arise could be simply whether to lie about the reason for a late delivery to appease a client. However, honesty is what most people desire and forcing this issue could damage the company reputation if it later came out, but is also likely to demoralise employees such that they disengage in other aspects of their work, standards fall and higher costs ensue. The board would want evidence that management are fostering the correct approach in the culture of the organisation so access to reports is fundamental. Mintzberg (1983) viewed shareholders control as inadequate as they are usually passive. However, Shell shareholders voted against the companys executive pay plan (BBC 2009). This increased shareholder activism was prompted by poor performance and high executive rewards were inappropriate in such circumstances. The board should have a compensation committee to recommend appropriate levels and be cognisant of public opinion. Stakeholders, including some shareholders consider excessive pay unethical. Corruption Guardian (Dec 2008) Siemens Ex chairman and chief executive Heinrich von Pierer is under heavy suspicion of failing to stop the bribery when he and his board were informed. He has consistently denied any knowledge of corruption. Without naming names, the DoJ/SEC findings point the finger at the former board for failing in its fiduciary duties. Siemens is already demanding compensation from 11 former executives. as part of the US settlement, Siemens made Theo Waigel, former German finance minister, its first compliance monitor. At Siemens organisational culture permitted participation in bribery as an acceptable standard of conduct. There was insufficient influence from the board to fully embed an ethical stance in the processes or daily culture. Nor did the board or management set an appropriate tone as a cultural reference point. The board had an obligation to prevent illegal practices. They should have realised the risks of non compliance and sought pertinent information if it was not offered. Siemens should have had a compliance role at senior management level. There is less flexibility in the response when its mandated than had they been proactive. The board didnt effectively monitor management on behalf of shareholders or evaluate the CEOs performance in an honest and open manner. As CEO and chairman roles were combined one person had a high degree influence. While this may have made it harder to challenge him they should have used their legitimate powers to do so. They failed the interests of shareho lders and didnt perform their fiduciary role, which is serious dereliction of duty. Further they ignored their role of understanding and determining strategic risks and ensuring compliance with laws and regulations. Siemens competed aggressively and unfairly with their competitors. They risked Government intervention to free markets and financial loss. As illustrated the introduction of a code of ethics is not sufficient by itself to encourage ethical behaviour. Senior management should positively support a cultural change to foster the appropriate values, patterns of thinking and behaviour. As McKinney and Moore (2008) attest: The mere existence of written codes of ethics cannot be expected to be the answer to the international bribery problem. Ethical behavior must be modeled in the corporation from the top down so that it permeates the entire organization. Organizations should utilise HR practices to recruit /select for promotion people who model the correct values, provide further training and align incentives to objectives around ethics. In extreme cases they may need to discipline people for non compliance. BP reports how many employees it has fired for violations. In some countries gifts/incentives to companies or government officials are prevalent. Even in civilised societies like Japan use gifts but a policy will help prevent confusion. Bribery, extortion and facilitation fees are more clearly delineated as unethical conduct. Firms need to determine their level of engagement, which may acknowledge it, exists and try to change practice from within or avoid altogether. Head office has to set the tone for overseas managers who may feel they should adopt the local custom because they see it as acceptable through continued exposure. Telegraph Mabey website Mabey Johnson plead guilty to 10 charges of corruption and violating sanctions. The company tried to influence officials in Jamaica and Ghana when bidding for public contracts. It also paid more than â‚ ¬422,000 to Saddam Husseins regime. Mabey Johnson faces fines and will make reparations to Jamaica, Ghana and a UN programme which benefits Iraq. It has agreed to an internal compliance programme carried out by an SFO approved independent monitor. The SFOs director said: These are serious offences and it is significant that Mabey Johnson has co operated with us to get to this landmark point. This †¦is a model for other companies who want to self report corruption and have it dealt with quickly and fairly. Peter Lloyd, (new) managing director, said: We deeply regret the past conduct of our company, and we have committed to making a fresh start. Staff have been retrained and sales and associated systems reviewed. The move follows the companys voluntary disclosure to the SFO of evidence that it may have engaged in corrupt practices. The information came to light in the course of an internal investigation by the companys solicitors. Five of Mabey Johnsons eight directors have stepped down since spring 2008 when the company told the SFO of the corruption offences. Excerpt from their code of ethics: policy not to offer, give or accept bribes, excess hospitality or substantial favours Failure to align with the environment is a common mistake evidenced by Siemens and Mabey. Secondly the organisational elements of process, structure and culture are critical factors where misalignment highlights ethical tokenism saying one thing but rewarding another. Kerr (1975) found people respond to what they think others value so hoping for a positive outcome while rewarding contrary behaviour is a mismatch. Organisational culture can seriously undermine strategy and the pursuit of ethical objectives. If the reward system doesnt encourage ethical conduct and managers or board turn a blind eye to conduct in order to achieve business objectives its no surprise that employees follow suit. Discussion The companys strategic direction could incorporate an ethical position that becomes a differentiator. As value drivers are different for the various points on the ethical continuum, management makes conscious trade off decisions in selecting a particular strategy, which may be dependent on firm specific factors and their core competencies. There is also a balancing of ethics and economic logic. Innovation to meet new regulations or ethical demands by consumers can mean better products and services are developed, providing a competitive edge. Technology now exists to recycle rubber from training shoes into playground flooring. Conformance with legislation is the minimum expectation and companies that violate the rules increasingly face more acute and vocal penalties for unethical conduct such as disruption of shareholder meetings. Successful companies with formal ethics rankings have codes of conduct, CSR/ethics officers, demonstrate management support and publish results on the company scorecard (e.g. Boots). Practical checklists would be helpful for employees to record decisions and also enable effective monitoring to take place. Good governance requires moral fibre and mental fortitude to make difficult judgment based decisions. Boards are accountable and need to use their powers to enforce the appropriate actions. Companies could seek compensation for board failures to act so the acceptance of the role comes with responsibilities. Good stewardship of the companys ethical integrity is an important board role. Recommendations Boards should proactively engage in strategic decisions, overseeing compliance and fulfilling their obligations. In addition, a mitigation plan to deal with disclosure of unethical behaviour is beneficial. Boards should take immediate action on any violations and review the circumstances for lessons learned. Scenario planning could identify possible scandals so boards can prepare how to respond while maintaining the highest ethical position possible. In Siemens case they were defensive, reactive, and slow, taking action after the public were aware. Conversely at Mabey they uncovered the issue themselves through audit, contacted the authorities and took a proactive stance using their website to communicate the issue and resolution. They even obtained valuable 3rd party endorsement for their actions from the Serious Fraud Office, who held them up as an example. Boards reviewing strategic choices need access to data and useful tools. They should use their legitimate authority to request information if its not forthcoming. As well as investigating misalignments highlighted in an ESCO model the board are advised to apply the Cultural Administrative Geographic Economic (CAGE) distance framework (Brennan 2009) to proposals for operating overseas. This tool highlights the types of issues to be encountered and shows risks that might otherwise be overlooked in a traditional country portfolio analysis. The Board could then determine if operating in the proposed country is economically viable and doesnt compromise their ethics position. Detailed economic analysis may be required as overseas financial rewards are often over estimated the costs of corruption could offset lower production costs. Hills, G; Fiske,L Mahmud, A (2009) Corruption adds expense throughout the corporate value chain and can lead to costly operational disruptions. Current studies suggest corruption adds more than 10 percent to the cost of doing business in many countries, and that moving business from a country with low levels of corruption to a country with medium to high levels is equivalent to a 20 percent tax. Cultural Administrative Geographic Economic Diverse ethnic backgrounds in workforce potential discrimination issues. Society norms do not include basic safety or hygiene factors. Child labour prevalent Gifts accepted practice Political ambivalence may require organisation to pay â€Å"facilitation fees† Remoteness and time differences may risk diluting organisations values Different attitudes to quality more likely to approve defective or dangerous products. Higher costs of training employees in developing nations to internal standards. Higher potential for fines with less educated workforce With so many aspects to ethics a critical limitation of this review is the range of dimensions covered. Conclusion The role of the board in oversight of organizations is critical to ensuring shareholders interests are appropriately reflected amongst diverse stakeholder views. While there may be some tensions, increasingly opinion on ethical issues is aligned and organizations are expected to operate to a moral code. Ethics are context specific as countries have different standards. Judgment on ethical issues isnt easy. Hence ethics programmes should cover overarching principles, and firms should have processes to train personnel and monitor results. Over time societys values can change and new trends emerge, so environmental scanning is important for all strategic positioning, including ethics. Boards should review this information and managements perspective on what opportunities these conditions create to set strategic direction. The pressure to perform financially has adversely influenced ethical decision making and embedding an ethical philosophy within the organisation is challenging, yet br ings significant rewards. References Bartlett CA, (1990), Facing up to Complexity, McKinsey Quarterly, Spring pp27 35 Brennan (2009) Warwick MMBA Strategy Practice course notes delivered June 8 12. Freeman, RE ,(1984) Strategic Management: A Stakeholder Approach, Pitman, Boston, MA Freeman, RE, Martin, K Parmar, B, (2007), Stakeholder Capitalism, Journal of Business Ethics, vol 74, pp303 314 Friedman, M, (1982) Capitalism and Freedom, University of Chicago Press, IL Heracleous L, Wirtz J Pangarkar (2009) Flying High in a Competitive Industry Secrets of the worlds leading airline, McGraw Hill, Singapore, p172 Hills, G; Fiske,L Mahmud, A, (May 2009), Anti corruption as Strategic CSR: A call to action for corporations, Ethics Resource Center, accessed from www.ethics.org 1 Jul 2009 Kerr, S (1995) On the folly of rewarding A, while hoping for B, The Academy of Management Executive, Vol. 9, Iss. 1, pp 7 15 McKinney, JA. Moore, CW., (2008), International Bribery: Does a Written Code of Ethics Make a Difference in Perceptions of Business Professionals, Journal of Business Ethics, Vol. 79, Iss. 1/2; pp 103 12 Mintzberg H, (1983), Power In and Around Organizations, Prentice Hall Englewood Cliffs, NJ Paine, Lynn Sharp, (2000) Does Ethics Pay?, Business Ethics Quarterly, Vol. 10, Issue 1, pp319 330 Porter, M, (1985), Competitive Advantage, The Free Press, NY Reichheld FF, (1994), Loyalty and the renaissance of Marketing, Marketing Management, 2, 4 pp10 20 Trudel, R Cotte J, (2009), Does It Pay to Be Good?, MIT Sloan Management Review, Vol. 50, Iss. 2, pp 61 68 www.news.bbc.co.uk/1/hi/business/8058103.stm accessed 1 Jul 2009 www.co operative.jobs/ourbusinesses/food/ethics accessed 1 Jul 2009 www.ethics.org accessed 7 July 2009 www.fairtrade.org.uk accessed 1 Jul 2009 www.guardian.co.uk/business/2008/dec/16/regulation siemens scandal bribery accessed 7 July www.guardian.co.uk/world/2008/jun/22/india.humanrig

Developing a Blue Ocean Strategy

Developing a Blue Ocean Strategy Introduction Currently many companies have to face the challenge of competing with steadily increased competition in their industries. This high amount of competition often leads to a high cost and price pressure which usually results in low margins for the companies. These markets are called the red oceans. One possibility to break out of these red oceans and to increase the margins for the company can be handled by creating a Blue Ocean. Such a Blue Ocean is a market space where the competition is irrelevant. Aim The aim of this paper is to explain how to create such a Blue Ocean and to discuss the degree of novelty of the Blue Ocean strategy. On the one hand this will be done by explaining the belonging theory. On the other hand two cases of innovative companies will be described and analyzed on basis of the Blue Ocean strategy. Blue Ocean Strategy Concept The market set is divided into two categories which are called oceans: Blue Oceans and red oceans. Red oceans are the known market space as it exists today, with all the various industries. Competitive rules are defined and barriers are clear and accepted. Competition exists among players to gain a bigger share; the more players are on the market, the fewer prospects for profit and growth is existent. Cutthroat competition turns the red ocean bloody.  [3]   Blue Oceans on the other hand represent the opposite they are the unknown market space with industries that are not existent today. Demand is not created by competitive rivalry, because the rules of the game are yet to be set. There is substantial opportunity for profitable growth because of the deep potential of market space that is not yet explored.  [4]   To be successful in economic performance most companies are laying the focus on competitive strategies, plenty of enthusiasm is spend on analyzing and outperforming rivals. Using the vocabulary of the authors their focus is on red ocean strategies. In the future this will not be enough to survive; in addition to swim in a red ocean companies need to create Blue Oceans.  [5]  The following image illustrates the major differences between red and Blue Oceans. Image 1: Comparison of Red Ocean with Blue Ocean strategy  [6]   Value Innovation The basis of the Blue Ocean Strategy is called Value Innovation. Competition is made irrelevant by creating value for both buyers and the company. Buyer value is created by the benefit and price that the company offers to the consumer; value to the company is created from the price and its cost structure therefore only if those two variables are aligned the strategy works. The innovation of a product/ service must create value for the market and eliminate features that are not valued by the current market. New and uncontested market space is made accessible by simultaneously differentiate and reducing costs. This strategy is contrary to common management strategies which propose that companies can either create value to customers at higher costs or create reasonable value at lower costs.  [7]  According to the authors Value Innovation is a strategy that embraces the entire system of a companys activities.  [8]  Image 2 illustrates Value Innovation. Image 2: Value Innovation  [9]   Analytical tools and framework There are three basic tools that will help companies to build a Blue Ocean Strategy. The strategy canvas The strategy canvas is a tool that helps to build a Blue Ocean Strategy. It highlights the current situation in the known market space and shows the offering level that buyers receive across several key competing factors. By illustrating these factors in a simple matrix a graphic description in form of a value curve is visible. This value curve shows a companys relative performance within its industrys factors of competition.  [10]  By illustrating the current situation of an industry the strategic focus can be shifted away from current competition to alternatives and noncustomers, a redefinition of the industry can be constructed.  [11]  Image 3 illustrates a strategy canvas with an example of an Airline. Image 3: Strategy Canvas  [12]   The four actions framework This tool uses four key questions to lead to a new value curve: Which of the factors that the industry takes for granted should be eliminated? Which factors should be reduced well below the industrys standard? Which factors should be raised well above the industrys standard? Which factors should be created that the industry has never offered?  [13]   The first two questions give an insight in how to reduce the cost structure in comparison to other players in the industry. Question 3 and 4 give insight into how to lift buyer value and create new demand.  [14]   The eliminate-reduce-raise-create-grid This tool is supplementary to the four actions framework. It gives companies the possibility to act on all four questions answered before to create new value. The four factors of what to eliminate, reduce, raise and create are put in a matrix and by that scrutinize every factor the industry competes on.  [15]   Formulating Blue Oceans strategies Reconstruct market boundaries In order to break away from the competition the first principle is to reconstruct market boundaries. The challenge is to find possibilities of Blue Ocean opportunities. During performing research across various industry sectors the authors found a basic approach to remaking market boundaries, the six path framework.  [16]  This framework is applicable in all kinds of industries and all are based on looking at data from a new perspective. These are the six paths: Path 1: Look across alternative industries Path 2: Look across strategic groups within industries Path 3: Look across the chain of buyers Path 4: Look across complimentary product and service offerings Path 5: Look across functional or emotional appeal to buyers Path 6: Look across time  [17]   By analyzing each of the single paths companies will be able to get an insight into how to open up Blue Oceans by rebuilding market realities and leave behind conventional boundaries of competition.  [18]   Focus on the big pictures, not the numbers The approach to the strategic planning process is based on drawing a strategy canvas, as it is explained in the section of analytical tools and framework of this document. A structured process for developing a strategy canvas has been developed, which is called the Visualizing Strategy.  [19]  As the name implies, this process uses visual stimulation with the purpose to unlock peoples creativity. The main focus here is laid on the big picture rather than on defined numbers and operational details.  [20]   Reach beyond existing demand To achieve a maximization of the size of the Blue Ocean you are creating the focus should be laid on two things: The analysis of non-customers and finding out strong similarities of what buyers value.  [21]  This is a reversed approach to common strategies, where the focus is on customers and customer differences. The three tiers of non customers The challenge is to find out who the non-customers are and get a deep understanding of them. The authors describe three tiers of non-customers that eventually can be transformed into customers. The first tier of non-customers is closest to your market and would stay and increase their frequency of purchases if a leap in value would be offered to them. These non-customers also referred to as soon-to-be.  [22]  The second tier of non-customers is further away from your market and aware of offerings in it but has consciously voted against them. These non-customers are also referred to as refusing.  [23]  The third tier of non-customers is farthest from your market and has never considered its offerings as an option. These non customers are also referred to as unexplored.  [24]   By analyzing each of the three tiers an understanding of the non-customers can be developed to attract them into your market and expand your Blue Ocean.  [25]   Get the strategic sequence right The fourth principle of Blue Ocean Strategy focuses on the challenge to build a sustainable business model that will make profit on your Blue Ocean idea. The idea here is to use sequences and key criteria within a sequence to reduce business model risk.  [26]  Each sequence has a key question that has to be asked. If answered with no the sequence has to be reshaped. If answered with yes one can move on to the next sequence. The four sequences are: Buyer utility: Is there exceptional buyer utility in your business idea? Price: Is your price easy accessible to the mass of buyers? Cost: Can you attain your cost target to profit at your strategic price? Adoption: What are the adoption hurdles in actualizing your business idea? Are you addressing them up front?  [27]   With this sequencing as a starting point further analyzing of strategic pricing, target costing and finally the profit model is developed.  [28]   Executing Blue Ocean Strategy Overcome key organizational hurdles The challenge to execute the strategy of Blue Oceans is significant, since there are changes made from the conventional way of doing things. The authors present four common hurdles in the execution: The cognitive-, political-, motivational- and resource hurdle. Dealing with those challenges in form of hurdles with tipping point leadership is the key to make Blue Ocean Strategy happen in action.  [29]   Build execution into strategy The sixth principle of the Blue Ocean Strategy is about building commitment and trust into the strategy from the start. The focus is laid on a fair process as a key variable that distinguishes successful Blue Ocean Strategy moves from those that failed.  [30]   Case analysis In this section, we intend to describe and analize two cases of innovative companies (Virgin Galactic and Petrobras) based on the Blue Ocean theory. Virgin Galactic Description of Virgin Galactic Virgin Galactic is a company which belongs to the Virgin Group. This group was founded 1970 by Sir Richard Branson and is one of the leading brand venture capital organizations of the world. The group has created more than 300 branded companies in a variety of different industries, employs around 50,000 people and generated revenue of approx. US$ 18 billion in the year 2009.  [31]  Based on them the success of this group derives from the power of the Virgin name, Richard Bransons personal reputation; our unrivalled network of friends, contacts and partners; the Virgin management style; the way talent is empowered to flourish within the group.  [32]   The Virgin Galactic company has the aim of making private space travel available to everyone by creating the worlds first commercial spaceline.  [33]  Virgin Galactic will create, own and operate spaceships, the SpaceShipTwo. To achieve this goal the Virgin Group uses it experiences in aviation, adventure and luxury travel combining with the technology developed by Burt Rutan. The company was founded in the year 2004 and is located in New Mexico. The SpaceShipOne became the first private spaceship with high altitude-flights in the year 2004. The successor of this technology, the SpaceShipTwo, has seats for two pilots and six passengers. Every passenger has to pay US$200.000 with a deposit ofUS$20,000. At the moment 340 passengers have registered for this service.  [34]  So far 450 people have ever been to space, the goal of Virgin Galactic is to take 1,000 people to space within the first year of commercial operation.  [35]  The first commercial flight shall start in the year 2012.  [36]   The mothership of the SpaceShipTwo, the WhiteKnightTwo, will take the SpaceShipTwo to a height of about 16km and then release it. At that point the rockets of the SpaceShipTwo will boost and bring it to a height of about 100km.  [37]  There it will fly for about five minutes in which the passengers have a magnificent view at the earth and can enjoy weightlessness. Afterwards the space ship will decrease the altitude and land at its base in New Texas. The first flying tests of the WhiteKnightTwo were executed successfully and the SpaceShipTwo completed the first manned glide flight in October 2010.  [38]   At current stage the company Blue Origin which is based close to Seattle is also working on a private space ship.  [39]   Analysis of Virgin Galactic The analysis will start by discussing the Value Innovation of Virgin Galactic. So far tourism in space was available for seven specific persons who paid in average US$ 25 million for staying about 14 days at the ISS.  [40]  The clear buyer benefit of Virgin Galactic is to make this tourism available for nearly everybody who can afford paying the US$200,000 which is less than 1% of the price so far. Moreover, these space trips also add value to Virgin Galactic as it will earn US$200,000 for every passenger having already 340 on the waiting list. Virgin Galactic clearly succeeded in creating a Value Innovation. In the following the strategy canvas for Virgin Galactic will be developed to see the value curve in comparison to its competitor the stay at the ISS.  [41]   As principal factors the following was defined: price, safety, request for personal attributes and easy preparation for the trip.  [42]  As seen in image one the Virgin Galactic company enables a much more comfortable and convenient stay as the previous tourism on the ISS. This is also based on the lower requirements a person has to fulfill to be able to execute this tourism and the lower time-investment. Image 4: Strategy Canvas of Virgin Galactic  [43]   Considering the four action framework Virgin Galactic reduced the costs by eliminated the factors that a stay in space has to be combined with a long duration and cost-intensive stay at the ISS and with cost-intensive rocket starts. Furthermore, they created the factor that nearly everybody would be able (from physical requirements  [44]  ) to go to space with a low time-investment and a comparably low amount of money. They increased the convenience of space-tourisms to a very high extent. In conclusion, they managed to dramatically reduce the costs while increasing the perceived value of the passengers which are interested in some minutes of weightlessness and seeing the earth from the space. Virgin Galactic also concentrated on the so called non-customers as the total number of customers was seven so far. They identified the implicit wish of most people to go to space once. Organizational hurdles The cognitive hurdle cannot be applied as Virgin Galactic did not start in a red ocean but directly entered the Blue Ocean with the start of the company. The hurdle resources will probably be not a big burden as the first flying tests went successful, customers on the waiting list already paid close to US$7 million as deposit and Sheikh Mansour invested US$280 million in this business.  [45]  Furthermore, the Virgin Group and the state of New Mexico are supporting this business. The motivation of the employees and managers is high which is also pushed by Richard Branson personal interest in the success of this company.  [46]  The political hurdle could be implemented by making new laws for required safety standards. But already in 2004 the US congress passed a law which allows passengers to fly into space with the understanding that these vehicles might not be as safe as regular airplanes. Furthermore, the governor of New Mexico supports this company  [47]  and the Virgin group has a high political power. In conclusion all the hurdles were passed successfully by Virgin Gallactic. Build execution into strategy From the beginning Richard Branson declared the vision of this company to make private space travel year 2004. Conclusion In final conclusion, Virgin Galactic entered a Blue Ocean from the beginning. It decreased the costs and made space travel available to everyone by creating the worlds first commercial spaceline. Virgin Galactic works towards this clear vision with having the first commercial flights very likely eight years after its foundation in the previous tourism in space and increased the value of it by leveraging especially the convenience for the customers. Moreover, it went beyond known customer space by offering this service for less than 1% of the costs so far. It managed the organizational hurdles and created a strong vision from the start. Although other companies as e.g. Blue Origin try to create space tourisms this ocean is deep blue so far for Virgin Galactic. Petrobras Description of Petrobras Petrobras was established on October 3, 1953 by the president of Brazil, Getà ºlio Vargas, to undertake oil sector activities in the country. In the early 1970s, the members of the Organization of the Oil Exporting Countries (OPEC) rose the international prices substantially, triggering the so-called Oil Shock. As a result, the market was troubled and marked by uncertainty. In order to overcome the difficulties, the Brazilian government adopted economic measures in order to overcome the supply of oil. Some examples of these measures were the encouragement for use of ethanol as automotive fuel and prioritizing offshore exploration and production. With the measures, the government intended to reduce the dependency on importing a very expensive product and to create an industry to create jobs and exports. These tasks where given to Petrà ³leo Brasileiro (Petrobras) for being executed.  [48]   Producing ethanol for powering the nation 1975 marks the beginning of the production of Ethanol by Petrobras in Brazil aiming to drive the large-scale substitution of oil based vehicular fuels for biofuels. Substituting gasoline for ethanol (produced from sugarcane and manioc) led to 10 million fewer gasoline fuel cars running in Brazil, reducing the countrys dependence on imported oil.  [49]   Today Brazil is recognized as the world leader in the production of ethanol for industrial purposes, based on the most advanced agricultural technology for sugarcane cultivation in the world and to the amount of arable land available in the country. In 2010, the Brazilian ethanol produced by Petrobras was designated as one of the most advanced biofuels due to the 61% reduction of green house gas emissions.  [50]   Pioneering in deep waters In 1984 the company discovered one of the biggest reserve in deep water ever registered in the world. The Albacora field was discovered; proving the existence of giant fields nestled at great depth in Brazil. This marked the beginning in deepwater exploration for the company. By 1986 the company, which until then purchased technology, was faced with the challenge of producing oil at a depth of 400 meters. After surveying the market and finding out there was no technology available for this depth, the company decided to invest in developing new technologies. This was an extremely ambitious project, since, at the time, Petrobras had been exploring at depths of 150 meters and had plans for 1000 meters by 1990. This project turned out to be a great success and the company is currently the global leader in this area. By 2005, Petrobras sets the record of drilling depth with a sloped that reached 6915 meters beyond the bottom of the sea.  [51]   Petrobras achieves self sufficiency In 2006 Brazil became a self-sufficient country in oil and gas production. With an average of 1.9 million barrels per day, Brazil went on to exporting more oil and oil products than it imported. It was like a dream came true, only possible because of the technological efforts and dedication of the employees. Since this point, Petrobras is the most profitable company in the Brazilian economy, being recognized as the eighth biggest oil exploring company in the world.  [52]   In the upcoming years, Petrobras intends to invest in using and developing new renewable energy sources. The portfolio of new projects includes wind, solar and water energy sources and fuel hydrogen. The intention is to reduce even more the dependency on oil, delivering the necessary energy sources to Brazil in order to sustain the intended growth of the upcoming years. Analysis of Petrobas Petrobras success can be summed up in one word and that word is innovation. This company faced the challenge of turning one of the biggest countries in the Americas from a big consumer of imported oil to self sufficient in oil and gas production. This strategy was based on focusing on the big picture (producing its own oil and become an exporter of petroleum) rather than finding a temporary solution for importing oil in the 70s, when the biggest crisis of oil prices occurred. Value Innovation They broke away from the competition by reconstructing market boundaries. For each challenge they faced, they were able to create and develop the necessary technology that didnt exist in the market, becoming a leader in deepwater oil drilling. They reached beyond their existing demand by having more oil available than they need for their own consumption. They also created value to the country by reducing the amount of CO2 in 61% emitted by cars and public transportation thanks to the introduction to ethanol and biodiesel. Brazil became a more efficient country thanks to the use of their natural resources for powering the nation. By mixing ethanol with oil, Petrobras has managed to increase the value for customers by creating a reduction of oil prices  [53]  and by guaranteeing the oil supply they reduced the dependency on foreign companies. Strategy canvas We have decided to explain the differences between the two largest producers of Ethanol in the world, Brazil and U.S.A. As we have mentioned before, Petrobras is the only company responsible for the production and distribution of ethanol in Brazil. Image 5: Stragegy Canvas Petrobas  [54]   As we can see in the figure xx, Brazil is the second largest producer of Ethanol in the world (6,500 million gallons in 2009  [55]  ) behind the United States (10,900 million gallons in 2009  [56]  ). But, the total area used by Brazil for cultivating their sugar cane (3.6 million hectares  [57]  by 2006) is far less than the land used by the United States (10 million hectares  [58]  in 2006). This means that the productivity per hectare is superior in Brazil than in the United States. Another important thing to mention is that thanks to the mixture of Ethanol and oil in Brazil, green house gas reduction has been reduced considerably (89%  [59]  ), increasing the value the company gives to their customers. Organizational hurdles The hurdles are based on the theory mentioned in the first section of this project. During the oil crisis of the 70s, the company faced the challenge of completely changing the paradigm of production. In the cognitive hurdle, we can say that the employees understood completely the need of the company and were able to transform the company. In the second hurdle resources, we can say that the company successfully understood that they needed to invest a great amount of resources in RD in order to increase the efficiency of the production of ethanol and also to raise the drilling depth for oil extraction. Motivating employees on a thirty-year-old project has been an enormous challenge for the company. They have managed to succeed by achieving small goals each year, increasing the level of satisfaction and trust towards the leadership of the company. Finally, the political hurdle was managed correctly due to the implications of the transformation project, involving the government, the management and employees of the company. Build execution into strategy As we mentioned before, the strategy was clear from the beginning: Reduce the dependency of oil and turn the country into a self-sufficient country. The facts speak for themselves, the whole company aligned in order to achieve the goal and it is an example on how to implement the Blue Ocean strategy. Conclusion So, why can the strategy of Petrobras be considered a Blue Ocean strategy? First of all they focused on creating value for the country by reducing the amount of oil imported and gaining self-sufficiency. As a consequence, they were able to reduce considerably the prices of gasoline in Brazil and the dependency of external factors to develop the country. They achieved this goal by innovating in ways to reduce consumption of oil (alternative fuels like ethanol and biodiesel) and exploit the potential the country had in its coasts, regardless the technology available at the times. In the last twenty years, Petrobras has become a key player in the success of Brazil to achieve development. The upcoming years for this company look really bright, thanks to the investment they are doing on other alternative means to produce electricity (water, solar and wind), improve the efficiency of alternative fuels and by creating the necessary technology for increa