Consultative selling Essay

For the last five years, I have held the fulltime sales position of Client Partner with a performance improvement origination. In this roll, I sell individual, team, and organizational solutions to mainly Fortune 500 and Fortune 100 organizations. My position as a Client Partner is a consultative sales job. I partner with clients helping them achieve better results. Consultative sales are quite different and very unique, from traditional or transactional sales. In the Consultative sales it is not about convincing the potential client that you have the product they need, or how you have the best price. Consultative sales are about results based conversations. Key concepts to Consultative selling are relationship building, effective listening, and closing the sale. Within the role of consultative selling, one must have the ability to build relationships, demonstrate effective listening, and then close the sale in order to be successful. I have been in this role for nearly five years. The last two years have been spent in the field, meeting face to face with clients and potential clients weekly. The face to face meeting is essential to the consultative sales role, as this is where the three key concepts are demonstrated. Prior to moving to the field, I had very limited experience in live consultative selling. My first year was really trial by error. I am confident in this first year; I lost many sells and even client relationships due to my lack of skills. However, I can recall one of the most satisfying consultative selling face to face client meetings where using all three key concepts, resulted in a large client engagement. The client was Orica they are the largest manufactures and full service explosive organization specializing in the mining and engineering fields. I received a call from someone in Orica, the individual was technical lead, and she was looking for time management training. She did not want to spend much time with me on the phone, nor did she want me to come out and meet with her face to face, she simply wanting the course outline and pricing to be sent over to her. This is the non-optimal consultative selling situation. However, two weeks later, I heard back from her, stating she wanted to go forward with the time management training program. Again during this conversation, she limited how much information she wanted to provide. All she communicated was this was for an engineering group of 25 employees who had challenges around working very long hours. In addition they were challenged with too many emails in the day. Although any sale is very much appreciated, this sales situation is not optimal. With consultative sales we are looking to solve business problems. If we do not fully understand the problem (diagnose) we cannot solve it (prescribe). Most often when we land sales as these, the clients do not reach the desired results, resulting in no future sales. During this work-session, I went out and sat in on the time management training. I joined in one of the tables. I began to participate to principals outlined in this session. This allowed me to hear the group responses to the questions, hearing what the actual challenges this particular group faces. Throughout the program, I checked in with my contact and would ask however thing was going. Unfortunately, she would not have much to say. Shortly after the work session ended I received a call from my consultant who delivered the program. He communicated to me that within the group today the Vice President of Learning and Development for Orica had been a participant. At the end of the session, the Vice President asks our delivery consultant many questions about the particular solution, and its capabilities. Due to the lack of communication from my original contact, I was never aware this executive would be attending! It was soon uncovered that there was building interest. The fact that there could be additional opportunity was great news! Two days later I called on the Vice President of Learning and Development for Orica, as soon as the conversation began, my intent was building a relationship. I called the Vice President asking for an appointment, with the intent of hearing his feedback on the work session along with giving a high level view of who FranklinCovey is and potentially have a deeper dive in conversation if he felt it was in alignment with Orica. I did not lead the conversation with what else I could offer Orica, but really wanting to hear his thoughts. He immediately agreed to appointment. The next day I drove out to his office. In the key concept of relationship building, one of the ways to do this is with a face to face appointment. In addition one must lead with questions that are personal, this always help to build rapport and allows me to really begin to understand the client. The second part to the questioning is to demonstrate effective listening. As soon as I arrived for the appointment, almost immediately as we shook hands I notice he had a unique metal bracelet on with multiple engravements. I asked him about the bracelet, and this began a fifteen minute conversation, he explained that he served two terms in Afghanistan with the United States Navy as an E. O. D. (Explosive Ordinance Device). The names inscribed on the bracelet are those friends who were killed. I spend the next hour really trying to understand him personally. I asked question, after question, the conversation flowed so naturally. The conversation evolved to where I uncovered his biggest challenge in moving to the civilian world which is finding purpose. There I had begun to build his trust. The questioning and effective listening have paid off. Through effective listening I navigated the conversations from personal question, to business framed questions. I really began to question the current organizational strategies, and structure, and goals. When I demonstrated effective listening, the questions naturally flow. The conversation did not sound interrogative, but genuine. Through this conversation, I uncovered so much more than just organizational time management needs. It allowed me to uncover the fact they are looking for a global time management solution, they needed a project management solution, an entry level managers training program, and even a solution to help them execute on their goals. Almost always when I schedule a face to face client meeting, it is always scheduled for an hour. This client appointment had gone nearly two hours and forty five minutes. The meeting thus far was spent building the relationship though effective listening. During the late portion of the conversation I looked down at my page full of notes, it is time for me to make my recommendation. I made a series of recommendations. My first recommendation is around the time management needs, then project management, then I tie in all the global and manager needs. I held off on the execution needs for the time. At the final closure of the meeting, I make the promise to send him what we talked about and the associated pricing. He shakes my hand and communicates he has already made his decision, and he would like to start with the first phase immediately. Because I was able to build the relationship, demonstrate effective listening, I did not have to sell him on the data. He didn’t need case studies, or industry comparisons, or how our solutions match to their competencies. He trusted me. He believed I did have the solution. He was ready to move. Had I not had the meeting with him, and was limited to the first contact within Orica; I would have never had this account produce what it has. When I initiated my face to face meeting with the potential client, I recognized almost immediately how well he responded to my personal questions. Walking into the meeting I knew what needed to be achieved, I needed to be closing a sale. I was aware of the key concepts behind a consultative sales role, but was unsure how I would achieve this. Opening the conversation with a personal question relating to his bracelet he was wearing, immediately set the tone for the remainder of the time together. It really was exciting to have the conversation flow so naturally. One question led to the next and the next after that. It was an enjoyable conversation that allowed me to learn so much about the client personally and his background with the war. I also enjoyed hearing more about his transitions and its struggles moving from military to civilian organizations. During this time of the conversation, I was not concerned about talking about the solutions I could offer, or how I would close the sale, I was simply engaged in what the client had to say. With this appointment I was able to experience first hand why being face to face is vastly more valuable than a virtual meeting. Had I not been meeting with this client face to face, I would have not seen his bracelet, and chances are never had the opportunity to ask him about his background. I also realized that once I was in the midst of this personal conversation that was so very interesting, I was able to demonstrate effective listening. Because of the nature of the conversation, I was easily able to listen effectively. As I ask one question, how he responded would result in my next question. I was able to be very specific in my questions, really trying to understand the personal challenges he had face along with the new challenges as a result of becoming a civilian. As I reflect on the results of listening effectively, I realize how I was able to navigate the conversation to uncover many challenges within the organization. At the end of the client meeting, I looked down at the notes I had taken. I was genuinely impressed by how specific and deep my notes were. I could now make very specific recommendations. This really was an experience I had wanted for very long. The more specific and clearer understandings of what the client’s needs are the clearer and more specific of a recommendation I can make. As I talked through the solutions and then followed it up with the recommendation on next steps, the client was extremely engaged. He was even surprisingly enthusiastic, that I was able to provide solutions to the challenges to which he had been tasked. What came as an even bigger surprise, he agreed to my recommendations on the spot! He wanted to talk though the details of starting the implementation. This was the first client appointment I had experience where I had demonstrated building the relationship, through effective listening resulting in a client agreeing immediately to the recommendation. As a result I know have a deep pervasive relationship with the client who is so fulfilling and rewarding. In addition to this joyous relationship, I also have a large revenue producing account. This is the dream of every sales person. Since experiencing such success in executing the three key concepts, I have change and altered how I facilitate a face to face client appointment. I now see that the face to face appointment is more impactful and valuable to the sales process. Demonstrating the three key concepts at the meeting is vital to the success of my business. When meeting face to face with clients, I focus on building the client relationship by primarily focusing on the person to whom the meeting is focused. If I can build repoire by effective questioning and listening, the recommendation, and making the sale will come much earlier. This experience has also resulted in deeper personal relationships. In addition to applying these principles in a professional environment, I have now begun to practice these concepts in personal relationships. I spend time really focusing on gaining deeper relationships through effective listening. I have now gained the experience on how to grow deep pervasive relationships. An essential element of sales is building client relationships. â€Å"The fastest way to get what you want is first to help others get what they want† (Gaffney 2010). The best behavior change we can make as a sale professional is to simply get over ourselves and start focusing on our client and their needs. â€Å"Commonality of purpose unites you with people; it builds rapport that leads to trust and to the development of a long-term, profitable relationship’ (Graffney 2010). The key first step of the sales process is establishing trust though development of the relationship. The client or potential client is not interested in what we have to say or what we are selling, unless they see how it is in their best interest. When engaging with client the universal truth â€Å"Focus on the client is the key to getting what you want† (Graffney 2010). When meeting with a client, we need to maintain this as a paradigm; building the client relationship and not falsely ‘pretending’ to be interested. The interest generated prior to the sale must be intentional and genuine. A clients sustainable success is based on the principle; â€Å"success in business is about-helping your client, not helping yourself’ (Graffney 2010). The top 10 percent know that they can only be successful if they’re focused on helping people rather than helping themselves making the sale. Consultative selling is about starting a dialogue to uncover a prospect’s problem and then helping them solve the problem in the best way possible. In order to uncover the problem we must have the ability to not only ask questions, but to demonstrate the skill of effective listening. Listening is both a behavior and a skill† (Bonet 2001). Many believe they have the skill of listening. Effective listening is â€Å"receiving information, giving meaning to the information, deciding what you think or feel about that information, responding to what you hear† (Bonet 2001). Most of us are not good listeners. Research indicates â€Å"We listen to 25% of our potential which means, we forget, ignore, distort, or misunderstand 75% of what we hear† (Bonet 2001). When we are able to listen effectively we are able to â€Å"understand problems, and build relationships† (Bonet 2001). If we are not effectively listening to prospects or clients; how is trust established? Without trust there is no client relationship. â€Å"Consultative selling, in a nutshell is the art of effective questioning, listening, and probing the client to effectively ascertain their problems, challenges, goals, and objections; then presenting solution options, which is customized to meet their specific needs and are designed to form long-lasting working partnerships with the client to maximize their investment (Bennett 2006). Consultative selling us focused almost exclusively on the clients rather than the product they are selling. The object is to understand the client’s situation to the degree that the â€Å"sale and implementation of the product or service becomes a seamless integral part of the client’s ongoing business operation† (Bennett 2006). It is apparent when the sales individuals executes successfully on building the client relationship through effective listening, advancement of the sell through competent recommendations is inevitable. The success I experienced from the client face to face meeting has the potential to change almost all of my personal engagements with others. For example; by applying the same concepts to both personal and professional relationships I can deepen and broaden these relationships. The skillset of being intentional on building relationships through effective listening can transform almost any relationship. People enjoy talking about themselves. If we genuinely want to develop and grow any relationship, personal and professional, by taking the attention off of ourselves, and focus on the learning about others, people respond positively. The behavior of effective listening communicates to the individual that they are unique and special. I have learned that people are accustomed to only talking about themself. People are often pleasantly surprised when they learn you are not there to talk about yourself, but rather learn about them! Prior to this experience I would be very nervous and almost sick over high value appointments. I was under the belief that I need to have a strong business case, and with that alone, I would be able to make the sale. This experience demonstrated that focusing on the client through effective listen is the most effect way to gain sustainable results. I will now have the confidence and ability to meet and work with larger more complex clients. By applying the same principles of building the client relationship though effective listening, I can make competent recommendations, that the client will trust. This will allow me to grow my business and the depth I am able to penetrate. Finally since this experience, I am now aware the building relationships requires being intentional. A quote that really emphasis this, is by former GE CEO, Jack Welsh â€Å"Be interested, not interesting†. The experience with this particular client taught me how true this statement is. I have since experienced the same success in the personal setting as I did in the professional. I look forward to additional successes, based on this model.

The Relationship Between Job Satisfaction and Employee Turnover Rate

The Relationship Between Job Satisfaction and Employee Turnover Rate Introduction Adelphoi Village is a private, non- profit company that provide community based services to children and adolescents in the Pennsylvania, Delaware, Maryland and West Virginia area. Adelphoi Village provides programs and services that strive to guide each youth on a path that will provide meaning, purpose and value in his/her life. Founded in 1971, Adelphoi Village has expanded to serve over 800 youth in 60 different counties.Adelphoi Village conduct several different services which includes, group homes, foster/adoptive services, charter school, multisystemic therapy, education services, diagnostic, in-home services, specialized independent living, secure care, mental health programs and other services that overlap to form a complete continuum of care for children, youth, and families. One of the departments under Adelphoi Village’s umbrella is its Multisystemic Therapy (MST) program.The MST prog ram provides intensive in- home family therapy to youth who are involved with Department of Juvenile Justice or Child Protective Services. The MST therapist strive to empower the parents with the skills and resources needed to become independent in addressing the difficulties that arise in raising adolescents, and to assist the youth in developing life-long coping skills. In the MST program families receive in home therapy 2 to 3 times a week for two hours each session. The therapist carries a caseload of 4 to 6 families and is on call for the families 24/7.I have been working for Adelphoi Village’s MST York program as a MST therapist since July 2012. The Adelphoi Village MST York team consists of one supervisor and four therapists. The MST York team covers the entire York County, PA area. In order for the company to be at the maximum number for productivity the MST program needs to be fully staffed. Adelphoi Villages MST York program therapist does not only perform the deman ding duties of MST, but also performs several other demanding duties making the job very intensive and unbearable.Due to the intensiveness of the job this program has had and continues to have a very high turnover rate which could be due to the employees being over worked and underpaid. Employees are dissatisfied with their job which causes them to leave and search for other employment. Before I started with this company the MST York team was down one therapist for about a year. Before then the team was down two therapists for about two and a half years. Currently we are looking to hire two new therapists to start working with the team.There have been 10 interviews set up; however, only 3 people have decided to interview with the company. Others have stated that they changed their mind about working for the company because the job is too demanding and lacks the pay that they are looking to obtain. Problem Statement Adelphoi Village’s MST program experiences a high turnover ra te each year. For the MST York team it is very hard to keep the team at full capacity due to the dissatisfaction of their employees. Employees’ needs are not being met and they are being overworked with lack of appreciation, low pay, and low incentives.This paper will examine the relationship between job satisfaction and employee turnover. This paper will identify the causes of employee turnover and how it relates to job satisfaction. This paper will also identify examples on how the company could increase job satisfaction for their employees, thus decreasing employee turnover. Literature Review Wang, Wang, and Yang (2012) conducted a research study comparing public and private employees’ job satisfaction and turnover in Taiwan.The population consisted of 500 employees in the public sector and 500 employees in the private sector. Questionnaires were used to collect data from employees of various private enterprises and public organizations. The results showed that the job satisfaction and turnover intentions of public employees are different from those of private employees (Wang, Wang, and Yang 2012). Researchers found that public employees in Taiwan have lower extrinsic job satisfaction and lower turnover intentions compared to their counterparts in the private sector.Wang, Wang, and Yang (2012) reported that job satisfaction is found to be negatively associated with turnover intentions. When employees are dissatisfied, they think more of quitting their jobs. Dissatisfaction may stimulate from lack of pay, lack of job security, lack of incentives, and lack of appreciation. If those who are dissatisfied continue to stay on in their jobs, their low work motivation will decrease the overall performance of the organization (Wang, Wang, and Yang 2012).Lanham, Rye, Rimsky, and Weill (2012) conducted a study on how gratitude relates to burnout and job satisfaction in mental health professionals. Sixty-five mental health professionals including; counsel ors, case managers, clinical administrators/supervisors, employment/housing specialists, social workers, and psychologists completed questionnaires assessing demographics, job context variables, hope, gratitude, burnout, and job satisfaction. Lanham, Rye, Rimsky and Weill (2012) stated that mental health professionals are at high risk of burnout and turnover.Burnout which results from persistent work stress, involves emotional exhaustion (mental strain attributed to job Stressors), depersonalization (mentally distancing oneself and adopting a more impersonal view of other people), and decreased sense of personal accomplishment. Burnout can adversely affect both personal health and organizational functioning (Lanham, Rye, Rimsky and Weill 2012). Another positive psychology construct that may affect burnout is gratitude, which involves being aware of and appreciating good things that happen and taking the time to express thanks (Lanham, Rye, Rimsky and Weill 2012).There are several re asons why gratitude might relate to less burnout and higher job satisfaction among mental health professionals. Gratitude motivates pro-social behavior and corporate social responsibility. Lanham, Rye, Rimsky and Weill (2012) stated that since so many factors contribute to burnout and workplace satisfaction, agency administrators need to examine the extent to which agency policies contribute to employee burnout and job dissatisfaction. Huning and Thomson (2011) conducted a study on an empirical examination of the impact of performance attributions and job satisfaction on turnover intentions.Participants consisted of 363 graduate and undergraduate students. Participants completed a survey related to attributes, job satisfaction, and turnover intentions. Results show that job satisfaction mediates between causality attributions, stability attributions, and turnover intentions. Job satisfaction has been defined as a pleasurable emotional state the results from the appraisal of one's jo b (Locke 1976). Job satisfaction describes an affective reaction to one's job as well as attitudes toward the job.This in turn suggests that job satisfaction is formed from affect, cognition, and ultimately will result in satisfaction contingent job-related behaviors (Huning and Thomson 2011). Huning and Thomas (2011) found that job satisfaction is the central variable in among the central theoretical and empirical contributions in employee turnover. Lambert, Hogan and Barton (2001) conducted a study on the impact of job satisfaction on turnover intent: a test of a structural measurement model using a national sample of workers.Based upon the literature, a structural measurement model incorporating four core antecedents of turnover (i. e. , demographic characteristics, work environment, job satisfaction, and turnover intent) was developed and tested using a national sample of American workers. The results indicate that the work environment is more important in shaping worker job sat isfaction than are demographic characteristics, and that job satisfaction is a highly salient antecedent of turnover intent. Finally, job satisfaction is a key mediating variable between the work environment and turnover intent (Lambert, Hogan and Barton 2001).Camp (1993) conducted a study on Assessing the Effects of Organizational Commitment and Job Satisfaction on Turnover: An Event History Approach. Camp examined two types of subjective measurement of the work environment, job satisfaction and organizational commitment, which are often thought to be related to turnover. Camp (1993) found that organizational comm itment, as measured by both commitment to the overall organization and the more specific institution, is inversely related to turnover among correctional workers at the Federal Bureau of Prisons.Analysis Job satisfaction and turnover have a strong correlational relationship. Turnover is the ratio of employees leaving jobs with a company as a percentage of total employees in the organization. Job satisfaction is commonly linked to turnover ratios. Employees who are generally satisfied at work tend to stay, while dissatisfied employees often look for other work. Many factors affect the level of satisfaction among employees. Pay is noted as a key factor to job satisfaction (Kokemuller 2010).Other factors that affect job satisfaction include; job security, appreciation, work conditions, co- workers and supervisor support, and gratitude. It is noted that as job satisfaction increases, absenteeism tends to go down, and as job satisfaction decreases, absenteeism often goes up (Schermerhorn 5). Taking care of job satisfaction today can be considered an investment in tomorrow’s performance potential (Schermerhorn 12). Solutions There are many ways that employees as well as the administrative staff can increase job satisfaction to avoid turnover.One of the most tangible things that employees can do to increase job satisfaction is to get organized. Mana ging your workload efficiently can help increase job satisfaction. When you become organized it can create a since of relief in your everyday work load. Another way employees can increase personal job satisfaction is to develop an optimistic point of view and change negative self talk patterns. This will assist employees with viewing things in a more positive light. Employees can also reward and recognize self for doing a wonderful job.Many jobs fail to recognize employees for doing a great job; employees can treat themselves to a movie or to a spa, to recognize the fact that they are making a wonderful impact on their company. Administrative staff can also begin to incorporate rewards and recognition into daily practices. When employees feel recognized and appreciated by the administrative staff if creates a since of belonging and willingness for employees to do their best in carrying out their jobs. Companies could also offer employees flexible work schedules and better pay.Easing an employer's work schedule can reduce job loss and keep training costs down. Offering employees better pay could also reduce job loss. Companies could also begin to encourage open communication between management and staff. For example, management could install a comment box in the lobby of the office for employees to drop in written feedback so that an understanding of why employees feel dissatisfied could be communicated between management and staff. Reflection In completing this paper I have learned how job dissatisfaction relates to turnover rate and burnout in employees.I have learned and understood the factors that lead to job dissatisfaction and how to create personal job satisfaction. I recently decided to leave Adelphoi Village and obtain employment with another company. Although I am doing similar work, I have decided to work with a different company that offered my better pay and more stability. I understand that in my line of work as a therapist that there is a high jo b burnout and turnover rate in this field. I have to use what I have learned in completing this paper and in class to create personal job satisfaction.Positive self talk, self recognition, and self reward are some of the ways I can continue to create personal job satisfaction which in turn will lower my burnout and turnover rate. Reference: Camp, S. (1993) Assessing the Effects of Organizational Commitment and Job Satisfaction on Turnover: An Event History Approach. The Prison Journal, 74(3), 279-305. Huning, T. , Thomson, N. (2011) An Empirical Examination of the Impact of Performance Attributions and Job Satisfaction on Turnover Intentions.Journal of Organizational Culture, Communications and Conflict, 15(1) Kokemuller, N. (2010) Job Satisfaction and Turnover. Retrieved on October 14, 2012 from http://www. ehow. com/info_7746396_job-satisfaction-turnover. html Lambert, E. , Hogan, N. , Barton, S. (2001) The Impact of Job Satisfaction on Turnover Intent: A Test of a Structural Meas urement Model Using a National Sample of Workers. The Social Science Journal. Lanham, M. , Rye, M. , Rimsky, L. , Weill, S. (2012) How Gratitude Relates to Burnout and Job Satisfaction in Mental Health Professionals.Journal of Mental Health Counseling, 34(4), 341-354 Locke, 1976 cited in Brief, A. P. , ;amp; Weiss, H. M. (2001). Organizational behavior: affect in the workplace. Annual Review of Psychology, 53, 279-307, p. 282 Schermerhorn, John R.. Organizational Behavior, 12th Edition. John Wiley ;amp; Sons, 11/2011. ;lt;vbk:9781118426319#outline(1. 5. 3. 2);gt;. Wang, Y. , Wang, K. , Yang, C. (2012). Comparing Public and Private Employees’ Job Satisfaction and Turnover. Journal of Public Personnel Management, 41(3), 557-573.

Bdo Benchmarking Assignment Essay

When considered in general terms Turnbull described it as: â€Å"All influences affecting the institution processes, including those for appointing the controllers and/or regulators involved in organising the production and sale of good and services†¦.. it includes all types of firms whether or not they are incorporated under civil law. † (Turnbull, 2002:181) Factoring in all other definitions, in its simplest terms it can be defined as the â€Å"exercise of power over corporate entities† (Clarke, 2004). It is not the same as the management and the running of the company, it is concerned with how the Board of Directors, who are the governing body of a company, supervise management, because it is they who are responsible for holding the management of a company accountable and ensuring the company is being ran in a way which is favourable towards the shareholders and other stakeholders. It is the Directors’ responsibility to develop strategy and policies for the ompany and to determine the direction the management should take the business in and the Directors have overall responsibility for the performance of the company (Tricker, 2012). While the phrase ‘corporate governance’ wasn’t coined until the 1960’s and not commonly used until the 1980’s, it has really been in a gradual process of evolution since the 16th century and joint venture trading. One of the major developments in world economies which brought the need for corporate governance to the fore was the introduction of limited liability companies in the 19th century. What this meant was when companies were incorporated they became a separate legal entity, separate from their shareholders and with similar legal rights to buy, sell and transfer shares and assets, to employ people and to sue and be sued in the name of the company. This meant the liability for any company debts lay with the shareholders and not the management or the company. Add to this the fact that because of the introduction of the stock market, shares could be easily bought and sold, meaning the shareholders could be vast in numbers and have a large geographical spread. Due to the fact that all corporate entitites need to governed, the implications of this were that the management (executive control) and the shareholders (owners) were often separated (Tricker, 2012). Situations such as these, are where corporate governance is deemed to be most necessary because there is a root assumption, that members of management who do not own the company are likely to be more reckless with someone else’s money, i. e. the company’s, than they would be with their own money (Having Their Cake, 2013). This is known as the agency dilemma, which will be expanded upon later. Electing a Board of Directors who have the interest of the shareholders at the forefront of their mind, allows members to indirectly oversee the actions undertaken by the management, in order to ensure that as agents of the shareholders, the management is performing in line with the best interests of the corporation (Lashgari, 2004). 1. 2. Selection of a Case Company However, as Turnbull pointed out in ‘Corporate Governance: Its scope, concerns and theories’ (2002), having a restriction of only publicly traded corporations in studies of corporate governance, limits the validity of any onclusions drawn about the most efficient arrangements for corporate institutions with regards to good governance practices and the effect they have on a company’s performance. As Jensen said in 1993: â€Å"Privately held entities could provide the most form of enterprise. † (Jensen, 1993, cited in Turnbull, 2002). It was with this in mind that I chose BDO LLP UK (BDO), which is an incorporated partnership company in the UK, which is owned and ran by its members/partners. It is a company which offers financial accounting, audit, tax and business consultancy services (BDO LLP UK website, 2013). . 3. About the UK Financial Accounting and Audit Sector With the ever increasing focus on corporate governance for companies across the World, not just in the UK, audit firms such as BDO, KPMG and Deloitte are becoming more important because it is there job to ensure that companies are adhering to regulations laid out in the UK Corporate Governance Code (2010, revised in 2012). It should naturally follow that audit companies will have extremely good corporate governance practices put in place, however, this is not necessarily the case. Since 2000 there have been a number of high profile scandals within the International Corporate Financial Accounting industry, for example, Enron were found to be inflating revenues and hiding debts and there was also the Bernard Madoff â€Å"Ponzi Scheme†, where the real scandal was that the robbing of millions of pounds worth of people’s money, escaped the attention of auditors and regulators. ). Due to such scandals, many national regulators implemented new corporate governance requirements to improve standards (Mitchell Van der Zahn, 2009). In the UK new regulations with regards specifically to audit companies were also introduced, targeted directly at a certain group of companies. As of January 2010, 95% of the auditing work in the UK was being carried out by 8 firms, BDO being one of them. It was deemed that such companies had built upon their reputation to gain dominance in the UK market and the Financial Reporting Council (FRC) felt it was in the Public’s interest for these companies to be transparent and in order to maintain public trust be exemplars of best corporate governance practice. This led to the introduction of the Audit Firm Governance Code (2010) by the Institute of Chartered Accountants in England and Wales (ICAEW), which drew from aspects of the 2010 UK Code and established principles such as the appointment of independent non-executives within the governance structure of their company. While such rules did not apply outside of the targeted companies, it was the hope of the ICAEW that it would provide a benchmark of good governance for other companies to follow (ICAEW website, 2013). With such a bold statement being made about the importance of corporate governance in this field of work, it seemed to me to be an obvious choice to choose one of the 8 companies on the ICAEW’s list for my case-study. 1. 4. About BDO LLP UK As detailed earlier BDO LLP UK is an incorporated partnership company in the UK, which is owned and ran by its members/partners and it provides financial accounting, audit, tax and business consultancy services. It is the 6th largest accountancy firm in the UK and is a member of the BDO International Network, which itself is the 5th largest accounting organisation in the World. In an attempt to break into the top 4 big firms in the UK, BDO LLP UK completed a merger with PKF, a rival firm, in April 2013 (Keynote, 2013). After researching BDO LLP UK, it became very clear that corporate governance was of the upmost importance to the company. Not only did it have specific areas on its website dedicated to corporate governance and corporate social responsibility but it also had a number of relevant publications regarding corporate governance. One article for example, ‘Making Internal Audit Relevant’, discussed the high quality of corporate governance in the UK found by studies carried out by the FRC, it went on to say that this was underpinned by the UK Corporate Governance Code and that it was vital in maintaining the attractiveness of the UK market, to encourage new investment (BDO LLP UK website, 2013). My research also found that BDO had carried out a joint study with the Quoted Companies Alliance, which considered the introduction of a mandatory corporate governance code for small and mid-capital audit companies in the UK. Just as a point of fact, this was a proposition that 92% of such companies agreed with. One of the major indications that BDO think corporate governance is vital to the success of a company is that they produce an annual transparency report, which has an appendix of a statement of compliance with the Audit Firm Governance Code (2010). They have also went to great lengths to create a summary report in 2012 for businesses which they audit, detailing any changes to corporate governance regulations and focusing on leadership and effectiveness, reporting, risk, audit, remuneration and investor relations (Corporate Governance for TMT Businesses, 2012). It seems to be an interesting idea to look at a company who places so much emphasis on good corporate governance, not only for itself but also the companies it works for, to see if they do comply completely with the codes and if they are in fact â€Å"exemplars† of good practice. . Theories of Corporate Governance There are various theories and philosophies with regards to corporate governance, all of which, as a collective, have laid a foundation for the development of different corporate governance systems around the world (Lashgari, 2004). This paper will look at a number of these theories and how they relate to BDO, in order to gain a better understanding of th e governance standards at BDO. 2. 1. Agency Theory In the 1930’s, Berle and Means published ‘The Modern Corporation and Private Property’, it provided the first debate about the agency dilemma and set a basis for agency theory. They suggested that where ownership is separated from management or is widely dispersed, it becomes difficult for owners to have an effective check on the autonomy of corporate managers. The agency dilemma was further refined in the 1970’s, when theories were brought to the fore suggesting agents (managers) are likely to be self-interested and will serve their own interest before those of the principle (owners). Such theories also suggested that in order to counter this problem companies have to incur agency costs, for example, to create incentives to align the interest of the agent with the company and the cost of monitoring the conduct of agents. Many other theorists have a problem with agency theory because it does not even attempt to explore the possibility managers are not self-interested and opportunistic. However, they cannot deny that it has een very influential in developing market-based governance mechanisms and board-based governance mechanisms. Due to BDO being an incorporated partnership and their shares not being publicly traded, we will only look at the board-based mechanisms (Having Their Cake, 2013). Agency theory has caused internal reform of boards, there has been an increase in executive share options schemes, meaning that managers are being offered equity in the company they will manage, in order to â€Å"align their interest† (Having Their Cake, 2013). Agency theory has also led to the introduction of independent non-executive directors onto Boards of Directors, in order to ensure the actions of the management are being sufficiently monitored by the board themselves and role of boards have been greatly elaborated, they are becoming more involved with the setting of objectives of companies and monitoring of any actions taken by management and stricter provisions have been put in place to ensure the separation of the roles of chairmen and chief executive (Cadbury Committee, 1999). When applying agency theory to BDO, it is easy to see that there is a situation of agency and principle, with the fact that there are 193 partners in the firm and only 5 partners who are part of the Leadership Team (LT- management) which is responsible for the overall management of the company and is chaired by the Managing Partner. It is also noticeable from their 2012 ‘Transparency Report’ that all members of the LT have been partners in the company for a number of years, with currently the shortest term being 12 years. This could be considered good governance by BDO because in an effort to avoid the agency dilemma, they ensure their management team is made up of partners, whose interest is already aligned with the interests of the business. The transparency report also states that BDO have a Partner Council (equivalent to a Board of Directors) which is independent from the LT and responsible for the overall governance, in particular the oversight and accountability of the LT. They are also responsible for choosing members of the LT and for electing independent non-executive directors, for which there are 2 at BDO. These independent non-executive directors sit on the LT and report to the partner council of any issues of compliance with governance, policies and procedures, for which they are responsible for providing information on to the LT. The Partner Council is chaired by the Senior Partner who performs a client facing role and is responsible for managing all decisions. He also attends LT meetings in a non-executive capacity to facilitate his oversight role of the governance of the company (Transparency Report, 2012). As we can see the management team is subject to a lot of oversight and monitoring by the Partner Council and the roles of the Senior Partner and Managing Partner are completely separate, this is all a way of ensuring the company has a high standard of governance and to also ensure the management is acting in the best interest of the all the owners. BDO goes to a big effort in organising their governance structure in order to avoid the problems arising from the agency dilemma. 2. 2. Resource Dependence Theory This theory originated from studies performed by Pfeffer and Salancik (1978), they suggest that board members and non-executive directors can provide a firm with a vital set of resources. Non-executive directors are appointed with the expectation that they will support the organisation with its problems and to be a source of expertise which executives can draw upon for skills and advice and they can also be a source of contacts and information which they have gained through their past experience (Having Their Cake, 2013). At different stages in the life-cycle of companies, they have very different needs from their non-executive directors. To young entrepreneurial companies, non-executive directors can be a cheap source of legal, financial or operation management skills, while publicly listed companies are in need of network connections such directors can provide, for example, sources of finance. They can also provide the benefit of attaching a good reputation to their company. Mature businesses, with which we are most concerned because BDO falls into that category, can use non-executive directors for their relevant market or managerial experience and from the consumer confidence which can be gained from that person’s good reputation being affiliated to their company (Having Their Cake, 2013). Applying this theory to the independent non-executive directors of BDO, we can clearly see from the Transparency Report (2012) that both have experience of past non-executive director roles and both bring their own experience in a relevant field, Lesley MacDonagh with a high level of experience of law and business management which she gained from being a Managing Partner at Law firm Lovells and Lord David Currie having experience of business management from eing a Dean of Cass Business School and a past Chairman of OFCOM and he also has sound knowledge of the legal system from being a member of the House of Lords. This places them perfectly for their positions of overseeing the governance of and business management of BDO. 2. 3. Stewardship Theory This theory, which originated from the works of Donaldson (1990), suggests that directors can have motives which are ‘pro-organizational’ and counters the assumption by agency theorists that management aims are based in self-in terest and are not aligned with those of the shareholders. Donaldson even goes as far as to suggest that negative investor assumptions of the management will have the opposite effect to what was intended and can actually weaken the leadership of a company by weakening the management’s authority when splitting the decision making power between the board and the management. Donaldson also put forward the theory that inside managers and directors have possibly spent their lives working for the company they govern and because of this not only have a strong understanding of how the company is ran, therefore are able to make superior decisions, but also they will have naturally built a strong affiliation and personal investment in the success of the company. He also points out that decisions made by a board of outsiders could be of a lower quality because they would not be in a position to fully understand the company because they would not have access to the same informal knowledge sources and would lack any information which could inform them of the contextual nature of any business situations. All this in turn could lead to low firm performance (Nicholson and Kiel, 2007). As was stated earlier, BDO has a LT which is made up of partners who have been working for the company in a particular field and have been a partner for a number of years. The field they are responsible for as part of the LT is relevant to the field they have been previously working in, for example the Head of Audit and Tax, Paul Eagland has been a Tax Partner for 17 years. This ensures that any decisions that are being made are informed with the necessary knowledge to make the correct decision for the company. Also, as has been stated previously working for the company has long has built a strong affiliation to the company and its success. With regards to the non-executive director element of the board, it is made up of both independent members who come from outside the company (such as mentioned previously) and Directors such as the Senior Partner who has been with the company for a number of years, this allows for any gaps in the knowledge of the directors to be covered because there is an overlap between the meetings of the LT and the Partner Council when the Senior Partner sits in on LT meetings as an affiliated non-executive director. This ensures that the company is practicing good governance and that the board cannot be misled by the management as to how the company is being ran and if the interests of the other Partners are being looked after (Transparency Report, 2012). 2. 4. Stakeholder Theory Freeman (1980’s) put forward a whole new idea in terms of corporate governance theories, he argued that it should not simply be just the shareholders’ or partners’ interests which should be considered when making business decisions, he suggested that companies should be ran with the interests of all stakeholders in mind. Other stakeholders include employees, who have invested their time and skills in the company and have an invested interest in the company’s success, in order for them to ensure job security. This, Freeman classes as a direct interest in the success of the company, other direct stakeholders include customers and suppliers. What Freeman classed as having an indirect interest in the performance of the company includes the community as a whole and the environment (Having Their Cake, 2013). There is a major problem with this theory, which is that it is hard to operationalize because it is difficult to decide the weight that should be given to different stakeholders but accepting this difficulty, some theorists have suggested that while ultimately they are accountable to the shareholders, they must take into account the interests of other stakeholders when making decisions. This demand for ‘stakeholder value’ is legitimised through a number of examples, take globalisation; the spread of business and corporations across the world has led to environmental damage, an increase in corporate corruption and excessive executive pay has been, for example with RBS, to come hand-in-hand with company downsizing which has a direct impact on employees. In the name of good corporate governance, the increase in the value of stakeholder interests has led to an increase in business ethic codes and heightened corporate practice visibility and corporate reports of social responsibility and environmental matters (Having Their Cake, 2013). According to BDO’s website and their Transparency Report (2012), the company takes the interests of various stakeholders into account when making decisions about how the business is run, in a number of different ways, through policies and procedures: * Ethical Requirements The company has a Professional Services Manual and an Audit Manual, which contain rules relating to ethical conduct of employees, management and Partners. It is easily accessible on the company intranet and is supplemented with training and is designed to comply with International and UK Ethics Standards. The Partners and staff sign annual declarations as to their compliance to the code and the company has an Ethics Partner who is tasked with providing guidance as to correct ethics and also with maintaining compliance. * Client Relationships BDO has 5 core values which all partners and staff are committed to, they are; honesty and integrity, taking personal responsibility, mutual support and strong and personal client relationships. To aid in these values and to help deliver a quality service to clients, the company has robust client and engagement procedures. They carry out risk assessments on every potential client, before signing a contract and this helps to ensure that not only is the company secure but also that they provide the client with the sufficient standard and amount of staff they are in need of. The HR department also has clear policies and procedures when it comes to recruitment in training, to ensure the company has a sufficient number of staff who are competent and meet the required ethical standards, all in the name of providing a quality service to clients. * Employee Relationships BDO have an inclusive culture when it comes to recruitment and training and development, it provides every staff member with the same opportunities to progress regardless of differences. They have strong policies and procedures regarding regular reviews, which are performed bi-annually. They also seek to adopt the most relevant recruitment selection tools, in order to ensure the fit and quality of those joining the company. They also provide employees with ‘learning maps’ and ‘career and performance wheels’, which helps with career development and ensures promotions only occur when the staff member is ready. This all aids in the success of the company. * Corporate Social Responsibility BDO actively support and develop the local community, they have an established network of over 20 champions in the UK, tasked with â€Å"stimulating local ideas and initiatives† to help developing the community. They have a Community Volunteering Policy, allowing employees to take 6 days a year to volunteer, and they are not restricted to volunteer at certain organisations. It can be whatever is important to them. BDO ensure the negative impact their business has on the environment is minimised and have an Environmental Policy which can be accessed at the follow address: http://www. bdo. uk. com/about-us/corporate-social-responsibility/environment. Considering this, it could be said that with regards to ‘stakeholder value’ BDO practices good corporate governance. . BDO Governance in Practice 3. 1. Transparency Report Due to the EU’s 8th Directive on transparency reporting being adopted, in April 2008 the Professional Oversight Board published the Statutory Auditors (Transparency) Instrument (2008), requiring auditors of companies with a public interest to publish annual transparency reports. It also detailed requirements that such reports must meet, including systems of q uality control, independence practices and procedures and information about the company, i. e. he structure and the management. The BDO Transparency Report (2012) is available at: http://static. bdo. uk. com/assets/documents/2012/09/Transparency_Report_for_the_52_weeks_ended_29_June_2012. pdf . Transparency reports are used to demonstrate the quality of audit processes and practices of a company and are also used to encourage a high level of confidence and trust from stakeholders and the business community. BDO also provided a statement of compliance with the Audit Firm Governance Code (2010), which can be seen in Appendix A. The transparency includes details of the Governance Structure of the UK Firm, including the management and implementation of independent non-executive directors, the values of the company, the Internal Quality Control System, the Risk Management Control System and details the policies and procedures regarding independence, whistleblowing, professional development and partner remuneration. 3. 2. Statement of Compliance with the Audit Firm Governance Code One of the most important aspects of the Transparency Report is the Statement of Compliance with the Audit Firm Governance Code. Some of the key aspects of which include compliance with: * the owner accountability principle- the Partnership Council reviews decisions made by the Leadership Team, the management * the management principle- strategic and operational leadership is provided by the LT * the professionalism principle- the whole firm is committed to quality work and professional judgement and values. The firm’s management and the Head of Risk and Quality reinforce the appropriate ‘tone at the top’, instilling professional and ethical values in the firm. BDO employees are expected to comply with an internal code of conduct * the Involvement of independent non-executives principle- BDO appointed Independent Non-Executives in July 2008, comply with the same independence requirements as our partners and employees and they have sufficient experience and expertise to command the respect of the partners * the Compliance Principle- BDO have policies and procedures to ensure they comply with professional standards and applicable legal and regulatory requirements * the whistleblowing policy- all actions arising out of incidents of whistleblowing, are reported to the Head of Risk and Quality who will make an annual report the Internal Reporting Principle- LT, Partnership Council, Audit Committee and Risk Committee are supplied with information in a timely manner and in a form and of a quality which enables them to discharge their duties * the Financial Statements Principle- BDO publish annual audited financial statements in accordance with UK GAAP While BDO provide a very clear statement about how compliant they are with regards to the Audit Firm Governance Code, we must look at the FRC’s ‘BDO LLP- Audit Quality Inspection, 2013’ which considered the corporate governance compliance of BDO in order to get a true understanding of their standard of corporate governance compliance. 3. 3. FRC Annual Review of BDO The FRC found that in most areas there were appropriate policies and procedures in place for its size and client base and they found that all the statements that were made in the Transparency Report were consistent with their understanding of BDO’s policies and procedures of the firm. However, when the FRC reviewed the audits BDO carried out themselves on other companies, they found that a number of governance codes were not being adhered to: * Firstly, they were not always providing a high standard of quality auditing, failing to challenge explanations and inputs from managers, they did not always report the disclosure deficiencies which were identified to the Audit Committee and there was a lack of adequate communication with the Audit Committee with regards to inaccurate information, which led to safeguards that had been put in place not being properly assessed. Secondly, the FRC found that the audits were not always being reviewed thoroughly enough and audit quality issues and omissions in reports were not being identified. * Thirdly, BDO were found to not have complied fully with ethical standards in a number of different ways; * The business plan inferred that fees should be set lower if non-audit fees are likely to be earned, this goes against their own required ethical standards and their own * Performance evaluation criteria including the cross-selling of non-audit services * The list of entities which partners held shares and could generate a conflict of interests was not up to date. A more robust set of procedures was suggested to ensure that this list was kept up to date in future Lastly, the Internal Quality Review was not of a high enough standard, it did not provide a sufficient level of detail and clarity of explanations of significant findings. 4. Conclusion We can see that BDO go to great lengths to try and ensure that they are fully compliant with corporate governance codes and regulations, not only with their policies and procedures a nd the way the company is managed but also with governance structure of the company and the values and focus of the aims and objectives of the company. They also have a strong focus on transparency and ethics within in their business and this is linked to their value of providing great customer client relationships with professionalism, honesty and integrity. They also go to great lengths to aid the companies with which they work, in complying with corporate governance codes, again this is all in the name of developing excellent quality and trustworthy client relationships, in order to maintain and improve the success of their business. However, as we can see from the FRC review, there are gaps in their governance compliance, in particular with internal reporting and ethical standards, but it will have to be seen in the coming years of reviews if the increase in transparency and an even greater focus on corporate governance will lead to BDO closing such gaps. 5. Bibliography * BDO LLP UK, ‘Transparency Report’, 2012, Available Online at: http://static. do. uk. com/assets/documents/2012/09/Transparency_Report_for_the_52_weeks_ended_29_June_2012. pdf [Accessed 02 May 2013]. * BDO LLP UK Website, 2013, ‘About Us’, Available Online at: http://www. bdo. uk. com/about-us/corporate-social-responsibility/environment [Acc essed 02 May 2013]. * BDO LLP UK, 2012, ‘Corporate Governance for TMT Businesses’, Available Online at: http://static. bdo. uk. com/assets/documents/2012/03/Corporate_Governance_for_TMT_Businesses. pdf [Accessed 02 May 2013]. * Crump, R. , May 2012, ‘Mid-cap market calls for mandatory governance code’, Financial Director Website, Available Online at: http://www. financialdirector. co. k/financial-director/news/2180374/mid-cap-market-calls-mandatory-governance-code [Accessed 02 May 2013]. * Financial Reporting Council, 2013, ‘BDO LLP: Audit Quality Inspection’, FRC Website, Available Online at: http://www. frc. org. uk/Our-Work/Publications/Audit-Quality-Review/Public-Report-BDO-LLP. aspx [Accessed 02 May 2013]. * ICAEW, 2013, ‘The Audit Firm Governance Code’, ICAEW Website, Available Online at: http://www. icaew. com/en/technical/corporate-governance/audit-firm-governance-code [Accessed 02 May 2013]. * Keynote, 2013, ‘Account ancy Marketing Report’, Available Online at: https://www. keynote. co. uk/market-intelligence/view/product/10674/accountancy? edium=download [Accessed 02 May 2013]. * Dr Lashgari, M. , 2004, ‘Corporate Governance: Theory and Practice’, The Journal of American Academy of Business, Cambridge, Available Online at: http://tharcisio. com. br/arquivos/textos/13200724. pdf [Accessed 02 May 2013]. * Mitchell Van der Zahn, J-L. W. , 2008, ‘Special Issue on: â€Å"Financial Reporting, Transparency and Corporate Governance: Issues in Volatile International Markets†Ã¢â‚¬â„¢, International Journal of Accounting, Auditing and Performance Evaluation, Vol. 7, Nos 1/2, pp: 61-93, Available Online at: http://www. inderscience. com/info/ingeneral/cfp. php? id=962 [Accessed 02 May 2013]. * Roberts, J. ‘The Theories behind Corporate Governance’, Having Their Cake website, Available Online at: http://www. havingtheircake. com/content/1_Ideas%20that%20shape%20 the%20world/fact%20and%20opinion/The%20theories%20behind%20corporate%20governance. lnk [Accessed 02 May 2013]. * Turnbull, S. , 2002, ‘Corporate Governance: Its scope, concerns and theories’, Corporate Governance: An International Review, Volume 5, Issue 4, Available Online at: http://onlinelibrary. wiley. com/doi/10. 1111/1467-8683. 00061/pdf [Accessed 02 May 2013]. * Tricker, R. I. , 2012, ‘Corporate Governance: Principles, Policies and Practices’, Oxford University Press: London, (2012). *

Saudi Arabia Research Paper Example | Topics and Well Written Essays - 1250 words

Saudi Arabia - Research Paper Example It stands as a significant industrial country, claiming over 25% of the global oil reserve. It is this wealth in oil that Saudi Arabia is known for and is what drives the country’s economy. Considered as the origin of Islam, the country has been keen to preserve its historical richness with the passage of time. Geography Saudi Arabia occupies about 80% of the Arabian Peninsula, measuring 865,000 square miles, just about 25% of the total surface are of the US. This is a big country as compared to the size of other countries globally. The country borders the United Arab Emirates, Qatar and the Persian Gulf to the east, Oman and Yemen to the south and Kuwait, Iraq and Jordan to the north. On the west, the Red Sea separates it from Sudan, Eritrea and Egypt. Its entire geography indicates a plateau that rises from the Red Sea and slopes down gradually to the Persian Gulf. Even though its mountains rise as high as 9,000 feet, Saudi Arabia has no permanent rivers, lakes and big fores ts, making Janin and Besheer (7) refer to it as the driest large country. Thus, the country is largely a desert meaning that green vegetation is rare apart from those regions near oases. Saudi Arabia hosts the world’s greatest continuous sand expanse in its southeastern corner named the Empty Quarter. It covers about 264,000 square miles, equivalent to the size of Texas State (Zuhur 21). With this, Saudi Arabia is characterized by the desert geography including sand dunes and shrubs. Farming would be a rare activity unless under irrigated land. The climate varies greatly on different parts of the country, ranging from dry and hot summers in the northern and central regions to winters with moderate temperatures during the day and cold, at times freezing, at night. This variation in day and night temperatures could be articulated to the lack of clouds that allow the sunrays to heat the earth and the heat quickly disappears at night with no clouds to offer insulation. This weath er could be harsh for persons seeking to live in the country. The summers in the gravel or sand deserts could be as hot as 49oC with these areas rarely experiencing any rains. The rainfall is uneven and unreliable averaging less than 10 cm per year (Zuhur 45). This makes it hard to farm with reliance on rainfall, meaning that the country cannot supply itself with sufficient food. Socio-economic Life Saudi Arabia has a population of about 29.6 million people with Arabic as the national language. For an American visitor, a translator would therefore be important because most of the communication will be in Arabic. Among the important religious holidays is Eid al-Fitr, the festival of breaking fast marking the end of the holy month of Ramadan (Zuhur 23). Others include Eid al-Aidha and Hajj. Mosques serve as places of worship and are thus scared places. With Islam being a common religion in the country, a majority of the women would thus be in their long loose-fitting dresses while men would be in their traditional garbs. Interestingly, men are considered the guardians of women according to the law and therefore take responsibility for their behavior. This makes women inferior as opposed to many modern states where gender equality has caused men and women to be regarded as equals. Additionally, marriage is not organized by one family but by both families. These marriages rarely involve people from different families because Zuhur (155) observes that first cousin marriages are common.

What an Intellectual property is Essay Example | Topics and Well Written Essays - 2500 words

What an Intellectual property is - Essay Example The intention of this study is intellectual property (IP) that connotes to the conceptions of the mind; which includes names, symbols, artistic and literary works, inventions and images employed by the business community to distinguish their products or creation from others in the market. Intellectual property can be divided into two divisions. Industrial property means patents for industrial designs, inventions, trademarks and geographical indications. Copyright engrosses literary creations like plays, poems, novels, films, musical works, and artistic works like photographs, paintings and drawings, architectural designs and sculptures. Like any other property, intellectual property rights (IPR) are enforceable under the law, and they permit the author or an owner of a trademark, copyright or patent holder to derive advantage from his own investment, creation or work. These privileges are stated in Article 27 of the Universal Declaration of Human Rights, which states that the privile ge to derive advantage from the safeguarding of material and moral interests emanating from authorship of any literary , scientific or artistic work. The significance of intellectual property was first acknowledged in the† Paris Convention for the Protection of Industrial Property in 1883† and in the â€Å"Berne Convention for the Protection of Literary and Artistic works in 1886.† Both the above- mentioned treaties are being managed by the WIPO. The privileges offered under intellectual property are considered as a powerful mechanism for cultural, social well-being and for economic development of the society in general. It is aiming to strike a balance between the public’s interest and the interests of the innovator. IP rights reward human endeavour and creativity, which stimulate the advancement of the mankind. Without copyright protection, the existence of the multi -billion -dollar industry, of film making, software development, publishing industry whic h offers pleasure to billions of people around the world would not be possible. Without any reliable, global trademark protection and implementation, consumers around the world have no means to purchase services or products confidently, and strict enforcement mechanisms under IP regime help to discourage piracy and counterfeiting. Inventors and researchers around the world would have little encouragement to prolong producing more efficient and better products for consumers around the world without the rewards offered by the patent system. (WIPO 2003:3). Safeguarding the development of ideas and the creation of ideas is the prime aim of the intellectual property law. New ideas are necessary to stimulate to enhance and to stimulate the creation, development and spreading of ideas, which are essential for the economic progress. Misuse can be stopped by barring the value of an idea being stolen by others. Ideas may vary in nature from material property and hence, they are more susceptib le to imitation. Without any safeguard or protection, ideas are vulnerable to be stolen by business rivals no sooner a product becomes

Do Legislators represent their constituencies economic perspectives Term Paper

Do Legislators represent their constituencies economic perspectives - Term Paper Example One of the aspects that are of our concern is the bailout that tried to stabilize the economy after it crashed in the last decade. The proposal allowed the transfer of $700 billion to the Department of Treasury to purchase declining property that financial firms lost their money on. This paper will also focus on whether or not legislators equally represent their low-income constituents as much as they represent their high-income constituents. As much as it would be believable that representation is equal among everyone, there are many reasons why this is not the case. Because of the inequality of wealth in America, the poor become very poor and the rich become very rich. Likewise, when congressional representatives run for election the price is very high and they need support to be elected. This support is more likely to come from people who have enough money compared to the poor and middle class people who are concerned about their own needs. Both of these aspects will help uncover and answer the burning question regarding our legislators. Pertaining to the Trouble Asset Relief Program (TARP), better known as the bailout, the infusion of money was supposed to prevent large banks from going under and losing everything. It started in 2007 when many banks had loaned out mortgages to people who defaulted, or could not pay back. Soon losses were obvious and many knew of the situation but tried to cover up the problem. This made many banks insolvent in the period between late 2007 and 2008. The TARP was written to prevent a complete economic collapse caused by side effects of banks bankrupting. However, from the point of view of legislators, this helped the rich bankers who lost a lot on their poor investment choices leaving out the poor people that had been affected. Both conservatives and liberals did not appreciate the bill. For conservatives, the bill went against their belief in free market. For liberals, the bill benefited wealthy people

Management International and Comparative HRM Essay

Management International and Comparative HRM - Essay Example Globalization widens the gap between rich and poor. The implications of globalization are required to be incorporated by the governments in its policies and the companies are required to cope with it in order to survive in the industry. The public in many countries become anxious as it may affect the culture and values negatively or it may displace jobs. There are both losers and gainers in the process of globalization. There is a fear regarding globalization that it may widen the gulf between have and have not’s, strong and weak, traditional and modern (Poole, 1999, p.75). In one side, it enrich the people or countries to take the advantage or lead the process while on the other side, it will leave behind many others who will be worse or marginalized. The cultural and economic globalization is growing through many countries. The persistence of poverty, growing inequities among and within countries and the link between phenomenon’s is very strong. The external envir onment has been more significant in influencing the level of available resources and the way they are used. The thesis of strong globalization argues that the growing pervasiveness of multinational enterprises is creating a borderless world where the economic and political interventions undertaken by nation states are becoming increasingly meaningless (Briscoe, Schuler and Tarique, 2012, pp.56-57). In other words, the public policies implemented by national legislatures for regulating the activities of multinational companies are increasingly becoming ineffective. Globalization need not necessarily be bad. But it can have more negative effects on the countries that are not prepared to adapt globalization. There has been a return to... This paper stresses that the success of international human resource management in future depends on the ability of companies in developing the executives of international human resource with a broad global perspective having a global mindset, strong strategic and technical business skills and international experience. The function of international human resource management is faced with many challenges in the hyper-competitive and chaotic global market place of today. The multinational enterprises are required to confront with these issues now and in future. The vocational training is not offered there in companies and there exist few relations of union. The market is mainly based on competition. Germany has a typical structure of governance which is based on the insider forms like bank loans. There, the relations of employee are assumed for longer term and in the training process of companies, vocational training is normally offered. The market is based mainly on collaborative netw orks. The trade unions commonly exist in industry. This report makes a conclusion that the international human resource departments are required to provide and develop the support services at international level. The continuing globalization or internationalization of human resource management parallels the continuing globalization or internationalization of business. The firms are required to make its development and increase the professionalization of international human resource management to be called global human resource management.

Economic impact of health care reform Term Paper

Economic impact of health care reform - Term Paper Example ertaken major reforms in healthcare through the passing of bills such as the healthcare reform bill in the president Obama’s administration (Scarborough, 2010). However, such major steps can be argued as to have major positive and negative impacts on the economy at large especially due to the fact that this sector has been noted as to account for a the highest government expenditure as compared to other sectors. This essay is a critical evaluation of the economic impacts of the healthcare reform bill. The US has been classified as one of the developed countries in the world where health care contributes to a significant number of approximately 65% of all personal bankruptcy cases, which are reported (Scarborough, 2010). It is also known to spend much of its financial resources in providing healthcare for its citizens. However, reports show that the management of these resources has been slowed down in the past due to the lack of proper healthcare policies, which would ensure that every individual is covered by a medical insurance policy, in order to facilitate them with proper treatment in cases of sickness and accidents as well as lack of proper guidelines to control insurers from exploiting their clients. Due to this, insurance policy holders find themselves in situations whereby they are forced to dig deeper from their pockets so as to pay for the hospital bills after the insurers pay for small portions instead of clearing all the expenses incurred (Scarborough, 2010). This ha s resulted to people refraining from acquiring treatment due to lack of finances to take care of the expensive care provided to them. In fact, most of the people have accumulated a lot of debts and from research it is evident that the highest percentage in this group does not continue to seek further medical treatment out of fear that debts would increase. However, the coming of President Obama into power renewed hope and anticipation among the American communities due to his promise of

Status of Women in South Africa Term Paper Example | Topics and Well Written Essays - 1750 words

Status of Women in South Africa - Term Paper Example The progressive constitution of South Africa guarantees equality for women, access to socio economic rights e.g. fair labour practices, land, housing and health as well as right to freedom from violence. Unfortunately, some of these rights are not a certainty for many women as the country has failed to put into practice and deliver on the policies that give consequence.Poverty and inequality in South Africa, is closely related to race, gender and class. According to the World Bank, the level of poverty is defined by the lack of ability to achieve a minimum standard of living, which is measured in terms of basic consumption needs or the income necessary to satisfy those needs.It has been estimated that 60% of black South Africans remain poor and live in deteriorating socio economic conditions. The unemployment rate in South Africa increased from 33% to 36.2% in the 3 years to 1999, of which 56% of the unemployed were women and the remaining 44% were men. Seven years later, in 2006, ac cording to the Household Survey, of the unemployed, more were women (31.8%) than men (23.8%). The survey also showed that the highest unemployment rate of 41.8% was among black African women.There was another survey done in 2006, the General Household Survey, indicated that 37% refers to households headed by women, and those headed by black African women tally up to 31.9%. From all these statistics, the Institute for Democracy in South Africa indicates that 80% of households headed by women have no wage earners.

Union and cooperation Essay Example | Topics and Well Written Essays - 500 words

Union and cooperation - Essay Example This is the journey I was to involve in, given that one of my closest relative and also a friend was a victim of the disease. While other victims were seeking help from the VCT, I took an initiative of always hanging around him like never before. I possessed the belief that efforts towards the victims were necessary. I was then the only closest friend he had, not even did he consider the help of VCT because of the stigmatization experience he had with one of the workers. I always ensured that I paid a closer attention because of the health care adversities I believed are associated with the disease. Every day, I accompanied him in a 30 minutes run around our town just to keep him fit. However, for my mum and others they considered that there were meagre chances of managing the influence of the disease in an individual; consequently, there was no need for dying to care for my cousin. Apart from the care, I also took responsibility of reminding him about the importance of taking the treatments as prescribed by the doctor. After reading an article written by The South African Medical Research Council I came across an English word, â€Å"adherence† which in the context was used as powerful medical glossary for the people living with HIV/AIDS (Gina et al, 69). Intuitively, I had to find a way of levitating the level of adherence within my victim, to ensure that he was always devoted to the medical advice. Further, I taught him the need for nursing hopes that there are still more days to live asserts that stigmatization. Nonetheless, I found it hard to achieve my goal since my victim had the belief that the ultimate consequence of HIV/AIDS is death, as the result of the perception held by the society towards the victim. From this I realized that the discrimination by other individuals in the society triggers the victims into feeling that there is little hope for the futility of the medical advices.

Blue Nile Case Essay Example for Free

Blue Nile Case Essay Background Blue Nile has grown into one of the largest jewelry retailers in the United States with only using the Internet as its distribution channel. The success is a direct result of a well-crafted business strategy that attracts high price customers and provides them with in-depth education about diamonds and jewelry. Gamble, Peteraf, Strickland III, and Thompson (2012), indicated that the company’s strategy provides customers with high quality diamonds, exceptional customer service and low prices (p. c-128). They pride themselves on their selection and outstanding education that they provide to consumers looking for the perfect diamond. In addition they have received various awards and recognition from Forbes and Bizrate.com (Thompson, Peteraf, Gamble, Strickland, 2012, p. C-127). Blue Nile has found a niche in which to differentiate itself by creating an online marketplace for jewelry shopping and with low operating costs which makes them extremely competitive. In viewing Blue Niles website, one can see that they have a vast amount of for potential buyers, that which determine a diamond’s value- carat, clarity, color, cut, and cut grade. Strength The company has a user friendly site that present a lot of diamonds styles to choose from with the 5C’s of diamond selection which are cut shape, cut, color, clarity and carat weight. Their price is much lower than others. Blue Niles also prides themselves on their selection and outstanding education that they provide to consumers looking for the perfect diamond (Thompson, Peteraf, Gamble, Strickland, 2012, p. C-127). Weakness Blue Nile competes in a small area with a specialty offering. Brand awareness remains a constant source of weakness for the company. Blue Nile, Inc. needs to increase their advertising campaign to attract new and retain old customers. Opportunities Blue Nile needs to create a strong brand awareness that will allow can compete with Tiffany and Co. Blue Nile, Inc. recently opened warehouses in Canada and Britain, but has limited globalization to sales of 40 nations. Blue Nile will need global growth into the European market could prove to be a financial success. Threats Through the operating capital calculations it indicates that Blue Niles strategy is needs some adjustments in the current market space. From 2005 to 2009 the cash that has been available for the firm’s day-to-day operations has dropped dramatically. There was an estimated $58.8 billion in sales in the United States alone in 2009 (Thompson, 2012, p. C-127). With Blue Nile taking $302 million in sales in 2009, they had a great year but in reality only maintain a less than 1% of the market industry hold. This suggests that there is room for growth in this are. With steady profits for the past two years, 2011 has been the best year even though the 4th quarter resulted in small loss. The company profits are 2011 $348 million, 2010 $332.9 million, 2009 $302.1 million, and in 2008 $295.3 million be (Blue Nile, 2012, Investor Relations). References: Blue Nile, Inc. 2011 Annual Report (2012). Blue Nile, Inc. (online). Retrieved from http://files.shareholder.com/downloads/NILE/1855688484x0x560442/D1DAE1BA-0161-4574-8447-242F9561DF0E/2011_Annual_Report_FINAL.pdf Thompson, A. A., Peteraf, M. A., Gamble, J. E., Strickland, A. J. (2012). Crafting executing strategy: The quest for competitive advantage (18th ed.). New York, NY: The McGraw-Hill Companies, Inc. Discussion 6.1 Jeffrey Clapper Jeffrey, I agree with your posting and I enjoyed reading it also. In reviewing the financials and the Internet site, it is apparent that Blue Nile spends a lot of money in the area that has no direct impact on generating profit. Blue Nile is now pursuing a new market consisting of non-engagement jewelry by offering an expanded range of products across several price points. This market should offer a great amount of growth opportunities for now and the future. All in all the brand and name recognition is the key aspect that the must pay attention to. Discussion 6.1 Michael Veltman Michael, Your post was very insightful. A main issue for Blue Nile is the lack of exposure through the their advertising. Blue Nile offers the best prices while still being able to create a profit. The low operations cost of the business enables them to offer low prices and still make a profit. On the other hand the lack of store front exposure creates a problem for gaining additional clients. By adding new products they can create there reach and drive more revenue.

Strategy development at LEGO Essay Example for Free

Strategy development at LEGO Essay One of the initial strategy decisions was based upon the oil crisis in the 1980’s. The company reacted favourably by introducing new innovations and penetrating previously unexplored markets. Changes in the market environment in the 90’s also spurred on strategy development at LEGO. The advent of competitors and research contrary to what LEGO was basing its strategy on up to that point proved to be a focal point for the company. Objectives were set out and adopted and the company moved on. LEGO had difficulty in accessing and reading the market. Once this was highlighted, with the aid of a new COO, the company restructured and went on a cost cutting expedition – freeing up resources to assist with the long term objectives. LEGO suffered a sharp decline in the ‘most admired companies in Denmark’ poll. The external image of the company that which affected the general public’s opinion and the desirability of the LEGO Group as a prospective partner and employer suffered due to the fluctuations in sales and profits. Heavy financial losses resulted in a weaker capital structure and limited investment opportunities for the future. As a result the entire procurement process was re-analysed and restructured and cost reductions in all sectors of the business were significant. LEGO was fortunate enough to have a strong brand and awareness in the market. The market is more favourably inclined to ‘forgive’ companies that have taken the time to cultivate strong brand awareness. Even though LEGO clearly had bigger problems, they maintained and developed their relationship with their customers in order to better understand their needs and inculcate a higher standard of customer service within the company. Their focus remained strongly on the distribution in retail. The company suffered heavy financial losses and briefly discussed selling LEGO. However, this was clearly a last resort decision for the CEO. The family company and their dedication in making it succeed, worked for them. Had they given up the company, the LEGO brand would not have survived the climate it did. The company enjoyed strong financial backing. Instead of selling the company, it was decided that a loan would be taken. Give the heavy losses experienced, the climate and changes i n market share, LEGO still secured a loan. Clearly, someone else believed in them as much as they believed in themselves. The dedication of LEGO’s management and staff is one of their key advantages. Having staff dedicated to the vision, mission and strategy of the company is essential for the success of their long and short term objectives. LEGO’s bold approach to the global financial crisis in 2009 was part of their great success. This willingness and ability to act boldly saw them in good stead during a time of economic downturns. Another excellent use of resources is in the form of enthusiastic LEGO users for the development of products.

Attachment Theory Young Children And Their Families Social Work Essay

Attachment Theory Young Children And Their Families Social Work Essay Attachment theory derives from psychoanalyic psychology, however it is used in social work to attempt to understand behaviour in infancy and childhood to show the way in which children develop emotionally (WALKER 2009) This theory centres on the idea that children need to form secure relationships with other people, such as parents or guardians, as it is a significant contributer to their emotional development. Social bonds and relationships that are made in early childhood are believed to influence an individuals life and can impact upon their well-being to determine their emotional and social stability later in life. Consequently, attachment is seen as an integral component within infants and young childrens lives, as these experiences can shape a persons personality and identity in future years. (WALKER, J and K, CRAWFORD 2010). If these experiences of attachment are negative, and the child does not develop adequate relationships with their caregivers, then this can have detremental consequences on their psychological and emotional development. (WALKER, J 2009). The Attachment theory originates from the ideas of John Bowlby who believes that humans are biological predispositioned to seek attachment from others. He proposes that survival is closely related to the ability to possess emotional bonds with other individuals (GREEN 2003). This is because by forming an attachment with an authority figure who is seen as the stronger of the species, this reduces the vulnerability of the individual as it provides increased security and protection from harm posed by potential predators (BOWLBY 1958, cited in LISHMAN 2007). The theory looks at the way that attachment relationships are formed, and the reasons behind their manifestation. Children are seen to form these relationships for reasons such as safety, comfort and to provide guidence. These attachment behaviours, according to learning theorists, are displayed in infancy through talking, laughing and crying. This enables them to persue their basic needs for survival, such as food for nurishment, by their attachment to their mother who is able to support them in fulfilling their needs (WALKER, J and K, CRAWFORD 2010). This initial attachment to caregivers also guides the individuals thoughts, feelings and expectations as they become aware of peoples responses towards them which help them recognise how to behave (WALKER 2009). There are four assumptions of Bowlbys attachment theory which attempt to explain his beliefs. The first, is that infants and young children develop emotional ties with individuals early in life, which acts as a biological function and plays an integral part to their survival. The second assumption is that the way a child is treated early in life has a major contributing factor to their future relationships and the way their personality is formed. The third assumption is that attachment behaviour can form an internal working model which guide the childs thoughts, feelings and expectations as a result of the reactions of others towards their behaviour. The final assumption of Bowlbys attachment theory is that although it is difficult to alter attachment behaviour, it is not impossible, thereofre there is the possibility of alteration at any point in life, both in a positive and negative way (GREEN 2003). Although infants and young children are able to have more than one attachment figure, they are still affected when they are exposed to seperation from their primary attachment figure. This can happen for many reasons, such as a child being removed from a family home and placed into care, or perhaps death. This can be a very distressing and confusing time for a child as they are unsure of who to turn to for security and protection. This is evident in social work practice in instances where an abused child wants to remain with its parents, even though it is not a stable or supportive attachment (LISHMAN 2006). Bowlby proposed that children who have experienced seperation from their main attachment figure will suffer in a process involving protest, dispair and detachment, in an attempt to overcome their loss (BOWLBY 1958, cited in LISHMAN 2006). However, although Bowlby provided an important contribution to the idea of attachment, his research can be criticised in many ways. This is because Bowlby tends to focus his ideas on one primary figure of attachment, often the mother, when it is possible for children to form attachments with other people within their lives such as their father. Also, developing relationships with other people alongside the attachment figure is also important, this is because having to rely on the caregiving relationship of one person can be detrimental due to the fact it often results in dependency and does not allow other relationships to be formed with others, which can the hinder the social and emotional development of the child (WALKER, J and K, CRAWFORD 2010). According to Lishman (2007), the attachment theory believes that when a child is stressed or afraid, they exhibit particular behaviour and emotions which can be perceived as attachment. This is because they seek protection from harm through the help and security of an adult who they see as stronger than themselves. This is closly linked to two types of behavioural systems: the exploratory behavioural system and the fear behavioural system. The exploratory behavioural system is based of the belief that when an infant or young child feels comfortable and safe, the attachment behaviour remains dormant and therefore the child will be willing to explore the people around them and their surroundings. However, if a child feels threatened or vulnerable, the fear behavioural system will become active, where the child will no longer seek exploration and instead they will seek protection from their attachment figure and exhibit behaviour related to that attachment. However, the behaviour that they display is not intended to provoke affection from the attachment figure, instead it is to à ¢Ã¢â€š ¬Ã…“regain a state of equilibriumà ¢Ã¢â€š ¬Ã‚  (p59). This means that infants and young children are not dependent upon the caregiving nature of the attachment figure, instead their aim is to diminish their fears. There is a classification of attachment patterns which identifies four different types of attachment, which attempts to enanble professionals to assess young childrens behaviour and emotions (secure, ambivalent, avoident and disorganised). Secure attachment is based of the belief that children depend upon their caregiver as a base for exploration. The caregiver is available to the child and responds to the childs needs, therefore the child behaves in a positive manner. Ambivalent attachment looks at how children are unwilling to explore their surroundings as the caregiver is not consistent in their support. This can leave the child distressed, clingy and dependent. The third category is avoident patterns of attachment, and features an unresponsive caregiver, therefore the child feels rejected and they view themelves as dependent whilst actively avoiding or ignoring the caregivers presence. And finally, disorganised attachment is where children are fearful of their caregivers, and the y themselves may feel confused or depressed. This type of attachment is most often seen in children who have suffered abuse (HOWE 2001, cited in LISHMAN 2007). How a critical understanding of Attachment Theory can contribute to Social Work Practice. Social workers are seen to have three roles to play when working within an attachment perspective: assessment, planning and direct work with children, parents and carers. Assessment looks at areas within attachment such as the needs of a child, the parenting that they receive, their emotional and behavioural development and the relationships which they have formed. There are also tests created specifically for measuring attachment, such as Ainsworths stranger test which provide an indication of the pattern and quality of their attachments. The second role, planning, looks at how planning for new attachments when placing children with new families needs to be approached carefully. This is because they need finding the most suitable parenting figures where new attachments can be made. The third role is direct work with children, parents and carers. This is because direct contact and communication is necessary to achieve the best possible outcome when working with children and families. For example, when a child has been removed from their home and is being placed with new carers, direct work can provide support to the child to prepare them for change. It can also be useful with the adoptive or foster family to provide guidence and support towards what to expect and to help with any problems they face (LISHMAN 2007) Attachment theory has been used within social work practice as the basis for many child care policies. This is because the idea of a infant or child being attached to their family, which can influence their development in many ways, has been used as the basis for many legislation (LISHMAN 2007). For example, Sure Start Childrens Centres have been introduced in response to the importancy of family support to enable them to build and maintain positive family relationships (LAMING REPORT 2009, cited in BRAMMER 2010). Attachment theory had also contributed to policies such as shared parental responsibility, as it has emhasised the need for emotional and social relationships with caregivers, whilst also suggesting possible consequences to a childs development and the negative impact later in life if these needs were not met effectively. (LISHMAN 2007). Attachment theory also provides guidence to enable social workers to judge the quality of a relationship between a child and its parents. This can enable them to gain an understanding of at what point, if at any, intervention is necessary as it gives them the ability to evaluate the attachment that is present within the relationship. The attachment theory also gives a more comprehensive understanding of the loss experienced by an infant or child when they lose their main attachment figure. This means that people working within social work practice are aware of the common and typical behaviours of a child who is going through this process and can therefore support them to overcome it. A further way the attachment theory is used to benefit social work practice is that as it is known that attachment figures are necessary for children to develop adequately, individuals such as adoptive parents can be taught to exhibit behaviour which will encourage new attachmentment from the child which is needed for personal growth (WALKER, J and K, CRAWFORD 2010). However , care needs to be taken when placing a child with a new family as to prevent a repeating loss of attachment figures which can cause them to blame themeselves and produce feelings of worthlessness. This can mean ensuring that the child is appropriatly prepared and ready to form new bonds of attachment and that the new carers of the child receive sufficient support within their role. (LISHMAN 2007). Attachment theory can also be linked to the way in which a mother bonds with her new born baby. However, these early bonds are not solely restricted to mothers, it is also possible for fathers. Although, this bond is typically formed within the first few hours after birth as the mother and baby connect both physically and emotionally. The initial bond that is made is thought to have a significant effect on their future relationship as it is the beginning of their attachment. This knowledge enables social workers to support mothers who are particularly vulnerable to poor parenting, although this is only effective if the support continues throughout the first few months after the baby is born.. However, it is important to note that just because a mother fails to achieve an initial bond with her baby, this does not mean that abuse is inevitable. How are issues of diversity relevant to human growth, behaviour and development? GREEN, V. 2003. Emotional development in Psychoanalysis, Attachment Theory and Neuroscience: Creating Connections. East Sussex: Brunner-Routledge LISHMAN, J. 2007. Handbook for Practice and Learning in Social Work and Social Care: Knowledge and Theory. London: Jessica Kingsley WALKER, J and K, CRAWFORD. 2010. Social Work and Human Development. Exeter: Learning Matters WALKER, J. 2008. Studying for Your Social Work Degree. Exeter: Learning Matters BRAMMER, 2010. Social Work Law. London: Longman