Photographs of the Lillis. Basic Elements of Photography and Essay

Photographs of the Lillis. Basic Elements of Photography and Representation versus Reality - Essay Example Even the elevators, which often, in school buildings, are run down, this was not the case in this building. The elevator, too, looked modern – it was chrome, and like the rest of the building, was clean. That was probably the word that I would most use to describe this experience and the space - it was clean and uncluttered. I also liked the open-air feeling of the atrium, and the large windows gave the degree of natural light that was very relaxing for this experience. I can see why this would be a popular place for students, because the entire space gives an air of some place where people can relax, socialize and study. And this was the theme that was presented in this building – it is obvious that the architects of this space had a relaxing and clean aesthetic in mind. There was nothing about this building that was industrial or garish or harsh. The walls were not painted in bright or dark colors, and there was very little wood that was exposed, either. No real indus trial look, like exposed pipes or something like that. From the tiled floors to the large meeting rooms, to the large atrium meeting hall, that was the aesthetic that was felt in this space. This was what so appealing about this space. As for what was unappealing about the space, I felt that perhaps the hallways, which were captured as part of these photographic sequences, seemed a little claustrophobic. They could have been widened a little to give even more of an impression of detail and relaxation. My photographing of this space was both intuitive and rational. That is, I gravitated towards certain parts of the building, just naturally – this was something that I used to determine which photographs to take, which was the places where I felt most comfortable and relaxed. That said, there also was a rational approach to the picture taking. The rational approach was that I knew that I had to diversify in taking the pictures – I couldn’t just take shots of the be auty of the building, without also taking shots of the mundane. Therefore, I felt the need to make sure that things like the chrome elevators were featured in this spread, as well as other things such as metal boxes and drinking fountains and other things that are important to a building, but may not be the main draw. I felt, consciously, that I needed to completely represent the building, as opposed to highlighting the high points. I did feel that the digital camera would give me a slightly different result than a traditional camera. That is because I would be able to see, in real time, how the photographs looked, and this is what I based my portfolio on. The real time photographs. I was able to note that I was hitting the points that I wanted to hit. If I was taking pictures with a traditional camera, this would not be available as much. I chose two photographs. The one photograph that I chose was the one of the students in their tables, with the open air windows in the background . The other photograph that I chose was the photograph of the metal boxes that were lined against one wall. The reason why I chose these two photographs, in particular, was that these represented opposite ends of the spectrum, in terms of aesthetics. I felt that, by choosing these two photographs, I represented the building the best. In other words, the building was not just about the beauty, but also about the mundane things that makes a building what it is. I felt that this was the best use of my photographer’

Coach or Mentoring Reflection Essay Example | Topics and Well Written Essays - 750 words

Coach or Mentoring Reflection - Essay Example This research begins with the statement that mentoring, or coaching, refers to the training of an individual or a group of people. A single or a corporate entity, with the aim of developing positive outcomes in a mentee, may undertake it. The teachers’ responses to the pre-established questions on the characteristics and types of support offered by a mentor or a coach corresponded with slight differences in the mentor’s approach to the mentoring process. The teachers, for example, agreed that a mentor must be a person of integrity who is honest and ethical in the mentoring process. They both cited advantages of honesty and morality in the process towards effectiveness. While honesty develops the mentee’s trust and facilitates freedom between the two parties, the mentor’s morality induces the mentee’s confidence. These allow the mentee to express strengths and weaknesses, comfortably, for an effective mentoring process. The teachers also stressed tha t integrity is core to every mentorship relationship. They also shared a common opinion on the mentor’s passion in the process and they argued that the passion is likely to motivate the mentored party who may associate it with his or her already developed qualities. One teacher, however, suggested that such passion should be moderately expressed while the other argued for total expression of the mentor’s passion. There was however, a conflicting opinion on whether the mentor should be willing to learn more from the process.   One teacher expressed the opinion that the mentor is a trainer and should learn outside, and before mentoring process. He identified research on effective mentoring skills as an approach towards learning about the mentoring process and pointed out that learning from the process my adversely affect the mentee’s confidence, and the overall effectiveness of the learning process. The other teacher however supported an open approach that allow s a mentor to learn from each process. She identified differences among mentored subjects as an avenue towards learning and argued that published mentoring skills are mere guidelines. Awareness of each mentee and the mentoring environment should therefore be allowed for development of appropriate mentoring techniques. There was however an agreement between the respondents that a mentor be enthusiastic and committed to any assignment that may arise from the process. This, they argued, facilitates the same characteristics in the mentored parties and promotes effectiveness of mentoring processes (Zachary, 2000). A mentor should further be focused on solving problems and empowering others to capacity by delegating work. A transformational form of influence should however follow this to ensure effective transfer of skills and potentials to the mentee. There were however, conflicting opinion on a mentor’s need to understand reformation and transformational processes. While one teacher argued that effective mentorship is about influence and empowerment that is attainable through demonstrations, the other teacher insisted on the significance of transformation and reformation processes in molding a mentee to a desired level of potential. They however agreed that a mentor should be a catalyst to motivate development of the mentee’s potentials. They also agreed that a mentor should desire to grow and should be able to identify other people’s interest and to facilitate development of such interests. He or she should therefore strife for personal excellence while interacting with other people to understand their abilities. A good mentor should also have good communication skills to facilitate understanding in the mentoring process. This is because the skills enable the mentor to communicate objectives to a mentee

High Performance Work System

High Performance Work System Exploring the Performance Impact of High Performance Work Systems in Professional Service Firms: A practices-Resources-Uses Approach ABSTRACT. In the present study, we develop a practices-resources-uses approach to systematically explain the indirect effect of high performance work systems (HPWS) on firm performance in professional service context. We argue that HPWS result in the creation of human capital, social capital and organizational capital resources. These resources in turn create value for firms when they are effectively explored and exploited. Our analysis of the indirect impact of HPWS on firm performance contributes to the understanding of how and why HPWS affect firm performance by identifying valuable resources and finding out the way to effectively use them in professional service firms (PSFs). We also provide theoretical support for the arguments of the resource-based view of firm (Barney, 1991), the knowledge-based theory of firm (Grant, 1996a, 1996b) and the dynamic capabilities (Teece, Pisano Shuen, 1997) perspectives. Key words: High Performance Work System; Professional Service Firms; Resource-Based View of Firm INTRODUCTION Researchers on strategic human resource management (SHRM) argue for a focus on the bundle of HR practices rather than individual practices, as a primary unit of analysis when examining the impact of HR systems on individual and organizational performance (Huselid, 1995; MacDuffie, 1995). For example, high performance work systems (HPWS) (Datta, Guthrie, Wright, 2005) have been found to positively relate to firms outcomes especially in manufacturing firms, such as financial performance (Guthrie, 2001; Huselid, 1995), employee turnover (Richard Johnson, 2001), firm productivity (Guthrie, 2001), efficiency and flexibility (Evans Davis, 2005), and organizational commitment (Youndt, Snell, Dean Jr, Lepak, 1996). However, the relationship between HPWS and firm performance is indirect and many scholars call for deeper and more theoretical approaches to understand how and why high performance work systems (HPWS) affect firm performance (Bowen Ostroff, 2004; Combs, Liu, Hall, Ketchen, 2006; Delery Shaw, 2001), especially in service organizations (Combs et al., 2006). Based on the existing research, we argue that HPWS results in the creation of human capital (Wright, Dunford, Snell, 2001), social capital (Leana Van Buren III, 1999) and organizational capital resources (Koch McGrath, 1996). Only when these resources are effectively managed and utilized, firms can generate superior profit above that which returns to competitors in perfectly competitive environment (Schultz, 1961), achieve sustainable competitive advantage and create value (Barney Arikan, 2001; Sirmon, Hitt, Ireland, 2007). The causal chain between resource endowment and firm performance is unclear and is in need of theoreti cal explication and empirical investigation (Leana Van Buren III, 1999). Thus, we pursue two research questions: (1) How do HPWS affect firm performance in the professional services context? (2) What are valuable resources and how are they utilized by firms? Guided by the contingency theory, the resource-based view of the firm (RBV) (Barney, 1991), the knowledge-based theory (Anand, Gardner, Morris, 2007; Grant, 1996a, 1996b; Teece, 2003; Winch Schneider, 1993) and dynamic capabilities theory (Teece et al., 1997; Eisenhardt Martin, 2000), we propose a ‘practices-resources-uses performance approach to add insight to our understanding of the value creation-exploitation process in the professional service firm (PSF). The paper is structured as follows. First, we briefly introduce the literature on PSFs and explain why we chose these organisations to conduct our research. We then propose a model that highlights how HPWS affect firm performance. We argue that HPWS affect firm performance through two steps. First, HPWS create firm resources, i.e., human capital, social capital, and organizational capital. And then these resources are exploited to improve firm performance in the short run or are explored to improve firm performance in the longer run. Within the HPWS and firm performance relationship research, our model draws on the â€Å"practices-resources-uses† perspective, and provides important theoretical foundations for understanding how and why HR practices affect firm performance. We then discuss the further implications of the study for practitioners and explore the potential areas for future research. CONTEXT Professional Service Firms (PSFs) are those whose primary assets are a highly educated (professional) workforce and whose outputs are intangible services encoded with complex knowledge (Greenwood, Li, Prakash, Deephouse, 2005). Examples of professional services include accounting, engineering consulting, management consulting and legal services (De Brentani Ragot, 1996). PSFs are knowledge-intensive (Morris, 2001; von Nordenflycht, 2007, 2010) with knowledge encoded in services as outputs (Empson, 2007; Morris Empson, 1998; von Nordenflycht, 2007, 2010). PSFs are different from traditional firms. They primarily exploit intangible assets to produce customized solution for clients (Greenwood et al., 2005; Hitt, Shimizu, Uhlenbruck, Bierman, 2006; Là ¸wendahl, 2005; von Nordenflycht, 2007, 2010). Their human resources constitute the critical asset of the PSFs because they embody expertise and create firm-specific knowledge which can be translated into client solutions. Indeed clien ts may often follow professionals if they change firms (Groysberg Lee, 2009). Because PSFs differ from other firms, to apply theories from other forms of organizations is â€Å"not only inapplicable †¦ but may be dangerously wrong† (Maister, 1993: xvi). Our analysis will represent a good site to examine SHRM because human resources constitute the critical asset and therefore a strong test of the practices-uses-resources model which is what we need to justify. THERETICAL BACKGROUND AND PROPOSITONS Strategic Human Resource Management (SHRM) Strategic human resource management (SHRM) is defined as â€Å"the pattern of planned human resource deployments and activities intended to enable an organization to achieve its goals† (Wright, McMahan, McWilliams, 1994: 298). Because firm performance stands out as a major organizational goal, many studies have been conducted that examine the linkage between human resources management practices and firm performance (Arthur, 1994; Becker Gerhart, 1996; Datta et al., 2005; Delery Doty, 1996; Guthrie, Flood, Liu, MacCurtain, 2009; Huselid, 1995; MacDuffie, 1995; Richard Johnson, 2001; Terpstra Rozell, 1993; Youndt et al., 1996). The researchers in this field argue that the bundle of HR practices rather than individual practices should be focused as a primary unit of analysis when examining the impact of HR systems on individual and organizational performance (Huselid, 1995; MacDuffie, 1995). Following the above argument, researchers have been encouraged to take a system perspective in examining the performance impact of HRM on relevant organizational outcomes (Wright Boswell, 2002). For example, the study by Youndt et al. (1996) demonstrated that human capital-enhancing HR system was directly related to multiple dimensions of operational performance, i.e., employee productivity, machine efficiency, and customer alignment; the results of Collins and Clark (2003) indicates that the network-building HR practices positively related to the organizational performance, i.e., growth in sales and stock return; the research by Huselid (1995) illustrates a positive relationship between high performance work practices and organizational turnover, productivity and financial performance; the research on high performance work systems (HPWS) conducted by Datta et al. (2005), Guthrie et al. (2009) and Combs et al. (2006) finds that HPWS positively affected firms labour productivity, employee absenteeism and turnover. HPWS include HR practices that are designed to enhance employees skills, commitment, and productivity (Datta et al., 2005). Most previous literature on the relationship between HRM practices and firm performance has looked at the direct relationship. However, many scholars agree that there are probably mediating variables through which HRM practices affect firm performance. As Wright and Gardner (2000:4) write, â€Å"One of the first issues that must be settled in the effort to understand how HR practices impact performance is to theorize the means through which this relationship occurs, in essence specifying the intervening variables between the measure of HR practices and the measure of firm performance.† In the existing research, some scholars found human capital as one of mediators between SHRM and firm performance. Human capital refers to the stock of skills and knowledge embodied in individuals (Becker, 1964; OSullivan Sheffrin, 1998). Guest (1997) argues that SHRM improve employees quality, i.e., skills and abilities. Snell and Dean (1992) also argue that HRM should ideally work to enhance the firms competitive position by creating superior human capital skills, experience and knowledge that contribute to firm economic value. Wright et al. (2001) assert that HPWS might have resulted in the creation of a high quality human capital pool that cannot be easily imitated because of time compression diseconomies (e.g., Mercks RD capability). Becker and Huselid (1996) state that human resource activities are thought to lead to the development of a skilled workforce and one that engages in functional behavior for the firm, thus forming a source of competitive advantage. This results in h igher operating performance, which translates into increased profitability, and consequently results in higher stock prices (or market values). There are also some scholars found that many human resource management practices have a significant role to play in creating social capital. Social capital is a resource which is embedded in the relationship among individuals (Loury, 1977; Coleman, 1988, 1990; Bourdieu; 1985; Burt, 1992; Putnam, 1993; Nahapiet Ghoshal, 1998; Lin, 2001). For example, Wright et al. (2001) argue that HPWS may promote and maintain socially complex relationships characterized by trust, knowledge sharing, and teamwork (e.g., Southwest Airlines unique culture). Youndt, Subramaniam and Snell (2004) state that thoughtful selection of people who ‘fit with the organizations culture, or intensive training programmes that not only socialize incoming employees but also indoctrinate common values among existing employees, may have a strong impact on the social capital of organizations. Leana and van Buren III (1999) introduce the construct of organizational social capital and develop a model that describes i ts components and consequences. They suggest that employment practices strongly affect the level of organizational social capital within a firm. They also describe the potential benefits and costs of organizational social capital for the firm and noted the contingent nature of organizational social capitals relationship with performance. In other words, organizational social capital mediates the HR practices and organizational performance relationship. Evans and Davis (2005) provide a theoretical framework illustrating how the internal social structure of the organization can mediate the relationship between HPWS and organizational performance. The third mediator between SHRM and firm performance is found as organizational capital. Subramaniam and Youndt (2005) and Youndt et al. (2004) define organizational capital as the institutionalized knowledge and codified experience residing within and utilized through databases, patents, manuals, structures, systems, and processes. Wright et al. (2001) argue that HPWS might play a role in creating cultures or mindsets that enable the maintenance of unique competencies. They mention that HR is not limited to its direct effects on employee skills and behavior. HRs effects are more encompassing in that they help weave those skills and behaviors within the broader fabric of organizational processes, systems and, ultimately, competencies. Other strategists who embrace the RBV point out that competitive advantage (vis core competence) comes from aligning skills, motives, and so forth with organizational systems, structures, and processes that achieve capabilities at the organizational lev el (Hamel Prahalad, 1994; Peteraf, 1993; Teece et al., 1997). Koch and McGrath (1996) take a similar logic in their study of the relationship between HR planning, recruitment, and staffing practices and labor productivity. They argue that â€Å"†¦ a highly productive workforce is likely to have attributes that make it a particularly valuable strategic asset,† (p. 335). They suggest firms that develop effective routines for acquiring human assets develop a stock of talent that cannot be easily imitated. The human capital, social capital and organizational capital are defined as three components of intellectual capital. One systematic research conducted by Youndt et al. (2004) find that a relatively small group of superior performing organizations exhibit high levels of human, social, and organizational capital. Most firms, however, tend to focus primarily on only one form of intellectual capital, and a small group of underperforming organizations have very low levels of all three types of intellectual capital. Another research by Subramaniam and Youndt (2005) suggest that an organizations efforts at hiring, training, work design, and other human resource management activities may need to focus not only on shoring up their employees functional or specific technological skills/expertise, but also on developing their abilities to network, collaborate, and share information and knowledge. To summarize, although the relationship between SHRM and firm performance has been found positive, it is indirect. Efficient SHRM could improve employees knowledge, skills, strength the relationships between employees, and also create superior databases, processes and then help firms achieve higher performance. In the following section, we analyse how HPWS create firm resources in PSFs. HPWS and Firm Resources There is a positive relationship between HPWS and firm performance. But how HPWS affect firm performance remains to be understood. The resource-based view of firm (RBV) argues that a firms competitive advantages lie primarily on the application of valuable resources, skills and capabilities that the firm already control (Barney, 1991; Penrose, 1959; Wernerfelt, 1984). The knowledge based theory of firm (Grant, 1996a, 1996b) considers knowledge as the most strategically significant resource of the firm. This knowledge is embedded and carried through multiple entities including individuals, relationships and organizational culture, identity, routines, documents, systems. Guided by the resource-based view of firm (Barney, 1991) and the knowledge-based theory of firm (Grant, 1996a, 1996b), we argue that HPWS affect firm performance by creating valuable, rare, imperfectly imitable, and non-substitutable resources (Barney, 1991), i.e., human capital, social capital, and organizational capital. And these resources can also be understood as the places where knowledge is embedded. Human capital. In PSFs, the human capital is defined as the knowledge and skills of their professionals that can be used to produce high quality professional services (Hitt, Bierman, Shimizu, Kochhar, 2001; Hitt et al., 2006; Pennings, Lee, Van Witteloostuijn, 1998). Human capital plays a strong role as the PSFs key resource in solving client problems (Morris Snell, 2008). Professionals possessing large amounts of experience, education, and training should be able to effectively create ideas on their own in response to the complexities of unique client needs. Their localized experience helps them to understand the needs of local clients and markets, which allows them to develop solutions that are unique to each contextual environment and hence heterogeneous across the firm. Professionals who draw the most upon human capital tend to rely on the experimentation, inspiration, and experience of individuals to solve a problem (Morris Snell, 2008). To build high human capital, PSFs nee d to identify, attract and retain superior professionals, which can be achieved through HR practices such as selection, recruitment and training. HRM should ideally work to enhance the firms competitive position by creating superior human capital skills, experience and knowledge that contribute to firm economic value (Guest, 1997). Thus we propose that HPWS result in the creation of a high quality human capital pool that cannot be easily imitated because of time compression diseconomies, e.g., Mercks RD capability (Wright et al., 2001). For example, the professionals in PSFs gain explicit knowledge through their formal education and tacit knowledge through learning on the job. HR practices are thought to lead to the development of a skilled workforce and one that results in functional behavior for the firm, thus potentially forming a source of competitive advantage (Becker Huselid, 1998). These arguments lead to the following proposition. Proposition 1a: The PSFs human capital mediates the relationship between HPWS and firm performance. Although human capital has many positive benefits, it represents costs to firms as well. For example, PSFs usually try to recruit the best graduates from top institutions. To attract them, firms need to provide compensation which is more than their marginal productivity early in their careers (Hitt et al., 2001). Furthermore, professionals new skills must be developed since they gain tacit knowledge through learning on the job (Bierman Gely, 1994). Although they are learning new skills, they may be less effective at the beginning. The cost for them may exceed their capital (Hitt et al., 2001). These arguments lead to the following proposition. Proposition 1b: There is a curvilinear relationship between the PSFs human capital and firm performance. The relationship is negative early in the professionals tenure but becomes positive. Social capital. Social capital is a resource which is embedded in the relationships among individuals (Loury, 1977; Coleman, 1988; Bourdieu; 1985; Burt, 1992; Putnam, 1993; Nahapiet Ghoshal, 1998; Lin, 2001). It is different from human capital. Social capital is embedded within, available through, and derived from the network of relationships possessed by an individual or social unit (Nahapiet Ghoshal, 1998) while human capital is embedded in individuals head (Becker, 1964; OSullivan Sheffrin, 2003). Social capital plays an important role in PSFs. The firms ability to attract and retain clients depends not only on its competence to provide high quality services produced by the professionals human capital but also on their connections to potential clients (Maister, 1993; Smigel, 1969). Pennings et al. (1998) analysed firm-level and individual-level social capital in PSFs. The firm-level social capital can help PSFs attract potential clients because the potential clients will choose a firm as a service provider on the basis of previous interpersonal relationship with the firms professionals when other things are equal. Within PSFs, the fact is that a set of clients are handled or looked after by an individual professional who is the key person. Their results show that social capital of owners (partners) contributed more to firm survival than those of employees (associates). Pennings et al. (1998)s study produced major evidence for the contention that a firms human and social capital have important implications for performance. The service delivered by PSFs suffers from an â€Å"opaque quality† because of PSFs knowledge intensity (von Nordenflycht, 2010). This refers to situations where the quality of an experts output is hard for non-experts (i.e., customers) to evaluate, even after the output is produced and delivered (Broschak, 2004; Empson, 2001; Levin Tadelis, 2005; Là ¸wendahl, 2000; cited in von Nordenflycht, 2010). In this situation, personal relationships and ambiguity reduction through personal contact take on extra significance. As clients and customers often have problems estimating the value of the product/service offered, establishing close social links between the PSFs and the customer/ client becomes vital (Alvesson, 2001). Other things equal, the potential clients will choose a firm as a service provider on the basis of previous interpersonal relationship with the firms professionals (Pennings et al., 1998). In addition, PSFs typically make investments in relationships with clients and make efforts to generate social attachment (Fichman Levinthal, 1991). Some research also demonstrates that social capital mediates the HR practices and firm performance relationship. For example, Youndt et al. (2004) state that thoughtful selection of people who ‘fit with the organizations culture, or intensive training programmes that not only socialize incoming employees but also indoctrinate common values among existing employees, may have a strong impact on the social capital of organizations. Collins and Smith (2006)s found that commitment-based HR practices were indirectly related to firm financial performance through their effects on organizational social climate and knowledge exchange and combination; Thus, HPWS improve the internal social structure within organizations, that facilitates communication and cooperation among employees (Evans Davis, 2005) which in turn has been found to be linked to organizational performance. These arguments lead to the following proposition. Proposition 1c: The PSFs social capital mediates the relationship between HPWS and firm performance. Organizational capital. Organizational capital is defined as the institutionalized knowledge and codified experience residing within an organization and utilized through databases, patents, manuals, structures, systems, and processes (Youndt et al., 2004; Subramaniam Youndt 2005). The organizational routines and processes which embody organizational knowledge are a source of organizational competitive advantage (Teece, 2000) In PSFs, organizational process of the typical professional service firm (PSF) is highly institutionalized because of the knowledge-based nature of the work and ultimately, in the historical evolution of relatively autonomous professions (Freidson, 1986; Greenwood, Hinings, Brown, 1990; cited in Morris, Gardner, Anand, 2007). The organizational routine of PSF is informal work understandings and practices built up by colleagues as they collaborate over time, like an accumulated short hand of work (Morris, 2000: 822). Morris and Snell (2008) emphasize the importance of organizational capital for PSFs. They state that organizations tend to draw on organizational capital for many aspects of learning, including knowledge creation, sharing, and integration, but this resource may provide more value for specific types of learning. Based on the basis of previous literature and their own experience with PSFs, organizational capital is most likely to create more value when individuals in the organization are trying to integrate knowledge. In terms of integration, then, organizational capital helps to create value through the implementation and reuse of knowledge across affiliates, which allows professionals to deliver solutions more efficiently to clients. Besides facilitating knowledge integration, organizational capital also shapes professionals image and identity (Empson, 2001) which plays an important role in attracting new clients. Many scholars have found that SHRM improve organizational capital. For example, Wright et al. (2001) argued that HPWS might play a role in creating cultures or mindsets that enable the maintenance of unique competencies (e.g., the safety record of DuPont). The HR is not limited to its direct effects on employee skills and behavior. HRs effects are more encompassing in that they help weave those skills and behaviors within the broader fabric of organizational processes, systems and, ultimately, competencies. Other strategists who embrace the RBV point out that competitive advantage (vis core competence) comes from aligning skills, motives, and so forth with organizational systems, structures, and processes that achieve capabilities at the organizational level (Hamel Prahalad, 1994; Peteraf, 1993; Teece et al., 1997). Koch and McGrath (1996) took a similar logic in their study of the relationship between HR planning, recruitment, and staffing practices and labor productivity. They arg ued that â€Å"†¦ a highly productive workforce is likely to have attributes that make it a particularly valuable strategic asset,† (p. 335). They suggested that firms which developed effective routines for acquiring human assets develop a stock of talent that cannot be easily imitated. They also found that these HR practices were related to labor productivity in a sample of business units, and that this relationship was stronger in capital intensive organizations. These arguments lead to the following proposition. Proposition 1d: The PSFs organizational capital mediates the relationship between HPWS and firm performance. The Uses of Firm Resources The resource-based view of firm (RBV) and knowledge-based theory of firm contribute to identifying the existing resources that have the potential to constitute a source of sustainable competitive advantage (Hitt et al., 2006). However, merely possessing such resources does not guarantee the development of competitive advantages or the creation of value (Barney Arikan, 2001; Priem Butler, 2001; cited in Sirmon et al., 2007). These valuable resources must be effectively managed and utilized to achieve superior profit (Schultz, 1961) and a competitive advantage (Barney Arikan, 2001; Sirmon et al., 2007). The emphasis on the use of resources is consistent with the dynamic capabilities perspective (Teece et al., 1997) which includes considerations such as how resources are developed, how they are integrated within the firm and how they are released. Using these resources is the same as using the knowledge which is embedded in the individuals, the relationships and the organizational processes, routines, databases, and systems. There are two streams or approaches of research on using these knowledge or resources (Hargadon Fanelli, 2002). One focuses on how to reuse or replicate existing knowledge, i.e., exploitation (Levitt March, 1988). The other one focuses on how to generate new knowledge, i.e., exploration (March, 1991; Kogut Zander, 1992). The effective use of resources may help a PSF balance the effective exploitation of existing resources with exploration of knowledge to create new capabilities. The following matrix shows how PSFs create value by exploiting and exploring existing resources. The matrix shows that the exploration of resources in PSFs is to deliver new products or service to new clients and to deliver new products or service to old clients. It also shows that the exploitation of resources in PSFs is to deliver existing services or products to the existing clients or new clients as there is no new knowledge/capability required. The exploration process needs to explore the human capital to invent new products or services and the social capital to attract new clients and new business and the organic organizational capital (Kang Snell, 2009) that facilitate this delivery. The exploitation process needs to reuse or refine the existing products or services and existing clients, which requires the standardized organizational capital (Kang Snell, 2009) to facilitate this delivery. To illustrate exploration and exploitation more detail, four capabilities of PSFs are identified to effectively exploit existing resources with exploration of knowledge to create new capabilities. They are managing teams, leveraging knowledge, combining and exchanging knowledge, and sensing the changes in the external environment capabilities. Managing teams. In professional service firms, most of work is project or program-oriented, serving the needs of the external customers. It requires several professionals work together, and frequently involves client contact, often through co-location at a clients place of business. Then team forms the basic unit of work in the professional service firm. Generally, a team consists of partners and associates. The dynamic global economic environment accelerates PSFs work speed. Usually the customers assignments are much more compressed in term of time (Morris, Gardner, Anand, 2007). Therefore, to successful serving clients, the team management is vital. Teece (2003) provides a lot emphasis on the coordinating tasks, managing conflict, communicating and cooperating within the team in team management. As with the traditional firm, coordination must be achieved, and conflict must be managed. In the professional services context, raw conflict can lead to mass defections and the destruction of enterprise value, even more assuredly than in an industrial company setting. So conflict management is likely to be especially significant with an expert services context because experts are likely to not only have strong preferences, but are also likely to be self-confident, possibly egotistical, and possibly lacking in good business sense while already having some degree of established financial success (Teece, 2003: 897). The most critical communication in a professional service context is frequently peer-to-peer. Partners (senior talent) frequently need to access other senior talent in order to meet client needs (Teece, 2003: 903). Leveraging knowledge. Leveraging knowledge, that is the transfer of know-how from seniors to juniors in client assignments, sustains the basic division of labor in the professional firm and also underpins its profitability (Hitt et al., 2001; Malos Campion, 2000). All professional firms compete by leveraging knowledge and partners reputation (Greenwood et al., 2005). In PSFs, partners own the most human capital and social capital in a firm. To meet clients demands, partners need to select other professionals to form a team to possess the appropriate skills, experience and training. In this way, the partners knowledge and capabilities are leveraged. Meanwhile, the junior professionals, or associates also acquire intangible knowledge during the long apprenticeship they serve with their senior colleagues before being assessed for a partnership position. Leverage ratios are measured by total number of associates divided by the total number of partners (Hitt, et al., 2001; Phillips, 2001). High leverage ratios are commensurate with highly codified knowledge packages and standardized tools and methodologies which can routinely be applied by junior associates. Lower leverage is associated with experience or expertise models in which knowledge is less routinized and the firm seeks more complex projects in which there is a premium on the experience or special expertise of more senior staff (Maister 1993; Hansen, Nohria, Tierney, 1999). Effective leveraging creates dynamic capabilities whereby the firm is able to renew, augment, and adapt its current capabilities to serve continuously changing and new client needs (Teece et al.. 1997; Tripsas, 1997; cited in Hitt et al., 2001). Hitt et al. (2001) also find the empirical support for the positive relationship between leveraging and firm performance in professional service context. Combining and exchanging knowledge capability

Similarities Between the Worlds of The Matrix and Sheri S. Teppers Novel, Beauty :: Compare Contrast Essays

Similarities Between the Worlds of The Matrix and Sheri S. Tepper's Novel, Beauty Similarities Between the Worlds of The Matrix and Beauty In the novel, Beauty, by Sheri S. Tepper, the main character Beauty travels through time and visits many futuristic worlds similar to those in the film The Matrix. The novel Beauty is a novel from the science fiction genre and is the story of Beauty's life. Throughout her life she experiences many abnormal places and travels. The novels different lands and the predictions it gives for our future are very much similar to the worlds and the future world in the movie The Matrix. There are three main similarities between the novel Beauty and the film The Matrix. The twenty-first century in the novel Beauty is very similar to the "real world" in the movie The Matrix. Beauty also visits a fairyland because she is half fairy. This fairyland is also very similar to the "real world" in the film The Matrix. Lastly, the time travel that Beauty experiences is very similar to the travel the Neo, the main character in The Matrix, does throug h the Matrix in the movie. These are the three main similarities between the novel Beauty and the film The Matrix. The twenty-first Century in the novel Beauty is very similar to the "real world" featured in the movie The Matrix. As stated before, the main character in the novel is half fairy. Beauty discovers this when she is sixteen years old. Throughout the beginning of the novel she believed her mother to be dead, but when she is sixteen she discovers that her mother is a fairy and lives in a fairyland. Her father and her aunts had been false to her all her life because they were ashamed of her fairy roots. Soon after she discovers this she travels through time to the twenty-first Century. When she travels to this future time she discovers it is uglier than anyone could have imagined. This world described in the novel is extremely similar to the real world described in the movie The Matrix. In this future there are no trees, animals, or sky. All of these things have been destroyed. In Beauty they live underground in tiny cells where all they have are the essentials needed to survive. In the f ilm The Matrix they live in a ship where the earth has been destroyed as well.

Ice Cream Lab

January 26, 2013 Ice Cream Lab Purpose The purpose of this experiment is to learn and investigate chemical and physical properties of food, such as flavor, texture and consistency while producing ice cream. Materials ? cup pasteurized egg 1 cup of sugar 1 cup whipping cream 2 cups half and half 1 tbsp mint extract ? cup of chocolate chips 1 cup table salt 1 bag of ice 1 whisk 1 measuring cup, 2 cups size 1 large bowl 1 medium bowl 1 empty coffee can Method In a medium bowl, whisk pasteurized egg. When thoroughly mixed, then add half and half, the whipping cream, sugar and mint extract. Mix thoroughly.In a large bowl add a two inch layer of ice, a layer of salt. Place the contents of the medium sized bowl in the coffee can and submerge the can in the ice. Fill in sides evenly with ice and the remaining salt. Spin the coffee can in the ice. In 15 minutes you will be able to feel the mixture hardening on the sides of the can. In one hour the entire mixture should be solidified enough fo r consumption. Results/Summary This was second attempt at this lab. Each time I had two little helpers, aged 11 and 7 in the kitchen that helped measure, mix and assemble. This time we had a can with a lid so they were able to help more this go around.Our mixture came up over the rim of the coffee can and when spinning, some of the mixture leaked out. The mixture was continuously moving this time in a metal can, which I think helped the freezing process happen more quickly. Once again, in the end, the kids liked it but I thought it thawed rather quickly again. I used sugar instead of honey this time and liked the flavor more. I forgot to add the chocolate chips so we sprinkled them on top instead. Always an improvement for the next time. So, if we do this again, next time, I will add the chips before spinning. Questions 1. Saltwater is a homogeneous mixture.A homogenous mixture is defined by our text as a solution with uniform composition throughout the sample. A heterogeneous mixtu re is defined by our text as mixture that does not have uniform composition. (Page 57) 2. The ice cream was a homogeneous mixture and each of the ingredients was uniform throughout. If I would have added the chocolate chips, it would not have been uniform and would have been considered a heterogeneous mixture. 3. The saltwater solution from my large bowl was unsaturated. This time as well, there was no undissolved salt remaining in the bowl and I could have added much more salt to the water.

New Drug Epidemic on College Campus

English 162 October 4,2012 New Drug Epidemic on College Campuses Prescription drug abuse among college students is a growing trend on most campuses. Students are using these drugs inappropriately to not only â€Å"get high†, but to help with concentration when cramming for papers or tests, to self-medicate for anxiety or depression, and even to enhance their stamina when playing sports. Many people have stereotypes of what an alcoholic or addict is, and most people don't associate that image with young students.Although drug education has been mandatory in the US throughout grade school drug use continues to rise in college students. College is known as a time for experimentation, but for some students experimentation can turn into addiction. Being young and in college doesn't protect you from addiction. Responsible behavior does. Alcohol and drug use among students is a serious problem. Campus environments are often seen as encouraging not only use but abuse. Binge-drinking ( drinking to get drunk, usually considered at least four drinks on any occasion) is one form of substance abuse that is very common among students.Alcohol and drugs pose special problems for students. The average student who has one drink a day earns a GPA at only a C-level, and grades plummet with higher consumption. Women need to drink only half what male students do to cause the same effect on their grades. Almost half of academic problems come from abusing alcohol. It's also a factor in about a third of drop-outs. In an environment where binge-drinking is common, so are substance-related legal offences and injuries. Illegal drugs, underage possession of alcohol and drunk driving can costs fines and jail time.Fights, sexual assault, and injuries are more likely to happen when one has been drinking or doing drugs. Half of campus injuries are alcohol-related. One third of people who die in drunken driving crashes are under 25 years old. It's the leading cause of death for young peop le. In 2010, an estimated 22. 6 million Americans aged 12 or older—or 8. 9 percent of the population—had used an illicit drug or abused a psychotherapeutic medication (such as a pain reliever, stimulant, or tranquilizer). This is up from 8. 3 percent in 2002.The increase mostly reflects a recent rise in the use of marijuana, the most commonly used illicit drug. [www. oasamhas. gov/] Prescription drug abuse is when someone takes a medication that was prescribed for someone else or takes their own prescription in a manner or dosage other than what was prescribed. There's a reason that prescription drugs are intended to be taken under the direction of a doctor: if used improperly they can be dangerous. Teens are making the decision to abuse prescription medicines based on misinformation.In fact, many people think that abusing prescription drugs is safer than abusing illicit drugs. Some people take other people's drugs for their intended purposes (to relieve pain, to stay awake, or to fall asleep). Others take them to get high, often at larger doses than prescribed, or by a different route of administration. Most prescription drugs come in pill or capsule form. Sometimes, people who abuse prescription drugs break or crush the pill or capsule, then swallow the drug, sniff it, or â€Å"cook† it—turn it to liquid—and then inject it.What’s wrong with Abusing Prescription Drugs? Taking a drug for another purpose than prescribed. As the facts will tell you, prescription drugs can have dangerous short- and long-term health consequences when used incorrectly or by someone other than for whom they were intended. All of the drug types soon mentioned can produce pleasurable effects at sufficient quantities, so taking them for the purpose of getting high is one of the main reasons people abuse them. ADHD drugs like Adderall are also often abused by students for their effects in promoting alertness and concentration.When abused, prescr iption drugs may be taken in inappropriate doses or by routes of administration that change the way the drugs act in the body, risking overdose. For example, when people who abuse oxycodone (OxyContin) they crush and inhale the pills, a 12-hour dose hits their central nervous system all at once—which increases their risk of addiction and overdose. Almost every medication presents some risk of undesirable side effects, sometimes even serious ones. Doctors consider the potential benefits and risks to each patient before prescribing medications.They understand that drugs affect the body in many ways and take into account things like the drug’s form and dose, its possible side effects, and the potential for addiction or withdrawal. For example, doctors know how to change the dose of a painkiller to prevent withdrawal symptoms. People who abuse drugs might not understand how these factors may affect them or that prescription drugs do more than cause a high, help them stay a wake, help them relax, or relieve pain. Abuse can include taking a friend's or relative's prescription to get high, to treat pain, or because you think it will help with studying.The classes of prescription drugs most commonly abused are: opioid pain relievers, such as Vicodin or Oxycontin; stimulants for treating Attention Deficit Hyperactivity Disorder (ADHD), such as Adderall, Concerta, or Ritalin; and central nervous system (CNS) depressants for relieving anxiety, such as Valium or Xanax. The most commonly abused OTC drugs are cough and cold remedies containing dextromethorphan. It is sometimes abused to get high, which requires large doses (more than what is on the package instructions) that can be dangerous.Prescription drugs have chemical names, brand names you may have heard before, and street names. Hillbilly heroin, oxy, OC, oxycotin, percs, happy pills, vikes are for Opaids. Depressants can be called Barbs, reds, red birds, phennies, tooies, yellows, yellow jackets, candy , downers, sleeping pills, tranks and stimulants Skippy, the smart drug, Vitamin R, bennies, black beauties, roses, hearts, speed, uppers. When abused, prescription drugs may be taken in inappropriate doses or by routes of administration that change the way the drugs act in the body, risking overdose.Rehab clinics have seen the sharp increased in the number of college students entering for treatment in the past 10 years. In correspondence to the increasing abuse of prescription opiates, abuse of heroin is also increasing among people age 18-25. For many prescription opiates are a stepping stone to heroin, which provides a greater high for a cheaper price. There continues to be a large â€Å"treatment gap† in this country. In 2010, an estimated 23. 1 million Americans (9. 1 percent) needed treatment for a problem related to drugs or alcohol, but only about 2. million people (1 percent) received treatment What can you do to help someone you suspect is abusing prescription drugs ? Abusing prescription drugs is a dangerous thing. If you suspect someone that you love of abusing these drugs then it may be time to get some information. If you are the parent then talk to their doctor about the prescription and what the dosage was. Explain that you feel that they may be abusing these pills. Make an appointment and ask their doctor to talk to them. People don’t necessarily aim to become addicted to these pills but it happens too often. That is why these pills can only be obtained by a doctor.If you suspect a friend of abusing prescription drugs, calmly sit down and talk to them. Never accuse someone of being addicted by doing so they may become defensive and not only will you not get any answers but you could end up alienating them as well. Talk to a school guidance counselor or parents if you suspect that a friend is abusing prescription drugs. The goal is to get them help and not lose the friendship. They will need you and they need your friendship. Tell them about the other health risks that could happen and that you will be there for them and that you will get through it together.Support is a great thing to have. When someone has a drug problem, it’s not always easy to know what to do. If you are concerned about someone’s drug use (illicit or prescription), encourage him or her to talk to a parent, school guidance counselor, or other trusted adult. There are also anonymous resources, such as the National Suicide Prevention Lifeline (1-800-273-TALK) and the Treatment Referral Helpline (1-800-662-HELP). The National Suicide Prevention Lifeline (1-800-273-TALK) is a crisis hotline that can help with many problems, not just suicide. This includes problems due to drug use.Family and friends who are concerned about a loved one or anyone interested in mental health treatment referrals can call this Lifeline. In addition, the Treatment Referral Helpline (1-800-662-HELP)—offered by the Substance Abuse and Mental Health Services Administration—refers callers to treatment facilities, support groups, and other local organizations that can provide help for their specific needs. You can also locate treatment centers in your state by going to. A person who takes drugs whether prescription or not above and beyond the prescribed amount is a person who abuses prescription drugs.Statistics say that there is an estimated 36 million people in the United States alone between the ages of 12 years old and older have abused prescription drugs at least one time in their lives. The most common prescription drugs often abused are Xanax, Valium, Ritalin, OxyCotin and Vicodin. These prescriptions start out being given by a doctor for an injury or treatment. Drug use, also involving marijuana and alcohol is common among college students across the nation. Students can usually articulate why they have chosen to use drugs, but they all fail to consider the long-term consequences of recreational drug use.These lon g-term effects include committing crimes, academic failure, medical problems and social problems. English 162 Oct 3, 2012 National Center on Addiction and Substance Abuse at Columbia University. Wasting the Best and the Brightest: Substance Abuse at American Colleges and Universities (New York: 2007). National Center on Addiction and Substance Abuse at Columbia University. You’ve Got Drugs: IV: Prescription Drug Pushers on the Internet (New York, 2007). Teens and Prescription Drugs: An Analysis of Recent Trends on the Emerging Drug Threat (Washington, D.C. : Office of National Drug Control Policy, 2007). Substance Abuse and Mental Health Services Administration. Results from the 2006 National Survey on Drug Use and Health: National Findings (Office of Applied Studies, NSDUH Series H-32, DHHS Publication No. SMA 07-4293). Rockville, MD, 2007. Drugs, Brains, and Behavior: The Science of Addiction (Reprinted 2008). This publication provides an overview of the science behind the disease of addiction. Publication #NIH 08-5605. Available online at www. drugabuse. gov/scienceofaddiction.

Your Health & Managed Care essays

Your Health & Managed Care essays AHCA HMO Report According to the AHCA HMO Report the health plan that I would choose, as an employer based on the data collected would be AvMed Inc. AvMed is Floridas oldest and largest not-for-profit HMO, serving some 300,000 members, including approximately 30,000 Medicare members throughout the state, and 10,000 federal employees and their dependents. AvMed contracts with close to 7,000 physicians and 126 hospitals, is federally qualified under the terms of the federal HMO Act, and is privately accredited by the National Committee for Quality Assurance (NCQA) and the Joint Commission on Accreditation of Healthcare Organizations. AvMed was created in 1969 as a prepaid health care system for pilots in Miamis aviation industry. Today, AvMed is Floridas largest not-for-profit health plan. AvMed, whose name is derived from "aviation medicine," became licensed as an HMO in 1973 and earned Federal qualification in 1977. After reviewing the information and statistics on the various health plans, I ch oose AvMed Inc. because it has an overall high rating in the areas such as Annual Well Child Visit (Ages 3-6) 74%, Annual Adolescent (Well Care Visit) 47%, Asthma Medications (Long-Term Control) 60%. Although AvMed Inc. did not rate under the Florida Medicaid Asthma medication for long- term care; all other areas were covered above average. Based upon the stability of the company and their financial report dated June 30, 2003, AvMed Inc. total assets were $180,085,511, and total liabilities were $126,757,724. The calendar year-to-date net income or (loss) was $19,080,629. Although AvMed received 319 complaints in 2002, this was only a fraction when compared with United Health Care, Health Options, Inc., and Vista Health Plan Inc. who also serve this area. There were slight margins in complaints when compared with CIGNA, and Humana, but this does not have any relevance on the quality of service ...

Phobias Essay

Phobias Essay Free Online Research Papers My heart starts to race. It feels like its going to explode. My throat closes and Im having trouble breathing. My palms are sweating now, and my head is dizzy. I feel like I might fall, I want to run, but I dont know where This reaction is a way to describe what people feel when they are suffering from a phobia. A phobia is an intense, ridiculous amount of fear of something or a situation that is far from what really could happen. Phobias affect people of all ages. The National Institute of Mental Health has stated that 5.1%-12.5% of all Americans encounter some sort of phobia. They are the most common psychiatric illness among women of all ages and men over 25. When someone has a phobia, they start to feel panic, dread, or anxious when they are near what they are afraid of and they feel relieved when they avoid it. There is a phobia for just about everything. But, mental health professionals group them into three categories. Specific, social and agora. The two phobias I am going to discuss are all specific phobias. Specific phobias are simple and the most common. More of us are traveling by plane these days, but that doesnt mean well enjoy the trip. A United airlines jumbo jet hit massive air turbulence over the pacific, killing one woman and injuring 102 people. A news report like this can be all it takes to have the fear to fly. One of the most common phobias in the world is fear of flying. Acrophobias mainly worry that the plane could crash, and they might die. US airs fearful flyer program is a great way to overcome aerophobia. Every year US airs offers this program in cities across the US. These classes are taught by a clinical social worker, and a pilot, that help people through aviation education, relaxation techniques, and a short flight. A woman named Hillary decided one day to try a treatment sort of like the program offered by US airs. As a kid, Hillary loved to go on airplanes. I loved the smell of jet fuel, the peanuts, the playing cards, the free cans of coke explains Hillary. One day, when she was about twenty, she was on a rocky flight and began to panic. She was afraid she was going to die during the flight. After that, she tried different things to help her through a flight, such as carrying good-luck charms or sitting in certain spots on the plane. Four years later, she realized that she had a phobia and enrolled in a three-day workshop called freedom from fear. The goal of her group of twelve people was to fly from New York to Boston and back by the third day of the workshop. They learned technical information about flying, and practiced ways to get rid of their fears, such as breathing and relaxing. They also explored the controls, opened the doors and windows and walked around on the plane to feel more c omfortable. On the third day everyone took the trip and did fine. After other flights since then, Hillary says she is not crazy about flying, but its not as bad a before. So, were not all afraid of the same thing, but you know that feeling, when your hesitant for a split second at the tip of a steep track after a long, slow climb. You know whats about to happen and theres no way to avoid it now. You grip the handrail, palms sweating, heart pounding and brace yourself for the wild ride down. Most of us have experienced that sudden rush of fear, and get a thrill out of it. But, people who suffer from Coaster phobia, the fear of roller coasters, try to avoid it. So, what is it that you have that intense, ridiculous amount of fear for? Phobias affect people of all ages, so youre not alone. There are therapies out there to help. Why live your whole live avoiding something you might have enjoyed? Research Papers on Phobias EssayNever Been Kicked Out of a Place This NiceThe Hockey GameHip-Hop is ArtThe Spring and AutumnEffects of Television Violence on ChildrenMind Travel19 Century Society: A Deeply Divided EraPersonal Experience with Teen PregnancyInfluences of Socio-Economic Status of Married MalesTwilight of the UAW

4 Ways to Impress Any Hiring Manager

4 Ways to Impress Any Hiring Manager No matter how great your resume, how extensive your skills, how thorough your qualifications, if you don’t have that â€Å"know it when you see it† something special, you may not be able to convince the hiring manager that you’re the one. Here are four traits you can work on showcasing in the interview process that just might get you the job.Practice your playground 101Scheduled for a lunch or coffee interview, rather than an appointment in the office? The hiring manager might be trying to suss out how well you play with others. Can you make small talk? Can you put people, including and especially yourself, at ease? Are you pleasant and personable? You may not realize how important people skills are, even for jobs that don’t require a lot of client or customer interface. Remember, your coworkers have to interact with you every day. Show them they won’t regret taking you on board! Politeness and self-awareness will go a long way here.Don’t be shyDon’t overdo it and come across as an overzealous lunatic, but do try and let your enthusiasm shine through. Love this kind of work? Have tons of passion? Be yourself and show how hungry you are to succeed. You might just have the kind of spark your hiring manager is searching for.Do diligenceThink of the interview as your first assignment and do your homework. Learn everything you can about the company and the team you’d be working on, and go in with a few intelligent, insightful questions. This will be a great way to â€Å"show, not tell† the truth of that â€Å"hard worker† line in your cover letter. Also have a story or two on hand about times when you went above and beyond- just to sink the point.Be niceWe’re back on the playground again. Try and show your interviewer you’d be the kind of colleague they’d want to go to happy hour with to cheers over a big win. Be solicitous and easygoing. If the team likes you, that will go a long way in decision making.The bottom line is: be yourself, but go the extra mile to make sure your best self is shining through in interview situations, even when you’re nervous and concentrating on selling your skills. It can make all the difference.

Creating value or Customer loyalty Essay Example | Topics and Well Written Essays - 3000 words

Creating value or Customer loyalty - Essay Example Many corporate mission statements set customers as the focus of an organisations business activities, and key thinkers have defined the quality of goods and services with reference to how well they satisfy needs and expectations of the customer base. Many corporate mission statements set customers as the focus of an organisation’s business activities, and key thinkers have defined the quality of goods and services with reference to how well they satisfy needs and expectations of the customer base. At the other end, some companies are paying performance premiums. These are companies that have failed to realize the strategic importance of their stakeholder management processes. Such companies are victims of their actions as they have unintentionally set up conflicting objectives between engineering, marketing, purchasing and manufacturing that form barriers to good stakeholders management (David and John1993P.1). This paper looks into the various ways through which a company or individual creates value for its customers and stakeholders. The model used in this paper is the stakeholder mapping theory. The paper, will first of all discuss the various expectations of the various stakeholders in a company such as Wal-Mart, and subsequently the paper looks into the various ways through which customers and stakeholder’s expectations could be satisfy by an organisation. The last part of the paper argues that, satisfying stakeholder’s expectation is the beginning of value creation. Defenders of stakeholder theory as the gateway of value creation for customers such as Wal-Mart are benefiting from performance premiums. Other companies that that have failed to realize the strategic importance of their stakeholders management processes are victims of their actions as they have unintentionally set up conflicting objectives between stakeholders

HEALTH LAW AND ETHICS Essay Example | Topics and Well Written Essays - 250 words - 14

HEALTH LAW AND ETHICS - Essay Example issue but at the same time, warns them that false reporting and exaggeration can incur them loss, so that a dual-action is developed to make them honest in their reporting of the way things are going in the workplace. Hospitals can outsource the services when tough ethical decisions about resource allocation have to be made. Outsourcing is suitable particularly in the cases of ethical dilemma e.g. when there are two patients needing immediate attention of the doctor simultaneously. Another way is to always keep certain resources ready for employment on immediate basis. For example, one of the off-duty nurses can be called upon work because of shortage of nurses at a certain time but the nurse must be compensated for the unscheduled call of duty. When these options are not available, then the hospital should assess which of the subjects is in a greater need of resource allocation, and the resources must be allocated

Organizational Managment Essay Example | Topics and Well Written Essays - 250 words - 1

Organizational Managment - Essay Example In this regard, it has been observed that the organizational change usually brings a change in the quality, cost and satisfaction of the product or service that the organization manufactures or produces, respectively. For instance, Reid et al. (2010) undertook a detailed study of the health care organizations to evaluate the change in the quality, cost and satisfaction in the organization after the incorporation of patient-centric medical home model. The model required that the healthcare policies and regulations should be re-written with the focus on patient care, requirements, needs and wants instead of management’s point of view. As a result, the study showed that after the implementation of the model, the patient’s burnout cases, their experiences at the hospital and the costs of the facility have improved substantially within the lapse of twenty four months since the incorporation. This shows that there is a positive relationship of the cost, quality and satisfacti on of organization and its customers with the organizational change. Reid, R.J., et. al. (2010). The group health medical home at year two: cost savings, higher patient satisfaction, and less burnout for providers. Health Affairs, 29 (5): pp. 835-843. Retrieved 29 July 2012 from

Answer the exam Qs Essay Example | Topics and Well Written Essays - 1500 words

Answer the exam Qs - Essay Example However, the power inequality acceptance varies between different cultures in the society (Varma & Budhwar, 2015). Individualism measures the basic interest sort by the members. In a society which is highly individualistic, the members are mainly concerned with their families’ interests (Varma & Budhwar, 2015). Contrary, members from the collective society seek to achieve more favor and loyalty from their groups. Uncertainty avoidance measures the unpredictable, unstructured and unclear situations faced by members. A high uncertainty-avoidance society is less aggressive, change intolerant, high security seeking; and vice versa in low uncertainty-avoidance society (Varma & Budhwar, 2015). Through the increase in globalization, there have been growing trends in the multinational and global business endeavors. Globalization as well as the varied cultures in different countries has resulted to the challenge of business competitiveness. Other issues include balancing between the head-quarter and the home based cultures, maintaining performance standards and productive inter-collaboration between units in the operating locations (Varma & Budhwar, 2015). According to Edgar Schein 1994 OC are the values instituted into a social group which are then passed to new members so as they can feel, see and think in response to problems (Varma & Budhwar, 2015). OC should be perceived as both pluralistic and holistic so as to shape the internal assumptions of the social group. OC is classified under 2 schools of thought where in the first, it’s seen as a variable where it can be introduced and manipulated by the organization. The second school of thought provides that OC is a situation the company finds itself in, caused by the complex and dynamic social interactions by the organization (Varma & Budhwar, 2015). Culture influences employees’ communication, the company’s products, goals and values as well as interactions with its customers and other organizations.

The Elimination of Poverty Research Paper Example | Topics and Well Written Essays - 1500 words

The Elimination of Poverty - Research Paper Example Counterfactuals allow us to enter a universe of possibility: one where we cannot be in the normal state of affairs but only in a kind of imaginary state of examination. Having said this, it should be clear that counterfactual analysis has little to do with reality or practical application. The conclusions reached here about what if can say nothing to inform public policy that deals with the here and now. In fact, precisely because the antecedent in this case cannot be true (as was said previously), it might be the case that these considerations cannot have any practical use beyond the useful practice of logical conjecture. What if poverty were eliminated? Such a question presupposes that we know what poverty is, beyond the concepts that we use in day-to-day life. However, what we find with these common concepts is that they are often faulty and not representative of the actual state of affairs. For instance, while we might think of justice as fairness, this might mean that justice is the property of abiding by rules. The rules themselves could in fact be unjust themselves. The concept of poverty, like justice, bears hidden connotations that must be sheared off before continuing. There are actually two components of the concept of poverty, one of which has to do with economics and the other which has to do with personal properties. These two facets of poverty readily interact with one another and often reinforce one another. The elimination of one kind of poverty, contrary to popular belief, will not lead automatically or ensure the elimination of the other, which perpetuates the problem and has the po tential to move us into committing evil acts. The first facet of poverty is that of virtue. While the word â€Å"virtue† might sound overly philosophical, it is merely a matter of personal excellence. A virtue is a personality trait that serves as a means to a greater end. For instance, the virtue of a

Revolution Assignment Example | Topics and Well Written Essays - 250 words - 1

Revolution - Assignment Example On average, the ratio of a British citizen’s tax to that of a colonist was 30-1. Although the issue of ‘taxation without representation’ enraged the colonists, it was barely the main reason for the American Revolution. The French and Indian war, which had put the Brits in bad debt, started mainly as a result of the colonists’ failures (Webster, 1802). However, I agree with the fact that the war was unavoidable although my reasons for this stand are different. One of the reasons I believe the revolution was unavoidable is because independence is inevitable. The idea of equality was fast spreading in Europe and this influenced the colonists into fighting for their own freedom. Additionally, harsh economic conditions contributed to the colonists’ agitation further making the revolution unavoidable. I agree with the writer on the role played by the American Revolution in the institution of slavery. The main contradiction brought by this revolution was the whites trying to gain their freedom while at the same time enslaving the blacks. According to Webster (1802), this was abusing the doctrine of political equality which allows all people to have equal rights to life, property and security. However, it is worth noting that the whites viewed the revolution as a means to political-economical liberation rather than personal repression the blacks suffered

The Elimination of Poverty Research Paper Example | Topics and Well Written Essays - 1500 words

The Elimination of Poverty - Research Paper Example Counterfactuals allow us to enter a universe of possibility: one where we cannot be in the normal state of affairs but only in a kind of imaginary state of examination. Having said this, it should be clear that counterfactual analysis has little to do with reality or practical application. The conclusions reached here about what if can say nothing to inform public policy that deals with the here and now. In fact, precisely because the antecedent in this case cannot be true (as was said previously), it might be the case that these considerations cannot have any practical use beyond the useful practice of logical conjecture. What if poverty were eliminated? Such a question presupposes that we know what poverty is, beyond the concepts that we use in day-to-day life. However, what we find with these common concepts is that they are often faulty and not representative of the actual state of affairs. For instance, while we might think of justice as fairness, this might mean that justice is the property of abiding by rules. The rules themselves could in fact be unjust themselves. The concept of poverty, like justice, bears hidden connotations that must be sheared off before continuing. There are actually two components of the concept of poverty, one of which has to do with economics and the other which has to do with personal properties. These two facets of poverty readily interact with one another and often reinforce one another. The elimination of one kind of poverty, contrary to popular belief, will not lead automatically or ensure the elimination of the other, which perpetuates the problem and has the po tential to move us into committing evil acts. The first facet of poverty is that of virtue. While the word â€Å"virtue† might sound overly philosophical, it is merely a matter of personal excellence. A virtue is a personality trait that serves as a means to a greater end. For instance, the virtue of a

African American Essay Example for Free

African American Essay Poetry can evoke strong feelings in readers. Select three poems we’ve read and examine the literary techniques the poets used to evoke a reader’s emotional response (note: not your emotional response. ) How do the poets’ various techniques connect to their readers’ feelings? Because a writer wants to evoke strong feelings into their writings, they use a variety of techniques from wording to the sense of the feeling the reader feels. In the poem, â€Å"Harlem,† by Langston Hughes, he uses the descriptive words to describe how many people’s dreams have been put on hold or eliminated totally due to the era of war. It reflects on how many African Americans have been among those who have left their dreams behind, or deferred them. It follows where they are in the present time. In the poem, â€Å"My Papa’s Waltz,† the writer expresses the feelings he has towards his father and the affection felt. He shares his experience with the times he shared with his father as they danced. As you read the story, the writer then expresses some resentment he might have towards his father, as interpreted by the reader. In the poem, â€Å"Shall I Compare Thee to a Summer’s Day?  Ã¢â‚¬ the writer is expressing the strong feelings he has for someone he loves. He compares the woman he writes about to a summer day and that her beauty will never fade. In the poem, â€Å"The Negro Speaks of Rivers,† it is written in a 1st person voice using the word â€Å"I. † The writer speaks of bathing in the Euphrates, the hut he built near the Congo and watching the sun set on the Mississippi. He compares the African American history to the history of the river he speaks of. In the poems â€Å"The Lamb† and â€Å"The Tyger,† the writer uses words that describe how the Lamb is one of innocence and purity. The Tyger is one that has the reader interpreting that he is one of evil and no remorse. It has the reader comparing the two different beings to what life is now as we know it. So when writers write their poems and want to express feelings for the readers, they use physical locations for the feeling of placement or feelings. They use colors for the sense of the characters feelings. For instance the colors white, gray and black would represent sadness of gloominess. Brighter colors make the characters happy or cheery. The colors can make the setting one of the readers can feel. He uses words that describe the environment using colors and descriptive words. When a poem is written that grasps the reader’s attention and makes him feel the intensity and tone of it, the reader can understand and empathize with the characters of the poem. If the beginning lines of the poem grab the attention of the reader, and keeps the attention without losing momentum, then the poem is one that the reader will enjoy reading and read over and over. Poems are to stimulate the senses of the reader and they compare the words of the poem with reality. They use words to build up the emotions they are trying to put into the poem they are writing. They keep the readers interest by using rhymes, form and sound’s throughout. As we read we look for the next intense point of the poem and decipher the meaning as we interpret it. Poems are a great way for a person to indentify personal feelings and experiences. By using the poem as a wall for their feelings, readers can identify and compare to their own feelings and experiences. That is why writers who want you to feel their writings and explore their world of poetry will use different ways to express and present feelings, moods and atmospheres through their writings. Works Cited McMahan, Elizabeth, Susan X. Day, Robert Funk, and Linda Coleman. Literature and the Writing Process. Pearson, 2011. Web. Blake, William. The Lamb. 1789. Blake, William. The Tyger. 1794 Hughes, Langston. Collected Poems of Langston Hughes. Random House, Print. Roethke, Theodore. Collected Poems of Theodore Roethke. Hearst Magazines, 1942. Print.

Credit Risk Management in the UK Banking Sector

Credit Risk Management in the UK Banking Sector Background 3 Literature Review 7 Ascertaining why and how banking credit risk exposure is evolving recently 8 Seeing how banks use credit risk evaluation and assessment tools to mitigate their credit risk exposure 11 The steps and methodologies used by banks to identify, plan, map out, define a framework, develop an analysis and mitigate credit risk 13 Determine the relationship between the theories, concepts and models of credit risk management and what goes on practically in the banking world 17 Ascertain the scope to which resourceful credit risk management can perk up bank performance 19 To evaluate how regulators and government are assisting the banks to identify, mitigate credit risk, and helping to adopt the risk-based strategies to increase their profitability, and offering assistance on continuous basis 20 Research Methodology 21 Analysis 23 Ascertaining why and how banking credit risk exposure is evolving recently 23 Seeing how banks use credit risk evaluation and assessment tools to mitigate their credit risk exposure 25 The steps and methodologies used by banks to identify, plan, map out, define a framework, develop an analysis and mitigate credit risk 31 Determine the relationship between the theories, concepts and models of credit risk management and what goes on practically in the banking world 35 Ascertain the scope to which resourceful credit risk management can perk up bank performance 38 To evaluate how regulators and government are assisting the banks to identify, mitigate credit risk, and helping to adopt the risk-based strategies to increase their profitability, and offering assistance on continuous basis 40 Primary Survey 45 Conclusions 46 Recommendations 50 Bibliography 56 Background The sub-prime mortgage meltdown that hit the global banking sector in 2007, was a result of circumstances, actions and repercussions that began years earlier (Long, 2007). It, the sub-prime mortgage crisis, was based on unsound ground from its inception. Sub-prime mortgages represent loans made to borrowers that have lower ratings in their credit than the norm (investopedia, 2007). Due to the lower borrower credit rating, they do not qualify for what is termed as a conventional mortgage due to default risk (investopedia, 2007). Sub-prime mortgages thus carry a higher interest rate to off set the risk increase, which helped to fuel the United States economy through increased home ownership, and the attendant spending that accompanies it (Bajaj and Nixon, 2006). Implemented by the Bush administration in the United States to get the economy rolling after the recession fuelled by the September 11th air attacks, the entire plan began to backfire as early as 2004 as a result of the continu ed building of new housing without the demand (Norris, 2008). The new construction glutted the market bringing down house prices. This, coupled with a slowing economy in the United States resulted in layoffs, as well as many subprime mortgage holders defaulting on their loans, and the crisis ballooned. Some attribute the over lending of subprime mortgages to predatory lending (Squires, 2004, pp. 81-87) along with the underlying faults of using it as an economic stimulus package that did not control the limits on new housing (Cocheo, 2007). That set of circumstances represented the cause of the subprime mortgage crisis that spread globally as a result of the tightening of credit due to defaulted loan sell offs and restricted banking lending ceilings caused by the Basel II Accords (Peterson, 2005). The complexity of the foregoing shall be further explained in the Literature Review section of this study. The preceding summary journey through the subprime mortgage crisis was conducted to reveal the manner in which banking credit crunches can and do occur. The significance of the foregoing to this study represents an example to awaken us to the external factors that can and do cause banking credit crisis situations, thus revealing that despite good management practices such events can m anifest themselves. It is also true that poor or lax banking practices can have the same effects. Credit risk management represents the assessing of the risk in pursuing a certain course, and or courses of action (Powell, 2004). In addition to the foregoing U.S. created subprime mortgage crisis, the appearance of new forms of financial instruments has and is causing a problem in credit risk management with regard to the banking sector. As the worlds second largest financial centre, the United Kingdom is subject to transaction volumes that increase the risks the banking sector takes as so many new forms of financial instruments land there first. McClave (1996, p. 15) provides us with an understanding of bank risk that opens the realm to give us an overview of the problem by telling us: Banks must manage risk more objectively, using quantitative skills to understand portfolio data and to predict portfolio performance. As a result, risk management will become more process-oriented and less dependent on individuals. Angelopoulos and Mourdoukoutas (2001, p. 11) amplify the preceding in stating that Banking risk management is both a philosophical and an operational issue. They add: As a philosophical issue, banking risk management is about attitudes towards risk and the payoff associated with it, and strategies in dealing with them. As an operational issue, risk management is about the identification and classification of banking risks, and methods and procedures to measure, monitor, and control them. (Angelopoulos and Mourdoukoutas, 2001, p. 11) In concluding, Angelopoulos and Mourdoukoutas (2001, p. 11) tell us that the two approaches are in reality not divorced, and or independent form each other, and that attitudes concerning risk contribute to determining the guidelines for the measurement of risk as well as its control and monitoring. The research that has been conducted has been gathered to address credit risk management in the United Kingdom banking sector. In order to equate such, data has been gathered from all salient sources, regardless of their locale as basic banking procedures remain constant worldwide. References specific to the European Union and the United Kingdom were employed in those instances when the nuances of legislation, laws, policies and related factors dictated and evidenced a deviance that was specific. In terms of importance, credit risk is one of the most important functions in banking as it represents the foundation of how banks earn money from deposited funds they are entrusted with. This being the case, the manner in which banks manage their credit risk is a critical component of their performance over the near term as well as long term. The implications are that todays decisions impact the future, thus banks cannot approach current profitability without taking measures to ensure that decisions made in the present do not impact them negatively in the future (Comptroller of the Currency, 2001). A well designed, functioning and managed credit risk rating system promotes the safety of a bank as well as soundness in terms of making informed decisions (Comptroller of the Currency, 2001). The system works by measuring the different types of credit risk through dividing them into groups that differentiate risk by the risk posed. This enables management as well as bank examiners to mon itor trends and changes to risk exposure, and this minimise risk through diversifying the types of risk taken on through separation (Comptroller of the Currency, 2001). The types of credit risks a bank faces represents a broad array of standard, meaning old and establishes sources, as well as new fields that are developing, gaining favour, and or impacting banks as a result of the tightness of international banking that creates a ripple effect. The aforementioned subprime crisis had such an effect in that the closeness of the international banking community accelerated developments. The deregulation of banking has increased the risk stakes for banks as they now are able to engage in a broad array of lending and investment practices (Dorfman, 1997, pp. 67-73). Banking credit risk has been impacted by technology, which was one of the contributing factors in the subprime crisis (Sraeel, 2008). Technology impacts banks on both sides of the coin in that computing power and new software permits banks to devise and utilise historical risk calculations in equating present risk forms. However, as it is with all formulas, they are only as effective as the par ameters entered (Willis, 2003). The interconnected nature of the global banking system means that bank risk has increased as a result of the quick manner in which financial instruments, credit risk transfer, and other systems, and or forms of risk are handled. The Bank for International Settlements led a committee that looked into Payment and Settlement Systems, which impacts all forms of banking credit risk, both new forms as well as long standing established ones in loans, investments and other fields (TransactionDirectory.com, 2008). The report indicates that while technology and communication systems are and have increased the efficiency of banking through internal management as well as banking systems, these same areas, technology and communications systems also have and are contributing to risk. The complexity of the issues that arise in a discussion of credit risk management means that there are many terms that are applicable to the foregoing that are banking industry specific to this area. In presenting this material, it was deemed that these special terms would have more impact if they were explained, in terms of their context, as they occur to ease the task of digesting the information. This study will examine credit risk management in the UK banking sector, and the foregoing thus will take into account banking regulations, legislation, external and internal factors that impact upon this. Literature Review The areas to be covered by this study in relationship to the topic area Credit Risk Management in the UK Banking Sector entails looking at as well as examining it using a number of assessment and analysis points, as represented by the following: Ascertaining why and how banking credit risk exposure is evolving recently. Seeing how banks use credit risk evaluation and assessment tools to mitigate their credit risk exposure. The steps and methodologies used by banks to identify, plan, map out, define a framework, develop an analysis and mitigate credit risk. Determine the relationship between the theories, concepts and models of credit risk management and what goes on practically in the banking world. Ascertain the scope to which resourceful credit risk management can perk up bank performance. To evaluate how regulators and government are assisting the banks to identify, mitigate credit risk, and helping to adopt the risk-based strategies to increase their profitability, and offering assistance on continuous basis. The foregoing also represents the research methodology, which shall be further examined in section 3.0. These aspects have been included here as they represented the focus of the Literature Review, thus dictating the approach. The following review of literature contains segments of the information found on the aforementioned five areas, with the remainder referred to in the Analysis section of this study. Ascertaining why and how banking credit risk exposure is evolving recently. In a report generated by the Bank for International Settlements stated that while transactional costs have been reduced as a result of advanced communication systems, the other side of this development has seen an increase with regard to the potential for disruptions to spread quickly and widely across multiple systems (TransactionDirectory.com, 2008). The Report goes onto add that concerns regarding the speed in which transactions occur is not reflected adequately in risk controls, stress tests, crisis management procedures as well as contingency funding plans (TransactionDirectory.com, 2008). The speed at which transactions happen means that varied forms of risk can move through the banking system in such a manner so as to spread broadly before the impact of these transactions is known, as was the case with the subprime mortgage crisis debt layoff. One of the critical problems in the subprime crisis was that it represented a classic recent example of the ripple effect caused by rapid interbanking communications, and credit risk transfer. When the U.S. housing bubble burst, refinance terms could not cover the dropping house prices thus leading to defaults. The revaluation of housing prices as a result of overbuilding forced a correction in the U.S. housing market that drove prices in many cases below the assessed mortgage value (Amadeo, 2007). The subprime mortgage problem was further exacerbated by mortgage packages such as fixed rate, balloon, adjustable rate, cash-out and other forms that the failure of the U.S. housing market impacted (Demyanyk and Van Hemert, 2007). As defaults increased banks sold off their positions in bad as well as good loans they deemed as risks as collateralised debt obligations and sold them to differing investor groups (Eckman, 2008). Some of these collateralised debt obligations, containing subprim e and other mortgages, were re-bundled and sold again on margin to still another set of investors looking for high returns, sometimes putting down $1 million on a $100 million package and borrowing the rest (Eckman, 2008). When default set in, margins calls began, and the house of cards started caving in. Derivatives represent another risk form that has increased banking exposure. The preceding statement is made because new forms of derivatives are being created all of the time (Culp. 2001, p. 215). Derivatives are not new, they have existed since the 1600s in a rudimentary form as predetermined prices for the future delivery of farming products (Ivkovic, 2008). Ironically, derivatives are utilised in todays financial sector to reduce risk via changing the financial exposure, along with reducing transaction costs (Minehan and Simons, 1995). In summary, some of the uses of derivatives entail taking basic financial instruments as represented by bonds, loans and stocks, as a few examples, and then isolating basic facets such as their agreement to pay, agreements to receive or exchange cash as well as other considerations (financial) and packaging them is financial instruments (Molvar, et al, 1995). While derivatives, in theory, help to spread risk, spreading risk is exactly what caused t he subprime meltdown as the risk from U.S. mortgage were bundled and sold, repackaged, margined, and thus created a raft of exposure that suffered from the domino effect when the original house of cards came crashing down. Other derivative forms include currency swaps as well as interest rate derivatives that are termed as over the counter (Cocheo, 1993). The complexity of derivatives has increased to the point where: auditors will need to have special knowledge to be able to evaluate the derivatives measurement and disclosure so they conform with GAAP. For example, features embedded in contracts or agreements may require separate accounting as a derivative, while complex pricing structures may make assumptions used in estimating the derivative s fair value more complex, too. (Coppinger and Fitzsimons, 2002) The preceding brings attention to the issues in evaluating the risks of derivatives, and banks having the proper staffing, financial programs and criteria to rate derivative risks on old as well as the consistently new forms being developed. Andrew Crockett, the former manager for the Bank of International Settlements, in commenting on derivatives presented the double-edged sword that these financial instruments present, and thus the inherent dangers (Whalen, 2004) When properly used, (derivatives) can be a powerful means of controlling risk that allows firms to economize on scarce capital. However, it is possible for new instruments to be based on models, which are poorly designed or understood, or for the instruments to give rise to a high degree of common behaviour in traded markets. The result can be large losses to individual firms or increased market volatility. The foregoing provides background information that relates to understanding why and how banking credit risk exposure has and is evolving. The examples provided have been utilised to illustrate this. Seeing how banks use credit risk evaluation and assessment tools to mitigate their credit risk exposure. As credit risk is the focal point throughout this study, a definition of the term represents an important aspect. Credit risk is defined as (Investopedia, 2008): The risk of loss of principal orloss of a financial reward stemming from a borrowers failure to repay a loan or otherwise meet a contractual obligation. Credit risk arises whenever a borrower is expecting to use future cash flows to pay a current debt. Investors are compensated for assuming credit risk by way of interest payments from the borrower or issuer of a debt obligation. Risk, in terms of investments, is closely aligned with the potential return being offered (Investopedia, 2008). The preceding means that the higher the risk, the higher the rate of return expected by those investing in the risk. Banks utilise a variety of credit risk evaluation and assessment tools to apprise them of credit risk probabilities so that they can mitigate, and or determine their risk exposure. There are varied forms of credit risk models, which are defined as tools to estimate credit risk probability in terms of losses from banking operations in specific as well as overall areas (Lopez and Saidenburg, 2000, pp. 151-165). Lopez and Saidenberg (1999) advise us that the main use of models by banks is to provide forecasts concerning the probability of how losses might occur in the credit portfolio, and the manner in which they might happen. They advise that the aforementioned credit risk model projection of loss distribution is founded on two factors (Lopez and Saidenberg, 1999): the multivariate, which means having more than one variable (Houghton Mifflin, 2008) distribution concerning the credit losses in terms of all of the credits in the banks portfolio, and the weighting vector, meaning the direction, characterising these credits. As can be deduced, the ability to measure credit risk is an important factor in improving the risk management capacity of a bank. The importance of the preceding is contained in the Basel II Accord that states the capital requirement is three times the projected maximum loss that could occur in terms of a portfolio position (Vassalou, M., Xing, Y., 2003). Risk models and risk assessment tools form and are a structural part of the new Basel II Accord in that banks are required to adhere to three mechanisms for overall operational risk that are set to measure and control liquidity risk, of which credit risk is a big component (Banco de Espana, 2005). The key provisions of the Basel II Accord set forth that (Accenture, 2003): the capital allocation is risk sensitive, separation of operational risk, from credit risk, vary the capital requirements in keeping with the different types of business it conducts, and encourage the development and use of internal systems to aid the bank in arriving at capital levels that meet requirements An explanation of the tools utilised by banks in terms of evaluation as well as assessment will be further explored in the Analysis segment of this study. The steps and methodologies used by banks to identify, plan, map out, define a framework, develop an analysis and mitigate credit risk. The process via which banks identify, plan, map out, define frameworks, develop analyses, and mitigate credit risk represent areas as put forth by the Basel II Accord, which shall be defined in terms of the oversight measures and degrees of autonomy they have in this process. In terms of the word autonomy, it must be explained that the Basel II Accord regulates the standard of banking capital adequacy, setting forth defined measures for the analysis of risk that must meet with regulatory approval (Bank for International Settlements, 2007). This is specified under the three types of capital requirement frameworks that were designed to impact on the area of pricing risk to make the discipline proactive. The rationale for the preceding tiered process is that it acts as an incentive for banks to seek the top level that affords them with a lowered requirement for capital adequacy as a result of heightened risk management systems and processes across the board (Bank for International Settl ements, 2007). The foregoing takes into account liquidity (operational) risk as well as credit risk management and market risk. The risk management active foundation of the Basel II Accord separates operational risk from credit risk, with the foundation geared to making the risk management process sensitive, along with aligning regulatory and economic capital aspects into closer proximity to reduce arbitrage ranges (Schneider, 2004). The process uses a three-pillar foundation that consists of minimum capital requirements along with supervisory review as well as market discipline to create enhanced stability (Schneider, 2004). The three tiers in the Basel II Accord, consist of the following, which are critical in understanding the steps, and methodologies utilised by banks to identify, plan, map, define frameworks, analyse and mitigate risk (Bank for International Settlements, 2007): Standardised Approach This is the lowest level of capital adequacy calculation, thus having the highest reserves. Via this approach risk management is conducted in what is termed as a standardised manner, which is founded on credit being externally assessed, and other methods consisting of internal rating measures. In terms of banking activities, they are set forth under eight business categories (Natter, 2004): agency services, corporate finance, trading and sales, asset management, commercial banking, retail banking, retail brokerage, payment and settlement The methodology utilised under the standardised approach is based on operational risk that is computed as a percentage of the banks income that is derived from that line of business. Foundation Internal Rating Based Approach (IRB) (Bank for International Settlements, 2007) The Foundational IRB utilises a series of measurements in the calculation of credit risk. Via this method, banks are able to develop empirical models on their own for use in estimating default probability incidence for clients. The use of these models must first be reviewed and cleared by local regulators to assure that the models conform to standards that calculate results in a manner that is in keeping with banking processes in terms of outcomes and inputs to arrive at the end figures. Regulators require that the formulas utilised include Loss Given Default (LGD), along with parameters consisting of the Risk Weighted Asset (RWA) are part of the formulas used. Banks that qualify under this tier are granted a lower capital adequacy holding figure than those under the first tier. Advanced Internal Rating Based Approach (IRB) (Bank for International Settlements, 2007) Under this last tier, banks are granted the lowest capital adequacy requirements, if they qualify by the constructing of empirical models that calculate the capital needed to cover credit risk. The techniques, personnel and equipment needed to meet the foregoing are quite extensive, requiring a substantial investment of time, materials, funds, and personnel to accomplish the foregoing, thus this measure generally applies to the largest banks, that have the capability to undertake these tasks. As is the case under the Foundation Internal Rating Based Approach, the models developed must meet with regulator approval. Under this aspect of the Basel II provisions for this tier, banks are permitted to create quantitative models that calculate the following (Bank for International Settlements, 2007): Exposure at Default (EAD), the Risk Weighted Asset (RWA) Probability of Default (PD), and Loss Given Default (LGD). The above facets have been utilised to provide an understanding of the operative parameters put into place by Basel II that define the realm in which banks must operate. These tiers also illustrate that the depth of the manner in which banks identify, plan, map out, define frameworks, analyse and mitigate credit risks, which varies based upon these tiers. Under the Standardised Approach the formulas are devised by the regulators, with banks having the opportunity to devise their own models. Graphically, the preceding looks as follows: Chart 1 Basel II Three Pillars (Bank for International Settlements, 2007) Determine the relationship between the theories, concepts and models of credit risk management and what goes on practically in the banking world. The Basel Committee on Banking Supervision (2000) states that the goal of credit risk management is to maximise a banks risk adjusted rate of return by maintaining credit risk exposure within acceptable parameters. The foregoing extends to its entire portfolio, along with risk as represented by individual credits, and with transactions (Basel Committee on Banking Supervision, 2000). In discussing risk management theories, Pyle (1997)/span> states it is the process by which managers satisfy these needs by identifying key risks, obtaining consistent, understandable, operational risk measures, choosing which risks to reduce, and which risks to increase and by what means, and establishing procedures to monitor the resulting risk position. The preceding statement brings forth the complex nature of credit risk management. In understanding the application of risk it is important to note that credit risks are defined as changes in portfolio value due to the failure of counter parties to m eet their obligations, or due to changes in the markets perception of their ability to continue to do so (Pyle, 1997). In terms of practice, banks have traditionally utilised credit scoring, credit committees, and ratings in an assessment of credit risk (Pyle, 1997). Bank regulations treat market risk and credit risk as separate categories. J.P. Morgan Securities, Inc. (1997) brought forth the theory that the parallel treatment of market risk and credit risk would increase risk management by gauging both facets would aiding in contributing to the accuracy of credit risk by introducing external forces and influences into the equation that would reveal events and their correlation with credit risk. Through incorporating the influence and effect of external events via an historical perspective, against credit risk default rates, patterns and models result that can serve as useful alerts to pending changes in credit risk as contained in Pyles (1997)/span> statement that ended in due to changes in the markets perception of their ability to continue to do so. The Plausibility Theory as developed by Wolfgang Spohn represents an approach to making decisions in the face of unknowable risks (Value Based Management, Inc., 2007). Prior to the arrival of the Plausibility Theory, Bayesian statistics was utilised to predict and explain decision making which was based upon managers making decisions through weighing the likelihood of differing events, along with their projected outcomes (Value Based Management, Inc., 2007). Strangely, the foregoing this theory was not applied to banking. The Risk Threshold of the Plausibility Theory assesses a range of outcomes that may be possible, however it does focus on the probability of hitting a threshold point, such as net loss relative to acceptable risk (Value Based Management, Inc., 2007). The new Basel II Accord employs a variant of the foregoing that is termed as Risk Adjusted Return on Capital which is a measurement as well as management framework for measuring risk adjusted financial performance and for providing a consistent view of profitability across business (units divisions) (Value Based Management, Inc., 2007). The foregoing theory of including external events in a calculative model with business lines credit risks is yet to be fully accepted as the variables from external predictive models to result in scenarios along with credit risk models is a daunting set of equations. Ascertain the scope to which resourceful credit risk management can perk up bank performance. In equating how and the scope in which resourceful credit risk management can improve bank performance, one needs to be cognizant that credit risk represents the primary type of financial risk in the bank sector as well as existing in almost all areas that are income generating (Comptroller of the Currency, 2001). From the preceding it flows that a credit risk rating system that is managed and run well will and does promote bank soundness as well as safety through helping to make and implement decision making that is informed (Comptroller of the Currency, 2001). Through the construction and use of the foregoing, banking management as well as bank examiners and regulators are able to monitor trends as well as changes occurring in risk levels (Comptroller of the Currency, 2001). Through the preceding, management is able to better manage risk, thus optimising returns (Comptroller of the Currency, 2001). The improvement of credit risk management in terms of identification and monitoring, the process when operated effectively can improve bottom line performance through laying off risk identified as potentially being problematic in the future (KPMG, 2007). Zimmer (2005) helps us to understand the nuances of transferring credit risk by telling us: A bank collects funds and originates loans. It might only be able to attract funds if it holds some risk capital that finances losses and saves the bank from insolvency if parts of its loan portfolio default. If the bank faces increasing costs of raising external finance, CRT has a positive effect on the lending capacity of the bank. Providing the bank with additional risk capital, CRT lowers the banks opportunity cost of additional lending and increases its lending capacity. As has been covered herein, credit risk represents a potential income loss area for banks in that default subtracts from income, thus lowering a banks financial performance. The Bank for International Settlements (2003) advises that the principle cause of banking problems is directly related to credit standards that are lax, which is termed as poor risk management. The preceding reality has been documented by the The Bank for International Settlements (2003) that advises that poor credit risk management procedures and structures rob banks of income as they fail to identify risks that are in danger of default, and thus taking the appropriate actions. A discussion of the means via which resourceful credit risk management enhance bank performance in delved into under the Analysis segment of this study. To evaluate how regulators and government are assisting the banks to identify, mitigate credit risk, and helping to adopt the risk-based strategies to increase their profitability, and offering assistance on continuous basis. In delving into banking credit risk management in the United Kingdom, legislation represents the logical starting place as it sets the parameters and guidelines under which the banking sector must operate. The Basel II Accord represents the revised i