Free Essay

Business Management

In: Business and Management

Submitted By sc618445
Words 4543
Pages 19
Mt. Everest Case Study Review
Jackie Cheng, J.P. McIntosh, Josephine Richardson, Stephen Winfree
Harding University

Abstract

The 1996 Mont Everest tragedy, no doubt-ably, has marked terror in the lives of the survivors and climbers alike. The analyses do a fantastic job of sifting through the different situations that the climbers came across on the mountain and the possible reasons for the outcomes of each situation. In retrospect, effective and ineffective leadership skills are displayed in various situations, prudent verses imprudent decisions are targeted, the trust and faith in each climber, and in oneself, is identified and the planning and timing of the hike is examined. Overall, each situation has been analyzed from different angles and suggested decisions have been implemented to help the reader in collecting a better understanding of why this climb ended up becoming so disastrous.

Introduction

The journey to Mount Everest was a tragedy and a sorrowful one at that. A journey that was expectant on great victory turned to a grave catastrophe. A reflection of what happened nearly two decades ago reveals likely flaws taken at the time. Rob Hall and Scott Fischer were the leaders of two of the largest commercial expeditions on Everest in the spring of 1996. In the years leading up to the expedition, the climbing seasons had been tame and had drawn much less experienced climbers to teams of Fischer and Halls’. Although both leaders were highly qualified, it would seem the room for error was slim, so much so that errors made may have cost the loss of life. In retrospect, could any of the decisions made have altered the final outcome. Analyzing the study from the points of leadership, communication, trust, motivation, timing, planning, and prudence, much can be gathered from events that transpired and their ultimate effects.
Leadership and Communication: Overview
Hall, the founder of Adventure Consultants, had climbed Mount Everest four times and had led 39 clients to the summit in six years by the end of 1994. He advertised “100% success” in 1995, yet failed to guide any client to the summit (Roberto & Carioggia, 2003). Scott Fischer was the leader of the Mountain Madness, ambitious and charismatic, Scott was the type of person who had a desire for recognition. Though both leaders occupied positional leadership roles, they lacked, however, strategic planning skills, teamwork, and effective communication.
Inefficient Leadership Skills
Strategic planning is one of the essential tools that a leader can use to establish his or her organization. According to Mittenthal, strategic planning is a “tool” that assists a leader in reaching a goal with maximum efficiency and impact. In order for a leader’s plan to be effective and useful, Mittenthal says the plan has to outline specific goals and steps, and provide the necessary resources to accomplish them (Mittenthal, 2002). The Mount Everest team leaders, Hall and Fischer, lacked such in their planning of the expedition. They did not have specific rules in place for their clients. An example presented in the case study was where there was no exact time for the climbers to turn back on summit day. The leaders only stated that if clients had not summited by 1:00 p.m. or 2:00 p.m., they must turn back. Since the leaders failed to set an exact time and goals, the team members who were very close to reaching the summit ignored the possible dangers of not turning back before midday.
Another scenario that depicted a failure in planning and inefficient leadership was when the teams had to stop and affix a rope to a mountaintop. Not only was this process time wasting; but also, it raises questions such as: what if they had no emergency rope to help them get to the mountaintop? And what if the rope was not affixed safely enough? The time that was wasted and inconveniences during the summit climb could have been avoided if Hall and Fischer had planned ahead of time.
Lastly, Hall and Fischer failed to acknowledge the inexperience and appalling physical condition of some of the team members, the majority of which had little climbing experience. A client of Fischer’s team had a history of becoming sick at high altitudes and most all lacked high-altitude experience (Roberto & Carioggia, 2003). Nonetheless, these issues were overlooked and the clients were allowed join the climbing expedition.
Lack of Communication and Team Work According to Youngs & Malmborg, “effective teamwork does not come easily; it requires coordination, cooperation and communication on the part of all involved” (Youngs & Malmborg, 1991 para. 1). Both Mount Everest teams failed in regard to teamwork and communication. There was no ice-breaking forum between team members, and it seems the team leaders made no efforts in establishing an “open ground” for effective communication. When individual desires are laid aside and everyone comes together as a team, the diversity in skill-sets within a team can often resolve many problems efficiently. It seems there was absence of camaraderie throughout the endeavor. Several of the climbers noted the limited trust there was among the group and wondered if they would be able to rely on their teammates in critical times. Others were concerned about the language barriers existing in the group, which might have played a major role in the lack of what trust was built (Roberto & Carioggia, 2003, p5). It appears that the teams, as individuals and as a whole, made little conscience effort of getting to know each other and building trust though. Great teamwork also requires keeping close contact with one another. In such a case of climbing Mount Everest, the only means of accomplishing this is communicating via radios. Unfortunately, radios were not available to everyone; in fact, not even some of the guides had such access. This seemed to cultivate insecurity and self-centeredness in those who did not have such access. Teamwork can be greatly enhanced merely through sound communication and a team-centered mindset.
The expedition on Mount Everest could have been much less tragic if Hall and Fischer had implemented a more specific plan and stuck to it. They could have outlined more so the risk and consequences involved in not observing the plan and rules that follow. Also, qualification measures should have been put in place in reference to those who could join in the expedition. For instance, they should have had all climbers undergo a mandatory physical exam and non-admission if inexperienced. Furthermore, the team leaders could have invested more into the tools and equipment –radios and oxygen- used on the trip especially with a price tag of $65,000 and lives in the balance.

Prudence
Prudence versus Imprudence
Prudence is “the quality or fact of being prudent” (Dictionary.com, 2013), meaning it, “is wise or judicious in practical affairs; sagacious; discreet or circumspect; sober” (Dictionary.com, 2013). In the case of the study we come across several different instances where we see prudence taking place in the form of wisdom, responsibility, foresight, and common sense. On the other hand, we also see bad judgments made as well, such as ignorance, neglect, denial, and willfulness. Altogether these describe what is known as imprudence, defined as “not prudent; lacking discretion; incautious; rash” (Dictionary.com, 2013). Therefore, it is interesting to note the various situations the hikers were faced with, and in addition analyzing what could have been handled differently in respect to decent judgment.
Wisdom & Ignorance
First element of prudence and imprudence is wisdom/ignorance. In the case of Hall, it would be fair consider him a wise guide, based on his vast climbing knowledge prior leading the Everest excursion. Hall knew the reality of possible dangers when hiking, and what actions were needed when faced with certain events. A prime example of Hall’s wisdom is his creation of a turnaround time. This was implemented so that if climbers had not reached the peak by this time, they would return to camp in effort to avoid ascending in hours of darkness. Such preparation is a wise tool to implement in situations such as climbing Mount Everest (Nearfieldcommunicationtags.com, 2013). Though the turnaround time was implemented, the hikers were ignorant in their preparations by not setting an exact turnaround time and abiding by such. With Doug Hansen, Hall displays ignorance when he allows Hansen to continue hiking past the turnaround time, ultimately placing them both at the top of the mountain at 4:00 PM, much later than scheduled and which ultimately lead to Hall’s death.
Responsibility & Neglect

Secondly, another element of prudence is that of Responsibility and Neglect. Fischer does a good job in managing the lives of his clients. He seemed to feel a sense of responsibility to get his climbers up the mountain and down in one piece. In the situation where Fischer leaves his clients in order to take his friend, Dale Kruse, down the mountain because he was sick, can be looked at in two lights. In Fischer’s mind, he felt a sense of responsibility to his friend that they needed to stick together. This might have driven him to feel like it was his responsibility to take his friend down to base camp safely (White Mountain National Forest, n.d.). Such is a responsible decision to his friend, but to himself and the other clients, he seemed to display neglect for the bigger picture. Ultimately he neglected his clients by leaving them and wearing himself out to the point of being sick. His client’s lives relied on his health, and by straining himself; he jeopardized his client’s lives since they needed him healthy in order to make it through the Everest climb.

Foresight & Denial

Foresight and Denial follows as the third elements of prudence and imprudence. As stated previously, in a passage above, prudence simply means how we live matters and Imprudence simply means it doesn’t matter how we live (Kolp & Rea, 2005). When I analyze Hall I find that he tends to live by rules that he feels are necessary for his hiking success, but as the hike plays out we are able to gather that these rules are Halls ultimate weakness. Before departure Hall expressed to everyone that his word was ultimate law and that there was no room for debate (Roberto & Carioggia, 2003). Ultimately, Hall was planning ahead and realizes that while they are on the mountain they need to be able to think fast. Especially in dangerous situations it is good to listen first and ask questions later. Hall states his laws, but does not prepare his clients for their own laws. This is something that should have been most implemented throughout the climb, because he cannot hold everyone’s hand while on the mountain (Climbers, 2013). During acclimation Krakauer approaches Hall and expresses some concerns that he has about reaching the summit, but Hall displays denial in what Krakauer has to say. In fact, Hall boasts about his thirty-nine previous successes to the summit. Hall is in denial that someone else might know better than him. Hall is lacking the ability to listen to other ideas. Like a double edge sword, his rules allowed for prudent structure in his climb, but ultimately led to imprudent decisions, which did not allow necessary/helpful input.

Common Sense & Willfulness

Last, but not least, the forth elements of imprudence and prudence are Common Sense and Willfulness. Kropp, a man who decided to do a solo hike on Mount Everest, displays what it means to have common sense through action. On May 6th, during the expeditions the two teams encountered Goran Kropp, who was on his way down the mountain because he had realized that his health was deteriorating. Hall expressed that this was a smart decision and an admirable thing for Kropp to do. Hall could recognize common sense, but his willfulness attitude blinded him from being able to make such a decision (O’Neal, S., 2012). When it came time to suggest to Hansen that he should turnaround due to his health concerns and ascending in darkness, Hall allows for him to continue due to his promise to Hansen. Hall felt a sense of obligation to reclaim his great name. In this case Hall was self-motivated to get Hansen to the top in order to redeem his past failures (Climbers, 2013).

Trust
Trust in the Tragedy Ever since the tragedy of Mount Everest in 1996, many people have analyzed the possible reasons to which caused this terrible climbing disaster. Many errant human decisions were made in combination with the extreme natural challenges on Mount Everest presents, leading to the tragic failure to Hall and Fischer's climbing expeditions. A lack of team trust seemed to be one of the major reasons for the failure.
Importance of Trust
According to Kurt Dicks (2000), many evidences show that trust in leadership is critical to team effectiveness, and that trust is the basic principle in laying the foundation necessary for successful teamwork. The reason that this must be the case is because all decisions are of great importance to the team, and hence must be embraced by those in the team for success. In another words, a highly effective team is one bound by a strong relationship of trust between one another. Therefore, did Hall and Fischer's teams have a strong faith of trust between each team member and team leader? In reconsideration, quite in the opposite is inferred.
Trust in the Study Many of the clients had doubts in Hall and Fischer's leadership abilities as the climbing trip went on. In fact, there was such vulnerable trust between the clients and expedition leaders, that when dangerous situations came, they felt insecure and hopeless. Jon Krakauer (one of Hall’s 1996 Mount Everest clients) said after having survived the trek: “In this godforsaken place, I felt disconnected from the climbers around me... We were a team in name only, I'd sadly come to realize. Although in a few hours we would leave camp as a group, we would ascend as individuals, linked to one another by neither rope nor any deep sense of loyalty.” (Roberto, & Carioggia, 2003, p. 8).
Krakauer was not the only one of the expedition members who had reservations; several other climbers were also concerned in whether or not they could rely on their team members in difficult situations, such as Anatoli Boukreev (guide of Fischer's Mount Everest climbing team in 1996). He too noted difficulty in developing relationships with the other climbers and the absence of camaraderie (Roberto, & Carioggia, 2003). Unfortunately, as is many times the case, one climber's actions could affect the welfare of the entire team. As well noted the distrust and lack of team was made aware from the beginning, it seemed to foreshadow that tragic events along the way might only be inevitable. Tragically, the unimaginable did become a reality, as five climbers eventually paid the ultimate penalty, death on Everest.
Conclusion on Trust
It is easy to see the great role that a strong trusting relationship holds in a team and its negative impact on a whole team when trust is lacking. Although there is no 100% guarantee of success for a team with excellent faith in each another, a lack of faith throughout a team can certainly compromise a team, regardless of how each member might be exceptionally qualified, experienced, or any of a number of other positive characteristics, as the 1996 Mount Everest tragedy proves.
Motivation
There are many reasons that led to the substantial loss in 1996 Mount Everest climbing teams. As mentioned previously, one such reason being a lack of trust. However, the various motivations among climbers and leaders also raise many questions.
Importance and Definition
For starters, we should first understand the relationship between motivation and its influences on a team's performance. According to Tonya Peterson: motivation can encourage and stimulate individuals or project teams to achieve great accomplishments. Motivation can also create an environment that fosters teamwork towards reaching common goals. Additionally, the different levels of motivation each individual carries, can affect all aspects of project results, both positively and negatively (Peterson, 2007). This is to say, the correct motivation within a team is much more likely to bring out a positive outcome in the end, while other motivations may not, i.e. selfish, self-benefited motivations or unethical motivations. This especially holds true for team leaders, who are supposed to understand the reasons behind motivation in order to achieve success through the creation and maintenance of a motivating environment for all involved.
Climbers’ Motivation
In terms of the 1996 Mount Everest case, what were their motivations for climbing Mt. Everest? Certainly, one motivation is that of each climber's self-fulfillment. Every challenger who has never summited Everest before has an inner drive to do so. In conquering the highest mountain in the world, one receives notoriety, proves the great power and persistence of human strength, and additionally experiences the shear excitement of the achievement. However, how many other motivations were there aside from these? Will a member compromise his or her goals when their self-motivation is in conflict with others... most likely not. Meanwhile, from the aspect of the team leaders, who had successfully summited Everest before, what were their motivations in leading other climbers to the summit, were their motivations justifiable, and should they have felt confident in leading others to the summit of Everest?
Fischer’s Motivation As mentioned in the case study, besides guiding his climbers to fulfill other climbers' dreams, Fischer's larger motivations were the profits and most importantly fame that came in doing so. In spite of Fischer’s leadership prowess and vast experience in extreme mountain climbing, it still seems questionable some of the clients he allowed on his climb. It seems Fischer, in order to make more lucrative commercial benefits, accepted poorly qualified clients to join his team. In some cases he convinced individuals to join his team by offering price discounts, among other things. Additionally, he attempted to fame his name and rapidly grow his company’s reputation through guiding less experienced climbers, such as journalist Sandy Pittman (Roberto, & Carioggia, 2003). All of which seem to be questionable motivations in leading his team to climb Mount Everest in 1996.
Conclusion on Motivation Therefore, in order for teams to perform well, trust is important in building strong relationships between team members. Also, the correct motivations of team leaders and team members alike play a pivotal role in group success or failure. There is no guarantee in avoiding failure with the right motivations, yet with the correct motivations, there is definitely a higher chance to achieve team objectives successfully. In reference to the 1996 Mount Everest case study, if Fischer had more honorable motivations in leading his team and planned more cautiously, deaths on Everest might have been avoided including his own.
Planning and Timing With such an expedition as in case study, a great amount of effort was put into planning and timing, and yet in retrospect, was it enough? If there had been more or better effort in planning, could the tragic events that occurred in the spring of 1996 been avoided? Or, was the misfortune that took place merely an act of mother nature imposing her will in such a way that no decision, one-way-or-another, would’ve altered what ensued?
The Trip
Timing
I think that few would argue the timing in the year of the trip. It seemed for the most part, universally evident to both teams, that such timing in which the trip took place would be most sensible, due to the “strong jet stream in April and the monsoon season later in the spring” (Roberto & Carioggia, 2003, p. 7). Additionally, both teams had to plan appropriate time for clients to acclimate to the scarcity of oxygen at high altitudes. This is especially noteworthy considering the majority of the clients had either, no or very limited, high altitude climbing experience. It would appear that at least the scheduling of acclimatization in the beginning was timely.
Planning
While both teams, Mountain Madness and Adventure Consultants had successfully guided clients to the top of Everest before, it seemed that there were numerous oversights by the leaders of both parties. For instance, Pete Schoening had breathing difficulties, requiring the use of bottled oxygen, which Fischer had not contemplated for. Additionally, there were many unexpected issues which arose for Fischer’s, Mountain Madness, such as: a delayed delivery of oxygen, an issue with a charter flight containing a high altitude tent, an unforeseen issue with Nepali porters demanding higher wages, and inclement weather which slowed the progress of yaks carrying supplies to Base Camp. All of these concerns Fischer had to deal with in order for the trip to be successful, yet putting a visual image together of Scott Fischer… confident, cocky, ambitious... it seems that Scott Fischer could also have been labeled a micromanager. In some ways it might have come with the territory of being a leader on such an expedition, yet the strain of resolving the many matters that arose, personally, took a toll on Fischer. One of Scott’s guides, Anatoli Boukreev, noted midway through the expedition “Scott appeared tired… it was my impression that he was worn out from the logistical problems with which he had been dealing” (Roberto & Carioggia, 2003, p. 7). Might have delegating some of the upfront issues that arose to Sherpa’s and guides, have lessened the burden on him and in the end, saved his own life?
The Ascent
Timing
Even with all of the setbacks and issues, both expeditions completed their acclimatization process and returned to Base Camp in late April, a week before the final ascent (Roberto & Carioggia, 2003, p. 7). In their bid to the summit of Everest, it seems that there was little note taken of the weather conditions, specifically the weather which might be approaching. Additionally, there were many instances discussed to which the health of the clients and guides alike, was in question. And yet, no one brought such issues to the surface and took into account that it might be better to wait a little longer, before preceding to the worlds’ summit. Lastly, it seems that although it was very evident that there were numerous other expeditions attempting to summit at a similar time, there might be some delays accordingly which might factor in to Hall’s “2-O’clock turnaround” time.
Planning
In regard to planning in the summit bid, many things seemed simply assumed. The study mentions that Hall and Fischer had planned to send several Sherpa’s to affix ropes on the path to the summit, but decided it was unnecessary in hearing that another group had already done so (Roberto & Carioggia, 2003, p. 11). Such gives the impression that Hall and Fischer were inexperienced managers, failing to, in the often-used maxim of Ronald Reagan, “Trust but verify” (Watson, 2011). There doesn’t seem to be any logical reason why Hall and Fischer did not have the Sherpas move ahead to confirm that the ropes had been laid and properly so. Additionally, little can be reasoned by the lack of radios, not to mention obsolete, on an expedition with a ballpark price tag of $65,000.
The Descent
Timing
Throughout the expedition, much emphasis had been put on Hall’s strict “2-o’clock” rule. Yet when 2-o’clock came summit day, Hall seemed to make no mention of it. It would look like that Hall had become more concerned with successfully leading his friend/client Doug Hansen to the summit, after failing to do so the year before, than leading his team safely.
Planning
As mentioned previously, it seemed that on summit day relationships in the teams, or lack thereof, of became supremely evident as teams separated for various reasons. Many separated for health reasons, and began climbing independently of the team, leaving Fischer’s placement of radios of little use. With the delays that occurred that day, “many clients opted to collect their third canister of oxygen from the South Summit on the way to the top, contrary to earlier plans” (Roberto & Carioggia, 2003, p. 12). It is hard to understand why additional oxygen had not been accounted for. Quality plans would have appropriated for some unaccounted instances such as this. In the end, it seems that little, if any, planning was given to the idea of anything but “the plan” transpiring. Quite simply in retrospect, there seemed to be no Plan B.

Conclusion In review of the many events that occurred on Everest in May of 1996, many ill-advised decisions and plans were made which eventually led to the dire events that took place. It is hard to say that if there had been better leadership or enhanced communication throughout such events would still not have occurred. It is also difficult to say that in such times and places, that we ourselves would not make similar choices. In the end, it is most critically important to understand one has to be wise in the decisions that he or she makes, and additionally understand the importance of such decisions in respect to one’s self and likewise those around. With all of that said, it is interesting to note that both organizations Adventure Consultants and Mountain Madness still exist, both of which still have guided expeditions on Mount Everest. Even with the founders of both companies passing, it speaks of the perseverance and continual progressivism that organizations must have in due course. Even with such failures in the past, both organizations have matured and learned from prior faults, as tragic as they may be, and were both included in “The Best Adventure Travel Companies on Earth” by National Geographic Adventure Magazine in 2009. (National Geographic, 2009)

References
Climbers. (2013) Seven survival rules. Retrieved from http://www.mounteverest.net/expguide/survivalrules.htm
Dirks, K. (2000). Trust in Leadership and Team Performance: Evidence from NCAA Basketball. Journal of Applied Psychology, 85, 1004-1012.
Kolp, A., & Rea, P. (2005). Leading with integrity (1st ed.). Mason, OH: Atomic Dog.
O’Neal, S. (2012). The Sportsman’s Guide. Hiking Basics: Safety and Common Sense. Retrieved from:http://www.sportsmansguide.com/Outdoors/Subject/SubjectRead.aspx?sid=26&aid=143882&type=T
Mittenthal, R. Ten Keys to Successful Strategic Planning for Nonprofit and Foundation Leaders (2002). http://www.tccgrp.com/pdfs/per_brief_tenkeys.pdf
National Geographic. (2009) The Aventure Ratings: The World's First Authoritative Rating of Adventure Tour Operators http://adventure.nationalgeographic.com/adventure/searchoutfitter
Nearfieldcommuicationtags.com. (2013). Hiking safety: everything you need to know to stay safe on trails. Retrieved from http://www.nearfieldcommunicationtags.com/hiking-safety.html
Peterson, T. (2007). Motivation: How to Increase Project Team Performance. Kohl's Corporation. Project Management Journal. Vol. 38, No. 4, 60-69.
Prudence. (2013). Dictionary.com Unabridged. Retrieved from http://dictionary.reference.com/browse/prudence
Roberto, M. A., & Carioggia, G. M. (2003). Mount Everest-1996. Boston, MA: Harvard Business School Publishing.
Watson, W.D. (2011). Trust, but Verify: Reagan, Gorbachev, and the INF
Treaty. The Hilltop Review, 5(1), 22-39.
White Mountain National forest. (n.d.). Hiker responsibility code. Retrieved from http://hikesafe.com/index.php?page=hiker-responsibility-code
Wisdom. (2013). Dictionary.com Unabridged. Retrieved from http://dictionary.reference.com/browse/wisdom
Youngs, A. & Malmborg, E. Teamwork: An Innovative Approach. May 1991 http://textfiles.com/law/teamworkp06.law…...

Similar Documents

Premium Essay

Business and Management

...org/ijbm International Journal of Business and Management Vol. 5, No. 9; September 2010 A Study of the Impact of Business Process on the ERP System Effectiveness Wen-Hsien Tsai (Coresponding author) Department of Business Administration National Central University, Jhongli, Taoyuan 320, Taiwan E-mail: whtsai@mgt.ncu.edu.tw Shu-Ping Chen Department of Business Administration National Central University, Jhongli, Taoyuan 320, Taiwan E-mail: irwin26@mail2000.com.tw Elliott T.Y. Hwang Department of Information Management Chung Yuan Christian University, Jhongli, Taiwan 320, Taiwan E-mail: eliott01@ms3.hinet.net Jui-Ling Hsu Department of International Trade Feng Chia University, Taichung 407, Taiwan E-mail: jlhsu@fcu.edu.tw Abstract An ERP implementation takes many years to complete and requires a large amount of IT investment and their effectiveness is hard to evaluate. Companies implement ERP systems to integrate the business processes of a company, and help organizations obtain a competitive advantage. In each ERP implementation stage, Business Process Reengineering (BPR) plays different important roles. This study examined the process problems (system process / business process), BPR and performance of ERP systems by using the questionnaire survey and AVOVA analysis. We also examined the relationship between degree of BPR and ERP system performance using regression analysis. Keywords: Enterprise Resource Planning (ERP), Business Process Reengineering (BPR),......

Words: 6246 - Pages: 25

Premium Essay

Business Management

...Business Man 1 Intro to Bus Man as science - Study Unit 1 & 2 Man science uses a scientific approach to solver many problems. Used in variety of orgs to sove different types of problems. Encompasses a logicical mathematical approach to problem solving 1.1 Man science process • Observation - Identification of a problem that exists in the system or organization. • Definition of the Problem - problem must be clearly and consistently defined showing its boundaries and interaction with the objectives of the organization. • Model Construction - Development of the functional mathematical relationships that describe the decision variables, objective function and constraints of the problem. • Model Solution - Models solved using management science techniques. • Model Implementation - Actual use of the model or its solution. 1.2 Factors of production Natural resources i.e. crude oil Capital i.e. investors Labour i.e. technical and academic Entrepeneurship i.e. takes capital and link labour and natural resouces combined with risk to provide goods and services. Knowledge i.e. to determine wants and needs quickly and to respond to them with products and services. 1.3 3 Most NB Economic systems = Capatalism, Socialism and Communism 1.3.1 Capatalism Free market system Built on principles of private ownership Is based on the right to make a profit, right to compete and the right to own property. System is market driven and the solutions to a country's economic......

Words: 9542 - Pages: 39

Premium Essay

Business Management

...Page » Business and Management Business Strategy In: Business and Management Business Strategy Section B: Strategic Management (50 Marks) Objectives: (a) To develop an understanding of the general and competitive business environment, (b) To develop an understanding of strategic management concepts and techniques, (c) To be able to solve simple cases. Contents 1. Business Environment General Environment–Demographic, Socio-cultural, Macro-economic, Legal/political, Technological, and Global; Competitive Environment. 2. Business Policies and Strategic Management Meaning and nature; Strategic management imperative; Vision, Mission and Objectives; Strategic levels in organisations. 3. Strategic Analyses Situational Analysis – SWOT Analysis, TOWS Matrix, Portfolio Analysis – BCG Matrix. 4. Strategic Planning Meaning, stages, alternatives, strategy formulation. 5. Formulation of Functional Strategy Marketing strategy, Financial strategy, Production strategy, Logistics strategy, Human resource strategy. 6. Strategy Implementation and Control Organisational structures; Establishing strategic business units; Establishing profit centres by business, product or service, market segment or customer; Leadership and behavioural challenges. 7. Reaching Strategic Edge Business Process Reengineering, Benchmarking, Total Quality Management, Six Sigma, Contemporary Strategic Issues. The Nature of Strategic Management ......

Words: 380 - Pages: 2

Premium Essay

Business & Management

...1 Case Study : Sinosteel Strengthens Business Management with ERP Applications  SUMMARY:  China’s state owned strategic resources enterprise Sinosteel Corporation uses Oracle Enterprise Resource Management (ERP) to strengthen its business management and global reach.  Case:  Sinosteel Corporation (abbreviated as Sinosteel) is a central enterprise under the administration of the State-Owned Assets Supervision and Administration Commission. There are 76 subsidiaries under the administration of Sinosteel, among which 53 are in China and 23 abroad, the revenue from core businesses reaches RMB 111 billion in 2008. Chinese currency is called the Renminbi (RMB), and it is currently trading at .146 US dollars in 2009.  Sinosteel is mainly engaged in developing and processing of metallurgical mineral resources, trading and logistics of metallurgical raw materials and products, and related engineering technical service and equipment manufacture. It is a large multinational enterprise with core businesses engaging in resources development, trade & logistics, engineering project and science & technology, equipment manufacturing and specialized service, providing comprehensive auxiliary service for steel industry, especially steel mills.  Sinosteel is organized as decentralized, multi-business unit firm. Like most rapidly growing global firms, Sinosteel has grown through the acquisition of hundreds of small companies, and many medium to large size companies. In the...

Words: 1481 - Pages: 6

Premium Essay

Business to Business Relationship Management

...BUSINESS TO BUSINESS RELATIONSHIP MANAGEMENT Strategic Sourcing and Supply Chain Management 04/25/11 CONTENTS Abstract 3 I. Stages of Buyer-Supplier relationships 4 II. Types of buyer-supplier collaboration 5 III Supplier evaluation and selection 6 IV. Steps to establishing a Buyer-Supplier Collaboration 8 V. Barriers to establishing a succesful Buyer-Supplier relationships 9 VI. Benefits of a successful Buyer-Supplier Collaboration………………………………………………………..9 Conclusion 10 References 11 Abstract In today’s competitive business world, having the right kind of buyer-supplier relationship is critical to the success of most companies. Most manufacturing organizations spend over 50% of their revenue on supply chain. Considering the fact that customers are more price sensitive than ever, companies have to squeeze out potential profit margins from their supply chain investment. Manufacturers are also becoming increasing dependent on their suppliers; this has led to a general increase in level of collaboration between buyers and supplier. In fact, having the right source of supply can actually be a source of competitive advantage especially when both parties are bonded by an exclusive contract. For example, Dell computer was the first computer manufacturer to recognize the potential benefits of a collaborative supply chain relationship. Dell was so confident that building a...

Words: 1738 - Pages: 7

Premium Essay

Business Management

...BALM111 BCD140 BSB203 PRINCIPLES OF BUSINESS MANAGEMENT CAT 1 BALM/NRB/5120/13 Dorothy Awuor Obura Submitted to: Mbiyu Muhugura 15TH February, 2014 1) Describe management in terms of its functions (5 marks) Ans. According to Mary Parker Follett, “Management is the art of getting things done through other people” (Medical and Urwick 1941). Below are various functions of Management 1. Planning: This is a managerial function that determines in advance what should be done. It involves looking for the future. It is the determination of what is to be done, how and where it is to be done, who is to do it and how the results are to be evaluated. 2. Organizing: This involves arranging the way/manner in which organizational structure is established, how authority, responsibilities and duties are given to the managerial team. 3. Directing/Leading: Once the structure has been established and staffing done, the next step in any organization is to move towards achieving the objectives of the organization. It’s a process whereby the management guides and influences the staff by arousing the desires in their minds to give their best to the organization. 4. Controlling: Through controlling, the manager has to ensure that everything is done in conformity with the plans adopted as well as the established principles. In controlling, the management must establish standards of performance, measure performance and compare it......

Words: 2470 - Pages: 10

Premium Essay

Business Management

...corporate style to manage these units in order to add value, and potentially more value than other parents could add and prevent these businesses being handicapped by the centre. Essentially, ‘putting one's eggs in different baskets" may reduce the risk in the overall portfolio but requires that the firms management possess the strong capabilities necessary to successfully execute this strategy. This in mind, the Goold and Campbell style that I would adopt is the strategic control style based on…. Because the company has many unrelated businesses, in many industries and in many geographic regions, it is quite unlikely that corporate centre management would be adept at the capabilities required to manage these businesses. Most corporate managers have experience in only one industry (or a few) and none realistically can be an expert in the wide variety of unrelated industries represented in a conglomerate. The business units' management is close to the markets in the different regions, familiar with the different cultures that exists in those markets, and is more likely to have intimate specialist knowledge of their particular businesses. They also need to be flexible and nimble at business-level decision making. As such at the centre we will focus on financial control, which does not require a lot of rich, industry-specific knowledge. Therefore the centre will impose a strict financial discipline of the sort GE's former chairman and CEO, Jack Welch imposed on all......

Words: 1364 - Pages: 6

Premium Essay

Business Management

...International Journal of Management Reviews (2007) doi: 10.1111/j.1468-2370.2007.00215.x XXXX utilitarian, ORIGINAL XXX International Publishing Management theories IJMR 2007managerial and relational Reviews of corporate social responsibility © Blackwell Journal of Ltd 2007 1460-8545 Oxford, UK ARTICLES Blackwell Publishing Ltd Utilitarian, managerial and relational theories of corporate social responsibility Davide Secchi Concepts and theories of corporate social responsibility (CSR) have been examined and classified by scholars since the mid-1970s. However, owing to the evolving meaning of CSR and the huge number of scholars who have begun to analyze the issue in recent years fresh efforts are needed to understand new developments. Since there is a great heterogeneity of theories and approaches, the task remains a very hard one, mainly because heterogeneity derives from multi-disciplinary diversity. The criterion for selection is to consider the role that theorists confer to the firm. Following this idea, three groups of theories have been discerned: (1) the utilitarian group, in which the corporation is intended as a maximizing ‘black box’ where problems of externalities and social costs emerge; (2) the managerial category, where problems of responsibility are approached from inside the firm (internal perspective); (3) relational theories, or those in which the type of relations between the firm and the environment are at the center of the analysis. The three......

Words: 16348 - Pages: 66

Premium Essay

Business Management

...and Ronald MacAlpine. They provided maintenance services for bus services and the company considerably grew over the years. By 1997, this company had grown to be the largest in the Australian market for automobile parts mostly brakes and steering parts. Consequently, they became a preference for General Motors Holden and Mitsubishi. Toyota came on board later on in 2003. MetalEx started off as a family business but as time went by some of its shares belonged to bank and insurance companies. They counted up to 7% of decisions. The companies had faced a lot of problems by 1995. However, the company had a turnaround in 1996. A new plan for the business was made. This plan was meant to put MetalEx back on its feet. By 2000 the business had transformed with the purchase of new assets and businesses. The purpose of the acquisition of the new businesses was to establish a pacific rim beachhead for the German parent company, Greothe Industries. At that same time, the rationalized business would bring forth cash flow, infrastructure and economies of scale for the expansion of the business into the rapidly growing markets of China, Indonesia, The Phillipines, and later on India. However, in 2014, this company faced a worse situation than it was in earlier. Dollar fluctuations and increase in costs led to lose of a large client base. There was also a increase in costs of production due to the rise in labour costs in Austarlia. This greatly hurt companies in Australia. Pestel analysis......

Words: 3172 - Pages: 13

Premium Essay

Business Management

...THE BERNIE MADOFF'S SCANDAL Jayne Egharevba RES/351 February 16,2015 Business Management/Human Resources The Bernie Madoff’s Scandal The Bernie Madoff scandal is widely recognized as an example of an unethical business research, Bernie Madoff managed to build a multibillion-dollar investment firm based on skewed research and false financial data. The wealth management eluded the SEC and other authorities for decades before finally being shut down in 2008. Unethical business research played a large role in the company’s ability to hide their criminal conduct. However, the actions of the business were uncovered and federal charges were filed against Madoff. The incident has provided one of the best examples of how additional safeguards can be implemented to prevent similar actions from happening in the future. Madoff wealth Management Company skewed research and performance results, and this is an example of unethical research behavior. Highly positive outcomes were provided to new potential investors to attract new money to be invested in the firm. ( Henriques 2011). However, these findings were completely factious. In fact, there many companies in the wealth management industry that viewed this outcome with suspicion, and refused to conduct businesses with Madoff’s company. When financial downturn of 2008 started to get worse, investors began to withdraw their funds at an accelerating rate. Had the research data been reported accurately, the investor can make a......

Words: 707 - Pages: 3

Premium Essay

Business Management

...non-observation of the Recommendations of MCCG 2012, including the reasons thereof, has been included in this Statement. Principle 1 – Establish Clear Roles and Responsibilities 1.1 Clear Functions of The Board and Management The Board leads the Group and plays a strategic role in overseeing the Group’s corporate objectives, directions and long term goals of the business. The Board is responsible for oversight and overall management of the Group. The Board Committees are established to assist the Board in discharging its responsibilities. The Board delegates specific responsibilities to three (3) principal Committees, namely the Audit Committee, the Nomination Committee and the Remuneration Committee. All committees have written terms of references and operating procedures and the Board receives reports on their proceedings and deliberations. The Chairman of the respective Committees shall report the outcome of their meetings to the Board. Minutes of all Board Committee meetings are circulated to the Board members so that they are kept abreast of proceedings and matters discussed at Board Committee meetings. Independent Non-Executive Directors provide unbiased and independent views in ensuring that the strategies proposed by the Management are fully deliberated and examined objectively, taking into perspective the long term interests of shareholders, other stakeholders and the community at large. The Board recognizes the importance of the role of the......

Words: 6032 - Pages: 25

Premium Essay

Business and Management Business and Management Business and Management Business and Management Business and Management

...Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and management Business and......

Words: 321 - Pages: 2

Premium Essay

Business Management

...Name: Course name: Instructor’s name: Date: Business management plan Business success requires a breadth of knowledge and abilities and, in bringing together theory and practice. A business plan is an essential tool not only for those starting a business but also for those with existing businesses. A business plan is a guide to what a business will do, what it aims to achieve, how it will be accomplished and most importantly whether there is someone with the ability to do that. The business plan provides a complete description of a business idea, explaining its sales and marketing strategies, the management team, prediction of financial forecasts and operations. In short, a business plan enables a business idea to be transformed from the initial conception stage towards a fully reasoned and realistic plan of action (Blyth, M, 2013). A business plan also operates as a working document and essential management tool as it shows clearly how the business will proceed and the strategies it will employ. It enables possible obstacles to be avoided or minimized, targets to be focused upon and achieved, and effective structure to be put in place for a business strategies and finance. The business plan should be used as a guiding factor when it comes to decision making. It should be reviewed, modified and developed as the business evolves and progresses. It’s true that businesses that implement their business plan and keep it up to date can monitor their growth and are in a......

Words: 2092 - Pages: 9

Premium Essay

Business Management

...Academic World’s and The home and LEADING Professional Academic Business Management 2013-2014 Available on Complete range of global products plus many additional features! Fresh New look Enhanced Search functionality with intuitive search filters Create an Account to make the most of our resources Know about the latest from SAGE with our e-Mail Alerts Request Inspection Copies Browse our product Catalogues and register for a copy VISIT NOW and send your FEEDBACK to marketing@sagepub.in Watch out for MORE INNOVATIVE and exciting NEW FEATURES in the coming months! New & Forthcoming Titles! Please note that information is correct at time of print. Prices are subject to change without notice. Business & Management | 2013 / 2014 Contents Organizational Behaviour / Organization Studies ........... 2-6 Change Management .......................................................6-7 Leadership ...................................................................... 7-10 Human Resource Management.................................... 10-15 Coaching & Mentoring .................................................. 15-18 Strategy ......................................................................... 18-19 Entrepreneurship ...............................................................20 International Business ................................................ 20-22 Corporate Governance & Social Responsibility, Business Ethics & Sustainability......

Words: 63606 - Pages: 255

Premium Essay

Management in Business

...Management In Business Abstracts In business, there must be some form of management as to prevent chaos in the business. To make plans and implement them, to analyze, organize, cordinate and control. The skills of managing include leadership skills, and the human skills, interpersonal skills, conceptional skills. Without a management role in place for businesses with many departments, the business will not succeed. The difference though in good management and excellent management are vast. The experience a manager has in the management business will be of great significance in whether the next business he works for, or department succeeds. Management in Business The Vice President of the services division wants to hire a manager for the service division. To meet the requirements the Vice President has stressed, the candidate I choose for this position will meet those requirements as follows: This candidate will be filling the position of manager in our services department. This person will possess experience and skill in planning. In planning, she will set goals, establish strategies and cordinate activities. Some involvement in planning will be required of this person to keep providing excellent customer service. This......

Words: 854 - Pages: 4