Tag: Learn What

Learn What? We want to learn, grow, change, grow, live, excel, take steps and do more. Learning is always but learns about the processes and theories to learn … it takes a certain purpose to understand it. How do people learn and key factors enable which effective factors?

Through Wikipedia, learning is the process of acquiring new or revising existing knowledge, behavior, skills, values or priorities. The ability to learn is near humans, animals, and some machines; Some plants have evidence of any kind of education.

Learning something is instantly motivating by an event, but more skills and knowledge are accumulating than the experience repeatedly. Learning-induced change often goes on for a lifetime, and it is difficult to separate the learning material, which is “lost” that cannot recover.

What is Intrapreneur? Meaning and Definition!

Intrapreneur: An employee of a large corporation who is given the freedom and financial support to create new products, services, systems, etc., and does not have to follow. The corporation’s usual routines or protocols. A manager within a company that promotes innovative product development and marketing. Also learn, What is Intrapreneurship?

Learn, What is Intrapreneur? You may better understand their Meaning and Definition.

An intrapreneur is an employee who is given the authority and support to create a new product without having to concern about whether or not. The product will actually become a source of revenue for the company. Unlike an entrepreneur, who faces personal risk when a product fails to produce revenue. An intrapreneur will continue to receive a salary even if the product fails to make it into production.

Meaning of Intrapreneur:

An intrapreneur is an inside entrepreneur or entrepreneurship within a large firm. Who utilizes innovative abilities without causing the dangers related to those exercises. Also, Intrapreneurs are typical representatives inside an organization who are allocating to take a shot at an extraordinary thought or undertaking, and they are training to build up the venture as a business visionary would. Additionally, they for the most part have the assets and capacities of the firm available to them.

Intrapreneurs and Innovation:

Similarly, as a business person begins an organization as a method for giving a decent or administration, intrapreneurs look for strategies, advances, and applications that will help increment an organization’s profitability. As an intrapreneur constructs the fitness for perceiving and tackling significant issues. He likewise fabricates the aptitudes needed to go into business.

Intrapreneurs and Experimentation:

Like how business visionaries to analyze, an intrapreneur has the opportunity and self-sufficiency for proficient development. An intrapreneur has the freedom to examine and comprehend patterns fundamental for arranging the organization’s future. The Intrapreneurs combine their discoveries and decide techniques for remaining in front of their rivals.

An Intrapreneurs and Company Leaders:

Intrapreneurs become an organization’s chief chiefs over the long haul. They push the business ahead and ascend to the top as they comprehend the business from all levels. An organization ought to perceive and advance effective intrapreneurs so the business can succeed and develop. When intrapreneurs work at tackling issues, they cultivate the development of other capable intrapreneurs and incorporate cycles for everyone’s benefit of the whole organization.

Example of an Intrapreneur:

In less than one year of working as eBay’s head of staff of worldwide item the executives, Healey Cipher understood the organization was passing up an enormous business opportunity. Even though most shopper buys made inside 15 miles of a purchaser’s home in actual stores, eBay was offering just internet business administrations for its customers. Since Cipher met numerous retailers, he realized they would need items for actual retail too.

After consulting with eBay’s chief executive officer (CEO), Cipher amassed a group of designers to discover approaches to utilize innovation to improve actual stores. The architects made an intuitive customer-facing facade that Toys R Us in the end introduced. Over the accompanying two years, the specialists did likewise for TOMS, Sony, and Rebecca Minkoff. The code’s prosperity turned into another division of eBay, giving laborers self-sufficiency for tackling issues and pushing the organization ahead.

Definition of Intrapreneur:

An intrapreneur is only a business person inside the limits of the association. Likewise, an intrapreneur is a worker of a huge association, who has the authority of startling inventiveness and advancement in the organization’s items, administrations, and activities, overhauling the cycles, work processes, and frameworks to change them into a fruitful endeavor of the venture.

The intrapreneurs put stock in change and don’t fear disappointment, they find novel thoughts, search for such open doors that can profit. The entire association faces challenges, elevates advancement to improve the exhibition and benefit, assets gives by the association. The employment of an intrapreneur is incredibly testing; consequently, they are acknowledging and compensated by the association in like manner.

Over the most recent couple of years, it has become a pattern that enormous companies name intrapreneurs inside the association, to bring operational greatness and addition upper hand.

An enormous association can challenge to recognize and empower workers. Whose business aptitudes and innovative capacities make them a great contender to take on pioneering parts inside the organization, yet still be substance to hold workers. A few organizations have committed innovative work (R&D) offices. Whose intrapreneurial staff undertakings with investigating thoughts that will enable the organization to remain serious? Different organizations grasp the possibility of nonstop improvement.

An idea acquired from assembling that energizes representatives in research, plan, deals, and creation to function as a group to distinguish new income openings. Numerous effective IT new companies encourage a culture of intrapreneurship casually by permitting workers to seek after. Their own specialized advantages during work hours or by supporting occasions, for example, hackathons or other social coding parties.

What is Intrapreneur? Meaning and Definition; Image from.

March 2, 2018
What is Intrapreneurship? Meaning and Definition!

What is Intrapreneurship? Intrapreneurship is the practice of entrepreneurship by employees within an organization. In 1992, The American Heritage Dictionary acknowledged the popular use of a new word, intrapreneur, to mean; “A person within a large corporation who takes direct responsibility for turning an idea into a profitable finished product through assertive risk-taking and innovation”. Also learn, What is entrepreneurship?

Learn, What is Intrapreneurship? You may understand their Meaning and Definition.

They are entrepreneurs, business people who seize a groundbreaking thought for an item, administration, or cycle and work to carry this plan to fulfillment inside the system of the association. Business visionaries with their developments and committed exertion are seeing as a significant resource by the association, moving others. He fills in like a boss to others in the association. As of late, a few business visionaries are finding employment elsewhere to begin their own endeavors. It is discovered that many are extremely fruitful in their new pursuits and they are making a danger the organizations they left a couple of years back.

Meaning of Intrapreneurship:

Which means of Intrapreneurship: Intrapreneurship is acting as a business visionary inside a bigger association. Business visionaries are generally exceptionally self-inspiring, proactive, and activity situated individuals. Who are all right with stepping up to the plate, even inside the limits of an association, in the quest for a creative item or administration. The ambitious innovator has the solace of realizing that disappointment doesn’t have an individual expense as it accomplishes for a business visionary since the association retains misfortunes emerging from the disappointment.

Intrapreneurship is the demonstration of acting like a business person while working inside a huge association. Intrapreneurship knows as the act of a corporate administration style that coordinates hazard adopting and development strategies. Just as the prize and persuasive methods; that all the more generally consider similar to the area of the business venture.

Definition of Intrapreneurship:

The act of business in a setup firm. Intrapreneurship applies the ‘startup’ style of the executives (described by adaptability, development, and danger taking) to a protected and stable firm. The goal is too quick to track item advancement (by bypassing the organization) to make the most of another chance or to evaluate the possibility of another cycle or plan.

Intrapreneurship includes making or finding groundbreaking thoughts or occasions to make esteem. Where this action includes making another and self-financing association inside or under the protection of a current organization. A business visionary is an individual who rehearses intrapreneurship.

As indicated by this definition, a corporate supervisor who begins another activity for their organization which involves setting up another unmistakable specialty unit and governing body can view as an ambitious innovator.

Interestingly, a corporate supervisor who begins another activity utilizing prior corporate structures isn’t an ambitious innovator. Nor is ahead of an R&D unit inside an association, whose developments are overseen by the association.

Were this R&D pioneer to make another independent association, which plays out its own capacities and sells its own items – yet with solid proceeded with connections to the parent firm, association – it would consider intrapreneurship. Also learn, What is the Difference between Leadership and Entrepreneurship?

What is Intrapreneurship? Meaning and Definition; Image from.

March 2, 2018
Explain are What is Economics? Meaning and Definition with Criticisms!

Learn, What is Economics? Meaning and Definition, with Few different Author and their Criticisms!

Economics is the social science that studies the production, distribution, and consumption of goods and services. Economics focuses on the behavior and interactions of economic agents and how economies work. Microeconomics analyzes basic elements of the economy, including individual agents and markets, their interactions, and the outcomes of interactions. Individual agents may include, for example, households, firms, buyers, and sellers. Macroeconomics analyzes the entire economy (meaning aggregated production, consumption, savings, and investment) and issues affecting it, including unemployment of resources (labor, capital, and land), inflation, economic growth, and the public policies that address these issues (monetary, fiscal, and other policies). Also learn, What is Demand? Meaning and Definition! What is Economics? Meaning and Definition, with Criticisms!

Meaning of Economics!

Economics is a social science concerned with the production, distribution, and consumption of goods and services. It studies how individuals, businesses, governments, and nations make choices on allocating resources to satisfy their wants and needs and try to determine how these groups should organize and coordinate efforts to achieve maximum output.

Economic analysis often progresses through deductive processes, much like mathematical logic, where the implications of specific human activities are considered in a “means-ends” framework.

Economics can generally be broken down into macroeconomics, which concentrates on the behavior of the aggregate economy, and microeconomics, which focuses on individual consumers. Also read, What is Accounting? Meaning and Definition!

Simple Definition of Economics!

The theories, principles, and models that deal with how the market process works. It attempts to explain how wealth is created and distributed in communities, how people allocate resources that are scarce and have many alternative uses, and other such matters that arise in dealing with human wants and their satisfaction.

Few Definition of Economics!

The following points highlight the top four definitions of Economics. The definitions are:

1. General Definition of Economics:

The English word economics is derived from the ancient Greek word oikonomia—meaning the management of a family or a household.

It is thus clear that the subject economics was first studied in ancient Greece.

What was the study of household management to Greek philosophers like Aristotle (384-322 BC) was the “study of wealth” to the mercantilists in Europe between the sixteenth and eighteenth centuries?

Economics, as a study of wealth, received great support from the Father of economics, Adam Smith, in the late eighteenth century.

Since then, the subject has traveled a long and this Greek or Smithian definition serves our purpose no longer. Over the passage of time, the focus of attention has been changed. As a result, different definitions have evolved.

These definitions can conveniently be grouped into three:

(i) Smith’s Wealth definition;

(ii) Marshall’s Welfare definition; and

(iii) Robbins’ Scarcity definition.

2. Adam Smith’s Wealth Definition:

The formal definition of economics can be traced back to the days of Adam Smith (1723-90) — the great Scottish economist. Following the mercantilist tradition, Adam Smith and his followers regarded economics as a science of wealth which studies the process of production, consumption, and accumulation of wealth.

His emphasis on wealth as a subject-matter of economics is implicit in his great book— ‘An Inquiry into the Nature and Causes of the Wealth of Nations or, more popularly known as ‘Wealth of Nations’—published in 1776.

According to Smith: “The great object of the Political Economy of every country is to increase the riches and power of that country.” Like the mercantilists, he did not believe that the wealth of a nation lies in the accumulation of precious metals like gold and silver.

To him, wealth may be defined as those goods and services which command value-in-exchange. Economics is concerned with the generation of the wealth of nations. Economics is not to be concerned only with the production of wealth but also the distribution of wealth. The manner in which production and distribution of wealth will take place in a market economy is the Smithian ‘invisible hand’ mechanism or the ‘price system’. Anyway, economics is regarded by Smith as the ‘science of wealth.’

Other contemporary writers also define economics as that part of knowledge which relates to wealth. John Stuart Mill (1806-73) argued that economics is a science of production and distribution of wealth. Another classical economist Nassau William Senior (1790-1864) argued: “The subject-matter of the Political Economics is not Happiness but Wealth.” Thus, economics is the science of wealth. However, the last decade of the nineteenth century saw a scathing attack on the Smithian definition and in its place, another school of thought emerged under the leadership of an English economist, Alfred Marshall (1842-1924).

Criticisms – Following are the main criticisms of the classical definition:

i. This definition is too narrow as it does not consider the major problems faced by a society or an individual. Smith’s definition is based primarily on the assumption of an ‘economic man’ who is concerned with wealth-hunting. That is why critics condemned economics as ‘the bread-and-butter science’.

ii. Literary figures and social reformers branded economics as a ‘dismal science’, ‘the Gospel of Mammon’ since Smithian definition led us to emphasize on the material aspect of human life, i.e., generation of wealth. On the other hand, it ignored the non-material aspect of human life. Above all, as a science of wealth, it taught selfishness and love for money. John Ruskin (1819-1900) called economics a ‘bastard science.’ The Smithian definition is bereft of changing reality.

iii. The central focus of economics should be on scarcity and choice. Since scarcity is the fundamental economic problem of any society, the choice is unavoidable. Adam Smith ignored this simple but essential aspect of any economic system. Similar, What is Economics of Development? Meaning and Definition!

3. Marshall’s Welfare Definition:

Alfred Marshall in his book ‘Principles of Economics published in 1890 placed emphasis on human activities or human welfare rather than on wealth. Marshall defines economics as “a study of men as they live and move and think in the ordinary business of life.” He argued that economics, on one side, is a study of wealth and, on the other, is a study of man.

Emphasis on human welfare is evident in Marshall’s own words: “Political Economy or Economics is a study of mankind in the ordinary business of life; it examines that part of the individual and social action which is most closely connected with the attainment and with the use of the material requisites of well-being.”

Thus, “Economics is on the one side a study of wealth; and on the other and more important side, a part of the study of man.” According to Marshall, wealth is not an end in itself as was thought by classical authors; it is a means to an end—the end of human welfare.

This Marshallian definition has the following important features:

i. Economics is a social science since it studies the actions of human beings.

ii. Economics studies the ‘ordinary business of life’ since it takes into account the money-earning and money-spending activities of man.

iii. Economics studies only the ‘material’ part of human welfare which is measurable in terms of the measuring rod of money. It neglects other activities of human welfare not quantifiable in terms of money. In this connection A. C. Pigou’s (1877- 1959)—another great neo-classical economist—definition is worth remembering. Economics is “that part of social welfare that can be brought directly or indirectly into relation with the measuring rod of money.”

iv. Economics is not concerned with “the nature and causes of the Wealth of Nations.” The welfare of mankind, rather than the acquisition of wealth, is the object of primary importance.

Criticisms: Though Marshall’s definition of economics was hailed as a revolutionary one, it was criticised on several grounds. They are:

i. Marshall’s notion of ‘material welfare’ came in for sharp criticism at the hands of Lionel Robbins (later Lord) (1898- 1984) in 1932. Robbins argued that economics should encompass ‘non- material welfare’ also. In Real life, it is difficult to segregate material welfare from non-material welfare. If only the ‘materialist’ definition is accepted, the scope and subject-matter of economics would be narrower, or a great part of the economic life of man would remain outside the domain of economics.

ii. Robbins argued that Marshall could not establish a link between economic activities of human beings and human welfare. There are various economic activities that are detrimental to human welfare. The production of war materials, wine, etc., are economic activities but do not promote the welfare of any society. These economic activities are included in the subject-matter of economics.

iii. Marshall’s definition aimed at measuring human welfare in terms of money. But ‘welfare’ is not amenable to measurement since ‘welfare’ is an abstract, subjective concept. Truly speaking, money can never be a measure of welfare.

iv. Marshall’s ‘welfare definition’ gives economics a normative character. A normative science must pass on value judgments. It must pronounce whether a particular economic activity is good or bad. But economics, according to Robbins, must be free from making the value judgment. Ethics should make value judgments. Economics is a positive science and not a normative science.

v. Finally, Marshall’s definition ignores the fundamental problem of scarcity of any economy. It was Robbins who gave a scarcity definition of economics. Robbins defined economics in terms of allocation of scarce resources to satisfy unlimited human wants.

4. Robbins’ Scarcity Definition:

The most accepted definition of economics was given by Lord Robbins in 1932 in his book ‘An Essay on the Nature and Significance of Economic Science. According to Robbins, neither wealth nor human welfare should be considered as the subject-matter of economics. His definition runs in terms of scarcity: “Economics is the science which studies human behavior as a relationship between ends and scarce means which have alternative uses.”

From this definition, one can build up the following propositions:

(i) Human wants are unlimited; wants multiply—luxuries become necessities. There is no end of wants. If food were plentiful, if there were enough capital in the business, if there were abundant money and time—there would not have been any scope for studying economics. Had there been no wants there would not have been any human activity. Prehistoric people had wanted. Modern people also have wanted. Only wants change—and they are limitless.

(ii) The means or the resources to satisfy wants are scarce in relation to their demands. Had resources been plentiful, there would not have been any economic problems. Thus, scarcity of resources is the fundamental economic problem to any society. Even an affluent society experiences resource scarcity. The scarcity of resources gives rise to many ‘choice’ problems.

(iii) Since the prehistoric days, one notices constant effort of satisfying human wants through the scarcest resources which have alternative uses. The land is scarce in relation to demand. However, this land may be put to different alternative uses.

A particular plot of land can be either used for jute cultivation or steel production. If it is used for steel production, the country will have to sacrifice the production of jute. So, resources are to be allocated in such a manner that the immediate wants are fulfilled. Thus, the problem of scarcity of resources gives rise to the problem of choice.

Society will have to decide which wants are to be satisfied immediately and which wants are to be postponed for the time being. This is the choice problem of an economy. Scarcity and choice go hand in hand in each and every economy: “It exists in the one-man community of Robinson Crusoe, in the patriarchal tribe of Central Africa, in medieval and feudalist Europe, in modern capitalist America and in Communist Russia.”

In view of this, it is said that economics is fundamentally a study of scarcity and of the problems to which scarcity gives rise. Thus, the central focus of economics is on opportunity cost and optimization. This scarcity definition of economics has widened the scope of the subject. Putting aside the question of value judgment, Robbins made economics a positive science. By locating the basic problems of economics — the problems of scarcity and choice — Robbins brought economics nearer to science. No wonder, this definition has attracted a large number of people into Robbins’ camp.

The American Nobel Prize winner in Economics in 1970, Paul Samuelson, observes: “Economics is the study of how men and society choose, with or without the use of money, to employ scarce productive resources which could have alternative uses, to produce various commodities over time, and distribute them for consumption, now and in the near future, among various people and groups in society.”

Criticisms: This does not mean that Robbins’ scarcity definition is fault free. His definition may be criticised on the following grounds:

i. In his bid to raise economics to the status of a positive science, Robbins deliberately downplayed the importance of economics as a social science. Being a social science, economics must study social relations. His definition places too much emphasis on ‘individual’ choice. Scarcity problem, in the ultimate analysis, is the social problem—rather an individual problem. Social problems give rise to social choice. Robbins could not explain social problems as well as social choice.

ii. According to Robbins, the root of all economic problems is the scarcity of resources, without having any human touch. Setting aside the question of human welfare, Robbins committed a grave error.

iii. Robbins made economics neutral between ends. But economists cannot remain neutral between ends. They must prescribe policies and make value judgments as to what is good for the society and what is bad. So, economics should pronounce both positive and normative statements.

iv. Economics, at the hands of Robbins, turned to be a mere price theory or microeconomic theory. But other important aspects of economics like national income and employment, the banking system, taxation system, etc., had been ignored by Robbins.

That is why the Robbinsian definition is more popular: Economics is the science of making choices. Modern economics is a science of rational choice or decision-making under conditions of scarcity.

Reference

1. What is Economics – //en.wikipedia.org/wiki/Economics
2. Meaning of Economics – //www.investopedia.com/terms/e/economics.asp
3. Simple Definition of Economics – //www.businessdictionary.com/definition/economics.html
4. Definition by Economist – //www.economicsdiscussion.net/economics-2/definitions/top-4-definitions-of-economics-with-conclusion/14134
5. Photo Credit URL – //telecoms.report/wp-content/uploads/2018/01/cropped-iStock-616902766.jpg

March 1, 2018
What is a Management? Meaning and Definition!

Learn, Management, with their Meaning and Definition!

What is a Management? Meaning and Definition! Management (or managing) is the administration of an organization, whether it is a business, a not-for-profit organization, or government body. Management includes the activities of setting the strategy of an organization and coordinating the efforts of its employees (or of volunteers) to accomplish. It’s objectives through the application of available resources, such as financial, natural, technological, and human resources. The term “management” may also refer to those people who manage an organization. Also learn, What is Revenue Management?

Meaning of Management!

Management consists of the interlocking functions of creating corporate policy and organizing, planning, controlling, and directing. An organization’s resources in order to achieve the objectives of that policy.

Definition of Management!

According to Harold Koontz, “Management is the art of getting things done through and with people in formally organized groups.”

According to Henri Fayol, “To manage is to forecast and to plan, to organize, to command, to coordinate and to control.”

Social scientists study management as an academic discipline, investigating areas such as social organization and organizational leadership. Some people study management at colleges or universities as like major degrees in management include the Bachelor of Commerce (B.Com.) and Master of Business Administration (M.B.A.). Also, the public sector for, the Master of Public Administration (MPA) degree. Individuals who aim to become management specialists or experts, management researchers, or professors may complete the Doctor of Management (DM), the Doctor of Business Administration (DBA), or the Ph.D. in Business Administration or Management.

February 27, 2018
What is the Growth Strategy for Case Study Starbucks?
Case Study Starbucks Growth Strategy; Today, Starbucks coffee shops and Kiosks can found in a variety of shopping centers, office buildings, bookstores, and other outlets. Starbucks is capitalizing on taste changes that predate the company’s founding. In the early 1960s, American adults consumed an average of three cups of coffee each day. Today, consumption has declined to less than two cups, with only half of American adults as coffee drinkers. Also learn, Starbucks’ Entry to China, What is the Growth Strategy for Case Study Starbucks?

Studies, Learn, The Growth Strategy for Case Study Starbucks!

During this time, decaffeinated coffee sales soared. In addition, a new category of intensely loyal coffee drinkers was born. This group of adults consumes “specialty” or “premium” coffees, including regular and decaffeinated versions with a variety of origins and flavors. Sales of specialty coffee have climbed from about $45 million annually to more than $2 billion today, accounting, for about 20 percent of all coffee sales.

Because Starbucks markets whole beans and coffee beverages, its competition comes from two distinct groups of firms. A number of regional coffee manufacturers distribute premium coffees in local markets, while several large national coffee manufacturers such as Nestle, Proctor & Gamble, and Kraft General Foods market and distribution specialty coffees in supermarkets. Coffee beverages are distributing by restaurants, grocery stores, and coffee retailers. Seattle’s Best Coffee is a fierce competitor.

The case of History!

In 1971, three academics, English Teacher Jerry Baldwin, History Teacher Zel Siegel, and writer Gordon Bowker opened Starbucks Coffee. Tea and Spice in Touristy Pikes Place Market in Seattle. The three were inspired by entrepreneur Alfred Peet (whom they knew personally) to sell high-quality coffee beans and equipment. The store did not offer freshly brewed coffee by the cup, but tasting samples were sometimes available.

Siegel will wear a grocers apron, scooped out beans for customers. While the other two kept their day jobs but came by at lunch or after work to help out. The store was an immediate success, with sales exceeding expectations, partly because of interest stirred by the favorable article in Seattle Times.

Other things:

Starbucks ordered its coffee-bean from Alfred Peet but later on, the three partners bought their own used roaster setting up roasting operations in a nearby ramshackle building and developed their own blends and flavors. By the year 1980s, the company had four Starbucks Stores in the Seattle area and had been profitable every year. Later on, Siegel left the company and Jerry Baldwin took over day-to-day management of the company. Gordon Bowker remained as an owner but devoted most of his time in his Design Firm.

In 1981, Howard Schultz, the vice president of U.S operations for Swedish Maker of stylish kitchen equipment and coffeemakers decided to pay Starbucks a visit. He was curious about why Starbucks was selling so many of his company products. He was impressing with the company management and the quality products they make. Schultz asked Baldwin whether there was any way he could fit into Starbucks and it took a long time to decide his request. He tries many times until one day he was given a job of heading marketing and overseeing the retail stores.

The case of Challenges:
- What are some of the challenges associated with Starbucks aggressive growth strategy?
- Could an unanticipated change in coffee consumption patterns disrupt Starbucks in the same way that it paved the way for the company’s growth in the 1980s?
- What problems might arise from Starbucks’ efforts to expand rapidly into nations such as India?
- Comment on the pricing strategies of Starbucks.
- How would you see the competition of Starbucks in India, with players like Costa Coffee, Mc Donalds, Barista and Café Coffee Day? Draw out a competitive strategy for Starbucks.
Here are Some More Knowledge these Case for better Understand.

Howard Schultz spent most of his working hours in the four stores learning the retail aspects of the company business; Schultz was overflowing with ideas for the company. His biggest inspiration and vision for Starbucks future came during 1983 when the company sent him for an international housewares show to Milan, Italy. There he spotted an espresso bar and went to take a coffee.

H. Schultz was impressed with the coffeehouse services and decided to stay at Milan for a week to explore. All coffee bars and learned as much as he could about the Italian passion for coffee drinks. He made a decision to serve fresh brewed coffee, espressos, and cappuccinos in its stores and try to create an American version of Italian coffee bar culture.

Schultz shared his idea with Baldwin and it took nearly a year to convince Jerry Baldwin to let him test an espresso bar. In April 1984, the first espresso bar was opened and it was a success too. Yet Baldwin felt something is wrong. After Schultz failed to convince Baldwin for the expansion of business, he left Starbucks in 1985. Schultz started the “Il Giornale” coffee bar chain in 1985 and the coffeehouse was very successful.

In 1987 Starbucks owner Jerry Baldwin and Bowker decide to sell the whole Starbucks chain to Schultz’s Il Giornale. Which rebranded the Il Giornale outlets as Starbucks and quickly began to expand. Starbucks opened its first locations outside Seattle at Waterfront Station in Vancouver, British Columbia, and Chicago, Illinois, that same year. At the time of its initial public offering on the stock market in 1992, Starbucks had grown to 165 outlets.

The growth of Coffee Stores!

In 2009 The Company plans to open a net of 900 new stores outside of the United States. Chairman Howard Schultz projects that the Starbucks mobile app will grow from its present 6,000 stores to more than 20,000, 75 percent of which are in the United States. Also, The company added 280 intentional locations in 2001 and is targeting. With an additional 650 stores in Europe by 2004 and 900 locations in Latin America predominantly Mexico by 2005, Starbucks is also moving into China.

Retail stores account for more than 80 percent of revenues, with specialty operations accounting for the remainder. Starbucks Corporation is an American coffee company and coffeehouse chain. Starbucks was founded in Seattle, Washington in 1971. As of 2017, the company operates 27,339 locations worldwide. Also, Starbucks first became profitable in Seattle in the early 1980s. Despite an initial economic downturn with its expansion into the Midwest and British Columbia in the late 1980s, the company experienced revitalized prosperity with its entry into California in the early 1990s.

Location:

The first Starbucks location outside North America opened in Tokyo in 1996; overseas properties now constitute almost one-third of its stores. Also, The company opened an average of two new locations daily between 1987 and 2007. Starbucks considers the main representative of “second wave coffee”, initially distinguishing itself from other coffee-serving venues in the US by taste, quality, and customer experience while popularizing darkly roasted coffee.

Since the 2000s, third wave coffee makers have targeted quality-minded coffee drinkers with hand-made coffee based on lighter roasts, while Starbucks nowadays uses automated espresso machines for efficiency and safety reasons. On December 1, 2016, Howard Schultz announced he would resign as CEO effective April 2017 and would replace by Kevin Johnson. Johnson assumed the role of CEO on April 3, 2017.

What is the Growth Strategy for Case Study Starbucks?

Reference:

1. Case Study – //www.mbaknol.com/management-case-studies/case-study-starbucks-growth-strategy/
2. About Starbucks – //en.wikipedia.org/wiki/Starbucks
3. Photo Credit URL – //cdn.someecards.com/posts/guy-uses-drone-to-pick-up-starbucks-order-0rb.png
February 23, 2018
What is the Meaning and Objectives of Accounting?

What is accounting? Meaning and Objectives of Accounting; Different scholars and Institutes have defined accounting differently. The important among them are as follows: According to Smith and Ashburne, “Accounting is the science of recording and classifying business transactions and events, primarily of a financial character and the art of making significant summaries, analysis and interpretations of these transactions and events and communicating results to persons who must take decisions or form Judgement.” Also learn, The Difference between Revaluation and Realization Account.

Understanding, learn Meaning and Objectives of Accounting.

The Committee on Terminology, appointed by the American Institute of Certified Public Accountants defined accounting as, “Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of a financial character and interpreting the results thereof.”

In fact, this is the popular definition of accounting that outlines fully the very nature and scope of accounting activity. The sum and substance of accounting, thus, is from the recording of transactions to communicating the results thereof to the concerned parties.

Objectives of Accounting:

The following are the main objectives of accounting:

1. To maintain full and systematic records of business transactions:

Accounting is the language of business transactions. Given the limitations of human memory, the main objective of accounting is to maintain ‘a full and systematic record of all business transactions.

2. To ascertain profit or loss of the business:

Business is run to earn profits. Whether the business earned the profit or incurred loss is ascertained by accounting by preparing Profit & Loss Account or Income Statement. A comparison of income and expenditure gives either profit or loss.

3. To depict the financial position of the business:

A businessman is also interested in ascertaining his financial position at the end of a given period. For this purpose, a position statement call Balance Sheet is preparing in which assets and liabilities are shown.

Just as a doctor will feel the pulse of his patient and know whether he is enjoying good health or not, in the same way by looking at the Balance Sheet one will know the financial health of an enterprise. If the assets exceed liabilities, it is financially healthy, i.e., solvent. In the other case, it would be insolvent, i.e., financially weak.

4. To provide accounting information to the interested parties:

Apart from the owner of the business enterprise, there are various parties who are interested in accounting information. These are bankers, creditors, tax authorities, prospective investors, researchers, etc. Hence, one of the objectives of accounting is to make the accounting information available to these interest parties to enable them to take sound and realistic decisions. The accounting information is creating available to them in the form of an annual report.

Also, These Objectives of Accounting is useful!

Every activity that a business firm does must do for a reason and accounting is no exception. Accounting helps the company achieve a myriad of objectives. Here is the list of objectives that accounting helps the company to obtain.

#Permanent Record

Any business firm needs a permanent record of the transactions that it indulges in. These records could require for the internal purpose, for taxation purpose or for any other purpose. Accounting serves this function. Whenever the organization commits any resource of monetary value either within the firm or outside the firm, a record is creating. This permanent record is held on for years and can retrieve as and when need be.

#Measurement of Outcome

A business firm may indulge in numerous transactions every day. It may make the profit in some of these transactions while it may make losses in some other transactions. However, the effect of all these transactions needs to aggregate over a period of time. There must be daily, weekly and monthly reports which provide information to the organization about how well it is performing its activities. Accounting serves this purpose by providing periodic financial statements which help the firm adjust their operations accordingly.

#Creditworthiness

Firms need resources for their functioning. They do not have any capital stock at hand and need to obtain them from investors. Investors will give money to the firm only if they have reasonable assurance that the firm will able to generate enough profit. Past accounting records help a great deal in proving this. All kinds of investors from banks to shareholders ask for past accounting details before they trust the management with their money.

#Efficient Use of Resources

Firms can also conduct useful internal analysis with the help of accounting data. Accounting records tell the firm what resources were commits to what activity and what time. These records also summarize the return that was obtained from these activities. Management can then analyze past behavior and draw lessons about how they could have performed better and used resources more efficiently.

#Projections

Accounting helps management and investors look forward. Costs and revenue growths can project after substantial data has been accumulating. The assumption made is that the company is likely to behave exactly as it has done in the past. Thus, analysts can make reasonable assumptions about the future based on the past record.

What is the Meaning and Objectives of Accounting?

Reference

1. Meaning and Objectives – //www.yourarticlelibrary.com/essay/accounting-meaning-and-objectives-of-accounting/41166
2. Another Objectives – //www.managementstudyguide.com/accounting-objectives.htm
3. Photo Credit URL – //paprika.com.uy/wp-content/uploads/2017/03/fabrica.jpg

February 21, 2018
What is Accounting? Meaning and Definition
Accounting is the art of conveying financial information about a business unit for shareholders and managers etc. Accounting also knows ‘business language’. In Hindi, the words ‘लेखाविधि’ (account low) and ‘लेखाकर्म‘ (accounts) are also used in ‘Accountancy’. So, the question is – What is Accounting? Meaning and Definition. Also learn, very helpful for economics, What is the Economics of Development?

Understanding and Learn, What is Accounting? Meaning and Definition!

Accountancy is the branch of mathematical science which is useful in finding out the reasons for success and failure in business. The principles of accountancy are applicable to business units on three divisions of practical arts, namely, accounting, bookkeeping, and auditing.

Meaning of Accounting!

Account’s systematic and comprehensive recording of financial transactions pertaining to a business, and it also refers to the process of summarizing, analyzing and reporting these transactions to oversight agencies and tax collection entities. Accounting is one of the key functions of almost any business; it may handle by a bookkeeper and accountant at small firms or by sizable finance departments with dozens of employees at large companies.

Definition of Accounting!

Smith and Ashburn presented the above definition with some improvement. According to him, accounting is mainly the science of recording and classification of business transactions and events of financial nature and it is the art of analyzing, analyzing and analyzing the important summaries of those transactions and events, and communicating the results to those individuals who have to make decisions.

According to this definition, the account’s both science and art. But it is almost complete science, without a complete science.

Practice and body of knowledge concerned primarily with:
- Methods for recording transactions,
- Keeping financial records,
- Performing internal audits,
- Reporting and analyzing financial information to the management, and
- Advising on taxation matters.
It is a systematic process of identifying, recording, measuring, classifying, verifying, summarizing, interpreting and communicating financial information. It reveals profit or loss for a given period, and the value and nature of a firm’s assets, liabilities and owners’ equity.

Accounting provides information on the:
- Resources available to a firm,
- The means employed to finance those resources, and
- The results achieved through their use.
Meaning and definition of accounting!

The size of the modern business has become so wide that it contains hundreds of thousands, thousands of business and billions of business transactions. It is impossible to handle business ventures by remembering the details of these transactions.

Therefore, the orderly record of these transactions is kept, their ordering knowledge and experimentation are known accountancy only. The practical form of accountancy can also know to account.

According to the AICPA (American Institute of Certified Public Accountants) accounting terminology, Bulletin states that;

“Accounting is the effect of writing, classifying and summarizing the behaviors and events that are at least partly of financial nature, effectively And the art of interpreting their results.”

According to this definition, accounting is an art, not science. This art is using for the recording, classification, condensation, and interpretation of scalable behaviors and events in the currency of the financial nature.

Accounting or accountancy is the measurement, processing, and communication of financial information about economic entities such as businesses and corporations. The modern field was establishing the Italian mathematician Luca Pacioli in 1494.

Accounting, which is known as the “language of business”, There are many quotations like “A pen is mightier than the sword but no match for the accountant” by Jonathan Glancey which tell us about the power and importance of accounting.

The textbook definition of accounts states that it includes recording, summarizing, reporting and analyzing financial data. Let us try and understand the components of accounting to understand what it really means:

#Recording!

The primary function of accounting is to make records of all the transactions that the firm enters into. Recognizing what qualifies as a transaction and making a record of the same is call bookkeeping.

Bookkeeping is narrower in scope than accounting and concerns only the recording part. For the purpose of recording, accountants maintain a set of books. Their procedures are very systematic. Nowadays, computers have deployed to automatically account for transactions as they happen.

#Summarizing!

Recording of transactions creates raw data. Pages and pages of raw data are of little use to an organization for decision making. For this reason, accountants classify data into categories. These categories are defined in the chart of accounts. As and when transactions occur, two things happen, firstly an individual record is made and secondly, the summary record is updating.

For instance, a sale to Mr. X for Rs 100 would appear as:
- Sale to Mr. X for Rs 100
- Increase the total sales (summary) from 500 to 600
#Reporting!

Management is answerable to the investors about the company’s state of affairs. The owners need to periodically update the operations that are financing with their money. For this reason, there are periodic reports which are sent to them.

Usually, the frequency of these reports is quarterly and there is one annual report which summarizes the performance of all four quarters. Reporting is usually done as financial statements. These financial statements are regulating by government bodies to ensure that there is no misleading financial reporting.

#Analyzing!

Lastly, accounting entails conducting an analysis of the results, After results have to summarize and report, meaningful conclusions need to draw. Management must find out its positive and negative points, Accounting helps in doing so by means of comparison. It is common practice to compare profits, cash, sales, assets, etc with each other to analyze the performance of the business.

What is Accounting? Meaning and Definition.

Reference

1. Meaning – //www.investopedia.com/terms/a/accounting.asp
2. Definition – //www.businessdictionary.com/definition/accounting.html
3. Meaning and Definition – //www.managementstudyguide.com/what-is-accounting.htm
4. Photo Credit URL – //downsaccounting.com.au/wp-content/uploads/2016/02/accounting.jpg
February 21, 2018
What is the Economics of Development? Meaning and Definition
Economics of Development (ED): Economic development is the process by which a nation improves the economic, political, and social well-being of its people. The term has used frequently by economists, politicians, and others in the 20th and 21st centuries. The concept, however, has been in existence in the West for centuries. Modernization, Westernization, and especially Industrialization are other terms people have used while discussing economic development. Economics development has a direct relationship with the environment and environmental issues. Also Learn, How to explain Nature of Business Economics? Economics of Development, Meaning, and Definition!

Learn, Economics of Development, Meaning, and Definition!

Definition of ED? Progress in an economy, or the qualitative measure of this. Economic development usually refers to the adoption of new technologies. The transition from agriculture-based to an industry-based economy, and general improvement in living standards.

What is ECD (Economics of Development)?

About Economics of Development, Many developing countries suffer from endemic poverty, slow economic growth, unequal distribution of income and wealth. Low levels of agricultural and industrial investment, and ineffective government services. Compounding, and partly giving rise to, these problems are shocks emanating from the world economy.

The Economics of Development (ECD) major provides students with the theoretical knowledge, policy awareness. And, analytical techniques to tackle many of the key issues facing their countries in respect of Economics Development and economic policy analysis. The major integrates macroeconomic issues with the underlying microeconomic processes, emphasizing the importance of, on the one hand.

Extra things:

The global economic environment and, on the other hand, domestic institutions, regulatory frameworks, and socio-economic groups. It pays particular attention to the impact of international and domestic economic policies on growth, poverty and income distribution in developing countries. And, seeks to bring out the fundamental linkages between economic growth and human development.

The approach to teaching in the ECD major has a strong comparative element; both in terms of theoretical perspectives on development problems and policies as well as the experiences of different countries. Global and individual country studies and policy briefs, drawn from an array of research institutions and organizations, are used to help students see how economic analysis can bring to bear upon key development problems.

After completing this major, students will have a solid knowledge of contemporary academic and policy-making debates in development. Including the different economics development perspectives underlying these debates. As a consequence, they will well prepare to better equipped to enter policy dialogues at the national level and international levels and engage in related policy research to provide new solutions to existing problems in a changing environment.

Economic development:

Is the development of the economic wealth of countries, regions or communities for the well-being of their inhabitants. From a policy perspective, economic development can define as efforts that seek to improve the economic well-being and quality of life for a community by creating and/or retaining jobs and supporting or growing incomes and the tax base.

Overview: There are significant differences between economic growth and economic development. The term “economic growth” refers to the increase (or growth) of a specific measure such as real national income, gross domestic product, or per capita income. National income or product is commonly expressed in terms of a measure of the aggregate value-added output of the domestic economy called gross domestic product (GDP). When the GDP of a nation rises economists refer to it as economic growth.

The term “economic development,” on the other hand, implies much more. It typically refers to improvements in a variety of indicators such as literacy rates, life expectancy, and poverty rates. GDP is a specific measure of economic welfare that does not take into account important aspects such as leisure time, environmental quality, freedom, or social justice. The economic growth of any specific measure is not a sufficient definition of economic development.

Local development:

The term “Economics Development” is often used in a regional sense as well (e.g., a mayor might say that “we need to promote the economic development of our city”). In this sense, economic development focuses on the recruitment of business operations in a region. Assisting in the expansion or retention of business operations within a region or assisting in the start-up of new businesses within a region.

In addition to economic models, the needs of constituency groups guide economic developer’s actions. For example, a local economic developer working out of a mayor’s office may act towards decreasing unemployment by attracting businesses with large labor needs (call centers). The economic developer working for the chamber of commerce dominated by banks.

Real estate agents and utilities will recruit manufacturers with large capital investments (steel and chemical plants). The economic developer working for the state manufacturers association will lobby for more workforce training money. An economic developer working for a university will concentrate on business start-ups. Specifically, those based on intellectual property developed by the university (biotech).

Their major areas:

In its broadest sense, economic development encompasses three major areas:
1. Policies that governments undertake to meet broad economic objectives such as price stability, high employment, expanded tax base, and sustainable growth. Such efforts include monetary and fiscal policies, regulation of financial institutions, trade, and tax policies.
2. Policies and programs to provide infrastructure and services. Such as highways, parks, affordable housing, crime prevention, and educational programs and projects.
3. Policies and programs explicitly directed at job creation and retention through specific efforts in business finance. Marketing, neighborhood development, small business start-up and development, business retention and expansion, technology transfer, workforce training, and real estate development. This third category is a primary focus of economic development professionals.
Economic developers:

Economic development, which is thus essentially economics on a social level, has evolved into a professional industry of highly specialized practitioners. The practitioners have two key roles: one is to provide leadership in policy-making, and the other is to administer policy, programs, and projects.

Economic development practitioners generally work in public offices on the state, regional, or municipal level, or in public-private partnerships organizations that may partially fund by local, regional, state, or federal tax money. These economic development organizations (EDOs) function as individual entities and in some cases as departments of local governments. Their role is to seek out new economic opportunities and retain their existing business wealth.

With more than 20,000 professional economic developers employed worldwide in this highly specialized industry. The International Economic Development Council [IEDC] headquartered in Washington, D.C. is a non-profit organization dedicated to helping economic developers do their job more effectively and raising the profile of the profession. With over 4,500 members across the US and internationally, serving exclusively the economic development community.

Extra things:

Membership represents the entire range of the profession ranging from regional, state, local, rural, urban, and international economic development organizations. As well as chambers of commerce, technology development agencies, utility companies, educational institutions, consultants and redevelopment authorities. Many individual states also have associations comprising economic development professionals and they work closely with IEDC.

There is intense competition between communities, states, and nations for new economic development. Projects in today’s globalized world and the struggle to attract and retain business is further intensified by the use of many variations of economic incentives to the potential business. There is significant attention placed on the various activities undertaken by economic development organizations to help them compete and sustain vibrant communities.

Additionally,

The uses of community profiling tools and database templates to measure community assets versus other communities is also an important aspect of economic development. Job creation, economic output, an increase in taxable basis are the most common measurement tools. When considering measurement, too much emphasis was placed on economic developers for “not creating jobs”.

However, the reality is that economic developers do not typically create jobs. But facilitate the process for existing businesses and start-ups to do so. Therefore, the economic developer must make sure that there are sufficient economic and community development programs in place to assist the businesses to achieve their goals. Those types of programs are usually policy-created and can local, regional, statewide and national.

What is the Economics of Development? Meaning and Definition.
February 20, 2018
What is Building and Principles of Organizational Commitment?

First learn, Continuance Commitment! Organizational commitment is different from continuance commitment. Whereas organizational commitment is an emotional bond to the organization, continuance commitment is a calculative attachment. Employees have high continuance commitment when they do not particularly identify with the organization. Where they work but feel bound to remain there because it would be too costly to quit. Also learn, Explain are Evolution, Elements of an Organizational Climate!

Learn, Understanding of Building and Principles of Organizational Commitment!

In other words, they choose to stay because the calculated (typically financial) value of staying is higher than the value of working somewhere else. You can tell someone has a high calculative commitment when she or he says, “I hate this place but can’t afford to quit!” This reluctance to quit may be due to the risk of losing a large bonus by leaving early or because the employee is well established in the community.

The building of Organizational Commitment!

There are almost as many ways to build organizational loyalty as topics in this textbook, but the following list is most prominent in the literature:

Justice and support:

Employee loyalty is higher in organizations that fulfill their obligations to employees and abide by humanitarian values, such as fairness, courtesy, forgiveness, and moral integrity. These values relate to managers’ need to continually pay attention to the fairness of their decisions. Such as the distribution of rewards and resources. The more justice employees perceive, the higher their loyalty to the organization. Similarly, organizations that support employee well-being tend to earn higher levels of loyalty in return.

Shared values:

The definition of organizational commitment refers to a person’s identification with the organization, and that identification is highest. When employees believe their values are congruent with the organization’s dominant values. Values congruence makes employees feel more comfortable with corporate decisions.

Trust:

Trust is defined as a psychological state comprising the intention to accept vulnerability based on positive expectations of the intent or behavior of another person. A Trust means putting faith in the other person or group. It is also a reciprocal activity: To receive trust, you must demonstrate trust.

Employees identify with and feel obliged to work for an organization only when they trust its leaders. This explains why layoffs are one of the greatest blows to employee loyalty: By reducing job security, companies reduce the trust employees have in their employer and the employment relationship.

Organizational comprehension:

Organizational commitment is a person’s identification with the company, so it makes sense that this attitude is strengthened. When employees understand the company, including its past, present, and future. Thus loyalty tends to increase with open and rapid communication to and from corporate leaders, as well as with opportunities to interact with coworkers across the organization.

Employee involvement:

Employees feel that they are part of the organization when they contribute to decisions that guide the organization’s future. This employee involvement also builds loyalty because giving this power demonstrates the company’s trust in its employees.

Organizational commitment and job satisfaction represent two of the most often studied and discussed attitudes in the workplace. Each is linked to emotional episodes and cognitive judgments about the workplace and relationships with the company.

Emotions also play an important role in another concept that is on everyone’s mind these days: stress. Indeed, managing work-related stress is central to managing employee well-being. Over the next few pages, we will examine the stress process, its causes, and, most important, how to improve employee well-being by managing work-related stress.

Principles of Organizational Commitment!

The Following Principles are three types in the base of Organizational Commitment. Also, want to know about, What are Dimensions of Organizational Climate?

Behavioral Principles!

There is mostly the practice of literature in this area. It is the specific content that tries to find someone committed to making a group rather than being a member or a supporter. Adainika Tella et al., Writing about the library in Nigeria, citing many behavioral factors in making a committed person. This is the variety of work on work, “role ambiguity,” the attitude of colleagues and friends, the attitude of choice for the organization, and the skill variety. These roles begin to point to independence, but the lack of expertise and interesting, rewarding labor.

Social Identification Theory!

Social identity is a simple catch that everyone wants to increase their self-worth by connecting to a specific organization or group for the people. This behavior does not rule out the attitude but rather seeks to get behind this specific material for this type of commitment. Identity theory argues that there is a positive self-concept-a group that is linked to your very own person, making it partial to at least in part by having positive associations. An example can be for a man working for a social service organization. The group can strong positive social organizations, which, in turn, reflect on this work as a man.

Self-classification Theory!

The self-classification approach is that they themselves have created. Through these organizational relationships and people can see themselves at many different levels. You can see yourself as a person, but in this part, is associated with social groups who relate to you. Then you are a “subdued person” or a person. Whose identities are working in such a fixed position or as a living in a certain area, these social contacts get out of the running? The point is that organizational commitment is largely based on how a person has created his identity. Groups that are part of this identity to which it belongs, you can expect a great deal of commitment.

What is Building and Principles of Organizational Commitment?

Reference

1. Continuance Commitment – #wisdomjobs.
2. Build OC – #wisdomjobs.
3. Principles OC – #hihow.win.
4. Photo Credit URL – #mr-marinegroup.

February 11, 2018
What is Organizational Commitment?

Organizational commitment, When a certain group member shows itself with the group and is willing to work intensely on its behalf. In these cases, an organizational committed person takes a large part of his identity from the group and has positive associations with it. It is not only in the form of organizational identity or inspiration, but both are more comprehensive than the comparison. Commitment can especially see as a broad concept of self-definition. Also learn, What are Impact of Organizational Climate on Job Satisfaction, Dimensions? What is Organizational Commitment?

Learn and Understanding of Organizational Commitment!

In organizational behavior and industrial and organizational psychology, organizational commitment is the individual’s psychological attachment to the organization. The basis behind many of these studies was to find ways to improve how workers feel about their jobs so that these workers would become more committed to their organizations. Organizational commitment predicts work variables such as turnover, organizational citizenship behavior, and job performance. Some of the factors such as role stress, empowerment, job insecurity and employability, and distribution of leadership have existed shown to connect to a worker’s sense of organizational commitment. employee experiences a ‘sense of oneness’ with their organization.

Organizational scientists have also developed many nuanced definitions of organizational commitment, and numerous scales to measure them. Exemplary of this work is Meyer and Allen’s model of commitment, which was developed to integrate numerous definitions of commitment that had been proliferated in the literature. Meyer and Allen’s model has also been critiqued because the model is not consistent with empirical findings. It may also not be fully applicable in domains such as customer behavior. There has also been debate surrounding what Meyers and Allen’s model was trying to achieve.

Definition of Organizational Commitment!

The definition of commitment also changes. They do, however, do more for just one group to support some walking around. An Oakland can root for the raiders, but do not recognize themselves with such a raiders organization. One can be a patriotic carb but not identify with the government, bureaucracy, or how the economy is run. Commitment is typically more organizational and more comprehensive than these examples. It is broad in the sense that it is a state of mind being able to do with day-to-day labor, self-identification within a specific organization or group rather than a lifestyle.

“The strength of the feeling of responsibility that an employee has towards the mission of the organization.”

Along with job satisfaction, managers need to ensure that employees have reasonably high levels of organizational commitment. Organizational commitment refers to an employee’s emotional attachment to, identification with, and involvement in a particular organization. Don’t forget for reading it, Explain are Evolution, Elements of an Organizational Climate!

It is the employee’s pride and loyalty toward the organization. Managers need to pay attention to this attitude because loyal employees are less likely to quit their jobs and be absent from work. They also tend to provide better customer service because long-tenured employees have a deeper knowledge of work practices, and clients like to do business with the same employees.

Employees with greater commitment also have higher work motivation as well as somewhat superior job performance. Notice that we recommended that employees should have “fairly high” levels of organizational commitment. Employees with very high loyalty tend to have high conformity, which results in lower creativity. There are also cases of dedicated employees who have violated laws to defend the organization. However, most companies suffer from too little rather than too much employee loyalty.

Reference

1. What is it? – //en.wikipedia.org/wiki/Organizational_commitment
2. Definitions – //www.wisdomjobs.com/e-university/principles-of-management-tutorial-293/organizational-commitment-9474.html
3. Photo Credit URL – //pbs.twimg.com/media/DIa_UeOUwAAF–s.jpg

February 11, 2018