Monday, September 30, 2019
Appleââ¬â¢s Innovation Strategy Essay
Innovation strategies are important for businesses to remain viable in this competitive market. Innovation also allows businesses to set the pace for the future. Apple continues to be the known as one of the leading electronic manufacturers in the world. Their innovation continues to impress consumer and remain a threat to its competitors. Apple is known for its Mac line of products. This paper will describe and evaluate Appleââ¬â¢s Innovative Strategy, provide information from the Securities and Exchange Commission (SEC) filings, and introduce the Mac Mini from Apple. Description of Innovation Strategy In todayââ¬â¢s society, consumers want the latest technology in their homes and businesses. Apple continues to provide new products and meet the needs of the consumers. Apple has been successful because of their effective marketing and research strategies. Appleââ¬â¢s innovation has allowed them to produce desktops, iPads, iPods, notebooks, and wireless devices just to list some of their products (Apple Inc., 2015).. Apple continues to provide high quality, moderately priced products to consumers. The organization uses consumer surveys to get feedback on how well the products are doing in the market. The survey also provides other features consumers would like within a product. In 2014, Apple introduced the Mac Mini after the discontinuation of the server model. The Mac Mini was the first consumer desktop to be sold without display, keyboard, or mouse after Appleââ¬â¢s success release of the iMac (Apple Inc, 2015). The target consumers of this product are consumers changing from the traditional Windows PC. The purpose is compatibility. The Mac Mini added feature is the HDMI port which allows consumers to connect to televisions or other display as an alternative to Apple TV.
Sunday, September 29, 2019
Why plastic bags should be banned
They use up natural resourcesââ¬âââ¬Å"Every time we use a new plastic bag they go and get more petroleum from the Middle East and bring it over in tankers,â⬠. ââ¬Å"We are extracting and destroying the Earth to use a plastic bag for 10 minutes.â⬠. They harm wildlife and marine life-plastic bags are now in all places in our environment, and animals, on land and water, are getting choked, strangled and killed by them. They create litter-Aside from polluting beaches and waterways, plastic bags for example in China plastic bags are blowing around streets of China, they are so common they've earned the name ââ¬Å"white pollution.â⬠It is not environmentally friendly and may cause harm to children and water life all around the world. It should also be banned for a list of reasons such as it is unfriendly to the environment and may be harmful to children and water life all around the world and also it takes years for plastic bags to break down and we're not even able to recycle them. No, because plastic doesn't break as easily as glass and is water-proof. They take a long time to biodegrade-Most plastic bags used either end up as litter or in landfills. Plastic bags pose a suffocation hazard to people, particularly children, and pets. Plastic bags are made out of non-biodegradable substances. They are durable they do not rot. Making plastic bags can lead to exhaustion of oil, because to make a lot of plastic bags, we need a lot of oil. If we reduce oil we could save much more oil. Plastic bags even kill a lot of marine animals. Plastic bags gets blown into the ocean and floats around like a jelly-fish. A lot of sea-creatures choke and die for mistaking them as their food.
Saturday, September 28, 2019
Effects of bronchitis Term Paper Example | Topics and Well Written Essays - 750 words
Effects of bronchitis - Term Paper Example However, exacerbations of bronchitis are more common with the main pathogen being bacteria. The acute exacerbations are also severe in patients with chronic bronchitis. Chronic bronchitis affects 15percent to 25 percent of the adults and most of them suffer from acute exacerbations (Schlossberg 197). Chronic bronchitis is included in chronic obstructive pulmonary diseases (COPD). Chronic bronchitis is described as ââ¬Å"the presence of a chronic productive cough for more than half of the time over two yearsâ⬠(Rubin and Strayer 564). Major causes of chronic bronchitis include smoking in adults and cystic fibrosis (Goljan 303). Pathological aspects or physiological abnormalities which predispose an individual to bronchitis include bronchial obstruction by abnormal secretions, mucociliary clearnance impairment, bronchial constriction and impaired host defenses (Schlossberg 197). Bronchitis leads to a plethora of manifestations and if not managed promptly can lead to serious conse quences. Chronic bronchitis is caused by hypersecretion of submucosal mucous secreting glands in the trachea and bronchi. This leads to sputum overproduction in chronic bronchitis. In many cases, as mentioned before, neutrophils or acute inflammation is seen superimposed on chronic inflammation. Chronic bronchitis leads to mucus plugs in the respiratory tract lumen hence causing respiratory tract obstruction. This blocks the release of carbon dioxide from the respiratory tract through expiration, hence the arterial PaCO2 will be greater than 45 mmHg in such patients. Chronic bronchitis also leads to goblet cell metaplasia and hypertrophy of mucus secreting glands. Patients suffer from dyspnea late in the disease and also exhibit cyanosi of mucous membranes and skin. This is due to poor oxygen saturation caused by hypoxemia. Thus, these patients are also called ââ¬Å"blue bloatersâ⬠. The chronic inflammation and fibrosis
Friday, September 27, 2019
How is Cannery Row like a tidepool Essay Example | Topics and Well Written Essays - 1000 words
How is Cannery Row like a tidepool - Essay Example When the tide comes in again, these creatures will scatter and forage for food elsewhere, but for the duration of the poolââ¬â¢s existence, they are close neighbors. John Steinbeckââ¬â¢s novel Cannery Row is a portrait of a place in a time, a collection of vignettes and subplots that gradually cohere into a rough narrative of local vagrants trying to do something nice for the local scientist. If it lacked even that fig leaf of a plot, though, it would still stand as a beautiful and moving evocation of Monterey, California in the early 1940s, when the Depression had declined elsewhere but that sweet wartime money had yet to wash up on Montereyââ¬â¢s shore. In this place, a motley collection of characters are thrown together, each of them making their way as best they can with what limited resources are available, living in a mutual web of dependence that lets them all continue to get by. Nobody in the story has a whole lot, but between them all, each person seems to manage to have just enough. Steinbeckââ¬â¢s moral stance on charity, kindness, and the necessity of doing right by oneââ¬â¢s fellow man is firm enough that if you shelve one of his books next to one of Ayn Randââ¬â¢s, they both explode. ... The wider world exists, but far away. Doc receives orders from distant cities and mails them out, Lee Chong hides out in San Francisco once in a while, the nearby town of New Monterey can be glimpsed here and there in the narrative, but for the most part the characters have no outside resources; in this tiny place called Monterey they are all in it together. The Monterey of the novel is a place where the tide went out a long time ago and has yet to come back in. The Great Depression has not yet ended for the characters, and even the relatively successful Lee Chong exists at the leading edge of a wave of unpaid debts that never quite breaks into bankruptcy. As the narration puts it, ââ¬Å"maybe his wealth was entirely in unpaid bills.â⬠Dora, who runs the local brothel called the Bear Flag, probably has the most pure liquid assets of anyone in the story, but she manages to retain surprisingly little of her substantial income, instead funneling it into the community via endless c harity. When the flu strikes Monterey in the middle of her busiest season on record, she and her girls become the nursing corps of the entire community, bringing soup and solace to the bedridden and ill all over town, including people who prefer to pretend her business doesnââ¬â¢t exist. The similarities between the community and the tidepool are many, but the central one is this: it is a very small ecosystem full of beings that did not ask to be clustered together like this. There is not a lot of anything to go around, and nobody can leave, at least not until the tide comes back in, and as observed, the tide has been out from Monterey for a long time. It is
Thursday, September 26, 2019
Strategies of Hearing Aids Market Essay Example | Topics and Well Written Essays - 500 words
Strategies of Hearing Aids Market - Essay Example An increase in the price of commodity results in the decrease of the quantity demanded the same commodity and vice versa (Keat and Young, 2009, p. 47). Therefore, if the firms reduce the prices of hearing aids, there can be increased demand for it and asà result firms can achieve higher sales and higher profits. Demand and revenue are closely related. When demand is elastic, the total revenue will be increased due to a decrease in the price of the product. When the percentage of quantity demanded is more than the changes in price, the total revenue will be increasing. While analyzing the price factor and demand for the hearing aids, it can be understood that reducing the prices can be a reasonable measure to expand the demand and market for hearing aids. But same time, the price is often regarded to be an attribute that consumers value a product and its quality. The case of hearing aid markets show that high price has become the main factor behind less demand for it and therefore firms can increase potential demand for the product if they can offer hearing aids for reduced prices. The hearing aid companies can have pricing strategies. Companies can increase the total revenue by decreasing the prices of hearing aids if the demand is Elastic or by increasing the prices if the demand is inelastic. The hearing aids demand is inelastic because there are very few substitutes and it is considered to be an essential device for hearing for those who suffer from hearing loss (Amlani, 2007). So, the hearing aids firms can possibly increase the prices in order to increase the revenue, but it may have to reduce the prices and increase the quality of the products in order to gain a better position among the competitors especially if there is perfect competition in the market. Based on market and situational analysis like Porterââ¬â¢s five force analysis, a marketing manager will be able to analyze various factors like buyer and supplier powers, competition rivalry, potential entry and other threats, and based these the managers will be able to implement either cost-leadership approach or differentiation approach (Keat and Young, 2009, p. 376).Ã
Wednesday, September 25, 2019
Fallingwater Essay Example | Topics and Well Written Essays - 750 words
Fallingwater - Essay Example In order to prove this thesis I visited Fallingwater and now I want to share my experience and substantiate my point of view. Fallingwater, also known as the Edgar Kaufmann house, is a building on the Bear Run at the address P.O. Box R, Mill Run, Pennsylvania 15464, in southwestern Pennsylvania in the Appalachians. Edgar Kaufmann Sr. was a successful Pittsburgh businessman and an owner of some property in the countryside with a waterfall and some cabins. When the small houses at their camp had been destroyed to the point that something had to be rebuilt, Edgar Jr. persuaded his father to hire the architect Frank Lloyd Wright. Fallingwater is famous; from all over the world lots of visitors come each year to its faraway site. Fallingwater has taken pleasure to many people over the years; as an energizing weekend retreat for the Kaufmann himself and his relatives, as a source of pride to Wright and his assistants, and now--cared for by the Western Pennsylvania Conservancy--as an remarkable experience for visitors from near and far.... When Wright came to the site he enjoyed the powerful sound of the falls, the vital verdure of the young forest, the dramatic rock ledges and boulders; these were elements to be reconstituted with the tenderly soaring spaces of his structure. But Wright's insight cameto the depths. He realized that people were creatures of nature, thus an architecture which suited nature would conform to what was basic in people. Forinstance, though all of Fallingwater is opened by wide bands of windows, people inside are 'safe' as in a deep cave, secure in the sense of hill behind them.The attention is paid to the outside by constructing low ceilings; no luxury in the hall but, instead, the light textures of the woodland, enframed in a great harmony. The colour of the building reminds the colorings of trees and rocks.'Occasional accents are provided by bright furnishings, like wildflowers or birds outside. The paths within the house, stairs and passages, meander without formality or urgency, and the house hardly has a main entrance; there are many ways in and out'(Fallingwater,2004 The official site of Fallingwater). Communication and privacy are both possible, as are the properties of home and the adventures of the seasons. So the trip was refreshing and I felt relaxed and calm. The active watercourse, immediate surroundings and cantilevered design of the house are considered to be in harmony, in line with Wright's interest in making buildings that were more "natural" and which therefore seemed to be more connected with their surroundings. It is important and significant as it has a large historical and aesthetic value and is an example of Modernist trends in architecture. The house represents the culture of American Modernism, and it was very interesting to dive into the epoch of the first half of 20th century. The building is connected with nature, which surrounds it and its significance is determined by symbolic meaning of eternal connection between human and nature. People who lived there or spent there weekends felt really refreshed, and as, for me, I really felt that spirit of
Tuesday, September 24, 2019
Communication law Essay Example | Topics and Well Written Essays - 750 words
Communication law - Essay Example The Brandenburg versus Ohio test was based on three distinct elements of intent, imminence and likelihood and his intent standards were more speech protective as it was in line with the first amendment which prohibits making of any law respecting an establishment of any religion; impeding free exercise of religion, abridging the freedom of speech, infringing on the freedom of press and interfering with the right to peaceably assemble (Tanenhaus & Gale, 2008). Sarah Palinââ¬â¢s implications of media manufacturing ââ¬Å"blood libelâ⬠to categorize her and other conservatives was more distracting to allude that Jews feed on the Christian blood, from the imminent lawless action test view had a distinct precedential lineages. This is to imply if one stops short of urging upon others that it is their duty or interest to resist the law, one should not be held to have attempted to cause its violation and does not stand for persecution on the incitement or other freedom of speech vio lations. This is to mean from the Tucsonââ¬â¢s shooting, the Giffordââ¬â¢s who seemed to be on the Palinââ¬â¢s targeted list through the use of crosshairs an electoral map to denote targeted congressional seats could be the consequential symbolism of shootings that later happened. From the test, the implications and/or the symbolism of the ââ¬Å"crosshairs of gun sight to the Giffordââ¬â¢sââ¬â¢ districtsâ⬠did not explicitly overrule the bad tendency test but it was more symbolic than actual. From the history of the clear and present danger test, the legitimate role of the symbolic speech controlled government greater latitude in controlling freedom of speech regardless of the governmental interests advanced in suppressing some particular instance of speech. This shows that Palinââ¬â¢s implications passed the intent standards and from the Brandenburgââ¬â¢s test, the constitution guarantees of free speech and free press do not permit a state to forbid or pr oscribe advocacy except where such advocacy is directed to incite or produce lawless action. Chilling effect can be described as discouragement of legitimate exercise or inhibition of natural and legal rights through a threat of legal sanction by the court, passing of law and/or threat of lawsuit that cause people to hesitate to exercise the legitimate right (Baker, 2011). The United Statesââ¬â¢ definition/usage can be viewed as the suppression from the constitutional right to free speech which can be necessitated from the governmentsââ¬â¢ point of view especially if the speech/discussion has adverse effects on the national security or state integration. For instance, in economies where there are mixed races, the government may limit the use of certain words that imply some sort of racial discrimination against a given race for purposes of national integration. On the other hand, the government might be necessitated to control the media freedom of speech and publications in ca se of a security threat or breach so as avoid public panic or to avoid misinformation in the process of investigation. Professionally or from the business point of view, majority of the businesses are governed by ââ¬Å"business informationâ⬠that the business fraternity is supposed to keep secret. For instance, multinational companies like Coca cola restrict
Monday, September 23, 2019
Controlling Organized Crime Research Paper Example | Topics and Well Written Essays - 1000 words - 1
Controlling Organized Crime - Research Paper Example In addition, the proponent also describes the legal limitations associated with combating organized crime, including a critique of major federal laws and strategies that support this effort. Furthermore, in this paper, the proponent also suggests a realistic solution to control organized crime by discussing and evaluating the effectiveness of organized crime prosecutions. Problems and relationships established by organized crime Since organized crime associates itself with violent behaviors and culture, it usually results to criminal activities (Mallory, 2007; Lyman & Potter, 2007). These criminal activities include but not limited to ââ¬Å"drug trafficking, transnational organized crime, nuclear smuggling, refugee movements, uncontrolled and illegal immigration, environmental risks and international terrorismsâ⬠(Edgar & Ifantis, 2007; Dandurand, 2007). Not only that, there are remarkable proofs associating organized crime with major corporations in massive organized criminali ty, corrupt relationship development, money laundering and drug trafficking (Lyman & Potter, 2007). These are all corresponding problems associated with organized crime. However, the sad part of this story is that these problems associated with organized crime substantially mirror the international troubles or global massive occurrence of criminality. In other words, organized crime groups have become complex in their control and even parameter. This leads the authority to place its entire effort in a substantially challenging way especially in alleviating or controlling illegal and criminal activities associated with organized crime. The problems therefore associated with the establishment of organized crime have become remarkably complex, leading every concern or nation to take courage in doing their fair share in combating its existence. After all, organized crime could now readily associate itself in whatever illegal activities in the world for as long as there is involvement of the achievement of its personal gain. Legal limitation associated with combating organized crime Combating organized crime indeed has legal limitation. For instance, there are some problems associated with organized crime which must move beyond the bound of sovereignty and traditional state responses (Edgar & Ifantis, 2007). The case of proliferating weapons of mass destruction is somehow something old but new due to varying legal acts incorporated to it by every nation or state. Therefore, as organized crime and its problems grow into massive portion of societyââ¬â¢s issue with criminality, legal concerns must significantly rise as well in order to continue maintain peace and order situation that every person deserves for the protection and preservation of life, which is the fundamental civil right. However, some federal laws emancipated for addressing this concern might not fit well due to some other relevant issues. For example, the Patriot Act for instance is something benef icial in solving problems associated with crime especially those generated by the institution of organized crime. However, some issues against this act primarily concerned with the right and protection of individual identity. In other words, there are some legal concerns that at some point would hinder the full coverage of federal strategies in combating organized crime. On the other hand, the act of prosecutions cannot actually guarantee indictment. After all, the burden of proof
Sunday, September 22, 2019
Apply critical thinking skills and evidence based practice concerning Essay
Apply critical thinking skills and evidence based practice concerning chronic disease in older adults and management of nursing - Essay Example The insulin receptors are unresponsive, a factor that is contributed by genetic predisposition and lifestyle (Spiegel & Hawkins, 2012). Type 2 is the more predominant in the population compared to type 1. The disease can be life threatening if not managed well; however, good management can result into relatively better living. Type 2 diabetes is accompanied by several symptoms. The body is unable to conserve water, a condition that results to polyuria. Because of the uncontrolled sugar levels, high blood sugar results, the individual exhibits a state of reduced consciousness and low blood pressure. In addition, the person produces sugary urine. This situation prompts an individual to develop increased thirst a condition called polydipsia. The disease is also associated with blurred vision, peripheral neuropathy, increased hunger, and gradual weight increase among others. Early detection is very essential for effective management of the disease. Other signs and symptoms that have been identified to accompany the disease include a state of tiredness and lethargy, very slow healing of wounds and cuts, swinging moods, a feeling of dizziness and sometimes headaches (Spiegel & Hawkins, 2012). ... They are also obliged to avoid smoking and taking every prescription faithfully. For low-level production of insulin, the patient can be prescribed to take insulin in order to control insulin levels (Diabetes Australia, 2013). No known cure has been developed for Diabetes type 2. However, some medication is given to reduce the levels of the disease symptoms. Five main classes of drugs have been developed. Firstly, the biguanides are insulin tablets are helpful in reducing the levels of glucose through reducing the levels of stored glucose, increasing insulin sensitivity and reducing the intestinal absorption of glucose. The second category are the thiazolidinediones, these are also insulin tablets that targets the patientsââ¬â¢ insulin and activate it. These drugs have been known to target fat and muscle cells. Meglitinides and sulphonylureas are given to patients to stimulate production of insulin by the pancreas hence helping reduce blood sugar levels. Alpha glucosidase inhibito r prevents the digestion and absorption of most of the carbohydrates in the stomach and intestines (Diabetes Australia, 2013). Medical practitioners are required to understand the dynamics of the disease in order to combat it effectively. Regular follow up visits should be done, during the time which the nurse should discourage the patient from smoking, their blood pressure is checked, their weight, a review of the symptoms is done as well as a review of self-monitoring. This review should be done quarterly. Annually, the nurse in charge should conduct a more thorough assessment by checking for any complications, reviewing the goals of management, considering a referral to a specialist and updating the immunization schedule. During these periods, should conduct a full physical
Saturday, September 21, 2019
Change and Organizations Essay Example for Free
Change and Organizations Essay Change in organizations is an ongoing process. Change can either be planned or an unexpected result of a decision or other event (Grossman Valiga, 2009). The purpose of this paper is to identify and discuss a change that has been implemented within the organization. Identity of the Instituted Change The changes necessitated by healthcare reform and consequences of the economy are challenging hospital administrators to decide how they will thrive and respond. A change instituted by the Chief Nursing Officer (CNO) at the hospital where I am employed is the discontinuation of special pay practices. The special pay practices involved are compensation for 40 hours per week when actual worked hours are 36 and compensation for at least a 4 hour minimum. This change has a positive financial impact which allows for growth of the organization. However, if not managed effectively, this change could have a negative effect on staff morale. Decisions by Leader Before implementing the discontinuation of special pay practices, the CNO communicated the goal to the directors and managers of the organization. A plan for roll out to the organization was developed. By building upon and partnering with leaders of the organization, successful shaping of the future can occur (Grossman Valiga, 2009). While this change created turmoil within the organization, the leaders were armed with the necessary information to positively respond to employees. The CNO clearly defined the vision for the future of the organization. Pointing out with the disappearance of special pay practices, the decision was made to increase certification pay and tuition reimbursement. This change gives way to empowerment of self and aids in achieving personal and professional goals. According to Grossman and Valiga (2009), the leader can help staff rise to their highest level of competency. Connection to the Organization Interconnected pieces of the organization that can be effected by the CNOââ¬â¢s decisions are structural, political, human resource, and organizational culture (Grossman Valiga, 2009). The structural piece is connected by effecting nursing departments throughout the organization. While those departments with 8 hour shifts are minimally effected, those with 12 hour shifts are significantly impacted. The political piece has ramifications of a positive nature for the organization. Funds that are saved from the special pay practices change can be utilized to augment other programs for growth. The human resource piece has a significant impact by the decision to delete the special pay practices. Employees are affected by a decrease in pay resulting in employee dissatisfaction if the change is not accepted or understood. Organizational culture is affected by removing special pay practices as an option, going forward; the culture will focus on certification pay and tuition reimbursement. The new way or new leadership will adjust to form relationships and connect others to challenge old, bureaucratic organizational structures and old ways of doing things (Grossman Valiga, 2009). Summary The discontinuation of special pay practices is a change that has been implemented within the organization. Leaders of the organization were given the necessary information to respond to employees as a result of the change. Decisions made effect the structural, political, human resource, and culture of an organization. Reference Grossman, S.C., Valiga, T.M., (2009). The new leadership challenge: Creating the future of nursing (3rd ed.). Philadelphia, PA
Friday, September 20, 2019
The Effect Of Technology In Current Architecture Cultural Studies Essay
The Effect Of Technology In Current Architecture Cultural Studies Essay Technology opens the door to the future. It is one of the main essence that shape and changes the way society behaves, as well as trancends the surrounding to suits the way society lives. Nowadays, the effect of new technology has reached almost every level of the society, and one of it is modern building technology. It has great implication in the creation of space in architecture and interior design. Since the early days, architecture has been one of the most important needs of man. It is a space to live and work, an environment to interact and provoke emotions, as well as a realm where experiences and memories are created. This feelings and emotions are evoked by the form and shape, the arrangement of forms and by the relationships that the space draws with the surroundings. It affects every part of human senses. As technology developed, the meaning of architecture started to adapt with it. Formerly, with conventional building technology, the shape and form of architecture that could be achieved is only a simple and pure form. It leads to a trend of homogeneous building, which makes every architecture looks similiar. Within this limitation, architects and designers became more sensitive and focus on crafting experiences in a space. These experiences then become memories that will be remembered by the visitor and elements that differentiate one building from another. As this continues, buildings visual aesthetic is slowly decreasing. Currently, with the creation and development of building technology, the inventions of cutting-edge and futuristic looking forms and shapes are possibble. New materials and structures are created and evolved everywhere. These advancements have made architects become so attached with visual appearance. Meanings that majority of them concentrate on using technology in order to discover new forms and shapes for architecture in order to reflects the idea for which it was designed. The design of the buildings that focused on visual aesthethic has led to a trend of creating a form that looks good rather than a space that feels good. With this trend continues, it seems that the role of visual sense has being privileged when compared to other human senses. The impact of this trend causes the design of the current architecture being reduced and restricted into the visual experience. With the absence of other senses, the strength of interaction that affect our bodies with a space is being diminished. This indicates that the tendency of architecture of image rather than architecture of experience is increasing. The products of architecture of image will only offer visual consumption which wont create lasting impressions that all the architects strive for. It will only become a nice looking postcard of visually striking building. Hence, the essay aims to prove that the current use of technology in architecture is only being used to achieve visual aesthetics and has decreased the value of architecture. The essay will also argue that technology to achieve powerful form has to be able to grow hand in hand with other human senses in order to create valuable experience and memory in a space . Only then, the value of architecture can be pushed to a full potential. Architecture of Experience rather than Visual Instead of experiencing our being in the world, we behold it from outside as spectators of images projected on the surface of the retina. Pallasmaa, J, 2005, p.47 Before we can move forward to the main issue, to question the effect of technology towards current architecture, it is important to look and understand briefly what is the nature and value of architecture since the early days it was created. Through out the history, despite of a large number of definition have been proposed by numerous architects, the answer to this have never came to a conclusion. Maybe it is because there are diverse ways to formulate an answer to this. One of the vast definitions of architecture maybe can be found in dictionaries, which means design of a building. It seems that this definition leads to a diminishing understanding that building is just an object. Some even make comparison of architecture with other form of arts which is sculpture. For instance, Santiago Calatrava, a world-renowned spanish architects that combined sculpture and painting with architecture. He is claimed as a building sculpturor and had an exhibition world-wide about his works. So is architecture an application of aesthetics consideration to the form of buildings? Or an Santiago Calatrava: Sculpture into Architecture, The Metropolitan Museum of Art art of making buildings beautiful? This idea of definition seems to have miss a central core of the nature and value of architecture. Previously, in the prehistoric time where architecture is not even born yet, human lives in a nomadic way. They move from one place to another. When night comes, they stop and light a fire to warm them up. By doing so, they started to define a place. And if they intend to stay there longer, they started to define a place to sleep, a place to shelter them from the rain, a place to collect and store food, a place where they can defend themselves from danger, etc. From their chosen site, experience of their surrounding, until the organization of their place, this leads to an evolution from a place to architecture. Based on that, one can said that the nature and value of architecture is the sense of a place that is created by the experience and organization of the building and surrounding itself. Thus, architecture relates to the way people live, it changes and evolves based on the environments, experiences and needs. As time goes on, places that people used has became more diversed, sophisticated and complexed which made architecture consistently changing as well. Started from the prehistoric era where human dwells in an occasional caves and temporal tents from woods to round houses that made of bricks, and into the stone age. Not only materials that has evolved, functions and tools to build each building have advanced as well. From the early civilizations in Mesopotamia, Egypt, Greece, Roman and the East, the development in architecture to create building for different purposes has greatly varied. Egypts Pyramids, Greeks Temples, and Romans Amphitheatres are just few illustrations of various functions that can be found globally. Great Pyramid of Giza, Egypt Built 2560 BC Colosseum, Rome Built 1st Century AD Parthenon Temple, Greece Built 5th Century BC The form, material, tools and function of the architecture evolves because of the resources that is available in the environment. The needs for stronger materials to create shelter and better materials to craft the atmosphere for different functions has made the tool or building technology to advance too. With this different materials and technologies, human are able to generates unique experience which would enriched the physical and psychological sensory in an architecture. In the time where modern building technology is not developed yet, there is a limitation in the creation of architectural form. Architects and engineers are only able to produce a simple and pure form which makes every buildings looks similar. Considering this constraints, the focus of architecture at this time is in the creation of experiences which is the nature and value of architecture since the early days. People lived through experiencing the world with body senses. One sense interact with other senses to be able to let him or her integrates with the surrounding and the world. Architecture is the products of this constant interaction between people with the surrounding and the world. Architecture also provide spaces where people could do their daily activities, experience the surrounding, feel comfortable with it and generate memories through these interactions. The interaction that happens can be either simple or complex. It means that the space within the architecture should be able to generate interaction with at least one or all of the body senses. This is due to, as human we have needs and desires, beliefs and aspirations, as well as aesthetic sensibility that are affected by warmth, touch, odour, sound and visual stimuli. Every interaction that happens will be experience by the body and if the experience through the space is strong enough, it will formulate an impactful memory to the visitors mind. And If this is successful, the lasting impression that every architects strive for will be achieved. That is why architecture should be design with a thought of multi-sensory experience. The Commissioners House of the Royal Naval Dockyard, Bermuda, By Edward Holl, built : 1820sNevertheless, over this time, there is one senses that architects and engineers could not satisfied with. It is the visual aesthetic, which is because of the technology at that time couldnt afford to provide the structure, system and material to create a visually striking form. With the will and the unsatisfactory as the main force that drives architects and designers to overcome this issue. This has led to numerous experiments over the time. Until the 19th century, in the industrial revolution era, when cast iron can be produce in a large numbers and cheaply enough. This is when architects and designers started to become aware of the glorious potential of cast iron used in architecture. One of the first residential project that use cast-iron as the structural framework is The Commissioners House of the Royal Naval Dockyard, Bermuda (Potter, D, 2006). This marks the dawn of Modern building technology. As technology has advanced towards a new level, which is the modern building technology, the nature and value of architecture started to shift and adapt as well. This development has begun to revolutionize architecture into an entirely new direction. With this modern building technology , architects and designers is provided with a new range of materials and tools to achieve and satisfy their hunger of a more advanced form. Previously, the architectural language of each location has their own unique characteristics. This is because of their environment would only be able to produce certain kinds of materials. Due to this, architects and designers tended to use resources that were available and plentiful in their location. Which means that the materiality and tool spoke more to place, to locale, and in a way was more purely defined with the unique representative of that certain location. For instance, the Pyramid in Egypt that is made from stone is entirely different with the Temple i n China which is made from wood. But with modern building technology , transportation of materials from one location to another location has became possible, the ability to mass products have made the cost of construction became lower, and the innovation of new and better material is continually increasing. This development has made architecture become more efficient and effective in every layer, either it is the construction, the time span to complete, the experience that could achieved inside the space or even the form of the architecture. Beginning by looking into the traditional materials that have been used since the prehistoric times, which is the wood. This material could be considered as the forefather of all current materials. Started with the wood, in the early days where prehistoric people used this to build tents as their shelter from the sun and rain. By constructing tree trunks or branches together creating the shape of an inverted V-shape, putting some support to hold it firm on the ground and covered with leaves. This creates the simplest foundation of architecture form. As human evolved so does materials for their shelter. Moving from wood to stone, as a stronger material, the form of the shelter started to develop into tent-like house by stacking different stones together. As humans move on to the times of early civilizations, the needs, desires, and beliefs have been greatly developed too. This leads to the creation of places of worships, sacrifices, monuments, and governments. Based on these, the form of the architecture started to goes vertically higher and bigger. At this time, pillar, column, beam, arch and dome has started to be build to fulfill the functions of the architecture. Then into the middle age, where castles are becoming a common forms of architecture in every part of europe. And as it moves through The Renaissance, Baroque, Neoclassicism and Gothic revival, from 15th century to 18th century, architects and designers feels that every architecture has looked similiar because of the limitation of technology and material. US Capitol Building Washington DC, Built : 1793 Neoclassicism Architecture St Mary Basillica Venice, Built : 1630 Baroque Architecture The Basilica of Saint Peter Rome, Built : 1590 Renaissance Architecture Joseph Paxtons Crystal Palace of the Great Exhibition London, Built : 1851 Until 19th century, when modern building technology is discovered. This technology allowed iron to be used in architecture because it has became relatively cheaper which previously considered as a very expensive material. Irons are architecurally unique because of being relatively lightweight and malleable as well as strong. More over, because of its properties, they are able to used for free-form designs. In this period, glass is also widely used and available. Glass is used for its optimal balance between aesthetics and functions. By using glass, the building are able to change, move and create certain environments because it allows light to transmits in and for architect light is one of the poweful tool in crafting experience in an architecture. One of the architecture that reflects a building of high technology in this period is the Joseph Paxtons Crystal Palace of the Great Exhibition. Built in 1851 in London, this building was made of modular cast iron and glass which symbolize the industrial, technological and economic superiority of the modern building technology. And in 20th century, plastics became widely known and popular as well. It is because plastics are lightweight,resilient, generally resistant to corosion and moisture, and can be molded and formed into complex shapes. And because It is the only man-made material, this allowed it to be developed even more in the future. This opens the door for architects and designers to realize all the crazy ideas that they had in mind. And with this the notion of architecture of image is slowly becoming a trends. With advancement in modern building technology materials and tools to construct a building have greatly expansed. Back then, buildings are limited with height. Mainly it is because of the limitation of materials and tools. This caused architects and designers to think and design horizantally . But with modern building technology, current buildings are able to go higher becoming a skyscraper or go deeper underground, maybe becoming an earthscraper, and not only going vertically, it also allows the buildings to be built diagonally. From geometric to organic form or from masses to pixels, with the current technology everything is possible. Architecture has entered into a realm of visual form which is nothing more or less than the creation of buildings tangible and visible shapes. Beekman Tower, Frank Gehry New York One example of a purely visual architecture is the Beekman Tower in New York by Frank Gehry. It is a curious fusion of public and private zones. What makes the tower so intoxicating is the exterior skin of the buildings which is mad of aluminum foil. The folds evoke rivulets of water, crinkled sheets of melting ice. The effect of this ripples will be heightened by light and shadow dancing across the surfaces over the course of a day. This building is surely a successful design and appealing to one of human senses which is the visual. But for the interior, everything inside the space is dully conventional. The consideration towards other senses inside the space in order to experience the space has being neglected. Another one is the Orchard Central in Singapore by DP Architects. The key design element of this shopping mall according to DP Architects is on the facade of the mall which will be an 11-storey-high faceted membrane which will function as a massive media wall and is set to be an iconic feature at the junction of Orchard and Killiney roads. The idea of this is to add aural and visual vibrancy to the central stretch of Orchard Road. By doing so, the architectural facade of a building is no longer made of solid materials but is, instead, an ever-changing, programmable image. The problem with this is the elimination of other senses and the dependency towards the vision has made the design of Orchard Central, DP Architects Singapore the space unattracted and unable to create a connection with the visitors. Based on both of the case studies above, it is fairly obvious that the privileged of visual senses over other human senses will create a sense of detachment between the architecture and the visitors. This is merely because human experience the world and the surroundings through their senses. The sounds of steps, the light that penetrate through the space, the coldness of the concrete walls, scale and proportion are just few ways of how architecture interact with the visitors. This interaction is then strengtened and articualted through the complex interaction of human senses and will be perceived by the visitors as an experience. With this two-way interaction between visitors and architecture, this will lead to the creation of meaningful memory towards the space. It is true that vision is the first connection between human and the world. Most of us, when we are walking through a space or street, are affected in one way or another by the looks of the buildings that we pass, the positions of the objects and the arrangements inside the space. But in architecture, the reliance in the sphere of vision will only made the building existed merely in a surface level which is as an objects of visual expression such as a postcard. Architecture should be able to interact with every human senses because it is a representation or expression of human minds. And the only way to communicate with the mind is by experiencing the world and surrounding through the senses. That is when architecture has moved on to another level. So, by using the modern technology, not only to grasped the visual aesthetics that has became a trends nowadys, but also to craft the experience that has been the nature and value of architecture since the early days. This will affects the human physically and psychologically and will pushed the architecture to the full potential.
Thursday, September 19, 2019
Newspapers :: essays research papers
Newspapers have been around forever. They serve as a purpose to inform people what is going on in the world and in their own towns. The news on television is only on for about an hour, they would not be able to tell people what is going on in their individual towns. If there were no newspapers, people would have to make sure they watch TV or listen to the radio to get the news, but for people who work all day, that might be impossible. There are so many other things that a newspaper has besides the news. They list accomplishments of the youth and even older people. It lets you voice an opinion for others to read in the editorial. If there were no newspapers, people would be sitting in front of their TVs all day watching, instead, it keeps people reading. Without newspapers our daily lives would be changed forever. The news and radio would not be able to list everything that happened in a day, obituaries, or what is coming up in the week or month ahead. People would have to try to tape the news just in case they miss something or if they are not able to hear it. One of the main differences between newspapers and TV is that newspapers are much more local: they let you know what is happening not just in your region or continent, but also in your town or community. Having its own newspapers is a source of pride for any town or city, and for the people living there as well. If newspapers were actually to vanish from our day-to-day lives, we would be forced to move more to modern media like the internet. Newspapers on the internet do have the advantage of being potentially up to date up to the very minute of something happening. There are of course disadvantages as well: vast numbers of people (for example those who live in rural conditions) don't have access to the internet, and even for those who do, it can still be a complicated process for some, for example old people who have no experience with technology. Receiving news on the internet is also much more impersonal than receiving a newspaper you can feel and hold in your hand, delivered by a human being that one might know.
Wednesday, September 18, 2019
Electric Cars :: essays research papers
Privately Owned Gasoline Powered Vehicles Should Be Limited The automobile has become a very important part of todayââ¬â¢s society. It is a necessity to own or to have access to a car in order to keep up with all of the competition of the business world, and also oneââ¬â¢s social demands. Most people would not be able to travel around a country or the world without this incredible machine, for it provides freedom and mobility, even for people who do not own a car. Unfortunately, the car has a very destructive nature. Automobiles make a major contribution to air and noise pollution, the depletion of fossil fuels, and the abnormalities in children and adults due to lead poisoning. Although our economy currently defends on gasoline- powered cars, it is my belief that the use of gas-powered automobiles must be limited because of air pollution, natural resources and lead poisoning. First of all, and most importantly, automobiles are harmful to our environment. By definition, automobiles run on gasoline, which is a mixture derived from petroleum. Gasoline contains hundreds of different hydrocarbons, or compounds containing the chemical elements carbon and hydrogen (Gasoline). When the gas is burned in the engine of the car, several byproducts result. These exhausts include hydrocarbons and oxides of three elements: Carbon, nitrogen, and sulfur (Emissions). Tiny amounts of poisonous trace elements such as lead, cadmium, and nickel also are present. Everything contained in the exhaust affects the environment intensely. Auto engine exhaust contributes about fifty percent of todayââ¬â¢s atmospheric pollution, and in highly populated and industrialized cities, air pollution consists of up to 80% car exhaust. Because of all of the gasoline-powered cars on the road, the earthââ¬â¢s outermost protective shell, the ozone layer, is being destroyed. The ozone layer g uards against, among other things, global warming and skin cancer. If it is annihilated, the whole planet, including the human race, will be erased along with it. This is one reason gasoline powered automobiles should be limited. Another reason privately owned gasoline powered vehicles should be limited is the depletion of the fossil fuel supply. People all over the world need petroleum, a fossil fuel, to fill their cars in order to get around. However, petroleum, like many other natural resources on this earth, is in short supply. The continued use of petroleum at the current rate will cause the limited supply to dwindle. Our society does not seem to realize this point, though.
Tuesday, September 17, 2019
The Life Of Mahatma Ghandi Essay -- essays research papers
Mahatma Gandhi Introduction Mohandas Karamchand Gandhi, the preeminent leader of Indian nationalism and the prophet of nonviolence in the 20th century, was born, the youngest child of his father's fourth wife, on Oct. 2, 1869, at Porbandar, the capital of a small principality in Gujarat in western India under British suzerainty. His father, Karamchand Gandhi, who was the dewan (chief minister) of Porbandar, did not have much in the way of a formal education but was an able administrator who knew how to steer his way between the capricious princes, their long-suffering subjects, and the headstrong British political officers in power. Gandhi's mother, Putlibai, was completely absorbed in religion, did not care much for finery and jewelry, divided her time between her home and the temple, fasted frequently, and wore herself out in days and nights of nursing whenever there was sickness in the family. Mohandas grew up in a home steeped in Vaishnavism (Vaisnavism)--worship of the Hindu god Vishnu (Visnu)--with a strong tinge of Jainism, a morally rigorous Indian religion, whose chief tenets are nonviolence and the belief that everything in the universe is eternal. Thus he took for granted ahimsa (noninjury to all living beings), vegetarianism, fasting for self-purification, and mutual tolerance between adherents of various creeds and sects. (see also Index: ahimsa, or ahimsa) Youth. The educational facilities at Porbandar were rudimentary; in the primary school that Mohandas attended, the children wrote the alphabet in the dust with their fingers. Luckily for him, his father became dewan of Rajkot, another princely state. Though he occasionally won prizes and scholarships at the local schools, his record was on the whole mediocre. One of the terminal reports rated him as "good at English, fair in Arithmetic and weak in Geography; conduct very good, bad handwriting." A diffident child, he was married at the age of 13 and thus lost a year at school. He shone neither in the classroom nor on the playing field. He loved to go out on long solitary walks when he was not nursing his by now ailing father or helping his mother with her household chores. He had learned, in his words, "to carry out the orders of the elders, not to scan them." With such extreme passivity, it is not surprising that he should have gone through a phase of adolescent rebel... ...reading John Ruskin's Unto This Last, a critique of capitalism, he set up a farm at Phoenix near Durban where he and his friends could literally live by the sweat of their brow. Six years later another colony grew up under Gandhi's fostering care near Johannesburg; it was named Tolstoy Farm after the Russian writer and moralist, whom Gandhi admired and corresponded with. Those two settlements were the precursors of the more famous ashrams (ashramas) in India, at Sabarmati near Ahmedabad (Ahmadabad) and at Sevagram near Wardha. South Africa had not only prompted Gandhi to evolve a novel technique for political action but also transformed him into a leader of men by freeing him from bonds that make cowards of most men. "Persons in power," Gilbert Murray prophetically wrote about Gandhi in the Hibbert Journal in 1918, "should be very careful how they deal with a man who cares nothing for sensual pleasure, nothing for riches, nothing for comfort or praise, or promotion, but is simply determined to do what he believes to be right. He is a dangerous and uncomfortable enemy, because his body which you can always conquer gives you so little purchase upon his soul."
Monday, September 16, 2019
Define and Explain Branding Principles with Examples
Define and explain Branding principles with examples? Principle # 01 KEEP IT SIMPLE:- One most common mistake that marketing and advertising people do is that they say a lot through their ads. so keep it simple so it remains in mind of consumer for longer period of time. because one big idea is best. Example:- 1. Subway focus on health 2. Nestle on health. 3. Nike say just do it 4. Addidas say impossible is nothing. 5. Gulahmad of high class 6. Sana safina quality lawn for summers. 7. Daewoo express provide safe and timely journey. On average one person is hit by 500-1000 ads in one day. onsumer cannot saturate all of them. It should be personal and simple means talk about consumer, tell how customer can get maximum benefit through it. Principle # 02 WORD OF MOUTH PRODUCE IN MASSES:- This rule builds the brand. its difficult to build brand only through advertising. its important to build advertising and public relation side by side. many dots and cons fails to build brand. those who survived only through media, public relations and word of mouth. PUBLIC RELATION ACTIVIST:- 1. Paid documentaries by baharia town. 2. GEO news. 3. News on facebook on launching new brands. . Promotion in magazines before brand comes i. e. tooti fruit in nation magazine 5. Can feed news to the media, write about the elements. 6. Photography Result of activist is not predictable i. e Amazon. com had good HR. RED BULL doing PR activities around the globe not spending much on ads but on PR. Principle # 03 DEFINE USP OF YOUR BRAND:- Focused on that point which is its strength,on which brand is powerful. because that point consumerwi ll not forget. Broadly define traits of your brand either it is Big/small,expensive/inexpensive,local/international.Narrow down list to define your brand. Examples:- NIRALA initially was a local business but now national brand in sharjah and dubai. CHAMMAN initially was in Lahore now in different cities i. e Islamabad,multan,Karachi. MASOOMS in Lahore Karachi and multan. SHAAN MASALA was local brand but now it is international one. STARBUKS harward idea in mid 1980 to create chain of coffee houses. TOY R US initially just they store on small scale; now leading kids store for toys; video games; dolls; action figures. Belong to different nice but being focused and different is best. cattered messages on too many traits ;rather be focused on single/few traits is in effective way. One cannot be every thing to every one. One have to get in to mind of consumers; scattered message is not effective. Principle # 04 DIFFERENCIATION IS THE KEY:- If you canââ¬â¢t be different then make it different. what make your company and your product different from the compotators. EXAMPLES:- 1. Balli ki chay:-sitting environment is different; for hanging out for boys. 2. Gans ink:- making ink; they differentiated by putting chocolates in packaging of ink to attract consumer. . Pepsi give shaan tikka masala to attract customers. 4. Frozen yogurt differentia ted as it is replacement of ice-cream and low sugar having less calories. Principle # 05 1ST BRAND ADVANTAGE:- Its not about the quality of the product or the size of the marketing budget. most often its not about being the first one. being first in mind not in market. Examples:- 1. Coke is first carbonated. 2. Polaroid was the first instant developing camera. 3. Fedex was first company of ship packages overnight across the US. 4. Lado marka first cloth wasing soap. . Haleeb sab sa garha doodh first tetra pak. These companies and their products succees in being the first to gain space in our mind. when first gain advantage then other stand its behind and by doing better marketing they can beat compition in consumer view. But what if u not # 01? Strong 2nd is not a bad in business. world buyers like choices. if you have a choice to become 2nd in market;compete hard against leader and permote your overall category. Examples:- 1. Macdonalds is #1 in fastfood chain buts ubway is #1 in h ealthy food. 2.Coke #1 but pepsi #2 3. Merinda #1 in orange flavor and 7up in lemon flavor. 4. Mobilink #1 in business class but ufone in youth. Principle # 06 PERCEPTION AND QUALITY Its not about the quality of the product but also the perception of quality that really counts. if it is branded it is automatically valueable. Example:- 1. PIZZAHUT is an international chain perception built its pizza will be best but those who taste local lassani pizza is also high quality with low cost. 2. LAYS is high quality as compares to SUPER CRISP though it is also good in taste.If cost is high it is understood of best quality Often the price tag is major contributor to the perception of quality. we are quick to connect the cost of something to the value we place on it. our judgement of the quality may change based on other factors. but actual cost is indeed and important factor in influencing the perception of quality. its almost impossible to separate the value of the product from the actual cost in our mind. we immediately assumed that the lowest priced items is of least quality;and the most expensive of the best quality.Principle # 07 BE CONSISTENT AND PATIENT:- Building a brand is not easy. It takes time and patience to build a brand and maintain the quality of your product or service. The key is to show consistency and patience. brands cannot be build overnight. EXAMPLES:- * Quaker oates (since 125 year) * Coke since 1987 In order to stay on target and to present consistent image in the market place. you must institutionalize your brand within the organization. Otherwise when you have change in personnel invariability your brand will change. ith branding most of the time change is not good. Principle # 08 WRITE YOUR OWN BRAND DEFINITION:- Despite change in market directions; personnel or ad agencies your brand must be constant. one must writeth e quality and specifications of the brand. brand diffrenciation not define what they do rather who they are and want to pre sent themselves as. it can serve as yardstick from which to judge. EXAMPLE;- Expensive, high quality products, easy going, friendly ,customized care. Whatever you provided; write it down on paper.
Sunday, September 15, 2019
Human Capital Management Essay
InterClean has merged with EnviroTech in order to evolve with the industry and providing not only cleaning products, but also solutions and services. This merger is an opportunity for InterClean to reposition itself and expand their understanding of the marketplace, customerââ¬â¢s needs, and to break through into new markets. The companyââ¬â¢s goal is to provide a full spectrum of cleaning services and solutions that will become our major avenue for sales. In order to do that the focus needs to be on attracting, retaining and motivating the best talent, which can be done by establishing a superior training plan and offering competitive benefits and compensation packages. Pay System In order to control costs InterCleanââ¬â¢s pay system should channel more dollars into incentive awards rather than fixed salaries. ââ¬Å"Such variable-pay systems almost guarantee cost controlâ⬠(Cascio, p. 417). The pay system for employees will be a pay-for-performance theme with bonus payouts. Not only will this pay plan keep costs lower than other pay plans, but it will also help to encourage healthy competition among employees and increase productivity. ââ¬Å"Almost a third of American workers whose pay is not tied in some way to their performance believe they would be more productive if they had a greater interest in the companies that employ them through benefits such as profit sharing, according to a survey from temporary staffing and outsourcing firm Kelly Services. (Miller, p. 1)â⬠Three Components of the Reward Package Compensation packages include both financial and nonfinancial rewards. The base pay with the bonus payouts would cover the financial rewards. ââ¬Å"Nonfinancial rewards include everything in a work environment that enhances a workerââ¬â¢s sense of self-respect and esteem by others (e.g., work environments that are physically, socially, and mentally healthy; opportunities for training and personal development; effective supervision; recognition) (Cascio, p. 418).â⬠The nonfinancial benefits that will be offered to motivate employees to reach peak performance are a wellness plan (including gym membership), on-site dependent care and flex time. A wellness plan plays an important role into keeping health care expenses down and decreasing the amount of sick leave taken. ââ¬Å"Studies have found that employees that take care of themselves live longer and donââ¬â¢t become sick as easily as their un-fit co-workers. When a company has a healthy staff, they are more productive and their appearance presents a positive image to the consumers (Unknown, p. 1).â⬠InterClean can encourage employees to use gym membership by allowing extra time during their lunch hour for employees to exercise and have enough time to shower, change and get back to the office. Dependent care on-site will decrease employee absences and increase productivity and morale. ââ¬Å"Data from national random sample indicate that providing family benefits promotes a dedicated, loyal workforce among people who benefit directly from the policies, as well as those who do not (Cascio, p. 381).â⬠When a company had loyal and dedicated employees they will have a lower turnover rate, which in the long run will save large amounts of money. ââ¬Å"A study done by Cynthia Ransom and Sandra Burud at the Union Bank in Pasadena, California showed that the bank saved between $138,000 and $232,000 annually in operations due to a reduction in turnover and absenteeism from their on-site daycare program. (Murdock, p. 1)â⬠Flex time References: 1. Unknown, 2010. Gym Memberships as Part of Your Wellness Program. http://www.businessknowledgesource.com/health/gym_memberships_as_part_of_your_wellness_program_028931.html 2. Murdock, K. Februrary 13, 2006. On-Site Childcare. http://www.allbusiness.com/specialty-businesses/women-owned-businesses/387737
Corruption in Electricity Sector
INTRODUCTION Corruption is a topic of interest and concern in academic circles, in the media, among people of different professions, within the civil service, among members of parliament, politicians, government officials, members of the business and financial communities, students, foreign investors, aid agencies and non-governmental organizations. In other words, the term corruption is not new to Bangladesh. A general impression conveyed by the media and by popular discourse is that among ordinary people in Bangladesh; corruption is viewed quite clearly as ââ¬Ëa way of life'.A recent survey carried out by the Bangladesh Unnayan Parishad reinforces that impression: the survey found, among other significant data, that 95 per cent of respondents believed that the police were the most corrupt department in the land, followed very closely by the customs, the department of excise and taxation, the bureaucracy, and the judiciary. A solid 62 per cent of respondents believed that the pri mary responsibility for corruption in Bangladesh lay in the hands of government officials. Corruption is not identifiable as a single, separate, independent entity which can be isolated and destroyed.Corruption is a complex set of processes involving human behavior and many other variables, some of which are difficult to recognize or measure. Even though corruption manifests itself as a force on its own and often generates its own momentum, it is linked to many other factors, and it is by understanding these factors that we can hope to understand corruption. What is corruption? There are several meanings of the word corruption but when we use the term, we usually refer to a specific kind of exchange, activity or behavior.For instance, corruption could mean a process of physical decay or degeneration; the loss of innocence; a state of moral impurity or moral deterioration; perversion in taste or language; and also the wrongful, negligent or willfully corrupt act of a public official in the discharge of his or her public duties. Corruption is the abuse of entrusted power for private gain. It hurts everyone whose life, livelihood or happiness depends on the integrity of people in a position of authority. Corruption (philosophical concept), often refers to spiritual or moral impurity, or deviation from an ideal.Corruption is not just an economic exchange, generated by a monetary or ââ¬Ëeconomic' motive. Neither is corruption an exclusively political activity, motivated by a desire to attain or retain political power. The process of corruption is more than economic or political ââ¬â it is a social process as well, existing side-by-side with, and sometimes complementing economic and political activity. Historical Background: Power is the key source of productivity and an effective breakthrough to the modernization of the world society.Electricity was first installed at Dhaka in 1901, and in 1948, the Electricity Directorate was established in East Pakistan. D uring that period, the highest plant size was only 10 mw Steam Turbine in Siddhirganj along with other plants in Chittagong and Khulna. Box 1: Historical Background of The Power Sector 1901: Electricity was first installed at Ahsan Manjil, Dhaka City (Generation: 21 MW by Public; Distribution: 17 towns by private companies) 1948: Electricity Directorate (ED) 1959: Water and Power Development Authority (WAPDA) 1960: EPWAPDA statuary org. 972: Bangladesh Water Development Board and Bangladesh Power Development Board 1978: Rural Electrification Board 1991: Dhaka Electricity Supply Authority 1996: Electricity Generation Company of Bangladesh and Dhaka Electricity Supply Company 2002: Ashuganj Power Supply Company Ltd. 2003: West Zone Power Distribution Company Ltd. 2005: North West Zone Power Distribution Company Ltd Source: http://www. bpdb. gov. bd The construction of the Kaptai hydro-electric project with an installed capacity of 40 MW and commissioning of Dhaka-Chittagong 32 KV tran smission line in 1962, was a milestone in the history of power development in this country. Each year the demand is increasing at the rate of 10 ââ¬â 12 percent or 800-1000 mw and the government is also commitment to meet the MDG (Millennium Development Goal) regarding the access to electricity for all by 2020, the countryââ¬â¢s power generation has to be increased by at least 8 per cent each year. Besides, to ensure energy security, there should be an arrangement of 16ââ¬â22 percent power to be reserved in both of public and private sectors through quality investmentâ⬠3.Since only 12 percent of the households in the lowest 20 percent of the income distribution have access to power, the need for better access to affordable and reliable electricity to the majority of the people of Bangladesh by 2020. However, the yearly growth of the generation verses the demand for new connections provides the reverse scenario. Therefore, the determination of consumer tariffs and the reliability of power are important issues in terms of the policy formulation, as energy prices should be based on production costs and efficiency, and subsidies should be given on the basis of social and economic need.Overview of the Power Sector in Bangladesh: The Government of Bangladesh is committed to provide affordable and reliable electricity to all citizens by 2020. However, the nationââ¬â¢s 1386 million people, only 42 percent7 have access to electricity, which was only 3 percent in 1971; but per capita electricity consumption is 165 kwh/unit, still one of the lowest in the world, against Indiaââ¬â¢s 561 kwh per. Unfortunately, 79 percent of the connected suffer severe load-shedding, and 60 percent of the consumers face low voltage supply. The power sector of Bangladesh is usually characterized by natural monopolies10.Conventional wisdom states that since natural monopolies threaten competitive pressures, they should be regulated either by the government, through inde pendent regulatory agencies or directly by public enterprises. Table 1: Key Statistics of the Power Sector SectorPublicIPP+Captive Installed Capacity5275 mw2490 mw* De-rated Generation Capacity4582 mw Generation (Effective)Demand* Maximum Generation (sepââ¬â¢ 07)4130 mw5368 mw Minimum (Janââ¬â¢ 07)2331 mw Transmission Lines (230 and 132 KV in km)4119 Distribution Lines in Km2,64,891 Access of electricity (%)42Per capita generation 165 kwh Per capita consumption 140 kwh Consumer Number including WZPDCL97. 33 lac Agricultural Consumers2. 16 lac System Loss (Average Percentile) 21. 3 Source: Power Cell, February 25, 2007 * 1290 mw generation in IPP and 1200* captive power consumption Moreover, allowing another firm would increase cost or inefficiency. The Power sector includes the generation, transmission and distribution of electricity among different holdings including residential, commercial, industrial and service sectors under the guidance of the Power Division of MPEMR.At p resent, BPDB has total installed capacity of generating 4680 MW in 65 units, including the public and private sectors. The Independent Power Producers (IPP) is now producing 1290 mw in 37 units of power plants located at different parts of the country11. In this situation, the GoB drafted an energy policy accounting the increased scope of gas exploration and power generation to meet the future demand for both renewable and nonrenewable energy. Currently, 80 percent of power is non-renewable indigenous gas-based, and 70 percent of the commercial energy is recovered by gas12; the rest 20 percent is from power and 10 percent from coal.Due to poor generation, the maximum demand served was the lowest of 3000 mw at peak hours in January, 2007. Though there was no significant increase in power generation, the transmission network was expanded rapidly by the funding from ADB. However, due to the intervention of vested interest groups, poor co-ordination, the absence of accountability and tr ansparency is perverse. Power shortage hampers the contribution of power to GDP growth and creates huge excesses/unbearable demand.Under these critical circumstances there is an immediate need to identify or diagnose the major reasons for the unavailability of power as well as the low level performance of the power sector. Corruption is one of the major threats to global development, especially in developing countries; for instance, ââ¬Å"corruption is jacking up the cost of power projects in the Philippines, delaying their implementation and providing Filipino households and businesses with expensive but unreliable electricity servicesâ⬠.According to the Household Survey on Corruption in 2005, ââ¬Å"around 10 percent of the consumers are using illegal connections and around 48 percent paid bribes for taking a new connection or meterâ⬠. This corrupt practice was first identified in 1956. According to Husainy, ââ¬Å"Dacca Electricity Supply Co. was also nationalized in 1 956 due to virulent corruption in new connection due to excess demand, maintaining uninterrupted power supply; though some improvement was observed but not significant at all during that period. â⬠In terms of distribution of electricity, non-technical loss and pilferage of electricity make the sector more vulnerable and the bribery and harassment of the staff faced by 70 percent of the consumers18 are few of the examples of the mismanagement of this sector. Under the above circumstances, it is necessary to identify the prospect and governance in the power sector. This study tries to find the source of corruption in several issues of procurement, generation, transmission, distribution and human resource management, including the effectiveness of the existing act to combat the corruption and abuse of power.Purpose of the study: Broad Objective: The broader objective is to review the governance system of the power sector and to identify the nature of corruption likely to be presen t in the different division of the power sector. Specific Study: ?To diagnose governance failure and demand-supply shortfalls ? To identify whether any governance failure exists, regarding human resource, administration, finance etc. ?To identify the rate of corruption are occurred in this sector. To identify the actual lose has been occurred in this sector and so forth. ?To identify the sufferings and harassment faced by the consumers, especially by the poor in the commercial services including new connections, day-to-day services, billings load shedding. Methodology: Data Collection Process for Secondary Materials: Literature, articles, periodicals, reports, acts and rules, also electronic journals, documents of power sector, case studies on power generation and distribution have been reviewed. Collection of Primary Information:The primary sources of qualitative data are informal discussions with stakeholders, employees and experts of the power sector and documents on the procurem ent and distribution sides to assess whether any mismanagement or illegal practices such as abuse of power and/or funds and resources took place. Rapport building played an important role in the extraction of the qualitative data. Key informants were sector experts, policy makers, academicians who provided specific case studies and recommendations to improve the governance of the power sector, including procurement, BERC, generation, distribution and legal practice.Consumer Survey on the Quality of Commercial Service and Billing: A cross section survey among all types of consumers was administered during 5 May to 5 June of 2006 to find out the quality of services provided by different organization including DESA and DESCO. The instrument of the survey, i. e. the questionnaire, was developed by the researcher and then validated through field tests. The questionnaire on consumer survey covers the nature and extent of the corruption and harassment faced by the consumers. Questionnaire for Consumer Survey:The components of the questionnaire were six: i) the basic profile of the consumers with the information on the socio-economic profiles of the consumers/adult respondents, consumption pattern of electricity, ii) the types of connection, the new connection process, problems and harassment faced by consumers, the amount of bribe transacted during the connection process; iii)the quality of electricity service in terms of meter reading and billing process, illegal practices such as collusion with meter readers, fake billing, and other day-to-day service-related problems; iv) load extension, load shedding and voltage variation, losses of equipment due to voltage fluctuation; v) and finally, the consumersââ¬â¢ satisfaction regarding the different commercial services has also been illustrated through this measuring scale. Sampling Technique: A multi-stage stratified sampling technique has been followed to determine the sampling of the consumers for the survey ââ¬â Stage 1: Consumption pattern of DESA DESCO, to put the proportionate weight in determination of the number of the sample for each agency. Then, the proportion of consumers across the distributors is considered in stage 2.Stage 2: Based on this proportion, different types of consumers are considered to select the sampling from each distributor agency. Stage 3: Distribution of Sample Consumers sing the standard formula of random sampling, the precision level or observed probability of corrupt practices was extracted at 0. 7 at a 5 percent level of error. Sample size, 1027 was determined using the design effect and across agencies in regional clusters. Distribution of Sampling Consumers: DistributorDistrict/Area Or Ward D C ISub totalTotal DESA DESCO Dhaka, Mirpur Dhaka, Karwan Bazar 10 10 10 10 10 10 30 30 60 (D= Domestic, C= Commercial, I= Industrial) Governance Failures and Problems in the Power Sector:Under the co-ordination and guidance of the Power Division, BPDB, a holding com pany, is solely responsible for generating, transmitting and distributing power through PDB, DESA, DESCO, WZPDCL and REB/PBSs though out the country. Usually, the Prime Minister is in Charge of the MPEMR and a State Minister runs the Power Division under the guidance of the PM. The PDB Chairman is Chairman of the newly converted holding company of BPDB21 and the Secretary of corporatized companies such as PGCB and WZPDCL. Furthermore, Chairman of DESA is also the Chairman of DESCO. The newly established BERC is to regulate planning, tariff fixing, dispute settlement and licensing.The following Flow Chart-1 shows the functional relationship between the different wings of the power sector. Adverse Power Crises: According to the ADB (2005), ââ¬Å"Consumption of electricity in Bangladesh grew at an average annual rate of 8. 2% from FY 1994 to FY 2004 and forecast is to grow at an annual rate of about 8% for the next 10 years. â⬠Since the early 1990s, the supply of power went down and system loss shot up and the frequency of load shedding increased vigorously by the middle of the 1990s. In this situation, the Government proposed the National Energy Policy in 1995, but this also failed to meet the crisis and finally Power Cell formulated the Private Power Generation policy in 1996 in order to boost the generation of power.Crisis in the power sector or the staggering demand-supply gap has emerged due to several key reasons. Since the generation of power did not increase at the rate of the increase in demand, the gap between served generation and peak demand has increased over the period shown in Figure 1. In mid ââ¬Ë90, the shortage was almost zero, but the staggering gap and the demand has been increasing, the official figure is at 4250 mw, but the production is only at 2100-2200 mw which resulted in a 2000 ââ¬â 2200 mw shortfall in generation. According to the PSMP 2006, the real demand was forecasted at 6200 mw in 2007, but at the same time the amoun t of power generation went down to 3,200 mw.It is noted here that the demand for power has been increasing at a rate of around 10 percent per year and furthermore then the total shortage of power would be around 435032 mw in 2010 or even more than the current estimate (shown in figure 4) if the progress of the establishment of the proposed power plants is not completed as per schedule. In estimating demand, the PDB does not usually consider economic growth and the exact demand of the prospective consumers. The crisis also emerged due to the absence of a vision and mission by PDB and DESA as well. Absence of clear organization goals of the PDB and DESA: The Power sector is such a dynamic sector that it requires clear organizational goals or objectives and the strength to take sharp decision. In reality, however, the PDB and DESA do not have clear working paper, organizational goals.As a result, there is always a sense of confusion between policy makers and the management. This hamper s the productive growth of the sector as well as its day-to-day services. New Connection Process and harassments faced by the consumer: The staff is responsible for completing the several tasks associated with a new connection. In a particular holding, no more than one residential connection is provided, with each flat considered flat as a separate entity. Requirements need to be fulfilled as per tariff rules and pro-poor documentation. In reality it is quite tough for an applicant to complete the process by himself due to harassments by the staff and agents or media.According to the survey, on average, 27percent of the consumers (the highest figure being 42 percent) face the harassment during the new connection process. A new connection process and the tyranny of ââ¬Å"mediaâ⬠or ââ¬Å"brokerâ⬠According to the 2006 survey, among the applicant for a new connection, 94. 2 percent took the new connection through an agent in order to avoid the hassle and to save time; only 4. 3 percent of the consumers got the new connection by themselves. According to the consumer survey in the case of both LTI and HT connections, 94 percent of the applicants took the help of brokers or agents such as meter readers, MLSS/Fourth class employees, or electrical Contractor. Process of new connection IN DESA;Average bribe of a new connection: Reduction of bills at cost of bribe in DESA: The S & D Office disconnected the line with an outstanding amount of Taka. 3,00,000 and filed a case against ââ¬Ëxââ¬â¢ consumer of Lalbagh S&D. The Meter Reader proposed a bribe of Taka. 1, 50,000 to settle the case. The concerned consumer agreed to the proposal in order to become benefited and to avoid harassment. Finally, the case was dismissed and office issued the reduced bill for only Taka. 28, 000 for the following month. It is noted here that the meter reader did not provide any bank receipt to the consumers, just a paper upto clearance. This is a reflection of the DESAâ⬠â¢s management system.Average bribe to reduce meter change Delay in Providing New Connections: According to the 2006 survey findings, if any consumer does not pay a bribe then the consumer can get connection even before the deadline of around 30 days; the longest delay in DESCO for providing a new connection was 103 days, but at the payment of bribe the connection took only 6 to 7 days for getting a new connections in DESA and RDB respectively. Interestingly, the PBS, through efficient in maintaining the desired import-collection ratio, also makes delays in getting new connection if the consumers do not bribe to the officials (Table 9). Complexities in File Processing:Bureaucratic dilemma/delay is a regular phenomenon in Bangladesh; and it is also practiced during the provision of a new connection, as application files pass through around 36/38 hands/tables before an applicant get a connection. Though the office claims that the delay is due to the insufficiency of MLSS and inadequa cy of the required documents, the real cause of the delay is illegal practice152 or the paying of bribes to speed up the process. Bribe for meter change: Office staff takes monthly bribes to reduce the electricity bill of the consumers by issuing a minimum bill against the huge bill of the power consumed (which are remaining unadjusted and stored in the meter).When the cumulative amounts of the unpaid bills, especially of HT consumers, become high, the meter reader proposes to change meter claiming to be concerned amounts showing the damage. Taking a handsome bribe, officers change the meter claiming to be concerned about the clients showing the cause of the consumerââ¬â¢s safety and GoB loose huge amount of revenue. Consumer, on average, pays an extra Taka 2056 as bribe to the meter reader, lineman, foreman or the Gatish of the meter reader if he/she wants to change the damaged meter. Interestingly, the highest amount has to be paid (i. e. Taka 8685 and Taka 2748) by the consume rs of the corporatized or said to the efficient organization REB. PBS and DESCO161. Erroneous and/or false billingOn average, 39 percent of the consumers of all the distributor agencies claimed that they received excess bills and the meter readers with the help of ledger keeper and the billing section. In case of the unavailability of receipts, consumer has to pay the bill with a fine including a surcharge; the significance of the chi-square value162 justifies the allegation on the wrong meter reading. It supports the presence of erroneous and bogus billing in the PDB, DESA and PBSs as well. If any honest consumer, particularly, is the small industries category (such as cold storage, cinema halls etc. ) where refrigeration plants, air conditioners had standard loads, does not agree To conclude with meter reader and wants to pay the correct bills, he is likely to be in serious trouble.Conclusion and Policy Recommendation: A number of efforts have been made by the present caretaker go vernment in order to mitigate the power failures. These efforts include the following: Cancellation of the tendering process of small power plants addressing the allegation of nontransparent process and attempt for re-tender. Identification of major targets to rehabilitate and maintain the power station, and sign of treaties to establish both public and private power plants. Unfortunately, it is alleged by local power company that the aid providing agencies have put several clauses in the bid manual so that they cannot submit the bid papers fulfilling the conditions.Approval of five IPPs (three foreign companies) of 1,930 mw capacity, increasing the share of IPPs in the total power generated up to 3,190 mw (62%). Unfortunately, no significant decision has been taken yet to identify the leakages and rampant theft of power. Appointment of two members for the BERC and development of several guidelines along with the methodology of the determination of power tariff. However, in this met hodology, the peak and off-peak demand was not considered. Besides, there is no vivid guideline from BERC on how submitted documents and information by applicant IPPs would be cross-checked and the previously completed contracts between PDB and IPPs are out of the proposed formula.This study was undertaken with the aim to diagnose the problems prevailing in this sector. The scope of this study includes review the state of governance in this sector, demand-supply shortfalls, the current procedure of power plant procurements and identifying the nature and extent of corruption, accountability of the staff, investigate the sufferings and harassments faced by the consumers, day-to-day services, billing, load shedding, and rural-urban disparities. Information from both primary and secondary sources has been used in preparing the report. Sources of secondary information included acts and rules, published articles, periodicals, reports, as well as official documents.Primary sources of infor mation include a consumer survey, informal discussion with stakeholders, employees, and experts of the power sector. The consumer survey covered the nature and the extent of corruption and harassments faced by the consumers. The cross section survey among all types of consumers (1027) was administered to find out the quality of services provided by different organization including PDB, REB/PBSs, DESA and DESCO. Adverse power crises and governance failures The PDBââ¬â¢s official report shows a shortfall of generation of around 2000 ââ¬â 2200 mw. However, according to PSMP 2006, the total shortage of power would be around 4350 mw in 2010.The reasons for power shortages are identified below. Policy Level Failures: The government failed to put adequate emphasis on the power sector; there has not been any clear and specific guideline to estimate the real demand and supply; there have also been violation of the PSMP in the form of politicization of the location, size and types of p lants, emphasis on short-term planning, inadequate autonomy in making financial and administrative decisions, appointment of foreign consultants for rent-seeking purpose despite the availability of local hands, and imbalanced expansion of distribution lines for rent-seeking purposes Limitations and malpractice within the procurement process:The procurement process in power sector has been distorted due to unwanted intervention in the procurement process, complexities of the bidding process, wrong evaluations, absence of uniform Technical Evaluation Committee (TEC), delay in hiring consultants and resolving disputes due to bureaucratic dilemma, corruption such as putting specific condition, nepotism, extortion by vested interest groups, collusion between the bid officials and bidders, false experience certificate submitted by bidders, appointment of contractors for maintenance and rehabilitations without any tender, abuse of funds by plant and policy-level staff, supply of low qualit y machinery violating the contract, and power purchase agreements made at high rates. As a result, around Tk 4,007 crore or US$ 688 million (from purchase of the 6 power plants and outsourcing the maintenance and rehabilitation works to a foreign company) during 1996-2005 have been abused.Inadequate financial capacity: Around 17000 crore Taka is required to meet the demand for power of 8000 mw by next 2010; but the concerned organizations have inadequate financial capacity due to i) cumulative increase of unpaid bills and unaccountable indebted organizations, ii) poor rate of collection (caused by high T&D losses, legal shelter taken by large bill defaulters, low density of consumers in several PBSs of REB), and iii) instantaneous increase of financial burden due to contract with IPPs at a floating exchange rate, iv) contract, under PPA, with IPPs at high tariff arte, v) high input cost of diesel based generation plants. References:Analysis of the Sustainability of the Electrical Po wer Sector, Advanced Engineering Associates International (AEAI), February 2003, Asian Development Bank, 2005, Sector Assistance Program Evaluation of Asian Development Bank Assistance to Philippines Power Sector. Asian Development Bank, ââ¬Å"Special Evaluation Study on Cost Recovery in the Power Sector Operation and Evaluation Departmentâ⬠, SS-55, April 2003 Bacon, R. W. and Besant-Jones, J. , 2001,ââ¬â¢Global Electric Power Reform, Privatization And Liberalization Of The Electric Power Industry In Developing Countriesââ¬â¢ The International Bank of Reconstruction and Development, The World Bank. Washington. D. C. Bangladesh Energy Regulatory Commission Act 2003, BG press, MPEMR, GoB, 2003, DhakaBose, Sudhansu, Poor collection efficiency of Indian state owned power distribution companies: causes and remedies, White Paper, Wipro InfoTech Complexity of Electric Power Distribution Governanceâ⬠, Journal, 26 (3), 1-39, 2004 Dr. Hardiv H Situmeang, June 1, 2005, THE CHA LLENGE OF FINANCING POWER PROJECTS. Jakarta Fiany, Ronald, et. al. July 2003, Governance Problem in the Brazilian Power Sector, Oxford University Gilbert, Richard and Kahn, Edward et al, 1996, International Comparisons of Electricity Regulation, Cambridge: Cambridge University Press. HYPERLINKâ⬠http://www. stenmar. com/oil_and_gas_sector. aspâ⬠http://www. stenmar. com/oil_and_gas_sector. asp
Saturday, September 14, 2019
Coffee and Starbuck Essay
Summarize the overall strategy of Starbucks Management in its effort to create and develop a new concept and a rapidly expanding company. The overall goal of Starbucks Management was to create an American version of the Italian coffee bars that Howard Schultz had experienced first-hand in Milan. He believed that Starbucks should function as an important part of the community, as a meeting place for its customers. He wanted Starbucks to become an experience that would differentiate itself from its competitors. One of their key strategies in meeting this goal is a focus on customer service in order to create an experience for its consumers. Another one of their strategies is to ignite their emotional attachment with consumers. They also have a commitment to improving their business through better training, tools, and products and to give attention to store-level economics and operating efficiency. All of these are prongs to their strategy that will allow Starbucks management to turn Starbucks into a location where people donââ¬â¢t just go to grab coffee, but to experience the atmosphere of an Italian coffee shop. Another prong to their strategy is to offer many different products and to distribute them among a variety of distribution methods. Which one of the five generic competitive strategies discussed in Chapter 5 most closely approximates the competitive approach that Starbucks is employing? There are five generic competitive strategies that can be employed and they are low-cost provider strategy, broad differentiation strategy, focused low-cost strategy, focused differentiation strategy, and best-cost provider strategy. The strategy that Starbucks uses is broad differentiation where they seek to differentiate their product offerings from rivalsââ¬â¢ with attributes that will appeal to a large variety of consumers. The key market characteristic for the strategy of differentiation to work is that buyersââ¬â¢ needs and preferences are very diverse and cannot be satisfied with a standardized product offering. This is an evident characteristic of the market because consumers all have different preferences on the way they like their coffee. Which is the reason why Starbucks offers many different product options like lattes, skinny lattes, coffee, iced drinks, blended drinks, etc. They also offer fruit cups, water, and bakery items to provide even more options for their consumers. If a differentiation strategy is successfully implemented the firm will be able to do one of the following: command a premium price for its products, increase unit sales, and/or gain buyer loyalty to its brand. Starbucks has some of the highest prices for the type of products they offer and people tend to be extremely loyal to whatever coffee they are used to purchasing, because they trust the quality. Methods to enhance differentiation 1. Create superior product features, design, and performance Starbucks has a superior knowledge of coffee and a commitment to providing customers with quality coffees. Providing top-quality, fresh-roasted whole-bean coffee was the companyââ¬â¢s differentiating feature and a core value since the beginning of its founding. Couches, fireplaces, newspapers, drive-through windows, kiosks in supermarkets and other public places were added to locations depending on what would add value to their consumers. Due to their focus on providing a different experience depending on the location of the store, their international strategy is a multi-domestic approach. The core characteristics of each new store was based on local materials and craftsmanship, a focus on reused and recycled materials and exposure of structural integrity and authentic roots. Most important of all they believed that coffee should be central and that distractions should be removed. They believed that the combination of all these elements should tell a story that would engage the consumerââ¬â¢s five senses and provide them with flexibility to meet the needs of the many different consumers that would be attracted to Starbucks. 2. Improving customer service or adding additional features When Howard Schultz first became part of the company he realized that one key problem Starbucks was having was that first-time consumers often felt uneasy about their absence of knowledge about high-quality coffee. An additional problem was that the employees came off as arrogant and unapproachable. He then worked with employees to teach them about friendly customer service and created a pamphlet to teach new customers about coffee. He also began to offer part-time employees health insurance and a stock option plan for all employees, because he believed that if a company treated their employees well, then they would in turn treat their consumers well. The additional features that Starbucks offers are fireplaces, couches, music, Wi-Fi access, ability to use paid sites and services like Wall Street Journalââ¬â¢s site, exclusive content and previews, free downloads, local community news, and activities. 3. Pursuing production R&D activities Starbucks is constantly brewing new flavors and blends to offer their consumers a variety of coffee to try. Flavors are rotated daily or weekly to offer constant variety. They also test new product offerings like Frappuccinoââ¬â¢s, Lattes, Skinny Lattes, and seasonal drinks. 4. Striving for innovation and technological advances One way that Starbucks was able to constantly strive for innovation was by controlling the cost of opening and renovating stores by centralizing buying, developing standard contracts and fixed fees for certain items, and consolidating work under those contractors who displayed good cost-control practices. Starbucks retail operations group outlined the minimum amount of equipment each store would need. This meant that standard items could be ordered from vendors in volume at 20 to 30 percent discounts. The items would then be delivered to the site from a warehouse or from the vendor. A technological advance was that they used computer software to build store layouts that would calculate costs as the design progressed. This cut costs by a significant amount and shortened the process of opening a store to 18 weeks. 5. Increasing intensity of marketing and sales activities Originally, Starbucks didnââ¬â¢t spend a lot of money on advertising, because they relied mostly on word-of-mouth. In 2008 McDonaldââ¬â¢s stepped up their advertising to highlight their McCafe coffee drinks. In order to counter this Starbucks undertook the largest advertising campaign ever. 6. Seeking out high-quality inputs Starbucks promotes environmentally sustainable practices in coffee cultivation methods and have specific guidelines they follow called Coffee and Farmer Equity Practices that help farmers to grow high quality coffees in environmentally beneficial ways. In 2000 they began purchasing their coffee organically and a growing percentage of their coffees were grown organically as well as Fair Trade Certified. 7. Improving employee skill, knowledge, and experience Starbucks has a commitment to training their employees so that they are better able to serve their customers. All partners and baristas receive at least 24 hours of training in their first two to four weeks on topics such as coffee history, drink preparation, coffee knowledge, customer service (for a total of 4 hours), and retail skills. Baristas in particular are required to learn how to grind beans, steam milk, pull perfect shots of espresso, memorize recipes, practicing how to mix drinks, and how to customize drinks. Sessions also include how to operate the cash register, clean the milk wand, explain the Italian drink names, and making eye contact with customers. Management trainees are required to attend classes for 8-12 weeks and learn about store operations, practices, and procedures. When a new store is opened a Star Team of experienced employees are sent to make sure everything runs smoothly. From time to time, Starbucks conducts special training programs, including a coffee masters program, leadership training program, and career programs for partners in all types of jobs. When does a differentiation strategy work best? A differentiation strategy works best when buyer needs and uses of the product are diverse, there are many ways to differentiate the product or service that have value to buyers, few rival firms are following a comparable differentiation approach, and technological change is fast paced and competition revolves around rapidly evolving product features. Starbucksââ¬â¢ actions to differentiate their product line They have expanded their product offerings along many different distribution channels by capitalizing on their growing brand name and awareness. First they were able to market their product to restaurants, airlines, hotels, universities, hospitals, business offices, country clubs, and select retailers. United Airlines, Hyatt, Hilton, Sheraton, Radisson, Westin hotels, and Wells Fargo all began to serve Starbucks coffee. A joint venture with PepsiCo came with the sale of a bottled version of the Frappucino drink and Starbucks Doubleshot espresso drinks. In 2008, they partnered with Suntory to sell ready-to-drink Doubleshot drinks in Japan. In 2010 a partnership with Arla Foods spread Doubleshot products and Starbucks chilled cup coffees into retail stores in the UK. A 1995 partnership with Dryers created a new line of coffee ice cream under Starbucks names that was later disbanded in 2008. At this time the rights to manufacture, market, and distribute Starbucks ice cream was given to Unilever. In 1998 Kraft Foods began marketing and distributing whole bean and ground coffee to supermarkets in the US. Tazo Tea was acquired by Starbucks in 1999 and in 2005 they acquired Ethos Water. A partnership with Jim Beam Brands created Starbucks Coffee Liqueur in 2004 and Starbucks Cream Liqueur in 2005. In order to offer healthier options they began offering skinny lattes, banana walnut bread, fruit cups, yogurt parfaits, a farmerââ¬â¢s salad, and smoothies in 2008. Also in 2008, Starbucks responded to customerââ¬â¢s wishes to have a blend of coffee that was always in stores. They created the Pike Place Roast in order to satisfy these customers. 2009 saw the introduction of VIA instant coffee. In 2009 the retail sales mix of Starbucks was 76% beverages, 18% food items, 3 percent coffee-making equipment and other merchandise, and 3% whole bean coffees. What are the key policies, practices, business principles, and procedures that underlie how Howard Schultz and Starbucksââ¬â¢ management have implemented and executed the companyââ¬â¢s strategy? Key Policies, Practices, Business Principles, and Procedures The key policies that have been implemented can be broken down into five groups. First is how the company goes about expanding the number of Starbucks stores. The second is their international expansion practices. The third group is their staff training. The fourth is their principles towards ethical business practices. Fifth, is their coffee roasting practices. Store Expansion Starbucks managementââ¬â¢s approach to store expansion is using a hub city approach. After a suitable demographic area is chosen Starbucks begins to open up stores in a large city that serves as its hub. After about 20 stores are opened in this hub city, they will then move on to the surrounding areas that are the spokes. This expansion strategy serves to create buzz and brand recognition for the company in an area that has a high amount of foot traffic before moving into a location that has less customer traffic. When a new area was selected for expansion a group of professionals were sent to facilitate the opening. Starbucks also had zone vice presidents who would oversee the expansion process and instill the culture of Starbucks in the new stores. International Expansion When expanding internationally Starbucks has two options; they either open company-owned and operated stores or license to a company that has a good reputation and the knowledge of retailing in that area. Starbucks prefers to license, rather than franchise because licensing provides more assurance of quality control. When they move into foreign markets one of their practices is to use a partner or license to help recruit individuals for employees, set up relationships with suppliers, find store locations, and learn how to cater to local market conditions. For stores that were licensed Starbucks would receive a license fee and a royalty on sales. Companies that were licensed to supply Starbucks coffee were required to follow their detailed operating procedures. Not only that, but managers and employees were required to attend the same training as employees at company-owned stores. Staff Training As mentioned previously, employees are put through an extensive amount of training to learn daily practices and how to treat customers. They are put through this training because customer service is so integral to their organization. Some of the things that baristas learn in their 24 hours of training are coffee history, drink preparation, coffee knowledge, customer service, retail skills, and beverage preparation. Beverage preparation includes grinding the beans, steaming milk, pulling a perfect shot of espresso, memorizing the recipes, practicing the drinks, and learning how to customize drinks. Finally, partners were trained on cash register operations, how to clean the milk wand, how to explain Italian drink names, how to sell espresso machines, making eye contact, interacting with consumers, and taking responsibility for the cleanliness of the store. Not only that but they had many rules that needed to be learned as well such as: milk needs to be steamed to 150 degrees Fahrenheit but not more than 170 degrees, an espresso shot not pulled within 23 seconds needs to be thrown out, coffee canââ¬â¢t sit in the pot more than 20 minutes, and disgruntled customers were given a coupon for a free drink. Managers were required to go even more in depth with their training. Ethical Business Principles Starbucks purchases products that are Fair Trade Certified, meaning that farmers make a fair amount of money for their products. They are very involved in Corporate Social Responsibility and take a number of measures to reduce, reuse, and recycle. They are also committed to purchasing from companies that use environmentally sustainable growing practices. Coffee Roasting Practices Coffee recipes are put together by the coffee department once all components have been tested. In order to be sure of consistency computerized roasters are used. Trained personnel are required to monitor the process by using hearing and their sense of smell to check when the beans are perfectly done. There are extremely exacting standards that must be met and the color of the beans is tested in a blood-cell analyzer and if it doesnââ¬â¢t meet the requirements the batch is discarded. Directly after roasting and cooling coffee is vacuum-sealed into bags that are guaranteed to preserve freshness for 26 weeks. However, policy says that after three months they need to be used. Once opened the shelf life is seven days. What ââ¬Å"valuesâ⬠does Starbucks have? How well do they connect to the strategy and to the manner in which the company conducts its business? Are they successful in implementing to them? The values that Starbucks consider important are included in their mission statement and those are: 1) Coffee: They are committed to providing their consumers with top-quality coffee that is ethically sourced, and to improve the lives of the people who grow the beans. They do this through a variety of methods. First is their Coffee and Farmer Equity Practices (C. A. F. E Practices). These practices specify product quality, that the price received by farmers/growers is fair, that safe and humane working conditions are being used, and that the methods of growing are environmentally responsible. Second, they do not add artificial flavorings to their coffee beans. Third, they have Farmer Support Centers in Costa Rica and Rwanda. These support centers were staffed with agronomists and experts on environmentally responsible coffee growing methods and worked with coffee farming communities to promote best practices in coffee production They also worked to improve coffee quality and production yields. 2) Partners: In order to better care for their employees Starbucks has a health care plan available for all employees, a stock purchase plan, employee training, and employee recognition. Some of their employee recognition awards include Coffee Master awards, Certified Barista awards, Spirit of Starbucks awards, Manager of the Quarter, Green Apron awards, Green Bean awards, and Bravo! Awards, 3) Customers: They value connecting with customers and uplifting the lives of consumers by providing the perfectly made beverage and going the extra mile for their customers. Employees are trained to take heroic measures to make customers happy. 4) Stores: Starbucks managementââ¬â¢s goal was to create the stores to be a haven where customers belong and meet with friends. They do this by creating a store ambience, having interesting music playing, leather couches to sit and read newspapers in, and they make sure that nothing overpowers the smell of coffee. 5) Neighborhood: Their stores are part of its community and to be a force of positive good in the area. One way they do this is by using local materials and craftsmanship. They are also extremely involved in Corporate Social Responsibility. The commitment to do the right thing has been a significant part of how Starbucks operates as a company ever since Schultz became CEO. Starbucks has been named to Corporate Responsibility Magazineââ¬â¢s list of ââ¬Å"The 100 Best Corporate Citizensâ⬠for the 10th time in 2010. 6) Shareholders: Starbucks is committed to getting all of the above values right so that they can help everyone that is involved and affected by Starbucks thrive. What is your evaluation of Starbucks social responsibility strategy? How much does it help to create their public image? Starbucks CSR strategy has four main parts which are: 1) Ethical sourcing of products: They do this through their C. A. F. E Practices, purchasing Fair Trade Certified products, and buying from manufacturers that have a commitment to environmental and social responsibility. 2) Community involvement: Starbucks has several organizations to foster community involvement. First, is the Starbucks Youth Action Grants which involves young people in community involvement projects. Second, is their program to give medicine to people suffering from HIV in Africa. Third, is the Ethos Water Fund where they donate 5 cents every time somebody purchases a bottle of Ethos Water. Fourth, they donate money to the Starbucks Foundation which was the fund that was started in 1997 to handle all the Starbucksââ¬â¢ philanthropic actions. 3) Environmental Stewardship: In order to achieve this goal they have several methods. First, they focus on increasing recycling and reducing waste which they do by giving discounts to people who bring in their own mugs, coffee grounds are donated for use as a soil amendment, they take part in Earth Day activities, they purchase paper products with recycled content and unbleached fiber, and they encourage their suppliers to provide energy-efficient products and eliminate unnecessary packaging. They also have commitments to be more energy efficient, use renewable energy sources, conserve water resources, use green facilities, using environmentally friendly building materials and energy-efficient designs. They also have plans to achieve LEED certification globally. In 2009 they became part of the Businesses for Innovative Climate Change and Energy Policy coalition. They have also collaborated with the Earthwatch Institute and work on replanting rain forests, mapping water resources, and biodiversity indicators, and sharing sustainable agriculture practices with coffee growers. 4) Farmer loans: They provide funding to organizations that make loans to coffee growers. Their goal for 2015 is to donate $20 million dollars to these funds. They have also committed money to hurricane Rita and Katrina victims, as well as to help the devastation after the earthquake in Haiti. Having a strong CSR campaign adds to the value of Starbucksââ¬â¢ products if consumers know that they are involved in these activities. It lets consumers know that part of the money they are spending is going to a good cause. By getting on the Corporate Responsibility Magazineââ¬â¢s list of ââ¬Å"The 100 Best Corporate Citizensâ⬠for the 10th time in 2010, it increases the knowledge that people have about their CSR strategy. Compare the US and International share of yearly revenue, revenue growth, and operating income/revenue. What do these ratios tell you? What is your overall assessment of Starbucksââ¬â¢ financial performance during fiscal years 2005-2009? Explain the performance of Starbucks stock. Exhibit 1 Comparison of Starbucksââ¬â¢ Financial Performance in the US and Internationally| | | 9/27/2009| 9/27/2008| 9/30/2007| 10/1/2006| 10/2/2005| Yearly Revenue ($ millions)| | | | | | | United States| $ 6,572. 10 | $ 6,997. 70 | $ 6,590. 20 | $ 5,495. 20 | $ 4,359. 50 | | International| $ 1,608. 00 | $ 1,774. 20 | $ 1,437. 40 | $ 1,087. 90 | $ 852. 50 | Revenue Growth ($ millions)| | | | | | | United States| -6. 08%| 6. 18%| 19. 93%| 26. 05%| | | International| -9. 37%| 23. 43%| 32. 13%| 27. 61%| | Operating Income/Revenue ($ millions)| | | | | | | United States| $ 531. 80 | $ 454. 20 | $ 1,005. 20 | $ 955. 20 | $ 818. 50 | | International | $ 92. 90 | $ 110. 00 | $ 137. 70 | $ 108. 50 | $ 82. 30 | These ratios tell us that overall they have been increasing their revenue growth by significant percentages of an average of 20% internationally and 12% domestically. Domestically the amount of revenue growth per year slowed down in 2008 and went negative in 2009. Revenue growth also went negative in 2008 internationally. This makes sense because 2008 was the beginning of the economic downturn which affected the companyââ¬â¢s bottom line. Operating income has fluctuated quite a bit since 2005 and since its peak in 2007 ($1,0005. 20 million) has decreased significantly to $531. 80 million. Internationally it has remained steadier at an average of $106. 28 million. Again these numbers make sense because it was in 2008-2009 that the economic downturn occurred and Schultz instituted strategic initiatives and revamped strategy execution efforts to fix these financial problems. One reason that the economic downturn affected Starbucksââ¬â¢ bottom line badly is because it was considered a treat to go to Starbucks and to get coffee that wasnââ¬â¢t brewed at the home. Less people were indulging in coffee by the cup. In 2006 and 2007 Starbucks reached its peak growth in the period displayed in exhibit 1. This is represented in the stock chart because it is also when their stock performance reached its peak at 40. The lowest point on the stock chart was in 2008 which makes sense because this is when the economic downturn occurred so many people were selling stocks. In 2008-2009 Schultzââ¬â¢s measures to institute strategic initiatives and revamp strategy execution efforts began and clearly worked because in the period of time from 2008-2010 stocks returned to almost 30. What are the key elements and your evaluation of Howard Schultzââ¬â¢s transformation agenda for Starbucks during 2008-2010? What do you think of the letters shown on page C-364 and C-365? Has Schultz done a good job since his return as Starbucksââ¬â¢ CEO? Why or why not? Elements of the Transformation Agenda Howard Schultzââ¬â¢s transformation agenda during 2008-2010 had several key elements. First, he planned on slowing new store openings to 73 internationally. Second, 900 underperformed company-owned stores were closed in the United States. The goal of this action was to raise sales and traffic at nearby sales. Around 75% of these stores that were considered underperforming were within three miles of an existing store which shows that their strategy of having a Starbucks everywhere was cannibalizing their sales. The third element of the transformation agenda was raising the projected return on capital requirements for proposed new store locations. This is a way for Schultz to be more particular about new store placement and to have a better chance of making a significant amount of profit and not losing traffic to existing stores. Fourth, he planned on revamping the companyââ¬â¢s locations in Australia with a focus on Brisbane, Melbourne, and Sydney as the hub cities. He planned on closing 61 under-performing locations in order to do this. Fifth, it was important to Schultz that there be an emphasis on developing new store designs in order to promote a refreshed customer experience. In order to do this the character of each store would be a reflection of the area it was in to make the customers feel more at home and to make Starbucks the center of that community. Sixth, customer experience would be heightened through a variety of methods. The first method was by removing warmed sandwiches from the menu, because it inhibited the aroma from the coffee. Second, high-quality baked goods and pastries would be offered at the store along with new menu items for healthy eating on the go. For example, fruit cups, skinny lattes, yogurt parfaits, salads, smoothies, and healthier bakery selections were all a result of this step in Schultzââ¬â¢s transformation agenda. The seventh part of the agenda was to create a program to share best practices in stores globally, this would promote quality control and improve customer service, which was one of the things that Schultz had found lacking when he became CEO again. Eighth, Schultz thought it was important to provide resources and tools for store employees such as laptops and internet-based software for scheduling. Ninth, there were cost-containment initiatives put in place in order to improve the bottom line that included a reduction of 1,000 people in staffing. Finally, the last part of the agenda was to renew the attention placed on employee training in order to reignite the enthusiasm to please customers that is vital to the mission of Starbucks. Evaluation The goal for 40,000 stores worldwide as a long-term objective and the rapid expansion that Jim Donald began led to a decrease in customer traffic in the US stores, new store openings that continued at a rate of 6 per day worldwide, and the emphasis on increased store operations efficiency put financial strain on the company and led to a decrease in customer service. Good customer service is one of the cornerstone values of Starbucks and was a central idea during Schultzââ¬â¢ leadership. Schultzââ¬â¢ return to CEO and his strategic initiatives mentioned above will help to return Starbucks to the values it originally held as very important and to return it to profitability by slowing down on expansion to focus more on the three main themes Schultz saw as important to his strategy. These themes are: strengthening the core, elevating the experience, and investing and growing. Before he can focus on growing the company, they need to have a strong base of employees and a focus on the experience that Starbucks is meant to provide its consumers. Letters from Schultz The letters that are shown on page C-364 and C-365 of the case show that Schultz is dedicated to his shareholders, which is one of the values in their mission statement. He is being extremely open and upfront the concerns of shareholders and about the actions that will be taken to address those issues. The first letter is addressed to customers and he explains that he has come back to Starbucks as CEO in order to ensure that the customers receive the experience that he believes Starbucks is known for. This letter shows that he truly cares about the thoughts and concerns of consumers. The second letter is to the employees of Starbucks. In this letter Schultz addresses them as partners in the path to revitalizing Starbucksââ¬â¢ mission. He even says, ââ¬Å"I am proud to be your partnerâ⬠¦Ã¢â¬ By treating his employees like this he is able to foster accountability for the actions that everybody can take in helping to turn around Starbucks to what Schultzââ¬â¢ vision for it is. Evaluation of Schultzââ¬â¢ work. Schultz has done a good job by creating strategic initiatives in order to return Starbucks to where he thinks the company should be. His vision includes becoming the authority on coffee, engaging and inspiring Starbucksââ¬â¢ partners, igniting the emotional attachment with customers, expanding global presence and making each store the neighborhoodââ¬â¢s heart, being a leader in ethical sourcing and environmental impact, creating innovative growth platforms, and delivering a sustainable economic model. Every one of these visions is addressed in some way in his agenda, which shows he has a clear idea of where the company should go and how to get it there. In 2008-2009 the company experiences five quarters of deteriorating sales, but from 2009-2010 had five quarters of improving sales, which shows that Schultzââ¬â¢ transformation agenda has been working. What issues confront the company as of mid-2010? What should Starbucksââ¬â¢ management be worried about? What are the challenges in expanding internationally? Issues as of mid-2010. 1) Oversaturation of the market: With the ââ¬Å"A Starbucks Everywhereâ⬠approach and the rapid expansion steps taken by Donald, there was a decrease in customer traffic at the stores, resulting in a loss of profit. 2) Lack of emphasis on customer relationships: The emphasis on increased efficiency in store operations led to a decrease in good customer service. 3) Drifting away from the original values of Starbucks: Starbucks was built with an emphasis on high-quality coffee, good customer service, and a commitment to creating an experience for customers. However, when Schultz became CEO again he noted that this was lacking. 4) Offering high-quality products: As Starbucks moves into new locations in order to draw attention away from local popular spots they will need to offer a product that is of high enough quality to keep consumers coming back. 5) Differentiation: Again, as they move into new markets they will need to do significant research to find out what those consumerââ¬â¢s value. They need to be able to give it to them in order to achieve their goal of being the heart of the neighborhood. 6) Coffee prices: Coffee prices fluctuate significantly due to weather, economic, and political conditions in the countries where they are grown. What should management be worried about? Management should be worried about offering high-quality products. If they cannot prove that their product is better due to quality or differentiating features then locations that sell coffee and consumers are already loyal, they will have issues drawing consumers away. However, Starbucks does have an extremely strong brand image and hype associated with their name, which is an asset for them in entering new markets. International Challenges Some challenges that Starbucks will face internationally are: 1) Adapting their stores to fit the location they are in 2) Creating partnerships and licensing agreements with reputable companies to offer their products abroad 3) Regulations on foreign businesses moving into their country 4) Having enough control over the quality in the international stores that are licensed. 5) Higher production costs Starbucks has chosen to follow a multi-domestic approach to international expansion, meaning that they customize their product offerings to match the tastes and preferences of local buyers. The main challenge that Starbucks will face in entering international markets is knowing what that group of people wants and prefers. Another problem is that they will need to make partnerships and licensing agreements with reputable companies in order to be sure that the culture of Starbucks is continued to their new stores. Finally, they will have the issue with tailoring their stores to fit the environment they are in, because they will be unable to use a set design which could raise production costs. What recommendation would you make to Howard Schultz to sustain the companyââ¬â¢s growth and support continued strong financial performance in the years ahead? Consider both the US and International strategies. Recommendations * Coordinate with suppliers to address consumersââ¬â¢ needs better: By coordinati.
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