Tuesday, August 20, 2019

Principal characteristics of the weberian ideal type bureaucracy- roles of power and authority.

Principal characteristics of the weberian ideal type bureaucracy- roles of power and authority. INTRODUCTION Bureaucracy has been studied for a long time now and many organizations have adopted this model in the day to day running of their organization. The aim of this essay is to explore the â€Å"Ideal type† bureaucracy developed by Max Weber, its characteristics, the role of power and authority on it and its strengths and weaknesses. Firstly we would look at various definitions of bureaucracy drawn from other writers. Bureaucracy in its ideal form is a â€Å"rationalized moral alternative to the common practices of nepotism and other abuses of power that were rampant in the feudal preindustrial world from which the modern industrial organization emerged† (Hatch, 2006, p. 105). Bureaucracies rely on combination of rules, procedures, documentation and behavioral monitoring to achieve control and seek to place a standard on behavior and the reward for compliance with established rules and regulation (Hatch, 2006, p. 117).   Bureaucracy can be seen as a primary drive through which rationality is used as an instrument within the modern society so as to exclude alternative criteria for action. (Du Gay, 2000, p. 38). Bureaucracy as a concept has come a long way, beginning from France in the eighteenth century. It originates from the French word for an office â€Å"bureau† rule of the bureau. In the 19th century, Germany experienced great success in its use; it was used in both its armed forces and civil administration (Clegg, Kornberger, Tyrone, 2008). Weber discovered that the modernity of Germany was made possible mainly because of the discipline of bureaucracy .It was used in the military to exhibit discipline, using acts such as â€Å"goose stepping†, it assured the generals of the complete obedience of their recruits to order, and for civilians it meant that the men were drilled like machines to eliminate insubordination and individualism (Clegg, Kornberger, Tyrone, 2008, p. 46) . As modern industrial organizations emerged in Germany they incorporated some of this form of ruling and it was a success, by the 20th century it became popular, the United States increasingly starte d adopting it for modern management, especially after the World War 1 when they noticed that the German economy had significantly improved. Bureaucratic forms were also developed internationally as a superstructure on a rationalized basis produced by systems such as that of Fredrick Taylor; these rational superstructures triggered Webers productive research inquiries into the nature of rationality, rules and bureaucracy (Clegg, Kornberger, Tyrone, 2008, p. 46). Webers view of bureaucracy was as an instrument of unrivaled technical superiority, he wrote that precision, speed and clarity, knowledge of files, continuity, discretion, unity, strict subordination, reduction of friction and material and personal cost are raised to the optimum point in the strictly bureaucratic administration; Bureaucracy was a rational machine and was based on how peoples in an organization use the rules of an organization as an everyday guide to management (Clegg, Kornberger, Tyrone, 2008, p. 46). Bureaucracy is supposed to be a system of administration continuously executed by trained professionals following set rules; according to Weber, system administration has to meet all the characteristics of a bureaucracy before it can be called one (Beetham, 1996, p. 10). Examples of everyday bureaucracies include the Armed forces and Corporations such as General motors and NASA. Weber explained that the closer a company is to his model, the more efficient it was likely to become. Bureaucratic control depends upon the existence of a legitimized hierarchy of authority to administer the bureaucratic mechanisms and closely supervise and direct subordinates (Beetham, 1996, p. 13).   It is argued that â€Å"Weber failed to recognize the ambivalent character of bureaucracy, partly because studies of organization were in their infancy in the early decades of the century and also because his ideas were unduly influenced by Prussian army and the Taylorian system† (Beetham, 1996, p. 13 ). It can also be argued that bureaucracy is gradually being replaced due to requirements of entrepreneurial development which gives room for individual innovations (Casey 2004, p.59). Bureaucracy as an important aspect of rationalizing modernity still endures because some certain characteristics of bureaucracy cannot be avoided in order for an efficient and effective running of an organization. Its aim is to prevent forces of unreason, disorder and disorganization (Casey 2004, p.60) Webers theory of bureaucracy developed out of a general theory of power domination which is explained later on in the essay. CHARACTERISTICS OF THE WEBERIAN â€Å"IDEAL TYPE† BUREAUCRACY Weber used the term â€Å"Ideal† in the sense of a pure idea, something that can only be imagined rather than in a perfect situation ,it   provides a foundation for theorizing because they are abstract they cannot be expected to exist in the world around us (Hatch, 2006, p. 102) .The ideal bureaucracy that Weber imagined was a means for turning employees of average ability into rational decision makers, serving their   customers with impartiality and efficiency; This bureaucratic form promised reliable decision making, merit based selection , promotion, impersonality and impartiality and therefore fair application of rules (Hatch, 2006, p. 102). Webers ‘ideal type theory offered the following characteristics outlined below: A fixed division of labour: The central feature of bureaucracy is division of labour coordinated under a centralized hierarchy of command. It creates interdependencies in an organization which is managed mainly through hierarchy of authority and standardizing rules and procedures and supported by documenting procedures, regulations, rules and other prescriptions (Walton, 2005, p. 573) A clearly defined hierarchy: Each office has its own clearly defined responsibility and competence. Hierarchical structures improve coordination by restricting free-flowing communications within components (Walton, 2005, p. 573). The hierarchy that workers are subject to at the workplace, Weber argued was required by the organization with complex technical and production processes, it is therefore required to coordinate division of labour (Beetham, 1996, p. 56). Bureaucracy is characterized by expertise because candidates for office are selected on the basis of merit and qualification, and Promotion is guaranteed according to seniority of achievement, and rewarded by fixed salaries paid in money (Hatch, 2006, p. 102).On employment, the office is the primary occupation of the employee and the employee looks forward to a long life career in the organization, and this promotes continuity in an organization (Hatch, 2006, p. 102). Official work is to be separate from ownership of the means of administration; this implies impersonality and Impartiality (Hatch, 2006, p. 102). Work is conducted according to set rules without â€Å"arbitrariness and favoritism† (Beetham, 1996, p. 9) everybody would be treated equally by the books. A set of general rules governing the performance of offices, strict discipline and control in the conduct of the office is expected. Rules, documents and filing is the order of the day as they govern official decision making and action. When we think of bureaucracy, we often think of ‘red tape the strict adherence to formalities (Hatch, 2006, p. 102). Therefore bureaucracy is characterized by high formalization ROLES OF POWER AND AUTHORITY IN THE WEBERIAN IDEAL TYPE BUREAUCRACY Weber sees the rule of man over man in the society as an inevitable historical phenomenon; he distinguished between power and rule stating that the former hinges on having ones way in a social relationship and the latter as getting things done through specific channels persons (Warner, 2007, p. 1024). Authority is a source of power; other sources of power include personal character, expertise, coercion, control; one main difference between authority and other sources of power is that the exercise of authority is directed downward in organizations while the exercise of other forms of power may work in all directions (Hatch, 2006, p. 254). Authority particularly stands out because it is associated with hierarchy, part of the social structure of organizations (Hatch, 2006, p. 254). Weber believed that in a bureaucratic organization members adhere to the rules of that organization, he contrasted three types of authority namely (Clegg, Kornberger, Tyrone, 2008, pp. 46-48): Charismatic authority: when respect and obedience will be given because of the extraordinary attractiveness, popularity and power of a person. The person is owed homage because of his or her capacity to project personal qualities; people follow them because of what they believe to be the special nature of their personalities and the success they have achieved. E.g. Princess Diana, Mother Theresa and Nelson Mandela Traditional authority: occurs where respect and obedience are owed because the person who holds it by birthright. Prince Charles, for instance is not so much an authority because of his charisma, but because of tradition. Rational-legal authority signifies that respect and obedience are owed not to the person or the title they hold but to the role they fill. It is the office respected and not the officer because it is a part of a rational and recognized disposition of relationships in a structure of offices. For instance, a   police officer is respected because of the office he represents and individuals would act rationally by obeying the rules of this office because of the consequences of not obeying .Webers view of bureaucracy was a   tool for unequaled technical advantage. He wrote that â€Å"†¦precision, speed and unambiguity, knowledge of files , continuity , discretion, unity , strict subordination, reduction of friction and material and personal cost are raised to an optimum point in the strictly bureaucratic administration†. Bureaucracy was a rational machine. The outcome of this process of rationalization, Weber suggests is the production of a new type of person: the speciali st (Clegg, Kornberger, Tyrone, 2008). Things may be done in formally and substantive rational ways, the difference between the two is that the former involves precise techniques of calculation such as those developed to measure technical efficiency or to track costs while the latter refers to the reason for rational action, that is, its meaning and value (Hatch, 2006); He warned that formal rationalization without substantive rationalization would lead to ‘iron cage† which Weber described as the dark side of bureaucracy. The drive for rationality, calculation and control may increase efficiency but also trap an individual in an iron cage that chokes creativity and free will. The charismatic and legal forms of authority may coexist in an organization for example an employee may respect his immediate supervisor because of his charisma and the way he does his work and may decide to make him his mentor, even though they both are subordinates in the same organization(Hunt M icheal, 1983). Rational-legal precepts, is exactly what Weber identified as the heart of bureaucratic organizations. People obey orders rationally because they believe that the person giving the order is acting in accordance with a code of legal rules and regulations.For Weber, the modern organization differed from other forms of organization because of its rationalization of authority and legality; The rational-legal bureaucrat was similarly characterized by technical and professional expertise (Casey,2004 p.65). WEAKNESSES OF THE BUREAUCRATIC FORM OF ORGANIZATION Bureaucracy has to a large extent contributed immensely to the growth of modern organization and in its contributions lays some weaknesses that result from the application of its features in the following paragraphs. Bureaucracy is characterized by high formalization which is defined as the degree to which rules procedures, regulations and communications are written and filed (Walton, 2005, p. 570) .Everything should be done by the book and this leads to the feeling of impersonality often associated with bureaucratic organizations that does not allow employees to be committed emotionally to the pursuit of economic efficiency, which is the overall goal of the organization; it restricts them because of culture of impersonality and detachment (Stokes Clegg, 2002, p. 227). Employees must share a managerial vision of their organizations culture and be prepared to go an extra mile to achieve it, not just to following rules, rules should be bent sometimes to ensure that a desired outcome is achieved, there is a limit to how much of your work you can rely on policy and guideline (Clegg, Kornberger, Tyrone, 2008, p. 88). Therefore, Bureaucracy strangles individualism because everything has to be done in a machine-like manner. Webers model of organization efficiency assumes that aspects of individual personality which are not relevant to the strict performance of employees duties would be removed as they enter the organization (Beetham, 1996, p. 13). In practice, people come into an organization with personal needs and expect to seek satisfaction to an extent through social interaction at workplace, the manner this interactions are dealt with at work can be crucial to the performance of the employee. Authority which ignores these factors is likely to meet resistance because people cannot be compelled to work efficiently or with commitment (Beetham, 1996, p. 14). When this resistance surfaces, there is likely to be conflict in the organization which may disrupt organizational goals. Promotion is based on merit ; unqualified personnel may keep getting promoted on seniority bases because the organization may think they merit the promotion because of how long they have stayed (Casey, 2009).In this case, they may not be actually qualified for the promotion given that division of labour encourages specialization because of the standardization of production process. They may have deep knowledge for a particular skill, but not other skills that they may require for higher level.   Division of labor can then lead to a situation where an employee cannot do anything than other than what he is trained to do and finds it impossible to operate in a different situation, because of inflexibility. This impedes self development of employees (Casey, 2009) and limits creativity. Communication comes in one direction because of the hierarchical structure; some information may need to be passed from grassroots upwards sometimes so that employers can get from employees feedback vital for growth of an organization, a hierarchy may suffer from too much information as well as little information (Beetham, 1996, p. 14).A less hierarchical structure may be more flexible. Goals may become displaced in bureaucracy because of strict adherence to rules, because the aims of the organization become identified with following the rules that are only intended as means to achieving goals (Clegg, Kornberger, Tyrone, 2008, p. 89).When this happens it also disrupts the overall aim and objectives of the organization. For example, if a schools departments aim is to ensure that the students in class understand the lectures and graduate with good grades. In order to achieve that, the students attendance in class would be very necessary but if a lecturer uses half an hour to count the students in class and write attendance, it becomes a displaced goal because the time used in counting the number of students in class can be used to teach them more effectively. Therefore, these weaknesses discussed have a tendency to become vast, cumbersome, slow and rigid, reduced efficiency because of following usual protocol, not enough freedom of movement, over compliance etc (Casey 2009). STRENGTHS OF THE BUREAUCRATIC FORM OF ORGANIZATION Strength of bureaucracy becomes more evident in stable environments with compliant employees (Morgan, 1995, p. 29). Authority and responsibility are clearly defined due to hierarchy and division of labour (Casey 2009) and when it is defined there is unity of command which leads to efficiency because employees know who instructs and what to do because there is free flowing communication in the sense that information is not muddled up and there is no confusion because information is centralized and comes from one source, flows from upward downward. Bureaucracy is a wall for civil freedom. (Clegg, Kornberger, Tyrone, 2008, p. 67). There is fairness and impartiality in bureaucracy (Casey 2009), all employees are treated in the same way, and they do not have to worry about impartiality, unless of course if politics arises in the organization and it starts to affect the rules of the book. You have the right to appeal in bureaucracy if the rules applied are illegitimate; no one is above the law, none could escape rules, and every officer was accountable for what they do because they have specialized tasks, work done is easily traced to who did it. Technical and formal efficiency i.e. expertise of office holders (Casey 2009), standardization of processes brings about efficiency, in that every process is done at the time it is supposed to be done, just as efficiently as machines. Personnel selection and promotion based on expertise and merit, rational-legal authority does not go through the rigorous process of finding another leader in case one is lost, there are endless supplies of people to whom it can give authority because it can make rational choices on the basis of superior leadership and merit (Casey 2009), specialization promotes this expertise which retains knowledge and deep understanding of a particular field. (Casey 2009). CONCLUSION This essay explores the Weberian ideal type bureaucracy, we look at different definitions of it, characteristics, the role power and authority has to play, by focusing on the rational-legal type of authority which is the heart of bureaucracy. We also analyzed the strengths and weaknesses that can be encountered in the use of this model. Webers work made a significant impact on the development in the study of organizations and management. Bureaucracy has been socially institutionalized and used globally. It is considered by some to be stuffy and regimented for example employees taking their breaks at assigned times, dress code specified etc (Daft, 2004, p. 239). However an organization may end up with a term called â€Å"mock bureaucracy â€Å"where the rules are seen as an external regulation that can be ignored on purpose, neither managements nor workers values are aligned with the rules so they are widely regarded as lacking legitimacy; everyone knows the rules and yet decides not to take it seriously, implementing tighter controls may result in resistance and employees become rebels† (Clegg, Kornberger, Tyrone, 2008, p. 90). The interpretations of the rules have to change in this case and managing organization is less about knowing what the rules are, and more about managing the meaning. In recent times where the world is taking a more entrepreneurial approach in organization, the Weberian Ideal form of Bureaucracy may not exist in absolute form, because of the changing environment. The need for innovation is very key; an organization may set up a different department for innovation and the other tasks are shared accordingly (Clegg, Kornberger, Tyrone, 2008, p. 93). Red tape and rigidities, we may say we now live in partly post bureaucratic times where a concern with efficiency predominates over issues of equity and justice. Organizations have become more modern equipments, machines and computers now replace files, a database can be drawn up and important records can also be kept there. In essence bureaucracy cannot be absolutely eliminated in as much as some people detest this model; it exists in organizations in different ways of different units for example in a university it may exist in the admissions department, Exams and records departments and so on. It would be hard to imagine a university without the consistent application of rules. There are no organizations that do not have some sort of rules after all, and all organizations are (at least partly) bureaucratic.

Monday, August 19, 2019

Mechanical Energy :: essays research papers fc

Have you ever wondered how a jet aircraft lifts its tremendous weight off the ground, or what gives a runner the stamina to reach the finish line in a race? In order to answer all these questions we must talk about the transformation of one sort of energy into another. The jet aircraft gets its power from jet turbines. These powerful jet engines create a high-pressure stream of very hot gases that push the aircraft forward as they leave the engine. This is an example of heat being transformed into movement. This is sometimes described as Mechanical Energy. However, this transformation could not take place without the fuel that the aircraft gets within its wings or fuselage. Fuel is considered a chemical energy. This diagram shows how the jet engine acts as energy to lift the aircraft off the surface of earth. Fuel can take the form of gases, solids or liquids. When fuels combine with oxygen from the air, they release their stored energy as heat. We recognize this process as burning. The individual relies on food for fuel which contains energy-giving substances that our bodies can store until we need this energy to use our muscles. When we do use our muscles within us, we may not always be sure that heat is given off. Our bodies do not burst into flames but the perspiration on our skin is a clue to what is happening. The movement of the windsurfer has a different explanation. The windsurfer is propelled along by a sail which collects mechanical energy from the winds that sweep along the water. This energy has been produced by the sun which warms the earth's surface and sets the air above in motion. The sun's heat comes to the earth as a form of radiant energy. When the heat reaches the surface of the earth, it causes the land or seas to rise in temperature. The sun is very hot. Infact, the center of the sun can reach temperatures of up to 27 million degrees Fahrenheit. This is because of another kind of energy reaction where new substances are continually being created as others are being destroyed. This reaction is known to us as the Nuclear Reaction. Today we are trying to imitate this reaction in improving our energy supply. Scientists have calculated that the sun has enough fuel to go on producing energy at its present rate for about five billion years. On earth

Names and Titles in Gloria Naylors novel, Mommy, What Does Nigger Mean

Names and Titles in Gloria Naylor's novel, Mommy, What Does Nigger Mean    "Words themselves are innocuous; it is the consensus that gives them true power." (Naylor 344) A name is a mark of classification, a basis for self identity. Able to elevate or annihilate a persons' perception of herself and the surrounding society, these designations can uplift, joke, chide, mock, insult, degrade. "Society" implies the people and the atmosphere encompassing an individual in her daily life. "Culture" is closely tied to the society of a person--it is the aspects of her life which are directly influenced by such issues as race, color, nationality, religion, sexuality, and any other number of things that mark a person as distinct. Culture, though an integral part of everyone's lives, is frequently misunderstood or seen as threatening by people outside of the group in question. This ignorance of other people leads to judgments and assumptions, which frequently cloud daily issues. The most ignorant people stoop to name-calling, a painful slap of hatred. Stereotypical, racist, religious, and sexist name calling, especially, can affect the victim's views and opinions for life. Most vulnerable to these taunts are children, innocent and uncallused, who hear these names and know neither their true meanings nor the depth of senseless hatred behind them. As shown by Henry Louis Gates, Jr. and Gloria Naylor, these labels can be taken in and their meanings rendered harmless. By seizing and possessing these hateful words, a group can reshape the meaning of the slurs once wielded so forcefully against them. In Gloria Naylor's novel, "Mommy, What Does Nigger Mean?" she tells of her experience as a young child called a "ni... ...round the family. While terms such as "nigger" remain excruciatingly prevalent in today's society, victims of racist slurs have found healthy ways of dealing with the abuse. By projecting new meanings onto old words and focusing on the ever-changing names for African Americans for reassurance, the victims' strengths allow them to reroute hate, instead creating a more positive recognition of intelligence, beauty, and individuality. Works Cited Gates, Henry Louis, Jr. " 'What's in a Name?' Some Meanings of Blackness." American Mosaics: Multicultural Readings in Context. Eds. Barabara Roche and Sandra Mano. Boston: Houghton Milfflin. 1996. 424-38. Naylor, Gloria. "Mommy, What Does 'Nigger' Mean?" New World of Literature: Writings from America's Many Cultures, second edition. Eds. Jerome Beatty and J. Paul Hunter. New York: Norton. 1994. 344-7.

Sunday, August 18, 2019

I Need To Know Where I Came From To Know Where I Am Going Essay example

Growing up I learned the stories of my ancestors and how all of them were immigrants. I felt a need to learn their stories because I thought â€Å"I need to know where I came from to know where I am going†. I believe I stand on the shoulders of my ancestors and my accomplishments are not my own but resulted due to what they accomplished in their lives. I view my family history as building blocks with each generation improving, if only in millimeters. My ancestors came from Germany, Sweden and Bohemia. Three of my great-grandparents were immigrants. My parents both knew their grandparents and had a relationship I find it amazing to be so close to the immigrant generation yet so far away. I say far away because the language and customs are gone. We are completely â€Å"American† but in writing this paper I realized the values of the old countries remain alive and well within the current generation. The maternal side of my family contains Swedish and Bohemian ethnicities. My maternal grandmother was 100% ethnic Swedish. My great-grandparents arrived in America in between 1874 and 1888. The section on parenting issues for parents of color in Diller (2011) while my grandparents were not people of color they were immigrants which made them different. I wonder what experience my grandmother had growing up in a home with parents who were born in another country, spoke a different language and had different customs. I knew Grandma was raised by immigrant parents but I never thought how that would affect their parenting style and if the children were teased because their parents were different and how their parents helped the children deal with it. I now wish I had spoken to my grandmother about this and how it was to grow up in... ...ow my great-grandfather’s ethnic identity, his self-image of being German, was impacted (Diller, 2011). I can’t begin to understand how my great-grandfather must have felt during this time knowing the country he chose to become a part of and was a upright citizen in thought he was suspect in some way just because he was German. Knowing someone in my family was forced to assimilate, to give up his native language to take on English the language of the domnianat culture, made me angry and sad (Diller, 2011). I myself would personally love to be able to speak German along with the other native languages of my ancestors. I know the values I have written about provide mere snapshots of the cultural values of my ancestors but I believe they impact the way I live my life and view the world. So how does all of this affect my identity and place in American society?

Saturday, August 17, 2019

“In Rwanda the nightmares have come to life Essay

They describe the events as â€Å"nightmares†; this is to relate to the reader, and to their own nightmares, this is very effective because its saying to the reader that theses things you will only see in such places as nightmares, but for these people this is reality and their life. Nightmares also have connotations of fear, and horror. They don’t even describe the killers as people, because the things they do are so inhumane. Instead they describe them as a metaphor of† monsters†, which also have the same connotations as nightmares. By mentioning the weapons in such vivid description lets the audience visualise the murders and creates imagery, which will leave the reader feeling uneasy. Repetition is also a technique that is used continually. The words most repeated are â€Å"massacres†, â€Å"silence†, â€Å"listen† and â€Å"you†. These are to constantly get the reader involved, as if they feel involved they, may also feel slightly responsible which may lead them to donate. The article contains statistics for how long the massacres have been going on for. â€Å"There were massacres in Rwanda in 1990, 1991, 1992, and 1993. In Burundi in 1965, 1969, 1972, 1986 and 1991. † By showing the reader all the dates exaggerates how long it’s really been going on for. It leaves the reader feeling amazed and makes them think about what they can do to help. The article uses many imperatives. â€Å"Hush. Don’t even breathe. Don’t let this page rustle† This is used to again grab the attention of the reader and to slow down the rhythm of the shocking events being foretold. The layout, pictures used, headings and visual effects are used to draw the reader in and to attract them to the leaflet. Once the leaflet has grabbed their attention, they must persuade them to donate, this is through language techniques. They use a lot of persuasive writing, statistics, emotional blackmail, rhetorical questions, repetition, and describe the events in such extensive detail. On the whole, the leaflet leaves the reader feeling guilty and makes them want to help. This could lead them into donating, or even just making them find out more about the actual charity. It informs the reader of what’s going on, for how long its been going on, and who is responsible. Overall, the leaflet achieves its main purpose by using persuasive techniques.

Friday, August 16, 2019

Assignment #1:  Entrepreneurial Leadership

Assignment #1:   Entrepreneurial  Leadership A Company cannot be innovative and competitive without understanding the importance of leadership. There are three main points to identify leadership which are, having people to lead, having certain skills to reach company's objectives, being focused on and accomplishing goals. In being a leader one possess quality and empowerment. In relation to leadership in a company, three outstanding renowned leaders are, Victor Kiam, Sergey Brin and Larry Page Victor, Kiam, has been known around the world for his vastly flourishing advertising campaign as the man â€Å"who liked the Remington Shaver so much, he bought the company. † But Victor Kiam is much more than a TV spokesperson-he is the man who took a money-losing corporation and quadrupled its sales and turned it around. He is a classic example of a successful leader and entrepreneur. Kiam demonstrates the democratic leadership style, by not only creating a great company all by himself but allowing others input, in helping make decisions for the corporation. The approach to the major business principles of a profit-oriented entrepreneurial in relation to Kiam gives way to the role of entrepreneur being crucial and critical in the context of building the enterprise. He plays many roles linking human resources, finance, production, marketing, operations, research and development and overseeing the same with a broad and big picture. He networks with bankers, major clients, suppliers and others thereby ensuring smooth functioning of the enterprise. Kiam identifies the opportunity, builds the base and leads the organization by attracting and retaining the precious human resources. He usually looks at the niche areas and goes by the road less traveled. In the sense, in order to have the goal of providing a great product and to make a profit he looks for novel and innovative methods so as to try and work out his idea. Kiam is an innovator, creator, risk taker and leader. A successful entrepreneur is one who senses the opportunities constantly, manages the risk, collaborates effectively for building strong teams, raises the bar, learns from mistakes and failures and constantly innovates and pursues the project with passion till the end. Sergy Brin and Larry Page are known for co-founding Google in 1998, and redefined the way people use the web. Now two of the world's richest people, they still play an active role in the company, encouraging resh approaches to Google's unique culture and its expanding suite of services. One would say Brin and Page’s leadership style is characterized from the participative style known as democratic because both individuals are involved in the decision making process as well as working together to solve situations within the company. Many of the same principles that intuitively guide the collective innovation of the Renaissance are now being deliberately and sy stematically applied within the world’s fastest growing companies. Google as a company still aims to continuously innovate to find new ways to organize and present the information that its users say they need and want. New products like GoogleMaps, GoogleEarth, GoogleNews, GMail, and GoogleDocs continue to keep the company at the forefront of the field. Social Responsibility plays a main part in keeping a business running smoothly The founders of Google, Larry Page and Sergey Brin believe that it is incredibly important for people to have access to information around the world and that this is something that Google can deliver. They have run into issues with foreign governments over censorship, but recently it has not been a major problem. CEO Eric Schmidt predicts that Google will become an unintended central focus around global copyright and ownership legal issues. It is essential for the entrepreneurial leader that people is the most important resource to manage and the most effective to use. Focusing on people, knowing the ways to motivate, inspires, and enabling people to act is what brings the leader to a new dynamic market level. The entrepreneurial leader is to be passionate about what he/she is doing. Every process has to be challenging with a devotion of time and effort. All researches in entrepreneurship view entrepreneurs as innovators. And this is the only way to face increased competitiveness. Innovation today aims at obtaining dominance in a market. When it comes to Victor Kiam who is the most innovative of all US business leaders and who possess, salesman in his bones, he went beyond social responsibility within his company. When Kiam bought the company from Sperry Corporation, Remington it was a loss-making company it was America's dominant electric razor manufacturer. Every salesman knows, a pitch above all has to have the ring of truth. In its first incarnation, the Remington ad featured Kiam in a suit. He notice the unrealistic, he performed the commercial in a bathrobe, only to discover that most American men did not wear a bathrobe when they shaved so he decided to use a towel. As Kiam related in a speech accepting the 1988 Outstanding Business Leader award, â€Å"I draped a towel over my shoulder and covered one breast, as two breasts would have been too much for the American public. † A part of the leadership style of a person is something the person was born with and the other part is formed by multiple factors, such as, society, experience, working environment, and cultural differences. Taking all of these factors in consideration, my leadership style can be described as a combination of democratic leadership and transformational leadership. I believe I posses some of the democratic leadership style characteristics because I make sure my group members are encouraged to share their thoughts, I can lead people around me to better ideas and more creative solutions to problems. Group members also feel more involved and committed to projects, making them more likely to care about the end results. I know I can bring the best out of an experienced and professional team. With being a democratic leader I know it capitalizes on skills and talents by others letting them share their views, rather than simply expecting them to conform. If a decision is very complex and broad, it is important to have the different areas of expertise represented and contributing input this is where democratic leader shines. Research on leadership styles have also shown that democratic leadership leads to higher productivity among group members. Transformational leadership style is also a character I possess. I can create a clear structure of a task that needs to be done always tied together with rewards or punishments. In its ideal form, it creates valuable and positive change in the followers with the end goal of developing followers into leaders. I know that within myself I set the bar and others follow just like, transformational leadership which enhances the motivation, morale and performance of followers through a variety of mechanisms. These include connecting the follower's sense of identity and self to the mission and the collective identity of the organization; being a role model for followers that inspires them, challenging followers to take greater ownership for their work, and understanding the strengths and weaknesses of followers, so the leader can align followers with tasks that optimize their performance. I believe it is critical to use leadership power in a way that makes people depend less on the leader. Arising motivation and a sense of importance in followers plays an important role in leadership. Besides, the high competition and market perspective this makes me aspire after entrepreneurial leadership. The Small Business Administration (SBA) and SCORE are both useful resources for entrepreneurs. The SBA is set in place to provide funding and to provide entrepreneurs with information to assist in business operations. SCORE is a non-profit organization with chapters across the United States which has volunteers that either have been or are presently successful entrepreneurs and executives who give back by sharing their expert business advice. They provide an entrepreneur with a big range of priceless and unique to small business information, basic and general information, laws and regulations, statistics and researches are available to use in order to learn more and be a successful entrepreneur. Information presented and topics discussed make a process of opportunity searching much easier and less time and cost consuming. Furthermore, it has a live chat, blogs, and online advising system that help to find an answer or solve a problem. I will utilize the SBA to secure funding for my business. While the SBA does not make direct loans to businesses, it sets the guidelines for loans, which are then made by lenders, community development organizations, and other lending institutions. SBA guarantees that these loans will be repaid, thus eliminating some of the risk to the lending partners. The SBA also has a variety of training material on topics such as creating business plans, marketing and outreach, laws and regulations, and many other areas. The Small Business Administration will be instrumental in laying the foundation and funding for my business. SCORE will also be utilized to provide guidance and mentorship. I will utilize the expertise of SCORE’s volunteers to give me valuable input on best business practices, effective strategies for success, enthusiasm and support. SCORE also has an assortment of training material ineffective strategies to manage, grow, and finance, business. The Small Business Administration and SCORE both will provide assistance on the keys to creating an appropriate business infrastructure, keys to sustainability, and strategies for growth. If you were to create your personal principles of leadership, what would they be and explain why you would chose them. My personal principles of leadership consist of three elements, lead by example, have a sense of accountability, and inspire a shared vision. These principles are the most important components of leadership and are the essence of effective leadership. Reference page * ^ Victor Kiam Going for it! How to succeed as an entrepreneur, ISBN 0688060609 * ;http://investing. businessweek. com/research/stocks/private/person. asp? personId=376317;privcapId=26851117;previousCapId=26851117;previousTitle=Lia%20Sophia; * ;http://www. google. com/about/corporate/company/business. html; * ;http://www. sba. gov/; * ;http://www. score. org/;

Thursday, August 15, 2019

Classic Knitwear Essay

Classic Knitwear, founded in 1995, began production of a unique line of unbranded casual knit apparel. Included in their product line were such clothing as T-shirts, sport shirts, sweatshirts and other wearing apparel. Although the company saw exceptional revenues as of 2005, they still felt that they were not meeting certain criteria when it came to their gross margin. They sought to increase their gross margin, currently sitting at 18%, to that of a more comfortable number of 20%. To combat this issue, Classic Knitwear decided to team up with Guardian, a producer of odorless repellant protection against bugs, and combine their fortes into a line of clothing infused with the bug repellant technology. These new products would hopefully to rise the gross margin to the 20% they were hoping to accomplish. The non-fashion casual knitwear market consisted of products that range from casual t-shirts to even underwear. Within this industry, it can be divided into two categories, those manufacturers who brand their products with their name and those companies who choose not to brand their line of products. On the branded side of the industry, Classic competed with three major brands. These brands were JamesBrands (which accounted for $4.5 billion in revenue from sales), Flowerknit (which accounted for $1.25 billion in revenue from sales), and Greenville Corporation’s TopTops Division (which accounted for $630 million in revenue from sales). These branded labels competed on the level of private- labeled businesses. On the other side of the industry, Classic competed with one company in terms of unlabeled products. B&B Activewear were major competitors as they generated $590 million or 23.6% market share, which made them a leader in the market. Although not directly involved within this sector, Jamesbrand, Flowerknit and Greenville Corporation’s TopTops Division still were involved with Classic on this level. Distribution channels are essential when it comes to the wholesales of these companies products. 90% of the product distribution from these companies go directly to two distinct types of retailers. Almost 50% of these sales are accounted for from mixed retailers, such as Wal-Mart and Kohls, who sell clothing as well as wide variety of other products. The other 40% is sold towards clothing specialist retailers, such as Gap and Brooks Brothers, who only specialize in the selling of clothing related products. The remaining 10% of the distribution channels contained bits from non- grocery retailers, home shopping, internet retailing and direct selling to the customers. In order for manufacturers to compete for retail business, they used a variety of strategies in order to gain attention from these retailers. Some of these tactics involved prices, variety of products, and efficiency of delivery. Classic Knitwear, since its inception, has been a simple manufacturing company whose focus is on creating and distributing unbranded casual knit apparel which includes T-shirts, sweatshirts and fleece like products. Unlike other companies that chose to have expensive products which carried prestigious fashion labels, Classic decided to venture away from them and focus on products that were categorized as non- fashioned knitwear. With this strategy, Classic accounted for $550 million in revenues from domestic sales. They have also decided to sell only in the United States, as foreign markets were too much of a risk that could have negative consequences. 75% of this revenue came from the selling of their products to wholesalers, who in turn, resold the Classic clothing to screen- print channels which customized the products with logos and images. Ortiz and Chong decided to concentrate on this pathway because it offered the fastest growth potential than trying to sell like ordinary retailers. As a result, Classic Knitwear had established itself as the #2 seller in the market, accounting for 16.5% of the market share. Classic generated the remaining 25% of their revenues from mass retail channels under private labeling. Classic would sell their products to retailers such as Wal-Mart and Dollar General and would be carried under the name of the retailer or through a house brand that was developed by the retailers themselves. In fact, these two retailers accounted for 57% of those revenue sales. To help accomplish such high revenues, Classic had to achieve low production costs throughout the entire company. To ensure that such goals were obtainable, Classic established state-of-the-art production factories that were situated off shore, mainly in the Dominican Republic. Being situated not in the United States allowed them to have much lower production costs than those produced domestically. Although other companies had also set up production factories in other countries, Classic was able to have a slight competitive advantage over these other companies. What helped them keep this competitive advantage was a high volume- low SKU (stock keeping unit) strategy. This ensured that they would produce high quantities of products without the large variety of products that other companies had. As of 2005, Classic felt that it would never reach their goal of 20% gross margins through various controlled labels or tie in promotions. However, Classic Knitwear had an epiphany which could potentially shoot their gross profits to levels that they would feel satisfied with. With the rise of the West Nile virus across the Americas, more and more people were looking for ways to prevent the transmission of the diseases. Classic thought it would generate the attention of customers to produce a new line of clothing that would be infused with chemicals that would be able to repel insects that carried the West Nile virus. With the help of another company, Guardian, who specialized in insect repellants, they would be able to create such a line of products. The reason that they chose Guardian was due to their flagship repellant, have established them as one of the top producers in insect repellant. The products would consist of a short and long sleeve T-shirt, a Men’s polo, and a Men’s fleece. Along with the production of these chemical infused clothing, Classic was targeting males 18-35, seeing as these individuals would most likely be outside during times when insects are active. The initial investment of such a line could cost about $10 million, which would help to generate 50% unaided awareness across the United States. In order to get the needed awareness of their product out to the public to ensure increased gross margins, Classic relied heavily on marketing. They had studied how other brands that were selling similar brands of insect repellant clothing and how they were successful, establishing themselves into small niche markets. Based on those already established companies, Classic decided to sell their product lines to retail stores with cardboard displays housing the different styles of shirts. On the outside of each of the boxes would display pictures of outdoor related activities that would promote the proper use of each shirt. Some of these retail stores would be outdoor related stores such as Bass Pro Shops and L.L. Bean. Classic wanted to have 10,000 displays in stores over the next 2 years after the product line was to begin production. To help get these displays in stores, they offered discounts on the sale of T-shirts if the store agreed to have a display in their store. Classic, with the production of these chemical infused shirts, could have a possible juggernaut to help generate sales, but there could be other possibilities that could help them reach their target gross margin of 20%. One alternative would be to not produce the new line of shirts, relying on frequent customers to help generate the extra sales to gain the extra gross margin. Another possibility would be to vertical integrate with one of the screen-pressing companies that create the logos which are later screened onto the sold shirts. By integrating, they could possibly cut unnecessary costs that would also help create higher gross margins. Lastly, another possible alternative to this problem would be to establish a brand of clothing that is positioned near the high labeled brands. They would have to compete with the big three companies with sales, but could possibly steal sales away from them to help establish themselves. Classic Knitwear was set with a problem of what to do to try and earn more in their gross profits. To solve such case, it would be recommended that they continue with the production of these insect repellant shirts. With the outbreak of the West Nile virus and outdoorsmen wanting styled brands to wear, this idea would help to generate the sales need to raise the gross profits. Based on Consumer.com surveys, it was concluded that there was a strong desire for such a product, especially one whose clothing was made out Classic’s materials. In the end, the continuation of this line would help generate the extra gross margin they had hope to gain.