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

The Customer Satisfaction Model – Based on American Customer Satisfaction Index (ACSI)

Marketing Management

Event Evaluation – Evaluating the Success of Events

Event evaluation is an activity that seeks to understand and measure the extent to which an event has succeeded in achieving its purpose. The purpose of an event will differ with respect to the category and variation of event. However, to provide reach and interaction would be a generic purpose that events satisfy. There can be two attitudes with which event evaluation can be put in its proper perspective. The concept of event evaluation stated above was a critical examination digging out what went wrong. A more constructive focus for evaluation is to make recommendations about how an event might be improved to achieve its aims more effectively. Event Evaluation is concerned with assessment, which usually involves measuring a set of key variables, as well as monitoring those variables to determine positive and negative outcomes. It is a subjective determination that can utilize objective quantitative measures (Getz, 1997) To carry Continue reading

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Fixed and Option Forward Exchange Contracts

Under the fixed forward contract the delivery of foreign exchange should take place on a specified future date. Then it is known as ‘fixed forward contract’. Suppose a customer enters into a three months forward contract on 5th January with his bank to sell Euro 15,000, then the customer would be presenting a bill or any other instrument on 7th April to the bank for Euro 15,000. The delivery of foreign exchange cannot take place prior to or later than the determined date. Though forward exchange is a mechanism wherein the customer tries to overcome the exchange risk, the purpose will be defeated if the delivery of foreign exchange does not take place exactly on the due date. Practically speaking, it is not possible for any exporter to determine in advance the precise date on which he will be tendering export documents for reasons which are internal relating to production. Continue reading

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Brand-Product Matrix

To characterize the product and branding strategy of a firm, one useful tool is the brand-product matrix, a graphical representation of all the brands and products sold by the firm.  In the brand-product matrix  all products offered under different brands are represented by columns. This helps marketers understand the current brand line and explore further opportunity in expanding the product line. In the brand-product matrix  all current existing brand are represented in form of rows referred to as brand portfolio. The brand portfolio analysis is essential to design and develop new marketing strategies to target a given product category. Brand-product matrix helps in showcasing different brands in any given product category. In that respect brand hierarchy is graphical representation of company’s products and its brands. Hierarchical structure starts with corporate brand and then showcases different product category and below brands. This sort of presentation helps devise marketing strategy at many Continue reading

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Factors Influencing Foreign Exchange Rates

Foreign exchange rates are extremely volatile and it is incumbent on those involved with foreign exchange – either as a purchaser, seller, speculator or institution – to know what causes rates to move. Actually, there are a variety of factors – market sentiment, the state of the economy, government policy, demand and supply and a host of others. The more important factors that influence foreign exchange rates are discussed below: Strength of the Economy :The strength of the economy affects the demand and supply of foreign currency. If an economy is growing fast and is strong it will attract foreign currency thereby strengthening its own. On the other hand, weaknesses result in an outflow of foreign exchange. If a country is a net exporter (as were Japan and Germany), the inflow of foreign currency far outstrips the outflow of their own currency. The result is usually a strengthening in its value. Continue reading

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Is free pricing of pubic issues are good or bad for investors

The answer depends upon whom we mean by “investors”?   Is investor the one who is already holding a share, that is, an existing shareholder, or one who is going to become a shareholder?   Unfortunately there has been some confusion in this regard.   To any reasonable person, it should be clear that is the existing shareholder who is the true investor since he has already invested. Whenever a company makes a public issue of shares at a price, which is lower than the market value of the share, some part of the wealth gets transferred from the existing shareholder to the new shareholder.   It happens like this.   Consider a company with 1lakh shares outstanding, quoted in the market at Rs.50 each.   The total wealth of the existing shareholders can be said to be Rs.50 lakh.   If this company raises another Rs.10 lakh by issuing Continue reading

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Mechanistic Organizational Structure – Definition and Features

The structure of any organization has a clear impact on both employee behavior and its performance. On the other hand, an organizational structure provides an overview about the hierarchy of levels, roles and responsibilities, authorities, communication channels, etc.  It is of utmost importance to understand the definition of the organizational structure since it affects both employee behavior and organizational performance. Organizational structure is understood as a method consisting of responsibilities and power allocated amongst members and how work procedures are carried out among them. It also includes the layers of hierarchy, centralization of authority, and horizontal integration. However, an organizational structure is a multi-dimensional construct which illustrates the division of work (roles or responsibilities including specification), departmentalization, centralization, complexity, communication or coordination mechanisms including standardization, formalization and flexibility. An important  type of organizational structure can be identified as mechanistic organizational structure. Mechanistic organizational structure is  hierarchical  and bureaucratic by nature. Continue reading

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