Health care should be free Research Paper Example | Topics and Well Written Essays - 1250 words

Health care should be free - Research Paper Example The government should provide a basic level of health care to all citizens and allow the affording to purchase quick, more efficient, or a higher quality service, though the quality of medical health services provided to the poor should be comparable to that available to the rich in any case. Countries in which the private health care has become the norm have a great number of citizens without insurance. Millions of people in the US either have no insurance or are underinsured because of a variety of reasons including lack of employment and poor economy. If the health care system is made free, people would not be denied the service just because they cannot pay for it. Everyone would have access to all kinds of medical services irrespective of the financial status. The government should establish a network of community health centers so that health care becomes accessible to all communities across the country (Zwegenthal et al, 2009, p. 4). Making the health care system free is a pote ntial way of bringing the overall costs of the health care down. Countries that have a public health care system instead of one that is sponsored by the state usually spend a much larger amount of their gross national profit over providing the health care. As a result of this, the free market system places the need for increased expenditure on the administrative costs. This increases the insurance premiums and raises the costs for the expenses paid out of pocket for the medication after meeting the insurance deductible. One way to resolve this issue is by using co-insurance and deductibles, but these mechanisms require the imposition of restrictions to ensure the provision of health care to the financial strained. â€Å"And since cost sharing can have an adverse effect on the health of the poor, these and certain other groups should be exempt from sharing the cost of care altogether† (Harris and Manning, 2007, p. 80). Making health care free is an important way of reducing th e cost of medical care since the competition would be eradicated under the single administration. Presently, because of the availability of a variety of health care plans, claims and procedures are often duplicated. Free health care system would save the time that is otherwise consumed in processing the claims, thus making the system more efficient. Free health care system can be administered more easily with lesser cost. The need for the employers to incur expenditures by providing their employees with insurance would be obviated. Placement of the health care system under the single administration would also obviate the need for contractual negotiations. It is noteworthy here that different free health care systems function differently. For example, the health care system in Canada is different from the health care system in the UK. Which out of a certain number of free health care systems are superior or inferior to the others is eventually determined by the consumers. The infant mortality rate of the US is high while the life span is shorter as compared to many countries around the world (Kongaika, 2013). This can partly be attributed to the fact that many Americans do not get the

The Effects of Specialized School Curricula on Children’s Art Experience and Knowledge Essay Example for Free

The Effects of Specialized School Curricula on Children’s Art Experience and Knowledge Essay Three approaches in early childhood education in Europe have been significantly increasing the conduct and practices of teaching in North America. â€Å"In elementary and early childhood education, three of the best-known approaches with European origins are Waldorf, Montessori, and Reggio Emilia† (Edwards, 2002, n. p. ). These inspirational approaches provide an alternative method of teaching from the traditional education. Founded by Rudolf Steiner, at the core of Waldorf education is the promotion of peace and justice in society. It â€Å"aims to respect the essential nature of childhood, and in the early years, a secure, unhurried environment which provide a sound foundation for emotional, social and cognitive intelligence later† (Nicol, 2007, p. 1). Maria Montessori founded the Montessori school which offers multi-level approach to education with individualized instructions for students. â€Å"Montessori believed that children developed in stages and that each stage had its own unique characteristics and qualities† (Isaacs, 2007, p. 9). The similarity of Reggio Emilia’s approach with that of John Dewey cannot be denied in its emphasis on the relationship of the individual to the society. The approach can exist with other approaches, and â€Å"crossfertilization can happen between programs† (Fraser Gestwicki, 2002, p. 10). It may be said that all three approaches are similar in acknowledging the child as competent and resilient with rights that have to be upheld. As a substitute teacher, I have worked with kindergarten through fifth grade students in different content areas. I have discovered that student with advanced classes receive more enriching activities while those in lower functioning classes, the focus was mainly on English language acquisition and math skills. Furthermore, students who are given more responsibility and are included in the learning process seem to succeed more. The teaching methods of Montessori, Waldorf, and Reggio Emilia are more student-centered and are more empowering. It was through this observation that I have conceptualized the current research study which aims to examine the effects of these three approaches. Specifically, it answers the question: Will using teaching methods from specialized school curricula of Montessori, Waldorf and Reggio Emilia benefit art experience and knowledge among children in New York City public schools? Chapter III discusses the methodology to achieve this objective while the succeeding chapter will discuss relevant literature related to the study. Chapter II Review of Related Literature Parents and educators alike have been asking, which among the three approaches is the best for the children. Experts however, agree that each have their own strengths and instead of picking out one, there is more benefit and creating interactions among the three. This paper examines how the specific teaching methods from the three approaches will benefit the students. Preschool education has been found predictive of higher level school achievement. Marcon (2002) found out that children who had an academically orient pre-school experience were less likely to be retained than others. Moreover, up until 6th year in school, there were no significant differences in achievement performance among three different preschool experiences. However, at 6th grade, â€Å"children whose preschool experiences had been academically directed earned significantly lower grades compared to children who attended child-initiated preschool classes† (Marco, 2002, n. p. ). It appears then that an active early learning experience where children were given more responsibility for learning enhanced later learning experiences. Prager (2001) examined how the Waldorf approach was successfully used in an arts curriculum in an urban public school to teach students of color. The approach was found to have enabled students to think critically and analytically, and allowed them to become well-informed. It â€Å"inspires urban students and teachers and prevents dooming them to what Weiner (1999) calls, â€Å"the custodial treatment of children† that unfortunately occurs in many city schools† (n. p. ). In a related article, Mollet (1991) describes how the Waldorf approach transformed his class. Using the â€Å"right time† method for introducing lessons, Molett was able to make the class engaged in fractions, a topic he chose according to their development stage. The Montessori school has also grown in popularity and is acknowledged as a powerful approach for individualized instruction. In a study by Shilt (2009) of 11 Montessori schools, teachers employing Waldorf method were able tailor instruction â€Å"to individuals’ skill levels and socio-emotional characteristics† (p. 10). In a related study, Sklar’s (2007) study noted that differences in administration of pro-social skills in Waldorf schools can be attributed to the number of years the school has been in operation. Start-up school differ in approach with established schools. In another study, Schonleber (2006) conducted a qualitative research among Hawaiian educators on the effectives of the Waldorf approach. Data revealed that the approach was congruent to their work lifestyles, values and beliefs, pedagogical practices and overlapping worldviews. The Reggio Emilia approach was evaluated by Warash, Curtis, Hursh and Tucci (2008) as a method facilitating developmentally appropriate practices. The literature concludes that the Reggio Emilia approach can be used in combination with behavior analytic model to address specific learning needs of learners such as those with disabilities and challenging behavior problems. The study of Katz and Galbraith (2006) provided additional support for the effectiveness of Reggio Emilia approach in inclusive schools. Children with disabilities and those typically developing were found to have appropriate times and venues for interaction during the classes. From the studies, all three approaches have been found remarkably useful in the classroom. This study will adopt different techniques from the three approaches and develop a curriculum that will enhance art experience and education of the students. The next chapter will discuss in detail how the objectives of the study will be achieved. Chapter III Methodology The sample and procedure in this study are discussed in detail to answer the proposed research questions: Will the implementation of a specialized curriculum, Montessori, Waldorf and Reggio Emilia significantly affect children’s art and knowledge among public school students in New York City? To best address the concerns that gave birth to the current study and the goals specified, action research was adopted for the design of the study. While there are many models for action research, â€Å"the basic process consists of four steps: identify an area of focus, collect data, analyze and interpret data, and develop an action plan† (Mills, 2003, p. 20). In this study, I will be examining the impact of the different teaching approaches to kindergarten students. Kindergarten students are between 5-6 years old. For this study, I will be creating lessons plans in the Montessori, Waldorf and Reggio Emilia tradition which I will be implementing during the student teaching experience. To measure the effects of the program, I will be evaluating the students’ participation, interest and work output. I will be using observations and journal writing as methodologies to achieve the research objective. Furthermore, I will also be using student portfolios as basis for any changes in students’ product while attending the sessions. To further validate the data I will be collecting, I will also conduct interviews with other teachers who are employing the same teaching approaches to compare results. Action research has been best approached through the use of qualitative data collection techniques. Action research employs the use of a triangulation matrix to identify three data sources for the issue being studied: observations, portfolios and interviews. The use of these three approaches increases the content validity of the results. References: David, M. (1991). How the Waldorf approach changed a difficult class. Educational Leadership, 49 (2), 55-56. Edwards, C. P. (2002). Three approaches from Europe: Waldorf, Montessori and Reggio Emilia. Early Childhood Research and Practice, 4 (1). Retrieved from http://ecrp. uiuc. edu/v4n1/ edwards. html Fraser, S. Gestwicki, C. (2002). Authentic childhood: Exploring Reggio Emila in the Classroom. Albany, NY: Delmar. Isaacs, B. (2007). Bringing the Montessori approach to your early years practice. Abingdon, Oxon: Routledge. Katz, L. Galbraith, J. (2006). Making the social visible within inclusive classrooms. Journal of Research in Childhood Education, 21 (1), 5-21. Marcon, R. A. (2002). Moving up the grades: Relationship between preschool model and later school success. Early Childhood Research and Practice, 4 (1). Retrieved from: http://ecrp. uiuc. edu/v4n1/marcon. html Mills, G. E. (2003). Action Research: A Guide for the Teacher Researcher (2nd ed. ) Columbus, Ohio: Merrill Prentice Hall. Nicol, J. (2007). Brining the Steiner Waldorf approach to your early years practice. Abingdon, Oxon: Routledge. Prager, D. R. (2001). Three teachers in a Waldorf-inspired public elementary school: A case study of an effective urban learning environment. Retrieved from Proquest Digital Dissertations. (AAT 3033354) Schonleber, N. S. (2006). Culturally congruent education and the Montessori model: Perspectives from Hawaiian culture-based educators. Retrieved from Proquest Digital Dissertations. (UMI: 3216086) Shilt, D. T. (2009). Examining the nature of literacy activity in public Montessori classrooms. Retrieved from Proquest Digital Dissertations. (UMI: 3392640) Sklar, C. W. (2007). Fostering pro-social behaviors in urban elementary schools: a closer look at the Montessori approach. Retrieved from Proquest Digital Dissertations. (UMI: 3270869) Warash, B. , Curtis, R. , Hursh, D. Tucci, V. Skinner meets Piaget on the Reggio playground: Practical synthesis of applied behavior analysis and developmentally appropriate practice orientations. Journal of Research in Childhood Education,

An Analysis Of The Culture Of An Organization

An Analysis Of The Culture Of An Organization Southwest Airlines is the pioneer in low-fare air transportation and one of the leading American airlines. In 2010, with a number of 106.2 million passengers carried, it was the USAs largest domestic carrier in terms of boarded passengers (Centre for Asia Pacific Aviation and IATA, 2011). Southwest was incorporated in Texas in 1967 and service started four years later, in 1971. Originally, the airline was only serving Texan cities but the company has progressively enlarged its service to other American states and cities. Until 2011, no international destinations were comprised in the airlines routes even though codeshare agreements permitted it to offer international flights operated by other airlines as stated by the Southwest media website, 2011. The acquisition of AirTran Airways by Southwest Airlines will allow it to serve some international destinations in Mexico and the Carribean. In 2010, the staff represented 34,901 persons and the company owned 548 aircrafts (Datamonitor, 2011). A PESTEL analysis of the global airline industry by Xerfi Global (2011) will allow us to understand that the macro environment stays exceptionally challenging. Here is a brief summary of the analysis: Positive effect Negative effect Politics Public support actions Political instabilities, conflicts, terrorism Economy Increasing demand for air transportation Oil and fuel price variations Sensitivity of demand to prices and economic variations Social Expanding world population Economic and social globalisation Seasonal demand Technology Aircraft efficiency enhancements Creation of new aircraft concepts make air travel even more attractive (e-commerce) Chronic delays in aircraft delivery Environment Unfavorable weather conditions Natural disasters, pandemics Environmental law to reduce emissions (carbon offsetting) Legislation International agreements in favour of liberalisation and globalisation Severe security and safety regulation High levels of taxation A market analysis of the global airline industry (Xerfi Global, 2011) reports several facts. First of all, politics have a high impact on the airline industry. It can be seriously influenced when it comes to growing taxes, stringent security norms or legislation defending the environment. All these constraints impact the finances and operations of airlines. However, governments offer regular financial support to assist airlines because of their significance for trade and tourism. Moreover, economic and social globalisation leads to market deregulation and thus enable the good development of the industry. The economic factor has also a high impact on flag-carriers. For example, in 2009 during the global economic crisis, all the industry was affected as stated by Xerfi Global, 2011. Consumers were less likely to travel because of the variations of diverse economic factors like employment as well as income level or more generally global trade. As a result, the air traffic was highly and rapidly contracted. Regardless of these issues, demand for air transportation is increasing due to the growing demand in emerging markets (Aviation Industry, 2009). The constant technical progress of the airline industry by the development of plane with high capacity, asking a reduced maintenance and a reasonable consumption made accessible this type of transportation to several hundreds of million persons. Nowadays, it is cheaper to travel by plane thanks to the technologys fast improvements and to a more active competition. The costs are significantly reduced and thus allow more people to use air transportation. After using a PESTEL analysis, it is now necessary to get a closer look on the internal factors. Here is a SWOT analysis of the Southwest airline retrieved from a report made by Datamonitor (2011): Strengths Weaknesses Firm operating strategy Robust fleet operations Increasing cash flow from operations Class action lawsuits Dependent on single aircraft and engine suppliers Opportunities Threats Poised to benefit from the acquisition of AirTran Holdings Positive outlook for tourism industry in the US Growing US airline industry Intense competition Increasing fuel prices could strain margins Stringent government regulation could increase operating costs Table : SWOT Analysis of SWA Datamonitor 2011 Focus of the report : practice Companies, following the example of the individuals, possess their own culture. Generally, in a company managed by its owner, the culture corresponds appreciably to the personal culture of this one. As reported by Kotter and Heskett (1992), company with a strong corporate culture is due to the founder or the early leader and his capacity to articulate ideas as a vision or business strategy. In big organizations, several cultures mix. Sometimes they can be incompatible because of the diverse personalities who compose the management team. Besides, the experiences and the society can also influence (in a positive or negative way) the corporate culture, sometimes even without the managers knowing. In every type of organization, a deficient culture risks to have a demotivating effect on the staff and to be source of dissatisfaction to the clientele two factors which have a significant incidence on the profitability of the company. Organizational culture is defined as: a pattern of basic assumptions that a group has invented, discovered or developed in learning to cope with its problems of external adaptation and internal integration, and that have worked well enough to be considered valid,and therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems (Schein, 1990, p. 111). Southwest Airlines is a perfect example in terms of corporate culture. Over the years, the company has imposed a strong and original culture that has always made the airline even stronger. Today, SouthWest Airlines confirms its corporate culture centred on a relation privileged with its employees and its clientele by diversifying the means to communicate with this one through various social networks in which the company answers present and invites its employees to participate. This report will focus on the fact that Southwest airline focuses its attention on its employees. For example, in 2001, Southwest Airlines had already thwarted the effects of the recession by putting in the foreground its employees. The company chooses to draw from its financial reserves and to emphasize the advertising to consolidate its positioning as a low cost airline in order to avoid the lay-off. The creed of SWA is perfectly organized: Treat your employees well, theyll treat your customers well, the cust omers will become loyal, and your company will prosper. (James Parker, former CEO of SWA) CHAPTER 2 LITERATURE REVIEW THEORY Theorical framework used and reasons it was choosen Schein (1992) emphasizes the importance to realize a cultural analysis in order to succeed an effective management which can transcend the national and ethical frontiers. He asserts that this analysis represents a key factor of success for the leaders, who are the persons in charge for creating, administering, changing and even destroying an organizational culture. Schein (1992) has defined three basic levels of a culture which help to realise such an analysis: The first level establishes the surface of a culture and consists of artefacts, which are defines as visible organizational structure and process (Schein, 1992). Artefacts are explicit either material demonstrations of a culture, such as the physical structure of a company (the architecture, the size of offices, presence or absence of barriers between offices, etc.), the dress code of employees, the visible behaviour of the persons, the rites or ceremonies, published lists on the values and the philosophy of the company, etc. The meanings of these artefacts are only known by people from inside the company, and are thus difficult to understand for an external observer. In the same spirit, Trompenaars declares that stereotypes are formed in this superficial level:  « prejudices mostly start on this symbolic and observable level [à ¢Ã¢â€š ¬Ã‚ ¦] each opinion we voice regarding explicit culture usually says more about where we come from than about the community we are judging  » (19 98). The second level of a culture is constituted by explicit values espoused values as stated by Argyris and Shon (1978) (as cited in Schein,1992). It includes values and faiths put together by a group of persons. However, these can be simply affirmations because there are uttered values which are not put into practice in all the situations confronted by an individual. For example, the managers of a company can affirm that one of their main values is the environmental protection, while in reality, the company pollutes in secret the environment. In that case, the assertion of a value does not condition the behaviour of the managers. Trompenaars explains that this type of behaviour is a result of a contradiction between the standards and the values: while the norms, consciously or subconsciously give us a feeling of this is how i aspire or desire to behave (Trompenaars, 1997). Nevertheless, Schein has identified a third level of culture, in which the explicit values become internal values, which will determine the behaviour of the group which shares them. This third level is the formation of basic underlying assumptions. The process by which a shared value is transformed in one basic assumption is introduced by the leader / founder of a certain group. For example the leader of a group can propose a solution to a common issue (based on one of its values or even on a faith). Then, the validity of this proposal will be questioned and debated between the members of the group. The proposal will thus be tested several times in order to evaluate it. Finally, if this solution works in a repetitive way, the value which is behind will be approved as correct and by consequent it will be considered as an absolute value and unconsciously it will be assimilated as shared basic assumption , anchored in all the members of the groups minds. These shared basic assumption constitute one of the foundations of the meanings which the group shares in an implicit way and which give a context of interpretation common to the group. The model of Schein goes farther than the model of Hofstede which presents the culture (including the organizational culture) as an onion onion diagram , with the values in the centre, encircled by layers of demonstrations or practices of the culture, defines as the symbols, the heroes or the rites. According to the model of Schein, the symbols, the heroes and the rites are all categorised as artefacts, and the basic assumptions are at the heart of the model, with the explicit values between both levels. Scheins organizational theory will be the most useful framework to study this particular practice within Southwest Airlines. The company is well-known for its strong corporate culture. Since its creation, the company has shown undeniable success even during the economic crisis. Beside this important fact, SouthWest Airline is also good for its employees and they do not hesitate to say it: the company has been ranked second best place to work for in America in 2011 (Glassdoor, 2011). Therefore, it would be interesting to understand how such a successful company managed to go through the years without losing any of its qualities. That is why a deep analysis of the companys corporate culture will be done using the Schein model. CHAPTER 3 ANALYZE OF THE PRACTICE OF SWA Applying the chosen theory This part of the report will be dedicated to an analysis of the employee-focused practice of Southwest Airlines through the Schein model. Schein organizational culture level is obvious in the case of Southwest Airlines. At the first level, culture is visible to those who are inside the organization and outsiders through organizational artifacts. It is the most visible and accessible level of culture. These are employeess behavior, logos of the company or slogans such as Just Plane Smart (Southwest Airlines, 1992). Kelleher states: We were always very colorful and somewhat promotive of a sense of humor. We have always had that approach, in an informal way (Organizational Dynamics, 1992). Each person who travels using a Southwest flight will pay attention to the attitude of the Southwest employees. They characteristically are the friendliest, most willing to help employees of any airline. Southwest chooses its employees based on their social skills and their ability to be sociable and outgoing. Personnel at Southwest must be happy to work and communicate with customers. That is why Southwest gives its employees the freedom to use any talents or skills they may have in order to entertain and serve the customers as long as they make them happy. This is one of the factor that contribute to Southwests excellent customer service. There are many examples that prove the fact that employees can act freely. For instance, flight attendants might sing or tell jokes during the flight. In 2009, David Holmes became the most famous rapping flight attendant and his performance became viral on YouTube (Southwests Rapping Flight Attendant on Freestyle and Flying to Vegas, 2009). This is one of the numerous example that demonstrate that on Southwests flights, flight attendants do not only serve customers by demonstrating seatbelts and serving food and drinks. The middle level of a culture includes values and norms put together by a group of persons. Southwest has two main values: humour and altruism. They are defined by different beliefs of the company such as the importance of focusing on the situation, issue or behaviour rather than focusing on the person. It means that a solution must be found instead of judging others. Also, employees need to be creative and cooperative. It is really important to maintain the self-confidence and self-esteem of others. That is why employees have to respect all the different personalities in order to create one big family. The company also insists on the importance of constructive relationships between employees. The success of the company depends on a good teamwork. Moreover, people in Southwest have the duty to make improvements in order to make things better within the company. A LUV attitude is always required and everyone should behave in consideration of the companys spirit but also in considerati on of others. The Golden Rule is Treat others as you want to be treated (The Power of LUV: An Inside Peek at the Innovative Culture Committee of Southwest Airlines, 2008). Here are the values as stated by Kelleher (as cited by Organizational Dynamics, 1992): VALUE 1: Work should be funit can be playenjoy it. VALUE 2: Work is importantdont spoil it with seriousness. VALUE 3: People are importanteach one makes a difference. A perfect example of Southwests corporate story that helps employees understand how they should behave in a particular situation could be the early years of the company. The first nine years was the toughest part of the companys life. As stated by Lusk on the companys blog, tradition here at Southwest Airlines that anyone hired during our first year of operation is considered an Original Employee. In 2010, eleven of the Original Employees are still working at Southwest. Seven of them were on Southwests first flight as flight attendants; one works as a manager in flight operations, another is a member of Southwests ground crew, one is a dispatcher, and the last one works in maintenance (Lauer, 2010). On special occasions, Southwest invites the Originals to come in to Southwests headquarters and talk about their experiences to current employees. Lauer (2010) indicates that the Originals tell current employees about the struggles of a new airline working hard to develop. They also explain how the company managed to advertise without any money in the beginning. The flights attendants had to be creative because the company had no money to spend on adverti sing. They would go down to the streets of Dallas, Houston and San Antonio wearing their uniform and distribute flight schedules for the airlines four flights to everyone they met. This type of storytelling preserves the history of Southwest, while also connecting the companys early corporate culture to the lives of the actual and future employees. Furthermore, corporate rituals are recurring sequence of activities that express significant values of the company. There is one ritual for what Southwest is famous for: its Halloween party. Every year Southwest Airlines hosts a enormous Halloween bash at its Dallas headquarters (Southwest LUVs Halloween, 2012). Herb Kelleher passed on his love of Halloween and made it become a tradition at Southwest Airlines. Once, the former CEO showed up dressed as Elvis driving a Harley-Davidson (Lauer, 2010). Once Kelleher retired in 2004, his successor Gary Kelly proved his undeniable belief in and support of preserving the unique corporate culture of Southwest by dressing up on Halloween as Captain Jack Sparrow from the film The Pirates of the Caribbean. And he has been celebrating Halloween every year since then. Halloween party shows that having fun in the working environment is an essential value of the company. The third and deepest level is called basic assumption level. At this stage, the transmission of culture is done unconsciously or under the surface. As stated by Hill and Jones (2001), basic assumptions help to formulate organizational values and these become shared assumptions that guide how employees interact with each other. Overtime and through socialization, the values are conveyed to and taught to new members of the organization as the right way to do things. Southwest employs two tools to socialize its values to new employees. They are both parts of the culture committee maintained by the company (Rebuilding the Social Contract at Work: Lessons from Leading Cases, 1999). The first tool used by Southwest is the New City committee. The purpose of this committee is to go to each new city Southwest serves so as to teach new employees about the values of the company. It facilitates the adaptation of the new employees to Southwests culture, so they can learn the Southwests ways of doing things. The second tool is called Back to Basics team. This committee sponsored an essay competition to describe what makes Southwest successful. The team chose a series of essays that were integrated into a book with an accompanying video that is given to every new employee. One important thing is that people of these comm ittees are all volunteers working on their own time. CONCLUSION This report allowed to understand the impact of a strong corporate culture and its relation to company performance. The case of Southwest airlines shows a company with a solid commitment to its employees. The company offers the same respect to its employees as it does to its customers. The mission of Southwest airlines is unique in the fact that it recognizes the importance of its employees in the companys strategy, which puts the emphasis on the great customer service and the operational efficiency. In return, the employees show undeniable respect, loyalty and trust. The exact same qualities that Southwest airlines demonstrates. Employees of the Southwest are known for their loyalty, the dedication, the attitude and the innovation. Employees are the factor of distinction between Southwest airlines and the rest of the airline industry. BIBLIOGRAPHY Hill, C.W.L and Jones, G.R. (2001) Strategic Management: An Integrated Approach. Boston MA, Houghton Mifflin Kotter, J. Heskett, J. (1992). Corporate Culture and Performance. New York, NY: the Free press. Lauer, C. (2010). Southwest Airlines. Greenwood Schein E. (1992). Organizational Culture and Leadership. (2nd ed) .Jossey-Bass, San Francisco. Trompenaars, F. Hampden-Turner, C. (1997) Riding the Waves of Culture: Understanding Cultural Diversity in Business (Second Edition) London: McGraw-Hill.

Spurs :: Essays Papers

Spurs â€Å"It was rather more than a hundred years between the first into the presence of the rowel and the final disappearance of the prick spurs from the heel of our forefathers† (Lacy) In looking back at the time of chivalry and the knight it is not common that one forgets the existence of the spur and the true value it poses. The spur was one of the essential tools that a knight possessed as an equestrian. The spur was first introduced for its purpose in encouraging the horse on, but as medieval times approached the spur gained its decorative aspects and held more of a romantic value to people. The spur became elaborate with beads and embroidery, fancy brass, and gold metals. The spur was essentially an emblem of Knighthood; â€Å"to win his spurs† ceremonies put spurs at the investiture of a knight, and were cut off at occasions of degradation (Lacy). The spur is a piece of hard ware that is attached to the heel by a strap usually made of leather. It is Y-shaped, and pointed towards the horse so that the rider can aggress his horse on. In early time the spur was always attached with a strap, however as the spur evolved, the strap was no longer of importance. The spur also grew more and more elaborate during the medieval ages, velvet straps, intricate designs and wheels that made the spur more of a showpiece than a tool. Before the period of the 13th century the spur was that of the â€Å"prick† style, where it is basically just a point that urged the horse. However during the 14th century the â€Å"rowel† type spur gained its popularity. This type of spur looked as though it had a wheel on the end of it. Spurs at its earliest times were made of bone and wood, then later of bronze, brass or iron. The rowel spur was definitely the spur of choice around medieval times because it was so elaborate. It was first introduce d in 1238 by France Simon de Montfort, however did not really catch on until 1285. In looking at the spur and how it correlates to the chivalrous time period. The moist important spur to know is St. George's Spurs, or the Kings Coronation Spurs. These spurs are part of a regular presentation with crown jewels in the Tower, which are used at the coronation of the Sovereign made by Sir Robert Vyner.

Constrctivism Learning and Teaching Model Essay

The constructivism model in the classroom is a theory created to explain how and what we know. Building knowledge and problem solving are the main focuses for this model. From the analysis of our own experiences, both past and present, we â€Å"construct† our understanding of content. From doing things and reflecting upon them, we acquire information that can be useful in future applications. (Lamon, M. 2003). The model was conceived by Jean Piaget (1896-1980), who believed that human beings developed intelligence through adaptation and organization. One example is that of transformative learning, whereby children develop an understanding of something using whatever details they have at the time, and then adjust that understanding as they go along, rather than putting the details together piecemeal to come to a conclusion. Piaget is considered the originator of constructivism. However there are a number of different theories that have been applied to modify his original model. For instance, Russian psychologist Lev Vygotsky (1896-1934), developed a relevant contribution to constructivism with his ideas about language, thought, and how they work within the societal picture. For example, he believed that children learn better in environments where there is guided interaction versus those where they work independently. (Lamon, M. 2003). The 5E model: engagement, exploration, explanation, elaboration, and evaluation, was a model developed from the ideas of Piaget, John Dewey, and Johann Herbart. This model was designed to encourage knowledge construction and begins with prompting the current understanding of a subject matter. Engagement is used to recall prior knowledge. Students who are learning new subjects and content have their interest piqued through engaging in brief activities. Some of these activities include asking specific questions, brainstorming, and providing a scenario to see what the students know already. Exploration uses activities with a common base to identify current concepts and then help change those concepts. To achieve this, the teacher should start a discussion or demonstrate an activity that poses a challenge to the student’s understanding, and then delve into any misconceptions behind the challenges. Explanation is used to provide opportunities for students to develop skills, knowledge, or behavior, by presenting them with information that they would be unlikely to discover on their own. This helps the students develop their own expertise, with assistance. Elaboration is used for the students to apply new experiences and to broaden the understanding and application of the skill set being taught. Evaluation is used by students to identify where they are at in understanding of a new knowledge set. Teachers also use evaluation to measure if the progress is being made toward the general instruction goal. This gives the teacher a chance to modify a unit or lesson for future applications. Jorback, B. (n. d. ) A modified version of the 5E model was developed for science curriculum in the 1980s by Rodger Bybee. Bybee used constructivism as his base when he developed this version. He only changed the last two aspects of the original 5E model. He switched evaluation’s order and used it as the fourth E. Evaluation is used for the assessment, both formative and summative. With formative assessments, the teacher can measure if the students are learning by providing quizzes, observations, or question and answer discussions after a lesson or while it is being taught. A summative assessment can be delivered at the end of the unit. This provides the teacher with an idea of what the students have retained throughout the unit and then they can adjust for successive lessons. Extension is similar to the elaboration phase, in that it utilizes the premise that learning will occur when instruction is orderly and increases with intricacy as the unit moves forward. Connections made with the new knowledge can be used for new experiences, by extending the knowledge even further into applications that could not have been achieved before the lesson or unit was taught. Take Chemistry for example. One could not do chemical equation balancing without the prior knowledge of atomic structures and understanding the key components of what they mean. Jorback, B. (n. . ) Some potential challenges that can arise from the constructivism model if the teacher is not well versed in the knowledge of the subject and its content. This model would also be challenging for those who possess problem solving skills, yet lack in basic knowledge of real world knowledge. Constructivism is a knowledge based model where we learn new concepts through prior experience. The instructor must be able to predict preconceptions the students may have and decide on appropriate activities, in addition to effectively modifying and assessing the content being taught. Jorback, B. (n. d. ) In conclusion, many current theories have been applied to constructivism to adapt it to the modern day classroom. However, the theories all share the belief that a prior knowledge base is required. That prior knowledge does not have to be on the subject that is being taught. One must be able to apply prior knowledge in order to make connections for new knowledge. Applying this and evaluating it gives both the students and teachers a measurement of what has been learned and still needs to be learned.

Definition and Examples of Juxtaposition in Art

Definition and Examples of Juxtaposition in Art In the  composition  of any artwork, juxtaposition is the placing of elements side by side, leaving it up to the reader to establish connections and discover or  impose a meaning. These elements (words, clauses, or sentences, in written composition) may be drawn from different sources and juxtaposed to form a literary collage. Careful planning and craft  by the writer in choosing what elements to juxtapose can provide layers of meaning, present irony, or paint a scene with a lot of detail and depth, putting the reader right in the middle of it all. Example From H.L. Mencken Watchmen at lonely railroad crossings in Iowa, hoping that theyll be able to get off to hear the United Brethren evangelist preach...Ticket-sellers in the subway, breathing sweat in its gaseous form...Farmers plowing sterile fields behind sad meditative horses, both suffering from the bites of insects...Grocery-clerks trying to make assignations with soapy servant girls...Women confined for the ninth or tenth time, wondering helplessly what it is all about.(H.L. Mencken, Diligence. A Mencken Chrestomathy, 1949) Example From Samuel Beckett We live and learn, that was a true saying. Also, his teeth and jaws had been in heaven, splinters of vanquished toast spraying forth at each gnash. It was like eating glass. His mouth burned and ached with the exploit. Then the food had been further spiced up by the intelligence, transmitted in a low tragic voice across the counter by Oliver the improver, that the Malahide murderer’s petition for mercy, signed by half the land, having been rejected, the man must swing at dawn in Mountjoy and nothing could save him. Ellis the hangman was even now on his way. Belacqua, tearing at the sandwich and swilling the precious stout, pondered on McCabe in his cell.(Samuel Beckett, Dante and the Lobster. Samuel Beckett: Poems, Short Fiction, and Criticism, ed. by Paul Auster. Grove Press, 2006) Ironic Juxtaposition Juxtaposition is not just for comparison of the similar but also to contrast the dissimilar, which can be effective for emphasizing a writers message or illustrating a concept. Ironic juxtaposition is the fancy term for what happens when two disparate things are placed side by side, each commenting on the other...Olivia Judson, a science writer, uses this technique to tweak our interest in what could be a stultifying subject, the female green spoon worm: The green spoon worm has one of the most extreme size differences known to exist between male and female, the male being 200,000 times smaller than his mate. Her lifespan is a couple of years. His is only a couple of months- and he spends his short life inside her reproductive tract, regurgitating sperm through his mouth to fertilize her eggs. More ignominious still, when he was first discovered, he was thought to be a nasty parasitic infestation.(from Seed magazine) The authors point of view is a sly wink, the humiliation of the minuscule male sea creature serving as an emblem for his crude and increasingly miniaturized human counterpart. The juxtaposition is between worm sex and human sex. (Roy Peter Clark, Writing Tools: 50 Essential Strategies for Every Writer. Little, Brown and Company, 2006) Haiku Of course, the technique is not limited to prose. Poetry can make fine use of it, even in the smallest of works, to present images next to each other to illustrate, portray  meaning, or even surprise or puzzle the reader, such as in  17th- and 18th-century Japanese haiku: Haiku 1Harvest moon:On the bamboo matPine tree shadows.Haiku 2Wooden gate.Lock firmly bolted:Winter moon. ...In each case, there is only an implicit connection between the elements on either side of the colon. Although it is possible to see a causal relation between a harvest moon and pine tree shadows, the lack of explicit connections forces the reader to make an imaginative leap. The connection between a locked wooden gate and a winter moon demands an even greater imaginative effort. In each poem, there is a basic juxtaposition between a natural image and a human one- a harvest moon and a bamboo mat, a bolted gate and a winter moon- which creates a tension between the first and second part.(Martin Montgomery et al., Ways of Reading: Advanced Reading Skills for Students of English Literature, 2nd ed. Routledge, 2000) Juxtaposition in Art, Video, and Music But juxtaposition isnt confined  to literature. It can be in paintings, such as in surrealists or other abstract artists works: The Surrealist tradition...is united by the idea of destroying conventional meanings, and creating new meanings or counter-meanings through radical juxtaposition (the collage principle). Beauty, in the words of Lautrà ©amont, is the fortuitous encounter of a sewing machine and an umbrella on a dissecting table....The Surrealist sensibility aims to shock, through its techniques of radical juxtaposition. (Susan Sontag, Happenings: An Art of Radical Juxtaposition. Against Interpretation, and Other Essays. Farrar, Straus Giroux, 1966) It can appear in pop culture, such as in films and video: Pressed to its limits, artistic  juxtaposition  becomes  what is sometimes termed  pastiche. The goal of this tactic, which has been employed in both high-culture and pop-culture contexts (e.g., MTV videos), is to barrage the viewer with incongruous, even clashing images that call into question any sense of objective meaning. (Stanley James Grenz, A Primer on Postmodernism. Wm. B. Eerdmans, 1996) And juxtaposition  can be a part of music as well:  Another model for such work, and related to hypertext because of its ability to interconnect a wide variety of ideas and texts, are the DJ samples that comprise a great deal of hip-hop. (Jeff R. Rice, The Rhetoric of Cool: Composition Studies and New Media. Southern Illinois University Press, 2007)

The Short Happy Life of Francis Macomber Essays

The Short Happy Life of Francis Macomber Essays The Short Happy Life of Francis Macomber Paper The Short Happy Life of Francis Macomber Paper Essay Topic: Life Is Beautiful Three’s a Crowd â€Å"We have nothing to fear, but fear itself. † Known by many, this common phrase has few words, but a intense meaning. In Ernest Hemingway’s short story, â€Å"The Short Happy Life of Francis Macomber,† the overcoming of fear is shown throughout the story. Francis Macomber and his wife Margaret Macomber are on an African safari with a man name Robert Wilson. Hemingway portrays Francis Macomber as wealthy and beautiful, yet cowardly. Macombers wife Margaret also young and beautiful, but seemingly dissatisfied with her husband of eleven years. Robert Wilson is portrayed as a fearless man that has little regard for anyone but himself. The story is focused around Francis Macomber’s cowardly actions and his attempt to become courageous, which inevitably leads to his death. The story contains different types of conflict and rising actions that lead to the unforeseen climax. In Hemingway’s short story, there are several types of conflict portrayed by the main character Francis Macomber. The initial conflict is Macomber with himself, suggesting an internal conflict. This is shown as Macomber is disappointed with himself for acting cowardly on his first encounter with a lion. Macomber says to Wilson, â€Å"I can’t thank you for what you did†, and admits that he â€Å"bolted like a rabbit. † His words suggest Macomber was afraid, and needed to be saved by Wilson. The next conflict in the story is Macomber’s conflict with the wild. This is portrayed as Macomber struggles with his fear of wild animals and his attempt to overcome those fears. Another conflict is the obvious conflict Macomber has with Robert Wilson. In addition to feeling inadequate against Wilson’s many talents in the wild, there is also the fact Wilson beds Macomber’s wife. Lastly, there is the conflict Macomber has with his wife. This is portrayed throughout the story but becomes more relevant when Macomber’s wife sleeps with Wilson. Macomber says, â€Å"You said if we made this trip there would be none of that, you promise. † This leads the reader to believe the Macomber’s marriage is less than perfect, and likely an ongoing conflict. In addition to the conflict in the story, there are scenes of rising action. One example of rising action occurs when Wilson and Macomber return to the wild to hunt for a lion once again. Macomber is able to get a shot off but only able to wound the lion before it runs away. As Wilson and Macomber search for the wounded lion to finish it off, he inevitably runs away frightened for a second time. Hemingway writes Macomber, â€Å"was running; running wildly, in panic in the open, running toward the stream. † As a result of this instance, Macomber’s wife takes a thriving interest in Wilson. Hemingway writes, â€Å"Once he had reached over to take his wife’s hand . . . she had removed her hand from his . . . his wife had reached forward and put her hand on Wilson’s shoulder . . . and kissed him on the mouth. Later, Macomber’s wife sleeps with Wilson, which will completely change Macomber’s persona for the rest of the story. Macomber is so overcome with anger, his character quickly changes from cowardly to courageous. Finally, the conflict and the rising action of Hemingway’s story leads to the climax. This occurs when Wils on, Macomber, and his wife take their final journey into the wild. As a result of the sheer anger Macomber has for Wilson and his wife, his fear is drowned by adrenaline. Macomber instantly takes on the characteristics of Wilson as he takes out two buffalo on the journey. At this point, Wilson respects this new persona of Macomber, while Margaret seems intimidated. With all fear aside, Macomber sets up for his final kill, head on with the third buffalo charging right for him. Just when he feels invincible, his wife Margot pulls a riffle and kills her husband. Margaret pleads she was trying to save her husband’s life from the charging buffalo. However, it is assumed in Hemingway’s story that the young wife, intimidated by her husband’s new found courage, may have been aiming for Macomber all along. In conclusion, Hemingway’s story â€Å"The Short Happy Life of Francis Macomber,† has different conflicts and scene of rising action which lead to an outstanding climax. The multiple conflicts Macomber has with himself, nature, and man leads to a shown fear of the wild, and his inadequacies. These events lead to the unforeseen climax of the story where the actions of both Macomber and his wife are questioned. Although Macomber’s life was in fact short in years, it was indeed happy as he was able to face his fears and overcome his biggest obstacles. Hemingway, Ernest. â€Å"The Short Happy Life of Francis Macomber. † Web. 6 March 2011.

Free Essays on White Collar Crime

Chained Factory Fire Exits Media Coverage of Corporate Crime That Killed 25 Workers John P. Wright, Francis T. Cullen, and Michael B. Blankenship The â€Å"Chained Factory Fire Exits† chapter is an excellent example of how news media frequently focuses on street crimes and therefore neglects to report coverage in other areas. In this day and age, the media does not seem to be interested in what news really happens, but rather in what news sells. This incident in particular proves that media coverage is influenced by the â€Å"hottest† and most interesting topics. As time moves on after an incident, coverage decreases as other more current events catch the public’s attention. In my opinion it is quite disturbing how a catastrophic event which took the lives of twenty-five people and injured fifty-six could be so quickly forgotten, misreported, and even unreported. The Imperial Food Products, Inc. fire probably receives more attention now in White Collar Crime classes, as well as in other Sociology and History classes, than it did at the time of the occurrence. It has been over a decade and we seem to be more interested in what really happened now, than at the time of the accident. If you mentioned the name Emmett Roe or even Imperial Food Products to your parents, grandparents, or even to your friends most would probably look back at you with a blank stare. That is a sign of great media coverage right? However, mention the incident to a Sociology Major or Minor and you are sure to get a response. Emmett Roe, however, was not the only person at fault for the loss of lives and injuries at the Imperial Food Products, Inc. plant in Hamlet, North Carolina on September 3, 1991. Although Roe authorized the padlocking of the factory doors because of his suspicion of chicken part theft by his employees, there are other factors that have to be taken into account that contributed to the catastrophe. The building whi... Free Essays on White Collar Crime Free Essays on White Collar Crime There is an immense debate on the significance of white- collar crime in societies’ current definition of crime. Many scholars argue that street crime is more serious than white- collar crime because they believe that the focus of crime should be on such things as rape, murder, threats, and larceny. These scholars say that white- collar crime is less important because there is less of it in the media and street crime happens more often. I on the other hand agree that white- collar crime should have a major role in society’s definition of crime because it effects more people and happens more often than we know. I agree that white- collar crime is more serious than street crime. Scholars argue that street crime is more serious that white- collar crime. They say that street crime happens more frequently. â€Å"Using interviews and questionnaires, scholars have discovered that the majority of all young males have broken the law at least once by a relatively early age.† (Taking Sides; Clashing Views on Controversial Issues in Crime and Criminology, Richard C. Monk, pg. 57) Newspapers, television and other forms of media embrace street crime and show it more often than white- collar crime news. Scholars that view street crime as worse than white- collar crime also say that the definition of crime does not include white- collar crime. They tend to say that the definition embodies only â€Å"serious† crimes. To them, the definition of serious can be exemplified by such things as rape, murder, threatening and larceny. Other scholars argue that white- collar crime is more serious than street crime because the definition of â€Å"crime† as it is used in American society today does not include all types of crime. They believe that the definition includes white- collar crime as well as street crime but society does not include it in its use. Also, white- collar crime affects more people than conventional street crime. In a certain instance, a... Free Essays on White Collar Crime A term becoming more frequently heard in societies around the world is â€Å"White Collar Crime.† White collar crime affects each and everyone one of us every single day. White collar crime can be conducted by multibillion-dollar companies such as Enron, Microsoft, and Sun Microsystems, and or local mom and pop shops. This research paper will discuss the discovery of white collar crime it will define what white collar crime is; analyze the history of it, discuss the different types of white collar crimes, and lastly its victims. In order to understand what white collar crime is we must first define it. Throughout the years various definitions of white collar crime have been attempted. Many of these definitions have found to be vague and inconsistent with concept of the founder of â€Å"white collar crimes† Edward Sutherland. After several hours of research, I have found that the most accurate definition of white collar crime is described by Professor Julie O’ Sullivan. O’Sullivan (2002) states that, â€Å"White Collar Crime offenses shall constitute those classes of non-violent illegal activities which principally involve traditional notions of deceit, deception, concealment, manipulation, breach of trust, subterfuge or illegal circumvention†. Furthermore, â€Å"It should be noted that while ‘street crimes’ of physical violence, such as burglary, robbery or assault, are not included, some white collar offenses such as violations of laws protecting the environmen t or the purity and healthfulness of our foods and drugs, can cause serious physical harm, and even death† (O’Sullivan 2002). After examining the definition, we can conclude that even if white collar crimes are that of a non-violent nature they can still inflict serious physical health problems and or even death. The discovery of white collar crimes can be much admired by the founder Edward H. Sutherland. Edward H. Sutherland discovered the concept of what is no... Free Essays on White Collar Crime Chained Factory Fire Exits Media Coverage of Corporate Crime That Killed 25 Workers John P. Wright, Francis T. Cullen, and Michael B. Blankenship The â€Å"Chained Factory Fire Exits† chapter is an excellent example of how news media frequently focuses on street crimes and therefore neglects to report coverage in other areas. In this day and age, the media does not seem to be interested in what news really happens, but rather in what news sells. This incident in particular proves that media coverage is influenced by the â€Å"hottest† and most interesting topics. As time moves on after an incident, coverage decreases as other more current events catch the public’s attention. In my opinion it is quite disturbing how a catastrophic event which took the lives of twenty-five people and injured fifty-six could be so quickly forgotten, misreported, and even unreported. The Imperial Food Products, Inc. fire probably receives more attention now in White Collar Crime classes, as well as in other Sociology and History classes, than it did at the time of the occurrence. It has been over a decade and we seem to be more interested in what really happened now, than at the time of the accident. If you mentioned the name Emmett Roe or even Imperial Food Products to your parents, grandparents, or even to your friends most would probably look back at you with a blank stare. That is a sign of great media coverage right? However, mention the incident to a Sociology Major or Minor and you are sure to get a response. Emmett Roe, however, was not the only person at fault for the loss of lives and injuries at the Imperial Food Products, Inc. plant in Hamlet, North Carolina on September 3, 1991. Although Roe authorized the padlocking of the factory doors because of his suspicion of chicken part theft by his employees, there are other factors that have to be taken into account that contributed to the catastrophe. The building whi... Free Essays on White Collar Crime Why does white collar and corporate crime tend to go undetected, Or if detected not prosecuted White collar and corporate crimes are crimes that many people do not associate with criminal activity. Yet the cost to the country due to corporate and white collar crime far exceeds that of â€Å"street† crime and benefit fraud. White collar and corporate crimes refer to crimes that take place within a business or institution and include everything from Tax fraud to health and safety breaches. Corporate crime is extremely difficult to detect for many reasons. One major reason is that many people do not realise a crime is being committed as corporate crime is often seen as a victimless crime. At face value this may seem to be the case but if you look deeper you will see that this is not true. Every year the FBI estimates that 19,000 Americans are murdered every year compared with the 56,000 Americans who die every year from occupational disease such as black lung and asbestosis (Russell Mokhiber 2000). Deaths Caused by corporate crime are also very indirect so it can be very difficult to trace the problem to the corporation. Another reason it can be difficult to detect corporate crime is that directors within a corporation are unlikely to report the criminal activity of their colleges for the fear that it will hinder their own career success and could even lead to them losing their jobs. Within a company illegal practices could be seen by many as the â€Å"in thing† and the people working within that environment may not see what they are doing as morally wrong. The issue of the lack of media coverage of these types of crimes must also not be over looked. Many newspaper editors would chose to run a story about a violent assault or brutal murder over a story involving a corporate crime. This is a major factor contributing to the publics ignorance or corporate crime. Even if corporate crime is detected it can be very difficult ...

Proposal Essay Example | Topics and Well Written Essays - 2500 words - 1

Proposal - Essay Example These retention strategies make them be retained in the firm and perform their jobs at optimum levels. Retention of employees is a complex and a multi-faceted challenge, which can negatively impact on an organization’s profit margins and productivity if it is not addressed effectively. An improved incentive system raises the performance orientation and retention of an employee. Retention is used by many firms so as to reduce the turnover costs. Employee retention is also very crucial since it prevents talented staff from being poached. Therefore, for the long-term success of a company it is a must that the firm develops and retains talented, satisfied and performance-oriented. Employee retention is very crucial to any organization, and it is very demanding for the employees. In the current world, attracting and retaining young and skilled employees is often difficult but equally important. Many employers are faced with the problem of searching for a younger workforce that has different attitudes concerning work, coupled with an increasing population of older workers who are heading towards retirement. Majority of organizations have resolved to retain their good managers and employees. In that perspective, retention of employees needs to be examined in the most comprehensive manner since it impacts both negatively and positively on the business. That is the research paper will examine the impact of retention strategies on employee motivation. Sandya and Kumar (2011:1778) defined employee retention as a process by which workers are encouraged to stay with their current employers for the maximum possible time. Although it is a difficult job, it is beneficial to both the employer and employee. On the other hand, Sandya and Kumar (2011) added that employee retention is the process by which employee are encouraged to remain with the organization they are working with currently for a long time. Employees

Presenting the Budget Research Paper Example | Topics and Well Written Essays - 1000 words

Presenting the Budget - Research Paper Example The government needs $3,117 million in 2015 and $3,070 in excess of the revenue to cover the expenses. However, in 2016 the growth rate of the revenue is greater than the growth rate in expenses. The growth rates of all the expenses mentioned above were computed together with the amount in dollars expected to increase. Highest growing category of the expenses is fringe benefits. In the year 2012-2013 these expenses will grow at the rate of 5.22% or $418 million in amount. Further increase in expected in the following years and the growth rate is expected to rise to 6.74% in 2013-2014 and ultimately 6.98% in the last year of projection. Fringe benefits include compensation beyond salary or benefits in kind. There are other expense as well which do not look significant in percentage but amount increased is significant. For example salaries and wages only increase by 0.55% in 2013-2014 but the amount increase is $119 million. Similarly growth rate in the last year so only 1.71% but the amount increase is $376 million. Another important area of the expense to be discussed is the amount increase in the lease and debt services. In 2012-2013 total increase is $656 million and percentage increase is 12.01% but the growth rate falls in the subsequent years and reached to 3.86% in the last year but still the amount in Dollar increases. Some of the expense shows no permanent trends like pensions of projections expenses and medical assistance. These are expected to be increase and decrease in all years of projections. In 2013 there is an increase of $100 million in the pension expenses and in 2014 the increases in expected to be only $52 million as compared to 2013 and next years there is a decline of $108 million. Similar is the situation with the medical assistance. General property tax is expected to be $17,917 in 2012 which constitute around 26.33% of the total revenue in the first year of

Marketing Professional Practice Essay Example | Topics and Well Written Essays - 1250 words - 1

Marketing Professional Practice - Essay Example Thus, it is very evident that since these organizations cater to a wide range of sectors and industries, the manpower should be equally diverse, in terms of their educational and cultural background, experience and social exposure. One of the important criteria for selecting employees will be finding candidates who are service oriented. Their objective is to help the most unattended and unrecognized individuals and groups of the society (Burgos 2013, 23-26). The people working in these organizations should be able to handle and carry on the tasks properly. There is shortage of funds and many times the salaries of employees are delayed. In case of smaller organizations, the problems are more acute. The candidates applying for such an organization should be aware of this issue and should comply with it. Even the chief executives and other senior management teams perform many roles, compared to their peers in bigger and private organizations (Dolnicar; Lazarevski 2009, 280-290). Low pac kages and even lesser incentives are the common issues which results in low employee morale and high attrition in these organizations. ... The candidates must comply with the ethical norms and regulations and should be strict in terms of ethical practices. Not for profit organizations often face crisis of funds, crisis of employees and sometimes crisis of available projects. To overcome and minimize these issues, NPO’s need individuals who are able to show leadership qualities even in these crisis situations. Though the requirement for technical assistance and management is low compared to other private organizations, there has to be a minimum balance and smooth flow of the projects. For this, ideal candidates should be equipped with sufficient training and experience. This training and experience is required to handle the technology and the management functions of the organization. Ethical Issues in Non-Profit Organizations In an economy which is highly uncertain, non for profit organizations have started experiencing a rise in unethical practices. In the last few years, complaints regarding ethical violations b y top management and leaders have surfaced in the industry. This has grabbed a good amount of attention and concern from the public. Even though the number is less in comparison to profit and big industries, this number is rising constantly. Apart from this, a large number of ethical issues have started to arise which has resulted in financial issues and frauds in this industry (Watson 2007). If the misconduct in the non for profit organization go unaddressed, it can lead to an erosion of the public confidence. Loss of consumer confidence can largely dampen these organizations as customers are one of the major contributors of fund in this industry (Santora; Sarros, 2012). Ethical issues can occur in various places in an organization. The most vulnerable areas are as follows;

Starbucks and Foreign Exchange Rate Risk Essay Example | Topics and Well Written Essays - 500 words

Starbucks and Foreign Exchange Rate Risk - Essay Example During its first years in the Philippines, one dollar is equivalent to fifty pesos. Thus, a cup of coffee has priced at around Php150. This pricing has barely changed through the years. Starbucks have continuously opened stores in the country especially when the business processing industry boomed making specialty coffee shops really popular. Though the Philippine operation is just small in comparison to the whole system of Starbucks in the world, it does contribute to the company's sales and profits. Since prices are denominated in Philippine pesos, the end of year revenues is converted into US dollar at the prevailing exchange rate which has important implications for the company. During 2005, the Philippine peso has steadily depreciated reaching Php55/US$1 (BSP 2008). So, for instance, if Starbucks revenue is Ps5.5 million, it can be converted into $100,000 during the period. However, recently the currency has been strengthened through the continuous inflow of remittances from Filipinos working abroad who are supporting their families in the Philippines. Thus, the exchange rate appreciated to Php45/US$1 (BSP 2008). In this situation, the Php5.5 million income can now be converted into US$122,222 higher than when the peso is weaker. This illustration just summarizes the exchange rate risks faced by a multinational business organization in operating in other countr

Obsessive-compulsive disorder (OCD) Essay Example | Topics and Well Written Essays - 750 words

Obsessive-compulsive disorder (OCD) - Essay Example ho is suffering from OCD knows that he or she is reacting excessively but could not control his or her reactions (see American Psychiatric Association, 2000). The overt reactions of the patient in response to his or her thoughts and impulses often appear to be bizarre to the people around him or her. For instance, a person who is obsessed with fear of contamination or dirt may incessantly wash his or her hands until they are raw (Fireman B, Koran LM, Leventhal JL, Jacobson A (2001). Most people who are suffering from OCD are aware that their actions are irrational but they still feel compelled to do what they do to fend off the feeling of panic or morbid dread. (Elkin, G. David (1999). In the early days, OCD was seen more in the spiritual and religious context (Ross G. Menzies and Padmal de Silva C., 2003). A lot of people in the 14th to the 16th century view OCD as the work of the devil and can only be undone through exorcism (Baer, L.; M. A. Jenike & W. E. Minichiello, 1986). Although there were many patients who eventually recovered after being exorcises, a lot of these patients did not really get better (Ross G. Menzies and Padmal de Silva C., 2003). However, as time passed by, many people begun to see OCD as something that is out of the spiritual and religious realm. The French and the Germans brought forth the idea that OCD is a mental disorder sometime in the 1870s ((Ross G. Menzies and Padmal de Silva C., 2003). For years, medical professionals and researchers debated on the issue of what really caused OCD. Some suggested that OCD is a psychological disorder while other believer that it is of neurological origin. Sigmund Freud was one of the first to offer an explanation of what OCD is theorizing that OCD originates from the persons unconscious conflicts (Baer, L.; M. A. Jenike & W. E. Minichiello, 1986). Freud based his explanation of what OCD is on the clinical history of a patient who has a "touching phobia". According to him, where a situation remains

Marketing Case Study Example | Topics and Well Written Essays - 250 words - 1

Marketing - Case Study Example In terms of personality, Starbucks targets people who want to stand out as individuals while Dunkins customers are people who want to be part of a crowd. The segment that Dunkins is attempting to reach through positioning is what can be classified as average Joe--the middle income blue- and white-collar workers across all ages, races; who like to belong in a crowd; who although values nicer stores they like it to appeal to the ordinary Americans. These people do not like the fancy store layouts of couches, art-decorated walls and eclectic music; they also do not like glamorously-sounding labels—they complained that calling a hot sandwich a panini is too fancy, thus it is renamed as stuffed melt. They like more accessible products like flatbread sandwiches and gourmet cookies rather than pinwheels of doughs stuffed with various fillings, which remind them of something they have during cocktail hours instead of decent meals. Yes, definitely. Marketing is about finding the right customers and providing values. A huge market cannot be served only by one player. There are different types of consumers, and even to a large player, providing all the needs and wants of the whole market will prove costly and will erode their profits. Therefore, they choose to serve the customers they serve best. In the coffee shop market, the higher income and professional groups are the target of Starbucks, people who want to stand out as individuals. But there are other types of customers. And seeing this segment not being served well gives a huge advantage to Dunkins. After knowing the distinct needs of this segment, a value proposition that carries the message about the benefits the company offers to fulfill these needs is just logical. If Dunkins instead competes with Starbucks in the other segment of the market and provide the same value proposition, it will only come up as second best, or an imitator

Starbucks and Foreign Exchange Rate Risk Essay Example | Topics and Well Written Essays - 500 words

Starbucks and Foreign Exchange Rate Risk - Essay Example During its first years in the Philippines, one dollar is equivalent to fifty pesos. Thus, a cup of coffee has priced at around Php150. This pricing has barely changed through the years. Starbucks have continuously opened stores in the country especially when the business processing industry boomed making specialty coffee shops really popular. Though the Philippine operation is just small in comparison to the whole system of Starbucks in the world, it does contribute to the company's sales and profits. Since prices are denominated in Philippine pesos, the end of year revenues is converted into US dollar at the prevailing exchange rate which has important implications for the company. During 2005, the Philippine peso has steadily depreciated reaching Php55/US$1 (BSP 2008). So, for instance, if Starbucks revenue is Ps5.5 million, it can be converted into $100,000 during the period. However, recently the currency has been strengthened through the continuous inflow of remittances from Filipinos working abroad who are supporting their families in the Philippines. Thus, the exchange rate appreciated to Php45/US$1 (BSP 2008). In this situation, the Php5.5 million income can now be converted into US$122,222 higher than when the peso is weaker. This illustration just summarizes the exchange rate risks faced by a multinational business organization in operating in other countr

Marketing Case Study Example | Topics and Well Written Essays - 250 words - 1

Marketing - Case Study Example In terms of personality, Starbucks targets people who want to stand out as individuals while Dunkins customers are people who want to be part of a crowd. The segment that Dunkins is attempting to reach through positioning is what can be classified as average Joe--the middle income blue- and white-collar workers across all ages, races; who like to belong in a crowd; who although values nicer stores they like it to appeal to the ordinary Americans. These people do not like the fancy store layouts of couches, art-decorated walls and eclectic music; they also do not like glamorously-sounding labels—they complained that calling a hot sandwich a panini is too fancy, thus it is renamed as stuffed melt. They like more accessible products like flatbread sandwiches and gourmet cookies rather than pinwheels of doughs stuffed with various fillings, which remind them of something they have during cocktail hours instead of decent meals. Yes, definitely. Marketing is about finding the right customers and providing values. A huge market cannot be served only by one player. There are different types of consumers, and even to a large player, providing all the needs and wants of the whole market will prove costly and will erode their profits. Therefore, they choose to serve the customers they serve best. In the coffee shop market, the higher income and professional groups are the target of Starbucks, people who want to stand out as individuals. But there are other types of customers. And seeing this segment not being served well gives a huge advantage to Dunkins. After knowing the distinct needs of this segment, a value proposition that carries the message about the benefits the company offers to fulfill these needs is just logical. If Dunkins instead competes with Starbucks in the other segment of the market and provide the same value proposition, it will only come up as second best, or an imitator

Competition Bikes, Inc. (CBI) Financial Analysis Report Essay Example for Free

Competition Bikes, Inc. (CBI) Financial Analysis Report Essay In order to determine a company’s performance, analysis must be done for key metrics, including the ability to pay debts, how much cash or other liquid assets are available, and the company’s viability to continue operations. These analyses involve the review of income statements and balance sheets, where current and past performance will be studied with the goal of predicting how the company will perform in the future. Upper-level management at CBI can use this information to make decisions in line with the company’s goals. This report for CBI will include four sections. First, I’ll analyze the company’s financial strengths and weaknesses by doing a horizontal analysis, vertical analysis, trend analysis, and ratio analysis of CBI financial results for years 6, 7, and 8. The second section will include an analysis of the company’s working capital, including suggestions on ways to improve working capital and use excess working capital to increase profits. The third section will note any weaknesses in the company’s internal controls, and how those can be corrected. The fourth and final section details Sarbanes–Oxley requirements and how the company can mitigate risk and ensure compliance with the requirements within that legislation. A1a. Horizontal Analysis Horizontal analysis is defined as the â€Å"comparative study of a balance sheet or income statement for two or more accounting periods, to compute both total and relative variances for each line item† (businessdictionary.com, n.d.). For CBI, we will be comparing years 6 and 7, then years 7 and 8. This will allow us to gauge the performance over a three year period of time to see if the organization’s business is rising, staying steady or falling. Net sales for CBI products increased 33.8 percent between years 6 and 7. This is a sign of strength for the company and a signal that their bikes are well received by customers. However, net sales dropped by 15% between years 7 and 8. This is a weakness for CBI, as net sales affect the bottom line, and they will have to find a way to make up for this sales shortfall elsewhere in their budget (such as cutting expenses). This shortfall is due to the fact that the niche market that purchases the majority of the bikes, professional riders, experienced a reduction in sponsorships due to the economic situation. Therefore they purchased fewer bikes than in previous years. The company expects to recover from the current year sales decline within three years. The cost of goods sold includes all direct costs attributable to the production of goods sold by the company. Cost of goods sold and sales revenue move in tandem. In this case, the cost of goods sold increased 31.8 % between years 6 and 7. The cost of goods sold increase was slightly lower than the net sales increase of 33.3%, which is a sign of strength for CBI as it indicates that management is doing a good job keeping production costs at a manageable level. In years 7 and 8, the cost of goods sold decreased by 14.5%, which is similar to the decrease in net sales, down 15% in that same time period. Gross profits, which is net sales less the cost of goods sold, increased by 37.5% between years 6 and 7. This is a strength for CBI. An increase such as this signals that management has made a strong commitment to growth while at the same time controlling the operational and production costs. Gross profit was down by 16.3% between years 7 and 8. This is a result of falling sales in the current year. Under General and Administrative expenses, there are two areas of interest that warrant further analysis executive compensation and utilities. Executive compensation rose by 29.4% in years 6 and 7, which makes sense given the strong sales increase during that period. Executives made good business decisions during this time and should be compensated for these results. However, executive compensation stayed flat during years 7 and 8. Granted, sales and profits were down for the year, so a large increase would not be warranted. However, no increase in compensation could be considered a weakness for CBI, as salaries and compensation are a significant tool to keep talent. Morale may suffer if after a year’s worth of hard work, they get no increase at all. Utilities were up a modest 3.8% between years 6 and 7, with an increase to 11% between years 7 and 8. With CBI building fewer bikes in year 8, a reasonable assumption is that utility usage would decrease also. Therefore this increase in utilities should be examined further. Some of this increase could be beyond CBI’s control (such as rate adjustments by the utility company) but a couple of options for the company to explore to manage this expense and be more efficient would be an energy audit, and/or negotiating with the utility company to pre-pay their utilities for a certain time period to get a discount. Operating income is the amount of profit realized from operations after removing operating expenses such as the cost of goods sold and employee salaries. For CBI, operating income increased strongly (154.6%) between years 6 and 7. However, operating income between years 7 and 8 is strongly negative, with a 69.1% decrease. This is due to the fact that gross profits dropped by 16.3% during this time period, but total operating expenses decreased by only 3.6%. This is not sustainable over the long term and is a weakness for CBI. They need to reduce their production expenses wherever possible, become more efficient in their operations, and find ways to increase sales revenue – ideally, a combination of these. The last item on the income statement is net earnings – the so-called ‘bottom line’ both as a reference to its position on the income statement, and a reflection of the fact that total revenues minus total expenses. CBI’s net earnings rose a remarkable 313.4% between years 6 and 7, which is a reflection of the fact that profits grew at a much higher rate than expenses during that period. Net earnings declined by 81.6% between years 7 and 8, which is due to total revenues dropping to a greater extent than total expenses. This is a weakness for CBI as it is not sustainable for long before the company runs out of money. As mentioned previously in the operating income section, this is an issue that CBI’s management team must address if they want to stay in business. Cash and cash equivalents declined 64.6% between year 6 and year 7. This is a weakness for CBI, particularly in light of the fact that sales were up during that period. The company should have more cash or cash equivalents on hand, not less. In years 7 and 8, cash and cash equivalents increased by 348.2% this during a period where net sales were down by 15% compared to the previous period. While this appears on the surface to be a positive – as cash and cash equivalents help with the company’s liquidity – it can actually be interpreted as a weakness as CBI’s large amount of cash and cash equivalents may make some analysts question the company’s ability to manage their cash flow in a way that maximizes profits and efficiency. CBI’s accounts receivable, which represents money owed to them by their customers, increased by 164.3% in years 6 and 7. While accounts receivable are classified as assets, this is a potential weakness for CBI as it signals that a lot of the assets they are claiming on the balance sheet are tied up in receivables that are not as liquid – they have not yet received payment. Accounts receivable was -15% in years 7 and 8. This reduction is a strength for CBI as it signals that they are improving their cash flow by more effectively collecting money owed to them. The large scale change in numbers year over year for both cash/cash equivalents and accounts receivable at CBI signal volatility year over year. This could be a red flag for investors looking for consistent levels of performance. CBI also might find it difficult to continue to hire the best salespeople, who work on commission and are likely looking for a company with solid sales that will provide a steady paycheck. Total current assets, or those that are reasonably expected to be converted to cash within one year in the course of business, include cash, inventory, accounts receivable, marketable securities, prepaid expenses and other liquid assets. CBI’s current assets rose 31.5 percent from year 6 to year 7. Growth in current assets is generally regarded as a strength and a sign the company is growing. However the picture changes when current liabilities for the same period are analyzed, which I will do in the next section. Total assets represent total current assets plus net property and equipment and give a complete picture of all short term and long term assets. Total assets for CBI increased by 2.2% between years 6 and 7, due in large part to the large increases in accounts receivable and work in process inventory. When a large amount of accumulated depreciation was factored into assets, it brought the total assets figure down substantially. Between years 7 and 8, total assets decreased by 0.2%. After reviewing the balance sheets I noted that while current assets decreased substantially between years 6 and 7, then 7 and 8 (down 15%), long term assets stayed flat (down 0.5% over the same period). Overall, assets, liabilities and stockholder’s equity were all down between years 6 and 7. This is a weakness for CBI as investors will review these negative numbers and question the company’s ability to be profitable and grow. Total current liabilities are debts that are due within one year in the course of business. They include accounts and notes payable, accrued salaries, and other accrued expenses. Current liabilities increased by a whopping 122.4% between years 6 and 7, largely in part to the large increase (192%) increase in accounts and notes payable. Between years 7 and 8, accounts and notes payable increased by 33.3%.This is a serious weakness for CBI, as it signals that they are taking on a disproportionate amount of debt compared to their sales growth rate. CBI would need to generate substantial sales increases in future years to pay the interest on this debt and continue to cover their expenses. The fact that total current liabilities continue to trend upward year over year while sales actually went down between years 7 and 8 is a warning sign. CBI could have trouble meeting its debt obligations (and getting any further funding from creditors) if sales are flat or continue to trend downward. Total long term liabilities – those that come due more than one year in the future – are holding steady at CBI, decreasing 5.6% between years 6 and 7, and decreasing by 5.9% between years 7 and 8. This is a sign of strength for CBI as it shows they are managing their long term debt responsibly. Retained earnings represent the amount of assets created through profits that are retained in the business and are part of owner’s equity. Retained earnings increased by a healthy 17.4% between years 6 and 7, which makes sense given the strong sales results. Retained earnings rose by only 2.7% between years 7 and 8, which is not surprising in light of the fact that sales are down in the current year. This decrease is a weakness for CBI, as retained earnings is part of stockholder’s equity. Those invested in the company (or those considering doing so) will note the sharp decrease in funds available for reinvestment in the company and possibly question the prospects for growth unless the company can turn things around quickly. A1b. Vertical Analysis Through a vertical analysis, we review entries for assets, liabilities and equities. These are represented as a percentage of the totals for any given year. The main advantage of a vertical analysis is that it is easy to read, clearly understandable and charts changes in the operations of a business on a yearly basis. By reviewing vertical analysis data, a person can see financial performance over a set period of time. Cost of goods sold decreased from 73.4% of net sales in year 6 to 72.6% in year 7. This is a strength for CBI because a reduction in CGS leads to higher profit. This is evidence that management is doing a good job controlling product costs. In year 8, CGS increased slightly to 73% a minor increase but this could be considered a weakness for CBI as it signals that the costs to produce their bikes are going up. Gross profit was 26.6% of net sales in year 6, and increased to 27.4% in year 7. This is a strength for CBI as it signals that the company is doing a good job of selling their product and keeping costs at a manageable level. In year 8, Gross Profit dipped slightly to 27%. This is because the cost of goods sold went up slightly during this time, and sales were down. A gross profit reduction is normally a weakness; however, in light of the 15% decrease in sales in year 8, the fact that gross profit only decreased by 0.4% from the previous year should be considered a strength for CBI as it indicates that the company has minimized the impact of the sales downturn on their gross profit margins. Upon reviewing the general and administrative expenses, all of the line items followed the trend of decreasing as a percentage of the total in year 7, and then increasing as a percentage of the total in year 8. This makes sense given that these expenses are part of the cost of goods sold figure. One example is the ‘Other general and admin expenses’ which was 2.7% of the operating expenses total in year 6, decreasing to 2.6% in year 7 and then increasing to 3.3% in year 8. While these make up small percentages in the company’s overall operations budget, this is a weakness for CBI, as these types of expenses should not be going up if there are not sufficient sales to support the increase. CBI management should keep an eye on these expenses to ensure they do not creep up year over year, which would have a negative effect on their profit margins. When looking at the individual numbers, for example administrative salaries, we see that there is no change in the percenta ge of the total between year 7 and year 8. Administrative salaries did not increase at all in year eight, and neither was executive compensation. This could be a weakness from an employee morale standpoint, as they worked hard all year and did not see any raise in their pay. However, this data is not surprising given the difficult economic conditions in year 8. There was a purchase of 25,000 shares treasury stock in year 7, and it’s possible that management offered this stock to employees in lieu of a pay increase. Operating income was 2.8% of the total in year 6, increased to 5.3% in year 7 and decreased to 1.9% of the total in year 8. The decrease in year 8 is largely due to the increase in operating expenses, which factors into the operating income equation. The fact that CBI’s operating expenses are trending up year over year without accompanying sales increases is a negative trend for CBI and should be considered a weakness. This is something the company’s management should be monitoring closely and taking action to control expenses and promote sales. Net earnings were 0.9% of the total in year 6, rising to 2.8% in year 7 (not surprising given the increase in sales) and decreasing to a three year low of 0.6% in year 8. Since this bottom line number is a key indicator of a company’s profitability, this decrease should be something that the company’s management should make a top priority to fix. Cash/cash equivalents were 6.2% of total assets in year 6, decreasing to 2.2% in year 7. This is a weakness for CBI as this is a sign that the company may have trouble paying their debts and expenses. In year 8 this figure improved substantially to 9.7% of total assets. However, the company needs to make sure they are not sitting on too much cash, but investing it to grow the company and maximize profits. Accounts receivable represented 6.5% of total assets in year 6, and increased dramatically to 16.7% in year 7. Although accounts receivable is considered an asset, it should be noted that the cash is not collected right away. This asset is less liquid than cash or other short term assets and CBI should ensure that they are collecting payment from customers in a timely manner. Accounts receivable decreased slightly to 14.2% in year 8, which would be interpreted as strength as it indicates that CBI is doing a good job collecting payments from customers. Total current assets represented 24.5% of total assets in year 6, rising to 31.5% in year 7 and 36.8% in year 8. Reviewing the line items for current assets, this increase is attributable to the increase in accounts receivable as well as cash/cash equivalents. This could be interpreted as a strength for CBI, as an increase in current assets means the company is in a better position to pay debt obligations and use assets to grow the company. However, it’s worth noting that the majority of CBI’s current assets are tied up in less liquid assets – accounts receivable and inventory. These are more difficult to convert to cash should the need arise. Total long term liabilities (mortgage payable and other long-term liabilities) decreased steadily year over year at CBI. In year 6 they represented 45% of total liabilities and equity, decreasing to 41.6% in year 7 and 39.2% in year 8. This is a strength for CBI as it shows they are paying down their long-term liabilities. A reduction in liabilities improves liquidity ratios and the company’s ability to pay operational expenses as well as their debt obligations. Total current liabilities for CBI followed the trend of current assets and rose steadily year over year – 2.5% of total liabilities and equity in year 6, 5.4% of total liabilities and equity in year 7, and 7% of total liabilities and equity in year 8. Looking more in-depth at CBI’s current liabilities shows that this increase year over year is due to the rise in accounts and notes payable. The other line items (accrued salaries and other accrued expenses) held steady. I interpret this as a weakness for CBI, and should analyze why their current liabilities were rising when they were collecting more cash, particularly in year 8. The cash flow increase in year 8 was substantial and could have been used for accounts payable obligations. It’s possible that the company was holding on to cash/cash equivalents in year 8 to weather the economic downturn. Retained earnings represent earnings not paid out as dividends, but retained by CBI for reinvestment in the company. Retained earnings represented 23.3% of total liabilities and equity in year 6, rising to 26.8% in year 7 and 27.5% in year 8. This is a strength for CBI as it shows that management is committed to retaining earnings in order to grow the company. A1c. Trend Analysis Trend analysis involves the usage of past figures for comparison. For trend analysis, information for a number of years is compared to a base year. Each item of the base year is represented as 100% and on that base, the percentage for the other years are computed. This analysis determines the percentage of increase or decrease in each item with respect to the base year and helps analysts make forecasts for future years. For CBI, net sales have been provided for year 6 (the base year) as well as years 7 and 8. The historical trend analysis figures for CBI are shown below, based on net sales and establishing year 6 as the base year. Year 6: $4,485,000 (100% trend percentage) Year 7: $5,980,000 (133.3% trend percentage) Year 8: $5,083,000 (113.3% trend percentage) This trend analysis does not show any surprises. The horizontal and vertical analysis clearly showed that various metrics (net sales, operational expenses, net income, etc.) showed a large increase from year 6 to year 7, followed by a decrease between years 7 and 8. The trend here shows a large net sales increase, followed by a decrease. The large swings in sales seem to indicate volatility for CBI. This is a weakness because it’s more difficult to forecast accurately, which can lead to inaccurate resource planning and negative stock price impacts if performance does not meet stated expectations. The forecasted trend analysis for CBI, using year 8 as the base year is shown below: Year 8: $5,083,000 (100%) Year 9: $5,247,450 (103.2%) Year 10: $5,471, 000 (107.6%) Year 11: $5,681,000 (111.8%) There’s no information given on how these forecasted trend numbers were calculated. It’s a positive sign that the sales increases are only a few percentage points each year, as this is much more sustainable and likely than a large increase such as between years 6 and 7 (which is generally not sustainable in the long run). This forecast would seem to indicate that the outlook is positive for CBI for the next few years. It’s likely that one of the underlying assumptions is that the economic situation will improve, and the company will sell more bikes. However, given the operational weaknesses pointed out in the horizontal, vertical and ratio analysis, if I were an investor or analyst I would want to know more about the company’s plans to address the se weaknesses before taking these figures at face value. A1d. Ratio Analysis As part of the ratio analysis, two important ratios to consider when analyzing a company’s liquidity are: Current Ratio Acid-Test Ratio The current ratio is current assets divided by current liabilities, and measures a company’s ability to pay their short-term liabilities. In theory, the higher the ratio the better. However, there are some limitations to the current ratio as I’ll note in the next section. CBI’s current ratio in year 7 was 5.79, and in year 8 was 5.25. Stated another way, CBI could use their current assets to pay their current liabilities 5.25 times over in year 8. This would seem to be a strength for CBI, and in fact this ratio is higher than their competitor Two Wheel Racing (with a ratio of 4.20). However, this ratio has one fundamental flaw its conceptually based on the liquidation of all of a companys current assets to meet all of its current liabilities. In reality, this is not likely to occur. Its the time it takes to convert a companys working capital assets into cash to pay its current obligations that is the key to its liquidity. Much of CBI’s current assets are tied up in accounts receivable, as well as work in progress inventory and raw inventory. These assets are not as liquid as cash, but are figured into the current ratio calculation. So CBI’s high current ratio looks strong on the surface, but upon further analysis there is a weakn ess in the somewhat large proportion of less liquid assets CBI holds that factor into the equation. The acid test ratio is another measure of liquidity, and more stringent than the current ratio in that it measures a company’s ability to cover their short term liabilities without selling inventory to do so. Looking at CBI’s numbers, the acid test ratio in year 7 was 4.41, and in year 8 it was 4.14. These numbers are higher than that of their competitor Two Wheel Racing (3.40) and that represents strength for CBI. However, I’ll note once again that the company will need to monitor and manage their current assets to ensure that the proportion of less liquid assets (accounts receivable and inventory) does not greatly outweigh their more liquid assets (such as cash). Average collection period is the time that it takes CBI to collect accounts receivable payment from customers. This number held steady at 43.8 days in years 7 and 8. However, it’s higher than that of competitor Two Wheel Bikes (32.5 days). This is a weakness for CBI, as it signals that the company may be too lax in collecting what’s owed to them and may eventually have difficulties meeting their short-term and long-term obligations. CBI should focus on strategies to reduce the time it takes to collect on accounts receivable. The debt ratio represents the total percent of assets financed by debt, and is calculated by dividing total liabilities by total assets. In year 7, 47% of CBI assets were financed by debt, which decreased slightly in year 8 to 46.2%. However this number is still substantially higher than that of their competitor, Two Wheel Bikes, at 38%. This is a weakness for CBI, and if they cannot bring this ratio down by increasing sales and profits to pay down some of their debts, they may have trouble paying their debt obligations. Gross profit margin for CBI was 27.4% in year 7 and 27% in year 8. This is lower than that of their competition, Two Wheel Racing at 32.1%. This is a weakness for CBI, as it signals that they are not as efficient as their competitors. CBI could improve this ratio by decreasing expenses, which would in turn decrease the cost of goods sold. Another way to improve this ratio would be to increase revenues. The operating profit margin for CBI differed substantially from year 7 to year 8. In year seven the figure was a healthy 5.3%, but in year 8 it dropped sharply to 1.9%. This is a weakness for CBI as this is a lot lower than that of Two Wheel Bikes (5.2%) and this signals that CBI is not doing a good job generating cash flow and providing shareholder value. One way CBI could improve their operating profit margins is by auditing their operating expenses and trimming costs wherever possible. An example would be adopting lean work processes with as little waste as possible. The raw materials inventory in particular should be reviewed to see if efficiencies could be gained by improved internal controls for inventory. Net profit margin is the percentage of each dollar earned that is translated into profits. CBI’s net profit margin in year 7 was 2.8%, and a dismal 0.6% in year 8. These numbers are much lower than those of the competition (Two Wheel Racing had a margin of 5.2% in year 8) and are a definite weakness for CBI, as companies with low net profits can go bankrupt in the event of a sustained downturn. This low number signals that the company is not running their operations efficiently and would be a red flag for investors. Earnings per share is an indicator of a company’s profitability and ability to generate shareholder wealth, and is the most important factor when determining the company’s share price. As the name suggests, it’s the earnings that the company generates per share outstanding. In year 7, CBI’s EPS was 0.17, or 17%. In year 8 that figure declined to 0.03%, which is nearly zero. This is a serious weakness for CBI as it suggests that the company is not doing a good job of generating wealth for shareholders, and this could lead to a selloff of the stock. In a worst case scenario, the stock price would decrease and the company could go out of business. Return on total assets is an indicator of how effectively a company is using its assets to generate earnings before contractual obligations must be paid (Investopedia.com, n.d). In year 7 CBI had a 4% return on assets, slightly lower than that of their competitor Two Wheel Bikes (at 4.8%). In a year where sales were up 33.3% from the year before, investors might expect a higher return. As I’ve pointed out in other sections, the reason this number is not higher is because CBI did not do the best job keeping their expenses under control. In year 8 the number is even worse – a dismal 0.7%. This is a weakness for CBI overall as it shows the company has some work to do to control expenses and use their assets effectively. Return on common equity measures how much profit a company generates with the equity shareholders have invested. This ratio is calculated by subtracting preferred dividends from net income, then dividing that number by common equity. CBI’s return on common equity was 7.5% in year 7, and decreased sharply to 1.4% in year 8. This is much lower than that of the competition – Two Wheel Racing’s ratio was 8.1% and is a weakness for CBI. This signals that the CBI is not doing a good job generating profit from the equity shareholders have invested, and it could lead to a stock sell off or investors demanding that measures be taken to increase equity returns. Financial analysts and investors would likely not have much confidence in these numbers. The price/earnings (P/E) ratio is a measure of the valuation of a company’s share price compared to its per-share earnings. Price/earnings ratios are tied to investor expectations. Investors are willing to pay more if they believe that future earnings will be substantially higher. On the other hand, if a company is stagnant and investors dont believe that future earnings will be going up, they will not want to pay as much and the P/E ratio will be lower. CBI’s P/E ratio in year 7 was 29.41. This means that investors would be willing to pay $29.41 in share price for every $1 in earnings. This is a strength for CBI because it suggest investor confidence in the company, which typically leads to an increase in share price. However, in year 8, the P/E ratio declined to 23.33. This is due to the company’s lackluster sales and operational performance in year 8. This is definitely a weakness for CBI – if investor confidence continues to decline, the share price will decline also. Times interest earned represents the number of times operating income can cover interest expense. CBI generated enough profits in year 7 to cover their interest expense 5.27 times. This number is a strength for CBI as it demonstrates that the company is doing a good job of generating income while keeping expenses at a manageable level, and is higher than the 4.24 figure from their competitor, Two Wheel Racing. However, the times earned interest ratio in year 8 is only 1.77, mainly due to the large drop in net income in year 8. This is a weakness for CBI as sales and profits decreased, while interest expenses did not drop in proportion. CBI needs to do a better job managing their operating expenses, which will improve this ratio. A2. Working Capital Analysis for CBI An important measure of a company’s efficiency and short-term financial health is the amount of working capital they have on hand. This is one measure of the company’s liquidity, and the ability to meet short-term (current) debt obligations with current assets. Working capital is used for day to day operational expenditures to pay bills of the business including employee wages, utilities, and rent, among others. This number is calculated by subtracting current liabilities from current assets. Investors view working capital as measure of a company’s operational efficiency. In general, companies with greater amounts of working capital are better able to achieve success by investing assets back into the business, rather than hanging on to non-cash assets in large amounts. While a business may have a large amount of assets, it may be very difficult to convert them into cash in order to take advantage of opportunities that require fast action – an example of this is an asset such as land or buildings. If current liabilities are greater than current assets, a working capital deficit is created, and a business cannot survive long-term in this scenario. Working capital numbers for CBI: Year 6 1,029,303 – 105,080 = 924,223 (9.79 current ratio) Year 7 1,353,044 – 233,700 = 1,119,344 (5.79 current ratio) Year 8 1,575,831– 300,200 = 1,275,631 (5.25 current ratio) CBI has been steadily increasing their working capital in years 6-8, with a 21.1% increase from year 6 to year 7, and a 14% increase from year 7 to year 8. This consistent rise in working capital confirms that the business has sufficient working capital to cover their short-term liabilities and invest for future growth of the company. One thing to note here is the large increase in current liabilities from year 6 to year 7 (82%) when assets rose by only 21.1%. This is largely due to the large increase in accounts and notes payable. Large increases in liabilities such as this are not a negative per se and can signal that the company is investing for growth, but should be monitored over time to make sure the company does not become overleveraged. The ideal scenario is if the increases in assets and liabilities are more proportionate (rising at a similar rate). Working capital is related to the current ratio, which measures the company’s ability to pay current liabilities with current assets. It’s calculated by dividing total current assets by total current liabilities. This ratio should be at least 1, which means the company has exactly enough capital to pay its short term liabilities, with no excess cash. It’s preferable if the ratio is higher than 1. However, a ratio that is much higher than the average could be considered a weakness, as it may signal that the company has too much inventory on hand, is slow to collect on accounts receivable, or that they are hanging on their excess cash rather than investing it for future growth. It’s important to note that working capital ratios vary widely between industries; when analyzing a company’s working capital ratio, a comparison to the average ratios for the overall industry should be included in the analysis. CBI’s current ratio was very high in year 6 – 9.79. This means for every $1 in liabilities, the company had $9.79 in assets. On the surface this appears to signal strength, but this could actually be considered a weakness for CBI as it suggests that they are holding on to cash and liquid assets and not investing to grow the company to its full potential. In years 7 and 8, the current ratios decreased to 5.79 and 5.25, respectively. This is largely due to taking on additional short term liabilities (accounts and notes payable). The ratio in years 7 and 8 is much closer to the ratio of their closest competitor, Two Wheel Racing and suggests that the company is moving toward using their current assets more effectively. If CBI can keep operating and goods costs under control and not overleverage themselves, the taking on of additional debt could be considered part of the cost of doing business and part of their growth strategy, i.e. a positive development. Working capital could be improved in the following ways: 1. Decreasing the amount of liabilities in short term debts such as accounts and notes payable. 2. Converting short term debt to long term debt to free up funds for investment. 3. Increasing efficiency via internal process improvements, thereby reducing expenses and increasing profits. Examples include shortening accounts receivable collection periods (CBI’s are longer than that of their closest competitor) and consolidating sales offices. 4. Issuing stock to generate capital for investment in assets that will help the company grow, such as the purchase of a new distribution center or bike assembly location. Excess working capital (liquid assets) could be invested in the following ways to increase profits: 1. Internal systems updates such as new, faster computer systems for employees or manufacturing equipment. This investment has the benefit of improving efficiency. 2. Investing in people – hiring new talent as well as training the salespeople already working for the company. 3. Investing in marketing and advertising to create compelling sales promotions and get the word out about CBI. Since the company’s sales are largely through word of mouth advertising, there is considerable untapped sales potential. A3. Evaluation of the internal controls for the purchasing system at CBI After reviewing the purchasing system for CBI, there are a few weaknesses in the internal controls that the company should address to mitigate risk and increase efficiency. 1. No receiving department currently exists to monitor incoming shipments from suppliers. Having no internal controls in place for this step in the supply chain is a weakness for CBI. This can result in an increased risk of incorrect orders being processed, resulting in unused parts being sent to the raw materials inventory stores as noted in the storyline. These parts must be written off the books if they are not used in the current year, and this costs the company money. The other impact is damaged orders being accepted by the company. If orders are monitored upon arrival and found to be damaged, CBI can contact the supplier immediately to remedy the situation. This will minimize costly delays in production since errors are caught earlier in the supply chain, and the company can save money if they have ensured that all orders are accurate and undamaged before payment is sent to the supplier. 2. The purchasing department’s procedure for selecting suppliers is not as robust as it should be. Checking for three sources of similar quality, as noted in the storyline, is a good start but not sufficient to ensure good internal controls. Suppliers should be vetted in a selection process using criteria defined and documented by CBI. If this is not done, it could lead to increased risk of fraud (collusion between the CBI Purchasing manager and the supplier, for example). 3. The purchasing manager is responsible for multiple related responsibilities; in this example, selecting the supplier, placing the order and sending the supplier’s invoice to the accounting department. There is not sufficient separation of duties throughout the purchasing process. A3a. Weakness Corrective Actions The following scenario illustrates what a purchasing procedure policy with good internal control procedures in place could look like for CBI. 1. The production department evaluates existing inventory of raw materials, then creates a list of raw materials they need for the next month and sends it to the purchasing manager. 2. The purchasing manager gets the list and consults with the policies and procedures manual for the raw materials. The manual instructs the purchasing manager to consult the trade journal for the industry, which contains a list of suppliers for the raw materials requested. 3. The purchasing manager should review the supplier list to ensure there’s no conflict of interest (such as close friends/relatives working for any of the suppliers on the list, stock ownership in any of the companies, no gifts accepted from the companies). If there are conflict(s) of interest for any of the suppliers, they should be removed from the list. 4. The purchasing manager should then review the Better Business Bureau (BBB) list for the remaining suppliers to see if any complaints have been registered during the past y ear. Suppliers with complaints registered with the BBB should be removed from the list. 5. The purchasing manager should contact the remaining suppliers to request competitive bids. Once they are submitted, the bids should be reviewed and the lowest competitive bid selected. 6. Once the bid is selected, the purchasing manager should send a purchase order to the selected bidder. Once this is done, the purchasing manager’s job is complete. 7. The supplier sends the shipment to the company; upon arrival it is taken in by the CBI receiving department for inspection and documentation. A shipping note is generated by the receiving department which details each item and can be used to confirm that all items that were ordered actually arrived. 8. A copy of the shipping note is sent from the receiving department to the accounting department, and accounting will compare that note with the invoice from the supplier requesting payment. They cross check these two documents to ensure they match. 9. Once accounting has ensure these documents match, they write a check to the supplier and the process is complete. A3b. Risks All of the weaknesses, if not remedied, increase the risk of fraud. An example of this would be the purchasing manager colluding with the supplier to send an invoice with inflated numbers to accounting, which would result in overpayment to the supplier that does not reflect an accurate order. In a worst case scenario, if the record keeping is weak and the employees are able to subvert the system and falsify the documents, then financial statements based on numbers in these documents are no longer accurate. Experienced financial analysts who review the company’s financial statements will immediately know that something isnt right with the numbers, and will sell the stock, leading to a drop in stock price. If this is left unchecked it can result in the downfall of the company and/or criminal prosecution of the company’s financial executives. Given these risks, it would be very prudent for CBI’s management team to take an in-depth look at the internal controls for p urchasing and make adjustments to correct the weaknesses. A3bi. Risk Mitigation In the proposed purchasing system in section A3a, there are two ways that the identified internal control risks are mitigated. First, there’s a good separation of duties – this avoids the situation where one employee is responsible for multiple related responsibilities (which can lead to greater temptation for fraud). An example of this is in step #7. The purchasing manager is not involved in this step; they were directly involved in the placement of the order and so should not also be in charge of receiving the order or generating the shipping note (therefore maintaining separation of duties). Second, there are also multiple checks and balances to ensure accuracy for orders, as well as documentation for each step to ensure good records are kept. Accounting will then have accurate numbers on which to base their financial reporting, minimizing the risk of material misstatements on their annual or interim financial statements. A4. Analysis of compliance with Sarbanes–Oxley requirements An important piece of legislation related to financial reporting and internal controls for publicly traded companies is the Sarbanes-Oxley Act (SOX). After several highly publicized accounting scandals among corporations in the US in the 1990s, SOX was enacted to â€Å"reform companies’ financial reporting processes, as well as the internal and external auditing of the financial reporting process† (Hilton, 2011). It’s very important that companies understand and comply with the rules laid out within this legislation, as the penalties for not doing so are severe. Top executives including the CEO and CFO can be held criminally responsible and go to prison if their company’s financial statements are fraudulent or misstate the firm’s financial condition. There are two sections within SOX that are of particular relevance – sections 302 and 404. Section 302 requires the signing officers of a company’s financial reports (such as the CEO and CFO) to establish, maintain, and monitor the effectiveness of internal controls over financial reporting. In other words, these executives are ultimately responsible for the accuracy of the company’s financial documents, and must disclose to the company’s auditors any weaknesses or changes in the company’s internal control system. Section 404 requires a company include an internal control report for financial reporting within its annual report. This internal control report must contain two key elements – a statement of managerial responsibility for establishing and maintaining an effective internal control structure for financial reporting, as well as an assessment of the effectiveness of the defined internal control structure. A4. Compliance In regard to CBI and its compliance with SOX, the company believes they are adequately addressing the requirements of the legislation. CBI’s internal audit stated that internal controls over financial reporting are accurate based on criteria set forth by the Committee of the Sponsoring Organizations of the Treadway Commission (COSO). However, the annual report issued by the auditors to the shareholders noted that the company’s internal control over financial reporting could lead to a possibility of a misstatement in the company’s annual or interim financial statements that would not be detected or corrected in a timely manner. This will be noticed by financial analysts and investors, and could affect the company’s stock prices as well as the increase the likelihood of close financial scrutiny and audits by the Public Company Accounting Oversight Board (PCAOB), whose mission is to â€Å"oversee and investigate the audits and auditors of public companies, and sanction both firms and individuals for violations of laws, rules, and regulations† (Hilton, 2011). A4a. Noncompliance Corrective Actions Based on this information, CBI should take immediate actions to ensure compliance with SOX, including reassessing and addressing weaknesses in their internal controls over financial reporting, possibly consulting with the Public Company Accounting Oversight Board to do so. When CBI’s annual report is published, it should include an internal control report with the elements noted in Section 404 (statement of managerial responsibility over financial reporting internal controls, and an assessment of the effectiveness of the defined internal structure). The statement should clearly state any and all corrective action taken to bring the company’s financial reporting into compliance with SOX regulations. The company’s auditors need to be able to vouch for the effectiveness of the implemented internal controls. RESOURCES Hilton, R. (2011). Managerial accounting: Creating value in a dynamic business environment (9th ed.). McGraw-Hill. Hardcover ISBN: 9780073526928. What is Horizontal Analysis? Definition and Meaning (n.d.). Retrieved from Business Dictionary: http://www.businessdictionary.com/definition/horizontal-analysis.html Definition of ‘Return on Total Assets – ROTA (n.d.). Retrieved from Investopedia: http://www.investopedia.com/terms/r/return_on_total_assets.asp