Cover Letter Example

2130 West 7380 South
West Jordan, UT 84084
August 25, 2009

Mr. Jerome Yuan
Director of Operations
ASAP International Holdings Inc.

Dear Mr. Yuan:

The internship opportunity offered to students at Utah State University (USU) is an excellent match to my field of study, experience, and career aspirations. I will receive my bachelor’s degrees this December in International Business and Economics, as well as an academic minor in Mandarin Chinese. Consequently, in addition to my business background, command of the Chinese language makes me an ideal candidate for your organization.

There have been many experiences, both in and out of the classroom, that have prepared me for just such an opportunity. For example, I had extensive opportunities to gain insight into Asian culture while living in Taiwan for two years. While in Taiwan, I was able to study the Mandarin language as well as learn to appreciate people with a wide variety of backgrounds and personalities. This cultural experience will be of great benefit to your firm. Additionally, I have also been able to participate in the Jon M. Huntsman School of Business Study Abroad Program to Asia this last June. Through my participation in this program, I was able to visit businesses in South Korea, China, and Vietnam. These visits were instrumental in gaining an increased understanding of international business practices. Consequently, I have been exposed to many diverse business markets and management styles. In addition to these experiences, my coursework at Utah State University (USU) has also prepared me to be an ideal candidate for this internship. I have participated in several marketing studies designed to successfully introduce American products in Chinese markets. Therefore, I am confident that I will be able to use my diverse experiences to benefit your company in the increasingly global business world.

The enclosed resume provides additional information regarding my qualifications for this position. I am very interested in continuing to expand my understanding of business in Asia, and I believe that this internship will be an excellent opportunity to do so. My level of interest for this position is only overshadowed by the level of contribution I believe I can provide to your organization.

I look forward to continued communication with you in this regard. I will contact you next week to schedule an interview for further discussion on this matter. Should you need to reach me, please feel free to contact me at (801) 864-4002 or at kyle.griffin@aggiemail.usu.edu.

Sincerely,


Kyle Griffin

Enclosure

Interview Follow Letter

2130 West 7380 South
West Jordan, UT 84084
August 25, 2009


Mr. Jerome Yuan
Director of Operations
ASAP International Holdings Inc.


Dear Mr. Yuan:

I greatly enjoyed meeting with you on the 12th to discuss the Hotel Management Internship offered by your corporation. I now feel even more confident that this internship is an ideal opportunity for me to gain experience in a successful global institution.
As we discussed internship requirements and your goals concerning the internship, I was impressed that many of my past experiences fit exactly into the framework we discussed for success. My education and international experiences have ideally positioned me to provide value to your corporation. I was also very excited to hear that, upon completion of the six month internship, full time employment opportunities are available to valued interns. I am confident that, given the chance, I will be able to fulfill all expectations required for this internship, as well as be a valuable long term employee.
Once again, I would like to thank you for taking time out of your busy schedule to meet with me and answer some of my questions. If I can provide any additional information regarding my qualifications for this position, please feel free to contact me at the (801) 864-4002 or at kyle.griffin@aggiemail.usu.edu.

Sincerely,

Kyle Griffin

Bad-news Letter

V Star International Inc.
1776 West Supernova Drive
Austin, Texas 43226
November 2, 2009


Mrs. Sarah Bankhead
10581 North Winslow Drive
Austin, Texas 43226


Dear Mrs. Bankhead:

Congratulations on your completion of the beginning accounting course at Austin Community College. Your willingness to undergo additional training through night courses is a fine example of your dedication to excellence.

V Star International is dedicated to providing excellent service and value to each and every customer. The best way to facilitate excellence is to employ excellent people. As a result, training in diverse skill sets is encouraged for all employees. In order to assist our employees in gaining this training, an incentive program has been established. Each of our employees that undergoes additional training and receives an A letter grade will receive a 100 percent reimbursement of the tuition paid for the training. If an employee receives a B, they will receive a 75 percent reimbursement. Receiving a C will result in a 50 percent reimbursement. All other grades will not receive reimbursement.

This incentive program has encouraged many of our valued employees to undergo additional training programs. Therefore, in accordance with this incentive program, 50 percent of your tuition will be reimbursed. Moreover, a check in the amount of $780 has been included with this letter.

Thank you for your dedication and effort. In addition, I would also like to congratulate you on the birth of your child. If you have any questions, feel free to contact me at (555) 555-555 or kyle.griffin@aggiemail.usu.edu. I look forward to seeing you again in a month.

Sincerely,




Kyle Griffin
Human Resource Director

Check enclosed

Resume

KYLE GRIFFIN 郭贵勤

· 2130 West 7380 South, West Jordan, Utah 84084 · 801.864.4002 ·Kyle.Griffin@aggiemail.usu.edu

OBJECTIVE: Obtain an internship with ASAP Hotel Management Corp.

SKILLS
· Proficient in Mandarin Chinese.
· Excellent reputation with customers as a competent, knowledgeable, and helpful professional.
· Honest, punctual, and reliable.

COURSE PROJECTS
· Performed Market Risk Analysis for companies looking to do business in Southern Asia.
· Provided marketing strategies and consultation for a local company looking to expand into China. Group Project.

EDUCATION
Dual BA International Business and Economics December 2009
Utah State University Jon M. Huntsman School of Business Logan, Utah
· Minor in Mandarin Chinese
· Cumulative GPA 3.92, Major GPA 4.0
Jon M. Huntsman Business Study Abroad Asia Program Summer 2009

EXPERIENCE
Service Assistant May 2008-August 2008
Huish Plaster & Stucco West Jordan, Utah
· Assisted in streamlining inventory supply to specialists.
· Expedited cleanliness and safety of workplace.
Technician May 2007-August 2007
APX Alarms Thousand Oaks, California
· Resolved customer concerns by assessing individual needs on service calls.
· Awarded office bonus for success in providing on-site upgrades to customers.
· Complimented frequently for superior work ethic and efficiency.
· Performed quality installation of security systems.
Research Assistant January 2007-May 2007
University of Utah Bio-Sensing Laboratory Salt Lake City, Utah
· Assisted in multiple experiments by observing and recording results according to scientific protocol.
· Operated in a team structure by assisting graduate students perform research.

VOLUNTEER EXPERIENCE
Full-time Service July 2004-August 2006
· Set and accomplished strategic goals daily. Taizhong, Taiwan
· Communicated, taught, and resolved concerns with individuals on a daily basis.
· Provided training on a weekly basis for 10-30 other volunteers.
Financial Clerk August 2008-May 2009
· Processed donations in accordance with standard accounting procedures. Logan, Utah
· Compiled budget reports for organization on a weekly basis.

HONORS/ACTIVITIES
Beta Gamma Sigma, International Business Honor Society, 2009
Recipient, Multiple Academic Scholarships, USU, 2007-2009
Dean’s List, John M. Huntsman School of Business, Fall & Spring 2007-2009
Recipient, 2 A-pin Awards (for academic excellence), USU, Fall & Spring 2007-2009
Eagle Scout, Boy Scouts of America, September 2003

Strategic Sourcing

This weeks topic: Strategic Sourcing
Ideas were taken from:
Getting Offshoring Right by Ravi Aron and Jitendra V. Singh
Strategic Supplier Segmentation: THE New “BESTPRACTICE”IN SUPPLYCHAIN byJeffrey H. Dyer, Dong Sung Cho, Wujin Chu
Strategic Sourcing: To Make or Not To Make by Ravi Venkatesan

As global competition has increased during the past decade, managers have been under tremendous pressure to improve supply chain management as a vehicle through which their organizations can create a competitive advantage. In order for organizations to achieve this advantage, managers must utilize strategic thinking and planning. Strategic thinking is a process that encompasses every aspect of a firm and is critical to increasing firm revenues and value to the end customer. In order to accomplish this, managers must establish a value hierarchy for their corporation. This hierarchy of value allows managers to think strategically about the importance of processes, supplier segmentation, and organizational structure. Systematic review of these core elements will provide key information necessary for managers to make strategic decisions and establish competitive advantage.
In order to create this hierarchy of value, it is imperative that managers have an in-depth knowledge of their company. They must be familiar with the critical nature of their processes in order to make informed decisions. Therefore, managers should establish a standard methodology for differentiating between these internal processes. For example, these processes can be separated into strategic and non-strategic subsystems. First, managers evaluate all internal processes in order to identify “core processes”, “critical processes”, and “commodity processes”. Core processes are classified as strategic in that they are indispensible to the company’s competitive position in the future. Critical and commodity processes are classifiable as non-strategic subsystems. Through differentiating these processes, organizations are able to focus precious resources in developing strategic “core proprietary processes” that can, and must, become the source of competitive advantage. Evaluation of processes provides strategic information, which enables strategic decisions.
The classification of processes as strategic or non-strategic is the foundation of an organization’s value hierarchy. Using this foundation, organizations are then able to make strategic decisions concerning the outsourcing of “non-core” processes. For example, by differentiating processes into strategic and non-strategic subsystems, organizations can choose to subcontract commodity (non-strategic) processes to suppliers better qualified to produce them, while at the same time focusing on core processes and components pivotal to product differentiation. Cummins Engine is an excellent example of an organization that used the value hierarchy to make strategic decisions.
In the 1980’s, Cummins was faced with the need to develop much more advanced piston designs to meet emissions legislation. The investment required to upgrade these processes internally would have been substantial. Moreover, there were several suppliers able to provide better technology at economies of scale. Regardless, Cummins believed that pistons were the very “guts” of their engine; therefore, they were wary about outsourcing this component. To solve this problem, managers at Cummins used the value hierarchy. “Through this objective, data-based analysis, managers at Cummins concluded that pistons were not a core competence. By seeking the most cost-effective source for pistons worldwide, Cummins could now focus organizational energy on building leadership in electronics, ceramics, and alternate fuels-emerging technologies that will shape tomorrow’s competition.” Using the value hierarchy to identify core processes has provided great benefits to Cummins by way of competitive advantage in these emerging technologies.
Another key component required for effective decision making is the ability to identify and manage risk. After using the value hierarchy, organizations looking to outsource commodity processes face operational and structural risks. The ability to make strategic decisions concerning these risks provides an additional competitive advantage to corporations. Operational risk comes from the fact that many service providers will make more errors and execute tasks more slowly than the company’s in-house employees do. This often results in lower customer satisfaction. Structural risk is the risk that service providers may not perform as per original expectations. However, these risks can be mitigated through the organization’s metrics and ability to codify work.
The ability to codify work will decrease operational risk. “When companies document the work that employees do, describe the different situations they face, and stipulate what employees’ responses should be in each scenario, people anywhere in the world can do the job for them. “ Additionally, effective use of metrics reduces structural risk. Only firms that set tolerance limits for error, draw up completion times and productivity norms, and continuously measure employees performance are able to effectively capitalize on outsourcing. “What an organization doesn’t measure, it can’t outsource well.” By analyzing both operational and structural risk, organizations are able to further differentiate processes into: opaque, transparent, codifiable, and non-codifiable processes. This provides more strategic information that managers can use to make effective strategic decisions concerning organizational form and location.
When organizations identify risks of potentially outsourcing a process, they must use strategic planning to decide what location and organizational structure will provide the most value. In the past, managers have had the false impression that outsourcing is an all-or-nothing endeavor. However, there are many options that provide different levels of security for the firm. For example, organizations can: offshore, outsource to service providers, purchase from local suppliers, or enter into joint ventures. With each of these organizational forms, organizations weigh the potential trade-off between internal control and quality with respect to scale economies and gains from specialization offered by suppliers. Through the strategic process of identifying risk, mitigating risk through use of metrics, and weighing all possible options based on this information, organizations can make “better” strategic decisions.
After organizations have a clear understanding of their core processes, inherent risks, and organizational structure; they must use strategic thinking to manage supplier relationships within that structure. In order to manage supplier relations, each supplier should be analyzed strategically to determine the extent to which the supplier’s products contribute to the core competencies and comparative advantage of the buying firm. Based on this information, organizations can use either an arm’s length or partner model to maximize value in their given industry. The arm’s length model is effective in that it minimizes dependence on suppliers and maximizes the bargaining power of the firm. The partner model exhibits better information sharing, coordination, and long term trust based relationships. While both of these models can be effective, firms must think more strategically about supplier management. There is not a one-size-fits-all approach to relationship management. “A company’s ability to strategically segment suppliers in a way as to realize the benefits of both the arm’s length and partner models provides the key to future competitive advantage in supply chain management.”
To achieve the advantages of the arm’s length and partner models, organizations need to manage each supplier relationship irrespective to others. Differentiating between groups of suppliers that provide strategic and non-strategic inputs is critical to managing relationships. For example, supplier that provides strategic inputs must be managed differently from independent suppliers. “Organizations should maintain high levels of communication with these strategic suppliers, provide managerial assistance, exchange personnel, make relation-specific investments, and make every effort to ensure that these suppliers have world-class capabilities.” The best example of effective supplier segmentation is Japanese Automakers. The Japanese utilize a mixture of partners and independent suppliers in order to maximize value and create economies of scale. Each supplier is managed in a way that provides the most value to the home firm.
Strategic thinking is a process that will lead to great success for organizations in the increasingly competitive global market. In order for organizations to gain the full benefits of strategic thinking they must first acquire strategic information. Strategic information comes from evaluation and differentiation of processes, risk management, and organizational form. Strategic information in these areas enables managers to make strategic decisions concerning outsourcing and supplier segmentation management. It is through implementation of strategic decisions that organizations establish competitive advantage and increase value. In order to ensure success, managers must utilize strategic thinking throughout every aspect of the organization.

Supply Chain Dynamics

No one can possibly achieve any real and lasting success or "get rich" in business by being a conformist. Based on class readings and discussions, explain how the above quote relates to the supply chain, and how the way a firm manages its supply chain can be used to differentiate itself from the competition/be a source of competitive advantage.

Harold Sirkin, a Senior Partner in the Boston Consulting Group, once said, “As the economy changes, as competition becomes more global, it’s no longer company vs. company but supply chain vs. supply chain.” Corporations must leverage their supply chains as they compete head-to-head in the business world. In order to have real and lasting success, corporations must leverage their supply chain to differentiate themselves from their competitors. Corporations must create “best value” supply chains, which focus on total value added to the customer. When corporations are content to simply conform to industry norms and the way competition does business, they will lose their ability to create value and have a sustainable competitive advantage. Therefore, it is becoming increasingly vital that corporations learn to leverage their core competencies, resources, and the know-how of suppliers to maximize value within their supply chains. This value comes directly by creating a supply chain that facilitates timely sharing of information, reduction in uncertainty, and flexibility.
It is the truth of business that customers and markets are dynamic; therefore, supply chains must also be dynamic to meet their varying demands and preferences. Strategies that were successful yesterday may not be successful tomorrow. As a result, corporations must create a flexible supply chain that reacts to the unpredictable market. Flexibility ensures that the supply chain strategy can support the business in the face of rising volatility. Regardless of industry, all corporations are faced with volatility and uncertainty. Therefore, corporations that are able to establish sustainable competitive advantage must be able to understand and reduce this uncertainty. True market leaders are differentiated from competition by their ability to respond quickly and cost efficiently to changes in both supply and demand. Flexibility can be achieved by promoting: the free flow of information with supplier and customers, the development of collaborative relationships with suppliers, and developing a dependable logistics system.
Seven-Eleven Japan (SEJ) is an example of how a company that builds its’ supply chain on agility, adaptability, and alignment stays ahead of its’ rivals. For example, SEJ has mastered the ability to assimilate market information and disseminate pertinent information to their suppliers. SEJ has invested in a real time system to detect changes in customer preference and track data on sales and consumers at every store.” In addition, even before the internet age began, SEJ had the foresight to further differentiate themselves from competitors by utilizing “satellite connections and ISDN lines to link stores with distributions centers, suppliers, and logistics providers.” SEJ made this incredible investment in both time and capital for the express purpose of adding value to the entire supply chain to better serve their customers.
When discussing value added, it is critical to understand just how a corporation can add value to customers given their industry. SEJ understood that, given their industry, instant demand forecasts and sales data were more vital than reducing costs. The convenience industry is incredibly competitive in terms of cost; however, SEJ realized that decreased lead times in distribution would allow for a competitive advantage. In order to maximize this advantage, SEJ effectively used their communications network to develop collaborative relationships across their supply chain. For example, SEJ successfully aligned its interests with those of its partners by implementing an incentive program that demands consistent resupply of goods in order to meet varying demand projections for different hours of the day. Suppliers were given instant access to sales data, and restock orders were processed multiple times a day. To further expedite the delivery of their products, SEJ established relationships of trust with each distributor. Distributors were expected to be on time with every delivery; however, SEJ trusts that the goods delivered are exactly what they ordered. They do not take inventory on incoming goods; therefore, trucks can continue along their delivery routes with little to no interruption. Thereby, both the goals of the distributors and retailers are in harmony.
Perhaps the greatest example of the strength of SEJ’s flexibility can be seen by their instant response to the earthquake in Kobe, Japan. Within six hours of the earthquake, SEJ was able to use their flexible information system and supplier relationships to provide 64,000 rice balls to the affected areas. SEJ was able to use helicopters, motorcycles, and boats to resupply their stores without delay. While relief trucks were still crawling at two miles an hour on the highway, SEJ was providing goods and services to meet the demands of their customers. SEJ’s flexibility allowed them to provide value to their customers in a quick and cost efficient way.
Perhaps the reason that SEJ has been able to realize such lasting success is that they have not conformed to standard communication protocols used throughout the business arena. In many industries, corporations are remiss to share information with suppliers and partners out of either fear or simply neglect. This stagnation in information flow leads to increased uncertainty throughout the supply chain; uncertainty leads to eventual waste and a reduction of value to the end customer. For example, HP noted that the further down their supply chain they went, the more distorted demand information became. This tremendous inefficiency, known as “The Bullwhip Effect”, led to excess inventories, poor customer service, and lost revenues.
In contrast, clever corporations are able to maximize value in their supply chains with the alignment of information; thereby, all the companies in the supply chain have equal access to forecasts, sales data, and plans. In order to maximize this alignment, corporations must establish an infrastructure that facilitates timely communication of information. In today’s competitive global markets, major corporations understand the key role of information in long term success. Many corporations are excellent at tracking data; however, in order to achieve lasting success corporations must be able to use information in a way that provides the most value in their given industry.
One example of a corporation that understands how to use information to create a best value supply chain is World Corporation. World Corporation does business in the highly volatile fashion industry. Demand for high fashion products has extremely high seasonal variability. Therefore, World Corp’s success is predicated on the timely tracking of customer demand. Many corporations rely solely on historical data to forecast demand. In contrast, World Corporation has differentiated itself and thereby created real and lasting success through their ability to employ not only historical data but also early sales data to continually update original demand forecasts. Their ability to continually forecast gives them great power to postpone production of goods with unpredictable demand patterns. World Corp. shares this information with suppliers to reduce uncertainty across the breadth of the supply chain. Updated forecasting also allows World Corp. to increase value in the supply chain by reducing lead times on products. Thus, the entire information network is used to get products to the market faster and thereby maximize profitability.
Another example of a corporation that has used information to set itself apart from the competition is Starbucks. Starbucks created competitive advantage in the fast food industry by combining diverse pools of knowledge to reinvent the way a cup of coffee was sold. They did this by utilizing Italian technology for espresso coffee, the European concept of the Café, and U.S. expertise in retail chains to set them apart from industry norms. Whereas other competitors in the fast food industry, such as McDonalds, have run into problems trying to enter global markets without harnessing the power of diversity, Starbucks has become an industry leader.
Because markets are uncertain corporations must be willing to adapt to the market and external environment. X-Box is a great example of a company that was able harness the power of flexibility in direct consequence to market information. In the past, many corporations in the gaming industry had used outsourcing as a method to attempt to become the low cost leader in their industry. This attempt to gain a competitive advantage resulted in sending production of the system to areas far away from major potential markets. Microsoft executives were convinced that the Christmas season sales of their product would provide them with a large market share and high profit. However, as the Christmas season drew closer, Microsoft became unsure about the viability of producing the X-Box in China and getting it to market in time for the season. Therefore, Microsoft went against industry norms by moving production of the X-Box to a higher cost area. However, this move provided increased value by allowing greater speed in distribution. As a result, Microsoft was able to get the X-Box to market for the Christmas Season and gained a large market share. Microsoft was able to use the agility of its supply chain as a competitive weapon.
Microsoft, Seven Eleven, World Corporation, and Starbucks are all examples of how a corporation can use their supply chain to create competitive advantages and enhance firm performance. Supply chains that facilitate timely sharing of information, reduction in uncertainty, and flexibility of processes have caught the vision of not conforming, but leading. As these corporations have used their supply chains to differentiate themselves from their competitors, they have provided real value to their customers. Providing this value is the only way to obtain real and lasting success.

Supply Chain Design

Today's topic: Supply Chain Design
Articles for discussion:
Avon Gets Its' (Supply Chain) Makeover: Shoshanan Cohen
Aligning Supply Chain Strategies With Product Uncertainty: Hau L Lee
Mass Customization at Hewlett-Packard; The Power of Postponement: Feitzinger
Making Supply Meet Demand in an Uncertain World: Marshall L. Fisher

The global business environment is filled with opportunity; however, it is also fraught with risk. Expanding product variety, short product life cycles, faster product development, and global competition threaten to decrease corporate revenues. Corporations that fail to adapt to these changes in the market environment will quickly be left behind. Therefore, implementation of effective supply chain management is critical for organizations to maintain and improve a corporation’s competitive edge. Efficient management of supply chain complexity is a task that requires intense effort and planning. In order to maximize supply chain effectiveness, managers must be masters in the field of information gathering, evaluation, and transmission.
These three skills culminate in the ability to understand and reduce market uncertainty. Serious stumbling blocks to supply chains are: the ever present uncertainty involving consumer demand, the inconsistency of suppliers, and individual product uncertainty. Therefore, managers need to be aware of the demand characteristics of the products they specialize in. This knowledge will allow managers to effectively reduce uncertainty. Managers should ask themselves: Are the products offered by the corporation functional or innovative products? Are supply characteristics stable or evolving? Where is the product in the overall product-life cycle? These questions are incredibly significant because they provide reference for managers to implement appropriate supply chain strategies.
Managers need to have a system in place to gather demand information from the market. Innovations in Information Technology are transforming the gathering of market information. With the internet, companies in a supply chain can be connected in real time with information and knowledge shared continuously; new products and services can be designed to fit special market segments; and new supply chain structures can be developed to serve customers in a more direct manner. In addition to the internet, information sharing and tight coordination with suppliers and customers will increase control of supply chain efficiency. Corporations can implement synchronized planning with suppliers; engage in joint replenishment programs; and involve suppliers in early design collaboration. These methods give managers more information upon which to base strategic decisions.
For example, Avon, in its’ corporate restructuring, learned that decentralized business models did not provide the needed information from the market. Therefore, Avon implemented centralized and regionalized planning groups in order to gain real-time demand information. In another example, Black & Decker lost tens of millions of dollars one year because they were unable to predict pertinent demand information. They were unable to meet “exacting market requirements with their traditional planning methods;” therefore, top managers have attempted to make plans fast and flexible so that the company can respond to rapid changes in market preferences. These corporations have learned that, in order to be successful, they must obtain all pertinent information, analyze it, and transmit goals and plans throughout the company.
Given the significance of information flow and synthesis, companies also try to reduce uncertainty through forecasting. Perhaps the best example of effective forecasting is Sport Obermeyer. Sport Obermeyer has implemented a strategy known as accurate response to reduce uncertainty in forecasted demand. Accurate response relies on finding out what forecasters can and cannot forecast well. Managers learn those products for which demand is relatively predictable or unpredictable (functional/innovative products). Armed with this information, they are able to make the supply chain more flexible so that managers can postpone decisions about their most unpredictable items until they have some market signals, such as early-season sales results, to help correctly match supply with demand. They also employ risk-based production sequencing, which allows them to be as responsive to the market as possible in the areas where the payoffs are the greatest. Sport Obermeyer exemplifies a key message of these readings. They have learned that extreme effort in information gathering and forecasting can result in supply chain maximization and sustainability.
Another key concept can be examined through Sport Obermeyer’s accurate response system. This system is structured to take into account missed sales opportunities; as well as, reduce them through a process of shortening lead times by standardization of products. Standardization and mass customization of products can lead to greater supply chain efficiency. Mass customization effectively requires postponing the tasks of differentiating a product for a specific customer until the latest possible point in the supply chain. Hewlett-Packard is perhaps the greatest example of how postponement, as per design of the supply chain, can revolutionize business strategy. HP has declared that this strategy of postponement has given them “unparalleled flexibility and responsiveness to customers’ demands.”
This flexibility comes directly from an integration of the designs of their products; the processes used to make and deliver those products; and the configuration of the entire supply chain network. Products are standardized according to a modular product design, thereby allowing independent modules to be assembled into different forms of the product easily and inexpensively. Additionally, by postponing final assembly to distribution centers, HP has allowed for quicker response to customer demands. Not only do the distribution centers customize the product, they also purchase the materials that differentiate it. This thereby cuts transportation costs and decreases lead time. HP has gained great benefits from postponing the assembly of their universal power supply. The process of standardization and postponement can also be seen in other industries. Avon has standardized their basic bottles, and postponed the addition of multi-language labels until demand is forecast at each distribution facility. Paint products and garment manufacturing are also maximizing supply chain efficiency through the process of postponement. By so doing, they also “save on transportation and duty costs and greatly increase return on assets.”
The last key theme, which encompasses all the articles, can be summarized as “seeing the end from the beginning”. It was only when Avon stepped back and looked at the supply chain as an “end-to-end process” that the true benefits became clear. In order for managers to see the end from the beginning, collaboration is critical. Avon felt collaboration was so important that they removed 45 of their top tier employees from their regular jobs in order to increase collaboration. These people were placed in “design workshops” wherein the knowledge of everyone in the company could be used to improve supply chain design. Involving employees from the loading dock provided wonderful innovation about packaging and the logistics of loading Avon products. Without this type of inter-corporation collaboration, corporations will miss out of incredible opportunities to improve.
Hewlett-Packard also implemented a similar strategy of inter-corporation collaboration. Representatives from Marketing, R&D, Manufacturing and Distribution, Finance, and Management are required to meet together and discuss supply chain maintenance. As a result, each sector has full knowledge of the needs and capabilities of other sectors within the corporation. This level of communication is not only critical within the corporation; it must also extend to suppliers. Obermeyer Sport stated that, “ensuring access to the right supplies requires extensive discussions with suppliers to find a way to meet both parties’ needs.” Communication and collaboration will streamline the supply chain to reduce production and distribution lead times.
In conclusion, corporations must accurately forecast, efficiently collaborate, and effectively communicate information across the breadth of the supply chain. As a result, corporations can reduce both market uncertainty and streamline supply chain efficiency. Moreover, corporations that exert the effort to align goals and information across the “end-to-end” supply chain will satisfy their customers’ needs and increase their profit margins.

Business Strategy Development

Today’s Topic: Business Strategy Development
Henry Mintzberg once said, “We can’t know anything about the future because it hasn’t happened yet.” Given the unpredictable nature of the future, many corporations are faced with serious dilemmas concerning their strategic planning. However, corporations must not give up on forecasting and thereby leave strategy to chance. People, just like corporations, need a clear direction in order to maximize their potential. Therefore, many successful corporations operate under the fundamental thesis that it is indeed possible to plan your way to long term success.
However, forward planning is fraught with risks. Many corporations look for trends in the past with expectation that they will continue on into the future. Extrapolation of previous conditions can be useful in formulating strategy. Nevertheless, basing all decisions on the past is like walking through the world with blinders on. Corporations must take into account the changes in the business environment if they wish to be sustainable.
In order to reduce the risk of strategic planning, many firms have come to rely on two models of thought. The Planning School model consists of step by step procedures for planning and evaluating performance. The first step in the planning school model is to develop the concept of a Corporate Mission. This is a general statement that can include basic information about the corporation. In this statement firms can stipulate the exact industry they wish to operate in. They can clarify what products and services they will offer. They can also establish an ethical framework for the corporation.
The second step is to Develop Goals. These goals are more specific and intensive than the mission statement. Goals must be both quantifiable and realistic. For example, corporations can stipulate the level of market share they wish to have in their given industry. They can also set quotas for profits and Rate of Return. Clear, concise goals are critical to the development of the firm. The Third step is to Develop Plans and Strategies. This is the roadmap to the achievement of the firms’ goals. The fourth step consists of implementation of policy and procedures that will follow strategies to meet goals. Lastly, each corporation must evaluate their performance with a focus on achievement of goals. Upon evaluation, corporations will begin the process once more to fix possible shortcomings.
There are several impediments to the planning school approach. For example, corporations that have been in business for a while may have trouble implementing changes. These firms must take into account what is; namely, how their infrastructure is set up. Firms must take into account that previous strategies may have allocated resources in a fashion that is inconsistent with new goals. Therefore, disengaging these resources to pursue a new strategy may not be cost effective. Consequently, corporations must find a commonality between what “is” and where they wish to go.
Another approach to developing strategy is the learning school approach. The learning school takes into account both intended and emergent strategies. A corporation begins with intended strategies. After implementation these strategies become deliberate strategies. However, through everyday interactions with the business environment corporations may be presented with emergent strategies. By combining deliberate and emergent strategies the corporation can obtain realized strategies. This school of planning understands that flexibility is critical to continued success. Sometimes strategies are just born and corporations can learn from them.
While both of these strategies have great potential for increasing the effectiveness of future planning, perhaps a multi-faceted approach is the best. By combining the school, corporations can get the best of both worlds. They can have the structure of the planning school in addition to the flexibility of the learning school.
In order for corporations to be sustainable they must plan for the future. They must have a clear vision of where they are going and what it will take to get there. Through the process of strategic management corporations can allocate scarce resources to ensure a successful future.

Personal Positioning Techniques

Today’s Assigned Topic: Personal Positioning Techniques; Discuss three or four things you can do between now and the time you graduate to position yourself for your desired career.

As I am quickly approaching the end of my undergraduate academic career, it is becoming increasingly clear that there are still things I can do to position myself for my future. Positioning yourself for success is a never ending endeavor. In order to accomplish this, I must have a clear vision of where I am now in relation to where I want to be. In addition, a well defined sequence of steps that I will take to achieve my end objective is critical. I have always liked the adage, “proper planning prevents poor performance.” Therefore, I have chosen several steps that, I believe, will help me to position myself for future success. These are: GMAT preparation, internship opportunities, networking, and continuing education.
One current area of focus, during these last few months before graduation, is effective preparation for the GMAT exam. The GMAT is a prerequisite to entrance into graduate school. Therefore, currently I am enrolled in the Jon M. Huntsman School of Business GMAT Prep Course. Every Wednesday, I attend three hours of lecture consisting of the strategies and skills necessary to succeed on the GMAT. I have taken several practice exams and have seen improvement. I have also established a benchmark for myself. My goal is to obtain a 700 or above on the GMAT. This will not be easy, but I believe that it can be done. A 700 or higher will provide me with access to many top level graduate programs all over the world. This will increase my options concerning continued education.
Another area that is essential to positioning myself before graduation is internship opportunities. Internships are an extremely effective avenue to build effective resumes. Therefore, I have applied for an internship with ASAP International Holdings Inc. Through correspondence with them I have been accepted into their internship program. I will be moving to Guangzhou China on January 15 for a time period of at least six months. While there I will continue to gain experience in the arena of international business. I will learn many facets of hotel management and have an opportunity to continue my study of the Mandarin language.
In addition to building my resume, my internship will also provide me with an amazing opportunity to network. While in china I will be able to meet and work for many individuals with incredible international experience. These individuals will be an avenue for future employment. Therefore, I must do all in my power to impress these individuals with my knowledge and experience.
The last thing I can do to position myself for a future job is plan now to attend graduate school. As discussed previously, I am preparing to take the GMAT entrance exam. This preparation, in addition to my normal course work, will help me prepare for grad school. I will also be focusing on keeping my grades at acceptable levels during this last semester. Perhaps even more important than grades, I will be maximizing the knowledge and theories presented in my classes so that I might apply them in the workplace.
There is still much to be done to continue my preparation to enter into the international business arena. However, I believe that my dedication to excellence in my academic progress and my international experiences will be of great importance in positioning myself for the future.

"The Effective Utilization of People"

Today's Topic: Using Lean Management Principles to Increase Worker Productivity.
Remarks drawn from a Conference given at Utah State University Partners in Business Seminar by Norman Bodek, President, PCS Press.

Partners in Business Report

Norman Bodek, President of the PCS Press, presented training on a subject he called “The Effective Utilization of People.” The utilization of people can be presented in many ways, depending on a firms’ given industry. However, regardless of industry, corporations in the United States need to implement strategies to increase the quality of work life. Increasing the quality of work life for employees is directly related to the principles of lean management and “quick and easy kaizen”.
In order to raise the quality of work life a company must establish a clear vision of the “ideal”. Most corporations today understand the underlying message of lean management. They know that by reducing any of the “seven wastes” described in kaizen, they are able to increase efficiency and maximize employee output. Nevertheless, corporations are woefully lacking in areas that actually raise the quality of work life for employees. Mr. Bodek asked questions pertaining to this issue. “Why don’t we love Mondays?” “What is missing?” The lack of inspiration in this area is directly linked to an unclear vision of what the “ideal” is in your given industry.
Each corporation must have an ideal and strive to achieve it. There were several suggestions given that were very pertinent to succeeding in this area. First, “Be the best in the world at whatever you do.” Second, “I have a goal…this goal is that everyone improves .1% everyday in their assigned tasks.” When corporations, and more importantly the people in them, are dedicated to being the best in the world at whatever they do; a culture of innovation will be created and productivity will increase. If everyone in a corporation were to improve .1% everyday, productivity can be doubled in three years. With doubled productivity, corporations would no longer need to outsource. This would result in shorter supply chains and an increase in profits. Therefore, such exemplary corporate goals can greatly benefit corporations monetarily and create a culture filled with quality of life. However, most people have a wall that prevents them from trying new things. In order to increase the quality of work life, people must be allowed to work in an environment that pushes them to overcome their own resistance to change.
One possible way to break through these “walls” is to allow employees to actively participate in the process of innovation and implementation. This process is called “Quick and Easy Kaizen”. Bodek explained this process very adeptly by asking the question, “If I (as a worker) am waiting for management to change my life, how long am I going to be waiting?” The answer is a long time. Therefore, corporations must get employees to change their own work environment. Empowering employees to provide autonomous improvement suggestions is one of the most effective ways to increase quality of life. For example, during the previous year Autoliv Inc. received 64 suggestions related to increasing efficiency from each and every one of its’ workers. Autoliv has a goal to receive 96 ideas each from employees in the coming year. Each of these ideas has saved money for the corporation, but they have also done something more. These ideas have allowed employees to feel that their creativity and ideas are worthwhile; moreover, employees feel pride in their accomplishments.
In order to maximize their potential, corporations must: improve the quality of work life, have a clear vision of the ideal, ask “what can we do to improve?”, and allow employees to change their own work environment. By so doing, Monday will no longer be the worst day of the week. People will go to work and perform their tasks efficiently, innovation throughout the corporation will be increased, and productivity will be maximized. Controlling the factors of production can and will provide great benefits for companies with enough courage to break down their walls and allow their people to shine.

The intrinsic Risks and Rewards of Globalization

Globalization References:
Beyond Offshoring: Assess your Company's Global Potential, Farrell.
New Practice of Global Product Development, Eppinger and Chitkara.
Is Your Innovation Process Global? Santos et al.
Making the Most of Foreign Factories, Ferdows.
Shifting Globalization, Yuva.
How Intel Got Inside, Vogelstein.
Shanghai Auto, Taylor.
Big Mac's Local Flavor, Gumbel.

The world is becoming smaller. Advances in technology, communication, and transportation are allowing businesses to expand into diverse markets across the globe. Outsourcing, Foreign Direct Investment, Partnerships, and Global Product Development have the potential to create incredible profits for corporations. However, there is also a large amount of risk inherent with increased globalization.
Through analysis of the articles presented on this subject, one fact became very clear. In order to gain the benefits of globalization, a corporation must be flexible. This flexibility may be represented in many forms depending on your given industry. However, regardless of your industry each business needs to ensure that their “supply chain strategy can support their business in the face of rising volatility.” (Yuva, 09) Several examples illustrate this point. For many years, McDonalds based supply chains around an ethnocentric business strategy. Each operation, across the globe, was standardized according to the successful American model. Menus had little or no variation, and restaurant design was uniform.
However, as McDonalds reached critical mass in its global operations, things had to change. The McDonalds brand was vilified for being the epitome of westernization and; therefore, was stuck in a losing image battle. To correct this, McDonalds began to decentralize management and create a flexible culture of openness throughout each market. This increased customization has provided great dividends for the company. For example, McDonalds has adapted menus to coincide with local cuisine. They have also allowed flexibility concerning the interior design of their restaurants. Today, this flexibility has led to increased brand loyalty as well as innovation across cultural boundaries.
Flexibility must be a prevailing factor in the formation of corporate business strategy. Previous class discussion has shown that adaptability and agility are critical to successful supply chain management. Adaptability and agility are the essence of flexibility. Therefore, integration of flexibility into the decision making process will create huge dividends for corporations in the future. This coincides with research done in the paper “Is Your Innovation Process Global?” The main premise of this paper was that in order for an organization to be truly successful it must allow for innovation. Corporations are now able to utilize knowledge and skills from around the world in their production processes. However, the sheer volume of information can lead corporations to an inadvertent overload, which results in stagnant ideas and change. Thus, corporations must maintain focus on the core competencies of the firm and process flexibility, while attempting to maximize innovation.
Corporations must take into considerations hemispheric locations of their subsidiaries and supply chains. Political climate, local economics, and transportation costs all contribute to supply chain volatility. In response to these risks, many manufacturers are “reworking their within-a-line strategy to have multiple categories run within the plant to allow for optimal flexibility.” (Yuva, 09) Such changes represent innovation of corporate strategy as well as production in response to global market requirements. Flexibility and innovation are complimentary principles. A corporation must be able to view the global market and identify opportunities. They must also possess the flexibility of management and processes to implement change for the betterment of the corporation.
Another key concept presented throughout the readings is that, in order to be effective, organizations must examine the total cost of globalization and its impact throughout the supply chain. In the past, many companies found that offshoring decreased their costs. Therefore, companies like Intel and GM began outsourcing production capacity to countries with relatively low labor and raw material costs. However, as the global business climate changes, these businesses are facing new challenges to their revenue streams. “Companies are learning that other costs, including transportation and supply chain costs, can quickly escalate. Volatile fuel costs, along with increased foreign wages, new laws and regulations, and increased costs of raw materials have all contributed to the new realized costs-thus lessening the appeal of offshoring.” (Rutgers, 09)
To further illustrate the evaluation of cost, three articles provided in-depth discussion stating that the current trend of offshoring is slowly being replaced with nearshoring. Because of the aforementioned reasons, organizations have realized that moving supply chains closer to home is more economical. Nearshoring provides the ability to gain greater control over your supply chain through increased visibility and understanding. Visibility and understanding stem from the fact that many neighboring countries share cultural and economic similarities. These similarities provide a sense of security for many organizations. Nearshoring also provides an increased level of flexibility. John Yuva states that nearshoring “results in a more regional network from which corporations can source product as well as deliver to local demand.” Microsoft’s recent shift to nearshoring brought great benefits to the company. By shifting production from Asia to Mexico, Microsoft was able to use pre-established IP infrastructure and decreased shipping to get their product, the X-Box, to market with incredible speed for the Christmas season. Through evaluation of global supply chain costs, Microsoft was able to increase flexibility and maximize the value of the firm.
To further illustrate this point, in the article “The Practice of Global Product Development”, Steven Eppinger warns that businesses must fully consider the cost of globalization in order to not fall into the “outsourcing trap”. This trap occurs when organizations lose the ability to produce core technical abilities internally; therefore, becoming reliant on their foreign supplier for this critical portion of their business. Corporations that lose sight of their core competencies will soon be at the mercy of market fluctuations. One corporation that has done a good job avoiding this lack of foresight is Intel.
Intel has entered into a joint venture with Chinese companies and the Chinese Government in order to enter the Chinese market. While Intel predicts that their future success relies heavily on the expansion of the Chinese market, they also understand that they cannot outsource their core capacities. For example, Intel has not built a “fabs” chipmaking plant in China because of the lack of IP protection available there. This provides a level of protection for the firm. In contrast, VW has fallen prey to the outsourcing trap by sharing some of its’ intellectual property with the Shanghai Auto Group. As a result, Shanghai Auto is now developing its own line of cars that one day may supplant VW from dominance in the Chinese market.
Several important lessons can be learned from the business interactions of Intel and VW with the Chinese Government. These lessons contain the core message of the readings on globalization. Namely, if organizations are not constantly vigilant in applying good corporate strategy to global expansion, they will fail. Organizations must: establish flexible supply chains, account for the total cost of globalization, and avoid falling prey to the dangers of outsourcing. By so doing, organizations can reap the benefits of globalization, while, at the same time, avoid the inherent risks.

Governing Principles of Effective Supply Chains

Today's Topic: Supply Chain Essentials
Cited Rferences:
Ten Guiding Principles for High‐Impact SCM, Fawcett & Magnan, 2004.
Best Value Supply Chains: A Key Competitive Weapon for the 21st Century, Ketchen et al., 2008
Triple‐A Supply Chain, Hau L. Lee, 2004.

The landscape of business is in continual flux. Business practices and methodologies that have been effective in the past, may lead to economic ruin in the future. One area of business that is experiencing such a transition is the arena of supply chain management. In recent years, most businesses have focused on leveraging resources and materials to maximize speed and cost-effectiveness. However, in order for companies to attain competitive dominance, a more encompassing approach needs to be implemented.
The three readings provided in class have presented several key themes and messages aimed at improving supply chain management. For example, each article articulated the fact that best value supply chains all possess similar qualities that ensures success. First, great supply chains “align objectives and share resources across the company to deliver greater value” to customers. (Fawcett, 04) In addition to simply providing alignment across the company, the most effective supply chains are able to “align the interests of all the firms within the supply network so that companies optimize the chain’s performance when they maximize their interests.” (Lee, 04)
Effective supply chain alignment begins with the alignment of information. In order for companies to align their interests, they must first understand the needs and interests of each link in the supply chain-especially consumers. Open communication about forecasts, sales data and plans will expedite alignment in this area. Companies can use technology in order to “eliminate uncertainty, reduce inventory, and boost responsiveness to customers’ requests.” (Fawcett, 04)
Next, companies must align identities. This consists of employing relationship management tools to build value added bridges all along the supply chain. This also includes defining roles and responsibilities of each member of the chain to avoid conflicts. Third, companies need to align incentives to maximize supply chain performance. Saturn, Seven Eleven, and R.R. Donnelly are examples of companies that did a good job in this area. For example, whenever a supplier’s suggestion saved R.R. Donnelly money, the firm splits the savings with the supplier.
The articles also provided information of possible ways to implement this process. David Ketchen claims the key transition to the best value alignment of supply chain is that “Executives must view problems from the supply chain level of analysis rather than just the firm level”. By broadening the focus of management decisions to mainly focus on supply chain interactions, executives can add value and improve profits.
Another key theme from the readings is that best value supply chains are agile. Each author feels that it is critical for companies to have good capacity to react to change. Ketchen and Lee describe agility as being able to manage the cost of buffers. Fawcett, however, provides insight into agility by warning companies to beware role shifting. I think the key to being agile is explained very well in his paper. “Ultimately, leaders know that someone, somewhere, is working to make them obsolete. So they are meticulous scanners, always monitoring market and competitive conditions…This allows them to (1) grasp the ramifications of constantly changing consumer and supply environments, (2) recognize channel alternatives, (3) assess wide ranging tradeoffs, and (4) balance short-term and long-term company requirements.”
I especially liked the example of Dell Computers agile supply chains. In response to an earthquake, Dell changed the prices of PC configurations over-night. In contrast, competitors did not have established plans and therefore did nothing. While competitors scrambled to adapt, Dell was able to steer consumer demand away from products that required the chips delayed by the earthquake. This allowed Dell to gain market share in the aftermath of the earthquake.
Another theme I wish to mention is that effective supply chains are adaptable. Great supply chains are able to adapt to the changing demands and needs of customers by reacting to unexpected changes in supply and demand smoothly. They also are willing to change to take advantage of changes in technology, political change, and economic variability. The example of Lucent Technology was especially interesting to consider.
Perhaps the most overriding theme of these articles can be explained in the quote by Roger Blackman. “Competitive dominance will be achieved by the entire supply chain, with battle fought supply chain versus supply chain.” The old methods of lowering cost and speeding up delivery will no longer be applicable to the long-term success of corporations. In order to compete, executives must begin to pay increased attention to the science of supply chain management.

What can professional blogs fo for businesses?

Today’s topic: How can professional blogs benefit your business?

In the world’s ever more complex business environment, businesses are always searching for methods to increase their competitive advantage in their respective markets. This is especially true given the current economic crisis experienced by organizations across the globe. This crisis has influenced many organizations’ profit margins to decrease well below forecasted expectations. In the wake of decreasing profits margins, companies have two options to stabilize the value of their firm. First, companies can increase sales to bolster positive cash flows. Given the current state of the economy, this first option is not incredibly viable for most corporations. The second option is to reduce operating costs. Some firms accomplish this by firing workers or cutting back on production. While this may increase the firms EBITDA for a period, it can also lead to losses in the future. Another possible avenue for firms is to reevaluate their cost structure. This culminates with organizations becoming more “lean” in their processes.
One idea that many firms have begun to implement is that of a professional blog. This type of blog is very helpful to the company because professionally designed blogs can do so much more than a conventional web site. They allow your site visitors to interact with you directly through your site with comments. Registered visitors can even contribute to your site by entering text, pictures videos and whatever else you choose to allow.
Through superior customer interaction ad service, businesses are able to better provide for long term customers. Professional Blogs also cut down on operating costs required for a traditional company website. Traditional websites take time and money to update. In contrast, professional blogs are extremely inexpensive and fluid.
Additionally, CEO and Entrepreneur Cory Miller stated that his professional blog has benefitted his company in many ways. For example, he listed these eight areas specifically.
Professional Blogs can and will:
1) Attract new clients and customers
2) Demonstrate your expertise
3) Showcase your products or services, and
4) Reach a global audience.
5) Transform your traditional website - from a static site to a dynamic, regularly updated one filled with customer-centered value.
6) Encourage return customer visits to your website
7) Raise your visibility in search engines - particularly local searches
8) Give you and your business exposure to a worldwide audience
Many businesses in Ireland have also found professional blogs to be very beneficial to their respective firms. They claim that many businesses use blogging effectively to generate business.
“According to the IIA, they use blogging for:
• a source for sales leads (here at Pro Blog Service, we get at least 2 leads per blog post. That’s why we do it.)
• improving their company’s ranking in Google (nothing beats blogging for search engine optimization)
•showing customers they’re experts in their sector (we write about blogging and social media.)”
They continue by stating, “Blogging is the best way to answer the “how” questions your customers have. You can create an entire knowledge base with a blog, doing nothing but answering questions from your customers, and dominate search results for your field. Because if one person has the question, others do too. Many others, and those others are looking for the answers. They’re going to Google to find the answers, and Google is checking you out to see if you’re answering the question. If you’re not, they’re going to find someone who is.”
Professional Blogs can be of great benefit to firms during these troubled economic times. They can lower operating costs for a firm and thus increase firm value. They can also attract new customers and demonstrate expertise.

For more information of studies by the IIA look to their website.
http://problogservice.com/american-business-bloggers-learn-irish/