Performance at Precision Essay - 630 Words

Performance at Precision/Case Study #1 Jackson Smith has his work cut out for him in his task to implement a merit pay program that would tie to Precision’s performance appraisal process. According to Martocchio, a merit pay program assumes that employee’s compensation over time should be determined by differences in job performance. In other words, employees earn permanent merit increases based on their performance. The overarching challenge to overcome is that merit pay is considered an entitlement by the employees at Precision since everyone has received the same percentage increase across the board regardless of performance. Jackson is likely to experience strong resistance to the change, especially by those who are low†¦show more content†¦To be able to support a merit pay program, it must be perceived by employees as fair, competitive in the market, motivating and easy to understand. Therefore, Jackson should begin by creating a comprehensive communication plan outlining the business rationale and implementation timeline for the new pay structure. This should be communicated to the employees by the President/CEO of the organization. Additionally, a comprehensive training program will need to be created or outsourced for the supervisors on how to manage the performance appraisal process. Jackson essentially needs to start from the beginning in terms of developing job descriptions for each differing role within the organization. To do this, he will begin by performing a job analysis for each role with the outcome being a description to include a summary of the job tasks, essential responsibilities as well as the knowledge, skills and abilities needed to perform the job. He then needs to conduct a job evaluation to judge the relative worth of the jobs at Precision. This will determine the internal structure and hierarchical ranking of jobs. This process helps to ensure that pay is internally aligned. Precision also needs to make the decision where they want to be as it relates to the marketplace. In other words, do they want to be a leader or pay at a mid-point range or lower? Part of this process will be toShow MoreRelatedPerformance Management At Precision Engineering1451 Words   |  6 PagesPerformance Management in Action Performance management (PM) has been a part of organizations for many decades and primarily understood as a fundamental function of the Human Resources (HR) department no matter what the size or industry of the business. However, more recently performance management has shifted to being a competitive strategic advantage for organizations wishing to become high performing and overall successful. 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The Production Of The Sinclair Refinery Site - 1801 Words

1. Site Description and History The Sinclair Refinery Site is a 100-acre refinery, adjacent to the west bank of the Genesee River, and about one-quarter mile south of downtown Wellsville, New York. The refinery was built in the late 1800 s and operated by the Wellsville Refining Company until 1919 when the Sinclair Refining Company (now the Atlantic Richfield Company, or ARCO) purchased the property and operated the refinery until a fire ended the operations in 1958. The refinery was finally closed in 1963. After the closure, a majority of the property was transferred to the Village of Wellsville, which subsequently conveyed land parcels to various entities. Now approximately 6,000 people live within a mile of the landfill; several businesses and the State University of New York at Alfred s Wellsville Campus are located on the refinery portion of the Sinclair property; and approximately 500 people use the buildings located on this part of the site. Throughout the operation and dismantling of the refinery, various types of wastes including cloth filters, fuller s earth, oil sludge, contaminated soil, pesticides, heavy metals, and fly ash were generated and disposed of in two on-site landfills adjacent to the Genesee River over a 30-year period. The landfill area of the site consisted of a 9-acre Central Elevated Landfill Area, a 2-acre South Landfill Area, and a 1-acre sand and gravel area between the two landfills. The landfill area was located at the very southern end ofShow MoreRelatedLegt2751 Notes for Midsem2002 Words   |  9 Pagesordinary income: Income from personal exertion, Income from business, Income from property. Capital: Does not have the character of income: Different approaches * Process/Structure (Dixon’s criteria from Sun Newspapers – Amount paid to limit production of rival) - Distinction between business structure set up to earn income and process by which income is earned. Receipts relating to the loss or destruction of profit-making structure will be capital. Amounts made in loss of the profit/making structure

Southwest’s Competititve Advantage Free Essays

STRATEGY IMPLEMENTATION AND MEASUREMENT METRICS ASSIGNMENT-1 SOUTHWEST AIRLINES CASE STUDY QUESTIONS 1. How does Southwest Airlines get its competitive advantage? 2. How does Southwest Airlines execute its strategy? 1. We will write a custom essay sample on Southwest’s Competititve Advantage or any similar topic only for you Order Now How does Southwest Airlines get its competitive advantage? Southwest Airlines uses a Cost Leadership Strategy, however most pricing strategists would agree that having a low price does not, in itself, constitute a competitive advantage. In fact, thinking that low prices are always a good strategy for competition is deeply misguided. However, at times, targeting low prices can lead to a strategic focus which delivers tremendous results. Modern competitive strategy will often examine firms from a resource-based view. According to this lens, competitive advantage derives from leveraging an inimitable resource to deliver value at a lower cost than the competitors. Price is a completely imitable resource. Any company can match the prices of its competitor if it so chooses. Hence, arguing that a low price is a strategic resource, or that it leads to a competitive advantage in and of itself, is illogical. Southwest Airlines has used the target pricing and utilized a marketing orientation since its infancy in 1971, even though these concepts were not fully defined back then. First, starting with the customers and the value they sought, Southwest Airlines initial target was customers traveling between cities in Texas, specifically between Dallas and Houston, Dallas and San Antonio, San Antonio and Houston. While Texas is larger than many countries, it isn’t so large that people can’t drive from city to city. Hence initially, the most comparable alternative to Southwest, and therefore its prime competition, wasn’t other airlines. Instead, it was the car. In uncovering the car as the competing alternative, Southwest was able to also identify the target price of its offering. Second, to compete with the car, Southwest Airlines had to price their service relatively similar to the cost of car travel. With this target in mind, they chose $20. While $20 is lower than the government allowable tax deduction for travel, it is also significantly higher than the price of gas alone to drive between these cities. Thus, at this $20 price, Southwest Airlines could be confident that it would capture many of the travelers that would have driven and convert them into short-hop air travelers. Third, the product was redefined to serve customers at this low price profitably. Consider what was removed from air travel and what was included instead. The table below enumerates the key points Points 1 Removed Reduced reservations flexibility: Reservations primarily made directly Southwest Airlines as they eschewed working with travel agents. No connections between airlines: Southwest Airlines would not transfer baggage between flights. Included or Added Simplicity in Pricing: Flat rate of $20 per leg of the journey. Also reduced the cost of price management, as no yield management system was needed initially. Higher convenience in terms of on-time arrivals: With a simplified fight route between lesser used airports, Southwest was able to operate more reliably. Higher convenience in flight frequency: With point to point flights, Southwest could offer service between Houston and Dallas with the same plane roughly every 2. hours. 2 3 No long-haul flights: Southwest Airlines customers could only take Southwest between a city-pair, not across the country or even across state lines initially. This greatly reduced cost of compliance with CAB rulings, as Southwest’s operations were not subject to interstate commerce rulings. 4 No in-flight meals: Southwest Airlines only offered peanuts and beverages. Fun: Friendly flight attendants provided jokes, costumes, and made flying comfortable with warm and caring service. Faster boarding times leading to faster flight turnarounds. More seats: With one class of service, Southwest Airlines could put 137 seats in a 737 versus 128 in a United Airlines 737. 5 6 No seat assignments: First come, first seated. No first class: One-class service. 7 Does not fly into major airports: or uses Use of underutilized airports that are less major airports concentrates on point close to metropolitan cities: reduced to point connections costs, punctuality Use of multiple aircraft types Frequent flyer program does not use miles earned Uses fuel efficient 737s: reduces maintenance and training costs Based on number of trips flown: reduced operating costs 9 From this list, we see a number of items which an airline would usually use to define superior value removed from Southwest Airlines offer. A Southwest customer couldn’t be treated to first class, couldn’t get food, couldn’t book them as part of a larger trip, couldn’t book with them through an agent, and couldn’t even preselect their seat. All of these features were exactly what defined a competitive airline at the time. And, all of these features added cost. Instead, Southwest Airlines selected a specific target customer — a Texan traveling between cities in Texas — and then determined what it would take to satisfy that customer. ? ? ? That customer was far more interested in travel efficiency than travel class. That customer would be glad to forgo a meal, especially in exchange for a friendly flight attendant and a Dr. Pepper. That customer was trading off driving for flying, and needed flexibility in booking rather than navigating through the decisions and planning related to yield management. This service described does not meet the wants of every customer that could have flown Southwest Airlines, but it does describe those of the target customer. And, given the choice of mediocrely satisfying everyone at a high cost or highly satisfying a select few at a low but profitable price, Southwest Airlines rightly chose the latter. As a result of tightly defining the value sought by customers (efficient and flexible travel), and the price ($20), Southwest was able to meet the needs and surpass the expectations of their target customer. Moreover, it was able to do this at a significantly lower cost than a standard airline. So can low prices deliver a competitive advantage? NO, not alone. But target pricing, where the price and benefits demanded by customer leads to a strategic focus that drives a redefinition of the product and service, can deliver a winning competitive advantage. One where a customer need is met at a cost below the price the target market is willing to pay. BALANCED SCORECARD FOR SWA 2. How does Southwest Airlines execute its strategy? Southwest Airlines is probably one of the most striking examples of a company that (a) Defined a very clear and simple key business purpose, (b) Chose the right business model to support the business purpose, and (c) Consistently demonstrates the core values and behaviors derived from that key business purpose. The brand promise of Southwest Airlines is: ‘Dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit’. Every single employee of the company is aligned with this brand promise and in spite of the current economic turmoil in the airline industrySouthwest’s performance isamong the best in the industry. Staff morale is exceptionally high. In 1971, Rollin King and Herb Kelleher started an airline service with one simple notion: â€Å"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†. Southwest currently has the lowest operating-cost structure in the US domestic airline industry and consistently offers the lowest and most of all simplest fares. Southwest holds the best cumulative customer satisfaction record for the past 18 years. In December 2008, the airline had 35,499 employees and generated total operating revenues of $11 billion (2007 = $ 9. 8 billion, 2001 = $ 5. 3 billion) from a passenger load factor of 71. 2% with a fleet of 537 Boeing 737’s. Its stock exchange symbol is ‘LUV’, representing Southwest’s home at Dallas Love Field, as well as the theme of its employee and customer relationships. The major success to their continued success seems due to their low-cost model and competitors being aware that they cannot match Southwest Airlines’ low prices. Southwest Airlines has the reputation of being able to force a competitor into bankruptcy. It is believed, however, that it was not just the choice of its business model that made Southwest Airlines such a successful company; it is the way they execute their business model through perfect strategic alignment. Southwest Airlines succeeded in defining a very simple yet clear key business purpose; the fact that they aim for being â€Å"the only short haul, low fare, high frequency, point-to-point carrier in America† leaves very little room for interpretation. What makes Southwest Airlines’ key business purpose such a powerful one however, is not just the very clear definition of their ‘raison d’ etre’, but certainly also what the company and its leaders do with it. Their simple but effective key business purpose is the main guiding principle for Southwest Airlines’ strategic goals, business strategy, organizational infrastructure, and last – but certainly not least – their company culture. The organization of Southwest Airlines is best described as an upside-down pyramid – an organization very much in line with the way they want to do business. The upper management is at the bottom and supports the front line employees, who are the experts. Front line employees play a major role in the yearly business planning and operational budget which for a great part is done bottom-up rather than top-down. This is the fruit of co-founder Herb Kelleher’s unorthodox leadership style, in which management decisions are made by everyone in the organization, not just the head executives. The company does not put much emphasis on structure; instead, employees are encouraged to think freely without constraints such as titles or official mandates. The reason for Southwest Airline’s success is due to their clear key business purpose and core values, and due to the way in hich they consistently execute their business model (a combination of ‘disruptive innovation’ and ‘customer intimacy’) in line with their key business purpose and core values. ? ? ? The Southwest Airlines fleet consists solely of Boeing 737s It offers only economy seats (there is no business or first class). Southwest Airlines also do not offer in-flight meals, only peanuts and other snacks. Southwest is simple and direct at the goal of their service; â€Å"A primarily short-haul airline that flies directly from city to city, with just one type of plane – the Boeing 737 – and the lowest costs†. With a simple goal, Southwest has excised many of the ‘luxuries’ that competitors offer, such as luxury seats; this is made evident by their decision to enforce a rule for passengers who cannot fit into the seats to purchase an additional seat. This rather unpopular move – whereas other airlines would have suggested a more luxury class seat – is simple in its purpose – get passengers from point A to point B with a minimum of frills, but with a friendly smile and great personal service. While Southwest Airlines offer no frills, they do meet and exceed customer expectations when it comes to personal service. They base their model on the motto â€Å"If employees are happy, satisfied, dedicated, and energetic, they’ll take real good care of the customers. When the customers are happy, they come back. And that makes the shareholders happy†. Southwest invests in very good relations with all their employees. Employees are either of independent labor unions or have flexible contracts which allow employees to work longer hours (adapting the business model to the key business purpose) How to cite Southwest’s Competititve Advantage, Essay examples

Advertising Campaign for Pharmaceutical Company

Question: Write about theAdvertising Campaign for Pharmaceutical Company. Answer: Introduction The advertising campaign for the hemorrhoids medication entails a number of stages and considerations. In the first place, the marketing objectives for this particular campaign involve the followings: Raise the awareness of the hemorrhoids medication product within the clearly identified section of target patients. Communicate the advantages of the newly launched medication product (Parente and Strausbaugh-Hutchinson 2016). Create a market dominating sales force for the product. Solicit the target customers through an unmediated response campaign. Influence the target customers to switch from other hemorrhoids medication product. Inform the patients and doctors about the availability of the product and persuading doctors to prescribe this (Moriarty et al. 2016). In order to fulfill these objectives, it is very important to communicate the message to the sufferers in a well-strategized way. The strategies of communication include: Make the benefits of the medication product clear to the sufferers and make them understand in what way the product can cause extra relief to them. It is advisable to use plain and vivid language to the patients eliminating excessive medical terms. Keep the benefit list short so that the patients can remember them easily (Drewniany and Jewler 2013). Communicate with the doctors through professionals making them understanding the detailed medical benefits of the product. Emphasize in what way the product is a unique heal for the sufferers to persuade them. cNow, for the hemorrhoids medication product, the target customers would be those who are under treatment for prolonged constipation and chronic diarrhea in various clinics and hospitals. The patients who are contemplating to go for surgery or use topical medication can also be pointed out as target customers for this product. The communication strategy is to be planned and the aim of the advertising campaign is to rightly communicate the messages to the target customers. In the first place, the sources of patients research for medical products are to be understood. In this context, the survey shows that almost 32 percent of the patients use television advertisement for research whereas the others still rely on offline media like magazine and newspapers (Liberali 2014). Apart from the offline media communication strategy, advertising through blogs and websites is also a feasible option for medical product marketing. The number of patients who are becoming dependable on web to find health and medical-related information is ever increasing is ever increasing. The advertisers for the hemorrhoids medication product, therefore, have to build strong keyword based website pages and articles providing proper information about the product. Apart from this, the content marketing in pharmaceutical industries is of gr eat importance as the content captures the patients attention and successfully triggers them to take up the new medical product in the market (Fulgoni and Lipsman 2014). It is to be also understood that the targeted audience for medical products include the doctors too and therefore, through professional medical representatives and repetitive referral to doctors seminars about the product will help to increase the product awareness among the target audience. Raising the product awareness also includes choosing the appropriate media vehicle for the particular company. Several factors contribute in choosing the media vehicle and they are: Prime advertising objectives of the pharmaceutical firm should be considered and those media accomplished to meet the expectations should be chosen (Zenetti et al. 2014). Media cost also matter and therefore, the financial position of the company will decide for which advertising space it would like to buy. Choosing the appropriate advertising media vehicle will also depend on the reach and exposure of the selected media. The organizations advertising policy also determines the media vehicle at times (Ansari and Riasi 2016). Buyers classified through target market segmentation also tend to identify the media vehicle and the areas of interest under which the sufferers are likely to become influenced. While choosing the media vehicle for the hemorrhoids medication product, the company has also to think about the frequency of the advertising the vehicle offers. The credibility of the media vehicle should also be judged and expert opinion can be taken for final decision-making. Now, deciding advertising position is also an integral part of the advertising campaign. For the specific hemorrhoids medication product, it is better to go for TV advertising as repetitive advertisement of a new product creates a sense of conviction among the customers. The advertisement should be repeated every day (Crane and Matten 2016). For the initial three months, the advertisement should be telecasted at prime time, in the later months the position of the advertisement can be changed and the frequency can be reduced as well. In this context, it is also necessary to prepare a planned budget, which, for the hemorrhoids medication product is as follows: Local Television Cost per month I) In the initial three months AUD 9000 II) In the later six months AUD 5000 Internet Advertising AUD 5000 Print Media Advertizing AUD 8000 Social Media Advertising AUD 2000 Public Relations AUD 12000 Total Budget AUD 41000 While talking about advertisement positions, it is essentially important to buy the right advertising slot for the product newly launched. In the rapid age of competition, where so many products are being launched every day, if the appropriate advertising position cannot be acquired, the product will be failed to create its foundation in the market (Moriarty et al. 2014). Hence, the advertising position should be such that captures the target customers attention. For instance, in television advertising the pharmaceutical company should acquire the slot in the prime time or in the print media advertising the advertiser must book slot on the cover page preferably in the right hand pages and the at the top, above the fold. In the advertisement positioning, some factors are to be considered. In the TV advertisement, the advertisement positioning depends on the frequency and timing of the ads. The radio ads follow almost the same criteria whereas in the print media advertising the positioning of the ad in pages including the page number and the size of the ad comes into consideration. However, for the social media advertising stress is given more on keyword based contents. The factors that are to be discussed with the media people include the cost of advertising in the first place. Indeed, the cost of television and print ads is rapidly going up having a toll on the companys overall profit. Apart from the cost, the frequency and the position of the advertisements are also to be negotiated with the media persons. The company also has to discuss that the right message of the brand is conveyed through the advertisement (Zenetti et al. 2014). While talking about the legal and ethical considerations during the making of final media contract, there are several to consider: The legal considerations being: The advertisement must not contain any fraudulent of false statement. The company should not fail to disclose any fact that the third party should know (Schenker, Arnold and London 2014). The ethical considerations being: Whether an assenting false impression is made. Whether the company is obliged to disclose something (Crane and Matten 2016) What the logical prospect of the third parties are. To observe whether the advertising campaign is going in the right direction, the pharmaceutical company will have to monitor certain things. The ways to monitor the advertising campaign include utilizing the funnel report in order to track the effectiveness of the campaign. Besides, for the social media marketing utilization of the channels to identify conversions is useful. Tracking the retail traffic by counting the customers buying the product from the medical stores is also a way to monitor advertising campaign. However, the things that the advertiser should take into account while monitoring the advertising campaign are the increase in sales before and during the advertising campaign. Besides, how the customers are responding to the advertisement is also to be noticed (Drewniany and Jewler 2013). The legal issues to be taken into account when monitoring the advertising campaign are: Whether the advertisement is running on the promised position in the television or is printed in the position bought. Whether the advertisement is violating any clause of the media contract is also to be considered (Schenker, Arnold and London 2014) The ethical issues to be taken into account are: Whether the advertisement is causing objection to any particular section of society (Crane and Matten 2016) The success of the advertisement campaign is however, a much-debated conclusion to settle on although there are some factors that can measure success. The primary thing to be observed is the sales increase of the hemorrhoids medication product after the advertisement campaign. Besides, the success of the campaign will also depend on to what extent the advertisement has been successful to create the brand image for the product in the market and that how preferable it has become for the sufferers. References Ansari, A. and Riasi, A., 2016. An investigation of factors affecting brand advertising success and effectiveness.International Business Research,9(4), p.20. Crane, A. and Matten, D., 2016.Business ethics: Managing corporate citizenship and sustainability in the age of globalization. Oxford University Press. Dodge, A. ed., 2015.Public relations: Strategies and tactics. New York, NY: Pearson. Drewniany, B.L. and Jewler, A.J., 2013.Creative strategy in advertising. Cengage Learning. Fulgoni, G. and Lipsman, A., 2014. Numbers, please: Digital game changers: How social media will help usher in the era of mobile and multi-platform campaign-effectiveness measurement.Journal of Advertising Research,54(1), pp.11-16. Liberali, G., 2014. Morphing advertising to improve online campaign success.RSM Discovery-Management Knowledge,20(4), pp.12-14. Moriarty, S., Mitchell, N.D., Wells, W.D., Crawford, R., Brennan, L. and Spence-Stone, R., 2014.Advertising: Principles and practice. Pearson Australia. Parente, D. and Strausbaugh-Hutchinson, K., 2014.Advertising campaign strategy: A guide to marketing communication plans. Cengage Learning. Schenker, Y., Arnold, R.M. and London, A.J., 2014. The ethics of advertising for health care services.The American Journal of Bioethics,14(3), pp.34-43. Zenetti, G., Bijmolt, T.H., Leeflang, P.S. and Klapper, D., 2014. Search engine advertising effectiveness in a multimedia campaign.International Journal of Electronic Commerce,18(3), pp.7-38.