Organizational Health – Concept, Dimensions, and Characteristics

Management Concepts

Organizational Health Approach – Building a Strong Workplace

Modern Management Concepts

Participative Management – Workers Participation in Management

Human Resource Management

Case Study on Entrepreneurship: Larry Page

Business Analysis

The Boundaryless Career: Modern Contemperory Perspective on Career

Human Resource Management

Case Study of Cemex: Incorporating IT into Business

Founded in 1906, Cemex is one of Mexico’s few truly multinational companies, with market-leading operations in Mexico, Spain, Venezuela, Costa Rica, Philippines, Panama, Dominican Republic, Egypt, Colombia, and a significant presence in the Caribbean, Indonesia, and the southwest United States. It is the largest cement company in America and one of the three largest cement companies in the world, with revenues of $4.8 billion and close to 65 million metric tons of production. Cemex and its subsidiaries engage in the production, distribution, marketing, and sale of cement, ready-mix concrete, and related materials. Its strategy includes focusing on cement and concrete products, diversifying globally to cushion against volatility in local markets, developing efficient production and distribution processes, using IT to help increase flexibility, improve customer satisfaction, and reduce bureaucracy and excess staffing, and providing training and education for employees. Its state-of-the-art Tepeaca facility supplies one fifth of the Mexican market and Continue reading

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Cost of Retained Earnings

The companies do not generally distribute the entire profits earned by them by way of dividend among their shareholders. Some profits are retained by them for future expansion of the business. Many people feel that such retained earnings are absolutely cost free. This is not the correct approach because the amount retained by company, if it had been distributed among the shareholders by way of dividend, would have given them some earning. The company has deprived the shareholders of this earnings by retaining a part of profit with it. Thus, the cost of retained earnings is the earning forgone by the shareholders. In other words, the opportunity cost of retained earnings may be taken as the cost of the retained earnings. It is equal to the income that the shareholders could have otherwise earned by placing these funds in alternative investments. For example, if the shareholders could have invested the Continue reading

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Decentralization – Meaning, Advantages and Disadvantages

Meaning of Decentralization Delegation of authority and duties is usually referred to as decentralization in which set up the organization is divided into different section and departments in order to help the organization grow scientifically and with a purpose of direction leading to harmony in relations and healthy atmosphere which generally is absent in centralized system of organization. Decentralization of authority, holds Koontz and O’Donnell, “is a fundamental phase of delegation.” To the extent that authority is not delegated is obviously centralization. In the words of Henry Fayol, “every thing that goes to increase the importance of the subordinate’s role is decentralization.” Decentralization is diffusion of authority. It is a process by which specific responsibility is assigned to subordinates. Such a responsibility, when assigned to subordinates, is always followed by sufficient authority which also is given to the executive and other subordinates at lower levels. Decentralization, therefore, refers to assigning Continue reading

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Sales Planning in Retail Merchandising

Majority of retailers use a form that summarizes the basic budgetary information for a given merchandise grouping during a specified  period  normally for a period of six months.  The retailer must select the control unit for which projections will be made, before making sales estimates. The “control unit” is the merchandising grouping that serves as the basic reporting unit for various types of information namely, past, present and future. The retailer has the choice to estimate future sales for an entire store, for a merchandise division or department, or for an individual product-line or item. The most three acceptable control units can be merchandise groups, merchandise classes and merchandise categories of all these three, experts recommend merchandise categories as the basic control unit as it is generally much easier to aggregate the information than it is to disaggregate information, i.e., breaking down merchandise groups into classes and categories. This attempt Continue reading

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Tacit Knowledge versus Explicit Knowledge

Knowledge is an capability or a ability acquire the man through the understanding. To manage this knowledge human implements the process called Knowledge management.  Knowledge management is the targeted skillful and effective interaction movements in knowledge. In other words, the knowledge management is not only the managing of knowledge, but its an process of managing the organisation with a detail focus on knowledge. It is central resources that accept us to function intelligently. Knowledge management is also the transformation to other clear appearances such as traditions, technologies, books and practices within organisation of all kinds and in society in general. Procedural knowledge that carries the way of related process and action performed. Declarative knowledge is also prescribed as knowledge of knowing (something) or ‘know what’. Procedural knowledge also prescribed as process knowledge or ‘know-how’. The procedural and declaration of knowledge is used to build the structure on knowledge base. And Continue reading

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Application of General Rules of Law of Contracts to Life Insurance

A contract of insurance is a contract of utmost good faith technically known as uberrimae fide. The doctrine of disclosing all material facts is embodied in this important principles, which applies to all forms of insurance. The Proposer, who is one of the parties to the contract, is presumed to have means of knowledge, which are not accessible to the insurer, who is the other party to the contract. Therefore, the proposer is bound to tell the insurer, everything affecting the judgement of the insurer. In all contract of insurance, the proposer is bound to make full disclosure of all material facts and not merely those which he thinks material. Misrepresentation, non-disclosure or fraud in any document leading to acceptance of the risk automatically discharges the insurer from all liabilities under the contract. Application of General Rules of Law of Contracts to Life Insurance A contract of life insurance is Continue reading

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