The United Nations Global Compact (UNGC) is a tactical strategy scheme for companies who commit to align their operational strategies to the principles outlined by the UNGC whose main purpose for existence is to assist businesses in managing risks and opportunities presented to them in certain areas such as the environment, society and authorities like government divisions and laws. This initiative also aims to integrate their ten principles as universal to businesses and societies for mutual benefits. It is independent of the government which entails that their rules and regulations is not government mandated law though it does support and is in-line with certain government policies that mainly focuses on the social responsibilities of a corporation.… Read the rest
Modern Management Practices
Concept of Virtual Network Structure (VNS)
In today increasingly stiff competitive environment, organisational structure is becoming a very important role to a company in the market competition. The organisational structure is explained as the formal decision-making framework that will be done by dividing, grouping and coordinating job tasks. However, in order to design organisation structure managers need to address six key elements, those are work specialization, departmentalization, chain of command, span of control, decentralization and formalization. Secondly, for the face on the sharply environment change, HR managers should divide the tasks and then coordinate those, in essence balancing job-related specialization with group, inter group, and organisation-based integration as necessary.… Read the rest
What is a Lean Supply Chain?
A supply chain is a network of facilities, functions and activities that are involved in fulfilling customer demand. Supply chain is the network of organisations that are involved through the upstream and downstream linkages, in the different processes and activities that produce value in the form of products and services in the hand of the ultimate customer. The coordination within the entire chain is therefore very important. The supply chain covers activities on the business process, procurement, production, inventory carrying, storage, handling and distribution within an organisation. Supply Chain Management is therefore, the integration of key business processes across the supply chain for the purpose of adding value for customers and stakeholders.… Read the rest
Triple Bottom Line (TBL or 3BL)
The concept of Triple Bottom Line (TBL or 3BL) is a popular concept that has been applied in the understanding of social duties among companies that are looking forward for the incorporation of non monetary values in their businesses. Its notion has become of much fashion in management, investing and management over the last few years. It has been explained that the ultimate success of corporations ought to be measured not just by the use of traditional financial bottom line, but need also to be measured by on the ethical and environmental factors. In fact most individuals have accepted that, organizations have a lot of responsibilities to their stakeholders to have responsible behaviors.… Read the rest
Paradoxical Thinking
For decades, the management theorists have focused their attention on three types of thinking i.e. magical thinking, modern thinking and postmodern thinking. The latest inclusion is the paradoxical thinking. The main reason that paradoxical thinking has gained importance in the business world is that there were some buzz phrases that were being used by the employees of the organisations such as controlled chaos, getting outside the box, breaking the frame of reference, creative destruction, fuzzy logic and etc. All of these terminologies show that a business can develop something impossible by going beyond the imaginative framework and these old models have less importance in the contemporary world.… Read the rest
Diversity Management
The world’s increasing globalization trend demands more interaction between people from a vast diverse of cultures, beliefs, and backgrounds than the past. Today, people no longer live and work in an insulated marketplace. The reality is they are now part of a worldwide (or commonly mentioned as flatten) economy with competition coming from nearly every angle of the globe. For this reason, businesses need to be open to change and accept the concept of diversity to become more creative.
In daily conversation, the word of “diversity” has the meaning of differences or variety. However, in the business world and in the business textbook, diversity often refers to the many differences present among people today in workplace as well as marketplace that were not aware of by most people in the past.… Read the rest