Develop Change Management Strategy

Question: Discuss about the Develop Change Management Strategy. Answer: Introduction Change management strategy is implementing some changes in the strategy of the organization so to make the working of origination effective. It describes ways of working of organization need to be done such as changes in strategy of supply chain management, management of inventory (Monahan, Murphy, and Johnson, 2016). Cost Benefit Analysis According to strategy Katzenbach centre survey the success in change in management strategy are at 54% which is very low. If the change proves to be wrong it can lead to high cost not only in finance but also in operations, morale of the organization members and resources (Aguirre, and Alpern, 2014). Risk Analysis For minimizing the impact of risk in the implementation of organizational strategy, low risk adverse plan should be considered. The organization faces risk in case of non effective implementation of organization change in the management strategy as that can lead to high occurrence of costs on the part of employees as well as organization. The organization faces risk such as: non availability of resources, employees are not well trained; project has failed to accomplish expected results, occurrence of some an uncertainty due to which project has been abandoned (Global knowledge training LLC, 2011). Barriers to Change Barriers in change in management strategy can lead to gap in expected and actual performances. If there are more gaps between the expected and actual performances, then it can lead to negative impact on production activity of the organization. The barriers in change in management strategy can be said in: lack of involvement by employees: this is when the employees of the organization have fear of change, lack of desire to adopt new policies. Lack of effective communication strategy: in some organization, there is not any effective chain of communication followed. In such organization there are no involvements from the employees side. A bad culture: if planning team which has made planning for effective change in management strategy, fails to measure the intuition and feelings of the organizations employees. It is considered as barrier in change management because planning department considers only job responsibilities, work area responsibility, resource allocation. Hence to not consider employees views lead to non effective implementation of change management strategy. Unknown current stage: sometimes management fails to analyze the current situation of management due to which, it is very difficult for the management to form an effective change management strategy (Rick, 2016). Document mitigation Strategies Mitigation strategy is evaluation of threats, detriment and hazards that can make some negative effect in the performances of the project. Due to uncertainty in future, the affect of threats and hazards on the organization performance cannot be eliminated; hence the main objective behind forming mitigation strategy is to reduce the affect of these threats and barriers to some extent. This is done to take proper action before occurrence of any damage in the organization. In mitigation document the risk and disaster factors are categorized between most likely, likely and unlikely factors. This is done so to make according planning strategies so to mitigate the level of risk in the organization (Gundlach, 2011). Change management Project Plan Change in management project plan describes about changes that need to be processed monitored controlled and to be accepted by the management. It describes about changes that need to implement due to changes in management strategies. A change in management project plan cannot be found without proper evaluation and approval from project team, project manager, project sponsor, customer, and project stakeholders (Peiterse, Caniels, and Homan, 2012). From whom Permission need to be Taken for Change in management Process To change in project plan, management need to follow a specific procedure, that is all the evaluations and recommendations for change is send to project sponsor, executive sponsor. Besides this to change in the project plan, employees need to consult with the project manager. After doing analysis by the project managers assign a number to the change. At last the project evaluation report and recommendations are sent to control board. Hence it is said that permission need to be taken from all these members to implement management organizational change (Hornstein, 2015). Needed Resource and Gaining Information from Relevant managers For change in management plan, the management needs resources like assessing the need to change, current and future effect if the change is implemented and if not implemented. The management needs to document these changes for better analysis. After this, the management needs to develop an implementation as well as communication plan. The roles and responsibility also need to be defined for change and measures that how would be the change measured. To gain information regarding change in the management plan, stakeholders need to request for change to project manager. After this, the project manager mentions the required change in the log register. A preliminary analysis is done to find out the impact of change in terms of cost, risk, clarification from organization members. After analysis, a request is made to control board by the project manager. Then the board evaluates and decides that whether to implement such change or not in the organization. If the organization change in manag ement plan is approved then the project manager updates the baseline of project (Stare, 2010). Conclusion By analyzing the essay on change in management strategy, it can be said if management can overcome the barriers of change in strategy of management it would be easy for the management to effectively manage the change and for employees as it would be easy to implement such changes and get the desired results. References Aguirre, S and Alpern, M,. (2014) Strategy + business, 10 Principles of leading change management. Retrieved on 9th March, 2017 from https://www.strategy-business.com/article/00255?gko=9d35b Global knowledge training LLC,. (2011) Understanding and managing the risk of change. Retrieved on 9th March, 2017 from https://www.globalknowledge.nl/content/files/documents/White-Papers/Business-Skills-White-Paper-Risk-of-Change Gundlach, M,. (2011) Risk mitigation strategies and risk mitigation plan. Retrieved on 9th March, 2017 from https://www.brighthubpm.com/risk-management/47934-risk-mitigation-strategies-and-risk-mitigation-plan/ Hornstein, H, A,. (2015) The integration of project management and organizational change management is now a necessity, International journal of project management Vol 33 Monahan, K,. Murphy, T Johnson, M,. (2016) Deloitte university press, Humanizing change: Developing more effective change management strategies. Retrieved on 9th March, 2017 from https://dupress.deloitte.com/dup-us-en/deloitte-review/issue-19/developing-more-effective-change-management-strategies.html Peiterse, J, H,. Caniels, M, C, J and Homan, T,. (2012) Professional discourses and resistance to change, Journal of organizational change management emerald article: Professional discourses and resistance to change. Pp (798-818) Rick, T,. (2016) Meliorate, Barriers to organizational change. Retrieved on 9th March, 2017 from https://www.torbenrick.eu/blog/change-management/barriers-to-organizational-change/ Stare, A,. (2010) Comprehensive management of project changes, Economic and business review, Vol 12(3) pp (195-210)

War for Talent

Introduction The global economy has significantly expanded within the last decade. Human resource managers, business leaders, and other entrepreneurs at large have found it increasingly challenging to recruit new and skilled workforce in their business institutions.Advertising We will write a custom essay sample on War for Talent specifically for you for only $16.05 $11/page Learn More These business organisations need skilled employees for critical entrepreneurial processes such as decision-making and strategic planning in order to gain competitive advantage in both local and global markets. However, the gap between the need for skilled workers and available employment positions is seemingly becoming a challenge for many business organizations around the globe. This phenomenon has crowned into a war for talent that has challenged the accomplishment of goals and objectives for many businesses and organisations. This paper provides insight to the extent t o which war for talent has become both a local and global challenge for businesses and organizations. The Global War for Talent Numerous researchers have unveiled that many organisations, especially in America, Nordic region, and Asia, have gradually fallen short of competitive talents (Chambers, Foulon, Handfield-Jones, Hankin, Michaels 1998). The world underwent an immense revolution in terms of technology during the last decade. Apparently, technology has led to the expansion of businesses and the invention of new ones. As a result, many companies have sprouted within this technological revolution leading to new brands in the market. However, Klein (2013) claims that there is no adequate professional talent to fill the labour gap that is associated with this nature of organisational dynamism. There is an increasing demand for expertise knowledge about a variety of professional dimensions such as information and technology literacy, free and private enterprise skills, strategic p lanning, and international shrewdness (Chambers et al. 1998). Lately, due to the aforementioned trend of events, multinational companies have begun to seek talents from foreign countries where quality education is highly regarded. In their research, the authors note that the shortage of talents in business organisations has forced some executive directors to serve an increasing number of companies in their career life.Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More This situation is due to the urge for companies to seek the best business leaders to manage their companies. According to Chambers et al. (1998), many companies extend less weight to the practice of nurturing talents within their business organisations. Global Leadership Many multinational corporations across the globe have championed to secure the world’s best business executives to lead their businesses (Ju 2013). There is a need for organisations to maintain competitive leaders in order to improve their bottom lines. Despite the urge for highly qualified professionals, many human resource managers of contemporary business firms face a hard time in search for brilliant talents from the twenty-first century generation (Larkan 2009). Due to competition and emergence of new markets for products, leaders of these business firms have to recruit professionals to take charge of the managerial jobs. However, the human resource managers meet the recruitment of business executives with the possibility of unforeseen shortcomings of taking on under qualified individuals, masked in volatile skills and knowledge about their anticipated responsibilities (Martin 2013). Furthermore, international firms have to persevere costly hiring of executives due to extreme competition, especially in emerging markets. According to the authors, the emerging markets have more war for talent than the developed markets. The quali ty of the products and size of the market depends on the expertise knowledge of the employees. The author unveils that multinationals have lately found difficulties to recruit and maintain highly talented personnel in their business organizations. A survey conducted by Klein (2013) to investigate the confidence of employees in their companies indicated that 71 percent of business executives were confident that they would be retained in their current positions for at least two to three years. Aging Population and Global Demographics Researchers have attested that there an increasing gap between the number of aged persons who leave the workforce and the availability of new talents to occupy the vacant positions (Burkus Osula 2011). The authors project that the global aging population will rise from 10 percent to 20 percent in the next three decades. Such demographics trend reflects a tremendous decrease of skilled labour force.Advertising We will write a custom essay sample on W ar for Talent specifically for you for only $16.05 $11/page Learn More The growth economies entirely hinge on the magnitude and superiority of the available workforce. Therefore, the foreseen decrease in qualified talents will lead to loss of human capital in many multinational corporations that drive the economies of many nations, both in the developing and developed world. As well, such loss of human capital will pose a very serious risk for growing and emerging economies. The demographic patterns of the world have also changed variably in nearly every geographic region of the world. The major factors that have affected the demographic patterns include improved longevity, reduced birth rates, and governance laws on birth control. The above factors reflect a decline in the overall productive population in the next few decades (Spitulnik 2009). Further research has revealed that, if the demographic trend continues, there will reach a time when the elderly pe ople will have to remain in the workforce for considerably more years than today. The author reveals that several countries have changed the retirement laws for future economic security. For instance, China is the magnitude of local talents has reduced in the past five years due to higher retirement rates than the employment rates. The situation has forced employers to hire experts from other countries to supplement the low number of existing local workforce (Levy, Beechler, Taylor, Boyacigiller 2007). Skills Gap and Diversity Irrespective of the declining workforce, there is still an outsized worldwide population of both literate and illiterate people that does meet the minimum threshold for employment (Levy et al. 2007). The quest for tech-savvy workforce to take hold of technologically aligned employment positions in computing, information technology, and most engineering industries has created a questionable skills gap. The authors attest that there is a global shortage of tech nologists to take on employment in automated industries due to insufficiency of high-level technology skills. Moreover, the diversification of global business firms and industries has raised the demand for all-round workforce that can adjust to different business environments with little or no challenges. Workers participating in international business affairs have to acquire diverse proficiency skills in disciplines such as culture relations, information technology, linguistics, and general enterprise skills. Furthermore, contemporary multinational companies thrive in a world that is highly globalized (Larkan 2009).Advertising Looking for essay on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Mobility of Talents Because of globalisation, Levy et al. (2007) reveals that most international regulations that govern emigration have been waivered to pave a way for business activities across the different spheres of the globe. The loosening of emigration laws has challenged individuals worldwide to venture into global labour markets. As a result, there has been mobility of talents from one country to another as individuals get employment both in mainland or overseas countries. Ng (2013) claims that globalisation has eased the process of hiring brilliant talents from foreign countries. In the aforementioned, China and Japan are leading examples in the importation of the labour force to fill in their employment gaps due to their state of declining productive population. Many researchers have posited that mobility because of the war for talent has led to elevated emigration rates (Levy et al. 2007). This phenomenon has resulted in â€Å"brain drain† for the majority of the talented workers who leave their own countries for employment in foreign nations. However, in a number of cases, some countries, especially in the Unites States, have encouraged the need for â€Å"talent flow†, contrary to â€Å"brain drain†. This practice has promoted the return of skills to home countries in order to boost local talents. Integration of Mobility and Global Talent Undoubtedly, mobility is an important business opportunity that many leaders highly prioritise. Ju (2013) speculates that the magnitude of globally mobile workforce will rise significantly in the next 5 years. There is a need for business leaders to integrate mobility and global talents in order to compensate for skill gaps. Multinational organisations have to develop new leaders and acquaint them with the necessary skills, knowledge, and experience to establish new markets. The importance of integrating mobility and global talents is to nurture future talents that can save the global economy from suffering enormous losses due to skill gap. In a survey conducted by Chambers et al. (1998) to seek opinions on global mobility, the authors revealed that 61 percent of the respondents perceived global mobility as a crucial strategy for developing their talents and life careers. Apparently, 38 percent suggested that progressive global mobility could become more important for multinationals if business leaders could give the idea much more weight. According to Martin (2013), business leaders need to understand the importance of integrating mobility and talents in an attempt to improve global talent competency. Development of Talents According to Klein (2013), there are potential recruits for diverse employment opportunities worldwide. However, the challenge of recruiting and retaining such potential employees is the biggest question from many organisations. Researchers have revealed that there is a global pool of university graduates, who bear unreliable expertise for industria l and/or commercial activities. As a result, some organisations have sought new ways of maintaining their personnel through talent development. For instance, McDonnell (2011) reveals the Asian case where leaders emphasize the development of employee talents more than in any other place on the globe. A survey conducted by Levy et al. (2007) revealed that over 60 percent of the companies in Asian countries reported less satisfaction experienced from the performance of new employees. As a result, these companies advocate for the development of employee skills in order to nurture and maintain their talents. This strategy builds the companies’ confidence in the performance of their employees, and thus enhances the need to retain them. Besides Asia, other countries such as China, India, Latin America, the Middle East, and Eastern Europe have recently embraced the development of talents for employees. Concisely, the development of talents develops the overall specialisation skills a nd experience of employees. Hence, it improves both personal and organisational performance (Spitulnik 2011). The Local War on Talent War for talent is not only a challenge at the global arena but also an impasse at the local level. Many local companies have also found themselves in the fight for skilled professionals to take on crucial managerial positions (Levy et al. 2007). The local companies are as good as the multinational corporations. While the multinational corporations rule the global economy, the local business firms and enterprises run the regional economy. A major challenge that faces the local companies is the mobility of talents to foreign countries. Many companies underpay their skilled workforce owing to varying economic status quos for diverse countries across the globe. Consequently, skilled workers seek better compensations from the global labour market. To a considerable extent, mobility deprives the local companies of competent talents. Ng (2013) confirms that there is improper coordination of local talents in many countries across continents. There is a misalignment of the education system with the employment sector. So many scholars graduate from local universities only to miss their career job opportunities due to unavailable opportunities for their pursued degree programme. Others end up in underemployment in very different sectors that do not match with their learned skills. Leaders of local companies have to develop and retain local talents in order to foster job specialisation and adequacy of the required skills. Conclusion The war for talent remains an inevitable practice for multinational companies. Local companies have no exception too. The competition for experts is the determinant for the accomplishment of organisational goals and objectives. Therefore, worldwide multinational companies will continue investing huge sums of their finances to facilitate the recruitment of talented workforce through rigorous examination of their skills and leadership abilities. In addition, the mobility of talents is an ever-growing phenomenon as companies seek talents from the best workforce developers of the world. China, in particular, is the world’s leading importer of talents due to its state of declining population. Researchers and policymakers have to deliberate on the best ways that companies could use in order to integrate global talents and mobility. Development of proper strategies and approaches to talent management is unavoidable for the success of both local and global businesses. Reference List Burkus, D Osula, B 2011, ‘Faulty Intel in the War for Talent: Replacing the Assumptions of Talent Management with Evidence-based Strategies’, Journal of Business Studies Quarterly, vol. 3 no. 2, pp. 1-9. Chambers, E.G, Foulon, M, Handfield-Jones, H, Hankin, M Michaels, G 1998, ‘The War for Talent’, The McKinsey Quarterly, vol. 1 no. 3, pp. 44-57. Ju, S 2013, ‘Global Talent War 2 .0: From â€Å"Hiring† to â€Å"Utilization†Ã¢â‚¬â„¢, SERI Quarterly, vol. 6 no. 1, pp. 79-82. Klein, S 2013, ‘If you want to survive the talent war†¦Ã¢â‚¬â„¢, Smart Business Houston, vol. 8 no. 7, pp.11-11. Larkan, K 2009, Winning the Talent War: The 8 Essentials, Marshall Cavendish Business, Singapore. Levy, O, Beechler, S, Taylor, S Boyacigiller, N 2007, ‘What we talk about when we talk about ‘global mindset’: managerial cognition in multinational corporations’, Journal of International Business Studies, vol. 38 no. 2, pp. 231–258. Martin, A 2013, ‘New War on Talent’, Leadership Excellence, vol. 30 no.9, p. 7. McDonnell, A 2011, ‘Still Fighting the ‘War for Talent’? Bridging the Science Versus Practice Gap’, Journal of Business Psychology, vol. 26 no. 2, pp. 169-173. Ng, T 2013, ‘The global war for talent: responses and challenges in the Singapore higher education systemâ€⠄¢, Journal of Higher Education Policy Management, vol. 35 no. 3, pp. 280-292. Spitulnik, J 2006, ‘Cognitive development needs and performance in and aging workforce’, Organization Development Journal, vol. 24 no. 3, pp. 44–53. This essay on War for Talent was written and submitted by user Yusuf Robinson to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Paralegal essays

Paralegal essays When a company's interest are the same as those of an individual employee, in-house lawyers generally can avoid multiple-representation problems. But once there is a conflict of interest or a perception of a conflict the picture changes dramatically. It is important for in-house counsel to know how to spot such conflicts and what steps to take in response. Corporate counsel clients normally include the company, its board of directors, its most senior management, the heads of the company's various business divisions, its employees and even its former employees. All of these clients deserve quality representation in every matter, from the most fundamental to the most vexing. With this broad range of clients, ethical questions can arise. Specifically, can corporate counsel serve more that one client and, if so, what constraints exist upon such multiple representation? In most instances, a corporate lawyer should attempt to represent both the corporation and its employees, consistent with his or her ethical obligations. It is obviously in any company's interest to present a consistent and unified version of events that give rise to potential liability. Under governing ethics rules, corporate counsel has one client the corporation. Whenever conflicting loyalties arise, that relationship is paramount and requires the lawyer to cast aside any other clients. This bright-line test is muted in actual practice, however, and can put in-house lawyers into some uncomfortable situations, For example, they may have to explain to members of senior management that because the managers' interest are sufficiently different from the company's the managers need s eparate legal advice. Just as the importance of corporate law departments has increased, so too have the problems for corporate attorneys. Corporate employees seem ever more aware of their rights as opposed to the company's interests, and corporate counsel must be sensit...

Find a scholarly or popular article Essay Example | Topics and Well Written Essays - 500 words

Find a scholarly or popular article - Essay Example On another different note, the author addresses on the issue of the international system of human rights with gender violence. The main concern involves exploring the effectiveness of translation of the international laws into the indigenous societies and particularly on women. According to his remarks, he seems to be unsatisfied with the role of the local laws in curbing violence against women. To ascertain his arguments, he reviews a rape case that was removed out of court using a custom in Fiji, Southern America. Additionally, he outlines the story of a lady who decided to seek justice from the international court of law since the local courts were unjust.Despite how the international human rights system promotes cultural imperialism, the author ascertains that the system is very useful in stopping violence against women at local level(Merry, 2006). The piece of writing directly relates to cultural anthropology in that, it examines the sociocultural practices that hinder protection of women’s rights against violence. The article fully describes how the different communities perceive the international human rights law in relation to their local experiences. Another important aspect related to cultural anthropology is the evolution of the cultures after the end of the colonization era(Merry, 2006). During the nineteenth century, many societies resisted the human rights ideas advocated for by the international organizations such as UN. The translators had a hard time while placing the human rights in the local systems. In particular, the human rights activists and the societies conceived gender violence differently(Merry, 2006). Some human rights ruled out women circumcision, rape and early marriages. On the other hand, the local communities justified women circumcision and early marriages as they shaped the human behaviours. Later, in the twentieth century, the human rights activists partly achieved the realization of the women’s rights in

The bad effects of illegal immigration in the usa Speech or Presentation

The bad effects of illegal immigration in the usa - Speech or Presentation Example In 1882, President Chester A. Arthur banned almost all Chinese immigrants, paupers, criminals and mentally ill from entering the USA. This was the first time a distinction between legal and illegal immigrants was made and regulated. Moving on we see that Since the Immigration and Nationality Act of 1965, Congress has passed seven amnesties. Some of these include the Immigration and Reform Act (IRCA), in 1986 which serves as a blanket amnesty for over 2.7 million illegal aliens. The second passed in 1994, Section 245(i) Amnesty, which was a temporary rolling amnesty for 578,000 illegal aliens and extension of this, was added in 1997. The HRIFA 1998 and Life act Amnesty 2000. Despite Americans’ opposition to illegal immigration and amnesty, open border advocates are pressuring President Barack Obama to pass yet another mass amnesty for illegal aliens (End Illegal Immigration, 2011). Americans of all backgrounds are still seriously concerned about the negative impact of illegal i mmigration, such as with the number of bankrupted hospitals, overcrowded schools, and increased crime. Taxpayers pay dearly for this, illustrating the high cost of so-called â€Å"cheap labor† for some unscrupulous employers and their political allies who for decades have watered down immigration laws.

What is a Responsible Enterprise?

What is a Responsible Enterprise? The purpose of this essay is to effectively communicate what constitutes a responsible enterprise. Throughout this essay, the aim is to discuss the changing role of business. Firstly, this essay aims to identify the key global economic and environmental challenges that we face. It will then proceed to set out the understanding of the phrase responsible enterprise, and how acknowledging, understanding and implementing responsible enterprise values and strategies might help address those challenges. It will then proceed to look at the roles and responsibilities of government and non-profit organisations and suggest why greater collaboration between business, government non-profits might be necessary in order to responsibly tackle the challenges that face us. Finally, it will synthesise the contents of the essay and conclude on the global challenges. The criterion of sustainability integrate three firmly interlinked elements: economic, environmental and social, and when successfully combined can lead to long lasting sustainability (Sheehan, 2009). Elkington (1997) proposed the triple bottom line in relation to sustainability, coining together the term people, planet, profit. (Elkington, 1997). The concept of responsible enterprise has a fundamental problem, as people and businesses conceptualise the planet as having abundant resources, hence leading people to believe that economic expansion has countless possibilities (Wadham, 2016). The responsibility does not solely reside with one party, but is contributed to by business, consumers and government. If the efforts of these people are successfully integrated, this triad can shape society (Wetherly and Otter, 2011). With the current status of the world, there are an inordinate amount of challenges that are faced as a global society. This essay will cover two in particular, in rela tion to the pillars of sustainability. The first pillar of sustainability is economic. The need for a favourable economic environment is important for businesses and their ability to grow dynamically. In addition to this, stability enhances the external economic environment in a fortunate way for companies as it creates certainty (Wetherly and Otter, 2014). However, due to the global financial crisis of 2008, uncertainty was spread worldwide and the ripples caused nine years ago are still subsiding. Economists failed to perceive the downfall of the US sub-prime mortgage market and were collectively blamed for starting a global economic crisis (Pettifor, 2017). Being such a wide scale catastrophe, starting with the superpower, a domino effect proceeded worldwide. One such effect had the International labour market describing it as a global job crisis (Shah, 2013). Jobs were cut as employers could not afford to keep them on, as a result people cut back on expenditure and stopped spending as much money which caused businesse s to suffer further. This caused a rift in the business market. It also meant developing countries who were finally improving, were knocked backed once again. As the crisis, caused food prices to rise, commodity prices are fuel prices to soar. Though the immediate focus of this essay is not on the social aspect of sustainably, it has just as much importance. It involves allowing natural communities and individuals to flourish in the present and future. It is a concept that aims to maximise community assets (Georgia Tech, no date). One key global challenge in relation to this, is the water crisis. Due to bad economics and infrastructure, people are dying, in the millions, from inadequate supplies. It affects a shockingly 40% of the worlds population and is increasing (The Water Project, 2016). Completing the triad, is environmental impact and it is becoming more apparent that acknowledging business impact is essential. A sustainable business pertains to organisations efforts for creating human benefits in relation to harmonizing their environmental aspects against their criteria with government and society (Crosbie and Knight, 1995). One major challenge that has created awareness is Climate Change. Involving shifting and uncreditable weather patterns that threaten production of food, to problems such as calamitous flooding due to rising sea levels. (United Nation, 2016). As a result, the impacts of climate change are catalysing negative impacts on the environment. In efforts to control environmental impact, The Paris Climate Change Agreement, made it a requirement for both developed and developing countries to limit their emissions to safe levels, by regularly reviewing their activity (United Nation, 2012). However, in terms of business it was found that only 37% of the wo rlds biggest companies were reporting complete data on greenhouse gas emissions (The Climate Group, 2013). This inhibits the full impact they could have and questions how responsible they are. With responsible enterprise being such a complex phenomenon, there is no consensus, thus no singular definition. The diverse interpretations encompass various concepts including corporate social responsibility (CSR), sustainability and corporate citizenship. Responsible enterprise as a whole is defined as when companies operationalise their corporate responsibilities in all of their strategies and business practices by developing relationships with stakeholders and by working to maximise sustainability of the natural environment. (Waddock and Rasche, 2012: 4). According to the definition provided, the focus of the company should not solely reside in one area, and responsibility should be applied into the core values of the company, in order to enable maximum performance. Along with the vast interpretations there are various models and beliefs about whether it is fundamental for a business to act responsibly. The neo-classical school of thought, believes that businesses can flourish, if a successful environment is created, however this is only possible if the company operates in a free market. As a result, people are free to choose how they behave, without government intervention (Wetherly and Otter, 2014). Friedman (1970) strongly supports this theory, affirming that the underlying principal is to increase profits and whosoever tries to be socially responsible is undermining the previous success a free society has attained, thus making them blind to the true aims of business (Friedman, 1970). However, the global financial crisis proved it was hard to argue in favour of a free market approach, with the collapse of the US free market being a prime example (Reynolds, 2008). Contrary to this belief, Evan Freemanà ¢Ã¢â€š ¬Ã… ¸s (1993) viewpoint is that a company has the responsibility to acknowledge their obligations to indirect stakeholders (Crane and Matten, 2015). In addition, Carrolls (1991) model of corporate social responsibility (CSR) argues the definition of CSR should encompass four levels; including economic, legal, ethical and discretionary or philanthropic responsibilities, as shown in the diagram above (Carroll, 1983). In essence, Carrolls definition brings together a range of interpretations, believing businesses should be conducted with the four elements in mind. However, the stages of the pyramid are not chronological and progressive, because it is possible to satisfy the ethical importance whilst failing to meet the legal obligations (Griseri and Seppala, 2010). Also, the diagram leads you to assume Carroll meant CSR as having a hierarchical nature, therefore leading to believe, the higher you go on the pyramid, the more important the s tage is. However, Carroll stipulates that the economic and legal domains are the most fundamental, while philanthropic responsibilities are considered less important. (Schwartz, 2011:90). An example of a company using CSR strategies is Costa Coffee. They have various initiatives, but one of their most impressive aspects is their alliance with Rainforest Alliance Certified Farms. Farms, forests and tourist businesses who comply with their extensive sustainability criteria are rewarded with the seal of the green frog. This includes meeting Costas environmental protection, economically viable and social criterion. Ultimately they helps address challenges such as deforestation, climate change, alleviation of poverty and helps transform business practices. Costa as a business within the UK use smart coffee machines and 100% renewable energy supply to reduce carbon emissions. They also work in alliance with farmers from England and Wales, therefore contributing to economic growth and supporting small businesses (Costa, 2013). Furthermore, responsible enterprise can be defined using the concept of corporate citizenship (CC). Crane and Matten (2010), believe it should be associated with the corporations action towards governing the social, political and civil rights towards citizens (Crane and Matten, 2010). CC has reference towards the relationship between the individual and the state. In other terms, the rights of the individuals are protected and preserved by the government. Also insinuating that companies have a set of rights and duties to the community (Grisseri and Seppala, 2010). Business ethics is also a part of responsible enterprise. It is a form of applied ethics involving the study of correct conduct in relation to business. Ethical egoism is the perception that the right thing means doing what is best in regards to ones own interest. For example did Coca-Cola implement sustainability to improve their reputation after reports found that the soft drink giant were funding reports that claimed soft drinks were not a cause for obesity (Nestle, 2015). This is a cause for ethical concern as sugary drinks have proven to cause type-II diabetes. Regardless of this they were spending generously to convince researchers otherwise. By doing this, they relate to the theory of a free market by doing anything to gain and increase profits, and disregarding moral issues by lying and bribing. Therefore, it is hard to distinguish whether firms are applying responsible initiatives as a personal interest or genuinely for others, as some claim of being universal, but dont act correctly (Grisseri and Seppala, 2010). Governments should view communities holistically and enact decisions that are mutually beneficial to the environment, economy and health of society (Hitchcock and Willard, 2006). REF. Foreseeing the world demand for sustainability allows governments to adapt by transitioning into an economy that is more efficient. Thus, allowing them to take a lead and come out in a strong position to look out for their industries and communities (Peck and Gibson, 2000). In recent years, the importance of addressing the challenges of sustainability is being recognised by governments at every level (Bell, 2002). A key factor for the government being able to assist positively in all areas of the country, is decentralisation. Centralisation focuses on the retention of authority within the higher brackets of the government. Whereas decentralisation, systematically distributes power and authority throughout the system (Sidana et al., 2015). The need for this system has been acknowledged with the ex-prime minister, David Cameron, recognising and stating centralised national blueprints dont allow local solutions to major social problems and centralisation creates a great distance in our democracy between the government and the governed. (Cameron, 2010). This was further enacted as the Localism Bill came into fruition in 2011 and became an act of parliament. The Localism Act 2011 aims to devolve greater powers to councils and neighbourhoods and give local communities more control. (Localism act 2011 UK parliament, 2011). In regards to the UK government, as a whole, the Green Money Journal (2002) r esearch found that over  £120 billion was invested in institutional and retail funds with active social responsible policies, and sustainable development (Higgs, 2002). In essence, this shows that the government, in the last couple of decades, started to see the requirement of responsibly investing to meet its agendas. This caused for government to intervene. As a result, governments have adopted responsibility of driving CSR, through laws, regulations and tax (Moon, 2004). Firms thrive when markets are operating well, and are simultaneously increasing economic growth. However, allowing markets to take a completely free market approach, doesnt always translate positively. As a precaution, the government sets legislative and institutional frameworks for markets and companies to operate in (HM Government, 2009). By intervening, it means markets are not independent from the government. They intervene through taxes and subsidies, which can be used to influence incentives of firms in the private sector. For example, subsides can be used to increase financial support for businesses with potential, through government grants, soft loans, and taxes (HM Government, 2009). In the way of sustainability, the Environmental Tax was implemented by the UK in order to protect the environment from pollution by promoting positive environmental behaviour and attempting to reduce the damages (Green fiscal commission, 2011). Introduced in 2001, under the environmental tax, wa s the Climate Change Levy (Office for National Statistics, 2016). By businesses demonstrating that they are operating officially and complying with the needs of the environment, they can get relief from some taxes (Environmental taxes, reliefs and schemes for businesses, 2016). This ensures businesses to be more sustainable, due to the actions of the government. In relation to the financial crisis of 2008, the fear spread throughout the entire world economy, instilled confidence in the need for government intervention. This was to inhibit the actions of the market through regulation, in specific reference to the banking sector, in order to prevent history repeating itself (Wetherly and Otter, 2011). An argument for government and businesses collaborating is due to the fact that SMEs equate to 99% of businesses within the EU, making their impact strong (Wetherly and Otter, 2011). They are huge drivers of the economy with 85% of net jobs being created by them, making them favourable. Through the different levels of government, e.g. regional and local, it is easier to provide attention to business growth in one area. It also means SMEs can collaborate with governments, through initiatives, in benefit for themselves, the consumer and the environment. For example, the Welsh government placing  £2m into SMEs to find solutions for the challenges facing the public sector (Welsh Government, 2015). Non-profit organisations (NPO) are also referred to as the voluntary or third sector. Salmon et al (2003) sets out five characteristics for non-profit entities. He states that they are; organisations, private, non-profit distributing, self-governing and voluntary (Salamon et al, 2003). NPOs, have become increasingly present as they have shown to provide a middle way platform, in the sense that previously, dependence was either on the market or the state (Salamon et al, 1999). Most theories of the role of non-profit sector embrace the idea of a trichotomy, which refers to the government, for-profit and non-profit organisations, as they are all involved in the production of goods and services (Powell and Steinberg, 2006). An NPO is exempt from paying tax and is formed for various purposes. The money earned does not financially benefit the trustees and shareholders, but instead is used to pay for its own expenses (Jackson, 2003). This is a main difference between private sector business es and NPOs, as the private sector focuses on the motive of profit (Wetherly and Otter, 2011). Examples of non-profit enterprises include: The Co-Operative, Toms Shoes, and Unicef. In conjunction with these examples, there are other enlightening examples, One World Health is the first non-profit pharmaceutical company that develops medicine at affordable prices for the developing world (OECD, 2010). NPOs therefore acknowledge meeting urgent societal challenges and promoting sustainability. In regards to NPO and Government, awareness has increased that governments who act alone cannot achieve the changes required for sustainability to great effect. As a result, governments need to implement initiatives to increase participation by all sectors of society (Bell, 2002). As a result, partnerships between the three sectors are required. Over the years it has become increasingly apparent that organisations want to work in conjunction with one another. Partnerships are when organisations work together to address tasks by sharing resources, expertise and risk. Furthermore, popular partners of non-governmental organisations has been with the United Nations and Government agencies (Grisseri and Sepala, 2010). To conclude, there are various interpretations and concepts of what constitutes a responsible enterprise. Ultimately, driving sustainability and CSR initiatives are crucial in order to come under the scope of being responsible. Although, this essay only covered a couple global challenges, there are more struggles of the world that are increasing rapidly. These struggles pertain to economic, social and environmental issues. By acknowledging and implementing sustainable solutions we can extend the life of the Earth, increase worldwide social welfare and drive economic growth, in preparation for generation to come. Overall, collaborations are necessary by the government, business and non-profit organisations. By coming together, each can contribute to enhancing sustainability to address the challenges faced. Governments contribute by making sure businesses are aware by implementing legislation and initiatives. Businesses can help by making the products and services they offer make an impact by making consumers aware of the need for sustainability, and also attaining certified stamps to support well established companies that are actively making a difference. Regarding NPOs, they address the challenges by raising awareness, and helping out by investing in the issues that really need help and support. Due to the far reaching involvement sustainability requires. It is evident collaborations are needed as the three models cannot exist in pure form because markets everywhere have already developed in co-operation with the government, voluntary sector and even wider society. References BBC (2008) US superpower status is shaken. Available at: http://news.bbc.co.uk/1/hi/business/7645743.stm (Accessed: 8 January 2017). In-text citations: (BBC, 2008) Bell, D. (2002) Available at: http://www.bus.tu.ac.th/usr/wai/xm622/conclude%20monsanto/bell11062002.pdf (Accessed: 18 January 2017). Cameron, D. (2010) David Cameron: This is a government that will give power back to the people. Available at: https://www.theguardian.com/politics/2010/sep/11/david-cameron-government-power-people (Accessed: 15 January 2017). In-text citations: (Cameron, 2010) Carroll, A.B. (1999) Corporate Social Responsibility: Evolution of a Definitional Construct, Business Society, 38: 268-295 Cassandra Higgs, The UK SRI Market Booms, Green Money Journal February/March 2002, http://www.greenmoney.com/gmj/feb-march2002/3.htm) Costa, 2017 (2013) Social responsibility. Available at: http://www.costa.co.uk/responsibility/ (Accessed: 18 January 2017). Crane, A. and Matten, D. (2016) Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Fourth edn. Oxford, United Kingdom: Oxford University Press. In-text citations: (Crane and Matten, 2016 Environmental taxes, reliefs and schemes for businesses (2016) Available at: https://www.gov.uk/green-taxes-and-reliefs/climate-change-levy (Accessed: 17 January 2017). Friedman, M. (1970) The Social Responsibility of Business is to increase its Profits. The New York Times, September 13. Georgia Tech (no date) What is social sustainability? Available at: https://serve-learn-sustain.gatech.edu/sites/default/files/images/inss-social-sustainability.pdf (Accessed: 18 January 2017). Green fiscal commission (2011) Green fiscal commission: GFC final report. Available at: http://www.greenfiscalcommission.org.uk/index.php/site/about/final_report (Accessed: 17 January 2017). Griseri, P., Seppala, N. and Griseri, T. (2010) Business ethics and corporate social responsibility. United Kingdom: International Thomson Business Press. In-text citations: (Griseri, Seppala, and Griseri, 2010) HM Government (2009) Government in markets why competition matters a guide for policy makers. Available at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/284451/OFT1113.pdf (Accessed: 17 January 2017). Jackson, A. (2003) What is a non-profit business? definition example business plan video lesson transcript. Available at: http://study.com/academy/lesson/what-is-a-non-profit-business-definition-example-business-plan.html (Accessed: 17 January 2017). Localism act 2011 UK parliament (2011) Available at: http://services.parliament.uk/bills/2010-11/localism.html (Accessed: 15 January 2017). In-text citations: (Localism act 2011 UK parliament, 2011) Moon, J. (2004) Government as a driver of corporate social responsibility: the UK in comparative perspective. Nottingham: University of Nottingham. (Research Paper Series, No. 20-2004). Nestle, M. (2015) Coca-cola says its drinks dont cause obesity. Science says otherwise coca-cola says its drinks dont cause obesity. Science says otherwise. Available at: https://www.theguardian.com/commentisfree/2015/aug/11/coca-cola-obesity-health-studies (Accessed: 18 January 2017). Office for National Statistics (2016) Environmental taxes -2014. Available at: http://webarchive.nationalarchives.gov.uk/20160105160709/http://www.ons.gov.uk/ons/dcp171776_405555.pdf (Accessed: 17 January 2017). Organisation for Economic Co-operation and Development OECD (2010), SMEs, Entrepreneurship and Innovation, OECD Publishing Pettifor, A. (2017) I was one of the only economists who predicted the financial crash of 2008 in 2017 we need to make urgent changes. Available at: http://www.independent.co.uk/voices/brexit-economy-economists-predict-financial-crash-recession-2008-michael-fish-austerity-cant-solve-a7513416.html (Accessed: 8 January 2017).In-text citations: (Pettifor, 2017) Powell, W.W. and Steinberg, R. (2006) The nonprofit sector: A research handbook. Available at: https://books.google.co.uk/books?hl=enlr=id=7n8dPi2ew9YCoi=fndpg=PA1dq=non+profit+organizations+vs+non+governmental+organizationsots=1ApSnto1ZLsig=mffDcFydPU52CjQTLipiVzJm2_E#v=onepageq=non%20profit%20organizations%20vs%20non%20governmental%20organizationsf=false (Accessed: 16 January Salamon et al (1999) Global civil society dimensions of the nonprofit sector. Available at: http://ccss.jhu.edu/wp-content/uploads/downloads/2011/08/Global-Civil-Society-I.pdf (Accessed: 16 January 2017). In-text citations: (Salamon et al, 1999 SALAMON L, SOKOLOWSKI S and LIST R. (2003) Global civil society: An overview. (Baltimore: Johns Hopkins Center for Civil Society Studies,) Schwartz, M.S. (2011) Corporate social responsibility: An ethical approach. Peterborough, Ont.: Broadview Press. In-text citations: (Schwartz, 2011) Sheehan, B. 2009, What is sustainability?, Control Engineering, [Online], vol. 56, no. 9, pp. 12. sidana, payal, S, S., Debarshi, singh, ojasvii pratap, Msuya, S.M. and Charles, G.L. (2015) Business. Available at: http://keydifferences.com/difference-between-centralization-and-decentralization.html (Accessed: 15 January 2017). In-text citations: (sidana et al., 2015) Social sustainability (2017) Available at: https://www.unglobalcompact.org/what-is-gc/our-work/social (Accessed: 12 January 2017). In-text citations: (Social sustainability, 2017) Steven Peck and Robert Gibson, Pushing the Revolution, in Alternatives Journal, Vol. 26, No. 1 (Winter 2000). The Climate Group (2013) THE CLIMATE CHANGE ORGANISATION t/a annual report and accounts 2013/14 12 months to 30 June 2014 board of trustees report. Available at: https://www.theclimategroup.org/sites/default/files/archive/files/The-Climate-Change-Organisation-Consolidated-Accounts-13-14_FINAL-SIGNED.pdf (Accessed: 18 January 2017). The Water Project (2016) Global water shortage: Water scarcity the importance of water. Available at: https://thewaterproject.org/water-scarcity/ (Accessed: 18 January 2017). United Nations (2012) The Paris Agreement main page. Available at: http://unfccc.int/paris_agreement/items/9485.php (Accessed: 18 January 2017). United Nations (2016) Climate change. Available at: http://www.un.org/en/sections/issues-depth/climate-change/index.html (Accessed: 18 January 2017). Waddock, S. and Rasche, A. (2012) Building the responsible enterprise: Where vision and values add value. Available at: https://books.google.co.uk/books?hl=enlr=id=NA-zW_dSP3sCoi=fndpg=PR5dq=define+responsible+enterpriseots=gd_Gqz5Osxsig=CU30GdsB8tp7XRDFh1p7gr3w6Jc#v=onepageq=define%20responsible%20enterprisef=false (Accessed: 7 January 2017). In-text citations: (Waddock and Rasche, 2012 WADHAM, H., 2016. Responsible Enterprise Lecture 1: Introduction, 5T5Z0011_1617_9Z5F. [PowerPoint Presentation]. Responsible Enterprise Lecture 1: Introduction. Responsible Enterprise. Manchester Metropolitan University, All Saints Business School, 26 September. Available from: https://moodle.mmu.ac.uk/course/view.php?id=76103 [Accessed 27 December 2016]. Welsh Government (2015)  £2m boost for Welsh SMEs to develop tailor made solutions for challenges facing the public sector. Available at: http://gov.wales/newsroom/businessandeconomy/2015/151204-boost-for-smes/?lang=en (Accessed: 18 January 2017). Wetherly, P. and Otter, D. (eds.) (2014) The business environment: Themes and issues in a globalizing world. 3rd edn. Oxford: Oxford University Press. Case Study: A Italian Restaurant In East London Case Study: A Italian Restaurant In East London The nature of the project is starting a Italian restaurant in east London. We decided a place which is Mile end. Restaurants are one of the most highly regulated businesses. According to the National Restaurant Association, the restaurant /industry sales are expected to reach a record $537 billion in 2007 and there are approximately 935,000 restaurant-and-food service outlets. With 12.8 million employees, the industry is the largest employer. In order to open restaurant, I need to do first business plan. Project objectives Opening new Mezzo-Mezzo Restaurant in Mile End area will meet the following set of objectives: Achievement of companys objective which includes maximisation of shareholders wealth. Fulfil its growth organically. Accomplishing customers requirement such as easy access to our Restaurant and good customer services. Industry Analysis Although the restaurant industry is very competitive, the lifestyle changes created by modern living continue to fuel its steady growth. More and more people have less time, resources, and ability to cook for themselves. Trends are very important and this restaurant is well positioned for the current interest in lighter, healthier foods at moderate to low prices. The Restaurant Industry Today The food service business is the third largest industry in the country. It accounts for over $240 billion annually in sales. The independent restaurant accounts for 15% of that total. The average American spends 15% of his/her income on meals away from home. This number has been increasing for the past seven years. In the past five years the restaurant industry has out-performed the national GNP by 40%. The reasons given by the Folkney Report (November 1994) are 1) lifestyle changes, 2) economic climate, and 3) increase of product variety. There are 600 new restaurants opening every month and over 200 more needed to keep pace with increasing demand. Future Trends Strategic Opportunities The predicated growth trend is very positive both in short and long-term projections. Folkney states again that as modern living creates more demands, people will be compelled to eat more meals away from home. The DMR Industrial Report (April 1995) estimates this as high as 30% over the next five years. In 1988 The National Restaurant Association released the Foodservice Industry 2000 report that forecasted how the industry might look in the year 2000. Some highlights from the panels findings: Consumers will spend a greater proportion of their food dollar away from home. Independent operators and entrepreneurs will be the main source of new restaurant concepts. Nutritional concerns will be critical at all types of foodservice operations, and food flavours will be important. Environmental concerns will receive increased attention. Feasibility Study Financial Feasibility A Financial Feasibility study is an assessment of the financial aspects of something. This project has been assessed in terms of its financial feasibility and it viability in terms of cost and benefit analysis. The benefit that can be derived from this project will outweighs it initial cost. Taking into account performance of restaurant with similar size in Wembley area, I have used those performances as to project the expected cash flows where on average they both generate  £10,000 per week. Since this will be likely because of the recent economic situation, but an am optimistic that this store will be able to general  £10,000 per week. Operational Feasibility I recommends that this restaurant will be able to achieved these targeted payback period of five months to recoup the initial investment. This analysis has been shown below: Revenue per month:  £78,350/5 =  £15,670 Revenue per staff per operating hours:  £78,350/ (10*8) =  £980 as part of company training policy, all staff will be well trained to deliver excellent customer service standard. Revenue per week:  £15,670/5 = £3,134 Social and Environment Feasibility I have undertaken a market a market research and environment scanning to ascertain whether there will be interest on our restaurant, what is the demographic settlement like in terms of food. My study indicated that most people will like our food because we will provide different kind of variety. Timescale In order to open a restaurant, we need to prepare business plan first. It will take around 1 month. About finding location and finding restaurant name will take 1 month. Finance the business will take 2 month because sometimes it takes time. Installation of electricity and equipment will take also 1 to 2 month. And last we need to obtain business licence. Task-1.2 SWOT Analysis SWOT Analysis is a strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favourable and unfavourable to achieving that objective. Strengths Brand equity The Restaurant location ( Mile End area ) Consistency of food We will offers consumers choice, reasonable value and great service Price is cheaper than others We have take-away option We have different menu items Weakness Quality and taste of products Our restaurant is new and not established Our restaurant has poor disabled facilities We have limited funds Opportunities A new office complex is being built near by A new housing development is planned Threats The high street brand is moving into the area A main competitor has lowered their prices Our operating costs are set to increase PEST Analysis PEST analysis stands for Political, Economic, Social, and Technological analysis and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management. Political Factors This relates to direct impact of political influences and it impacts our project. In the case of this project local council will support to our business because it will create jobs as well as optimize councils tax revenue. Especially creating job is a major priority for the national government so they will be in support of the project. And also there will be less political risk that will affect this project such as government rejection of the propose moved, increased in tax at present time in very unlikely. Economic Factors The general economic environment shows that spending level among some people individual will fall due to difficulty in gaining credit but most young people with relative disposable income can at least spend and these are the people we are targeting. Social Factors Social factors include the cultural aspects and include health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. In this area I have undertaken a market research and environment scanning to ascertain whether there will be interest on our restaurant food. My study indicated that most people are Asian in Wembley area and will be interested in our Asian. . Technological Factors Technological factors include ecological and environmental aspects, such as RD activity, automation, technology incentives and the rate of technological change. Here the impact of technological changes which we already possessed will help the company to gain competitive advantages such as e-commerce. Stakeholder Analysis Stakeholder Analysis is a vital tool for identifying those people, groups and organisations that have significant and legitimate interests in specific urban issues. Clear understanding of the potential roles and contributions of the many different stakeholders is a fundamental prerequisite for a successful participatory urban Governance process, and stakeholder analysis is a basic tool for achieving this understanding. The Stakeholders are; Customers Suppliers Employees Shareholders Customers Each of the stakeholders will have different expectation of an organisation. They try to engage with customers. They provide sales information, monthly monitoring of views. Their customer question time meeting help to identify and respond to changing customers needs. Suppliers The relationship of interests between an organisation and its suppliers can be seen as very similar to that between the organisation and its customers, but reversed. They do regular visits, meeting and discussions with suppliers. They have direct relationships with important raw material suppliers. Suppliers stock the business with all its business supplies. Suppliers may want an increase in wages. Suppliers have an interest in ongoing and mutually beneficial business relationships, and they expect to be paid on time. Employees The Company try to engage with employees. They have many ways such as internal communications including an employee magazine and regular business updates. Employees many want an increase in pay rise. Staffs have a very big interest in the business in the form of wages, bonuses, discounts and holidays pensions. Employees interests may be seen as the assertion of certain rights deriving from what is seen to be acceptable in the way in which employees are treated within society. Shareholders The Company have shareholders. They do collection of feedback questions from individual shareholders. Shareholders are the owners of a company. Their only real involvement in the organisation will be at the Annual General Meeting, when they are called upon to approve, by a vote, the overall direction of the organisation and the senior management team responsible for achieving that direction. Oftentimes, the only difference between floating and drowning is the direction. Without restaurant financial analysis, a restaurant may be face down without even knowing it. Restaurant financial analysis analyzes performance metrics such as profits and losses, cash flow, cost of sales and cost of labour. By assessing this data, operators can evaluate their finances and establish systems and structures to keep their restaurant afloat. Restaurant financial analysis performance metrics Profits and losses Whether we are produced monthly or weekly, profit and loss statements give restaurant operators a broad overview of their sales history. But the information only becomes useful when broken down to reflect, cost of sales, cost of labor and other overhead costs. A restaurant financial analysis assesses profits and losses with a critical eye to determine specific areas that should be improved upon. Cost of sales A restaurants cost of sales, sometimes referred to as cost of goods, is the sum of all expenses associated with producing the menu items. Should food costs be running at 20 percent or 40 percent? The answer can vary depending on a restaurants positioning (fast casual, casual or upscale) and menu mix. Restaurant financial analysis can help operators determine where their cost of sales should be by building theoretical food and beverage costs. Cost of labour Cost of labour is another contributor to cost of sales. A fine line exists between overstaffing a restaurant and scheduling enough employees to run a restaurant effectively. Sensible scheduling and employee productivity are the best ways to control cost of labour. In addition, tools should be available to assess mid-shift needs. Many restaurateurs are reluctant to phase out employees in a timely fashion. Restaurant financial analysis can review payroll reports, sales reports and customer counts to optimize scheduling and productivity and decrease cost of labour. When to undergo restaurant financial analysis Opening a new restaurant When opening a restaurant, restaurateurs can use financial analysis to predict their success. A restaurant financial consultant can draft a five-year plan and financial forecast based on industry and segment standards. Financial analysis can also be used to establish financial systems for a new restaurant. Controls for cash handling, inventory, payroll and daily sales reconciliations should be established well in advance of a restaurant opening. By implementing these systems early in the game, a restaurant can effectively monitor them, giving it a greater chance of succeeding financially. Purchasing an existing restaurant Before purchasing an existing restaurant concept, restaurateurs should conduct financial analysis and feasibility studies to determine the profitability potential of the operation. This can be estimated by evaluating patterns and trends in the restaurants past performance and estimating the effect of anticipated changes. Running an operating restaurant Restaurant financial analysis is not just for new operations. Generally, it is most beneficial for restaurants already in operation. Whether a restaurant has been in business for a year or 20, financial analysis can help identify losses and hidden costs. That information will help establish appropriate financial systems or refine existing ones to keep money from slipping through the cracks. Who can perform a restaurant financial analysis? Restaurant financial analysis shouldnt be performed by just any financial consultant. It is best to work with a consultant that specializes within the restaurant industry. The main goal of restaurant financial analysis is to help operators understand how their restaurant can become more profitable. A restaurant-specific consultant can explain the analysis process and their findings in terms that restaurant operators will understand. A financial consultant will know the target performance metrics for specific restaurant categories and the industry as a whole. They can provide guidance for the selection and implementation of point-of-sale and accounting systems and show operators how to get optimum results from these systems. A financial consultant can help restaurant operators build the necessary tools to pull and analyze their own financial reports. Ultimately, financial analysis should be ongoing, becoming an everyday part of a restaurants thinking. Restaurant financial analysis doesnt just keep a restaurant afloat, it helps their business soar. Task-1.3 Market Competitively and Activity This project will fit the business strategic of the restaurant because it will help gain competitive advantage, create new market for potential customers, gain market share in as well as responding to changes in business environment, increase profitability, establish local branch, obtaining new customers, expansion of business and improve companys image which could be achieved since there is an existing market gap which we can fill via Ansoffs matrix. Marketing Analysis shows that this project will make the business more competitive in the following ways: Demographic population: In west London area, the population is very high. There are many Asian restaurants available in the area. And the all restaurants provide good services and good food. Food variety: The social society will be interested in our food because we will provide variety in the food along with music. Market gap: the economic feasibility have highlighted that our competitors are doing well in these area. Industry Trends Studying industry trends is one of the first steps in conducting a market analysis. It will help you identify opportunities and threats in the industry that may affect your profitability. Consider the following Food Service Industry 2000 Trends, reported by the National Restaurant Association: Consumers will spend a greater portion of their food dollars away from home; Competition in the food service industry will be more intense as growth continues; Major food service chains will increase their shares of both sales and units; Independent operators will be the main source of new restaurant concepts; Nutritional concerns will be critical at all types of food service operations; and Service will become a more important point of differentiation. Industry Tends Checklists: Growth in Industry Sales Quick-service vs. table-service Chain vs. Independent Types of restaurants (steakhouses, ethnic) Catering Deli, bakery and takeout operations Monthly/seasonal dining out patterns Industry sales outlook Market Demand Economic trends Consumer confidence Demographic trends Food away from home trends Factors that motivate one to dine out Eating habits of different market segments Menu Preferences Appetizers/soups Entrees Sandwiches Desserts Nutritional concerns Menu pricing Alcoholic beverage consumption Vegetarian trends Restaurant Success Factors New and popular concepts/themes Customer service innovations Pricing practices Food production methods Labour saving techniques Debt-to-Sales ratios and other statistics Legislative and Regulatory Issues Business meal tax deductibility Health insurance Wage and hour requirements Americans with Disabilities Act Competitive Strategy There are three major ways in which we will create an advantage over our competitors; product identity, quality, and novelty high employee motivation and good sales attitude Innovative and aggressive service options The restaurant will be the only restaurant among all the competition which focuses the entire menu on healthy, low-fat cooking. Each of the competitors offers at least one healthy selection on their menu. The target market will perceive the restaurant as the destination location for healthy, low-fat cooking. The main points are Pricing, Location, Reputation, Image/Brand, Choice/Variety, Service and Atmosphere. References www.essortment.com www.awib.org www.mplans.com www.virtualrestaurant.com http://www.bplans.co.uk/steak_buffet_restaurant_business_plan/financial_plan_fc.cfm Part 2 Task 2.1 Resources Materials: Rented property from an individual landlord in west London as a perfect location for the new restaurant to be open, this is critical factor in terms of visibility and easy access of the restaurant for our customers. Equipments: Different kinds of restaurant will require different kinds of equipment. Typically equipment needed to open a restaurant includes a service kitchen (oven, microwave, heat lamps, prep tables and dish washer, fryers, boilers, refrigerators (table, chairs, spoon, glasses and cash registers). Labour: Ten staff normal standard hours (8 hours per day) and contractors the fixed day of work for one month. Finance: Most banks and lenders require you to put some of your own money into the business and contrary to popular belief, they do lend money for businesses. The project financed can be source from long term borrowing from bank in Iceland of  £50,000 to finance the project deliverables. Cost Associated With Resources These are one-off capital cost required immediately to deliver project deliverables. Materials: property rent in west London area will requires a normal rental agreement with the landlord. A deposit of  £15,550 plus one months rent in advance including council tax will be require total  £32,350. Equipments: Kitchen equipment will cost  £10,000, boiler will cost  £2000, till and it maintenance will cost  £12000 and general things e.g. tables, chairs will coat  £8000. Labour: External contractors for refurbishment are expected at  £12,500 this will includes: electrician, refurbishing the restaurant and painting the restaurant. Sources of Finance The project financed can be source from long term borrowing from bank of  £78,350 to finance the project deliverables. They could be approach on the based that this project will recoup its initial investment within four months time; and that revenue generate can be used to pay of principal loan plus interest. Budget for the Project This project has been budgeted on the grounds of Zero based budgeting which involves identification of tasks to be performed and then funding resources to complete the task independent of current resourcing it ensure that resources are efficiently allocated. The project budgets have been made on this bases with each cost justify in terms of their usage in the project: Resources £ CostMaterials32,350Equipments32,000Labour12,500Miscellaneous expenses1,500Total78,350 Cost Benefit Analysis Cost Benefit Analysis is typically used by governments to evaluate the desirability of a given intervention; it is an analysis of the cost effectiveness of different alternatives in order to see whether the benefits outweigh the costs. The aim is to gauge the efficiency of the intervention relative to the status quo. The costs and benefits of the impacts of an intervention are evaluated in terms of the publics willingness to pay for them (benefits) or willingness to pay to avoid them (costs). Inputs are typically measured in terms of opportunity costs the value in their best alternative use. The guiding principle is to list all of the parties affected by an intervention, and place a monetary value of the effect it has on their welfare as it would be valued by them. Years0123Present value78,3503,90,1801,090,8601,072,163Probability50%50%50%Certainty equivalent1,95,0905,45,4305,36,082D.F 9%1.0000.8800.9450.820Present value(75,000)1,71,6795,15,4314,39,587NPV £10,51,697The project is viable because it will yields to shareholder wealth creation of about  £2.01 million in three years time. However incorporating rick to the cash flows using certainty equivalent, and for the fact that current economic climate in terms of spending will affect all industries, I am certain that the 50% of the cash flows will be generated in each of the years. This is show below: Most restaurants use a system of 12-month or 13 four-week periods to track their annual budget. By breaking the budget down into these types of sections, it is easier to see when money is moving in and out of the restaurant. Anticipate Your Costs In the restaurant, budgeting is often a game of balancing costs and income. In fact, a budget is much like a profit and loss (PL) statement extended over a longer period of time. Be prepared to account for the following costs in your annual budget: Rent or mortgage payments Taxes Insurance Labor/payroll Utilities Loan payments Operational supplies Repairs and maintenance Marketing Training Food service professionals suggest that you plan to spend about 30 percent of your budget on food, 25 percent on labour, 10 percent on rent or mortgage, and 3 percent on utilities.1 The rest goes in small parts to operational expenses, marketing, taxes, maintenance and other variable costs. These are simply estimated guidelines to follow, as every restaurants expenses and budget are different. Look below for a graphical representation of these suggested expenditures: Know Your Breakeven Point . It is the bare minimum amount of sales the restaurant operation needs to bring in to survive. It is important to know your restaurants breakeven point so that future financial decisions can be made in hopes of making a reasonable profit. Analyze Your Financials Every Period Examining your PL and your budget on a weekly and monthly basis will help you keep your bases covered in terms of realizing your expenses and income. Evaluate your budgeted operating expenses and your actual expenses, as well as the net profit you anticipated and what your restaurant actually made. Make a note of any areas in which your expenses exceeded your budgeted amount. When budgeting for the year, especially if you are doing so for the first time, it helps to have a budget worksheet. Download a sample budget worksheet to your own back office computer. Cost of Goods Sold The cost of goods sold was determined by taking actual Profit and Loss statements from various restaurant concepts and then using our pricing structure and guest counts to arrive at costs. Management Payroll Figures are based upon the use of five managers per unit at our maximum bonus and salary levels. If we use four managers per restaurant, this will lower our payroll. Fixed and Variable Expenses The various fixed and variable expenses were determined by taking actual numbers from several different restaurant concepts. Marketing Fees These funds will be used for the production of various marketing materials. Advertising These funds will be used, if necessary, to maintain our sales at projected levels. If we are running significantly ahead of our sales projections, then these funds may not be necessary. Management Fees We will use these pounds for accounting and payroll services of our firm. As we grow in size, this cost burden will shrink per store due to efficiencies in volume. Important Assumptions The financial plan depends on important assumptions, most of which are shown in the following table as annual assumptions. The monthly assumptions are included in the appendix. Interest rates, tax rates, and personnel burden are based on conservative assumptions. Some of the more important underlying assumptions are: We assume a strong economy, without a major recession. We assume, of course, that there are no unforeseen changes in consumers tastes or interests to make our concept less competitive. Introduction This report is concerned staff training and development it related cost associated to this project. The company sales force plays a vital role in delivering better customer services and each member have different training needs depending our their position. The companys their future depends on nurturing great individual talent and providing an environment where staff can flourish personally and professionally. Successful training will help to develop the following skills. Deliver excellent customers Well motivated Increase morale Improved job and staff performance. Recruitment takes place from the point when a business decides that it needs to employ somebody up to the point where a pile of completed application forms has arrived in the post. Selection then involves choosing an appropriate candidate through a range of ways of sorting out suitable candidates leading to interviews and other tests. Training involves providing a range of planned activities that enable an employee to develop the skills, attitudes and knowledge required by the organisation and the work required. A job description is also helpful because it sets out: The job description can be sent out to potential candidates along with a person specification, which sets out the desirable and essential characteristics that someone will need to have to be appointed to the post. A variety of media will be used to attract applications e.g. national newspapers for national jobs, and local papers and media for local posts. Objectives of Training and Development The main objectives of staff training and development are to improve the qualities of the trainee, formulation of objectives for different needs and ways of achieving it. The training objective is very important because it determines the designed and content of the training programmes. Contents of the training remain the same no matter the type of training involved. It is to increase personnel efficiency, professional growth and smooth and more effective organizations operations. Methods of Training and Development On the job training/coaching: This relates to formal training on the job. A worker becomes experienced on the job over time due to modification of job behaviours at the point of training or acquisition of skills. Induction/orientation: This is carried out for new entrants on the job to make them familiar with the total corporate requirements like norms, ethics, values, rules and regulations. Apprenticeship: A method of training where an unskilled person understudies a skilled person. Demonstration: Teaching by example, whereby the skilled worker performs the job and the unskilled closely observes so as to understand the job. Vestibule: This is done through industrial attachment for the purpose of skills and technology transfer. It is therefore achieved through placement of an individual within another area of relevant work or organization. The effect is the acquisition of practical and specialized skills. Formal Training: A practical and theoretical teaching process which could be done within or outside an organization. When training is carried out inside an organization, it is called an in-house training. Off-house training is carried out in professionalized training areas like: Universities, Polytechnics and Professional Institutes. Cost of Training and Development The cost of training will be the time of each individual at their contracted hourly rate for the two days which will last for three hours a day. . However management training will cost the company in terms of travelling, refreshments, days attended, guaranteed hours of eight hours. Plan and Agreed Timescale for this Project The plan and agreed timescale for the management and implementation of the project, services and process are detail below using Gantt chart below: The Plan and Implementation of this Project is show in chart below: Activities Obtain business licence Installation of electricity No. Of MonthsTask to be Achieved1 Prepare business plan1Finding a location2Finance the business1Finding restaurant name1Installation of Equipment1Installation of electricity and CCTV1Obtain business licence Installation of equipment and CCTV Finding restaurant name Finance the business Finding a location Prepare a business plan 1 2 3 4 5 6 Months Prepare Business Plan To prepare for

Teaching and Education Philosophy :: Teaching Education Philosophy

Teaching and Education Philosophy My philosophy is that an educator is the most valuable resource our country has. Of all the jobs or careers in this world none of them would be possible without teachers. There are two main points to my philosophy, why teachers are important and who teachers are. Hopefully reading my philosophy will give you a better understanding of the importance of educators in this world. Teachers are very important in our society because we need them to provide our youth with the knowledge and social experiences they will need to improve their future and the future of the entire planet. As a teacher I hope to be able influence many lives and help students understand what education can do for them and their future. I can recall only one teacher from high school who actually talked about college and what we would need to do to be better prepared for college. Dr. Lawrence was my eleventh grade chemistry teacher. He had been a college professor at George Mason University for around 30 years before he decided to teach at my school. He brought a college like atmosphere into our classroom, which helped us, prepare for the way things would be in college. This is just a small example of what teachers are for, to educate students on more than just books or academics but on life. Teachers are more than just people who relay information about a certain subject . Who teachers are, they are anyone and everyone. Teachers are grandmothers, fathers, brothers, and sisters. For anything to be learned it must be taught. I remember many times my mom and dad sitting me down to talk about some situations that might come about and telling me ways to deal with them. Classroom teachers especially in the early years are the people that those students will see most throughout the course of the day and will learn