Logistics management and international logistics management

Logistics management and international logistics management The literature overview relates to the problem area occur when the penetration to foreign market presented in chapter one. Firstly, I will describe definition of logistics management and international logistics management. Second, I will thrash out the reason of a logistics management start international operations. Further, I will talk about theories regarding the market selection. Next, I will present the different types of channels of distribution and the process for choose a representative in the foreign market. Lastly, I will end this chapter with environmental of logistics. 2.1 LITERATURE OF INTERNATIONAL LOGISTICS MANAGEMENT Definition of logistics management and international logistics management Generally logistics refers to the inbound and outbound flow and storage of goods , services, and information within and between organisations (Gundlach et al, 2006). The Council of Supply Chain Management Professionals (CSCMP), which is the pre-eminent professional organisation for academics and practitioners in the logistics field, formed in 1963, defined logistics management as that part of supply chain management that plans, implements and controls the efficient, effective forward and reverse flow and storage of goods ,services, and related information between the point of origin and the the pont of consumption in order to meet customers requirements (see www.cscmp.org) This definition has resulted from numerous changes in the process to understand logistics (see Table 1). Table 1: The Development of Logistics Management (source) Period Development Prior to the 1980s Logistics was primarily concerned with the outbound flow of finished goods and services, with an emphasis on physical distribution and warehouse management. As a managerial activity, logistics focused on its role to support an organisations business strategy and to provide time and place utility. During the 1980s The industry globalisation and transportation deregulation led to the expansion of logistics beyond outbound flows to include recognition of materials management and physical distribution as important elements. In 1986, CLM (now CSCMP) defined logistics as the process of planning, implementing, and controlling the efficient, cost-effective flow and storage of raw materials, in-process inventory, finished goods, and related information flow from point of origin to point of consumption for the purpose of conforming to customer requirements (see www.clm1.org). During the 1990s Logistics was defined as the process of strategically managing the procurement, movement and storage of materials, parts and finished inventory and related information flow through the organisation and its marketing channels. The definition was changed as a result of accelerated market changes due to shrinking product lifecycles, demand for customisation, responsiveness to demand, and increased reliance on information (Christopher, 1998). During the 2000s These years experienced further changes as to how logistics is defined. Development in international trade, supply chain management, technology and business process re-engineering generated a need to re-evaluate the logistics concept. As a result, in 2001, it was defined as that part of supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services and related information from the point of origin to the point of consumption in order to meet customer requirements. * Adapted from Gundlach, G.T.; Bolumole, Y.A.; Eltantawy, R.A. and Frankel, R., (2006), The Changing Landscape of Supply Chain Management, Marketing Channels of Distribution, Logistics and Purchasing, Journal of Business and Industrial Marketing, Vol.21/7, pp 428-438. The internationalization process of logistics is the best way that a supplier in one country are transferred procurement, transportation, storage, processing, collating, distribution, marketing and information are tied in and commodities to a demander in another country with the lowest cost and minimum risk, keeping goods quality, quantity and timely. The essence of Internationalization of logistics is the principle of collaboration with the international division of labors in accordance with international practice, the use of international logistics networks, logistics facilities and logistics technology and achieve global flows and exchange of goods and services to promote regional economic development and the optimal allocation of resources in the world (YANG 2003). 2.2 CHANGE AGENT A change agent is an event, organization, material thing or, more usually, a person that acts as a catalyst for change. In business terms, a change agent is a person chosen to bring about organizational change. Corporations often hire senior managers or even chief executives because of their ability to effect change. An internal change agent is usually a staff person who has expertise in the behavioral sciences and in the intervention technology of OD. 2.2.1Internal Change Agents Internal change agents will affect the organization from within. These are  individuals working for the organization who know something about its problems and has experience of improving situation in the same organization .The entry of new employee can view as the possibilities of prolonging the life cycle for a goods via internationalization. 2.2.2External Change Agents External change agents are those that have influence on the organizational from the outside. These are outside consultants who are temporary employed in the organization to remain engaged only for the duration of the change process. External change agents usually do not implement plans or take responsibility for decision making. Supporting change leaders and programming and project teams in negotiating the transition between the current state and the desired future state is the preoccupation of external change agent. External change agents facilitating, through coaching, mentoring and knowledge transfer, the development of new skills and behaviour in others. 2.3 Motives for foreign expansion There are many reasons for a company going expand to foreign country. Most of them are market related. The market related motivations to expand their business divided to proactive and reactive motivations. Proactive motives are motives that stimuli organizations to attempt strategy change, based on the firms interest in exploiting unique competences or market possibilities. Reactive motives are motives which the organization not influence over the threat or pressures and adjust passively to them by changing its activities over time. Czinkota Ronkainen indicate that proactive organizational go international because they want to, however, reactive organizational because they have to. Several disadvantages will occur when an organization operation in a foreign market compared to the domestic competitors. As a result, an organization must build some advantages to get established in the new market compared to the domestic market. 2.3.1 PROACTIVE MOTIVATIONS FOR LOGISTIC MANAGEMENTS Accordingly to Ross,1995, proactive motivations occurs when the enterprise make a decision to expand their operations into foreign markets. The proactive motivation are defined as Profit advantage Products Exclusive information Managerial urge Tax benefits Economies of scale Usually, an enterprise perceive that internationalization will provides a great opportunity of increasing profits, which also the most well-known reason for internationalization . An enterprise will produce a product or service ,which is not readily existing in foreign markets. The product or service may be very attractive on foreign market, due to technological advantages of the production process, which gives the enterprise gain a competitive advantage over the domestic enterprises.(Czinkota Ronkainen,1995) The next reason for export is that numerous enterprises realized the home market is too small and cannot afford to extend product at domestic market. Besides that, an enterprise may also acquired knowledge about the foreign market than other competitor which do not have. Thus, enterprise will initiate steps towards the internationalization process. Further, when an enterprise start to export, the domestic government may exploit the tax benefit to the enterprise. Lastly, an enter prise can obtain economies of scales as their advantage through export activities. The economies of scales means produce larger volumes then will diminish the cost per unit produced. 2.3.2 REACTIVE MOTIVATIONS FOR LOGISTICS MANAGEMENT When the domestic industry outlook is not attractive, the enterprise will try to penetrate foreign market, to decreased their resource commitments at domestic country. The reactive motivation are defined as: Competitive pressures Overproduction Declining domestic sales Saturated domestic market Excess capacity Relationships Unsolicited order The high competition on the domestic industry or overproduction during the economic decline, might affect the enterprises profitability. Thus, the enterprise try to seek new markets abroad. Declining domestic sales occur when a product reaching the declining stage of the product life cycle and a saturated domestic market will lead an enterprise to export their product to foreign market, in order to prolong the lifetime of a certain product. Additional, if the enterprise has excess capacity ,internationalization may aid the enterprise in reaching the desired production level in order to reduce the fix cost per unit produced.(CzinkotaRonkainen, 1995) .On top of that, some enterprise want to maintain or defend its position in a particular business network, therefore, they may be enforced to face internationalization process..Last but no least, the enterprise may fit into exporting sector because of the unsolicited order. 2.4 FOREIGN MARKET MODE OF ENTRY A foreign market mode of entry is a channel which enables the enterprises product, human skills, management, technology or other resources, to enter into a foreign country. The choice of market entry mode is a vital strategic decision for firms intending to carry out business overseas. A number of definitions of different modes of entry exist. Hedman (1993) classifies the modes of entry as indirect , direct and alternatives to export. However, Hedmans model does not assume joint venture as entry mode ,which other authors such as Jeannet Hennessey,1988;Root 1994b;Ross,1995 identify as an entry mode.Joint ventures will be presented under heading 2.4.3.4. Most models of foreign market mode of entry is due to limited resources , therefore ,enterprises initially penetrate a foreign market through indirect export methods. Indirect paths to internationalization are those whereby small firms are involved in exporting, sourcing or distribution agreements with intermediary companies who manage, on their behalf, the transaction, sale or service with overseas companies (Fletcher, 2004). Export intermediaries play an important middleman role in international trade, linking individuals and organizations that would otherwise not have been connected (Peng and York, 2001, 328). Small and new ventures use intermediaries toovercome knowledge gaps, find customers and reduce uncertainties and risks associated with operating in foreign markets (Terjesen et al., 2008) The mode of entry will switches to direct export such as agents, distributors, and sales branches, when the enterprise becomes more dynamic in international business. Direct export known as the producer will conduct the distribution activities to a foreign agent or importer or to the end customer directly Selecting the channel of distribution is a long-term strategic decision and need to build long-term relationships and the necessity of stimulating cooperation among distribution alliance partnersMehta et al., 2001 R. Mehta, T. Larsen, B. Rosenbloom, J. Mazur and P. Polsa, Leadership and cooperation in marketing channels: a comparative empirical analysis of the United States, Finland, and Poland, Int Mark Rev 18 (2001), pp. 633-666. View Record in Scopus | Cited By in S. Distribution channels defined as the external contractual groups that firms cooperation to accomplish their distribution objectives (Rosenbloom, 2004 B. Rosenbloom, Marketing channels: a management view, South-Western, Mason (OH) (2004).Rosenbloom 2004). The chosen channel will affect the enterprises effectiveness and efficiency for as long as it is operating (Doyle, 1994). As a result, the enterprise should plan a long-term strategy and evaluate the own enterprisess future economical abilities, before select distribu tion channel. 2.4.1 INDIRECT EXPORT Indirect export is a chain that connect with the exporting enterprise with a domestic middleman in the target foreign country and link to the end customer as a final point(Akhter,1996). Export intermediaries often help their clients to identify customers, financing and distribution infrastructure providers (Balabanis, 2000). Intermediaries also help firms in overcoming knowledge gaps of the local market , reduce uncertainties and risks associated with operating in foreign markets. Firms may hire export intermediaries because they perform certain functions related to exporting without large investments, with low start up costs and few risks better than the firm itself could. Firms may hire export intermediaries because they perform certain functions related to exporting better or at lower costs than the firm itself could, for example because they possess country-specific knowledge that the firm lacks (Li, 2004) . For this reason Peng and Ilinitch (1998) argue that manufacturers may be more likely to use intermediaries when entering foreign markets. Export intermediaries can also help firms to save costs associated with searching new customers and monitoring the enforcement of contracts (Peng and York, 2001) as well as to help access intermediaries contacts, experience and knowledge of foreign markets (Terjesen et al., 2008). According to Hedman (1993), indirect export may work in three ways: through a trading firm ,an export merchant and an export agent. 2.4.1.1 Trading firm An export trading firm is an alliance among a few local small and medium enterprise (SME) to export their product to a target country. They will do export as teamwork to developing and penetrating a target country rather than do it single-handedly. Those firms cooperate to reduce export costs and risks while can develop market research to find new export business opportunities Firms that team-up for exporting can negotiate favorable rates on transportation, insurance and other export services .However ,a trading firm is independent when it operate in a foreign market(Hoagland,1996) 2.4.1.2 Export through an export agent Export agent is buyers in foreign countries who will buy products from enterprise and sell it abroad in their country. The agent usually awards the lowest bidder with the order and sell it with receives commission as compensation for their effort. Normally, the payment for export agent is received almost immediately plus there is very little effort required to complete the sale. Therefore, the manufacturer can get access to a larger market with minimum cost and risk . The manufacturers reputation is the largest risk when the manufacturer choosing export agent in foreign market. The manufacturer absolutely looses their control of the export activities after they select an export agent to help them sell their product in foreign market. 2.4.1.3 Export through an export merchant An export merchant acts as a kind of international wholesaler (Ross,1995). An export merchant seeks out needs in foreign markets and negotiates with a manufacturer. After makes purchases from manufacturers, the goods are exported to the waiting buyer. After having the merchandise packed and marked to specifications, the export merchant resells the goods in its own name. The export merchant normally specializes in a particular line of products or in a particular geographical market area where they have been operating during a longer a longer period. Sometime it sells the goods with the original suppliers labels or puts its own label. 2.4.2 Direct export Direct export may be conducted in three ways: (1) directly to the final customer,(2) with the help of a representative or (3) through the exporting enterprises own establishment (Hedman, 1993). The enterprise will confront with higher investment risks when they conduct export their product through direct link to foreign country. On the other hand, the enterprise may gain potential profit margin and the cost for transaction between home country n host country will drop. 2.4.2.1 Export directly to the final customer When conduct direct export without going through an intermediary in the home country to develops an overseas channel so that it deals directly with a foreign party, the exporting enterprise takes hold of all exporting activities. Therefore, they have to conduct their marketing research, investigations, transportation and documentation (Young et al .,1989 ). The advantages of directly to final customers is active market exploitation and greater control to the transaction in the host country. On top of that, the channel also improves communication and consistency. However, it is a difficult channel to handle if the manufacturer is unfamiliar with the foreign market and causing time consuming and expensive. 2.4.2.2 Export through a representative Export through a representative have played a crucial role in the development of the internationalization process. A representative is an intermediaries in the foreign market which have their own market organization that separated from the exporting enterprise . The company can determine to adapt the quantity of the home-based sales representative travel abroad at certain times to take orders or find business. Those enterprise want to penetrate the foreign market but afraid of the risk can find an experienced intermediaries to help them start their operation in foreign country. This is because those intermediaries obtain the knowledge about the country and may efficiently locate the product to the final customer. Agent An export agent, is an intermediary or trading company that acts on behalf of a company to open up or develop a market in a foreign country. However, the agent does not take title to the products and gives the exporter to take part in the planning and monitoring of the marketing activities. Export agents usually paid a commission on all sales and may have exclusive rights in a particular geographic area. A good agent will know or get to know local market conditions, which the exporting enterprises lack. An agent just carrying out part of the operations on behalf of the exporter, the exporter owns the product until it is sold to the final customer. The exporter has responsible for the customers risks because of the agent does not do not handle the products .The role of the export agent is to evaluate the export potential of the local manufacturers products, advertise them abroad, look for foreign buyers, place orders with the manufacturer, or arrange for, the documentation, take care of shipments and insurance once a sale has been made. Distributor Distributor is a firm located in the foreign market that purchase goods, re-label them with their own name, brand or trademark and then sell them as their own products. Foreign distributors are the backbone for many export manufacturerBello, D.C. and Lohtia, R., 1995. Export channel design: the use of foreign distributors and agents. Journal of the Academy of Marketing Science 23 2, pp. 83-93 Full Text via CrossRef | View Record in Scopus | Cited By in Scopus. These export intermediaries possess crucial contacts with foreign buyers, strong local-market knowledge, and the ability to provide sophisticated marketing services. Distributors usually has a close relationship with the exporter and given the exclusive right to sell the product. They typically provide complementary services to their buyers, such as maintenance, parts sales, and technical assistance. On top of that, the distributor will assist the export enterprise by running processing orders, stock foreign inventories, grant buyer credit n delivery. Entering foreign market with using distributors is less risky and payment will get directly after transaction. This methods allow SMEs with limited resources to operate in major markets and companies with significant resources to offer their products and services in smaller markets. 2.4.2.3 Export through an own establishment Export through an own establishment usually is a company-owned export department for a enterprise sells their product directly to companies or final customers in the foreign market.The enterprise has full control over export activities such as the marketing and distribution of its goods and services, and coordinates research, distribution, sales, marketing, pricing, and legal. This department usually consists of an export sales manager with some clerical assistants. Export through an own establishment is an expensive way but very effective for enterprise to conduct their business in foreign market. Sales office An enterprise starting a sales office in a foreign market have to be establish new relationships in the foreign business network .Enter a foreign market with sales office is very costly n time consuming. This is because establish a sales office in foreign market required a high level of resources n effort into the market. , however, it is the best way to enterprise to obtain the knowledge of the local market. Branch A branch office established facilitate sales in the foreign market . They is an intermediary who selling products and providing support services to the manufacturers sales force .A sales branch allows the manufacturer to achieve greater presence and programme control in the foreign market. The role of sales branch handle sales is distribute product and managing warehouse and promotion. It often serves as a display centre and customer service centre in the foreign market. However, there are no manufacturing is done at this location. Subsidiary An export sales subsidiary basically removes the export function from the parent company and places the function in a separate wholly owned subsidiary. The export subsidiary purchases goods from the parent company, then resells it on their country. Export subsidiaries is able to add products from outside the parent company in order to round out its product line, and is able to separate out costs and expenses more efficiently than an internal department. On top of that, export subsidiaries can also develop into centre of excellence, controlling critical resources that other parts of the MNE depend upon Holm and Pedersen, 2000 U. Holm and T. Pedersen, The emergence and impact of MNC centres of excellence, A subsidiary perspective, Macmillan Press Ltd, Houndsmills (2000).. 2.4.3 Alternatives to export A lot enterprise realized the importance of expanding their business internationally. However, there are several obstacles to internationalization for firms in the developing world. One of these is a lack of information and knowledge about foreign markets. In such case, licensing or franchising might be the right choice (CzinkotaRonkainen, 1995). 2.4.3.1 License manufacturing Licensing is another easy way to for a manufacturer to involve in international marketing with a limited degree of risk. Licensing occurs when an enterprise within the foreign market, the licensee, make an agreement with the licensor who offering the right to use a manufacturing process, trademark rights, patent rights, or trade secret of value for a fee or royalty. The licensee will produce the licensors products and market these products in his assigned territory. After that, the licensee will pay the licensor royalties related to the sales volume of the products. The producing enterprise hereby escapes expensive toll and other trade barriers, exchange fluctuations, high transportation costs and political risks(Root,1987). The disadvantage of licensing is the firm has less control over the licensee than if it had set up its own production facilities. After few years, once the know-how is transferred, the foreign firm may begin to act on its own and the international firm may theref ore lose that market. Therefore, the licensor must establish a mutual advantage in working together, and a key to doing this is to remain innovative so that the licensee continues to depend on the licensor. 2.4.3.2 Franchising Franchising is an entrepreneurial activity that plays a crucial role in the creation of new jobs and economic developmentFalbe et al., 1998 C. Falbe, T. Dandridge and A. Kumar, The effect of organizational context on entrepreneurial strategies in franchising, Journal of Business Venturing 14 (1998), pp. 125-140.. In franchising, an exporting enterprise collaborates with a franchisee-entrepreneur to create economic value in a prescribed manner. The franchisee obtains the right to use franchisers, brand name, and marketing techniques to market goods or services. In return, the franchisee pays an up-front fee and ongoing royalties to the franchiser. Franchisees usually operate in local markets and communities, therefore, they can provide local knowledge to penetrate the foreign market. Thus, franchisees bring to the franchise system not just financial capital, but also a knowledge of geographic locations and labour markets, and their own managerial labour; that is they represent an effi cient bundled source of financial, managerial and information capital Dant, R.P. and Kaufmann, P.J., 2003. Structural and strategic dynamics in franchising. Journal of Retailing 79, pp. 63-75. Article | PDF (157 K) | View Record in Scopus | Cited By in Scopus (24) ( Dant, R.P. and Kaufmann, P.J., 2003. Structural and strategic dynamics in franchising. Journal of Retailing 79, pp. 63-75. Article | PDF (157 K) | View Record in Scopus | Cited By in Scopus (24)Dant and Kaufmann, 2003). The franchising tends to be more directly involved in the development and control of the marketing program. The main disadvantage of franchising is the level of the standardization of the product and service. Without a standardization there might be a risk of losing transferred know-how. (Hackett,1979) 2.4.3.3 Foreign direct investment(manufacture) Foreign market investment is the direct ownership of facilities in the foreign market. There are two ways for enterprise to enter foreign market through investment. The first option is make a direct acquisition or merger in the host market. The second option is develop its own facilities from the ground up. The reason that the firm invest in the foreign market may be the production in the foreign market is much cheaper . On top of that, the firm develops a deeper relationship with government , customers and local suppliers, so that make a better adaptation of its products to the local marketing environment.Glass and Saggi, 2002b A. Glass and K. Saggi, Licensing versus direct investment: implications for economic growth, Journal of International Economics 56 (2002), pp. 131-153. 2.4.3.4 Joint venture Joint venture is a contractual agreement between an international enterprise and foreign enterprise to execute a particular business. According to Fletcher and Brown (2004), joint venture is a second broad method of entering a foreign market to set up production and marketing facilities. in common with licensing. In joint ventures, the international firm has an equity position and a management voice in the foreign firm. Therefore, international firm better control over operations and also access to local market knowledge. The international firm has access to the network of relationships of the franchisee and is less exposed to the risk expropriation thanks to the partnership with the local firm. Previous studies (e.g., Blodgett (1992) L.L. Blodgett,Factors in the instability of international joint ventures: An event history analysis, Strategic Management Journal 13 (1992) (6), pp. 475-481. Full Text via CrossRefBlodgett, 1992; Geringer Hebert,1989; Merchant Schendel, 2000) have show n that equity ownership in a joint venture is an important determinant of its performance. This is because if the partner has different strategy than the international enterprise, it may lead to conflicting interests.

The Influences Of Rational Thought On Western Civilization :: Philosophy Ration

The Greek's notion of rational thought is a very strong reason why Western Civilization has become so influential in the world today. During their time, the Greeks spurred an intellectual revolution. They questioned the meanings of life and began using their minds to expand the world. According to Glenn Blackburn: "In many ways, they "discovered" the human "mind" through their philosophy and rational thought [ . . . ]"(64). Their "opening" of the mind influenced all ways of life and society. Major ideas blossomed like politics, governing laws, literature, art, history, and new inventions. Scientific thinking was groundbreaking among Greek minds. Ideas of mathematics, astronomy, architecture, and anatomy engrossed the public. This revolution of rational thought dominated society and began a transition in Western Civilization because people began using reason to explain human and natural events, rather than the gods (Blackburn, 67). Even today, rational thought is used by al l of us and continues to influence society. The power of the modern mind has proved greater than any other Greek could have ever expected. The creation of rational thought began in the Greek city of Ionia. The citizens there were open to new ideas and influenced by traders from around the world. Laws were invented by these Ionians and written down to express the will of their society. The greatest and most recognized Ionian thinker was a man named Thales of Miletues. Considered one of the seven ""wises men" of the day, Thales contemplated water and its connection with the universe. Blackburn remarks that Thales ideas: "mark[ed] an important change in western scientific thought" (68). Thales also used I statements when he philosophized marking for the first time in history a human used reason and the rational mind. Other philosophers surfaced in Ionia during this period creating the study of the "cosmos," or universe. They also founded the study of past human affairs or history. This new idea of rational thought spread to the Greek capitol, Athens. Here politics and democracy exploded. Politicians and citizens were now able to debate issues and question justice. This form of independent thinking brought great pride and self-confidence to members of the Greek society. This allowed for huge successes for further philosophy, architecture, art, mathematics, anatomy, botany, literature, and creativity. Among the most famous of the Greek philosophers were Socrates, Plato, and Aristotle.

Employment Rights Act Essay

1. Know the statutory responsibilities and rights of employees and employers within own area of work. 1.1 List the aspects of employment covered by law Here is a list of the aspects of employment covered by law; minimum wage, discrimination, health and safety, holiday entitlements, redundancy, dismissal, training, disciplinary procedures, union rights and consultation, maternity rights, protected disclosures, working time regulations, particulars of employments. Working hours and holiday entitlements, Sickness absence and sick pay, Anti – discrimination provisions, Data protection, Relevant equalities legislation. 1.2 List the main features of current employment legislation is : – Health and Safety Act 1974 – Equality Act 2010 – Date Protection Act 1998 – Employment Rights Act 1996 – Part Time Workers Regulations Act 2000 – Working Time Regulations Act 1998 – National Minimum Wage Act 1998 1.3 Outline why legislation relating to employment exists. Legislation relating to employment exists to protect the rights of employers and employees by providing rules and regulations that must be followed. It prevents employers from abusing or taking advantage of employees. To prevent exploitation and To ensure safe working environment. 1.4 Identify sources and types of information and advice available in relation to employment responsibilities and rights. Sources and types of information that are available to employment responsibility and rights include: Employment contracts -copy, company policies, manager of team, Advisory, Conciliation and Arbitration Service, Jobcentre Plus, Citizens Advice Bureau, Department for Work and Pensions, Employment Appeals Tribunal Service, Her Majesty’s Revenue and Customs, Access to Work (to help pay towards a support worker or the equipment you need at work) and Direct.gov website. Understand agreed ways of working that protect own relationship with employer.

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The Global Supply Chain Business Essays - Free Essay Example

Sample details Pages: 5 Words: 1486 Downloads: 5 Date added: 2017/06/26 Category Business Essay Type Argumentative essay Did you like this example? Today globalization is no longer an option, but a matter of survival for companies. Global manufacturing and supply chain management are two of a companys most important tools when it comes to reducing costs and increasing revenues. Supply chain can be defined as a set of three or more entities (organizations or individuals) directly involved in the upstream and downstream flows of products, services, finances, and/or information from a source to a customer (1). To explain this easier we can say that the supply chain is a way to organize the making of a product from the raw material supplier to the finished product which can be sold to consumers. The supply chain consists of three key parts; supply, manufacturing and distribution. The supply part includes how, when and where the business is going to get their raw materials they can use in the manufacturing. Manufacturing focuses on how to convert the materials to finished products, and the distribution part wil l try to get these products out to the consumers in the best way possible, through an organized network of distributors, warehouses and retailers. It is important for the company to form out a strategy, so that they take the best advantage of their supply chain. To ensure this, they can use the supply chain management to find the most efficient and cost-effective way. A business has to take a lot of choices when forming out its supply chain strategy. The management wants to run the business in the most efficient way, so that they can earn the highest profit possible. They have a lot of options on how to organize the supply chain. It can produce its input in-house, it can outsource it in the home country, it can produce them in a foreign country (FDI), or it can import them from a foreign supplier. The biggest multinational enterprises spread their supply chain over many countries which benefits from low average wages and undervalued currency. It is very popular to look at Asia, M exico or Eastern Europe when you want to outsource your manufacturing because the labor is so cheap in these areas. This may be a much more profitable way to manufacture their products compared to doing all of the production by themselves. To solve the make or buy problem, the company has to consider a couple of factors regarding an outsourcing-strategy. First of all they have to see if outsourcing the parts really would reduce the manufacturing costs. Thats often the most obvious reason to choose an outsourcing strategy. To achieve a complete overview of all the costs associated with outsourcing to another country, they can make a total cost analysis. Labor costs may be such a small part of the total costs, that it will not necessarily be profitable for the business. They also have to take into account all costs related to for instance transportation and storing. They also need to find a manufacturer they can depend on when it comes to products and price. In the same category we can put the importance of quality. They have to be sure that the products and services are of high quality, and that the speed of the delivery is acceptable. It is important that the finished products reach the market in time. A famous saying is: do what you do best and outsource the rest, and many firms live by this rule. It means that you need to find your core competence, which means the areas that make the firm unique, and where they may have a competitive advantage. Burt, Dobler and Starling (world class supply management (1) present a rule of thumb for outsourcing. According to them a firm should outsource all items unless it is critical to the success of the product, it requires specialized design, skills or equipment and there are only a few reliable suppliers, or if it is within the core competence of the business. If the item fits at least one of these characteristics, it should be produced in-house. Another thought is that you should outsource if it gives you bette r value for money compared to producing it in-house. There are of course many pros and cons by both in-house manufacturing and outsourcing. We will start by mention the most important advantages of outsourcing compared to making the part in-house. The primary and most common motivation to why businesses outsource parts of their manufacturing is the opportunity to save money. It is a well known truth that people in developing countries are paid far less than people in the West. U.S Bureau of Labor Statistics estimate that the average wage in China is 67 cents an hour. This is a number significantly lower than the average of 23, 65$ earned by US factory workers. Because of these conditions China has become the most popular country for companies to source out their manufacturing, and Wall Street Journal have described it as the worlds factory floor.(1) Other cost saving benefits in addition to lower salaries is that for every employee you can cut off, you can save costs and ma intenance of for example a computer and you can cut expenditures and time related to training of new employees. You might also save money connected to research and development (RD), marketing and launching. Another great advantage by outsourcing is that the subcontractor most likely is an expert in the service they provide, and it is their core competence. This means that the business is receiving a higher quality service than they would get with an in-house employee. The service provider also has a reputation to take care of, and if they dont deliver the quality that is expected, the competition is very high so they might be replaced by another subcontractor. If you are a relatively small firm you may not have enough capital to obtain the best technology, than you can take advantage of the subcontractors technology since that is part of their core business. When you choose to outsource your manufacturing business you get the opportunity to really focus on your core competence , and can develop this to a new level.This will give you an even bigger competitive advantage. A pro regarding outsourcing can also be that it is risk reducing and flexible. Changes in the environment such as market and technology can happen really fast, and it can be difficult to keep up with these changes. When a company outsource, the risks are divided between several different companies. A specialized supplier invests not only for one firm, but on the behalf of all clients. By sharing these investments, the risk reduces for each business. It is also more flexible because it is much easier to cut a supplier, than to tell an employee that he is fired. In some cases the fact that you have a specialist in your company, which normally will increase the quality and lower the costs, may be a factor that attracts customers. There are also a couple of disadvantages connected to outsourcing. There is of course always a risk that you dont earn the profit you expected by the out source investment. When you manufacture a component in-house you know what you get, but outsourcing is a way more insecure strategy Another disadvantage is that you will lose managerial control. When you subcontract your manufacturing you give the management and control to this company. The company you outsource to will have no connection to your business beyond the contract, and will not be driven by the same standards and guidelines as your company. You dont have the same quality control when outsourcing opposed to manufacturing in-house. Outsourcing may threat and upset your employees, and make them feel less important. This can affect the quality of their work. It is important to always keep your employees motivated. Employees are often far more loyal to their company, but the supplier will not feel the same connection. They often have a lot of customers and are motivated by profit. You may risk that they only want the job done, and that the quality of the job isnt as good as it should be. When you manufacture in-house you can find out when the products isnt of acceptable quality, and you still got the time to do something. When your outsourcing to a foreign supplier your extremely vulnerable that your products reaches the market in time. The products may be transported to the market just before the deadline, and if the quality isnt good enough its too late to send them back. This can make you lose your customers. Another option that has become an increasing trend the last decades are foreign direct investments (FDI). FDI can be defined as any form of investments in enterprises which function outside of the domestic territory of the investor (1. There are several opportunities to how you can get into a foreign market by a FDI including franchising, joint ventures  Don’t waste time! Our writers will create an original "The Global Supply Chain Business Essays" essay for you Create order

Steps Of Decision Making Process - 1873 Words

EXECUTIVE SUMARY 1. INTRODUCTION 2. FIVE STEPS OF DECISION-MAKING PROCESS Schiffman et al. (2011, pp. 460 - 481) maintain five steps of decision-making process which are: 1. Need recognition 2. Information search 3. Evaluation of alternative 4. Purchase decision 5. Post-purchase evaluation These five steps would be applied to describe the interviewee s decision-making process: 1. Need recognition The interviewee recognized his need when his old printer started to malfunction a lot . It is time consuming to constantly fix it and replace things. He recognized it is time to get something new. He stated the printer mostly just for printing and scanning but what he wanted is a multi-functional printer. 2. Information search The interviewee did not have a specific band choice set before arriving at the office store. He comes to an office works store to see what brands they have and saw a huge package of HP printer placed right in the front of the entrance with a special deal of 30% off the retail price. When he had seen that, he wanted to have the deal. He then examined the price of the printer from other stores and do more research on the internet when he got home. The interviewee prefer searching for the type (functionality) of the printer first and then for the price when he use search engines. His references are consumer reviews on online blog sites and Amazon site, commercial Web sites as well as printer tests on PC magazine sites. The interviewee marked the relativeShow MoreRelatedThe Six Step Decision Making Process1157 Words   |  5 PagesBefore a company can make any decision on introducing a new product to the market it must undergo the six-step decision process. Many issues and profit loss can be avoided if the company undergoes the process and focus on their goal. 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A History of Portraiture Essay Example For Students

A History of Portraiture Essay The best record of non-photographic portraits would of course be statues in the pre-Roman era. Some of the earliest portraits date back to B. C. The most popular of these type of portraits were those done in Egypt. It was common to do a funeral portrait or a â€Å"mummy portrait. While in this time it was difficult to capture a person’s essence and personality in stone these types of portraits were used often to remember the deceased. Many other portraits were done during the medieval period in Europe. However, the church ruled in Europe during this time period. It was looked down upon to have a portrait done unless you were a noble figure or trying to reenact a consecrated figure of the church. Why you ask? Well it would give the subject of the portrait a likeness to God. Portraiture became extremely dominate in the Renaissance Era. During this period the use of perspective and light helped to create a more photorealistic portrait. Shadow was used to create depth and form in paintings. This got rid of the common â€Å"flat look† which pictures seemed to possess before this era. Artists such as Leonardo De Vinci and Rembrandt affected the way which portraits were created. We will write a custom essay on A History of Portraiture specifically for you for only $16.38 $13.9/page Order now Leonardo added color and layered his oil paints when doing portraits to give them a softer glow. Rembrandt added four different aspects, in his paintings, and to the way modern photographic portraiture is used today. The first is known as â€Å"Rembrandt lighting. With this type of lighting there is a small highlight on the shadow side of the face. By positioning the shadow differently it adds much more texture to the image than if the person’s face were entirely in the light. The second aspect would be choosing to face the subject slightly away from the light source, this is also known as â€Å"broad lighting. The third would be the ability to take into account the surroundings of the subject or the background. By giving the background lighting affects this added depth to his portraits. Lastly Rembrandt used a white cloth and draped it above the top of the window. This made sure that the light from the window would refract back downwards and surround his subject. The use of technology also became a part of portrait painting during the late Renaissance. Optic projections had become common knowledge by then. However, there is evidence to suggest that camera obscura and the use of mirrors was also common when painting portraits. The use of these techniques and tools while essential to painting, also became essential in photography as well. In the year 1839, portraiture changed from using subjects in paintings to capturing those subjects in photography. In that year both William Talbot and Louis Daguerre introduce the Daguerreotype and the Calotype. After both of these techniques had been introduced painter Paul Roche declared the art of painting to be dead. While incorrect, both the Calotype Daguerreotype did alter the art scene, especially when it came to portraiture. Photography lessened the time it took to make a portrait. While painting a portrait took hours of sitting completely still, with photography it took much less time to take and develop the portrait. As more time passed the faster and easier portraiture, in photography, could be done. Soon new materials reduced exposer time from fourty-five minutes to a few seconds, leaving more time to spend editing photographs. When the wet collodion process was introduced it became more assessable and affordable for the individual to do his or her own portraits. It was no longer a rich mans art. One of the most famous portraitists, who came about during this time, was Julia Margaret Cameron. She set the standard to not only capture your subject but to also capture the emotions the subject evokes. As the wet collodion process became more and more popular the number of people involved in portraiture also increased. Four more processes were added to development of pictures: the ambrotype, tintype, carte-de-viste and cabinet cards. The last two were types of card photographs. The less costly tintype became more popular than the ambrotype. It was easy to access and much less expensive. The tintypes started becoming increasingly in demand during Civil War and continued to be used up until the twentieth-century. Tintype studios became such a request that the photographs were sold at no more than a penny a piece. While this type of process is not in use today the poses which are used in tintypes are commonly used in â€Å"yearbook photographs† or â€Å"senior pictures. Also, during this time many painters started to use photography to work off of instead of requiring the subject to sit for hours on end in front of them. One of the painters, by the name of Franz Lenbach, had several photographers venture around Europe to take numerous images, which he could then convert to portraits. With the furthering of technology photographers could think more outside of the box when it came to positions in which to put their subject in. This allowed photographers to leave the studio as well. One of the most famous photographers, Edward S. Curtis, traveled throughout the United States taking many documentary pictures, as well as portraits. Another photographer, Irving Penn, actually took a small tent with him, creating the â€Å"world’s smallest dark room. As the popularity of photography increased, so did the formation of clubs and societies. Among these is the Royal Photographic society and The Professional Photographers of America. .ud0ebd197552b55ab165976187041d8dd , .ud0ebd197552b55ab165976187041d8dd .postImageUrl , .ud0ebd197552b55ab165976187041d8dd .centered-text-area { min-height: 80px; position: relative; } .ud0ebd197552b55ab165976187041d8dd , .ud0ebd197552b55ab165976187041d8dd:hover , .ud0ebd197552b55ab165976187041d8dd:visited , .ud0ebd197552b55ab165976187041d8dd:active { border:0!important; } .ud0ebd197552b55ab165976187041d8dd .clearfix:after { content: ""; display: table; clear: both; } .ud0ebd197552b55ab165976187041d8dd { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .ud0ebd197552b55ab165976187041d8dd:active , .ud0ebd197552b55ab165976187041d8dd:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .ud0ebd197552b55ab165976187041d8dd .centered-text-area { width: 100%; position: relative ; } .ud0ebd197552b55ab165976187041d8dd .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .ud0ebd197552b55ab165976187041d8dd .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .ud0ebd197552b55ab165976187041d8dd .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .ud0ebd197552b55ab165976187041d8dd:hover .ctaButton { background-color: #34495E!important; } .ud0ebd197552b55ab165976187041d8dd .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .ud0ebd197552b55ab165976187041d8dd .ud0ebd197552b55ab165976187041d8dd-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .ud0ebd197552b55ab165976187041d8dd:after { content: ""; display: block; clear: both; } READ: Quick History Of Art Essay Research PaperSeveral schools came about to train photographers in a strong portrait course. While they were all named schools, education was not the primary purpose for them. Many photographers gathered at the schools to share their different techniques or ideas. As photography changed through its technology and use so did portraiture. One of trends which came about in the late 19th century was pictorialism. A few of the photographers who’s work was greatly affected by this movement were Alfred Stieglitz, Edward Steichen and Clarence White. With this type of photography the photograph had a more romantic and soft look to it. With the publication of Camera Work, photography was given equal status to other forms of art, such as painting. Then came along the three photographers which impacted portraiture in an incredible way. The first portraitist was Cecil Beaton. He was a British portrait photographer and theatrical designer. His earliest portraits were of his sisters Nancy and Baba. He was educated at Harrow and Cambridge, but never finished out school. His career took an entirely different turn when he visited New York City. He received contracts with Vogue, Vanity Fair and Harper’s Bazaar. His work primarily focused on cultural icons in his day. His wanderlust compelled him to travel. Hollywood stars captured by his camera included Gary Cooper, Marlene Dietrich, Greta Garbo, and Katherine Hepburn, while painters ranged from Salvador Dalà ­ to Francis Bacon. His portraits spanned parts of six decades. In the 1930s he was commissioned to take a series of pictures of Queen Elizabeth. This job eventually led him to become the official Royal Family Portraitist. During World War II he was taken out of his glamorous environment and became a war photographer. His abilities, while were extremely obvious in photography, extended beyond that. He was also a writer and illustrator. His obvious association with celebrities of all kind gave him an influence on the way portraits were taken. While he used mostly standard poses he got his subjects to really convey certain sides of their personality which much of the world had not seen before. The second influential portraitist was Yousuf Karsh. Karsh was born in Turkey; he left turkey for Canada during World War II. He moved in with his uncle and soon was taught the basics of photography. His uncle then sent him to Boston under an apprenticeship. After three years of being under the wing of popular portrait photographer John H. Garo he moved back to Canada. In the nations capital of Ottawa, he opened a modest portrait studio. He hoped that its locations would be prime for photographing its important figures and international visitors. Karsh was quoted as saying in the Independent. So meager was Karshs budget for the launch of his own studio that most of the furniture consisted of orange crates. In his spare time, Karsh became involved with a local theater group, where he learned more about lighting and the use of artificial light in photography. It was at the theater group that the photographer first met actress Solange Gauthier. He later married her. One of the more unique things which Karsh did was to study his subjects before he took photographs of them. In an account of his preparations for a photo shoot, Karsh wrote, as quoted in the Independent, Before I begin, I will have studied my subject to the best of my ability, and within broad limits know what I am hoping to find, and what I hope to be able to interpret successfully. The qualities that have attracted me to the subject are those that will satisfy me if I can portray them in the photograph, and that will most probably satisfy views of the picture as we ll. I am fascinated by the challenge of portraying greatness with my camera (Yousuf). Karsh first captured international attention with his December 1941 portrait of British Prime Minister Winston Churchill. During a brief visit to Ottawa, Churchill reluctantly agreed to sit for Karsh. He warned the photographer that he would give him two minutes and not a second more to take his picture. With that, Churchill lit up one of his trademark cigars. Seconds later, Karsh snatched the cigar from Churchills lips and then snapped the picture. The resulting photo was sold to Life magazine for only $100. This photograph eventually became the most widely reproduced portrait in the history of photography. The portrait of Churchill gave Karsh recognition all over the world. Not long after this the Canadian government sent Karsh to England to photograph several British military leaders. The widely circulated Churchill portrait brought a major change in Karshs life. No longer did he have to seek out subjects. They came looking for him. To be Karshed was a true sign that a celebrity had arrived. Karsh photographed every American president from Herbert Hoover to Bill Clinton. Although no one other than Karsh knows for sure, it has been estimated that he photographed 17,000 people over six decades. .u7be246669d49e224ec1fbac581793417 , .u7be246669d49e224ec1fbac581793417 .postImageUrl , .u7be246669d49e224ec1fbac581793417 .centered-text-area { min-height: 80px; position: relative; } .u7be246669d49e224ec1fbac581793417 , .u7be246669d49e224ec1fbac581793417:hover , .u7be246669d49e224ec1fbac581793417:visited , .u7be246669d49e224ec1fbac581793417:active { border:0!important; } .u7be246669d49e224ec1fbac581793417 .clearfix:after { content: ""; display: table; clear: both; } .u7be246669d49e224ec1fbac581793417 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .u7be246669d49e224ec1fbac581793417:active , .u7be246669d49e224ec1fbac581793417:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .u7be246669d49e224ec1fbac581793417 .centered-text-area { width: 100%; position: relative ; } .u7be246669d49e224ec1fbac581793417 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .u7be246669d49e224ec1fbac581793417 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .u7be246669d49e224ec1fbac581793417 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .u7be246669d49e224ec1fbac581793417:hover .ctaButton { background-color: #34495E!important; } .u7be246669d49e224ec1fbac581793417 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .u7be246669d49e224ec1fbac581793417 .u7be246669d49e224ec1fbac581793417-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .u7be246669d49e224ec1fbac581793417:after { content: ""; display: block; clear: both; } READ: World History Renaissance 9th GradeAnother part of Karsh, which made him such a great photographer, was that he was deeply respected by his subjects. His brother said â€Å"People knew they had a master with them and they appreciated that opportunity. † Karsh sought to bring out people’s true personality and world views in his photography. One of the most famous quotes is â€Å"I believe that it is the artists job to accomplish at least two things-to stir the emotions of the viewer and to lay bare the soul of his subject. When my own emotions have been stirred, I hope I can succeed in stirring those of others. But it is the mind and soul of the personality before my camera that interests me most, and the greater the mind and soul, the greater my interest (Yousuf). The last photographer which effected portraiture on a grand scale was Arnold Newman. Arnold Newman was an American photographer. He tended to specialized in portraits of well-known people posed in settings associated with their work. This approach is known as â€Å"environmental portraiture†. He started out studying art at the University of Miami in Florida. After that he took a job as an assistant in a photography studio. In 1941 he was blessed with his first exhibition in New York City. He continued to visit New York until he finally moved there and opened his own studio in 1946. Although his early portraits concentrated on well-known artists, he gradually broadened his subject matter to include famous people of all types, such as: writers, composers, political leaders and scientists. He always posed them in a way which best reflected their personality and occupation. The 76 photographic portraits of eminent Britons that Newman made for the National Portrait Gallery in London were published in the book The Great British. As you can tell these three while coming from different backgrounds and parts of the world all have one thing in common. They try to reflect part of the subject’s emotions or experiences in the photograph. While some people in portraiture do not use these techniques without them it isn’t much of a portrait. Yes there are portraits of people which are used in the year book but they aren’t as exciting as these ones. In order to create dynamic photos a photographer must decide what particular emotion or feel the photographer wants the viewer to recognize. For this it is essential to understand the subject in order to make a good portrait. People want to be understood, and to relate to the photographer making their portrait. Much of portrait photography focuses primarily on the face or eyes of a subject. It is said that eyes are windows to a person’s soul, which makes sense for why it is so popular in portrait photography. Light Dynamics are what make portraits possible and interesting. This has always been true with painting, and it is true now with digital portraiture. Photographers as well as painters use light to make portraits come alive. Light gives figures form and volume through the addition of highlights and shadows. While light dynamics brighten portraits, we rarely see the light source itself. When light is visible in a portrait we generally see light that is scattered, or out of focus. While some people believe that portrait photography is not an essential part of photography, they could do without it, that it is simply â€Å"documentation. † While yes, in the beginning of portraiture painting and portrait photography it was strictly for the rich and noble figures of the time. Today Portrait photography has become vital. It is safe to say that photography would not be what it is today without portraiture. From a very early age we are subjects of photography, especially in portraiture. It captures humans through their greatest achievements, such as graduating their college of choice, or the little ones, such as the first day going to the beach. Either way portraits capture something about human beings. It encompasses not only the physical and outer image but also the inner image of ourselves. Bibliography: Admin. Understanding Portrait Photography. A Photography Blog. 121 Clicks, n.d. Web. 20 Oct. 2012.  . Benigno, John. Masters of Photography. Cecil Beaton. N.p., 09 Jan. 2011. Web. 18 Oct. 2012.  . Newman, Arnold, and Philip Brookman. Arnold Newman. Kà ¶ln: Taschen, 2000. Print. Rand, Glenn, and Tim Myer. A Very Brief History of Photography. N.p.: Rocky Nook, n.d. Book. 28 Dec. 2009.  . Tippett, Maria, Dr. Portrait in Light and Shadow: The Life of Yousuf Karsh. N.p.: Yale UP, n.d. Print. Yousuf Karsh Biography. Yousuf Karsh Biography. Encyclopedia of World Biography, 2010. Web. 17 Oct. 2012.  . 10 Famous Portrait Photographers You Have To Discover! Famous Portrait Photographers You Have To Discover! Photography Art Cafe, 2011. Web. 22 Oct. 2012.