Case overview:
Change in the business from local to global prospect provided for great opportunity to grow and at the same time brought in more challenges in the organizational structure of the companies. This case provides for a detailed discussion about various challenges present in developing a global integration. There are various forces that narrated about the reasons for IBM’s decision to become a globally integrated enterprise (Kanter, 2009). Various requirements enabled in developing the required skills for global leaders. For developing a new integration process, more detailed analysis about the issues associated with the employees, organization directly or indirectly involved in IBM has to me made.
By analyzing the issues, it was determined that there is great difficulty in exporting all the requirements from US to other part of the world which made IBM to think about globalization. Currently the leadership of the company mainly focuses into innovation and leaders have broad spectrum to think globally. As mentioned earlier in global market regulations were unfavorable for the company because of various issues like political tension which required for more integration, collaboration, and building relationship and to be more flexible. Management of the global operations was mainly done by flying to other places and Palmisano was focused only in relationship building. On the other hand, John Iwata was concerned in dealing with the national competition and political leaders of the country (Kanter, 2009). Understanding about the requirements and changing according to the requirements enabled them to become a globally integrated company. People were sent to the respective places as and when issue arises. The main objective i...
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...m http://www.aub.edu.lb/fm/fao/fd/Documents/cltrlIntgnc.pdf
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Since the time when computers began to become an everyday item, we have seen a leader emerge. Microsoft Corporation has over the ages proved through technological advances and new innovations that it is a leader among computers and new upcoming technologies. Microsoft offers a variety of products some of which include operating systems for laptops and desktops, cell phones and gaming consoles. They also offer services that help us with everyday questions and tasks such as Microsoft Office, which most people use in their daily life to write reports, make presentations and keep track of accounts. They have a search engine called Bing, which is a rival to Google and an instant messaging device, Windows Live. Microsoft with its vast categories of services and products has a market value of 215.44 billion dollars falling behind Apple inc. who has a staggering 306.23 billion dollars which leads the market. Market capitalization is the total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying a company's shares outstanding by the current market price of one share. The investment community uses this figure to determining a company's size, as opposed to sales or total asset figures. The annual revenue for Microsoft in 2010 reached a record of $62.5 billion, an increase of 7 percent compared with the previous fiscal year. The number of employees employed at Microsoft as of 2010 was 89,000. Google who is a well know competitor has 24,400 employees and Apple who employs 49,400 employees.
Cavusgil, S. T., Knight G. and Rosenberger J.R. (2012), International business: the new realities. Pearson: Prentice Hall
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General Motors is knocking on the door to world class business performance. Ohmae’s five stages of global operation support General Motors aspirations. From stage one to stage five there are significant differences to becoming a global organization. For instance, stage one, states that a company supports arm’s length customer export activity by a domestic company that links up with local and distributors to function. This stage represents the entry level global corporation. General Motors is at stage 4 of Ohmae’s five stages of becoming a global corporation, because it has exemplified the following traits: Systems and tools used globally not just at headquarters, R&D, Engineering and other business operations have a global focus, and all support functions are applied globally. (MFGO 601, WK. #2 Lecture Notes) An example of Ohmae’s, stage ...
Written Case Analysis IBM Salient Case Facts at a Glance: John Akers became the CEO of IBM in 1985. By this time, IBM had registered a drop in earnings for the first time. This trend continued, creating various other problems till John Akers was forced to resign in 1993. IBM was perceived as a ruthless giant with tremendous growth.
Arthur Samuel Joseph, founder and chairman of the Vocal Awareness Institute, and a world expert on communication strategies is the author of Vocal Leadership: 7 Minutes a Day to Communication Mastery, an insightful and carefully-designed tool aimed at improving and cultivating leadership skills. A teacher and a mentor, Joseph focused his lifetime research on developing an unique and comprehensive communication style that is able to encompass different essential communication techniques such as body language, storytelling, or verbal and nonverbal expression. The book teaches communication mastery using a disciplined program of interdependent steps which can bring the speaker closer to the audience in an intelligent and effective way.
Facial expressions, body language and tone of voice are a few nonverbal cues that characterize about 55% of nonverbal communication (Quintanilla & Wahl, 2014). People are visual in society, and tend to believe what is seen over what is voiced verbally. During a meeting, someone would use a firm handshake, dress properly, and show a satisfying behavior to an employer or future clients. Another effective communication is when a manager can express empathy by using gestures such as a smile, a look, body placement, and hand movement during an evaluation. Using the KEYS strategies for nonverbal cues can have a positive effect on demonstrative communication (Quintanilla & Wahl, 2014). The four KEYS consist of: know yourself, evaluate the professional context, your communication interaction occurs, and step back and reflect. Strategy one is to know yourself by the awareness of your nonverbal cues which is unconsciously created because a person may be unaware of their worst nonverbal cues at the time of conversation. The next approach, evaluate the professional perspective, expects a person to measure the nonverbal signals suitab...
The world has grown increasingly complex, resulting from the greater interdependence among world economies (Thompson, 2002). Successful organization is largely determined by how well the organization adjusts all its tangible and intangible properties to keep itself on track with its surrounding (Armenakes & Bedeian, 1999). Strategy was concerned to manage firm’s activities and resources to the environment in which it operates. This essay will analyse the micro and macro external environment in the part five years (2000 to 2006) of IBM Company by using PESTEL and five forces model to analyse in the first part. The second part will discuss about the advantages and disadvantages of the two possible alternative strategies for IBM.
Global segment include relevant new global markets, existing market that are changing, important international political events, and critical cultural and institutional characteristic of global market. When company entering the global, it automatically can increasing number of people believe or consumer in the multiple nation and this si...
In recent decades, the process of globalization has accelerated and the world economy has become increasingly interdependent. The rise in the number of businesses that extensively operate in more than one foreign country, which is known as multinational corporations, plays an important role in the ongoing procedure of globalization. The United Nations has reported that multinational corporations hold one-third of world’s productive assets and control 70 percent of world trade (Schermerhorn et al., 2014). As there is a considerable growth in international businesses, worldwide economy is becoming more highly competitive. The global economy not only offers great opportunities for multinational enterprises but also on the other hand, creates many difficulties for them. Therefore, success in the large-scale economy requires a number of elements. One of the major determinants is dependent on global managers. In the operation of organizations, managers may encounter different international management challenges that restrict their business development. These challenges often include issues associated with the host countries, the global workforce diversity management, management across cultures, difficulties in competitive global business environment as well as in the process of global planning and controlling. This essay is going to discuss the above international management challenges in a broad sense and giving illustration in aspects of each challenge.
Svensson, G., 2001. 'Globalization' of Business Activities: A 'Global Strategy' Approach, Management Decision, 39(1), pp.6-18.
With the proliferation of the internet international Business transactions are more common today than ever. Globalization is now a key factor when creating a business strategy for most companies whether they are small family own businesses or huge corporations. Globalization however does not just involve selling a product in other countries. There are legal and cultural concerns that must be addressed. The legal aspects are fairly simple because in most places the laws are spelled out. It's the local customs, and regional way of doing things that can be tricky. Research on globalization has shown that it is not an omnipotent, unidirectional force leveling everything in its path. Because a global culture does not exist, any search for it would be futile. It is more fruitful to instead focus on particular aspects of life that are indeed affected by the globalizing process. (1). In this new economy, as it has been in the past, it will be the people not the machines who will determine a company's success. Having an effective Human Resource Management team that effectively analyze your company's current and future personnel needs is key in any business organization.
The paper focuses on the increased complexity of globalized organizations and methods of altering the process within the structure. Business and environment change constantly to sustain development in emerging markets and increase efficiency. Integration of relationships and processes of the world systems, help to manage local, regional and planetary balance to manage duplication of success become conceivable. The retail giant Wal-Mart exhibits its ability to transform the organization asynchronously with the increase integration of globalization.’ Wal-Mart unveils the type of integration possible between globalization, and business services as it adapts, eliminating redundancies and repetitive movement. It observes the effect and influence, propagated on business through it use of supply chains, and influence.
As a conclusion international business best described as a Globalization. A globalizing business sector advertises viability through rivalry and the division of the work it permits individuals and economies to keep tabs on what they specialize in. It also allows people to go globally. Globalization has stretched the assets, items, administrations and markets accessible to individuals. The increasing set of reliant connections around individuals from distinctive parts of a world that happens to be separated into countries
Nowadays, business is set in a global environment. Companies not only regard their locations or primary market bases, but also consider the rest of the world. In this context, more and more companies start to run multinational business in various parts of the world. In this essay, companies which run multinational business are to be characterized as multinational companies'. By following the globalization campaign, multinational companies' supply chains can be enriched, high costs work force can be transformed and potential markets can be expanded. Consequentially, competitive advantages of companies can be strengthened in a global market. Otherwise, some problems are met in the changed environments in foreign countries at the same time. The changed environments can be divided into four main aspects, namely, cultural environment, legal environment, economic environment and political system problems. All the changed environments make problems to multinational companies. In particular, problems which are caused by changed culture environment are the most serious aspect of running a multinational business. This essay will discuss these problems and give some suggestions to solve them.