Case Study on Entrepreneurship: Larry Page

Business Analysis

The Boundaryless Career: Modern Contemperory Perspective on Career

Human Resource Management

Concepts of Throughput Accounting and Theory of Constraints

Financial Management

Kaizen – Understanding the Japanese Business Philosophy of Continuous Improvement

Operations Management

Role of Leaders in Shaping Organizational Culture

Management Principles

Management of Foreign Exchange Risks

What gives rise to foreign exchange transactions? Basically, there are four important factors which give rise to foreign exchange deals or transactions: (a) trade (exports/imports); (b) transfer (remittances); (c) investment (say, FCNR transactions); and (d) speculation. If one were to ask what is the proportion of speculation to the first three in the global foreign exchange market, one would be shocked to know that speculation accounts for nearly 96 per cent of the foreign exchange turnover of about US$ 700 billion per day in the international foreign exchange market. As we are aware, banks have established huge dealing rooms, and foreign exchange dealers are consistently buying and selling foreign currencies to make profits for their own institutions. Although speculation or pure dealing, as opposed to a merchant transaction, is anathema to banking, it is not “uncontrolled” speculation, as most senior managements of banks have imposed stringent controls to contain exposures Continue reading

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Henri Fayol – Father of Modern Management Theory

Henri Fayol was a French industrialist and manager, working in the mine industry and looking for applicable solution to business management. He went to school in Lyon (the second largest city of France) and enrolled at the engineering school of Saint-Etienne (Ecole Nationale des Mines). He received an education as a mine engineer and graduated in 1860 from this school at the age of 19. He was first employed as an engineer at Boigues, Rambourg and Co. In 1874, this company became Commentry-Fourchambault SA or Comambault). It is important to notice he spend all his professional life in the same company experiencing its expansion and knowing well its structure and production methods. Fayol was first remarked as an engineer when he wrote a paper proposing a solution to fire hazard, fire fitting and spontaneous combustion in mine, destructing men and installations. In 1866, he was appointed director of a single Continue reading

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Competitive Differentiation Strategy – Meaning, Areas, Factors and Drivers

An organization that adopts a differentiation strategy seeks to distinguish itself from competitors through the quality of its products or services. Organizations that successfully implement a differentiation strategy are able to charge more than competitors because customers are willing to pay more to obtain the extra value they perceive. For example in case of Rolex they pursue a differentiation strategy, Rolex watches are handmade precious metals like gold or platinum and stainless steel and are subject to strenuous tests of quality and reliability. The firm’s reputation enables it to charge thousands of dollars for its watches. Firms use differentiation strategy to achieve a competitive advantage by providing unique products and these products attributes high quality and innovations. Differentiation is not just limited to the product but it also covers the delivery system and many other factors. Firms provide additional services to its customers with these differentiation characteristics which brings more Continue reading

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Role of Leadership in Times of Crisis

A crisis is the truth of today’s fast-paced business world. Rapid organizational change, changing economic conditions, problems with personnel, unexpected technological changes, and political effects cause instability in today’s business world. This instability appears out of state control as economic disruptions that result in crisis. The process approach to crisis management builds on the concept of crisis incubation, that crises evolve within organizations, they do not simply appear, and they are not divorced from the actions of those managers who may ultimately be required to deal with the management of such events. The role of the leader, especially in crisis cannot be diminished, due to all of the responsibilities being on the shoulders of the leader and the cost of loss being too high. In a period of crisis, a leader should not only be a person who leads and inspire people but a person who can efficiently fix a Continue reading

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Should You Get an MBA? Here’s How to Decide

The decision as to whether or not you should get an MBA is not as straightforward as it might seem. It may not be a simple yes or no answer. Instead, the answer might be “yes, but not yet” or “no, but you should get a master’s in another business-related subject.” On the other hand, depending on your circumstances, the answer might also be an unqualified yes. For some, an MBA can be one of their most important career moves while for others, it can be a waste of time and money. How can you decide which it will be for you? The points below can help. What Experience Do You Have? First, do you have a bachelor’s degree? If not, you need to get one. Are you fresh out of college with an undergraduate degree in business? Then you should not go straight into an MBA program. This doesn’t Continue reading

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Value Added – Concept, Definition and Uses

Meaning and Definitions of  Value Added The traditional basic financial statements are balance sheet and Profit & Loss account. These statements generate and provide data related to financial performance only. They do not provide any information which shows the extent of the value or the wealth created by the company for a particular period. Hence, there arose a need to modify the existing accounting and financial reporting system so that the business unit is able to give importance to judge its performance by indicating the value or wealth created by it. To this direction inclusion of Value Added statement in financial reporting system is useful. The Value Added concept is now a recognized part of the accountant’s repertoire. However, the concept of Value Added (VA) is not new. Value Added is a basic and broad measure of performance of an   enterprise. It is a basic measure because it indicates Continue reading

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