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

Organizational Culture – Development and Importance

Management Principles

Five Important Organizational Cultural Models

Management Principles

Top Academic Programs for You To Consider in 2023

The world of academia is vast and diverse. With thousands of educational institutions in the United States and even more globally, the possibilities are virtually endless. However, among this sea of opportunities, certain fields of study have begun to stand out due to their industry relevance, growing demand, and future prospects. In this article, we delve into what we consider the top academic programs that you should consider in 2023. Master’s Programs in Behavior Analysis As societal complexities grow, the need to understand human behavior from a practical and therapeutic perspective is becoming significantly important. This is where a Master’s in Behavior Analysis comes into the picture. This field of study comprehensively covers the theories and practical applications of understanding, predicting, and changing behavior. Classes in these programs typically revolve around principles of applied behavior analysis, behavioral pharmacology, ethical and professional conduct, and behavioral assessment. A prime example of a Continue reading

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Strategic Entrepreneurship

Strategic Entrepreneurship is integration of two disciplines: Entrepreneurship (Identifying opportunities through Innovation) and Strategic Management (Manage the firm’s resources/innovation efforts). So we can define strategic entrepreneurship as a firm’s efforts to exploit its today’s competitive advantages while exploring for the innovations that will be the foundation of tomorrow’s competitive advantages. Identifying opportunities to exploit through innovation is entrepreneurship dimension of strategic entrepreneurship, while determining the best way to manage the firm’s innovation efforts is the strategic dimension. Entrepreneur is a word derived from French language which means: “One who undertakes” and entrepreneurial capabilities are conditions in which new good or services can be launched to satisfy a need in the market. These opportunities exist because of the competitive imperfections in markets and among the factors of production and to produce them and when information about these imperfections is distributed asymmetrically among individuals. As a process, entrepreneurship results in creative destruction Continue reading

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Corporate Restructuring Exercises by Procter & Gamble (P&G)

The case discusses the ‘Organization 2005’ program; a six-year long organizational restructuring exercise conducted by the US based Procter & Gamble (P&G), global leader in the fast moving consumer goods industry. The case examines in detail, the important elements of the restructuring program including changing the organizational structure, standardizing the work processes and revamping the corporate culture. The case elaborates on the mistakes committed by Durk Jager, the erstwhile CEO of P&G and examines the reasons as to why Organization 2005 program did not deliver the desired results. Finally, the case discusses how Alan George Lafley, the new CEO, accelerated the initiatives under the Organization 2005 program and revived P&G’s financial performance. Issues Gain insight into the common causes that contribute to steady decline over a period of time in the performance of a large multi-product multi-national company of high repute. Introduction The US based Procter and Gamble (P&G), one Continue reading

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Case Study of Cemex: Incorporating IT into Business

Founded in 1906, Cemex is one of Mexico’s few truly multinational companies, with market-leading operations in Mexico, Spain, Venezuela, Costa Rica, Philippines, Panama, Dominican Republic, Egypt, Colombia, and a significant presence in the Caribbean, Indonesia, and the southwest United States. It is the largest cement company in America and one of the three largest cement companies in the world, with revenues of $4.8 billion and close to 65 million metric tons of production. Cemex and its subsidiaries engage in the production, distribution, marketing, and sale of cement, ready-mix concrete, and related materials. Its strategy includes focusing on cement and concrete products, diversifying globally to cushion against volatility in local markets, developing efficient production and distribution processes, using IT to help increase flexibility, improve customer satisfaction, and reduce bureaucracy and excess staffing, and providing training and education for employees. Its state-of-the-art Tepeaca facility supplies one fifth of the Mexican market and Continue reading

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Cost of Retained Earnings

The companies do not generally distribute the entire profits earned by them by way of dividend among their shareholders. Some profits are retained by them for future expansion of the business. Many people feel that such retained earnings are absolutely cost free. This is not the correct approach because the amount retained by company, if it had been distributed among the shareholders by way of dividend, would have given them some earning. The company has deprived the shareholders of this earnings by retaining a part of profit with it. Thus, the cost of retained earnings is the earning forgone by the shareholders. In other words, the opportunity cost of retained earnings may be taken as the cost of the retained earnings. It is equal to the income that the shareholders could have otherwise earned by placing these funds in alternative investments. For example, if the shareholders could have invested the Continue reading

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Decentralization – Meaning, Advantages and Disadvantages

Meaning of Decentralization Delegation of authority and duties is usually referred to as decentralization in which set up the organization is divided into different section and departments in order to help the organization grow scientifically and with a purpose of direction leading to harmony in relations and healthy atmosphere which generally is absent in centralized system of organization. Decentralization of authority, holds Koontz and O’Donnell, “is a fundamental phase of delegation.” To the extent that authority is not delegated is obviously centralization. In the words of Henry Fayol, “every thing that goes to increase the importance of the subordinate’s role is decentralization.” Decentralization is diffusion of authority. It is a process by which specific responsibility is assigned to subordinates. Such a responsibility, when assigned to subordinates, is always followed by sufficient authority which also is given to the executive and other subordinates at lower levels. Decentralization, therefore, refers to assigning Continue reading

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