Unit 5 Individual Project 1 Essay Example | Topics and Well Written Essays - 500 words

Unit 5 Individual Project 1 - Essay Example conomic Review, Microsoft is the most admired company in the world, both due to its development and vision, and because of its financial stability and economic strength. It has been on the top of the list for nine straight years. Much of the credit for this goes to the increasing financial growth of the company over the years, and its expanding revenue and costing horizons, thanks to its ever-developing subsidies all around the world. According to the Review, there was a 13% growth in its revenue in the fiscal year ending in June 2003, to an outstanding $32 billion, with an 11% increase in the operating income, to $13 billion (Review 2008). The importance of the growth of its subsidies and global presence can be inferred from the fact that Microsoft decided to spend around $750 million to build up on its position in China by 2005 (Review 2008), a strong market and a booming economic strength that is sure to provide Microsoft with an increased influx of revenue, resulting in an increa sed growth rate and financial stability post-2005 investment. In fact, the financial growth is already apparent. Owing to the increased markets and customers liking for the launch of new features of Windows Vista and Microsoft Office 2007, there has already been a 6% increase in the revenue for the fiscal quarter ending on 31st December, 2006, which reached $12.54 billion, a deferral of $1.64 billion of revenue and operating income, as compared to the figures of the same quarter for the previous year, that is the quarter ending on 31st December, 2005 (Microsoft 2007). All the facts and figures revealing the company’s financial standing and growth are a proof of the economic stability and expansion of

The Beer Industry Insights Essay Example for Free

The Beer Industry Insights Essay Carlsberg Group is the fourth largest brewer in the world. Our extensive port- folio of beer brands provides a beer for every occasion and palate. Our flagship brand, Carlsberg, is one of the best- known beer brands in the world, and Baltika, Carlsberg, Tuborg and Kronen- bourg are among the biggest brands in Europe. In addition, we have a wide range of leading beer brands in local markets. Our business is focused in Western Europe, Eastern Europe and Asia, where we have strong market positions. The rest of the world is mainly serviced through export or license agreements. Western Europe: Carlsberg is the second largest brewer in Western Europe, and in 2012 they had a 40bp market growth in this area. Eastern Europe: Carlsberg holds a strong no. 1 position in the region’s main market, Russia, and very strong positions in the other markets in the region. In 2012 they had a 38,2% market share in the area. Asia: Carlsberg’s Asian portfolio of businesses consists of mature markets such as Malaysia, Hong Kong and Singapore as well as investments in growing beer markets such as China, India and Vietnam. In 2012 their organic beer volume growth was 9%. China is the worlds largest beer market. Carlsberg and the Market: For more than tree decades, Carlsberg has been one of the largest commercial sponsors of professional football, and Carlsberg beer and football are almost inseparable. * Since 2008, stadium beer sales has gone up 40% * There has been 6. 6 million visitors to fan parks * There has been 1 million cups of beer sold during half-time at the final. *Carlsbergs focus concerning the macro environment: see corporate social responsibility report COMPETITORS Heineken Heineken is the 3rd largest brewer in the world. HEINEKEN is a proud, independent global brewer committed to surprise and excite consumers everywhere. Four key attributes make the Company different: Heineken ® is the first and only truly global beer brand, enjoyed in 178 countries around the world; a unique, worldwide footprint with operations in 71 countries, ensuring a broader reach for our brands than any other brewer; an internationally diverse, dynamic, committed and entrepreneurial team of around 70,000 employees; and the passion of the Heineken family remains as strong today as it was in 1864 when we first started brewing beer. Western Europe: HEINEKEN is Europe’s leading brewer. We have operating companies in 10 countries and an Export and Duty Free business. Revenue â‚ ¬7,785 million, 42,3% Central and Eastern Europe: HEINEKEN has a rich product portfolio of leading brands.? We have operating companies in 14 countries and we own and operate more than 50 breweries across the region. Revenue â‚ ¬3,280 million, 17,8% Americas: We operate 20 majority-owned breweries and seven joint venture breweries in a region characterised by attractive, growing and profitable markets. Revenue â‚ ¬4,523 million, 24,6% Africa and the Middle East: HEINEKEN first imported beer into Africa in 1900. Today we have operating companies? in 20 countries in the region and brew a number of blockbuster brands. Revenue â‚ ¬2,639 million, 14,4% Asia: The acquisition of Asia Pacific Breweries means we now have? a presence in 19 countries in the region and operate 25 breweries. In India our joint venture company is UBL. It is the market leader and has 18 breweries. Revenue â‚ ¬527 million, 2,9%. Organizarion goal and objectives: Heinekens five business priorities: Each one helps us to achieve our goal of winning in all markets with Heineken ® and with a full brand portfolio in markets where we choose. * Aims for sustainable growth as a broad market leader and segment leadership * Expand and optimize brand portfolio * Embraced innovation as a key component of their strategy in areas of production, marketing, communication and packaging * Goal is to grow the business in a sustainable and consistent manner, while consistently improving profitability SWOT Heineken Strengths1. Heineken’s leading brand portfolio includes more than 170 international premium, regional, local and specialty beers. 2. The company has undertaken various advertising and promotional initiatives, which has improved its brand equity. 3. Strong brand portfolio helps the company to create a favorable image in the market and ensures stable revenues.? 4. Heineken has a large network of breweries. It owns over 125 breweries in more than 70 countries. 5. Since the breweries are located close to their end markets, the company is in a position to serve fresh beer to customers. 6. A geographically widespread plant network reduces transportation costs as well. 7. Strong network of breweries helps the company boost customer satisfaction and reduce costs8. Excellent branding and top of the mind recall owing to advertising and sponsorship initiatives| Weaknesses1. Beer markets in Western Europe faced a challenging year due to the combined impact of the financial crisis, mixed weather, smoking bans and unprecedented increases in excise duties? 2. Maintaining corporate values, image and quality standards in various countries is a challenge3. Being a leader susceptible to fake imitation products| Opportunities1. Heineken’s acquisition of other breweries and brands2. Expand product line – for new areas and to accommodate changes in taste and preference.? 3. Innovations contribute to the top-line growth and to the strength of the Heineken brand in particular. 4. Integration forwards and backward. 5. Driving top-line growth by winning customers at the point of purchase has been the key rationale behind the roll-out of Heineken’s extra Cold program. 6. Falling trade and ownership regulations in foreign countries. | Threats1. Tax regulations on the beer industry2. An increasingly negative perception in society towards alcohol could prompt legislators to restrictive measures. 3. Slowed industry growth rate. 4. Legal issues dealing with underage drinking – retailer’s license may be revoked or suspended. 5. Heineken has many operations in mature beer markets where the attractiveness of the beer category is being challenged by other beverage categories. 6. Changing buyer taste and preference. 7. Input costs (including transportation and energy) have accelerated to unprecedented levels in the past few years. | AB-InBev Anheuser-Busch InBev is the leading global brewer and one of the world’s top five consumer products companies. Our dream, shared by 118 000 people around the globe, is to be the Best Beer Company in a Better World. That means brewing beers with a heritage of quality and craftsmanship dating back to 1366, while maintaining an unwavering commitment to responsible drinking, environmental stewardship and the betterment of the communities in which we operate. A true consumer-centric, sales-driven organization, we have a strong, balanced brand portfolio, including six of the 10 most valuable beer brands in the world*, and we hold the No. 1 or No. 2 position in many of the? world’s leading beer markets. In 2012, our total revenues were 39. 8 billion USD. Our portfolio consists of over 200 beer brands, including three global brands, Budweiser, Stella Artois and Beck’s; fast-growing multi- country brands Leffe and Hoegaarden; and strong â€Å"local champions†, such as Bud Light, Skol, Brahma, Antarctica, Quilmes, Michelob Ultra, Harbin, Sedrin, Klinskoye, Sibirskaya Korona, Chernigivske, Hasseroder and Jupiler, among others. Headquartered in Leuven, Belgium, Anheuser-Busch InBev operates? in 23 countries worldwide and works through six geographic Zones: North America, Latin America North, Latin America South, Western Europe, Central Eastern Europe and Asia Pacific — enabling consumers around the world to enjoy our products. Strategy: the words we live by â€Å"Our dream inspires us to be the Best Beer Company in a Better World — our People and our Culture make it happen. † Dream: Our shared dream energizes everyone to work in the same direction: to be the Best Beer Company in a Better World. Everything we achieve begins with our shared dream: to be the Best Beer Company in a Better World. This dream has inspired us not only to build and grow one of the leading global consumer products companies but also to commit ourselves to improving the world around us by promoting responsible drinking, environmental stewardship and involvement in our communities. Our dream is ambitious but credible, and we know that by stretching to achieve great things, we will become the size of our dream. People: Great people, allowed to grow at the pace of their talent and compensated accordingly, are the most valuable assets of our company. We know that great people are the key to transforming a great dream into reality. Our dream is shared by 118 000 AB InBev colleagues around the world, who represent our greatest asset and our only sustainable competitive advantage. It is because of our people — and their talent, engagement, drive and sense of purpose — that we have been able to deliver on our commitments to our customers, our shareholders, our communities and one another. Great people, motivated by leaders who clear the way for them to perform at their best, attract more great people to our company. And we believe that great people are attracted by an atmosphere of meritocracy, informality and candor. Our approach is to hire people with the potential to be better than we are, to ensure that leaders engage them fully and to provide challenging experiences to help them develop. We invest heavily in attracting the best people, developing their potential and enriching their opportunities through a range of programs and initiatives. Culture: * We are never completely satisfied with our results, which are the fuel of our company. Focus and zero complacency guarantee lasting competitive advantage. * The consumer is the Boss. We connect with our consumers through meaningful brand experiences, balancing heritage and innovation, and always in a responsible way. * We are a company of owners. Owners take results personally. * We believe common sense and simplicity are usually better guidelines than unnecessary sophistication? and complexity. * We manage our costs tightly, to free up resources that will support top-line growth. * Leadership by personal example is the best guide to our culture. We do what we say. * We don’t take shortcuts. Integrity, hard work, quality and consistency are keys to building our company. North America total volumes increased 0. 6% in 2012 AB InBev’s shipment volumes in the United States and selling-day adjusted sales-to- retailers (STRs) grew 0. 7% and 0. 4%, respectively. The company estimates it continued to make good progress on market share in the U. S. , with market share down less than 20 bps in 2012, due to significant improvements in the premium-plus category following the roll-out of Bud Light Platinum and Bud Light Lime Lime-A-Rita. These innovations helped the company to grow the market share of the Bud Light Family by approximately 70 bps in 2012 Michelob Ultra, Shock Top, Stella Artois and AB InBev’s other high-end brands also grew share, while company’s share remained under pressure as a result of softness in Budweiser and the company’s pricing strategy of closing the gap between sub- premium and premium brands within its portfolio. In Canada, beer volumes increased by 0. 1% in 2012 mostly driven by a tough comparison in terms of industry, poor weather and the ice hockey lock-out. Latin America North volumes grew 3. 0%, with beer volume growth of 2. 7% and soft drinks up 3. 7%. In Brazil, beer volumes increased 2. 5%, benefiting from an estimated industry growth of 3. 2%, a strong 2012 Carnival execution, the positive effect of higher consumer disposable income in 2012 additional price promotions in the fourth quarter of 2012 following the partial postponement of the tax increase announced on September 2012 as well as strong execution of commercial initiatives. Premium brands continued to grow ahead of the rest of the company’s portfolio. The company estimates that Budweiser, which has been in the market over a year, became the largest international premium brand in Brazil during the fourth quarter of 2012 Stella Artois is also growing quickly with over 45% volume growth during 2012 The company estimates that its market share was down by 50 bps during 2012 reaching an average of 68. 5%, primarily due to price increases in the third quarter of 2012 Latin America South total volumes decreased 0. 8%, with beer volumes up 0. 1% and non-beer volumes down 2. 2%, respectively. In Argentina beer volumes declined 0. 4%, driven by an uncertain consumer environment and a weak industry. However, a strong performance from Quilmes and Stella Artois led to continued strong market share performance. Western Europe own beer volumes declined 3. 5%, while total volumes declined 4. 2%. Total own products, including cider, declined by 3. 0% in 2012. Own beer volumes in Belgium declined 4. 1%, driven by a weak, weather-related industry performance in the first half of the year. In Germany, own beer volumes fell 1. 4%. The company estimates that its market share was ahead during 2012 driven by a strong performance of its focus brands Beck’s and Hasseroder. In the United Kingdom, own product volumes decreased by 8. 2%, mainly driven by a weak industry and market share pressure due to competitive activity in the off-trade channel. Central and Eastern Europe volumes decreased 11. 3%. In Russia, beer volumes fell 12. 0%, driven by industry weakness following regulatory changes. Market share loss was driven by the implementation of tax-related and other selective price increases ahead of competitors, and promotional pressure in key account channels. However, the company continued to make progress with the optimization of its brand portfolio, with its premium and superpremium brands, including Sibirskaya Korona, Bud, Stella Artois, Hoegaarden and Lowenbrau gaining share, and now representing 35% of total volumes. Bud reached an estimated market share of 1. 4%. In Ukraine, beer volumes decreased 10. 3% in 2012 driven by a weak industry and market share loss. However, Bud achieved an estimated market share of 1% during the nine months since launch. Asia Pacific beer volumes grew 1. 9%. In China, beer volumes grew 1. 9% as industry volumes in our footprint declined by almost12% during the last quarter of 2012 due to severe cold and wet weather. Nevertheless, the company estimates it gained market share in China. The focus brands Budweiser, Harbin and Sedrin grew 8. 1% in 2012 SWOT AB InBev Strengths * They have a leading position in the market, due to which they are now an international company. * Their production line is very strong, and this is the reason why their brand is known all over the world. * They are much concerned about the making of their brands. These capabilities make them one of the leading brands around the globe. * They came up in the market when there was no such other beverage making industry in the country. | Weaknesses * Their concentration in the market is low. And this is the only reason why their customers are moving to other brands. * The trust on wholesalers is one of the major negative point about the company. * Anheuser Busch is having a problem in making the sufficient amount of beverages needed. * People have taken on the truth that due to some reasons this company is producing an imperfect amount of beer or beverages when it is needed the most. | Opportunities * By growing beer consumption in China, they will do more business. As China is one of the emerging countries and is a well named IT country, this will definitely help their business to expand internationally. * Joining hands with other companies and setting up the business in other countries, will led them to have strong sponsor ship and life time agreements. * By focusing on other drinks, they will increase their brand and in doing so their market shares will increase. * They can also run their business directly through the computers. So that the clients can be connected with them. | Threats * If some other beer Brewer Companies unites together, than this will be really challenging for Anheuser Busch to survive in the market. * The rise in the prices of the raw materials, which are used in the manufacturing, will result in the decrease of their production. * The change in the preferences is also another big risk for the company. * If they ever drop their real image in the market than it is going to be real hard for them to keep up the position in the present market. | SABMiller SABMiller is the 2nd largest brewer in the world, with more than 200 beer brands and some 70,000 employees in over 75 countries. We also have growing businesses in soft drinks and we are one of the world’s largest bottlers of Coca-Cola products. SABMiller has become a global leader by doing business locally, pursuing operational excellence and offering high-quality products backed by innovation and a commitment? to sustainability. Our success is built on a clear strategic direction, a shared vision and mission and a common set of values. Latin America: 32% Contribution to group EBITA 2012. 17 breweries, 14 bottling plants. * Our primary brewing and beverage operations cover six countries across South and Central America (Colombia, Ecuador, El Salvador, Honduras, Panama, and Peru). * In each of these countries, we are the number one brewer by market share. * We are also the third largest brewer in Argentina. * We bottle soft drinks for The Coca-Cola Company in El Salvador and Honduras, and for Pepsico International in Panama. * Regional office: Bogota, Colombia. Strategic focus area: * Drive strong top-line growth by expanding consumer occasions and entering adjacent categories * Increase share of alcohol and capitalise on differentiated and expanded brand and package portfolios * Optimise and extend distribution network and sales reach * Protect our licence to trade and business sustainability * Pursue operational excellence and efficiency in our businesses, optimising resources? and costs Europe: 14% Contribution to group EBITA 2012, 17 breweries. †¢ Our primary brewing operations cover eight countries – the Czech Republic, Hungary, Italy, Poland, Romania, Slovakia, Spain (Canary Islands) and the Netherlands. †¢ In the majority of these countries,? we are the number one or two brewer by market share. †¢ A further 16 countries including Russia, Turkey and the Ukraine are covered in a strategic alliance with Anadolu Efes through either brewing, soft drinks or export operations. †¢ We export significant volumes to a further eight European markets, of which the largest are the UK and Germany. †¢ Regional office: Zug, Switzerland. Strategic focus area: * Drive superior organic revenue growth and margin expansion through growing perceived category benefits and value per serving * Structure and shape the category by driving our full brand portfolios in growth segments in key markets through innovative 360 degree marketing programmes * Continue to drive differentiation through innovating in product, packaging and dispense systems * Design for scale, cost advantage and focus North America: 13% Contribution to group EBITA 2012. 8 breweries. †¢ MillerCoors is a joint venture with Molson Coors Brewing Company, formed in 2008 by bringing together the US and Puerto Rican operations of both groups. †¢ Headquartered in Chicago, MillerCoors is the second largest brewer in the USA, with 29% of the beer market. †¢ Our wholly owned Miller Brewing International business is based in Milwaukee, USA and exports our brands to Canada and Mexico and throughout the Americas. †¢ Regional office: Chicago, USA. Strategic focus area: * Win in premium lights with strengthened positioning of Coors Light, Miller Lite and Miller 64 * Through Tenth and Blake Brewing Company extend and grow MillerCoors’ import and craft portfolio * Create value through strong revenue management. * Create leading capability and superior growth in retail sales * Support the three-tier distribution system to drive effectiveness and value Arfica: 13% Contribution to group EBITA 2012. 32 breweries, 19 bottling plants. * Our brewing and beverage operations? in Africa cover 15 countries. A further? 21 are covered through a strategic alliance with the Castel group and we also have? an associated undertaking in Zimbabwe. * In most of these countries we are the number one brewer by market share. * We bottle soft drinks for The Coca-Cola Company in 20 of our African markets (in alliance with Castel in 14 of these markets). * Regional office: Johannesburg, South Africa. Strategic focus area: * Drive growth in beer and soft drinks through full brand portfolios, wider price ranges and expansion into adjacent categories * Step up investment behind our mainstream brands and differentiated premium portfolio * Increase share of alcohol through accessible brand and package offerings * Further develop sales and distribution to enhance our outlet presence and extend our geographic coverage * Mitigate high imported input costs through innovation and local supply chains. Asia Pasific: 6% Contribution to group EBITA 2012. 23 breweries, 2 bottling plants. CR Snow, our partnership with China Resources Enterprise, Limited, is the largest brewer in China. †¢ With the acquisition of Foster’s in December 2011, we have a major business in Australia. CUB4 only contributed to our results from mid-December 2011. †¢ We are the second largest brewer in India. †¢ We have an operation in Vietnam and we export to various markets including South Korea and Cambodia. †¢ Regional office: Hong Kong. Strategic focus area: * Integrate the Foster’s acquisition and deliver the commercial and operational targets * Further build market leadership in China and enhance profitability * Continue to drive Snow, the largest beer brand in China, with additional premium variants to increase revenue * Pursue market liberalisation in India and focus investment on growth and profitability in selected states South Africa: 22% Contribution to group EBITA 2012. 7 breweries, 6 bottling plants. The South African Breweries (Pty) Ltd. (SAB) is South Africa’s leading producer and distributor of lager and soft drinks. It also exports brands for distribution across Namibia. †¢ Our soft drinks division is South Africa’s leading bottler of products for? The Coca-Cola Company. †¢ We have hotel and gaming interests through our associate Tsogo Sun Holdings Ltd, the largest hotel and gaming group in South Africa. †¢ Regionaloffice: Johannesburg, SouthAfrica. Strategic focus area: * Leverage scale to drive productivity and reinvest savings in market-facing activities * Engage the competition in all alcohol categories * Ensure that key brands resonate. * Shape a culture of partnership and superior ?service offering in all classes of trade * Ensure societal leadership Four strategic priorities Financial goal: To deliver a higher return to our shareholders than our peer group over the longer term Strategic priority: * Creating a balanced and attractive global spread of businesses * Developing strong, relevant brand portfolios that win? in the local market * Constantly raising the profitability of local businesses, sustainably * Leveraging our skills and global scale SWOT SABMiller Strengths1. A strong portfolio of brands? 2. Strong sales and distribution network? 3. Presence in 75 countries across 6 continents? 4. SAB Miller also owns over 150 market-leading local brands5. Excellent marketing and branding have made the brand top of the mind6. Nearly 70,000 people form a part of the workforce| Weaknesses1. Have been unable to get a momentum in emerging markets? 2. Intense competition means market growth is limited| Opportunities1. Partnering the local breweries in particular countries can yield a bigger market share ? 2. Launching successful brands which have a strong following and brand equity in the newer markets3. More advertising and sponsorship would increase brand recall| Threats1. A strong competition from other brands? 2. Laws and regulations on advertising and establishing the business? 3. Slumping economy all over the world has been the greatest concern as disposable income of consumers in lowering| * Who are the key players in the industry and their relevant size? AB-InBev, Heineken, SABMiller * What are their objectives and strategies? * What are their strengths and weaknesses? * What are their market shares, the performance of the competitors in revenues, profits, and shareholder value? * What are the competitor’s capabilities, its organization, and its strategic alliances?

The Role Of The Management Accountant Accounting Essay

The Role Of The Management Accountant Accounting Essay At present, there is an argument about whether the role of the management accountant in organisations has changed when the business environment changed at the same time. The role of management accountants in organisations was measured by: (a) their skills requirements, and (b) the way other managers perceive them in their organisations (Tsamenyi and Yazfifar, 2005).In this essay, the author referred to a great number of literatures about this topic, and finally came to a conclusion that the role of management accountant in organisations has changed significantly accompanied by the changes of business environment over these years. Recently, management accountants in organisations did not just execute the traditional functions such as accumulation, analysis and preparation, and play the role like the bean counter and gathers of information that is useful and necessary for decision-makers (Choi, 2002). With the developments and changes of the business environment in some decades, the ro le of management accountant has changed into business partner and strategic partner, and taken the charge of interpretation, evaluation, control and involvement in decision-making (Choi, 2002). The analysis Background The status of the role of management accountant in organisations has been paid enough attentions in these years. Not only academic and professional staff made a huge number of accounting literatures, but also many related people that are not in accounting subject provided increasingly number of research evidences of this area. They all finally came to a point that the changing business environment caused the change of the role of management accountant in organisations. So the first aspect to research the topic is to evaluate the changes of the business environment. Further more, the second aspect is to find the changes of the role of management accountant in organisations. At last, the conclusion of this essay is to build a bridge between the changing business environment and the changes of the role of management accountant in organisations. The changing business environment If people tend to make a clear view of the change, they should get a specific understand of the business and business environment. As a sequence, this survey initially concentrated on the changing business environment. According to the management accounting professionals declared, the principle issue that caused the change of the role of management accountant in corporation is the increasingly fierce competition (Hoque et al., 2001; Krishnan et al., 2002).The new business environment just reflected this kind of competition. In the new business environment, it gave the expression to escalating globalization, fresh regulations that focused on corporate governance, changeable markets, new organizational structures, mergers and acquisitions, new management practices, rapid reaction speed, increasingly intelligent information technology and a potential trend of a more elastic corporation structure because of the need to deal with market requisition and more (Askary et al ,2008). In some s urveys, people see the changes of information technology and organizational restructuring as the most two important issues caused the change of the role of management accountants in organizations. And new accounting software and new management style are other two significant change drivers (Tsamenyi and Yazfifar, 2005). For example, a significant change of the business environment is the change of management accounting practices. There are so many new management accounting techniques had been innovated and implied in business these years. Some experts claimed that the changes of management accounting practices are administrative innovations (Hart and Roslender, 2002). Whether these changes could be successful or not, they are depended on how well behavioral and organizational implications are dealt with. So the process of these changes meets a huge organizational stress, clash and revolt. And these negative issues may cause failure of the innovation (Hart and Roslender, 2002). In this area, the most important issue is the innovation of Strategic Management Accounting (SMA). SMA was considered as the common-sense approach to the matters emerged in a changing business environment (Hart and Roslender, 2002). Some experts claimed accountants did a large number of benefits by using SMA to strategy formul ation and implementation. Some researchers suggested accountants to change their views from traditional accounting issues to concern more business factors. Some persons seen SMA was a tool to help accountants promote their status in organizations (Hart and Roslender, 2002). As a so hot topic, there is no a common conceptual framework about SMA. One definition (Hart and Roslender, 2002) accepted by some people is: The provision and analysis of management accounting data about a business and its competitors for use in developing and monitoring the business strategy, particularly relative levels and trends in real costs and prices, volume, market share, cash flow and the proportion demanded of a firms total resources. In 1981 that SMA was found, Simmonds set a view that the role of management accountants were changed from a pure financial worker to a more important position that need to gain a business opinion and hold the ability of the understand of business environment and represent changes in competitive position to senior management (Hart and Roslender, 2002). To illustrate, intelligent information development is a more important reason that caused the change not only in the past, but also it is going to influence the role of management accountant in companies in the future even for ever (Management Accounting, 1998). Meanwhile, the development of intelligent information occurred in every industry, business aspect and country. It is an obvious trend that computers deal with more daily work (Management Accounting, 1998). People who can hold the ability to learn and master IT and apply advantages of IT to daily works fully, they will gain benefits of a broader and more flexible role, with bigger management responsibilities, and maybe more rewards, and more frequently join in business strategy (Management Accounting, 1998). The application of IT into business work impacted not only on the role of management accountant in organizations, but also on the relationship between management accounting and other function (Management Accounting, 1998). There is another specific example that could be seen as the impact of the changing business environment caused on the role of management accountant. Enterprise Resource Planning (ERP) systems are the chief innovation in the business world as an information technology for companies to get information in 1990 (Kholeif and Jack, 2007). As a result, there are a good many of researches to investigate how the ERP systems to influence management accountant on work. One finding in researches of this topic is the role of management accountants in ERP environments seems to be subject to hybridisation, that means the role broadens to include other business and information movement or other people broaden their roles to take charges that accountant do (Kholeif and Jack, 2007). Consequently, the role of management accountants is changing from those traditional functions towards business partner and strategic partner. In spite of this, the use of ERP system yet may hurt the role of management acco untant as information suppliers because the chief managers can gain information they need directly without through accountant report (Kholeif and Jack, 2007). In recent years, there is another vitally important development concept in management accounting called Balanced Scorecard. It contains two aspects of changes compared with old accounting system. At one hand, it introduced an incorporation of non-financial measures. At the other hand, it joined these measures with organisational strategy (Choi and Latshaw, 2002). This means the top management of corporations could use Balanced Scorecard to strengthen strategies, introduce these strategies to all of the company, and assess the organisations process that pursues the goals of the strategies. At the same time, management accountants also adopt this concept in their works. This helps them enhance their status in companies as important management team partners. The changes of the role of management accountant in organizations It is a well known statement that management accounting practices that mainly include management accounting techniques, information and/or systems have nearly kept been stable in the greater part of a century (Johansson, 1990; Kaplan, 1986b). As a result, it can be concluded that traditional management accounting practices lost the ability of gaining useful information and giving full play in management decision-making in the changing business environment. With the changing business environment, the role of management accountants in organizations also changed obviously. One obvious example of the changes of t management accountants caused by the innovation of Balanced Scorecard could be found in the article Counting More, Counting Less: Transformations in the Management Accounting Profession.(Choi and Latshaw, 2002) In the essay, the authors compared differences of management accounting professions between 1995 and 1999 about accountants in IMA (Institute of Management Accountants). They found some aspects of the changes. First, there are more people considered management accountants gain more benefits for corporations in 1999 than the number in 1995 (Choi and Latshaw, 2002). Second, more workers were aware that management accountants were not only worked for accounting department, they also worked in operating sections as part of business team (Choi and Latshaw, 2002). Third, professors searched that management accountants used more time in internal consulting and the most important action for them is the strategic planning (Choi and Latshaw, 2002) . At last, people claimed that management accountants in companies took charges of both business partner and strategic partner. The vital reason of these changes is that management accountants in organisations take use of Balance Scorecard as a powerful tool to show their abilities to senior managers and strengthen their role as strategic partners (Choi and Latshaw, 2002). With the emergence of a specific accounting practice called Strategic Management Accounting (SMA), the role of management accountants also greeted clear changes. From the research of Bhimani and Bromwich, there two major ways of strategic management accounting: One tends to cost the product attributes provided by a companys products; the other is to cost the functions in the value chain which provide value to the consumer (Bromwich Bhimani, 1994). According to findings of Inman (1999), there are some points of differences between traditional and strategic management accounting: The first significant difference is the way that how cost should be cost; the second difference is the cost analysis goals; the last difference is the cost behavior. SMA put emphasis on the relative cost position; the approach a corporate may keep a continual cost advantages and costs of differentiation. As a result, the new kind of accounting practice requires management accountants to gain more abilities an d broaden their horizon from their usual work, put more eyes on general management, strategies making and implement, marketing and product development (Hart and Roslender, 2002). In modern society, intelligent information development is a common driver caused changes in many areas. The role of management accountants in organizations also changed with this trend. If management accountants want to be competent at their positions, they should possess the ability to stay ahead of change. They need to know well the latest information technology software, as the same time get a comprehensive comprehension of the business (Anastas, 1997). Consequently, there are some changes and trends happened for management accountants. The first trend was more and more management accountants became senior managers such as chief executive officers or chief operating officers, and the responsibility of accountants also changed from just analysis of past to strategic planning (Anastas, 1997). The reason of this phenomenon was because of the ability of accountants that they can translate financial data and results to strategic planning word. The second change was under the pressure o f the development of information technology, management accountants became advisors or internal consultants (Anastas, 1997). Accountants now join in the activities such as creating strategies and recommendations to influence management decisions. Management accountants play the role as a pivot among different departments. Heading accountants are the centre point to ensure companies on track. The third change is management accountants increasingly involved in decision-making activities (Anastas, 1997). They no longer just do book-keeping; they also make decisions for the whole company strategies. The forth change is management accountants became information managers because they are always the first consumers of new technology (Anastas, 1997). As a result, accountants usually adjusted more quickly and smoothly to new information technology than other departments in organizations. Accountants used the new technology to transform their eyes from looking backward to looking forward. So accountants could use new technology to calculate and forecast future environment the corporation will meet. Even sometimes accountants became sellers rather that reporters as the reason that they can sell the suggestions they got from the new information about what to do in the future (Anastas, 1997). Conclusion As been found the changes of business environment and the changes of the role of management accountants in organizations and the relationship between two kinds of changes, the conclusion could be gained. As a clear research finding, the major changes in business environment are these aspects: communications and information technology, organisational restructuring, globalisation and internationalisation and improvements and new innovations of management accounting practices (Management Accounting, 1998). And the major functions of management accountants these years focused on: design and improve the information systems of companies (especially understand and make use of IT system), give suggestions for business projects, join in strategic planning (plan and operate business and marketing objectives), deal with customers demands and taxation matters (Management Accounting, 1998). To summarise these aspects in some common and incisive points, the changes of the role of management accoun tants in organisations are chiefly as these respects: Firstly, the role of management accountants has been changed to business partners in corporations. They joined in more and more activities in functional departments, and they also participated in the plan and renew of information. Secondly, management accountants increasingly move their location from offices towards more near to plants. Thus they can get more specifically understanding of the business. This is also a clear point about accountants now play the role as business partners and they usually joined in a project from the just beginning and decision of results, and take charge of all outcomes. Thirdly, management accountants now naturally are seen as members of management team and business managers because their unique knowledge of finance and accounting can take huge benefits for management actions (ODea and Pierce, 2003). In one sentence, the role of the management accountant has changed in recent years from traditional accounting functions to that of a strategic planner and a business partner in the changing business environment. Bibliography Anastas.M. (1997) The changing world of management accounting and financial management. Journal of Management accounting. .48-51. Askarany.D et al. (2008) Management Accountants Role in Dependent and Independent Companies: Does Ownership Matter? Journal of Accounting Business Management. 15(2), .1-21. Bhimani, A. and Keshtvarz, M. H. (1999). British management accountants: strategically oriented. Journal of Cost Management. 13(2), .25-31. Cable.R.J et al. (2009) Teaching future management accountants. Journal of Management accounting quarterly. 10(4), .44-50. Choi.Y and Latshaw.C.A. (2002) The Balanced Scorecard and the Accountant as a Valued Strategic Partner. Journal of Review of Business. .27-29. Hart.S.J and Roslender.R. (2002) Integrating Management accounting and marketing in the pursuit of competitive advantage: the case for strategic management accounting. Journal of Critical Perspectives on Accounting. 13, .255-277. Johansson, H. (1990). Accounting System Changes. Journal of Management Accounting. .37-41. Hoque, Z., Mia, L. and Manzurul, A. (2001). Market competition, computer-aided manufacturing and use of multiple performance measures: an empirical study. Journal of British Accounting Review. 33(1), .23-45. Kaplan, R. S. (1986b) The Role for Empirical Research in Management Accounting. Journal of Accounting, Organizations and Society. 11(4), .429-452. Kholeif.A and Jack.L. (2008) Enterprise Resource Planning and a contest to limit the role of management accountants: A strong structuration perspective. Journal of Accounting Forum. 32, .30-45. Management Accounting. (1998) The changing role of the management accountant and its implications for qualification development. Journal of Management Accounting: Magazine for Chartered Management Accountants. 76(8), .68. ODEA.T and Pierce.B. (2001) Management accounting information and the needs of managers Perceptions of managers and accountants compared. Journal of The British Accounting Review. 35, .257-290. Tayles.M and Ma.Y. (2009) On the emergence of strategic management accounting: an institutional perspective. Journal of Accounting and Business Research. 39(5),.473-495. Tsamenyi.M and Yazdifar.H. (2005) Management accounting changes and the changing roles of management accountants: a comparative analysis between dependent and independent organizations. Journal of Accounting Organizational. 1(2), .180-198. Yazdifar. H Askarany. D Askary. S. (2008), Management Accountants Role in Dependent and Independent Companies: Does Ownership Matter? Journal of Accounting Business Management, 15(2), .1-21.

Comparing Feminist Poetry by Plath and Sexton Essay -- Feminism Femini

Comparing Feminist Poetry by Plath and Sexton Poetry "should be a shock to the senses. It should also hurt" Anne Sexton believed (Baym 2703), and evidence of this maxim's implications echoes loudly through the writing of Sexton as well as through the work of her friend and contemporary Sylvia Plath. Plath and Sexton's lifetimes spanned a period of remarkable change in the social role of women in America, and both are obviously feminist poets caught somewhere between the submissive pasts of their mothers and the liberated futures awaiting their daughters. With few established female poets to emulate, Plath and Sexton broke new ground with their intensely personal, confessional poetry. Their anger and frustration with female subjugation, as well as their agonizing personal struggles and triumphs appear undisguised in their works, but the fact that both Sexton and Plath committed suicide inevitably colors what the reader gleans from their poems. However, although their poems, such as Plath's "Daddy" and Sexton's "Little Girl, My String Bean, My Lovely Woman," deal with the authors' private experiences, they retain elements of universality; their language cuts through a layer of individual perspective to reach a current of raw emotion common to all human, but especially female, understanding. In Plath's "Daddy," written just before her death and published posthumously, the most readily accessible emotion is anger, and much of the poem is couched in autobiographical allusions. Plath's own father died of a gangrenous infection, caused by diabetes he refused to treat, when Plath was eight years old, and his death was "the crucial event of her childhood" (Baym 2743). Plath makes personal references to her father as a... ...life struggles and human relationships- of the things women carry with them that make them who they are. Works Cited Baym, Nina. General Editor. "Anne Sexton." The Norton Anthology of American Literature. 5th ed. New York: W.W. Norton, 1998. 2703-4. ---"Sylvia Plath." The Norton Anthology of American Literature. 5th ed. New York: W.W. Norton, 1998. 2742-44. "Electra Complex." The World Book Medical Encyclopedia. Rush-Presbyterian-St. Luke's Medical Center, Chicago. April 2002. < http://www.rush.edu/index.html>. Plath, Sylvia. "Daddy." The Norton Anthology of American Literature. 5th ed. General Editor, Nina Baym. New York: W.W. Norton, 1998. 2748-50. Sexton, Anne. "Little Girl, My String Bean, My Lovely Woman." The Norton Anthology of American Literature. 5th ed. General Editor, Nina Baym. New York: W.W. Norton, 1998. 2707-09.

Johnson & Johnson Global Business Environment

Johnson & Johnson: Successfully Strategizing for the Changing Global Business Environment I. Introduction Johnson & Johnson is the world's largest healthcare company. Founded in the United States in 1886, the company has been profitable for 75 straight years and currently operates 250 subsidiary companies in 57 countries. Its products fall into three segments: pharmaceuticals, with 39% of total sales; medical devices and diagnostics, with 36%; and consumer products, with 25%. Additionally, the company employs 119,200 people worldwide and sells its products in 175 countries.A truly global corporation, Johnson & Johnson has securely positioned itself to overcome the challenges its ever-changing business environment poses, as well as take advantage of the opportunities presented. With a focus primarily on Johnson & Johnson’s pharmaceutical segment, this paper seeks to explore the complex multinational environment within which the company operates as well as the opportunities and threats that the environment poses. Next, the paper will analyze Johnson & Johnson's current positioning, describing its value-chain and competitive positioning.The paper will close by evaluating how Johnson & Johnson both can seize these opportunities to realize the goals of the company. II. Analyzing the Environment In industries as competitive as pharmaceutical, medical devices and consumer goods, analyzing the environment is vital for being able to make sound strategic decisions. Since Johnson & Johnson strives to anticipate the external factors that affect its international business environment, as well as adapt to those changes, it is important that it understands the environment in which it is operating.The two sets of external forces that face the company are competitive and contextual. A. Competitive Environments – Five Forces Model Michael Porter’s five forces model provides a way of analyzing Johnson & Johnson’s competitive environment. Due to a lack of available information about the bargaining power of suppliers as it applies to Johnson & Johnson, this paper will address the four other forces: the threat of new entrants, the threat of substitutes, the bargaining power of customers, and the rivalry among industry competitors. 1. The Threat of New Entrants – High Barriers to EntryThe threat of new entrants is not of particular concern to Johnson & Johnson. Barriers to entry, especially in the industries of pharmaceuticals and medical devices, are extremely high if not unsurpassable. The world’s top pharmaceutical companies have extensive manufacturing capabilities, distribution systems, and economies of scale that have been built up over decades and would be virtually impossible for a new entrant to replicate. These top firms also have patents that protect their current products, as well as established research pipelines that ensure the continual development of new products.Also, they have strong brand names and la rge marketing budgets with which to defend them. Finally, the exceptionally high capital requirements for founding a pharmaceutical company and the sharp retaliation that new entrants could expect from the established competitors render the threat of new entrants very low. The medical device industry has similarly high barriers to entry. While entering the consumer goods market is easier, relatively, the vast number of competitors makes this industry very competitive, thus a strong brand name is vital for standing out.As the world’s most respected company according to Barron Magazine, new entrants to the consumer goods market do not pose a threat to Johnson & Johnson. 2. The Threat of Substitutes – The Rise of Generics The threat of substitutes is much more problematic than that of new entrants, especially in the pharmaceutical segment. The Food and Drug Administration (FDA) requires that generic drugs be bioequivalent to their brand name counterparts, making them seri ous substitutes. Once a patent expires, generic manufacturers are quick to reverse-engineer the formerly proprietary drugs and sell generic versions at a fraction of the cost.Virtually all the top pharmaceutical companies, Johnson & Johnson included, face an influx of upcoming patent expirations. The impending loss of sales when generic versions of the drugs inevitably become available is a serious threat to the profitability of many players in the industry. For example, Risperdal, a drug for schizophrenia made by a subsidiary of Johnson & Johnson’s called Janssen-Cilag, was a significant source of profits, with sales that totaled $3. 5 billion in 2005 and surged 21% percent in the first quarter of 2006, to $1. 2 billion.However, when the patent for Risperdal expired in December of 2007 and became available in generic form in October of 2008, the company’s revenue from pharmaceutical sales stagnated. In fact, in July of 2007, Johnson & Johnson announced plans to elimin ate up to 4,800 jobs, citing patent expirations as the main motivation to trim the workforce and thus save money. If the company does not prepare for the difficult transition between enjoying market exclusivity and losing that security as those patents expire, it will face more negative consequences. 3. The Bargaining Power of Buyers – Influence of GenericsIn the pharmaceutical industry, buyers include patients, medical doctors who prescribe drugs, pharmacists, hospital boards, insurance companies, and other health authorities. The bargaining power of patients goes hand in hand with the threat of substitutes. When drugs are patent-protected, pharmaceutical companies enjoy a monopoly where they can set prices to include high profit margins. Since there are few to no substitutes for their products during this time, customers have little choice but to pay these prices, especially if their lives depend on the drugs.However, once cheaper, generic versions of the drugs become avail able, buyers gain more power. Patients’ switching costs, an important element in determining the bargaining power of buyers, are fairly low, and price-sensitive buyers will likely switch to generic versions once available. Johnson & Johnson’s main tool in combating this problem is its strong brand name. Many customers have more trust in brand name products and are willing to pay extra for this perceived security. The other groups within buyers of pharmaceutical products, while fragmented, have more power than patients.Within the American healthcare system, insurance companies and health maintenance companies (HMOs) have considerable bargaining power, as they decide which drugs to endorse and provide. Since they have an interest in lowering costs, they exert a strong downward pressure on drug prices, partly due to the threat of the availability of generics. European governments’ national healthcare systems have a similarly high level of power, if not higher due t o strict price controls. Thus, pharmaceutical companies have a need to establish successful relationships with these groups and market towards them heavily. 4.The Degree of Rivalry – Fierce and Changing Competition Competition in the pharmaceutical industry is intense and growing in intensity. While the numerous competitors remain fairly fragmented, mergers and acquisitions have increased rivalry, as the top firms’ areas of expertise began to overlap. Rivalry is especially intense in saturated markets, such as the pain reliever segment, in which Johnson & Johnson competes with its products Tylenol and Motrin. In growing markets, innovation is a key driver of competition since pharmaceutical companies depend on â€Å"blockbuster† drugs for a large proportion of their revenue.With only one out of every 10,000 discovered drugs approved to be sold, stakes are high to find the cash cow drugs that recuperate the increasingly high costs of development. Since â€Å"me too† drugs are not as profitable, innovation drives the race to be first-to-market. While the main competitors in the pharmaceutical industry are concentrated in the United States, Europe, and Japan, an increasing number of players – especially generic drug manufacturers – are appearing in developing countries, such as China and India. These companies are driving the shift in the industry toward becoming more commoditized.Also, numerous biotech upstarts, which are smaller, more agile, and have lower overhead costs than their conglomerate competitors, are growing in power and taking market share. As the dynamics of the industry change, the established companies will find themselves facing stiff competition from all sides. B. Contextual Environment – PEST Analysis A PEST (Political, Economic, Social, and Technological) analysis is a useful tool for understanding the larger environment within which the company operates. Companies can use this tool to identify a multitude of important aspects of their environments that may impact their businesses. . Political Environment – Changing Politics and Policies First, the politics on local, regional, national, or international scales can exert strong forces on businesses. Since Johnson & Johnson operates worldwide, it must keep track of the political developments that may affect its business. For example, in the Czech Republic, health care is the subject of a major political debate. Changes in the healthcare system may affect to whom Johnson & Johnson needs to market, and with whom it needs to negotiate if the company wants its products covered by the Czech healthcare system.Also, Johnson & Johnson should be aware that the Czech Republic has a weak Parliament that will change in 2010’s elections. The company needs to anticipate which policies may shift under the new government. Finally, Johnson & Johnson should be aware that the Czech Republic will serve as president of the Council of the European Union for the first six months of 2009. This is the best time for the Johnson & Johnson branch located in the Czech Republic to lobby for any policy changes regarding the company’s interests and the business environment. 2.Economic Environment – The Crisis and the Euro The economic climate is also important for Johnson & Johnson to analyze in order to predict when its business may face challenges, as well as when it can seize an opportunity for growth. Operating in the European Union and larger European community means that Johnson & Johnson has felt the effects of the current economic crisis. Aware of the crisis, the company has been able to plan for its impact, and fortunately, the effects on Johnson & Johnson have not been severe, as medical products remain necessities even in periods of economic downturn.In respect to the Johnson & Johnson branch in the Czech Republic, the economic environment is one that quickly transitioned from a communist, plan ned economy to the free market. Though the Czech Republic has embraced free market principles since the fall of the Soviet Union, it is important that Johnson & Johnson recognize that this change was relatively recent, and certain aspects of working in the Czech Republic may still be affected by this history. Finally, discussions surrounding the use of the euro and the benefits and disadvantages of a common currency are debates that Johnson & Johnson should be aware of in this time period.While Slovakia adopted the euro in January 2009, the Czech Republic has kept its own currency. A switch to the euro in the Czech Republic could have a wide range of effects, some positive and some negative, and Johnson & Johnson should understand the implications for its business if that change occurs in the Czech Republic. For example, adopting the euro would make transactions with other countries more convenient, and Johnson & Johnson should be prepared for a possible increase in transactions or the speed in which transactions take place in order to take advantage of the opportunities this change could provide.It should also be ready for the numerous practical difficulties with tasks such as accounting that may occur with a change in currency. Keeping these economic scenarios in mind is the kind of forward-thinking that is crucial to Johnson & Johnson's success. 3. Social Environment – Aging Population and Public Health Problems There are two major social changes on the horizon that will both affect Johnson & Johnson as well as provide tremendous opportunities. The first is the aging population.The gigantic baby boomer generation, consisting of those born between 1946 and 1964, has had a huge social and economic impact on the world since its birth. This trend will continue as the generation is beginning to enter old age. The influx of senior citizens will create huge demands throughout all realms of medical care. Johnson & Johnson can expect to see increased sales ac ross all three of its segments – pharmaceuticals, medical devices and diagnostics, and consumer goods – in the coming decades, and must plan production accordingly to be able to meet the needs of this huge generation as they enter their most medically-dependent years.Additionally, in order to cater to the aging population, Johnson & Johnson is pioneering developments in preventative medicine as well as less invasive surgery techniques. Another major social change affecting Johnson & Johnson is the phenomenon of surging rates of various health problems, especially in developed societies but spreading worldwide, from obesity and diabetes to cancer and mental disorders. Though highly problematic for society, companies in medicine-related industries such as Johnson & Johnson are finding themselves with an increasing number of people to treat and cure.As a company that invests heavily in research and development, Johnson & Johnson has the opportunity to lead the way in find ing ways to address these serious public health issues. 4. Technological Environment – Promising New Fields As many pharmaceutical drug markets become saturated and the blockbuster drug strategy becomes obsolete due to the major changes occurring in the industry, innovation and breakthrough medical technologies are essential for finding blue oceans in which to compete.Predictive medicine, which entails predicting diseases based on genetics and preventing them, and personalized medicine, which involves managing a patient’s health based on his or her individual characteristics as opposed to following the more traditional â€Å"standards of care† model, are growing fields into which Johnson & Johnson can expand. The company’s strong emphasis on research and development and its leadership in the medical devices and diagnostics segment put it in an excellent position to become a frontrunner in making new discoveries in these promising new technological fields. C. Determining Threats and Opportunities 1.Threats – The Uneducated Consumer and Mergers and Acquisitions One of the biggest threats facing a company like Johnson & Johnson is the uneducated consumer. Especially within the consumer products and pharmaceuticals markets, with the increasing availability and lower cost of generic products, a key component of continued competitiveness is the discerning consumer who has preferences when it comes to treatment options. Johnson & Johnson must continually work hard to make sure that people are aware of its products and the quality that it ensures through effective branding and promotional practices, as well as consumer education.Patent expirations are also a constant concern for Johnson & Johnson as proprietary information is an integral part of sustained revenue streams. Mergers and acquisitions (M) present both potential opportunities and threats for Johnson & Johnson. The company has pursued M that have served to expand the compan y’s resources and help penetrate new and diverse markets. For example, Johnson & Johnson recently acquired Mentor Corporation in order to expand its operations in to the aesthetic and reconstructive medicine market.Also, an important new medical product called the Fibrin Pad was developed with the cooperation of three Johnson & Johnson-owned subsidiaries. These are just a couple examples of how Johnson & Johnson is able to both grow and innovate through M. On the other hand, M between other companies in the healthcare industry have the potential to upset Johnson & Johnson’s value chain and competitive advantages. Johnson & Johnson must pay close attention to the actions of rival companies in order to maintain its market-leader positions and barriers to entry against competitors. 2.Opportunities – Research, Synergies, Emerging Markets, and the Aging Population Johnson & Johnson’s greatest opportunity is found in its heavy investment in research and develop ment. This is especially important for its medical devices and diagnostics and pharmaceutical divisions. It is necessary for the company to be on the leading technological edge when it comes to medical devices to ensure that it can offer the most accurate and up-to-date machines available. As for the pharmaceutical sector, patent expiration and generic drugs demand constant innovation and addition to Johnson & Johnson’s pipeline of products for sustained success.Strong pipelines in its pharmaceutical and medical devices sectors are a major source of confidence in the company’s long-term success. With eight new late-stage compounds in the pharmaceutical sector and the introduction of several new products to new markets in the medical devices sector, Johnson & Johnson seems to be advancing its pipeline quite progressively. It also strives to be a consistently innovative company, and around 40% of its current products have been developed within the last 3-4 years. In 2008 , Johnson & Johnson spent $7. billion on research and development. The reinvestment of 11% of sales in to R, versus the industry average of 3%, demonstrates a source of competitive advantage for the company. Synergies between product branches are yet another source of opportunities for Johnson & Johnson. Through the well-coordinated efforts of its pharmaceutical and consumer products divisions, Johnson & Johnson was able to make the formerly prescribed drug Zyrtec available as an over-the-counter drug, which came to be the company’s most successful product launch in 2008.This is yet another example of how the company is able to pool its resources in order to find ways to fulfill both the needs of both its customers and stakeholders. Other opportunities for Johnson & Johnson are present in emerging markets such as Brazil, Russia, India and China. Its products are currently available to only 25% of the world’s population. However, through its decentralized management app roach and the adjustment of its products and strategies to match local needs and preferences, Johnson & Johnson is reaching an ever-increasing consumer base.One method Johnson & Johnson has been able to reach a broader consumer base through is the de-featuring of products, such simplified blood-glucose meters, which allows for access to lower-income customers and dampens the parasitic effect of cheap substitutes. One final opportunity exists in the demographic trend towards an ageing population. People are living longer, and because of this, new types of medical needs are arising all the time. Many types of medical treatments and surgeries are being developed and becoming more commonplace, such as hip replacements and plastic surgery.Patients want to be able to fix their ailments and expect a quick and uncomplicated recovery afterwards. It is up to Johnson & Johnson to develop and provide the best possible equipment and supplies to do this and fulfill the company promise of customer success. III. Establishing European and Global Opportunities A. Expansion into New Markets – Developing Countries Despite the many challenges of working in both the European and global business environments, it is clear that these environments also allow Johnson & Johnson to strengthen and continue to grow its business.With income and living standards on the rise in many European countries such as Turkey and the Czech Republic, where sales have already increased, and across the globe in developing countries like China and India, Johnson & Johnson has many opportunities to sell its products in new markets or expand more in markets it has previously penetrated. In order to take advantage of the broadening market field, Johnson & Johnson has begun to offer products that will appeal to people in less affluent nations. Its objective is clear: make products that are affordable for most of the world.To do this, Johnson & Johnson has created de-featured versions of products that can be sold at a lower price, thus becoming accessible to more patients. B. Domestic Market Defense – Competition and Mistakes While Johnson & Johnson expands to serve more customers in new markets, it must also maintain its secure position domestically. Though the consumer segment only accounts for only 25% of its total sales, the company realizes that keeping up its reputation and remaining a household name will help it as it moves into foreign markets. To put it simply, Johnson & Johnson must remain synonymous with quality, safe products.Next, Johnson & Johnson must be ready to compete with an even greater number of competitors, such as Pfizer, Merck, Novartis and Eli Lilly. Despite being the world's largest healthcare company, it still faces competition and has run into problems when it has attained the market lead, grown too confident in its product, and then lost the lead. Because Johnson & Johnson has twice lost its lead with one particular product, a heart stent, it now seems aware of this problem in its business strategy and therefore will be prepared for similar situations as it continue to penetrate new markets.IV. Analyzing Johnson & Johnson’s Current Position A. Value Chain Analysis – Synergies, Cost Reductions, and Relationships A value chain analysis of Johnson & Johnson reveals several key sources of value generation. Johnson & Johnson consists of 250 companies that operate in 57 countries worldwide. The widespread nature of its operations and decentralized management practices allow for a high degree of local autonomy and adaptation. This makes Johnson & Johnson very efficient in discovering and reacting to changing consumer demands across the globe.Also, the convergence of knowledge and information from branches across the globe gives the corporation a great advantage in the development of new products and technologies. Flexibility and detailed, location-specific knowledge coupled with heavy investments in technology, most n otably IT, are the main production-based value drivers of the corporation. They allow for timely, adaptive responses to changing needs and the ability to achieve first leader power in emerging markets. Johnson & Johnson is making progress in finding ways to reduce costs.Standardization initiatives in its pharmaceutical sector enabled the company to streamline operations and cut costs by $1. 6 billion in 2008. Cost savings are also created by means of acquisitions. For example, Johnson & Johnson’s acquisition of Pfizer Consumer Healthcare is expected to generate up to $600 billion in â€Å"cost synergies† by unifying the efforts of the two companies. Johnson & Johnson also emphasizes the importance of relationships with both its consumers and employees in its company credo.A talented and dependable workforce is important for innovation and efficiency in operations for any corporation. The company demonstrates its desire for employee welfare with healthcare services and carefully developed online resources. With an employee turnover ratio of less than 5%, Johnson & Johnson demonstrates that it is capable of attracting and retaining the right kind of people to help it remain successful. B. Competitive Positioning – Differentiation and Resource Allocation As stated in the annual report, Johnson & Johnson is a company focused on broad-based human healthcare.It offers a plethora of products throughout its pharmaceutical, medical devices and diagnostics, and consumer products divisions. These products are made in response to both local and global consumer demands, representing solutions for many different customer segments. These factors are evidence that Johnson & Johnson has chosen the competitive strategy of differentiation. Using this strategy affords Johnson & Johnson a sense of prestige and quality and this is evident in its pricing practices.However, the company does use competitive pricing strategies and is continually trying to find ways to lower costs without sacrificing quality or reputation. Johnson & Johnson is constantly seeking to expand its product portfolio across all divisions and spends large amounts of money in R&D to that end. A Johnson & Johnson representative said, â€Å"Be the first, be the best. † This is the most effective way for the company to enter new markets and secure a strong position by being the first to offer the right products in the right locations in a time efficient manner.Johnson & Johnson’s ability to perform these actions successfully is due to the sprawling nature of its subsidiaries and the amount of resources dedicated towards making sure that they all work with each other and share information. Johnson & Johnson holds a very strong competitive position versus other corporations due to the amount of its resources and depth of its operations. It is able to maintain its position as market leader in several product categories, as well as penetrate emerging markets, be cause of its ability to adapt quickly and intelligently.The company must remain vigilant, however, as complacency can result in loss of market share. V. Assessing Effectiveness and Conclusion In today’s fast-paced business environment, any firm needs to consistently reevaluate its strategic positioning, but in industries as competitive as the ones in which Johnson & Johnson competes, continual evaluation is vital for long-term success. By any quantitative measures, Johnson & Johnson is a very successful company, and the fact that it has earned a profit for 75 straight years suggests that there is a definite plan for long-term success.The company’s famous credo, known as â€Å"Our Credo† and written by former chairman Robert W. Johnson in 1943, may have a role in this success. The credo outlines Johnson & Johnson’s responsibilities to its customers, employees, communities, and finally its stockholders. It also establishes the principles that guide the comp any, from making high quality products and recognizing employees’ merit to protecting the environment and experimenting with new ideas. Johnson & Johnson’s credo has endured, unchanged, for over 65 years. While it does not explicitly state long term goals, the principles within it express the company’s intrinsic values.According to the company’s website, â€Å"Our Credo is more than just a moral compass. We believe it’s a recipe for business success. The fact that the Johnson  & Johnson is one of only a handful of companies that have flourished through more than a century of change is proof of that. † Johnson & Johnson has indeed flourished. It consistently tops the corporate reputation charts and is a role model for social responsibility. Moreover, the company is clearly prepared for the many challenges its ever-changing international business environment poses.Due to its strategic positioning and eye on the future, Johnson & Johnson will likely survive another century. REFERENCES Academic Visit to Johnson & Johnson, Prague, Czech Republic. â€Å"2008 Annual Report. † Johnson & Johnson Gassman, Oliver, Gerrit Reepmeyer and Maximilian von Zedtwitz. â€Å"Leading Pharmaceutical Innovation. † Springer â€Å"The Global Pharmaceutical Industry. † Duke University â€Å"Mental health drug market tapped out? † CNNMoney. com â€Å"Our Credo Values. † Johnson & Johnson. â€Å"Patent Expirations Behind J&J Cuts, C&T Looks Closer at Patents. † Cosmetics and Toiletries

National Health Service Reorganization Essay Example

National Health Service Reorganization Essay Example National Health Service Reorganization Paper National Health Service Reorganization Paper This paper is concerned with the major changes, which have taken place in the National Health Service (NHS) following the NHS and Community Care Act 1990. Any UK government is faced with a long list of health issues, this list would include macro questions such as the relationship of the National Health Service (NHS) to broader policies which might affect the health of the population and how to finance and staff health services. The NHS has gone through many stages of development in the last century, however the 1990 act introduced the most radical accounting control system since the birth of the NHS. Much accounting research has been developed on this topic and this paper will bring together some of their findings. By the late 1980’s general management in the NHS was in full force, and expectations of ‘management discipline’ were high, however there were a series of recurrent crisis. These crises were particularly evident in the hospital services and were caused by a combination of scarcity of compatible resources and an infinite demand for health care. Through a fundamental view of operations in 1989, two reviews were drawn up by the department of health, ‘working for patients’ and ‘caring for people’ (DoH, 1989a, 1989b), and these formed the basis of the NHS and Community Care Act 1990. The main focus of the impact was the concept of the internal market. This essentially involved the separation of two of the main functions of the NHS, purchasing and providing. Purchasing is defined as the buying of health services to satisfy local needs and providing, is defined as the day to day business of delivering that care. The purchasing agencies are provided with a budget which reflects their defined population, from which they must identify health needs, plan ways to satisfy them while ensuring the quality of the service. When the purchaser identifies their requirements, they produce a contract with the providers, who in turn invoice the purchaser for the materials and services provided. This illustrates the ‘Quasi-market’ in operation, a Quasi-market being a market which seems to exist but doesn’t really. Flynn (1993) described the internal markets in the NHS as a mechanism to match supply with demand, and allow hospitals to compete on price and quality to attract patients. This new ideology of governance of the NHS has changed dramatically, especially through the Thatcher administration. Harrison (1997) describes how there are three ways of co-ordinating the activities of a multiplicity organisation, through markets, clans and hierarchies. Clans and hierarchies are based on using the process of co-operation to produce an ordered system of outcomes. The historic NHS was built very much around them; a combination of bureaucracy and professional culture; labelled as ‘professional bureaucracy’ by Pugh and Hichson (1976). The new NHS is now reflected as having a market orientated organisation. The reformed NHS was established on 1st April 1991. On that day the internal market became operational, it’s main features were, that there is a fixed level of ‘demand’ whose total is determined by NHS funding, trading takes place among a large number of buyers and sellers, and there is competition among suppliers. In this market it should be expected that managers respond with price, quality and branding as weapons of competitive behaviour (Flynn 1993). Llewellyn (1993) described the introduction of an ‘internal’ or ‘Quasi-market’ in health and social care, as a reaction to and was practically enabled, by an expanding population. Her research that looked at two factors, which forced reform in the NHS, demographic trends and technological advancement. The first factor focused on the growing problem facing nation states in the developed world is that of an ageing population and hence a greater dependence on the NHS in future years. Between 1961 and 1990 the percentage of the UK population over sixty five increased by one third and the numbers aged eighty five and over, more than doubled (Population Trends 1992). The second factor looked at the advancing technology of medical care across the developed world, which offered a new range of medical services and techniques. These advances however caused a problematic escalation in the supply and demand for medical treatment, and therefore total cost of that treatment to the purchaser. The basic rationale of her paper, was how the introduction of a market into health care causes an anticipated stimulus to competition and hence constant improvement in resource allocation and cost management. Hood (1994) identified two aims of the government in office as regard to the public sector, first the desire to lessen or eliminate differences between modes of private and public sector organisation. Secondly, the intention of exerting more control over the actions of public sector professionals. However, to discuss the first aim it is important to realise that there is a fundamental difference between developing a customer orientation in the private sector and a user orientation system in the public services (Flynn 1993). Private sector problems tend to be in efforts to market their products or services to the consumer, usually in competition with other firms. Whereas, public sector problems tend to be trying to deter too many people using their services, as opposed to attracting them. Therefore, this produces a fundamental problem in the trying to eliminate these aspects. Several issues caused the government desire not only to control, but also to make resource usage more efficient. Firstly the deepening public sector problems had to be addressed, and the adoption of more accountable systems seemed a perfect solution. There was also the desire not only to be able to control but also reduce public expenditure. Finally, political promises were made to reduce the share of public expenditure in National Income, to curtail the range of functions being performed by government, whilst also seeking to improve, nurture and stimulate the business attitudes and practices necessary to re-launch Britain as a successful capitalist economy, this was a conservative attitude. The government therefore promoted the view that accountable management reforms are needed for the public sector to be more accountable to those who receive, pay for or monitor public services; to provide services in a more effective, efficient and publicly responsible fashion (Humphrey 1991). The emergence of an internal market for health services inevitably resulted in the emergence of various accounting techniques, their purpose was to act as a stimulus to ensure efficient allocation of resources and to minimise costs. The increasing competition derived from this market created a need for management control systems. Hood (1994) categorised international accountable management as having up to seven dimensions, for government implementation of a system in the public sector. First, that it sought a greater disaggregation of public sector organisations, secondly, it would be searching for a stronger competitive use of private sector management techniques. Thirdly, a heavier emphasis on efficiency of resource usage, fourthly, reforms in accountability management. Fifthly a clearer specification of input/output relationships, sixthly, a greater use of measurable performance standards and targets, and finally, the use of ‘hands on’ management of staff in control. These categories relate to Hood’s (1994) two aims, discussed previously, with the first three dimensions relating to his first aim of eliminating differences of public and private sector organisations. The four are geared towards the second aim of control. Hood’s research was based on a comparative study of cross-national experience of accountable management reforms. Arguably the views on the adoption of management control systems in the public sector depends on our position in society. As our society is more focused on markets, competitiveness and efficiency, it is likely that accounting techniques will play an important role, however, the importance of keeping the welfare of our society should be first and foremost. After all the goals of public sector organisations should differ from those in the private sector (e. g. they should not be profit maximisers). The objective of the NHS as an organisation remains unchanged since the reforms, in terms of securing an improvement in the state of the health of the population. However, it is now faced with the dilemma, that the means of achieving this greater improvement has been surfaced with financial considerations (Mellett 1998). One of the consequences of the reforms carried out on the NHS, after the NHS and Community Care Act 1990, is that at the level of health care delivery, it has been fragmented into over 500 separate trusts. Each of these trusts is a clearly defined autonomous unit which has an obligation to monitor performance in terms of both finance and patient care activity (Clatworthy et al 1997). This was the governments preferred mode of organisation and it becomes universal along with the associated accounting regime (Mellet 1998). Mellett (1998), looked at how the revised accounting system operated within trusts, and found that their procedures included a system of capital accounting; it’s objective was to increase the awareness of health service managers of the cost of capital and the incentive to use that capital efficiently. However, introducing a new control system into an organisation, and also the fact the management team are unlikely to have experience in it’s application, could lead to several implementing problems and introduce another element of risk. Preston et al (1992) emphasis, that when a new accounting method is introduced, it is naive to assume that by simply assembling the components of a system, that the desired or officially intended outcome will be achieved. Since 1979 the UK government has tended to favour private sector management styles and culture (Flynn 1992), although there has been many debates about the different contrasts between the adaptable, dynamic, entrepreneurial private sector management styles and the bureaucratic, cautious, inflexible, rule bound public sector management. Could this be due to the strain on public sector managers, who work on a tight budget, and also that scope for reward in expanding the organisation is limited. So can we compare managers in the public sector with those in the private sector, for example accountability structures make managers jobs different from those of the private services. A public service manager for example, could be instructed to keep a hospital open, while the regional authorities may have different ideas and wish the hospital to close. This dubious accountability has no resemblance to the private sector, where managers are ultimately accountable to shareholders (Flynn 1992). An important part of managerial work in the public sector involves managing the relationship between the organisation and the political process. Therefore, the government is faced a health policy dilemma; how to reconcile increasingly flexible NHS management and greater freedom to become competitive, with requirements for manageability of the NHS, for public accountability, and for political management (Sheaff et al 1997). The government then introduced a process to set about placing former private sector directors, into director positions of NHS trusts. Therefore directly introducing private sector experience into public sector management. However, Sheaff et al (1997) research, found that board members of trusts, with a predominant NHS background were likely to be less conservative, more flexible and less risk adverse than those with a non-NHS background. This highlights the emphasis put on different management styles associated with the public and private sector, and puts into doubt these classifications when developing the ‘strategy of managerialism’ for the NHS. The new era of the NHS has left managers of trusts faced with a new dilemma, they are now accountable to producing two sets of information, finance activity and patient care activity. Clatworthy (1993) identified three users of this information, the electorate, the consumers of the public service and central government politicians. All these groups will have an interest in the NHS, but their concerns are likely to focus on different aspects of this information. This gives the managers the task of balancing two incompatible goals. As part of the NHS, trusts are charged with the intangible task of improving the state of the nations health, while also having to remain financially viable (Clatworthy 1993). Jackson (1985) perceives that by their very nature, performance indicators motivate individuals and cause them to modify their behaviour in order to meet the targets set. Could this give rise to anxieties of how managers could react to potentially bad results? Published performance indicators issued cover aspects such as percentage of patients seen by a hospital within 13 weeks. Looking at this as an example; this indicator could be enhanced by treating as a priority those that have been waiting longest, but these patients may not be those, whose health status would benefit most from treatment (Clatworthy 1993). It could be argued that in the pursuit of a goal, managers lower the possible increase in overall welfare. These performance indicators, both financial and patient care are produced in an annual report, although superficially similar to it’s private sector counterpart it is not addressed to an audience which can exercise control. Unlike a private sector shareholders meeting, the directors of the public sector trust cannot be removed from their position by a voting process, so it’s existence can be perceived as not a tool of control. This paper has analysed the introduction of the new reforms taken place in the NHS in the early nineties. The reasons for change were identified as being the change in the demographic structure of the UK population and the increased emphasis of technological advancement in medical health care, and their effect on the financial burden of the health service to the government. Changes brought about were to increase cost effectiveness and encourage efficient use of the scarce resources available to the NHS. Due to the competitive nature of the internal market, many management control techniques have been implemented to aid managers of designated hospital trusts to meet their budget targets. Due to the complexity of these systems, many trusts have had previously private sector managers, appointed as directors in charge of managing the budget. Many fears have been raised that these budget constraints and the introduction of performance indicators will have a detrimental effect on the health service’s ultimate aim, to improve the overall state of the nation’s health. It seems that managers are stuck in a conflict of interests, of whether to keep financial control of the trust, by cutting back in the overall service offered to the public. Finally it can be the said that the government’s main aim was to create a private sector organisation in the public sector, Mellett (1998) neatly describes with reference to the trusts; ‘Although private sector accounting techniques and controls based on them have been introduced at the level of the trust as an entity, their relevance must be placed in the context of the fact that the NHS is in the public sector. Which means that it still subject to requirement to operate within an annual cash limit set as part of the public expenditure policy survey. ’ REFERENCES Clatworthy, M. Mellett, H. (1997) Managing health and finance: Conflict or Congruence? Public Money and Management Oct-Dec pp 41-46 Farnham, D. Horton, S. (1995) Managing the new public services (3rd edn) (Macmillan Press Ltd) Flynn, N. (1993), Public Sector Management (2nd edn) (Harvestor Wheatsheaf, Hemel Hempstead) Harrison, S. (1997) Health – The agenda for an incoming government, Public Money and Management Apr-Jun pp 27-31 Hood, C. (1994) ‘The new public management in the 1980’s, Accounting, Organisations and Society. Humphrey, C. (1991) Accountable management in the public sector in chap 9 in issues in management accounting ed. Dashton, T Hopper RW Scapens, Prentice Hall 1991. Llewellyn, S. (1993) Linking costs with quality in health and social care: new challenge for management accounting, Financial Accountability and Management, Vol 9 No 3, Aug 1993 Preston, AM. Cooper, DJ. Coombs, RW (1992) ‘Fabricating budgets: A study of the production of management budgeting in the NHS’, Accounting, Organisations and Society Vol 17, No 6 pp 561-93 Sheaff, R. West, M. (1997) Marketization, managers and moral strain: Chairman, Directors and public service ethos in the National Health Service, Public Administration Vol. 75 Summer 1997 pp 189-206

It coursework project 1a Essay Example

It coursework project 1a Essay Example It coursework project 1a Essay It coursework project 1a Essay In this coursework I will try to encourage middle aged adults to ride bikes as a frequent form of transport or leisure. I intend persuade my audience in form of a leaflet. In this I will explain the environmental issues and the safety that is involved while cycling. Microsoft Publisher 97 will be the software that will help me create this leaflet. I will be saving my coursework in a specially allocated area for me, within my schools Local Area Network (LAN). My Network Area This shows the directories and sub-directories where I will save my work, in the form of a tree diagram. This screenshot proves where I will be saving the work for this coursework. For my internet search I will be using a very good and popular search engine, google. It can found at google.com I will start by searching for cycling With the single keyword cycling I got 3,390,000 results, which is too much to manually look through. I will use more keywords to narrow down the results that I get. As you can see, I got 3,390,000 results, which is too much to manually look through. By using more keywords, I will narrow my search down and filter unwanted results. Just by adding a few more keywords, my search has narrowed down to a more realistic number, but it is still not practical to search through 3,220 webpages. The + sign in front of the keywords, tell the search engine that the results must include these results. The - sign in front if the keywords tell the search engine to filter results with these words. Its illegal to copy, distribute or alter the contents of copyright material without the owners permission. There is a data protection act which states that companies that keep records of their customers personal details, should inform the customers that they have these details, and the data that they keep must be up to date. Banks keep sensitive information of their customers credit rating which is very sensitive, and the customers should be able to view these details when they wish. Addresses of customers must be kept up to date. I took the screenshot below from msn.co.uk from the bottom of the web page. This shows the copyright of that web page. There are many health issues related to ICT: ; Repetitive Strain Injury (RSI) which is reconised as the stiffness of the arms or shoulders. It is caused by repetitive finger movements over large periods of time. To reduce the risk of RSI, you should buy a keyboard with an ergonomic design and regularly take breaks while using the keyboard, for long periods of time. ; Adjustable chairs and screen that can tilt will help prevent back pain and also prevent eyes strain. ; A monitor placed from a user can cause the user o strain their eyes. ; General Stress and fatigue can sometimes be caused when users stay in contact their machine for prolonged periods of time. Taking breaks can help reduce this. ; There should be no wiring left around the room for anyone to trip over. ; Electrical sockets should not be overloaded. ; The sockets should have the correct fuses and the computer should be properly earthed. ; Fire extinguishers should be available to counter any fires that occur from electrical devices. The fire extinguishers must not be water based, because they are not meant for use with electrical items. Advantages ; Word -Processors such as Microsoft word, allow us to edit documents without typing it all out again, which could be very time consuming. ; There are many graphic tools available, which are especially useful for presentations, and have effects that cannot be done by an unskilled hand. ; Some word- processors offer many very useful features such as spell check and word count. ; Large amounts of text and pictures can be easily and quickly copied. ; Files can be easily backed up in case of data loss. ; The internet has lots of information on a wide range on topics. This information can be quickly and easily found. Disadvantages: ; Computer games can be addictive and very time consuming. ; A computer has become so useful that many people spend most of their day on a computer, which prevents them from doing any exercise or socialising. In the future this can lead to an increased number of obese children. ; Data published on the net may be of adult content ands therefore not be suitable for children. Although there are some programs that can monitor activities on the net, programs of reasonable quality are usually expensive, and cannot substitute a human supervisor. ; For example, using an online purchasing system or any anything in which you upload sensitive information about yourself, is potentially dangerous because it is possible that hackers may intercept the data. ; Some people may not know how to use a computer (or software) to its full potential. Some users may find it complicated. If someone gets unauthorised access to your computer, either through a network connection, or physically being at your terminal, they could quite easily delete all your files. This is unlikely with the manual method. Users may find that different software is incompatible with an earlier or later version of the same program or even completely different programs. This can be frustrating. A computer virus is a program which: * May attach itself to another program or file and runs when the program or file is executed. * It may alter the contents of your hard drive and may delete essential files, without your knowledge. * They may be spread from computer to computer, either by email, or downloading a file from an unknown source such as a website, claiming to give away free software or a person you have met in a chat room claiming to have the software that you need. Writing or knowingly distributing viruses is illegal and is a punishable offence. The schools computers were prevented from viruses by: * Using anti-virus software. * Regularly updating the database of the anti-virus software. * Files were automatically backed up in case of an virus attack or a loss of data. * I avoided downloading files from unknown sources, especially emails. Unsolicited email is very common to any frequent internet user. They usually advertise products but, very rarely, you may receive an email with an attachment. It may be from someone you do not know, and they may ask you to open the attachment in some way, for example, one might tell you that there is a game inside, and therefore ask you to try it out or maybe one might tell you that your requested files are in the attachment, if you get any of these emails delete them immediately without opening the attachment. I unfortunately had to learn this the hard way. Luckily my anti-virus software notified me of the presence of a virus and stopped me from executing the file, that was an attachment of an email. Hacking: Though it is not very usual, viruses can be introduced by users who have unauthorised access to the computer. These users are known as Hackers, and the method they use to get access to your computer is referred to as hacking, which involves breaking codes and passwords. Passwords: To reduce the risk of being hacked, users must use usernames and passwords. Each user has a unique username and a password that only the user should know. If the either the username or password is incorrect, access is restricted. The username identifies the user and the password is known only to the user and validates the users identity. Your password must be kept a secret, and if found out, must be changed immediately. Protecting passwords: They should not be a word found in the dictionary, or a word that is obvious. This prevents what is called a Dictionary attack. Programs are made to try out every word in the dictionary, as your password. They should be made longer than 6 characters There are programs which try every possible combination of numbers, letters and symbols as the password. It will take longer this way, but eventually it will work. To prevent this from happening, our school automatically prevents access to an account whereby the password has been incorrectly entered, a certain number of times. Advantages Word -Processors such as Microsoft word, allow us to edit documents without typing it all out again, which could be very time consuming. There are many graphic tools available, which are especially useful for presentations, and have effects that cannot be done by an unskilled hand. Some word- processors offer many very useful features such as spell check and word count. Large amounts of text and pictures can be easily and quickly copied. Files can be easily backed up in case of data loss. The internet has lots of information on a wide range on topics. This information can be quickly and easily found. Disadvantages: Computer games can be addictive and very time consuming. A computer has become so useful that many people spend most of their day on a computer, which prevents them from doing any exercise or socialising. In the future this can lead to an increased number of obese children. Data published on the net may be of adult content ands therefore not be suitable for children. Although there are some programs that can monitor activities on the net, programs of reasonable quality are usually expensive, and cannot substitute a human supervisor. For example, using an online purchasing system or any anything in which you upload sensitive information about yourself, is potentially dangerous because it is possible that hackers may intercept the data. Some people may not know how to use a computer (or software) to its full potential. Some users may find it complicated. ; If someone gets unauthorised access to your computer, either through a network connection, or physically being at your terminal, they could quite easily delete all your files. This is unlikely with the manual method. ; Users may find that different software is incompatible with an earlier or later version of the same program or even completely different programs. This can be frustrating. Its illegal to copy, distribute or alter the contents of copyright material without the owners permission. There is a data protection act which states that companies that keep records of their customers personal details, should inform the customers that they have these details, and the data that they keep must be up to date. Banks keep sensitive information of their customers credit rating which is very sensitive, and the customers should be able to view these details when they wish. Addresses of customers must be kept up to date. I took the screenshot below from msn.co.uk from the bottom of the web page. This shows the copyright of that web page. A computer virus is a program which: * May attach itself to another program or file and runs when the program or file is executed. * It may alter the contents of your hard drive and may delete essential files, without your knowledge. * They may be spread from computer to computer, either by email, or downloading a file from an unknown source such as a website, claiming to give away free software or a person you have met in a chat room claiming to have the software that you need. Writing or knowingly distributing viruses is illegal and is a punishable offence. The schools computers were prevented from viruses by: * Using anti-virus software. * Regularly updating the database of the anti-virus software. * Files were automatically backed up in case of an virus attack or a loss of data. * I avoided downloading files from unknown sources, especially emails. Unsolicited email is very common to any frequent internet user. They usually advertise products but, very rarely, you may receive an email with an attachment. It may be from someone you do not know, and they may ask you to open the attachment in some way, for example, one might tell you that there is a game inside, and therefore ask you to try it out or maybe one might tell you that your requested files are in the attachment, if you get any of these emails delete them immediately without opening the attachment. I unfortunately had to learn this the hard way. Luckily my anti-virus software notified me of the presence of a virus and stopped me from executing the file, that was an attachment of an email. Hacking: Though it is not very usual, viruses can be introduced by users who have unauthorised access to the computer. These users are known as Hackers, and the method they use to get access to your computer is referred to as hacking, which involves breaking codes and passwords. Passwords: To reduce the risk of being hacked, users must use usernames and passwords. Each user has a unique username and a password that only the user should know. If the either the username or password is incorrect, access is restricted. The username identifies the user and the password is known only to the user and validates the users identity. Your password must be kept a secret, and if found out, must be changed immediately. Protecting passwords: They should not be a word found in the dictionary, or a word that is obvious. This prevents what is called a Dictionary attack. Programs are made to try out every word in the dictionary, as your password. They should be made longer than 6 characters There are programs which try every possible combination of numbers, letters and symbols as the password. It will take longer this way, but eventually it will work. To prevent this from happening, our school automatically prevents access to an account whereby the password has been incorrectly entered, a certain number of times. There are many health issues related to ICT: Repetitive Strain Injury (RSI) which is reconised as the stiffness of the arms or shoulders. It is caused by repetitive finger movements over large periods of time. To reduce the risk of RSI, you should buy a keyboard with an ergonomic design and regularly take breaks while using the keyboard, for long periods of time. Adjustable chairs and screen that can tilt will help prevent back pain and also prevent eyes strain. A monitor placed from a user can cause the user o strain their eyes. General Stress and fatigue can sometimes be caused when users stay in contact their machine for prolonged periods of time. Taking breaks can help reduce this. There should be no wiring left around the room for anyone to trip over. Electrical sockets should not be overloaded. The sockets should have the correct fuses and the computer should be properly earthed. Fire extinguishers should be available to counter any fires that occur from electrical devices. The fire extinguishers must not be water based, because they are not meant for use with electrical items. Dos ; Always save your work ; Always log off after the end of an I.T session. ; Tell the supervising teacher if you find anything damaged, before you start using the computer. ; Look in the help section of the programme if you run into difficulty. Pressing F1 will mormally give help and reading the relevant section may resolve the problem. If not, requwst supervision from the teacher or the I.T technician. ; Check any disks or files that you download onto the computer, with a virus scanner. Regularly make backups of your work. If it is present, make use of the Autosave function, which automatically saves your work at user-defined intervals. Donts Never eat or drink in the I.T lab. Never tamper with the wires behind the computer. Dont switch off or disconnect the machine if you have a problem. Call a teacher or I.T technition. ; Dont switch off the pc until you get this message: It is now safe to switch off Dont place unshielded equipment not supplied to the pc near to it. A radio or mobile phone near to the monitor,, for example, may cause a distorted picture. ; Dont get scratches on compact disks. This may result in them being unusable. Dont leave applications open when not in use. Too man applications open at any one time can slow down the operation of the pc. ; Dont delete files that you have not created. Programs have their own data files and deleting these files will stop the computer from working. Errors Errors occur when something goes wrong or something unexpected happens. Errors can occur in hardware and software. Hardware errors: Hardware errors usually occurs when the computer boots up. The following hardware error occurs when a computer boots up while floppy disk is present in its floppy disk drive. Invalid system disk Replace the disk, and then press any key. This happened to me many times. It required me to remove the floppy disk and then press any key. Software errors: Any error that occurs in the operating system or programs within it is a software error. The following error occurred to me, while I was using Microsoft Internet Explorer, and I had entered a web page that either could not be found or was invalid. Help: From the screenshot above, you can see that Internet Explorer offers some help on the error. Usually by pressing F1, a help menu can be accessed. Newer software offer online help, either in the form of guidance from a web page or a professional.