ManagementUpdate.info


Quote of the Day

“Management by objective works - if you know the objectives. Ninety percent of the time you don't.„

Peter Drucker

Outsourcing

Concept Briefing:

Outsourcing (or contracting out) is often defined as the delegation of non-core operations or jobs from internal production to an external entity (such as a subcontractor) that specializes in that operation. Outsourcing is a business decision that is often made to focus on core competences. A subset of the term "offshoring" also implies transferring jobs to another country, either by hiring local subcontractors or building a facility in an area where labor is cheap.



Need more information on Outsourcing?

Continue reading 28.01.2007. 00:30

Risk Management

Concept Briefing:

The process of measuring, or assessing risk and then developing strategies to manage the risk. In general, the strategies employed include transferring the risk to another party, avoiding the risk, reducing the negative effect of the risk, and accepting some or all of the consequences of a particular risk. Traditional risk management focuses on risks stemming from physical or legal causes (e.g. natural disasters or fires, accidents, death, and lawsuits). Financial risk management, on the other hand, focuses on risks that can be managed using traded financial instruments. Regardless of the type of risk management, all large corporations have risk management teams and small groups and corporations practice informal, if not formal, risk management.



Need more information on Risk Management?

Continue reading 20.01.2007. 01:40

Strategy

Johnson and Scholes, in their book: Exploring Corporate Strategy: Text and Cases Reviews, 2006 define strategy as follows:

"Strategy is the direction and scope of an organisation over the long-term: which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfil stakeholder expectations".

In other words, strategy is about:
  • Where is the business trying to get to in the long-term? (direction)
  • Which markets should a business compete in and what kind of activities are involved in such markets? (markets, scope)
  • How can the business perform better than the competition in those markets? (advantage)
  • What resources (skills, assets, finance, relationships, technical competence, facilities) are required in order to be able to compete? (resources)?
  • What external, environmental factors affect the businesses' ability to compete? (environment)
  • What are the values and expectations of those who have power in and around the business? (stakeholders)


Need more information on Strategy?

30.05.2011. 11:06

<< First < Previous [1 / 2] Next > Last >>