Keeping pace technologically requires extensive research and strategic analysis of the potential value of acquiring innovations. Pepsi makes both colas and sports drinks, all of which sit on the shelf next to one another. An example of internal competition is PepsiCo. Building an environment of ethical transparency is a challenge that managers face. However, as the global economy requires businesses to understand varying perspectives, it also necessitates the cultivation of these diverse perspectives internally. Effective managers in diverse situations have a highly developed degree of cultural competence that empowers them to use careful observation skills to determine what gestures, phrases, customs and values would be most appropriate in a given circumstance. Issues such as employee disputes, gossip, jealousy and poor time management can be frustrating for managers. Therefore, the most difficult decisions in corporate governance—those at the ethical level—must be made through the more complex assessment of societal, corporate, and personal values. The ability to manage diversity, as well as refine actions to communicate accurately and intentionally, are valuable and necessary aspects of effective management. Learning new languages or translating materials is a reasonably effective approach to addressing these difficulties. Current Issues Confronting Hospital Managers. Different perspectives are where the highest value can be captured in diverse environments. Write CSS OR LESS and hit save. This is important for two reasons: Developing new technologies in-house is particularly relevant to industries on the cutting edge (e.g., semiconductors, green energy initiatives, TVs, etc. Managers must know their business’s strengths and integrate them into the appropriate strategy to remain competitive. From a managerial perspective, competition generally falls into the external environment, though it can also take shape in the internal environment through rivalry between strategic business units (SBUs). At their core, these regulations approach the fundamental dissonance alluded to above: profit-maximizing behavior as it contrasts with non-economic concerns. When working long shifts, employees are entitled to breaks. This is a significant challenge, necessitating consideration for different tastes and branding strategies during the implementation process. Understanding this legal landscape is important for businesses that want to avoid legal pitfalls and remain within the confines of established regulations. Globalization Process: This chart illustrates the complementary localizing and internationalizing responsibilities of a globalizing organization. The complexity of today’s business world requires CEOs to be able to communicate on multiple levels. Managers must be responsible because businesses as a whole cannot, and this responsibility towards integrity lies at the heart of management. When working over 40 hours a week, hourly employees are entitled to overtime pay. Low-cost suppliers often benefit largely from economies of scale. Stemming from various legislative initiatives in the 1960s, the concept of equality and a fair distribution of opportunity became a domestic focus in the United States. Get access to our searchable data center of TOP LISTS. This chart illustrates the process of moving from an international product to a localized product step by step, making note of the element of production that can be universally applied compared to those that need a localized touch. However, when the stakes are high, avoidance is a terrible tactic. This example illustrates an extremely important point in business: rely on strengths. High Staff Turnover. Despite this successful trajectory, challenges to diversity naturally occur as a result of communication (languages and values), majority hegemony, and groupthink. Assess the evolution of globalization in the business world and the challenges this has created. 20 Current Issues in Strategic Managerial Accounting 20.1 Introduction and objectives This chapter synthesises the textbook’s discussion of strategic managerial account - ing as applied to hospitality, tourism and events. Globalization and Managers: The world is shrinking in all major respects. What you want to avoid is a form of collective project amnesia where issues come up and never get resolved. Current Trends and Issues in Operations Management Introduction Operation management is a wide discipline which deals with the management of organization functions effectively. Issues might be previously defined risks, or not. Groupthink is when many people within the same organization begin to adopt similar perspectives, usually to simplify meetings and minimize discord. On the surface, this consensus sounds like a good thing. This has resulted in large scale interdependence between countries, as specialization (arguably the root cause of globalization) allows for specific regions to leverage their natural resources and abilities to efficiently produce specific products/services with which to trade for another country’s specialization. The figure highlights the primary responsibilities of corporate managers; the upper left corner—accountability—is of particular significance. When working in dangerous conditions, employees are entitled to protective gear and training. Few jobs, or even careers, are for life now with the average time spent in a job … Groupthink is a threat of which managers must be aware, particularly in meetings where dominant opinions steal most of the spotlight. Explain the inherent value diversity generates in the competitive landscape and the challenges globalization presents. Communication is at the heart of diversity management, but not necessarily for obvious reasons. Low-cost suppliers find ways to optimize their production and distribution to offer consumers the lowest possible price on one bottle of water. The 2008 financial collapse is a wonderful yet terrifying example of exactly what can go wrong and why corporate governance and ethics is of such importance to both a business and the society in which it operates. Leading up to the mortgage-backed security fallout of 2008, banks and investors began to prioritize profitability over ethics. Majority cultures have a tendency to create a homogeneous environment, possibly limiting the potential diverse opinions can provide. There are hundreds of different kinds of cereals. Environmental concerns are of large importance as well, as the constant energy utilization required for this interchange pollutes the environment and uses high quantities of valuable energy-creating resources. Ethics is at the core of corporate governance, and management must reflect accountability for their actions on a global community scale. Pepsi, however, did not lose a sale; it merely lost one segment of the business while gaining another. Etiquette for receiving a business card in China requires accepting it with both hands and taking a full moment to read it. As a result, to ask the question, “What does this practice mean for the people in the area in which we operate?” is crucial in ensuring adherence to a community-first action plan. For example, you have to create the vision and persuade your team to make it their vision too. That is not to say that management has not responded; it has, in two ways: 1. 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