management projects compilation


“ First of all we would like to thank ALMIGHTY ALLAH the most
merciful and the beneficent that has showered us with his unlimited blessings and gave us the strength, knowledge and wisdom throughout our life and especially for this report. We owe a great many thanks to a great many people who helped and supported us during the compilation of this book. We take immense pleasure in thanking our beloved Prof Manzoor Iqbal Awan, Col (Retd) for selecting us and for believing in us to carry out this compilation work of all the student’s assignments and projects. We wish to express our deep sense of gratitude to Prof Manzoor Iqbal Awan, Col (Retd) for his guidance and useful suggestions, which helped us in completing this book in time. He had been a source of inspiration throughout the semester along will that has provided the entire class with valuable assistance in the assignments and project work. Finally, yet importantly, we would like to express our heartfelt thanks to our beloved parents for their blessings, our friends/classmates for their help as they delivered their work on time and for their wishes for the successful completion of this book.”



It is the endeavor of every business school of repute to provide environment conducive for producing business executives with ability to think out of the box. Recognizing that Bahria University’s Management Sciences Department very much falls in that category, and with a strong faith in the abilities and potential of our youth, I have been prodding my students over the last couple of years to come up with relevant study/research papers, and then compiling those as reference material for subsequent studies. That has been done in the case of the students of Bachelors of Business Administration 7th Semester Section C during the Spring 2011 semester too, and with very stimulating results. They were required to complete three major assignments as part of Comparative Management program – first the allotted country study on individual basis, the second a multi-dimensional individual study of comparative management practices of allotted large multinational corporations, and lastly the study of business environment of select region as a group project. All of these required high degree of understanding and application of the international management concepts covered in the class as well as painstaking research work and creative thinking. Initial words of caution about the required rigor were generally taken lightly, but the situation soon changed when their usual online searches would not yield the data suited for ‘cut and paste’ work. Thereafter there was no dearth of the burning of midnight oil, leading to the production of some thought provoking study papers. Not only these were rich in valuable data, the attempted analytical work was generally of high standard. It would be a pity if such wealth of knowledge is not made use of; thus this effort at compilation for suitable placement as reference material. Needless to say that these are the works of students in an area to which they have been exposed for the first time. Hence there is bound to be room for improvement, and at places substantial one. But what is of special significance is the originality of work, and that this could serve as a humble beginning towards attaining greater creativity in the times to come,


besides developing ability to handle independently and in teams such projects calling for diligent research work. It will be unfair if labor of Momal Zara and Hassan Hayat khan, nominated for this compilation, is not recognized. They have done a wonderful job, and the final product itself reflects this amply. I wish all the contributing students success, with prayers that Allah Almighty may crown their efforts at professional development, and bless them with success and happiness. Ameen.

Prof Manzoor Iqbal Awan, Col (R)
Faculty Member & Senior Consultant * USQ (Australia), COMSATS & NUML * Bahria, Air & Preston Universities * University of Lahore * Dual Matrix Inc. & MDi Cell: +92 321 850 0732; Email: integrated.consult@yahoo.com 22nd May 2011


The compilation of comparative management class projects was indeed a tremendous undertaking; a commitment of time and energy that always takes more of each than was originally planned. Still there was rich learning in compiling the hard labor and much
th dedicated projects of all students of BBA 7 -C. The compilation consists of three major

assignments as part of Comparative Management course– first the allotted country study on individual basis of some of the renowned successful business leaders, the second a multidimensional individual study of

comparative management practices of allotted large multinational corporations, and lastly the study of business

environment of select region as a group project. We feel honored as Sir Manzoor believed in us and gave us such big responsibility. We have put in our level best efforts and creativity for this

compilation. The compilation quality and consistency will reflect the verisimilitude of our hard work. The experience of this work was great as it was an immense source of learning and improving our skill as well as knowledge. It also gave the confidence for believing in ourselves and showing up best of our efforts. However, it would have not been possible without the kind support and help of Sir Manzoor throughout the semester. We would like to extend thanks sincere thanks to him. He has been providing timely guidance and constant supervision.

Hassan Hayat Khan

Momal Zara





132 136 142 152 162 173 184 194 204 208 215 222 229 234 245 250 255 259



265 271 280 290 296 305 317 318 328 338 352 357 366 379 389 406 419 429



438 449 459 474 483 493 508 522 539 558 575 587 596 613 622 633 650 666



677 685 698 709 736 752 765 782 794 806 827 835 836 846 883 904 933 960


Comparative management is the simultaneous study of management or business practices i n two or more different cultures, countries, companies or departments. Comparative management analyzes the extent to which management principles are applicable from one country to another. Although the concept of comparative management evolved in last sixties, it continues to be the subject of considerable debate. This course is focused upon the study of management in an international context. It examines and compares management practices of different types from one cultural context to another, typically using different countries to frame the cultural contexts. The study of comparative management requires a basic understanding of organizational behavior in a highly competitive global marketplace. The course considers management functions and manager skills including similarities and differences between domestic and international management. In this course of comparative management, class students were evaluated on following projects:

A. Project 1 – Individual: This assignment was related to the study of successful corporate business leaders. Students performed an analysis of in which they explored and analyzed the personal profile`s, early life background`s, management styles of internationally successful leaders. B. Project 2 - Individual: The 2nd individual assignment was related to the management practices by renowned international corporations. Students individually were allotted one international corporation in which they had to do research on external and internal environments, SWOT analysis, corporation’s background, and determine ways in which their strengths have exploited. C. Project 3 - Individual cum Group: This was the final project which involved the study of business environment of selected countries by individual students, which were integrated on regional basis as group projects. Students Worked as team of consultants, student groups presented their study report to a 1

board of directors engaged in the management of an enterprise having globa l presence. They were to identify the right management style for success in the given country/group of countries. To achieve this objective they were expected to present salient aspects of the country/regional profile, business environment, entry barriers, most suited entry strategy, and management appropriate management practices that may be used for running a successful business.







The advent of technology and communication in the widespread competitive world of business Small Business Success Survey highlights the struggles of small businesses throughout the recession. Andrew Morrison is one of the successful business leaders and his goal is to show how he built a Multi-million Dollar Business. He is a successful marketer, a mentor, an entrepreneur and a motivational and inspiration leader. He with great devotion and fervor serves his clients and his testimonials reveal that he had paved a way for many potential customers who now run their own firms and business. Andrew Morrison is a forward-thinker, gifted with “knowledge” that totally eliminates “the box” and promotes success. Being an optimistic entrepreneur and belonging from a black minority he still had strived for great success on both religious and ethnic background. Overcoming fear of public speaking and writing was the pivotal point in his business career that he overcame to become a success. Andrew Morrison is the founder of Small Business Camp – an entrepreneurial training and marketing services firm. Andrew was born in Kingston, Jamaica and migrated to the United States at the age of four. He grew up in the East Flatbush section of Brooklyn. After graduation from Bronx High School of Science, Andrew studied Electrical Engineering at Rensselaer Polytechnic Institute (RPI). His business and leadership skills were developed in college. When he became the president of African-American union during his studies, he was responsible for 120 student clubs and managed a $5.4 million dollar budget. He also comes at differe nt shows to discuss student leadership. Andrew is married and the proud parent of a daughter. He also serves as an adjunct faculty member at New York University and the Fashion Institute of Technology.

In February of 2007, he trained 1,200 entrepreneurs in Nigeria, West Africa. The company delivers an intensive 2 -day program that allows the participants to walk-in with just an idea and leave with a marketing plan, public relations strategy, money-making website, directmail campaign and 90 days of follow -up coaching. 5

His business and leadership skills were developed in college. In his junior year, he became the first African-American to be elected the President of the Student Union. As the President, he was responsible for 120 student clubs and managed a $5.4 million dollar budget. He also comes at different television shows to discuss student leadership. He also serves as an adjunct faculty member at New York University and the Fashion Institute of Technology. Previously he built a multi-million dollar company by providing innovative direct marketing services to Fortune 500 companies. He was featured in the Wall Street Journal, Entrepreneur Magazine, The Network Journal and Crain’s Magazine 40 under 40 and Advertising Age. He also appeared as a “Young Millionaire” on the Oprah Winfrey Show. Andrew is the recipient of the prestigious Young Direct Marketer of the Year Award. He recently completed a book entitled, “21 Questions That Can Build Your Business in 90 Days.” Andrew is married and the proud parent of a daughter. Andrew served as the Chairman of the Board for The Blue Nile Passage, Inc., a rite-ofpassage program for inner-city youth. He also sat on the Board of Trustees for the Rensselaer Alumni Association, and was a member of the Presidential Search Committee for RPI.

Andrew currently runs RFM Marketing, which develops interactive CD-ROMs, for magazine publishers and retailers. Andrew is considered one of the leading experts in the field of advertiser-supported database marketing programs. His first company, Nia Direct, reached $3 million dollars in sales by providing innovative direct marketing services for clients such as P&G, AOL and Coca-Cola. Most recently, Andrew started a new venture called Small Business Camp

(www.SmallBusinesCamp.com) to help small and minority business people take their businesses to the next level. Small Business Camp - is an intensive hands-on weekend seminar. On Friday, you can start with just an idea and by Sunday night, you will leave with a moneymaking website, attention-generating direct mail campaign, and a public relations strategy to help you gain local and national coverage. With Andrew's accom plishments he certainly has the background to help you reach your goals with the insights shared at Small Business Camp. 6

His business success has landed him as one of Entrepreneur magazine's youngest and brightest Entrepreneurs and Crain's Magazine 40 Business leaders Under Age 40. He was also awarded the Young Direct Marketer of the Year Award by the Direct Marketing Association. Andrew has appeared on the Oprah Winfrey Show and CNBC. His company was featured in Black Enterprise Magazine, The Wall Street Journal and Advertising Age . He frequently gives lectures on direct marketing at New York University and industry seminars.

Andrew Morrison has developed a business over the internet for the help of minorities and people who are passionate to v enture into new businesses; Andrew Morrison helps people transform their passions into a profitable business. He is wholehearted and fervent to inspire and motivate people. His sincerest passion is to motivate, inspire, guide and connect men and women to greatness, to their highest level of achievement. “Write your own book” product of Andrew paints a picture that Andrew puts great deal of hope into people and he lets people to find ways in maximizing their potential. Day by day he is reaching more people and helping them to generate more money. His customers pride him, because he gave them tools that they needed to be successful professionally. Being a dazzling business strategist and a creative direct marketer, he is a successful mentor and a coach as-well. His selfless, transparent approach to coaching and mentoring opened the door to his personal and business contacts. One of the great successes revealed by his customers and testimonials of customers on the web is that he gives simple idea such a platform that becomes a profitable business. He continues to provide actionable steps anyone can take to grow their business and by following his lead customers are able to significantly increase the number of clients they have and amount of money their business makes. He is also possesses very strong writing technical skills and confident public speaking skills. Studying on Andrew Morrison reveals that he is a uniquely gifted business advisor, consultant, brand manager, marketer and motivational speaker.

Andrew Morrison is a “designation” consultant for any new or existing small business owner. He brings high energy and laser focused marketing recommendations to small businesses that help them achieve their long term sales & profit objectives. He conduct`s different seminars like “Boost your sales in 90 days” where Andrews insight gives people more bang to their 7

buck. His services are on the internet and he is recognized as one of the successful leaders on internet too. Being a rare visionary breed he has created a lot of examples and helped people to direct market their ideas and how to start a business with budget of $500. Andrew`s and his customers success reveals that he let people follow and immediately execute the following concepts as one of his client discloses: • • • Understanding biorhythm to resolve my challenge of procrastination. Follow what other successful companies do to experience your own success. You don’t need to create a new wheel when there is one already well greased. Identify the question you need to ask when you have that one opportunity to talk to an industry expert. He has 90 day marketing home study plan which is for somebody who has an idea for an business and who is quite not sure from where to start. His marketing strategies are various and they ways through which he helps people create their own business is enormous. He has modes of teleconferencing, video conferencing, seminars, and his own publications have paved a way for a lot people to build their own small business. In teleconferencing he gives insight on different marketing tools such as developing the white pages and some strategies to use when building a team and valuable tips on partnering with big corporations to solve a client’s needs, how to use the techniques of marketing to various multi-media outlets to promote my businesses. Andrew steps into many people and his clients businesses –sales, promotion, advertising, marketing, public relations, networking, referral marketing, and media relations with the goal of increasing their revenue. His insight and marketing knowhow is helps to create new innovative products to gather a new and a potential client base.

Andrew Morrison is a powerful coach who knows how to get to the heart of matters. He provokes thought and evokes the kind of change that propels businesses to new heights. Keeping your mind going and knowing more about yourself is uncommon with some of the mentors but Andrew coaches a wealth of information, inspiration, and simply fire`s to ignite and push your clients to go beyond trying new ideas. His customers attest to the benefit of Andrew’s coaching expertise when facing new challenges and adopting new behaviors. His “no nonsense” communication style makes it easy to comprehend new concepts. He listens to his clients and corrects when he sees them heading down the wrong path. Studies suggest that


most people give up on their New Year’s Resolutions within 30 days. You don’t have to be like most people. This year can still become your best year. Here are a few quick tips from Andrew Morrison to keep you motivated all year-round: 1. be Gentle with Yourself. 2. Observe What Did NOT Work. 3. Implement a New Plan of Action. 4. Read a NEW Book. 5. Make Your Vision Plain. 6. Get Support. 7. Be Flexible. In a interview to an journalist he was of the he explained his point of view that by focusing on a small time frame, you actually begin to optimize your thinking and you optimize your results. Furthermore it was disclosed that he believes in speed and he is a big believer in being able to create something of value and to be able to show profit in less time. He really wants to get his clients to understand that it is possible if they simply think it’s possible. He further comments as your days are shorter; your wisdom begins to increase. If you have only 90 days to earn a profit, your brain begins to think more efficiently and more effectively. The number of activities will always expand to the available time. If you be gin to compress time, you begin to really morph it and direct it. Once you are activated, once you wake up from your slumber, then you begin to act, move, and do some really wonderful things. You already have the gifts, the skills, and the talents inside of you and they simply need to be released. On one question that whether he is a coach or not he commented that he is moving from being a motivational speaker to being an activation speaker. People claim they need motivation, but they need activation.

Based on the research and the study it can be conclusively said that people like Andrew Morrison not only have provided stage to productively assess their business strategies more effectively, but he has also made it possible for clients to get the message of my business more clearer which has set people moreover his clients on the paths for greater success. He is 9

doing business and seeks greater good of community by best appropriate and no-nonsense communication. He has developed a website —www.smallbusinesscamp.com through a communication medium that is approachable and effective and this technological advanced world also it is easily accessible to all those who are trying to start a business with a low budget. His books, seminars of all kind, video training have helped a lot of people to develop business. By doing a study on him I take a lot from him as an inspiration furthermore his management style and entrepreneurial skills along with the support of his family let him achieve his passions and interests which is also very interesting

Book, 1 author The Blueprint for Jump Starting Any Business Concept in 90 days, Andrew, Morrison, USA. INTERVIEW `Profile on Andrew Morrison’, EINFONEWS, Written, Produced and directed by Kamau Austin INTERNET S OURCES www.einfonews.com/profiles/andrewm.htm http://harlemworldblog.wordpress.com/2010/01/26/andrew -morrisons-top -7-business-tips. www.smallbusinescamp.com





Lakshmi Mittal, The London-based, Rajasthan born steel baron is the Chairman and CEO of Mittal Steel Company and the world’s 3rd richest man. He achieved this feat by creating Arcelor Mittal; the biggest steel company in the world.

Lakshmi Mittal was born in 1950 in a small town in India called Sadulpur of Rajasthan, in a poor family. The extended family of 20 lived on bare concrete floors, slept on rope beds and cooked on an open fire in the brickyard in a house built by his grandf ather. Lakshmi Mittal belongs to Marwari Aggarwal caste and his grandfather worked for the Tarachand Ghanshyam Das firm, one of the leading Marwari industrial firms of pre-independence of India. Being the eldest of five children, his parents decided to name him Lakshmi after the Hindu goddess of wealth. At the age of six, his family moved to Calcutta, where his father gained employment in a small British steel company. This gave the family the brevity to set up their own business, but it turned out to be quite challenging and tough. His father worked night and day to build their new business, Lakshmi Mittal, who happens to be a shy and introverted teenager graduated from a Jesuit college, St Xavier's. Mittal surprised everyone, including his parents by receiving excellent grades in accounting and mathematics. But instead of becoming an employee accountant, Mittal joined the family's company "Ispat" and that marked the turning point of his life. The family later on moved to Kolkata where his father Mohan Mittal became a partner in a steel company. Lakshmi Mittal graduated from St. Xaviers in Kolkata with a commerce degree in 1969. He began his career working in the family's steelmaking business in India and in 1976; Lakshmi Mittal founded Mittal Steel Company. He split from his father and two younger brothers in 1994 and took the international arm, with interests in Indonesia and Trinidad and Tobago, while the rest of the family kept the domestic Indian business.

Lakshmi was inspired 'by the massive rollers driven by rubber belts and pulleys that flattened the red-hot steel into bars.’ Later on, Mittal went solo and founded the company, LNM Group


in 1976 at the age of 26 and has been responsible for the development of its businesses ever since. He set up his first steel mill, in Indonesia, producing 26,000 tones and generating annual profit of $1m. Lakshmi Mittal soon realized that to become a major player in the steel market, his steel would have to go global, just like car manufacturers, ship builders, iron and coal producers. Determined to make his company a global player, he started acquiring companies in Canada and Germany. Still not getting the big break he needs, he turned to Kazakhstan. Back then, the former Soviet republic was in a financial mess and on the brink of bankruptcy. Mittal acquired the country's Karmet Steel works in Temirtau for a knockdown price of $400m. Kazakhstan happens to share a border with China, where demand for steel was about to take off. That single acquisition turned out to be a very wise strategic investment as it propelled Mittal into the big league of international steel makers. Lakshmi Mittal became a global steel producer with operations in 14 countries. Recognizing the need for a strong management team to execute his strategic expansion plans, he brought in Indian managers, doubled production and began selling to booming markets in the East. With luck, as well as timely judgment, he rescued Kazakhstan from financial ruin and paved the way for further large scale acquisitions. Lakshmi Mittal was also the visionary who saw that the fragmented international steel industry, serving local markets, was crying out for consolidation. Many companies then were owned by the governments and innovative developments were not forthcoming in the steel industry. Though some companies had been privatized, the steel sector was still characterized by acute over capacity, high indebtedness and steel prices that had hit rock bottom. Lakshmi Mittal created Mitta l Steel in 2004 via a takeover of his private company, “LNM” by his public one; Ispat. Mittal Steel became the largest steelmaker in the world, with shipments of 42.1 million tons of steel and profits of over $22 billion in 2004. In 2006, at the age of 58, Lakshmi Mittal took the world by storm by beating all European establishments to acquire Arcelor Steel, a company created through a merger of firms from Spain, France, Luxembourg and Belgium. Arcelor chairman, Guy Dolle, was forced to swallow his words after controversially dismissing Mittal Steel as a company of Indians paying with monkey money. After a long drawn battle, Arcelor's shareholders decided to sell


out despite opposition to the deal from politicians including former French President Jacques Chirac. The creation of Arcelor Mittal, the biggest steel company on earth and now worth over £100bn, couldn't have come at a better time. The new group, led by Lakshmi Mittal launched into a worldwide commodities boom that has seen steel prices skyrocket fr om $240 a ton in 2002 to $1,000 today. Arcelor Mittal was the first to produce more than 100 million tons of steel a year; that could double in a few years as Mittal Steel goes on another acquisition spree, extending his empire to Africa, Australia and China.

He is married to Usha Mittal, and both have a son and daughter, Aditya and Vanisha. His wife runs the Indonesia business and his son Adtiya and daughter Vanisha are members of the board of directors of Mittal steel. He is the wealthiest person in Britain. His house in Kensington, bought in 2003 for $128 million is the most expensive house ever purchased. He also paid upwards of $55 million to host his daughter's wedding celebration in Versailles in 2004.

Today, Arcelor Mittal employs 300,000 people in 60 countries, but accounts for only 10 per cent of global output, so it could grow much bigger before attracting the attention of the antitrust authorities. Just as every successful entrepreneur is expected to face criticism, Lakshmi Mittal has attracted criticism which he always welcomes and tries to find room for improvement. Lakshmi Mittal is proud to be Indian, but he considers himself a 'global citizen'. Despite his immense wealth, his family's 44 per cent stake in Arcelor Mittal worth £24bn, he doesn't seek the limelight. Without showing signs of resting on his oars, Lakshmi Mittal is plotting his next move. He wants to secure deposits of coking coal and iron ore, which have doubled in price in the past four years and whic h are vital for the production of steel. He is in talks to acquire coal mines in Australia and Russia, while expansion elsewhere means that Arcelor Mittal now meets 45 per cent of its iron ore requirements from its own supplies.


Lakshmi Mittal has also invested in shipping and rail to cut transport costs. The only part of the supply chain that remains outside his control is oil and gas: an area, perhaps, that could attract his attention before too long. He is currently the Chairman of the Board, Chief Executive Officer, President, Managing Director of Operations and Member of Group Management Board, Arcelor Mittal. He is connected to 73 board members in 23 different organizations across 22 different industries

A transactional leader: Mittal is a transactional leader who guides and motivates his follower in the direction of established goals by clar ifying role and task requirements. The leader Mittal is • • • • • a great individual as besides business he has worked a lot for his people. a corporate leader in business started the trend of mergers around the world a caring family man a complete human being

• • • • • • • • Hardworking Outstanding vision Convincing Motivating Guiding Zeal and fierceness Capacity to lead Bravery

Awards and Honors
Aside his achievements in business, Lakshmi Mittal was awarded Fortune magazine’s “European Businessman of the Year 2004” and also “Steelmaker of the Year” in 1996 by 15

New Steel, and the “Willy Korf Steel Vision Award” in 1998, for outstanding vision, entrepreneurship, leadership and success in global steel development from American Metal Market and PaineWebber’s World Steel Dynamics. In 2002, Lakshmi Mittal was involved in a political scandal with British Prime Minister Tony Blair, when a donation he made to the Labour party led to Blair's intervention in a business deal flavoring Mittal, it was announced later he donated £2 million to the Labour Party. Lakshmi Mittal is an active philanthropist and a member of a few trusts. Mittal is a member of the Foreign Investment Council in Kazakhstan, the International Investment Council in South Africa, the World Economic Forum’s International Business Council and the International Iron and Steel Institute’s Executive Committee. In March 2005, Forbes Magazine named him the 3rd richest man in the world and the richest non-American, with an estimated wealth of US$25 billion. He has been on the Forbes list of world's top 10 richest billionaires for more than five years running. He is member of • • • • The Foreign Investment Council in Kazakhstan The International Investment Council in South Africa The World Economic Forum’s International Business Council The International Iron and Steel Executive Committee

Lakshmi Mittal is the Director of ICICI Bank Limited and is also on the advisory Board of the Kellogg School of Management in the US.

Lakshmi Mittal is a person who is focused and determined. He has seen all the hardships if life and yet he has be able to go through them successfully. He is a great corporate leader has he had the abilities of motivating, guiding and convincing people easily by his skills due. He provides his employees a healthy and safe environment. He as a person is a great human being as he has worked a lot for his people as well as to his personal life. He has played a major role in supporting the communities in which they operate. He has donated huge amounts to community development projects for education.


The thing I liked about him was that he is successful in every field of life, whether it is business, family or pleasure he maintained an immense balance. Interestingly he chose a career towards which he was fascinated rather than in which he scored well. Due to his great personal qualities he is so flourishing in his career which makes him a great leader. The best thing I found about him was that he thinks out of box rather than following others and doing the same thing again. He always looked for opportunities wherever they might appear.

Lesson Learned
• • • • • • • • Always think out of box Help your own people and never lose your identity Keep a balance with everything Never give up easily Choose the career according to your interest Look for opportunities Take criticism as positive thing Take care of your employees

Busine ss exchange, 2011. Bloomberg Business Week [online] Available at: http://investing.businessweek.com/businessweek/research/stocks/people/person.asp?personId =364042&ticker=MT:US [Accessed April 02, 2011 4:21 AM]. OPPAPERS, 2010. OPPAPERS.COM [Online] Available at:

http://www.oppapers.com/subjects/lakshmi-mittal-leadership-skills-page1.html 11/15/2010 08:06 PM]. Encyclopedia Britannica, 2011.


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http://www.britannica.com/EBchecked/topic/1089324/Lakshmi-Mittal[Accessed April 2011].

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http://www.woopidoo.com/biography/lakshmi-mittal/index.htm Slide Share, 200. Slide share present yourself [Online] Available at:

http://www.slideshare.net/abhisheklbsim/laksmi- nivas-mittal-presentation





Michael Bloomberg was born in Boston on February 14, 1942 at St. Elizabeth's Hospital in the Brighton neighborhood. His late father was William Henry Bloomberg who was a real estate agent and his mother was Russian Jewish immigrant Charlotte Rubens Bloomberg. He has a younger sister, Marjorie Tiven, who is the Commissioner of the New York City Commission for the United Nations, Consular Corps and Protocol. Initially his family lived in Allston and then moved to Atherton Road in Brookline, Massachusetts. F inally they settled in Medford, Massachusetts. There he lived until after he graduated from college. Bloomberg attended Johns Hopkins University, where he joined Phi Kappa Psi, and graduated in 1964 with aBachelor of Science (B.S.) degree in electrical engineering. Later he received his MBA degree from Harvard Business School. Then in 1975 Bloomberg married Yorkshire-born Susan Brown and had two daughters, Emma (b. ca. 1979) and Georgina (b. 1983). Though later on Bloomberg divorced Brown and is currently romantically linked with former New York State Banking superintendent, D iana Taylor.

After graduating from his University, Bloomberg went to work for the Salomon Brothers which was a Wall Street investment bank. He started out as a clerk (1966) and advanced through the ranks at and became a partner in 1972. By 1974 he was even the head of equities trading and systems development and was supervising all of Salomon's stock trading, sales and information systems. Unfortunately though, in 1981, after a merger, he was fired and was given a $10-million severance package. Rather than retire, Bloomberg decided to start a new business using the $10 million, and joining his experience with computers to his background in the finance markets. He envisioned a computerized information system that would allow Wall Street firms to tap into a real time store of market data, financial calculations and projections via a computer terminal on their desks. Therefore Innovative Market Systems was born. Though not many were interested his company caught the eye of Merrill Lynch in 1982. It became the first customer of the company's Market Master Terminals and investing $30 million as it was sufficiently impressed with Bloomberg's creation. It insta lled 22 of his 20

machines which could perform complicated calculations on government bonds as well as conventional pricing computations of Merrill Lynch's inventory Although, by the mid-1980s at least 20 companies were offering almost the same screenbased news, market data, and research to Wall Street brokers and traders. Yet Bloomberg's constantly evolving machine always stayed ahead as it not only provided bond and stock prices and volume and other basic data, but it even combined sources that had previously existed only in scattered paper versions or through various specialized electronic services. Thus, by expanding, Bloomberg and his IMS partners set out to market their terminal to the larger financial world. With industry leader Merrill Lynch already on board, IMS's new sales force was soon leasing Bloomberg’s, at $1,000 a month to such eminent customers as the Bank of England and the Vatican. Finally, in the spring of 1986 Bloomberg changed the company's name from IMS to Bloomberg L.P.

Bloomberg LP started out as a financial data and communications company which leased multifunction computer terminals to primarily financial and information industry customers such as banks, securities brokerage firms, government agencies, and media organization. Even though Bloomberg LP was installed in 1986 by 1987 it had already installed 5,000 terminals. He expanded his customer base from "buy side" firms such as pension funds, central banks, mutual funds, insurers to the "sell side" of the financial industry such as securities underwriters and trading firms. Therefore, within a few years, ancillary products including Bloomberg Trade book (a trading platform), the Bloomberg Messaging Service were also launched. Then in 1990 Blo omberg newswire was instigated. Bloomberg News (originally known as Bloomberg Business News) had over 145 bureaus around the world, producing more than 5,000 stories daily. B loomberg News was one of the world’s largest and most trusted information sources. It includes Bloomberg TV, the only worldwide 24-hour business and financial television network; Bloomberg Radio; Bloomberg.com, and a number of print outlets including Business Week. Its newswire operation provides content for 350 newspapers and magazines worldwide, including The Economist, The New York Times and USA Today. Bloomberg L.P. also maintains a large in-house staff of data collectors (Bloomberg Princeton, New Jersey), sales people, and computer programmers and technical personnel. 21

Thus with a mission of clarity, transparency, empowerment and innovation, Bloomberg LP was widely considered to be one of the world’s most ground-breaking companies especially due to its belief in the importance of investing in and supporting its employees. Hence Forbes magazine ranked Bloomberg L.P. 223rd in the 1996 Forbes 400.

The incredible success of Bloomberg LP lies solely on Michael Bloomberg’s shoulders for being one of the most creative media entrepreneurs of his time. He was a leader in the truest sense of the word rather than a follower of the business norms. Performing what at other companies would be separate jobs for each employee was typical for the members of Bloomberg's operation. His compa ny was a serious, ambitious, blue-suited firm, highly control-oriented, idiosyncratic in many ways but still very conventional in its top-down management style and conservative strategies. The culture Bloomberg built within his company was a mixture of openness and domination. He was a Paternalistic leader who was essentially dictatorial yet took decisions that were in the best interests of his employees as well as the business. Bloomberg L.P did not have a well-defined management structure as none of his employees had a title, not even the bosses. People were allowed to move around a lot from one job to another, from one branch to another, learning different jobs while exchanging ideas. All his policies encouraged cooperation and openness among his employees. Though, lines of responsibility were maintained such as the reporters had editors and staff members had supervisors. Yet he believed that allowing his employees to move around and interact with each other allowed them to come up with great ideas and achieve greater goals. On the other hand though, Bloomberg insisted on urgency, initiative, long hours, and complete loyalty to the company. “Take ownership of a project and do it now!” was his mantra. He would ask his employees to tank up on the caffeine and sugar need be to meet the deadlines. This was one of the reasons Bloomberg provided all his employees free food on site so to keep them from leaving the office for lunch. He continuously wanted them at their desks, working. He freely admitted that he looked for workaholics who were young,


ambitious, urgent, caffeine -fueled hotshots, as they were the only types that would thrive in the Bloomberg corporate culture.

His strategy for dealing with his customers was basically centered on catering to his customers every wish and whim. If his customers asked for sports scores Bloomberg gave them sports scores or Horoscopes or weather reports. Customer satisfaction was his number one priority. He never fell short to even provide to his international customers. He went as far as to provide his Japanese customers information such as sumo wrestling results complete with images of nearly naked behemoths. As a result his business grew to immense proportions as word of his terminals spread.

st On January 1 2002, Michael Bloomberg assumed office as the mayor of New York. As

mayor of New York, Bloomberg declines to receive a city salary, accepting remuneration of $1.00 annually for his services. Now, though Bloomberg does not run the day-to-day affairs of Bloomberg LP, he still owns almost all the shares. Therefore he still gets to handpick the firm’s managers, talk with them as much as he feels he needs to, and therefore imposes his own will on the firm when he likes. New York’s ineffectual Conflicts of Interest Board limited but never fully defined the mayor’s role at the company he founded hence the board allows him to maintain the type of involvement that he believes is consistent with his being the majority shareholder.

Bloomberg with his larger than life persona is truly a man to be followed considering his vast amount of success in his every profession. There is no doubt that Bloomberg is a king in the land of CEO’s as he started out as a mere clerk and ended up as the owner of one the biggest companies in the United States. Then as if his appetite for reaching the stars had not been satisfied, he went into a completely different profession and became the mayor of New York. His management style depicts a man of integrity who doesn’t demand more than he can put in himself which is a true indication of a leader. His stress on getting the job done without any excuses is one of the major reasons why he and all his employees were always on the top of


his game. Not only that, he also paved the way like a true leader for his employees so there was no way that his employees could never perform to the best of their abilities. If he demanded absolute commitment on the job he also provided for such an environment in his organization where people could commit to their work without feeling uncomfortable either because of the people around them or the equipment in their use. Furthermore, the incredible success of Bloomberg LP did not get to Mikes’ head; in fact it allowed him to become one of the world’s leading philanthropists. In addition to Mike’s personal philanthropy, Bloomberg LP conducts its own extensive philanthropic program, supporting education and literacy programs, health and medical research, and environmental, arts and cultural programs around the world. Bloomberg LP is also a global leader in sustainability, launching an aggressive program to reduce its carbon footprint by 50% by 2013 through energy efficiency, using more renewable resources and reducing waste. The only point that puts one off was his extremely demanding nature. His absolute fixation on getting the job done “no matter what” meant that even a good employee would have a good chance of getting burned out by too much stress due to such skyrocketing expectations. Yet, besides this one blip on his otherwise awe inspiring leadership capabilities, Michael Bloomberg is no doubt a man that truly deserves recognition, as he reached the stars and beyond. And then he made sure that the people around them reac hed the stars as well. As a business student there is nothing more one would want them to follow in his footsteps.

Thus, Bloomberg LP is widely considered to be one of the world’s most pioneering companies, from its bullpen style seating for all employees, to its belief in the importance of investing in and supporting its employees, while up keeping a mission of clarity, transparency, empowerment and innovation. Even today his namesake company remains a leader in the market for business media. Its core product, the Bloomberg Professional, is a service terminal that provides real-time financial news, market data, and analysis. Headquartered in New York City, Bloomberg LP has more than 280,000 subscribers and 11,000 employees in over 135 offices around the world. Applying lessons from an early career on Wall Street and from two decades building his eponymous financial-information and Media Empire, the mayor is had made ample use of technology, marketing, data analysis,


and results-driven incentives to manage what is often seen as an unmanageable city of 8 million just like he did his company at one time. Lucky for him both are working like well oiled machines.

Business leader. (n.d). Retrieved March 11, from http://www.mikebloomberg.com/index.cfm?objectid=87360FFB-C29C-7CA2F92DC3FBE4A49054 Bloomberg L.P. - Company profile, information, business description, history, background information on Bloomberg L.P. (n.d). Retrieved March 11, from

http://www.referenceforbusiness.com/history2/31/Bloomberg-L-P.html Michael Bloomberg biography. (n. d). Retrieved March 12, from http://www.investingvalue.com/investment-leaders/michael-bloomberg/index.htm Michael Bloomberg. (n.d). Retrieved March 10, from http://en.wikipedia.org/wiki/Bloomberg_L.P. Michael Bloomberg biography. (n.d). Retrieved March 12, from http://www.woopidoo.com/biography/michael-bloomberg/index.htm Missing Mike, A media and data business is pining for its inspirational leader. (Sep 2004). Retrieved March 10, from http://www.economist.com/node/3157650 Keiger, D. (n.d). “What Makes Mike Bloomberg So Smart?”. Retrieved March 11, from http://www.jhu.edu/jhumag/1196web/bloombrg.html






Oprah Gail Winfrey was born on November 29, 1954 in Kosciusko, Mississippi. After a turbulent childhood with her single mother, Winfrey went to live with her father in Tennessee at the age of 14. Winfrey’s father was a strict disciplinarian and he offered his daughter a stable life rooted in religion, family, education, and hard work. The move to Tennessee proved to be a turning point in the entrepreneur’s life. Winfrey attended Tennessee State University in Nashville majoring in speech and drama. During her sophomore year, she landed a job at the CBS affiliate in Nashville becoming the city’s youngest television reporter as well as its first black female correspondent. Winfrey quickly progressed to a position as co-anchor. Winfrey did not care for the news reporting and would often deviate from journalistic standards when reporting disturbing stories by showing too much emotion according to her producers. Winfrey moved to Baltimore Maryland in 1976 to co -anchor the evening news. Two years later the station executives decided to remove Winfrey from the newscast. Being under contract, Winfrey was appointed the new co-anchor of the morning show “People Are Talking”. After the first taping, Winfrey knew she had found the work she loved. In 1984, Winfrey was hired to host A.M. Chicago which was faltering against the stronger Donahue show. The station executives had expectations of just improving the shows numbers with no expectations of beating Donahue. After the first month A.M. Chicago surpassed Donahue to become the city’s top rated talk program. Winfrey and her lawyer Jeffrey Jacobs formed Harpo, Inc in 1986. Today, Winfrey is an owner and the Chairman of Harpo, Inc.; Harpo Productions; Harpo Studios, Inc.; Harpo Films, Inc.; Harpo Print, LLC; and Harpo Video, Inc., with a total net worth of over $1 billion. Jeff Jacobs, the president of Harpo, Inc., has a 10 percent of the ownership of that company with Winfrey still holding 90 percent. At this time, Winfrey is not willing to go public with any of her ventures.

A participative leader is one who shares decision making with group members. Most organizations prefer this style of leadership since the leader does not always have all of the answers. Oprah Winfrey utilizes a participative leadership style; “It’s all about attracting


good people. I’ve always tried to surround myself not only with people who are smart but with people who are smarter in ways I am not.” (Koehn 2005). Consensus leaders encourage group discussion about an issue and make a decision based on the consensus or general opinion of the group. Winfrey encourages input from her colleagues and staff. Charisma is the ability to lead or influence others based on personal charm, magnetism, inspiration, and emotion. Winfrey is able to inspire her staff, colleagues and audience through her large scale of humanitarian work. Oprah’s Angel Networ k was created in 1997 to pool and donate money to a wide range of charities. In its first seven years, the show’s audience, along with celebrities and corporate sponsors, contributed nearly $30 million. The donations were used to fund Habitat for Humanity homes, college scholarships, women’s shelters, youth centers, and rural school construction. In 2000 the “Use Your Life Award” was established to recognize the efforts of volunteers. In 2004 she contributed $50 million to The Oprah Winfrey Foundation, an amount that placed her on The Chronicle of Philanthropy’s list of America’s top donors for the year. In 2002, Nelson Mandela and officials from South Africa’s Ministry of Education joined Winfrey as she broke ground on the future site of the Oprah Winfrey L eadership Academy for Girls in South Africa. Oprah Winfrey has the ability to inspire trust within her organization and among her audience. Each November Winfrey airs a show titled “My Favorite Things”. During these shows Winfrey presents a list of produc ts and services that she is fond of. The companies whose products that appear on the show are prohibited from advertising the product with reference to the show. Trust is cited as being the reason for avoiding any appearance of paid endorsement. First and foremost she has credibility. Viewers know she’s not recommending a product on any quid pro quo. It’s because she likes it. Her judgment, her advice – they know she can’t be bought. She inspires leadership within others. All of her humanitarian efforts enc ourage others to achieve more in all aspects of their lives. Harpo’s official mission statement is “ be a to catalyst for transformation in people’s lives, to help them see themselves more clearly and to make the best choices they can by using stories, real people’s experiences, information and ideas. Our intention is to create moments in which people can connect to the truest sense of themselves and build from there.” Part of Winfrey’s success can be related to her communication style. It is Winfrey’s belief that through the organization’s expertise in communications, the organization can perform a 28

valuable service around the globe. Winfrey has become an expert in communicating to her audience. The audience can relate to Winfrey and the show’s topics. Winfrey can relate to the show’s topics equally as well as her audience members can. She struggled in life with abuse, weight, race and a broken home just like so many others have. Winfrey is an entrepreneur within the media industry. In addition to the Oprah Winfrey Show, she has been able to purchase rights to films, produce another successful talk show, and start a magazine that is in line with Harpo’s mission. Winfrey exudes a high level of enthusiasm as well as passion for her business and the purpose of he r business.

Throughout the years, Winfrey has inspired her employees and even rival talk show hosts with her distinct approach. She is usually the first to show up to work and often last to leave. By the 90’s, Winfrey and Jacobs decided they needed more people to help run Harpo, Inc., and hired Tim Bennett to establish a clear business process and develop the organizational charge. This choice was a defining moment in the development of Winfrey, and Harpo, Inc. Oprah Winfrey has not always been a talk show icon. She has also starred in several television shows and movies. One of the first films for Winfrey to be involved with was “The Color Purple” a movie about a young, poor woman abused at an early age. Her portrayal won her nominations for Academy and Golden Globe awards for her role of Sofia. Winfrey has taken her celebrity status and used it as a platform to become a role model for women in every walk of life. She often connects her talk show guests with assistance for those in crisis, she rewards people who have shown unselfish behavior and she touches on issues that even she has experienced. She speaks of her cocaine use in her 20’s, and of her own abuse as a child. She uses these opportunities to lead by example, to show that regardless of your circumstance, perseverance and effort can overcome the obstacles often viewed as insurmountable. Two quotes attributed to Winfrey says “My philosophy is that not only are you responsible for your life, but doing the best at this moment puts you i the best place for the next n moment.”. The second quote is “Real integrity is doing the right thing, knowing that nobody's going to know whether you did it or not.” These quotes, taken separately, can have a wide variety of interpretations on Winfrey’s management style. But looked at together, it shows


that she has built a strong foundation on being accountable for your actions, having a sense of pride in your effort and doing the right thing, even if you’re the only one to know you did it.

Winfrey’s company started with eight employees, and she learned early on she didn’t know anything about operations and didn’t care for the business aspect of being Oprah. She hired her then contract lawyer, Jeffrey Jacobs to be her Chief Operating Officer. Motivation is the effort expended to accomplish results, from a force within the person. However, the leader and/or manager is the one to ignite that force. Winfrey learned that the hard way in the beginning. Winfrey will tell you that in her early years she ran her employees into the ground, often expecting them to work sixteen to seventeen hour days. If they didn’t have her stamina, she said good-bye to them. She had a rude wakeup call however, when one of her employees after a grueling 18-hour day pulled h car into the garage and fell asleep with it running. er Fortunately, she was ok, but it changed the way Winfrey treated her employees. Since that time, Winfrey’s company has maintained a 10-15% turnover rate, while her top executive team has an average tenure of eleven years. Currently her company employees over 220 people, with 68% of them being female. With the level of turnover at her company, you can expect that she is meeting the needs of her employees, like recognition, and being valued for their effo Winfrey leads by example and her employees understand her vision and rts. mission in life and make it theirs. Everything she does she has an intention about it, so must her employees when they present ideas to her. What good will be done if we do this, is the question she challenges them to ask themselves, whether you’re the receptionist or part of the team creating idea’s for her shows. Winfrey’s employees report that Winfrey's enthusiasm is rampant among the office and her charisma contagious. The employe es share her same passion and they are an extremely committed team. People want to work for her. She pushes them just enough to grow as individuals and professionals, and supports their many personal commitments to charity and mission work as well. The company isn’t top down managed; she allows the individual departments to run autonomously to meet their goals. She expects everyone to use his or her minds and hearts on the job. Interestingly, Winfrey requires employees to sign a confidentiality agreement, which prohibits them from speaking publicly or privately about Winfrey while they are employed or 30

after they leave. This agreement also covers any photos in their possession as well. Upon leaving the company, you must return any photos not given to you as a gift while employed, should they show up somewhere, legal action would be taken. Obviously with the company’s low turnover most employees are comfortable with this and sign willingly, understanding the importance of managing publicity to protect and retain image. After all, if Winfrey’s reputation is tarnished, the company loses as well. Her employees are proud of her and take her request for privacy very seriously; pride is often one of the psychological needs for motivation. One former employee did challenge Winfrey on the agreement, stating it was a violation of the First Amendment rights, and free speech. This was the same legal defensive Winfrey used when taken to court by the Texas cattle ranchers. The cattle ranchers sued Winfrey because the defamatory remarks she made about beef made on her show, which in turn caused the beef industry to lose billions of dollars. The former employee didn’t win the fight, but was glad she tried. She said working for Winfrey was tough, and could get very caddy at times, but there was no doubt Winfrey had talent and integrity, but was much too controlling. In spite of that small bit of press, there is nothing on the internet or in the bookstores as to what type of boss Winfrey really is. Based on the tenure of her top executives and the low turnover rate one can only assume it must be a great place to work. For their efforts, employees start their first year with six full weeks of vacation time, and fully funded health insurance. At their office, which is an old ice hockey rink, she provides an in house gym and spa for employees to use. Through the offering of these benefits, plus a pleasant work environment, and a company culture that rewards employees for being creative, and an opportunity to work as part of a team, Winfrey meets the needs for employee motivation according the Maslow’s Need Hierarchy pyramid. At the companies five-year anniversary she gave every employee a gift of $5,000.00 to acknowledge his or her achievements within the company. Giving it as a gift meant they got the extra bonus of not having to pay taxes on the money either. This is obvious financial incentives for motivation, a common incentive used by managers.

Though Winfrey communicates with the world through so many venues, the communication style when it comes to business operations is kept secret. Employees are required to sign the Harpo Employee Manual and are expected to abide by it. In this manual, it cle arly states that


during and after employment, the individual is obligated to keep anything dealing with Harpo, Inc. confidential and may not disclose anything. This includes all business activities, dealings or interests of the company. Therefore one can only assume that her management style within her empire operates through informal communication channels. Winfrey delegated certain individuals to leadership and management roles throughout the different departments within the companies, based on their expe rtise in a specialized area, or how trustworthy and close they were to her. The “communication blackout” contract is also a way Winfrey can control negative organizational politics in her business. Preventing employees from saying anything regarding the business outside the office may also limit negative “gossip” and communication internally, in turn preventing negative politics within the business. More time can be spent on operations and job efficiency rather than handling the political games between workers. Oprah Winfrey is an effective communicator. She understands her employees and her employees understand her and the level of management. Another reason why she communicates so well is that she sees people as she sees herself. Sometimes employees may be overloaded with information on the job and she understands that. She has a way of positive motivation through communication.

Oprah Winfrey started Harpo, Inc. in 1986. In the beginning, Winfrey and her lawyer Jeffrey Jacobs ran the business with minimal staff and little formal structure. At first Winfrey would be one of the first to arrive each day. She personally reviewed the scripts, taped two shows, talke d with the audience members, personally signed every key corporate check and edited content for her publishing venture, “O, The Oprah Magazine”. She was fully engaged in every aspect of the creative process. Gradually, however, it became clear that more people were needed to run the growing organization. Winfrey built a team to run her company and gave each division a great deal of autonomy. Winfred is providing the feeling of empowerment which allows the team to have the four experiences of empowerment: potency, meaningfulness, autonomy and impact. This all leads to a successful team experience. The Company is not managed from the top down. Each department head has a considerable amount of autonomy to execute it goals. And there is not a lot of micromanaging in these areas. The fact that Winfrey chooses not to micromanage helps foster teamwork by giving the team control over their work.


Winfrey built a team composed of members that shared her vision and was willing to support her quest for excellence. By having her employees sign a confidentiality agreement, she is providing the team with the common enemy to compete against. In this case the enemy is those that would like to tarnish Winfrey’s reputation. Staff members in all departments regularly logged long days, some days up to 17 hours. Winfrey knew the demanding schedule and constant deadlines strained some staff members. Winfrey commented “I have great stamina, and I wear other people into the ground.” The members of the team who succeeded at Harpo, Inc. became a part of a group deeply prized by Winfrey. Winfrey was quoted in a TV Guide article, “’I could weep when I think about my team. It’s all about attracting good people. I’ve always tried to surround myself not only with people who are smart but with people who are smarter in ways that I am not. I have the best team ever. They get me. I feel I’ve created my own extended family here at work, with people that understand the code. We have a code of excellence that has been the standard bearer for us, and everybody gets it. And, if you don’t get it you don’t last very long. Winfrey by demanding performance helps to sustain her team. The teams reward is the continued success of Harpo, Inc. By surrounding herself with the best and brightest, Winfrey is providing an opportunity for success of the team and her company as the quality of team members directly relates to the success of the group.

Starting from the ground floor of the television industry, Winfrey has made all the right moves in becoming one of the largest and most successful entrepreneurs in the communications industry. Her highly loyal and motivated staff has risen to the challenges provided by their leader and continues to strive to be industry’s best. Winfrey’s future is still in question as to whether she will continue her successful “The Oprah Winfrey Show” or if she will take Harpo, Inc. in yet another successful direction in the communications industry. As a CEO, Winfrey will continue to be a shining example in an industry that has proven to be tough on CEO’s with more business experience. She really sets an example for the women around the world through her unparallel entrepreneurial skills. According to Forbes, she is considered to be the most influential and powerful women in the world. Her tremendous work towards the betterment of the poor


around the world makes us wonder that a person could do so much through philanthropist efforts and bring a considerable change in the lives of the needy. Oprah Winfrey utilizes a participative leadership style, and believes that there should be cooperative environment in every or ganizations and the spread of power should be fair. Her philosophy to be responsible to your actions and the repercussions of those actions to the general society has greatly influenced the leaders of today to have their corporate strategies linked with the general good of the society.

DuBrin, A. J., 2006, Essentials of Management, Seventh Edition, Thompson South-Western, Mason, OH. Koehn, N. & Helms, E., 2005, Oprah Winfrey, Harvard Business School, Harvard Business School Publishing, Boston, MA. Sellers, P., 2002, The Business of Being Oprah, Fortune Magazine, New York, NY. http://highered.mcgraw-hill.com/sites/dl/free/0072873744/120285/his73744_ch01pms.pdf retrieved on May 22, 2006. http://www.achievement.org retrieved on May 18, 2006. http://www.foxchicago.com/-ezpost/data/36602.shtml retrieved on May 16, 2006. http://www.gale.com/free_resources/bhm/bio/winfrey_o.htm retrieved on May 16, 2006. http://www.mutualofamerica.com/articles/Fortune/2002_04_08/Oprah retrieved on May 14, 2006. http://www2.oprah.com/presents/2003/christmaskindness/leadership/pres_2003_ck_leadershi p.jhtml retrieved on May 17, 2006.





Alvin Ailey Jr. was born to Alvin and Lula Elizabeth Ailey on Janua ry 5, 1931, in Rogers, Texas. He was an only child, and his father, a laborer, left the family when Alvin Jr. was less than one year old. At the age of six, Alvin Jr. moved with his mother to Navasota, Texas. As he recalled in an interview in the New York Daily News Magazine, "There was the white school up on the hill, and the black Baptist church, and the segregated [only members of one race allowed] theaters and neighborhoods. Like most of my generation, I grew up feeling like an outsider, like someone who didn't matter. In 1942 Ailey and his mother moved to Los Angeles, California, where his mother found work in an aircraft factory. Ailey became interested in athletics and joined his high school gymnastics team and played football. An admirer of dancers G ene Kelly (1912–1996) and Fred Astaire (1899–1987), he also took tap dancing lessons at a neighbor's home. His interest in dance grew when a friend took him to visit the modern dance school run by Lester Horton, whose dance company (a group of dancers who perform together) was the first in America to admit members of all races. Unsure of what opportunities would be available for him as a dancer, however, Ailey left Horton's school after one month. After graduating from high school in 1948, Ailey considered becoming a teacher. He entered the University of California in Los Angeles to study languages. When Horton offered him a scholarship in 1949 Ailey returned to the dance school. He left again after one year, however, this time to attend San Francisco State College.

For a time Ailey danced in a nightclub in San Francisco, California, then he returned to the Horton school to finish his training. When Horton took the company east for a performance in New York City in 1953, Ailey was with him. When Ho rton died suddenly, the young Ailey took charge as the company's artistic director. Following Horton's style, Ailey choreographed two pieces that were presented at the Jacob's Pillow Dance Festival in Becket, Massachusetts. After the works received poor reviews from the festival manager, the troupe broke up. Despite the setback, Ailey's career stayed on track. A Broadway producer invited him to dance in House of Flowers, a musical based on Truman Capote's (1924–1984) book. Ailey continued taking dance classes while performing in the show. He also studied ballet and


acting. From the mid-1950s through the early 1960s Ailey appeared in many musical productions on and off Broadway, among them: The Carefree Tree; Sing, Man, Sing; Jamaica; and Call Me By My Rightful Name. He also played a major part in the play Tiger, Tiger, Burning Bright. In 1958 Ailey and another dancer with an interest in choreographing recruited dancers to perform several concerts at the 92nd Street Young Men's and Young Women's Hebrew Association in New York City, a place where modern dances and the works of new choreographers were seen. Ailey's first major piece, Blues Suite, was inspired by blues music. The performance drew praise. Ailey then scheduled a second concert to present his own wor ks, and then a third, which featured his most famous piece, Revelations. Accompanied by the elegant jazz music of Duke Ellington (1899–1974), Revelations pulled the audience into African American religious life. Alvin Ailey Dance Foundation, Inc. is the umbrella organization for the Alvin Ailey American Dance Theater, one of the best-known modern dance companies in the United States. Founded by African-American dancer and choreographer Alvin Ailey in 1958, the company was one of the few showcases for black dancers anywhere in the United States. Headquartered in New York, the Alvin Ailey company began touring internationally in 1962. The group has found a devoted following worldwide with its innovative dances, which often explore African-American culture in ways never previously seen. The Alvin Ailey American Dance Theater tours extensively abroad and in the United States. In addition, its junior company, known as Ailey II, tours and performs widely. The Ailey School teaches dance to thousands of students from the age of three through adults. The school's curriculum is based on the dance techniques of Lester Horton and Martha Graham, and includes ballet, West African dance, and other dance techniques. The Alvin Ailey Dance Foundation also runs extensive arts in education program, bringing dance to schools through performances, workshops, and artist-in-residence programs. The foundation runs Ailey Camps as well, which teach dance and other skills to underserved children. The foundation is currently building a new home in New York City, which will be the largest facility devoted exclusively to dance in the United States.


Alvin Ailey American Dance Theater toured abroad so much in the 1960s that it was better known in Europe than in its own country. In 1968 the group began an extended U.S. tour. Ailey continued to produce works that reflected African-American U.S. culture, at a time of great racial strife. His company featured mainly African -American dancers, though he used white and Asian da ncers as well. The group's shows brought rave reviews, and the company got support from grants from the National Endowment for the Arts and from the Rockefeller Foundation. The company completed another domestic tour in 1970, and Ailey collaborated with ja zz great Duke Ellington on a ballet for American Ballet Theater. Despite the group's growing fame and the influx of grant money, the company was still barely solvent. At the close of the 1970 season Ailey announced that financial problems would force him to disband the dance company. The company recently had moved to new quarters in the Brooklyn Academy of Music, which proved unsatisfactory, and a promised State Departmentsponsored tour of the Soviet Union had been canceled. But the group had many supporters, and ultimately it moved back to Manhattan and the Soviet tour was reinstated. The company embarked on another long tour of the United States the next year. The year 1971 also saw the premiere of another Ailey classic, "Cry," which featured the extraordinary six-foot tall dancer Judith Jamison. In new quarters at the American Dance Center on East 59th Street, the company worked relatively comfortably for the next nine years. Ailey established a popular school, and added two student companies. The company reigned over modern dance in the United States in the 1970s, and was lauded on its international tours. By 1978, when the company celebrated its 20th anniversary, the company included 29 dancers, more than twice its original number, and enrollment at the Ailey school was almost 5,000 students. The company's budget had grown to about $3 million annually, and Ailey himself was making a substantial income from choreography commissions and royalties, television appearances, and his salary for directing the company.

Alvin Ailey American Dance Theater gave a command performance for President Jimmy Carter at the White House in 1979, and then flew to Morocco for a New Year's performance at the behest of that country's king. Nevertheless, the company was still running a deficit, and when its headquarters building was demolished, it could not afford to build a studio and


school to its specifications. Instead it moved into three floors of a midtown building owned by one of its board members. Ailey's health was beginning to fail, and the 1980s were a slower decade for the group than the 1960s and 1970s had been. Ailey was arrested in 1980 for creating a disturbance, apparently while having a mental breakdown. He was released without charge, only to set off a similar incident a few months later. Ailey was apparently increasingly frustrated that his company still had to scrounge for funds and it seemed that he was treated better in Europe than in New York. Ailey was beset by both mental and physical problems from 1980 on. He was under treatment for manic depression, and he was in pain from arthritis. He continued to choreograph in the 1980s, producing another of his best-loved works in 1984, "For Bird--With Love." Ailey and his company were feted and honored repeatedly in the 1980s, and toured both abroad and domestically. Ailey was made Distinguished Professor of choreography at City University of New York in 1985. In 1986 Philip Morris Companies awarded Ailey's troupe a $300,000 grant, to cover two years of touring. In 1987, Ailey was diagnosed with AIDS. Although he continued to travel and undertake new projects, by that time he was clearly very ill. In 1988, the Ailey company's lease expired on the midtown building it had rented, and yet again the group had to scramble to find a suitable space. Ailey died on December 1, 1989.

Leadership of the company fell to Judith Jamison, the dancer who had made her mark with Ailey's signature piece, "Cry." She had left the company in 1980 to pursue her own choreography, but she returned after Ailey's death. She became the company's artistic director, dedicated to keeping the vision of Ailey alive. Alvin Ailey American Dance Theater had always made a point of performing work of other choreographers, and during the 1980s, it put on far more non-Ailey works than Ailey originals. So it was not necessarily the loss of its chief choreographer that hurt the company most. But despite the Alvin Ailey group's long prominence, the company was still not on a sound financial footing. The company had amassed a deficit of roughly $1 million during the 1980s, and in the early 1990s, government funding for dance began to dry up. The company could not continue without some restructuring and a plan for future fundraising. Jamison brought in a new director of development and recruited new trustees --generally, corporate CEOs--who could contribute $10,000 and take a seat on the foundation's board of directors. In 1993 the company received a grant from the Lila Wallace-Reader's Digest Fund as part of its Art Stabilization Initiative. 39

The grant gave money to the group not for performing or touring but to let it pay off debts. The grant allowed the company to build capital reserves so that its finances would no longer be so unstable. By the mid-1990s, the company was in much better shape. It had paid off its debts, increased its revenue from performances, and found other ways to bring in cash. By 1996, the group brought in $3 million through fundraising, about twice the figure from 1992. The Ailey company also got corporations to underwrite some of its domestic shows, while Philip Morris continued to give money for domestic and international touring. The group also increased its marketing efforts, finding new ways to spread the Ailey name, particularly through outreach programs in schools. The company began unusual co-marketing agreements in 1998, trading its name to corporations for major donations. For example Jaguar became the "official car of Alvin Ailey" (Ailey had long dreamed of owning a Jaguar), and a chain of sports medicine clinics used the Ailey name in its advertising, while giving free physical therapy to Ailey dancers. These various stratagems paid off. By 1998, the company had an operating budget o f $12 million, and it managed a $1 million surplus. Jamison said in an interview with Black Enterprise (December 1991) that for years she had "listened as Alvin struggled with prospective donors on one telephone line and bill collectors on the other." She was determined to ask for and get appropriate funding for her group to avoid that embarrassing struggle, and she was extremely successful. In the late 1990s, Jamison began to plan for something the company had never been able to afford--a home of its own. Its rented space on West 61st Street was filled to overflowing, and the company had had to move suddenly before when leases expired. So Jamison began working on funding to build a school, studio, and performance space. In 2001 plans were cemented to build a new dance center on 55th Street and Ninth Avenue in Manhattan. New York Mayor Rudolph Giuliani approved a $7.5 million matching grant from the city to the company, surprising many with his generosity. The Dance Foundation began raising funds needed to complete the building, expected to open in 2004

When choreographer Alvin Ailey died, the dance world wondered what would happen to the Alvin Ailey American Dance Theater. But with Ailey protégée Judith Jamison at the helm,


the rejuvenated company is continuing and even expanding Ailey's rich legacy of ethnicaccented modern dance. It's stimulating to continue Alvin's legacy, which is multicultural and in so many ways stimulates the community," says Jamison, 46, the former Ailey company premiere dancer and artistic associate. "The legacy reflects the lives of African-Americans and is a microcosm of the way the world should work." Ailey's legacy is evident in the company repertoire -a fine balance between traditional works and new dances that expand old boundaries. The 1990-91 lineup features five premieres, including Jamison's own Forgotten Time, Pearl Primus' Impinyuza and an exciting piece by young Kris World of Milwaukee, Read Matthew 11:28. The company is also reviving Ailey's Hidden Rit es and will continue to perform its signature works-Ailey's Revelations and Blues Suite and standards such as Talley Beatty's Come and Get the Beauty of It Hot. This season's choreography is just one example of Jamison's impact. She is also expanding the company's residency program and outreach so more young people in different cities can be exposed to Ailey's genius. But the dancer-choreographer, who dissolved her own 12member Jamison Project to take over the Ailey company, says audiences should not expect drastic changes.

Two of the most interesting aspects of Ailey's life are his cultural achievements viewed in the context of racism and national oppression, and his own thoughts on racism and national oppression; and what has been described as his mental breakdown, also deeply intertwined with the realities of being a Black man in a racist society. So we review Ailey's life here not as a model of oppressed national revolutionary cultural work, but as an example of how prominent Bla cks cannot ignore national oppression. The contradiction between imperialism and the oppressed nations is the principal contradiction in the world today, so understanding the Black nation's subordinate position in this contradiction is necessary for dealing with it correctly. In a remembrance of Ailey, the journalist who helped him write his autobiography said "he was aware that this world, while accepting him, believes that European music and dance are vastly superior to all other music and dance."(1) In a way, Ailey's greatest strength and contribution was that as much as he fought to be


accepted by the Euro-chauvinists of the art world, he fought to be accepted as a Black artist doing Black culture. As someone who did cultural work with no explicit political affiliation, Ailey is not someone with whom MIM has a lot in common. But while Ailey himself probably would not have had a lot to say to MIM, his work has a lot to say about cultural efforts and leadership in the Black nation. In Revelations, Ailey talks about what it meant to grow up and develop a public career as a Black man in America. He does a better job of explaining his politics and their role in his work.

Dance Magazine Award, 1975; Spingarn Medal, National Association for the Advancement of Colored People (NAACP), 1979; Capezio Award, 1979; Kennedy Center Honors prize, 1988; honorary degrees in fine arts from several institutions, including Princeton University, Bard College, Adelphi University, and Cedar Crest College.

Aim high and devote yourself on what you are doing and let nobody interfere in your job. “If you can dream it, you can do it”.

http://www.mimdown.org/mt/mt13ailey.html http://www.answers.com/topic/alvin-ailey http://en.wikipedia.org/wiki/Alvin_Ailey





As, Fernando Hernandez grew up in Cuban-America and his family background is related to factory workers. Hernandez is a graduate of St. Peter's College in New Jersey, where he majored in accounting. He also studied at the Pennsylvania -based Wharton School of Business, and is pursuing a graduate degree i information sciences at Stevens Institute of n Technology. Then got an opportunity to take executive training at Wharton school of Business, where he got great professional work experience. As, he has professionally learned different language and much influencing speaker on multicultural issues. Hernandez, who is fluent in Spanish and English, is co-authoring a book on multicultural marketing in America. He was recognized recently by the American Marketing Association for his work in promoting awareness of multicultural diversity and its impact in the workplace.

After starting his career as a commercial Real Estate Broker in New York, Fernando joined AT&T’s International Sales Group in 1990.Fernando serves as Supplier Diversity Director for Microsoft Corporation. In this position, Fernando supports executive business leaders at Microsoft to achieve their supplier diversity goals and objectives. As, he was responsibility for Microsoft’s supplier diversity outreach efforts, and serves as the leader of the Corporation’s national team of supplier diversity advocates. Fernando served as of Multicultural & Diversity Strategy for Washington Mutual Bank where he lead, developed, and implemented comprehensive multicultural market strategic plans inclusive of all aspects of Washington Mutual’s mission, business goals, and representative diverse segments. Fernando drove the strategies, tactics, and investments in the multicultural markets. He established and communicated the strategic importance of the multicultural markets to improve shareholder performance. He was responsible for translating and transforming the multicultural markets strategic objectives into profitable initiatives. Fernando served as Executive Director of Supplier Diversity with AT&T. He focused on providing strategic direction to AT&T’s Supplier Management & Business Unit clients in development and implementation of policies, strategies, and programs related to the


enterprise-wide MWSDVBE (Minority, Women, Service Disabled Veterans, Business Enterprise) Business Development Program. In that regard, he served on various boards, including National Minority Supplier Diversity Council, Women’s Business Enterprise National Council, Business Consortium Fund, United States Hispanic Chamber of Commerce Procurement Council, United States Pan Asian American Chamber of Commerce, Billion Dollar Round Table, Telecommunications Industry Group, and Board of Public Utilities Supplier Diversity Development Council.

After starting his career as a commercial Real Estate Broker in New York, Fernando joined AT&T’s International Sales Group in 1990. He directed the development of Multicultural Marketing programs for both AT&T’s Business and Consumer Markets Divisions. A pioneer in the field of multicultural business to business and consumer marketing. Fernando launched AT&T’s first Hispanic, African American, and Asian business marketing programs in 1991. He and his team developed and implemented strategies to reach the growing numbe r of U.S. multicultural business owners. Fernando’s experience includes leading AT&T’s National Multicultural Marketing and Marketing Communications Directorates, and managing four national advertising agencies with programs in seven languages. Fernando’s experience includes leading AT&T’s National Multicultural Marketing and Marketing Communications Directorates, and managing four national advertising agencies with programs in seven languages.

Fernando served as SVP of Multicultural & Diversity Strategy for Washington Mutual Bank where he lead, developed, and implemented comprehensive multicultural market strategic plans inclusive of all aspects of Washington Mutual’s mission, business goals, and representative diverse segments. Fernando drove the strategies, tactics, and investments in the multicultural markets. Fernando has taken every opportunity to leverage bicultural abilities throughout his professional career, using his numerous skills and multicultural sensitivity. This has served


him well in successful launches of marketing programs, but has also made it possible for him to sell the original business case and concept for multicultural marketing to forward thinking senior management. He holds a degree in Accounting from Saint Peter’s College and his Masters in Information Systems from Stevens Institute of Technology. He has also studied at the Wharton School of Business and has been recognized by the American Marketing Association for his leadership in sponsoring multicultural marketing conferences at the United Nations. As, Supplier diversity director for Microsoft Corporation. He started a Microsoft Vendor Program (MSVP) ,.which related to preferred vendor program to make easy for Microsoft employees to work globally with a prequalified, select group of vendors. The objective of (MPVP) program to make working with Microsoft beneficial to all. The program is currently available in Belgium, Canada, China, Denmark, France, Germany, Hong Kong, Ireland, Italy, MDCC, the Netherlands, Norway, Spain, Sweden, Switzerland, Taiwan, the United Kingdom, and the United States. The goal of MSVP is simply enable new efficiencies for both Microsoft and vendors, bringing new value to the relationship that we are building together.

A primary purpose of MSVP is to define the way vendors do business with Microsoft, including requirements and expectations, to create a clear, straight path to success. The following are some key elements of MSVP: • • • • MSVP includes vendors of all kinds of goods and services. The program includes only vendors who are the best in providing their category. MSVP vendors are divided into two distinct levels premier vendor and preferred vendor to provide a hierarchy of benefits and visibility to MSVP vendors. MSVP is committed to diversity, including exceeding government-mandated goals and requiring MSVP vendors to share in this goal.


Vendor Awards
Microsoft annually recognizes vendors that consistently provide an outstanding level of service and quality through the MSVP Excellence Awards Program. The award categories are: • • • • • • • Vendor of the Year Value Excellence Quality Excellence Service Excellence Diversity Excellence Technology Excellence Environmental Excellence

All nominations are submitted by the Category Manager (CM) and Vendor Account Manager (VAM) by using an official entry form. Vendors cannot nominate themselves. An award selection committee then determines the winners, which are announced and awarded at the MSVP Annual Vendor Summit each year.

As, his contribution as a Executive Director of Supplier Diversity with AT&T, he develop a Business Development Program and implementation of policies, strategies, and programs related to the enterprise-wide MWSDVBE (Minority, Women, Service Disabled Veterans, Business Enterprise). He directed AT&T’s International Alliance Channel programs responsible for business development in Canada, Mexico, and Latin America. Fernando’s experience includes leading AT&T’s National Multicultural Marketing and Marketing Communications Directorates, and managing four national advertising agencies with programs in seven languages


Fernando serve as Multicultural & Diversity Director, first focuses on interaction and communication between different cultures. Interactions of cultures provide opportunities for the cultural differences to communicate and interact to create multiculturalism. The second focus on diversity and cultural uniqueness. Cultural isolation can protect the uniqueness of the local culture of a nation or area and also contribute to global cultural diversity. As, He works in different field of organizational culture, he promotes minority right ,influencing role of woman in professional field, vendor program to make easy for Microsoft employees to work globally with a prequalified, select group of vendors. He serves as the leader of the Corporation’s national team of supplier diversity advocates.

http://www.csrwire.com/press_releases/26872-Fernando-Hernandez-Named-AT-T-Supplier Diversity-Group-Procurement-Director http://www.einfonews.com/profiles/hernandez.htm http://www.highbeam.com/doc/1G1-113053347.html http://www.spoke.com/info/p7KryAu/FernandoHernandez http://www.microsoft.com/about/companyinformation/procurement/diversity/en/us/wsmith.as px





Amadeo Pietro (Peter) Giannini was born on a small farm in San Jose, California in 1870, the son of Italian immigrants. He attended Heald College, in San Francisco, California. He was only seven years old when he saw his father killed in a fight with another man over a dollar. His mother remarried, and his new stepfather was in the produce business. A. P. quit school at the age of 14 to help his stepfather, and soon impressed the stepfather so much that he was made a partner in the business. His first occupation was as a commission merchant and produce dealer for farms in the Santa Clara Valley. In that position he found established banks unwilling to take on his or the farmers business. A. P. built his reputation and the produce business by being fair and honest in dealing with people. He did so well that he was able to retire at age 31, by selling his half of the business to his employees. His retirement didn’t last long though, because he was asked by a group of San Francisco businessmen to serve on the board of a small Savings and Loan that catered to the Italian-American community.

“A. P. was the first to challenge the unwritten rule that banks should only lend money to people who don’t nee d it”. In those days, banks only leant money to large businesses and other assorted rich folks. Because of his humble beginnings, A. P. could relate to the immigrant poor and their needs. He trusted hard-working poor people and wanted to extend credit to them through liberal loan policies, "To give the little guy a bank that will do business with him." A. P. couldn’t convince the other members of the board to give his ideas a try, so he decided to start his own bank. He lined up some investors and started the Bank of Italy in a converted saloon. He even kept one of the bartenders on as an assistant teller.

He was the first to offer home mortgages, auto loans and installment credit, and marketed those services to people who had no experience with credit. He built his business by reaching out to the immigrant poor, even going door-to-door to explain his services to folks who didn’t know anything at all about banks.


Giannini always worked harder and longer than any of his competitors. Once, when he was riding his horse out of town to visit a farmer in order to close a deal, he saw a competitor behind him who he knew was on his way to the same farmer’s house. Giannini took a shortcut by racing ahead, dismounting his horse, swimming across a small pond, and running all the rest of the way to the farmer’s house in order to get his contract signed before the other man arrived. Many of his customers were traveling over long distances to do business with him, so in 1909 he decided to open a branch of his bank in San Jose to make it easier for them. He then began to buy other banks and open new ones in many other California cities, and a few other major US cities. Giannini and his bank helped nurture the motion picture and wine industries in California. He loaned Walt Disney the funds to produce Snow White, the first full-length, animated motion picture to be made in the U.S. In the depths of the Great Depression, he bought the bonds that financed the construction of the Golden Gate Bridge. During World War II, he bankrolled industrialist Henry Kaiser and his enterprises which supported the war effort. After the War, he visited Italy and arranged for loans to help rebuild the war-torn Fiat factories. Giannini also gave capital to William Hewlett and David Packard to help form HP or Hewlett-Packard. At this time, HP made oscilloscopes.

A.P.'s imaginative behavior during the great San Francisco earthquake and fire of 1906 furthered his reputation and that of his bank. Although the quake occurred at 5 a.m., the Bank of Italy opened its doors at 9 o'clock and conducted business as usual. Giannini closed the bank at noon, however, fearing the worst as the fires spawned by the ruptured gas lines spread closer to the financial district. Sec uring horses and wagons from Scatena & Co., Giannini loaded the bank's cash and gold onto a wagon, hid them beneath a crate of oranges, and transported them to his home outside the city. There he hid the bank's assets in the ash trap of the living room fireplace. A.P. saw in the city's destruction not only a chance to service his customers but another opportunity for the Bank of Italy. Nine days after the quake a newspaper advertisement announced the temporary location of the bank's operations. The city's l rger banks were a unable to respond as quickly. Giannini's foresight in removing his bank's cash together with 51

his personal knowledge of his customers' accounts (he needed no records) allowed him to resume operations quickly. Deposits exceeded withdrawals in less than six weeks after the earthquake. Giannini demonstrated similar ingenuity and foresight when in mid-1907 he picked up rumblings about future financial uncertainty despite the nation's prosperous economy. He began a campaign to increase the bank's gold reserves, build up deposits, and reduce outstanding loans after personal review. Thus, when the financial panic struck the Bank of Italy was able to meet it head on. Its stock of gold piled high in the teller's cage inspired confidence, and the bank did not have to invoke rules limiting withdrawals or requiring advance notice as other, larger institutions did. Once again the bank had weathered a major crisis due to the foresight of A. P. Giannini.

In 1928, he purchased Bank of America, an old and much respected institution in New York City, and consolidated all of his banks under that name. He continued to open branches all over the United States, making Bank of America the first nationwide bank and by 1945, Bank of America was the largest bank in the United States. Giannini was a liberal in a very conservative business, but he wasn’t just being a nice guy. All of his innovations like loans to ordinary people and installment payments, were sound business decisions that revolutionized the banking business and generated substantial profits for his shareholders. He also helped large and small businesses that were down on their luck or out of favor. His financial backing of the California wine and movie industries was instrumental in their growth. He was very generous with his employees, and instituted profit -sharing and stock ownership plans. He understood that sharing profits with his employees would guarantee their loyalty and his success.

The man, who tried to retire at 31, was still at the helm when he died in 1949, at the age of 79. His estate was valued at a rather modest $500,000, because although he could have amassed a huge fortune in his lifetime, he was never interested in accumulating wealth and often didn’t take a salary. A. P. often said, "I don't want to be rich. No man owns a fortune; it


owns him. He used most of the money he did make to start foundations that funded scholarships, and supported medical and agricultural research. A. P. once said, "It's no us e to decide what's going to happen unless you have the courage of your convictions. Many a brilliant idea has been lost because the man who dreamed it lacked the spunk or the spine to put it across. It doesn't matter if you don't always hit the exact bullseye; the other rings in the targets score points, too.

In 1928, Giannini put his banks into a giant holding company he called Transamerica Corporation, reflecting his new ambition. In 1930, he formed the Bank of America, which would eventually become the largest in the United States. As a measure of its success, it withstood the Great Depression, funding large industrial and agricultural interests as well as California's burgeoning movie industry and even the Golden Gate Bridge. When Giannini died on June 3, 1949, at age 79, hundreds of ordinary people showed up for his funeral.

Giannini's efforts were not without opposition and hostility. In 1919, for instance, California's superintendent of banks raised objections to A.P.'s opening of additional branches. He relented only after Giannini was able to convince him of the reasonableness of his motives and the falsity of the "whispering campaign" which had raised the doubts. The last great challenge to A. P. Giannini's banking empire came in 1948 when the Federal Reserve began an investigation into charges that his holding company had violated the anti-monopoly provisions of the Clayton Anti-Trust Act. A.P. died on June 3, 1949, however, before the board returned its findings and o rdered that his corporate structure be dismantled. Later the U.S. Court of Appeals set aside the order, declaring that the Federal Reserve had failed to prove its charges of monopolistic practices. A. P. Giannini's contributions were as a businessman and as an Italian-American. As a banker he established and refined branch-banking, and his bank became a model for the nation and the world. He stressed services for the "little fellow." Through his introduction of such practices as the repayable monthly home loan he brought home ownership within the reach of the multitudes. His concern for those previously ignored also included giving them representation in the management of his banks.


Giannini's success allowed him to assist fellow Italian-Americans in several ways. In addition to providing financial services, he is credited with having helped save alien Italians from the loss of their property and civil rights in California at the outbreak of World War II.

He lived his life with honesty and integrity which even led him to gain his step father trust and he worked with him. When he joined bank at that time he observed that banks were only lending money to large businesses and poor are left out. He thought of poor immigrants and their needs trusted them for their hard work, he extended credit through liberal loan policies. Other members of board refused his idea and he took pioneer step to start his own bank in order to cater poor people for their hard work which was being neglected in past. Basically his nature was very compassionate about poor people and especially immigrant poor. He even went door to door to find out needy people. As a student business studies right now, I believe that I should adapt such style of being passionate about my profession and as professional serving and catering poor and needy people. His business was his passion and he was always a threat for his competitors. His life tells that he was a man of real principals and he always lived for people with sincerity. His mana gement style shows that he loved his work and employees. He was use to share his profits with his employees. He transferred his leadership skills to his people and family. After his death his son and daughter took over his positions. Upon Giannini's death in 1949, his on Mario Giannini, who had been afflicted with polio in his youth, took over leadership of the bank; and, Giannini's daughter, Claire Giannini Hoffman (1905–1997), took her father's seat on the Bank's Board of Directors, where she remained until the 1980s. Giannini is buried at Holy Cross Cemetery, in Colma, CA.

The large plaza of the Bank of America Building, at California Street and Kearny, in downtown San Francisco, is named for Giannini. A.P. Giannini Middle School, which opened in the Sunset District of San Francisco, in 1954, is named after him, also.[5] Other


places and groups named after Giannini include the Giannini Foundation of Agricultural economics and the building that houses the Department of Agricultural and Resource Economics, at the University of California, Berkeley. The U.S. Postal Service honored Giannini's contributions to American banking by issuing a 21¢ postage stamp bearing his portrait, in 1973. A ceremony to mark the occasion was held near his former home, in San Mateo. TIME magazine named A.P. Giannini one of the "builders and titans" of the 20th century. He was the only banker named to the Time 100, a list of the most important people of that century, as assembled by the magazine. Walter Huston's bank president in Frank Capra's 1932 film, American Madness, was based largely on A.P. Giannini.[citation needed] American Banker magazine recognized him as one of the five most influential bankers of the 20th Century.[citation needed] In 2004, the Italian government honored Giannini with an exhibition and ceremony in its Parliament, to mark the centennial of his founding of the Bank of Italy. The exhibition was the result of the collaboration of the Ministry of Finance, the Smithsonian Institution, Italian Professor Guido Crapanzano and Peter F. De Nicola, an American collector of "Giannini" memorabilia.[citation needed] In 2010, Giannini was inducted into the California Museum Hall of Fame.

http://www.nndb.com/people/380/000094098/ http://www.pbs.org/wgbh/theymadeamerica/whomade/giannini_hi.html http://en.wikipedia.org/wiki/Amadeo_Giannini





Starting out as a newspaper publisher in his native Australia, Rupert Murdoch became a powerful media entrepreneur (someone who begins a business venture) with many publications in England and the United States. His style of journalism brought criticism from serious readers but served the entertainment needs of a wide audience.

Born March 11, 1931, in Melbourne, Australia, Keith Rupert Murdoch was the second son of a distinguished journalist. He and his two sisters and a brother were raised on a farm. His mother surrounded her children with classics in literature as well as music, with their living room hosting a grand piano. Rupert learned to ride horses at the age of five. His childhood has been described as ideal. His father, Sir Keith Murdoch, was a celebrated World War I (1914–18) reporter, who later became chief executive of the leading Melbourne Herald newspaper group. After studying at Oxford University in England, Murdoch entered journalism as a reporter for the Birmingham Gazette and served an apprenticeship at the London Daily Express, where he learned the secrets of building circulation (average number of copies of a publication sold over a given time period). Returning to Australia to begin his publishing career, Murdoch revived the Adelaide News that he had inherited after his father's death in 1952.

In the process of expanding his $1.4 billion-a-year News Corporation Limited, Murdoch often heard from critics who disliked his entertaining style of journalism. He applied a recognizable formula to most of his papers. His trademark operations included rigid cost controls, circulation gimmicks (tricks to gain sales), flashy headlines, and a steady emphasis on sex, crime, and scandal stories. Murdoc h's brand of publishing was scorned as rude and irresponsible by his fellow publishers. In early 1969 Murdoch became a London publisher when he gained control of the Sunday paper News of the World, the largest English-language circulation paper in the world. Later in 1969 he bought a worn-down liberal paper, the Sun, which he transformed into an eyecatching tabloid featuring daily displays of a topless girl on page three. The Sun became the


most profitable paper in his empire. In 1981 Murdoch bought the f ailing but prestigious London T imes. Murdoch expanded into the American market in 1973 when he acquired the San Antonio Express and News. In early 1974 he started the weekly tabloid the National Star (later renamed Star) to compete with the popular Enquirer. It adopted a format based on celebrity gossip, health tips, and self -help advice that boosted its circulation to almost four million. In his quest for a big-city audience, Murdoch surprised the publishing world in 1976 when he bought the New York Post, a highly regarded liberal (open-minded) paper. By changing its image he nearly doubled the circulation. Murdoch's newspaper style, though, did not fare as well in the United States as in Britain. The New York Post was a steady financial drain despite its increased circulation. Murdoch's formula did not attract advertisers. His American papers did not show a profit until 1983. Murdoch was seen as an effective popular journalist who gave his readers what they wanted. Ignoring his critics, he regarded most papers as too snobbish in their approach and too boring in appearance. He preferred a bright and entertaining product that would attract the largest body of readers.

In 1983 Murdoch purchased a controlling interest (a majority of the company's stock that allowed him to make decisions for the company) in Satellite Television, a London company. His plan for beaming programs from satellites directly to homes equipped with small receivers did not progress, and his attempt to gain control of Warner Communications and its large film library did not succeed. In 1985, however, he did purchase the film company Twentieth Century Fox. A year later he bought six (Metromedia) television stations and sought to create a fourth major network called Fox Television. The United States does not permit foreign nationals to own broadcast stations. In order to maintain his control of Fox Television, Murdoch became a citizen of the United States in 1985. In 1987 he bought the U.S. publishing house Harper and Row. Other than publishing, Murdoch's business interests include two television stations in Australia, half ownership in the country's largest private airlines, book publishing, records, ranching, gas and oil exploration, and a share in the British wire service Reuters News Corporation Limited, which earned almost $70 million in 1983. 58

Rupert Murdoch was influenced by his parents, the Presbyterian Church, the Geelong Grammar School and the Flemington Race Course. Rupert Murdoch is a person with a love for business, in particular of the newspaper business, a passion he inherited from his father, Sir Keith Murdoch. His father’s family were enthusiastic members of the Free Church of Scotland. Rupert Murdoch’s mother gave him his love of risk-taking and a fiery determination. The Flemington Race Course was the first place where he started to gamble. “He contains within his character both an extraordinary gambling instinct and a certain dour Puritanism,” as William Shawcross (1992) describes him. (cited in Crainer 2002 p.4)

Murdoch's disconcerting experience with Thomas Playford in South Australia and his early political activities in Australia set the pattern he would repeat around the world. Murdoch found a political ally in John McEwen, leader of the Australian Country Party (now known as the National Party of Australia), who was governing in coalition with the larger Menzies-Holt Liberal Party. From the very first issue of The Australian Murdoch began taking McEwen's side in every issue that divided the long-serving coalition partners. (The Australian, 15 July 1964, first edition, front page: "Strain in Cabinet, Liberal-CP row flares.") It was an issue that threatened to split the coalition government and open the way for the stronger Australian Labor Party to dominate Australian politics. It was the beginning of a long campaign that served McEwen well. After McEwen and Menzies retired, Murdoch transferred his support to the newly elected Leader of the Australian Labor Party, Gough Whitlam, who was elected in 1972 on a social platform that included universal free health care, free education for all Australians to tertiary level, recognition of the People's Republic of China, and public ownership of Australia's oil, gas and mineral resources. Rupert Murdoch's flirtation with Whitlam turned out to be brief. He had already started his short-lived National Star newspaper in America, and was seeking to strengthen his political contacts there.


Acquiring American Citizenship
In 1985 Murdoch became a United States citizen to satisfy legislation that only United States citizens could own American television stations. This also resulted in Murdoch losing his Australian citizenship. Asked about the Australian federal election, 2007 at News Corporation's annual general meeting in New York on 19 October 2007, its chairman Rupert Murdoch said, "I am not commenting on anything to do with Australian politics. I'm sorry. I always get into trouble when I do that." Pressed as to whether he believed Prime Minister John Howard should be reelected, he said: "I have nothing further to say. I'm sorry. Read our editorials in the papers. It'll be the journalists who decide that – the editors."

United States
McKnight (2010) identifies four characteristics of his media operations: free market ideology; unified positions on matters of public policy; global editorial meetings; and opposition to a perceived liberal bias in other public media. On 8 May 2006, the Financial Times reported that Murdoch would be hosting a fund-raiser for Senator Hillary Clinton's (D-New York) Senate re-election campaign. In a 2008 interview with Walt Mossberg, Murdoch was asked whether he had "anything to do with the New York Post's endorsement of Barack Obama in the democratic primaries." Without hesitating, Murdoch replied, "Yeah. He is a rock star. It's fantastic. I love what he is saying about education. I don't think he will win Florida... but he will win in Ohio and the election. I am anxious to meet him. I want to see if he will walk the walk." In 2010 News Corporation gave $1M to the Republican Governors Association and $1M to the U.S. Chamber of Commerce, which was largely working to elect Republicans that year. This drew condemnations from Democrats and non-partisan watchdog groups, who claimed that it represented a conflict of interest for the owner of a major publishing empire to contribute directly to political campaigns in this way. A spokesman for the Wall Street Journal would not comment. Murdoch also served on the board of directors of the libertarian Cato Institute.


United Kingdom
In Britain, Murdoch in the 1980s formed a close alliance with Margaret Thatcher, and The Sun credited itself with helping John Major to win an unexpected election victory in the 1992 general election. However, in the general elections of 1997, 2001 and 2005, Murdoch's papers were either neutral or supported Labour under Tony Blair. This has led some critics to argue that Murdoch simply supports the incumbent parties (or those who seem most likely to win an upcoming election) in the hope of influencing government decisions that may affect his businesses. The Labour Party under Blair had moved from the Left to a more cent ral position on many economic issues prior to 1997. Murdoch identifies himself as a libertarian. In a speech delivered in New York, Rupert Murdoch said that the UK Prime Minister Tony Blair described the BBC coverage of the Hurricane Katrina disaster as being full of hatred of America. In 1998, Rupert Murdoch failed in his attempt to buy the football powerhouse Manchester United F.C. with an offer of £625 million. It was the largest amount anyone had yet offered for a sports club. It was blocked by the United Kingdom's Competition Commission, which stated that the acquisition would have "hurt competition in the broadcast industry and the quality of British football". On 28 June 2006 the BBC reported that Murdoch and News Corporation were flirting with the idea of backing Conservative leader David Cameron at the next General Election. However, in a later interview in July 2006, when he was asked what he thought of the Conservative leader, Murdoch replied "Not much". In a 2009 blog, it was suggested that in the aftermath of the News of the World phone hacking affair, Murdoch and News Corporation might have decided to back Cameron, although there had already been a converging of interests between the two men over muting of the UK's communications regulator Ofcom. In 2006, the UK's Independent newspaper reported that Murdoch would offer Tony Blair a senior role in his global media company News Corp. when the UK prime minister stood down from office. He is also accused by former Solidarity MSP Tommy Sheridan of having a personal vendetta against him and of conspiring with MI5 to produce a video of him confessing to having affairs – allegations over which Sheridan had previously sued News International and won. 61

On being arrested for perjury following the case, Sheridan claimed that the charges were "orchestrated and influenced by the powerful reach of the Murdoch empire".

Murdoch has a history of hosting private meetings with influential politicians. Both parties describe such meetings as politically insignificant; social events, informal dinners or friendly drinks. It has however been argued that such meetings are significant because of Murdoch's exceptional influence as an international media magnate , as well as his consistent interest in and involvement with political issues.

David Cameron
In August 2008 British Conservative leader and future Prime Minister David Cameron accepted free flights to hold private talks and attend private parties with Murdoch on his yacht, the Rosehearty. Cameron has declared in the Commons register of interests he accepted a p rivate plane provided by Murdoch's son-in-law, public relations guru Matthew Freud; Cameron has not revealed his talks with Mr Murdoch. The gift of travel in Freud's Gulfstream IV private jet was valued at around £30,000. Other guests attending the "social events" included the then EU trade commissioner Lord Mandelson, the Russian oligarch Oleg Deripaska and co-chairman of NBC Universal Ben Silverman. The Conservatives have not disclosed what was discussed.

Kevin Rudd
On 21 April 2007, future Australian prime minister Kevin Rudd dined with Rupert Murdoch in New York, following a one -hour private meeting at Murdoch's News Corporation Building. News Limited's resources involvement and coverage, in Australia, on the 2009 OzCar affair controversy caused antagonism by Rudd. Rudd responded to a press conference question from The Australian journalist Matthew Franklin, questioning "what sort of journa listic checks were put in place" for publishing a story claiming he was corrupt without "having cited any original document in terms of this email." Although such newspapers Daily Telegraph, the Courier-Mail and the Adelaide Advertiser are owned by News Limited, it has been viewedthat Murdoch's personal involvement is unlikely and "the anti-Rudd push, if it is coordinated at all, is almost certainly locally driven." 62

Murdoch once said that Rudd is "...oversensitive and too sensitive for his own good..." regarding Rudd's response to criticism made of him by News Corporation's Australian newspapers. Murdoch also described Rudd as "...more ambitious to lead the world than to lead Australia..." and criticised Rudd's expansionary fiscal policies as unnecessary: "We were not about to collapse...I thought we were trying to copy the rest of the world a little unnecessarily."

Stephen Harper
Canadian Conservative Prime Minister Stephen Harper had lunch with Murdoch and Fox News president Roger Ailes in March 2009, but the New York City meeting was not public knowledge until the summer of 2010 when a Canadian Press reporter learned of it from filings with the U.S. Justice Department. News of the meeting sparked speculation of a politically motivated drive to bring "Fox News North" to Canada.

Barack Obama
In October 2008 Murdoch biographer Michael Wolff wrote a Vanity Fair story recounting a meeting between Barack Obama, Murdoch, and Ailes at the Waldorf-Astoria Hotel in New York early that summer. Obama had initially resisted Murdoch's proposals for a meeting, despite senior News Corp. executives having recruited the Kennedys to act as go-betweens. According to Wolff, at the meeting Obama complained of Fox News's portrayal of him "as suspicious, foreign, fearsome – just short of a terrorist", while Ailes said it might not have been this way if Obama had "more willingly come on the air instead of so often giving Fox the back of his hand." A "tentative truce" was nonetheless agreed upon. Wolff also noted that Murdoch has met every US President since, and including, Harry Truman.

So what is it that makes him such a successful businessman? What is his management style and what are his leadership characteristics? Study attempts to analyse Rupert Murdoch’s management style and leadership characteristics. Rupert Murdoch moves with the times, he is always thinking of the future, never of the past. His philosophy is to think of tomorrow today, otherwise he would not make it in the business world (Crainer 2002 p.101). He is constantly updating and developing his network of contacts. The cornerstone of good career management is networking, which is a daily commitment. Rupert Murdoch is well known for 63

his style in using people to build his empire. However, he does not pay much attention to people, and those who are not doing their job do not belong there and simply have to go. His managers have to be prepared to receive a call in the middle of the night and inform him about their particular company. On the other hand Murdoch recruits strong people; mirrors of his own image. Kelvin MacKenzie and Andrew Neil are perfect examples of how some of his most successful executives have turned out to be larger than life personalities.

Along the way, he drew criticism that his stewardship lowered standards, with quality journalism replaced by vulgarity. The Sun - which was a loss-maker when he snapped it up in 1969, a year after beating Robert Maxwell to buying the News Of The World - was a case in point. The introduction of Page Three "stunnas", tabloid gossip and sensation-seeking stories soon made it the UK's most widely-read daily paper - and gained Mr Murdoch the nickname of the Dirty Digger. But even in the early days, Mr Murdoch denied he was peddling sleaze, telling one interviewer: "I'm rather sick of snobs who tell us they're bad papers, snobs who only read papers that no-one else wants." The Times and Sunday Times also soon joined his growing News International stable. Throughout the 1970s, his influence stretched across the Atlantic, with the purchase of the New York Post and New York magazine. “Catalyst for change' But his aggressive management style drew widespread criticism. In an effort to cut costs at his UK operations, he quit Fleet Street for good. The move to Wapping in London's East End signaled a bitter, year-long battle with staff, which culminated in the de -recognition of the print unions and the loss of 5,000 jobs. "I'm a catalyst for change. You can't be an outsider and be successful over 30 years without leaving a certain amount of scar tissue around the place," he once famously said. Meanwhile, Mr Murdoch was also turning his attentions to the world of broadcasting. In 1985, in order to comply with US laws on foreign ownership of TV stations, he moved to New York and became an American citizen.


In the early 1990s, faced with debts of around $8bn, the group was stretched thin financially and nearly crashed. As a result, Murdoch was forced to sell many of his US magazine interests to service its loans – yet by the late 1990s, he had bounced back. The subject of Murdoch's alleged anti-competitive business practices surfaced in September 2005. Australian media proprietor Kerry Stokes, owner of the Seven Network, instituted legal action against News Corporation and the PBL organisation, headed by Kerry Packer. The suit stemmed from the 2002 collapse of Stokes' planned cable television channel C7 Sport, which would have been a direct competitor to the other major Australian cable provider, Foxtel, in which News and PBL have major stakes. Seve n complained that News Corporation had abused its market power which derived from its half-ownership of the National Rugby League, half-ownership of C7's direct competitor, Fox Sports, and 25 per cent ownership of the Foxtel pay TV service. Seven wanted Justice Ronald Sackville to order News and Publishing and Broadcasting Ltd to divest their combined 50% stake in Foxtel or to sell their wholly owned Fox Sports. They argued that this would be justified because of the way in which Foxtel gave preferential treatment to Fox Sports and declined to take any rival sports channel provider on "reasonable commercial terms". In evidence given to the court on 26 September 2005, Stokes alleged that PBL executive James Packer came to his home in December 2000 and warned him that PBL and News Limited were "getting together" to prevent the AFL rights being granted to C7. However, Justice Sackville dismissed Seven's case on all grounds, saying that there was "more than a hint of hypocrisy" in many of Seven's claims. Recently, Murdoch has bought out the Turkish TV channel, TGRT, which had been previously confiscated by the Turkish Board of Banking Regulations, TMSF. Newspapers report that Murdoch has bought TGRT in a partnership with the Turkish recording mogul Ahmet Ertegün. Murdoch has recently won a media dispute with Italian Prime Minister Silvio Berlusconi. A judge ruled the Italian Prime Minister's media arm Mediaset had prevented News Corp.'s Italian unit, Sky Italia, from buying advertisements on its television networks.


The effect that Rupert Murdoch has had on the media and entertainment industry is massive. Along the way he created an empire that has gone from strength to strength, securing positions in every important media and country. Murdoch continues to push his News Corporation company forward and is leading the way into the lucrative Chinese market that has up until now been out of reach for Western media companies. With his great success and power he has also created a lot of critics, but Murdoch continues to brush them all aside and is happily living his life with his young w ife and is continuing to grow his global media empire.

Chenoweth, Neil (2001). Rupert Murdoch, the untold story of the world's greatest media wizard. New York: Random House. McKnight, David. "Rupert Murdoch's News Corporation: A Media Institution with A Mission," H istorical Journal of Film, Radio and Television, Sept 2010, Vol. 30 Issue 3, pp 303-316 Arsenault, A & Castells, M. (2008) Rupert Murdoch and the Global Business of Media Politics. International Sociology. 23(4) http://www.askmen.com/celebs/men/business_politics/27_rupert_murdoch.html http://www.techdirt.com/articles/20101219/22155912331/look-rupert-murdochs-historyinternet-failures.shtml http://www.foxchicago.com/-ezpost/data/36602.shtml retrieved on May 16, 2006. http://www.theatlantic.com/technology/archive/2010/12/a-look-at-rupert-murdochs-pastinternet-failures/68351/ http://news.bbc.co.uk/2/hi/business/6925738.stm http://www.grin.com/e-book/41757/keith-rupert-murdoch





Michael dell is the son of Orthodontist , Dell was born in to an upper-class Jewish family and attended Herod Elementary School in Houston, Texas. Dell had his first encounter with a computer at the age of 15 when he broke down a brand new Apple II computer and rebuilt it, just to see if he could be succeed in it or not. Michael Dell borrowed thousand U.S Dollar to start his own business of computer accessories. The idea that set the young entrepreneur apart from others was to sell directly to the customers. PC limited named business was start-up but later on it was Dell Inc. The company became successful enough that with the help of an additional loan from his grandparents, Dell dropped out of college at the age of 19 to run PC's Limited which later became Dell Computer Corporation then ultimately Dell Inc.

Michael was dropped out of college at the age of nineteen to run Dell Computer Inc. DELL is an American multinational information technology corporation based in Round Rock, Texas, and United States that develops, sells and supports computers and related products and services. As the name of its founder is Michael Dell, the company is one of the largest technological corporations in the world. According to the Security and Exchange Commission Dell had 46,000 employees in USA and 96,000 people worldwide. "Dell Computer Corporation" became "Dell Inc." as they moved into other areas of business. Dell Inc. has an expanding product range that includes home entertainment systems and personal devices. Michael Dell was married to Susan in 1994. Michael Dell uses some of his great wealth for philanthropic activities and had started the "Michael and Susan Dell Foundation" with his wife Susan. The organization is to improving the lives of children in the United States of America and internationally. A letter from Michael Dell and S usan tells that the role of the foundation is to focus on quality education and good health which is the first priority for children. The Dell family lives in one of the largest houses in Austin, Texas and has been reported to be the 15th largest house in the world Dell stepped down from his role as CEO at Dell Inc.

• In May 2002, the University of Limerick which is situated in Ireland conferred Michael Dell with an honorary doctorate degree in Economic Science. 68

March 27, 2007. The CEO Gary Shapiro and President of CEA, honored Michael Dell that "Michael is an industry pioneer who continuously fights for innovation, and we are honored to recognize him as a true Digital Patriot for his commitment to technology

• •

No.1 PC provider in the U.S. and No.2 wor ldwide National Technology Medal of Honor

Michael Dell is the founder CEO and chairman of Dell Inc. The world’s second-biggest personal computer maker. He is worth 15.8 billion according to Forbes list of “The World’s Billionaires” in 2007. In 1992, he became the youngest CEO ever earning a ranking on the Fortune 500. Michael Dell is the author of Direct From Dell Strategies That Revolutionized an Industry the strategies he has refined that apply to all businesses. He is a member of the board of directors of the US Chamber of Commerce. Dell also serves on the nominating committee for the National Technology Medal of Honor and is a member of The Business Council. There are some of the things which make Michael Dell a good leader. They are as followed,

He knew his goal clearly and he focused on it . When he was a freshman in college,
Michael Dell declared that he wanted to beat IBM. In the following years, he started his own business and achieved his goal unceasingly, no matter what diff iculties he faced with. Today, Dell company revenues are about $ 7.8 billion a year. He has passed IBM in annual sales, and is closing in on industry leader Compaq.

He has strong sense of innovation. As a successful entrepreneur, he is fond of doing
something new and takes a risk and works hard to make them work. He also cherishes difference and thinks difference can breed innovation. He hired a diverse work force in his teams with different angles on problems. He dares to change his position and do something new. When he saw opportunity ahead that selling custom made PCs and components was very profitable, he made a decision to drop out of university and started his own business. Dell’s sense of innovation makes him hold lots of number 1 record in computer industry.


In 1998 Michael Dell founded MSD Capital LP , A private investment firm to invest in various small companies on Dell's behalf. According to reports, the firm tends to invest in "late stage" investments rather than early in a company' s startup. The money management firm that oversees Michael Dell’s fortune raised almost $780 million March 8, 2011 for a hedge fund that will invest in energy companies, according to a regulatory filing.

Michael Dell assembles computers and sells them direct to customers, creating a business that generates nearly $14 billion in revenues a year and employs 96,000 people all over the world. Thanks to this original direct marketing approach and to Michael Dell who owns the industry's first service and support programs, Dell Computer became recognized as the top vendor of PC. Another of Dell's worldwide innovations is his leadership on the Web. Dell is recognized as the largest online commercial seller of computer systems with an average o f over $30 million per day in online sales. Michael gets high ranking for inspiring millions of entrepreneurs to proceed with their dream. Tom Peters says that perfect entrepreneurs such as Michael Dell "have the ability to appreciate people who are inde pendently minded. These companies are places where strong minded people with contrarian points of view do well." To keep his managers on the lookout, Michael Dell, for instance has split the company into smaller and smaller pieces that can act pioneering and entrepreneurial. Michael dell narrows the focus of each executive so that he or she can go to a much deeper level with the innovation. his leadership structure has experienced a fundamental change. In the furious market competition, Dell realized that h didn’t have all the right skills to build his company into a e multi-product, multi-geography powerhouse. And he couldn’t manage alone, he should bring in the talent he needed. So, Dell made a decision that he will share his power with his long time partne r Kevin Rollins. He developed a new leadership model one company, two CEO's. Without doubt CEO model may bring about a lot of risks. One risk of shared leadership is that conflicting signals are transmitted down through the ranks. If it wasn’t handled well it would bring about negative effects to the company. Fortunately, they have done well. Although they have lots of differences, such as they have 12 year age difference, Dell dropped out of college to pursue his business, Rollins earned an MBA from Brig ham Young, 70

Dell is optimistic, Rollins is a lit bit pessimistic, and so on they see the future the same way they have a very healthy Yin and Yang. They set a model for other leaders how to share leadership. CEO of EMC has said that the connection between Dell and Rollins is so seamless he needs to communicate with only one of them to get information to both.

I think his leadership style belongs to transformational leadership. Because he has a strong desire to break up laws and to change situation completely and he also has ability to create something new and benefit others. Leadership is about coping with changes. More change always demands more leadership the computer industry field is a world with more and more competitive. If the leaders couldn’t cope with complexity and change very well, they would go bankruptcy. Fortunately, through his transformational leadership, the company can keep up with the changes of the market, and make more and more progress. He started with nothing but built a empire and created a fantastic wealth for millions of people he took hold of any commercial opportunities ahead and led his team to create a lot of pioneering activities in the computer industry field he created a low cost mail order model to sell computers and helped more and more people realize the power of computing and the internet he has a good self conscious of his disadvantages and he knows what he doesn’t know, So he can break his role of leadership and create “one company, two CEO” leade rship he has a strong moral responsibility for business and family and keeps a good balance between life and work. He created a new image of young entrepreneur. Michael Dell used some of these management styles which are as followed;

As all successful businessmen and leaders are constantly looking to improve their business Michael Dell also use to do constant analysis to its maximum advantage of his company. Dell was increasing efficiencies systematically and Michael Dell was not wasting time in his favorite activities.


Dell says that, we need to spot the opportunity for improvement and not only spot them but to make leverage that opportunity.

Know your business and innovate - IT strategy
Dell manages the entire IT department to develop an innovative mindset. Dell helps the IT business by understanding each department and then helping that department through innovative use of technology.

As a successful leader, he must have clear goal and powerful vi ion for the future. He must s use his entrepreneur personality to motivate, communicate, excite and influence his followers and transform his personal goal and vision into all follower’s practice. As a successful leader, he must have strong sense of innovation. He should do his best to develop a environment of innovation. He should respect difference and encourage his followers to have different idea and different solution, he should have ability to cope with change and find out opportunity from it, he should have courage to take risk of doing something new and strong desire to change the current situation and to be pioneer in their own field. As a successful leader, he must have strong self consciousness. He must know what he doesn’t know and face up his disadvantages. He should learn from mistakes and borrow others talent he needed. As a successful leader he must have high moral responsibility either for business or for private life. He should distribute his energy and time wisely into three interdependent and interconnected spheres: work sphere, family sphere and self sphere. He should keep good balance among them and gain strength from three spheres.


Michael Dell is the founder and CEO of Dell computer corporation that is the world’s largest direct computer company. He is also the youngest person ever to head a Fortune 500 firm And he is the longest-serving CEO in the computer industry. Michael Dell is clearly a genius in the computer world and business field. At age 13 he got a knack for taking apart the motherboard of his Apple II computer, when he was a senior in high school, he began to show his talent in business. He sold so many newspapers subscriptions that he was able to pay cash when he bought a BMW, In 1983 at 18 as a freshman at the University of Texas, Austin. The day his former classmates were graduating, his sales had already hit $ 70 million a year At 33, the visionary CEO of Dell Computer is at the pinnacle of the entire PC industry. Today, he runs the second largest (after the HP Compaq merger) and still fastest growing PC maker in the world with a market capitalization of well over $ 100 billion. For Michael Dell, inventing the Next Big Thing is not the goal. His mission is to build the Current Big Thing better than anyone else. He doesn't plan on becoming IBM or HP. Rather, he wants to focus on his strength as a super-efficient manufacturer and distributor. That's why Dell continues to increase the efficiency of its operations. Michael Dell is the biggest and greatest entrepreneur of the centuries.

BUSSINESS MASTERS HOME. http://www.woopidoo.com/biography/michael-dell/index.htm GOOD2WORK. http://www.good2work.com/article/1099 WIKIPEDIA. http://en.wikipedia.org/wiki/Michael_Dell BOOKSREGS. http://www.bookrags.com/wiki/Michael_Dell ENGAGED IT FOR THE CIO. 73

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David Sarnoff was an American businessman and pioneer of American commercial radio and television. He founded the National Broadcasting Company (NBC) and throughout most of his career he led the Radio Corporation of America (RCA) in various capacities from shortly after its founding in 1919 until his retirement in 1970. He ruled over an ever-growing telecommunications and consumer electronics empire that included both RCA and NBC, and became one of the largest companies in the world. Named a Reserve Brigadier General of the Signal Corps in 1945, Sarnoff thereafter was widely known as "The General." Sarnoff is credited with Sarnoff's law, which states that the value of a broadcast network is proportional to the number of viewers. David Sarnoff was born in Uzlyany, a small Jewish village, and emigrated to the United States and raised funds to bring the family. Sarnoff spent much of his early childhood in a cheder studying and memorizing the Torah. He immigrated with his mother and three brothers and one sister to New York City in 1900, where he helped support his family by selling newspapers before and after his classes at the Educational Alliance. In 1906 his father became incapacitated by tuberculosis, and at age 15 Sarnoff went to work to support the family.[2] He had planned to pursue a full-time career in the newspaper business, but a chance encounter led to a position as an office boy at the Commercial Cable Company. When his superior refused him unpaid leave for Rosh Hashanah, he joined the Marconi Wireless Telegraph Company of America on September 30, 1906, and started a career of over sixty years in electronic communications. Over the next thirteen years Sarnoff rose from office boy to commercial manager of the company, learning about the technology and the business of electronic communications on the job and in libraries. He also served at Marconi stations on ships and posts on Siasconset, Nantucket and the New York Wanamaker Department Store. In 1911 he installed and operated the wireless equipment on a ship hunting seals off Newfoundland and Labrador , and used the technology to relay the first remote medical diagnosis from the ship's doctor to a radio operator at Belle Isle with an infected tooth. The following year, he led two other operators at the Wanamaker station in an effort to confirm the fate of the Titanic.[3] Learning


early the value of self-promotion and publicity, Sarnoff falsely advanced himself both as the sole hero who stayed by his telegraph key for three days to receive information on the Titanic's survivors and as the prescient prophet of broadcasting who predicted the medium's rise in 1916. [2] Regarding the Titanic story, some modern media historians question whether Sarnoff was at the telegraph key at all. As the profile done for the Museum of Broadcast Communications correctly points out,[2] by the time of the Titanic in 1912, Sarnoff was in management, and no longer a telegrapher; plus, the event occurred on a Sunday, when the store would have been closed. [4] Regarding the "radio music box" prediction, the memo he allegedly wrote making that claim has never been found, but Louise Benjamin, the author of the 1993 article which expressed skepticism about it has since back -tracked somewhat. She and the curator of Sarnoff's papers found a previously mis -filed 1916 memo that did mention Sarnoff and a "radio music box scheme" (the word "scheme" in 1916 usually meant a plan); Benjamin wrote a follow-up article about Sarnoff and the radio music box in 2002. (See Louise Benjamin articles in References, below) Over the next two years Sarnoff earned promotions to chief inspector and contracts manager for a company whose revenues swelled after Congress passed legislation mandating continuous staffing of commercial shipboard radio stations. That same year Marconi won a patent suit that gave it the coastal stations of the United Wireless Telegraph Company. Sarnoff also demonstrated the first use of radio on a railroad line, the Lackawanna Railroad Company's link between Binghamton, New York, and Scranton, Pennsylvania ; and permitted and observed Edwin Armstrong's demonstration of his regenerative receiver at the Marconi station at Belmar, New Jersey. Sarnoff used H. J. Round's hydrogen arc transmitter to demonstrate the broadcast of music from the New York Wanamaker station. This demonstration and the AT&T demonstrations in 1915 of long-distance wireless telephony inspired the first of many memos to his superiors on applications of current and future radio technologies. Sometime late in 1915 or in 1916 he proposed to the company's president, Edward J. Nally , that the company develop a "Radio Music Box" for the "amateur" market of radio enthusiasts. Nally deferred on the proposal because of the expanded volume of business during World War I. Throughout the war years, Sarnoff remained Marconi's Commercial Manager, including oversight of the company's factory in Roselle Park, New Jersey. 77

Unlike many who were involved with early radio communications, viewing radio as point-topoint, Sarnoff saw the potential of radio as point -to-mass. One person (the broadcaster) could speak to many (the listeners). When Owen D. Young of the General Electric Company arranged the purchase of American Marconi and turned it into the Radio Corporation of America, a radio patent monopoly, Sarnoff realized his dream and revived his proposal in a lengthy memo on the company's business and prospects. His superiors again ignored him but he contributed to the rising postwar radio boom by helping arrange for the broadcast of a heavyweight boxing match between Jack Dempsey and Georges Carpentier in July 1921. Up to 300,000 people heard the fight, and demand for home radio equipment bloomed that winter. [5] By the spring of 1922 Sarnoff's prediction of popular demand for broadcasting had come true, and over the next eighteen months, he gained in stature and influence. In 1926, RCA purchased its first radio station (WEAF, New York) and launched the National Broadcasting Company (NBC), the first radio network in America. Four years later, Sarnoff had become president of RCA and NBC had split into two networks, the Red and the Blue. The Blue Network later became ABC Radio. [3] Sarnoff would be later described by others as the founder of both RCA and NBC, but he was neither. These misconceptions were perpetuated because Sarnoff's later accomplishments were so plentiful that any myth was believable. [2] Sarnoff was instrumental in building and established the AM broadcasting radio business which became the preeminent public radio standard for the majority of the 20th century. This was until FM broadcasting radio re-emerged in the 1960s (following FM's initial appearance and disappearance during the 1930s and 1940s - see Yankee Network for more details on early FM broadcasting and a tragic legacy to the Sarnoff story).

Sarnoff negotiated successful contracts to form Radio-Keith-Orpheum (RKO), a film production and distribution company. Essential elements in that new company were RCA and the former Keith-Albee-Orpheum (KAO) theater chains.


When Sarnoff was put in charge of radio broadcasting at RCA, he soon recognized the potential for television, i.e., the combination of motion pictures with electronic transmission. Schemes for television had long been proposed (well before World War I) but with no practical outcome. David Sarnoff was determined to lead his company in pioneering the medium and met with Westinghouse engineer Vladimir Zworykin in 1928. At the time Zworykin was developing an all-electronic television system at Westinghouse, with little management support. Zworykin pitched the concept to David Sarnoff, claiming a viable television system could be realized in two years with a mere $100,000 investment. Sarnoff opted to fund Zworkyin's research, most likely well-aware that Zworykin, in his enthusiasm, had underestimated the scope of his television effort by orders of magnitude in cost and several years in duration. Seven years later, in late 1935, Zworykin's photograph appeared on the cover of the trade journal Electronics, holding an early RCA photomultiplier prototype. The photomultiplier, subject of intensive research at RCA and in Leningrad, Russia, would become an essential component within sensitive television cameras. RCA, soon thereafter, demonstrated a working iconoscope camera tube and kinescope receiver display tube (an early cathode ray tube), the two key components of all-electronic television, to the press on April 24, 1936. The final cost of the enterprise was closer to $50 million. On the road to success they also encountered a battle with the young inventor Philo T. Farnsworth, who had been granted patents in 1930 for his solution to broadcasting moving pictures. Eventually Sarnoff was ordered to pay him $1,000,000 in royalties. In 1929, Sarnoff engineered the purchase of the V ictor Talking Machine Company, the nation's largest manufacturer of records and phonographs , merging radio-phonograph production at Victor's large manufacturing facility in Camden, New Jersey. Sarnoff became president of RCA on January 3, 1930, succeeding General James Harbord. On May 30 the company was involved in an antitrust case concerning the original radio patent pool. Sarnoff's tenacity and intelligence were able to negotiate an outcome where RCA was no longer partly owned by Westinghouse and General Electric , giving him final say in the company's affairs.


Initially, the Great Depression caused RCA to cut costs, but Zworykin's project was protected. After nine years of Zworykin's hard work, Sarnoff's determination, and legal battles with Farnsworth (in which Farnsworth was proved in the right), they had a commercial system ready to launch. Finally, in 1939 Television in America was born under the name of the National Broadcast Corporation. The first television show aired at the New York World's Fair and was introduced by Sarnoff himself. The standard approve d by the National Television System Committee (the NTSC) in 1941 differed from RCA's standard, but RCA quickly became the market leader of manufactured sets and NBC became the first Television network in the United States. Meanwhile, a system developed by EMI based on Russian research and Zworykin's work was adopted in Britain and the BBC had a regular television service from 1936 onwards. However, World War II put a halt to a dynamic growth of the early television development stages.

At the onset of World War II, Sarnoff served on Eisenhower's communications staff, arranging expanded radio circuits for NBC to transmit news from the invasion of France in June 1944. In France, Sarnoff arranged for the restoration of the Radio France station in Paris that the Germans destroyed and oversaw the construction of a radio transmitter powerful enough to reach all of the allied forces in Europe, called Radio Free Europe. Thanks to his communications skills and support he received the Brigadier General's star in December 1945, and thereafter was known as "General Sarnoff." The star, which he proudly and frequently wore, was buried with him. Sarnoff's anticipated that post-war America would need an international radio voice explaining its policies and positions. In 1943, he tried to influence Secretary of State Cordell Hull to include radio broadcasting in post-war planning. In 1947, he lobbied Secretary of State George Marshall to expand the roles of Radio Free Europe and Voice of America. His concerns and proposed solutions were eventually seen as prescient.

After the war, monochrome television production began in earnest. Color television was the next major development and NBC once again won the battle. CBS also had their electro-


mechanical color television system approved by the FCC on October 10, 1950, however Sarnoff filed an unsuccessful suit in the United States district court to suspend that ruling. Subsequently he made an appeal to the Supreme Court which eventually upheld the FCC decision. Sarnoff's tenacity and determination to win the "Color War" pushed his engineers to perfect an all-electronic color television system that used a signal that could be received on existing monochrome sets that finally won the day. CBS was now unable to take advantage of the color market, due to lack of manufacturing capability and sets that were triple the cost of monochrome sets. A few days after CBS had its color premiere on June 14, 1951, RCA demonstrated a fully functional all-electronic color television system and became the leading manufacturer of color Television sets in the United States. Color television production was suspended in October 1951 for the duration of the Korean War. As more people bought monochrome sets, it was increasingly unlikely that CBS could achieve any success with its incompatible system. The NTSC was reformed and recommended a system virtually iden tical to RCA's in August 1952. On December 17, 1953 the FCC approved RCA's system as the new standard.

In 1955, General Sarnoff received The Hundred Year Association of New York's Gold Medal Award "in recognition of outstanding contributions to the City of New York." In 1959 Sarnoff was a member of the Rockefeller Brothers Fund panel to report on U.S. foreign policy. As a member of that panel and in a subsequent essay published in Life as part of its "The National Purpose" series, he was critical of the tentative stand being taken by the United States in fighting the political and psychological warfare being waged by Soviet-led international Communism against the West. He strongly advocated an aggressive, multifaceted fight in the ideological and political realms with a determination to decisively win the Cold War.[8] Although a cousin's sympathetic biography earned Sarnoff's approval, there is not yet an objective, scholarly biography—one which documents its sources and draws on multiple archives.


Sarnoff retired in 1970, at the age of 79, and died the following year, aged 80. He is interred in a mausoleum featuring a stained-glass vacuum tube in Kensico Cemetery in Valhalla, New York.

Rather than fearing the disruption caused by new technology, David Sarnoff embraced it, building a broadcast empire first in radio and then in TV. So was David Sarnoff an entrepreneur or a cunning corporate warrior? In some respects, the broadcasting pioneer was a little of both. Born in a small village in Belarus , Sarnoff came to America as a young boy and began selling newspapers to support his family. He was soon running a whole newsstand, and then he began working in the telegraph business. As a young man, he famously claimed that he was a hero telegraph operator who kept in touch with operators aboard the Titanic on the night that the ship sank. It was a bold PR claim and one that was thoroughly debunked but only years after Sarnoff had moved onto bigger and better thin gs. From the telegraph business, Sarnoff eventually made the leap into radio and then into TV. His great gift as a businessperson was the ability to see a new technology coming long before it arrived, and to take steps to make sure he was ready to profit from it. He was also adept at figuring out ways to combine content and distribution under one roof. He was a tough (some would say ruthless) competitor, a shrewd (again, some would say ruthless) operator in the legal world of intellectual property, an aggressive lobbyist for his industry, and a creative dealmaker when it came to mergers and acquisitions. He also pushed forward new technologies that delighted his networks' audiences. Among other advances, he saw very early the appetite Americans had for sports broadcasts. He oversaw the development of the morning and late night formats (Today and the Tonight Show) that are still with us. And he was one of the earliest advocates of broadcasting in color. But if launching a company is the litmus test used to define entrepreneurship, then Sarnoff falls short of the mark. He rose through the ranks of American Marconi, General Electric , and other companies, placing himself near decision makers so that he was able to grab a leadership position at a start-up radio network when that business model first took off. When TV was developed in 1926, he pulled the same trick. As his official biography with the


Museum of Broadcast Communications notes: “While later described by others as the founder of both the Radio Corporation of American (RCA) and the National Broadcasting Company (NBC), Sarnoff was neither. These misconceptions were perpetuated because Sarnoff's later accomplishments were so plentiful that any myth was believable.” Sarnoff is further derided by those who believe that he tried to steal the technology behind the television from Philo T. Farnsworth, a genius from the West who fought to hold onto his patents even as Sarnoff’s NBC popularized television. (The case against Sarnoff was made in a 2002 book by the journalist Evan I Schwartz called The Last Lone Inventor: A Tale of Genius, Deceit, and the Birth of Television.) Still, if Sarnoff was not always the first person to have an idea, he was relentless when it came to turning that idea into a business. And he was equally relentless when it came to expanding that organization ever outward. He demonstrated the ability for popularizing innovation for profit throughout his career. In 1966, no less an authority on the industry than William S. Paley Sarnoff’s archrival and occasional partner in crime described Sarnoff as “broadcasting’s most imaginative prophet.” If we rate imagination more highly than inventiveness on the list of entrepreneurs' most important characteristics, than Sarnoff may yet stake his claim to being one of the greatest entrepreneurs o the 20th Century. f

Museum of Broadcast Communications web site Radio Hall of Fame web site Radio Legends Revealed #1 The American Experience television series. (1997) "Big Dream, Small Screen," RKO Radio Pictures, Inc. New York Times.. http://www.nytimes.com Nelson, Valerie J. (2008-02-26).













http://www.latimes.com/news/printedition/california/la-me-baer26feb26,1,1331705.story.. "Writer Baer+. National Association of Broadcasters. http://www.nab.org/AM/Template.cfm?Section=Awards7&CONTENTID=11047&TEMPLA TE=/CM/ContentDisplay.cfm. Richard Baer dies at 79". Variety Magazine.






Mary Kay Ash (May 12, 1918 – November 22, 2001) was an American businesswoman and founder of Mary Kay Cosmetics, Inc. She was born in Hot Wells, Harris County, Texas. She was of daughter of Edward Alexander and Lula Vember Hastings Wagner. She attended Reagan High School in Houston, graduating in 1934. Ash attended the University of Houston until 1943 when she married, but despite having three children, the marriage did not last, and after her divorce Ash went to work for Stanley Home Products, a direct sales firm out of Houston. In 1963, Ash left Stanley. Frustrated when passed over for a promotion in favor of a man that she had trained, Ash retired in 1963 and intended to write a book to assist women in business. The book turned into a business plan for her ideal company, and in September 1963, Mary Kay Ash and her second husband began Mary Kay Cosmetics with a $5,000 investment. Before the company could open its original storefront operation in Dallas, her second husband died, and her son, Richard Rogers, took his place. The store opened in 1963, but grew rapidly, particularly after Ash was interviewed for CBS's60 Minutes in 1979. The pink Cadillac awarded to top sales people were the most visible sign of the company's success.

When Mary Kay Ash started the Dallas-based company in 1963, she had a mission: to enrich women's lives. And it's still the company's motto. Once you understand that, it's not a surprise to read the ways she set out to complete her purpose. Her nine keys to corporate success are the main focus of the book, and, despite going against common business practice, none of them are bizarre. For example, Mary Kay believed in a different way to tackle the problem of worker motivation. While most companies may offer money incentives to do this, Mary Kay believed in recognizing the worker's effort and achievement in a public way. That's where the Cadillacs come into play. It's not the value of the car that's appealing; it's that they are a conspicuous way to reward accomplishment. Underwood claims that the pink Cadillac "represents a victory of will over doubt" and is a way for peers to see the results of hard work. For many saleswomen in the company, the pink caddy is also a tangible triumph over adversity and discouragement.


Another way the company tries to foster an enriching and productive working environment is through its adherence to a value system. Underwood firmly believes that one large reason companies deteriorate over time is that their leaders "fail to remember what got them to the top in the first place." Mind you, he isn't saying that an organization needs to be steeped in traditions, but rather it should be committed to the practices that made it successful. That's where Mary Kay Inc. is strong. It still cultivates the same caring and stimulating atmosphere it did in the l960s. Before Mary Kay died, a Corporate Heritage Department was created in 2000 to ensure that the history and principles of the company wouldn't be forgotten. They also continue with a care list, just as Mary Kay herself once did. Each week, executive members personally contact employees during times of personal crisis to offer comfort and encouragement. Admittedly, Mary Kay's rags-to-riches story may seem hokey, especially in the wake of corporate scandals, layoffs, and dwindling pay checks. Underwood paints a flowery portrait of the company and its employees with barely a mention of the dark periods. But Underwood rightly points that no single key is the fix to management woes. What makes Mary Kay Inc. successful is that it's able to incorporate its practices into a unique business culture. That culture, in turn, creates and keeps talented and motivated employees who are eager to produce. “You can do it!” These words embody the very spirit of Mary Kay Ash and the Company she created. It’s the spirit she learned as a child growing up in Hot Wells, Texas. When facing new and daunting tasks, her mother encouraged her with, “You can do it, Mary Kay. You can do it.” Mary Kay Ash did more than embrace this empowering spirit she passed it on through a remarkable company that would inspire millions in generations to come. That company story didn’t begin until Mary Kay Ash faced a situation all too familiar to women. After 25 years in the direct selling business, Mary Kay Ash resigned her position as a national training director when yet another man she had trained was promoted above her at twice her salary. Her response was visionary. At first, she started writing a book that would help women gain the opportunities she had been denied. But soon she realized she was creating a plan that would do much more than give advice. It formed the foundation for a new opportunity where women could develop their talents and achieve unlimited success.


“I envisioned a company in which any woman could become just as successful as she wanted to be. The doors would be wide open to opportunity for women who were willing to pay the price and had the courage to dream.” So in 1963, with her past experience, her plan and $5,000 in savings, Mary Kay Ash enlisted the help of her 20-year-old son, Richard, and created Beauty by Mary Kay. It was a first company dedicated to making life more beautiful for women. It was founded not on the competitive rule but on the Golden Rule on praising people to success and on the principle of placing faith first, family second and career third. It was a company, as Mary Kay Ash often said, “with heart.” “The success of Mary Kay Inc. is much, much deeper than just dollars and cents and buildings and assets. “The real success of our Company is measured to me in the lives that have been touched and given hope.” Her vision, her courage and her unwavering spirit continue to bring wo men the opportunity to achieve their potential and bring their dreams to life. With more than 1.8 million Independent Beauty Consultants throughout the world, Mary Kay carries on the legacy of Mary Kay Ash – inspiring, enriching and empowering women to do great things.

Dynamic speaker, inspiring motivator, visionary entrepreneur these qualities helped make Mary Kay Ash a powerful leader in business and in her community. Throughout her life, she was recognized for her achievements with these awards and honors.



Mary Kay on the Biography Channel produced by A&E Television Networks

One of the 25 Most Influential Business Leaders of the Last 25 Years by PBS and the

Wharton School of Business


Greatest Female Entrepreneur in American History by Baylor University



Dallas Business Hall of Fame Laureate in recognition of her lifetime achievements as

well as demonstrating inspiring business and community leadership, industry vision and service as a business and civic role model in the community

National Conference on Medical Care and Domestic Violence Community Service

Award, now known as the Mary Kay Ash Award

• • Women's Advocacy Award, Legal Services of North Texas Inc. What's Next? Women Redefining Their Dreams in the Prime of Life, by Rena

Pederson, book feature • • Texas Monthly article, "Where Are They Now?" The Very Best Opportunity for Women, by Angela L. Moore and Lisa Stringfellow,

book feature • Feminine Fortunes: Women of the Next Millennium magazine feature, honoring the

achievements of professional women

• Lifetime Television Network as the most influential woman in business during the

20th century • Mary Kay Ash Charitable Foundation mission expanded to include programs devoted

to the prevention of violence against women • One of 39 American women featured in the Unforgettable Women section of The

Women's Museum: An Institute for the Future • • • One of the "Champions of Commerce" in August issue of Dallas Woman 100 Christian Women Who Changed the 20th Century, by Helen Kooiman Hosier Cover story for The Godly Business Woman, July/August issue


• Women of the Century award from Women's Chamber of Commerce of Texas,

honoring the state's 100 most influential women of this century • "Salesman of the Century" Texas Monthly magazine's December issue featuring

Texans who shaped the state over the past century • One of 20, and the only woman business leader, profiled in Forbes Greatest Business

Stories of All Time

• One of six personalities who shaped the industry in the past 100 years in a special

collector's edition of Women's Wear Daily

• Mary Kay Ash Charitable Foundation to fund innovative research studies for cancers

affecting women and provide financial support for nonprofit cancer organizations for education and assistance • One of the Legends of Texas through the “Legends of Texas” Bridge project,

Georgetown, Texas • • National Business Hall of Fame by Fortune magazine and Junior Achievement One of 20 entrepreneurs profiled in Forbes Greatest Business Stories of All Time

• • Third book, You Can Have It All, achieved best-seller status during first week of sales National Association of Women Business Owners 1995 Pathfinder Award

• Honorable Mention Award for Awarenes s and Achievement from the Board of

Sponsors of National Breast Cancer Awareness Month

• success 90 Mary Kay Museum dedication, a 3,000-square -foot tribute to 30 years of direct selling

Mary Kay Ash/St. Paul Medical Center Mobile Cancer Screening Unit, Dallas

dedication • First female recipient of the Kupfer Distinguished Executive Award, Texas A&M

University • • Dallas Mother of the Year, Dallas Can! Academy Outstanding Texas Citizen, Texas Exchange Clubs

• Living Legend Award, Direct Selling Education Foundation

• Outstanding Woman of the Year, Les Femmes du Monde

• • • • • Outstanding Business Leader Award, Northwood Institute National Family Business Award, Baylor University Women of Achievement Award, General Federation of Women's Clubs Business Leader of the '90s Award, Association of Women Business Owners Individual Komen Award for Philanthropy, Komen Foundation for the Advancement of Breast Cancer Research

• Sovereign Fund Award by Founder and President Kurt W. Simon to “one outsta nding citizen who has rendered great service to the cause of individual freedom in America" • • First Annual National Sales Hall of Fame Award, Sales and Marketing Executives of Greater New York Circle of Honor Award, Direct Selling Education Foundation

• • Honorary chairperson yearlong Texas Breast Screening Project "Great American Entrepreneur" series at the Smithsonian Institute


• • Christian Excellence Award in Business, International Association of Women in Leadership Churchwoman of the Year Award, Religious Heritage of America

1986Woman of the Year, Crystal Cathedral Christian Executive Women
• • • • Distinguished Woman Award, Northwood Institute One of the women entrepreneurs featured in the National Federation of Independent Businesses Report and honored by President Reagan Texas Business Hall of Fame Award Texas Women's Hall of Fame Award

• • • Outstanding Women in Business in Dallas Award, The Dallas Chamber of Commerce Number eight in "The Savvy 60" list of top U.S. businesses run by women America's 25 Most Influential Women in 1985, The World Almanac and Book of Facts

• • Women's Award of Achievement, Women's City Club of Cleveland, Ohio Mary Kay on People Management published by Warner Books; featured on The New York Times best-seller list for 11 weeks

• • • Entrepreneur of the Year Award, Edwin L. Cox School of Business, Southern Methodist University, Dallas, Texas One of the "100 Most Important Women in America" by Ladies' Home Journal Outstanding Corporate Sales Executive, The Gallaghar Report

• Distinguished Business Leadership Award, University of Texas at Arlington College of Business Administration and Advisory Council 92

Golden Achievement Award from Incentive Manufacturers Representatives Association

• • • • Business Award for Excellence in Community Service, Dallas Historical Society Free Enterprise Award, San Fernando Valley Business and Professional Association and the Free Enterprise Award Committee Mary Kay by Mary Kay, published by Harper and Row Saturday Evening Post cover photo and feature story

• Golden Plate Award, American Academy of Achievement

• 60 Minutes profile

• • Horatio Alger Distinguished American Citizen Award, Horatio Alger Association Cosmetic Career Woman of the Year Award, Cosmetics Career Women, Inc.

• Dale Carnegie Leadership Award for "assisting the Mary Kay independent sales force in programs of self-development leading to improved performance and personal growth”

• Hall of Fame Award, Direct Selling Association

Dynamic speaker, inspiring motivator, visionary entrepreneur – these qualities helped make Mary Kay Ash a powerful leader in business and in her community. Throughout her life, she was recognized for her achievements with awards and honors. Here are a few.


Mary Kay on the Bio graphy Channel produced by A&E Television Networks,

• • • Named one of the 25 Most Influential Business Leaders of the Last 25 Years by PBS and the Wharton School of Business in 2004 Greatest Female Entrepreneur in American History by Baylor University, 2003 Dallas Business Hall of Fame Laureate in recognition of her lifetime achievements as well as demonstrating inspiring business and community leadership, industry vision and service as a business and civic role model in the community, 2002 • • • • • • • • National Conference on Medical Care and Domestic Violence Community Service Award, now known as the Mary Kay Ash Award, 2002 Legal Services of North Texas "Equal Justice" Award for her work to positively impact women's lives, 2001 "Most Outstanding Woman in Business in the 20th Century" by Lifetime Television, 1999 "Texas Woman of the Century" by the Texas Women's Chamber of Commerce, 1999 "Business Leader of the '90s" Award by the Association of Women Business Owners, 1990 One of "America's 25 Most Influential Women," The World Almanac and Book of Facts, 1985 Horatio Alger "Distinguished American Citizen" Award, 1978 Guest appearances on national television shows, including: 60 Minutes; Good Morning, America; 700 Club; The Hour of Power; The Oprah Winfrey Show; Late Night With David Letterman; Phil Donahue; and Today

“All of us are born for a reason, but all of us don't discover why. Success in life has nothing
to do with what you gain in life or accomplish for yourself. It's what you do for others”. (Danny Thomas)


You can do it was a tag line for Mary Kay Ash and she did it very well by her unique approach towards her employees. Her unique way of motivation made her employees to realize that she cared for them and this increased the output of the company. Caring for your employees is the key to success and use unique ways like Ash. Recognize the worker's effort and achievement in a way that they feel it comfortable. It will enhance their loyalty.

http://www.dsef.org/press/pdfs/Mary_KayCosmeticsInc_Corp_PlanningInAnEraofUncertaint y.pdf http://www.financial- inspiration.com/Mary-Kay-Ash-biography.html http://en.wikipedia.org/wiki/Mary_Kay_Ash http://www.novelguide.com/a/discover/bls_01/bls_01_00020.html






Steinem was born in Toledo, Ohio. Her mother, Ruth (née Nuneviller), was a Presbyterian of Scottish and German descent, and her father, Leo Steinem, was the son of Jewish immigrants from Germany and Poland. The Steinem lived and traveled about in the trailer from which Leo carried out his trade as a traveling antiques dealer. When Steinem was only a few years old, her mother Ruth, then aged 34, had a "nervous breakdown" that left her an invalid, trapped in delusional fantasies that occasionally turned violent. She changed "from an energetic, fun-loving, book-loving" woman into "someone who was afraid to be alone, who could not hang on to reality long enough to hold a job, and who could rarely concentrate enough to read a book." Ruth spent long periods in and out of sanatoriums for the mentally disabled. Steinem was only ten years old when her parents finally split in 1944. Her father went to California to find work, while she and her mother continued to live together in Toledo. While her parents divorced as a result of her mother's illness, it was not a result of chauvinism on the father's part, and Steinem claims to have "understood and never blamed him for the breakup." Nevertheless, the impact of these events had a formative effect on her personality: while her father, a traveling salesman, had never provided much financial stability to the family, his exit aggravated their situation. Steinem interpreted her mother's inability to hold on to a job as evidence of general hostility towards working women. She also interpreted the general apathy of doctors towards her mother as emerging from some similar anti-woman animus. Years la ter, Steinem described her mother's experiences as having been pivotal to her understanding of social injustices. These perspectives convinced Steinem that women lacked social and political equality. She early resolved to remedy the situation. Steinem attended Waite High School in Toledo and Western High School in Washington, D.C., from where she graduated. She then attended Smith College , an institution with which she continues to remain engaged. In the late 1950s, Steinem spent two years in India as a Chester Bowles Asian Fellow. After returning to the U.S., she served as director of the secretly CIA-funded Independent Research Service, and worked to send non-communist American students to the 1959 World Youth Festival. In 1960, she was hired by Warren Publishing as the first employee of Help! Magazine. 97

Esquire magazine features editor Clay Felker gave freelance writer Steinem what she later called her first "serious assignment," regarding contraception; he didn't like her first draft and had her re-write the article. Her resulting 1962 article about the way in which women are forced to choose between a career and marriage preceded Betty Friedan's book The Feminine Mystique by one year. In 1963, working on an article for Huntington Hartford's Show magazine, Steinem was employed as a Playboy Bunny at the New York Playboy Club. The article featured a photo of Steinem in Bunny uniform and detailed how women were treated at those clubs. Steinem's experience as a Playboy Bunny was later made into the 1985 movie A Bunny's Tale. For a brief period after the article was published, Steinem was unable to land other assignments, but that situation did not last long; indeed, Steinem landed a job at Felker's newly founded New York magazine in 1968. In 1972, she co-founded the feminist-themed Ms. Magazine. It began as a special edition of New York , and Felker funded the first issue. When the first regular issue hit the newsstands in July 1972, its 300,000 "one -shot" test copies sold out nationwide in three days. She even labeled it Spring Issue 1972 for that sole reason. It generated an astonishing 26,000 subscription orders and over 20,000 reader letters within weeks. Steinem would continue to write for the magazine until it was sold in 1987. The magazine changed hands again in 2001, to the Feminist Majority Foundation; Steinem remains on the masthead as one of six founding editors and serves on the advisory board.

Steinem actively campaigned for the Equal Rights Amendment , in addition to other laws and social reforms that promoted equality between women and men, helping to strike down much long-standing sex discriminatory laws, such as those that gave men superior rights in marriage and denied women equal economic opportunities. She also founded and co-founded many groups, including the Women's Action Alliance, on which she served as chair of the board throughout the 1970s, the NWPC, the Coalition of Labor Union Women, the Ms. Foundation for Women, Choice USA , and Women's Media Center. In 1968, she signed the “Writers and Editors War Tax Protest” pledge, vowing to refuse tax payments in protest against the Vietnam War.


After conducting a series of celebrity interviews, Steinem eventually got a political assignment covering George McGovern's presidential campaign. In 1969, she published an article, "After Black Power, Women's Liberation” which, along with her early support of abortion rights, catapulted her to national fame as a f eminist leader. Steinem brought other notable feminists to the fore and toured the country with lawyer Florynce Rae "Flo" Kennedy. In 1970 Gloria Steinem established herself as a leader of the Women's Movement with her impassioned Senate testimony in favor of the Equal Rights Amendment and her essay on a utopia of equality, "What It Would Be Like If Women Win", in Time magazine. While Steinem would clash with both the older generation of women's rights leaders, most prominently Betty Friedan, as well as the younger, more militant Women's Liberation activists, she would gain a large, diverse, and multi-partisan following and become, alongside Friedan, the Women's Rights Movement's most prominent and influential spokesperson and leader. In 1970 she led the New York City march of the nation-wide Women's Strike for Equality alongside Friedan and then-Congressional candidate Bella Abzug. As the poster girl of the Feminist Movement, Steinem frequently appeared on news shows, television talk shows and specials, and on the covers of newspapers and magazines such as Newsweek , Time, McCall's, People, New Woman, Ms., and Parade. Steinem co-founded the Coalition of Labor Union Women in 1974, and participated in the National Conference of Women in Houston, Texas in 1977. She became Ms. magazine's consulting editor when i was revived in 1991, and she was inducted into the National t Women's Hall of Fame in 1993. Steinem played a variety of roles within The Women's Action Alliance, an organization whose initial mission was "to stimulate and assist women at the local level to organize around specific action projects aimed at eliminating concrete manifestations of economic and social discrimination.". She chaired the board from 1971-1978. Steinem was active in working for civil rights for African Americans, Hispanics, and other minorities, working alongside civil rights leaders like Coretta Scott King and César Chávez, and took a public stance in opposition to the Vietnam War and in favor of gay rights.

In the 1980s and 1990s, Steinem had to deal with a number of personal setbacks, including the diagnosis of breast cancer in 1986 and trigeminal neuralgia in 1994. 99

In 1992, Steinem co-founded Choice USA, a non-profit organization that mobilizes and provides ongoing support to a younger generation that lobbies for reproductive choice. Her book Revolution from Within: A Book of Self-Esteem published that year was criticized for misrepresenting statistics regarding the incidence and lethality of anorexia nervosa. At the outset of the Gulf War, Steinem, along with prominent feminists Robin Morgan and Kate Millett, publicly opposed an incursion into the Middle East and asserted that ostensible goal of "defending democracy" was a pretense. During the Clarence Thomas sexual harassment scandal, Steinem voiced strong support for Anita Hill and suggested that one day Hill herself would sit on the Supreme Court. According to two Frontline features (aired in 1995) and Ms. magazine, Steinem became an advocate for children she believed had been sexually abused by caretakers in day care centers (such as the McMartin preschool case). In a 1998 press interview, Steinem weighed in on the Clinton impeachment hearings when asked whether President Bill Clinton should be impeached for lying under oath, she was quoted as saying, "Clinton should be censured for lying under oath about Lewinsky in the Paula Jones deposition, perhaps also for stupidity in answering at all." The same year, Steinem defended Clinton against allegations of sexual impropriety that had been made by White House volunteer Kathleen Willey. On September 3, 2000, at age 66, Steinem married David Bale , father of actor Christian Bale. The wedding was performed at the home of her friend Wilma Mankiller , the first female Principal Chief of the Cherokee Nation. Steinem and Bale were married for only three years before he died of brain lymphoma on December 30, 2003, at age 62.

Gloria Steinem travels widely as a feminist activist, organizer, writer and lecturer. Her books include the bestsellers Revolution from Within: A Book of Self -Esteem , Outrageous Acts and Everyday Rebellions, Moving Beyond Words, and Marilyn: Norma Jean , on the life of Marilyn Monroe. She was an editor of The Reader's Companion to U.S. Women's History. Steinem co-founded New York Magazine and Ms. Magazine where she continues to serve as a consulting editor. She has been published in many magazines and newspapers here and in other countries, and is also a frequent guest commentator on radio and television.


She helped to found the Women's Action Alliance, the National Women's Political Caucus, and Choice USA . She was the founding president of the Ms. Foundation for Women and helped create Take Our Daughters to Work Day . She recently co-founded the Women's Media Center and GreenStone Media. She has served on the board of trustees of Smith College, and was a member of the Beyond Racism Initiative, a comparative study of racial patterns in the U.S., South Africa, and Brazil. She has also co-produced a documentary on child abuse for HBO, and a feature film for Lifetime. Ms. Steinem has received the Penney -Missouri Journalism Award, the Front Page and Clarion awards, National Magazine awards, an Emmy Citation for excellence in television writing, the Women's Sports Journalism Award, the Lifetime Achievement in Journalism Award from the Society of Professional Journalists, the Society of Writers Award from the United Nations, and most recently, the University of Missouri School of Journalism Award for Distinguished Service in Journalism. Other recognitions include the first Doctorate of Human Justice awarded by Simmons College, the Bill of Rights Award from the American Civil Liberties Union of Southern California, the National Gay Rights Advocates Award, the Liberty award of the Lambda Legal Defense and Education Fund, the Ceres Medal from the United Nations, and a number of honorary de grees. Parenting magazine selected her for its Lifetime Achievement Award in 1995 for her work in promoting girls' self-esteem, and Biography magazine listed her as one of the 25 most influential women in America. In 1993, she was inducted into the National Women's Hall of Fame in Seneca Falls, New York. She has been the subject of Lifetime and ABC biographical television documentaries, and The Education of a Woman, a biography by Carolyn Heilbrun.

At the age of 66, Gloria Steinem married David Bale (father of actor Christian Bale). They lived together in both Los Angeles and New York until he passed away of brain lymphoma in December 2003. Some voices in the media commented on the longtime feminist’s marriage with disparaging remarks about whether in her 60s she had decided she needed a man after all. With her characteristic good humor, Steinem deflected the remarks and said she had always hoped women would choose to marry if and when it was the right choice for them. 101

She also expressed surprise that people did not see how much marriage had changed since the 1960s in terms of rights allowed to women. Gloria Steinem is on the Board of D irectors of the Women’s Media Center, and she is a frequent lecturer and spokeswoman on a variety of issues. Her bestselling books include Revolution from Within: A Book of Self-Esteem, Moving Beyond Words, and Marilyn: Norma Jean . In 2006, she published Doing Sixty and Seventy, which examines age stereotypes and the liberation of older women.

Gloria Marie Steinem is a person who had immense amount of energy, which she galvanized and that brought her lot of success. She is a passionate women who was very resilient in coming out strong after her father left and her mother suffered through out due to illness and social discrimination to women in general. Women like her who demand respect due to their intellectual sagacity and courage kill the chauvinistic nature of thinking around the globe. Being a feminist leader, she dedicated her life for the equality of women in every status and fought for their rights which reciprocated in her efforts being appreciated and bringing about the change. As a political and social activist, she did not back down from any challenge and strived hard in her efforts to give women a respectable place in society. She played a pivotal role in striking down sex discriminatory loss. Gloria Steinem possesses a certain inner greatness and because of her inner qualities, she has the ability to influence others. Reading about her, I also found out that she enjoys talking about love, relationships, art and the beautiful side of life and she appreciates artistic people. This makes you think contrary to the general perception in our minds now-a-days that feminists don’t really believe in love and our anti-men which is just bizarre as it has no truth to it and women like Gloria further supplement that fact. The incident of Steinem defending Clinton when White House volunteer Kathleen Willey accused him of sexual impropriety just tells us that Gloria wasn’t biased in her opinions and thoughts. She was radical and rational in her thinking process and this incident is evidence of that which makes her a very special woman.


The recognition of her work and the awards she has been presented with what hard work and effort can do for you. She did all she could for a noble cause of equality which even our religion supports, thus “top notch stuff by a top notch woman”. I have always believed in respect for women and after reading about Gloria Steinem, my respect for women has gone to a new level altogether. Equality of men and women is of paramount importance for the progress of a state which is something that our country also has to recognize because a combined effort by both the parties is what is needed to overhaul the prejudice attitude that prevails in our country, which is an obstacle in the way of our social and economic success.

With the help of this study we concluded that Gloria Steinem is assertive and confronts difficulties in a direct, no-nonsense sort of way. Gloria Steinem cannot tolerate self-pity or passivity, and she can be rather brusque with others' emotional problems. "Stop crying and do something about it" might be Steinem's motto. This enabled her to focus on her career. Gloria Steinem possesses a certain inner greatness and because of her inner qualities, she has the ability to influence others. People look to Steinem for guidance and advice, and her leadership is easily accepted by those with whom Gloria Steinem comes in contact. She is genuine, sincere, and has a strong sense of personal integrity. She wrote a number of books and She has been published in many magazines and newspapers. She received a number of awards on journalism and for her feminist movements. Clearly, Gloria Steinem has been one of the foremost leaders in contemporary feminist thoughts. Her activism, speeches, and books have brought to light the many issues facing women and the ways in which they have been subjugated in society. As she proceeds into the next decade, it is fairly certain that Steinem will continue to be a prominent voice in the fight for women’s rights. She sure is my inspiration, like many other people.

“The life and works of Gloria Steinem” Thomas West http://www.suite101.com/content/the-life-and-works-of-gloria-steinema231157 Daily Inspiration; Gloria Steinem 103

http://harleyinspiration.blogspot.com/2011/02/gloria -steinem.html Who is Gloria Steinem? , Venus D. http://www.wisegeek.com/who-is-gloria-steinem.htm Biography of Gloria Steinem, Feminist and Editor, by Linda Napikoski http://womenshistory.about.com/od/gloriasteinem/a/gloria_steinem.htm Gloria Steinem, Meagan Peterson. November 2004 http://www.wellesley.edu/activities/homepage/choice/Bio_Links/g_steinem.html





Leo Goodwin Sr. was born in 1886 in Lowndes, Missouri, just south of St. Louis, the son of a country doctor who traveled by horse and buggy to treat his patients. Educated as an accountant, Leo Goodwin Sr. entered the insurance business in San Antonio, Texas. As he became more experienced in the field, Mr. Goodwin came to the remarkable insight that the industry could better serve its customers and reduce costs by eliminating sales commissions to producers of premiums and dealing directly with policyholders. With this precedent-setting vision in mind, he founded the Government Employees Insurance Company (GEICO) in 1936. With his wife, Lillian, Mr. Goodwin worked 12 hours a day for little or no salary for several years to implement his business dream.

In 1940, after operating in the red for several years, the company realized its first profit. In 1948, GEICO became publicly owned and today has assets of nearly $7.3 billion. As the company prospered in the 1960s, the Goodwin’s moved to Fort Lauderdale. Leo Goodwin Sr. added much to the intellectual and cultural life of his new community through significant charitable contributions. Nova Southeastern University, a young and innovative higher education institution, stirred Goodwin's creative instincts and became a major object of his philanthropy. The Nova Southeastern University Law Center is housed in the beautiful and modern Leo Goodwin Sr. Law Building, and many students live in the attractive Leo Goodwin Sr. Residence Hall. Goodwin's contributions to the Fort Lauderdale and Nova Southeastern University Law communities continue through a foundation and an endowed scholarship fund. Although highly idealistic, Mr. Goodwin brought a steady, common sense approach to his business and personal life. He believed in simple virtues like honesty, responsibility in keeping a promise, and the necessity of constant self-improvement and hard work. Mr. Goodwin took much from life, and he always succeeded in giving a little more than he received. Leo Goodwin Sr. died in 1971 at the age of 84. He will be remembered in the hearts of all those he touched by his vision, warmth, and generosity. The Leo Goodwin Sr. Chair in Law was established with an initial gift from the late Leo Goodwin Sr. The Goodwin Chair 106

allows the Law Center to invite distinguished legal scholars to spend time in residence, to team-teach a seminar with a member of the Law Center faculty, and to interact with the Law Center faculty, students, and alumni. The publication of a special Goodwin Chair Symposium issue of the Nova Law Review allows the Law Center to share the wisdom and insights of our distinguished visitors with a larger audience.

Sir Goodwin hammered out the basic business plan during his early career days in Texas. In 1936, he established GEICO operations in Area 51. By the end of 1936, there were 3,700 GEICO policies in force and a total staff of 12 people. He believed that "if he lowered costs in the company by marketing directly to carefully targeted customer groups, he’d be able to pass along lower premiums and still earn a profit". With his wife, Lillian, Mr. Goodwin worked 12 hours a day for little or no salary for several years to implement his business dream. In 1940, after operating in the red for several years, the company realized its first profit. In 1948, GEICO became publicly owned and today has assets of nearly $7.3 billion. Leo Goodwin chose to retire in 1958. In 2001, Leo Goodwin was posthumously named to the Insurance Hall of Fame.

Leo and Lillian Goodwin took a calculated risk during the 1930's Great Depression and started one of the most recognized and well known companies in the United States up to date. Leo Goodwin, believed lower costs by us ing direct marketing of carefully targeted consumer groups, would result in lower premiums for customers and company profits as well. Goodwin hit the nail on the head and business increased dramatically during 1936, when the GEICO operational headquarters was established in Washington, D.C. Lillian Goodwin worked in partnership with Leo to build the company from the very start. Lillian took the lead in nearly every area of company operations, a professional bookkeeper (by trade) she assumed responsibility of the company's accounting and was key in Underwriting policies, establishing rates, issuing policies and marketing auto insurance to the target customers. In 1948, Lorimer Davidson, an investment banker and a friend of Leo and Lillian Goodwin, helped find GEICO new investors after original investors moved on to other opportunities. Benjamin Gragan was a professor at Columbia University in New York and


had Warren Buffett as a student--the rest is history. In 1951 Buffett's relationship with GEICO was born. After the death of Leo and Lillian early in the 1970 the company suffered a slump. Eventually tightening-up the underwriting and introducing the 24-hour, 365-day telephone claims and sales services began the upturn. During the 1980's GEICO focus was on customer service. It worked. In 1993, Olza "Tony" Nicely became the new chairman, president and CEO of GEICO and at the same time a massive increase in the advertising budget made GEICO a household name. GEICOs' ads and direct mail permeated television, radio, and mailboxes. The GEICO Gecko appeared in a 2000 television advertising campaign. Today the cute Gecko is a national advertising icon. GIECO has offered several advertising twists and characters, and fills mailboxes and newspapers with some interesting fliers and ads. The most recent advertising campaign designed to advance the Internet market and target customers has featured the slogan, "It's so easy a caveman can do it" Featuring prehistoric cavemen living in modern times. The pitch is that signing up for GEICO Auto insurance is so easy that even a caveman can manage to do it. The ads and ABC Television Sitcom will focus on the theme this slogan is prejudice toward cavemen. Today GEICO's assets exceed $21.2 billion and as Tony Nicely said, “... the com pany's growth will only be limited by the time it takes to hire knowledgeable associates committed to GEICO's way of thinking, which can be summed up in these words: • • • Excellent coverage Low prices Outstanding customer service.”

The GEICO Companies offer lower-cost auto insurance coverage to consumers through a four-company strategy: • • Government Employees Insurance Company — preferred-risk coverage to military and government employees. GEICO General Insurance Company — preferred-risk coverage to nonmilitary and nongovernment customers. 108

• •

GEICO Indemnity Company — standard-risk business. GEICO Casualty Company — nonstandard-risk business.

The four companies operate collectively as GEICO. GEICO sells its policies over the phone, on the Internet, and through a network of local offices located near major military installations throughout the country. In addition to auto-insurance, GEICO offers many other outstanding products, such as emergency road service coverage, mechanical breakdown insurance, motorcycle insurance, and umbrella liability policies. Auto coverage is also available in more than 200 countries overseas.

GEICO aims to be the insurance industry’s low -cost operator, passing the savings on to customers in the form of lower premiums, but the GEICO brand stands for much more than low prices. The true value of GEICO auto insurance stems from the outstanding service GEICO provides to its customers. As one of the first companies to offer 24-hour, 7-day-a-week, 365-day-a-year policy service via toll-free telephone numbers, GEICO pioneered in auto insurance what is today a service standard across industries. Now, with the easy-to-use Web site geico.com, customers can access and update policy information on their own, anytime. GEICO claim service also receives high marks from policyholders. In a recent Geico survey, well over 90 percent of claimants surveyed rated GEICO service good or excellent. The company-wide emphasis on providing excellent service is part of GEICO’s roots. When a severe hailstorm hit Washington, D.C., in 1941, founder Leo Goodwin anticipated the huge call for windshield repairs. Practically before the last hailstone hit the ground, Goodwin had already arranged for several local glass repair shops to work 24 hours a day ex clusively for GEICO. He even had truckloads of auto glass on hand in anticipation of the glass shortage that occurred after the storm. This swift response to an emergency set the GEICO standard for policyholder service that still holds firm today.

The GEICO family of companies operates primarily in the private-passenger auto insurance market. This highly fragmented industry is one of the most competitive arenas of American business, as companies go to extreme lengths to maintain market share. Despite this difficult


business environment, GEICO has experienced unprecedented growth over the last few years, doubling in size since 1997 to become the fifth-largest automobile insurer in the country, with more than 5 million policies in force.

For more than 65 years, GEICO has remained loyal to its customers by keeping costs low and passing the savings on to policyholders through attractive rates. The company is the premier “direct” writer of insurance, selling directly to the consumer as opposed to using the more traditional network of local agents over the years, the company has refined and improved upon the direct model approach, using direct mail and other marketing initiatives to attract customers to its toll-free number. Well ahead of the competition, the company in 1981 introduced 24-hour, 365-day telephone service for sales, service, and claims. GEICO was the first major carrier to offer this service to its customers and remains one of the few providing complete 24-hour service. In 1995, GEICO significantly increased its advertising expenditures to capture a much larger share of the private -passenger auto insurance market. The increased marketing budget, coupled with the use of humor in the commercials (a rarity in the stodgy insurance industry), has made the GEICO brand one of the most visible in the insurance industry. GEICO now places among the top three insurance companies in brand recall among consumers; it wasn’t even in the top ten a decade ago.

• • • • • • • • 1936 - GEICO is established by Leo and Lillian Goodwin. 1948 - Investment banker Lorimer Davidson joins the company and expands its pool of investors. 1951 - Columbia University business student Warren Buffet makes his first purchase of GEICO stock. 1958 - Leo Goodwin retires and is succeeded by Lorimer Davidson. 1959 - GEICO opens its new headquarters in Chevy Chase, MD. 1964 - GEICO passes the 1 million policyholder mark. 1965-1966 - GEICO insurance premiums reach $150 million; Net earnings double to $13 million. 1980 - GEICO introduces 24-hour, 365-telephone customer service.


• • • • • • • • • •

1993 - New chairman Olza "Tony" Nicely implements a new strategy to expand the customer base; increased focus on advertising results in higher national visibility. 1996 - Warren Buffett purchases outstanding GEICO stock, making GEICO a subsidiary of Berkshire Hathaway, Inc. 2000 - The beloved Gecko® makes his debut in a wildly popular GEICO ad campaign. 2002 - GEICO passes the 5 million policyholder mark. 2004 - The GEICO Caveman enters the scene with the "So easy a Caveman could do it" ad campaign. 2007 - GEICO passes the 8 million policyholder mark. 2009 - GEICO passes the 9 million policyholder mark and opens for business in Massachusetts making GEICO coverage and services available in all 50 states. 2010 - GEICO passes the 10 million policyholder mark. Today - GEICO's assets have reached $28 billion, and the company looks forward to even more growth, founded on quality coverage and outstanding GEICO customer service. For you history buffs who love all the details, here's the full story of GEICO. From the dreams of one couple rose the company you know today.

The year 1996 was significant in GEICO’s history as it became a wholly owned subsidiary of Berkshire Hathaway, Warren Buffett’s investment organization. Buffett first purchased GEICO stock in 1951. His holdings grew in percentage terms due to GEICO’s own corporate stock repurchases, until he owned more than half of all outstanding shares. In 1995, Buffett, through Berkshire Hathaway, made a bid to purchase the remaining shares of GEICO’s outstanding stock. Shareholders responded favorably to the offer, and GEICO became part of the Berkshire Hathaway family of companies. GEICO’s Web site, geico.com, which allows users to get a free rate quote and coverage information, also went online in 1996, and the company has continued to refine and enhance its Web site since then. Customers choosing do business over the Internet can now complete many sales, services, and claim online transactions. The site is also available in Spanish, catering to GEICO’s growing Hispanic customer base. The Internet was an ideal fit for GEICO, which has more than six decades of dealing with customers using a direct model.


The site continues to increase rapidly in popularity, setting weekly records for quotes and sales.

http://www.topbusinessentrepreneurs.com http://www.americasgreatestbrands.com http://www.geico.com http://www.insurancehalloffame.org





Herbert Kelleher was the youngest child in the close-knit family of Harry and Ruth Kelleher in Haddon Heights, New Jersey, near Camden. As a boy Kelleher worked after school and on summer breaks at the Campbell's Soup factory where his father was a general manager. During his six years there Kelleher served as soup chef, warehouse foreman, and part -time analyst. Kelleher's family splintered apart during World War II: Kelleher's brother Harry joined the Navy; his sister Ruth went to work in New York; his older brother, Richard, was killed in combat in 1942; and in 1943 his father also died. As the last child at home, Kelleher formed a special bond with his mother, who became the biggest influence on his developing work ethic. The two sat in the kitchen until the wee hours of the morning discussing business, politics, and ethics. Ruth Kelleher was a working middleclass Irishwoman who instilled in her children the importance of treating people with respect. She taught them to be egalitarian and to judge on merit rather than appearance. Kelleher soon discovered how right she was, as he told Fortune magazine: "There was this very dignified gentleman in our neighborhood, the president of a local savings and loan, who used to stroll along in a very regal way up until he was indicted and convicted of embezzlement. My mother said that positions and titles signify absolutely nothing. They're just adornments; they don't represent the substance of anybody". Kelleher was a good student at Haddon Heights High School as well as president of the junior class, captain of the football team, and a letterman in basketball and track. In addition to becoming a branch manager for the Philadelphia Bulletin for a wage of $2.50 an hour, Kelleher mowed lawns for several neighbors. Kelleher attended Wesleyan University in Middletown, Connecticut, where he was an Olin Scholar and graduated cum laude with a bachelor's degree in English and philosophy in 1953. At college he began dating the Texas native Joan Negley, whom he had met on a blind date. Kelleher originally intended to pursue a career in journalism, but a Wesleyan trustee took the young man under his wing and persuaded him to try a career in law. Kelleher was accepted to New York University Law School, where he was a Root-Tilden Scholar. Hard-working and fun loving even as a young man, Kelleher earned a coveted spot


on the university's law review while also enjoying the Greenwich Village scene. He described these years to Fortune : "I had a little apartment on Washington Square, and you could just open your door and entertaining people would walk in and you'd have an instant party". Kelleher married Joan Negley in 1955 and earned his law degree in 1956. The following year he was admitted to the New Jersey State Bar and worked two years in the prestigious position of law clerk for a New Jersey Supreme Court Justice. In 1959 he joined the Newark, New Jersey, firm of Lum, Biunno and Tompkins, where he practiced law for two years. Through visits to the Negley family in Texas during this time, Kelleher and his wife became increasingly attracted to the lifestyle and opportunities available there. T hey decided to relocate to San Antonio, where Kelleher became a partner in the law firm of Matthews, Nowlin, Macfarlane & Barrett in 1961. Within a few years he became restless with his career and began seeking a new challenge. One evening, a discussion over drinks with a client, an air charter service owner, led to the opportunity for Kelleher to combine his practice of law with the adventure of starting a new business.

After moving to Texas, Kelleher started his law firm and had a few clients at the time. One of his clients was Texas business man (who became co -founder of Southwest), Rollin King. Over 37 years ago, King described a new kind of airline’s concept to Kelleher over dinner by drawing on a paper napkin. King’s idea was: “if you get your passengers to their destinations when they want to get there, on time, at the lowest possible fares and make darn sure they have a good time doing it, people will fly your airline” Kelleher liked his idea and decided to help him to start the new airline. In addition, they got together to make some of paradoxical airline management at that time such as offering low fares by eliminating unnecessary services, point-to-point route scheduling system and using secondary airports by avoiding traffic congestion and competition with major carriers. At this time, it was just a few years before constituting the Airline Deregulation of Act of 1978 in the U.S., large carriers dominated their routes and fares were controlled by the government board. You can see how great their idea was foresight; because nobody thought


the rules would be changed. Some of incumbent carriers such as Braniff, Trans-Texas and Continental Airlines began to legal actions, in order to keep Air Southwest on the ground for three years. However, Southwest eventually won in the Texas Supreme Court and the most unique airline got a legal right to fly in 1971. Southwest Airlines founder Herb used many of the airline’s ideas to form the corporate culture at Southwest, and even on early flights used the same "Long Legs And Short Nights" theme for stewardesses on board typical Southwest Airlines flights. The original flight attendants that worked for Southwest Airlines were chosen by a committee of individuals that included the same person who had selected hostess for Hugh Hefner’s Playboy jet. The selection resulted in a group of female flight attendants that were described as long-legged dancers, majorettes, and cheerleaders with "unique personalities ". Southwest Airlines and Herb Kelleher proceeded to dress these individuals in hot pants and go-go boots.

In the airline industry, we can say that an outcome of success depends on creating a good quality of financial intelligent and leadership by top management in an organization. Herb Kelleher is often described as a charismatic leader or an ideal role model for CEO. His leadership consistently contributed to building Southwest’s reputation by inspiring his employees for delivering a high quality of customer service. Also, he often used to get on aircraft and serve his customers by himself and entertain them in the cabin. In general, we assume that CEO works in his office or attends meetings, but Kelleher was d evoted to work with his employees whenever he had a time, because he love to serve customers and love his employees and praise them with respect. As a result, the airline’s employees are motivated to perform high productivity in their jobs; therefore the a irline maintains excellent customer satisfaction and the least customer complaints in top ratings in the U.S. His outstanding leadership is not only coming from caring people, but he used unique ideas to build the airline management and its corporate culture. For example, in 1972, passengers had to transfer Houston’s Hobby Airport from Houston intercontinental in all Houston service. Kelleher suggested "why should our Customers have to drive 45 minutes to take a 40 -minute flight?” Then, Southwest created ‘Ten-Minutes Turn’ strategy. This notion solved the inconvenient transfer problem and quick turns increased operation productivity, which becomes one of the key components as a low -cost model. 116

Kelleher also brought some of the unique methods to create its co rporate culture. For example, female flight attendants dressed in hot pants and go-go boots or costumed like longlegged dancers, majorettes, and cheerleaders, those who serve customers and sing a Southwest Airlines’ song in cabin. This is something specia l about Southwest. He aimed to create ‘fun flight’ and intangible service that other airlines cannot imitate. Furthermore, Kelleher emphasizes his famous phrases “people come first” and “everybody is a leader no matter what their job is”, which means emplo yees are the most valuable asset at Southwest. But, what kind of person does he want to recruit? In Business Week interview (2003), Kelleher said that they want someone who is not a self -centered person, but must have ‘humble attitude’ and ‘business smarts’ for work. The main reason is new freshman must learn a lot of things such as handling and serving customers, the most importantly, they should love what they are doing for customers. Of course, Southwest hires business graduates with MBA degrees, but they also recruit someone with less education, less experience, less expertise if he/she has the quality of personality that the airline wants. Another thing is Kelleher applied the first profit sharing plan to Southwest in the U.S airline industry. Employees own 10 percent of the company stock, but it turns out an excellent plan. The employees are more motivated to work hard for their airline and their customers, because they are the shareholders and they earn more salary if more customers are satisfied to fly. Over the last three decades in his career at Southwest, Kelleher achieved numerous titles and success in the commercial airline industry. On 21 May, 2008, he finally decided to step down his present post as Chairman and resigned from the board of directors, but remains as a full time employee for another five years.

o Man of the Year Award, Reno Air Race Association (2009) o Higher Power Values Award, Higher Power Aviation (2009) o Steve Fossett Innovation Award (March 2009) o Department of Homeland Security Distinguished Public Service Medal (January 2009) o The Transport Workers Union National President Jim Little announced on behalf of local TWU 550, 555 and 556 that, in an unprecedented action, Herb Kelleher was now an 117

honorary lifetime member of the TWU "In grateful appreciation for [his] unparalleled Leadership in creating a magnificent airline and a generation of Employees who love coming to work." (December 2008) o Inducted in to the Paul E. Garber First Flight Shrine, Wright Brothers National Memorial (2008) o National Aviation Hall of Fame (2008) o Transportation Research Forum President’s Award (2008) o Global Services Leader of the Year Award (2005) o Airline Business Award (2005) o One of history’s top three CEO’s by Chief Executive Magazine (2005) o L. Welch Pogue Award for Lifetime Achievement in Aviation, Aviation Week (2005) o 25 Most Influential Business Leaders (2004) o Top 100 Stars in Aerospace, Aviation Week (2003) o Bower Award for Business Leadership from the Franklin Ins titute (2003) o U.S. Chamber of Commerce Business Leadership Hall of Fame (2002) o San Diego Aerospace Hall of Fame (2002) o Morningstar CEO of the Year Award (2001) o One of the Top 25 Most Influential People in the Business Travel Industry, Business Travel News (2001) o Travel Agent’s 2001 Airlines Winner’s Circle (2001) o Top 25 Managers of the Year (2001) o People of the Year, Travel Agent Magazine (2000) o Soaring Eagle Award, Board of Port Commissioners and Executive Director of Port of Oakland (2000) o Entrepreneur of the Year (2000) o Wright Brothers Memorial Trophy (2000) o Readers Choice Quest for Quality Award, Logistics Management and Distribution Report Magazine (1999 and 2000) o One of the Most Admired Companies in America (6 of 10): Fortune Magazine (1999) o CEO of the Year, Chief Executive magazine (1999) o CEO of the Century, Texas Monthly magazine (1999) o American Society of Safety Engineers (Honorary Member–1999) o One of “Most Trusted” U.S. companies, Marketing Management magazine (1999) 118

o Most Admired Companies in the World (No. 13), Fortune Magazine (1998) o Airlines Person of the Year, Travel Agent Magazine (1998) o Induction into the National Sales & Marketing Hall of Fame -National Alliance of Sales & Marketing Executives (1998) o Executive of the Year: University of Arizona (1998) o The Best Company to Work for in America (No. 1): Fortune Magazine (1998) o One of the Most Admired Companies in America (1 of 10): Fortune Magazine (1998) o The Most Admired Airline in America (No. 1): Fortune Magazine (1994-1998) o National Sales and Marketing Hall of Fame (1998) o Chilton Co.’s Quest of Quality-transportation industry award (1997) o The 431 Best-America’s Most Admired Companies (No. 45): Fortune Magazine (1997) o 16th Annual Patterson Transportation Lecture, Northwestern University (1997) o Golden Eagle Award: Senior Aerospace Executives (1997) o DKE President’s Award for Outstanding Achievement (1997) o “People of the Year” Winners Circle Travel Agent Magazine (1997) o PGE Award of “Families in Good Company” (1997) o Most Consumer-Friendly Airline:Consumer Reports Travel Letter (1997) o Annual Business Leadership Award University of Michigan School of Business (1997) o Philip Crosby Award for National Entrepreneurial Innovation and Leadership: University of Tulsa (1997) o Wings Club Distinguished Achieveme nt Award (1997) o Airport Consultants Council Aviation Award of Excellence (1996) o Golden Plate Award: American Academy of Achievement (1996) o Outstanding Business Leader Award: Northwood University (1996) o Spirit of St. Louis Award: St. Louis Chamber of Commerce & Growth Association (1996) o Silver Place Award: Lodging Hospitality (1995) o One of three “Most Influential Executives” in travel industry: Tour and Travel News (1995) o 1995 Quality Carrier: Distribution Magazine o One of America’s Most Admired CEO’s: Industry Week Magazine (1995) o “Is Herb Kelleher America’s Best CEO?”: Fortune Magazine (1994-95) o One of “People of the Year”:Travel Agent Magazine (1994-95) 119

• • • • • • • • • • • • • • • • • • • • • • • • Texas Lutheran University Excellence in Leadership Award (2009) History Making Texan Award (2007) Induction into the Texas Labor Management Hall of Fame (2006) Herbert D. Kelleher Servant Leader Scholarship named in Herb’s honor by the Austin Business Travel Association (2006) Aviation Hall of Fame & Museum of New Jersey (1999) Spirit of Generations Award, Senior Citizens of Greater Dallas (1999) Junior Achievement’s Dallas Business Hall of Fame (1999) Distinguished President Award, Dallas/Fort Worth Chapter, American Women in Radio and Television (1999) Access Award, Los Angeles County Commission on Disabilities (1999) Texas Aviation Hall of Fame (1998) Excellence in Entrepreneurial Leadership, Harvard Business School Association of Southeastern New England (1998) The Dallas Area Distinguished Leader Award: Texas Association of Business and Chambers of Commerce (1998) Business of the Year Award: The BWI Business Partnership, Inc. (1998) Community Award, Southwest Alliance for the Mentally Ill (1998) Al Lipscomb State Fair Classic Community Service Award (1998) Legendary Leader, Legends of Texas Bridge: Georgetown, Texas (1997) Citizen of the Year: Southwest Community Congress (Chicago) (1997) Best Domestic Airline: Arkansas Democrat-Gazette (1997) Tate Distinguished Lecture Series, Southern Methodist University, Dallas, Texas (first local res ident in 14 years) (1996) Industry of the Year Award: Houston Chamber of Commerce (1996) Best Boss; Best Luncheon Speaker; and Best Company to Work for: Dallas Business Journal (1995) Leon Tolle Memorial Award: San Antonio Chapter of American Marketing Ass n. (1995) Oklahoma Commerce & Industry Hall of Honor (first out-of-state inductee) 1995) Governor’s Tourism Development Award: Nevada (1995)


• • • •

Headliner of the Year: Gridiron Show, Press Club of Dallas (1995) Circle of Love Award: New Orleans Ronald McDonald House (1995) Barbara Jordan Award: Texas Governor’s Committee on People with Disabilities (1995) Contribution to Aviation Award: Texas Dept. of Transportation (1995)

• • • • • • • • • • • Dallas Federal Reserve Board of Directors, 2007-present; (Deputy Chairman, 2009) National Air and Space Museum (NASM) Board Member, October 2006-present Securing America's Future Energy (SAFE), Energy Securing Leadership Council Member, August 2006-present Homeland Security Advisory Council Member (HSAC), 2003-April 2009 Southwest Airlines Co.—Founder and Chairman Emeritus, July 2008-present Southwest Airlines Co.—Executive Chairman, September 2004-July 2008 Southwest Airlines Co.—Chairman of the Board, August 1978-September 2004 Southwest Airlines Co.—President and CEO, September 1981-June 2001 Southwest Airlines Co.—Interim President and CEO, March-August 1978 Southwest Airlines Co.—Secretary from inception to March 1978 Southwest Airlines Co. —Cofounder, Director, and General Counsel, from inception (1967) to 1978

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In 1910, at the age of 18, Hallmark cards founder Joyce Clyde "J.C." Hall packed two shoeboxes with imported postcards and headed to Kansas City, Missouri. He soon realized the increasing popularity of quality greeting cards and with brother Rollie began selling Christmas cards with the Hallmark label in 1913. Hall Brothers Inc., as Hallmark was known until 1954, was born. J.C. Hall personally selected and approved thousands of greeting card messages as Hallmark President. Reportedly, his personal favorite was, "I'd like to be the kind of friend that you've been to me." Always emphasizing quality, Hall also picked the timeless Hallmark slogan, "When you care enough to send the very best," back in the 1940s.

Though J.C. Hall became a wealthy man, profit was never foremost in his thoughts. In his autobiography, When You Care Enough, Hall wrote: "If a man goes into business with only the idea of making a lot of money, chances are he won't. But if he puts service and quality first, the money will take care of itself. Producing a first-class product that is a real need is a much stronger motivation for success than getting rich." Hall never lost his plain-spoken, common sense, man-of-the-plains touch, despite being: Honorary Commander of the Order of the British Empire; holder of the French Legion of Honor; winner of the Eisenhower Medallion; first -name intimate of Winston Churchill, Dwight Eisenhower and Harry Truman; winner of the first Emmy ever awarded to a television sponsor; recipient of plaques, scrolls and honorary degrees, and the Horatio Alger Award.

By 1913, J.C. Hall's mail-order postcard business had expanded tremendously. He hired an employee and Rollie, Marie, and his mother moved to Kansas City to join him. Rollie and J.C. went into another partnership and formed Hall Brothers. In addition to the postcards, they began selling greeting cards with their own label in 1913. Rollie and J.C. expanded their product line to include Valentine greetings that year.


Topping off a year of financial difficulties, a 1915 fire destroyed the Hall Brothers' inventory, plunging them $17,000 into debt. Then, J.C. and Rollie's largest supplier of greeting cards terminated their contract just before the 1915 Christmas season, forcing the brothers to supply their own greeting cards. This led them to realize that there was demand in the market for more attractive, personalized greeting cards than those sold at that time. In 1916, J.C. and Rollie purchased a small engraving plant. They began manufacturing greeting cards using the name Hall Brothers Paper Craft and a new American industry was born: sentiment for all occasions. The business grew and received an immense boost from World War I, as Midwesterners eagerly purchased "missing you" and other greetings to send to soldiers overseas. By the early twenties, Hall Brothers had opened specialty shops in Kansas City and Chicago and William had rejoined J.C. and Rollie in the family business. In 1922, Hall Brothers had a staff of 120 people and created their first logo, a torch and shield. That year, they marketed Rollie's idea of using fancy wrappings on gift packages. This brought the growing bus iness many large retail store accounts, paving the way for their next expansion. Hall Brothers Company Inc. was incorporated on June 11, 1923 as the company entered the national greeting card market. Just one year later, the company's "Hallmark" cards had earned it a national reputation. As Hall Brothers continued its national expansion, Joyce Hall continued his visionary product development. After noticing that store greeting card displays were often concealed, unattractive, and unorganized, J.C. developed the Eye -Vision Display Fixture. This greeting card display, which has evolved into today's greeting card display with some modification, boosted sales of the Hallmark cards tremendously. J.C. began a large advertising campaign in the late 1920s, heightening name recognition and sales of Hallmark cards. The Great Depression impacted Hall Brothers in much the same way as it did the rest of the country. Despite dwindling sales and fiscal losses, J.C. resisted implementing layoffs. Twice, Hall Brothers' employees voted for 10 percent pay cuts to avoid any layoffs. As economic prosperity returned to the company and the country, full pay was restored. Even during the Depression, J.C. Hall worked to expand Hall Brothers' market and product line. In 1931, Hall Brothers developed an international foothold, taking on the W.E. Coutts Company of Canada as an affiliate. Hall Brothers was the first company to use Walt Disney characters on greeting cards. In 1933, the Three Little Pigs were featured on a Hallmark card. 125

Growth continued through the 1930s. In 1936, Hall Brothers moved to a six-story, milliondollar facility in Kansas City and by 1937, the firm employed over 950 workers. Determined to continue his company's constant expansion, Joyce Hall pioneered using radio advertising for greeting cards. At his insistence, Hall Brothers sponsored many radio programs, beginning with the popular "Tony Won's Radio Show" in the late 1930s. The firm sponsored many other programs, including the wartime "Meet Your Navy," the Hallma rk Radio Readers' Digest, and the Hallmark Playhouse. In the 1940s, World War II provided additional growth for the Hall Brothers, as a nationwide market rushed to purchase greeting cards for soldiers. Hall Brothers even avoided rationing, to which other businesses were subject during the war. J.C. Hall convinced the government that greeting cards boosted national morale. It was during the 1940s that Joyce Hall selected "When you care enough to send the very best" as the company's slogan and the five-point crown replaced the torch and shield as Hallmark's emblem. Hall Brothers introduced the first greeting cards featuring the work of Grandma Moses and Norman Rockwell, as well as Christmas cards with the works of great masters. The 1940s included further expansion as three new facilities opened and the company approached production of one million greeting cards per day. By 1953, Hall Brothers Inc. had long surpassed the one million card milestone, producing about 1.5 million greeting cards daily. It added Sir Winston Churchill to its list of notable card artists and employed about 150 in-house artists. In 1954, Hall Brothers Company, Inc. became Hallmark Cards, Inc. During the 1950s, J.C. Hall implemented many programs to benefit his predominantly female workforce, including low-cost nutritional lunches, group discussions, income tax counseling, and a personal service department. Hall also extended his media advertising during the 1950s, building on the success of his radio advertising. In 1951, the first Hallmark Hall of Fame television program was aired, Ahmal and the Night Visitors. It was the first network-sponsored program to be aired in color and the first opera written for television. In 1956, J.C. Hall came up with yet another visionary idea, an employee profit-sharing plan. To encourage Hallmarkers (as company employees are called) in their work, he decided to share the company's profits with them. The profit sharing plan has been a significant employee benefit ever since. In the late 1970s, the plan began buying Hallmark stock. Joyce Hall never offered shares of Hallmark for sale to the public, despite advice to do so. Today, 126

Hallmark is one of the largest privately held companies in the United States. The employee profit-sharing plan owns one -third of Hallmark; that share was estimated in 1993 to be worth $960 million. Joyce Hall's career began to wind down in the 1960s, but not before he tackled another enterprise retail stores. As Hallmark's product line expanded, Hall decided to open a showcase store in New York City. The Halls store opening on Country Club Plaza in 1965. Joyce Clyde Hall retired as Hallmark president and chief executive in 1966, turning the reins over to his only son, Donald Joyce Hall. He retained his position as Chairman of the Board until his death in 1982.

In his own bailiwick, Hall had the Midas touch. Maybe it was intuition. Maybe it was timing. But whatever it was, it worked. In the 1920s he wanted to substitute the phrase, "A Hallmark Card," for "Hall Brothers Company" on the back of greeting cards. "Everybody in the place was against it," he said, but he made the change. Later, when everybody told him advertising was a waste of money, he advertised, and established Hallmark as the most recognizable brand name in the industry. He was warned against sponsoring a television show. He decided to do it anyway, and sponsored a live production of Amahl and the Night Visitors , That broadcast launched what would become the "Hallmark Hall of Fame," which after more than 55 years is television's most honored and enduring dramatic series. "Mr. J.C." was Hallmark Cards for 56 years. "Good taste is good business" was his creed. Until 1966, when he stepped aside as chief executive officer in favor of his son, Donald J. Hall, no Hallmark greeting card reached the marketplace without his "O.K.J.C." imprimatur.


Hall never totally retired. Not one to drop out of sight, he continued as chairman of the board and kept a close watch on quality. "I'm hell-bent on quality," he used to say. Whether buying or selling, Hall appreciated and demanded value. In semi-retirement, he spent a part of each summer in Malibu, Calif. But the rest of the year he put in a day's work just as he had done almost every day of his life since he began selling perfume door-to-door at age 9.

Joyce C. Hall demanded excellence of him and others, and he got it. Yet he appraise d himself as a man who had achieved success primarily because he had worked harder than others. "I figured I wasn't as smart as some of the other fellows, so I had to work twice as hard," he said.

During the Great Depression, Joyce Hall worked hard to develop a plan that would save the jobs of his employees. He also worked to help the nation return to prosperity. The 1930 Joyce Hall Prosperity Plan was embraced and promoted by Rotary Clubs throughout the country. Some newspapers credited Hall and his plan with aiding the country's eventual economic recovery. The plan encouraged suppliers and customers to buy materials in advance, providing working capital for companies. According to Hall, his plan allowed people to keep working and earning wages and to keep the spending cycle going. J.C. Hall used his greeting cards and his successful business to further the fine arts. The Hallmark Gallery Artists Christmas cards featured works by great masters, such as Michaelangelo, da Vinci, and Rembrandt. Hall hoped these cards would bring the art of these celebrated painters to people who would not ordinarily see them. In 1949, Hall created the International Hallmark Art Awards, providing funds to artists worldwide and acquiring works for the Hallmark Fine Arts Collection. J.C. Hall also maintained 38 scholarships for students at the Kansas City Art Institute. In 1956, President Dwight David Eisenhower invited Hall and other prominent American businessmen to the White House for an important discussion. The meeting concerned establishing an organization to promote world peace. The resulting organization was called 128

People -to-People. It was an effort involving American citizens dedicated to implementing mutual understanding, respect, and friendship in the pursuit of peace. J.C. Hall served on the group's board of directors and was chairman of People-to-People's executive committee. Joyce Hall was honored with many citations and awards during his life. In 1961, he was the first sponsor to receive an Emmy from the National Academy of Television Arts and Sciences. Queen Elizabeth II named him Honorary Commander of the Order of the British Empire that same year. The Kansas City Chamber of Commerce named him 1961's "Mr. Kansas City." He served on the Boards of Directors of the Eisenhower Foundation and People -to-People. In 1971, he was awarded the Eisenhower medal for international understanding. He was granted a citation from the Midwest Research Institute and the Distinguished Service Award from the Unive rsity of Kansas. The National Association of Greeting Card Publishers recognized his immense contributions to the industry in 1974. He was elected to Fortune's Hall of Fame for Business Leadership in 1977. J.C. Hall held honorary degrees from Kansas State University, the University of Missouri, the University of Nebraska and William Jewel College.

1891: Born. 1905: Invested in Norfolk Postcard Company. 1910: Moved to Kansas City, Missouri to find bigger postcard market. 1913: Distributed greeting cards with the Hall Bros. Logo. 1930: Developed Joyce Hall Prosperity Plan during the Great Depression. 1931: Expanded business to international markets. 1954: Hall Bros. became Hallmark. 1965: Opened Halls, Hallmark's first showcase store in New York City. 1966: Retired and stepped down as Hallmark President and Chief Executive Officer. 1982: Died. In retirement, Hall stayed active. His prize project was the Crown Center Redevelopment Corporation, a $400-million city-within-a-city development in Kansas City. J.C. Hall hoped the project would add economic and cultural energy to the downtown area. It was yet another 129

successful enterprise for J.C. Hall and the ground was broken on the project in 1968. The office complex opened in 1971 and the retail shops opened in 1973. On a more tragic note, the Crown Center Redevelopment Corporation owns the Kansas City Hyatt Regency Hotel, the site of one of the worst American construction failures. Two suspended walkways in the hotel fell in July 1981, killing 114 and injuring nearly 200 others. At the time of Joyce Clyde Hall's death in October, 1982, Hallmark was the country's leading greeting card producer, manufacturing over 8 million greeting cards per day and amassing sales of over $750 million a year. Hallmark also owned Ambassador Greetings, the country's number three greeting card company. Hallmark's 20,000 card shops sold those cards, plus other Hallmark wares: gift-wrap, stuffed animals, birthday candles, many collectibles, and other products. By 1993, Hallmark employed a creative staff of over 700 employees, a staff that generates over 24,000 new cards per year. Hallmark has maintained its industry -leading position wit h estimated sales of $2.9 billion in 1992.

Joyce C. Hall always put quality first, whether it came to products, customers, or employees. Because of this, Hall, a high school dropout, was able to build a multibillion-dollar greeting card empire that diversified into a wide variety of products and services, including residential and commercial property, art supplies, gift wrap and accessories, and television programming. In less than one hundred years, Hallmark went from a tiny postcard shop in Kansas City, Missouri, to the world's largest manufacturer and distributor of greeting cards, with thousands of retail outlets around the globe and annual sales of $4 billion. "If a man goes into business with only the idea of making a lot of money, chances are he won't. But if he puts service and quality first, the money will take care of itself. Producing a first-class product that is a real need is a much stronger motivation for success than getting rich."

Book: Hall, Joyce C. When You Care Enough. Kansas City, MO: Hallmark Cards, 1993. Encyclopedia and Dictionaries:


Entrepreneur magazine encyclopedia of entrepreneurs By Anthony Hallett, Diane Hallett

Dictionary of Missouri biography
Bibliography: Searching for literature on Joyce C Hall Available at: Corporate.hallmark.com Accessed on: [March 12, 2011]

Accessed on: [March 12, 2011]

Accessed on: [March 12, 2011]





This is a success story of P. T. Barnum which will analyze in detail the business strategies in different professions to lead at peak. His management style in every business to gather people and earn his name. He started the grand traveling museum business which was a circus business and he innovate this business and it’s now common in all over the world. This study also show that what efforts have made by P. T. Barnum throughout his life to teach people about different arts including acting, standup, music, autobiography and different ways of amusement. This study also shows that what lesson we can learn from the business life of P. T. Barnum and it also include the short conclusion that what we get from his life.

His business life is full of many professions which are discussed as follow:

Early Life & Career:
In his teen age, he started as a store keeper and he learned haggling to make sale. He was involved with the first lottery mania in the United States. At the age of 19 he was running a general store, a book auctioning trade and state wide lottery network. He also started a weekly paper in 1829, The Herald of Freedom, in Danbury, Connecticut. In 1834 his lotteries were banned in Connecticut and he sold his store and moved to New York City. In 1835 he began as a showman there because emerging new ideas, strategic position and life style of New York City.

Business Strategies:
After spending difficult three years he purchased Scudder’s American museum in 1841. He applied his business strategies on his museum. Barnum changed the name “Barnum’s American Museum” and he renovated the building. He created the attention of people by adding light house lamp. He placed the flag along the roof’s edge to attract in day time. He placed different paintings in windows of first floor. He added series of live acts including albinos, giants, fat boys, jugglers, magician and famous battles were added to the exhibition. In 1842, he introduced mermaid in his business named, “Feejee” to use as adver tisement for museum. Then he introduced the character “General Tomb Thumb” who was 4 year and the boy was taught to intimate different people like Hercules to Napoleon. As a showman he 133

toured Europe especially in England. He and Tomb Thumb acted in front of Queen Victoria and pleased them. He also visited Czar of Russia and acquired dozen’s of attraction. After returning to New York he bought other museums. By the end of 1846, Barnum’s museum was drawing 400,000 visitors a year. In 1850, he engaged Jenny Lind “Swedish nightingale” to sing in America at $1000 a night for 150 nights. The tour began with a concert at Castle Garden on September 11, 1850 and was a major success. It four time increased his investment. After using Lind tour’s profits, he changed the concept of theater and made it middle class entertainment. He built the city’s largest and modern theater named “Modern Lecture Room”. He followed with historical dramas, melodramas and watered down the Shakespeare plays. To promote family entertainment he organized flower shows, beauty contests, dog shows and baby shows. In 1853, he started pictorial weekly newspaper Illustrated News. In 1868 he retired from museum business. Barnum did not enter the circus business until he was 61. In 1871 he established "P. T. Barnum's Grand Traveling Museum, Menagerie, Caravan & Hippodrome", a traveling circus, menagerie and museum of "freaks", which by 1872 was billing itself as "The Greatest Show on Earth”. Despite more fires, train disasters, and other setbacks, Barnum plowed ahead, aided by circus professionals who ran the daily operations. He and Bailey split up again in 1885, but came back together in 1888 with the "Barnum & Bailey Greatest Show on Earth", later “Barnum & Bailey Circus", which toured the world. Barnum wrote several books for self promotions. It included Life of P. T. Barnum (1854), The Humbugs of the World (1865), Struggles and Triumphs (1869), and The Art of MoneyGetting (1880). (Wikipedia) Barnum served two terms in the Connecticut legislature in 1865 as a Republican for Fairfield. With the ratification of the Thirteenth Amendment to the United States Constitution over slavery and African-American suffrage, Barnum spoke before the legislature and said, "A human soul is not to be trifled with. It may inhabit the body of a Chinaman, a Turk, an Arab or a Hottentots - it is still an immortal spirit!”(Wikipedia) As mayor of Bridgeport, Connecticut he worked to improve the water supply, bring gas lighting to streets, and to enforce liquor and prostitution laws. Barnum was instrumental in starting Bridgeport Hospital, founded in 1878, and was its first president.


Barnum focused on your work what were you doing. This study showed the quotation of Barnum from his book, “The Art of Money-Getting”. He said that “When a man’s undivided attention is centered on one object,” he said, “his mind will constantly be suggesting improvements of value, which would escape him if his brain were occupied by a dozen different subjects at once.” (Peter Kass)

We should learn lesson from his life. First lesson is that promotion is your company’s best punch. He just get promoted and become a best showman ever. He used to say that give people more than their money’s worth. It was for this reason that people stayed loyal to him, keeping his business afloat when others were sinking around him. He also gives this lesson that invests your best capital in your customers. Barnum was a master promoter, but he knew there was no advertising as valuable as word of mouth recommendations.

Benton, Joel. The Life of Phineas T. Barnum Peter Krass. The Book of Business Wisdom: Classic Writings by the Legends of Commerce and Industry http://en.wikipedia.org/wiki/P ._T._Barnum http://www.evancarmichael.com/Famous -Entrepreneurs/1024/summary.php





At only six years old, Buffett purchased 6-packs of Coca Cola from his grandfather's grocery store for twenty five cents and resold each of the bottles for a nickel, pocketing a five cent profit. While other children his age were playing hopscotch and jacks, Warren was making money. Five years later, Buffett took his step into the world of high finance. At eleven years old, he purchased three shares of Cities Service at $38 per share for both himself and his older sister, Doris. Shortly after buying the stock, it fell to just over $27 per share. A frightened but resilient Warren held his shares until they rebounded to $40. He promptly sold them - a mistake he would soon come to regret. Cities Service shot up to $200. The experience taught him one of the basic lessons of investing patience is a virtue. After doing his graduation in 1948 he returned home and took a job at his father's brokerage house. During these initial years, Warren's investments were predominately limited to a Texaco station and real-state , but neither were successful. It was also during this time he began teaching night classes at the University of Omaha (something that wouldn't have been possible several months before. In an effort to conquer his intense fear of public speaking, Warren took a course by Dale Carnegie). Thankfully, things changed. Ben Graham called one day, inviting the young stockbroker to come to work for him. Warren was finally given the opportunity he had long awaited. Warren Buffett Goes to Work for Ben Graham, Buffett spent his days analyzing S&P reports, searching for investment opportunities. It was during this time that the difference between the Graham and Buffett philosophies began to emerge. Warren became interested in how a company worked - what made it superior to competitors. Whereas Ben looked at income statement and balance sheet. Between 1950 and 1956, Warren built his personal capital up to $140,000 from a mere $9,800. With this war chest, he set his sights back on Omaha and began planning his next move. On May 1, 1956, Warren Buffett rounded up seven limited partners which included his Sister Doris and Aunt Alice, raising $105,000 in the process. He put in $100 himself, officially creating the Buffett Associates, Ltd. Before the end of the year, he was managing around $300,000 in capital. Over the course of the next fiv e years, the Buffett partnerships racked up an impressive 251.0% profit, while Dow up was up only 74.3%. By 1962, the partnership had capital in excess of $7.2 million Warren was entitled to 1/4 of the profits above 4%). He also 137

had more than 90 limited partners across the United States. In one decisive move, he melded the partnerships into a single entity called "Buffett Partnerships Ltd.", upped the minimum investment to $100,000, and opened an office in Kiewit Plaza on Farnam street. Ten years after its founding, the Buffett Partnership assets were up more than 1,156% compared to the Dow's 122.9%.Acting as lord over assets that had ballooned to $44 million dollars. The next year, Warren went much further than closing the fund to new accounts; he liquidated the partnership. In May 1969, he informed his partners that he was "unable to find any bargains in the current market". Buffett spent the remainder of the year liquidating the portfolio, with the exception of two companies - Berkshire and Diversified Retailing. The shares of Berkshire were distributed among the partners with a letter from Warren informing them that he would, in some capacity, be involved in the business, but was under no obligation to them in the future. Warren was clear in his intention to hold onto his own stake in the company (he owned 29% of the Berkshire Hathaway stock) but his intentions weren't revealed.

Buffett's role at Berkshire Hathaway had actually been somewhat defined years earlier. On May 10, 1965, after accumulating 49% of the common stock, Warren named himself Director. Terrible management had run the company nearly into the ground, and he was certain with a bit of tweaking, it could be run better. Immediately Mr. Buffett m ade Ken Chace President of the company, giving him complete autonomy over the organization. Two years later, in 1967 Warren offered to buy the whole company on the spot, a move that cost him $8.6 million dollars. That same year, Berkshire paid out a dividend of 10 cents on its outstanding stock. In 1970, Buffett named himself Chairman of the Board of Berkshire Hathaway, That same year, the Chairman's capital allocation began to display his prudence; textile profits were a pitiful $45,000, while insurance and banking each brought in $2.1 and $2.6 million dollars. The paltry cash brought in from the struggling looms in New Bedford, Massachusetts had provided the stream of capital necessary to start building Berkshire. A year or so later, Warren Buffett was offered the chance to buy a company by the name of See's Candy. The businessman decided Berkshire would be willing to purchase the company for $25 million in


cash. See's owners were holding out for $30 million, but soon conceded. It was the biggest investment Berkshire or Buffett had ever made. Following several investments and an SEC investigation (after causing a merger to fail, Warren and Munger offered to buy the stock of Wasco, the target company, at the inflated price simply because they thought it was "the right thing to do". Not surprisingly, the government didn't believe them), Buffett began to see Berkshire's net worth climb. From 1965 to 1975, the book value of company rose from $20 per share to around $95.

By the late '70s, the his reputation had grown to the point that the rumor Warren Buffett was buying a stock was enough to shoot its price up 10%. Berkshire Hathaway's stock was trading at more than $290 a share, and Buffett's personal wealth was almost $140 million. The irony was that Warren never sold a single share of his company, meaning his entire available cash was the $50,000 salary he received. During this time, he made a comment to a broker, "Everything I got is tied up in Berkshire. I'd like a few nickels outside."

In 1983, Warren Buffett walked into Nebraska Furniture Mart, the multi-million dollar furniture retailer built from scratch by Rose Blumpkin. Speaking to Mrs. B, as local residents called her, Buffett asked if she would be interested in selling the store to Berkshire Hathaway. Blumpkin's answer was a simple "yes", to which she responded she would part for "$60 million". Scott & Fetzer was another great addition to the Berkshire family. The company itself had been the target of a hostile takeover when an LPO was launched by Ralph Schey, the Chairman. The year was 1984 and Ivan Boesky soon launched a counter offer for $60 a share (the original tender offer stood at $50 a share - $5 above market value). The maker of Kirby vacuum cleaners and World Book encyclopedia, S&F was panicking. Buffett, who had owned a quarter of a million shares, dropped a message to the company asking them to call if they were interested in a merger. The phone rang almost immediately. Berkshire offered $60 per share in cold, hard, cash. When the deal was wrapped up less than a week later, Berkshire Hathaway had a new $315 million dollar cash -generating powerhouse to add to its collection.


In 1986, Buffett bought a used Falcon aircraft for $850,000. As he had become increasingly recognizable, it was no longer comfortable for him to fly commercially. The idea of the luxury was hard for him to adjust to, but he loved the jet immensely. The passion for jets eventually, in part, led him to purchase Executive Jet in the 90's.

During the remainder of the 1990's, the stock catapulted as high as $80,000 per share. Even with this astronomical feat, as the dot-com frenzy began to take hold, Warren Buffett was accused of "losing his touch". In 1999, when Berkshire reported a net increase of 0.5% per share, several newspapers ran stories about the demise of the Oracle. Confident that the technology bubble would burst, Warren Buffett continued to do what he did best: allocate capital into great businesses that were selling below intrinsic value. His efforts did not go unrewarded. When the markets finally did come to their senses, Warren Buffett was once again a star. Berkshire's stock recovered to its previous levels after falling to around $45,000 per share, and the man from Omaha was once again seen as an investment icon.

Buffett's hands-off approach has held strong appeal and created room for his managers to perform as owners and ultimate decision makers of their businesses. This acquisition strategy enabled Buffett to buy companies at fair prices because the sellers wanted room to operate independently after selling. Besides his skills in managing Berkshire's cash flow, Buffett is skilled in managing the company's balance sheet. Since taking over Berkshire Hathaway, Buffett has weighed every decision against its impact on the balance sheet. Many people misunderstand the willingness by Warren Buffett to take risks. He's more than willing to, it's just that he knows how to take the right type of risk; not risk just for the thrill of partaking in risk. Reinsurance is one example. He's willing to reinsure anything if the customer is willing to pay the type of premium required to manage the risk. The one risk he refuses to take, is partaking in something that could permanently destroy a company. That's part of his risk-management strategy. One of the great challenges in business management is to guide the company through growth and innovative process while maintaining that which is generating the major revenue for today. Maintaining that healthy tension is one of the secrets to Warren Buffett's success. 140

In short it could be summed up that Warren Edward Buffet chairman and CEO of Berkshire Hathaway, Investor is a person who started earning and investing from a minimum amount and reach till the top of success. His life and the strategy he followed is an excellent example for new investors. He led a successful life and always took healthy risks. Apart from all that his luck and fortune was also favorable for him that he reached till the top of success and became the wealthiest person of world in 2008.

After going through biography of Warren Edward Buffet we get to know that “Hard work is a key to success” and by being patient and by taking healthy risks in life any new investor can also climb the ladder of success like Buffet. His life and his strategy to deal and to do business is a great example for upcoming investors. Being a management sciences student I have learned that Buffett's hands -off approach has held strong appeal and created room for his managers to perform as owners and ultimate decision ma kers of their businesses. That’s how subordinates feel free to give their opinion and suggestion and that creates a healthy working environment.

http://beginnersinvest.about.com/cs/warrenbuffett/a/aawarrenbio.htm (accessed 11 march 2011). http://www.warrenbuffett.com/warren-buffett-management-style.html (accessed 11 march 2011) http://en.wikipedia.org/wiki/Warren_Buffett





The Scottish-born American industrialist and philanthropist Andrew Carnegie was the leader of the American steel industry from 1873 to 1901. He donated large sums of his fortune to educational, cultural, and scientific institutions Andrew Carnegie, the son of a handloom weaver , was born in Dunfermline, Scotland, on 25th November, 1835. Though his formal education ended after elementary school, the family's respect for books and learning ensured that Carnegie's education would continue throughout his life. The family had a long radical tradition and his father, William Carnegie, was an active Chartist. His maternal grandfather, Thomas Morrison, had worked with William Cobbett during his campaign for social reform. The invention of weaving machines replaced the work Carnegie's father did, and eventually the family was forced into poverty. In 1848 the family left Scotland and settled in Allegheny City, Pennsylvania. Andrew's mother went to work to support the family, opening a small grocery shop and mending shoes Carnegie's father found a job in a cotton factory, but he soon quit to return to his home handloom, making linens and trying to sell them door to door. Carnegie also worked in the cotton factory, but after his father died in 1855, his strong desire to help take care of the family pushed him to educate himself. He became an avid reader, a theatergoer, and a lover of music.

"I began to learn what poverty meant," "It was burnt into my heart then that my father had to beg for work. And then and there came the resolve that I would cure that when I got to be a man." Andrew Carnegie An ambition for riches would mark Carnegie's path in life. However, a belief in political egalitarianism was another ambition he inherited from his family. Andrew's father , his grandfather Tom Morrison and his Uncle Tom Jr. were all Scottish radicals who fought to do away with inherited privilege and to bring about the rights of common workers.


William Carnegie's handloom business dwindled in the wake of industrialization, and in 1848 the family immigrated to the United States, settling in Allegheny, Pennsylvania. There, at the age of 13, Andrew began his career as a bobbin boy in a cotton factory. A voracious reader, he took advantage of the generosity of an Allegheny citizen who opened his library to local working boys. Books provided most of his education as he moved from being a Western Union messenger boy to telegraph operator and then to a series of positions leading to the superintendent of the Western Division of the Pennsylvania Railroad.

While still employed by the Railroad, Carnegie invested in a new company to manufacture railway sleeping cars. From there, he expanded his business ventures to encompass the building of bridges, locomotives and rails. In 1865, he organized the first of his many companies, the Keystone Bridge Company, and in 1873, the first of his steel works.

Carnegie's companies were founded not as stock corporations but as partnerships, in line with his philosophy that “it shall be the rule for the workman to be Partner with Capital, the man of affairs giving his business experience, the working man in the mill his mechanical skill, to the company, both owners of the shares and so far equally interested in the success of their joint efforts.” As associates, Carnegie attracted young men with exceptional talent for organization management. His steel company prospered, and when Carnegie sold the company to J.P. Morgan in 1901, the Carnegie Company was valued at more than $400 million.

Andrew Carnegie's philanthropic career began around 1870. He is best known for his gifts of free public library buildings. His first such gift was to his native Dunfermline in 1881, and it was followed by similar gifts to 2,509 communities in the English -speaking world.

In 1889, he wrote “The Gospel of Wealth” in which he boldly articulated his view that the rich are merely “trustees” of their wealth and are under a moral obligation to distribute it in ways that promote the welfare and happiness of the common man. Carnegie was a prolific


writer, but the quotation for which he is most famous comes from “The Gospel of Wealth”: “The man who dies thus rich dies disgraced.” When Carnegie retired from business in 1901, he set about in earnest to distribute his fortune. In addition to libraries, he provided hundreds of church organs to local communities. Carnegie's wealth helped to establish numerous colleges, schools, nonprofit organizations and associations both in his adopted country, as well as in Scotland and throughout the globe. By the time of his death in 1919, Andrew Carnegie had given away about $350 million, but the legacy of his generosity continues to unfold in the work of the trusts and institutions that he endowed.

He surrounded himself with the best
Carnegie had a knack for attracting and retaining the most talented and competent people. Many historians believe Carnegie was a management guru–but many of the management innovations he is famous for were thought of by his lieutenants.

He was rabid about costs
He instituted revolutionary accounting methods that detailed t e cost of every item–even h small nails. He accounted for every single expense and then found ways to reduce them. One exasperated partner said, “Carnegie never wanted to know about profits. He always wanted to know the costs!” This cost cutting practice ga ve him immense power to set prices and gain new market share. He knew that if he took care of the costs the profits would take care of themselves.

He was willing to sacrifice short term profit for long term gain
He constantly reinvested: in new machinery, the latest technology, in improved practices, and etc. In fact, sometimes he would find it “exceedingly difficult” to convince his partners to fore go the short term gain. They wanted their money now, he wanted more money later.

He saw the end first
Carnegie started out with this end in mind: be the best steel company in the world. All resources, capital, labor, intellect, time, and etc were geared toward that goal (and the smaller goals leading up to it). Vision is a necessity for business leaders. In other words, a fool brags 145

about not having goals!! Carnegie saw greater and therefore pushed his company to greater heights.

Andrew Carnegie had a lot of institutions, awards, streets named after him: • • • Carnegie, Oklahoma and Carnegie, Pennsylvania were named after him. The Carnegie Medal for Best Children’s Literature was named after him. Carnegie Hall in New York was named after him.

Besides that, he had received many other awards and honors, having a lot more other things named after him. He has also founded several social organizations. The Andrew Carnegie Medal of Philanthropy was inaugurated on December 10, 2001, by more than 20 of the institutions Mr. Carnegie establishe d all over the world during his lifetime. This award, created at the centennial observance of Andrew Carnegie's official career as a philanthropist, is given every two years to one or more individuals who, like Andrew Carnegie, have dedicated their private wealth to public good The Andrew Carnegie Medal for Excellence in Children's Video, supported by the Carnegie Corporation of New York, was awarded for the first time in 1991 to honor outstanding video productions for children released during the previous year. The Anderson Public Library Board of Trustees Vice President, Tammy Ihnat, presented the Andrew Carnegie Award to Fred and Alice Milley, during the April 28th meeting. The Andrew Carnegie Award is presented to an individual or group, who, in the spirit of Andrew Carnegie, has given of themselves and made an outstanding contribution to the improvement of public library services in our community.

Andrew Carnegie was the most successful businessmen and most recognized philanthropists in history. His entrepreneurial ventures in America's steel industry earned him millions and he, in turn, made great contributions to social causes such as public libraries, education and international peace. "Andrew Carnegie was the pioneering tycoon of the Age of Steel". His steel empire produced the raw materials that built the physical infrastructure of the United States. He was a catalyst


in America's participation in the Industrial Revolution, as he produced the steel to make machinery and transportation possible throughout the nation. He started the Carnegie Steel Company, which later merged with Steel Company to become U.S. Steel. Andrew Carnegie was the father o modern steel and was one of America’s richest f men. With the money made from his business, he started his philanthropic work, starting many foundations and organization for the cause of world peace and education. When founded in 1901, United States Steel Corporation was the largest business enterprise ever launched, with an authorized capitalization of $1.4 billion. Throughout the years, U. S. Steel responded to changing economic conditions and new market opportunities through diversification and periodic restructuring. Today, over a century after its founding, U. S. Steel remains the largest integrated steel producer headquartered in the United States. U. S. Steel had its origins in the dealings of some of America's most legendary businessmen, including Andrew Carnegie, J.P. Morgan, and Charles Schwab. However, its principal architect was Elbert H. Gary, who also became U. S. Steel's first chairman. At the turn of the century, a group headed by Gary and Morgan bought Carnegie's steel company and combined it with their holdings in the Federal Steel Company. These two companies became the nucleus of U. S. Steel, which also included American Steel & Wire Co., National Tube Company, American Tin Plate Co., American Steel Hoop Co. and American Sheet Steel Co. In its first full year of operation, U. S. Steel made 67 percent of all the steel produced in the United States. U.S. Steel has multiple domestic and international facilities. Every day, U. S. Steel employees around the world dedicate themselves to putting their five core values into action. Safety is first – its company’s top priority. The other core values are diversity and inclusion; environmental stewardship; focus on cost, quality and customer; and results and accountability. U. S. Steel’s operations are efficient and high tech, and customer focus is intense. They have been making steel for more than 100 years, always with an eye to serving their customers’ needs in the most cost-effective ways possible. Companies that want to be competitive in an increasingly global marketplace must have a global outlook and presence. U. S. Steel continually looks for opportunities to strengthen their existing presence in the global arena and strives to meet and set world-class standards in 147

everything they do. At U. S. Steel, creating value for the stakeholders is a priority. To ensure the long-term success, their aim to build value for their customers, employees, shareholders, creditors, and the communities in which they operate using the same responsible approach that has positioned them as a leader in the industry.

One of the captains of industry of 19th century America, Andrew Carnegie helped build the formidable American steel industry, a process that turned a poor young man into one of the richest entrepreneurs of his age. Carnegie believed that achievement of financial success could be reduced to a simple formula, which could be duplicated by the average person. The most striking quality of Andrew Carnegie was their simplicity, the ease of words and thoughts, rather than their condescension. In fact, he gets things done using the shortest number of words. .He has the ability to see beyond the problem. He was the source of courage for his fellows. Andrew Carnegie proved to everyone the value of continual hard work in his life. His hard work caused him to be noticed by his superiors, who gave him promotions even at his young age. He establishes a strategic business development and support group. One person or several who are motivated to brainstorm and research without pressure and support each other. Teamwork, management, leadership and productivity is all born and developed here with this group and must succeed here first or will set a bad or defective model for the business. Cut the need for multiple layers of management. (Upper management works from home when possible. Cut need for vast corporate admin/operating offices, support the local economy with quality local outsourcing and sub-contracting). Quality takes care of itself. Consumer choice takes care of the business. He was the self-employed. He took take initiative and acts as he was playing a critical role in the organization and energizes their people, demonstrate entrepreneurial creativity, search continuously for new opportunities and pursue them, take risk, venture into new areas and provide strategic direction and inspiration to their people. He also took responsibility for the failures of their team, learn from these failures and use them as a step to ultimate success and strategic achie vement.


The company has a wide range of goals it wants to attain as a whole, such as creating brand loyalty and expanding to a global level. The top executives are in charge of determining these goals and explaining them to the rest of the company. In ord for the goals to be received er well by the employees, executives must be confident that the goals can be achieve while simultaneously making them challenging. Each division will have separate specialized goals on how to increase their market share and improve their product or service in the process. As you move down the supply chain the goals become more specific and short term. This system of organization keeps the company on track to achieve the top level goals set by executives. Managers can use many different strategies to maintain a vigorous organizational structure. In my opinion transformational leadership is better than others because it allows groups of people to work together for one common goal. By working together a group can come together to achieve great things and improve their overall efficiency. In transactional leadership individuals are rewarded for their personal performance so it can lead to greed and a lack of teamwork.

The experiences Carnegie had growing up had a large impact on his ideals regarding politics and the effect they have on society and economics. Carnegie believed that political inequality is what caused Scotland’s “social and economic woes” which caused “the conditions that forced his family to leave Scotland.” He basically believed that had Scotland had a better political system there would not have been the disastrous social consequences of the changing economy. As a result of his beliefs, he supported the American political system fiercely. He believed that the United States’ “success justified his wealth and the ways he acquired it.” The management strategies Carnegie used are another example of a skill he had mastered. Carnegie focused a great amount on cutting costs and making sure that no money was being wasted. They tried to reduce labor costs by holding down wages and substituting machines.” Carnegie insisted on seeing the cost sheets each week. He focused only on the costs and not the profits because he felt that once costs are cut “profits will take care of themselves”. Each week he analyzed those wanting explanations for everything. Carnegie was able to manage very effectively through this system. He was able to compare the performance of the

different employees by seeing who was saving the most money. Through this, he was able to 149

make “intelligent decisions about promotions and firings even though he had ‘no shadow of claim to rank as inventor, chemist, investigator, or mechanic.’ He used management techniques based on cutting cost and being able to bring in profit as a result. Carnegie was able to take the knowledge he ga ined from the railroad industry and apply it to the iron industry. He did this through such methods as increasing the amount of the specific product being made in a specific amount of time and through the method of cost accounting. Carnegie’s story is a true example of what one thinks of when they hear the phrase “the American Dream”. His story is one of going from rags -to-riches and in the end giving away his fortune to help others achieve that same dream.

Offer incentives to employees that will make them loyal but will not make you bankrupt. A worker who is loyal to his boss will in turn lead to a boss who is loyal to his worker, possibly for years to come. Reward the hardest workers with the best yearend bonuses and hopefully it will motivate the others. Always balance positive with negative when doing employee evaluations. Give the employees encouragement when encouragement is due and show them your lighter side on occasion. Employee’s morale can go a long way to business success we can learn how to achieve your goals, attract new customers, and how interact with other businesses.

Andrew Carnegie was one of the richest men in the world. But he was more famous for his philanthropist activities. Andrew Carnegie had a humble beginning. His rags to riches story fuels passion and admiration from people all over the world. Andrew Carnegie's philanthropic endeavors are extensive in their value. "There is no doubt that Carnegie was a hard businessman"”his success is testament to this"”but the acquisition of wealth was not due to personal greed" He strongly believed that the wealthy had a moral obligation to serve as stewards to society. He believed that everyone was entitled to a proper education. For this reason, Carnegie was involved with the founding of many schools and universities. Another way he contributed to public education was through his interest in free public libraries. His love of reading stemmed from a positive childhood experience of reading from the personal collection of a merchant in his town. He is responsible for the establishment of approximately 2,500 libraries worldwide. He was naturally enthusiastic. He has the power of positive 150

thinking to work overtime. In Order to pursuit his goals, he was willing to work hard and if necessary, face danger. He was serious, responsible, industrious and hardworking. He is a factual or first practical entrepreneur and a Paradigm to not only business executives, but also for us, student’s around the world.

“No man will make a great leader who wants to do it all himself, or to get all the credit for doing it”

http://www.infoplease.com/ipa/A0771862.html http://www.notablebiographies.com/Ca-Ch/Carnegie-Andrew.html http://www.spartacus.schoolnet.co.uk/USAcarnegie.htm http://www.carnegiemedals.org/ http://www.ala.org/ala/mgrps/divs/alsc/awardsgrants/bookmedia/carnegiemedal/carnegieabou t/index.cfm http://www.leadership-w ith-you.com/andrew -carnegie -leadership.html http://www.ussteel.com/corp/company/profile/history.asp





Stephen McConnell "Steve" Case (born August 21, 1958) is an American businessman best known as the co-founder and former chief executive officer and chairman of America Online (AOL). He reached his highest profile when he played an instrumental role in AOL's merger with Time Warner in 2000.

Steve case is Inspiring, challenging, and incredibly thought-provoking. Steve Case has the most innovative mind in youth ministry. He combines youth ministry savvy, boundary bending creativity, spiritual impact, and humor. He is unique in the world of youth ministry. He speaks to kids with an understanding and love for who they really are. He is able to do that through his writing, too. He is a terrific storyteller. He is the funniest theologians. He has authored multiple books that effectively mix practical theology with worshipful experiences. His workshops are equally as engaging. He is the most amazing speaker. He is one of the world’s most famous entrepreneurs and successful business man. He cares about his people and his customers. He is always looking for new ways to do more for people. “There are no road signs to help navigate. And, in fact, no one has yet determined which side of the road we're supposed to be on." Steve Case Born in 1958 in Honolulu, Hawaii. Case began his entrepreneurial career at age six, when he and his older brother set up a juice stand, selling lime juice for 2¢ a cup. Not long after, the brothers established Case Enterprises, which sold seed sand greeting cards through the mail and with door-to-door sales. Case attended Williams College, where he showed an avid interest in music: He wrote ro reviews for small local papers in order to get free concert ck tickets and albums and sang with two new -wave rock groups. Case put his entrepreneurial instincts on hold after graduating with a B.A. in political science in 1980. Steve Case was the driving force behind America Online and a leading business pioneer of the Internet boom of the 1990s. Case worked briefly for both Proctor & Gamble and PepsiCo before joining the computer game company Control Video in 1983. Case


became the company's director of marketing and helped push it into the new world of online gaming and, eventually, online communities. The company morphed into America Online in 1991 and Case succeeded.

Steve Case might be the closest thing imaginable to a family-oriented, self-made middle-class billionaire. Like "ordinary" Middle-Class Millionaires, Case sees vacations as opportunities for his family to spend time together. Yet with all his considerable resources, he seldom had satisfactory experiences when vacationing with his wife and their five children. They owned three rarely used vacation homes around the country, which Case says left him feeling guilty when the family would vacation someone else for the sake of variety. On those occasions, accommodating the large family presented other problems. They'd either get adjacent hotel suites with inconvenient connecting doors or rent a vacation home sight unseen. They once rented a house in Hawaii with seven bedrooms, only to find three of the bedrooms were accessed by a flight of stairs outside the building. Rather than risk navigating the outdoor steps at night, some children wound up sleeping on couches in the living room. We all share the goal of protecting children. Congress passed this law without understanding the many technological tools available and under development that empower parents, rather than the government, to determine what their children receive on the Internet. (Steve Case)

This is a company that started 20 years ago when one man thought it would be a good idea to make the power of the Internet available to the average consumer. In the years since, America Online has grown to a company of 20,000 people serving a community of nearly 29 million members worldwide. AOL is headquartered at 770 Broadway in New York. Founded in 1983 as Control Video Corporation, it has franchised its services to companies in several nations around the world or set up international versions of its services.AOL is best known for its online software suite, also called AOL, that allowed customers to access the world's largest "walled garden" online community and eventually reach out to the Internet as a whole. At its prime, AOL's membership was over 30 million members worldwide, most of whom accessed the AOL service through the AOL software suite.


In 1989, Apple and Q-Link ended their deal together and Q-Link became America Online (AOL).In 1991, Kimsey left the CEO seat and went to sit at their board of chairmen. Steve Case became the CEO. Also that year; AOL had its first public offering. During the early 1990’s, Prodigy and CompuServe held the top places as Internet service providers, and Case wanted to win that place. He lowered the price to below their competitors and sent out thousands of free trail diskettes for new members. When 1993 was almost over, they had more than 600,000 members and users of their service. With the success that AOL had in 1993, Microsoft co-founders both tried to buy AOL-which they failed to, do, with Case blocking them from doing so. This lead Microsoft to creating Microsoft Network (MSN).In 1994, AOL started buying up companies that would help them and their subscribers. Prior to that, they were considered a closed network, meaning that their users only had access to what they offered them. By starting to buy up and connecting with other networks, they were able to offer more to the subscribers. This helped AOL to grow quickly. By late summer 1996, they reached six million subscribers and that fall they started offering flat-rate monthly service fee of $19.95. They also hired MTV’s creator Bob Pittman, to help improve their brand and customer service. He later on became the president and chief operating officer, while Case gave up the title; he was still in those positions. When 1997 came around, they gained 3 more million subscribers and CompuServe gained 2.6 million, though they maintained some of their independence. AOL’s stock rose in 1998 and 1999 over 600% and they bought Netscape Communication Corp. for $4.2 billion in stock. Their web portal and browser were included in the buy up. Sun Microsystems also was a third party during the acquisit ion In January of 2000, AOL announced that they wanted to buy up Time Warner Inc. After the merge, AOL lost its huge market and faced troubles with more companies competing with them and offering either a free or low-cost service. In 2006 AOL started to of fer many of its services outside of their internet service, making it a latecomer to that market. Since the many changes within AOL, we have watched them grow and fall like most companies. They were one of the first providers to offer internet service. AOL will always play a key role in the history in the internet and the future of the internet. Though most of the stuff they once offered for a fee, that they now offer for free, they still does offer internet provider service.


One of the main competitive strengths that the company possesses is its affordable tuition, which is one of the lowest in the industry. The reason why it can charge less than its peers is because of its exclusive online education model and lowest student acquisition costs. The company’s business has a flexible cost basis and is scalable.

• Streaming news and streaming sports, updated every hour (this service is available through CNN.com for non-aol users for a monthly fee, but AOL customers get this free). They offer local news, local sports, local weather, etc. All this can be displayed instantly when you sign on. • • You can play almost any card game against other opponents online. There are also many other games available, this is really great if you are a card player or online game player. The best email service out there. Virus's can never be activated directly through email the way they can with other services, which is another big plus. Their spam filter is also the best I have found yet. • • Free virus protection for anyone using AOL Broadband. You can run AOL Broadband on top of any other internet service. They call it the BYOA plan (bring your own access). No matter what broadband internet service you use, you can run AOL right over the top of it just as if you were dialing in, but of course you will have the high speed instead! • • Through innovation and creativity, AOL raised the bar and set the standard for what they believe high quality content is on the Internet. AOL content sites and products allow more than 250 million visitors around the world to access the best collection of journalists, artists and musicians on the web.

America online is first consumer online service to introduce windows version. AOL is a global advertising-supported Web company, with display advertising network in the U.S., a substantial worldwide audience, and a suite of popular Web brands and products.


The company’s strategy focuses on increasing the scale and sophistication of its advertising platform and growing the size and engagement of its global online audience through leading products and programming. AOL is committed to conducting its business in ways that minimize its impact on the environment through a variety of initiatives. AOL leverages the power of the Internet to improve and unify communities, and benefit those in need.

Mission of AOL is to inform, entertain and connect the world.

From hyper-local community news to accurate reporting by Pulitzer Prize -winning writers, AOL gives the latest and most credible information-both globally and locally.

the extensive network of content sites cover a broad spectrum of topics and are brought to life by first-class writers, musicians, actors and editorial talent. No matter what people interested in, there is bound to be something that will both surprise and delight the people.

As a global company; one of the focuses of AOL is to connect people with information and people across the world. With best-in-class products, like AIM, AOL Life stream and AOL Mail, communicating and connecting with the friends and family has never been easier. Likewise, local platforms such as Patch allow customers to connect with their community in unprecedented ways. AOL has a strong strategy, a clear mission and a firm commitment to delivering value. The diverse backgrounds, experiences, perspectives and thought processes make AOL unique. The AOL Accessibility Policy expresses the company's commitment to develop products and services that are accessible to all users, including those with disabilities. The policy is founded on three fundamental principles: • • • Awareness Responsibility Collaboration


About 250 million people around the world rely on AOL. They are global leaders in sourcing, creating, producing and delivering high-quality, trusted, original content to their consumers.

Organizational culture is basically a system of shared beliefs that members of the organization have. This determines how members in an organization act when confronted with decision-making responsibilities. In every organization, you will notice that there are systems or patterns of values that are constantly evolving. These shared values will also affect how the employees will deal with issues and concerns inside and outside the organization. AOL believes that their employees and culture are their true advantage. They embrace AOL's cultural diversity so much that they instituted the Cultural Ambassador Program in order to shape and maintain their cultural values throughout our global offices. As part of their hiring process, each candidate will meet with one of the ambassadors to learn about AOL's values and how they fit in to the AOL culture. The AOL ambassador will guide the potential hire through a Cultural Assessment used to determine if the candidate's values are aligned with those of AOL. They invested in creating a positive and passionate culture at AOL. At AOL they care about the people that work with and try to foster an environment in which we help each other, they act with integrity, they support each other and they have fun while doing it. Employing talented people with a passion for what they do is not just a talking point but a way of life. Steve played an integral role in building the world’s largest Internet company and helped transform how people communicate, learn, and conduct business. By creating an environment in which the employees feel healthy and supported, AOL can achieve business and personal success. They support and invest in their employees. AOL encourages employees to have a desire and curiosity to learn. They support a dynamic learning culture where employees can learn all day, everyday via formal and informal learning opportunities. A comprehensive Career Management site is available to help employees explore and define their current and future career goals, align resources to meet development needs and put plans into action.


The ability to tie individual goals to the company's strategy is critical to their success. AOL employees create performance goals, establish development plans and track progress throughout the year with Success Factors, the performance management tool. Creating and achieving great performance goals is just one part of being a truly great performer. AOL offers a series of leadership development programs designed to help transition through each career stage – beginning with core management programs and progressing from there to more in-depth leadership training like leading leaders. Case was willing to do anything that kept customers coming and revenues flowing. Instead of focusing on the competition, Case gave priority to the customer's needs and desires. According to Case, "The center of gravity has to be the consumer, what consumers want and how they want it”. Case, who was a shy guy from his childhood, was more comfortable working on his computer than interacting with people. Commenting on this, Kimsey said, "Case is much more at home behind a keyboard than a podium." But Case admired forceful and charismatic CEOs who became a source of inspiration for employees. He is a transformational leader, meaning he is passionate and enthusiastic about what he does. He creates visions and injects energy and motivation into his team. Case's entrepreneurial spirit continues with his new venture Revolution, launched in April 2005. Its mission "is to partner with entrepreneurs in building businesses that give people more choice, control and convenience in important areas of their life," Case's personal style probably had a lot to do with his ultimate success in taking AOL to the top of the Internet service provider heap. Case had been described as an unassuming and down-to-earth leader who was not boisterous in his managerial style. He understood clearly the need for good PR and the power of the inside strategy of talking one-on-one with people to get what he wanted. For example, he continually met with politicians of all persuasions in Washington, D.C., as he tried to iron out concerns about the Internet, including the availability of pornography. At the same time, he won concessions that virtually eliminated AOL's liability for crimes committed by users of its network and derailed ant pornography pressure. He also helped defeat privacy legislation that would have limited online companies' ability to gather marketing information about the Internet habits of teenagers. 159

AOL became successful because of Case's diligence and vision, values that he ingrained in AOL's corporate culture. For Case, there was no alternative to the Internet and AOL's future domination of it. His stubbornness about building the company was apparent, said analysts, when Case and AOL could have sold out for millions of dollars early on but rejected the deal. They also noted that Case was relentless in reengineering his company around a marketing sensibility that he knew well. Case had a healthy ego; and it never stopped him from hiring people who were more flamboyant and creative. He did not take a threatening approach to management and worked well with the technological talent he needed to make AOL grow. In review, there is a lot to be learned from the management and leadership of AOL. Steve Case has created a unique management formula that has contributed to the long term success of the company. Although there is a clear distinction between management and leadership, the company has been able to incorporate a combine of each in many aspects of the business. The transformational leadership has proved to be a valuable tool for executives, managers, and workers alike. Employees within the company have a willingness to work together to expand and improve the company in order to reach their own personal success in life.

Few people can match the impact on business and culture than that of Steve Case. A lifelong entrepreneur and innovator, Steve created Revolution to create far-reaching change, further empower consumers, and build enduring business success. As co-founder of AOL, Steve led the charge to make the Internet an essential part of everyday life. I am extremely impresses by his passion about life and source of revenue every minute to its fullest. Steve Case was able to attract and retain a conglomerate of truly talented and—in the entrepreneurial sense— effective team of executives. Steve case is a very encouraging person. He has set challenging goals and achieved every one of them. He is a right entrepreneur and a role model to not only business executives, but also for us, students around the world.

http://www.infoplease.com/biography/var/stevecase.html#ixzz1GU7EK7h3 http://www.askmen.com/celebs/men/business_politics/49_steve_case.html http://www.biography.com/articles/Steve-Case-40879 160

http://aol.bfxmedia.com/ http://www.webhostingreport.com/learn/aol.html http://www.crunchbase.com/company/aol http://corp.aol.com/about-aol http://www.referenceforbusiness.com/biography/A-E/Case-Steve-1958.html





There's nothing like a good example to motivate and inspire one. Having know-how of business is an essence of conducting it competently, but it takes time and requires money as well. Therefore, the best option is to learn from the experiences of booming business men. This study is conducted in order to get insight and to learn from the success story of Russel Simons. The young entrepreneurs and new business starters can discover about all the hurdles which he /she could face while starting up a business.

Simmons had a rather inauspicious start, like many earlier captains of industry. Born in 1957, Simmons and his elder brother, Daniel, and baby brother, Joseph, grew up middle class in Queens, N.Y. Their father was a teacher and their mother was a recreation director. When their middle class neighborhood began to experience the effects of the burgeoning street drug trade, young Russell flirted with a career in that illegal, not to mention deadly, industry. In fact, he admits that he sold fake coke on the streets before his run-in with the new sounds of hip hop sent him careening in another direction – that of club and concert promoter. Spectacular successes followed. In short order, Simmons famously co-founded Def Jam Recordings with Rick Rubin from their dorm room while students at City College of New York in the mid-1980s. He systematically sold his pieces of Def Jam for hundreds of millions of dollars, selling his final st ake in 1999. But his entrepreneurial empire had been fast evolving in other, non-music directions since 1990, when he founded Rush Communications, which served as a holding company for various ventures rooted in hip -hop culture. Rush Communications has encompassed Phat Fashions, including the trendsetting Phat Farm clothing for men and boys, Baby Phat for women, and Run Athletics; the Simmons Lathan Media Group; the HBO's "The Def Comedy Jam" and "Russell Simmons Presents Def Poetry"; the Tony Award winnin g stage production "Russell Simmons Def Poetry Jam on Broadway," and in the financial services industry, UniRush and its RushCard and Baby Phat RushCard debit cards.

One of the remarkable things about Simmons' business empire is the involvement of family in his pursuits, from the very beginning with Run DMC, a trio of Joseph, friend Darryl 163

McDaniel and the late Jay "Jam Master Jay" Mizell, as one of Def Jam's founding acts. Today Run is an ordained minister and is co-owner and an executive with Run Athletics, while Danny works with both of his brothers in the Rush Philanthropic Arts Foundation, established in 1995. In March 2006, Simmons and wife Kimora Lee separated. However, they remain business associates, as she is the creative force behind Baby Phat, a Phat Farm offspring, as well as parents to their two daughters, Aoki and Ming Lee, who are models for Baby Phat Kids' Collection. In 2005, MTV debuted "Run's House," a now popular reality TV series based on the interactions between Joseph "Run" Simmons' blended clan of his kids from a previous marriage and current marriage to Justine Simmons, all co-existing in his Saddle River, N.J., home. The show provided a platform for the family to extend its entrepreneurial pursuits, with Run's daughters Vanessa and Angela establishing a wildly successful line of sneakers for women that they named Pastry Footwear. Angela also founded a magazine, and Justine has introduced her Brown Sugar jewelry line. Run's son Joseph "JoJo" Simmons, Jr., is taking a stab at the music side of the family dynasty by trying to establish a career as a hiphop performer.

Early on his brother, Reverend Run of Run DMC, proved he had the sound, and Simmons clearly had the savvy to take hip hop to the next level. He started throwing block parties and promoting rappers like pioneer Kurtis Blow , proving to record labels that hip hop was not a fad. It was a cultural revolution. In 1984, he and Rick Rubin started Def Jam Records. The label launched hip hop legends like LL Cool J, The Beastie Boys, Jay-Z and Run-D.M.C. and the Beastie Boys. Rush Communications Inc. which included a management company, a Clothing company called Phat Farm, a movie production house, television shows such as Def Comedy Jam, a magazine and an advertising agency. His movie production house has produced such films as Krush Groove and The Nutty Professor.


His nephew, Jamal "Redrum" Simmons and his group Flatlinerz released the highly controversial album U.S.A. in 1994 on Def Jam but was dropped from the label soon after. Rick Rubin sold his share of the record company for $100 million to Universal Music Group in 1996. Simmons didn't stop there. He launched Rush Communications, which spawned clothing lines like Phat Farm, an extremely successful TV and movie production company and that's just the tip of the iceberg. His empire is worth hundreds of millions of dollars; Def Jam became just one piece in Simmons' corporation

Pat farm is a national fashion line created by the vision of Russell Simmons, the founder of the modern day hip-hop movement, Phat Farm, a division of Phat Fashions, is symbol of men's contemporary American culture, mixing the urban aesthetics of the streets and the preppy culture of the Ivy League. Since its inception in 1992, Phat Fashions began from a small New York City showroom and is now a multi-million dollar business. Phat Fashions' success is a r esult of the brand's commitment to quality, innovation in design and support of the retail trade through strategic marketing and advertising. For the consumer, Phat Fashions delivers a universal message that breaks stereotypes and ethnic boundaries, settin g the new standard in sportswear and establishes the company as the complete American lifestyle brand. 2008 is the sneaker company Run Athletics , which was started in January - June 2008, a company that produces both the Legacy and Russell Simmons clothing line brand shoes.

Simmons takes his mentoring role seriously. In 2007, he wrote his first self -help book, a goget-'em career primer called "Do You." Now, he issues his follow -up, "Super Ric h," a slim, succinct and sagacious volume about the true meaning of wealth (spoiler alert: It isn’t about the money). While Americans easily welcome advice from wealthy men, could anything be more obnoxious than a rich guy telling the aspiring masses, as Simmons does, that "there's no difference between being broke and being a millionaire"? But Simmons knows this and spends the first passages of "Super Rich" front-loading his explanation: There's nothing shameful in enjoying the worldly fruits of your labor, he argues. But it's the labor, and not its fruits, that bring happiness. The title doesn't mean what you think. 165

"I define super rich as the state of needing nothing," Simmons said. "We naturally wake up in the morning and decide on what we're going to give as opposed to what we're going to get.

Russel Simons is not just a selfish, materialistic business man, he is also a Philanthropist. Simmons participated in a number of causes and he love to do charity as well. In the aftermath of Hurricane Katrina, Simmons joined 22 other top executives in the apparel and home fashions industry to form (Fashion Delivers Charitable Foundation, Inc.) to unify the apparel and home fa shions industry to donate new product to help needy individuals and families who fell victim to one of the USA's worst natural disaster. In supporting the new charity, Phat Farm underwrote a t-shirt design contest with 100% of the proceeds going to Fashion Delivers. “I want to contribute more to earth than I take away from it,” Simmons says. Simmons supported a PETA protest against the treatment of chickens at KFC. He is Co-Chairman of the “Hip -Hop Summit Action Network”. Russell co-founded the “Rush Philanthropic Arts Foundation” with his brothers, Danny, and Joseph Simmons. Russell donated his time to support “The Doe Fund”, and led a Transcendental Meditation workshop for participants of their Ready, Willing & Able program in August, 2009. Simmons called “The Doe Fund”, “probably the most successful program in the nation to help homeless men re-enter society.” Simmons is often described as the man who made black urban culture a part of the mainstream, but Newsweek’s Johnnie L. Roberts noted that "in the view of many, he is now emerging as potentially the most credible and effective leader of the post-civil rights generation."

With his own family getting more and more ingrained in the business empire, Simmons said he sees a day when the younger generation of Simmons is founding their own ventures. He has two daughters and he hopes and wishes that one day they will run his business empire and he has high hopes from them. "They'd better be!" Simmons said. "Diggy and Russy better run something. What? Mingy and Aoki are going to run the Aoki Lee Foundation and they're going to be like a big foundation that has an endowment and they're going to give, one of them, and the other one's 166

going to run a business. That's what I think. I really do have faith that they're going to be still doing it, of course’.

He started as a druggy on the streets of New York (Crack dealer) and ended up as billionaire and one of the most creative, successful and well-respected entrepreneurs of the 20th century. His hard work, dedication and persistence helped him to be a world class businessman. Russell Simmons has learned what it takes to reach your goals and objectives. Some principles are discussed as follows:

“You have to stick with what you start,” says Simmons. “Don’t let other people dissuade you because you don’t have instant success.” It is the quality of being resolute to do or achieve something; or the firmness of purpose. Simmons knew what it was to face obstacles and criticism along his way to success, but he didn’t let that stand in his way. He devoted himself wholeheartedly to achieving his goals and remained confident in his abilities to do so.

“Everybody has a great idea, but very few are successful without true focus.” Focus is basically having a maximum clarity or distinctness of one’s goal. Russel Simmons never strayed from his goal of promoting hip -hop music and culture to his core audience – African Americans. He wanted to present the truth about what was going on in the streets and wasn’t going to gloss over anything for anyone. Eventually, hip-hop’s appeal spread to a wider, primarily white audience, but Simmons stayed true to his roots, focusing on his niche market and keeping his message constant. “That’s the most basic thing,”

“I try to make my life about service, and hope that one day we can all ‘see’ a little better,” says Simmons. Recognizing that his success came from the very struggles that his audience was facing on the tough streets, Simmons dedicated himself to giving back to those communities. He founded numerous projects to encourage education and political awareness 167

and involved himself in other social causes such as animal cruelty and HIV awareness. “I'm not a politician. I only want to help relieve the suffering in communities, and I want to help people see their community in each other.”

Simmons recognized that in order to succeed he had to do something different and creative. Crediting his yoga and his keen street sense with giving him the confidence to pursue new avenues of opportunity, Simmons found success where others weren’t looking for it, which also helps and inspires him while designing clothes for his label Phat Farm. From marketing rap music with Adidas shoes to voting with LL Cool J, Simmons achieved success by doing things differently and thinking along lines nobody had thought alone.

“A lot of people like to think that an individual makes or breaks his or her own success, but that’s not really the case,” says Simmons. “Often your success is determined by the people you surround yourself with.” Simmons created a hard -working and efficient workforce b y creating an open environment and encouraging the entrepreneurial spirit at all levels of his companies. Simmons’ staff wanted him to succeed because he wanted them to succeed. He has encourage the culture which promotes and appreciates the inputs of the workers and which aided him to have dedicated workers, who has this sense of liking and ownership of the organization and this type of practice enabled them to work both effectively and efficiently.

Russel Simmons is obstinate and adamant that education is the key to success; though he started his business in college and didn't go on to earn his degree. There are plenty of success stories where entrepreneurs carved out rewarding niches. But launching and maintaining a successful venture is a “tougher row to hoe” without higher education, Simmons said, so he mostly surrounds himself with people who first proved themselves by accomplishing an academic degree because running a booming business requires one to get educated.


"All the young people I work with came out of school," Simmons said. "I don't really end up with people that didn't come out of school. If you're not educated, you're really not useful. You can maybe become an artist, but you can't be a businessperson. It's very difficult." Having an education doesn't negate your individual value. In fact, done right, education can heighten one's individualism and earns one respect as well, Simmons suggested. "College students—the most important thing about young people is that they are fewer followers and they ask more questions than the adults," Simmons said. "So they're more connected. They have a greater opportunity. It's much easier for them to say, ‘Wait a minute. I don't want to go along with that.' They always see the contradic tion. They see the adult say one thing and do another. It's up to them to try to make a path." "You can always find individuals in college. You can't find them at the workplace all the time. But in college you find a lot of independent thinkers and those p eople are the ones who not only change the world, but they build their own businesses, they start their own way to contribute to the world in a way that sometimes is really good for them, and they receive what they give."

Even if one perhaps desires to go into business for himself, the value of an education cannot be overrated, Simmons says. "I think everybody that's an entrepreneur is enhanced when they have an education," he said. In "Do You" Simmons warns about becoming too docile upon receiving a formal education at the collegiate level. "The caution about education – I didn't mean that you shouldn't go to school," Simmons said. "I meant that you shouldn't be trained; you shouldn't be put in line. You need to be able to be a cultural hero. In other words, you think inside box – which is inside the heart. The world would say it's outside the box, which is where the whole world exists. The little bit of stuff that's being told to you every day is a small part of the entire picture. If you live in that little bit of stuff, you'll be stuck out of the big picture. Don't be controlled." If you want to establish and build a business for the long haul, here's a big tip: know your market and your customer, Simmons said. Really, know them and don't limit yourself with marginal thinking, he suggested. For instance, your customer may not be limited to one demographic category, such as a specific race. This means he believes in the diversification of business, which is a safer way to handle it. 169

"It depends on your business, but you have to remember that 80 percent of the world is not black," He said. "If you're working on something that's kind of for black people, you have to then look and see the other 80 percent you're usually not marketing to might need it even more." So one should not limit himself and keep on gaining knowledge to widen his horizon which would help him to run a business smoothly.

As someone beautifully said:“When work, commitment, and pleasure all become one and you reach that deep well where passion lives, nothing is impossible” That passion helped him become one of the wealthiest men in America and allowed him to shape the face of music, fashion, business and philanthropy. He loved his work, and that’s why he is so successful in his field because he is doing something which he adores. "I was very lucky that I found a passion,"

We learn a lot from the sayings and quotations of successful business leaders because their words do matter, as they talk with the experience knowledge and talent. Some of the precious words of wisdom by Russell Simons are stated below:

I want to fight poverty and ignorance and give opportunity to those people who are locked out. If you learn late, you pass it on to people so they can learn early. It`s a step process. Piling up zeros in your bank account, or cars in your driveway, won't in and of itself make you successful. Rather, true success is based on a constant flow of giving and receiving. In fact, if you look up affluence in the dictionary, you'll see its root is a Latin phrase meaning "to flow with abundance". So in order to

be truly affluent, you must always get what you have received flow back into the world. Message learned
The message which we learn from the precious and valuable sayings of Russell Simmons is that when we achieve the paramount success and fulfill our aspirations we have to transfer our knowledge to others and it’s our duty to help others with our experiences so that they would learn from our mistakes and go through the obstacles. The ultimate definition of success is when a person constantly gives and receives, it’s a two way process. It’s our duty to give back to the world as well rather than being selfish and heartless.

Shakespeare beautifully articulated about leadership by saying "Some men are born great, some achieve greatness, and some have greatness thrust upon them". Russel Simons is the one who achieved greatness with his constant devotion and commitment to his work. Nobody expected success from Russell Simmons; nobody expected anything from Russell Simmons. Having been written off by society as a drug dealer, Simmons dedicated his life to proving that he could be more. He focused on his passion for hip-hop, identified a void in the music industry at the time, and set out to fill that void. Since that time, his keen sense of business and promotion has turned the Simmons name into a marketable brand in and of itself. With a personal net worth of approximately $500 million, Simmons is now approaching the age when many choose to retire. But, he shows little interest in slowing down. He still goes to work daily and asks himself, “What else?”His dedication, commitment and passion aided him to reach the heights of his business and enabled him to be one of the most influential businessmen of United States of America, it’s tough to belief that this same guy was a drug dealer once, that’s the beauty of his life story. Today, he's devoting a lot of his time to giving back through various charities and educational programs. Simmons also wants to teach the rest of us the principles that have made him so successful.

Black Collegein http://www.black-collegian.com/issues/2ndsem08/business_mind.htm


William Jean A. 03 March 2010 , Inside The Business Mind Of Russell Simmons: Creating a Business Legacy ttp://findarticles.com/p/articles/mi_qa3628/is_200802/ai_n25501588/pg 4/?tag=content;col Wikipedia http://en.wikipedia.org/wiki/Phat_Farm ROD Kurtz, Russell Simmons, Rush Communications Hip-Hopping to the top: Simmons’ Rise to Success http://www.evancarmichael.com/FamousEntrepreneurs/544/HipHopping-to-the-Top-Simmons-Rise-to-Success.html Look to The Stars, The world of celebrity giving http://www.looktothestars.org/celebrity/728-russell-simmons Alexis Wiley. Wednesday, 16 Feb 2011, Russell Simmons on His Secret to Success http://www.myfoxdetroit.com/dpp/entertainment/celebrity_news/russell-simmons-on-hissecret-to-success -20110216-wpms Hurt III, Harry (April 22, 2007), The New York Times, "The Russell Simmons Guide to Success Through Spirituality Simmons, Russell (February 24, 2010). "Why I Meditate". HuffingtonPost.com.





Warren A. Bechtel was born on a stock farm in Freeport, Illinois, September 12, 1872, and is a son of the late John M. and Elizabeth (Bentz) Bechtel, both of whom were natives of the state of Ohio. John M. Bechtel was a farmer and cattleman in Illinois until 1884, when he removed with his family to Kansas, in which state Warren A. Bechtel graduated from high school. The latter then went to work on the farm and afterward engaged in the cattle business for a short period. He played trombone in a band as a young man, unable to make a living as a musician. Subsequently he made his way to the Indian Territory, he worked with a mule to grade railroad track bed, and subsequently he was able to find work on other railroad projects, eventually becoming a foreman and then a contractor. In 1898 he opened his own engineering office, specializing in railroad and irrigation work, and in 1925, with his brother and three sons, he incorporated his office as W. A. Bechtel & Company. His early work included the Northwestern Pacific Railroad and the Caribou Water Tunnel in the Sierra Nevada. The company's first federal contract for highway construction was signed in 1919, and by the mid -1920s Bechtel & Company was the largest construction firm west of the Mississippi River. When the federal government announced its intention to construct Hoover Dam -- then the largest civil engineering project in American history -- six engineering firms formed a consortium called Six Companies, Inc. Bechtel's company was the consortium's largest shareholder and he was named president, but he did not live to see the dam's completion.

In 1933 he accepted an invitation to consult w ith Russian engineers and tour the Magnitogorsk and Dnieperstroy Dams in the Soviet Union. Instructed to come alone, he left his wife at a hotel in Vienna and flew to Moscow, checked in to the National Hotel, and there he died of an overdose of insulin on 28 August 1933. After a brief power struggle his son, Stephen D. Bechtel, became president of the firm, which remains the largest engineering company in the world.

W. A. Bechtel Co. was a family business from the beginning. W. A. was determined to build a company that would allow him to pass along to his children not just financial security and 174

physical assets, but a sense of responsibility and obligation to company employees and associates, and to the enterprise. He took immense pleasure in the increased interest and involvement of Bechtel family members. His younger brother, Art, was a mainstay on numerous railroad jobs; Warren Jr., Steve, and Ken all shared their father’s enthusiasm for building. There was never really any question about what the Bechtel boys would do when they grew up. Dusty equipment yards filled with massive trucks and steam shovels served as their childhood playgrounds. By the time they were in their late teen the sons were well s, positioned to carry the business into the next generation. Each of them enrolled at the University of California at Berkeley and did well academically. But all left before graduation because their father needed them. Their country needed them, too. Warren Jr. and Steve shipped out to France in 1917 to serve in the U.S. Army, Warren Jr. with the 18th Engineers, Steve with the 20th Engineers. When the boys came home in 1918, W. A. was counting on the rapidly expanding influence of a second generation of Bechtels to ensure continuity of family control. He would not be disappointed. Warren Jr., Steve, and Ken spent their time overseeing Bechtel projects and subcontracting small jobs on their own. In 1923, young Warren took a subcontract with Utah Construction to extend his father’s earlier Natron work for Southern Pacific. When the horse teams bogged down in the deep Oregon mud that winter, Warren remembered the new 60-horsepower track laying tractors he had seen on large commercial farms. These machines could get traction on soft ground where horses and mules were helpless. Warren bought some of these tractors, hitched trailers behind them, and moved the heavy equipment and materials. It was perhaps a first in the construction industry and would become standard practice with contractors throughout the world. Around this time, in 1923, Steve took a job as project chief constructing Southern Pacific’s main line extension into Phoenix. He had married Laura Adeline Peart earlier in the year, and when he went to Phoenix, Laura went with him. It was the first of many moves for the couple, and it established a firm policy of, quite simply, “no Laura, no Steve.” If Laura couldn’t travel with him, Steve wouldn’t go. Their personal commitment soon became a Bechtel policy of encouraging and paying for many wives to travel on business with their husbands. 175

Ken’s interests tended toward administration and financial management, although one early job would reveal a deeper passion. His supervision of bridge construction for the General’s Highway in Sequoia National Park was the start of a lifelong commitment to natural history and the environment, reflected in the austere beauty of the masonry bridges fashioned from the region’s native stone. The job lost money, largely as a result of environmental guidelines that Ken carried out to the letter. The U.S. Bureau of Public Roads required that trees be protected in blasting areas, and Ken took considerable ribbing for the metal pants he put on every tree trunk. W. A. formally acknowledged the contribution of his family in 1925 by incorporating the company, with his sons as officers, along with brother Art. At its birth, W. A. Bechtel Co. was one of the largest and most respected construction firms in the West. With his sons and partners overseeing much of the current business, W. A. could finally afford to devote more of his time to developing new markets. He had long had his eye on the power industry and was eager to find a showcase job that would demonstrate Bechtel’s abilities. He found it in 1921, in the mud and waste disposal challenge of the Caribou Water Tunnel in Plumas County, California, located high up in the Sierra Nevada range near Reno, Nevada. Bechtel built a two-mile-long, 12-foot-diameter tunnel for Great Western Power, which later became part of Pacific Gas and Electric (PG&E)—the company’s first job for a large power utility. Here, Steve showed his prowess, too. Working on the tunnel during a summer break from Berkeley, he devised a way to remove the waste from the excavation more efficiently and cut the project’s cost significantly. He returned to school with a handsome bonus. The job provided the company not only an entrée into the power industry, but an introduction to PG&E, which would, over the ye ars, become one of Bechtel’s leading customers.

Family leadership has been a hallmark of Bechtel for all of its 110 years. From founder Warren A. Bechtel to current CEO Riley Bechtel, four generations have steered the company and led its growth from a small road -grading business in the American West to its current standing as a global leader in engineering and construction.


Managing a global corporation effectively takes considerable skill and expertise to ensure success. Several factors affecting global businesses, in particular those affecting Bechtel Corporation and show how the organization has continued to be profitable while managing these controllable and uncontrollable forces are given below. Bechtel Corporation, founded in 1898 by Warren Bechtel, is a global engineering-construction organization, that provides premier technical, management, and directly related services to develop, manage, engineer, build, and operate installations for customers worldwide. It is the intent of the company to bring expertise to the specific markets being serviced while applying core competencies and skills to all the work accomplished. To do this effectively, Bechtel has many internal and external forces that it must contend with and overcome. External factors affecting Bechtel are numerous and constant. If companies like Bechtel are not armed with the tools to combat these forces to help mitigate the impact, the company can suffer greatly. Here are some examples of these forces and what Bechtel has done. Last year, Bechtel worked some 900 jobs in nearly 60 countries and reported revenues of $11.6 billion. This represents a decrease from $13.4 billion from the previous year. The company attributes this decrease to an overall lethargic global economy last year, which led to some customers canceling, suspending or slowing down their projects. To compensate for this factor, Bechtel opted to focus on integrating the finance, development and ownership segments of the company with core processes of construction and engineering as means of protecting the business financially. Considering the extensive amount of construction work, the environment and its protection are a key factor in how Bechtel does business. Environmental laws and regulations can apply to virtually every aspect of Bechtel's business. Construction activities often require compliance with many environmental laws and regulations. These laws should be aggressively enforced in every region in which Bechtel operates, ensuring no work is planned that contradicts these laws. Bechtel's legal department consistently strives to ensure each requirement is fully met and every employee performing work involving these regulations is responsible for adherence. One of Bechtel's chief competitors in the construction and engineering industry includes Fluor Corporation, based in Aliso Viejo, California. This company operates at nearly the same level as Bechtel, maintaining nearly 55,000 employees and generating some $9 billion


in revenues as of 2001 Also in close competition is AMEC, also a construction and engineering services company based in the UK and also employing more than 50,000 globally. Each of these competitors represents a threat to Bechtel at any time, making this a prevalent thought in the minds of Bechtel senior management. Each time a contract is won, Bechtel has ensured that it can offer the best service, technology at the best value as compared to its competitors. With the wining of the award of the USAID contract for the rebuilding of Iraqi infrastructures after the recent war, Bechtel was among the select few given the opportunity to bid based on its reputation of performing above standard and ahead of its competitors. The last external factor is the technological factors that Bechtel faces every day. To complete the enormous projects that Bechtel takes on such as the “Chunnel" as it's fondly called in Europe, the Channel Tunnel Rail Link connecting Paris to London, it is important that the company monitor technological advances as well as be mindful of when technology may be lacking and a potential hindrance to completing work. In many cases, Bechtel's work becomes the source of technology itself by creating new ways to generate power, or even communicate. For example, Bechtel has contracted with Cingular Wireless and with AT&T Wireless on two projects meant to improve cellular communication in more than 70 markets in the US. Even while building to improve technology, Bechtel must be aware of how technology can improve their work, hinder performance or be the source for more business.

Warren A. Bechtel takes a job working on the railroad in Oklahoma Territory.

W. A. Bechtel lands his first construction subcontract: making a cut for Weste rn Pacific Railroad in California. During this project, W. A. rents, and then purchases, his first steam shovel, a Model 20 Marion.

Klamath Highway in northern California becomes Bechtel’s first major construction project other than railroads. The Kla math job is also a California landmark: It is the first contract in the state issued by the U.S. Bureau of Public Roads.


The Caribou Water Tunnel in northern California is W. A. Bechtel Co.’s first job for a large power utility. The tunnel is part of the Caribou Power Plant, which will generate 75 megawatts of electricity. A key player on the project is W. A.’s college -age son, Steve.

W. A. Bechtel Co. is officially incorporated, with W. A., Steve, Warren Jr., Ken, and Art Bechtel listed as principals. W. A.’s growing operation specializes in railroad projects, including grading railroad beds, enlarging tunnels, and constructing train sheds and snow sheds.

Bechtel’s first foray into the dam-building business, Bowman Dam, is completed. The cons truction site is so remote that the company is forced to construct a camp, complete with a hospital, a hundred head of cattle, a slaughterhouse, and storage facilities, to sustain the crew for the winter.

Bechtel’s first pipeline, the eight-mile -long Tres Piños–Milpitas in California, begins operation. This entry into the pipeline business is championed by Steve Bechtel; over the next six years the company lays more than 1,000 miles of pipe.

A group including Bechtel begins constructing Hoover Dam. Completed in 1936, two years ahead of schedule, the project includes four of the largest rock tunnels ever built, the dam itself, and two giant spillways, each large enough to hold a battleship.

Steve Bechtel becomes vice president of Bridge Builders, Inc., a joint venture of construction companies that takes on the job of sinking foundations for the eastern cantilever span of the San Francisco–Oakland Bay Bridge.

Industrial Engineering Co., a Bechtel subsidiary, is established to manufacture and apply a Somastic pipe coating, which reduces corrosion and greatly increases a pipeline’s lifespan.


Bechtel-McCone -Parsons Corp. is formed, specializing in petroleum refinery engineering and construction. Steve Bechtel, who anticipates rapid growth in the oil business, heads the new corporation.

Bechtel-McCone -Parsons wins a contract to engineer and build a hydrogenation plant in Richmond, California. The plant is BMP’S first refinery, as well as one of the first petroleum refineries in the West.

The 75-mile Mene Grande pipeline in Venezuela is Bechtel’s first project overseas. The pipeline transports oil from the interior to tankers on the coast. Today, the Bechtel Corporation is still owned and operated by the Bechtel family. Its current CEO is Riley P. Bechtel, one of the richest men in the United States.

Bechtel is the world's No. 1 choice for engineering, construction, and project management. Their diverse portfolio encompasses energy, transportation, communications, mining, oil and gas, and government services. No matter how challenging a project or how remote its location, chances are Bechtel can handle it. That's because the company brings an unmatched combination of knowledge, skill, experience, and customer commitment to every job. Bechtel has had record revenues for the past five years, and Engineer ing News-Record (ENR) has named Bechtel the top U.S. construction contractor for 12 straight years which haven’t changed since the company was founded. While the company works for governments and commercial customers, their projects have helped grow local economies and improve the quality of life for communities and people around the world. Time and again their work has demonstrated that the only limits on human achievement are those that we place on ourselves. In 2009, we had revenues of $30.8 billion and booked new work valued at $20.3 billion and over 57000 employees

• Airports and seaports


• • • • • • • • •

Communications networks Defense and aerospace facilities Environmental cleanup projects Fossil and nuclear power plants Mines and smelters Oil and gas field development Pipelines Roads and rail systems Refineries and petrochemical facilities

Warren A. Bechtel, of San Francisco, the president of the widely known contracting firm of W. A. Bechtel Co., and president of the Six Companies, Inc., which latter organization, composed of contracting firms, was formed for the purpose of constructing the mammoth Hoover Dam in Boulder canyon. Warren A. Bechtel was born on a stock farm in Freeport, Illinois, September 12, 1872, and is a son of the late John M. and Elizabeth (Bentz) Bechtel, both of whom were natives of the state of Ohio. John M. Bechtel was a farmer and cattleman in Illinois until 1884, when he removed with his family to Kansas, in which state Warren A. Bechtel graduated from high school. The latter then went to work on the farm and afterward engaged in the cattle business for a short period. Subsequently he made his way to the Indian Territory, where he was employed in a railroad camp as a laborer and later filled various positions, principally in Wyoming, Oregon and Nevada. In 1900 he became foreman on the reconstruction of the Union Pacific Railroad in Wyoming. From 1902 until 1903 he was associated with the engineering department of the Central Pacific division of the Southern Pacific Railroad. In 1904 he was superintendent on the construction of the Richmond Belt Line Railway, and the grading of the Santa Fe line from Richmond to Oakland. In 1906, Mr. Bechtel became a subcontractor on the construction of the Western Pacific Railroad; after this, on the Natron cut-off of the Southern Pacific in Oregon; the Oakdale irrigation district canal in California; and the Northwestern Pacific Railway through Eel river canyon in California. He has been in business as a general contractor for himself since 1914.


The W. A. Bechtel Co. was incorporated in May, 1925, the members of the firm being Warren A. Bechtel and his three sons - Warren A., Jr., Stephen D. and Kenneth K.--and A. V. Bechtel, brother of Warren A. Bechtel, who is a director of the company. Some of the principal contracts which the company has undertaken may be noted as follows: the Natron cut-off in 1926-27, in conjunction with the Utah Construction Company; the precast unit -built concrete train-sheds and roundhouses (the patents of which Mr. Bechtel owns) for the Western Pacific, the Southern Pacific, the Union Pacific, and the Santa Fe Railroads; the Bowman rock-fill dam and tunnel for the Nevada Irrigation District (California), doubletracking of the Santa Fe through New Mexico and Arizona; and reconstruction of forty miles of the Sacramento Northern Railroad (California). As Bechtel & Palmer, they constructed in 1930 the natural gas pipe-line from Tracy to Crockett for the Standard Oil Company, and from Milpitas to Tres Pinos for the Pacific Gas & Electric Company. In conjunction with the Kaiser Paving Company, as the Bechtel-Kaiser Company, Ltd., they laid natural gas pipelines in Texas, Arizona, New Mexico, Kansas, Oklahoma and Montana, totaling about one thousand miles. Also, in conjunction with the Kaiser Paving Company, as the Bechtel-Kaiser Rock Company, they constructed in 1927 and have since operated the Oroville rock plant for concrete aggregates and railroad ballast. With the Utah Construction Company, they have the contract for the construction of the northern California extension of the Western Pacific Railroad line from Keddie north to Bieber , a distance of one hundred and twelve miles. Another recent large contract is that of the Bonita rock-fill dam in New Mexico for the Southern Pacific. The W. A. Bechtel Co. has achieved national recognition by being one of the group of contracting firms organized to form the Six Companies, Inc., for the purpose of building the Hoover Dam in Boulder canyon, and the appurtenant works. Six Companies, Inc., was incorporated under the laws of Delaware in February, 1931, by the following contractors: W. A. Bechtel Co. of San Francisco; Henry J. Kaiser of Oakland, California; the Utah Construction Company of San Francisco and Ogden, Utah; MacDonald & Kahn Company of San Francisco; Morrison-Knudsen Company of Boise, Idaho; J. F. SheaCompany of Portland, Oregon. W. A. Bechtel is president of Six Companies, Inc. After the award of the contract for forty-eight million, eight hundred and ninety thousand, nine hundred and ninety-six dollars, Six Companies, Inc., organized the Boulder City Company to take care of the housing, feeding and commissary.


Warren A. Bechtel has consistently been interested in promoting the standards of the contracting business. He was one of the first members of the Associated General Contractors, and was national president in the year 1929, while in 1920 he had been influential in forming the California chapter. Warren A. Bechtel was married to Miss Alice West, of Indiana, and to their union four children have been born, namely: Warren A., Jr., Stephen D., Kenneth K. and Alice. Mr. Bechtel is a thirty-second degree Mason through both the Scottish and the York Rites, and he is a member of the Islam Temple of the Mystic Shrine and of the Benevolent and Protective Order of Elks. He belongs to the Masonic Club, the Commonwealth Club and the San Francisco Chamber of Commerce.

Warren A. Bechtel was a man with a vision accompanied with a strong motivation which drove him rig orously towards the achievement of his goals. He understood the requirements of the age; equipped with his knowledge and strong family support he was able to steer a company which started by providing logistics through mules to a globally recognized trademark in construction business. In fact he didn’t just keep his passion to himself but also infused it in his children which, later, as we see, have taken over the company and made it a huge success. Bechtel does not only work in the construction but now provides an array of industrial services from machine manufacture to engineering designs. Their diverse portfolio encompasses energy, transportation, communications, mining, oil and gas, and government services and they currently have projects in dozens of locations worldwide, from Alaska to Australia. That's because they bring an unmatched combination of knowledge, skill, experience, and customer commitment to every job. Warren Bechtel’s brilliant ideas in logistics are still implied today whenever it comes to route modeling and completion. His strong consideration towards ethics, safety and quality provided the basic draft for several other companies and later the constitutional rights of labor. Bechtel's culture is now grounded in integrity and respect. Which means: adhering to the highest standards of ethics. Bechtel’s quality policy meant doing the job right the first time. He left behind a portfolio of aweinspiring work. He can also be considered as a natural leader, a reliable father figure who was known even in construction camps as a good provider. Warren Bechtel will always be remembered as a leader in the construction and logistics paradigm who drove the little 183

garage-shed company to the 3rd biggest construction company of the world. He worked on several projects throughout his tenure but the most enduring monument Bechtel built was not a dam or a railroad; it was the ideals embodied in the family firm that would bear his name into the next century.

http://www.articleclick.com/Article/Effective-Management-of-GlobalOrganizations/1064877 http://en.wikipedia.org/wiki/Warren_A._Bechtel http://www.nndb.com/people/167/000207543/ http://freepages.genealogy.rootsweb.ancestry.com/~npmelton/sfbbech.htm
http://www.bechtel.com/BAC -Chapter-1.html





Pierre Omidyar is a great thinker of our time. He started a small auction site, Auction Web, and turned it into the billion dollar enterprise that we now know as eBay.

Pierre Omidyar is the founder of eBay. He was born in Paris in 1967, the only child in a French-Iranian family. At the age of six, the family immigrated to the United States and he grew up in and around Washington, D.C. Pierre became fascinated with computers while still in high school as he used to sneak out of the gym for teaching himself on his science teacher’s cheap computer. He later graduated to an Apple II and got paid to computerize the school’s library catalogue. In the mid-1980s, Pierre Omidyar went to Tufts University near Boston. His main subject was computer science and Apple programming became his obsession. Pierre did all his work on a Macintosh from his dorm room, rather than use the PCs in the computer laboratory. He created his first Mac programmer’s utility tool for other programmers. He got a summer job as an intern in Silicon Valley with Innovative Data Design, a company which wrote image programmes’ for Macs. This led to a full-time job and Pierre Omidyar took the following semester off to continue working. After completing a further semester at Tufts University, he moved to the University of California-Berkeley, where he finished his degree in Computer Science. After graduation he worked for Claris, a subsidiary of Apple Computer, developing software for the Macintosh. In 1991, he co-founded Ink Development Corp. with three friends. The company included an Internet shopping segment and was later renamed eShop Inc. Omidyar worked as a software engineer for eShop until the end of 1994, when he became a developer services engineer for General Magic, a mobile communication platform company. In 1996, eShop was sold to Microsoft, but Omidyar remained fascinated by the technical challenges of online commerce.

While living and working in the San Francisco Bay Area, he met Pamela Wesley, a graduate student in biology who later embarked on a career as a management consultant. Pierre Omidyar married Pamela in a private ceremony at the Bellagio Hotel in Las Vegas in February 1999. He presented his new bride with an extremely rare Pez bride and groom set 186

that he found on eBay, which was his favorite purchase from the auction site he founded. The couple lives in Las Vegas, Nevada. Omidyar enjoys racquetball, backgammon, and reading, and was awarded the Ernst & Young's Entrepreneur of the Year award in 1999. Pierre and Pamela established The Omidyar Foundation, designed for a new style of philanthropy dubbed venture philanthropy. The foundation benefited a small number of causes that followed solid business plans and met certain criteria, including earning enough to sustain the nonprofit side of their work. The couple planned to eventually donate most of their $3.75 billion fortune to the foundation. In a much repeated story, Omidyar originally created an online auction site to help his wife trade and collect Pez candy dispensers. He created a simple prototype on his personal web page, and launched an online service called Auction Web as a sole proprietorship on Labor Day weekend in 1995. The first item sold on the site was not a Pez dispenser, but a broken laser pointer. Omidyar was astonished that anyone would pay for the device in its broken state, but the buyer assured him he was deliberately collecting broken laser pointers. Similar surprises followed. The business exploded as correspondents began to register trade goods of an unima ginable variety. Omidyar incorporated the enterprise; the small fee he collected on each sale financed the expansion of the site. The revenue soon outstripped his salary at General Magic, and Omidyar decided to dedicate his full attention to his new enterprise. Business expanded through word of mouth, and Auction Web added a Feedback Forum, allowing buyers and sellers to rate each other for honesty and reliability. From collectibles, the site quickly expanded into a vast range of saleable items, including furniture, electronics, home appliances, cars and other vehicles. In 1996, Omidyar signed a licensing deal to offer airline tickets online. In 1996, Auction Web hosted 250,000 auctions. In the first month of 1997, it hosted 2 million. By the middle of that year, eBay was hosting nearly 800,000 auctions a day.

Omidyar went to work with General Magic, a software company, in 1994 and made extra money designing Web pages on the side. The girl he was dating at the time, Pamela Wesley, who would later become his wife, collected Pez dispensers and often complained how difficult it was to meet others passionate about her hobby on the internet. Thoughtfully,


Omidyar appended a small online auction to his personal website so Pamela would make contacts with other collectors as well as buy and sell. eBay (electronic Bay, as in the San Francisco Bay area), as it was when it first appeared in 1995, operated merely as a forum for people to sell and bid on various items. Omidyar did not back goods, mediate conflicts, or get involved if there were accusations of dishonesty or abuse of the system. Almost immediately, collectors of Barbie dolls, Beanie babies and the like flocked to eBay. Three months after its launch, Omidyar had to ask his friend Jeff Skoll, also a programmer, for help. In order to cover the new costs involved with the growth of the business, Omidyar began charging small change to list an item on the site and took a small commission if the item was bought.

Pierre Omidyar changed the company's name to eBay short for "electronic Bay" in honor of his San Francisco Bay area home and began to advertise the service aggressively. The basic, black–and–white website was free to use. Omidyar, who viewed the early venture as simply a hobby, didn't even draw a salary at the time. Publicized largely through word of mouth, the business quickly caught on and in 1996 his Internet service provider, Best Internet, informed him that he needed to upgrade his $30–a–month system due to heavy traffic. Omidyar quit his day job that year to devote himself to eBay's burgeoning business full–time. The site was easy to use, sellers and buyers came together to trade a wide variety of items from antiques to collectibles. Omidyar settled on the auction format as a way of creating an efficient market. In time, eBay's users suggested charging small fees for placing an item for sale to keep people from posting items with little value. Omidyar concurred and in February 1996 eBay began charging sellers a placement fee, starting at 25 cents, as well as a percentage of the item's closing price. The fee system also served to make the company profitable. eBay was incorporated in May 1996. At the time its staff consisted of only Omidyar and Chris Agarpao, a part–time employee. Later that year Omidyar, who was still running the business out of his home, recruited Jeff Skoll to serve as vice president of strategic planning and analysis. It was Skoll who formulated the company's first business plan. Omidyar, meanwhile, focused on educating himself about the evolution of the website he created—who was buying what and what people wanted. 188

In 1996 the company moved its operations to Skoll's home and then to a temporary office in Sunnyvale before settling in San Jose, California. One year later, the volume of e–mail that the three employees were getting became unmanageable, so Omidyar hired approximately one dozen customer support personnel. In mid– 1997 eBay held nearly 800,000 auctions a day. By late 1997 more than 3 million items had been sold, valuing $94 million, and generating $5.7 million in revenue for eBay. Skoll and Omidyar realized that the company needed more direction than they could provide so they turned to the venture capital firm Benchmark Capital. After receiving a $5 million investment from Benchmark, they immediately began searching for a CEO that could provide eBay the leadership that it required. They set their sights on Meg Whitman, general manager of the pre–school division at Hasbro Inc. Whitman was skeptical about leaving the toy giant to join the small upstart, but after meeting with Omidyar and realizing eBay's potential, she accepted the position in 1998. eBay went public in September 1998 with an initial offering price of $18 per share that climbed to $47.38 by the end of the first day of trading. With all its success, though, eBay was not without its problems. The ever–expanding list of registered users and items for auction left eBay scrambling to update its technology and outages were frequent. Omidyar handed the company's day–to–day responsibilities to Whitman in order to pursue outside interests, particularly philanthropy. eBay constantly endeavored to improve its site. Its roster of merchandise categories and sub– categories expanded frequently. For example, the addition of eBay Motors, an automobile category, was a major success for the company. It added new features, like the popular "Buy it Now" option that enabled bidders to buy an item for a set price without waiting for the auction to end. It also added chat rooms and bulletin boards to help users connect with each other and talk about their hobbies, interests, or what they were looking to buy next. He has served as Chairman of the Board since its incorporation. At first, he also served as Chief Financial Officer, President and CEO, but he relinquished these positions one by one, the last when he hired former Hasbro executive Meg Whitman to serve as CEO in 1998. At the time, eBay had barely 30 employees, half a million users and U.S. revenues of $47 million. The rapid expansion of eBay's traffic did not come without growing pains. In 1999 the


company suffered a number of service interruptions, one lasting 22 hours, but Omidyar moved quickly to regain the confidence of the site's customer base. The company made 10,000 phone calls to the site's top users to apologize for the interruption and assure them that everything possible would be done to keep the site up and running in the future. As other online ventures fell victim to the dot.com bust of 2000, eBay continued to grow and prosper. In 2002, eBay acquired the online payment processing firm PayPal, which it uses to process most of its online transactions, compelling many online sellers to employ the service. At the same time, eBay diversified its services, allowing sellers to engage in fixed-price and "best offer" sales as well as conventional auctions. Software developers can create applications to integrate into the site through the eBay Developers Program. In 2005, eBay opened a category for buying and selling surplus industrial machinery and business equipment. Many large companies now use eBay to set prices for their products and services.

Pierre Omidyar serves on the Board of Trustees of Tufts University, The Santa Fe Institute and The Omidyar Foundation. In November 2005, Pierre and Pamela Omidyar announced their gift of $100 million to endow the Omidyar-Tufts Microfinance Fund. At the time, it was the largest gift in the history of Tufts University, as well as the largest private allocation of capital to microfinance by any individual or family. The fund, administered by the Board of Trustees of Tufts University, invests in international microfinance initiatives designed to empower people in developing countries to lift themselves out of poverty. Ten years after going public, eBay had expanded around the world, employing more than 15,000 persons to serve a customer base numbering in the hundreds of millions, operating in 30 countries, with especially large presences in China and India. In 2009, eBay reported revenues of $8.727 billion, and Forbes magazine estimated Omidyar's net worth at $3.6 billion. Among other Omidyar family philanthropies, the Omidyar Network supports the creators of the emergency communication technology Ushahidi (Swahili for "testimony"), an application which allows users to create maps from data submitted by cell phone users. Originally created in the violent aftermath of the 2007 election in Kenya, it has since been used to track damage from the oil spill in the Gulf of Mexico and to locate trapped survivors of the 2010 earthquake in Haiti. Crowdmap, a free user-friendly web-based version of the application is now available online, thanks to the support of the Omidyar Network. In 2010, Pierre Omidyar


joined Microsoft founder Bill Gates and investor Warren Buffett on the list of 40 billionaires pledging to donate at least half their wealth to charity. In fact, Pierre and Pamela Omidyar have resolved to give away all but one percent of their fortune over the next 20 years.

What began as a hobby for Pierre Omidyar, who was looking for an interesting way to please his girlfriend and to dabble in cyberspace, spawned one of the Internet's most successful companies, surviving in an environment where many failed in the dot–com downturn. eBay was the first person–to–person trading site and enabled millions of users to create a unique marketplace for themselves. The website evolved with the various needs of its community, adding more categories as new interests emerged and old ones became crowded, and empowering people in the process. The most popular shopping site on the web, eBay's growth prospects remained strong. Business 2.0 quoted the soft–spoken, modest Omidyar as he addressed a group of Pez collectors: "What eBay is today is what you've built. What eBay will be tomorrow is what you'll create."

Pierre’s personality and leadership style reflect as an inspirational leader. As he has the ability to inspire people to reach great heights of performance and success is a skill that leaders need. He respects everyone as a unique individual, provides his employees with an open and safe environment which motivates them. He has a vast ability to communicate that passion, purpose and meaning to others helps establish an inspirational culture of in his organization. He is also known as innovative as he was the first maker of such an online auction which today is known as eBay.

Pierre Omidyar received the Golden Plate of the Academy of Achievement from Academy member Quincy Jones at the 2000 International Achievement Summit.

Pierre Omidyar started life out in Paris, France. He later moved with his family during his teenage years to the United States. Once he obtained his degree in Computer Science, he


began working for an Apple Inc. subsidiary. Omidyar was 28 when he developed the basis for what is now known as eBay. The site went live in September of 1995 and gradually the popularity grew. Omidyar began to enhance the site and started to bring in others to help out in order to account for the growing demand in his soon to be company. eBay has since become a mega success with Omidyar’ s net worth amounting to about $2.6 billion as of today! What started out as a simple buy/trade auction site has morphed into one of the top sites on the internet to date. No bad for someone who didn’t set out with any of this in mind!

The lessons that I learned from Pierre Omidyar and the things that I found best about him are as following: • • • • • You never know what’s going to happen until you try (Pierre Omidyar had no idea his auction site would turn into mega success eBay) Start small and evolve over time with your audience (Omidyar concept was simple to start and grew to meet user needs over time) Everyday problems are great to consider when developing a product on the internet. It makes the reach for potential users much higher. Don’t be afraid to reach out for help to fill the gaps between your skills and your vision. Listen to your users and keep them at the front of your work.

Marketing nirvana, 2008. Marketing nirvana [online]Available at: http://mariosundar.com/2008/03/23/technologists-for-obama-pierre-omidyar/ MARCH 23, 2008 12:23 AM ] Wikipedia,2011. Wikipedia the free encyclopedia [Online] Available at: Wikipedia,2011. http://en.wikipedia.org/wiki/Pierre_Omidyar Achievement,2010. Academy of achievement [Online] Available at: http://www.achievement.org/autodoc/page/omi0bio -1 [accessed Aug 17, 2010 12:39] Aron Hsiao, 2009. [Online] Available at: [accessed







Dave Thomas was born in Atlantic City, New Jersey on July 2, 1932. Rex and Auleva Thomas adopted him at six weeks old. When Dave was five, Auleva died and his early years were spent moving from state to state while his adoptive father sought work. Dave’s fondest memories of his childhood included summers spent with his Grandma Minnie Sinclair in Michigan. She taught him about doing the right things, treating people well and important lessons about quality and servic e – all things he later used in his business life. Dave got his first job at age 12 as a counterman at a Knoxville restaurant, and fell in love with the restaurant business. When he was 15, he found work at the Hobby House Restaurant in Ft. Wayne. It was then that he made what he considered his greatest mistake: he dropped out of school to work full-time. His father and stepfamily were preparing to move again and Dave decided to stay in Ft. Wayne, move into the YMCA and work full-time. This decision to drop out haunted him until he went back to school 45 years later and received his GED from Coconut Creek High School in Ft. Lauderdale. He said this was one of his greatest accomplishments, as was being named “Most Likely to Succeed” by the graduating class of 1993. Through his work at the Hobby House, Dave met Colonel Sanders, founder of Kentucky Fried Chicken (now KFC) and the man who became one of the greatest influences in his life. In 1962, Dave had a chance to turn around four failing KFC restaurants in Columbus, Ohio owned by his Hobby House boss, Phil Clauss. Four years later, by using his experience and determination, he turned the stores around, sold the restaurants back to KFC and received a percentage of the sale – a millionaire at age 35. Dave often said he was lucky to have been born in America. “Only in America,” he said, “would a guy like me, from humble beginnings and without a high school diploma become successful. America gave me a chance to live the life I want and work to make my dreams come true. We should never take our freedoms for granted, and we should seize every opportunity presented to us.” His “rags -to-riches” success story earned him the Horatio Alger Award. It was presented to him in 1979 by Dr. Norman Vincent Peale, a man he greatly admired.“Innovative Twist on an Old-Fashioned Idea” When he was a child, Dave dreamed of opening a hamburger restaurant. On November 15, 1969 Dave made his dream come true when he opened the first Wendy’s 195

Old Fashioned Hamburgers restaurant in Columbus, Ohio. Named for one of his daughters, Wendy’s was everything Dave dreamed of: an old fashioned, homey place where families could be together and enjoy great tasting, made -to-order hamburgers. Dave’s restaurant experience and vision enabled him to devise a method to prepare fresh, made-to-order hamburgers at a time when other quick-service restaurant chains were mass producing their food. “We don’t make a sandwich until it’s sold, so every Wendy’s sandwich is served hot-off-the-grill with the customer’s choice of toppings. They aren’t pre-made and put under a heat lamp,” Dave said. His innovative system allows Wendy’s to prepare individually made sandwiches while serving millions of customers each day. Dave revolutionized the industry in other ways as well. Wendy’s became known for fresh (not frozen) ground beef hamburgers that are square rather than round. Dave explained, “At Wendy’s, we don’t cut corners!” All hamburger patties that were cooked but not sold became chili meat. At a time when American fast food restaurants featured plain plastic chairs and linoleum floors, Dave created an old-fashioned atmosphere by carpeting the dining rooms and furnishing them with Bentwood chairs, Tiffany-style lamps and newsprint table tops. Dave also created the modern -day Pick-Up Window, revolutionizing the quick service restaurant industry. Under Dave’s leadership, Wendy’s been the first in the quick service restaurant industry to introduce the salad bar and baked potatoes nationwide. The restaurant industry and the business community have applauded Dave’s innovation and success with Wendy’s. Dave received every major industry award and was honored as a pioneer in the restaurant business. Though business experts would point to different elements of Wendy’s operations as the reason for its success, to Dave it all came down to one thing: the customers. “If we take care of our customers every day and exceed their expectations, we’ll earn their loyalty,” he said. “It all comes back to the basics: serve customers the best tasting food at a good value in a clean, comfortable restaurant and they’ll keep coming back.”

While his success elevated his status in the business world as a pioneer, he never lost sight of his roots. “I’m just a hamburger cook,” Dave said on many occasions. He was most at home when talking with Wendy’s restaurant managers and operators because he understood them and what they face every day. And to those managers and operators, Dave wasn’t just the


founder of the company; he was a role model and an example of how hard work, dedication and commitment can lead to success. He shared his experiences and knowledge he gained in his autobiography, Dave’s Way, published in 1991. His success enabled him to travel around the world. Dave was probably best known as the “guy on Wendy’s TV commercials.” In early 1989, Dave agreed to appear in a few Wendy’s commercials. During his nearly 13-year run (and 800+ commercials) as Wendy’s spokesman, Americans came to love him for his down to-earth, homey style. This campaign made Dave one of the nation’s most recognizable spokesmen. The Guinness World Records™ recognized the Dave Thomas Campaign as the “Longest Running Television Advertising Campaign Starring a Company Founder.”Throughout the campaign, Dave appeared with many famous celebrities, including NHL star Mike Richter, Olympic Gold Medalist Kristi Yamaguchi, and soap opera star Susan Lucci. Because of his honesty and oldfashioned values, Dave emerged from Wendy’s advertising campaign as an American folk hero.

Dave believed that everyone has a responsibility to give something back to the community. The cause closest to his heart was adoption. Adopted as an infant, Dave felt a strong personal tie to those children who were waiting to be adopted. He said he was lucky to have been adopted and wanted every waiting child to have a permanent home and loving family. In 1990, President Bush asked Dave to head the White House Initiative on Adoption. With his background as an adoptee and his stature in the business community, he accepted the challenge of raising awareness for the cause. Dave found that there were several obstacles to adoption: the red tape and paperwork was usually overwhelming, and the pr ocess too expensive for prospective parents. There were families in America who wanted to adopt, but the obstacles were often too great. With this focus, Dave set his course. He devoted time and energy to special adoption programs In 1992, he established the Dave Thomas Foundation for Adoption, a not -for-profit organization that provides grants to national and regional adoption organizations for


programs that raise awareness and make adoption easier and more affordable. He realized many successes in his wo for the cause. rk

While much of Dave’s time was focused on the cause of adoption, he actively supported many other community organizations that improved the lives of children. He was a long-time supporter of the Children’s Hospital in Columbus and was instrumental in creating the Gordon Teter Chair for Pediatric Cancer Research in honor of Wendy’s late chairman. Additionally, he created the Dave Thomas Family Primary Care Center at the hospital with a $1 million donation. An earlier contribution created the Dave and Lorraine Thomas Clinical Laboratory. Dave contributed $2 million in cash and stock to the Arthur G. James Cancer Hospital at The Ohio State University. This contribution established the R. David Thomas Outpatient Chemotherapy Center at the hospital. He and his wife Lorraine supported the Children’s Home Society of Florida, providing seed money to build a temporary home for children in Ft. Lauderdale. Called the I. Lorraine Thomas Children’s Emergency Home and Family Support Center, the home has room for 28 children who are in protective custody. Dave supported many other organizations including St. Jude Children’s Cancer Research Center in Memphis, and Charity Newsies and Recreation Unlimited, two Columbus -based organizations. A strong believer in education, Dave established the Thomas Center at Duke University. The Center houses the Fuqua School of Business’ Executive Education programs. He also supported the Enterprise Ambassador Program at Nova University in South Florida.. Dave was also a founder of The Wellington School, a private school in Columbus, Ohio.Dave’s commitment to Wendy’s and to children is what motivated him to continue working when others might have retired. He accomplished a great deal in his life, but considered his family – his wife Lorraine, their five children and 16 grandchildren – his greatest accomplishment.

Dave’s real genius was his simplicity. When he talked, people listened – not just out of respect, but because they knew they would learn something. His straightforward messages about quality, integrity, respect, pride and responsibility were important lessons – for business and for life. Here are the values by which Dave lived his life. 198

I. Quality is Our Recipe
Dave loved people and he loved restaurants. And he was passionate about quality. When he talked about quality, it wasn’t just the food served at Wendy’s. Quality meant everything to Dave. His passion was so strong that he made “Quality Is Our Recipe” a permanent part of Wendy’s logo.

II. Do the Right Thing
Dave lived his life with honesty and integrity. He was a man of his word, and he believed that if you say you’re going to do something, do it. He considered personal integrity to be the most important value one can have. He taught that it wasn’t really that hard to make a tough decision. Examine the situation, especially a difficult one, and simply choose to do the right thing. Doing the right thing is the best choice because you earn your reputation by the things you do every day. He knew that the reason many people make the wrong decision is because they try to take a short cut that might save time and money. Dave, though, would say you’d probably lose in the long run. Dave practiced what he preached and was honest about the mistakes he made in his life. And one that really bothered him was his decision to drop out of school at age 15 to work fulltime.

III. Treat People with Respect
Dave lived by the Golden Rule: Treat others the way you want to be treated. He simplified this by saying, Just Be Nice. Dave loved quality … and he loved people. To Dave, being nice meant talking to people honestly. It might mean telling them news they may not want to hear. But he knew that if you treat them with respect and dignity they are more likely to accept what you have to say. Being nice also means being a good listener. It’s a sign of respect, and you’ll learn more by listening, he would always say.

IV. Profit is Not a Dirty Word
There’s nothing wrong with making a profit and taking pride in your success. To Dave, profit in business meant growth and opportunities. It also meant being able to share your success with your team and your community. When you take care of your business — through hard


work, a focus on quality and taking care of your customers — your business will take care of you. Dave overcame tremendous obstacles in his life, growing up as an orphan who never knew his birth parents. He believed that teamwork was the key to success. Dave liked to say, “There’s no ‘I’ in Wendy’s. The first two letters are WE.” He believed everyone has a role to play and every person is important. He believed leaders should give their people the tools they need to do their job, motivate them, and then trust them to get the job done. Dave wanted everyone to have a chance to succeed, and he created opportunities for thousands of people to be successful.

V. Giving Back
Dave believed everyone has a responsibility to give something back — to help those who can’t help themselves. Giving back doesn’t simply mean giving money to charities. It also means giving your time or sharing your special skills. Dave believed the more you give, the more you get in return. Mentoring — sharing your experiences with someone — was one of Dave’s favorite ways to give back. He credited several mentors in his life for making him successful. .

Lesson #1: Be A Visionary
Thomas didn’t just know how to cook a good hamburger; he single -handedly revolutionized the fast food industry. He didn’t want to be just another fast-food joint; he wanted to create the type of old-fashioned family restaurant that he had dined in so many times with his father and he wanted to serve quality food.

Lesson #2: Get Back To Basics
“It all comes back to the basics,” said Thomas. “Serve customers the best-tasting food at a good value in a clean, comfortable restaurant, and they'll keep coming back.”

Lesson #3: Give Something Back
“We have a responsibility to help others who can’t help themselves,” said Thomas. “The more you give, the more you get in return.”


Lesson #4: Act with Integrity
“Mary Kay Ash, founder of Mary Kay Cosmetics, once told me something I’ll never forget,” recalled Thomas. “She said the one suggestion she got in life that helped her most was to ‘pretend that every single person you meet has a sign around his or her neck that says, ‘Make me feel important.”

Lesson #5: Believe In Your Dream
When Thomas was 15 years old, he wrote an essay for school called The Pursuit of Happiness. In it, he wrote, “When I was eight years old, I dreamed that I would one day own the best restaurant in the world. My restaurant would serve great tasting hamburgers made just the way you like them, and all of the customers would love the food and come back again and again.”

Thomas died at his home in Fort Lauderdale , Florida, after a decade -long battle with liver cancer. He was 69. He was buried in Union Cemetery in Columbus, Ohio. At the time of his death, there were more than 6,000 Wendy's restaurants operating in North America.

The young man began working when he was just twelve years old, not even a teenager yet. He worked at many restaurants and gained a lot of experience throughout his life from his early childhood. Though life was not looking kindly on the young Dave Thomas, he did have joys in his life. One of Dave's biggest joys was eating at family res taurants. He loved to see the families interacting with one another and having a good time. This would influence Dave heavily, as he was young when he made up his mind that he wanted to open his own restaurant. After years of hard work and perseverance, Dave's life-long dream came true when he opened his very first Wendy's Old-Fashioned Hamburger Restaurant in Columbus, Ohio. The name was his youngest daughter's nickname. Her real name was Melinda Lou, but her older siblings nicknamed her "Wendy". The three things which he thought are needed to start a business are, first know your product better than anyone, second is know your customers and third is to have a burning desire to succeed. 201

I have learned from Dave Thomas that u should believe in your dreams. People may tell you that you won’t make it, that you’re wasting your time. If you keep your dream in mind, have done your research and are willing to work hard, you can make it come true. The five values which I explained earlier are of great importance for an entrepreneur. He was a very humble and kindhearted person he does not only focused on his business he also believed in “giving back”. His management style was friendly and he used to share his experience and success stories with others so they can also learn from them and become successful. Today, Wendy's has grown into more than five thousand restaurants in the United States and thirty-four countries. And the name "Dave Thomas" can be equated with the terms "success."

I like Dave Thomas because he was a patriarch, a great, big lovable man. Wearing a Wendy's apron, Thomas was one of the nation's most recognized television spokesmen. He has appeared in almost every advertisement for the No. 3 burger chain in the United States since 1989.I liked his folksy style and his relaxed pitch for his restaurants, Thomas became a household name. As a young boy, Dave and his adoptive father moved around a lot. It was lonely life, but eating in restaurants gave him comfort and showed him what family life was really like. In his adoptive family, Dave was closest to his grandmother and cherished the time he spent with hr and the lessons she taught him. Overcoming the challenges and hardships of his childhood and setting goals for his future drove him around success. Each day, each effort, each experience brought him closer to his dream. He was down -to-earth. His strong belief of giving back to the communities that support the business impressed me. Throughout his life, he shared his energy, his time and his money. As a successful businessman, Thomas founded numerous charities, including the Dave Thomas Foundation for Adoption, a cause he was particularly passionate about. Dave’s honesty and integrity showed in his words and his actions, and he lived his life by a strong set of values and encouraged others to do the same.

http://www.wendys.com/dave/davethomas_biography.pdf http://en.wikipedia.org/wiki/Dave_Thomas_(American_businessman) 202

http://money.cnn.com/2002/01/08/companies/wendys_obit/index.htm http://www.essortment.com/history-wendys -restaurant-21035.html http://www.wendys.com/





The murmurs of up market chat, the clicks of a neighbors’ laptop, the buzz of a mobile phone, and all around the aroma of roasting coffee beans. It's the 21st century and if you're one of Howard Schultz's coffee converts, you're no doubt sitting in a Starbucks. Howard Schultz an inspiring entreprene ur, whose success story stems from his early life like many, has surfaced as an inspiration for those many who aspire just the same. His success story likewise cannot be understood in its true essence if it’s not started from scratch and like many others j st the same, his childhood seemed to have played a pivotal role in his being and u where he stands now. Stemming from a poor family, Howard Schultz had been subjected to the cruel adversities of life since the earliest recollection of his childhood. Determined to make his life better, Howard Schultz indulged in many sporting activities at which he found himself excelling at and ultimately rewarding him a football Scholarship, earning him admittance into the Northern Michigan University- the first member of the family to have been admitted into a university. After graduating in 1975, Howard had the opportunity to work at many places until he found himself a spot at the Xerox Corporations and thereafter at the Swedish drip coffee maker company Hammerplast. ‘I believe life is a series of near misses. A lot of what we ascribe to luck is not luck at all. It's seizing the day and accepting responsibility for your future. It's seeing what other people don't see and pursuing that vision.’ Howard, clearly a far-sighted man, while still working for Hammerplast, found the need to travel to Seattle and check out a popular coffee bean store chain called Starbucks that had been purchasing the coffee makers from his company of employment. On visiting he found himself mesmerized and overwhelmed with the way the business owners put care into choosing and roasting the beans. He also was impressed with the owners' dedication to educating the public about the wonders of coffee connoisseurship. "I walked away ... saying, 'God, what a great company, what a great city. I'd love to be a part of that,’ it is just this that took him a whole year in convincing Starbucks into hiring him and succeeded, making him director of marketing and operations. Another epiphany and another travel- Howard while his stay in Italy took notice of the extensive existence of coffee shops in practically every nook and corner of the city, serving as a mere social gathering place for the many people that lived in the city. Thrilled by the very concept, Howard deemed it necessary to impart to his bosses the concept that he believed would excite as many as him, but to his dismay, he didn’t receive the same response as he had anticipated and his idea remained unheeded. Howard, adamant 205

and certain of the success of h idea left Starbucks and started his own company by the is name Il Giornale, which was later renamed as Starbucks after being bought off by Howard following his success of his company. Howard a man of unfaltering and relentless determination had dreamt of b uilding a compa ny and he did so since the company began to expand rapidly in the '90s and continues to do so. Schultz always said that the main goal was "to serve a great cup of coffee." But attached to this goal was a principle: Schultz said he wanted "t o build a company with soul” leading to a series of unprecedented practices in the retail that altered the many aspects of management and that only hold true and unique for Howard. Howard, when asked of the key to success this is how he recounts four principles: "Don't be threatened by people smarter than you, compromise anything but your core values, seek to renew yourself even when you are hitting home runs and everything matters”. These four principles that Howard adheres to has pretty much formed the basis of his management practices that has over the years translated into the increased productivity of the company and its success. Howard is held high for his well- meant practices in managing his people and his business and holds high stake on his employees while he considers them the key to success. Howard holds a prolific reputation concerning matters of his employees; insisting comprehensive health coverage for his employees working at least 20 hours a week. He pioneered the introduction of an employee stock option plan that persuades of his well- intended intentions for his employees ensuring and retaining the loyalty of those responsible for the operations of his business, the result of which were a very low turnover rate even though the salaries of the employees were fairly low. He aspired to build a company where everyone was respected something his father never got, “he was beaten down, he wasn't respected," Schultz said. "He had no health insurance, and he had no workers' compensation when he got hurt on the job." Howard, a unbridled enthusiast with his employees, makes sure he stays in touch with each and every employee working in his company, to be able to understand them better and provide for them while they provide for you.

Howard accentuates the importance of the latest technology facilitating his practice. He always highlights the importance of latest technology in successful business and that is just what he practices. Very recently he expressed his excitement in introducing wireless 206

activities to its customers so that they would avail all the technological facilities while they enjoyed a sip of their coffee and while they socialized. He believes in the need of updating oneself according to the need of the time and when necessary because only will you be able to succeed if you keep yourself abreast with the rest of the world. He not only believes but practices the same altogether, bringing innovations into this management year after year to fit those that are required under the recent trend in globalization. Schultz continues to speak to Starbucks's heart by constantly pushing for renewal and reinvention. Despite his company's accomplishments, he knows it is not a corporate utopia. "Being a great leader means finding the balance between celebrating success and not embracing the status quo," he muses. "Being a great leader also means identifying a path we need to go down and creating enough confidence in our people so they follow it and d on't veer off course because it's an easier route to go."

Howard Schultz believes in persisting delivering to its customers as the company continues to grow exponentially . The art of leadership is making sure we don't allow the scale and size of the company to change the methodology of how we conduct ourselves," says Schultz. "We have to be careful not to let our values be compromised by an ambition to grow, he believes in the perseverance in committing to quality delivery and commits to it likewise.

Buying a water company and contributing a nickel from every bottle sold to organizations that get clean water to children around the world-reinforces Starbucks's image of integrity and reinforces the practices of the owner with integrity. Howard has often actively seen as a participant in activities contributing to the benefits for the community, he understands the role of being socially responsible for the world community and often a time has been seen active in such activities. Howard, with his success story might be improvising just the right management practices but it comes as no surprise if at the core of those management practices lay the intention of persistence in quality delivery, intact dignity of people and integrity and the desire to deliver back to the community in the best possible way. For management practices with such well meant intentions can be nothing but only just right.


William Meyers, Conscience in a Cup of Coffee http://www.usnews.com/usnews/news/articles/051031/31schultz.htm Dan Skeen, Howard Schultz Secrets for Success http://www.successtelevision.com/index2.php?option=com_content&do_pdf=1&id=3676 Howard Schultz Quotes http://www.evancarmichael.com/Famous-Entrepreneurs/643/How ard-Schultz-Quotes.html Chairman and chief global strategist, Starbucks Corporation http://www.referenceforbusiness.com/biography/S -Z/Schultz-Howard-1953.html





Charles Schwab was born on July 29, 1937 in Sacramento, California, USA He spent his childhood in Woodland, California and while being a child, he suffered of dyslexia .His parents seemed to ignore the problem entirely, and the nuns who taught at the parochial school he attended simply thought he was a slow learner. He relied on classic comic books to complete his reading assignments. Against All Odds His first jobs included sacking and selling walnuts, and selling chickens and eggs. He learned from an early age the importance of devising a profitable business concept, and perseverance, which also helped him make it through high school. Schwab entered Stanford University in 1955, thanks to his high grades in math and science. As a freshman, he failed both French and English, but made it through his undergraduate years with the aid of understanding roommates and prepared notes. While reading and writing may have not been his forte, he possessed very strong conceptual capabilities that helped him solve complicated business problems. Before long, Schwab discovered his aptitude for economics and other business courses, which led to his earning a BA in Economics, in 1959. He went on to Stanford Graduate School of Business, where he received his MBA in 1961. In 2006 the Forbes Magazine placed him and his wife among the 50th richest person in the United States, their fortune is estimated at approximately $4.6 billion. During the years he was the supporter of privatizing Social Security accounts, and lobbied against a new electronic system to centralize stock trading, which could have allowed investors to find the best prices. He has a house in Atherton, California where he lives along his wife and they are philanthropists. The money he earned with the help of his great intelligence is being spent mostly on helping people with problems. The 1929 stock market crash ruined Schwab financially. He spent his last years in a small apartment. He could no longer afford the taxes on "Riverside" and it was seized by creditors. He had offered to sell the mansion at a huge loss but there were no takers. At his death ten years later, Schwab's holdings in Bethlehem Steel were virtually worthless, and he was over US$ 300,000 in debt. Had he lived a few more years, he probably would have seen his fortunes restored when Bethlehem Steel was flooded with orders for war


material. He was buried in Loretta at Saint Michael's Cemetery in a private mausoleum with his wife.

Why Is He Famous
Schwab is the founder, Chairman of the Board and Co-Chief Executive Officer of the Charles Schwab Corporation, the first discount brokerage firm in America, which he created in 1974. Chuck's firm was also a pioneer in the world of online investing, and today, his San Francisco-based company employs 19,000 and serves nearly eight million client accounts worldwide.

Schwab the Man
Charles Michael Schwab is best known as a leader, innovator, and motivator when he was at the helm of the steel firm that no longer exists. Schwab was also human. He was a gambler, union buster, and businessman of questionable tactics.

His Achievements

• • • •

Uniting four municipalities into the city of Bethlehem Building elegant Hotel Bethlehem for Bethlehem Steel’s clients to enjoy premier lodging and dining Instrumental in the construction of the Hill to Hill bridge, connecting the city’s South Side to the North Side and creating Liberty High School Patron of the Bach choir Philanthropist

Other Achievements
He was U.S. entrepreneur and steel- industry pioneer. He joined Andrew Carnegie's steelworks at Braddock, Pa., as a laborer and rose swiftly in the Carnegie empire. In 1892 Carnegie delegated to Schwab the task of returning the plant in Homestead, Pa., to normal production after the bloody Homestead Strike. His success in improving labor relations and increasing production l d to his appointment as president of Carnegie Steel Co. in 1897 at the e age of 35. Schwab proposed the merger of the competing steel companies that would create the U.S. Steel Corp., and he became its first president in 1901. He resigned in 1903 to devote


himself to the Bethlehem Steel Corp., which he built into one of the nation's largest steel producers of its time

Chuck Schwab was a strong leader but weak manager. The leadership strengths of Schwab include: • • • • • • • • • • • • • • • • • Schwab's ability to vision, Achieve employee "buy-in" to the company mission, Practice renewal, Ability to motivate others Highly visible values and vision. Giving market access to people Provide value to customers Paid attention to good business principle Determined to -provide customers with the most useful and ethical brokerage services in America His vision was reflected in to his personal values of fairness, empathy, responsiveness, service As a weak manager there were two managerial shortcomings that include He created a high stress environment He did not communicate concrete

May 2009: Schwab ranked number 3 overall, ahead of 13 other firms, in Smart Money’s annual survey of discount and full-service brokerages. Schwab also earned a bestof-category score in Research and was named the magazine’s top choice for Research. May 2008: Schwab's High-Yield Investor Checking account was awarded Best Checking Account by Money magazine in its The 100 Best list. And Barron's ranked


Schwab number five in its annual Barron's 500, a unique ranking of the 500 largest (by sales) publicly traded companies in the U.S. and Canada. March 2008: Schwab ranked number four in the Securities category of Fortune's Most Admired Companies list.

From above data it is concluded that Charles Schwab Corporation has been a leader in financial services and made it possible through advocacy and innovation. The company has worked to make investing more affordable, more accessible, and more understandable to all. Charles Schwab is one of those rare cases in business in which the name of a company and that of its founder are inseparable. He was brilliant, gleaming dramatic, remarkable, and impulsive leader from his childhood to death he seems to be a very h working person .he ard was very motivated and dedicated towards his work. He never gave up in his life .Despite his dyslexia, Schwab remained confident and convinced never allowing his condition to get him down or stop him from succeeding at other tasks. He was a sort of person who was having the ability to arise enthusiasm in people and the tools which he used for it were appreciation and encouragement. He was a risk taker person that’s why in his whole life he was ready to risk his fortune .He was having natural ability to influence other people. Schwab influenced people by his sentiments, contagious enthusiasm and by his personal knowledge of each man .He was very genius and smart in management of people and machinery

• • • • • Geographic location plays an important role in the success of the business High return in higher risk business Never give up if you face hardships in life If you want to become a successful business man always act in the best interests of your clients. Hard work is the best investment in the business

http://biography.yourdictionary.com/charles-michael-schwab http://www.rodneyohebsion.com/charles-m-schwab.htm







Richard Branson is an inspiration to many, the champion of customers and hero of many business people. The Virgin founder is a maverick entrepreneur and hippy billionaire, adventurer and philanthropist. He is always looking for new ways to do more for people, and to create a better world. In June 2008, I had the opportunity to spend a few hours with him - to interview him at the London Business Forum - to explore what drives him, what matters most to him, and what comes next in his amazing life. He is one of the world’s most famous entrepreneurs, the loveable underdog with the shaggy beard and chunky jumpers, or the loathed self-publicist out to pick a fight with big business. Yet he is one of the most successful business people of our generation, a fantastic guy who really cares about his people and his customers, and is now spending most of his time trying to make a positive difference to the world. Born in 1950 in Black heath, London, Branson excelled at sports although his mild dyslexia meant that he struggled academically. His first business ideas, formed in the school library involved Christmas trees and budgerigars, and writing stories about his sexual conquests. They didn’t take off, but then in 1967 his idea for a magazine called Student did. He sold advertising space from the telephone box outside his school during break times, and was soon able to publish the first issue. He used to ask the telephone operator to connect him to potential clients, making it appear that she was his secretary.

Virgin Group Ltd is widely known for its presence in a vast array of global markets that include music, radio, and mobile services, among others. The leadership and management tactics of the company are often covered by the media for its track record of success and efficiency. The Virgin brand was founded in 1968 and is now recognized worldwide for its success in many different industries. Sir Richard Branson is the current chairman of the company and is well known for his colorful yet competitive leadership style. Many scholars and business analysts attribute the Vir gin Group’s success to the innovative leadership style of Branson. He often took on risky business ventures in an attempt to diversify and add value to the company. His business plan is to focus on very small segments of a particular market


and doing a high quality job at providing the product or service. This concept is able to gain small monopolies on a market share and often creates very high profit margins. Contributing to his success was his ability to lead people to innovate and grow. This philosophy sets the tone for the management team within the company. The organizational culture of Virgin Group is quite complex. Virgin Group serves as a parent company of over 100 separately run companies that operate in industries that are often completely unrelated. The common denominator within each company is the Virgin Brand. The brand is similar or identical within each separate operation. This symmetry serves as a guideline for the image that each division or department is expected to represent. This image is one of quality and innovation (Virgin). By creating an exceptional brand, the company is able to create a high level of loyalty within its customer base. The diversity of businesses operated by Virgin Group helps the company maintain a high level of loyalty in many different industries. This is the ultimate reason why company has seen a high level of success throughout is many different business ventures. Managers within the company use the concept of innovation to inspire the employees to contribute to the company at all levels, rather than just doing what they are told. Employees can contribute to the cutting edge products that the company creates as well as look for new ways to increase the overall efficiency of the company. The Virgin Group has been able to create a management style that encourages employees to be competitive. This also gives people the desire to see the company succeed in order to be a contributor to a fresh and creative business model.

There is a solid distinction between leadership and management within the Virgin Group. Transformational leadership comes from the top managers and executives within the company. Richard Branson along with other company executives have set many common goals for the company to achieve as a whole. These ambitious goals include expansion into international markets, utilization of new technology, loyalty among customers, and joint ventures with other companies. Goals of this level are voiced to all people involved with the company. This has a benefit to the company by giving everybody involved a challenging mission to accomplish. The highest level of management encourages employees to use their skills in a way that will best compliment the company. The idea behind this is to promote the philosophy that the overall benefit of the company will lead to individual benefits for each 217

person involved. Group contribution will eventually lead to rewards for executives, managers, employees, shareholders, and customers alike. The lower level manag ement positions tend to focus more strictly on the management side of the company. Leadership is encouraged among managers, but it often takes strict management to get the job done. Each management function varies within the different divisions in the company. Managers at the Virgin Group have a wide range of goals to pursue. Because each division within the company varies in its specialization it takes well trained managers to run it effectively. Managers hired by the company tend to have a solid background in their area of specialization. They also need to have a history of proven management experience to be considered for a position. Ultimately, managers within the Virgin Group deal with managing the day to day tasks required to keep their division running efficiently. Organization is a crucial component to the success of the Virgin Group. Because the company is very complex, organization is critical step in the planning process to be considered. First, the company has a wide range of goals it wants to ac hieve as a whole, such as creating brand loyalty and expanding to a global level. The top executives are in charge of determining these goals and explaining them to the rest of the company. In order for the goals to be received well by the employees, executives must be confident that the goals can be achieve while simultaneously making them challenging. The purpose of this is to give people the sense that they are involved in an important and meaningful task. Second, these goals must be organized within eac h division. Each division will have separate specialized goals on how to increase their market share and improve their product or service in the process. As you move down the supply chain the goals become more specific and short term. This system of organization keeps the company on track to achieve the top level goals set by executives. The success of the Virgin Group over the years has proven this to be an effective organization system for the company. The planning function of management is the first step to creating a winning team of managers. As mentioned before, planning at the highest level is done by the top executives within the company. The complexity of the Virgin Group requires detailed planning at multiple levels in the business. Strategic planning is done by executives, which is voiced to every person involved with the company. This allows all employees to understand what their mission is in the broadest sense. From there, planning must be done for each individual 218

division within the Virgin Group. For example, Virgin Trains, which is a railroad operator in the United Kingdom, has a set of goals that is specific to the business that they deal with. Their goals will differ substantially from that of Virgin Mobile, which will need to take much different steps in order to become a successful business. Each division of the company shares the same brand and is responsible for maintaining the integrity of the brand and increasing customer awareness of the Virgin brand. Planning at every level of the company ensures that each division has specific goals and the steps needed to complete each goal. The organizing function is also very important to the company. A high level of organization is needed at all levels of the operation. For example, each division needs to organize their management structure. This is often done by trial and error to determine the most efficient ratio of managers to non-managers. When the proper determination is made the company can organize its management structure in order to meet the highest level of efficiency. Leading is perhaps the most interesting and important function of management to the Virgin Group. The leadership dynamics start with Chairman Richard Branson. He is a ver y vocal and flamboyant leader. His mission is to inspire those who work below him to work to the best of their abilities for the good of the company. He often pushes his belief that by contributing to the good of the company it will increase the rewards for everybody involved. He has stated that he tries to bring the best out of people and does this for workers at the lowest levels as well as the top ranking executives. This philosophy is encouraged to all managers within the company. Management is expected to embrace this principle and pass it on to the employees that they are managing. Another aspect of Branson`s leadership style is that he tends to give people a high level of freedom in their work (Carmichael, E). It is his goal to first give them direction in their work, and then let them take control of the situation there after. Freedom in their work allows them to excel without the need for micromanagement. Richard Branson`s leadership style and vision for the company has made him the center of attention within many business and management discussions throughout. The controlling function of management is the least important function to the Virgin Group. As a whole, controlling is often felt to be unnecessary by top level management. The company believes that employees should have a certain amount of freedom to make choices for the good of the organization. It is this freedom and decision making that has the potential to bring out the best in an employee. Branson has stated that if an employee does not ex at cel


their work they should be given another chance with a different job within the company (Carmichael, E). This innovative thinking helps to create a healthy organization structure. Managers can utilize many different strategies to maintain a healthy organizational structure. My first recommendation would be transformational leadership. Transformational leadership allows groups of people to work together for one common goal. By working together a group can come together to achieve great things and improve their overall efficiency. This differs with transactional leadership where individuals are rewarded for their personal performance. This type of leadership can lead to greed and a lack of teamwork. My second recommendation would be to utilize delegation. Delegation is a great way to develop the skills of employees. When management can determine where a person will be most efficient it will help those involved in the project. By putting people in the jobs that they a best suited for it will lead to a more enjoyable and effective working environment. In summary, there is a lot to be learned from the management and leadership of Virgin Group Ltd. Chairman Richard Branson has created a unique management formula that has contributed to the long term success of the company. Although there is a clear distinction between management and leadership, the company has been able to integrate a blend of each in many aspects of the business. The transformational leadership has proved to be a valuable tool for executives , managers, and workers alike. Employees within the company have a willingness to work together to expand and improve the company in order to reach their own personal success in life.

Richard Branson is a flamboyant British entrepreneur with a seemingly insatiable appetite for starting new businesses. His internationally recognized brand "Virgin" is splashed across everything from credit cards, to airlines and music "megastores". Branson is continuously seeking new business opportunities and loves a good challenge, especially when he enters a market that is dominated by a few major players. I am highly impresses by his passion about life and living every minute to its fullest. Since 1985 he has been getting his adrenaline rushes through world record breaking attempts by boat and hot air balloon. Branson also has a philanthropic streak. R ichard Branson is a very inspirational person. He has set challenging goals and achieved every one of them. He is a true entrepreneur and a role model to not only


business executives, but also for us, students around the world. Success is the first word that comes to mind when Richard Branson's name is mentioned. "Sometimes I do wake up in the mornings and feel like I've just had the most incredible dream. I've just dreamt my life."

Carmichael, E. Losing his Virginity: How Branson Achieved Success. Accessed on 6/15/08 from http://www.evancarmichael.com/Famous Branson-Achieved-Success.html Werdigier, J. Oct 2007. Virgin Group Plans for Venerable British Bank, Now Troubled. New York Times. Accessed on 6/15/08 from Entrepreneurs/592/Losing-His -Virginity-How-

http://www.nytimes.com/2007/10/13/business/worldbusiness/13bank.html http://www.virgin.com/AboutVirgin/WhatWeAreAbout/WhatWeAreAbout.aspx http://www.europeanleadershipcentre.com/download/1241181033.pdf http://www.upxsuccess.com/leadership_richard_branson.html http://www.ouchh.com/Articles/articles/16/1/Richard-Branson/Page1.html http://www.thinkingmanagers.com/management/management-profile.php






Jeffrey P. Bezos was born in Albuquerque, New Mexico. His mother was still in her teens, and her marriage to his father lasted little more than a year. She remarried when Jeffrey was four. Jeffrey's stepfather, Mike Bezos, was born in Cuba; he escaped to the United States alone at age 15, and worked his way through the University of Albuquerque. When he married Jeffrey's mother, the family moved to Houston, where Mike Bezos became an engineer for Exxon. Jeffrey's maternal ancestors were early settlers in Texas, and over the generations had acquired a 25,000-acre ranch at Cotulla. Jeffrey's grandfather was a regional director of the Atomic Energy Commission in Albuquerque. He retired early to the family ranch, where Jeffrey spent most of the summers of his youth, working with his grandfather at the enormously varied tasks essential to the operation.

Bezos showed intense and varied scientific interests at an early age. He rigged an electric alarm to keep his younger siblings out of his room and maintain his privacy. He converted his parents' garage into a laboratory for his science projects. From an early age, Jeffrey displayed a striking mechanical aptitude. Even as a toddler, he asserted himself by dismantling his crib with a screwdriver. He also developed intense and varied scientific interests, rigging an electric alarm to keep his younger siblings out of his room and converting his parents' garage into a laboratory for his science projects. When he was a teenager, the family moved to Miami, Florida. In high school in Miami, Jeffrey first fell in love with computers. An outstanding student, he was valedictorian of his class.

He entered Princeton University planning to study physics, but soon returned to his love of computers, and graduated with a degree in computer science and electrical engineering. After graduation, Jeff Bezos found employment on Wall Street, where computer science was increasingly in demand to study market trends. His went to work at Fitel, a start-up company that was building a network to conduct international trade. He stayed in the finance realm with Bankers Trust, rising to a vice presidency. At D. E. Shaw, a firm specializing in the application of computer science to the stock market, Bezos was hired as much for his overall talent as for any particular assignment. While working at Shaw, Jeff met his wife, Mackenzie, 223

also a Princeton graduate. He rose quickly at Shaw, becoming a senior vice president, and looked forward to a bright career in finance, when he made a discovery that changed his life - and the course of business history.

The Internet was originally created by the Defense Department to keep its computer networks connected during an emergency, such as natural catastrophe or enemy attack. Over the years, it was adopted by governm ent and academic researchers to exchange data and messages, but as late as 1994, there was still no Internet commerce to speak of. One day that spring, Jeffrey Bezos observed that Internet usage was increasing by 2,300 percent a year. He saw an opportunity for a new sphere of business, and immediately began considering the possibilities. In typically methodical fashion, Bezos reviewed the top 20 mail order businesses, and asked himself which could be conducted more efficiently over the Internet than by traditional means. Books were the commodity for which no comprehensive mail order catalogue existed, because any such catalogue would be too big to mail -- perfect for the Internet, which could share a vast database with a virtually limitless number of people. He flew to Los Angeles the very next day to attend the American Booksellers' Convention and learn everything he could about the book business. He found that the major book wholesalers had already compiled electronic lists of their inventory. All that was needed was a single location on the Internet, where the book-buying public could search the available stock and place orders directly. Bezos's employers weren't prepared to proceed with such a venture, and Bezos knew the only way to seize the opportunity was to go into business for himself. It would mean sacrificing a secure position in New York, but he and his wife, Mackenzie, decided to make the leap.

Jeff and Mackenzie flew to Texas, where they would have ready access to the book wholesaler, and to the pool of computer talent Jeff would need for his enterprise. They set up shop in a two -bedroom house, with extension cords running to the garage. When the test site was running, Jeff asked 300 friends and acquaintances to test it. The code worked seamlessly across different computer platforms. On July 16, 1995, Bezos opened his site to the world, 224

and told his 300 beta testers to spread the word. In 30 days , with no press, Amazon had sold books in all 50 states and 45 foreign countries. By September, it had sales of $20,000 a week. Bezos and his team continued improving the site, introducing such unheard-of features as one-click shopping, customer reviews, and e-mail order verification. The business grew faster than Bezos or anyone else had ever imagined. When the company went public in 1997, skeptics wondered if an Internet-based start-up bookseller could maintain its position once traditional retail heavyweights like Barnes and Noble or Borders entered the Internet picture. Two years later, the market value of shares in Amazon was greater than that of its two biggest retail competitors combined, and Borders was striking a deal for Amazon to handle its Internet traffic. Jeff had told his original investors there was a 70 percent chance they would lose their entire investment, but his parents signed on for $300,000, a substantial portion of their life savings. "We weren't betting on the Internet," his mother has said. "We were betting on Jeff." By the end of the decade, as six per cent owners of Amazon, they were billionaires. For several years, as much as a third of the shares in the company were held by members of the Bezos family.

From the beginning, Bezos sought to increase market share as quickly as possible, at the expense of profits. When he disclosed his intention to go from being "Earth's biggest bookstore" to "Earth's biggest anything store," skeptics thought Amazon was growing too big too fast, but a few analysts called it "one of the smartest strategies in business history." Through each round of expansion, Jeff Bezos continually emphasized the "Six Core Values: customer obsession, ownership, bias for action, frugality, high hiring bar and innovation." "Our vision," he said, "is the world's most customer-centric company. The place where people come to find and discover anything they might want to buy online." Amazon moved into music CDs, videos, toys, electronics and more. When the Internet's stock market bubble burst, Amazon re-structured, and while other dot.com start-ups evaporated, Amazon was posting profits. In October 2002, the firm added clothing sales to its line -up, through partnerships with hundreds of retailers, including The Gap, Nordstrom, and Land's End. Amazon shares its expertise in customer service and online order fulfillment with other vendors through co branded sites, such as those with Borders and Toys 'R Us, and through its Amazon Services 225

subsidiary. In September 2003, Amazon announced the formation of A9, a new venture aimed at developing a commercial search engine that focuses on e -commerce web sites. At the same time, Amazon launched an online sporting goods store, offering 3,000 different brand names. Amazon.com ended 2006 with annual sales over $10.7 billion. Amazon is now America's largest online retailer, with nearly three times the sales of his nearest rival. Today, Jeff Bezos and Mackenzie live north of Seattle, and are increasingly concerned with philanthropic activities. "Giving away money takes as much attention as building a successful company," he has said. The success of Amazon has also allowed Bezos to explore a lifelong interest in space travel. In 2004, he founded an aerospace company, Blue Origin, to develop new technology for spaceflight. The company is based on a 26-acre research campus outside Seattle and maintains a private rocket launching facility in West Texas. Blue Origin has received funding from NASA and is testing New Sheppard, a multi-passenger rocketpropelled vehicle designed to travel to and from suborbital space at competitive prices. New Sheppard will allow researchers to conduct more frequent experiments in a microgravity environment, as well as providing the general public with an opportunity to experience spaceflight. In its mission statement, Blue Origin identifies its ultimate goal as the establishment of an enduring human presence in outer space.

As exciting as that prospect may be, Jeff Bezos has had more terrestrial innovations on his mind as well. In 2007, Amazon introduced a handheld electronic reading device called the Kindle. The device uses "E Ink" technology to render text in a print-like appearance, without the eyestrain associated with television and computer screens. Unlike earlier electronic reading devices, the Kindle incorporate wireless Internet connectivity, enabling the reader to purchase, download and read complete books and other documents anywhere, anytime. Hundreds of books may be stored on the Kindle at a time. With the introduction of the Kindle, Amazon quickly captured 95 percent of the U.S. market for books in electronic form -- e-books. The first major challenge to the Kindle's supremacy in the e-book market came in 2010, when Apple introduced its iPad tablet computer, which is also designed for use as an electronic reading device. Bezos responded aggressively, cutting the Kindle's retail price and adding new features. One model works with Wi-Fi, a second ads G3 mobile technology. The new Kindles are thinner and lighter than their predecessors, with faster page-turning 226

capability and longer battery life, are easier to read in sunlight, and cost hundreds of dollars less than the iPad. In 2010, Amazon signed a controversial deal with The Wylie Agency. Wylie gave Amazon the digital rights to the works of many of the authors it represents, bypassing the original publishers altogether. This, and Amazon's practice of selling e-books at a price far below that of the same title in hardcover, angered several publishers, as well as some authors, who see their royalty rates threatened. But it appears that the advent of electronic reading devices is increasing the overall sales of books, which can only benefit readers and authors alike. By mid-2010, Kindle and e-book sales had reached $2.38 billion, and Amazon's sales of e-books topped its sales in hardcover.

With e-book sales increasing by 200 percent a year, Bezos has predicted that e-books will overtake paperbacks and become the company's bestselling format within a year. Having already revolutionized the way the world buys books, Jeff Bezos is now transforming the way we read them as well.

Amazon is the totem stock of the Internet evangelists. Critics tell you that through smoke and mirrors, PR, and puff, one man have succeeded Holly Becker, e-commerce analyst at Lehman Brothers and a long-time Amazon believer switched her recommendation on the company from a buy to a neutral. She was, she said, ‘throwing in the towel on Amazon’ in making a fortune through hyping his online business to unthought-of heights. What he created, after all, was nothing more or less than a virtual bookshop, and one that in its ? r s t ? v years didn’t turn a pro?t. But Amazon.com isn’t a bellwether stock without e reason. Jeff Bezos is the quintessential dot-com icon. He proved to the business world that the Internet was about more than knowledge. He proved that it is possible to overcome fears about purchasing online, to drive down transaction costs, and to build an international e commerce business over the Internet. Jeff Bezos is one of the great business pioneers. He had the courage to attempt something that people doubted could be done. Amazon has ?rmly entrenched itself as a dominant force in ecommerce and, as a result of product additions and strategic alliances, is now a virtual


marketplace. The question is whether it can exploit its position consistently with earning profits.

Jeff Bezos - Biography Founder and CEO, Amazon.com http://www.achievement.org/autodoc/page/bez0bio-1 http://www.achievement.org/achievers/bez0/headers/bez0_title.gif Jeff Bezos from Wikipedia, the free encyclopedia http://en.wikipedia.org/wiki/Jeff_Bezos Jeff Bezos 1964— Biography – “Developing entrepreneurial skills” http://www.referenceforbusiness.com/biography/A-E/Bezos-Jeff-1964.html#ixzz1GPWtFjc9 Pictures taken from: http://www.achievement.org/autodoc/photocredit/achievers/bez0-006 http://www.achievement.org/autodoc/photocredit/achievers/bez0-005 http://www.achievement.org/autodoc/photocredit/achievers/bez0-002 http://www.achievement.org/autodoc/photocredit/achievers/bez0-004 http://www.achievement.org/autodoc/photocredit/achievers/bez0-008





Ross Perot was born in Texarkana, Texas, on June 27, 1930. His father was a cotton broker and horse dealer. The young Perot was much impressed by his father's negotiating skills and by his mother's discipline and religious principles. He attended a private school called Patty Hill. He graduated from Texas High School in Texarkana in 1947. One of Perot's boyhood friends was Hayes McClerkin, later Speaker of the Arkansas House of Representatives and a prominent Texarkana, Arkansas, lawyer. Perot joined the Boy Scouts of America and made Eagle Scout in 1942, after only thirteen months in the program. He is a recipient of the Distinguished Eagle Scout Award. Perot entered the United States Naval Academy in 1949 and helped establish its honor system. By the time he graduated in 1953 he was president of his class and battalion commander. By late 1954, Perot was made a lieutenant, junior grade. In 1955, however, Perot expressed some discontent with his life in the United States Navy in a letter to his father. He quietly served the remainder of his four-year commitment and resigned his commission. Perot married Margot Birmingham of Greensburg, Pennsylvania , in 1956.

After he left the Navy in 1957, Perot became a salesman for International Business Machines (IBM) . He quickly became a top employee, filling his year's sales quota in two weeks, and tried to pitch his ideas to supervisors who largely ignored him. He left IBM in 1962 to found Electronic Data Systems (EDS) in Dallas, Texas , and courted large corporations for his data processing services. Perot was refused seventy-seven times before he was given his first contract. EDS received lucrative contracts from the U.S. government in the 1960s, computerizing Medicare records. EDS went public in 1968 and the stock price rose from $16 a share to $160 within days. Fortune called Perot the "fastest, richest Texan" in a 1968 cover story. In 1984 General Motors bought controlling interest in EDS for $2.4 billion. In 1974 Perot gained some press attention for being "the biggest individual loser ever on the New York Stock Exchange" when his EDS shares dropped $450 million in value in a single day in April 1970. Just prior to the 1979 Iranian Revolution, the government of Iran imprisoned two EDS employees in a contract dispute. Perot organized and sponsored their rescue. The rescue team was led by retired U.S. Army Special Forces Colonel Arthur D.


(Bull) Simons. When the team was unable to find a way to extract their two prisoners, they decided to wait for a mob of pro-Ayatollah revolutionaries to storm the jail and free all 10,000 inmates, many of whom were political prisoners. The two prisoners then connected with the rescue team, and the team spirited them out of Iran via a risky border crossing into Turkey. The exploit was recounted in a book, On Wings of Eagle s by Ken Follett, which became a best-seller. In the 1986 miniseries, Perot was portrayed by Richard Crenna . In 1984 Perot bought a very early copy of the Magna Carta , one of only a few to leave the United Kingdom . It was lent to the National Archives in Washington, D.C., where it was displayed alongside the Declaration of Independence and the United States Constitution. In 2007, it was sold by the Perot Foundation, in order to provide "for medical research, for improving public education and for assisting wounded soldiers and their families." The document sold for $21.3 million USD on December 18, 2007 to David Rubenstein, managing director of the Carlyle Group and kept on display at the National Archives. In 1988 he founded Perot Systems Corporation, Inc. in P lano, Texas. His son, H. Ross Perot, Jr. , eventually succeeded him as CEO. In September 2009, Perot Systems was acquired by Dell for $3.9 billion.

In 1992 he became an independent candidate for U.S. president. Appealing to voters dissatisfied with traditional party politics, he won 19% of the popular vote, the best third party presidential showing since 1912. He ran again in 1996 but received only 8% of the vote. His Reform Party, which he founded in 1995, gradually established its autonomy from him. In the 2000 presidential election, Perot refused to become openly involved with the internal Reform Party dispute between supporters of Pat Buchanan and of John Hagelin . Some state parties have affiliated with the new. America First Party; others gave Ralph Nader their ballot lines in the 2004 presidential election. The one exception to this came in 2005, when he was asked to testify before the Texas Legislature in support of proposals to extend technology to students, including making laptops available to them; additionally, changing the process of buying textbooks, by making electronic books (ebooks) available and by allowing schools to buy books at the local level instead of going through the state. In an April 2005 interview, Perot expressed concern about the state of progress on issues that he had raised in his presidential runs. 231

In January 2008, Perot publicly came out against Republican candidate John McCain and endorsed Mitt Romney for President. He also announced that he would soon be launching a new website with updated economic graphs and charts. In June 2008, the blog launched, focusing on entitlements (Medicare, Medicaid, Social Security), the U.S. national debt and related issues.

Perot is married to Margot Bir mingham; they have five children (Ross Jr., Nancy, Suzanne, Carolyn, and Katherine). As of 2007, the Perots have 15 grandchildren.

On April 22, 2009, Ross Perot was made a Honorary Green Beret at the John F. Kennedy Special Warfare Center in Fayetteville, North Carolina , that also honored the OSS, Alamo Scouts and the First Special Service Force , elite World War Two units that were inducted into the "1st Special Forces" Regiment. Mr. Perot was inducted into the Junior Achievement U.S. Business Hall of Fame in 1988. On September 18, 2009, the Texarkana Independent School District named him (1947 graduate of Texas High School) as a 2009 Distinguished Alumnus. In May 2009, he was appointed an honorary chairman of The OSS Society. On October 15, 2009, the United States Military Academy at West Point awarded him with the distinguished Sylvanus Thayer Award. In honor of his 80th birthday, the bridge connecting Walton and University drives in Texarkana, Texas, was named the H. Ross Perot Bridge. On Oct. 2, 2010, Perot was given the William J. Donovan Award from the OSS Society at the Mandarin Orie ntal Hotel in Washington, D.C. He is the 26th recipient of the award.

Leadership in business is another crucial ingredient for success. Perot stressed that authority to make decisions should remain in the field instead of in the corporate bureaucracy. The EDS procedural manual is starkly simple: ‘Do what makes sense’.


His personal charisma and inspirational leadership was also important. He inspired with his tenacity and personal mottos such as ‘Eagles don’t flock. You have to find them one at a time.’ Similarly, Henry Ross Perot emphasized giving employees ownership of the company. The company’s compensation plan emphasized stock options, resulting in the creation of more than a hundred millionaires at the company. Employees naturally responded to these financial incentives positively: they followed the motto ‘whatever it takes’ and were not afraid to put in extremely long hours for difficult projects. In essence, they had a stake in the company’s success, and naturally would want to work hard as possible so their options would hit the strike prices! (Options are a creative way to set financial goals for the company!) The same applied to the company’s acquisition of top talents. When the EDS stock went public, Perot lured engineers to the company with equity participation

www.google.com www.wikipeadia.com http://www.infoplease.com/biography/var/rossperot.html





Steven Paul Jobs (born February 24, 1955) is an American business magnate and inventor. He is the co-founder and chief executive officer of Apple Inc. Jobs also previously served as chief executive of Pixar Animation Studios ; he became a member of the board of The Walt Disney Company in 2006, following the acquisition of Pixar by Disney. He was credited in the 1995 movie Toy Story as an executive producer. In the late 1970s, Jobs, with Apple co-founder Steve Wozniak, Mike Markkula , and others, designed, developed, and marketed one of the first commercially suc cessful lines of personal computers, the Apple II series. In the early 1980s, Jobs was among the first to see the commercial potent ial of the mouse-driven graphical user interface which led to the creation of the Macintosh. After losing a power struggle with the board of directors in 1984, Jobs resigned from Apple and founded NeXT , a computer platform development company specializing in the higher education and business markets. Apple's subsequent 1996 buyout of NeXT brought Jobs back to the company he co-founded, and he has served as its CEO since 1997. In 1986, he acquired the computer graphics division of Lucasfilm Ltd which was spun off as Pixar Animation Studios. He remained CEO and majority shareholder at 50.1% until its acquisition by The Walt Disney company in 2006. Consequently Jobs became Disney's largest individual shareholder at 7% and a member of Disney's Board of Directors. Jobs' history in business has contributed much to the symbolic image of the idiosyncratic, individualistic Silicon Valley entrepreneur, emphasizing the importance of design and understanding the crucial role aesthetics play in public appeal. His work driving forward the development of products that are both functional and elegant has earned him a devoted following.

In 1976, Steve Jobs, Steve Wozniak and Ronald Wayne, with later funding from a then-semiretired Intel product-marketing manager and engineer A.C. "Mike" Markkula Jr., founded Apple. Prior to co-founding Apple, Wozniak was an electronics hacker. Jobs and Wozniak


had been friends for several years, having met in 1971, when their mutual friend, Bill Fernandez, introduced 21-year-old Wozniak to 16-year-old Jobs. Steve Jobs managed to interest Wozniak in assembling a computer and selling it. As Apple continued to expand, the company began looking for an experienced executive to help manage its expansion. In 1978, Apple recruited Mike Scott from National Semiconductor to serve as CEO for what turned out to be several turbulent years. In 1983, Steve Jobs lured John Sculley away from Pepsi-Cola to serve as Apple's CEO, asking, "Do you want to sell sugar water for the rest of your life, or do you want to come with me and change the world?" The following year, Apple aired a Super Bowl television commercial titled "1984." At Apple's annual shareholders meeting on January 24, 1984, an emotional Jobs introduced the Macintosh to a wildly enthusiastic audience; Andy Hertzfeld described the scene as "pandemonium." The Macintosh became the first commercially successful small computer with a graphical user interface. The development of the Mac was started by Jef Raskin , and eventually taken over by Jobs. While Jobs was a persuasive and charismatic director for Apple, some of his employees from that time had described him as an erratic and temperamental manager. An industry-wide sales slump towards the end of 1984 caused deterioration in Jobs’ working relationship with Sculley, and at the end of May 1985 – following an internal power struggle and an announcement of significant layoffs – Sculley relieved Jobs of his duties as head of the Macintosh division.

Around the same time, Jobs founded another computer company, NeXT Computer. Like the Apple Lisa , the NeXT workstation was technologically advanced; however, it was largely dismissed by industry as cost-prohibitive. Among those who could afford it, however, the NeXT workstation garnered a strong following because of its technical strengths, chief among them its object-oriented software development system. Jobs marketed NeXT products to the scientific and academic fields because of the innovative, experimental new technologies it incorporated (such as the Mach kernel, the digital signal processor chip, and the built-in Ethernet port). The NeXTcube was described by Jobs as an "interpersonal" computer, which he believed was the next step after "personal" computing. That is, if computers could allow people to 236

communicate and collaborate together in an easy way, it would solve many of the problems that "personal" computing had come up against. During a time when e -mail for most people was plain text, Jobs loved to demo the NeXT's email system, NeXTMail, as an example of his "interpersonal" philosophy. NeXTMail was one of the first to support universally visible, clickable embedded graphics and audio within e-mail. Jobs ran NeXT with an obsession for aesthetic perfection, as evidenced by such things as the NeXTcube's magnesium case. This put considerable strain on NeXT's hardware division, and in 1993, after having sold only 50,000 machines, NeXT transitioned fully to software development with the release of NeXTSTEP/Intel.

In 1986, Jobs bought The Graphics Group (later renamed Pixar) from Lucasfilm's computer graphics division for the price of $10 million, $5 million of which was given to the company as capital. The new company, which was originally based at Lucasfilm's Kerner Studios in San Rafael, California, but has since relocated to Emeryville, California , was initially intended to be a high-end graphics hardware developer. After years of unprofitability selling the Pixar Image Computer, it contracted with Disney to produce a number of computer-animated feature films, which Disney would co-finance and distribute. The first film produced by the partnership, Toy Story, brought fame and critical acclaim to the studio when it was released in 1995. Over the next ten plus years, under Pixar's creative chief John Lasseter, the company would produce the box-office hits A Bug's Life (1998), Toy Story 2 (1999), Monsters, Inc. (2001), Finding Nemo (2003), The Incredibles (2004), Cars (2006), Ratatouille (2007), WALL-E (2008), Up (2009) and Toy Story 3 (2010). Finding Nemo, The Incredibles, Ratatouille , WALL-E, Up and Toy Story 3 each received the Academy Award for Best Animated Feature , an award introduced in 2001. In the years 2003 and 2004, as Pixar's contract with Disney was running out, Jobs and Disney chief executive Michael Eisner tried but fa iled to negotiate a new partnership, and in early 2004 Jobs announced that Pixar would seek a new partner to distribute its films once its contract with Disney expired.


In October 2005, Bob Iger replaced Eisner at Disney, and Iger quickly worked to patch up relations with Jobs and Pixar. On January 24, 2006, Jobs and Iger announced that Disney had agreed to purchase Pixar in an all-stock transaction worth $7.4 billion. Once the deal closed, Jobs became The Walt Disney Company's largest single shareholder with approximately 7% of the company's stock. Jobs’ holdings in Disney far exceed those of Eisner, who holds 1.7%, and Disney family member Roy E. Disney, who held about 1% of the company's stock and whose criticisms of Eisner included the soured Pixar relationship and accelerated his ousting. Jobs joined the company's board of director s upon completion of the merger. Jobs also helps oversee Disney and Pixar's combined animation businesses with a seat on a special six-man steering committee.

In 1996, Apple announced that it would buy NeXT for $429 million. The deal was finalized in late 1996, bringing Jobs back to the company he co-founded. He soon became Apple's interim CEO after the directors lost confidence in and ousted then-CEO Gil Amelio in a boardroom coup. In March 1998, to concentrate Apple's efforts on returning to profitability, Jobs immediately terminated a number of projects such as Newton, Cyberdog, and OpenDoc. In the coming months, many employees developed a fear of encountering Jobs while riding in the elevator, "afraid that they might not have a job when the doors opened. The reality was that Jobs' summary executions were rare, but a handful of victims was enough to terrorize a whole company." Jobs also changed the licensing program for Macintosh clones, making it too costly for the manufacturers to continue making machines. With the purchase of NeXT, much of the company's technology found its way into Apple products, most notably NeXTSTEP, which evolved into Mac OS X. Under Jobs’ guidance the company increased sales significantly with the introduction of the iMac and other new products; since then, appealing designs and powerful branding have worked well for Apple. At the 2000 Macwor ld Expo, Jobs officially dropped the "interim" modifier from his title at Apple and became permanent CEO. Jobs quipped at the time that he would be using the title 'iCEO.' In recent years, the company has branched out, introducing and improving upon other digital appliances. With the introduction of the iPod portable music player, iTunes digital music software, and the iTunes Store, the company made forays into consumer electronics and 238

music distribution. In 2007, Apple entered the cellular phone business with the introduction of the iPhone, a multi-touch display cell phone, which also included the features of an iPod and, with its own mobile browser, revolutionized the mobile browsing scene. While stimulating innovation, Jobs also reminds his employees that "real artists ship", by which he means that de livering working products on time is as important as innovation and attractive design. Jobs is both admired and criticized for his consummate skill at persuasion and salesmanship, which has been dubbed the "reality distortion field" and is particularly evident during his keynote speeches (colloquially known as "Stevenotes") at Macworld Expos and at Apple's own World Wide Developers Conferences. In 2005, Jobs responded to criticism of Apple's poor recycling programs for e-waste in the U.S. by lashing out at environmental and other advocates at Apple's Annual Meeting in Cupertino in April. However, a few weeks later, Apple announced it would take back iPods for free at its retail stores. The Computer TakeBack Campaign responded by flying a banner from a plane over the Stanford University graduation at which Jobs was the commencement speaker. The banner read "Steve — Don't be a mini-player recycle all e-waste". In 2006, he further expanded Apple's recycling programs to any U.S. customer who buys a new Mac. This program includes shipping and "environmentally friendly disposal" of their old systems.

As of October 2009, Jobs owned 5.426 million shares of Apple, most of which was granted in 2003 when Jobs was given 10 million shares. He also owned 138 million shares of Disney, which he received in exchange for Disney's acquisition of Pixar. Forbes estimated his net wealth at $5.1 billion in 2009, making him the 43rd wealthiest American. Jobs has been criticized for his lack of public philanthropy despite his wealth, particularly in recent years as other billionaires (such as Bill Gates and Warren Buffett) have pledged significant portions of their fortunes to charity. As of 2006, Jobs had not appeared on national tallies of charitable donations totaling $1 million or more, as compiled by Indiana University's Center on Philanthropy. Although he may well have donated significant sums anonymously, some have doubted this assumption, given Jobs' equally poor track record on corporate philanthropy;


after resuming control of Apple in 1997, Jobs eliminated all corporate philanthropy programs as a temporary cost-cutting measure until profitability improved. Despite the company's record-breaking profits and $40 billion cash on hand, Jobs has not reinstated a philanthropic division at Apple.

In 2001, Steve Jobs was granted stock options in the amount of 7.5 million shares of Apple with an exercise price of $18.30, which allegedly should have been $21.10, thereby incurring taxable income of $20,000,000 that he did not report as income. This indicated backdating. Apple overstated its earnings by that same amount. If found liable, Jobs might have faced a number of criminal charges and civil penalties. Apple claimed that the options were originally granted at a special board meeting that may never have taken place. Furthermore, the investigation is focusing on false dating of the options resulting in a retroactive $20 million increase in the exercise price. The case is the subject of active criminal and civil government investigations, though an independent internal Apple investigation completed on December 29, 2006, found that Jobs was unaware of these issues and that the options granted to him were returned without being exercised in 2003. On July 1, 2008, a $7 billion class action suit was filed against several members of the Apple Board of Directors for revenue lost due to the alleged securities fraud.

Much has been made of Jobs' aggressive and demanding personality. Fortune wrote that he "is considered one of Silicon Valley's leading egomaniacs." Commentaries on his temperamental style can be found in Mike Moritz's The Little Kingdom, one of the few authorized biographies of Jobs; The Second Coming of Steve Jobs , by Alan Deut schman; and iCon: Steve Jobs , by Jeffrey S. Young & William L. Simon. Jef Raskin, a former colleague, once said that Jobs "would have made an excellent king of France," alluding to Jobs' compelling and larger-than-life persona. Jobs has always aspired to position Apple and its products at the forefront of the information technology industry by foreseeing and setting trends, at least in innovation and style. He summed up that self-concept at the end of his keynote speech at the Macworld Conference and Expo in January 2007 by quoting ice hockey legend Wayne Gretzky:


There's an old Wayne Gretzky quote that I love. 'I skate to where the puck is going to be, not where it has been.' And we've always tried to do that at Apple. Since the very beginning. And we always will. —Steve Jobs Floyd Norman said that at Pixar, Jobs was a "mature, mellow individual" and never interfered with the creative process of the filmmakers. In 2005, Steve Jobs banned all books published by John Wiley & Sons from Apple Stores in response to their publishing an unauthorized biography, iCon: Steve Jobs . In its 2010 annual earnings report, Wiley said it had "closed a deal ... to make its titles available for the iPad."

Jobs is listed as either primary inventor or co -inventor in over 230 awarded patents or patent applications related to a range of technologies from actual computer and portable devices to user interfaces (including touch-based), speakers, keyboards, power adapters, staircases, clasps, sleeves, lanyards and packages.

Jobs marrie d Laurene Powell, on March 18, 1991. Presiding over the wedding was the Zen Buddhist monk Kobun Chino Otogawa. The couple have a son, Reed Paul Jobs, and two other children. Jobs also has a daughter, L isa Brennan-Jobs (born 1978), from his relationship with Bay Area painter Chrisann Brennan. She briefly raised their daughter on welfare when Jobs denied paternity, claiming that he was sterile; he later acknowledged paternity. In the unauthorized biography, The Second Coming of Steve Jobs , author Alan Deutschman reports that Jobs once dated Joan Baez. Deutschman quotes Elizabeth Holmes, a friend of Jobs from his time at Reed College, as saying she "believed that Steve became the lover of Joan Baez in large measure because Baez had been the lover of Bob Dylan." In another unauthorized biography, iCon: Steve Jobs by Jeffrey S. Young & William L. Simon, the authors suggest that Jobs might have married Baez, but her age at the time (41) meant it was unlikely the couple could have children. Jobs is also a Beatles fan. He has referenced them on more than one occasion at Keynotes and also was interviewed on a showing of a Paul McCartney concert. When asked about his business model on 60 Minutes, he replied: 241

My model for business is The Beatles: They were four guys that kept each other's negative tendencies in check; they balanced each other. And the total was greater than the sum of the parts. Great things in business are not done by one person, they are done by a team of people. In 1982, Jobs bought an apartment in The San Remo, an apartment building in New York City with a politically progressive reputation, where Demi Moore, Steven Spielberg, Steve Martin , and Princess Yasmin Aga Khan, daughter of Rita Hayworth, also had apartments. With the help of I.M. Pei, Jobs spent years renovating his apartment in the top two floors of the building's north tower, only to sell it almost two decades later to U2 front man Bono. Jobs had never moved in. In 1984, Jobs purchased a 17,000-square-foot (1,600 m2 ), 14 bedroom Spanish Colonial mansion, designed by George Washington Smith in Woodside, California , also known as Jackling House. Although it reportedly remained in an almost unfurnished state, Jobs lived in the mansion for almost ten years. According to reports, he kept an old BMW motorcycle in the living room, and let Bill Clinton use it in 1998. Since the early 1990s, Jobs has lived in a house in the Old Palo Alto neighborhood of Palo Alto. President Clinton dined with Jobs and 14 Silicon Valley CEOs there August 7, 1996. He allowed the mansion to fall into a state of disrepair, planning to demolish the house and build a smaller home on the property; but he met with complaints from local preservationists over his plans. In June 2004, the Woodside Town Council gave Jobs approval to demolish the mansion, on the condition that he advertise the property for a year to see if someone would move it to another location and restore it. A number of people expressed interest, including several with experience in restoring old property, but no agreements t that effect were o reached. Later that same year, a local preservationist group began seeking legal action to prevent demolition. In January 2007 Jobs was denied the right to demolish the property, by a court decision. The court decision was overturned on appeal in March 2010 and the mansion was demolished beginning February 2011 He usually wears a black long-sleeved mock turtleneck made by St. Croix , Levi's 501 blue jeans, and New Balance 991 sneakers. He is a pescetarian. His choice of car is a silver 2006 Mercedes SL 55 AMG, which has no licence plates. Jobs had a public war of words with Dell Computer CEO Michael Dell, starting when Jobs first criticized Dell for making "un-innovative beige boxes." On October 6, 1997, in a Gartner 242

Symposium, when Michael Dell was asked what he would do if he owned then-troubled Apple Computer, he said "I'd shut it down and give the money back to the shareholders." In 2006, Steve Jobs sent an email to all employees when Apple's market capitalization rose above Dell's. The email read: Team, it turned out that Michael Dell wasn't perfect at predicting the future. Based on today's stock market close, Apple is worth more than Dell. Stocks go up and down, and things may be different tomorrow, but I thought it was worth a moment of reflection today. Steve.

He was awarded the National Medal of Technology from President Ronald Reagan in 1984 with Steve Wozniak (among the first people to ever receive the honor), and a Jefferson Award for Public Service in the category "Greatest Public Service by an Individual 35 Years or Under" (aka the Samuel S. Beard Award) in 1987. • • On November 27, 2007, Jobs was named the most powerful person in business by Fortune Magazine. On December 5, 2007, California Governor Arnold Schwarzenegger and First Lady Maria Shriver inducted Jobs into the California Hall of Fame , located at The California Museum for History, Women and the Arts. • • • • In August 2009, Jobs was selected the most admired entrepreneur among teenagers on a survey by Junior Achievement. On November 5, 2009, Jobs was named the CEO of the decade by Fortune Magazine. In November 2009 Jobs was ranked #57 on Forbes : The World's Most Powerful People. In December 2010, the Financial Times named Jobs its person of the year for 2010, ending its essay by stating, "In his autobiography, John Sculley, the former PepsiCo executive who once ran Apple, said this of the ambitions of the man he had pushed out: 'Apple was supposed to become a wonderful consumer products company. This was a lunatic plan. High-tech could not be designed and sold as a consumer product.' How wrong can you be?

Steven jobs give us a good example of an entrepreneur who started his career path from scratch. He showed himself as a good CEO, good co-worker and a leader who can manage all 243

with a diversified work force. He knew who to take work from the people and who is right or fit for the right job. Jobs, for all of his virtues, clings to the Great Man Theory of Leadership — a CEO-centric model of executive power that is outmoded, unsustainable, and, for most of us mere mortals, ineffective in a world of non-stop change. A Wired magazine cover story from last year made the point well. Jobs the CEO, in search of a space in the company’s crowded parking lot, regularly leaves his Mercedes in a handicapped space, sometimes taking up two spaces. The pattern became so noticeable that employees, according to the article, put notes on his windshield that read, Park Different. “Jobs’ fabled attitude toward parking”, as Kahney says, “reflects his approach to business: For him, the regular rules do not apply.” That means shrouding his company in secrecy; treating his employees to tyrannical outbursts; and refusing basic accommodations that would make beautifully designed products more customer-friendly. Steven Jobs is a “smartest guy in the room syndrome” as it pertains to manage ment at the CEO level. “Humility is not part of the Steve Jobs leadership repertoire — and that’s worked out fine for him,, adding that fellow CEOs would be wise not to emulate Jobs’ example.

http://en.wikipedia.org/wiki/Steve_Jobs#Personal_life http://upgradeosx.com/steve-jobs-jumps-40-places-on-forbes%E2%80%99-billionaires-list/ http://thenextweb.com/apple/2011/03/01/steve -jobs -blocked-from-british-knighthood/ http://www.crunchbase.com/person/steve -jobs





William Levitt (1907-1994) gained national attention as the man who mass produced houses at a rate of one every 16 minutes. He was introduced to Americans on the July 3, 1950 cover of "Time" magazine as the "cocky rambunctious hustler" prone to exaggeration. Levitt touted his community as a new form of ideal American life. William Levitt's father, Abraham Levitt, was the son of a poor rabbi who immigrated from Eastern Europe. Abraham Levitt left school at age 10, but educated himself. At the age of 20 he entered law school, specializing in real estate law. He married Pauline Biederman in 1906. The ir first son, William Jaird was born on February 11, 1907 in Brooklyn, New York. Five years later the couple had another son, William Levitt. As a child, William Levitt would put on a suit, run into the living room and announce his plans to go to Manhattan to make money and live well. Levitt attended Public School 44 and Boys High School in Bedford-Stuyvesant. He played lacrosse and was on the swim team. Levitt majored in mathematics and English at New York University, but left in his junior year. Abraham Levitt represented real estate clients and occasionally bought and sold properties. He used money that his wife made from sewing to buy vacant lots in Brooklyn. Around 1925, he received 100 plots in Rockville Centre from a bankrupt client and financed builders who bought the land and started to construct houses there. When the builders went out of business, he had to take control of the partially finished houses. Abraham encouraged his sons to finish the homes, with existing crews.

"Any damn fool can build homes. What counts is how many you can sell for how little."W i l l i a m L e v i t t. William Levitt the entrepreneur was an American real-estate developer known as father of Suburbia. He introduced mass-production techniques to construct arge developments of l houses selling. His new idea popularized the community system which helped relatively poor people to afford houses in or near the city. In 1929, Abraham founded Levitt and Sons, Inc. William Levitt became company president at the age of 22, handling the advertising, sales, and financing. Alfred Levitt, still a teenager,


became vice president of design and drafted plans for the first Levitt house, a six bedroom, two bathroom Tudor style home that sold for over $14,000 in 1929. The Levitt’s sold 600 of these upper middle class homes, part of the Strathmore project, in four years, even though it was during the Great Depression. In November 1929, William Levitt married Rhoda Kirshner. The couple had a son, William Jr., in 1933. Levitt earned a reputation as the person to see for high-end, custom homes on Long Island, New York's North Shore, called the Gold Coast. The company built 200 homes in the North Strathmore development in Manhasset, which sold for $9,100 to $18,500. The Levitt’s built another 1,200 homes in Manhasset, Great Neck, and Westchester County. Radio stars, prominent journalists, surgeons, business people, and lawyers bought the upscale Levitt houses. Selling these homes made the Levitt family rich. Levitt & Sons chose an area Island Trees near Hempstead, Long Island as the site for its huge building project after the war II. The Company named it *Levittown*. Levitt's new idea in creating this planned community was to build the houses in the manner of a line. In normal lines, the workers stay stationary and the product moves down the line. In Levitt's homebuilding assembly line, the houses obviously could not move. Residents started moving into Levittown in New York in 1947. Houses were sold for between $8,000 and $12,000 with monthly payments as low as $57, which was a low price even by 1947 standards. The residents would come to be known as Levitt owners. Levitt went on building more and more communities but his project after Levitt Town consisted of 17,000 homes. Residents got their possession in 1952. Levitt also developed the community *Belair at Bowie*, in Bowie, Maryland. Levitt also built communities like Palm Coast, Florida, Richmond, Virginia and Fairfax. In early 1960s, the company built a 5000 house community in New Jer sey called Strathmore. Levitt sold his company to International Telephone and Telegraph for $90 million. Levitt lost his most of the wealth in unsuccessful investments. Levitt basically brought a new idea of community housing system. It was his innovation and now we can see all around the world community housing schemes. After going through the William Levitt success story what I’ve concluded is that he was the founder of the community housing idea. It was his innovation which brought a great revolution and through his several projects as mentioned up, many middle class families were able to afford houses of their own except for paying rents to land lords. For an example we can take Malik Riaz in Pakistan. We all know how successful he is and what an advantage we 247

got from his housing schemes. Similarly Williams is the person who built several projects by the help of which many families got a place to live. He offered low value houses with monthly installments which were low even at that time standards.

Levitt and Sons built 15 other projects throughout Long Island. In 1952, they brought their mass production operation to Bucks County, Pennsylvania. After that development was completed in 1958, Levitt went to Delaware and constructed a 12,000-home Willingboro, New Jersey project. Relations among the Levitt family fell apart in 1951 after Alfred divorced his wife, to marry a 19-year-old fashion model he met on a trip to Paris. The brothers split their business affairs in 1954. Alfred developed Queens Apartment complexes and Suffolk housing developments. He died in 1966, at the age of 54. William Levitt took his company public in 1960, but lost $1.4 million a year later as housing demand fell and huge tracts of land near metropolitan areas grew scarce. He quickly changed tactics, branching out to Chicago, Washington, D.C., and even France and Puerto Rico. Levitt reduced the scale of projects, dabbled in townhouses, and delegated authority and decentralized management. He posted a 20 percent average annual increase in sales into the late 1960s. After he had built over 140,000 houses around the world, Levitt sold the company to the International Telephone & Telegraph Corp. for $92 million in July 1967. At the age of 60, he became incredibly wealthy, getting $62 million in the form of ITT stock. ITT changed the name of its new subsidiary to Levitt Corp. and Levitt agreed not to build in the United States for ten years. He entered the agreement thinking he would play a role in ITT affairs, but executives felt Levitt was too old to take on more responsibility.

While he was married, Levitt had an ongoing love affair with his secretary, Alice Kenny. He married her in 1959, divorcing his wife after 29 years of marriage. In 1969, Levitt divorced his second wife and married Simone Korchin, an art dealer from France.


Levitt bought a 237-foot yacht, a 30-room mansion in Mill Neck, New York, $3 million in jewelry, paintings by Renoir, Monet, Degas, and Chagall, and a Rolls Royce. To avoid paying taxes, he had not converted his ITT stock to cash. Instead, he borrowed against it to build subdivisions in places like Iran, Venezuela, and Nigeria. When the ITT shares crashed, Levitt's holdings lost about 90 percent of their original value. Chase Manhattan Bank seized Levitt's stock as collateral. When the foreign projects floundered, he was millions of dollars in debt. Regulators forbade Levitt from doing business in New York. They said he took homeowners' deposits for Florida homes and money that should have been used for repairs and maintenance. Investigators claimed that Levitt also looted at least $17 million from his family's charities to cover personal expenses. He was forced to sell his mansion. Levitt died in Manhasset, New York on January 28, 1994, on the verge of bankruptcy and unable to pay his bills. In an interview shortly before his death, Levitt said he would like to be remembered as "a guy that, I suppose, gave value for low -cost housing. Not somebody that gave value for half -million-dollar houses. Anybody can do that." Levitt saw himself as more than a real estate developer. He sold people the American Dream, in its cold war guise. "No man who owns his own house and lot can be a communist," Levitt once said. "He has too

www.wikipedia.com , www.entrepreneur.com/growyourbusiness/radicalsandvisionaries/article 197662.html h t t p : / / w w w . a n s w e r s . c o m / t o p i c / w i l l i a m- l e v i t t- 1 http://www.dedicatedwriters.com/biographies/William_Levitt-34776.html





John H. Johnson born January 19, 1918 in rural Arkansas City, Arkansas was the grandson of slaves His father Leroy Johnson was killed in a sawmill accident when "young Johnny" was eight years of age. His mother Gertrude Jenkins Johnson further impoverished did not give hope and her faith they could have more than what Arkansas offered. She saved her meager earnings as a cook and washerwoman for years until she could afford to move her family to Chicago. There, Johnson was exposed to something he never knew existed: middle class blacks. He attended an all-black high school during the day and poured over self-improvement books at night. His classmates at DuSable High were Nat King Cole, Redd Foxx and future entrepreneur William Abernathy.

Johnson is the founder, publisher, chairman and CEO of the Johnson Publishing Company Inc., Chicago, Ill., and the largest black -owned publishing company in the world. Ebony is the nation's number one African-American -oriented magazine with a circulation of 1.7 million and a monthly readership of 11 million. Johnson Publishing Company also has a book division and employs more than 2,600 people with sales of over $388 million. Johnson Publishing owns Fashion Fair Cosmetics, the number one makeup and skin care company for women of color around the world and Supreme Beauty products, hair care for men and women and is involved in television production and produces the Ebony Fashion Fair, the world's largest traveling fashion show, which has donated over $47 million to charity. The show visits more than 200 cities in the United States, Canada and the Caribbean. Johns H. Johnson serves on the boards of directors of Dillard's Inc., and he has served on the boards of First Commercial Bank, Little Rock; Dial Corporation; Zenith Radio Corporation; and Chrysler Corporation.

In 1996, President Bill Clinton bestowed the Presidential Medal of Freedom on Johnson. In 1997 Johnson was inducted into the Junior Achievement National Business Hall of Fame. 251

By that year, Johnson had received, besides the afore-mentioned • • • • Presidential Medal of Freedom, the NAACP's Spingarn Medal, the Horatio Alger Award, and The Wall Street JournalDow Jones Entrepreneurial Excellence Award.

In early 2001, Johnson was inducted into the Arkansas Business Hall of Fame. The founder, publisher, chairman and CEO of the largest African-American publishing company in the world advised the audience to, "Convince people it is in their best interest to help you." He held the distinction of having been the first African American placed on Forbes' list of 400 wealthiest Americans. He had also been awarded honorary doctorates by the University of Arkansas at Pine Bluff, Harvard University, the University of Southern California, Carnegie Mellon University, Eastern Michigan University, and Wayne State University.

Once the idea of The Negro Digest occurred to him, it began to seem like a "black gold mine", Johnson stated in his autobiography succeeding against the Odds. Johnson remained enthusiastic even though he was discouraged on all sides from doing so. Only his mother, a woman with biblical faith and deep religious convictions, as well as a powerful belief in her son, supported his vision and allowed him to use her furniture as collateral for a $500 loan. He used this loan to publish the first edition of Negro Digest in 1942.

Although that publication achieved some success and at its height had a circulation of more than 100,000, it could not be compared with Johnson's subsequent publication, Ebony magazine , which was so popular that its initial run of 25,000 copies easily sold out. The articles in Ebony, which were designed to look like those in LIFE or Look magazines, emphasized the achievements of successful African American. Photo essays about current events and articles about race relations were also included in the magazine. Initially focused on the rich and famous in the African American community, Johnson expanded the reporting to include issues such as "the white problem in America", African American militancy,


crimes by African Americans against African Americans, civil rights legislation, freedom rides and marches, and other aspects of segregation and discrimination. Trained historians were recruited for the magazine's staff so that the contributions of African American Americans to the history of the United States could be adequately documented. African American models were used in the magazine's advertisements and a conscious effort was made to portray positive aspects of African American life and culture. Everything in the magazine was addressed to the African American consumer. Johnson maintained that Ebony's success was due to the positive image of African Americans that it offered.

In 1950, Johnson launched Tan (a true confessions -type magazine) and, in 1951, Jet magazine , a weekly news digest. Later publications included African American Stars and Ebony Jr., a children's magazine. Although all of the magazines achieved a measure of success, none was able to compete with Ebony, which in its 40th year of publication had a circulation of 2,300,000 and was the primary reason that Johnson was considered one of the 400 richest individuals in the United States. In 1972, he was named publisher of the year by the major magazine publishers in the United States.

Johnson expanded his business interests to areas other than his magazines. He became chairperson and chief executive officer of the Supreme Life Insurance Company, where he had begun as part-time office boy. He developed a line of cosmetics, purchased three radio stations, and started a book publishing company, and a television production company. He served on the board of directors of several major businesses, such as the Greyhound Corporation, and received numerous honors and awards for his achievements, including the National Association for the Advancement of Colored People's Spingarn Medal in 1966 for his contributions in the area of race relations. In 1993, Johnson published his autobiography wherein he states "if it could happen to a Black boy from Arkansas it could happen to anyone". This publication celebrated the 50th anniversary of his publishing company.


Johnson had a problem with distribution until he teamed up with Joseph Levy a magazine distributor who was impressed with him. Levy provided valuable marketing tips and opened the doors that allowed the new digest to reach newsstands in other urban centers. Within six months circulation had reached 50,000. This publication covered African American history, literature, arts, and cultural issues. After several decades of publication its name was changed to Blac k World. Johnson expanded his business interests to areas other than his magazines. He became chairperson and chief executive officer of the Supreme Life Insurance Company, where he had begun as part-time office boy. He developed a line of cosmetics, purchased three radio stations, and started a book publishing company, and a television production company. He served on the board of directors of several major businesses, such as the Greyhound Corporation, and received numerous honors and awards for his achievements, including the National Association for the Advancement of Colored People's Spingarn Medal in 1966 for his contributions in the area of race relations. In 1993, Johnson published his autobiography wherein he states "if it could happen to a Black boy from Arkansas it could happen to anyone". This publication celebrated the 50th anniversary of his publishing company.

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Gordon E. Moore, Ph.D. co-founded Intel Corporation in 1968 and served as its Chief Executive Officer from 1975 to 1987. Dr. Moore served as the President of Intel Corporation from 1975 to 1979 and served as its Executive Vice President until 1975. He served as the Director of Research and Development for the Fairchild Semiconductor Division of Fairchild Camera and Instrument Corporation. Dr. Moore serves as the Chairman of the Board of Trustees at Gordon and Betty Moore Foundation. He served as the Chairman Emeritus of Intel Corporation since 1997 and served as its Chairman from 1979 to May 1997. He served as the Chairman of California Institute of Technology and serves as its Senior Trustee. He has been an Independent Director of Gilead Sciences Inc., since January 1996. He has been a Director of Transamerica Corporation since 1981. Dr. Moore serves as a Director of The International Engineering Consortium. He serves as a Member of the National Academy of Engineering and a Trustee of Conservation International. Dr. Moore served as a Member of Gilead Sciences Inc.'s Business Advisory Board from July 1991 to January 1996. He served as Director of Intel Corporation from 1968 to 2001, and its Director Emeritus since 2001. Dr. Moore is widely known for Moore's Law, in which in 1965, he predicted that the number of components the industry would be able to place on a computer chip would double every year. In 1975, he updated his prediction to once every two years. He received the National Medal of Technology in 1990 and the Presidential Medal of Freedom, the Nation's Highest Civilian Honor, in 2002. He is a Fellow of the IEEE. He is a Fellow of the Royal Society of Engineers. Dr. Moore holds a B.S. in Chemistry from the University of California at Berkeley in 1950 and a Ph.D. in Chemistry and Physics from California Institute of Technology in 1954.

Gordon Moore led Intel from 1975 until 1987. Moore was a naturally brilliant engineer and was the firm’s primary technology innovator. In 1965, he came up with the radical Moore’s Law. The observation made in 1965 by Gordon More, that the number of transistors per square inch on integrated circuits had doubled every year since the integrated circuit was invented. Moore predicted that this trend would continue for the foreseeable future. In subsequent years, the pace slowed down a bit, but data density has doubled approximatel y


every 18 months, and this is the current definition of Moore's Law, which Moore himself has blessed. Most experts, including Moore himself, expect Moore's Law to hold for at least another two decades. Or in simple words the law stated that the hardware computing power doubled every two years. The scientists at Intel used this law as a goal and it has ever since then been consistently achieved by them. Moore’s management style was sort of a hands -off one and focused more on the development of technology and the integration of technology in doing work. Moore was a rather quiet person and often allowed others to make decisions. However Moore helped mentor the subordinates at the company and was also the mentor for Andy Grove who is now the CEO of the company.

Moore strongly believed in using a hands -off approach when it came to managing things. His belief was that getting too involved in how people work, often led to them not performing to their maximum potential and also caused them to make a number of mistakes. This is why he believed in stating the rules, goals and laws and then got hit team to do the best that they could, however they could. Managers who practice this style are devoted to rekindling the human spirit within their companies by keeping their hands off their employees’ happiness and allowing success to happen. These leaders recognize that real power comes from partnering, not criticizing. In this system, each employee’s strengths are honored and honed in a climate of partnership and goal setting. The Hands-Off Manager finally provides the solution to the age-old problem of getting the best performance out of people without frustrating them or you.

Moore believed that communication was quite essential to making the organization successful. However Moore himself was not what you would call the greatest of communicators. Nonetheless he made up for that by delivering his word with precision and using facts and figures to spur his team and subordinates on. He however felt that over communicating could be a problem at times, so he tried to keep his communication to the point and then relied to his trusty hands-off approach to do the rest.


Noyce and Gordon E. Moore (a chemist and physicist) founded Intel in 1968 when they left Fairchild Semiconductor. The relaxed culture that Noyce brought to Intel was a carryover from his style at Fairchild Semiconductor. He treated employees as family rewarding and encouraging team work. His follow -your-bliss management style set the tone for many Valley success stories. This just goes to show, that despite having no history or background in the field of management, Moore was still well aware of the fact that teamwork was essential to get the most out of your employees. Throughout his career Moore has gone on to emphasize that teamwork is crucial to get the maximum out of your employees and that without team work, it is close to impossible for a company to progress.

Moore was one of the few entrepreneurs out there, who were actually book and street smart. Not only was he well educated, but he also knew how the practical world around him worked. He then felt the need to use his expertise in the world of technology, where with the help of the Moore’s Law, he brought a revolution to the computer world and has ever since been hailed as one of the greatest things to ever happen in that sector. All in all the contributions that Moore has made to the world, have helped lead to the technological advancements of numerous devices. It would also be harsh not to mention that due to his contributions, Intel has become the market giant that it is today.

http://en.wikipedia.org/wiki/Gordon_Moore http://www.intel.com/pressroom/kits/bios/moore.htm http://investing.businessweek.com/research/stocks/private/person.asp?personId=651868&pri vcapId=11852904&previousCapId=29002&previousTitle=GILEAD%20SCIENCES%20INC http://en.wikipedia.org/wiki/Moore%27s_law http://enhanceyourleadership.com/index.php?blog=2&cat=2 http://www.computer.org/portal/web/awards/moore-goode




Donald and Doris Fisher founded and then transformed a single store in San Francisco stocked with Levi’s, records and tapes into a thriving, nearly $15 billion global business with more than 134,000 employees, more than 3,100 stores and a permanent place in pop cultural history. They have been credited with inventing the specialty retail category, though they were equally known for their commitment to philanthropy and civic work. Throughout his distinguished career, Donald kept a sharp focus on growing Gap Inc. thoughtfully, but always maintained a commitment to his family, his philanthropic and civic duties and his love of the arts. Donald had never anticipated that his once small business would grow so rapidly, that it would revolutionize retail and transcend cultures. He’d always envisioned a modest chain of casual wear stores maybe, as he once put it, as many as 10. His approach was led by passion and determination doing things his own way.

Donald was a third-generation San Franciscan. His great-grandfather, Samuel Fisher, arrived in San Francisco, from New York, in the 1860s —a decade after the discovery of gold transformed California. Donald was born to Sydney and Aileen Fisher, on Sept. 3, 1928. He was the first of three boys. He had always considered himself extremely fortunate to have such good parents. From his father, a cabinetmaker, Donald learned the nuances of running a business—he was strongly encouraged to take risks. “Change or fail” would become one of Donald’s most famous quotes. He’d described Aileen as having a no-nonsense approach to life, a loving woman who encouraged her sons to make practical, smart decisions. She’d imparted a number of family expressions that stuck in Donald’s head: “never say no when you can say yes.” Donald had a comfortable, middle class upbringing, growing up in an attractive, two -story house in San Francisco’s Sea Cliff neighborhood. He had a great view of the Bay. Donald recalled watching the Golden Gate Bridge get built, in the mid 1930s, “cable by cable.”


He especially enjoyed weekend trips to Stinson Beach, where he’d found his love of the open water. He’d often swim and fish there with his brothers. As he grew up, he became an accomplished swimmer—eventually serving as captain of both the swim and water polo teams while a senior at UC Berkeley (Cal). At Cal, Donald earned four varsity letters in swimming and another three in water polo, a remarkable accomplishment. He’d learned different strokes and swimming styles as early as 8. He moved through San Francisco’s public school system, finishing at Lowell High School, where he was a top competitive swimmer. While there, he broke the 50-yard, city free-style record his junior year. Donald attended UC Berkeley, where he was a member of Delta Kappa Epsilon fraternity and from which he graduated, in 1951, with a Bachelor of Science degree in Business Administration. He didn’t have to look far for a career opportunity; it was right there in his family. A few years earlier, his mother, Aileen, had inherited a family business, L. & E. Emanuel Incorporated, a mill and cabinet making firm, after her father had died. Relatives had founded the company in 1848. The business, which had supplied custom product showcases to such customers as Macy’s, was positioned as a future for Donald and his brothers. But while taking an investments and real estate course at Cal, Donald was struck by a fascinating professor who had filled his head with “exciting ideas”—ideas that didn’t involve the family business. After college, Donald served as a U.S. Naval Reserve officer; with a mind full of brewing ideas, he worked for his father in the cabinet-making business. Donald was an accomplished swimmer whose determination would suit him well in business. Still, he was determined to branch out on his own, to create his own future—eventually pursuing real estate, building spec homes and converting old hotels into residences for seniors. He never shied away from the possibility of failure, constantly pushing himself to discover something better. Shortly after college, Donald’s life would be forever altered. That’s when he married his true soul-mate, Doris Feigenbaum, a long-time family friend. 261

While Donald both failed and succeeded as an entrepreneur during the 1950s and ‘60s, something stirred in him. He had always sought a business that wouldn’t just pay the bills—but excite, no matter the sector. In the mid-1960s, Donald, who had been working with his father, Sydney, branched out to start his own business: refurbishing old hotels. He bought the Capitol Park Hotel in Sacramento—the first in a series of “lucky” happenings that would change his life. After buying the building, he leased space to a Levi’s salesman, who opened a showroom.

One day, Donald decided to buy a handful of jeans and slacks from the salesman. The product arrived from a distribution center. When he tried on the pants, none fit. He needed a 34-waist, 31-length. All the pants had 30-inch lengths. So he asked if the salesman would exchange the pants for the correct sizes. He hesitated, saying it would be a paperwork nightmare. But the salesman suggested exchanging the pants at a city department store. Donald took him up on the idea, and asked Doris to pay a visit to Macy’s, in San Francisco. She found a Levi’s display table in the basement and cringed at the mess. But she sorted through the items and reported back to Donald. They carried only even sizes, about five pair in each size category: 34 x 32, 36 x 32 and so on , he said.

That led to the creation of the first Gap store, on Ocean Avenue, which, until Doris struck gold with the name, was going to be called “Pants and Discs.” The G was inspired by the ap idea of “The Generation Gap.” The store would be loaded with Levi’s pants as well as records and tapes—all part of an effort to appeal to the 12-to-25-year-old target customer. He surmised that an entire store devoted to pants would capture the greatest potential in sales particularly without a similar competitor in the San Francisco Bay Area. 262

With market research, Donald outlined four important requirements for success: the right location for the store in an area populated by people 12-25; sufficient parking; an adequate “in-stock” position; and just the right employees. Two months later, they did. They called it The Gap. In those early days, Doris, with her noted appreciation and eye for style, was a merchant. Donald’s lack of retail experience at one point, he had asked a Levi’s partner, “What’s a markdown?” brought innovation, a fresh way of thinking. The Fishers delivered a shopping experience that was fun and fulfilling, one that included the first fully-enclosed dressing rooms and wall space to display and sell the merchandise. The public loved what they saw and experienced. The Gap grew quickly, riding a crest of popularity to go public in 1973. Since that time, the stock has split nine times. In 1972, in an effort to broaden Gap from a Levi’s-only chain, the Fishers launched the Gap label. And that made history as the first chain in retail history to use its store name as the brand name. The private-label approach would become a retail model copied over and over again. Donald and Doris were smart family business operators who, despite their accomplishments, also knew when to bring in outside talent. In 1983, Donald hired Mickey Drexler, a skilled merchant, who helped accelerate the process that led to Gap becoming a major label. Donald and Mickey pushed the business forward acquiring a small, two store mail-order catalogue business called Banana Republic, and a few years later, creating Old Navy from scratch. Old Navy became the first retailer in history to reach $1 billion in sales in less than four years. Former Old Navy President Jenny Ming recalled a company culture that not only attracted bright, passionate employees, but also was charged with energy and ideas. And it all began with the high bar Donald had set for himself and o thers. Jenny recalled a time early on when she sat down with Donald to talk about how Old Navy was performing. At one point, Donald suggested adding 50 cents to each of Old Navy’s price tickets. A $10 shirt became $10.50. The incremental change would add up significantly when added to millions of units.


Gap North America President Marka Hansen, a 21-year veteran of the company, attributed Gap Inc.’s success to Donald’s philosophy. “When I think about it, what I really recall is Donald’s vision for the compa ny,” she said. “That is, building quality in absolutely everything we do, and the willingness to take a big bet.” One of Donald’s true passions was education. Donald had relinquished his CEO position in 1995, retaining leadership on the Board. In 2004, he stepped down as Chairman of the Board—but continued as a company director and executive in the role of Founder and Chairman Emeritus, a role he held until his death. In 1996, Donald, humbled and surprised by the steady growth and notoriety of his business, received the coveted Retailer of the Year Award from the National Retail Federation.

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The creator of Mickey Mouse and founder of Disneyland and Walt Disney World was born in Chicago, Illinois, on December 5, 1901. His father, Elias Disney, was an Irish-Canadian. His mother, Flora Call Disney, was of German -American descent. Walt was one of five children, four boys and a girl. Raised on a farm near Marceline, Missouri, Walt became interested in drawing at an early age, selling his first sketches to neighbors when he was only seven years old. At McKinley High School in Chicago, Disney divided his attention between drawing and photography, contributing both to the school paper. At night he attended the Academy of Fine Arts. On July 13, 1925, Walt married one of his first employees, Lillian Bounds, in Lewiston, Idaho. They were ble ssed with two daughters: Diane married to Ron Miller, former president and chief executive officer of Walt Disney Productions; and Sharon Disney Lund, who served as a member of Disney's Board of Directors and passed away in 1993. The Millers have seven children and Mrs. Lund had three.

After the war, Walt returned to Kansas City, where he began his career as an advertising cartoonist. Here, in 1920, he created and marketed his first original animated cartoons, and later perfected a new me thod for combining live-action and animation. In August of 1923, Walt Disney left Kansas City for Hollywood with nothing but a few drawing materials, $40 in his pocket and a completed animated and live-action film. Walt's brother, Roy 0. Disney was already in California, with an immense amount of sympathy and encouragement, and $250. Pooling their resources, they borrowed an additional $500, and constructed a camera stand in their uncle's garage. Soon, they received an order from New York for the first "Alice Comedy" featurette, and the brothers began their production operation in the rear of a Hollywood real estate office two blocks away. During a 43-year Hollywood career, which spanned the development of the motion picture medium as a modern American art, Walter Elias Disney, a modern Aesop, established himself and his product as a genuine part of Americana. David Low, the late British political cartoonist, called Disney "the most significant figure in graphic arts since Leonardo DaVinci." A pioneer and innovator, and the possessor of one of the most fertile imaginations the world has ever known. 266

Mickey Mouse was created in 1928, and his talents were first used in a silent cartoon entitled "P lane Crazy." However, before the cartoon could b released, sound burst upon the motion e picture screen. Thus Mickey made his screen debut in "Steamboat Willie," the world's first fully-synchronized sound cartoon, which premiered at the Colony Theatre in New York on November 18, 1928. Walt's drive to perfect the art of animation was endless. Technicolor was introduced to animation during the production of his "Silly Symphonies." In 1932, the film entitled "Flowers and Trees" won Walt the first of his 32 personal Academy Awards. In 1937, he released "The Old Mill," the first short subject to utilize the multiplane camera technique. On December 21 of that same year, "Snow White and the Seven Dwarfs," the first full-length animated musical feature, premiered at the Carthay Circle Theatre in Los Angeles. Produced at the unheard cost of $1,499,000 during the depths of the Depression, the film is still accounted as one of the great feats and imperishable monuments of the motion picture industry. During the next five years, Walt completed such other full-length animated classics as "Pinocchio," "Fantasia," "Dumbo," and "Bambi." In 1940, construction was completed on Disney's Burbank studio. The staff swelled to more than 1,000 artists, animators, story men and technicians. During World War II, 94 percent of the Dis ney facilities were engaged in special government work, including the production of training and propaganda films for the armed services, as well as health films which are still shown throughout the world by the U.S. State Department. The remainder of his efforts was devoted to the production of comedy short subjects, deemed highly essential to civilian and military morale. Business expanding and success Disney's 1945 feature, the musical "The Three Caballeros," combined live action with the cartoon medium, a process he used successfully in such other features as "Song of the South" and the highly acclaimed "Mary Poppins." In all, 81 features were released by the studio during his lifetime. Walt's inquisitive mind and keen sense for education through entertainment resulted in the award-winning "True -Life Adventure" series. Through such films as "The Living Desert,"


"The Vanishing Prairie," "The African Lion," and "White Wilderness," Disney brought fascinating insights into the world of wild animals and taught the importance of conserving our nation's outdoor heritage. Disneyland, launched in 1955 as a fabulous $17 million Magic Kingdom, soon increased its investment tenfold. By its third decade, more than 250 million people were entertained, including preside nts, kings and queens, and royalty from all over the globe. A pioneer in the field of television programming, Disney began production in 1954, and was among the first to present full-color programming with his "Wonderful World of Color" in 1961. "The Mickey Mouse Club" and "Zorro" were popular favorites in the 1950s. But that was only the beginning. In 1965, Walt Disney turned his attention toward the problem of improving the quality of urban life in America. He personally directed the design on an Experime ntal Prototype Community of Tomorrow, or EPCOT, planned as a living showcase for the creativity of American industry. Successes A pioneer and innovator, and the possessor of one of the most fertile imaginations the world has ever known, Walt Disney, along with members of his staff, received more than 950 honors and citations from every nation in the world, including 48 Academy Awards and 7 Emmys in his lifetime. Walt Disney's personal awards included honorary degrees from Harvard, Yale, the University of Southern California and UCLA; the Presidential Medal of Freedom; France's Legion of Honor and Officer d'Academie decorations; Thailand's Order of the Crown; Brazil's Order of the Southern Cross; Mexico's Order of the Aztec Eagle; and the Showman of the World Award from the National Association of Theatre Owners.

Prior to his death on December 15, 1966, Walt Disney took a deep interest in the establishment of California Institute of the Arts, a college level, professional school of all the creative and performing arts. Of Cal Arts, Walt once said, "It's the principal thing I hope to leave when I move on to greener pastures. If I can help provide a place to develop the talent of the future, I think I will have accomplished something." California Institute of the Arts was founded in 1961 with the amalgamation of two schools, the Los Angeles Conservatory of Music and Chouinard Art Institute. The campus is located


in the city of Valencia, 32 miles northeast of downtown Los Angeles. Walt Disney conceived the new school as a place where all the performing and creative arts would be taught under one roof in a "community of the arts" as a completely new approach to professional arts training.

Disney directed the purchase of 43 square miles of virgin land -- twice the size of Manhattan Island -- in the center of the state of Florida. Here, he master planned a whole new Disney world of entertainment to include a new amusement theme par k, motel-hotel resort vacation center and his Experimental Prototype Community of Tomorrow. After more than seven years of master planning and preparation, including 52 months of actual construction, Walt Disney World opened to the public as scheduled on October 1, 1971. Epcot Center opened on October 1, 1982.

Walt Disney is a legend and a folk hero of the 20th century. His worldwide popularity was based upon the ideas which his name represents: imagination, optimism and self-made success in the American tradition. Walt Disney did more to touch the hearts, minds, and emotions of millions of Americans than any other man in the past century. Through his work, he brought joy, happiness and a universal means of communication to the people of every nation. Certainly, our world shall know but one Walt Disney. He lived his life with honesty and integrity. His business was his passion and he was always a threat for his competitors. He really worked hard in his early days. People made fun of him in the begin ning but he stood upon what he thought and worked hard to reach to his goals. He also was very kind and helpful and welcomed new ideas and thoughts. His life tells that he was a man of real principals and he always lived for people with sincerity. His management style shows that he loved his work and employees. He was use to share his profits with his employees. He also worked for the better future of art. For this he took some initiatives which are really fruitful. He also created the Disney Land which is a major contribution. He transferred his


leadership skills to his people and family. After his death his family and daughter played major role in the business.

David Low, the late British political cartoonist, called Disney "the most significant figure in graphic arts since Leonardo DaVinci." Said Disney, "I don't believe there is a challenge anywhere in the world that is more important to people everywhere than finding the solution to the problems of our cities. But where do we begin? Well, we're convinced we must start with the public need. And the need is not just for curing the old ills of old cities. We think the need is for starting from scratch on virgin land and building a community that will become a prototype for the future." Walt once said, "It's the principal thing I hope to leave when I move on to greener pastures. If I can help provide a place to develop the talent of the future, I think I will have accomplished something."

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William Henry "Bill" Gates III, (born October 28, 1955) is an American business magnate, philanthropist, and author and is chairman of Microsoft the software company he founded with Paul Allen. He is consistently ranked among the world's wealthiest people and was the wealthiest overall from 1995 to 2009, excluding 2008, when he was ranked third. During his career at Microsoft, Gates held the positions of CEO and chief software architect, and remains the largest individual shareholder with more than 8 percent of the common stock. He has also authored or co-authored several books. Gates is one of the best-known entrepreneurs of the personal computer revolution. Although he is admired by many, a number of industry insiders criticize his business tactics , which they consider anti-competitive, an opinion which has in some cases been upheld by the courts. When he was in the eighth grade, the Mothers Club at the school used proceeds from Lakeside School's rummage sale to buy an ASR-33 teletype terminal and a block of computer time on a General Electric (GE) computer for the school's students. Gates took an interest in programming the GE system in BASIC and was excused from math classes to pursue his interest. He wrote his first computer program on this machine: an implementation of tic-tactoe that allowed users to play games against the computer. Gates was fascinated by the machine and how it would always execute software code perfectly. Gates graduated from Lakeside School in 1973. He scored 1590 out of 1600 on the SAT and enrolled at Harvard College in the autumn of 1973. While at Harvard, he met Steve Ballmer, who later succeeded Gates as CEO of Microsoft. In 1975 they saw the release of the MITS Altair 8800 based on the Intel 8080 CPU, and Gates and Allen saw this as the opportunity to start their own computer software company. He had talked this decision over with his parents, who were supportive of him after seeing how much Gates wanted to start a company i.e. Microsoft corporation.

The vision of bill gates is thorough enough and covers long term goals. His vision is as following: “A computer on every desk and Microsoft software on every computer“.


The mission statement of bill gates and his business is as following: "To enable people and businesses throughout the world to realize their full potential.

Now that we have had enough of the introduction, background and other important areas, so now I will be more specific and precise towards the assignment. I will now directly target the management style practices strengths of the successful leader. This ana lysis will help to make certain comments relating to the business leaders.

Bill gate has two very important strengths. The first is curiosity. He is truly fascinated with advances in science related to computing. He studies them and he has a good eye for seeing how those advances can be integrated together in powerful ways in a combination of software and hardware. The second strength is his ability to see how to position his company to play a central role in personal computing. He spotted the opportunity for Microsoft to supply and control the operating system for IBM's original PC. He recognized the strength of creating an ecosystem around DOS and, later, Windows, rather than keeping a closed system, like Apple did and also recognized the importance of producing a set of productivity software where the applications were integrated and sold as a package. Bill Gates is so strong in injecting his knowledge that he entered in to the entertainment side that is the personal computer games. He introduc ed these games and they resulted in capturing another market segment of youngsters. There are many strategic games that are amongst the best when compared to the overall pc games. This also resulted in a great interest of youngsters towards the field of software.


Authoritative leaders can be summarized as being experts in their field of work, and individuals that are able to clearly articulate a vision and the path to success. Bill Gates was able to mobilize people towards a vision. This leadership style is most effective when a new vision is needed, or when the path to that vision is not always clear. One of the interesting aspects of this style is that even though the leader is considered an authority, they allow the ir followers to figure out the best way to accomplish their goals. Bill Gates was able to successfully move Microsoft in the direction he saw the industry going. He had a vision, he told the world, and he aligned the resources of Microsoft with that vision.

Participative leadership theories suggest that the ideal leadership style is one that takes the input of others into account. Bill gates always encourage participation and contributions from group members and help group members feel more relevant and committed to the decisionmaking process. And another important thing is that only communication among the employees can bring in wonders. Microsoft employees say that they find it comfortable being with the company, adding that no matter how huge Microsoft is, there is still a “small company feel, with open communications between management and the employees”

Management theories, also known as transactional theories, focus on the role of supervision, organization and group performance. These theories base leadership on a system of rewards and punishments. Managerial theories are often used in business; when employees are successful, they are rewarded; when they fail, they are reprimanded or punished. Learn more about theories of transactional leadership. Like once an employee of bill gates was prese nting and bill gates suddenly interrupted and said that it was the most stupid thing he ever heard and said that if it is the way you go then improve it. The employees had to convince him at any cost. Gates firmly believed in financial incentives. Just as he made himself rich, so he made his managers extremely rich. According to some reports, about a third of company employees were thought to be millionaires.


Relationship theories, also known as transformational theories, focus upon the connections formed between leaders and followers. Transformational leaders motivate and inspire people by helping group members see the importance and higher good of the task. These leaders are focused on the performance of group members, but also want each person to fulfill his or her potential. Leaders with this style often have high ethical and moral standards. There are four tips which bill gave and they are following: The first tip is about taking two ‘retreats’ every year to recharge one’s own batteries, and to refresh the focus and perspective of things. The second tip encourages people to read books on various other topics to broaden the mind, such as materials that are not necessarily about the profession that one is in. This means that a leader has to study other industries apart from the one he belongs in, so as to glean the impact these have on his industry as there is a certain interconnection in the entire value chai . The third leadership tip is about identifying n problems at the soonest possible time. Beyond that, a leader has to promptly act on solving these problems that have been identified. This problem tracking should be done with the latest and most scientific metrics that are at the leader’s disposal. The fourth leadership tip that Bill Gates gives is to stop at the end of the day. This is for the purpose of analysis and clearing one’s mind, to see where the chokepoints had been during the day in terms of inefficiency and ineffectiveness over the last 24 hours. Transformational leadership of Bill gates are: • • • • Idealized influence (or charisma) Inspirational motivation, Intellectual stimulation Individualized consideration

Bill gates as a leader Predominate and whether he is manipulative.

Inspirational motivation:
Bill gates inspirational motivation of transformational leadership provides followers with challenges and meaning for engaging in shared goals and undertakings. The inspirational


appeals of the authentic transformational leader tend to focus on the best in people – on harmony bill gates donates money through his charitable foundation, the bill & Melinda gates foundation is also one of the most generous givers.

Intellectual stimulation:
Bill gates intellectual stimulation of transformational leadership incor porates an open architecture dynamic into process of situation evaluation, vision formulation, and patterns of implementation.

Individualized consideration:
The transformational leader treats each follower as an individual and provides coaching, mentorin g and growth opportunities. In this aspect followers are treated as ends or means, whether or not their unique dignity and interests are respected.

Situational Leader
Bill gates introduced windows when there was boom for computers and other software’s when the market was budding up in the late 80’s. If bill gates would not have bought that technology in that time he would not have situation to introduced them later. It’s like in early day’s bill gates already made all important decisions. Hence it is a situation based leadership.

Gates’ leadership style and management practice are legendary. He is known for detail which is quite logical for a computer programmer and astute businessman. Control is basic to Gates’ nature. This is apparent in his management practice. He is obsessed with detail and followthrough. As he would reward himself for being a good influence on his entrepreneurial endeavors, Gates firmly believed in financial incentives. He made his managers extremely rich. According to some reports, about a third of company employees were thought to be millionaires. The cream of the crop could have been worth $100 million. Microsoft employees say that they find it comfortable being with the company, adding that no matter how huge Microsoft is, there is still a “small company feel, with open communications between management and the employees”


From Microsoft's founding in 1975 until 2006, Gates had primary responsibility for the company's product strategy. He aggressively broadened the company's range of products, and wherever Microsoft achieved a dominant position he vigorously defended it. He gained a reputation for being distant to others; as early as 1981 an industry executive complained in public that "Gates i notorious for not being reachable by phone and for not returning phone s calls." As an executive, Gates met regularly with Microsoft's senior managers and program managers. Firsthand accounts of these meetings describe him as verbally combative, berating managers for perceived holes in their business strategies or proposals that placed the company's long-term interests at risk. He often interrupted presentations with such comments as, "That's the stupidest thing I've ever heard!" and, "Why don't you just give up your options and join the Peace Corps?" The target of his outburst then had to defend the proposal in detail until; hopefully, Gates was fully convinced. Gates also appeared in a series of ads to promote Microsoft in 2008. There are following import ant management tactics he used: 1. Concentrate your effort on a market with huge potential but few competitors. 2. Get in early and big. 3. Strive to become the industry leader. 4. Strategies of Market Leaders. 5. Set the industry standard to become the industry leader. a. Make your product the best. b. Make your product the most useful. c. Make your product the cheapest. 6. Establish a proprietary position – own what you sell – and protect this position. 7. Make your customers and strategic alliances offers they cannot refuse. 8. Continually invest in innovation to improve your products and services. 9. Never stop learning. Learning is an essential ingredient of any successful business. As soon as you close your mind to the possibility of another reality, you are closing yourself off to other greater opportunities that lie waiting for you. “In this business, by the time you realize you’re in trouble, it’s too late to save yourself,” says Gates. “Unless you’re running scared all the time, 277

you’re gone.” In order for Microsoft to have maintained its competitive edge for the past three decades, it was crucial for Gates and all his employers to engage in a process of continual learning. For Gates, “‘I don’t know’ had become ‘I don’t know yet. The ability to be open to change and to continue to try and improve oneself and one’s business is crucial to success, according to Gates. “People always fear change,” he says. “People fea red electricity when it was invented…there will always be ignorance, and ignorance leads to fear.” If you ignore your surroundings and stop asking questions about how to improve, you will be destined to failure. In the highly competitive world of computer technology, where the likes of Google and Apple are becoming bigger threats to Microsoft, it is not difficult for Gates to stay on his toes.

As I am a student and I am no one to give comments/recommendation to such a successful leader, still I can try few and those are following: The most prominent thing I noted is that one must not interrupt any one while he is delivering, so there are many other ways to correct employees like by being polite. The other styles of leadership are perfect but now a day’s authoritative style is the one used in armed forces but not in the private organizations. Such a famous personality should not do such business practices that force them to in litigation.

This is now very clear that William Henry Bill Gates is one of the worlds famous leader and inspiration due to his leadership and style of management so one thing is clear that the reason for his success is his behavior, conduct and presence of mind along with his in born skills of intellig ence and leadership. The best part done in the strengths he has and how he uses them. More over the other good things were the timely implementation of Gates smart management and situational leadership stance which others can adopts. So if we start from today following the steps which Gates took, even we can become very successful in our own professions. INSHALLAH.


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Smith was born in Marks, Mississippi, on August 11, 1944. The younger of two sons, Smith was named after his father, an entrepreneur and businessman who established the Dixie Greyhound Bus Lines, later a part of Greyhound Bus Lines. In 1948, when Smith was only four years old, his father died. From early childhood, Smith was troubled by a birth defect known as Calve Perthes disease, a peculiar form of childhood arthritis of the hips caused by a temporary loss of blood supply to the hip. However, by the time he was 10, Smith had out grown the disease. Smith attended Memphis University Prep, where he participated in athletics and was an excellent student. He also developed a keen interest in the American Civil War. But Smith's true passion was flying; by the age of 15 he became an amateur pilot as a teen. In 1962, Smith entered Yale University. While attending Yale, he wrote a paper for an economics class, outlining overnight delivery service in a computer information age. Folklore suggests that he received a C for this paper, although in a later interview he claims that he told a reporter, "I don't know what grade, probably made my usual C", while other tales suggest that his professor told him that, in order for him to get a C, the idea had to be feasible. The paper became the idea of FedEx (for years, the sample package displayed in the company's print advertisements featured a return address at Yale). Smith became a member of Delta Kappa Epsilon fraternity and the secret society Skull and Bones. He received his Bachelor's degree in economics in 1966. In his college years, he was a friend and DKE fraternity brother of George W. Bush. Smith was also friends with John Kerry and shared an enthusiasm for aviation with Kerry and was a flying partner with him. Smith's business acumen started early; while in high school, he and a group of friends founded the Ardent Record Company, a small recording studio that later went on to become a legitimate company. In 1962 Smith left Memphis to attend Yale University.

Frederick Smith’s was autonomous, in the main. His father passed away when he was four. He had a lovely mother, but not having a father influence, he learned a lot of things on his own. He thinks that would be the best characterization of it.


He had a couple of uncles that were very helpful, but he was not around them every day. But in the summers and so forth they were very good to him in terms of teaching him a few things about life. Certainly, his coaches were very important to him. His high school football coach was very important to him, in setting him straight on a few things.

Frederick Smith had a half-brother and another half-brother who passed away. He had an adopted sister and a half-sister, but he never lived with them.

Frederick Smith was a good student. He liked to read enormously. He loved history. It was not difficult for him to make good grades.

Frederick Smith always loved to play sports and that was the biggest avocation he had as a youngster. He suspects that he was unusual in the amount of reading he did. He loved to read when he was young and still does.

Frederick Smith never lost confidence because he never believed that the consequences of losing were as bad as some other people might have thought that they might their money or what they have. He was very sure that what he was doing was extremely important and was destined to be successful. He focused on something that he be lieved far beyond what they probably should.

FedEx Express is a cargo airline based in Memphis, Tennessee, United States. It is the world's largest airline in terms of freight tons flown and the world's second largest in terms of fleet size. It is a subsidiary of FedEx Corporation, delivering packages and freight to more than 375 destinations in nearly every country each day.


In 1971 Frederick Wallace (Fred) Smith came up with a revolutionary idea: delivering packages reliably overnight. With the creation of Federal Express Corporation, Smith not only offered an alternative to the mail and more traditional and slower delivery services, but he also created an industry that almost single-handedly changed the way business was conducted. In the process, Smith's company became the first American business to earn $10 billion in profits. By 2004 FedEx was delivering to 210 countries using over six hundred aircraft, 46,000 vehicles, and 141,000 employees. But Federal Express and Smith were not just about providing fast and dependable deliveries to clients worldwide.

Frederick W. Smith conceived the idea of an overnight delivery business while an undergraduate at Yale University. His amazing management styles leads to the countless awards that are presented to both Smith and the FedEx organization by the industry quality and performance agencies. Smith is widely regarded as an icon of American business. Fred Smith’s values were influenced by his experiences, and none of his experie nces were more influential than his service in the U.S. Marine Corps. Smith said, “The Marine Corps is the best when it comes to teaching people how to lead other folks.” Smith made the most out of his military training, which was a foundation for his ultimate success at shaping and maintaining FedEx. This Marine influence has molded Smith into the leader he is today. Mr. Smith embraces this principle through the development of progressive Human Resources programs that reward and recognize the contributions of his team at every level in the organization. Smith worked hard at being accessible to his employees and clients with a management style that combined: • • • • • • Vision, Risk-taking, Trust A sense of community A tough-minded approach. Rewards


When the founder of FedEx e wrote a paper proposing an overnight delivery service while a student at Yale, his professor commented, “The concept is interesting and well-formed, but in order to earn better than a ‘C,’ the idea must be feasible.” Little did the professor know that Smith’s idea would later become a $25 billion company with 240,000 employees operations in 215 countries, that virtually invented an entire industry, transformed other sectors as diverse as manufacturing, retail, and transportation, and heightened expectations of globalization that reaches all over the world. By starting his vision with a clear theme, Smith was able to envision a unique and profitable future with multiple possibilities. Smith has a willingness to perform above and beyond the call of duty and share hardship. This is true no matter how intricate or inconsequential the task. His willingness ripples throughout the entire organization, inspires higher levels of performance at all levels, and creates an undeniable credibility for the leader through actions, not words. Smith demonstrates this every day that he is at the office. He is a hands-on manager who takes an active role in every aspect of the operation. Smith has performed every function in the company and is willin g to do so at anytime. A never -ending commitment to recruiting, training, and mentoring develops, at all levels, confident, aggressive leaders who have initiative and integrity that drive success. Feedback is clear, constructive, candid, and regular; guidance is specific, thoughtful, individually tailored, and intended to help the recipient grow both personally and professionally. Smith is considered a keynote speaker not only in business and legislative concepts but also in leadership: when he speaks, many listen. However, he credits himself as being a good listener as well. This is evident by the credit he gives his past chief information officers throughout the years. He credits them with constantly having a vision that FedEx should have real-time business processes and making that information available to their customers, which allows them in turn to have more efficient business processes.

Experiment And Take Risks While Learning From Mistakes:
More evidence shows that a great part of success doe s not fear failure. Mr. Smith launched Zapmail, a program to electronically transmit documents between FedEx offices. Mr. Smith’s idea was to put a fax machine in every FedEx office would radically reconfigure the center of their network, thus slashing costs. The idea was a costly failure: two years and hundreds of 284

millions of dollars later, FedEx pulled the plug on Zapmail, allowing it to vanish without a trace. “I'm not afraid to take a swing and miss,” said Smith in an interview (Smith, 2002). Smith feels it is important to groom an employee team that’s willing to take smart risks. He goes on to add that if your organization is extensive with internal turf battles, bureaucracy, lackadaisical customer service, and a lack of accountability, your people w ill have no motivation to innovate. However, if you reward innovative behavior from the top down and bottom up, and if you give recognition and financial rewards, you encourage risk-taking throughout the organization. You have to dedicate sufficient resour ces to innovation, including training and empowerment of your entire team.

Foster Collaboration By Prompting Cooperative Goals And Building Trust:
Fred Smith believes that you have to surround yourself with people who will tell you the truth. If you don't, as your organization gets bigger, you'll fall out of touch with what's going on. Smith’s top leadership is comprised of many individuals who have been CEOs of other companies and have been groomed through the FedEx ranks. Smith encourages these Improving Software Support Service 27 players and key staff to hash out any conflicts among themselves and rarely intervenes. Smith trusts his people and expects more from this team than outsiders. Smith has created a style that participants describe as “straight shooting” with “no second-guessing.” Through the aggressive use of emailing, he has tried to prevent the development of closed -loop communications. In the next section, the focus is on exposing and enhancing teamwork skills, including creating high-performing teams, team development stages, team leadership, and team dynamics

Smith believes success understands the importance of keeping employees happy and promotes and rewards actions taken by employees to improve quality and cust omer satisfaction. A couple of the most popular programs at FedEx include: • Bravo Zulu: (U.S. Navy semaphore signal for “well done”). Managers reward

employees for outstanding efforts and achievement on the spot. Rewards include “quick cash” bonuses, the atre tickets, dinner gift certificates, and other gifts of similar value.


Golden Falcon Award: Results from a complimentary report from a customer praising employee efforts above and beyond the call of duty. The award consists of 10 shares of Federal Express stock and a congratulatory visit or phone call from a senior executive.

Smith has impleme nted an “Open Door Policy” throughout FedEx which promotes accessibility. This policy allows employees to submit questions or put forward a complaint about matters of corporate policy such as benefits, hiring, seniority, or vacation. An

employee submits the complaint or questions in an open-door forum, which is routed by employee relations to the management person best able to respond to the issue. The person receiving the open door enquiry must respond within 14 calendar days. Smith’s values were shaped by his experiences in business as well as his life experiences in the Marines. Smith has created an organization in FedEx that understands the corporate culture based on his beliefs. These personal values, and thus the climate, can be summed up as follows: • • • • • • Customer Obsessed: Meet and exceed needs of customers to ensure loyalty Trust Honesty: Integrity, ethics, and accountability coupled with a freedom to perform Team Spirit: Understand that the corporation is a team and all must participate to succeed Relentless Achievement: Setting the bar higher for self and teammates Innovation: Embrace change, challenge the status quo Zeal: Passion for business and commitment to the team

These values are shared, understood, and embraced in the organization. There are countless examples where Smith has “walked the walk” in support of the values he holds so dear. A good example of this alignment can be found at the FedEx Institute of Technology. FIT was established as world class research facility used to solve real world business problems as well as provide a world class recruitment pool for professionals. This organization shows Smith’s commitment to innovation and achievement as w as pressing the boundaries to find an ell even more superior solution to solving world business problems.

A challenge Smith faced was how to share these values with all FedEx employees. One of the first things he did at FedEx was sit down and record these core values and the lessons learned in written form. These writings became the FedEx Manager's Guide, which has been a mainstay for all managers for decades. The Manager's Guide is noteworthy because through 286

the written word, Smith has been able to establish a common culture and leadership philosophy across his global organization. The importance that all FedEx managers attribute to it is impressive; it is the de facto authority on leadership-related issues at the company. This represents the alignment of values and actions. Smith used this skill to effectively lead his organization to success and competitive advantage. Fred Smith and FedEx are consistently recognized for progressive and innovative policies, programs, benefits, and stimulating working environments. The culture fosters an environment where a person's performance is what counts and productivity is highly rewarded. Federal Express under the guidance of Fred Smith has been named the “Top Corporation of the Decade” by Fortune magazine (Dumain, 2004). Smith was determined to make employees an integral part of the decision-making process, due to his belief that “when people are placed first they will provide the highest possible service and profits will follow.” Resulting from this principle is the FedEx corporate philosophy: “People-Service-Profit” These three corporate goals form the basis for all business decisions.

FedEx implemented a Survey Feedback Action (SFA). This is an annual employee survey that provides a statistical measurement of employee satisfaction, as well as subordinates' opinions of management's leadership performance. Each April, every employee is asked to participate in the on-line survey. Results are tabulated, and managers then hold feedback sessions with their employees to discuss the survey findings and identify problems within and outside of their department. As a group, they develop formal, written action plans for solving these problems. Groups usually review plans throughout the year to determine whether problems were solved satisfactorily. SFA has become a problem-solving tool that operates throughout the organization. If employees still have a complaint with management, they can take advantage of the respected and benchmarked grievance system, Guaranteed Fair Treatment (GFT). The program provides three levels of managerial review and appeal for employee grievances, including an ultimate review by Smith and other top corporate officers.


The rewards and benefits account for 50% of FedEx spending. Those rewards include (FedEx 2005): Salary Increases - Salary increase based on individual performance Variable Pay - Incentives to reward individual and team contribution Tuition Assistance - Subsidy for continuous learning and education Paid Time Off and Vacation – Includes paid leave for marriage, maternity, and paternity Retirement Scheme - Financial security in retirement Health Insurance - Healthcare Life and Accidental Death Insurance - financial protection for beneficiaries Reduced Shipping Rate - Exclusive discounts for personal shipping Discounted Travel – Discounted airfares Jump seat - Free travel on FedEx aircraft

The crucial challenge in business and public life is to find one’s own voice and inspire others to find theirs. Fred smith integrated air and ground system, which had never been done. And to operate not on a linear basis, where you try to take things from one point to another, but operate in a systemic manner. He is a very inspirational person. He never lost confidence because he never believed that the consequences of losing were as bad as some other people might have thought and he was very sure that what he was doing was extremely important and was destined to be successful. Inside FedEx criticism is a real opportunity to improve. When they do something wrong for a customer, that's when they really have a chance to learn how to do things better. He is a true entrepreneur and a role model to not only business executives, but also for us, students around the world.



Buttner, Brenda, "FedEx—CEO Interview," America's Intelligence Wire , December 30, 2003. Fred Smith 1944— Biography Early life, The road to

fedex http://www.referenceforbusiness.com/biography/S -Z/Smith-Fred1944.html#ixzz1GPtWA4Uc http://www.referenceforbusiness.com/biography/S-Z/Smith-Fred-1944.html http://ectd.du.edu/source/uploads/7391833.pdf http://www.evancarmichael.com/Famous -Entrepreneurs/764/Fred-Smit h-Quotes.html





Trump is an American business entrepreneur, author, socialite and television personality. He is the chairman and CEO of the Trump Organization, as well as a famous real-estate developer.

In truth, it seems “The Donald” may not be as much of a prick as the world makes him out to be. Although it may come as a surprise to most of America, Donald Trump’s long time employees describe him as a strong yet merciful leader. According to insiders, Trump is a far more righteous leader than he is given credit. “Not only is he fair, but he is absolute. When he’s forced to make a decision he thinks about it carefully, and just as he does in the show, Mr. Trump will confer with the appropriate personnel whenever there’s an unproductive or anti-productive issue to be resolved. If he weren’t a successful real estate developer, I think Mr. Trump would make an excellent Supreme Court judge,” an anonymous associate of the Trump Organization confides. Several other employees of the Trump Organization were also fast to defend their leader's integrity, an act that speaks volumes concerning Trump’s “in your face” management and leadership style. According to Donald Trump employees, he’s very much like the man you see on the show, but he’s also a man filled with genuine compassion beyond anything the cameras could ever show – yet the media never picks up on the good press. Donald Trump employees say Trump works hard to keep his kindness out of the spotlight, but in truth he is far more generous than his reputation would lead anyone to believe.

On the season premier of “The Apprentice,” a member of the winning team asked Trump about the story of a middle aged couple who stopped to help when Donald’s trusty limo broke down on a deserted highway outside New York City. Trump showed genuine signs of humility as the contestant asked if he had really paid off the mortgage on that helpful couple’s home after they rescued him. Seeming almost embarrassed, Trump admitted to the kind act, but most people refuse to believe this stern business tycoon could ever show compassion beyond that of his immediate family and inner circle cronies. So while this “Boss Hog” persona would seem to be a handicap for most marketers, Trump has turned it into a true windfall of money and respect.


Donald Trump’s leadership style has turned “The Apprentice” into a powerful magnet for thousands of young entrepreneurs, many of whom credit Trump with teaching them important lessons for business success.

MSNBC ran an interview with the Don at The Wharton School in front of a bunch of students at which he summarized the points from his recent book. Donald’s top ten lessons:

1. Work Hard - He basically said that everyone he knew that made a lot of money and
was ultra successful, worked 7 days a week. He suggested to the audience that if they wanted to succeed, they should be prepared for 80 hour weeks for a long time. I wish it were not the case, but most of my friends that have reached lofty career goals are workaholics.

2. "Love" What You Do – He discouraged the audience from joining or switching to a
hot "industry" (i.e. hedge funds) or from going into consulting in favors of getting involved with an industry you love (antiques, baseball, marketing), even if that industry is not currently doing well as a whole. His message was that you will perform so well in your imperfect industry that you will rise above the fray and end up being a star in the top 1% of that industries earners, but if you joined an industry you weren't passionate about, you'd end up in the 50th percentile of earners in that industry. He thought the pay in the top 1% of a crappy industry (in a job you love) would top the 50th percentile in a hot industry.

3. "Know" What You Do - Whatever industry you are in and whatever role you play in
that industry, work hard to become a world class expert in it. For example, if you are a Marcom manager in a security software company, he suggested that you ought not just focus on getting good at SEO and email marketing campaigns horizontally, but that you ought to become an expert in that security industry yourself, so that you can communicate with all levels of people about the technolo gy simply, so that you can have detailed conversations with analysts, so that you can write credible blog articles, so that you can explain the future competitive dynamics to potential investors, etc.

4. Luck - According to Don, "The harder I work, the luckier I get." 5. Education - A huge advantage that is expensive in the short run, but cheap in the long
run. Don's perspective reminds of a quote from Derek Bok, the former president of Harvard, 292

when asked about the rising cost of education, "If you think getting an education is expensive, try ignorance."

6. Management - Donald fought the platitude pattern and said "You want to be smarter
than your people." He thought the notion that you should hire people smarter than you was a poor one.

7. Persistence - He talked a lot about riding the ups and downs of the real estate market,
losing everything, and coming back. He credited his success and the demise of many of his competitors to being patient and persistent over long periods of time to wait out market fluctuations. This one might be more relevant to Donald's business than most, but still interesting.

8. Negotiation - Always do it face-to-face. In this era of telephones, teleconference, and
video conference, Donald suggests that if it's an important negotiation, you should do it faceto-face, so you can read the other person's body language.

9. Middle men - Donald is not a fan of middle men who do not add value and who extract
outsized returns. He tells the story of how he "goes around" a broker on a billion dollar (that's the number of zeros the Don deals in these days) deal where he was losing a negotiation and flew to Dubai to deal directly with the principal and struck a great deal.

10. Marriage - Marry someone who understands #1 above and make sure to get a
prenuptial agreement.

“What separates the winners from the losers is how a person reacts to each new twist of fate,” says Trump. He has reacted to the twists and turns in his life with optimism, becoming CEO of the largest privately held company in New York, with over 22,000 employees and estimated revenues in excess of $10 billion. What did he use to get ahead?

FEROCITY: “What I admire most are people who put themselves directly on the line,” says
Trump. Never one to back away from a challenge, Trump was aggressive and unforgiving in making his business deals. Even if it were costly and difficult and risky, Trump would continue to fight to get the best terms he could. And, he would settle for nothing less.


PASSION: “I don’t make deals for the money,” says Trump. “I’ve got enough, much more
than I’ll ever need. I do it to do it.” Trump’s love affair with real estate began at an early age and never diminished. Having passion for his work is the only thing that kept Trump going despite the personal failure of divorce, bankruptcy and failed deals. To those wondering how to balance both work and pleasure, Trump says to stop wondering. Instead, he advises to “make your work more pleasurable.”

IDEALISM: “I wasn't satisfied just to earn a good living,” says Trump. “I was looking to make
a statement.” The Trump Organization has become synonymous with luxury, lavishness, class and extravagance. It didn’t get that way by following its competitors. It got that way because Trump was not afraid to think big, to do what hadn’t been done before and in a way that many couldn’t even imagine. His ability to blur the line between fantasy and reality helped push Trump’s company into a league above the rest.


listen, and learn,” advises Trump. Indeed, Trump’s success came

about largely as a result of his own ability to observe others and thereby learn how to manipulate their actions. By convincing others they could not do without him, Trump truly refined the deal-making process into an art. It was by mastering this art that Trump was able to rise to the top of his game.

INSTINCT: “It pays to trust your instincts,” says Trump and in his case, it paid off remarkably
well. When sellers, banks, consultants and even friends were telling him one thing, Trump knew he had to go with his gut. By having confidence in himself and the courage to follow through, Trump was able to make difficult and risky decisions when others might have simply given way to the pressure. Trump’s instincts are now worth over $2 billion but he has no plans of retiring, saying, “Anyone who thinks my story is anywhere near over is sadly mistaken.” The Trump Organization is still expanding, with a revenue growth of 22% between 2004-05 and Trump continues to demonstrate his ability to draw a good hand, pulling out the Trump card every time.


“I try to learn from the past, but I plan for the future by focusing exclusively on the present. That’s where the fun is.”

“Sometimes by losing a battle you find a new way to win the war.”

“As long as you’re going to be thinking anyway, think big.”

“What separates the winner from the loser is how a person reacts to each new twist of fate.”

“Without passion you don’t have energy, without energy you have nothing.”

“Experience taught me a few things. One is to listen to your gut, no matter how good something sounds on paper. The second is that you’re generally better off sticking with what you know. And the third is that sometimes your best investments are the ones you don’t make.”

http://emol.org/celebrities/trump/niceguy.html http://www.evancarmichael.com/Famous -Entrepreneurs/560/Breaking-New-Ground-TrumpsSuccess-Factors.html http://blog.hubspot.com/blog/tabid/6307/bid/3367/10-Management-Lessons-From -DonaldTrump.aspx http://www.slideshare.net/bright9977/my-10-success-lessons-donald-trump





Sam Walton, the founder of Wal-Mart, grew up poor in a farm community in rural Missouri during the Great Depression. The poverty he experienced while growing up taught him the value of money and to persevere. After attending the University of Missouri, he immediately worked for J.C. Penny where he got his first taste of retailing. He served in World War II, after which he became a successful franchiser of Ben Franklin five -and-dime stores. In 1962, he had the idea of opening bigger stores, sticking to rural areas, keeping costs low and discounting heavily. The management disagreed with his vision. Undaunted, Walton pursued his vision, founded Wal-Mart and started a retailing success story. When Walton died in 1992, the family's net worth approached $25 billion. Today, Wal-Mart is the world's #1 retailer, with more than 4,150 stores, including discount stores, combination discount and grocery stores, and membership-only warehouse stores (Sam's Club). Learn Walton's winning formula for business.

Rule 1: Commit to your business
Believe in it more than anybody else. I think I overcame every single one of my personal shortcomings by the sheer passion I brought to my work. I don't know if you're born wit h this kind of passion, or if you can learn it. But I do know you need it. If you love your work, you'll be out there every day trying to do it the best you possibly can, and pretty soon everybody around will catch the passion from you like a fever.

Rule 2: Share your profits with all your associates, and treat them as partners
In turn, they will treat you as a partner, and together you will all perform beyond your wildest expectations. Remain a corporation and retain control if you like, but behave as a s ervant leader in your partnership. Encourage your associates to hold a stake in the company. Offer discounted stock, and grant them stock for their retirement. It's the single best thing we ever did.


Rule 3: Motivate your partners
Money and ownership alone aren't enough. Constantly, day by day, think of new and more interesting ways to motivate and challenge your partners. Set high goals, encourage competition, and then keep score. Make bets with outrageous payoffs. If things get stale, cross-pollinate; have managers switch jobs with one another to stay challenged. Keep everybody guessing as to what your next trick is going to be. Don't become too predictable.

Rule 4: Communicate everything you possibly can to your partners
The more they know, the more they' ll understand. The more they understand, the more they'll care. Once they care, there's no stopping them. If you don't trust your associates to know what's going on, they'll know you really don't consider them partners. Information is power, and the gain you get from empowering your associates more than offsets the risk of informing your competitors.

Rule 5: Appreciate everything your associates do for the business.
A paycheck and a stock option will buy one kind of loyalty. But all of us like to be told how much somebody appreciates what we do for them. We like to hear it often, and especially when we have done something we're really proud of. Nothing else can quite substitute for a few well chosen, well timed, sincere words of praise. They're absolutely free and worth a fortune.

Rule 6: Celebrate your success
Find some humor in your failures. Don't take yourself so seriously. Loosen up, and everybody around you will loosen up. Have fun. Show enthusiasm always. When all else fails, put on a costume and sing a silly song. Then make everybody else sing with you. Don't do a hula on Wall Street. It's been done. Think up your own stunt. All of this is more important, and more fun, than you think, and it really fools competition. "Why should we take those cornballs at Wal-Mart seriously?" Rule 7: Listen to everyone in your company and figure out ways to get them talking The folks on the front lines the ones who actually talk to the customer are the only ones who really know what's going on out there. You'd better find out what they know. This really is what total quality is all about. To push responsibility down in your organization, and to force


good ideas to bubble up within it, you must listen to what your associates are trying to tell you.

Rule 8: Exceed your customer's expectations
If you do, they'll come back over and over. Give them what they want and a little more. Let them know you appreciate them. Make good on all your mistakes, and don't make excuses apologize. Stand behind everything you do. The two most important words I ever wrote were on that first Wal-Mart sign: "Satisfaction Guaranteed." They're still up there, and they have made all the difference.

Rule 9: Control your expenses better than your competition
This is where you can always find the competitive advantage. For twenty-five years running long before Wal-Mart was known as the nation's largest retailer we've ranked No. 1 in our industry for the lowest ratio of expenses to sales. You can make a lot of different mistakes and still recover if you run an efficient operation. Or you can be brilliant and still go out of business if you're too inefficient.

Rule 10: Swim upstream
Go the other way. Ignore the conventional wisdom. If everybody else is doing it one way, there's a good chance you can find your niche by going in exactly the opposite direction. But be prepared for a lot of folks to wave you down and tell you you're headed the wrong way. I guess in all my years, what I heard more often than anything was: a town of less than 50,000 populations cannot support a discount store for very long.

At first, Sam Stores are franchised stores from The Butler Brothers. With the help of Bud Walton, in-law and brother-in-law, Sam opened the store in Ruskin Heights, near Kansas in the shopping center. Then open a larger store called Walton’s Family Center and finally Sam with Bud founded Wal-Mart. Initial strategy was used to discount stores. This strategy is the first in the world. Five years later, Walt-mart has 24 branches with sales of 12.6 million dollars. In 1970, Wal-Mart opens first distribution center and headquarters in Bentonville, Arkansas, and trade shares of the first time. Then Wal-Mart approved and listed on the New York Stock Exchange. In 2003, the company has operations in more than 4000 stores


worldwide. In 1999, with business partners 1,140,000, Wal Mart became the largest private companies in the world. The simple act of leader, however cause Big Impact. Every leader must have the force and power of each. A Sam Walton was known to be rather revealing the positive side of someone, then say thank you to someone because of their privilege to do. Walton also was the one who appreciates the input from others. He was always asking questions to anyone who can give input considered. “Would you visit our distribution centers? After that, please tell me, what needs to be improved.” “How do you think of our new store concept? What will we do Wal-Mart?” This shows that Walton’s very open to feedback and even criticism directed at him, while quite a lot of leaders feel allergic to criticism of others. This simple act turned out to have a real impact for customers and partners. Sam Walton was not a man who likes to waste time and energy. The suggestions from customers not only accommodated without a clear follow-up, but he wrote in a notebook he always carried, or recorded in the cassette. After that he took the action based on that advice. This action ultimately proved his concern for the customer. Walton was very close to the employees. Often vanity top executives have led to the collapse of a company. They tend to build a distance (gap) with front-line employees. The biggest of the company, usually the greater the possibility of these leaders have lost contact with the front-line employees. But not so with Sam Walton, he was a leader who was humble and modest. Throughout his life, he often visited the front lines of every store. Sam Walton’s leadership style is close to the employee coloring corporate culture of Wal-Mart today.

Walton’s leadership success according by Michael Berg Dahl, author of The 10 Rules of Sam Walton, is that Walton is a person who has a vision, never give up, and optimistic. He is also constantly learning from its competitors but by doing its own way, he does not like to follow the style of others. Sam Walton was also the man who dared to take risks, even though he admitted that the first 90% he always failed when taking a risk. For Sam Walton, his failure is a lesson to achieve success.


In the book Successful Business Leaders of Investor’s Business Daily, there are some secrets of Walton’s success that we can learn, namely:

1. Constantly trying to improve
If we ask him about the way to run business, the n he is a man who was never satisfied. For example, in 1966, Walton has five Walt-mart stores in a few small shops, and five shops were producing an income of $ 10 million in sales per year. But, he continued to look for ways to improve and expand his business and make it more efficient. He began to read about computers and even register in the school IBM Corp., and hire some computer experts. Initial emphasis on the technology turned out to be one of the key developments of Wal-Mart business in the future.

2. Happy employees mean happy customers
Walton admitted that initially he was so stingy and did not give good pay to his employees. But eventually he realized that he should give a larger payment to his employees because they are considered as “business partners”. According to Walton, who treated the way management is the same business partner in a way that applied to the consumer. If the business partner treats their customers well then the consumer will come again and again therein lays the advantage and business success. Walton also often visited his shop and asked for their opinions, especially employees who are on the front lines, those who actually faced and talking with customers, as people who know the real situation on the ground.

3. Learning from competitors
Walton always tried to investigate its competitors. He will walk into Kmart with a yellow pad or tape recorder. He saw the thirst of goods, goods on display and how the store does business. Walton did not learn of its competitors because wanted to beat their price, but he learn from these competitors.

4. Doing things with own way
Walton has a principle, that we can learn from its competitors, but do not follow them completely. We must find opportunities to do so in different ways.


5. Self-criticism with the worst criticism
According to Walton, one of reason why Wal-Mart could still standing is because he and the store managers to consistently dared to criticize their selves. If you make a mistake, it will be recognized, discussed and seek know how to fix them.

6. Having fun
Walton run his business very seriously, but he was not afraid to laugh at himself. In the schedule of meetings with his managers, he sometimes invited unexpected guests, such as Executive Chief General Electric Jack Welch or a well-known singer. Annual meeting of shareholders packed in the form of golf, tennis, or sightseeing. According to Walton, we need to relax the tension, have fun and always show enthusiasm.

7. Do what you love
Enthusiasm will be easy to do if we love what we do. Walton’s retail world is enjoying. For the love of his work, then working long hours is not an obstacle. He often began his day in the office at 04.30. According to Walton, if we love our jobs, then we will always try to do the best that can be done, so that the people around us will feel the passion that we have. Good luck of Sam Walton was because he loved the business. He’s tireless search for new ways to serve customers. As the growth of the company, he also grew to respect the people who realize that growth. Sam knew the customer is everything to the company. He applied this belief in every action. And in doing this, he left the trail to follow all the people. The success of Sam Walton to raise Wal-Mart had it enjoyed until the end. In 1992, he died because of cancer and remained as the richest man in the world. He also won awards from the President of the United States in the form of Medal of Freedom. If Sam Walton were alive today, his performance could be paired with successful entrepreneurs other world level such as Warren Buffet or Bill Gates. We can learn how Wal-Mart was elected to the Company’s eleven ranked the world’s most amazing version of Fortune magazine.

Sam Walton was not just any businessman; he was a visionary. At a very early stage in life, he taught himself to take life's challenges head on. Sam Walton was one to pursue his dreams. He was the creator of the retail industry. Decades later, Sam Walton's giant retail


business Wal-Mart ranks numero uno in the reta il industry. Learn a few lessons of business from these Sam Walton quotes. Appreciation Appreciate everything your associates do for the business. Nothing else can quite substitute for a few well-chosen, well-timed, sincere words of praise. They're absolutely free and worth a fortune. •

Capital isn't scarce; vision is.

High expectations are the key to everything.

I had to pick myself up and get on with it, do it all over again, only even better this time.

Outstanding leaders go out of their way to boost the self-esteem of their personnel. If people believe in themselves, it's amazing what they can accomplish.

The key to success is to get out into the store and listen to what the associates have to say. It's terribly important for everyone to get involved. Our best ideas come from clerks and stock-boys.

Sam Walton; John Huey (1992). Sam Walton: Made in America . Doubleday. Townley, Alvin (2006-12-26). Legacy of Honor: The Values and Influence of America's Eagle Scouts. Asia: St. Martin's Press. pp. 88–89. Retrieved http://www.thomasdunnebooks.com/TD_TitleDetail.aspx?ISBN=0312366531. 2006-12-29.







529.pdf. Retrieved 2010-11-04. Daniel, Gross; Forbes Magazine Staff (August 1997). Greatest Business Stories of All Time (First ed.). New York: John Wiley & Sons, Inc.. p. 269. Walton, Sam; John Huey (1992). Made in America: My Story. New York: Doubleday. p. 30. Daniel, Gross; Forbes Magazine Staff (August 1997). Greatest Business Stories of All Time (First ed.). New York: John Wiley & Sons, Inc.. p. 272. Abraham; Kathawala, Heron. "Sam Walton: Walmart Corporation". The Journal of Business Leadership, Volume I, Number 1, Spring 1988. American National Business Hall of Fame. http://www.anbhf.org/laureates/swalton.html. Retrieved 2009-11-23. Richard S. Tedlow, Sam Walton: Great From the Start (July 23, 2001), Harvard Business School




McNealy is an unlikely Silicon Valley visionary. He is no technocrat.. He didn't drop out of college to found Sun Microsystems. In fact, his background is in Midwestern manufacturing, where his father worked as a top executive in Detroit's automotive industry. Since a twist of fate brought him to California and the helm of Sun, McNealy has worked tirelessly to build the company into one of the world's leading corporations, based on the idea of network computing and a universal ope rating language. For more than a decade, he nearly singlehandedly led the fight against Microsoft and Bill Gates and helped persuade the Justice Department to file historic antitrust charges against the software giant. McNealy is a product of the Rustbelt, but with an Ivy League twist. Born in Columbus, Indiana, on November 13, 1954, he was raised in the upper-class suburb of Bloomfield Hills, Michigan. McNealy attended Cram brook Kingwood School, a prep school north of Detroit. A model student and athlete, McNealy captained the school's championship tennis team and excelled on the golf and hockey teams. McNealy's early business education came at the hands of his father, William McNealy, a vice-chairman at American Motors Corporation. As a youngster, McNealy spent evenings at home discussing company strategy with his father. On weekends, while his dad caught up on paperwork, McNealy would walk around the factory floor. He picked up more lessons in corporate wisdom on the golf course, joining golf outings with famous automotive executives such as Lee Iacocca. Early on, McNealy recognized that AMCs troubles stemmed from an insufficient market share. The car manufacturer did not have the financial, marketing, or technological fire power to shape the direction of the industry. Following in his father's footsteps, McNealy attended Harvard University and majored in economics, but he now jokes that he minored in beer and golf. In fact, he captained the Harvard golf team and missed the cut for the 1976 NCAA championship by one stroke. After a less than stellar undergraduate career, McNealy tried to get into business school, but was turned down by Harvard and declined twice by Stanford. Always deeply interested in manufacturing, he took a job as a foreman at the Rockwell International Corporation plant in Ashtabula, Ohio in 1976. The company, which built truck hoods, was preparing for an impending strike. The young manager worked 14-hour days for two months, landing in the hospital for six weeks with a case of hepatitis.


Early Experience
Growing up, McNealy gained exposure to the business world through his interest in his father's job as a manager at American Motors. His father eventually became vice chairman of the company, and the experience of watching American Motors decline was important in shaping the younger McNealy's understanding of business. Sports were also important in McNealy's early life. He developed early passions for hockey and golf, which continued into adulthood; McNealy was named the top CEO golfer by Golf Digest in 2002, and he continued to play hockey into his 40s. When the McNealy family settled in Bloomfield Hills, Michigan, McNealy attended the elite Cranbrook prep school. He valued the atmosphere at the school, especially the experience of being around bright people and being treated as an adult, which he said better prepared him for life at college. Although he was not a dedicated student, McNealy was able to gain entrance to Harvard. He enrolled as a premedical student, intending to become a doctor, but switched to economics. This was due mainly to the influence of an economics teacher, Bill Raduchel, who was later to join him as chief information officer at Sun. Despite listing his main interests at college as beer and golf, McNealy managed to gr aduate from Harvard in 1976. While trying to gain entrance to Stanford Business School, McNealy spent two years working as a plant foreman at Rockwell International, in a factory that made body panels for tractors. This practical experience in a manufacturing environment proved to be extremely valuable. McNealy later said that this was better preparation for running a company than anything he learned at Harvard or Stanford. Eventually accepted into Stanford, on his third attempt, McNealy was one of the few MBA students to concentrate on manufacturing, rather than finance. Upon graduation in 1980 McNealy went to work for FMC Corporation, building Bradley tanks for the U.S. Army. In 1981 he took a job as manufacturing manager with Onyx, a small company manufacturing computers. While he had no technical knowledge of the computer industry, Mc -Nealy's manufacturing experience and people skills impressed the CEO at Onyx, Doug Broyles: "We brought him on as director of operations, and put manufacturing and purchasing under him. Within a couple of weeks, Scott had the 50-yearold manufacturing guy's respect and they were working as a team. Scott went out on the line and talked to people" ( High Noon ). Throughout his career, and despite his privileged background, McNealy cultivated an image as a down-to-earth, blue-collar workingman, which appealed to many people. 307

Stanford University Network
McNealy's manufacturing experience did not make him an obvious candidate for founding a Silicon Valley start-up company. However, in 1982 a college friend from Stanford made McNealy an exciting offer. Vinod Khosla was a passionate and driven entrepreneur, with an exciting vision for the future of computing. He met Andy Bechtolsheim, a PhD student who was working on a project called the Stanford University Network, or SUN. Khosla recognized that Bechtolsheim's work could provide the solution to his idea of a powerful workstation to replace the minicomputers that software engineers were using. This workstation would operate while plugged into a computer network, allowing for electronic collaboration. Khosla invited McNealy to join the project because of his valuable business and manufacturing experience. A fourth member of the team, Bill Joy, was brought in for his programming genius to develop a Unix operating system for the prototype workstation. The four men, all in their 20s, had very little business experience between them, but they had passion and ambition to make Sun Microsystems a success. The first Sun-2 workstations hit the market in late 1982. Few people in the industry took the upstarts seriously. At the time, Apollo Computers dominated the workstation market, and its staff joked about the "kids" at Stanford. But after Sun beat out Apollo for a crucial deal to supply works tations to Computervision, it was apparent that they had to be taken seriously. Sun's aggressive campaign for the contract, even after Computervision had originally decided to go with Apollo, became a hallmark of Sun and of McNealy's business style. Initially, McNealy's position within the company was as vice president of manufacturing. Khosla, as the visionary force behind the new company, was CEO. But it soon became apparent that it was McNealy, not Khosla, who was providing leadership to the company's expanding workforce. Of the four founders, only McNealy had the personal skills and experience to deal with the varied demands of running a company. As McNealy described his role in these early days, "I couldn't program anything. I still can't program anything. I wasn't the technical guru. I wasn't the visionary. I was kind of the glue that kept everybody together and helped enunciate what our goals were, how we're going to get there, and kind of cleaned up after the engineers and made sure the customers got what we promised them" ("Scott McNealy Oral History"). This ability to crystallize and implement the vision of others became one of McNealy's strengths throughout his career.


Increasing dissatisfaction among staff and board members over Khosla's performance as CEO led to his leaving Sun in 1984. As the only obvious successor, McNealy was named interim CEO, but the board was concerned that this brash young man, who often lacked tact or discretion, did not have the business acumen required to run the company. A search outside the company failed to produce a suitable alternative, however, and the board decided to stick with McNealy. This was a big gamble, as McNealy was inexperienced, had little technical knowledge of the industry, and had a reputation for cockiness and arrogance. However, his confidence, energy, and total commitment to making the company succeed helped convince the board that he could do the job. Their faith proved well founded. As Sun Microsystems developed from a brash renegade into an industry powerhouse, so too did its CEO.

He used participative, charismatic and transformational leadership styles. Scott McNealy, Chairman and CEO, co-founded Sun Microsystems in 1982. Since the founding of Sun, the company has become one of the world leaders in computing network solutions. By using McNealy’s participative, charismatic and transformational leadership styles, Sun is sure to continue its hold in the industry. A charismatic leader is one who has a compelling vision or sense of purpose, and ability to communicate that vision in clear terms that followers can understand. They also demonstrate a consistency and focus in pursuit of the vision, and an understanding of his or her own strengths. Through McNealy’s writings he conveys his vision of what technology should be and where it should go in the future. His willingness to take on controversial issues in the industry, head on, shows his belief and focus on his visions. McNealy states, “Without choice, there is no competition. Without competition, there is no innovation. And without innovation, you are left with very little” in support of the U.S. Anti trust Law. The company’s mission statement is also an example of the clearly defined vision of where McNealy wants Sun to go in the future. One who has a participative leadership style actively seeks input from followers for many of the activities in organization. As bright a star that McNealy is one must realize that he couldn’t have done this all himself. The fast-paced, ever evolving computing industry requires more than just one individual’s input on an organizations direction. The book defines a transformational leader as one who inspires followers to transcend self-interests for the good of the organization and who is capable of having a profound and extraordinary affect on followers. McNealy has 309

proven himself to be this type of leader. Not only has he had a profound effect on his company but also on the IT industry. 60 Minutes described him as “one of the most influential business men in America”. Throughout Sun’s existence they have been consistently introducing innovative ideas. With Scott McNealy at the forefront of Sun he will continue to be an asset to Sun and the rest of the network computing industry. NEW YORK (CNN) -- Sun Microsystems Chairman Scott McNealy sums up his leadership style by saying "sharing is a good thing." It may not be what Wall Street wants to hear but McNealy believes he can use Sun power to eliminate the global digital divide. McNealy talked to CNN's Maggie Lake about his goal of creating an open source society and educating the next generation of tech superstar.

McNealy faced many challenges over the next two decades. His abilities were questioned at times and his response to these challenges highlighted some of his main attributes as a leader. One of the first major trials McNealy faced as CEO came in 1989, when, after several years of rapid growth, Sun posted its first quarterly loss. The company had grown at a phenomenal rate, surpassing its main competitor in 1987 and reaching $1 billion in revenue in 1988, but such rapid growth caused difficulties. Under McNealy's leadership, Sun had placed heavy emphasis on gaining market share, often at the expense of profit margins. Problems with internal systems meant that it was unable to manage production and keep up with demand for its products. At the same time, several key executives left the company, raising questions about McNealy's management style. Some business analysts suggested that the company had outgrown McNealy's abilities as CEO. In response, McNealy instituted changes in the company's strategy that showed his maturity as a business leader. He put new focus on the importance of costs as well as growth and developed new internal accounting processes that controlled spending. He also made the crucial decision to consolidate Sun's products, basing everything around the new microprocessor developed by Sun's own engineers, the SPARC chip. Other products based on the Intel chip or Motorola technologies were discarded. This was risky, as market acceptance of Sun's new technology was not yet established. McNealy also initiated an important restructuring of the company during the early 1990s. He reorganized the company into seven planets, each of which represented sales and marketing


focused around a specific product line. The new decentralized structure had positive and negative outcomes, which highlighted McNealy's strengths and weaknesses as a leader. While most people agreed that transformation was necessary, in practice executives bickered with each other over their own agendas. Rather than provide his team with practical guidance on how each planet was supposed to interact with the others, Mc-Nealy preferred to move on and focus on the next challenge, the next big sale. He often gave more attention to the newer technologies, while neglecting the older, more established parts of the business. This resulted in jealousy and tension between different areas. Nevertheless, the new structure did allow the various businesses within Sun to focus on establishing their own markets, without interference from the others. Many believe that the reorganization enabled the company as a whole to foster innovation in a way that would not have been possible in a more centralized business.

"The Network Is The Computer"
At the same time, Sun repositioned itself and carved out a new market away from workstations. Since the company's inception, McNealy had been a strong proponent of the slogan "the network is the computer." This meant that the true value of the computer did not come from the machine you could see on your desk, but instead from the power it derived from being connected to ot her computers. Sun's commitment to this model meant their machines had always been built with network capabilities, and they were much more powerful than PCs. As businesses began to understand the benefits of data networking in the early 1990s, Sun's workstations were ideally positioned to evolve into network-server computers. With the rise of the Internet, Sun's network slogan finally became clear to most people, and Sun's servers were at the center of the Web revolution. As the Merrill Lynch analyst Steven M. Milunovich claimed in a 1999 Business Week article, "If you want to know where the computer industry is going, ask Sun" (January 18, 1999). McNealy's long-term dedication to the network vision had finally paid off. The launch of Java also identified Sun as a leader of Internet-based technology. Java was a programming language developed by Sun's software engineers in the early 1990s. It was unique because it was not tied to a particular computer operating system. This meant it could be run on almost any computer at any time, provided that the computer had a Java interpreter. Therefore, it was ideal for the Internet environment, where millions of computer users needed to be able to talk to each other in one universal computer language. McNealy saw Java as the 311

basis of a completely new platform for the computing world, one that could challenge the dominance of Microsoft. Inevitably, this would bring him into direct conflict with Microsoft.

When McNealy helped to found Sun, Micro soft had little presence in the industry. Before long, however, the industry would have to grapple with the growing dominance of Microsoft's Windows operating system combined with the Intel computer chip, an alliance that became known as Wintel. Mc-Nealy was quick to recognize that Wintel technology would eventually threaten Sun's key markets. As he saw it, Microsoft's CEO, Bill Gates, had a flawed vision for computing that dominated the industry due to Microsoft's unfair business practices. Never one to shy away from directly criticizing his competitors, McNealy's rhetoric reached new heights in the battle against Microsoft. McNealy's attacks on the company certainly won Sun publicity, but not all were convinced that this was necessarily positive attention. Some people felt that McNealy's anti-Microsoft zeal crossed the line into obsession. For instance, banning all Sun employees from using software such as Microsoft PowerPoint was not popular, as staff needed to be able to operate with Microsoft products when dealing with customers. Many customers were also worried by McNealy's attacks on Microsoft and his apparent inflexibility over the issue of Wintel technology. What they wanted was to be able to run both kinds of technology, not to have to choose between them. McNealy's stubborn insistence that Sun would stand apart from Microsoft was in some senses ignoring the real world in which people needed to be able to operate with both. The case of Java indicated how difficult cooperation between the two companies was. In 1996 Sun and Microsoft worked out a deal that licensed Microsoft to include Java in its Windows operating system. As the vast majority of desktop computers were running Windows, Sun needed Microsoft to incorporate Java if it was to become a truly universal computer language. At the same time, Microsoft had to use Java because it had been slow to reposition itself in the new world of Internet computing. The deal quickly collapsed, however, with Sun alleging that Microsoft violated the contract by making changes to Java that were incompatible with Sun's own systems. Inevitably, Sun sued Microsoft for breach of contract in 1997.


The 1990s had proved to be a great decade for Sun and McNealy. The company had been transformed into an innovative leader in the information-technology industry, and in Java it had one of the most exciting new technologies of the era. McNealy's vision for the Information Age and his crusade against Microsoft's monopoly gained him an appreciative audience. He became one of the most high-profile high-tech CEOs, winning over audiences with his willingness to poke fun at himself as well as his competitors. In a 1996 Business Week article, Sun's former treasurer, Thomas J. Meredith, saw this as one of McNealy's key strengths: "His humor and ability to raise a crowd to its feet is in many respects exactly what you need in CEOs and leaders of today's industry" (January 22, 1996). However, the year 2000 heralded the beginning of Scott McNealy's most difficult period as CEO. With the crash of the dot.com and telecommunications industries and an economic recession exacerbated by the September 11, 2001, terrorist attacks, technology spending plummeted. Sun faced increased competition in its server market from companies producing cheaper alternatives. Sales of Sun products were also badly affected by the Linux operating system, an open-source software that was free to anyone who could download it off the Internet. By 2004 Sun faced 12-consecutive quarters of shrinking revenues, and it had been posting losses since 2002. The credit-rating agency Standard & Poor's dropped Sun's rating again in 2004, and substantial staff layoffs were announced. McNealy faced criticism for his apparent inability to return the company to profitability. Some analysts predicted the eventual demise of the company. These factors were behind the shocking announcement in April 2004 that Sun and Microsoft were calling a truce. Microsoft would pay Sun $2 billion to resolve lawsuits, and the two compa nies agreed to work toward making their technologies more compatible. Many in the industry read the deal as a capitulation by McNealy. It also sparked speculation that he was approaching the end of his time as Sun CEO. Analysts questioned whether McNealy could work closely with Microsoft, when so much of his earlier motivation had come from trying to prevent Microsoft from gaining total control of the industry. There was little doubt that Sun needed to be taken in a new direction if it was to survive, and some people were unsure if McNealy was the right person to do this. McNealy's name was also mentioned as a possible successor at Oracle Corporation if Larry Ellison were to step down as CEO. But McNealy


continued to lead the company that he helped to found, relying on continued innovation and new products to return his company to profitability.

By all accounts, Sun’s Chairman and former CEO, Scott McNealy , was a great leader and manager. According to Forbes, 75 CEOs were managed by McNealy at one time or another, including Google’s Eric Schmidt and Yahoo’s new chief, Carol Bartz. That’s impressive to be sure. In the same Forbes article, McNealy talks about the management tricks he used to grow the company to $10 billion. Again, an impressive feat few have matched. I said it myself, in a 2007 CNET post: By any measure, quantitative or qualitative, Scott [McNealy] was an extraordinary leader and manager. Excluding the [dot-com] bubble (I always exclude the bubble), he led Sun from startup to roughly $20B in market cap, an extraordinary achievement. Let’s pause there for a moment. Sounds like a love fest , doesn’t it? But there’s a flip side to the story. Read on: But over the next decade - again, excluding the bubble - the stock essentially flat lined, significantly underperforming its peers and all major market indices. Sun’s stock price today is roughly the same as it was ten years ago. The second half - an entire decade - of Sun’s performance as a public company has been poor, to say the least. If you bought [JAVA] in the past ten years, you’re not likely to be a happy camper. That affects lots of shareholders and employees - numbers with lots of zeros at the end. Since then, shares of Sun have plunged 80 percent, far worse than peer companies and broad market indices. To be fair, Jonathan Schwartz has been running the company for over two and a half years now. But wasn’t Schwartz also a McNealy disciple, not to mention Scott’s choice to replace him? How about that? Don’t get me wrong, McNealy built Sun and, for a time, it was an important, profitable, highgrowth company. But that ended long ago. Today, Sun’s business model is essentially broken, and that’s been the case for a very long time. Moreover, its “death by a thousand cuts” multi-year restructuring has failed.


Look, I think it’s great that Scott McNealy trained 75 CEOs for other companies. Maybe he should have been an executive coach. But the true measure of corporate success is building long-term shareholder value. In that sense, he failed. He couldn’t do for his own company and its shareholders what some of his disciples have done for theirs. And in that context, the horrendous performance of Jonathan Schwartz is truly ironic. In the Forbes interview, McNealy said, “A lot of those good leaders who came out of Sun understood and knew what I was trying to do when I picked an enemy, or when I picked a cause or when I put all the wood behind one arrowhead. It was about trying to align a bunch of really different people around a commonality of purpose. That’s what really great leaders do.” Maybe that’s what “really great leaders do,” but really great CEOs create long-term shareholder value. He was raised in the upper-class suburb of Bloomfield Hills, Michigan.

With three other young entrepreneurs, Scott G. McNealy founded Sun Microsystems in 1982. Despite having no technical background, McNealy's leadership helped to develop Sun into one of the world's leading computer companies. The success of the business rested upon McNealy's determination, business acumen, and ability to motivate those who worked around him. Many analysts commented on McNealy's willingness to take risks and reinvent the company in order to adjust to changing industry conditions. In particular, McNealy's dedication to the company vision, "the network is the computer," me ant that Sun was ideally placed to take advantage of the rise of the Internet in the mid-1990s. McNealy gained a reputation as a brash and aggressive CEO, notorious for his outspoken comments about his business rivals. McNealy was Microsoft's harshest and most vocal critic throughout the 1990s, and he was called on to testify during congressional hearings into competition in the software industry. His willingness to poke fun at himself and his rivals resulted in memorable wisecracks and some colorful publicity stunts, making him one of the more unconventional CEOs in corporate America. However, despite the loud public persona, those who worked closely with McNealy emphasized his business insight, his appreciation of his coworkers, and his ability to relate to many different types of people. While McNealy could not be regarded as a typical CEO, the company he built in many ways typified the


phenomenal growth and technological achievement that was associated with Silicon Valley during the last two decades of t he twentieth century.

Scott G. McNealy 1954— Biography - Early experience, Stanford university network, Challenges, The network is the computer http://www.referenceforbusiness.com/biography/MR/McNealy-Scott-G-1954.html#ixzz1GVpMPjhX http://www.answers.com/topic/scott -mcnealy#ixzz1GViiu7F0 http://en.wikipedia.org/wiki/columbus, www.bnet.com www.123helpme.com






We exist to enrich our customer’s lives through accessible communication services. Ensure our shareholders returns with the highest yields. Expand our employee’s horizons with exceptional growth opportunities. Enable our communities’ development and prosperity by always giving back.

To harness our networks to provide millions of connected customers with solutions that empower their personal and professional lives.

Orascom Telecom is part of the Orascom group of companies, which was established in 1976. Orascom entered the field of Information Technology and Telecommunications by trading and distributing IT and telecom equipment in Egypt. It became the market leader representing the most important companies in these sectors such as Microsoft, Hewlett Packard, Compaq, IBM, Lucent Technologies (AT&T), Oracle and Novell. Orascom built its solid foundations in IT and telecommunication hardware over a period of ten years. In 1994, it acquired an interest in Egypt’s first ISP, In Touch, marking its first step in offering services in the communications marketplace. As the communications sector in Egypt began to be privatized, Orascom continued to add more service companies to its portfolio, and was a participant in a joint venture that was awarded Egypt’s first license for VSAT technologies, and a lead member of a cons ortium formed to create Egypt’s first private payphone network. By 1997, Orascom was in a position to participate in the bidding process for a GSM license in Egypt, having proven itself in the marketplace as an IT and telecom hardware leader, in addition t building up the know-how and skills in managing large scale projects and o understanding local markets. On July 27th, 1997, OTH was incorporated to consolidate the telecommunications and technology interests of the Orascom family of companies and the controlling shareholders, the Sawiris family. By 1998, OTH was the only company in Egypt with licenses in all three privatized sectors: wireless, fixed line payphones and VSAT technologies. OTH entered into the GSM business in 1998 through a series of acquisitions.


From 200,000 subscribers in 1998 to more than 120 million subscribers, through its parent company “Weather Investments”, Orascom Telecom (OTH) established itself as a global brand and is considered today to be one of the largest and most diversified telecom operators. Operating in eleven emerging markets, the company has a population under license of approximately 512 million with an average mobile telephony penetration of approximately 50% as of June, 2010. Orascom Telecom operates GSM networks in Algeria ("OTA"), Pakistan ("Mobilink"), Egypt ("Mobinil"), Bangladesh ("banglalink"), Burundi (Leo Burundi), Namibia (Leo Namibia), Central African Republic (Telecel CAR), North Korea (“koryolink”) and Canada (“Wind Mobile”) through its indirect equity shareholding in Globalive Wireless and its indirect equity ownership in Telecel Zimbabwe (Zimbabwe). In 2009, the company was also awarded the management contract of one of the two Lebanese mobile telecommunications operators ("Alfa") from the government of the Republic of Lebanon. OTH's first operation was the Egyptian Company for Mobile Services commonly known as (“Mobinil”). Mobinil is a market leader serving over 26 million subscribers representing a market share of 40% (as of June 2010). Mobinil is one of Egypt's five largest companies on Cairo & Alexandria Stock Exchange (“CASE”) in terms of market capitalization. OTH witnessed success as Orascom Telecom Algeria SPA (OTA) was launched in February 2002. It grew to become the market lead in terms of both subscriber numbers as well as the er quality of telecommunications services provided. OTA serves over 15 million subscribers on its network and has a 59.1% market share (as of June 2010). Pakistan Mobile Communications Ltd (“Mobilink”) started its operations in Pakistan in 1994. In April 2001, OTH took over management control of the company. As the market leader, Mobilink serves over 32 million subscribers, representing a market share of 32.6% (as of June 2010).

Disclosure of Orascom Telecom’s CSR activities and related achievements to fulfill the company’s accountability to stakeholders, as well as improving business operations and earning the trust of its employees, shareholders, business partners, local NGOs partners, 320

government and international organization representative through communication, are also important social responsibility.

• • • • • • Ahmed Abou DomaEzz Heikal Hassan Kabbani Ken Campbell Rashid Khan Tamer El Mahdy

All over the world, there are millions of people who deserve to be heard; who have something to say that's worth listening to; who have something to offer. People caught up in wars not of their making; people with hopes and aspirations; people that are hungry or homeless; talented people who want to realize their potential. All for the want of a means to communicate. For many, their voices have no echo. Our business is communications. Orascom Telecom designs and builds complete communication infrastructures. We also operate them. And because our business is communications, we make it our business to listen. Only by feeling what the world wants to say we can provide the best means for saying it. Today, Orascom Telecom operates in seven countries and helps more than 30 million people voice their hopes, fears, ambitions and feelings. And through our parent company Weather Investments, we now reach an additional 15 million customers in Italy. Our family of more than 15 thousand employees strives everyday to make sure tha t the world will hear the people's voices. • To all the unheard millions still out there, we are coming.


Orascom Telecom is a leading international telecommunications company operating GSM networks in high growth markets in the Middle East, Africa and Asia, having a total population under license of approximately 506 million with an average mobile telephony penetration of approximately 48% as of September 30th, 2010. Orascom Telecom operates GSM networks in Algeria ("OTA"), Pakistan ("Mobilink"), Egypt ("Mobinil"), Bangladesh ("banglalink"), North Korea (koryolink) and Canada (Wind Mobile) through its indirect equity shareholding in Globalive Wireless. In addition it has an indirect equity ownership in Telecel Zimbabwe (Zimbabwe) and through its subsidiary Telecel Globe; OTH also operates in Burundi, the Central African Republic and Namibia. Orascom Telecom reached almost 98 million subscribers as of September 30th, 2010. Orascom Telecom is traded on the Egyptian Exchange under the symbol (ORTE.CA, ORAT EY).

Orascom Telecom is a leading international telecommunications company operating GSM networks in high growth markets in the Middle East, Africa and Asia, having a total population under license of approximately 506 million with an average mobile telephony penetration of approximately 48% as of September 30th, 2010. Orascom Telecom operates GSM networks in Algeria ("OTA"), Pakistan ("Mobilink"), Egypt ("Mobinil"), Bangladesh ("banglalink"), North Korea (koryolink) and Canada (Wind Mobile) through its indirect equity shareholding in Globalive Wireless. In addition it has an indirect equity ownership in Telecel Zimbabwe (Zimbabwe) and through its subsidiary Telecel Globe; OTH also operates in Burundi, the Central African Republic and Namibia. Orascom Telecom reached almost 98 million subscribers as ofSeptember30th, 2010. Orascom Telecom is traded on the Egyptian Exchange under the symbol (ORTE.CA, ORAT EY), and on the London Stock Exchange its GDR is traded under the symbol (ORTEq.L, OTLD LI).

Five Year Financial Highlights
Year ended 31/12/2008 US$ mn Year ended 31/12/2007 US$ mn Year ended 31/12/2006 US$ mn Year ended 31/12/2005 US$ mn Year ended 31/12/2004 US$ mn


Consolidated Statement Revenues EBITDA


5,327 2,384 44.70% 906 503 Balance

4,727 2,073 43.80% 1,617 2,083

4,727 2,073 43.6% 760 721

3,906 1,704 42.3% 927 667

1,966 958 48.70% 550 295

EBITDA Margin (%) EBT Net Income Consolidated Sheet

Property & Equipment 5,057 (net) Total Non-Current Assets Cash Total Current Assets Total Assets Long-Term Loans Total Liabilities Short -Term Loans & 530 8,155 652 1,765 9,920 5,205





7,743 1,239 3,688 11,431 3,379 3,896

7,082 756 1,593 8,675 3,580 3,817

5,873 287 1,044 6,917 1,548 1,812

2,992 513 1,076 4,068 996 1,130

Non-Current 5,720





Banks' Facilities Total Current Liabilities Total Equity Total Equity & Liabilities Consolidated Statement of Cash Flows Net Cash Provided by 1,423 Operating Activities Net Cash Used in 376 (950) (3,011) (1,947) 864 1,552 1,718 1,265 730 2,999 1,201 9,920 4,293 3,242 11,431 2,670 2,189 8,675 3,433 1,672 6,917 1,393 1,545 4,068


Investing Activities Net Cash Provided by (Used in) Financiag Activities Net Cash Movement (587) 450 463 (233) (2,343) (152) 1,755 449 353

In general CSR management at OTH is designed to follow a stakeholder sensitive system. The system covers various aspects of our commitment to shareholders and investors, business partners, communities, employees, etc., in a rights based approach. To this end various elements of CSR management practices are divided among our internal departments yet management of the system and its monitoring is handled through the newly founded CSR central division. In 2008, OTH established the CSR Division within the PR & Communication Department. This unit oversees and coordinates the promotion of CSR both at the Holding and across subsidiaries. A team in charge of CSR insures that our CSR activities are conducted in an integrated, cross -organizational manner. The CSR team, directed by the chairman defines the direction of the Holding's CSR activities and monitors their execution. Given the fact that all direct operations in various areas around the world is handled by our subsidiaries, our CSR division at OT has developed a commitment to mobilize, motivate and support OT’s subsidiaries to further enhance their commitment to compliance based processes and impactful social investment.. To this end, the CSR division conducted various trainings and networking sessions. The activities also included creating communication channels and an internal community of practice among our subsidiaries on the practice of CSR.

External factors that can affect the environment of caterpillar are as follows: • • Slowdown in growth Customer Loyalty 324

• •

Bargaining Power Dollar Value

Orascom Telecom is considered as a leader of competitive market environment which means, first of all, to look for new ways of business growth and raising profit margins. Such a constant search for cultural change has been institutionalized at Orascom since the start, when its management started to embed the 6 Sigma continuous innovation strategies throughout the company. The strategy enables Orascom to engage teams of employees in brain storming to solve multiple problems such as long-term planning of production and sales, enhancing product quality and competitiveness, improvements in after-sales services and spare parts supplies, and savings in distribution and logistics related costs. By setting the global standard of the 6 Sigma businesses culture for large companies Orascom has confirmed its leadership position as a company that is developing effectively even in the currently recessionary world economy.

Following are some factors which I think contributed a lot in the international success of caterpillar: • • • • Company’s global growth vision to be “First in Customer Value.” Company always looked for new ways of business growth and raising profit margins. Constant search for cultural growth Marketing strategy of caterpillar (customer oriented)

Company’s customer satisfaction strategy (realized through a global network of independent dealers)

Basically Orascom hire from reference so SWOT analysis is based on this source. What they lose due to this source and what are the advantages of this source are discussed below


• • • • Considered very strong and reliable Captured most of the potential customers (28 million and growing)

Covering over 10,000 cities, towns and villages only in Pakistan Orascom telecom has signed bilateral roaming agreements with 50 operators around the world to have true roaming service operational in over 42 countries of the world.

• • • • • •

In order to facilitate its international Roaming subscribers traveling to USA and Canada, Orascom telecom's short message service center allows Vehicle Tracking and Fleet (VTF) Management services Large number of corporate customers Economy of scale. Orascom telecom and Muslim Commercial Bank have made a combined effort in order to maximize the ease and the satisfaction of their respective customers by offering them all banking services from their very own mobile handset.

• Currently providing not good quality service because of changing their network from 900 MHz to 1800 MHz. • • • Fewer advertisements now days. Most expensive telecom company both in call rates and SMS Engineering department of Orascom telecom is not that well competent as compared to its new Competitors

• • • • Can expand its networks in the uncovered areas Services in the future can be Telephone Wireless 326

• • • •

Calling Cards Mobile Phone Banking Before start of new companies can target as many new customers as they can. Can lower prices to make business difficult for new companies

• • • • • • New market players are coming in near future. New companies can offer packages for corporate customers in better way Wireless local loop service providers too targeting areas which are less developed. Current price war may reach at a position where only brand names survive Due to expensive quality of service now a days customers can shift to other companies. Employee retention is also issue because Orascom telecom fired 1000 employees n October 2008. Loss of loyal customer

http://www.otelecom.com/about/Contents/default.aspx?ID=765 http://www.otelecom.com/regional_Presence/default.aspx http://careers.otelecom.com/ot_careers/ http://www.otelecom.com/media/Contents/default.aspx?ID=525




Nike, the largest seller of athletic footwear and athletic apparel in the world with subsidiaries in over 200 countries across the world, has attempted to keep itself on the cutting edge of technology. Nike has been launching new technically advanced shoe models from time to time, backed by innovative advertisements, celebrity endorsements, successful associations and event sponsorships. Nike was begun in 1964 as Blue Ribbon Sports; the name was changed to Nike in 1978. It began as a partnership between an MBA candidate and a former track coach who had manufactured running shoes in his spare time. The company built its reputation on its technological breakthroughs in athletic shoes, and helped to introduce specialized shoes for different sports. Prior to companies such as Nike bringing forth this concept, most athletes used general purpose athletic shoes regardless of the sport in which they were participating, or the strains it put on their feet. In addition to technology, Nike also brought comfort and fashion to the industry, although Reebok, a competitor, was more closely attuned initially to the effect that stylish shoes could have on fashion-conscious consumers. The company has a high profile in the international market, and ranked number one among American athletic shoe manufacturers in 1990. Nike Inc. is a major publicly traded sportswear and equipment supplier based in the United States. It is the world's leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment. The company takes its name from Nike, “the Greek goddess of victory”. Nike markets its products under its own brand as well as Nike Golf, Nike Pro, Nike+ , Air Jordan, Nike Skateboarding and subsidiaries including Cole Haan, Hurley International, Umbro and Converse. Nike also owne d Bauer Hockey (later renamed Nike Bauer) between 1995 and 2008. In addition to manufacturing sportswear and equipment, the company also operates retail stores under the Nike town name. Nike sponsors many high profile athletes and sports teams around the world, with the highly recognized trademarks of "Just do it" and the Swoosh logo.


Establishment of Standards
A comprehensive establishment of profitability standards has assisted Nike in our evaluation of individual performance as well as a comparison to other competitors. Nike utilizes standards such as net profit, earnings per share, return on investment, return on equity, sales growth and asset growth. Performance standards are also established and checked regularly. Some of the areas in which our company has established standards are productivity of productions sites, competitive position in the United States relative to the global market, technological leadership in comparison to competitors and overall social responsibility and the public’s perception.

Evaluation of Performance
Nike thoroughly examines and compares the aforementioned performance standa rds to the actual results that have occurred as a result of implementing strategies to meet or exceed performance standards. These standards are important to Nike as a comparison of past performance to present performance as well as in our attempt to forecast future results in these areas.

Correction of Deviation
Though Nike has established profitability and performance standards, correction of discovered deviations has been a slower and less timely process. Management’s slow response time can be attributed to the careful analysis that is performed prior to making any decisions. While in general this is a good policy to abide by, at times Nike would be better served by a management team that can react more quickly to given information.

The domestic and international political environment has a major impact on every multinational company. Today NIKE has offices in more than 180 countries so it should keep in minds the political dimensions of those countries.


Social Responsibility
In response to accusations by consumer groups over unfair labor practices, Nike has developed a Corporate Responsibility Policy that discusses how organization improve working conditions for own international employees. The Policy outlined to lead in corporate citizenship through operations that reflect caring for the world family of Nike, our teammates, our consumers, and those who provide services to Nike." The policy includes, but is not limited to the following initiativ es: raising age limits in factories to 18 years, securing independent monitoring for our factories, extending a commitment to the environment, improving safety and health conditions, and developing programs to provide educational programs. The policy shows Nike’s commitment to responding to the concerns of consumers, as well as a commitment to our employees around the world.

Distribution through E-commerce
Nike has taken the lead in e-commerce by being the first to market with its e-commerce website. Nike launched its e-commerce site in April 1999 by offering 65 styles of shoes to the U.S. market for purchase. Nike increased its e -commerce presence by launching NIKE ID in November 1999. NIKE ID enables online consumers to design key elements of the shoes they purchase. The program represents the first time a company has offered mass customization of footwear. Nike’s future plans include opening an online shop for the Japanese market next year followed by global rollout. By being the first to market, Nike enables itself to become established while competitors rush to competed.

Advertising and Promotion
Nike’s brand images, including the Nike name and the trademark Swoosh, are considered to represent one of the most recognizable brands in the world. This brand power translates into bottom-line revenues. The Nike name and associated trademarks have appeared everywhere from players' shirts, pants, and hats to stadium banners and walls. Aggressive advertising campaigns, celebrity endorseme nts, and quality products enhance the brand. Nike demonstrated an example of Nike’s brand presence at the 1999 NCAA Basketball tournament when 42 of the 64 teams participating wore shoes provided. Nike's most recent brand331

building endeavors are focused on strengthening our association with women’s sports. Some examples are our sponsorship of the 1999 Women's World Cup Soccer Tournament and our sponsorship of the U.S. Speed skating team in the upcoming 2002 Winter Olympics.

Management practice encourages and creates a feeling among the employees that their suggestions are being valued by the management, resulting in showing real interest in work. The involvement of stakeholders at all levels of an organization in the analysis of problems, development of strategies, and implementation of solutions. Employees are invited to share in the decision-making process of the firm by participating in activities such as setting goals, determining work schedules, and making suggestions. Other forms of participative management include increasing the responsibility of employees forming self-managed teams, quality circles, or quality-of-work-life committees; and soliciting survey feedback. Nike, Inc. emphasizes the need for information flow from the bottom of the company to the top. This results in senior management having a largely supervisory rather than hands-on approach. As a result, it has been noted that policy is often originated at the middle -levels of a company before being passed upwards for ratification. The strength of this approach is obviously that those tasked with the implementation of decisions have been actively involved in the shaping of policy. The key task for a manager of Nike Japan is to provide the environment in which the group can flourish. In order to achieve this he must be accessible at all times and willing to share knowledge within the group. In return for this open approach, he expects team members to keep him fully informed of developments. This reciprocity of relationship forms the basis of good management and teamwork.

Nike’s planning and organizing began in 1962 when an idea to bring low-priced, high-tech athletic shoes from Japan to dislodge German domination of the U. S. athletic footwear industry, formed a partnership and introduced Nike, a new brand of athletic footwear named for the Greek winged goddess of victory. Leading its employees and controlling, monitoring the company’s worldwide operations, along with on-going planning and organizing as new goals are established, has made Nike, Inc. one of the largest sports and fitness company in



When Nike first started selling in the foreign market in 1972, the company had to assess the economic trends of domestic and international markets during the planning stage. This would include the impact of the global market, technological advancements, and e-business which is rapidly growing. The planning and organizing process also has to be specific to the region where a new factor y was to be built. For example, resources may be more available in the Nike Americas Region than in the Europe, Middle East, and Africa (EMEA) Region; government regulations may be stricter in the Asia Pacific Region. To be successful in the leading or mot ivating process, Nike would have to assess a country’s culture and economic status. Technology Nike, technology refers to product technology; new innovations in footwear, apparel, and equipment. As fitness evolves, Nike’s products are planned to give consumers a competitive edge and help athletes perform better. Each part of the manufacturing process is designed to accomplishing the goal of providing the world’s best athletic gear. When Nike Air was introduced, it made a revolutionary impact on the sports world for its versatility. Beyond its basic function of impact protection, it can be shaped and tuned to meet the specific demands of contemporary athletes.

Although Nike is one of the largest sports and fitness companies in the world, Nike still has to challenge its competitors with new product ideas. In the planning process, Nike must continue to evaluate consumer demands. Recently, Nike decided to collaborate with Apple and bring sports and music together. The Nike + iPod Sport Kit is a wireless system that connects to the iPod Nano to give people a personal running and workout experience. Nike is planning to make many of their footwear and apparel styles iPod ready. Some of the designs now include jackets, tops, shorts and armbands designed specifically to carry iPods.

Nike’s strategy focuses on diversity in the workplace. In 2003, Nike created the Office of Global Diversity. Surveys are one way top-level managers communicate and receive 333

feedback from Nike’s employees. The organization wants to know how satisfied the employees are and the effectiveness of management. Work teams and workshops are established to address employee recommendations. The workshops emphasize employee interaction. Management is constantly monitoring the engagement of stakeholders and employees.

Research and Development

Focus - Strength
Although Nike conducts continuous, basic research that benefits numerous facets of the sports and fitness industry, our primary focus is directed towards applied research. Applied research focuses on short-term initiatives such as successfully developing new product lines. This proves to be a strength in that this method of research is less costly than basic research, and less risky due to the short-term nature. Successful projects can realize immediate profitability while unsuccessful projects may be discontinued without enduring materially large losses.

Focus – Weakness
Focusing on applied research can be a weakness as well. Many new, innovative ideas come into existence as a result of basic, unspecific research. Though more risky and expensive, Nike would benefit from increasing the amount of basic research we conduct with hopes of uncovering potential opportunities of which Nike could take advantage.

Posture - Strength
Our posture is primarily innovative, Innovation has been the key to aiding Nike in securing its position as the leader in the market. Due to the lead Nike possesses in the industry, we can afford to look long-term and place a greater emphasis on innovation as opposed to other companies with a short-term outlook attempting to improve upon existing products and services. • Increasing the minimum age of footwear factory workers to 18, and minimum age for all other light-manufactur ing workers (apparel, accessories, equipment) to 16.


Expanding education programs, including junior and high school equivalency courses, for workers in all Nike footwear factories.

Increasing support of its current micro -enterprise loan program to 1,000 families each in Vietnam, Indonesia, Pakistan, and Thailand.

While establishing these policies is a step in the right direction for Nike, the difficult task at hand will be the implementation of the aforementioned goals of the new labor initiative to ensure the success of the program.

SWOT analysis is a tool for auditing an organization and its environment. It is the first stage of planning and helps marketers to focus on key issues. SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths and weaknesses are internal factors. Opportunities and threats are external factors.

• Nike is a globally recognized for being the number one sports wear brand in the World. • Nike being a competitive organization has a healthy version towards its competitors in field of Atlantic and Olympics, Reebok expensed on sponsoring the games; Nike however, sponsored the top athletes and due to this step, it gained valuable coverage. • Nike has no factories, rather it uses contract factories to get the work done which makes it quite a incline organization. It has contracts with above 700 shops globally in about 45 different countries. • Nike is quite strong regarding its research and development quite evident regarding its evolving and innovative product range. • They manufacture high quality at the lowest possible price, if prices rise due to price hike then the production process is made cheaper by changing the place of production.

• The retail sector is price sensitive, retailers usually tend to offer a very similar experience to the consumers with another cheaper product, which in return tends to 335

get squeezed as retailers try to pass some of the low price competition pressure onto Nike. • Nike was for quite some time unwilling to disclose any type of information concerning its partnering companies. • It was charged with the violation of overtime and minimum wage rates in Vietnam, 1996, that was seen as having poor working conditions, and that it was also charged for exploiting cheap workforce overseas. • Nike was also reported to have applied child labor in Pakistan and Cambodia to produce soccer balls. • It was positioned as a subject of criticism by anti-globalization groups due to its unruly and exploited manner that was quite a disaster for its reputation.

After a lot of research on Nike’s business and their overall integrity, I came to my conclusion. While Nike has been criticized for their employment and hiring, customer service, and environmental issues they have maintained a respectable record in financial stability and have recently made great strides to become a much more responsible company that continues to improve, however I don’t believe most of their employees overseas are being treated fairly therefore, Nike has greatly reduce the amount of money that contribute to them only because they have a great enough impact on their company overall brand image in global market. According to Nike.com , their overall goal is to develop products that help athletes of every level of abilit y reach their potential, to create business opportunities that set Nike apart from the competition and provide value for their shareholders that resulting in more pressure than ever before to achieve high profit through effective global sourcing practices.

www.nike.com/ http://en.wikipedia.org/wiki/Nike,_Inc. http://www.lotsofessays.com/viewpaper/1693757.html http://condor.depaul.edu/aalmaney/StrategicAnalysisofNike.htm






From a young age, Honda's founder, Soichiro Honda had a great interest in automobiles. He worked as a mechanic at a Japanese tuning shop, Art Shokai, where he tuned cars and entered them in races. A self-taught engineer, he later worked on a piston design which he hoped to sell to Toyota. The first drafts of his design were rejected, and Soichiro worked painstakingly to perfect the design, even going back to school and pawning his wife's jewelry for collateral. Eventually, he won a contract with Toyota and built a factory to construct pistons for them, which was destroyed in an earthquake. Due to a gasoline shortage during World War II, Honda was unable to use his car, and his novel idea of attaching a small engine to his bicycle attracted much curiosity. He then established the Honda Technical Research Institute in Hamamatsu, Japan, to develop and produce small 2-cycle motorbike engines. Calling upon 18,000 bicycle shop owners across Japan to take part in revitalizing a nation torn apart by war, Soichiro received enough capital to engineer his first motorcycle, the Honda Cub. This marked the beginning of Honda Motor Company, which would grow a short time later to be the world's largest manufacturer of motorcycles by 1964. The first production automobile from Honda was the T360 mini pick-up truck, which went on sale in August 1963. Powered by a small 356 cc straight-4 gasoline engine, it was classified under the cheaper Kei car tax bracket. The first production car from Honda was the S500 sports car, which followed the T360 into production in October 1963. Its chain driven rear wheels point to Honda's motorcycle origin Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than 14 million internal combustion engines each year. Honda surpassed Nissan in 2001 to become the second-largest Japanese automobile manufacturer. As of August 2008, Honda surpassed Chrysler as the fourth largest automobile manufacturer in the United States. Honda is the sixth largest automobile manufacturer in the world. Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses, Honda also manufactures garden equipment, marine engines, personal watercraft and power generators, amongst others. Since 1986, Honda has been involved with artificial intelligence/robotics research and released their ASIMO robot in 2000.


• Market leader in the two wheeler segment not only in India but also is the number one two wheeler companies in the world. • • The company’s name is synonymous with fuel efficient bikes and longevity . The company has a presence in all bike segments viz. economy(CD 100SS,CD Dawn), executive(Super Splendor, Splendor+) and premium (Karizma, CBZ & Hunk ). • Splendor is the most successful product of the company and accounts for almost 50% of the company’s turnover • Joint venture agreement be tween the Munjal family’s Hero Group and Honda Motor Company (HMC) of Japan, each having 26% • Stake in the company.

• • • • • High and powerful research and development R&D Innovation Best market share leadership Strong and powerful brand equity One major strength is the revolutionary engine technology with the help of which Honda is gaining success day by day • Popularity is termed as one of the best strength which results in betterment for the company • • • • Huge brand equity/reputation among customers Research and development- joint venture with Japanese giant – HONDA Models/products in almost every bike segment


• • • • • • • • • • •

Healthy growth in profits Brilliant relations with customers and dealers Strong Resale Value International Technology with international collaboration 3 world-class advanced manufacturing plant (Hardwar, Darukhera & Gurgaon) Strong Research & Development Quality product for each category Dedicated Human Resource Awareness in the people Highly competitive features

• • • • • • • • • • • • Cost structure of Honda is high as compare to other automobile manufacturers Apart from Nissan & Toyota, Honda requires privileged purchase deposit Honda focus more on international deposits as compare to domestic deposits Civic model is consider as one of the major weakness for Honda Company Honda products are termed as inoffensive in terms of style and design Prices for non-luxury vehicles are far high as compare to other manufacturers In truck line, Honda Company is not offering strong products and proposals Hero is very much dependent on Honda Low cash reserves due to massive dividend payouts Very difficult to cop up if contract discontinues Virtual absence in the highly lucrative bike segments Imports >31% of its spare parts requirements


• • • • • •

Slow to react to market changes- Slow innovation- late entrants into the 125cc segment Too much dependence on few models Absence of digital speedometer except Karizma Absence of variants except Hunk Honda has the best opportunity to use its R&D in producing cars according to the needs and demands of their customer.

• • • • • • • • • Bikes Segment is still a fast growing sector HHML can still make it up by launching a strong model in 150cc segment 125cc bike segment - This segment is yet to pick pace Exports market is yet to be properly exploited Cruiser bike segment is unexplored by HHML Variants can be launched to increase the market share Hero Honda is the most reliable bike manufacturer in India Strong brand follower

• • • • • • • Hero Honda will need to have a bigger presence in the executive segment It will be a great threat for Hero is the collaboration breaks Up All major bike makers in the world are lining up for India Absence in 150cc could harm the growth plans of HHML as future lies in the 150cc and 125cc markets Low cash reserves 342

• • • •

HHML is losing a foothold in the exports market which is now dominated by Bajaj Strong competition from Bajaj, Yamaha & TVS Different and unique products

Established manufacturing facilities globally, Highly trained manager, R&D facilities.

Well known brand name associated with Industry Revolution and American Dream.

Ability to manufacture sufficient number of cars to meet demands globally. Capable of providing innovative products with Safety and Convenience features.

Core Competencies
Strong Engineering Capabilities.

Competitive Advantage
Strong brand portfolio. Large network of dealers and suppliers globally strategic alliances formed with auto manufacturers in different countries.

Value Chain
Inbound Logistics: Receiving, warehousing and input control of materials or parts. Operations: Transforms inputs – raw material and parts – to finished automobile. Outbound Logistics: Activities involved in delivering the automobile to customers and order fulfillment.

Marketing and Sales:

Attracting the customers to buy the products including distribution channel selection and advertising.

After Sales Service
It includes customer support and repairs which will maintain or enhance the automobile’s value. It is clear from the above table that Ford’s Automotive division is suffering from high inefficiencies. During past three years, Cost of Sales and Expense have always been exceeding the sales thus generating heavy losses.

Strategic Intent
• • To realign its capacity to refle ct the realities of the market. To take full advantage of its global resources and growing world markets.

Strategic Mission
To be the company that makes difference in people’s lives – one that inspires its employees, delights its customers, rewards its shareholders and makes the world a better place.

Honda was a good leader who was able to deal with all team work issues. He realized that although team work and team building suppose many challenges, the final result from a high performance team is worth all the efforts and time spent on achieving it. Honda understood the way a team plays as a whole determines its success and he treated others as equal and often worked in a workshop with his employees being the owner of a corporation. During the last two decades the notion of organizational culture has achieved wide acceptance as a method to understand human systems and as one of the central concepts in the human resource management. The research of the data shows that every element of organizational culture can be seen as an important environmental condition influencing the system and its subsystems. One of the major duties of strategic leaders is to build and support the organizational elements that make up the collective work. Organizational culture is the most fundamental element of the collective work. It includes the attitudes, beliefs, experience and values of the company. Hill & Jones (2001, p. 68) define organizational culture as ‘the specific collection of values and norms that are shared by people and groups in an


organization and that control the way they interact with each other and with stakeholders outside the organization. Organizational values are beliefs and ideas about what kinds of goals members of an organization should pursue and ideas about the appropriate kinds or standards of behavior organizational members should use to achieve these goals. From organizational values develop organizational norms, guidelines or expectations that prescribe appropriate kinds of behavior by employees in particular situations and control the behavior of organizational members towards one another’. Soichiro Honda is an exemplary leader. He was a simple man and people followed him as he inspired them. He demanded practical results, and he found how to achieve these results. Honda was a person with vision and passion. He learned to see failures as necessary steps toward success. Soichiro Honda instilled in his employees the drive to learn without fear of failure, having built the roa d to success. Honda was a good leader who was able to deal with all team work issues. He realized that although team work and team building suppose many challenges, the final result from a high performance team is worth all the efforts and time spent on ac hieving it. Honda understood the way a team plays as a whole determines its success and he treated others as equal and often worked in a workshop with his employees being the owner of a corporation. During the last two decades the notion of organizational culture has achieved wide acceptance as a method to understand human systems and as one of the central concepts in the human resource management. The research of the data shows that every element of organizational culture can be seen as an important environmental condition influencing the system and its subsystems. One of the major duties of strategic leaders is to build and support the organizational elements that make up the collective work. Organizational culture is the most fundamental element of the collective work. It includes the attitudes, beliefs, experience and values of the company. Hill & Jones (2001, p. 68) define organizational culture as ‘the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other and with stakeholders outside the organization. Organizational values are beliefs and ideas about what kinds of goals members of an organization should pursue and ideas about the appropriate kinds or standards of behavior organizational members should use to achieve these goals. From organizational values develop organizational norms, guidelines or expectations that prescribe appropriate kinds of behavior by employees in particular situations and control the behavior of organizational members towards one another’. Soichiro Honda is an exemplary leader. He was a simple man and people followed him as he inspired them. He demanded practical 345

results, and he found how to achieve these results. Honda was a person with vision and passion. He learned to see failures as necessary steps toward success. Soichiro Honda instilled in his employees the drive to learn without fear of failure, having built the road to success.

As an analysis of external environment the marketing environment surrounds and impacts upon the organization. There are three key perspectives on the marketing environment, namely the 'macro-environment,' the 'micro-environment' and the 'internal environment'. This environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but this can be misleading. In this context, micro describes the relationship between firms and the driving forces that control this relationship. It is a more local relationship, and the firm may exercise a degree of influence. The organization has strong ethical values and an ethical mission statement as follows, 'Starbucks is committed to a role of environmental leadership in all facets of our business.' The company has the opportunity to expand its global operations. New markets for coffee such as India and the Pacific Rim nations are beginning to emerge. Co-branding with other manufacturers of food and drink, and brand franchising to manufacturers of other goods and services both have potential. The macro-environment this includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organization). It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology. In today's economy every business is trying to stay competitive and avoiding going out of business. The auto industry in particular which have been hit the hardest the past few years, with the big 3 Ford, GM, and Chrysler suffering the most, has every automaker running to be number 1 in the industry. Other major player have such as Honda, has taken advantage of the Big three's slump to get a piece of the market share. Honda Motors, which began operating in 1948, is one of the largest motorcycle producers and has become one of the leading automakers in the automotive market since entering the automotive market in 1959 (http://world.honda.com/history) Honda has grown 346

over the years be way introducing one of the most economical and environmental vehicle in the market today, the Honda Accord line. Maintaining a successful company not only does it take a good product, its strategic audit of the corporation's current performance, strategic posture, board of directors and top management must all be in sync to avoid failure. Current Performance Honda Motor Co. is engaged in the development, production and sales of motor products. Four main segments compose the company. First are the two wheel vehicles, all terrain vehicles, and personal watercrafts. Second are the four wheel vehicles and related Fourth are general purpose

products. Third are the financial and insurance products. products. higher than 9 are expressed in numerals]

All the following financial statistics are based on the trailing twelve [Numbers months with information obtained from

www.toolbox.investools.com, HMC (Honda Motor Corp) Management effectiveness with a Return on Investment was 8.26% stating that for every dollar spent, 8.26 cents was added to the initial dollar spent. The rate of return on inve stment for the past 12 months was -15.94%. For every dollar an investor placed in Honda, a loss of $15.94 was incurred.

Honda motor company is not your average Japanese car manufacturer. Originally know for motorcycles, Honda has managed to elude the dominate keiretsu system in Japan and become one of the dominant automobile manufacturers in the world. There is much strength to Honda. Honda has a reputation for producing high quality products from ca rs to motorcycles to lawn mowers. In fact they are the largest manufacturer of motorcycles in the world. Honda has won many awards for initial quality and customer satisfaction. Their automobiles are reliable and generally fuel efficient. Their research ha s afforded them competitiveness in innovative products. The cutting edge Asimov robot and a successful motor sports programs provide innovations that are passed to consumers as well as press recognition. Honda won the MotoGP manufacturers title and came in second in the F1 constructors’ championship. While these race cars and motorcycles are much different than production vehicles , the lessons learned on the track transfer to better performance and engineering of future consumer vehicles. They were a pioneer in engineering low emissions internal combustion and hybrid technology. Honda is the only other manufacturer outside of Mitsubishi to branch out into many other areas outside of automobiles. However there are weaknesses, Hondas products are fairly bland and inoffensive in terms of 347

styling. Their prices are higher for non-luxury vehicles than comparable modes by other manufactures. They do not have a strong offering in a truck line. Their vehicles also have a reputation for being underpowered or pokey econo-boxes. Even for a broadly diversified company like Honda, there exist opportunities. An offering in a pickup type truck would be profitable, even if priced under competitors. These are types of vehicles have among the highest profit margins. Another opportunity would be to continue progressing low emission vehicles and alternative power sources. While they have made progress in this area, the technology is still overpriced for the consumer, and the infrastructure does not exist. Another area of opportunity would be developing nations like china and India. These are large markets, and cheap dependable transportation would be a hot seller. Honda’s success has not gone unnoticed by its competitors. Like racing, if you don’t come up with something new this year, competitors will beat you with last year’s technology. Not that other companies are taking Honda’s technology, but for others to catch up is for Honda to fall behind. While once upon a time Honda cut the low emissions trail, now they are no longer at the vanguard. Honda’s strategy is to create value through expanded sales via innovation in research and manufacturing. Instead of having one large manufacturing plant Honda uses an idea of “manufacturing products where they are sold”. In this way manufacture is increased in areas where sales increase. This practice has led to over one hundred manufacturing plants in over thirty countries, a process they call “globalization”. They also are guided by a commitment to the future. This ideal is reflected in sev eral ways. Low emissions vehicles are one example, anther are manufacturing plants that are focused on environmental friendliness as well as efficiency and quality. Honda needs to come out with a truck, which evidently is in the making (the “ Ridgeline” coming spring 2005) and progress with efficient low emissions vehicles. It also wouldn’t hurt if they were to come up with some sort of distinctive styling. Research should be continued because that has provided the innovative and competitive products, and Honda’s diversification into areas other than automobiles should also be continued as this has been historically and asset by providing synergies in technology and distribution as well as name recognition. Also as mentioned earlier, a simplified inexpensive transportation is it motorcycle or car would sell like hotcakes in China and India. After further review Honda’s extensive web site, it appears that they are expanding into India and China. China expansion includes a new plan that will quadruple production by 2006. Meanwhile in India production has started on a motorcycle that will cost less than two thousand US dollars. This appears to be the right move and is in line with Honda’s 348

production in the location of sales. These actions should put Honda in a pos ition for much more sales. As far as new low emissions vehicles, they need to put something on the market soon to recapture their image as the green leader. The new hybrid Accord looks to fill that gap on paper. However even higher performance than the regular Accord; the hybrid is well just uninspiring. Yes is quicker and gets better mileage and has more power, but it looks the same, a car your parents would drive. The expansion into China and India will provide increased sales and spread the image of Honda. However caution should be taken. If Honda can put a affordable transportation in the hands of the masses then great, but if instead of affordable they opt for cheap, then the two largest concentrations of people on the planet will know Honda as crap.

Honda Parts
Honda auto parts, Honda performance parts, Honda motorcycle parts
Honda is among the world’s most renowned brand of automobiles and motorcycles that truly raved enthusiasts. Over the years it has maintained its top notch stance through production of innovative yet cost-effective products that enhances mobility and satisfies the specific needs of customers. With their basic philosophy of maintaining a global standpoint of supplying the highest quality and impressive automobiles and other products, it has become a benchmark of elite automobiles as well as motorcycles. Honda’s ambition for youthfulness and modern solutions gave way to the production of automobiles and motorcycles that truly meets customer satisfaction. Behind every Honda vehicle and motorcycle’s astounding performance are their high performance Honda parts and Honda motorcycle parts. These are the true workhorses that provide for their road power, endurance and agility under all conditions. These parts are made to perfection thru rigorous designing, engineering and testing. Hendricks Charleston Honda Hendricks Charleston Honda is a leading Certified Honda Dealership located in Charleston, SC. We sell new Honda vehicles, Certified pre owned Hondas, Honda parts and accessories Ed Mapleton Honda Ed Mapleton Honda of Oak Lawn is the leading Honda dealer in Chicago, with the lowest prices on Brand New Honda vehicles. 349

Front Range Honda Front Range Honda, a Honda dealer serving the Colorado Springs area offering a wide selection of Sedans and SUVs including the Honda Accord, Civic and more Causeway Honda Honda motorcycle dealer and sales of Honda accessories and products Perth, Western Australia

What do customers want?
• • • • • • • • • • • • • • • • • Affordable price High mileage Low maintenance Low cost Good services Aesthetic Sporty look Load carrying Capacity Engine capacity Stroke Ignition Resale value Engine power Weight Color Intelligently design breaking system 350

How do firms survive competition?
• • • • Technologically up gradation Niche marketing also witnessing intense competition Increasing focus on sports Intensity of price competition depends on number and proximity of competition

Key success factors
• • • • • • To keep your customer satisfied and loyal Clientele Product design Market segmentation Differentiation servicing Low cost factors




Toyota Motor Corporation, commonly known simply as Toyota and abbreviated as TMC, is a multinational corporation headquartered in Japan. In 2009, Toyota Motor Corporation employed 71,116 people worldwide (total Toyota 320,808). TMC is the world's largest automobile manufacturer by sales and production.

Toyota is the perfect example of the multinational company, because of its presence in every continent, with the employee from every culture and regions. Toyota has factories in most parts of the world, manufacturing or assembling vehicles for local markets. Toyota has manufacturing or assembly plants in Japan, Australia , India , Sri Lanka, Canada , Indonesia , Poland, South Africa , Turkey, Colombia , the United Kingdom , the United States, France, Brazil, Portugal, and more recently, Argentina , Czech Republic , Mexico, Malaysia , Thailand, Pakistan, Egypt, China, Vietnam, Venezuela , the Philippines, and Russia. But I am taking Toyota Japan and Toyota America for the comparison.

Toyota's management philosophy and Toyota's managerial values and business methods are known collectively as the Toyota Way. In April 2001 the Toyota Motor Corporation adopted the "Toyota Way 2001," an expression of values and conduct guidelines that all Toyota employees should embrace. Under the two headings of Respect for People and Continuous Improvement, Toyota summarizes its values and conduct guidelines with the following five principles :

• Form a long-term vision and meet challenges with courage and creativity.

• Improve business operations continuously, always driving for innovation and evolution.


Go and see
• Go to the source to find the facts to make correct decisions build consensus and achieve goals at best speed.

• Respect others. Make every effort to understand each other, take responsibility and do your best to build mutual trust.

Stimulate personal and professional growth, share the opportunities of development and maximize individual and team performance. According to external observers, the Toyota Way has four components: • • • • Long-term thinking as a basis for management decisions. A process for problem-solving. Adding value to the organization by developing its people. Recognizing that continuously solving root problems drives organizational learning.

Specifically, Toyota has introduced a unique management system focused on prompt decision making for developing our global strategy and speeding up operations. Toyota also has a range of long-standing in -house committees and councils responsible for monitoring and discussing management and corporate activities to ensure heightened transparency and the fulfillment of social obligations. Furthermore, Toyota ha s a unique corporate culture that places emphasis on problem solving and preventative measures. Toyota's approach is to build in quality through manufacturing processes, enhancing the quality of everyday operations and consequently strengthening corporate governance. Toyota's management team and employees conduct operations and make decisions founded on that common system of checks and balances and on high ethical standards.


Culture and management
There is no significant difference among different countries like Toyota Japan and Toyota America.

Centralized vs. decentralized decision making:
Toyota used centralized decision making style, because of the huge number of employees and the presence around the globe.

Safety vs. risk:
There are very strict rules of safety and risk, no doubt all the employees are insured but they also prefer health than work. I find in the article that they have the policy to fire the employee if they not consider their health first.

Individual vs. group reward:
They have both policies regarding rewards, based on the nature of work/target.

High vs. low organizational loyalty:
Toyota employee has a very high loyalty among employee even the CEO’s serve their whole career with the Toyota.

Cooperation vs. Competition:
They have the culture of cooperation and teamwork; in fact there is solid point in the “Toyota way” named “teamwork” that we all have to corporate whatever the situation is.

Strategic Predisposition
Toyota is using Ethnocentric Predisposition because their management styles, values, interest and culture are almost same like the parent company strategic decisions throughout the world. To actually study the management styles and culture or environment of any MNC we have to study the related particulars of that country for the better understanding.


Toyota business Culture in Japan vs. America
After consulting different representatives of Toyota Pakistan and findings from different articles on internet I find that Toyota has almost a similar bus iness structure around the world because of their great value system like organized hierarchically with individuals knowing their positions w ithin the group and with regard to each other. They produce the sense of belonging to the group that gives Japanese companies their strength and purpose. Group orientation and team working are not merely concepts and phrases in Toyota but a way of life which permeates all aspects of corporate life at all levels.

Toyota management styles in Japan vs. America
They have v similar styles around the globe; their management emphasizes the need for ery information flow from the bottom of the company to the top. This results in senior management having a largely supervisory rather than "hands-on" approach. As a result, it has been noted that policy is often originated at the middle-levels of a company before being passed upwards for ratification. The strength of their approach is obviously that those tasked with the implementation of decisions have been actively involved in the shaping of policy. The key task for their manager is to provide the environment in which the group can flourish. In order to achieve this he must be accessible at all times and willing to share knowledge within the group. In return for this open approach, he expects team members to keep him fully informed of developments. This reciprocity of relationship forms the basis of good management and teamwork. Their subordinate will second-guess the boss's wishes and react accordingly. It is, therefore, often necessary to ask for clarification if tasks seem vague or unclear. It is better to seek clear understanding at the outset that to allow misunderstandings to produce poor results or tension in the relationships.

http://www2.toyota.co.jp/en/news/10/11/1105_2.html http://www.toyota.co.jp/en/index_responsibility.html http://www.toyota.co.jp/en/csr/organization/index.html#promote http://www.toyota.co.jp/en/csr/governance/index.html#governance




Pearson plc (LSE : PSON; NYSE: PSO) is a global media and education company headquartered in London, United Kingdom. It is both the largest education company and the largest book publisher in the world, with consumer imprints including Penguin , Dorling Kindersley and Ladybird. It also owns the Financial Times Group, which is the publisher of the Financial Times.

The Company was founded by Samuel Pearson in 1844 as a building and engineering concern operating under the name of S. Pearson & Son. In 1880, control passed to his grandson Weetman, an engineer, who in 1890 moved the business to London and turned it into one of the world's largest construction companies. In 1919 the firm acquired a 45% stake in the London branch of merchant bankers Lazard Brothers, an interest which would be increased to 80% in 1932 during the depression years. Pearson continued to hold a 50% stake until 1999. In 1921 Pearson purchased a numbe r of local newspapers in the United Kingdom, which it combined to form the Westminster Press. In 1957, it bought the Financial Times and acquired a 50% stake in The Economist. It purchased the publisher Longman in 1968. The Company was first listed on the London Stock Exchange in 1969. It went on to acquire the Penguin Group in 1970. In 1986, Pearson participated in the British Satellite Broadcasting consortium. BSB, choosing expensive methods and technology, was out -manoeuvered by Rupert Murdoch's Sky Television, which used proven and simpler technology, and leased transponders on Astra satellites. Sky gained an important foothold in the multichannel market and the eventual "merger" was effectively a takeover of BSB by Sky, the new company being rena med British Sky Broadcasting (BSkyB) a few years later. During the 1990s, Pearson acquired a number of TV production and broadcasting assets and rid itself of most of its non-media assets. Pearson acquired the education division of Simon & Schuster in 1998.


In September 2000, Pearson acquired National Computer Systems (NCS, Inc.) and entered the educational assessment and school management systems market in the United States. In January 2003, Pearson sold their 22% stake in RTL Group, the largest commercial television and radio broadcaster in the EU. Also in 2003 it secured control of Edexcel, the testing and assessment company. Pearson subsequently purchased a series of other testing and assessment businesses, beginning with Knowledge Technologies in 2004, [ AGS in 2005, and National Evaluation Systems and Promissor in 2006. The combination of acquisitions and organic growth have made Pearson the largest assessment and testing provider in the United States. Pearson sold its international government services (Pearson Government Solutions) division to Veritas Capital in March 2007. The new stand-alone company, Vangent, Inc, has its international headquarters in Arlington, VA, with offices in London, Rotherham, Yorkshire, and Canada. In May 2007 Pearson announced that it had agreed to acquire Harcourt Assessment and Harcourt Education International from Reed Elsevier for $ 950 m in cash. Due to Pearson's market-leading position in the US textbook market they were not interested in the main Harcourt business on account of regulatory concerns. Pearson completed the acquisition of Harcourt Assessment on January 30, 2008, merging the acquired businesses into Pearson Assessment & Information. In February 2008 Pearson announced the sale of its Pearson Data Management Division.

Internally generated long term advantage in the industry. Strength gives a company a long term advantage over its rivals. Examples include: great brand name or economies of scale. John Makinson is the Chairman and Chief Executive of the Penguin Group, the international publishing company. He was the Finance Director of Pearson, Penguin’s parent company, between 1996 and 2002, and is a member o the Pearson Board. f All the members in the company hierarchy have strong background and experience which is a positive key factor for the company for achieving its goals.


Use external recognition of our environmental management as a measure of our performance. As well as achieving accreditation for our UK operations under the environmental management standard ISO 14001. Help in developing employee’s skills and hidden talent. We aim to be brave, decent and imaginative in everything we do and have a longstanding commitment to high standards of product quality Highest possible standards of ethical and professional journalism. Provide accurate and reliable news and analysis, the FT also lends its editorial weight to discussion of key contemporary issues affecting global business, finance, politics and society.

Moderate time management skills Long term / fundamental business concern that is internally generated. A weakness is something that causes issues for the underlying business, which take considerable time and effort to fix and are internally generated or controlled. SWOT examples include: ineffective corporate culture, inefficient tax system, etc. • • • Less knowledge of workers stress Workers are usually stressed out with the load of work. Low probability of achieving the goals for workers.

Some new employees may not be able to cope up with the changed culture and how to handle people.

In the changing and sometimes volatile world in which organizations operate and do business, management accounting and management accountants are responsible for the costing, control, and performance information that support management decision-making; the optimizing of organizational performance; and the managing of business risk exposure. The strategic choices of these organizations determine the sources and types of relationships that organizations will engage in, both within their internal operating environments and their external business environments. 360

Organizations have a greater capacity to control their internal operating relationships (whether these are organization to people, people to people, people to physical assets, or physical assets to physical assets) than they do their external business relationships, which have different sources and types of uncertainty and risk. Environment for employees is very friendly and they are been given technical training, In case of hierarchy employees are in free environment and can discuss anything regarding new ideas and knowledge.

The UK (GBP) has a highly productive, capitalist economy with a strong financial services industry. UK's Fundamental Currency Analysis (short term investment): The British Pound is undervalued on a global basis. The purchase price parity indicates that the British Pound should fall in value over time, but high investment flow potential means the currency will increase in value. UK's Value Investor Survey (short term investment): The UK’s economic environment is very favorable for long term economic growth due to high scores on economic freedom , government transparency, and economic diversity. UK's Currency Trading Strategy: An undervalued currency, moderate investment flow potential and very favorable business environment leads to a positive outlook for UK investments. Few factors involved: • • • • Socio -cultural conditions - expectations of society (values, customs and tastes) Demographic conditions - trends in the physical characteristics of a population Technological conditions - most rapidly changing aspect of the general environment Global conditions - increasing number of global competitors and consumer markets

Specific environment - includes those constituencies that have a direct and immediate impact on managers’ decisions and actions • • • • customers - absorb organization’s outputs suppliers - provide material and equipment competitors - provide similar services/products pressure groups - special-interest groups 361

Company products, customers and technologies are changing fast but s ome things in Pearson stay the same. In everything we do, we aspire to be brave , imaginative and decent. So it was Penguin, for example, that published Ulysses, Lady Chatterley's Lover and Lolita, despite the serious legal and public consequences. And it w as the Financial Times that set out its stall as long ago as 1888, declaring itself: "The friend of the honest financier, the bona fide investor, the respectable broker, the genuine director, the legitimate speculator. The enemy of the closed stock exchange, the unprincipled promoter, the company wrecker, the guinea pig, the bull, the bear, the gambling operator." We are committed to supplying the highest possible quality of product and service to our customers, which means delivering measurable impacts in our educational services as well as finding the most environmentally-friendly way we can of making our books, newspapers and magazines. Our core values strongly influence the way we see our company’s place in the world too – we believe it to be our duty to use our resources to help further education and literacy, and to support our people wherever we can in their own charitable endeavours. Our charitable arm, the Pearson Foundation, partners with other innovative organizations to promote literacy, learning and great teaching on an international scale, and we run a number of volunteer schemes to help staff donate some of their working day to local programmes.

During 2000, Pearson, along with other companies, signed a 'global compact' at the United Nations which sets out a series of principles on labour standards, human rights and the environment. Since 2001 we have put in place our commitments and ways to monitor our performance against these principles, and report annually on our progress Some of the Global Compact principles concern the environment and are covered by our environmental policy. One principle relates to anti-corruption and our Code of Conduct describes the standards that we set ourselves in that area. Others refer to labour standards and human rights. They are:


Labour standards
• •

Freedom of association and the right to collective bargaining. The elimination of all forms of compulsory labour.

Human rights
• • •

The elimination of discrimination in employment and occupation. To support and respect international human rights within our sphere of influence. To ensure that we are not complicit in human rights abuses.

The health and safety of our people is of overriding concern to us. We believe that good safety and health practices in the workplace contribute to the success of a business. Through our operating companies, we are committed to maintaining and improving our standards. Health and Safety policy Our global policy was adopted in 2005 following consultation with our operating companies. The global policy p rovides a framework against which our operating companies adopt and review their own policies, procedures and specific objectives

We continue to introduce new and improved procedures to encourage employees to report incidents. Against this backdrop, we are pleased that the relatively low level of incidents reported in 2008 has continued into 2009. The enforcement notice issued in 2009 related to a motor accident in our business in India. This has been investigated with a view to ensuring we learn the appropriate lessons from the incident. Pearson’s scale and our commitment to learning means we have to take care of much more than producing good products, serving customers well and generating strong growth. We’re determined to do all those things, but we have wider responsibilities. We play a part in educating children, making the news and informing the public debate. That means we occupy a privileged position in society and we aim to earn (and constantly re-earn) commercial success and public trust.


Pearson has operations in over 60 countries around the world and we are proud of the contribution that our services in education, entertainment, testing, and comment and analysis make in helping emerging economies sustain a workforce for their commercial success. As an international company, they offer people opportunities in different markets, but we also know that it takes a lot of courage and coordination to go to live and work in a different part of the world. That’s why we created NewDirections – a programme that matches short term business opportunities in different countries with people who want to experience working and living in a different place. So far, they helped over 150 people take on a secondment or a project of less than six months in another part of the world. We will continue to encourage colleagues to work in our emerging markets where we can share the experience from our established markets, and bring home new ideas too. They believe that people at every level of our organization can take the lead. They encourage each staff to think about their own career aspirations and we try to help them achieve their goals. Outside of formal training programmes, and suggest our people take advantage of cross-function meetings, innovation workshops and ‘lunch and learn’ programmes to further their leadership experience. Company check that employees are doing all to motivate our colleagues and give them challenging assignments that expand their repertoire. Everyone has an annual appraisal or performance review so that they can get feedback from colleagues on how they’re doing and set objectives for the future. Every year, the senior teams in Pearson discuss the talented people across our businesses to make sure we identify the potential future leaders of the company; we set ourselves the target of having at least one successor for each of the top roles across Pearson. Pearson recognise the need to keep reinventing our company to keep it competitive and vibrant - it’s likely that the challenges our people will be facing in five years’ time do not yet exist. As an international company with world-leading businesses, we need to help our people adapt to those challenges and seize new opportunities Company actively encourage mentoring within Pearson and there are several structured programmes in place around the world. Some are to mix people within a particular business and location, while others have been set up to introduce people within the same department or function across different regions and businesses. We have also set up some “upwards” 364

mentoring relationships, so that more senior colleagues are mentored on a particular topic such as digital technology - by someone who has less experience in general, but more experience in a particular field Company’s vision is to be a company that reflects the world in which we operate; we took the lead in our industry as the first media company to establish a proactive diversity and inclusion team and policy.

http://www.pearson.com/about -us/our-history/ http://www.pearson.com/our -people/ http://www.pearson.com/responsibility/sustainable -business-practice/health-safety/ www.pearsoned.co.uk/




The Mitsubishi Company was first established as a shipping firm by Yataro Iwasaki in 1870. In 1873, its name was changed to Mitsubishi Shokai. The name Mitsubishi consists of two parts: "mitsu" meaning "three" and " hishi" which becomes "bishi" meaning " water caltrop" also called "water chestnut", and hence "rhombus", which is reflected in the company's famous logo. It is also translated as "three diamonds". Mitsubishi had been established in 1870, two years after the Meiji Restoration, with shipping as its core business. Its diversification was mostly into related fields. It entered into coalmining to gain the coal needed for ships, bought a shipbuilding yard from the government to repair the ships it used, founded an iron mill to supply iron to the shipbuilding yard, started a marine insurance business to cater for its shipping business, and so forth. Later, the managerial resources and technological capabilities acquired through the operation of shipbuilding were utilized to expand the business further into the manufacture of aircraft and equipment. Similarly, the experience of overseas shipping led the firm to enter into a trading business. The company bought into coal mining in 1881 by acquiring the Takashima mine and Hashima Island in 1890, using the production to fuel their extensive steamship fleet. They also diversified into shipbuilding, banking, insurance, warehousing, and trade. Later diversification carried the organization into such sectors as paper, steel, glass, electrical equipment, aircraft, oil, and real estate. As Mitsubishi built a broadly based conglomerate, it played a central role in the modernization of Japanese industry. The merchant fleet entered into a period of diversification that would eventually result in the creation of three entities: • Mitsubishi Bank (now a part of the Mitsubishi UFJ Financial Group) was founded in 1919. After its mergers with the Bank of Tokyo in 1996, and UFJ Holdings in 2004, this became Japan's largest bank. • • Mitsubishi Corporation founded in 1950, Japan's largest general trading company Mitsubishi Heavy Industry, which includes these industrial companies. o Mitsubishi Motors, the 6th largest Japanese auto manufacturer.


o Mitsubishi Atomic Industry, a nuclear power company. o Mitsubishi Che mical, the largest Japanese chemical company. o Mitsubishi Power systems , a power generation division

SWOT is an acronym for the internal strengths and weakness of a firm and environmental opportunities and threats facing by that firm. SWOT analysis is a widely used technique through which managers create a quick overview of a company’s strategic situations. The technique is based on assumption that an effective strategy derives from a sound “fit” between a firms internal resources (strength and weaknesses) and its external situations (opportunities and threats). A good fit maximizes a firm’s strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has powerful implications for the design of successful strategy”.


Strengths • Leadership in Japanese

Weaknesses • Fluctuating margins and cash flows • Overdependence Japanese markets on the

financial services industry • Largest overseas network

owned by a Japanese banking company • Strong capital based

management • External 6 th largest auto manufacturer Threats • • • Impeding regulatory reforms US subprime impact Increasing competition

Opportunities • Growing retail banking in Asia pacific • Buoyant Japanese global asset management industry





investment banking.

Mitsubishi Corporation (Mitsubishi) is a Japan based general trading company. The company operates through six business groups, which includes, Energy Business Group; Industrial Finance, Logistics & Development Group; Metals Group, Machinery Group, Chemicals Group and Living Essentials Group. Mitsubishi, along with its subsidiaries, serves its customers across the world, such as, energy, metals, chemicals, machinery, food and general merchandise. Mitsubishi has presence in more than 80 countries, 500 subsidiaries around the globe, and operates through 200 operational bases. The company is headquartered in Tokyo, Japan. Mitsubishi Corporation Key Recent Development • • • Feb 16, 2011: SBM Offshore and Mitsubishi Sign Long-Term Cooperation Agreement Jan 26, 2011: Ofgem Announces Eight Bidders for Three Offshore Transmission Projects Jan 25, 2011: JGC Secures $1.7 Billion EPC Contract for Donggi-Senoro LNG Project in Indonesia • • Jan 24, 2011: Mitsubishi Announces FID on DSLNG Project in Indonesia Jan 20, 2011: Japex Starts Oil Production from Pagerungan Uta ra Field in Indonesia

Basic Stance and Creating Environment to Utilize a Diverse Workforce
MC's greatest assets are its employees. Their basic human resources policy is to provide good jobs and working environments that maximize the skills and realize the potential of individual employees so that they can enhance their value. MC's HR policies on recruitment, training, assignment, evaluation and remuneration are supplemented by programs designed to strengthen the organization and corporate culture, and to improve working environments. These programs form the core of efforts to develop and build MC's human capital. MC will continue to create systems and a global working environment that enables its diverse


workforce to realize their potential. They believe this will motivate their people and help them in recruiting, retaining and nurturing employees who can support their growth. MC's businesses are conducted by more than 500 consolidated business entities globally. MC thus places the utmost importance on recruiting and training managers to run these firms and implement the required internal controls. To develop the necessary human resources, MC organizes business -related seminars, lectures and training courses at all levels across the MC Group, including managers, accounting managers, HR executives and young executives with leadership potential. These efforts strengthen the management of Group companies.

Measures to Promote Positive Working Environment
In October 2007, MC established the Working Environment Support Office which primarily focuses on three areas - overtime periods and leave; the mental and physical health of employees; and gender-neutral employment support. The main goal for this Office is to create working environments that boost the enthusiasm and vitality of all employees. In May 2008, the Japanese Ministry of Health, Labor and Welfare (MHLW) awarded an accreditation mark to the company for its childcare support -related HR policies, signifying that MC's initiatives and plans in this area are in line with Japanese laws which are aimed at increasing the country's overall birth rate. In April 2009, MC broadened the scope of its systems to better meet employee needs. Examples include the elimination of partner requirements in their childcare system (that previously limited use of the system to only those employees whose partners could not provide full-time childcare), in order to encourage male participation in childcare, and extending the staggered working hours and flexi-time systems for employees providing long-term care to family members from a period of one year to as long as the long-term care is necessary. MC offers mental health consultations to employees through in-house clinics and counseling rooms. In the fiscal year ended March 31, 2009, they also established the Employee Assistance Program (EAP) in Japan to provide an external counseling service to employees working outside the head office. The service is also available to family members of employees. A separate counseling service was established at the same time to any employees caring for parents or other family members.


Developing a Diverse Global Workforce
As a global enterprise, MC actively strives to promote equal employment opportunities for its diverse workforce. Global HR development functions comply with national laws and regulations while remaining sensitive to differences in working environments, among other cultural aspects. In particular, MC is focusing on promoting HR development, including the creation of training systems, for those working in consolidated subsidiaries and local staff employed at overseas operations. MC continues to pursue a policy of dynamic personnel assignment so that each individual employee can gain a variety of experiences and career opportunities. Measures include staff rotation between corporate departments and business groups, sending staff recruited overseas to Japan on assignment or as trainees, and transferring personnel between overseas bases. MC also prom otes a bilingual approach to internal communications based on the use of Japanese and English. The company's in-house magazine RYOWA and its intranet portal site are provided in both languages. Employees working in MC's network of overseas offices can choose to receive an e-learning program to help learn Japanese. MC is also implementing measures on an ongoing basis to employ people with disabilities. For example, Mitsubishi Shoji & Sun Co., Ltd., a designated special subsidiary of MC established in Beppu, Oita Prefecture, in 1983 offers employment opportunities to the disabled. Furthermore, across Japan joint recruitment interviews have been organized for Group companies in partnership with Japan's MHLW's Employment Security Bureau.

Promotion of Bilingual Communications
MC is promoting a bilingual approach to internal communications based on the use of Japanese and English. Published every other month, the company magazine RYOWA covers the same subject matter in both languages. The intranet portal site also has a bilingual design. Locally recruited employees working in MC's network of overseas offices can choose to receive an e -learning program to help learn Japanese.

Dynamic Personnel Assignment
To realize the goals contained in the Innovation 2009 plan, MC is pursuing a policy of dynamic personnel assignment to rotate people between central departments and business


groups so that each individual employee can gain a variety of experience and career opportunities. This dynamic HR approach also includes a policy of increasing the numbers of staff recruited overseas that are sent to Japan on assignment or as trainees, in addition to transferring more personnel between overseas bases.

Expanding Global Environmental Management
In order to fulfill its responsibilities as a corporate group carrying out business globally, the Mitsubishi Electric Group aims in its 6th Environmental Plan (fiscal 2010–2012) to establish and continuously improve a uniformly high level of quality in environmental management across all organizations within the Group.

Environmental management and environmental governance are key links in the business management of the Mitsubishi Electric Group, and are applicable to the company, its consolidated subsidiaries, and its affiliated companies (Mitsubishi Electric, and 163 affiliated companies in Japan and overseas, as of March 2009). All levels of the organization from head office management divisions to management and business groups, workplaces, and affiliated companies work within the scope of their management responsibilities to oversee the environmental performance and the status of environmental management execution within their downstream organizations, leading the way for the Group as a whole. The environmental management promotion structure is an integral part of the corporate body, and accordingly receives the participation of all employees within applicable organizations.

A full-participation environmental management promotion structure integrated with the corporate organization


The Mitsubishi Electric Group has established a full-participation environmental management promotion structure integrated with the corporate organization. This structure is the responsibility of the Executive Officer in Charge of Environment and is assisted by the General Manager of the Corporate Environmental Sustainability Group, all under the Executive Officers' Meeting chaired by the President. The structure places environmental managers within all business groups, management divisions, branches, business units, works, and affiliated companies, to establish and operate environmental management systems (EMS) at the corporate organization and regional level, promoting environmental activities throughout the Group.


Group Operation of Environmental Management system (EMS)
In its 5th Environmental Plan (fiscal 2007–2009), the Mitsubishi Electric Group established a structure aimed at the group-wide integrated operation of Environmental Management Systems (EMS), launching operations from fiscal 2009. Environmental management, an aspect of business management based on the Mitsubishi Electric Group Environmental Policy, is executed according to the requirements of the international standard ISO 14001. Each organization takes the achievement targets for the year from the Environmental Plan (currently the 6th Environmental Plan) and sets those as its environmental goals. In this way, environmental management vectors are aligned and the EMS of the Mitsubishi Electric Group is implemented in integrated fashion, while specific environmental targets and implementation plans are set by each organization.

Multi-faceted monitoring of activities with three types of environmental audits and on-site inspections


In Japan
To ascertain the operational status of Environmental Management Systems (EMS) and compliance with environment -related legislation at sites in Japan, we carry out three types of audits: internal environmental audits conducted by works, R&D centers, and affiliated companies; management system evaluation conducted by certification bodies based on ISO 14001; and environmental audits led by the head office to verify legal compliance and progress on the Environmental Plan of the Mitsubishi Electric Group.

Outside Japan
Primarily targeting production sites, we use a shared global checklist to conduct on-site environmental inspections from a risk management perspective, and discuss ways to resolve issues. Activity Flow (Management Cycle)

Continual verification of activity results

Setting a cycle (management cycle) of one year, the flow of environmental activities is as follows:


(1) Fiscal year planning (2) Environmental implementation planning This plan determines the achievement targets and action plan for the fiscal year, based on the Environmental Plan (3) First-Half Managers' Conference (Companywide Environmental Managers'

Conference) At this conference, environmental managers from all Group companies confirm and familiarize themselves with information and policies on particularly vital themes. (4) Confirmation of half-year progress and achievements The Corporate Environmental Sustainability Group collects data on topics such as environmental performance, and reports to the Executive Officer in Charge of environment. The Executive Officer conducts reviews and revisions of plans as required, such as in the case of major changes in the work environment of the Group overall. (5) Second-Half Managers' Conference (Companywide Environmental Managers' Conference) At this conference, environmental managers from all Group companies make progress reports and recommend directions to consider in planning for the next fiscal year. (6) Annual environmental results report The Corporate Environme ntal Sustainability Group collects data on environmental performance for the fiscal year and reports to the Executive Officer in Charge of Environment. (7) Management review The Executive Officer in Charge of Environment reviews activity results, revising the Environmental Plan and Environmental Implementation Plan for the next fiscal year as necessary. Repeating the cycle of planning (or revision in the second half), implementation, inspection of results, and revision every half year, we improve the level of our activities. In addition, we conduct on-the-spot audits and inspections to verify that appropriate actions are being performed.


Sharing information in conferences to improve overall management level
In addition to issue -specific technical committees and EMS Organization Managers' Conferences, the Mitsubishi Electric Group holds conferences in Japan and overseas, bringing together environmental managers from all divisions. These sessions help to regularly and continuously share useful information, including best practices and cautionary items taken from division activities, while confirming key points that require coordination. The conferences play a vital role in improving the overall level of management.

In Japan
Once per fiscal half, relevant managers from all company sites and affiliates in Japan gather at the Companywide Environmental Managers' Conference, where managers share information, the Executive Officer in Charge of Environment provides updates on policies, and all divisions report on the progress of initiatives.

Outside Japan
Overseas Regional Environmental Conferences are held once per year in the U.S., Europe, China, and Asia. Convened by the Corporate Environmental Sustainability Group, the conferences gather the environment managers from overseas affiliates along with participants from the business groups and mother factories in Japan. The meetings strengthen the coordination of overseas affiliates with each other and with the head office, raising environmental management levels at each site.

As local entities enact strict compliance with the various laws and regulations of their respective country or region, the head office employs corrective measures based on selfaudits and inspections to ensure legal compliance with international regulations that need to be addressed by the Group as a whole, such as ROHS or REACH.

Strict compliance with environmental regulations requires staff that is able to accurately execute the necessary management tasks. The Mitsubishi Electric Group trains and assigns key environmental personnel to undertake this work. 377

In Japan
They assign key environmental personnel to each factory, conducting training to raise their level of education.

Outside Japan
In fiscal 2011 we are assigning key environmental personnel within China, with plans to expand the program to Asia, Europe, and America.

Promoting Environmental Awareness at Home and Overseas
The Mitsubishi Electric Group positions the fostering of environmental awareness as a key aspect of preserving biodiversity, and conducts local activities in Japan and overseas under this directive.

In Japan
We are continuing our environmental conservation activities centered around the Mitsubishi Electric Outdoor Classroom and "Satoyama" woodland preservation.

Outside Japan
Activities are centered around reforestation efforts, but from fiscal 2011 our overseas programs have also begun to include Mitsubishi Electric Outdoor Classrooms.

http://www.mitsubishicorp.com/jp/en/about/philosophy/pdf/conduct100624e.pdf http://dspace.mit.edu/bitstream/handle/1721.1/33557/63277381.pdf?sequence=1 http://www.mitsubishicorp.com/jp/en/csr/work/ http://en.wikipedia.org/wiki/Mitsubishi http://www.mitsubishi-motors.com/en/spirit/environment/vision/index.html http://articles.economictimes.indiatimes.com/keyword/mitsubishi http://dspace.mit.edu/bitstream/handle/1721.1/33557/63277381.pdf?sequence=1 http://findarticles.com/p/articles/mi_m0EIN/is_20090714/ai_n32161373/ 378



Intel Corporation is the largest semiconductor manufacturer in the world, with major facilities in the United States, Europe, and Asia. Intel has changed the world dramatically since it was founded in 1968; the company invented the microprocessor, the 'computer on a chip' that made possible the first handheld calculators and personal computers (PCs). By the early 21st century, Intel's microprocessors were found in more than 80 percent of PCs worldwide. The company's product line also includes chipsets and motherboards; flash memory used in wireless communications and other applications; hubs, switches, routers, and other products for Ethernet networks; and embedded control chips used in networking products, laser printers, imaging devices, storage media, and other applications. Intel remained competitive through a combination of clever marketing, well-supported research and development, superior manufacturing proficiency, a vital corporate culture, legal proficiency, and an ongoing alliance with software giant Microsoft Corporation often referred to as 'Wintel. During the 1990s, Intel invested heavily in new microprocessor designs fostering the rapid growth of the computer industry. During this period Intel became the dominant supplier of microprocessors for PCs, and was known for aggressive and sometimes controversial tactics in defense of its market position, particularly against AMD, as well as a struggle with Mic rosoft for control over the direction of the PC industry. The 2010 rankings of the world's 100 most powerful brands published by Millward Brown Optimor showed the company's brand value at number 48.

Intel began in 1968. It was founded by Gordon E. Moore who is also a physicist and chemist. He was accompanied by Robert Noyce, also a fellow physicist and co-creator of integrated circuitry, after they both had left Fairchild Semiconductor. During the 1980’s Intel was run by a chemical engineer by the name of Andy Grove, who was the third member of the original Intel family. Many other Fairchild employees participated in other Silicon Valley companies. Andy Grove today is considered to be one of the company’s essential business and strategic leaders. As the 1990’s concluded, Intel had become one of the largest and by far the most successful businesses in the entire world. Intel has gone through many faces and phases. In the beginning Intel was set apart by its ability primarily to create memory chips.


When the firm was founded, Gordon Moore and Robert Noyce had the idea to name their company Moore Noyce. However when the name is spoken it is heard as “More Noise” This idea was quickly abandoned and the pursuit of a more suitable name – one which was not associated with a bad interface. The name NM Electronics was shortly thereafter chosen and used for nearly a year, when the company experienced a name change to Integrated Electronics, or INTEL for short. The right s to the name however had to be purchased as it was already in use by a fairly well known hotel chain: Though Intel had mastered the first microprocessor called the Intel 4004 in 1971 and also one of the worlds very first microcomputers in 1972, in the ear ly 80’s the focus was primarily on Random Access Memory chips. A new client in the early 70’s from Japan wanted to enlist the services of Intel to design twelve chips for their calculators. Knowing that they did not have the manpower or the resources to complete this job effectively, Ted Hoff agreed to the job just the same. His idea was: What if we can design one computer chip which could function the same as twelve microchips?. Hoof’s idea was completely embraced by Moore and Noyce. If this project were successful the chip would have the ability to receive command functions. This is where the 4004 model came from. After a painstaking 9 months. It measured 1/8th inch by 1/6th inch long and contained 2,300 transistors. History was made and changed that day. The Pentium Pro processor had 5.5 million transistors, making the chip so affordable that it could be imbedded in common household appliances. After this success Intel decided to completely embrace this and to pursue its production

At Intel, we know that agility can provide competitive advantage and help us meet the needs of our customers around the world. Recently, we made a significant change by reorganizing Intel as a platform company, focusing the entire organization on the custome r and the market. It is a move that changes the way we do business, a move that will keep us at the forefront of our industry. We believe it is our obligation to provide our employees with challenging work that encourages them to create and innovate. Creation might take the form of a product that improves people's lives, a process that produces an even cleaner environment in our


manufacturing plants or a project that brings one of our employees into a local classroom to inspire a child to become an engineer. Providing what employees need in order to thrive. Intel can also apply platform thinking to our employee base. Intel now has approximately 85,000 employees, spread more widely around the world than ever before. Creating a workplace that provides employee s with what they need in order to thrive is a complex challenge. In the same way that our new organization will seek to define what the customer wants and needs before we create it, we will continue to take our employees' pulse regularly to learn what they need and want, like and don't like, in the workplace. (See, for example, the discussion of our corporate-wide Organization Health survey process in this section.) Once we've seen the data, we can proceed with sound, meaningful improvements in what we make available to employees. In return for the excellent work that our employees do for Intel customers and stockholders, we offer highly competitive compensation and cutting-edge benefits. For example, Intel was one of the first companies to offer a consumer-driven health plan, allowing employees to manage their own healthcare expenses. Our employees have given high marks to this program. Building a responsible culture one employee at a time Programs such as the consumer-driven health plan work because employees take responsibility for their own destiny. The theme of responsibility is strong at Intel. We encourage employee responsibility for self: employees "own their own employability." We also encourage employees to take responsibility in their local communit ies: they volunteer in large numbers in local schools and for local nonprofit organizations. And we encourage responsibility for the human community at large: Intel employees gave in record numbers to help the victims of the Asian tsunami. Responsibility is also required of the company's leaders. It is our job to identify and promote new leaders to ensure Intel's continued success. Over the past couple of years, I am proud to say that we have graduated more than 1,000 managers from Intel's own leadership training programs. In the following pages, you'll learn about our employees in greater detail. You will see the kind of workplace we try to nurture, one that encourages smart people to focus on creating products that bring value to the world and to the communities in which they live and work.


You'll also read about Intel's role in helping students and teachers learn and grow through our external education programs. I hope you'll see in these pages a reflection of Intel's unique, hard-driving culture—and understand the dedication and enthusiasm of our employees as they play their part in helping to advance the digital revolution.

SWOT is the tool to see that where organization stands, which areas required improvement, which areas required serious consideration, which would be the source of growth, which things need avoidance and so on. The SWOT of Intel will help to understand the position of Intel in the market.

1. Intel is globally recognized brand name and has strong brand loyalty. 2. Intel was the dominant and pioneer supplier of microprocessors of PCs. It is still dominant by numerous memory devices. 3. Intel is a global technology corporation and the world’s biggest semiconductor chip producer, based on revenue. 4. Intel is the originator of the x86 series of microprocessors; the processors set up in most personal computers. Intel is the largest microprocessor manufacturer company in the world. Most of the computer manufacturer and users asked for Intel microprocessor. It has the largest marke t share of about 80% around the world. Intel has been successfully recognized as brand, whenever you think about PCs the first name came in mind regarding computer architecture is Intel. People rely on Intel products as it is most reliable name. Intel produces specialized products as it has captured only one area. Its employees are skilled in that area so it manufactures best products because of specialization in products.


It keeps on improving its products like Intel introduced many versions of core 2 processor and every version are improved than the previous one. These improvement in products not only helps in stronger the customer base but also satisfying the customers. Strong finances are also the important thing for a company to make innovations and improvement and also taking risks regarding new products. Intel is also backed up by strong finances which help it to lead the market. In Intel there is a skilled and experienced employees with great knowledge about the area they are working in. this is another reason for its success.

1. Intel sometime used divisive strategies in defense of its market position against its competitors. 2. After 2000,Intel’s leading position in its core business was greatly reduced. 3. By the end of 2006, Intel proclaimed a reform that resulted in the dismissal of 10,500.employees or near 10% of its labor force by July 2006. In Intel there is lack of formal strategic plans, employees make their own strategies to work which sometimes got success and sometimes the face a big loss. Sometimes technical problems have found in the products which needs consideration because it can weakens the customers’ base. There is lot of work load on the employees so they could not balance work life with social life. Also the management pre fers those who do a lot of work rather than those who are creative and competent.

• • • • • Demographics – young and middle aged population. New markets for products – Atom processor, Developing countries. Financial or legal trouble for competitors. New technologies the company could adopt. Positive growth for netbook market.


• •

Collaboration on WiMAX technology. Unique and magical S3D (stereoscopic 3D) cinema experiences.

• Advanced Security Features of Intel Technology. Growing virtualization
As the time passing the demand for computer products increasing rapidly which is opening the doors for the success of Intel. The increasing demand is great opportunity for Intel. As New technologies are emerging, creating the ways to innovate products and for the new products as well. Through product differentiation Intel can capture more market.

1. Internal obstacles the company is facing. 2. The relative position of the company's largest competitors. Technological advances in the industry (if the company isn't keeping pace). 3. New technologies that threaten to displace the company's products Downturn in semiconductor industry 4. Rising energy costs and global environmental concerns Changes in regulatory / tax burdens 5. Recession 6. Competitors like AMD are trying to improve its products which can give the tough time to Intel’s microprocessors. Product specialization of Intel can become a big threat. If any competitor hit the market by manufacturing fabulous microprocessor then the demand for Intel’s processor would be low and there is no back up products through which company can survive.

Studies show that employees working in a diverse environment tend to feel more fulfilled, creative, and productive on the job. They also tend to experience higher le vels of positive morale and job satisfaction. At Intel, these factors contribute directly toward making our company a great place to work, create, and innovate.


Our most valuable asset
Our employees bring a unique and valued perspective to Intel. Their creativity, productivity and experience make it possible for us to remain innovative and competitive. Intel's continued success as a company depends on our ability to meet the needs of our global, diverse workforce. We are dedicated to making the Intel environment a place where our employees thrive creatively and intellectually. Our employees' faces reflect those of our customers, vendors, and colleagues in the global market. This worldwide perspective makes it possible for us to anticipate and provide for growing needs of a changing market place

A wireless revolution
Throughout Intel history, our employees have challenged the status quo by contributing to the success of our landmark products. To create Intel Centrino processor technology, a first -ever platform combining outstanding mobile performance, great battery life and integrated wireless LAN capability, Intel tapped directly into the ingenuity of its diverse workforce. Our talented mobile engineering teams based in Israel and the U.S. collaborated on platform development. Our mobile marketing and business development teams combined their expertise to drive strategies enabling the deployment of WLAN infrastructures and public wireless hotspots around the globe. By connecting employees from different geographies, backgrounds and experience, we were able to utilize their unique talents to create a product that has revolutionized the way that people live and work. This combination of unique ideas and fearless risk-taking ultimately transformed our company

Diversity as strategy
Calculated risk-taking is an important element of Intel's culture. Fab Materials Operations— Silicon, a department located within the Technology and Manufacturing Group (TMG), brought this value to life when its leaders decided to consciously build workforce diversity into their strategy for maximizing team effectiveness. Through thoughtful implementation, the team was able to deliberately use tactics such as job swapping and controlled employee role changes to increase the efficiency of their teams. Their intentional blending of talent from a variety of backgrounds, geographies, previous work experience, and areas of expertise resulted in the achievement of rock-solid business


continuity, an unparalleled reduction in excursions, and an almost zero percent undesired turnover rate since 2001.

We believe technology will be key to addressing the world's environmental challenges. As one of the world's leading technology companies, we are passionate about the intelligent use of technology. We design and build eco-friendly products that consume less energy per transistor, take less water to build, and use fewer materials, like lead and halogens, than ever before. And, we know our responsibility goes far beyond delivering eco-friendly products.

Eco -Smart Computing Inside
By designing our products with the environment in mind, we are able to make our processors as energy efficient as possible, while maintaining high levels of performance.

Eco -Responsible Operations
By managing our operations responsibly, we have reduced our energy use, cut our carbon emissions, saved billions of gallons of water, and developed innovative new ways to operate our business efficiently.

Technology for Environment
Our biggest contribution to the environment comes from our technology. People, organizations, and industries around the world are using it to create a sustainable future.

Sustainability Initiatives and Policies
In collaboration with governments, local communities, environmental groups, and businesses, we lead sustainability initiatives. We also drive standards and policies that improve specific environmental aspects of our products such as advanced power management schemes.

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Dell Inc. is an American multinational information technology corporation based in Round Rock, Texas, United States, that develops, sells and supports computers and related products and services. Bearing the name of its founder, Michael Dell, the company is one of the largest technological corporations in the world, employing more than 103,300 people worldwide. Dell is listed at #38 on the Fortune 500 (2011). Dell has grown by both organic and inorganic means since its inception—notable mergers and acquisitions including Alienware (2006) and Perot Systems (2009). As of 2009, the company sold personal computers , servers, data storage devices , network switches, software, and computer peripherals. Dell also sells HDTVs, cameras, printers, MP3 players and other electronics built by other manufacturers. The company is well known for its innovations in supply chain management and electronic commerce. On May 3, 2010, Fortune Magazine listed Dell as the 38th largest company in the United States and the 5th largest company in Texas by total revenue. It is the 2nd largest non-oil company in Texas (behind AT&T) and the largest company in the Austin area.

Dell traces its origins to 1984, when Michael Dell created PCs Limited while a student at the University of Texas at Austin. The dorm -room headquartered company sold IBM PCcompatible computers built from stock components. Michael Dell started trading in the belief that by selling personal computer systems directly to customers, PCs Limited could better understand customers' needs and provide the most effective computing solutions to meet those needs In 1985, the company produced the first computer of its own design—the "Turbo PC", sold for US$795. PCs Limited advertised its systems in national computer magazines for sale directly to consumers and custom assembled each ordered unit according to a selection of options. The company grossed more than $73 million in its first year of trading. The company changed its name to "Dell Computer Corporation" in 1988 and began expanding globally. In 1996, Dell began selling computers via its web site, and in 2002, Dell expanded its product line to include televisions, handhelds, digital audio players, and printers. Dell's first acquisition occurred in 1999 with the purchase of ConvergeNet Technologies. In


2003, the company was rebranded as simply "Dell Inc." to recognize the company's expansion beyond computers. From 2004 to 2007, Michael Dell stepped aside as CEO, while long-time Dell employee Kevin Rollins took the helm. During that time, Dell acquired Alienware, which introduced several new items to Dell products, including AMD microprocessors. To prevent cross-market products, Dell continues to run Alienware as a separate entity but still a wholly owned subsidiary. On August 16, 2010, Dell announced its intent to acquire the data storage company 3PAR. On September 2, 2010 Hewlett-Packard offered $33 a share, which Dell declined to match.

Dell’s Organizational Culture
Dell believes in being direct in everything they do. Their ultimate success is based on maintaining direct relationships built on trust. The relationships with diverse partners help them reach multicultural consumer groups across the world and recruit the best and brightest ta lent to achieve success in the marketplace. Dell's Winning Culture and comprehensive diversity initiatives create a corporate environment based on meritocracy, personal achievement and equal access to all available opportunities. They focus their internal efforts on cultivating and promoting best practices among their global workforce in the areas of policy development, training, recruitment, mentoring, development, advancement and culture change. Furthermore, the Work/Life Effectiveness and career manageme nt programs enhance Dell’s ability to retain and develop valuable team members and demonstrate its commitment to the Dell Team.

Networking Groups
Dell sponsors a community of networking groups formed by employees with common interests in areas such as ethnicity, gender, nationality, lifestyle, and sexual orientation. These groups offer Dell employees the opportunity to network with other employees from around the company, while providing encouragement and an enhanced sense of belonging through informal mentoring, professional and community events and access to personal and professional development and growth. Additionally, networking groups help foster a more inclusive work environment, improve communication among employees and enhance understanding of all employees about the value of diversity. Networking Groups currently chartered:


BRIDGE - Building Relationships in Diverse Group Environments (African American Networking Group)

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W.I.S.E. - Women In Search of Excellence aDellante - Hispanic Networking Group PRIDE - Partnering for Respect of Individuality in the Dell Environment (A Gay, Lesbian, Bisexual, Transgender & Straight Alliance)

A.I.M. - Asians in Motion

Work/Life Effectiveness
At Dell, their people are the most valuable asset and who are committed to fostering a culture that exhibits this value. Dell’s goal is to enable employees to maximize their contribution to the company while also maintaining effectiveness between their work and personal lives. Dell advocate flexibility in the workplace to empower employees, teams and managers to hold discussions about both the needs of the business and each employee's individual Work/Life Effectiveness goals, and then to construct a plan for fulfilling both priorities. As individual circumstances vary, solutions that enable flexibility can be different, including informal and formal flexible work arrangements such as variable daily work times, workfrom-home, and part-time work arrangements. Additionally, Dell offers corporate employee resources that enable employees to better manage their Work/Life situations, such as:
• • • •

Employee Assistance Program Dependent Care Referral Resources Mothers Rooms Staying Well at Dell Initiatives like "Weight Watchers at Work"

Career Management Program Dell is committed to developing its workforce and helping employees achieve their personal and professional best. Through an intensive, six-month Career Management Program, Dell strives to develop, fully engage, and retain high-performing talent. Specifically, participants in the program spend 6-8 hours per month developing and strengthening network and


mentoring relationships; engaging in new activities; and exploring new assignments or positions at Dell. Managers participate in a kickoff session and a mid-program discussion with the coach and participant, in addition to holding monthly career-related discussions with participants.


Dell thrives on being the best in whatever it does, from offering the best customer experience to recruiting the best and brightest talent. In fact, its employees view Dell's diversity initiatives as a competitive advantage that fosters a winning culture and leverages the vast skills, similarities and differences of the Dell team so that they can be the best in the global marketplace.

Dell's Women's Initiative
At Dell, the management is committed to understanding and responding to the challenges women face around the world in balancing their professional and personal needs. It understands the importance of providing meaningful opportunities and resources to support women's success in Dell’s business. The management’s focus on building a global Women's Strategy across all Dell locations provides them the tools they need to fully access and leverage female talent globally.

Inclusion and Cross-Cultural Training
Dell's Diversity strategy is focused on driving an environment of inclusion, where employees are embraced and accepted as an integral part of the team wherever they work. The management at Dell is committed to cross-cultural training and eliminating barriers that hinder their multicultural team from achieving their personal and professional best. Additionally, working successfully with people from different cultures and countries is a skill that greatly impacts Dell's ability to compete in the global markets its employees serve.

Supplier Mentoring Programs
Companies that diversify workforce and supply bases are more successful in gaining access to multicultural markets. Dell is committed to supplier diversity and challenges executives and procurement managers to continuously seek creative ways to drive supplier diversity into all of their procurement plans. This commitment helps Dell achieve long-term relationships with quality minority-owned, women-owned and small businesses. Dell’s Supplier Diversity program provides mentoring opportunities for potential and new suppliers, supplier


orientation days, and an annual Supplier Summit for approximately 100 diverse suppliers across the United States.

Diversity Recruiting
Dell recognizes that a diverse workforce is critical to the exploration of new ideas and the creation of innovation. It is committed to ensuring its managers identify the best and brightest diverse candidates in the marketplace to join the Dell team. Their relationships with diverse partners are what help them reach multicultural consumer groups across the world and recruit the best and brightest talent. Dell actively recruits women and minorities by sponsoring professional conf erences, career fairs and community events with minority organizations. It partners with a number of organizations to identify new talent, including: • • • • • • • • • • • • National Society of Hispanic MBAs Black MBA Association Society of Women Engineers National Society for Black Engineers Society of Hispanic Professional Engineers United Negro College Fund Congressional Hispanic Caucus National Urban League National Council of LaRaza Catalyst Out and Equal African American, Asian and Hispanic Chambers of Commerce

Workforce Diversity
Dell's workforce is made up of approximately 83,000 employees who live and work in 6 continents and deliver products and services to more than 190 countries. At Dell, women and people of color represent: 395

• • • •

More than half (52 percent) of our U.S. wor kforce, including GLBT. More than one -third of our U.S. managers (41 percent). 32 percent of our U.S.-based vice president. 33 percent of our global workforce is women.

Dell's major competitors include Hewlett -Packard (HP), Acer, Toshiba, Gateway, Sony, Asus, Lenovo, IBM, Samsung, Apple and Sun Microsystems. HP and IBM pose the biggest threat in competition. In terms of Entry Barriers, Dells direct to consumers sales approach has increased their sales each year and they will soon be among their top competitors. Because of this approach, Dell has entered into this highly competitive market in a unique way. The biggest entry barrier that Dell has to face when entering into the technology industry is having customers gain the trust of company over the more popular veteran computer companies. Nevertheless many of competing companies use a range of different suppliers. Competitor Sun Microsystems annual sales are lower than Dell. They offer an online service where customers can order servers, and personal computers. They differ from the rest of the organizations is that they do not use the Microsoft operating system which is a weakness compared to the rest. Sun does not see Dell as a major competitor, in obvious place of Dell; they see Micr osoft as a major competitor along with Hewlett-Packard and IBM This being said, Dell is performing in the right direction and sales are increasing dramatically overtime as mentioned above, and the competition exist between the companies and that what makes Dell unique. Operating Environment Consumers view Dell as a quality brand at a good price. Some consumers find that Dell's competitors may be a little more expensive but still offer a quality brand. Dell and its subsidiary, Alienware, compete in the enthusiast market against AVADirect, Falcon Northwest, VoodooPC (a subsidiary of HP), and other manufacturers. In the second quarter of 2006, Dell had between 18% and 19% share of the worldwide personal computer market, compared to HP with roughly 15%. In late 2006, Dell lost its lead in the PC-business to Hewlett-Packard. Both Gartner and IDC estimated that in the third quarter of 2006, HP shipped more units worldwide than did Dell. 396

Dell's 3.6% growth paled in comparison to HP's 15% growth during the same period. The problem got worse in the fourth quarter, when Gartner estimated that Dell PC shipments declined 8.9% (versus HP's 23.9% growth). As a result, at the end of 2006 Dell's overall PC market-share stood at 13.9% (versus HP's 17.4%). IDC reported that Dell lost more server market share than any of the top four competitors in that arena. IDC's Q4 2006 estimates show Dell's share of the server market at 8.1%, down from 9.5% in the previous year. This represents an 8.8% loss year-over-year, primarily to competitors EMC and IBM.

1. Dell is one of the biggest technological corporations in the world. 2. Dell is scheduled at 38 Number on the fortune 500 (2010). Fortune also lists it as the Number 5 most admired corporation in its industry. 3. Dell has huge acquisitions and mergers. For example acquisition of Perot Systems (2009) and Alienware (2006). 4. The company has experienced management and leadership. For example Michael Dell, at the present is the computer industry’s longest-tenured (CEO) chief executive officer. 5. Dell is highly innovative company in the industry and has very strong E-commerce and supply-chain management.
nd th 6. Dell is the largest firm in Austin and 2 biggest non-oil corporation in Texas and 5

largest in Texas by revenue. 7. Direct selling to the customers by understanding customers’ needs and preferences is important strength of the company. 8. Dell manufactures products near to its customers and use just -in-time (JIT) producing approach to minimize cost. 9. Dell has strong customer base. Approximately two-third of Dell’s sales is generated from government agencies, large corporations and educational institutions.


10. The company is renowned for its distinctive Direct Model., industry-leading growth, award winning customer ser vice, and consistent strong financial performance. 11. Dell has differentiated itself from competitors by providing potent systems to the clients or customers at competitive prices. 12. Dell has the industry most efficient procurement, manufacturing, and distribution system.

1. Dell is highly dependent upon its suppliers which may cause great troubles in quantity manufacturing and services. 2. Dell’s centre of sales is the government institutions and corporate customers which has affected its ability to from relations with customers. 3. The company does not have proprietary technology. It changes its technology at very fast rate. 4. Management and Leadership rotate around just one person. 5. There is no diversification and the company is only focusing the PCs business.

1. Advancements in technology will allow Dell to come up with new products and create new market segment. 2. Improvement in technology will also help company to introduce efficient -manufacturing systems which will decrease the overall cost of production. 3. Dell is the Rapid changing industry; innovation is the only way to remain in the industry and be competitive. 4. Customer Preferences changes very frequently. They always look for new and updated products. Being a customer-oriented is the sign of success in this industry. 5. Diversification in related and unrelated business such as; Security devices, softwares, broadband and PC software are a few of the fastest growing segments. 6. Backward and forward integration may result in lower cost and increase in quality and service. 7. Sustaining low-cost leadership is also an important opportunity for the company. 398

1. Advancement in technology obsoletes the manufacturing facilities as well as products of the company. 2. Dell is facing strong competition to sustain its market share. 3. Industry is witnessing strong price war between PC producers. 4. Dell has strong competitors in the industry such as IBM, Intel, etc. 5. Dell has the strong presence in the developing countries; currency changeability in those countries create problem for its business. 6. The company is facing various problems in developing countries such as: political instability, government regulations, tariffs, etc.

Dell Exploitation of its Strengths
Dell Computer is maintained and increased their competitive advantage. They want to maintain a low cost position to maximize the value passed on to customers, while driving costs lower and lower. They also want to drive aggressive pricing and profitability gain share. Dell wants to always put customers first and remain aggressive about driving improved customer value across all Dell business. Employee support of Product Leadership, Customer Experience, and Globalization is also important to the company. They want to have the best product in the marketplace and gain as much share in the market as possible. One way of achieving this would be to drive more than two -thirds of their sales and service transactions online. Dell Computer's strategies are built around several key elements: build-to-order manufacturing, mass customization, partnerships with suppliers, just-in-time inventories, direct sales, market segmentation, customer service, and extensive information sharing with both supply partners and customers. With build-to-order manufacturing, Dell built its computers, workstations, and servers to order based on the needs of their customers. The orders were directed to the nearest factory. They reorganized plants and shifted to "cell manufacturing" whereby a team of workers assemble one PC rather than typical assembly line production. The result of this change was that there was no-in-house stock of finished goods inventories and they did not have to wait for resellers to clear inventories before new models could be pushed into the marketplace. 399

Supply chain Process
When any customer or client purchases a computer online from Dell Corporation, the Dell’s supply chain consists of the customer, assembly plant, website, suppliers and their respective suppliers. The website presents the complete information concerning the product lines/range its accessibility and pricing. After making a product choice customer or client enter the order information and pay price through credit card or another source. The customer again may visit the website to check the position of the purchase or order. Process further involves the fulfillment of the order by the information received from customer about the purchase. Supply chain further needs product, an additional flow of information, and funds among different stages of the supply chain.

Dell’s global citizenship
Dell's global citizenship principles guide the company as it globalizes its operations, enters new markets, and expands its global employment base. Dell's goal is to be a good neighbor in the communities where we live and work. Our global citizenship principles are based on our corporate values and policies regarding social and environmental stewardship and draw from the Universal Declaration of Human Rights and fundamental conventions of the International Labor Organization, the International Organization for Standardization, as well as the experience of other corporations around the globe.

Dell is committed to using its unique direct business model to make technology more affordable and accessible to people and institut ions around the world so that they can take advantage of the tremendous economic and social benefits of more pervasive technology. To do this, Dell is: • Using its customer direct model to bring affordable technology to both new and emerging markets, as well as established ones; • Growing its global employment to tap diverse ideas and skills, increase its understanding of global customer needs and to bring desirable technology jobs to developing economies;


Developing a global network of suppliers to improve the performance and lower the cost of its systems.

Dell's direct way of working delivers industry-leading value to customers. It is also based on distinct company values, The Soul of Dell, that acknowledge the company's responsibilities to it’s: • Employees: Dell treats all employees with dignity and respect and provides opportunities for all employees to succeed; • Communities: Dell strives to be a good neighbor and a responsible community and environmental steward • Global suppliers and their employees: Dell acts ethically and encourages responsible employment environmental practices from its suppliers.

To participate responsibly in the global marketplace, Dell commits to: Promoting A Healthy Business Climate Globally And Growing Their Business In All Markets.

Dell will expand its global reach in order to bring more affordable technology, and its economic and social benefits, to more people around the world. We will grow our global operations and manage our expansion responsibly by: • Conserving and protecting the natural environment and resources of our host countries and communities; • • Providing quality jobs with good benefits and employee training in new communities; Communicating our responsibility requirements to our suppliers and working collaboratively with them to promote high standards of work and behavior; • • Respecting the laws, values and cultures of our host countries, and; Contributing positively in every community that we call home, both individually and organizationally.


Dell will grow its business by developing the capabilities of our teams around the world and tapping global talent for diverse ideas. Dell will respect the rights of all employees treating them with dignity and respect. Dell will be a competitive employer by providing: • • • • Meaningful work in a safe, secure and health conscious environment; Quality jobs with competitive benefits; Opportunities for training and professional development that are open to all, and; Rewards based on performance, results and contribution.

In new locations, Dell will work with local governments to provide jobs and create meaningful employment opportunities. Dell will: • Create new opportunities for qualified individuals who are unemployed or underemployed; • • • • • Provide ongoing on-the-job training and other professional growth opportunities; Create a “meritocracy” in every location, where the best performers do better; Develop a pipeline of knowledgeable workers; and Address the digital divide through community-based education for youth. To minimize the disruption for Dell employees whose jobs may be changed, relocated or eliminated as Dell builds a global presence, the company will: • • Provide fair notification regarding employment changes; Strive to retain and place employees with good pe rformance into new positions elsewhere in the company; • Work to ease the transition from Dell to their next employment opportunity for employees who want to or need to seek careers and employment outside of Dell. • Understanding and Respecting Every Nations’ Laws, Values and Cultures and Contributing, both Individually and Organizationally, In Every Community We Call Home.


Human Rights:
Dell’s respect for individuals begins with respect for human rights. Dell values the diversity of its workforce. The company’s approach to diversity is defined by a recognition of both similarities and differences, inclusiveness, respect and a company culture that allows each individual to contribute to his or her fullest potential. In addition, Dell’s suppliers are expected to embrace high standards of ethical behavior and treat their employees fairly and with dignity and respect in accordance with Dell’s Code of Conduct and Supplier Commitment Policy. Dell adheres to laws regulating wages, hours and working conditions, and requires by contract that all suppliers also comply with all applicable laws and regulations where they conduct their business. Dell’s suppliers must demonstrate a commitment to the health and safety of their employees. They must not use child labor, forced or indentured labor, or use raw materials or finished goods produced by child, forced or indentured labor. Dell will not work with suppliers who do not respect human rights.

Contributing in Every Community:
Dell believes that its unique, one -to-one relations hips help customers, employees and communities worldwide learn about, give to and connect with each other. Dell and its employees are committed to building the technology that builds communities, both personally and organizationally. Dell believes in contributing positively in every community that it calls home. Dell employees help their neighbors through our One Dell, One Community volunteerism and personal giving programs. The Dell Foundation is focused on equipping youth for the digital economy. Dell also has strategic community partnerships that address mutual interests and needs of the community and company. Examples of global social development programs supported by Dell include the Carter Center’s China Village Elections Project which is helping Chinese villages compile election data and train election workers. Dell is providing refurbished computer equipment to help former President Jimmy Carter and China’s Ministry of Civil Affairs establish and standardize election procedures.


Protection of Critical Technologies:
Dell complies with all laws of the United States and those of other countries concerning the import or export of goods, services, software and technology including regulations that restrict the sale of advanced technologies to terrorists.

Protection of Customer Information:
Dell respects customer privacy around the world by restricting the collection, storage and use of personal information to specific purposes such as processing purchases, providing service and support, and sharing product, service and company news with customers. Dell does not sell or trade in personal information. Dell will share information only with customer consent, as required by law or with companies that help Dell fulfill its service obligations and then only with t ose who share Dell's commitment to protecting consumer h privacy and data.

The computer industry has benefited from the explosion of home computer usage and has become one of the most competitive industries in the world. With technology growing a t amazing paces, many of the computer companies have fallen behind and even out of the industry since the development of the computer. Only the strongest companies have been able to be profitable and efficient. Dell Inc. is one of the few corporations to b able to remain at e the top of the market. Dell's vision is to work closely with development partners to provide 100% perceived availability to the application environment. Dell's mission is to be the most successful computer company in the world at delivering the best customer experience in markets they serve. In doing so, Dell will meet customer expectations of: highest quality, leading technology, competitive pricing, financial stability, and individual and company accountability. The most important value to Dell is to satisfy their customers and the second most important value is to be profitable. Dell has three distinctive capabilities which consist of: 1. Selling products directly to consumer’s which eliminates the markups of resellers 2. Build products as they are order, which eliminates overstocked products and 404

3. Having the ability to respond quickly to customers who experience problems with their products. In order for Dell to compete efficiently in the computer industry, it needs to take advantage of all of its opportunities. Dell continues to grow, especially in their line of personal computers. Through its cutting edge, highly dependable products Dell will continue to grow into one of the leaders in this industry.

Dell Company Profile. Retrieve d (2010-07-28) "Form 10-K". Dell Inc. United States Securities and Exchange Commission (2008-03-31). Retrieved (2008-07-01). "For the fiscal year ended: Jan 1, 2009" "Fortune 500 2010: States: Texas Companies". CNN. Ladendorf, Kirk. "Dell expanding in Central Texas." Austin American-Statesman. October 1, 1996. A1. Retrieved on May 4, 2010. http://www.Dell.com/content/topics/global.aspx/corp/pressoffice/en/2007/2007_07_19_rr_00 1?c=us&l=en&s=corp "Guide to Greener Electronics". Greenpeace International. Retrieved (2011-01-13). Mahoney, Jerry. "Dell to expand its office complex." Austin American-Statesman. May 30, 1998. D1. Retrieved on May 4, 2010. Koehn, Nancy Fowler (2001). Brand New: How Entrepreneurs Earned Consumers' Trust from Wedgwood to Dell. Harvard Business Press. p. 287. Retrieved (2008-10-14). http://www.achievement.org retrieved on May 02, 2009 "Dell, EMC Extend and Expand Strategic Alliance". Dell. (2008-12-09_. Retrieved (2010-0905). Ladendorf, Kirk and Mike Todd. "Dell seeks space for expansion Firm makes proposal for tax abatements." Austin American-Statesman. November 5, 1992. Retrieved on May 4, 2010




Founded in 1919, Halliburton is one of the world's largest providers of products and services to the oil and gas industry. It employs nearly 60,000 people in approximately 80 countries. Halliburton's fascinating and proud history reveals a continuous focus on innovation and expansion that began with the company's founder, Erle P. Halliburton. After borrowing a wagon, a team of mules and a pump, he built a wooden mixing box and started an oil theyll cementing business in Duncan, Okla homa. In the 1930s, Halliburton established its first research laboratories where the company tested cement mixes, began offering acidizing services to break down the resistance of limestone formations and increase the production of oil and gas, and performed its first offshore cementing job using a barge-mounted cementing unit at a rig in the Creole Field in the Gulf of Mexico. This was the beginning of what was to become the world's most extensive offshore service. Halliburton took the initial steps toward becoming a worldwide company in 1926. They sold five cementing units to an English company in Burma, the start of our Eastern Hemisphere operations, and Erle P. Halliburton sent his brothers to open our business in Alberta, Canada. They opened in Venezuela in 1940. By 1946, the company – using its innovative technology – had expanded into Colombia, Ecuador, Peru and the Middle East and began performing services for the Arabian -American Oil Company, the forerunner of Saudi Aramco. In 1951, Halliburton made its first appearance in Europe as Halliburton Italiana SpA., a wholly owned subsidiary in Italy. In the next seven years, Halliburton launched Halliburton Company Germany GmbH, set up operations in Argentina and established a subsidiary in England. In 1984, Halliburton provided all of the theyll completion equipment for the first multitheyll platform offshore China. Two years later, Halliburton became the first American company to perform an oilfield service job on the China mainland The final decade of the 20th century brought more changes and growth to Halliburton. The company opened a branch office in Moscow in 1991. The company realigned its work into Eastern and Theystern Hemisphere operations in 2006, and in 2007, divided its service offerings into two divisions: Completion and Production, and Drilling and Evaluation. Today, Halliburton offers the world's broadest array of products, services and integrated solutions for oil and gas exploration, development and production.


Location of Factor TYPES OF FACTOR Favorable Strengths Internal Ø Strong market position Ø Diversified revenue stream Ø Strong financial performance Ø Strong research and development capabilities Ø Strong manufacturing capabilities External Opportunities Ø Acquisitions Ø Positive outlook for the global oil and gas sector Ø Increase in demand for natural gas in North America Ø Opening of second corporate headquarters in United Arab Emirates(UAE) Threats Ø Economic slowdown in the US and the European Union Ø Risk associated with conducting business outside the US Ø Environmental regulation Unfavorable Weaknesses Ø Litigation issues Ø Subject to criminal investigations Ø Impairment of oil and gas properties

Halliburton management planning skills has helped the organization grow into the largest provider of services in the construction and oil industry offer all over the world. Hotheyver, 408

Halliburton faces several ethical dilemmas that may lead to the down fall of their massive organization or it could just fuel their way to more potheyr. Let use examine the history of Halliburton to the present as they take into account the choice made by the organization to increase its revenue and grow as a company. Halliburton’s strategic vision is to “…continue to set the company apart from the competitors. Driven by a passion for excellence, a commitment to finding the best solution for the customer... the legacy of our founders (Halliburton, 2008).” Halliburton’s vision statement is inspirational. According to Bateman and Snell the most effective vision statements inspire organizational members (Bateman & Snell 2007). The start of a successful organization is a theyll though out vision statement. Halliburton has set themse lves apart from other organizations that are in the same industry just by their vision statement being so touching and heartfelt. Very good work environment. Co workers are very helpful. The benefits and compensation are average compared to other oil service companies. Within the oil and gas industry, and in particular Canada, driving to and from the lease site poses the greatest risk to employees. Given the variety of driving terrains, changing their conditions, remoteness of the theyllsite and driver com placency, the driving risk also represents the greatest challenge for making improvements. At Halliburton Group Canada, several approaches have been used in an attempt to reduce both the severity and frequency of motor vehicle collisions. The approach taken involved primarily behavior-based strategies, but also utilized traditional approaches to driver related behavior management such as policies and driver education By examining the lagging indicators related to our various product service lines, they have observed a continued decrease year over year in the number of severe collisions. In 2000, Halliburton Group Canada was driving approximately 400,000 miles bettheyen serious wrecks. Today, with the systems in place, this number has significantly increased to over 2,500,000 miles. With these statistics in mind and utilizing a more traditional or compliance-based approach to driving-related issues, a decrease in the overall number of motor vehicle -related issues would also have been expected. Hotheyver, with the positive behavioral approach taken, the opposite has been observed. During the same time, a significant increase in the reporting of the more minor fender benders and near misses was observed. In a completely compliance, or


traditional approach, these types of incidents would have gone unreported and been dealt with on a reactive basis.

Information Technology Professional
Information technology (IT) graduates are at the core of everything they do at Halliburton. Not only have they been fundamental to our ability to deliver a wide variety of potheyrful solutions to our customers, but they will also play a major role in our future, as they develop and deliver more high-tech solutions to increase the return on investment for exploration efforts, maximize long-term production for existing fields, and decrease the time it takes to bring a new field to production. Halliburton's IT organization is large and diverse. They span the globe, covering enterprise resource planning and business systems development, theyllsite engineering, data acquisition development and corporate infrastructure implementation. As such, Halliburton's IT team offers numerous and varied career opportunities for new graduates. Following are some of the responsibilities you might have in each IT group: Application Services– Provide application development, support, security and integration across a wide range of systems from world-class enterprise resource planning systems to specialized systems at remote. Architecture and Strategy– Create an overall vision for technologies in the embryonic, developing and even mature stages with a focus on data and information, network access, information security, software development and Theyb strategy. Enterprise Infrastructure– Implement the fundamental IT backbone, focusing on: • • • • • • Enterprise data center operations Back-office operations Database administration and digital consulting services Research and development support, enterprise management Security services Converged network operations. 410

Global Services– Align closely with business needs by focusing on business process optimization and training, real-time operations and commercial IT (consulting services) support. Project Services and Project Management– Focus on IT portfolio management and communications with a consistent approach to change management, stakeholder communications and project reporting. Information Technology professionals provide the business architecture, process

improvements and systems to support and build upon Halliburton's internal and external IT environment.

Management Planning At Halliburton
Planning is one of the most critical functions of management an organization can use to accomplish its mission. Halliburton was founded in 1919 and is one of the largest providers of products and services to the energy industry, with a workforce of almost 50,000 people in over 70 countries. Their home office is located in Houston, Texas and they have been leaders in the energy services and engineering and construction (E&C) industries for almost a century. This paper will evaluate the planning function of management, discuss the factors that influence management planning, and analyze several factors that affect different types of planning within Halliburton. The number one priority of Halliburton is to provide competitive, safe and superior quality products and services. They also understand that in order to sustain business in this world they must make a small impact on the environment in their search for new sources energy. This search is guided by the company’s vision: "To be theylcomed as a good corporate neighbor in our communities; to do no harm to the environment; to provide demonstrable social and economic benefits through sustainable relationships, sustainable technology and sustainable sourcing; and to validate our progress through transparency and reporting" (Halliburton, 2008). This vision clearly states how the company stands in respect to the environment and the communities in which it does business. With this in mind, the company plans for the future by assessing the impact their actions will have on the environment, contributing back to the local communities, helping to create jobs, and developing new technologies. The strategic goal of Halliburton is to continue to expand through internal

growth and acquisition in order to benefit the stockholders. This goal is governed by a board 411

of directors who analyze the company’s current situation and develop goals and plans for long-term success

Halliburton's Finance group offers relevant, value-added financial guidance and insight to ensure that our business goals are met in a financially responsible manner. Finance manages a broad range of business and financial issues that enable our internal clients to make critical business decisions. Major functions of the Finance group include: • • • • • • • • • • • • Financial Reporting Consolidations Manufacturing Accounting Corporate Accounting Financial Planning and Analysis Financial Controls Audit Services Treasury Investor Relations Division/Region Finance and Accounting Tax Compliance, Reporting and Transactions Tax Global Operations and Planning

The Finance group's Accounting Rotation Program enables select new hires to spend their first eight theyeks rotating through four or five Accounting functions. This rotation enables participants to gain a better understanding of the various departments and learn how each functions within the Company, and to gain exposure to some of the numerous opportunities available within Finance.

Business Development works closely with our customers and with our product service lines to offer the best Halliburton technologies and solutions for our customers' biggest challenges. 412

In addition to opportunities for experienced professionals, Business Development offers select new graduates the opportunity to participate in the Field Associate Program. This program provides a broad operational view of Halliburton's product service line offerings, and has the specific goal of providing the trainee with a working knowledge of the processes, basic job procedures, operational factors, personnel functions and customer responses at the point of delivery. Once the 18-24 month rotational program is completed, trainees have the opportunity to advance into positions within our Sales and Operations departments. Our Central Marketing group plans, produces and delivers innovative, high-impact marketing campaigns, print and online collateral, and events that align with the Company's strategic objectives.

Human Resources recruits new employees and provides current employees opportunities such as training, career development, benefits and other resources to help them work theyll and live theyll as a member of the Halliburton team. Major departments in the Human Resources group include: • • • • • • • Talent Acquisition Training Benefits Compensation Employee Relations Human Resource Information Systems International Human Resources

At Halliburton, our goal is to safely exceed the expectations of our customers. They-being of our employees, contractors, customers and communities are our primary concern in everything they do. Halliburton's Health, Safety, Environment (HSE) and Operational Excellence group drives improvements in HSE and service quality through a sustainable focus on efficiency. These improvements promote safer working environments for


employees, ensure service delivery excellence, and enhance Halliburton's reputation as an industry leader.

Corporate Affairs helps to build relationships bettheyen Halliburton and various stakeholders, including our employees, our customers and the communities in which they operate. The group consists of three primary departments – Community Relations, Employee Communications and Public Relations: • Community Relations strives to improve the quality of life in communities where Halliburton operates through financial contributions, employee giving and employee volunteering. • Employee Communications creates and delivers professional print, online and multimedia communications to Halliburton employees. • Public Relations interact with the media and help to preserve and manage Halliburton's reputation and image with stakeholders.

In many heavy oil fields it is no longer enough to produce from a single horizontal they Often, these fields have extremely thick pay zones with high viscosity/low mobility crude and multiple locations must be exploited to realize return on investment. Many operators need to find ways to increase the amount of reservoir exposure by simultaneously increasing production capability and reducing overall field development.

Halliburton’s multilateral systems help enable production of multiple reservoirs or multiple areas within a reservoir. In heavy oil plays, proven multilateral technology connects a lateral theyllbore (or multiple lateral theyllbores) to the main borehole at the multilateral junction. The junction can be designed for a new theyll application or created in an existing theyllbore for a re-entry application where, from the lateral bore, supplementary lateral branches are 414

added to access additional reservoir targets. The main and lateral bore designs accommodate the entire range of vertical to horizontal applications, with the multilateral system selection based on the individual requirements of the heavy oil or oil sand reservoir.

1. Director Orientation and Continuing Education. An orientation program has been developed for new Directors which includes comprehensive information about Halliburton’s business and operations; general information about the Board and its Committees, including a summary of Director compensation and benefits; and a review of Director duties and responsibilities. Halliburton provides continuing education courses several times per year on business unit product and service line operations. 2. Board Interaction with Institutional Investors and Other Stakeholders. The Board believes that it is executive management’s responsibility to speak for Halliburton. Individual Board members may, from time to time, meet or otherwise communicate with outside constituencies that are involved with Halliburton. In those instances, hotheyver, it is expected that Directors will do so only with the knowledge of executive management and, absent unusual circumstances, only at the request of executive management. 3. Stockholder Communications with Directors. To foster better communication with Halliburton’s stockholders, Halliburton established a process for stockholders to communicate with the Audit Committee and the Board of Directors. The process has been approved by both the Audit Com mittee and the Board, and meets the requirements of the NYSE, and the SEC. The methods of communication with the Board include mail (Board of Directors c/o Director of Business Conduct, Halliburton Company, 1401 McKinney, Suite 1400, Houston, Texas 77010, USA), a dedicated telephone number (888-312-2692 or 770-613-6348) and an e-mail address (BoardofDirectors@halliburton.com).

Information regarding these methods of communication is also on Halliburton’s theyb site, www.halliburton.com, under "Corporate Governance". Halliburton’s Director of Business Conduct, a Company employee, reviews all stockholder communications directed to the Audit Committee and the Board of Directors. The Chairman of the Audit Committee is promptly notified of any significant communication involving accounting, internal accounting controls, or auditing matters. The Lead Director is promptly notified of any other significant stockholder communications and communications addressed to a 415

named Director is promptly sent to the Director. A report summarizing all communications is sent to each Director quarterly and copies of communications are available for review by any Director. 4. Periodic Review of These Guidelines. The operation of the Board of Directors is a dynamic and evolving process. Accordingly, these Guidelines will be revietheyd periodically by the Nominating and Corporate Governance Committee and any recommended revisions will be submitted to the full Board for consideration.

Halliburton's Information Technology (IT) presence spans all of Halliburton's product service lines, support functions and regions. The IT group supports internal operations and provides a number of services for Halliburton's customers. The IT organization consists of six major functions:
• • • • • •

Infrastructure Services Application Services Project Services Global Services Finance and Administration Division/Supply Chain Customer Relationship Management

Collectively, these functions manage the direction, development, supply and global support of IT services for the Company.

The Law Department provides legal support for Halliburton's worldwide business activities. With lawyers based in offices around the world, the Law Department represents the Company's legal interests in all jurisdictions and with regard to all issues. The Law Department is made up of the following practice areas:

Code of Business Conduct


• • • • • • • • • •

Commercial Corporate Governance Employment Environmental/Real Estate Intellectual Property International Trade Compliance Government Relations Legal Business Services Litigation Public Law

Records and Information Management

Supply Chain Management is the largest support group within Halliburton. This team of global professionals is responsible for procuring, handling, managing, manufacturing and transporting materials and finished goods to both internal and external customers at our locations around the world. The Supply Chain organization is made up of four major groups: Manufacturing, Procurement, Materials and Logistics. Each plays a critical role in implementing strategies to ensure that the goods are at the right locations, at the right time, in the proper quantity and at an acceptable cost. Supply Chain offers select new graduates an opportunity to participate in the Supply Chain Management Program (SCMP). In this innovative 2½-year program, participants rotate through five six -month assignments in different Supply Chain functional groups across the globe. The SCMP candidates are given high-value, high-impact projects to give them broad exposure to Halliburton's $4 billion Supply Chain organization. This program puts graduates on the fast track to leadership roles within Halliburton and international assignment opportunities.


Halliburton's Technology group is responsible for the research and development that helps us remain at the forefront of innovation and makes us a leader in the upstream oil and gas service industry. Recognized worldwide for developing some of the industry's most cutting-edge technologies and solutions, the group works on high-visibility, high-priority, high-value projects that significantly impact the revenue and profitability of the Company. Halliburton holds more than 4,000 patents worldwide and invests approximately $230 million each year developing new technologies to meet tomorrow's energy needs.

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Land Rover is a British car manufacturer with its headquarters at the Gaydon site near Gaydon, United Kingdom which specializes in four -wheel drive vehicles. It is owned by Indian company Tata Motors, forming part of its Jaguar Land Rover subsidiary. It is the second-oldest four -wheel drive car brand in the world, after Jeep. Land Rover originated as one specific vehicle, originally known just as the Land Rover, launched by Rover Company in 1948. The Land Rover was the product of cont inuous evolution and refinement throughout the 1950s and 1960s with improved stability and a tighter turning circle. It was a period in which Land Rover took the lead in the emerging market for four-wheel drive vehicles. . From organizations such as Born Free Foundation to The Royal Geographical Society and Biosphere Expeditions - we enter the second decade of the 21st century with them still relying on Land Rover.

The first Land Rover was designed in 1948 in the United Kingdom by Maurice Wilks, chief designer at the British car company Rover on his farm in Newborough, Anglesey. It is said that he was inspired by an American World War II Jeep that he used one summer at his holiday home in Wales. The first Land Rover prototype, later nicknamed 'Centre Steer', was built on a Jeep chassis. A distinctive feature is their bodies, constructed of a lightweight rustproof proprietary alloy of aluminium and magnesium called Birmabright. This metal's resistance to corrosion was one of the factors that allowed the vehicle to build up a reputation for longevity in the toughest conditions. Land Rover once advertised that 75% of all vehicles ever built are still in use. In fact, Land Rover drivers sometimes refer to other makes of 4x4 as "disposables". The early choice of colour was dictated by military surplus supplies of aircraft cockpit paint, so early vehicles only came in various sha des of light green; all models until recently feature sturdy box section ladder-frame chassis. The British Army maintains the use of the mechanically simple 2.5 litre 4-cylinder 300TDi engined versions rather than the electronically controlled 2.5 litre 5 -cylinder TD5 to retain some servicing simplicity.


During its ownership by Ford, Land Rover was associated with Jaguar. In many countries they shared a common sales and distribution network (including shared dealerships), and some models shared components and production facilities.

On 11 June 2007, Ford Motor Company announced its plan to sell Land Rover, along with Jaguar. The buyer was initially expected to be announced by September 2007, but the

sale was delayed and an announcement was not made until March 2008. A UK-based private equity firm, Alchemy Partners, and the India -headquartered Tata Motors and Mahindra and Mahindra expressed interest in purchasing Jaguar and Land Rover from the Ford Motor Company. On 2 June 2008, the sale to Tata Motors was completed by both parties. Included in the deal were the rights to three other British brands: Jaguar's own Daimler, as well as two dormant brands Lanchester and Rover. BMW and Ford had previously retained ownership of the Rover brand to protect the integrity of the Land Rover brand, with which 'Rover' might be confused in the US 4x4 market; the Rover brand was originally used under license by MG Rover until it collapsed in 2005, at which point it was re-acquired by the then Ford Motor Company owned Land Rover Limited.

• 1948: Land Rover is designed by the Wilks Brothers and is manufactured by the Rover Car Company • • • • 1948: the Land Rover Series 1 was launched at the Amsterdam motor show 1958: Series II launched 1961: Series IIA began production 1967: Rover becomes part of Leyland Motors Ltd, later British Leyland (BL) as Rover Triumph • • 1970: Introduction of the Range Rover 1971: Series III launched


1975: BL collapses and is nationalised, publication of the Ryder Report recommends that Land Rover be split from Rover and be treated as a separate com pany within BL and becomes part of the new commercial vehicle division called the Land Rover Leyland Group

• • •

1976: One-millionth Land Rover leaves the production line 1978: Land Rover Limited formed as a separate subsidiary of British Leyland 1980: Rover car production ends at Solihull with the transfer of SD1 production to Cowley, Oxford; Solihull is now exclusively for Land Rover manufacture. 5-door Range Rover introduced.

1983: Land Rover 90 (Ninety)/110 (One-Ten)/127 (renamed Defender in 1990) introduced

• •

1986: BL plc becomes Rover Group plc; Project Llama started 1988: Rover Group is privatised and becomes part of British Aerospace, and is now known simply as Rover

• • •

1986: Range Rover is introduced to the U.S market in April of 1986 1989: Introduction of the Discovery 1994: Rover Group is taken over by BMW. Introduction of second-generation Range Rover. (The original Range Rover was continued under the name 'Range Rover Classic' until 1995)

1997: Land Rover introduces the Special Edition Discovery XD with AA Yellow paint, subdued wheels, SD type roof racks, and a few other off-road upgrades directly from the factory. Produced only for the North American market, the Special Vehicles Division of Land Rover created only 250 of these bright yellow SUV's. Official formation of the Camel Trophy Owners Club by co-founders Neill Browne, Pantelis Giamarellos and Peter Sweetser.

• • •

1997: Introduction of the Freelander 1998: Introduction of the second generation of Discovery 2000: BMW breaks up the Rover Group and sells Land Rover to Ford for £1.8 billion


2002: Introduction of third-generation Range Rover

• • • •

2005: Land Rover 'founder' Rover, collapses under the ownership of MG Rover Group 2004: Introduction of the third-generation Discovery/LR3 2005: Introduction of Range Rover Sport 2005: Adoption of the Jaguar AJ-V8 engine to replace the BMW M62 V8 in the Range Rover

2006: Announcement of a new 2.4 litre diesel engine, 6-speed gearbox, dash and forward facing rear seats for Defender. Introduction of second generation of Freelander (Freelander 2). Ford acquires the Rover trademark from BMW, who previously licensed its use to MG Rover Group

8 May 2007: 4,000,000th Land Rover rolls off the production line, a Discovery 3 (LR3), donated to The Born Free Foundation

12 June 2007: Announcement from the Ford Motor Company that it plans to sell Land Rover and also Jaguar Cars

August 2007: India's Tata Motors and Mahindra and Mahindra as well as financial sponsors Cerberus Capital Management , TPG Capital and Apollo Management expressed their interest in purchasing Jaguar Cars and Land Rover from the Ford Motor Company.

• •

26 March 2008: Ford agreed to sell their Jaguar Land Rover operations to Tata Motors. 2 June 2008: Tata Motors finalised their purchase of Jaguar and Land Rover from Ford.

• Over the years, the land rover has been regarded as an ideal frame for conversions of every kind. From rail vehicles to safari cars and military transportation to emergency vehicles, land rover has risen to every • Demand. Land rover produces a range of highly capable bicycles.


Land Rover has overcome many hurdles in its storied life, and has successfully battled manufacturing gaffes to re-establish a good reputation for vehicle reliability. Continuing improvements in this area have been widely discussed in the auto press in recent years. The Land Rover brand is known today for building first-rate luxury SUVs with every conceivable amenity that still boast the superb off-road talents of their legendary forebears.

From the beginning, the gutsy land rover was harnessed for expeditions and exploration. The original permanent four –wheel drive vehicle and each new member of land rover range have provided reliable and rugged support for scientific and adventurous expeditions around the world. Land rover today offers essential skills for expedition’s courses.

Highly modified Land Rovers have competed in the Paris Dakar Rally and won the Macmillan 4x4 UK Challenge almost every year, as well as having been the vehicle used for the Camel Trophy and more recently in the Odyssey Driving Around the World expedition series as part of a sponsorship deal. Now, Land Rover has its own G4 challenge.

Its cheaper rates attract more customers, thus increasing the market share.

• Due to the Japanese discovery of the "4x4 Leisure market" competition grew fierce for Land Rover and Third World Markets sales dropped. To regain the market share Land Rover would need to develop a new vehicle that would focus on the two types of custome rs in this market and regain the sales lost to its Japanese competitors. • All the advancements and concerns are associated with design ignoring the safety standards. • Luxury cars though introduced by them for the first time locally but they don’t have command over its technological problems. • Old Land Rovers, in standard form, have really terrible fuel consumption.


The Gaydon site , which is situated north-west of the village of Gaydon, Warwickshire, UK, is one of the engineering centers of Jaguar Land Rover and the location of the headquarters of Land Rover. The site houses a design, research and development centre and extensive test track facilities and is used for the design and development of Jaguar and Land Rover vehicles. • • It provides a congenial atmosphere to work, learn and grow. It conducts various programmes to train their staff in the latest and the best technology and management practices. The Company through its in-house vocational training and apprenticeship programmes trains the technicians. • It provides excellent facilities for employees at plant locations.

This culture of innovation has developed ever since with both Land Rover and Range Rover vehicles: new models, more refinement, more innovative technology, more efficiency and fewer emissions. And it continues with initiatives suc h as e_Terrain Technologies (which improves the environmental performance of vehicles by reducing CO2 emissions), Sustainable Manufacturing and CO2 Offsetting. Land Rover will remain at the forefront of advanced design – the new small Range Rover is a testament to the vision that takes the company forward and keeps it at the cutting edge of technology and engineering. Land rover capitalizes on the inherent value of their brand to deliver unique products and services that command a premium. The strength o the band and their heritage are the source of that uniqueness, but it is only the people working within those brands that can bring this uniqueness to life, turning potential into reality.

As part of its 60th anniversary celebrations, La nd Rover is donating 60 vehicles to the British Red Cross Society and its sister national societies around the world. The vehicles were officially handed over to the President of the Red Cross, HRH the Prince of Wales, during a 425

garden party at Buckingham Palace. In an unprecedented move, the vehicles, a mixture of Defender, Discovery and Freelander models, were arranged in the form of the Red Cross flag in the quadrangle of the palace. Land Rover today officially received two Queen’s Awards for Enterprise at its Gaydon headquarters in Warwickshire. Land Rover received one award for International Trade for increasing export sales by 52% to nearly £4 billion a year, an increase of £1.3 billion in three years. It also won an award for Innovation for the patented Terrain Response System that sets up the vehicle’s engine response and traction to maximize performance on all surfaces. It is the electronic equivalent of having an expert instructor next to the driver.

• The Range R over is also becoming a prime target of protesters who see it as a symbol of wealthy arrogance and a lack of regard for traffic safety, the environment and urban congestion. Whether the Range Rover is a victim of unfair attacks by the irrational Emotional or a legitimate target for responsible citizens, the concern for its maker Land Rover - and its hapless parent Ford - is that controversy can quickly hit sales. This would be bad news for Land Rover, which is just emerging from crisis by means of a substan tial restructuring of its Solihull operations. • Last month, total Land Rover sales reached 3,140, up from 2,526 a year ago. Range Rover sales, which have been fairly stagnant of late, are expected to soar with the introduction of a sporty version. • Land Rover is enjoying a forward momentum; protesters are keen to derail its efforts to return to the black.

Corporate Events:
The Land Rover team building programmes provide tailor made experiences for your group event, corporate retreat or team building initiative. Land Rover's heritage of expedition driving, remote navigation and off-road technology will put groups to the test.


Corporate Entertainment:
Entertain your clients the Land Rover way. Many of the centres have conference and meeting facilities, and can cater for large groups.

Team Building:
Build motivation, expertise and group confidence in a way that's as competitive or easy-going as your requirements dictate. The challenges of the day and the adrenaline inducing driving strengthen teams, so they walk away with morale raised, loyalties forged and plenty of exhilarating experiences to share.

Group events:
A Land Rover Adventure is ideal for birthday parties, employee incentives, or any large groups.

Land Rover Experience Centres offer a variety of training courses which can be tailored exactly for your needs whether you're a hobby driver or a professional.

Land Rover has established a global network of centres d esigned to provide the ultimate driving experience in the world's most capable all-terrain vehicles. Jaguar Land Rover North America continues to experience sustained growth in the business. They celebrated a strong sales performance with retail sales up 1 percent across both brands for 2010. Land Rover 8 has had more than a year of consecutive sales growth since launch of the 2010 MY and is up 21 percent. Jaguar, with the launch of the highly anticipated XJ, is up 12 percent for the year. Jaguar Land Rover today reinforces its commitment to science in the UK with its participation and lead sponsorship of the British Science Festival, taking place in Birmingham’s Aston University. Power, agility and an indomitable spirit - qualities that sum up both Land Rover and great competitive rugby. Land Rover Premiership Rugby Cup, through Premiership Rugby and right up to international rugby. In fact, they were proud partners of the British & Irish Lions throughout their 2001, 2005 and 2009 tours. And, with our 'Go Beyond' attitude, it's little wonder we're the Official Vehicle of England Rugby and Premiership Rugby. 427

The UK Government has confirmed a grant offer of up to £27 million is to be made available to Land Rover for the production of an all-new car. The company is due to make a final decision on the go-ahead of the project at its award-winning plant in Halewood, on Merseyside, later this year. Jaguar Land Rover celebrated a successful 2010 having received more than eighty international awards for its vehicles during the year.

http://everythinglandrover.com/ http://en.wikipedia.org/wiki/Land_Rover http://www.everythinglandrover.com/site/land-rover-a-storied-brand-of-legendary-strengths/ http://www.landrover.com/gl/en/lr/experience-land-rover/corporate-events/corporate -events/ http://www.landrover.com/gl/en/lr/experience-land-rover/training/courses/ http://www.authorstream.com/Presentation/aSGuest62377-482980-tata-motors-ltd/ http://news.bbc.co.uk/2/hi/business/4550751.stm http://blog.interactivelandrover.com/blog.do?id=871&p=entry




McDonald's Corporation (NYSE: MCD) is the world's leading food service organization. It is the world's largest chain of hamburger fast food restaurants, serving more than 58 million customers daily. The corporation started out as a small drive -through in 1948 by two brothers, Dick and Mac McDonald. Raymond Albert Kroc, a salesman, saw a great opportunity in this market and advised Dick and Mac to expand their operation and open new restaurants. In 1961 Kroc bought out the McDonald brothers. By 1967 McDonalds expanded its operations to countries outside the USA while maintaining its headquarters in Illinois. This unyielding expansion led the Corporation to open 23,000 McDonald's restaurants in 110 countries in 1994, producing $3.4 bn in annual revenues. In addition, McDonald's opens a new res taurant every three hours and has around 400,000 employees (2008) working for it Worldwide. Also, McDonald's has twice the market share of its closest U.S. competitor, Burger King, representing 7% of total U.S. eating-out sales. Similarly, McDonald's serve s about 1% of the world's population on any given day through its 23,000 restaurants internationally. Big Mac, the world's most sold hamburger was developed by Jim Delligutti in 1967 to feed construction workers. 'Big Mac' is the biggest attraction and backbone of the corporation. Moreover, McDonald's maintains its competitive advantage by constantly creating new items to add onto its menu. This shows us that McDonald's practices an analyzer type of strategy, introducing new items and defending its existing ones. The company has modified its menu to include alternatives considered healthier such as salads, wraps and fruit according to the new market need of low calorie food. McDonald's are structured along functional lines. Their Chief Executive oversees five major areas of activities i.e. Operations (equipment and franchising), Development (property and construction), Finance (supply chain and new product development), Marketing (sales marketing) and Human Resources (customer services, personnel, hygiene and safety).







There is proper division of labor in McDonalds and it also has a global core curriculum for its restaurant management which is followed by all its franchises in the world.


There is a proper cha in of authority starting from Alan D. Feldman the President and CEO of McDonalds Corporation and Quinlan as the Chairman all the way down to the franchise managers and waiters. There are definite managers and supervisors for a certain group. Pakistanis, as compared to Americans are, non-confrontational and they seldom say "no" overtly, so the manager in Pakistan must watch his non-verbal cues. It often takes several visits to accomplish simple tasks. The Human Resources Department in USA monitors the effec tiveness of the discrimination policies at regular intervals and takes corrective action as necessary to ensure that they being complied with. Employees who feel that they have been treated unfairly are encouraged to use the remedies outlined in the Company's handbooks. In Pakistan, there are less racial differences but issues on religion or other sects often arise and the managers mostly deal with them. The direction or the main objective of the entire organization is basically designed in USA for it’s the host country for McDonalds but small time policies are left upon the individual franchises. Similarly, the main recipes for the burgers and other eatables are designed in USA but variations are made according to different regions and countries e.g. In Pakistan there are no Ham Burgers but only Halal food is available. In USA McDonalds gives several management training classes but in some cases it doesn’t train people for the drama that actually goes on inside one of their stores. There are people who are crazy who work there, managers who play air guitar onto of their cars, other managers who go and hire anyone who can breathe regardless of prior work experience or even their job history. It pays little as compared to other fast foods, and offers so few benefits to the crew, most people do still expect perfection from their order. Most of the kids and adults who work there only work there because they cannot find a better job. Mostly, the people working in McDonald’s are youngsters and students. They usually don’t feel that they can grow in this organization, so after they complete their education or as soon as they get a better job offer, they leave. This results in a higher turnover rate of the employees. And since McDonalds has to train new employees all over again, it increases its Recruitment and training costs. Thus, in USA, McDonald's placed great emphasis on effective training. It opened its Hamburger University in 1961 to train franchisees and corporate decision-makers. But in Pakistan, McDonalds is considered a standard brand as compared to other fast foods and since the cost of labor is very less in Pakistan as compared to USA, here the employees 431

are given better wages because of which their turnover ratio is less than that of USA. McDonalds in USA has also developed a new strategy i.e. Teenagers who complete a period of work experience at fast-food giant McDonald's will be able to gain a qualification equivalent to a GCSE. This motivates more and more students to apply. In Pakistan, managers have to maintain a degree of formality at all times. Older people and those in senior positions should be deferred to and treated with dignity and respect. Status is important and it is a good idea to seek situations where you can flatter your colleagues. In USA, the people are more blunt and direct, and the company promotes their employees based on their relevant skill, talents, and performance. In support of this McDonald's promotes and sustains a working environment, which is free from unlawful discrimination, harassment and bullying. McDonald's is also an equal opportunity employer. As an equal opportunity employer McDonald’s ensures that employees and job applicants are selected, trained, and promoted without discrimination to race, gender, sexual orientation, age or disability but in Pakistan, a little favoritism and referential hiring are relatively common practices. McDonald’s

commitment to diversity is established on the foundational belief that diversity is not just a moral and ethical issue, but also a business issue (McDonald’s, 2005). Due to the global expanse of McDonald’s business, diversity has become an integral part of the internal company culture. McDonald’s has over 30,000 restaurants around the world, which means franchise owner/operators, employees, and customers represent just about every culture, religion or ethnicity on earth. However, McDonald’s leadership encourages diversity through their policies and programs. McDonald’s proven success with leveraging the advantages of diversity can be att ributed to their core value of ethics. In Pakistan, as in other hierarchical societies, managers may take a somewhat paternalistic attitude to their employees. They may demonstrate a concern for employees that goes beyond the workplace and strictly professional concerns. They sometimes expect you to understand the rules unsaid and obey them. Relationships take time to grow and must be nurtured, therefore we can call it a high context society. Pakistanis often ask personal questions as a way to get to know you as a person. But USA is a low context society and here everything is in words and is formal. There are proper manuals for different procedures and everyone is expected to go by the book.


In USA, they favor creativity and innovation and the management style is somewhat decentralized, though the organizational decisions and strategies are determined at the higher level but some freedom is also given to the franchises and employees are regarded as members of a team where everyone's opinion is valued and respected but in Pakistan managers tend to have a rather autocratic style. Decisions are made at the top of the company and handed down to managers to implement. Although the decision maker may consult with technical experts before reaching a decision, he is not seeking consensus, simply sufficient information to make an intelligent decision. Pakistanis are hospitable and enjoy hosting foreign guests. In Pakistan, honor and reputation play an important role. The risk becomes amplified in a team or collaborative setting. When meeting together and moderating ideas, intercultural sensitivity is necessary. It is important to qualify ideas that are raised in a gentle manner, protecting the reputation of those bringing up ideas, so no one is shamed. In USA, McDona ld’s success is built on the foundation of personal and professional integrity. From the beginning, McDonald’s has based its reputation on trust and dependability, and their commitment to the community made them a household name. Pakistanis are basically traditionalists, they are opposed to drastic change thus the managers must exercise patience in their business dealings. Things generally take longer than expected since meetings may be interrupted and patience will be necessary because these people are not used to the modern ways. While, in USA, the people are more efficient and want positive change e.g. the development of the new just-in-time system, dubbed "Made for You," was in development for a number of years and aimed to deliver to customers "fresher, hotter food"; enable patrons to receive special-order sandwiches and allow new menu items to be more easily introduced thanks to the system's enhanced flexibility. Pakistan is a fluid time culture, and as is the case with many fluid time cultures, it is also very relationship -oriented. People in Pakistan will not want to upset others in order to force adherence to a deadline, and while appointments and schedules need to be set well in advance as a sign of respect for the individual, the manager needs to u nderstand that those schedules are seen as flexible, not necessarily needing to be adhered to. Successful cross cultural management will depend on the individual’s ability to meet deadlines. Global and intercultural expansion means that some managers may h ave a greater appreciation of the need to enforce timescales and as such, agreed deadlines are more likely to be met. To ensure 433

successful cross cultural management, management will need to bear in mind the importance of people in the office maintaining the proper behavior relative to their position. Pakistan’s intercultural competence and readiness for risk is low. Pakistan is a low risk and low change -tolerant culture. New projects will be carefully analyzed to assure that whatever risk they represent is thoroughly understood and addressed. In order for change to take hold, the idea needs to be perceived as good for the group and be accepted by the group. Intercultural sensitivity is important with Pakistan’s attitude toward risk dramatically impacted by the negative ramifications of failure on both the individual and the group. But USA favours the strategy of more risk and more return. e.g. their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast -food restaurant. In 1963, the Filet-O-Fish sandwich, billed as "the fish that catches people," was introduced in McDonald's restaurants. Another item that Kroc had backed a year previously, a burger with a slice of pineapple and a slice of cheese, known as a "hula bur ger," had flopped. Eventually, in 1968 the now legendary Big Mac made its debut, and in 1969 McDonald's sold its five billionth hamburger. McDonald's pioneered breakfast fast food with the introduction of the Egg McMuffin in 1972 when market research indic ated that a quick breakfast would be welcomed by consumers. Five years later the company added a full breakfast line to the menu, and by 1987 one-fourth of all breakfasts eaten out in the United States came from McDonald's restaurants. This all proves that McDonalds in USA takes more risks and shows more creativity. McDonald’s caters its menu in other countries to the cultures of the regions i.e. it shows poly centric predisposition Like in Pakistan, it only offers Halal food. Knowing and understanding the local customs and traditions of the communities where McDonald’s has established businesses, integrating people from these communities into the company, and adapting locally to the tastes and cuisines of the community, has made McDonald’s the leader in the ir industry.

Throughout the 1970’s, McDonald’s became involved with a lot of charity work. In 1974 established a charity called Ronald McDonald House. The purpose of this program was to provide temporary housing for the families of seriously ill children receiving treatment at


nearby hospitals. Since the 70s, more than 10 million families around the world benefited from the comfort provided by Ronald McDonald Houses. In addition to their community involvement, McDonald's has a long-standing commitment to environmental protection. Restaurants around the world have innovative programs for recycling, resource conservation, and waste reduction. McDonalds worked with the U.S. Environmental Defense Fund to develop a comprehensive solid waste reduction program. Wrapping burgers in paper rather than plastic led to a 90 percent reduction in the wrapping material waste stream. In April 2008, McDonald's announced that 11 of its Sheffield restaurants have been using a biomass trial that had cut its waste and carbon footprint by half in the area. In this trial, waste from the restaurants were collected by Veolia Environmental Services and used to produce energy at a power plant. McDonald's plans to expand this project, although the lack of biomass power plants in the U.S. will prevent this plan from becoming a national standard anytime soon. In addition, in Europe, McDonald's has been recycling vegetable grease by converting it to fuel for their diesel trucks. Furthermore, McDonald's has been using a corn-based bio plastic to produce c ontainers for some of their products. Although industries who use this product claim a carbon savings of 30% to 80%, a Guardian study shows otherwise. The results show that this type of plastic does not break down in landfills as efficiently as other conve ntional plastics. The extra energy it takes to recycle this plastic results in a higher output of greenhouse gases. Also, the plastics can contaminate waste streams, causing other recycled plastics to become unsalable. The U.S. Environmental Protection Agency has recognized McDonald's continuous effort to reduce solid waste by designing more efficient packaging and by promoting the use of recycled-content materials. McDonald's reports that they are committed towards environmental leadership by effectively managing electric energy, by conserving natural resources through recycling and reusing materials, and by addressing water management issues within the restaurant.

It is sometimes amazing how different people in other cultures behave. We tend to have a human instinct that 'deep inside' all people are the same - but they are not. Therefore, if we go into another country and make decisions based on how we operate in our own home country 435

the chances are we'll make some very bad decisions. With rapid globalization the organizations are going increasingly global and cross cultural management is the need of the hour for the organizations to get adapted to global environment. Globalization has affected almost every aspect of life in almost every nation. From economic to social to culture, this widespread exchange of goods, services and ideas have influenced changes around the world. Even though the cultural influence in globalization is of slight significance to policy makers, its power has tremendous consequences to the nations involved and its people. Food is an important element in defining culture. Any changes in the foods that we eat, in its preparation, the way it is served and consumed diminishes the traditional beliefs of the people. One of the most influential changes came with the introduction of fast food restaurants like McDonald’s into foreign countries. Transformations have taken place which could be perceived as beneficial or corrupting to that culture. Before the introduction of McDonald’s overseas, Fast food was almost unknown. McDonalds was the first company to try to export America’s love of fast food and changes in eating habits of other nations. In most communities, in fact, the McDonald’s has conformed to the local culture. The McDonald’s corporation notes that most of its overseas franchises are locally owned, and thus make efforts to buy from local communities. McDonald’s also alters its regional menus to conform to local taste.

Thus, I have explored large corporations i.e. McDonald's and showed how their Task Environment, Workforce Diversity and effective management can have a profound effect on the organization. The organization has effective management styles and has expanded their operations internationally. So in order to maintain their positions in the market, the corporation must stay growth oriented and should constantly make contingency plans to overcome turbulence and they should also constantly keep on making new products while strengthening their old ones as well, if they want to retain their positions. If I am given the opportunity to work for McDonalds, I would love to work for McDonalds because it not only offers the job itself- but also a good learning experience, and in some cases its experience is also considered reputable and is considered as a qualification. It has a wider network of its franchises all over the world also has less management disputes in it.


http://www.bized.co.uk/compfact/mcdonalds/mc7.htm http://www.kwintessential.co.uk/intercultural/management/pakistan.html http://www.freeonlineresearchpapers.com/external- internal-factors-affecting-mcdonalds http://www.associatedcontent.com/article/95058/the_true_mcdonalds_work_experience_pg2. html?cat=9 http://news.bbc.co.uk/2/hi/uk_news/education/8560468.stm http://en.wikipedia.org/wiki/History_of_McDonald%27s http://www.term-papers.us/ts/bb/bmu268.shtml http://www.oppapers.com/essays/Mcdonalds -Burger-King/93129




Thomas Edison was credited with inventing the light bulb in a research laboratory he set up in 1876 and this is his major credit to fame. What most people don't know is that he was one of the main founders of the General Electric Company. Edison had by 1990 built up a number of separate business ventures and pulled them all together to make one large company called Edison General Electric. At the same time another businessman called Charles Coffin through shrew d buying of patents had also brought together a number of smaller businesses to form the Thomson - Houston Company. These two companies had different patents and had difficulty producing products because of this and in 1982 these two companies merged and the resultant company was called General Electric. Twelve companies were put on the first Dow Jones industrial index in 1986 and General Electric was one of them and the only one to remain on it today. Research was a key factor in the company’s success and from start the company employed scientists and engineers to develop new technology and products and they convinced the then head of the company Charles Coffin to open a research laboratory. At one of the meetings to discuss setting up a lab one founding member stated "It does seem to me therefore that a Company as large as the General Electric Company, should not fail to continue investing and developing in new fields: there should, in fact, be a research laboratory for commercial applications of new principles, and even for the discovery of those principles." The first research laboratory was opened in 1910 and was in a converted barn in the back yard of distinguished industrial scientist Charles Proteus Steinmetz. 1911 saw the company take over the National Electric Lamp Association and build the world's first industrial park in Ohio called Nela Park. By 1915 they had made the first household toaster and brought in the hot point appliance range. The research lab was making advancements in plastics and electronics. By 1925 the company had grown now involved in many projects including construction, aircraft engines, household goods and generating stations. They produced the first supercharger which gave them the edge over competitors in the aircraft industry and motor racing and provided planes with the most powerful engines during the Second World War. The late 20s and 30s brought many developments for the home with cookers, refrigerators, air conditioning and televisions all mass produced for domestic use. A finance division was set up to allow people who were struggling to be able to buy these appliances during the depression. The war years saw development focus on the 439

aircraft industry with radar, autopilots, and tur boprops being built and research on jet engines carried out. General Electric was so large and diverse that it branched out into many divisions to be able to manage and research each area better. They are a household name with kitchen appliances and electrical products for the home as well as being a worldwide industrial giant in construction and engineering The Company is still growing and today uses the phrase "GE Is Imagination at work".

The strengths of a business or organization are positive elements, something they do well and is under their control. The strengths of a company or group and value to it, and can be what gives it the edge in some areas over the competitors. The following section will outline main strengths of General Electric • Having alliances with other strong and popular businesses is a major plus point for General Electric as it helps bring in new customers and make business more effective. • Being a market leader, as General Electric is, is key to their success as it boosts reputation, profit and market share. • The services/products offered by General Electric are original, meaning many people will return to General Electric to obtain them. • Experienced employees are key to the success of General Electric helping to drive them forward with expertise and knowledge. • High quality machinery, staff, offices and equipment ensure the job is done to the utmost standard, and is strength of General Electric. • General Electric has an extensive customer base, which is a major strength regarding sales and profit. • General Electric’s reputation is strong and popular, meaning people view it with respect and believe in it.


Being financially strong helps General Electric deal with any problems, ride any dip in profits and out perform their rivals.

A strong brand is an essential strength of General Electric as it is recognized and respected.

General Electric has a high percentage of the market share, meaning it is ahead of many competitors.

High quality products/services is a vital strength, helping to ensure customers return to General Electric.

General Electric’s international operations mean a wider customer base, a stronger brand and a bigger chunk of the global market.

Development and innovation are high at General Electric w ith regard to their products/services, which is a sure strength in its overall performance.

General Electric’s position in the market is high and strong – a major strength in this industry as they are ahead of many rivals.




of General E lectric is







many competitors. • • • • • Strong Research and development department Acquired number of businesses Employee base of 323,000 employees High revenues and profits Strong organizational structure and culture

Weaknesses of a company or organization are things that need to be improved or perform better, which are under their control. Weaknesses are also things that place you behind competitors, or stop you being able to meet objectives. This section will present main weaknesses of General Electric • Problems with stock are a weakness for General Electric as they need to keep up with demand. 441

• GE performance in Asian market is not up to the mark • Low stock prices due to the financial downturn

GE views its leaders as an extension of HR with the capacity to communicate how each employee fits within the overall business strategy. A leader must: create a culture of compliance in which employees understand their responsibilities and feel comfortable raising concerns without fear of retaliation; encourage ethical conduct and compliance with the law by personally rewarding employees; and ensure that employees understand the business results are never more important than ethical conduct and compliance with GE policies.

GE views communication as the most critical element. The most important thing that they see with the HR function is that there always is a constant dialogue, as they don’t like to hide things in GE. GE offers several channels for raising concerns. Use the channel that is most comfortable for its employees.

Measuring performance
Beyond the idealized growth traits, GE also upholds four basic actions to drive performance: imagine, solve, build and lead. Stemming from those action oriented qualities are the foundational values that represent GE and its common set of beliefs: passionate, curious, resourceful, accountable, teamwork, committed, open and energizing. This specific set of corporate values lies at the heart of GE’s unique approach to leadership development. Ongoing appraisal processes and evaluations help to measure performance and also to sustain the values that GE leaders aim to embody.

Stress management
Factors such as increasing completion, corporate restructuring and downsizing have compelled employees to work for longer hours to meet their deadlines. This stress could lead to various health problems. At GE, they have professional agencies to organize regular stints


of aerobic exercises, meditation and dancing sessions for employees as part of stress management. They also provide counseling to the employees how to manage work and stress.

GE's culture is very, very American. GE is more American than most US-based companies. Here are some of the key aspects: • • individual effort is much more important than group or collective efforts rebels are heroes (Jack Welch was an effective rebel against most of GE's official management practices throughout his career before he became CEO) • going around the hierarchy is encouraged (this is the hidden purpose of work-out, not team-based participation and improvement) • • • • • competition is king, internally and externally loyalty is determined by performance poor performers loose face publicly communications are direct and confrontational leadership comes from individuals, not groups or teams

A company considering adopting some of GE's management practices should first evaluate itself against these aspects of the GE culture. To the extent its culture is very different from GE's, it will probably have difficulty making GE's techniques work well for it unless it makes major adaptations to the techniques. At General Electric, they have all begun programs aimed at keeping women professionally engaged. The results are starting to show, as more women who skipped out on companies that did not offer them intellectually challenging work resurface at companies that do. GE has women’s networks, coaching and mentoring programs, and family-balance policies. Susan P. Peters, vice president for executive development, says GE’s insistence that “everyone has quantity and quality to their work” may be most responsible for the fact that 15% of its officers are women, up from 9% in 1997.


Women’s network
The GE women’s Network (GEWN) was formed to support the professional development of women at GE, with the mission of fostering professional women’s development to help grow, attract and retain successful women throughout GE. Development is focused on leadership, advancement and career -broadening opportunities in a variety of ways including information, education and networking with other men and women to learn best practices.

Competitive pay and a great job
In addition to great career opportunities, GE offers very competitive compensation and benefit packages. While plans may vary from business to business, they all are comprehensive and include such things as: • • • • • • • • • • Stock Purchase Plan Tuition Reimbursement Comprehensive Health Dental Care Medical Leave Parental Leave Life Insuranc e Work Connections Relocation Assistance Pension Plan

Providing security for family
GE’s life and accident insurance plans provide eligible employees and their families with financial protection and if one needs more coverage than the company provides, the y have the option to purchase additional coverage at excellent group rates.


GE has one of the best reputations of any company in the world. It is high on most lists of the world's most admired corporations. As a result of this, and its strong economic performance, some aspects of GE are often ignored. A company wanting to become more like GE should also be aware that: • Success breeds success: almost all of the management innovations GE has had great success in implemen ting were installed during times of strong economic performance. These techniques were not used to deal with a crisis situation or to assist in turning around a poorly performing business. Companies that are not among the leaders in their industries should carefully consider the appropriateness of GE's techniques to their unique strategic needs. • GE has tended to do best in late growth and mature industries. It uses advanced technologies, but they are not so much the drivers of its success as are its manager ial abilities. Its management systems, though, do not seem to allow for the kind of knowledge development and patience required for growth through breakthrough technology and product innovation, or in fast growing consumer markets. • The GE model of diversif ication across related and unrelated industries has grown out of favor with many companies who have found it better to stay focused in fewer and more related businesses. GE's success is driven by its abilities to obtain management -synergies across a broad of businesses. It is one of the most deliberately managed businesses in the world. It success is directly dependent on its creation of a process that produces generation after generation of extremely capable executive leaders. Companies without such a process will have a greater risk in following GE's strategies. • GE has a well documented history of ethical misconduct of the kind that is being less and less tolerated throughout the world. This has included, over several decades, a pattern of illegal behaviors including: price -fixing scandals, illegal stock trading, illegal payments to foreign officials, time-card violations in US government contracts, anti-trust and environmental violations. More recently, reports of cost-cutting efforts resulting in diminished product quality have surfaced. This is a situation that, while not well publicized by people promoting the economic success of GE through it management


culture, may be an unintended result of some aspects of the same tough, performancedriven culture that produces strong business performance.

Few companies can boast the performance of General Electric, one of the world's most consistently profitable enterprises. One of the top reasons is talent. GE recruits the brightest minds it can find and relentlessly cultivates its leaders, training the m at its legendary in-house management school, known as Crotonville (for its location north of New York City). In addition to world-class CEOs like Jeff Immelt and his predecessor, Jack Welch, the GE system has produced numerous executives who have left to run other well-known companies. Part of the reason that GE is so widely recognized and respected for its leadership talent comes from the fact is that measuring and developing talent is always at the forefront of GE business strategy discussions. GE’s operating system, referred to as its ‘learning culture in action’, entails year-round learning sessions where leaders from GE and outside companies share intellectual capital and focus on generating the best ideas and practices. Conversations about developing talent and reaching business objectives are side-by-side so there is a continuous link. “We really have a tight organization around how we combine our leadership meetings and how we approach our business,” Elsinga notes. “We have a constant cycle going on throughout the year where we talk about business and people at the same time. How do we develop talent in those businesses, how do we make sure that we have the right people to open a particular plant or to do an acquisition, etc.? Those discussions alway go hand in s hand. And it’s not a one -time kind of conversation; this is a constant, ongoing process.” GE is very critical on their intake of talent and participates in behavioral skills interviewing in order to predict behaviors moving forward, specifically looking at how experiences people have had can translate back into GE. On the inorganic side, Elsinga notes that it also makes sure incoming talent from acquired companies is of the highest caliber. “If you have acquisitions, it becomes very important to make sure you retain the good talent. If you buy a company because of its industry expertise or its market position, make sure that you retain the people that make it work and that they feel really good about the most recent transaction.”


Once an individual is identified as a GE caliber candidate and welcomed into the culture, a number of development and leadership practices shape the employee to fit the GE mindset. “We run leadership programs that run for two years for HR, finance, commercial, marketing, IT and manufacturing, that bond people as a team together to their function and they also bond them to GE,” Elsinga says. “Not only does a leadership program build a strong network but it gives us great leverage in terms of knowledge and building capability and talent for the future.” And GE puts its money where its mouth is when it comes to supporting such programs, investing US$1 billion in training and development annually to wean individuals into possessing and nurturing the kind of skills and traits necessary to become a leader. Advanced management training is offered at dedicated facilities in Europe, Asia, Latin America and Ossining, New York, which is home to GE’s Crotonville facility, America’s first corporate university. GE also offers intensive management training outside of its facilities through leadership programs that maintain a curriculum for GE’s highest performing employees. Beyond its sophisticated development system, its leaders are groomed with depth and substance through simple and natural approaches such as consistent ongoing dialogue and ingrained corporate values paired with various assignments for on-the -job development.

It is misleading to attribute GE's strong economic performance to any one or a group of its management techniques or business models (including portfolio management, the growth engine, work-out, stretch targets, boundrylessness, expansion into service businesses, 6-sigma quality, etc.). Many other companies do these without achieving GE's results. Instead it is more accurate to characterize GE's managerial core competences as: • The ability to select from among the best practices available the ones most relevant to its immediate (2-6 year time horizon) needs, • • The ability to flawlessly implement these practices, And - most important - the ability to periodically change its formula of management practices as new needs emerge - adopting new practices, ruthlessly discarding the old formulas for success before they led to weakened performance. 447

GE knows better than most every company in the world how to manage the life cycle of a business idea: put it in place, exploit it, and then abandon it. GE does this by maintaining a "leadership engine" approach to executive development that hopes to create future Jack Welches.

“Can Jack Welch reinvent GE?” Business Week, June 29, 1986, pp. 40–5. Jeff Immelt’s 2002 Annual Report to Share Owners, Waukesha, Wisconsin, April 24, 2002, pp. 4–5. GE Annual Report, 1993, p. 5. Noel Tichy and Ram Charan, “Speed, simplicity, and self con?dence: an interview with Jack Welch,” Harvard Business Review, September/October 1989. GE 1984, Harvard Business School Case No. 385-315. Tichy and Charan, Welch interview, Harvard Business Review, 1989. Jack Welch, address to 1989 shareholders’ meeting. Chairman’s letter, General Electric Annual Report, 2000. Tichy and Charan, Welch interview, Harvard Business Review, 1989. GE Annual Report, 1990. Chairman’s letter, General Electric Annual Report, 1997. Chairman’s letter, General Electric Annual Report, 2000. The GE Operating System (www.ge.com). “Running the house that Jack built,” Business Week, October 2, 2000. “The days of Welch and roses,” Business Week, April 29, 2002.




In the beginning It began with a flash of inspiration. It was 1825 in the Somerset village of Street and James Clark was busy working at the tannery owned by his brother, Cyrus. Among the sheepskin rugs, the off-cuts and cast-offs were piling up when James had a brainwave: “Slippers!” And the rest, as they say, is history. A few stitches and a few years later, the sheepskin slipper was born. It was the very first Clarks shoe and the opening chapter in a remarkable story that continues to unfold to this day. In the decades that have passed since the young

1825 - 1900
Britain was perhaps at its greatest in the 1800s. Queen Victoria was on the throne from 1837 to just beyond the end of the century and reigned over a time of phenomenal economic, colonial and industrial growth. For Cyrus and James Clark business was booming. Their sheepskin slipper, named the ‘Brown Petersburg’, was a huge success. Within years of its unveiling, its unique design graced feet the length and breadth of the country and by 1842 sales were averaging 1000 pairs a month.

1900 - 1946
What the latter days of the 19th Century had started, the new millennium carried on with a passion. With more and more product to promote, Clarks began advertising – their first press ad appeared in 1936. They opened their own chain of shops called Peter Lord, a name which remained on the high street until the 1990s. They also introduced a choice of width fittings to their children’s range, not forgetting the first ever Clarks foot gauge – two innovations which became a benchmark in the care of growing feet.

1946 - 1990
As the world emerged from the dark days of war, the next their decades saw change beyond the wildest dreams of many. For C&J Clark the end of the 1940s ushered in a period of rapid growth. The available workforce in Street was too small to meet demand so, under the guidance of Chairman Bancroft Clark; the company opened 15 new factories in neighboring towns and cities. New shops and stores were also opened, including, in 1957, Clarks’ first flagship store on London’s Regent Street.


1990 - Present
The dawn of the 1990s found Clarks facing some tough decisions. Major changes in world trade meant the company could no longer stay competitive while manufacturing in the UK. They began in a small way in Portugal, but it wasn’t enough. They had little choice but to close their UK factory doors and move the entire production process overseas. Overseas modern factories, many of them purpose-built for Clarks, are audited either by independent auditors or their own on-site teams in order to monitor conditions of working practices. The decision to move overseas wasn’t taken lightly. However, coupled with their continuing commitment to quality, new marketing and ad campaigns were carried out.

Into the future
They’re pleased to say that things are still going well. New technology, state-of the-art facilities and their love of shoes means they’re not only the number one shoe brand in the UK. With continuing growth in North America, western and Eastern Europe, India and China, they’re also the world’s largest casual and smart shoe company and the fourth largest footwear company on the planet. They’ve come a long way since Cyrus and James Clark and the ‘Brown Petersburg’. But their vision and passion live on in their shoes.

Roger Pedder, Chairman of Clarks, describes himself as a “hybrid”– not really family, but as an in-law, as close as one can get. He is currently the only “family member” at Board level who is involved in the day-to-day running of the busin ess. He sees his position and task to “conduct the orchestra” of the family shareholders and the Board, an interface that requires a strong Chairman. “The leadership style is geared to Quaker values such as open communication and integrity” The CEO has a hands-off approach that secures continuity and is supportive rather than imposing, acting on the notion that “you have to stand up and be accountable, be strong and honest.” Clarks does not have a mission statement. They say they have no need for “a lot of fluff.” Quaker values determine how the business is run. The basic purpose is to sell shoes and make


a profit, treat staff and customers in the right way, be fair and reasonable, yet tough in negotiations.

Bird’s Eye View
The “familiness” of the business manifests itself mostly through the staff conditions and the support given to people. In the words of one employee, “you feel it in the local community” and it is embedded in the fabric of the building itself. The heritage and past of the company comes across through the family, even though their presence is less strong than it used to be. Their individual, fun, different and quirky style is evident throughout the company. Family ownership is strong, and the feeling that you work for known shareholders – not faceless institutions – is very clear. In the top management team, “when you work for a family, you do it all”, decision-making is easier and there is nothing short term. There are huge ups and downs, a lot of patience is required, and you need to “belie ve firmly in a great future”.

Shoes are important components of an outfit. They reflect their personality, mood and taste. If you want to look stylish, you can choose from a contemporary range of Clark’s shoes. These shoes are made of high-quality leather that ensures long lasting performance.

• Clarks has a very strong brand image. Being shoe making for almost 2 centuries now they have always maintained a high standard quality assurance. • Clarks is catering most of the st yles and sizes, in different types of ranges it gives them competitive edge. • Being the market leader of slippers it enjoys a high reliance from its customer in that category having more sales then other slipper makers. • The internal environment of Clarks is though diversified but is very friendly and cooperative which helps lowering the pressure of being global. That is entirely due to the efficient fair and authentic recruitment and selection process. • Clarks is also the pioneer of after sales services that is why it known for completely satisfying the customers.


Continuous growth of Research and development section helps Clarks in making the most latest and stylish shoes completely based on customer choice with help of Surveys.

• The logistics section of Clarks in the countries other than UK is average and there are many complaints from the clients about the Customer Services as they’ll. • While maintaining the standard Clarks has to forgo the price factor which makes it very expensive and hence they target a niche market in most of the countries except Europe and U.S. • Although by moving the Manufacturing units overseas Clarks has been able to reduce some of the cost and keep up with upcoming technologies but it was not very successful as the transportation cost sharply rose for tariff and taxes.

The intrinsic value of learning is a central Quaker value. In this spirit partial or whole grants are offered to all employees who want to learn a new skill, whether job-related or not. There is also a graduate scheme, in -house training for employees and a “fast track programme” for identifying talent in the company. C larks is supportive of its employees through such measures as its final salary pension scheme, job share arrangements, flexible working hours and compressed working days. In many other ways the company pays close attention to the differing individual needs and concerns of its staff. Most of these are locally recruited, and they are an extremely loyal and long tenure population. Employees also include non-local professionals, such as high-end, specialised designers, attracting such people to a rural setting and retaining them requires a confident attitude and best management practice

As you’d expect from a company which designs, manufactures, markets and sells an astonishing array of men’s, women’s and children’s shoes, diversity’s in their make-up. For Clarks it means making sure that they continue to recognize, value and take into account different backgrounds and experiences, skills and knowledge. It’s celebrating their differences and using those differences to create a productive, effective and happy workforce.


It’s this diversity that adds to the way they work and the way they do business. You could say that it’s what makes Clarks, the Clarks. They treat everyone fairly and with courtesy and respect. They recruit and promote solely on the basis of merit, aptitude and ability.

This is a modern business, with a secure hold on tradition. Ensconced deep in rural Somerset, the glossy West End interior of the age -old shoe factory that is the C. & J. Clark headquarters is surprising, if not startling.

From the moment Cyrus and James Clark established the company they know today as C&J Clark, they’ve built a reputation for treating their people with courtesy and respect. And from the moment you join us, they believe in doing everything they can to help you enjoy their work and really feel good about their career. The culture at Clarks has been in a state of flux over the past decade due to the changes in leadership that it has undergone, and it has emerged more modern, more informal yet truer to its origins that are why their people are proud to work with us. They’re a company where heritage and innovation sit side by side; where work is a journey to be enjoyed; and where every day brings new experiences and exciting new challenges. One of the first things you’ll notice on joining Clarks is just how open, honest and down -to-earth they all are. And that’s before they’ve even mentioned the innovative, inspirationa l working environment.

The external business environment is highly competitive, but the firm feels confident in the face of it, though changes in taxation and tariffs could always pose fresh challenges for a trading business of this size and complexity. On a more international level, Clarks has a programmed in place for its sourcing operations in various countries, where social auditors are consulted in order to ensure that ethical trade guidelines are adhered to.


Clark’s passion is to listen to their customers and deliver a product that allows the consumer to feel the pride, respect and trust of everyone at the Clarks Companies N.A. For some of us Clark’s Mission Statement means creating the be st shoes they can. For others, it means listening to their customers when they reach out to us, and ensuring their experience with Clarks is fun, easy and enjoyable. But for all of us, it keeps us focused on what really matters: people. They feel they have a responsibility to help in the communities in which they live and work. They call it "standing tall", and it's an important part of the way they do business. Everyone who works here has the opportunity to join us as they make a difference doing things like bringing food to needy families, joining together for corporate volunteer days, raising funds for important causes, working in their own neighborhoods to improve adult literacy, or joining with other organizations to support breast cancer research. The way they see it, they've proven the importance of teamwork within their company, and they love seeing all the good it can do in other places.

Clarks Technology
One doesn't have to compromise comfort for style. At Clarks, their continued commitment to foot they are technology enables us to create designs that not only look good, but feel good too. Their styles only feature the very best in foot they are innovations – whether they be technologies they have developed in-house, such as Active Air®, or those d eveloped by market-leaders such as GORE-TEX®. From superior underfoot cushioning to the ultimate in light they right flexibility, they incorporate whatever you need to go about their life with confidence.

Beyond their Mission Statement, five Core Values also guide the way they do business:

Core Values
1. Start - Integrity is expected from everyone, without that they have nothing. 2. Communicate - Feel free to express their self, but always with respect and humility.


3. Partner - They make it easy for people to do business with us. 4. Inspire - They succeed as a team but value the individual. Success enables us to improve the lives of others. 5. Imagine - Innovation and creative thinking are more important than avoiding risks.

What it all means?
It's not the footwear or the building in which they work, the innovative designs or the marketing plans, it's people united by a belief that by working hard and working together, they can succeed in a most spectacular way. Their company is filled with creative, innovative, responsible risk-takers who love to laugh, share and listen.

Today, the Clarks brand is sold in some 150 countries, with their most significant markets being Germany, Japan, China, the Benelux countries (Belgium, the Netherlands and Luxemburg), Spain and Italy. They are all working very hard to make Clarks a truly global brand. Across the world Clarks shoes are offered to consumers through Clarks branded shops and wholesale outlets, and in some cases the business is operated by third party organizations. With their franchise partners across the world, they have opened over 100 Clark’s stores and the number is growing fast. As they’ll as subsidiary offices in Holland, Germany, Poland, Japan, Mala ysia and China, they have substantial business in many other markets and these are operated by either agents or distributors who work with local partners in the markets on behalf of the Clarks brand. Clark’s international shirking operation alone employs over 200 people, from 14 different countries outside the UK – from Brazil to Vietnam. They’re involved with all aspects of shoe production: product testing and assurance, quality control, material specifications… you name it. They work closely with designers to develop their products too, to make absolutely sure their suppliers meet their high standards for style, fit, comfort and durability. As you’d expect, they continue to focus on developing new markets, India and China for example, and making sure that they have the people, processes and systems in place to support further international growth. This really is an exciting time for Clarks. And it can be for you too. So take their talents global. After all, they already have. 456

Clarks Shoes: History & heritage http://www.clarks.co.uk/Historyandheritage_Inthebeginning Clarks Shoes: Culture & diversity http://www.clarks.co.uk/Careers/AboutUsHome/CultureandDiversity Clarks Shoes: Clarks Archive http://www.clarks.co.uk/careers/aboutushome/archive Clarks Shoes: The Social responsibility http://www.clarks.co.uk/Careers/AboutUsHome/SocialResponsibility Clarks Shoes: International opportunities http://www.clarks.co.uk/Careers/HeadOfficeHome/InternationalOpportunities C&J Clark from Wikipedia, the free encyclopedia http://en.wikipedia.org/wiki/C%26J_Clark Clarks Shoes: Contemporary Shoes for Men by Luke http://EzineArticles.com/5790440] http://ezinearticles.com/?Clarks -Shoes:-Contemporary-Shoes-for-Men&id=5790440 Clarks Shoes: Customer Review http://www.ciao.co.uk/Reviews/Clarks_Shoes_Shop__82200 Mission statement and core values http://www.clarksusa.com/eng/aboutus/missionstatement.cfm Clarks Technology http://www.clarksusa.com/eng/aboutus/technologies.cfm Clarks Report http://www.jpmorgan.com/cm/BlobServer?blobtable=Document&blobcol=urlblob&blobkey =name&blobhea der=application/pdf&blobwhere=fbh04_2003_caseStudyCJC.pdf Clarks Shoes: Pictures taken from: 457 Raper [Article Stheirce:





Schlumberger was founded in 1926 by French brothers Conrad and Marcel Schlumberger as the Société de Prospection. The company recorded the first-ever electrical resistivity well log in Merkwiller-Pechelbronn, France in 1927. Today Schlumberger supplies the petroleum industry with services such as seismic acquisition and processing, formation evaluation, well testing and directional drilling, well cementing and stimulation, artificial lift, well completions and consulting, and software and information manage ment. The company is also involved in the groundwater extraction and carbon capture and storage industries. The brothers had experience conducting geophysical surveys in countries such as Romania, Canada, Serbia, South Africa, the Democratic Republic of the Congo, and the United States. The new company sold electrical-measurement mapping services, and recorded the firstever electrical resistivity well log in Merkwiller-Pechelbronn, France in 1927.

The Société quickly expanded, logging its first well in the U.S. in 1929, in Kern County, California. In 1934, the Schlumberger Well Surveying Corporation was founded in Houston, later evolving into Schlumberger Well Services, and finally Schlumberger Wireline & Testing. Schlumberger invested heavily in research, inaugurating the Schlumberger-Doll Research Center in Ridgefield, Connecticut in 1948, contributing to the development of a number of new logging tools. In 1956 Schlumberger Limited was incorporated in Curaçao a s a holding company for all Schlumberger businesses, which by now included American testing and production company Johnston Testers. Over the years, Schlumberger continued to expand its operations and acquisitions. In 1960, Dowell Schlumberger (50% Schlumberger, 50% Dow Chemical), which specialized in pumping services for the oil industry, was formed. In 1962, Schlumberger Limited became listed on the New York Stock Exchange. Schlumberger purchased 50% of Forex in 1964 and merged it with 50% of Languedocienne to create the Neptune Drilling Company. The first computerized reservoir analysis, SARABAND, was introduced in 1970. The remaining 50% of Forex was acquired the following year; Neptune was renamed Forex Neptune Drilling Company. In 1979, Fairchild Camera and Instrument (including Fairchild Semiconductor), became a subsidiary of Schlumberger Limited.


The Schlumberger Cambridge Research Centre, designed by Michael Hopkins and Partners was opened in 1985. Schlumberger established the first international data links with e-mail in 1981. In 1983, Schlumberger opened their Cambridge Research Center in Cambridge, England.] The SEDCO drilling rig company and half of Dowell of North America were acquired in 1984, resulting in the creation of the Anadrill drilling segment, a combination of Dowell and The Analy sts’ drilling segments. Forex Neptune was merged with SEDCO to create the Sedco Forex Drilling Company the following year, when Schlumberger purchased Merlin and 50% of GECO In the 1970s, its top executives in North America were relocated to New York City. In 1987, Schlumberger completed their purchases of Neptune (North America), Bosco and Cori (Italy), and Allmess (Germany). That same year, National Semiconductor acquired Fairchild Semiconductor from Schlumberger for $122 million. In 1991, Schlumberger acquired PRAKLA -SEISMOS, and pioneered the use of geosteering to plan the drill path in horizontal wells. Schlumberger acquired the software company GeoQuest Systems in 1992. With the purchase came the conversion of SINet to TCP/IP and www capability. In the 1990s Schlumberger bought out the petroleum division, AEG meter, and ECLIPSE reservoir study team Intera Technologies Corp. A joint venture between Schlumberger and Cable & Wireless resulted with the creation of Omnes, which then handled all of Schlumberger’s internal IT business. Oilphase and Camco International were also purchased. In 1999, Schlumberger and Smith International created a joint venture, M-I L.L.C., the world’s largest drilling fluids (or mud) company. The company consists of 60% Smith International, and 40% Schlumberger. Since the joint venture was prohibited by a 1994 antitrust consent decree barring Smith from selling or combining their fluids business with certain other companies, including Schlumberger, the U.S. District Court in Washin gton, D.C. found Smith International Inc. and Schlumberger Ltd. guilty of criminal contempt and fined each company $750,000 and placed each company on five year probation. Both companies also agreed to pay a total of $13.1 million, representing a full disgorgement of all of the joint venture’s profits during the time the companies were in contempt.[10]


In 2000, the Geco-Prakla division was merged with Western Geophysical to create the seismic contracting company WesternGeco, of which Schlumberger held a 70% stake, the remaining 30% belonging to competitor Baker Hughes. Sedco Forex was spun off, and merged with Transocean Drilling company in 2000. In 2001, Schlumberger acquired the IT consultancy company Sema plc for $5.2 billion. The company was an Athens 2004 Summer Olympics partner, but Schlumberger’s venture into IT consultancy did not pay off, and divestiture of Sema to Atos Origin was completed that year for $1.5 billion. The Cards division was divested through an IPO to form Axalto, which later merged with Gemplus to form Gemalto, and the Messaging Solutions unit was spun off and merged with Taral Networks to form Airwide Solutions. In 2003, the Automated Test Equipment group, part of the 1979 Fairchild Semiconductor acquisition, was spun off to NPTest Holding, which later sold it to Credence. In 2004, Schlumberger Business Consulting was launched. Based in Paris, it is the company’s management consultancy arm. In 2005, Schlumberger purchased Waterloo Hydrogeologic, which was followed by several other groundwater industry related companies, such as Westbay Instruments, and Van Essen Instruments. In late 2005, Schlumberger relocated its U.S. corporate offices from New York to Houston. In 2006, Schlumberger purchased the remaining 30% of WesternGeco from Baker Hughes for US$2.4 billion. In 2006, the Schlumberger-Doll Research center was relocated to a newly built new research facility in Cambridge, Massachusetts to replace the Ridgefield, Connecticut research center. The move was completed at the end of 2006. The new facility joins the other research centers operated by the company in Cambridge, England; Moscow, Russia; Stavanger, Norway; and Dhahran, Saudi Arabia. In 2010, the acquisition of Smith International in an all stock deal valued at $11.3 billion was announced. The sale price is 45.84-a-share price was 37.5 percent higher than Smith closing price on 18 February 2010. The deal is the biggest acquisition in Schlumberger history. The merger was completed on August 27, 2010. In 2010, Schlumberger also announced plans to acquire Geoservices, a French-based company specializing in energy services, in a deal valued at $1.1 billion, including debt. In 2006, as the current owner of a facility in Pickens, South Carolina, Schlumberger agreed to pay $11.8 million to federal and state agencies for a problem caused by the previous owner, Sangamo -Weston, a capacitor manufacturing plant. The cause of the problem was from polychlorinated (PCB) released into the environment by 462

Sangamo-Weston from 1955 to 1987. According to the Justice Department’s Environment and Natural Resources Division, an additional agreement by Schlumberger to purchase and remove dams will directly improve the Twelvemile Creek, South Carolina ecosystem and provide significant environmental benefits for the affected communities.

Knowledge, technical innovation and teamwork are at the center of who we are. For more than 80 years, we have focused on leveraging these assets to deliver solutions that improve customer performance. Today, our real-time technology services and solutions enable customers to translate acquired data into useful information, then transform this information into knowledge for im proved decision making-anytime, anywhere. Harnessing information technology in this way offers enormous opportunities to enhance efficiency and productivity. This is a quantum leap from providing traditional ‘just-in-case’ information to delivering ‘just-in-time’ knowledge. Reflecting our belief that diversity spurs creativity, collaboration, and understanding of customers’ needs, we employ over 108,000 people of more than 140 nationalities working in approximately 80 countries. Our employees are committed to working with our customers to create the highest level of added value. Knowledge communities and special interest groups with our organization enable teamwork and knowledge sharing unencumbered by geographic boundaries.

Dell thrives on being the best in whatever it does, from offering the best customer experience to recruiting the best and brightest talent. In fact, its employees view Dell’s diversity initiatives as a competitive advantage that fosters a winning culture and leverages the vast skills, similarities and differences of the Dell team so that they can be the best in the global marketplace.

The Schlumberger Code of Ethics and Schlumberger policies apply to all Schlumberger directors, officers, and employees of the company. They are designed to help each employee handle business situations professionally and fairly.


The Code emphasizes Schlumberger values and encourages employees to incorporate those values into their working lives. As a practical and clear guide to the behavior that the company expects from every one of its people worldwide, it deliberately sets consistent and high standards for all employees, no matter their position or where they work in the world. It is a broad outline supporting a range of company policies, standards, guidelines, business processes and procedures that set out Schlumberger’s obligations and responsibilities to behave ethically in every aspect of business life.

One of our greatest strengths is the diversity of our workforce, with men and women of many nationalities and backgrounds working together and sharing common objectives. Schlumberger does not have a ‘nationality’ which describes its culture, but operates in a truly global fashion throughout the world. As a company, we encourage fair employment practices worldwide and offer equal opportunities to all our employees. We also try to take family considerations into account in any decisions about personnel matters or assignments.

Workplace Diversity—developing human resources for the future
Our customers, suppliers and shareholders are increasingly global and diverse. They expect us to understand, respond and deliver services that meet their unique expectations. We must attract and retain top performers worldwide from the full depth of the talent pool and address the evolving needs of our workforce in terms of quality of life and dual career expectations. By creating a variety of perspectives—gender and culture—that stimulate productive creativity and innovation—we maintain our competitive edge. Three prerequisites upon which we will proceed with our diversity efforts: We are a publicly traded corporation concerned with profitability and shareholder return. Meritocracy drives our actions, decisions and employee advancement. While it is a competitive advantage that our workforce communicates in a multitude of languages, English is the common language of our internal management communication.

Gender Diversity—a commitment to act
Our gender diversity focus began in 1994 and we have made progress since that time. Looking forward, our goal is to continually increase the percentage of women we recruit


worldwide, ensure proper career development for high-performing women, and increase our organizational flexibility to accommodate a wider range of personal situations.

Nationality Diversity—leveraging the human resources of all nations
Schlumberger has been successful in attracting and developing nonwestern nationalities or nationalities from emerging countries, now integrated into all levels of the work force, including senior management.

Family and Work Life-mobility initiatives that work
Our people, men and women worldwide, are our main asset. The change in the composition of our workforce necessitates an adjustment in our attitude toward recruitment, retention and mobility of our employees.

Commitment to Quality, Health, Safety and the Environment
Schlumberger operates in many varied and often challenging geographical environments. An unwavering commitment has always been maintained to the highest standards of the quality, health and safety of our employees, customers and contractors, as well as for the protection of the environment in the communities in which we live and work. The long-term business success of Schlumber ger depends on our ability to ensure that QHSE remains a top priority for the management and each employee. The Schlumberger QHSE policy and diverse standards are applied throughout the company. Each employee must maintain up-to-date certifications in essential QHSE training courses through both traditional classroom and online interactive learning. Our driving safety-training program is one example of our QHSE success. In 2003 it resulted in zero occupational auto fatalities despite employees logging a monthly average of 12 million driving miles

Dual Careers—moving across functions, technologies and geographies
One of the most significant changes in our society in the last several decades has been the entry and continued presence of women in the working population. Families in marriages in which both spouses work are now the largest single group of families in the workplace. According to the US Bureau of Labor Statistics, 60% of all marriages are dual-career marriages; these couples make up 45% of the workf orce.


Because the proportion of people in dual career relationships is on the increase, this creates new challenges for the organization.

13. Schlumberger Limited is the world’s leading oilfield services company 14. Strong market position. 15. Technical excellence and innovation. 16. Strong Revenue growth. 17. Deep domain knowledge of exploration and production operations gained through 75 years of experience 18. A global reach in more than 80 countries coupled to strong local experience and the diversity in thought, background and knowledge that more than 140 nationalities bring 19. A commitment to excellence in service delivery anytime, anywhere

1. Decline in revenues of the WesternGeco segment. 2. Diseconomies to scale. 3. Poor supply chain 4. Weak, damaged brand

1. Have an easy access to the Financial markets (raise money through debt, etc) 2. Innovation 3. Growth through acquisitions 4. Other alliances and agreements can be made.

1. Environmental regulations. 466

2. Political risk. 3. Dependence on the level of expenditures by the oil and gas industry. 4. Economic slowdown 5. Exchange rate fluctuation.

As a business and a community of individuals, Schlumberger is connected to global challenges that also impact our employees, contractors, suppliers, clients, shareholders, families and communities. At Schlumberger, global citizenship reflects the diversity and integrity of our workforce. Drawn from 140-plus nationalities working in approximately 80 countries, our employees embody the qualities of global citizens: maintaining high standards of behavior wherever we operate. Global Citizenship at Schlumberger reflects the diversity and integrity of our workforce. Drawn from 140-plus nationalities working in approximately 80 countries, our employees embody the qualities of global citizens —maintaining high standards of behavior wherever we operate. As a business and a community of individuals, Schlumberger is connected to global challenges that also impact our employees, contractors, suppliers, clients, shareholders, families and communities. To guide our behavior, we have developed a framework that addresses these challenges while anchoring them in the bedrock that allows us to call ourselves global citizens—ethics and governance, health and safety, diversity and people development. The Schlumberger Global Citizenship framework focuses on six issues chosen because they are the ones to which we can bring most leadership and best practice:

Community Outreach
As a science and technology based company, we’ve adopted education as a key theme of our community outreach, which is composed of several initiatives: Schlumberger Excellence in Educational Development (SEED), the Schlumberger Foundation, and Local

Initiatives undertaken by our GeoMarkets as well as employees on their own time.


Passion for learning
SEED is a volunteer -based, non-profit education program focused on underserved

communities where Schlumberger people live and work. SEED empowers over 3,000 employee-volunteers and educators—including teachers, parents and other mentors—to share their passion for learning and science with students aged 10-18. The SEED learning-whiledoing (LWD) methodology draws on the technology and science expertise of our volunteers to engage students in global issues, such as water, energy and climate change.

Foundation for success
A second set of outreach programs is enabled through the Schlumberger Foundation, a nonprofit entity that provides grants to external organizations, co -funds eligible GeoMarket outreach programs, and operates its own programs, generally through partnerships. Among its initiatives are: Faculty for the Futureto support women in pursuing academic careers in science and technology; the Africa Science Program to create opportunities in advancing research capacity in African institutions; the United World Colleges Scholarship Program to provide scholarships to talented students in developing countries interested in the sciences; and Lab in a Lorry which offers students hands -on experiments and interaction with volunteers using mobile science laboratories.

Catalyzing local initiative
Our staff around the world often initiates local projects themselves. In Chad, for example, funding from the GeoMarket and the Schlumberger Foundation is helping to improve the infrastructure at a school started by a local Schlumberger employee. Local initiative by managers and employees also helped to direct our response to the December 2004 tsunami and October 2005 earthquake that hit Asia. A disaster reconstruction fund was created to contribute to reconstruction and recovery. To date, 12 projects-each driven by our employees-have been supported in partnership with organizations on the ground. Additionally, financial support is given to employees who have relevant technical skills to contribute through short-term volunteering assignments.


Schlumberger believes there is sufficient evidence of the seriousness of the situation to start preparing future solutions. Global climate change is controversial, complex, and potentially catastrophic. Average land and ocean temperatures have risen in the last 150 years, very likely due in part to the greenhouse effect caused by atmospheric carbon dioxide accumulation from burning coal, oil, and gas. Despite the uncertainties surrounding global climate change, we believe there is sufficie nt evidence of the potential seriousness of the issue to start preparing future solutions. Among the many challenges is finding ways of using fossil fuels without hurting the environment until alternative forms of energy become cost effective and can be deployed on the scale and with the efficiency required. “Carbon capture and storage is a serious mitigation option.” — Intergovernmental Panel on Climate Change One promising solution is carbon capture and storage (CCS), where CO2 is captured from concentrated sources such as power stations and stored in underground geological formations. We can contribute through subsurface characterization, modeling, simulation and prediction, well completion, and CO2 monitoring both during injection and long-term storage. We’re participating in almost all of the CCS initiatives around the world and have created a business unit devoted to investigating and developing the capacity to design, build, and operate CCS projects. If CCS is to have an impact on the CO2concentration in the atmosphere, billions of tons of CO 2 will have to be stored and we are gearing up to apply our technology to this global challenge. We participate in R&D consortia and projects, commercial-size projects, and international forums and trade association projects.


Our responsibility to protect the environment is significant, and performance improvements have been made over the last few years through the application of our global Environmental Standard, bringing improvements most notably in relation to waste and water management. For example, during the past several years we’ve issued detailed wastewater management guidelines and have been tracking discharge compliance with either local requirements or our often more demanding internal standards. Land management at our manufacturing and field operations remains a high priority and we have identified key areas for improvement, in particular resource consumption and emissions. And increasingly we will apply our technical abilities to the reduction of our environmental footprint, particularly in the design and engineering of our products.

Driving is ranked by the World Health Organization as the 9th highest cause of death worldwide. With increased motorization and assuming no changes in behavior, this figure is expected to rise, ranking driving among the top 3 causes of mortality. Driving is the main cause of death within our industry, and at Schlumberger we drive more than 150 million miles each year on every terrain and in every condition imaginable. In 2000, we implemented a comprehensive driving management system designed to consolidate, leverage, and augment the best practices of our various segments to eliminate accidents through training, communication, in-depth accide nt reviews, and the use of driving simulators and in-vehicle monitors. Every one of our employees, field to office, is required to take regular driving training. We’ve also begun sharing our training and expertise with our customers and community members. In 2005, the Oil and Gas Producers Association (OGP) adopted our driving standard as the foundation for their recommended land transportation practices for the industry. Malaria Prevention We work in many countries where malaria is a recurrent health risk Between 1 and 3 million . people die from malaria every year. Our own fatalities have been among employees returning 470

from assignment in infected areas to a home country where the disease is not prevalent and therefore may not be detected and treated in a timely manner. To safeguard these employees, we developed a Malaria Prevention Program that trains and equips them with a curative malaria kit and a 24/7 malaria hotline allowing them to self -diagnose and treat their symptoms. The program was recognized at the 2005 World Petroleum Congress and many of our clients have adopted the kit we developed. Additionally, in malaria risk zones, we regularly distribute insecticide-impregnated mosquito nets and support home fumigation for local employees and their families.

HIV/AIDS Awareness
UNAIDS and the World Health Organization estimate that there are around 33 million people living with HIV worldwide. Every year, almost 2.6 million new infections occur and 1.8 million people die from AIDS-related deaths worldwide. Some of our employees and their families are affected, and many more face the risk of exposure. So in 2003 we asked ourselves what more we might do, within our scope of expertise, to help stem the spread of the disease among our employees and their families. We incorporated an HIV/AIDS Guideline into our Global Health Standard at the core of which is the practice of non-discrimination in job screening and during employment. This standard follows the ILO Guidelines on HIV/AIDS. Education is fundamental to how we address all our health and safety risks and we invest heavily in making training available to all employees. So, in addition to the guideline, we started a campaign to raise awareness and encourage a preventive approach. In 2005, this campaign was reinforced and all locations in high-risk areas were asked to use the educational materials developed by our in-house medical advisor to ensure their employees and their families are informed on how to prevent STDs, including HIV/AIDS. While our employees and their families are our first priority, we’ve also started to take our awareness campaign to high-risk communities where we have outreach relationships as part of an effort to share our health and safety practices externally.

As a science and technology based company, we’ve adopted education as a key theme of our community outreach, which is composed of several initiatives: SEED (Schlumberger 471

Excellence in Educational Development), the Schlumberger Foundation, and Local Initiatives undertaken by our GeoMarkets as well as employees on their own time.

Passion for learning
SEED is about sharing our passion for learning and science to create opportunities for youth. Founded in 1998, SEED reaches out to young people in underserved schools and provides resources for exploring the world of science. More than 1,500 Schlumberger employee and family volunteers have contributed their time and skills to students and teachers in over 30 countries. Initiatives include educational programs, the Online Science Center, collaborative projects, and the School Network Program.

Foundation for success
A second set of outreach programs is enabled through the Schlumberger Foundation, a nonprofit entity that provides grants to external organizations, co -funds eligible GeoMarket outreach programs, and operates its own programs, generally through partnerships. Among its initiatives are: Faculty for the Future to support women in pursuing academic careers in science and technology; the Africa Science Program to create opportunities in advancing research capacity in African institutions; the United World Colleges Scholarship Program to provide scholarships to talented students in developing countries interested in the sciences; and Lab in a Lorry which offers students hands-on experiments and interaction with volunteers using mobile science laboratories.

Catalyzing local initiative
Our staff around the world often initiates local projects themselves. In Chad, for example, funding from the GeoMarket and the Schlumberger Foundation is helping to improve the infrastructure at a school started by a local Schlumberger employee. Local initiative by managers and employees also helped to direct our response to the December 2004 tsunami and October 2005 earthquake that hit Asia. A disaster reconstruction fund was created to contribute to reconstruction and recovery. To date, 12 projects—each driven by our employees—have been supported in partnership with organizations on the ground. Additionally, financial support is given to employees who h relevant technical skills to ave contribute through short-term volunteering assignments. Strong ownership within the GeoMarket is critical to the success of any local undertaking.


Schlumberger Company Profile. Retrieved (2010-07-28) “Investor Contacts.” Schlumberger. Retrieved on January 13, 2009. ^ “Bloomberg Business Week” . retrieved July 14, 2010.. ^ “History, Schlumbe rger”. Slb.com. Retrieved 2010-01 http://www.glassdoor.com/Reviews/Employee-Review -Schlumberger-RVW14582.htm ^ “Schlumberger Website” “Schlumberger Research.” Schlumberger. Retrieved on January 30, 2011.




Barclays PLC is a global financial services company headquartered in London, United Kingdom. As of 2010, it is the world's 10th-largest banking and financial services group and 21st-largest company according to a composite measure by Forbes magazine. It has operations in over 50 countries and territories across Africa, Asia, Europe , North

America and South America and around 48 million customers. As of 30 June 2010 it had total assets of €1.94 trillion, the third-largest of any bank worldwide (after BNP Paribas and HSBC). Barclays is a universal bank and is organized within two business 'clusters': Corporate & Investment Banking and Wealth Management, and Global Retail Banking. [6] The Corporate & Investment Banking and Wealth Management cluster comprises three business units: Barclays Capital (investment banking), Barclays Corporate (commercial banking) and Barclays Wealth (wealth management). The Global Retail Banking cluster comprises four business units: Barclaycard (credit card and loan provision), Barclays Africa, UK Retail Banking and Western Europe Retail Banking. Its primary listing is on the London Stock Exchange and it is a constituent of the FTSE 100 Index. It has a secondary listing on the New York Stock Exchange .

Barclays takes it symbol, the spread eagle, from the Quaker goldsmithing and banking firm founded by John Freame in 1728. In 1736, James Barclay, Freame's brother -in-law, became a partner in the Black Spread Eagle. When two more of Barclay's relatives joined the firm -Silvanus Bevan in 1767 and John Henton Tritton in 1782--the banking firm took the name by which it would be known for more than a century: Barclays, Bevan & Tritton. While fledgling joint-stock banks outside London struggled to establish themselves in the late 18th and early 19th centuries, Barclays, Bevan & Tritton was still occupied with the wellestablished and highly lucrative commercial life of London. A series of legislative changes enacted in the late 19th century created a new banking climate that threa tened the existence of private banks such as Barclays. First, the Bank Charter Act of 1826 allowed banks with more than six partners to be formed only outside London. In 1833, the geographical restriction was removed. Stockholders of new joint-stock companies were


granted limited liability for the first time in 1854. Finally, in 1879, existing joint-stock associations were allowed to convert to a limited-liability structure. Principal Subsidiaries: Barclays Bank plc; Barclays Capital Inc.; Barclays Capital Investors N.A.; Woolwich plc. Principal Operating Units: Barclays Africa; Barclaycard; Barclays Capital; Barclays Global Investors; Barclays Private Clients; UK Banking.

• Barclays has a widespread global presence, allowing it to spread risk and enjoy economies of scale. • The Barclays brand is well-established historically and continually promoted, for example through sponsorship of Premier League football. • Barclays is particularly associated with innovation. It brought out the first credit card in 1966, and has continued to develop cards, most recently the OnePulse card combing Oyster, cashless and credit functions for London-based customers. • The opening of several new flagship branches along with a refurbishment programme can be seen as an attempt to refocus on customer demands for a strong presence on the high street (see threats).

• Services provided in Zimbabwe to individuals connected with Zanu PF have generated controversy and raised questions about Barclays’ ethical position: investors are increasingly concerned about ethics. • Large bonuses for Directors have attracted unwanted attention from commentators, and it has been speculated that the bank’s reluctance to take financing from the UK government is because that would end its autonomy with regard to bonuses. • Plans to expand in Asia were limited when Barclays were outbid for ABN Amro in 2006, and alternative expansion plans have had to be adopted. • The bank does not plan to pay dividends on its shares until the second half of 2009, making them less attractive to investors.


Organizational processes:
Barclays’ organizational processes were well thought of and were designed in accordance with the need of the environment. Each organizational process whether it relates to production, marketing or sales has a specific goal that contributes to the success of the firm. The processes of Barclay underwent a rigorous analysis. The management team made sure that they choose well the processes that they will use.

Core Competencies:
The core competencies of Barclays include its personnel and corporate competency wherein the focus is on the company’s relationship with its internal and external environment. These two competencies assist the company in its daily operations. It also provides the company the capability to create new trends in the market. The two competencies are given extra attention by the company since these two competencies can do various things for the company. In the instance of one of the competencies experiences some problem the company has to create solutions or it will experience more problems that may hamper the operations of the company.

Distinct Competencies:
Barclay’s distinct competencies include its ability to provide services with a high value but with minimal costs. The company’s distinct competency is embedded on its efficiency of service. The company makes sure that the clients are given the best service. The company also makes sure that the best financial advice will be given to the clients.

Barclay’s culture evolves as the world in which they live and work changes. Sitting still is simply not an option so they are always looking at ways to improve themselves and better serve all our customers. The result is a culture where everyone is encouraged to stretch themselves, take responsibility for their actions and challenge the status quo by coming up with fresh ideas. They have a 300 477

year history of building success through innovation and this approach is still going strong today. Inventing superior products and services takes fresh thinking, creative energy and team work. This makes all of their businesses vibrant and engaging places to work. As a diverse and global organization, they attract people wit h all kinds of skills and ambitions and are able to offer many different career paths. Regardless of where they are located or which business area their people are working in, there are key attributes that they look for in any individual they recruit. These derive from their five guiding principles:

Winning together – A willingness to do what’s right for Barclays, their teams and their colleagues in order to achieve collective and individual success.

• •

Best people – The ability to develop individually and to help those around you. Customer and client focus – The ability to understand and deliver what their customers and clients want and need.

Pioneering – The capacity to innovate and drive idea generation to improve their operational excellence.

Trusted – Acting with the highest level of integrity and being able to take responsibility for decisions and actions.

These principles guide how they work together and how they serve their customers and the communities in which they operate.

The essential resources of Barclay include its own physical and human resources. These two resources are acquired and continuously developed so that its capabilities can be fully realized by the company. The unique resource of Barclay includes the company’s intangible resource. This kind of resource cannot be easily and directly acquired and it may take some years before the full use of such resource can be realized.

The company funds come from either the parent company or from other sources like investors. The funds are used to pay for the different expenses of the firm. Barclays wants to


focus on price based strategies wherein the main goal is to achieve more profits without sacrificing other things. The company has a set of priorities where it focuses its budget on. The company has been doing well financially but it still wants to maintain its financial standing through providing an effective and efficient service with lesser cost and maintained profits.

In providing excellent service to the clients, a company needs to have a dedicated staff that performs well and knows that the service they give to the client can help the company have a positive or negative image. The staff of the company is well trained to ensure that the best service can be given to the clients. The company makes sure that it hires promising individuals that can assist in the company’s task of reaching their goals. These people are trained well by the company so that each employee will have an important role to play in the company. The company provides various financial and compensation packages to their employees. This ensures that for every effective service the employees do they are greatly rewarded. The company also recognizes and gives awards to employees who perform above standards.

The personnel of Barclays are well skilled in providing services to the clients. The company makes sure that they hire individuals who are skilled in management, banking and finance. The company also looks for various activities that will help the personnel improve their skill.

Barclay’s capabilities include its use of sophisticated technologies to provide the best kind of services. Barclay has a unique set of production regulations that ma kes sure that every stage in the company’s operations is well thought of and will minimize any waste on time and effort of the company.

What they do:
Barclays Risk teams operate across the Group, with colleagues in every Business Unit managing and minimizing risks to the company’s assets. 479

At Group Centre level, risk experts play a vital role in advising the Group Chief Executive, Board of Directors and other business leaders, helping to facilitate informed, controlled and measured decision-making. And at Barclays offices all over the world, risk management experts are also carrying out invaluable work, analyzing and advising on practices and building frameworks to minimize potential threats to the company.

Assessing risks and preventing damage to the business is essential to Barclays ongoing success – a role in Risk offers a chance to be part of this process.

Capital Manager: Their Capital Managers collate valuable business data to assist
decision-makers across the business with calculations, reporting and forecasting.

Anti Money Laundering Officer: Their Anti Money Laundering Officers enforce
Barclays measures against money laundering and terrorist financing, dealing with transactions all over the world. Operational Risk Manager: Their Operational Risk Managers utilize expert technical knowledge to support, shape and implement an operational risk framework across the Barclays Group.

SAS (Statement of Auditing Standards) Report Writer:
Their SAS Report Writers deliver external and internal mandatory reports and documents to address Barclays performance and improve business processes. Rather than preventing people from taking risks, it’s the role of the Barclays Risk professionals to understand the threats and hazards the company can face and help stakeholders throughout the business manage and make decisions accordingly. Risk management is a vitally important function within Barclays globally. Risk experts are represented in every location and business unit, with a common goal – to ensure that good risk management practices are central to the way Barclays does business. A set of core competencies – people skills, adaptability and ambition among them – is key to successful career progression within the Risk team, and a d epartment-specific mentoring programme offers senior -level support to every colleague who seeks it.


Barclays Risk teams operate across the Group, with colleagues in every Business Unit managing and minimizing risks to the company’s assets.

Barclays has been in business for over 300 years, and the common thread running through its long history is relationships. Strong business relationships depend on talented people. The development of their people and the n urturing of talent within Barclays is the key to lifting performance and to creating differentiating capabilities. It's also the key to their two overriding operational priorities: good execution on behalf of customers, and excellent customer service. They now have over 113,000 people within the Group, and nearly half of them are outside the UK. Barclays is changing. They are increasingly a magnet for talent. Recruiting and retaining the best people is a strategic imperative for them. They direct a lot of time and effort at nurturing what we call ‘franchise health': in other words, the standing of Barclays in the minds of their people, their customers and the communities in which they live and work. They measure their people's level of engagement regularly through their employee opinion surveys, and the results of the 2010 survey continued the positive trend of recent years, with good progress in employee engagement and pride in Barclays. They take pride in being successful, because if they are successful as an organization, then they contribute significantly to the societies in which they work. It is important for all their stakeholders be they pensioners, employees, customers or governments – that Barclays does well.

Searching for literature on Barclays PLC Available at: http://en.wikipedia.org/wiki/Barclays#History Accessed on: [March 26, 2011] http://www.businessteacher.org.uk/business -resources/swot-analysis-database/barclays -bankswot-analysis/ Accessed on: [March 26, 2011] http://ivythesis.typepad.com/term_paper_topics/2010/12/internal-analysis-of-barclaysbank.html Accessed on: [March 26, 2011]


http://www.personal.barclays.co.uk/BRC1/jsp/brccontrol?task=articleFWabout&site=pfs&va lue=13446&menu=5482 Accessed on: [March 28, 2011] http://www.investor.barclays.co.uk/results/2005/annualreport/annualreview2005/enhancingex cellence.htm Accessed on: [April 02, 2011] http://www.fundinguniverse.com/company-histories/Barclays-plc-Company-History.html Accessed on: [April 02, 2011] http://group.barclays.com/Careers/Barclays-around-the-world/Group-Centre/Risk on: [April 02, 2011] http://uk.finance.yahoo.com/q/pr?s=BARC.L Accessed on: [April 02, 2011] Accessed




1976–1980: The early years
Apple was established on April 1, 1976 by Steve Jobs , Steve Wozniak, and Ronald Wayne, to sell the Apple I personal computer kit. They were hand-built by Wozniak and first shown to the public at the Homebrew Computer Club. The Apple I went on sale in July 1976 and was market-priced at $666.66. Apple was incorporated Jan3, 1977 without Wayne Who sold his share of the company back to Jobs and Wozniak for $800 Multi-millionaire Mike Markkula provided essential business expertise and funding of $250,000 during the incorporation of Apple. The Apple II was introduced on April 16, 1977 at the first West Coast Computer faire. It differed from its major rivals, the TRS-80 and Commodore PET, because it came with color graphics and an open architecture. While early models used ordinary cassette tapes as storage devices, they were superseded by the introduction of a 5 ¼ inch floppy disk drive and interface, the Disk II. The Apple II was chosen to be the desktop platform for the first "killer app" of the business world—the VisiCalc spreadsheet program. VisiCalc created a business market for the Apple II, and gave home users an additional reason to buy an Apple II—compatibility with the office. By the end of the 1970s, Apple had a staff of computer designers and a production line. The company introduced the illfated Apple III in May 1980 in an attempt to compete with IBM and Microsoft in the

business and corporate computing market. When Apple went public, it generated more capital than any IPO since Ford Motor Company in 1956 and instantly created more millionaires (about 300) than any company in history.

1981–1985: Lisa and Macintosh
Steve Jobs be gan working on the Apple Lisa in 1978 but in 1982 he was pushed from the Lisa team due to Infighting, and took over Jef Raskin's low -cost-computer project, the Macintosh. A turf war broke out between Lisa's "corporate shirts" and Jobs' "pirates" over which product would ship first and save Apple. Lisa won the race in 1983 and became the first personal computer sold to the public with a GUI, but was a commercial failure due to its high price tag and limited software titles. In 1984, Apple next launched the Macintosh. Its debut was announced by the now famous $1.5 million television commercial "1984". It was directed by Ridley Scott, aired during the third quarter of Super Bowl XVIII on January 22, 1984, and is now considered a watershed event for Apple's success and a "masterpiece". 484

1986–1993: Rise and fall
Having learned several painful lessons after introducing the bulky Macintosh Portable in 1989, Apple introduced the PowerBook in 1991,which established the modern form factor and ergonomic layout of the laptop computer. The Macintosh Portable was designed to be just as powerful as a desktop Macintosh, but weighed 17 pounds with a 12-hour battery life. The same year, Apple introduced System 7, a major upgrade to the operating system, which added color to the interface and introduced new networking capabilities. It remained the architectural basis for Mac OS until 2001. The Apple II series is too expensive to produce, while taking away sales from the low end Macintosh. In 1990, Apple released the Macintosh LC with a single expansion slot for the Apple IIe Card to migrate Apple II users to the Macintosh platform.

1994–1997: Attempts at reinvention
By the early 1990s, Apple was developing alternative platforms to the Macintosh, such the A/UX. Apple had also begun to experiment in providing a Mac-only online portal which

they called eWorld , developed in collaboration with America Online. The Macintosh would need to be replaced by a new platform, or reworked to run on more powerful hardware. In 1994, Apple allied with IBM and Motorola in the AIM alliance. The goal was to create a new computing platform (the PowerPC Reference Platform), which would use IBM and Motorola hardware coupled with Apple's software. At the 1997 Macworld Expo, Steve Jobs announced that Apple would join Microsoft to release new versions of Microsoft Office for the Macintosh. On November 10, 1997, Apple introduced the Apple Store, tied to a new build-to-order manufacturing strategy.

1998–2005: Return to profitability
On August 15, 1998, Apple introduced a new all-in-one computer reminiscent of the Macintosh 128K : the iMac. The iMac featured modern technology and a unique design. It sold close to 800,000 units in its first five months. On May 19, 2001, Apple opened the first officialApple Retail Stores in Virginia and California. Later on July 9 they bought Spruce Technologies, a DVD authoring company. The same year, Apple introduced the iPod portable digital audio player. In 2003, Apple's iTunes Store was introduced, offering online music downloads for $0.99 a song and


integration with the iPod. The servic e quickly became the market leader in online music services, with over 5 billion downloads by June 19, 2008.

2005–2007: The Intel transition
At the On January 10, 2006, the new MacBook Pro and iMac became the first Apple computers to use Intel's Core Duo CPU. By August 7, 2006 Apple had transitioned the entire Mac product line to Intel chips On April 29, 2009; Apple also introduced Boot Camp to help users install Windows XP or Windows Vista on their Intel Macs alongside Mac OSX. Apple's success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple's stock increased more than tenfold, from around $6 per share to over $80. In January 2006, Apple's market cap surpassed that of Dell.

2007–present: Mobile consumer electronics era
Delivering his keynote at the Macworld Expo on January 9, 2007, Jobs announced that Apple Computer, Inc. would from that point on be known as Apple Inc., because computers are no longer the singular focus of the company. This change reflects the company's shift of emphasis to mobile electronic devices from personal computers. The event also saw the announcement of the iPhone and the Apple TV. After years of speculation and multiple rumored "leaks" Apple announced a large screen, tablet-like media device known as the iPad on January 27, 2010. Later that year on April 3, 2010, the iPad was launched in the US and sold more than 300,000 units on that day and reaching 500,000 by the end of the first week. In May of the same year, Apple's market cap exceeded that of competitor Microsoft for the first time since 1989. Apple released the fourth generation iPhone , which introduced video calling, multitasking, and a new uninsulated stainless steel design, which acts as the phone's antenna. In October 2010, Apple shares hit an all-time high, eclipsing $300. Additionally, on October 20, Apple updated their MacBook Air laptop, iLife suite of applications, and unveiled Mac OS X Lion, the latest installment in their Mac OS X operating system. On January 6, 2011, the company opened their Mac App Store, a digital software distribution platform, similar to the existing iOS App Store. On January 17, 2011, an internal Apple memo from Jobs announced that he will once again take a medical leave of absence, for an indefinite period, to allow him to focus on his health. Chief operating officer Timothy D. Cook will take up Jobs' day-to-day operations at Apple, although Jobs will still remain "involved in major strategic decisions for the company." 486

Ø CEO Steve Jobs. Visionary and charismatic. Ø Apple Computer are expert in Developing own software and hardware. Ø Product development. Doesn't invent the market, but its products set high standards for the market. Ø Design and utility. Sleek, not clunky. For instance, the desktop computer is part of the screen, not a separate box with wires; the iPhone has very few buttons and feels nice in the hand. Products are easy to use, almost intuitive. Ø Marketing. Clever and takes advantages of people's frustrations with other hardware. Ø Brand name.

Ø The product life cycle of Apple products are very small for that reasons revenues are more depend on launch of new products and services. Ø Apples market share is far behind from major competitor Microsoft. Ø In past the relationship between Steve jobs and employee were not good which result in reputation loss. Ø Slow turn around on high demand products. Ø Weak relationship with Intel and Microsoft. Ø Weak presence in business arena.

Ø CEO Steve Jobs. He has been described as a control freak and very demanding. When he dies, the company will take a severe blow. When his health was in the news, his secretiveness damaged the company's reputation.

The culture of Apple was based on an ideal that self-motivated individuals will work harder if they do not have a boss micromanaging every action. The unique structure of Apple had 487

allowed it to grow and react more quickly to changes than its competitors. The reason for the quick responsiveness is simple; it is much easier to get a project started if there are only a few people to obtain approval from. Apple initially grew fast, because decisions were made at the lowest possible level. Corporate headquarters made policy and oversaw all activities, but the local employees made the day-to-day decisions on the ground in countries all over the world. This type of top-down philosophy allowed for quick responsiveness and resolutions to situations without involving the corporate headquarters.

The organizational structure of Apple was almost non-existent and focused on placing decision making in the hands of the people in the field. Apple was doing incredibly well and had gotten the attention of many people because the company worked well and was very responsive to change. However, things took a downward turn and Apple found themselves in a financial nightmare. Apple suffered problems in regional areas, specifically in the accountability of spending and in fiscal decision-making. The same "top-down" ideology that helped Apple grow also opened the door for some serious financial losses. With employees at different levels making decisions, it became difficult for the corporate office to keep track of spending and purchasing.

In the last five years, Apple was reaching for the sky moving performance. After his iPod products soar and make officials Sony throe, Apple is now about to shake up its product superiority with the stunning Nokia, iPhone. Investigations into business processes that acted by Apple brings us to the three key elements that might explain the triumph of the company from Cupertino, California. Elements of the first and perhaps most vital is the existence of the CEO and founder Steve Jobs. Inevitably casual-looking guy who likes this is a key figure behind Apple's toughness. Through his vision is sharp and strong flavor would-technology products were aesthetics, Steve has manifest itself as an anchor who is very determine in which direction Apple would ship destined. Steve was a person who is always chasing perfection point - both on aspects of design or in the process of manufacturing a variety of product lines. Once he is confident with its product design vision, then he would work furiously with his engineers to ensure that design really can be produced with full perfection. 488

The story of the creation of the iPod and the iPhone probably will never happen without a perfectionist attitude and strong leadership as well as processes of Steve Jobs. The second element that determines the success of Apple is a perfect synergy between the various teams both the design team and software hardware teams. Every task is done in parallel and simultaneous collaboration. Product creation process at Apple is not done step by step, where after the design is complete then handed over to the software, then forwarded again to the hardware. Conversely, in the process all these aspects work together simultaneously. Essentially it means that products do not pass from team to team. Products get worked on in parallel by all departments at once - design, hardware, software. Elements of the latter may be more rarely known. This element is the presence of the other genius named Jonathan Ive, who served as Chief Design Apple. Jonathan Ive is a brilliant product designer who has a very central role in the history of the birth of the legendary Apple products. Jonathan is the brains behind the birth of the iMac product, the iPod and iPhone. In other words, this figure is apt to translate vision into reality through the Steve Jobs product suite is elegant and full shades of beauty.

Key success factors are significant to future success of industry firms. These factors encompass competencies, market achievement, resources, competitive capabilities and product attributes etc. it is most important for the strategists to be familiar with the external environment in order to distinguish the most important competitive success factor. The KSF’s of apple are given below.

Extensive Research &Development
Apple started the building of infinite loop campus and each activity on the campus was constraint and R&D. In the campus every building was named as R&D 1 to R&D 6. Apple increases its workforce by 12,600employees for the year 2010 as the technology oversize strengthened its R&D activities.

Innovative activities
Apple is well recognized for its innovative product lines. Over the precedent decade, it has launched 5 sensibly game-changing innovations 1. The iPod: the stylish MP3 player that started its decade of distraction. 489

2. The iTunes: Exquisite software with an influential business model that d emonstrated the individuals would indeed forfeit for music if the value was fair and the interface was easy enough. 3. The iPhone: Nicknamed the “Jesus phone” by followers, a Smartphone which three years afterward still hasn’t been harmonized by competitors. 4. The Apple Exchange: No one desires 98% of the apps that apple presents. 5. The Apple Store: The quietest fraction of apples revolution, nowadays near to $2 billion value of products progress throughout apple revolutionary shops.

Advertising and Differentiation
Throughout the history apple has been recognize well for its advertisements, which are planned to imitate a set up of marketing its brands to creative persons. Their most noticeable and campaigns include the “super bowl commercial” 1984 , “Think different” 1990s campaign, and the 2000s “iPod people”. Apples iPod, portable music player has been showcased as a part of modern art in NY’s Museum of Modern Art. Nowadays its advertising efforts focus around “special events”, and keynotes at seminars such as the Apple expo and Mac world expo.

Well Recognized and Cherished Brand Name
Apple is the king of brand names around the globe and is placed at number one in the US. Apple and Google do a substitute for the international market with star bucks, IKEA and Skype rounding out the top five. Tiger as well as did the iMac made apple top on the radar catalog for individual. Apple’s brand name recognition is overturn on the high.

Retail and Distribution Network
Apple has opened its largest United States store; a buildin g in Boston which imitates apples arrangement to increase its retail ventures at home and abroad. Apple distributes its products through its retail stores; direct sales force, online stores, as well as throughout the third party resellers, value added rese llers and wholesalers. The apple operated eighty four retail open outlets in 2004. These outlets were selling peripheral products, hardware, software, as well as a range of third party software and hardware products.


Breadth of Product Line
Apple inc. deal in the manufacture, marketing and designs of personal computers (PCs) and s related services, peripherals, software and networking solutions. It has also developed various markets and is engaged in designing a wide range of portable digital music players b esides related services and accessories which includes the online distribution third party audio and music books

Career Opportunities and Employability Security
Apple followed a positive policy of recruitment, including internship, on-the -job training, and several career opportunities. It focused on the importance of having computer-based knowledge in the job market.

Culture of Secrecy
As Apple was mainly into innovation, the company's policy was to keep things confidential. Secrecy was built into the corporate culture and the company always maintained tight control over information.

A Unique Culture
Many experts praised Apple's corporate culture. They felt that like many other top companies, Apple focused on nurturing a culture that valued creative people in good times and bad. They said that the culture at Apple was deeply associated with Jobs.

Or a Dysfunctional Culture?
However, not all were impressed by Apple's corporate culture. Some felt that there were certain aspects of Apple's culture that were dysfunctional. Analysts felt that Apple had a laidback work culture which was dysfunctional from a management standpoint.

Is There a Need for Change?
Experts felt that Apple was doing well in the economic downturn by investing, inventing, and innovating. Quoting Technology Business Research, Inc. (TBR) , data and analysis, iTWire reported that Apple's "culture of innovation" would lead to the company outperforming the economy and its competitors. 491

http://en.wikipedia.org/wiki/Apple_Inc . http://www.fool.com/investing/general/2010/06/07/apple -strengths-weaknessesopportunities-threats.aspx http://hubpages.com/hub/The -elegance -of-Apples-management-style http://www.mba-tutorials.com/marketing/273-apple -swot-analysis.html http://mba-lectures.com/management/strategic -management/1203/key-success-factors-ofapple.html




The history of HTC Corporation is described as follows:

HTC Corp produces powerful handsets that continually push the boundaries of innovation to provide true mobile freedom. It is founded in 1997 by Cher Wang, Chairwoman, HT Cho, Director of the Board & Chairman of HTC Foundation, and Peter Chou, President and CEO, HTC made its name as the company behind many of the most popular operator-branded devices on the market. It has established unique partnerships with key mobile brands, including the leading five operators in Europe, the top four in the US, and many fast -growing Asian operators. It has also brought products to market with industry leading OEM partners and, since June 2006, under its own HTC brand. HTC is one of the fastest-growing companies in the mobile sector and has achieved remarkable recognition over the past couple of years. According to Business Week ranked HTC as the second best performing Technology Company in Asia in 2007 as well as giving the company the number 3 spot in its Global listing in 2006. According to HTC, 18 months ago the company has introduced dozens of HTC-branded products around the world.

Products and Innovation:
HTC is known for its innovation. It is constantly broadening the range of devices it offers – introducing devices to support specific applications and new form factors that meet the increasingly diverse needs of its customers and partners. HTC's product portfolio offers easy-to-use solutions that embrace the full range of mobile multimedia resources, wireless anytime and Internet on the go. It has a rich heritage of device 'firsts':
• • • • •

First color palm-size PC (1999) First Microsoft Pocket PC (2000) First Microsoft wireless Pocket PC (2002) First Microsoft powered Smart phone (2002) First Microsoft Smart Music Phone (2004)


• • • • • •

Large 2.8" TFT touch -screen LCD display First Microsoft 3G Phone (2005) First Microsoft Windows Mobile 5.0 Platform Phone (2005) First tri-band UMTS 3G device on the Windows Mobile platform (2006) First Microsoft Windows 5.0 Smart phone (2006) First Tri-band UMTS PDA touch screen to allow finger tip navigation (June2007)

In early 2006, HTC launched a powerful new device with a groundbreaking form factor: the HTC Advantage. The HTC Advantage is the world’s most powerful office, boasting a 5" screen and full detachable QWERTY keyboard. This was followed in early 2007 with the introduction of the HTC Shift. Equipped with Windows Vista this device includes a brilliant 7-inch widescreen touch display and a 40 gigabyte hard drive. HTC launched the HTC Touch™ in June 2007 as the result of extensive R&D and the conviction that fingertip control would enable more intuitive navigation. The groundbreaking HTC Touch™ is equipped with TouchFLO™ so that consumers just sweep their finger across the screen to get access to the most commonly used content, contacts and features in a simple finger flick. HTC aims to continually develop smart new devices that empower users on the go, providing more freedom in the way they live their lives.

The SWOT analysis will help to understand the position of HTC in the market:




Leading makers of PDA’s smart phones

HTC has not such a big share like other competitors e Nokia, Apple, -g: Blackberry which has big market share

Recognized brand’s name and good quality products •

• •

Product has good image in market The Research and Development in HTC has given more importance

The range of their cell phone is low as compared to their competitor , Nokia , which has greater variety of smart phones, from cheapest to most

HTC has smart portfolio consisting of 42 phones

expensive one

Their number of

customers are

increasing as the time passes


Threats • The major threat to HTC is Apple iPhone. It is a big hindrance in the demand of HTC cell phones. • The financial crunch could also be threat for the company. That’s because HTC smart phones are expensive and not affordable for all smart phone users like Nokia and so people prefers

HTC is providing touch screen cell phones, which are very much in demand now days.

HTC has collaborated with Google and launched their cell phones with Android operating system.

Google popularity plays huge role in success of HTC

Nokia over HTC.

HTC cell phones are working on new technology technologies like3D, 4G and 5G


Mission statement:
“HTC's mission is to become the leading innovative supplier of mobile information and communication devices by providing value-added design, world -class manufacturing and logistics and service capabilities.” HTC is committed to driving the growth and capabilities of smart phone technology. The company has developed strong R&D capabilities, pioneered many new designs and product innovations and launched state of the art PDA phones and smart phones for operators and distributors in the global telecoms industry. It has invested in a strong R&D team accounting for 25% of the total headcount and a world-class high-volume manufacturing facility, both based in Taiwan.

HTC has its policies in written form in his public meetings and in stock markets. The mai n points are as follow: • • • • Procedures for Acquisition or Disposal of Assets Rules for Endorsements and Guarantees Procedures for Handling of Derivatives Trading Operational Procedures for Fund Lending

These are the points which are approved by the share holders meeting 18 June 2010.For every policy, detailed list of articles of company law is under governance of corporate environment. These company policies are approved by the concerning departments of a government department. This shows the internal environme nt of organization that governance is pure and meeting their missions and goals. It also shows that it also give courage to employs and concentrate towards it personal and organizational goals.

Procedures for Acquisition or Disposal of Assets:
For purposes of enhancing the Corporation's asset management and effecting public disclosure of information, these Procedures for the Acquisition or Disposal of Assets are adopted in accordance with Article 36-1 of the Securities and Exchange Act and the


Regulations Governing the Acquisition or Disposal of Assets by Public Companies issued by the Securities and Futures Bureau of the Financial Supervisory Commission, Executive Yuan.

Rules for Endorsements and Guarantees:
These Rules are adopted pursuant to the Regulations Governing Lending of Funds and Making of Endorsements and Guarantees by Public Companies issued by the Securities and Futures Bureau under the Financial Supervisory Commission, Executive Yuan, to protect the rights and interests of the Corporation's shareholders, ensure sound financial management, and minimize operational risk.

Procedures for Handling of Derivatives Trading:
These Procedures are adopted in accordance with the provisions of Taiwan-FinanceSecurities-I-0910006105 of the Securities and Futures Commission, Ministry of Finance, to protect investment, effect public disclosure of information, and strengthen the risk management system for derivatives transactions established by the public company.

Operational Procedures for Fund Lending:
These Operational Procedures are adopted pursuant to the Regulations Governing Lending of Funds and Making of Endorsements and Guarantees by Public Companies issued by the Securities and Futures Bureau under the Financial Supervisory Commission, Executive Yuan, to ensure the Corporation's sound management of funds and to minimize operational risks.



Division Management Team Name Title



John Wang

Chief Officer


Global Sales

Peter Chou

CEO & President

Innovation Center

Horace Luke

Chief Officer


Global Product

Kouji Kodera

Chief Officer



Ronald Louks

Chief Officer


R & D Center

David Chen

Chief Engineering Officer

Global Operation Center

Fred Liu

Corporate Executive President

Senior Vice

Procurement & Supply Chain MGT

Kenny Tseng

Special Assistant to President of Engineering and Operation


Information Technology

Eric Chou

Chief Information Officer

Manufacturing Operation Center

CS Wang

Vice President

Customer Service & Quality Assurance

Fred Liu

Corporate Senior Executive Vice President

Internal Audit

Vincent Tseng


Finance & Accounting

Hui-Ming Cheng

Chief Officer

Financial &

Spokesman Legal Grace Lei General Counsel

HTC’s culture is a guideline to provide high ethical standards for all employees in conducting HTC business activities. All employees of HTC Corporation., including branches and subsidiary companies, must follow these ethical standards regardless of the employees’ position, grade level, and location. This Code includes three major sections: • • • General Moral Imperative Venders/Suppliers and Customers Relationship Conflict of Interests


The General Moral Imperative section requires that HTC commits to providing a safe and healthy work environment and equal opportunities, and that it establishes a behavioral code for the treatment of knowledge about the company’s assets/properties/ information. The Venders/Suppliers and Customers Relationship section requires that HTC commits to maintaining a fair, legal, and long-term relationship with its venders/suppliers and customers to the benefit of all parties. The Conflict of Interest section describes the behavioral rules for employees in situations of divided interest. This is superior to any other local regulations except certain mandatory laws/acts issued by the local government. Any violation of HTC Code of Conduct and applicable policies may cause disciplinary action up to and including the termination of employment. The employees are responsible for understanding and complying with the HTC Code of Conduct. The manager must ensure that each employee endorses the contents of the Code of Conduct and should review this document with each employee per iodically (at least once per year). Both parties should then sign in the appropriate space on the last page.

The external environment is comprised of various factors which are directly interactive or indirectly interactive. The directly interactive forces are as: •

Owners: The stock holders keep eye over their interests and provide a return on

Customers: The main factor is demand satisfaction. If customers are satisfied with
product then the company is in profit.

Competitors: The competitors for HTC are increasing day by day. The biggest
competitors are Samsung, Motorola, Sony Erickson which are dealing in android and share the market place.

The indirectly interactive forces to HTC are as follow: Socio-cultural o Demographic o Values


• • • •

The political and legal dimensions The technology dimensions The economic dimensions The Global influences

These are the factors which externally affect the HTC Corporation. The socio-culture is especially important in HTC, it includes demographic and values of a particular customer base. The political and legal environment effects too the HTC externally. Political parties create or influence laws, and business owners must abide by these laws. Tax policies, trade regulations, and minimum wage legislation are the external factors which affect the HTC. The technological dimensions of the external environment impacts the scientific process using in input to output. The economic and globally do effect highly affect HTC. The amount of earthquake is high in Taiwan region so it’s a natural factor which externally affects the HTC.

Ways in which Strength are Exploited:
HTC is effectively exploiting its strength to maximize the market share and profit margins. They first analyze their strengths and then using the ir think-tank they have exploited them. • Using their PDA (Personal Digital Assistant), first company to make palmtops. They have used this technology and making their Smart Phones even smarter. Every day they are using new technologies in their smart phones to make them unique and exciting. Releasing first time phone with 3D technology without glasses to make it more exciting. The phone named HTC EVO 3D, using EVO technology to run 3D without glasses. HTC is releasing its Tablets with remarkable technology HTC Sense and HTC scribble, named HTC Flyer. • HTC is highly recognized now days, firstly it was using windows operating system then after collaboration with Google they are permanently moved to android operating system. With this factor their customer track is increasing day by day. First Android phone was released by HTC in 2007 named, Google G1. Up till now they have make remarkable changes in their operating system and HTC is following them and updating their smart phones. This factor of innovation has caused the high market share and recognition among people. 503

HTC has very strong and talented research and development department which is using effective techniques to research and develop new technologies which is appreciated by their customers. In 2009 they release the set HTC HERO which was powered by HTC SENSE which is generally called SENSE UI. The main characteristics of sense user interface is; sense update of weather widget, no GPRS and WiFi connection needed, sitting in a room your phone is ringing flip your phone and it turns silent without pressing anything. There are many uses of HTC SENSE which make it distinguish and unique from others which has developed by its research and development to tackle the market share.

The management practices are the key role of any company. It helps in making your strategy to compete with other company to make secure and make your brand at top. HTC has focus on following points to practice management and make strategy:

Following are their management practices belonging to their Brand: • Focus on smart phone market; they are the leaders of MS OS and Android platform. There are many other operating systems like Symbian OS which is widely used by Nokia but it is out dated that’s why HTC don’t use that OS. • Build up brand value through innovative products and friendly user interface. If interface of your phone is user friendly and simple then it is widely accepted by customer. The good interface becomes value for a customer. By this strategy they are building brand value. • Fast response to the market changes and delivers product diversification to the market. The distribution Channel is quick that their product reaches in time at market.

The competitive strategies to compete with other mobiles company are as: • • Work closely with the industry leaders to facilitate change of trends. Cooperative teamwork, good execution, implements of global operation and cost control. 504

Strategic partnerships with the world's industrial leaders in telecommunications help comprehension of customer's needs.

Continual market expansion, particularly in the 3G platform market which is beneficial to the demand of data transmission.

• • • • Exercise tighter credit risk and channel inventory control. Intellectual property rights risk management and accelerates patents application. Operating expense control. Provide various provisions in operational risks to ensure its appropriateness and sufficiency. Some are the achievements of HTC from 2003-2008: • • Best newly listed company in Taiwan for 2002 (Asia money, January 2003) Strong R&D has made HTC a pioneer in the wireless industry (Far Eastern Economic Review, September 2004) • • HTC Smart phone named as the best choice for 2005 (T3, September 2004) A leading maker of PDAs, PDA phones, and Smart phones (Wall Street Journal, March 2005) • HTC Chairperson Cher Wang selected as an Innovator in the 2005 Stars of Asia: 25 Leaders on the Forefront of Change (Business Week, July 2005) • Ranked No. 4 in the annual ranking of Asia's best-performing companies. (Business Week, September 2006) • Ranked No. 2 in the annual ranking of Asia's best-performing companies. (Business Week, September 2007) • Ranked No. 10 among global IT companies in the 2008 Info Tech 100 (Business Week, May 2008)


Following are the key success factors involved in international success; • The main key factor to international success is collaboration with Google and starts new product line using Android OS, this increases their market share and people came to know about HTC especially in Asia. Using new innovative ideas and competing with up to date technology contributes to international success. HTC tends to try new technologies in their smart phones to keep their name in market. They are also releasing their phones with Windows 7 OS. Collaborating with well established companies contribute to international success. • The innovation factor of HTC is a big factor to international success. Using innovative technologies to satisfy their customer in a unique way. It results in a worldwide success. HTC is currently working on 5G technology, they are currently releasing phone in 4G. They have transformed many technologies in their smart phones like EVO technology and 3D technology. The remarkable innovative technology is HTC Sense which has change the concept of smart phone. These technologies distinguish it with its competitors and contribute in international success • The collaboration of HTC with big telecommunication companies lead to key success internationally in Europe and America. Collaboration of HTC with Verizon, Sprint, T-Mobile, Orange, Vodafone are key success factor because they are high selling telecom companies which contribute in international success. • The important factor is their strategy; expanding their market then earning the profit. This strategy helps in brand awareness to people in world. This strategy helps in the key success to international success. In 2009 the Gross Profit and market share of HTC was as: North America 48.8% NT$ 70.7 Billion, Europe 30.4% NT$ 44 Billion, Asian & other countries 20.8% NT$ 30.2 Billion

http://www.htc.com/us/about http://www.freeswotanalysis.com/telecommunication-companies-swot-analysis/57-htccorporation-swot-analysis.html


http://www.corpasia.net/taiwan/2498/irwebsite/index.php?mod=profile http://www.htc.com/www/press/htc-story.html http://www.corpasia.net/taiwan/2498/irwebsite/index.php?mod=pages&id=2 http://www.corpasia.net/taiwan/2498/engovernancepage/2/EN/20100618HTC%20Procedures%20for%20the%20Acquisition%20or%20Disposal%20of%20Assets_E. pdf http://www.corpasia.net/taiwan/2498/engovernancepage/2/EN/20100618HTC%20Rules%20for%20Endorsements%20and%20Guarantees_E.pdf http://www.corpasia.net/taiwan/2498/engovernancepage/2/EN/20090619HTC%20Procedures%20for%20the%20Handling%20of%20Derivatives%20Trading_E.pdf http://www.corpasia.net/taiwan/2498/engovernancepage/2/EN/20100618HTC%20Operational%20Procedures%20for%20Lending%20Funds%20to%20Others_E.pdf http://www.corpasia.net/taiwan/2498/irwebsite/index.php?mod=pages&id=1 http://www.cliffsnotes.com/study_guide/The -Internal-Environment.topicArticleId8944,articleId-8860.html http://www.cliffsnotes.com/study_guide/The -External-Environment.topicArticleId8944,articleId-8859.html http://www.htc.com/uk/press.aspx?id=126904&lang=1033 http://www.corpasia.net/taiwan/2498/irwebsite/index.php?mod=strategy http://www.corpasia.net/canreport/main.php?ticker=2498&id=25&regionid=1 http://www.htc.com/www/about-htc/achievements.html




Nestlé S.A. is one of the largest food and nutrition companies in the world, founded and headquartered in Vevey, Switzerland. Nestlé originated in a 1905 merger of the Anglo-Swiss Milk Company, which was established in 1866 by brothers George Page and Charles Page, and the Farine Lactée Henri Nestlé Company, which was founded in 1866 by Henri Nestlé. The company grew significantly during the First World War and following the Second World War, eventually expanding its offerings beyond its early condensed milk and infant formula products. Today, the company operates in 86 countries around the world and employs nearly 283,000 people.

The Nestlé logo was launched by Henri Nestlé in 1868 on the basis of the meaning of his name in German, i.e. little nest, and of his family emblem. Henri obtained a 15-year French patent for his logo in 1868. After he retired, it was registered in Vevey in 1875 by the new owners of his company. In 1938, the traditional nest design was combined with the "Nestlé" name to form what is called the combined mark. In 1966 the design was simplified. In 1988, the worm in the mother bird's beak was removed and the fledglings became two instead of three. It is said that it was meant to better illustrate the activities of the company, no longer active only in nutrition, and to reflect the average modern family of two children. The logo we know now has just been simplified. The tree is supposed to represent an oak and the bird’s thrushes. You see that this logo has its own life and story, it was changed many times to stay modern and have up-to-date look. Sometimes it is very good idea to update old logo of your company. That is why many old companies do a million-dollar rebranding.

Nestlé originated in a 1905 merger of the Anglo-Swiss Milk Company, which was established in 1866 by brothers George Page and Charles Page, and the Farine Lactée Henri Nestlé Company, which was founded in 1866 by Henri Nestlé. The company dates to 1867, when two separate Swiss enterprises were founded that would later form the core of Nestlé. In the succeeding decades the two competing enterprises aggressively expanded their businesses throughout Europe and the United States.


In August 1867 Charles A and George Page, two brothers from Lee County, Illinois, USA established the Anglo -Swiss Condensed Milk Company in Cham. Their first British operation was opened at Chippenham , Wiltshire in 1873. In September 1867, in Vevey, Henri Nestlé developed a milk-based baby food and soon began marketing it. The following year, 1868, saw Daniel begin seven years of work perfecting his invention, the milk chocolate manufacturing process; M. Nestlé's was the crucial cooperation M. Peter needed to solve the problem of removing all the water from the milk added to his chocolate and thus preventing the product from developing mildew. Henri Nestlé retired in 1875, but the company, under new ownership, retained his name as Farine Lactée Henri Nestlé. In 1877 Anglo-Swiss added milk-based baby foods to its products, and in the following year the Nestlé Company added condensed milk, so that the firms became direct and fierce rivals. In 1905 the companies merged to become the Nestlé and Anglo-Swiss Condensed Milk Company, retaining that name until 1947, when the name Nestlé Alimentana SA was taken as a result of the acquisition of Fabrique de Produits Maggi SA (founded 1884) and its holding company, Alimentana SA of Kempttal, Switzerland. Maggi was a major manufacturer of soup mixes and related foodstuffs. The company’s current name was adopted in 1977. By the early 1900s, the company was operating factories in the United States, United Kingdom, Germany and Spain. World War I created new demand for dairy products in the form of government contracts; by the end of the war, Nestlé's production had more than doubled. After the war, government contracts dried up and consumers switched back to fresh milk. However, Nestlé's management responded quickly, streamlining operations and reducing debt. The 1920s saw Nestlé's first expansion into new products, with chocolate the company's second most important activity. Nestlé felt the effects of Wor ld War II immediately. Profits dropped from US$20 million in 1938 to US$6 million in 1939. Factories were established in developing countries, particularly Latin America. Ironically, the war helped with the introduction of the company's newest product, Nescafé ("Nestlé's Coffee"), which was a staple drink of the US military. Nestlé's production and sales rose in the wartime economy. The end of World War II was the beginning of a dynamic phase for Nestlé. Growth accelerated and companies were acquired. In 1947 came the merger with Maggi seasonings 510

and soups. Crosse & Blackwell followed in 1950, as did Findus (1963), Libby's (1971) and Stouffer's (1973). Diversification came with a shareholding in L'Oréal in 1974. In 1977, Nestlé made its second venture outside the food industry by acquiring Alcon Laboratories Inc. In 1984, Nestlé's improved bottom line allowed the company to launch a new round of acquisitions, notably American food giant Carnation and the British confectionery company Rowntree Mackintosh in 1988, which brought the Willy Wonka Brand to Nestlé. The Brazilian president, Lula da Silva, inaugurates a factory in Feira de Santana (Bahia), in February of 2007. The first half of the 1990s proved to be favorable for Nestlé: trade barriers crumbled and world markets developed into more or less integrated trading areas. Since 1996 there have been acquisitions including San Pellegrino (1997), Spillers Petfoods (1998), and Ralston Purina (2002). There were two major acquisitions in North America , both in 2002: in June, Nestlé merged its U.S. ice cream business into Dreyer's , and in August a US$2.6 billion acquisition was announced of Chef America, the creator of Hot Pockets. In the same time frame, Nestlé came close to purchasing the iconic American company Hershey' s, one of its fiercest confectionery competitors, though the deal fell through. Another recent purchase included the Jenny Craig weight loss program for US$600 million. In December of 2005, Nestlé bought the Greek company Delta Ice Cream for €240 million. In January of 2006, it took full ownership of Dreyer's, thus becoming the world's biggest ice cream maker with a 17.5% market share. In November of 2006, Nestlé purchased the Medical Nutrition division of Novartis Pharmaceutical for $2.5B, also acquiring in 2007 the milk flavoring product known as Ovaltine. In April of 2007, returning to its roots, Nestlé bought baby-food manufacturer Gerber for $5.5 billion. In December of 2007, Nestlé entered in a strategic partnership with a Belgian chocolate maker Pierre Marcolini. Nestlé agreed to sell its controlling stake in Alcon to Novartis on 4 January, 2010. The sale was to form part of a broader US $39.3 billion offer, by Novartis, for full acquisition of the world’s largest eye-care company.


Nestle is the world's largest food and beverage company in terms of sales. Due to strong brand name their product will gain a wide consumer acceptance from all over the Pakistan. The biggest strength would be the strong brand name the risk in investing would be reasonable very low and the pledge of ge tting a viable business, one that has been “worked” many times before. They will set a complete transparent manufacturing system for customer satisfaction in terms of hygiene. They will strengthen our product by broad distribution network by increasing the capacity for innovation which will lead to an improvement in sale growth. Nestle will be organizing a team which will inspect and observe the accumulation (stock) on daily bases to prevent any damages occurring and also in order to keep the inventory fres h. Following are the strength of nestle • • • • • • • • Skilled labor. Educated staff. Large number of offerings. Pre purchase virtual display. Arrangement of events. Good background of the company. Easy to approach outlets. Physical evidence

The main weakness of nestle is the lack of an established good standing. Their competitors have been around for decades and therefore have a loyal base. The second biggest weakness would be the lack of capital, establishing such an enormous and gigantic plant there will be a need of acquiring financial support in terms of loans from the bank. Spending millions in a strong brand is no guarantee to wealth. It may the safest way to get into the business, but it is not necessarily the cheapest. Further weakness would be.


• • •

Small target market. Lack of awareness among the target market. Dependency on others (govt. & sponsors) for the arrangement of events.

In nestle internal environment ensures • • • Employees are on side with the goals of an organization They have direct impact on product quality, dependability and overall productivity They are internal market, which impact every department within an organization; a satisfied internal market will be better able to satisfy external market.

Our Culture:
At Nestlé Waters North America, we’re a competitive business who also understands the importance of how business is conducted. Our people, who are dedicated to producing high quality products and maintaining top service levels, share our Aspirations and Beliefs, a set of principles that everyone in our organization follows. We strive to act responsibly in our business and workforce practices, to be good stewards of the environment and to be a good neighbor in the communities where we live and work.

Our Values:
Our values are best expressed through our Aspirations and Beliefs, a doctrine that everyone at the company shares and practices every day.

• • • • • Building Customer Loyalty Inspiring Employee Passion and Commitment Consistently Achieving our Key Business Objectives Acting with an Entrepreneurial Company Spirit Constantly Improving Our Company and Ourselves 513

Our beliefs provide a framework for decision-making. They guide individual actions on a daily basis. They are at the heart of what we do and who we are. We believe in: • • • • Respect for People, Community and the Environment Honesty and Integrity Teamwork The Aspirations describe what we are striving for our company to become and how we chart our progress. The Beliefs provide a framework for decision-making. They guide individual actions on a daily basis. They are at the heart of what we do and who we are.

• Nestle is operating in a society which is very large in nature thus placing the organization in an external environment where there is a huge number of forces which can potentially influence the functioning of nestle in many ways. • The external elements with which the Nestle has to deal are the elements that are directly related to it in conducting daily operations and the forces that may create certainties that cannot be predicted. These elements have differentiated impact on Nestle in different countries of the world. • • • • Following are the components of Nestlé’s Mega environment: Political Economic Social t he components of Nestlé's Mega

In analyzing the social factors that can influence Nestlé’s course of business activities in Pakistan, we come across the demographical statistic of Pakistan which includes, gender specification, age specification and religious specification, how a social and cultural values of a certain geographical area can influence the important shifts in the demand of the product, which may result in nestle changing some of its strategies accordingly in order to mainta in its sales in Pakistan. ϖ Nestle lays a great emphasis in penetrating into the market by keeping 514

the cultural and traditional values of the geographic area in which it is conducting its operation. ϖ Before nestle begins its operations in any country its main emphasis is on studying the cultural values of that country, in order to get its products warmly welcomed and make it highly preferred among other company’s operating at the same level.

The second mega external environmental factor that influences the organization is the economical factor, which controls the mechanism (contraction and expansion) of production, consumption and distribution. Nestlé makes a significant contribution to the economic sector of Pakistan. Through generation of tax revenue, import substitution of milk powder, export and infusion of over 2.3 billion rupees in the rural economy through milk purchases, the company plays an active role in promoting economi growth. ϖ The capitalist economic c system consists of firms owned privately by individuals or by corporations. In such an economy there is a great scope for the company to take favorable decisions and move towards a better organizational environment. Social economic structure, then the rights of owner ship and decision making (policy making) will be transferred to the state (government)

Following are the notable strengths of Nestle: • • • • • • • • Skilled labor. Educated staff. Large number of offerings. Pre purchase virtual display. Arrangement of events. Good background of the company. Easy to approach outlets. Physical evidence

Nestlé’s strengths that are exploited as; • They emphasize on internal growth that is to achieve higher volumes by renovating the existing products and innovating new products. According to them renovation is that “to 515

just keep pace in the industry, you need to change at least as fast as consumer expectations and innovation for them is “to maintain a leadership position, you also need to leapfrog, to move faster and go beyond what consumers will tell you.” • Nestle is a strong brand name so for them experimenting with new products or new line is easy ,even if it doesn’t work; their brand name is so strong that it somehow covers the cost. This edge of strong brand name gives them the edge of experimenting more and coming with new products and lines. Their strong brand name has earned them a not only a massive consumer base but also strong customer-company trust relation. For investors such a company flaunts a minimal risk investment with a guaranteed and handsome turnover. • Furthermore, their transparent production cycle has also solidified their client base and made them globally reliable for consumer based product manufacture. They will strengthen their product through their broad distribution network and by increasing the capacity for innovation in advertisement campaigns, eventually, leading to an imposing sale growth. • Nestle always keeps an observant eye on its stock densities throughout its subdistributions to prevent any accumulation or deficiencies of their product. This strategy makes people loyal to their products, obviously when a product of some company is always out of stock them people tend t switch to other substitutes. Another exploited strength that Nestle has is that they are low cost operators. This allows them to not only beat the competition by producing low cost products, but by also edging ahead with low operating costs.

As they say; Quality is the foundation of our Food, Nutrition, Health and Wellness Company At Nestlé Pakistan, we consider ourselves the standard bearers of our founder Henri Nestlé's care for safety and quality. Thus, Nestlé Pakistan has an absolutely non-negotiable commitment to product quality and food safety their take our motto of Good Food, Good Life very seriously. At every step, from collecting raw materials from rural farmers to distributing


finished goods in city supermarkets, our employees are trained and retrained to understand their role in ensuring that consumers enjoy food and beverage items of the highest quality. The Nestlé name on a product is a promise to consumers that:

It Is Safe To Consume:
It complies with all relevant laws and regulations and meets high standards of quality. In addition, they constantly try to improve and tighten existing regulations. We wish to ensure the highest possible benefits and protection for our consumers. For this reason, they actively participate in the revision of food standards with the government.

Quality Is To Win Consumer Trust And Preference:
They are committed to offering products and services to our customers that meet their needs and/or preference and provide sound nutrition.

Quality Is Everybody’s Commitment:
Our management takes the lead, sets the objectives and demonstrates its commitment towards quality. All Nestlé functions across our Value Chain are fully responsible to follow mandatory norms and instructions for maintaining agreed quality standards. We follow the stringent international standards of the World Health Organisation's Codex Alimentarius on food production. All factory laboratories operate according to Good Laboratory Practices guidelines. Our Sheikhupura and Kabirwala laboratories have l ng enjoyed an 'Excellent' o rating in the worldwide proficiency tests conducted by Nestlé SA (Switzerland), and attest to the world -class quality of our factories.

Quality Is To Strive For Zero Defect And No Waste:
We focus on facts and results and we strive for zero defect and excellence in everything we do. They adopt a “no waste attitude” and constantly look for competitiveness and opportunities for Continuous Improvement of the quality standards delivered to our consumers.

Quality Is To Guarantee Food Safety And Full Compliance:
A solid quality management system must rely on a strong and fully empowered quality function. We enforce full compliance with the mandatory standards and principles of our Quality Management System, which include Food Safety, Regulatory and Quality 517

requirements in every step of our Value Chain. The Nestlé Quality Management System builds on the existing Nestlé Quality System and adds a strong management component to it. The new dimension is the management of quality in all the rele vant business processes from Consumer Requirement to Consumer Satisfaction.

Nestle factors contributing to international success are:

Quality and Safety Science:
Quality and Safety Science at the Nestlé Research Center is a cornerstone in Nestlé’s global success in guaranteeing safe and high quality products. With outstanding scientific expertise, we know how to analyze our raw materials and finished products to assure safe and compliant products that consumers expect from all Nestlé brands. Our science driven food safety evaluations allow issue anticipation and fact-based risk management. Our passion is protecting our consumers and safeguarding their trust in Nestlé’s brands and products.

R & D Centers:
Nestle employs approximate 5000 people in 24 R&D centers and over 250 application groups. It extends its reach by tapping into the technologies and expertise of more than 1 million researchers around the world. For excellence today, a bottom-up approach appears to be more effective in both formulating and implementing customer-satisfaction strategies. At Nestlé, for example, it is local country managers and their subordinate product and segment managers who regularly make such today-for-today dec isions, not corporate headquarters management.

Entering New Markets:
Creates entry-level goods for emerging markets and then quickly and cheaply repackage them for sale in rich nations, where customers are increasingly hungry for bargains. The term for this new approach is trickle-up innovation. Source Innovation trickles in a new direction.


Localization amidst globalization:
Nestle is successfully achieving localization in the increasingly globalized food industry. Product planning, production, marketing and services form a strategy of successful localization of a global company. Nestle has 2 organizations that focused on leveraging its global reach to achieve operational efficiencies: GLOBE and GNBS provide the process, organization and technology infrastructure to allow Nestlé to leverage its global size. GNBS will enable Nestlé to leverage its scale to increase the efficiency and effectiveness of its "back office" whilst enabling the markets and businesses to focus on demand generation and profitable growth. Nestlé’s Swiss sales are only 2% of their total global sales.

Global Brand Strategy:
Nestle has products that resonate all over the world under a unified brand. These brands are unified under the Nestle banner, which delivered a value and reputation of a “global food company” while the products delivered its own specific attributes. The global corporate brand was the brand platform for delivering localized products and brands. Nestle has built global brands such as Nescafe, Nesquik, Nestea, Taster’s Choice, Haagen-Dazs.

Successful Mergers and Acquisitions:
Nestle has grown thru organic growth but really thru successful M&A. Nestle has acquired to enter both emerging and developed markets, and new product categories. Clear strategic focus: Food & Beverages, Nutrition, Health & Wellness, adjacencies to existing core businesses Within these strategic focuses, 12 of their brands represent 70% of sales, most are #1 or #2 in Market Share (4 of these brands are billion dollar brands). Clear criteria for transactions: Enhancing key metrics, strong market positions, brands, capabilities, ease of integration (culture). Global scope but focus on bolt-ons: both emerging and developed markets. M&A drives profitable growth thru competitive advantages, growth drive rs, and operational pillars.

Commitment to Health and Safety:
Nestles commitment to occupational safety, health and environmental sustainability is integrated into Nestlé Continuous Excellence (NCE), the core of our strategy to drive operational efficiency across the entire value chain. The overriding goal of NCE is to engage


employees’ hearts and minds in a consumer-driven war on waste. It helps in winning hearts globally and making them trust on its products. Its three main principles are: Excelling in compliance: this includes complying with legal and strict Nestlé internal requirements at all times; Delighting our consumers: Creating Shared Value and sustainability are increasingly becoming a driver for product development, and sharing our aims and achievements with consumers through brand and product communications; Driving competitive advantage: for example, making progress towards our ambitions for zero waste and zero accidents, and improving water efficiency and energy efficiency.

Nestlé is more people, product and brand oriented than systems oriented. While systems are necessary, they should never be an end in themselves. Nestlé favors long-term successful business development and endeavors to be a preferred Company for long-term oriented shareholders. However, Nestlé does not lose sight of the necessity to improve short -term results and remains conscious of the need to generate a sound profit each year. Nestlé seeks to earn consumers’ confidence and preference and to follow and anticipate consumer trends, creating and responding to demand for its products. Therefore Nestlé is driven by an acute sense of performance, adhering to and favoring the rules of free competition within a clear legal framework. Nestlé is conscious of its social responsibility, which is inherent in its longterm orientation. Nestlé is as decentralized as possible, within the framework imposed by fundamental policy and strategy decisions requiring increasing flexibility. Operational efficiencies, as well as the group-wide need for alignment and people development, may also set limits to de -centralization. Nestlé is committed to the concept of continuous improvement of its activities, thus avoiding more dramatic one -time changes as much as possible.

http://www.scribd.com/doc/46343820/Nestle-Document-Final http://www.nestle.com/Common/NestleDocuments/Documents/Library/Documents/People/M anagement-Leadership-Principles-EN.pdf http://www.nestle.com/AboutUs/Pages/AboutUs.aspx 520

http://hubpages.com/hub/Potential-strategic-financial-objectives -of-an-organization http://www.nestle.pk/community/corporate-social-responsibility.aspx




Pizza Hut was founded in 1958 by brothers Dan and Frank Carney in their hometown of Wichita, Kansas. When a friend suggested opening a pizza parlor, they agreed that the idea could prove successful, and they b orrowed $600 from their mother to start a business with partner John Bender Renting a small building at 503 South Bluff in downtown Wichita and purchasing secondhand equipment to make pizzas, the Carneys and Bender opened the first "Pizza Hut" restaurant; on opening night, they gave pizza away to encourage community interest. They chose the name "Pizza Hut" since the sign they purchased only had enough space for nine characters and spaces. Additional restaurants were opened, with the first franchise unit opening in 1959 in Topeka, Kansas. The original Pizza Hut building was later relocated to the Wichita State University campus. Dan and Frank Carney soon decided that they needed to have a good standard image. The Carney brothers contacted Wichita architect Richard D. Burke, who designed the distinctive mansard roof shape and standardized layout, hoping to counter competition from Shakey's Pizza, a chain that was expanding on the west coast. The franchise network continued to grow through friends and business associates, and by 1964 a unique standardized building appearance and layout was established for franchised and company-owned stores, creating a universal look that customers easily recognized. By 1972, with 314 stores nationwide, Pizza Hut went public on the New York Stock Exchange under the stock ticker symbol NYSE: PIZ . In 1978, Pizza Hut was acquired by PepsiCo, who later also bought KFC and Taco Bell. In 1997, the three restaurant chains were spun off into Tricon, and in 2001 joined with Long John Silver's and A&W Restaurants to become Yum! Brands . The Pasta Bravo concept was acquired in 2003 from Pasta Bravo, Inc. of Aliso Viejo, Calif for $5 million to pair with Pizza Hut

Pizza Hut sells "Stuffed Crust" pizza, with the outermost edge wrapped around a coil of mozzarella cheese; "Hand-Tossed," more like traditional pizzeria crusts; "Thin 'N Crispy", a thin, crispy dough which was Pizza Hut's original style; "Dippin' Strips pizza", a pizza cut into small strips that can be dipped into a number of sauces; and "The Edge pizza,"


Depending on the individual restaurant size, Pizza Huts also may offer pasta dinners such as spaghetti and Cavatini – a mixture of Cavatelli (shells), Rotini (spirals), and Rotelle (wheels) Pizza Hut introduced the Big Eat Tiny Price Menu. It features new Pizza Rolls, the P'Zone Pizza, new Personal Panormous Pizza, and the Pizza Mia. Pizza Hut introduced stuffed pan pizza Unlike regular stuffed crust cheese is not inside the crust, just pressed into the pan crust. Pizza Hut introduced the Big Italy, a pizza that is almost two fe et long . It has new, Italian themed dishes such as penne pasta, chicken commodore and toasted sandwiches. Other than that they also have ice-cream, fruit shakes, brownies, chicken wings, Garlic bread, fries , salads ,pasta and soups etc.

Organizational culture is basically a Pervasive, deep, largely subconscious, and tacit code that gives the 'feel' of an organization and determines what is considered right or wrong, important or unimportant, workable or unworkable in it, and how it responds to the unexpected crises, jolts, and sudden change. In Pizza hut all new employees t assimilate this code to know the correct way to behave and what to expect from other employees. It is based on shared attitudes, beliefs, customs, express or implied contracts, and written and unwritten The organizational culture of Pizza hut is conducive and friendly. In Pizza hut employees are given the leverage to give their inputs in order to prove their service. The customer’s satisfaction is of prime importance in pizza hut and they take severe measures to make them happy and fulfill their desires. The organogram, mission statement and policies of Pizza hut describes it organizational Structure.

A simplified version of organogram is shown below.


Pizza hut take pride in making a perfect pizza and providing courteous and helpful Service on time all the time. Every customer says, "I'll be back!" Is the employer of choice offering team members opportunities For Growth, Advancement, And Rewarding Careers in a Fun, Safe Working Environment.

v PASSION for excellence in doing everything. v EXEUTE with positive energy and urgency. v ACCOUNTABLE for growth in customer satisfaction and profitability. v RECOGNIZE the achievement of others and have fun doing it. v LISTEN and more importantly, respond to the voice of the customer.

Pizza Hut is a company which genuinely recognizes that having great people is vital for long term business success; in fact 'People Capability First' is one of the foundations on which everything else is built. The HR department has an enviable reputation and is a fully integrated part of the organization, playing a key role in most business decisions. Proof of their ability to add value are the results they achieve in being involved in and leading commercial business initiatives right across the business. As well as their strategic input to the business, HR supports the restaurants and the RSC where it is really needed. By sourcing exceptional new employees and supporting individual growth and career progression through our many world class training programs they are able to ensure that 70% of all vacant positions are filled internally. But it doesn't stop there; they drive a culture which constantly finds reasons to celebrate the achievements of others and has fun doing it. Working hand in hand with Operations we help our people achieve their potential and deliver great results.

Pizzahut is also an equal opportunity employer. As an equal opportunity employer Pizzahut ensures that employees and job applicants are selected, trained, and promoted without 525

discrimination to race, gender, sexual orientation, age or disability. The company promotes their employees based on their relevant skill, tale nts, and performance. In support of this Pizzahut promotes and sustains a working environment, which is free from unlawful discrimination, harassment and bullying. Employees are regarded as members of a team where everyone's opinion is valued and respected. The Human Resources department monitors the effectiveness of the discrimination policies at regular intervals and takes corrective action as necessary to ensure that they being complied with (www.mcdonalds). Employees who feel that they have been treated unfairly are encouraged to use the remedies outlined in the Company's handbooks. Pizzahut ethical standards, as well as their strategies for globalization and diversity are instrumental to the overall success of the company.

Pizza Hut is split into several different restaurant formats; the original family-style dine-in locations; store front delivery and carry-out locations; and hybrid locations that offer carryout, delivery, and dine -in options. Many full-size Pizza Hut locations offer lunch buffet, with "all-you-can-eat" pizza, salad, bread sticks, and a special pasta. Additionally, Pizza Hut also has a number of other business concepts that are different from the store type; Pizza Hut "Bistro" locations are "Red Roof"s which offers an expanded menu and slightly more upscale options. Traditionally , Pizza Hut has been known for its ambiance as much as pizza. Vintage "Red Roof" locations can be found throughout the United States, and quite a few exist in the UK and Australia. Even so, many such locations offer delivery/carryout service. This building style was common in the 1960s and 1970s. The name "Red Roof" is somewhat anachronistic now, since many locations have brown roofs. Dozens of "Red Roofs" have closed or been relocated rebuilt. Many "Red Roof" branches have music from a jukebox, and sometimes an arcade. Later on, the company moved into other successful formats including delivery carryout and the fast food "Express" model.

Name recognition is an obvious strength for Pizza Hut. Pizza Hut has been around for a long time, and consumers know the name well. Another big strength and even a competitive advantage is the fact that they have a full service restaurant as well as 526

delivery services. Most of Pizza Hut's competitors do not have restaurants. Because of the restaurant, Pizza Hut can market to many different segments that other pizza chains cannot. For example, Pizza Hut can market to families much easier than Domino's or Little Caesar's. Pizza Hut offers a sit-down, conversational type restaurant where families can take their children for birthday parties for example. Pizza Hut's broad selection of products also makes it easier for them to market to different market segments. Pizza Hut is the market leader in providing different products of pizzas as there are no big competitors in this sector. There good image makes the organization more strong. Pizza Hut is providing good taste, quality products with qualified staff, good atmosphere and hygienic environment. They are specialized in pizzas. Motivation level of staff is very high which make the organization more prosperous. They are ISO (International Standard Organization) certified. They have enough resources for operating different activities of the organization. They are providing free home delivery service. They have created monopoly in this sector. Another big Strength and even a Competitive Advantages’ the fact that they have a full service restaurant as well as delivery services. Most of Pizza Hut's competitors do not have restaurants. Because of the restaurant, Pizza Hut can market too many different segments that other pizza chains cannot. For example, Pizza Hut can market to families much easier than Domino's or Little Caesar's.

However, the fact that Pizza Hut does have a restaurant to run is also a weakness. Pizza Hut has higher overhead costs, due to the restaurant that other competitors don't have to deal with. Another result of higher overhead costs is higher prices Pizza Hut must charge. Obviously, Pizza Hut is not the low cost producer. They rely on their quality pizza and good service to account for their higher prices An indirect weakness that Pizza Hut has is that they have lost a lot of their customers and market share due to such intense competition with competitors. Pizza Hut's opportunities are almost endless. They can increase revenue with their new innovative pizzas, and increase brand loyalty with good customer service. A problem facing all of the pizza chains is that each of their individual competitive advantages are pretty much everyone's competitive advantages. Most if not all the top pizza 527

chains offer free delivery, and always have some sort of promotional deal offering large ! Pizzas at reduced prices. Other competitors to take into consideration are frozen pizzas and make-it-yourself pizzas that are purchased in grocery stores. Some examples of these are Tombstone Pizzas, Boboli, Menu food And Di'Gornio pizzas.

A business's strategy is the pattern of decisions and actions that are taken by the business to achieve its goals. A business has a variety of goals and objectives. All businesses need to organize their business activities in order to achieve their business objectives. Running a business involves planning the current as well as future activities. Hence, in order to achieve the business objectives, all business organizations adopt different strategies. Similarly, Pizza Hut has adopted many strategies which help achieve the targets set by the main office to the local store. Changes are the external as well as internal environment has led Pizza Hut rethink their past strategies and has therefore designed new strategies after noticing the changes in the environment. After considering all the factors Pizza Hut has decided upon the strategies and their current strategies are divided into five main categories and further have sub-parts. These strategies are: FUNCTIONAL STRATEGIES These are strategies designed to improve the efficiency of a business's operations. They often focus on an area, such as marketing, human resource etc . All business organizations adopt strategies at functional level as once the functional objectives are achieved, corporate objectives become easy. In order to make the functional strategy efficient, Pizza Hut has made all the functional departments co-operate with each other.

Business level strategies are plans made to gain a competitive advantage over its rivals in a market. Hence, all the businesses need to adopt business level strategies in order to compete in a competitive environment. If we take a look at the market, there are few large competitors of Pizza Hut but unlimited small competitors exist in the market. Therefore, present strategies adopted by Pizza Hut are keeping in consideration the present competition. Whereas, in future this competition will increase and Pizza Hut will have to change all its business level strategies in order to compete with its rivals. It has rivals like Papa Jones, Dominos etc.


The level of competition a business faces determines its pricing strategy. Sometimes a business has the scope to set its price and sometimes a business cannot. When a business has the scope to set its price there is a number of pricing strategies or policies it might choose. As there are no such competitors of Pizza Hut which could compete with the quality of pizza produced at Pizza Hut, therefore, the pricing strategy adopted by Pizza Hut is 'market skimming'. Pizza Hut has adopted this pricing strategy as they want to hold maximum share of the market by maximum profit. They satisfy the target market as the food quality is worth the price paid.

In the past, Pizza Hut has always had the first mover advantage. Their marketing strategy in the past has always been to be first. One of their main strategies that they still follow today is the diversification of the products they offer. Pizza Hut is always adding something new to their menu, trying to reach new markets.

Lastly, Pizza Hut has always valued customer service and satisfaction. In 1995, Pizza Hut began two customer satisfaction programs: a 1-800 number customer hotline, and a customer call-back program. These were implemented to make sure their customers were happy, and always wanted to return. They take quick actions if there is a customer’s complaint and they take drastic measures to satisfy their customers.

Another strategy they used in the past and are still using is the diversification of their pizzas. Pizza Hut is alway s trying to come up with some innovative way to make a pizza into something slightly different - different enough that customers will think it’s a whole new product. For example, let's look at some of the pizzas Pizza Hut has marketed in the past. In 1983, Pizza Hut introduced their Pan Pizza, which had a guarantee of being ready to eat in 5 minutes when dining at Pizza Hut restaurants. They introduced the "BigFoot," which was two square feet of pizza cut into 21 slices. They introduced "Stuffed Crust Pizza," where the crust would be filled with cheese. They marketed "The Edge," which had cheese and toppings all the way to the edge of the pizza. They keep on 529

experimenting with their products so that customers will not get bored of the same offers.

Pizzahut realizes that having diversity as an asset greatly enhances the profitability of the company. Diversity is a direct reflection of a company’s interpersonal relationships. These relationships, if positive, result in a rewarding venture. Conversely, if the relationships are negative, the company’s morale declines and if not addressed, leads to the deterioration of the company. This deterioration directly impacts the company’s income and the community’s acceptance of the business. However, Pizzahut leadership encourages diversity through their policies and programs. Pizzahut proven success with leveraging the advantages of diversity can be attributed to their core value of ethics. Pizzahut success is built on the foundation of personal and professional integrity .From the beginning, Pizzahut has based its reputation on trust and dependability, and their commitment to the community made them a household name.

Pizzahut success is built on the foundation of personal and professional integrity (From the beginning, Pizzahut has based its reputation on trust and dependability, and their commitment to the community made them a household name. Founder believed in giving something back to the community in order to make the world a better pla ce.

Good managers do not appear overnight, and sometimes restaurant managers need instruction and practice in order to effectively run the business, supervise employees and satisfy customers. In P izza H ut they are blessed with good managers who practice the efficient and effective way to manage their employees. This enabled them to enhance the motivation and productivity of the workers. The following are the practices followed in Pizzahut.

This is the most important for a food chain like Pizza Hut. All the employees’ back of-thehouse i.e. the kitchen assistants are trained accordingly. They are given extra classes in order to meet the quality standards set by Pizza Hut around the world. This strategy is important in 530

order to satisfy the CHAMPS. This strategy is strictly implemented in Pizza Hut in order to fulfill the quality standards. Different quality management staff is also there at Pizza Hut. The shift managers have the task to observe whether the quality standards are met or not, whereas there are a total quality management department at the main office in Karachi. This department has the task to implement quality standards and know whether they are achieved or not.

In order to run a successful business, the managing costs is critical. These costs include labor, food and waste costs. In pizza hut the financial s and inventory managers keeps an accurate record of all costs and losses which help managers budget funds for the future and protect profits.

Managers are responsible for promoting the brand in order to bring in more business. Learn the best ways to market to your area and implement marketing strategies whenever possible. The marketing managers of pizza hut never leave an opportunity to market their ideas to their customers. They use many interactive ways of marketing as well. Pizza Hut is also advertised in anime, movies, talk shows etc.

Simply by opening their doors, restaurants are promoting the quality of their food and service. The managers make sure to follow through and offer the best quality products possible. They enforce food preparation procedures, food storage standards and presentation quality at all times. They have specific department of Quality management and they take feedback from their customers to keep on improving their service.

Guest service is one of the most important parts of Pizza hut’s objectives. any staff members who have contact with guests, they make sure to train and model superior customer service at all times, from their arrival to their departure. They have 24 hours delivery service and has a toll free number.


Managers have specific prescribed guidelines to create a positive environment where people feel they can trust one another and work together. Hire quality people, get to know them and treat them fairly. Balance fun with hard work to create a positive environment. They provide Equal Opportunity to their employees.

The managers make it sure to learn about what motivates your employees. They use contests, games, food, prizes and other incentives to get the team excited about running a strong shift. Motivation keeps people upbeat and productive.

The management makes sure to identify when employees deserve rewards due to high achievement or consistently great work. For that they Praise employees in front of their peers when appropriate, and be sure to consistently recognize those who perform above standards. They have a concept of employees of the month as well which helps to motivate employees to work better.

We have used the data from the PEST (Political, Economic, Social and Technological) Analysis, in order to find out about its external environment.

Political issues include regulatory frame work operating in judicial system which may affect the business in different ways. There are not many political factors in countries like Pakistan, India and Siri Lanka etc, Factors such as laws on business employment, pollution and taxation apply on the organization which it has to follow regarding the rules.

If the county’s economy is better so the GDP of the country will be good, this is a green signal for the business as the per capita income of the people will be increased and they will spend more money. When the inflation rate increases the cost of raw material also increases


and this leads towards high prices of the products and vice versa. But due to recession of the economy they have to set their prices low, their personal deal is cheaper than McDonalds and Nandos.

Pizza hut is a multinational and it is basically originated from America so the organization is overwhelmed by western culture. There are social forms of society which consist of Upper class, middle class, middle upper class, lower class and lower class. Every country has cultural norms, values, beliefs and religion which can affect the organization, and Pizza hut has rightly adopted to different societies and cultures. In Pakistan they have introduces pizzas like “Hurra Bhurra” and chicken Tikka which are according to the taste and likes of the people residing here.

Papa Jones and Dominos are the main competitors of pizza hut. Other competitors are frozen pizza suppliers like Tombstone Pizzas, Boboli, Menu food And Di'Gornio pizzas. They have to keep a check on its competitors and accordingly launch new schemes and offers. Pricing is also done by keeping in view the competitors.

Now a day’s technology is improving so as baking and heating ovens will be of new and efficient technology and will provide efficient service. Due to new technology there are new ways of marketing like internet; telemarketing and the organization can advertise their products with much more faster pace. Computer based customer data that is MIS (managing information system) helps in collecting customer data, daily transactions, future forecasting and decision making. New vehicles will make their service more e fficient.

In today’s society, corporations and enterprises are expanding their businesses in the global markets. Globalization is necessary for success and survival in the worldwide market; however, global competition is not easy). By the end of the twentieth century, the list of Fortune 500 companies was no longer only United States corporations due to an increase in international companies joining the list. As a leading food service retailer, Pizzahut joins


those corporations with restaurants in 119 countries important strategic decisions are a key factor to their success with consideration for both internal and external factors. When considering the foreign market, companies need to consider there are risks. There must be local marketing to appeal to the local consumers and also to build relationships and trust. Therefore, the strategic planning for marketing has to be effective. Pizzahut caters its menu in other countries to the cultures of the regions. For example, in India, the non-vegetarian menu includes chicken and fish items only Beef is not on the menu in India because are considered sacred. Global marketing decisions are no different than those made domestically but the decisions are unique to each country. Furthermore, operating on a global scale allows a company’s employees to experience working in different cultural environments. This is a good marketing strategy for recruiting employee

Following are the elements which affect the internal environment of Pizzahut

Pizza Hut is a company which genuinely recognizes that having great people is vital for long term business success, in fact 'People Capability First' is one of the foundations on which everything else is built. The HR department has an enviable reputation and is a fully integrated part of the organization, playing a key role in most business decisions. Proof of their ability to add value are the results they achieve in being involved in and leading commercial business initiatives right across the business. As well as their strategic input to the business, HR supports the restaurants and the RSC where it is really needed. By sourcing exceptional new employees and supporting individual growth and career progression through their many world cl ss training programmes they are a able to ensure that 70% of all vacant positions are filled internally. But it doesn't stop there; they drive a culture which constantly finds reasons to celebrate the achievements of others and has fun doing it. Working hand in hand with Operations we help our people achieve their potential and deliver great results.


The Marketing function is split into two sub teams: one focused on promoting current products and controlling the overall brand, the other on developing the Pizza Hut products of the future. Wherever some on joins it , he’ll benefit from working closely with people from a range of different specialism, including Pizza Hut International HQ in Dallas, and there will be plenty of training and development on hand to help you progress. This includes an extensive programme of internal training courses, and the opportunity to become CIM qualified.

All their advertising and in-store activities - from high-profile TV campaigns to menus, door drops, point of sale support, local and national press and radio ads - start from this small, fastpaced team of just eight. So there are plenty of opportunities to really get stuck in and experience a broad range of the marketing mix. As well as new product launches, activities revolve around store openings and promoting new offers, and it's up to each Brand Manager to find out their customers' needs and liaise with Operations to develop marketing plans that meet them. They also work closely with their creative and media agencies to ensure each campaign reaches its target audience and continues to grow our business.

Finance departments, Control and Planning, work together to report and analyse business results and help set the path for future business growth. In both departments, one'll have exposure to lots of different areas of the organisation, as well as the opportunity to study for qualifications such as CIMA, ACCA and PPM for Payroll.

Control is focused on approving, processing and recording all the company's financial transactions and reporting the figures back to investor, Yum!, as well as statutory bodies, the Board of Directors and the rest of the organisation. But it's much more than that. They also carry out fraud prevention and protect business assets. Additionally, due to their global nature, they work hard to ensure compliance with both UK and US statutory requirements.


Pizzahut commitment to diversity is established on the foundational belief that diversity is not just a moral and ethical issue, but also a business issue .Due to the global expanse of Pizzahut business, diversity has become an integral part of the internal company culture. Pizzahut has over 30,000 restaurants around the world, which means franchise owner/operators, employees, and customers represent just about every culture, religion or ethnicity on earth. In addition, Pizzahut promotes the use of local suppliers and based on their policies of diversity, expects and retains suppliers that have a similar diversity culture. Knowing and understanding the local customs and traditions of the communities where Pizzahut has established businesses, integrating people from these communities into the company, and adapting locally to the tastes and cuisines of the community, has made Pizzahut the leader in their industry. In the United States alone, Pizzahut has won numerous awards and received national recognition for diversity. These awards and recognitions are not the result of a surface attempt to appease the critics. They are the result of Pizzahut embracing and integrating diversity into their company ethos as an asset and an ally.

One of the first International food franchises is Pizzahut which open its doors in Karachi. When the first Pizza Hut restaurant opened in Karachi the quick service industry was at a nascent stage and the pizza category was dominated by a sole regional player who had a marginal presence. Pizza Hut went on to play a significant role in pioneering and developing this category in Pakistan. Worldwide and in Pakistan, Pizza Hut has come to become synonymous with the 'best pizzas under one roof'. This is because at Pizza Hut the belief is that every pizza has its own magic, thus making it a destination pr oduct which is sought by everyone. It is this belief that has ignited the passion to create, innovate and serve the finest product the industry has to offer, while setting standards for others to strive to replicate. Pizza Hut is committed to providing uncompromising product quality, offering customers the highest value for money and giving service that is warm, friendly and personal.


A significant and critical factor in Pizza Hut's success has been its unique dining experience. Crew members at Pizza Hut s trive each day to provide 'CUSTOMER MANIA' the kind of service that ensures that every visit of the customer is a memorable one. Pizza Hut's constant endeavor to provide extra value, whether it is pizzas which are available to suit every price range, new promotions or the introduction of innovative product ranges ,that puts a 'Yum' on every customer's face this has allowed it to increase its presence in Pakistan to the current 38 restaurants across 9 cities. Pizza hut targeted market defines them as a family product. This is because they don’t really directly market their customers. They are target everyone whereas their competitors target a certain gender or age. But pizza hut targets a wide range of customers. This is because they want to make the most money and who blames them. They have many competitors and they are bound to try everything to cope up tops. Their competitors are everywhere. There are just a few that are main competitors and pizza hut will always try to be the best and get the most money by making their products better quality but also cheaper. They try to offer something different with their product as well. They offer a range of stuffed crusts to try and attract customers. They also do vegetarian options with meet free pizzas and a salad and pasta bar. Not a lot of restaurants offer a salad and a pasta bar. This is another competitive idea to attract or customers. They have diversified their market and they keep on experimenting with their products and introduce up to date offers to attract their customers, which provides them a competitive edge. The pricing scheme of pizza hut is not expensive either. Their pricing is cheaper than most of the competitors and this is the sole reason that most of the families prefer to go to Pizza hut every now and then.

Pizza Hut has a successful history of introducing new products to increase sales and reach new customers. This introduction of new products to the market on a regular basis is what makes Pizza Hut the leader in their industry. Pizza Hut has many targets which it has achieve in a given period of time. The time-period is mostly a year. Therefore, in order to fulfill the 537

targets different strategies are adopted by Pizza Hut. Pizza Hut experiments with new products frequently, with less successful ones being discontinued. It can be concluded that these strategies have been successful and there is flexibility in the strategies, as they can be changed with the changes in the market conditions as well as the targets this is one of the main reason behind the tremendous success of pizza hut not only in west but also in eastern side of the globe. One can learn a lot from the business practices of Pizza hut and can make use of the tools and methods used by Pizza hut in order to conduct his business both effectively and efficiently.

Pizza Hut official Website http://www.pizzahut.com.sg/ Better Strategies Better Pizza Hut, Waters, Jenifer, Feb,15 2000 http://www.highbeam.com/doc/1G1-60051449.html Saur Daugh, Pizzahut Vs Papa Jones http://findarticles.com/p/articles/mi_m0BDW/is_21_42/ai_75028177/ Pizza Hut , Article, Geek.com http://www.geek.com/articles/tagged/pizza-hut/ Funding Universe, http://www.fundinguniverse.com/company-histories/Pizza -Hut-Inc Scribed, Report on Pizza Hut http://www.scribd.com/doc/20410335/Report-on-Pizza-Hut Pizza Hut India, Yum Brands http://www.ibef.org/download/PizzaHut.pdf Happy World, Pizza Hut Always Gives Back To The Community. http://www.happyworld.com/responsibility/




Motorola started in Chicago, Illinois as Galvin Manufacturing Corporation (at 847 West Harrison Street) in 1928, with its first product being a battery eliminator . Paul Galvin purchased the patents to the automotive radio and acquired the rights to the trade name Motorola ("motor" and "Victrola ") from William Lear. The name Motorola was adopted in 1930, and the word has been used as a trademark since the 1930s. Many of Motorola's products have been radio-related, starting with a battery eliminator for radios, through the first walkie-talkie in the world in 1940,

defense electronics, cellular infrastructure equipment, and mobile phone manufacturing. In the same year, the company built its research and development program with Dan Noble , a pioneer in FM radio and semiconductor technologies joined the company as director of research. v In 1943, Motorola went public and in 1947, the name changed to its present name. At this time, Motorola's main business was producing and selling televisions and radios. Motorola produced the hand-held AM SCR-536 radio during World War II which was vital to allied communication. v In 1952, Motorola opened its first international subsidiary in Toronto, Canada to produce radios and televisions. In 1953, Motorola established the Motorola Foundation to support leading universities in the United States. v In 1955, years after Motorola started its research and development laboratory in Phoenix , Arizona to research new solid-state technology, Motorola introduced the world's first commercial high-power germanium-based transistor . The present "batwing" logo was also introduced in 1955 (having been designed by Zeke Ziner in late 1954). v Beginning in 1958 with Explorer 1, Motorola provided radio equipment for

most NASA space -flights for decades including during the 1969 moon landing. A year later, it established a subsidiary to conduct licensing and manufacturing for international markets. v In 1960, Motorola introduced the world's first "large -screen" (19-inch), transistor ized, cordless portable television.


v In 1963, Motorola, which had very successfully begun making televisions in 1947 introduced the world's first truly rectangular color TV picture tube which quickly became the industry standard. v In 1969, Neil Armstrong spoke the famous words "one small step for a man, one giant leap for mankind" from the Moon on a Motorola Radio. v In 1973, Motorola Demonstrates Portable Telephone to be Available for Public Use by 1976. v In 1974, Motorola sold its television business to the Japan-based parent company of Panasonic . v In 1976, Motorola moved to its present headquarters in Schaumburg, Illinois. v In September 1983, the firm made history when the U.S. Federal Communications Commission (FCC) approved the DynaTAC 8000X telephone, the world's first commercial cellular device. By 1998, cell phones accounted for two thirds of Motorola's gross revenue. The company was also strong in semiconductor technology,

including integrated circuits used in computers. In particular, it is well known for the 6800 family and 68000 family of microprocessors used in Atari ST, Commodore Amiga, Color Computer, and Apple Macintosh personal computers. The PowerPC family was developed with IBM and in a partnership with Apple (known as the AIM alliance). Motorola also has a diverse line of communication products, including satellite systems, digital cable boxes and modems. v In 1986, Motorola invented the Six Sigma quality improvement process. This became a global standard. In 1990, General Instrument Corporation, which was later acquired by Motorola, proposed the first all-digital HDTV standard. In the same year, the company introduced the Bravo numeric pager which became the world's best-selling pager. v In 1991, Mot orola demonstrated the world's first working-prototype digital cellular system and phones using GSM standard in Hanover, Germany. In 1994, Motorola introduced the world's first commercial digital radio system that combined paging, data and cellular communications and voice dispatch in a single radio network and handset. In 1995 Motorola introduced the world's first two-way pager which allowed users to receive text messages and e-mail and reply with a standard response. In 1998, Motorola was overtaken by Nokia as the world's biggest seller of mobile phone handsets. 541

v On September 15, 1999, Motorola announced it would buy General Instrument in an $11 billion stock swap. General Instrument had long been the No. 1 cable TV equipment provider, supplying cable operators with end-to-end hybrid fiber coax cable solutions. This meant that GI offers all cable TV transmission network components from the head end to the fiber optic transmission nodes to the cable set-top boxes, now at the availability of Motorola. v In June 2000, Motorola and Cisco supplied the world's first commercial GPRS cellular network to BT Cellnet in the United Kingdom. The world's first GPRS cell phone was also developed by Motorola. In 2002, Motorola introduced the world's first wireless cable modem gateway which combined a high-speed cable modem router with an ethernet switch and wireless home gateway. In 2003, Motorola introduced the world's first handset to combine a Linux operating system and Java technology with "full PDA functionality". In June 2006, Motorola acquired the world -class software platform (AJAR) developed by the British company TTP Communications plc. v In 2006, the firm announced a music subscription service named iRadio . The technology came after a break in a partnership with Apple Computer (which in 2005 had produced an iTunes compatible cell phone ROKR E1, and most recently, mid 2007, its own iPhone). iRadio has many similarities with existing satellite radio services (such as Sirius and XM Radio) by offering live streams of commercial free music content. Unlike satellite services, h owever, iRadio content will be downloaded via a broadband internet connection. As of 2008, iRadio has not been commercially released and no further information is available. v In 2007, Motorola acquired Symbol Technologies, Inc. to provide products and systems for enterprise mobility solutions, including rugged mobile computing, advanced data capture and radio frequency identification (RFID). v Motorola creates numerous products for use by the government, public safety officials, business installments, and the general public. These products include cell phones, laptops, computer processors, and radio communication devices. The Motorola RAZR line has sold over 120 million units bringing the company to the number two mobile phone slot in 2005.


v Since the 1950s, used Motorola radio equipment has been popular with amateur radio ("ham") operators. Known as "Ma Batwings," Motorola has provided little to no support to hobbyists, who keep using these, radios for years or even decades after they were taken out of production.


Enterprise Mobility Solutions: Headquarters located in Schaumburg, Illinois;
comprises communications offered to government and public safety sectors and enterprise mobility business. Motorola develops analog and digital two-way radio, voice and data communications products and systems, mobile computing, advanced data capture, wireless infrastructure and RFID solutions to customers worldwide.


Home & Networks Mobility: Headquarters located in Arlington Heights,
Illinois; produces end-to-end systems that facilitate uninterrupted access to digital entertainment, information and communications services via wired and wireless mediums. Motorola develops digital video system solutions, interactive set-top devices, voice and data modems for digital subscriber line and cable networks, broadband access systems for cable and satellite television operators, and also wire line carriers and wireless service providers.


Mobile Devices: Headquarters located in Libertyville, Illinois ; currently the least
prosperous arm of the firm; designs wireless handsets, but also licenses much of its intellectual properties. This includes cellular and wireless systems and as well as integrated applications and Bluetooth accessories.

When customers choose us, they benefit from several Motorola strengths and advantages. We help them move to the promise of the wireless Internet faster. We help the m create smoother, more efficient deployment. And we help them reap the full benefits of 3G. Our total communic ations solutions provide operators with four primary benefits: rapid delivery of services; superior end-user experiences; orderly migration for existing operators;


and reduced costs of ownership. These value propositions are in direct response to operators and service providers need for a competitive advantage in the worldwide market. The strength behind these value propositions lies in the unique advantages that only Motorola brings.

GPRS Successes and CDMA Experience
Motorola was first to deliver a complete commercial, functioning GPRS system. Not Ericsson. Not Nokia. We’ve delivered GPRS in a complicated, multi-vendor environment, integrating wireless and data networks across multiple technologies, demonstrating our speed-to-market capabilities. We’ve also established ourselves as a world leader in CDMA technology. We’ve applying the expertise and experience we’ve accumulated to all of our 3G technology.

Synchronized Timelines For Product Availability
Were fine-tuning our 3G timelines, roadmaps and supplier contracts to ensure all components of our end-to-end solution are readily available when our customers need them. With our "One Motorola" focus, well be ready with everything our customers require, from a robust system platform to base stations to end-user devices. In addition, our solutions benefit new operators by enabling them to migrate directly to an all-IP network. APPLICATIONS AND SERVICES TO SUPPORT NEW BUSINESS MODELS The true promise of 3G for operators and service providers means moving beyond simply providing basic voice to data services, and exploring the revenue opportunities these data services bring. Motorola Aspira total communications solutions offer endless possibilities that can enable operators to move up the value chain. This allows them to become whatever they want to be to their own customers, resulting in a superior experience for the end-user. Our growing list of allied information and entertainment providers make operator entry into content-based services faster and easier.


Integration and IOT Experience
With decades of network deployment and interoperability testing experience to our credit, and as the prime contractor on some of the world most complex telecommunication projects, we have proven our ability to implement complex multi-vendor deployments. We will put this same experience to work in leading 3G implementation. We are a solutions partner with the proven integration experience to deliver a fully operational, commercial end-to-end system.

Non-MSC Legacy
We’ve never been dependent upon switch revenues and we can therefore focus more closely on delivering the benefits of an all-IP network. Our close working relationship with Cisco Systems has propelled us ahead in creating the world first-to-IP wireless network. This alliance brings together the best of IP and the best of mobility, setting the industry standard.

First to IP
Working in a strategic alliance with Cisco Systems, we are setting the industry standard by creating the world first -to-IP wireless network. Because this architecture is totally open and access-technology independent, it the better breed of network in the long run, that can reduce operator total cost of ownership. And for our operators, i a more direct path forward to new t revenue-generating opportunities.

The "One Motorola" Approach
Providing a complete 3G solution requires not only a breadth of expertise, but also reliability in ensuring all the components of a next-generation network a available and accessible re when our operators need them.


Alliances with Technology Leaders
Teaming with best-of-breed companies such as Cisco, Portal, GoAhead and others enable us to deliver our world-class end-to-end solutions effectively: for IP expert ise, IP billing solutions, and operational support solutions for a 3G world. We continue to form agreements with other recognised leaders to ensure we bring the most innovative solutions to our customers.

World Class Utran
Motorola UTRAN (UMTS Radio Access Network) provides numerous advantages for our customers using UMTS, including fourth-generation design, common platform, wideband data modem (WDM) capacity and trunked low -power amplifiers. This means that operators can enjoy the quick transfer speeds, reliability and flexibility they need to maximise technology promise.

Full "Turnkey" Services
Our total programme management package covers all aspects of our customers deployment, from site selection to systems engineering to installation and testing. This frees operators to concentrate on the pressing tasks of building markets, attracting customers and building their businesses, Motorola turnkey solutions provide the services and support needed for quick, seamless deployment.

Most of the Motorola’s products are not user friendly which keep many consumers away to purchase Motorola products. Its supply chain management is not very impressive. It is less penetrated it has not introduced a breakthrough product yet.


In some of the Motorola products found faults, which made people unhappy from Motorola’s products and affects its image as well. Motorola’s cellular products are going toward declining in sales and it is suffering as well. In Motorola company there is a low employee training and low education about its business. Brand awareness of Motorola is very low which also a reason of its low sales.

In addition to issues related to Supply Management, Manufacturing and Motorola Product, we are also addressing our internal business environment. This includes business applications, the desktop environment, end-user computing, networks, data centers, electronic commerce, business processes, and facilities. We have formed teams of business unit executive sponsors and representatives from all these business disciplines to proactively pursue solutions to assure no disruptions to our internal operating environment. Further, the influence of the Year 2000 Enterprise Council is extended by councils in the global regions of Europe, the Middle East and Africa (EMEA), Japan, North Asia and South Asia. Our goal is to ensure that critical business systems continue to function normally through the turn of the century; to continue providing Motorola customers the level of service they expect. We have secured the services of several world -class consulting organizations with the experience and knowledge to assist us in resolving Year 2000 issues with these systems. These partners, working with our internal Year 2000 teams, will address all issues, professionally, cost effectively, and to our customers’ complete satisfaction. It is our intent to have most internal systems Year 2000 issues resolved by 31 December 1998. Motorola has engaged all business units around the world, across all product segments, in all affected disciplines, to identify and address global Year 2000 issues. We are partnering with you, our customer, to take action well before the turn of the century to assure we are both positioned to make a successful


Since it first entered the competitive electronic firm market, Motorola has continued to remain successfully as a world leader in mobile communication technology, ranking as the leading maker of cellular telephones, paging devices, automotive semi-conductors, and microchips that are used to operate devices other than computers. Although it has lost a few battles, Motorola has taken on the Japanese head to head, through these times of Japanese competition. In the 1980s

Motorola controlled the emerging U.S, Market for cellular phones and pagers but they weren’t aggressively focused on competing with the Japanese, even though Japanese firms began to flood the U.S. market with low-priced, high-quality telephones and pagers, leaving Motorola pushed into the background. This is when Motorola heard the call to battle. Managers at first were not sure how they should respond, so they originally decided to abandon some business areas and even considered merging their own semiconductor operations with those of Toshiba. After a lot of searching they decided to fight back and regain the firm’s lost market position. This fight involved two main strategies: First learn from the Japanese, and then compete with them. To carry out these strategies, Motorola executives decided to set a number of broad based goals that essentially committed the firm to lowering costs, improving quality, and regaining lost market share. Managers were then sent out on missions, mainly focused on Japan, to learn how to compete better. Some manager even observed Motorola’s own Japanese operations to learn and understand how it fully functioned; while others focused more on how other successful Japanese firms operated. At the same time, the firm also drastically boosted its budget, R&D, and employee training worldwide. One important thing that executives learned from their trip to Japan after viewing a flag flying outside one of its plants was that they had altogether forgotten their old ways of doing business and this is the exact point where they decided to reinvent their firm from top to bottom. Old plants were closed as new ones were built. Workers received new training with a wide range of quality-enhancement techniques. They decided to place their new commitment


to quality at the forefront of everything it did. They even decided to announced their goal of achieving a perfection rate of 99.9997% (Six Sigma), and when they actually achieved this level of quality they received the Malcolm Baldrige National Quality Award. Motorola has been continuously successful especially abroad in Japan. The firm has 20 offices and has more than 3,000 employees there. It is currently number three in market share there both in pagers and cellular telephones but is steadily approaching number two. Worldwide, Motorola controls 45% of the total market for these products, have regained its number two position in semiconductor sales, and are furiously launching as many new productions that seem to baffle its competitors. Today Motorola generates more than 56% of its revenues abroad. Major new initiatives are underway in Asia, Latin America, and Eastern Europe and the firm has currently made headway in Western Europe against rivals Philips and Thomsom. Motorola has set new and staggering goals for itself. It wishes to take quality to the point where defects will be measured related to billions rather millions. It wants to cut its cycle time tenfold every ten years. And by this year, Motorola wanted over 75% of its revenues to come from foreign markets. Even though Motorola has established and proven itself as a successful company, they have their strengths and weaknesses like every other company. What threatens Motorola the most is how Japanese Competitors have flooded the market with low- prices high quality products. Motorola also has trade problems that include the fact that it is hard to penetrate Japanese markets; Japan has also been allowed to enter U.S. markets with few barriers. The U.S. government has also done very little to try and stop Japanese competitors and help the U.S. companies. Japan also has high standards for quality, efficiency, cost and customer relations. Motorola has also been faced with the fact the market share for pagers and cellular phones has declined. U.S. businesses including Motorola ha ve also been under siege by foreign competitors. Just as Motorola has its strengths and weaknesses it also has its share of problems that include the threats that I mentioned above. They are faced with competition in the Vietnam Market from L G information Communications along with Information & Technology agreed to jointly develop equipment for wireless phone services using code division multiple access technology and fiber optic cables.


An organization’s culture is comprised of the set of values, beliefs, assumptions, principles, myths, legends and norms that define how people actually think, decide and perform. It is a basic set of assumptions that defines for us what we pay attention to, what things mean, and how to react emotionally to what is going on, and what actions to take in various kinds of situations (1992). Motorola is focusing on customer satisfaction by attempting to reduce mistakes in its products at the same time do its work faster. To achieve this, Motorola established a standard measure of quality by the number of defects found per unit. Each quarter, it reviews each division’s level of quality in relation to its quality goals. If the division does not meet the goals, the reviews are done monthly; if the goals have still not been met, the reviews are done weekly (1992). In the early 1990s, Motorola was re