Tuesday, October 29, 2019
Assignment #3 335 Example | Topics and Well Written Essays - 500 words
#3 335 - Assignment Example I will start to conduct a thorough job search campaign through the internet and through my network of people. Three months after my graduation at around age 23, I intend to start my first job as a human resource assistant officer on probation basis. After one and a half years, I intend to advance to the position of the human resource officer and two years later to the human resource manager position. At the age of 23 years I intend to exit my parentsââ¬â¢ household because I intend to reside in school during the school term and stay at home during the holidays. During my life at school I intend to search for my life partner. At the age of 24 years, I hope to have located my life partner and get married at this age. At the age of 26 years I will have my first child, my second child at the age of 28 years, my third child at the age of 30 years. My parents will need me to provide care for them at the age of 70 years. I will put them in the elderly home so that they get the best attention and medical treatment that they require. I and my family will be visiting them every week so that they do not feel abandoned. Looking at the two timelines, there may be conflict in balancing between taking care of my family and advancing in my career. When I intend to advance in my job is the period in which I intend to start a family. There is a high risk that I may not be able to perform my family or parental role as expected. There may also be tension between my career and my partnerââ¬â¢s career especially if we find ourselves in a position where one person has to move because of the other personââ¬â¢s career in order to keep the young family intact. If I have already established my career and find my life partner, it is not certain that the two careers will be in harmony. This is because there is a high possibility that we will not be in the same career or work for the same company, therefore, changes can be expected. There is a high possibility that one of us will be
Sunday, October 27, 2019
Implementing And Leading Change Management Essay
Implementing And Leading Change Management Essay Organizational Change is an important issue and within organization. Changes can due to many ways such change in management system, change in accounting system, change in market demand and change in competitors in the market. Organizational is an action or set of an action for the reason of changing the direction or process of the Companys work. In addition, change is a fact of companys life. Due to survive of the organization it has to change the way it works. Change in organization may affect the business strategy of the organization, and the process companies carry out to accomplish that strategy and the workforce engage. Generally, some change are small does not affect organizations main strategy but some change is the reason of organization transformation. However, well panned and implemented change ensures organizational survival in modern days competitive market. Change can produce many benefits for the organization such improved and better competitiveness, better financial performance, satisfied employees and higher level of customer. Benefit may take long time to achieve and period of transition is time of disturbance uncertainty. Thought, change is not always positive but it can be handle such a way that strength than weaken the commitment of the people to an organization. Therefore, change process of the organization must be managed in order to keep the company moving towards its new vision and its stated objective. Also, organizational change actually is about people changing. So the change must be began with concern fo its impact on the workforce of the organization. However, change is the part of organizational development process; it is an ongoing and bring strength to the company for future success. I addition, organization generally bring change for response to external environment such social, legal, economic, political and technological factors. 3.2. Change Management: Change management is structural approach to transitioning person, teams and organization from a existing state to needed future level to achieve or execute a vision or strategy. Change is an organizational procedure aimed to employees to acknowledge and clinch change in their current environment. However, Change management can be define in three ways firstly, Change management as a systematic process; is the formal process for the organizational change, consist a systematic approach and knowledge. Second, Change management as means transitioning people; it is a critical part of a project that leads, manage and enable people to accept new process, system, technologies and value and it is a set of activities what transit people from their current way of working to the desired way of working. Finally, Change Management as Competitive Tactic; it is a continuous process of aligning an organization with its marketplace and doing so more responsively and effectively than competitors (Lisa et. al., 1997). 3.3. Common Obstacles to Chang and Reason of Change Fail: A 2006 Harvard Business review found out that 66% of change scheme does not achieve their desired company outcomes. They have identified five most common reason or obstacles to change such as Employees resistance, communication breakdown, insufficient time devoted to training, staff turnover during transition process and cost exceeded the budget. From five only three (red circle in Figure 2) can be improve by the change leader; Employees resistance, communication breakdown and staff turnover during transition. Table 1 presented the overview of the leadership role in terms of obstacles. Figure2: Obstacles Experience during Major Organizational Change Change Obstacles Leaders Role Employee Resistance â⬠¢ Leverage relationship with team to address employee concerns on a personal level. â⬠¢ Ask for employees feedback and react to their concerns honestly and openly. â⬠¢ Review the section on Managing Change in this guide. Communication breakdown â⬠¢ Communicate main information to employees on an on-going and regular basis. â⬠¢ Review the section on Communication in this guide. Staff turnover â⬠¢ Connect team by involving them in the initiative. â⬠¢ Coach, Mentor and enrich their roles. Table 1: Overview of Leader Role in Change Obstacles Kotter (1995) states following Eight Errors common to organizational Change Efforts and the consequences three consequences; Error 1: Allowing too much contentment or complacency Error 2: Failing to gain leadership support Error 3: Underestimate the supremacy of vision Error 4: Under communicating with the vision Error 5: Allowing obstacles to block the vision Error 6: Failing to build short term win Error 7: Declining victory too soon Error 8: Neglectiong to anchor change firmly in the culture Consequences 1: New business strategy not implement well Consequences 2: Reengineering takes too long time Consequences 3: Quality program do not bring hope for result 3.4. Change Management Model: There are many models available to help lead change. The main common and used model of change management is Kotters Eight Steps of change management. This model of change management given below (Kottes, 2006): Step 1: Establishing a Sense of Urgency First step of the change management is help other to understand the need for change and act immediately, Do SOWT analysis to identify competitive realities and then identify and discuses possible dangers. (Kottes, 2006). Step 2: Creating the Guiding Coalition Second step of Ktters model is to make sure there is powerful group leading the change, individual with leadership skill, credibility, bias for action, authority and analytical skill, then build a team and forming influential guiding union and getting the team to work together for a common goal (Kottes, 2006). Step 3: Developing a Vision and Strategy The third step is to explain how the future will be unlike from the past, and how you will build the future realism, creating a vision to help direct the change effort, getting the vision and strategy right and developing strategies to accomplish the vision (Kottes, 2006). . Step 4: Communicating the Change and Vision To make sure that the as many as employees understand and accept the vision and strategy arise from change, a sound communication is needed between leadership and workforce to communicate vision and strategy (Kottes, 2006). . Step 5: Empowering Broad-based action: The fifth stage is to remove as manay as barriers possible than it is easy to make a vision into reality. This step help to allow to act getting rid of obstacles and encourage risk taking and modify structure or system that undermine thee change vision. (Kottes, 2006). Step 6: Generation Sort-term wins Sit step is to create visible unambiguous success and plan for generate short term achievements and achieved them then recognise and reward those employees (Kottes, 2006). Step 7: Consolidating gain and Produce more Change Seventh stage is to press faster and harder after the short term achievements, adjust improvements and sustain the momentum for change. Also, Use increasing integrity to change all systems, structures and policies that dont go well together and dont fit the transformation attempt, Hiring, promoting and developing individual who can realize the change vision, reinvigorating the procedure with new change agents, thems and project (Kottes, 2006). Step 8: Anchoring new Approaches in the Culture The final step of change management mode, is anchoring new approaches in the culture by grasp on to the new customs of behaving, and make sure they be successful until they become a part of the culture of the group, building better performance through productivity and consumer oriented behaviour, additional and better leadership, and better effective management , communicative the connections between new behaviours and organisational success and developing means to make sure leadership improvement and (Kottes, 2006). 3.5. Managing the Emotion in Change: There are many models to guide thinking on how people cope with the emotion cycle of change. Bridges (2003), has provide a model showing how people react in the time of change. He has divided Transition time in three phases (Figure 4); letting go/losing/ending of the present position, a disorienting or neutral zone and a new beginning. Figure 4: Bridges Three Phases of Transition (Bridges, 2003) This model transition mode reviews the emotional impact over time and the leaders role in change management. He distinguished difference between change and transition. Transition deals with oly psychological impact of the individual but one the other hand change is situational and may happen without the people (Bridges, 2003). Phase 1: Ending/Losing/Letting Go In the first phase (ending/losing/letting go), workforce of the company must come to a point where they can let go of the past situation because until they let go they will not able to move on towards future. Possible reaction from employees might be; fear, resentment, apathy, loss and sense of shock. In this phase leader must identify what individual will losing and accept individuals reaction and find a way to compensate (Bridges, 2003). Phase 2: The Neutral Zone Second phase is the Neutral zone, where employees are in gap between past and new. In this position old system does not work and new yet to launch. Possible reaction from individual might be anxiety; motivation level comes to low; confusion; but have some hope for future (Bridges, 2003). Phase 3: The New Beginning Final phase is the New Beginning phase; here employees start to show emotional commitment for the new state. Possible reaction might be; new identity, new energy and sense of purpose. In this phase leader must explain the new beginning, continuous communication the vision, develop a new training plan and give opportunity to the employees to play a part in transition process (Bridges, 2003). 3.6. Leadership Role in Change Management Process: Successful organizational change depends on leaders of the change project who have direct authority with employees going through the change. The following are some of the major roles leaders may play as they drive change in the company; Leader must be the role model of the team working for the change transition. Leader must be willing to go first and lead the fellow workers in the process. Leader must be self aware and deliberate. Leader is a decision maker. Leader control resources such as, workforce, budget, equipment available for transition period of change and have full authority to make decision how to handle them. During change, leaders must control their decision-making authority and choose the preference that will support the project. The Decision-Maker is influential and gives priorities that support change. Leader is a motivator to the employees. Leader gives motivation for the change to happen. Leaders create an image importance about change and show commitment and passion to get things done. Leader is an enforcer in change management. Leader hold individual accountable for the change with authority. Perfect leader understand that change will not happen if they do not fulfil the roles the authority can do.
Friday, October 25, 2019
THESECRT GARDEN :: essays research papers
The Secret Garden The book was about a girl, a wealthy one, who lived in India. Her name was Mary. Mary always thought her parents never paid attention to her and was too busy with parties. Mary was always angry, but she never cried. She thought her mom didnââ¬â¢t care about her until one day, when her parents died. After her parents died she went with this lady named Mrs. Madlock. She was going to her uncleââ¬â¢s that Mary had never met before, Mrs. Madlock said. On the carriage-ride to her uncles, is when she found out exactly where she was going. Mary also found out that her mother had a twin sister, which was her uncleââ¬â¢s wife. But, she had died also. She was said that she had died from falling off a swing in her garden. She had reached her uncleââ¬â¢s house, but she didnââ¬â¢t get to meet him, just yet. Her orders were to get some rest and maybe she could see him in the morning. The next morning she met Martha, Mrs. Madlockââ¬â¢s servant. After she was told to stay in her room she found a passage-door where it led to a dusty old room. She thought it most have been her Auntââ¬â¢s room because it had matching things as her mother. In that room she found a big key, an odd-looking key. à à à à à That day she went outside to play. She wasnââ¬â¢t sure whom to play with; she didn't have any friends that didn't live in India. She found a robin, which led her to a door, a locked door. It had a keyhole that look as if the key in her auntââ¬â¢s bedroom would fit. She got the key from the bedroom and it slides in perfect. She opened the big door and looked around, she saw how beautiful everything was and a wooden swing. Then she saw a boy. The boyââ¬â¢s name was Dickon; he was Marthaââ¬â¢s brother. She and Dickon became friends and they planted many flowers together. à à à à à A couple of nights later when she was wandering around the house like she shouldnââ¬â¢t have she heard a boy. She went to go see who it was. It was her cousin, Colin. She has never met him either, she didnââ¬â¢t even know she had a cousin, nor an uncle. Colin has been in bed all his life, he was ââ¬Å"sickâ⬠. Mary talked to him and became friends. THESECRT GARDEN :: essays research papers The Secret Garden The book was about a girl, a wealthy one, who lived in India. Her name was Mary. Mary always thought her parents never paid attention to her and was too busy with parties. Mary was always angry, but she never cried. She thought her mom didnââ¬â¢t care about her until one day, when her parents died. After her parents died she went with this lady named Mrs. Madlock. She was going to her uncleââ¬â¢s that Mary had never met before, Mrs. Madlock said. On the carriage-ride to her uncles, is when she found out exactly where she was going. Mary also found out that her mother had a twin sister, which was her uncleââ¬â¢s wife. But, she had died also. She was said that she had died from falling off a swing in her garden. She had reached her uncleââ¬â¢s house, but she didnââ¬â¢t get to meet him, just yet. Her orders were to get some rest and maybe she could see him in the morning. The next morning she met Martha, Mrs. Madlockââ¬â¢s servant. After she was told to stay in her room she found a passage-door where it led to a dusty old room. She thought it most have been her Auntââ¬â¢s room because it had matching things as her mother. In that room she found a big key, an odd-looking key. à à à à à That day she went outside to play. She wasnââ¬â¢t sure whom to play with; she didn't have any friends that didn't live in India. She found a robin, which led her to a door, a locked door. It had a keyhole that look as if the key in her auntââ¬â¢s bedroom would fit. She got the key from the bedroom and it slides in perfect. She opened the big door and looked around, she saw how beautiful everything was and a wooden swing. Then she saw a boy. The boyââ¬â¢s name was Dickon; he was Marthaââ¬â¢s brother. She and Dickon became friends and they planted many flowers together. à à à à à A couple of nights later when she was wandering around the house like she shouldnââ¬â¢t have she heard a boy. She went to go see who it was. It was her cousin, Colin. She has never met him either, she didnââ¬â¢t even know she had a cousin, nor an uncle. Colin has been in bed all his life, he was ââ¬Å"sickâ⬠. Mary talked to him and became friends.
Thursday, October 24, 2019
College Alcohol Use Essay
Summary: Argumentative essay on the topic of drinking on campus. Compares the consequences versus the benefits of alcohol consumption by college students. Drinking on campus is a problem that affects most college students, either directly or indirectly. I, for one, am against drinking on campus. As a student of Stevens Institute of Technology, I can say that drinking on campus is as rampant as a fire in a toothpick factory. Several friends of mine at colleges around the country tell me that their schools face the same problems. Here, at Stevens, much to the college communityââ¬â¢s surprise, we had a snow day in February. The night before our well-deserved day off, a Tuesday, most of the general Stevens populous got drunk. That wouldnââ¬â¢t have been so bad if everyone locked themselves in their rooms and drank to their liverââ¬â¢s content, but it was not so. In addition to getting wasted, everyone partied all night, with music blasting and partiers yelling. Needless to say, it wasnââ¬â¢t a good night for anyone trying to get some sleep. The whole night wasnââ¬â¢t wasted though; it was fun watching inhibition-less people wander around. On a trip to the bathroom, I saw one guy making a fool of himself trying to get together with this girl. Ten minutes later, that same person walked into my room and sat down on my chair. He then told me to get out of his room. A friend of mine had a similar experience. A drunken resident stumbled into his room and fell down on his bed, saying, ââ¬Å"I think Iââ¬â¢ll crash here tonight. â⬠Luckily, he got up and decided to leave before my friend beat the alcohol out of him. Upon reaching the door, it took him a good 10 seconds before he realized that the knob was on the other side. While I realize that college students generally donââ¬â¢t have it easy and they need to unwind every now and then, large consumption of alcohol simply isnââ¬â¢t the answer. I suppose itââ¬â¢s OK to go out and have a drink every now and then, but many people take that to an extreme. Plain and simple, the statistics disfavor drinking on campus. Perhaps the most stunning statistic is the fact that fourteen-hundred college students between the ages of eighteen and twenty-four die each year from unintentional, alcohol-related injuries, the majority of which includes car crashes. Thatââ¬â¢s not surprising when coupled with the fact that 2. 1 million students drove under the influence last year. Five hundred thousand more are inadvertently injured under the influence of alcohol and six hundred thousand students are assaulted by another student who has been drinking. Approximately twenty-five percent of college students accredit low academic performance to alcohol and thirty-one percent of students met criteria for a diagnosis of alcohol abuse. Another huge impact of alcohol is sexual abuse. In excess of seventy-thousand students fell victim to alcohol-related rape and sexual assault. Four hundred thousand students had unprotected sex and twenty five percent of them say they were too drunk to even remember if they consented to it. Property damage is another plague brought unto colleges by alcohol abuse, especially here at Stevens, where several card-readers that allow access to residence halls were destroyed on several occasions. Around eleven percent of student drinkers say they have committed vandalism of property while drunk. Many administrators also report that their campuses have an increasing problem with alcohol-related property damage. Alcohol inevitably leads to health problems. More than one hundred and fifty thousand students develop alcohol-related health problems and almost 1. 5% of these students have attempted suicide. Five percent of college students are involved with the police for alcohol-related issues and an estimated one hundred and ten thousand students have been arrested as a result of their drinking. In conclusion, although I recognize the pro- side to this debatable issue, I think that the consequences of drinking far outweigh the pleasures. Drinking should not be allowed on college campuses.
Wednesday, October 23, 2019
Ge Case Study
Date: April 27, 2009 Course 5130: Strategic Thinking Session 3 Assignment: GE Case Study The culture at General Electric, before Jack Welch assumed his role as CEO in 1981, was highly decentralized, where significant emphasis on strategic planning was levied on 43 Strategic Business Units. However, Jackââ¬â¢s vision of changing the culture of the company was a priority to him. As a result, Jack began the culture change by replacing 12 of his 14 business heads. He replaced them with new managers who had a strong commitment to the new management values, with a willingness to break from the old culture, and had the ability to take charge and bring about change. Welch wanted to reflect a management style of openness, candor, and one of facing reality. In addition to the culture change, he wanted the culture to be characterized by speed, simplicity, and self-confidence. Instead of continuing with the old style bureaucracy characterized by large corporation, Welch wanted to create a culture of small companies where everyone had a voice and felt engaged in their business. One of the initiatives Welch implemented in the late 80ââ¬â¢s, which was instrumental to changing the culture at GE, was called ââ¬Å"Work-Outâ⬠. This process was designed to get unnecessary bureaucratic work out of the system while creating a forum in which management and employees could work out new ways of dealing with each other, and cut out the bureaucracy. This open style forum would bring 40 to 100 employees together to share their views about their business and how it might be improved. The ââ¬Å"work-outâ⬠consisted of three-day sessions where employees would get the opportunity to lists all of their problems, debate solutions to these problems, and prepare presentations. On the 3rd day of the session, the employees would make their recommendations and the process would require the bosses to make decisions on the spot in front of every employee and their peers. Welch also focused of realigning skills sets and changing the mindset of his employees with GEââ¬â¢s new strategy and organizational imperatives. Because of this new demanding environment, some employees felt overworked and there was some residual distrust from the layoffs that took place during the 80ââ¬â¢s; hence, he recognize this challenge and felt the need to redefining his commitment to his employees. As a result, a new psychological contract developed which gave a sense to the employees at GE that their jobs were the best jobs in the world. They had the best training and development resources, and they provided an environment committed to providing opportunities for personal and professional growth. Another initiative Welch took on, as a way to shock the culture at GE, was by introducing the notion of ââ¬Å"stretchâ⬠to set performance targets. In addition to setting their basic targets, managers were asked to set stretch goals for their businesses as a way to reach for a higher mark knowing that they would be rewarded handsomely if they hit these goals. Within a year of introducing stretch goals into the organization, GE was reporting significant progress in areas such as inventory turns and operating margins. Finally, one of the last cultural changes Welch was able to integrate at GE was having a boundaryless company. This vision is characterized by an ââ¬Å"open, anti-parochial environment, friendly toward the sharing and seeking of new ideas, regardless of its origin. He envisioned removing all barriers amongst disciplines and operations, and one that removed labels in titles and hierarchy chain. Equally important to having a boundaryless company was changing the internal mindset of selling products to helping their customer to win. In order to make all of these cultural changes, Jack Welch needed to make human resource changes which will allow him to execute on his vision to be the best company in the world. He introduced the 360degree feedback process where employees were graded by his or her manager, peers, and all subordinates on a 1 to 5 scale in areas such as team building, quality focus, and vision. Management went through rigorous appraisals, development, and succession planning reviews named Session Cââ¬â¢s. Welch also wanted to make certain that they maintained their best employees. He asked top executives to identify future leaders, outline planned training and development plans, and detailed succession plans on all key jobs. He didnââ¬â¢t like the reward system of insignificant salary increases year after year. Instead, stock options became the primary component of managementââ¬â¢s compensation. In their Crotonville facility, priority became to develop a generation of future leaders aligned with GEââ¬â¢s new vision and cultural norms. The place evolved from a training center to a place where teams of managers worked together on real priority issues and decided on results-oriented action. One of Welchââ¬â¢s concerns regarding some of his managers was their unwillingness to embrace the open and participative values he espoused. As a result, he categorized his leaders into 4 different types: ? First type delivers on commitments and shares the values of the organization. This type of leader certainly had a great future at GE. ? Second type was the complete opposite to the previous type. This type of leader did not deliver on commitments nor did he or she share the values of the organization. This individual did not last long at GE. ? Third type of leader misses his or her commitments but shared the companyââ¬â¢s values. This individual would be given a second opportunity, most likely in a different environment. The fourth type of leader was one whom Welch, and most top managers, had more difficulty dealing with. This is the type of leader who delivers on his commitments, but does not share the values of the organization. These types of managers are typically characterized by being autocratic, and who forces performance out of their employees as opposed to inspiring his people. These types of leaders were e xposed during the 360 degree feedback process, and were subsequently let go. Finally, Welch envisioned only having ââ¬Å"Aâ⬠players across his organization. Individuals who displayed a vision, had leadership qualities, were energetic, and displayed courage. These individuals were characterized with the 4 Eââ¬â¢s: had energy, could energize others, had an edge about them, and were able to execute their job. As a result, GE ranked their employees into the following 5 categories based on long term performance, also known as the ââ¬Å"Vitality Cureâ⬠: 1) Top 10%, 2) Strong 15%, 3) Highly Valued 50%, 4) Borderline 15%, and 5) Least Effective 10% In order to mobilize the organization to develop and execute business strategies, Welch did the following: 1. Reduced bureaucracy by being lean and agile, which resulted in 50% reduction of strategic planning staff. 2. Scrapped GEââ¬â¢s laborious strategic planning system, and replaced it with real time planning. 3. Eliminated ââ¬Å"sectorâ⬠level managers, previously the powerful level of strategic control. Hierarchy levels went from 9 to 4, and they all reported directly into Jack. 4. Instituted the process of ââ¬Å"Best Practicesâ⬠or ââ¬Å"Benchmarkingâ⬠. This process was intended to increase productivity by sharing best practices employed by each business amongst each business. In addition, the implementation of ââ¬Å"Best Practiceâ⬠resulted in development of effective processes rather than controlling activities; customer service was their main gauge of performance; treating suppliers like partners; and an emphasis in providing a constant stream of high quality new products designed for efficient manufacturing. At the end of the day, Welch was regarded as the greatest CEO during his days at GE because he was able to envision, communicate and execute on what he wanted GE to look like. He began by delivering the message that all GE businesses had to be either #1 or #2 in their category, otherwise they needed to disengage. GE took a serious approach to become a global company. During the early to mid-80ââ¬â¢s, they made several major acquisitions, and these businesses were responsible for implementing their own plan appropriate to their particular needs. Welch, however, remained very involved with these companies, and he also applied the standard of excellence where they needed to be either #1 or #2 in their business. Welch also wanted to reduce the amount of dependence on the traditional industrial products, which resulted in a new business strategy initiative of pushing for product services. By the supplement the traditional industrial products with added-value services, Welch believed that services would present the biggest growth opportunity for GE. This new initiative led to a number of acquisitions. Benchmarking with companies such as Motorola and Allied Signal, Welch understood how the Six Sigma quality initiative these companies had been utilizing could significantly impact GE. Six Sigma was a discipline, statistic-based system aimed at producing not more than 3. 4 defects per million iterations for any business processâ⬠¦from manufacturing to customer transactions. One of GEââ¬â¢s early successes in utilizing the Six Sigma process was in its Lighting division, where the use of Six Sigma was credited for cutting invoice defects and disputes by 98 percent. On his final days at GE, Welch introduced his last business initiative targeted at GEââ¬â¢s e-business. The program called ââ¬Å"destroyyourbusiness. comâ⬠, or ââ¬Å"dyb. comâ⬠, provided focus and challenged each business to look for opportunities via the internet within their own business. Welch felt the opportunities through this medium loomed large, and Welch was very pleased with the early results. Without a question, Jack Welch made a significant mark during his time at GE both professionally and in society. He changed the way businesses are managed and operated, and he left a legacy of future managers whom have moved on to lead large corporations. Unfortunately, some of them have not enjoyed the same success Welch experienced. Nonetheless, it is impossible to deny Jack Welchââ¬â¢s impact on the global business during his time at General Electric. Porterââ¬â¢s Five Forces We, at Thomas & Betts, are constantly battling against all 5 of Porterââ¬â¢s forces. Following are examples on how our business is impacted by these forces: 1. RIVALRY ââ¬â We certainly view companies such as Cooper Industries and Hubbell as our primary rivals. For the most, one of us controls a big a portion of the business at the electrical distributors. Because of the legacy products our companies were built on are so similar, our customers tend to use price as a way to get what they want. As a way to combat pricing pressures, our focus is to bring new products to market providing financial benefits, such as labor savings, to the end-user. . THREAT OF SUBSTITUTES ââ¬â Unfortunately, there are a significant number of competitors that we compete with in every product line we manufacture. Many of these competitors do not have the capacity or product breadth Thomas & Betts has, and thatââ¬â¢s the value proposition we offer to our customers. The ability to purchase multiple electrical lines, and placing it in one order, having one shipment, and paying one in voice. However, it has being difficult to quantify what this means to our customers from a financial perspective. As a result, our customers continue to pin each supplier against each other by using pricing, rebates, and/or promotions as a stick to get a better deal. 3. BUYER POWER ââ¬â Fortunately for us, we have a high level of brand recognition and demand at the end-user level. We work with Specifiers and Engineers to get our products specified on jobs, which gives us leverage when dealing with a distributor on how much business they should award us. 4. BARRIER TO ENTRY ââ¬â As previously mentioned, one of the barriers of entry in our industry is controlled by what type of brand or product the specs calls for on specific jobs. For the most part, specs list a primary supplier and a substitute brand that allows us to compete in most situations. Another barrier to entry could be at an account where the relationship of the existing supplier is so strong that weââ¬â¢re better off spending our time developing other distributors. 5. SUPPLIER POWER ââ¬â Once again, the supplier has the power in situations where the end user specifies which supplier they would want to use in a specific job. At that point, the distributor has to work with the specified supplier and the leverage swings in the supplierââ¬â¢s side. Pricing and competitive threats are removed off the table.
Subscribe to:
Posts (Atom)