Analysis of Management and Leadership in Barclays Bank

Analysis of Management and Leadership in Barclays Bank Barclays Bank  has an extensive presence in Europe, the United States, Africa and Asia, providing a wide range of services for both individuals and businesses. Barclays has a long history that extends over three hundred years, and from its central office in London, it oversees operations that extend to fifty countries and more than 155,000 employees. Barclays Bank  lends, invests and moves money for more than 48 million people all over the world. The earliest roots of Barclays go back to 1690, when Thomas Gould and John Freame started operating as Goldsmith Bankers in central London. Seventy years later, Goldsmith Bankers moved into a large banking house, and subsequently joined up with nineteen other private banking concerns under the name Barclays and Company Limited, which provided the bank with a combination of 182 branches as well as deposits amounting a massive  £26 million. At this point in time, Barclays and Company was well connected to the community through family and religious links; hence Barclays and Company was often called the Quaker Bank. At the turn of the twentieth century, the Barclays and Company started expanding rapidly, taking over notable banks such as the Bolithos Bank in the South west of England and the United Counties Bank in the Midlands. By 1918, Barclays and Company had combined with London Bank South Western Bank and Provincial Bank to become one of the UKs five biggest banks. By 1925 Barclays had become a truly international organisation with the merger of the Colonial Bank, the Anglo Egyptian Bank and the National Bank of South Africa. This led to a great deal of business through the Middle East, Africa, and the West Indies. Barclays Bank has always been an innovative company. In 1966 Barclays became the first bank to offer a UK Credit card. The following year it was the first bank in the world to offer cash machines to its customers and by 1972, it had become the first bank to try TV advertising. Barclays Bank became the first UK bank to have shares listed on the Tokyo and New York Stock Exchanges in the late twentieth century, and consequently it moved into a high paced exchange whereby in 2006 a full 50% of its profits were being made outside of the UK. Recent developments Reuters  later reported that the  British government  would inject  £40 billion ($69 billion) into three banks including Barclays, which might seek over  £7 billion.  Barclays later confirmed that it rejected the Governments offer and would instead raise  £6.5 billion of new capital ( £2 billion by cancellation of dividend and  £4.5 billion from private investors). In January 2009 the press reported that further capital may be required and that while the government might be willing to fund this, it may be unable to do so because the previous capital investment from the Qatari state was subject to a proviso that no third party might put in further money without the  Qataris  receiving compensation at the value the shares had commanded in October 2008. In March 2009 it was reported that in 2008, Barclays received billions of dollars from its insurance arrangements with  AIG, including $8.5bn from funds provided by the United States to bail out AIG. On 12 June 2009, Barclays sold its Global Investors unit, which includes its exchange traded fund business,  iShares, to  BlackRock  for $13.5bn. Standard Life sold Standard Life Bank plc to Barclays plc in October 2009. The sale completed on 1 January 2010. On 11 November 2009, Barclays and First Data, a global technology provider of information commerce, have entered into a agreement according to which Barclays will migrate a range of card portfolios to First Datas issuing and consumer finance platform. On February 13, 2010 Barclays announced it would pay more than  £2 billion in bonuses. INTRODUCTION OF LEADERSHIP Leadership is all about harnessing people power for the attainment of a desired goal and thus the concept of leadership cannot be restricted to the Organizational context. It pervades through all realms of society, whether it be in politics, religion or the corporate world. DEFINITION OF LEADERSHIP We can define leadership as: â‚ ¬Ã‚  The activity of influencing people to strive willingly for group objectives.George R. Terry. â‚ ¬Ã‚  It is interpersonal influence exercised in a situation and directed through the communication process towards the attainment of specialized goals. Robert Tannenbaum. â‚ ¬Ã‚  Leadership is influencing people to follow in the achievement of a common goal Koontz ODonnell. â‚ ¬Ã‚  Leadership is the process whereby one individual influences other group members towards the attainment of defined group or organizational goals. Baron Greenberg The above definitions as is evident all pertain to the Western views. This is because leadership as a formalized field of study and analysis with a structured syllabus has not yet been established in India as it is in the West. LEADERSHIP THEORIES GREAT MAN THEORY Great Man theories assume that the capacity for leadership is inherent that great leaders are born not made. These theories often portray great leaders as heroic, mythic and destined to rise to leadership when needed. The term Great Man was used because, at the time, leadership was thought of primarily as a male quality, especially in terms of military leadership. TRAIT THEORY Similar in some ways to Great Man theories, trait theory assumes that people inherit certain qualities and traits that make them better suited to leadership. Trait theories often identify particular personality or behavioral characteristics shared by leaders. But if particular traits are key features of leadership, how do we explain people who possess those qualities but are not leaders? This question is one of the difficulties in using trait theories to explain leadership. Several researchers have demonstrated that such traits of leadership do not always ensure successful leadership but they do place the possessor in higher esteem. It is also seen that hardly10% of the listed traits in over 100 such researchers appeared in 5 or more study. The trait approach has lead to selection procedure by written tests or preference tests. The Greatest defect of this theory is that we cannot have common or universal traits of leadership. CONTINGENCY THEORIES Contingency theories of leadership focus on particular variables related to the environment that might determine which particular style of leadership is best suited for the situation. According to this theory, no leadership style is best in all situations. Success depends upon a number of variables, including the leadership style, qualities of the followers and aspects of the situation. Contingency theory is a class of behavioral theory that claims that there is no best way to organize a corporation, to lead a company, or to make decisions. Instead, the optimal course of action is contingent (dependent) upon the internal and external situation. Several contingency approaches were developed concurrently in the late 1960s. They suggested that previous theories such as Webers bureaucracy and Taylors management had failed because they neglected that management style and organizational structure were influenced by various aspects of the environment: the contingency factors. There could no t be one best way for leadership or organization. Historically, contingency theory has sought to formulate broad generalizations about the formal structures that are typically associated with or best fit the use of different technologies. The perspective originated with the work of Joan Woodward (1958), who argued that technologies directly determine differences in such organizational attributes as span of control, centralization of authority, and the formalization of rules and procedures. SITUATIONAL THEORIES Situational theories propose that leaders choose the best course of action based upon situational variables. Different styles of leadership may be more appropriate for certain types of decision-making. These approach places more emphasis on the characteristics of the specific situation or environment in which the leader is operating. Qualities for leadership vary with the situation or circumstances and that any traits or skill can become a quality of leadership in the right situation. BEHAVIORAL THEORIES Behavioral theories of leadership are based upon the belief that great leaders are made, not born. Rooted in behaviorism, this leadership theory focuses on the actions of leaders not on mental qualities or internal states. According to this theory, people can learn to become leaders through teaching and observation. PARTICIPATIVE THEORIES Participative leadership theories suggest that the ideal leadership style is one that takes the input of others into account. These leaders encourage participation and contributions from group members and help group members feel more relevant and committed to the decision-making process. In participative theories, however, the leader retains the right to allow the input of others MANAGEMENT THEORIES Management theories (also known as Transactional theories) focus on the role of supervision, organization and group performance. These theories base leadership on a system of rewards and punishments. Managerial theories are often used in business; when employees are successful, they are rewarded; when they fail, they are reprimanded or punished. RELATIONSHIP THEORIES Relationship theories (also known as Transformational theories) focus upon the connections formed between leaders and followers. Transformational leaders motivate and inspire people by helping group members see the importance and higher good of the task. These leaders are focused on the performance of group members, but also want each person to fulfill his or her potential Leaders with this style often have high ethical and moral standards. LEADERSHIP STYLE Leadership style is the manner and approach of providing direction, implementing plans, and motivating people. The U.S. Army Handbook, 1973 identifies three styles of leadership: AUTHORITARIAN OR AUTOCRATIC PARTICIPATIVE OR DEMOCRATIC DELEGATIVE OR FREE REIGN Although good leaders use all three styles, with one of them normally dominate, bad leaders tend to stick with one style. Barclays bank is using all these three leadership styles. AUTHORITARIAN OR AUTICRATIC This style is used when the leader tells his employees what he wants done and how he wants it done, without getting the advice of his followers. Some of the appropriate conditions to use it are when you have all the information to solve the problem, you are short on time, and your employees are well motivated. Some people tend to think of this style as a vehicle for yelling, using demeaning language, and leading by threats and abusing their power. This is not the authoritarian style rather, it is an abusive, unprofessional style called bossing people around. It has no place in a leaders repertoire. The authoritarian style should normally only be used on rare occasions. If you have the time and want to gain more commitment and motivation from your employees, then you should use the participative style. PARTICIPATIVE OR DEMOCRATIC This type of style involves the leader including one or more employees in on the decision making process (determining what to do and how to do it). However, the leader maintains the final decision making authority. Using this style is not a sign of weakness; rather its a sign of strength that your employees will respect. This is normally used when you have part of the information, and your employees have other parts. A leader is not expected to know everything this is why you employ knowledgeable and skillful employees. Using this style is of mutual benefit it allows the employees to become part of the team and allows you to make better decisions. DELEGATIVE OR FREE REIGN Also known as laissez faire, which is the non interference in the affairs of others. In this style, the leader allows the employees to make the decision. However, the leader is still responsible for the decisions that are made. This is used when employees are able to analyze the situation and determine what needs to be done and how to do it. You cannot do everything! You must set priorities and delegate certain tasks. This is not a style to use so that you can blame others when things go wrong; rather this is a style to be used when you have the full trust and confidence in the people below you. One should not be afraid to use it, however, to be effective, it must be used wisely! There are a number of different approaches, or styles to leadership and management that are based on different assumptions and theories. The style that individuals use will be based on a combination of their beliefs, values and preferences, as well as the organizational culture and norms, which will encourage some, and discourage others. In this context, the various approaches could also be classified under the following heads. CHRISMATIC LEADERSHIP PARTICIPATIVE LEADERSHIP SITUATIONAL LEADERSHIP TRANSACTIONAL LEADERSHIP TRANFOMATIONAL LEADERSHIP THE QUIET LEADERSHIP SERVANT LEADERSHIP CIRCUMSTANCES UNDER WHICH THE ORGANIZATION DECIDE TO IMPLEMNT THE CHANGE Organizations have to face different challenges in this changing environment like Absence of group skills The most important this in any organization is to set skills that would enhance its effectiveness. Todays business environment keeps on changing and in this changing environment the one who is skilled would survive. Its the responsibility of manager to motivate others for positive change and would build the team that work according to the change. In this rapid changing environment its not easy for manager to prepare other members accepts the need for change. He helps them to understand the new techniques and methods. You may get lot of good ideas but the real thing is to translate those ideas into the accepted ways. The success of any change depends on the acceptance of the ways. Lack of motivation and morale To maximize motivation among employees, manager needs to think in terms of flexibility. He needs to recognize what motivate his employees. A diverse array of rewards in needed to motivate employees. Managers most important goal is to help their employees developing their potential and they can do so by offering them developmental work assignments that provide a variety of learning experiences in different organizational areas. In 1980 Hackman point out the core dimensions of the job which include skill variety, task identity, task significance, autonomy, and feedback A job requires a variety of activities so that an employee could use a number of different skills and talents. It requires completion of whole and identifiable piece of work and it has substantial impact on the lives or work of other people. If these things exist in a job then the person will view his or her job as being important, valuable, and worthwhile. Job that possess autonomy give the job incumbent a feeling of personal responsibility for the results, and that if a job provides feedback, the employee will know how effectively he or she is performing. From a motivational point of view, these core dimensions suggests that internal rewards are obtained when an employee learns that he or she personally has performed well on a task that he or she cares about. The more these conditions characterize a job, the grater the employees motivation, performance and satisfaction and the lower his or her absenteeism and likelihood or resigning. Individual with a high growth need are more like ly to experience the critical psychological states and respond positively when their jobs include the core dimensions than are low growth need individuals. Conflict management In an organization sometimes conflict arises among members. This conflict is not always bad sometimes its good because, with conflict the team member would get more information, they can deeply understand the problems and would give the most appropriate solutions as well. In the era of globalization teams identify conflicts and made the successful strategic decision without sacrificing the speed of task accomplishment. But most times conflict results in slowing down the task accomplishment speed and it would reduce the effectiveness of adopted strategy. One should identify what are main reasons of conflict? Few of them are personal differences with respect to perception and expectations, lack of information, uncertainty about roles. Following are few points that help to overcome conflict Always work with plenty of information. Facts should be mainly focused. Multiple alternatives should be developed. Everyone should have same goal. Inject humor into decision making process. Solve problems without forcing consensus. Maintain balanced power structure. Power and politics Power is the ability to control the environment. If the person has power he can decide and act. If an employee is empowered he can act without any directions. Sometimes empowerment becomes very much important for the organization. In any organization, where employees are empowered they are responsible for observing one another, correcting improper procedures. Managers are increasingly leading by empowering their employees. It involves increasing decision making discretion of employees. Millions of employees are making the key operating decisions that directly affect their work. They are engaged in activities that until very recently were viewed exclusively as a part of managers job. The reason why more companies empowering employees is the need for quick decisions by those people who are most knowledgeable about the issues. If organizations are to successfully compete in a dynamic global economy, they have to be able to make decisions and implement changes quickly. In order to cope w ith increased work demands managers has to empower their people. When employees have the skills, knowledge and experiences to do their jobs competently and when they seek autonomy and possess internal locus of control, it can be beneficial. Rapid changes Organizations are changing due to change in internal and external environment. In order to adjust to these changes organization has to be flexible. Diverse workforce Another issue faced by the organization is coordinating work efforts of diverse organizational members in accomplishing organizational goals. Todays organization are characterized by diverse workforce i.e. more heterogeneous in terms of gender, race, ethnicity, age and other characteristics that reflect differences. Organizations will require larger workforce to meet the demand of high potential market. Employees dont set aside their cultural values and lifestyle preferences when they come to work. The challenge for managers, therefore, is to make their organization more accommodating to diverse groups of people by addressing different lifestyles, family needs, and work styles. Smart managers recognize that diversity can be an asset because it brings a broad range of viewpoints and problem solving skills to a company, and additionally helps organizations better understand a diverse customer base. Globalization Management is no longer constrained by national borders. There is significant importance from globalization, and the world has definitely become the global village. Managers in organization of all sizes and types around the world have to confront the challenges of operating in the global market. Managers face challenges due to an array of environmental factor while doing business. He must effectively plan, organize, lead, control and manage cultural difference to be globally successfully. General obstacles in an organization Organization needs a wide variety of skills but sometimes it happens that the organization got skills but still it wont work as it supposed to. In many cases management is not sensitive to change. They are not creative enough to put the skills of employees at the best use. Lack of vision is one of the main obstacles that prevent organization to use its resource to the full. One should have the ability to identify the problems and find solutions. If the manager doesnt have the ability to identify the opportunities to success then this would be a barrier to growth. If the management is not able to identify the creative solutions then it will be a problem for the organization in the long run. Another problem that hinders the organizational growth is that not all members are able to cope with the changing environment. Every organization has certain norms and values and its members have to follow those norms and values. All members should be sensitive to change if the business is continuo usly changing every member should accommodate according to that change. EFFECTIVE MANAGEMENT Effective management is about: Filling vacant positions with the knowledgeable and productive candidates. To increase productivity, high potentials should be promoted. To increase the efficiency of staff in their current role develop the staff. Retain the best employees to increase performance consistently. Employee empowerment is very much popular term now, it is important for the development and change of any organization. Empowering employees leads to the best results for the organization. Professional generally agrees that empowering employees will increase the productivity of organization and employees are committed and loyal to the organization. Empowered employees provide better products and services When employee is empowered he feels strong and becomes more confident. This confidence then leads to better products and services. For the development of organization and cope up with the changing nature of programs empowerment is critical. This would improve the performance and employees would take ownership of their jobs and the delivery of products and services to their clients. They serve customers at the level of organization where the customer interface exists. Empowered employees are committed and loyal Whatever the situation is, employers dont like high employee turnover, selection, and training is very expensive. During organizational change if employee empowered become the foundation of organizational development activities this would ensure the commitment and loyalty of employees. Empowered employees take pride and ownership in their jobs when they know that they can exercise independent judgment when needed. Empowered employees are productive When employees feel that they are valued and their decision are considered and management would listen to their ideas, they work harder to prove themselves right. Implementing organizational development program calls for incorporating ways to help employees. And this would increase productivity. Empowered employees generate good ideas Every employee got some ideas with himself. They might have different skills. If they are empowered they share their ideas and this can provide important insight into management development and change management decisions. They can generate different products by using innovative methods on regular basis. Organizations who really are interested in effective organizational development and change programs, they acknowledge and reward their employees and give feedback on regular basis. Empowered employees spread the word Employees pride would boost if they are empowered in organizational development and change program. The more empowered employees the more they are satisfied and they would more likely to spread the word how well the company is to others. We will further discuss this statement further by Barclays and Lehman Brothers Integration. Barclays and Lehman Brothers Integration Barclays the global financial services provider acquired the US Lehman Brothers in 2008 for the enhancement of its market. The critical issues occurred while the integration was the business disruption minimizing the clients transfer to other banks Different culture of both the businesses Motivation of the staff of Lehman brothers AS A CAHNGE AGENT Effective dealing of problems The first step to solve the problem is to identify the cause of problem. Sometimes problem can be solved by simple talking with employees such as minor attitude problems or occasional tardiness etc. In coaching manager has to deal one by one with the problem or he direct other employee to work with the employee to solve the issue between the two. It is the responsibility of leader to provide employee with feedback in order to improve their performance. Coaching requires time and patience and this will result in employees modified behavior. Poor performance Sometimes employee has skills but still he doesnt perform well. This is may be because he is disturbed or unsystematic or careless. These habits can be removed through proper guidance. But, if lack of skill is the reason of poor performance than this can be corrected through additional training. Job incompatibility Sometimes it so happens that the reason of employees poor performance is that they didnt get the job according to their skills. Their skills are not compatible or are not compatible with the task assigned to them. This problem can be solved through additional training or assigning them a different task. Sloppy work Whenever you notice that employee has made some mistakes, point out those mistakes and monitor their work closely. It still they made mistake, talk to them and try to know the reason of being careless or why they are not doing their work or properly. But in all this one has to be positive and should know that how much important is employee to the company. Create an effective message Consider the needs of everyone in the organization and design your message according to that so they can understand what you are trying to say. The performance of employees is very much dependent on your message. An effective message would have good impact over employees performance. A face to face interaction would be more suitable and can help employees to adapt the change. Listen to your employees For the change management employee feedback is very important. You can encourage your employees to provide feedback through email or the intranet. Communication is the foundation stone to successful management of change. You need to communicate with your employees early and often to make them understand your message. STAKE HOLDERS INVOLVE INTO THAT CHANGE PROCESS Investors and Business partners and suppliers Investors influenced in this change management process because they invest their asset to get profit, but with the old policy they didnt get much profit. So they involve in the favor of change management process for achieving their goals. Bank employees Bank employees involved in the change management process and they goes against to the change process because they are habitual to work on through the old policy. Customers Customers also involve in the change process and go into the favor of change process because they want quick results and want innovation in organization so they also influenced with the change process. Government and NGOs Government and NGOs influenced in the way the Government expect more taxes and other duties from the organizations and if an organization is not going in profit then how they get the more taxes and duties. On the other hand Ngos want support from the organizations. If they are not in good position they will also influenced with this so these departments also want change process for improvement of the organization. KOTTERs 8 STEP CHANGE MODEL Change is the only constant. Heraclitus, Greek philosopher What was true more than two thousand years ago is just as true today. We live in a world where business as usual IS change. New initiatives, project-based working, technology improvements, staying ahead of the competition these things come together to drive ongoing changes to the way we work. Whether youre considering a small change to one or two processes, or a systemwide change to an organization, its common to feel uneasy and intimidated by the scale of the challenge. You know that the change needs to happen, but you dont really know how to go about doing delivering it. Where do you start? Whom do you involve? How do you see it through to the end? There are many theories about how to do change. Many originate with leadership and change management guru, John Kotter. A professor at Harvard Business School and world-renowned change expert, Kotter introduced his eight-step change process in his 1995 book, Leading Change. We look at his eight steps for leading change below. Step One: Create Urgency For change to happen, it helps if the whole company really wants it. Develop a sense of urgency around the need for change. This may help you spark the initial motivation to get things moving. This isnt simply a matter of showing people poor sales statistics or talking about increased competition. Open an honest and convincing dialogue about whats happening in the marketplace and with your competition. If many people start talking about the change you propose, the urgency can build and feed on itself. What you can do: Identify potential threats, and develop scenarios showing what could happen in the future. Examine opportunities that should be, or could be, exploited. Start honest discussions, and give dynamic and convincing reasons to get people talking and thinking. Request support from customers, outside stakeholders and industry people to strengthen your argument. Step Two: Form a Powerful Coalition Convince people that change is necessary. This often takes strong leadership and visible support from key people within your organization. Managing change isnt enough you have to lead it. You can find effective change leaders throughout your organization they dont necessarily follow the traditional company hierarchy. To lead change, you need to bring together a coalition, or team, of influential people whose power comes from a variety of sources, including job title, status, expertise, and political importance. Once formed, your change coalition needs to work as a team, continuing to build urgency and momentum around the need for change. What you can do: Identify the true leaders in your organization. Ask for an emotional commitment from these key people. Work on team building within your change coalition. Check your team for weak areas, and ensure that you have a good mix of people from different departments and different levels within your company Step Three: Create a Vision for Change When you first start thinking about change, there will probably be many great ideas and solutions floating around.

Business Strategy And Economics

Abstract This paper is focused on the importance of disruptive innovation as described in the teaching of Professor Clayton Christensen.The first part of the paper introduces a business report of Christensen’s theory on disruptive innovation. The focus is on major assumptions of this theory, as they are applied to the performance of one of the leading European airline companies, Ryanair. Moreover, the second part of the paper outlines a plan that clarifies how the professor’s teaching enhances the potential of individuals to move forward to a sustainable and successful future based on the model of disruptive innovation. Introduction The theory on disruptive innovation has gained adequate importance in the global business environment. Introduced by Professor Clayton Christensen, this theory emphasises that companies should refocus their capacities and resources on technology in order to achieve a sustainable competitive advantage and growth in particular market segments (Christensen et al., 2008). Disruptive innovation is a powerful tool to drive the expansion of companies that are concerned with the attainment of long-term success (Christensen, 1997). The objective of this paper is to provide a business report on the theory of disruptive innovation as applied in the case of Ryanair, as well as to outline a plan of how the professor’s teaching can lead to developing of a sustainable and successful future, as human beings. Business Report In The Innovator’s Dilemma, Clayton Christensen (1997) introduced his distinct concept on disruptive innovation. Disruptive innovations are usually initiated as versions of products and services that already exist in the market, but they are identified as less desirable due to the aspect of lower quality. However, such products and services tend to improve with time and thus gain recognition among major customer population (Christensen et al., 2008). The conceptual framework of disruptive innovation is based on opportunity recognition, which is associated with the generation of useful ideas through implementing a past, present and future approach. The importance of considering past events have been acknowledged as a way to understand the specificity of how certain innovations have occurred (Cortez, 2014). Awareness of current trends in a particular business sector should be maintained in order to demonstrate disruptive innovation. Moreover, presenting possible scenarios is ano ther essential step of this approach that could help companies gain a strong competitive advantage (Christensen, 1997). Disruptive innovations can be perceived as ‘factor changers’ in the sense that they shape the markets into which specific products and services are introduced (Govindarajan et al., 2011). Therefore, disruptive innovations can refer to any product or service that has successfully altered dimensions of behaviour or technology in a particular market. It can be indicated that disruptive innovation usually characterises as low-end innovation and new market innovation (Christensen et al., 2008). Low-end innovation takes place when leaders tend to implement a strategy of over-supplying the needs of their customers with substantial technological capability or services that they may not actually need. As a result, a vacuum is created within such low-end market, which in turn reflects in a situation where customers with low demands are more likely to achieve their goals at lower cost (Jang, 2013). This aspect illustrates the validity of the theory on disruptive innovation consider ing the numerous examples of successful companies that have relied on this strategy, including Apple, Ryanair, and Rolls Royce. The second type of disruptive innovation, new market innovation, is focused on the formation of a new niche of customers by the introduction of new products or services. Individuals can be facilitated to complete certain procedures or processes that have been previously identified as challenging or quite demanding in terms of requiring a wide range of skills and knowledge (Christensen, 1997). However, established organisations usually demonstrate a trend to ignore the growth of new markets because of the prevailing conception that such markets are low margin. Similarly to low-end disruptive innovation, new market innovation indicates the importance of enhancing product offerings and expanding product niches (Habtay, 2012). Emphasis is put on attracting customers away from recognised or established products and services. Substantial disruption takes place as a direct result of this process, as the newly introduced products and services have the power to change the existing market on a permanent basis (Maldonado, 2014). The theory of disruptive innovation is valid because of the focus it maintains on the capacity of companies to refocus on technology advancements to optimise their performance. An example of the theory on disruptive innovation in practice can be found in the business operations of Ryanair. In the 1990s, leading airline European companies in the industry decided that the opportunities arising from the implementation of a low-cost strategy do not present a substantial threat to their market (Paton, 2013). Yet, newcomers in the European airline industry, such as EasyJet, applied the example of Ryanair’s point-to-point strategy. A direct outcome of this initiative was the creation of a low-cost niche market, which led to significant shifts in market behaviour as well as technology utilisation (Maldonado, 2014). It can be suggested that such niche of customers have realised the importance of Ryanair’s strategy even though they have not been identified as regular flyers. In addition, the low-cost and no frills strategy soon started to attract a considerable number of business travellers, who demonstrated a rapid switch from high-cost airline compani es to low-cost airlines (Christensen et al., 2008). This has been done with the assumption that low-cost airlines have significantly improved their service as a result of the implementation of disruptive innovation principles (Habtay, 2012). Such aspect demonstrates the validity of the theory considering its successful application to expanding companies’ growth in new markets. Ryanair has succeeded in the creation of a new market of budget travellers, which represents an example of the theory on disruptive innovation. The basic of such success was to offer routes to customers that no other airline did at rather competitive, affordable prices. The main aspect of disruptive innovation is to refocus technology use (Paton, 2013). This has helped the airline to maintain a close contact with its customers through optimisation of the internet use, commitment to quality, and safety maintenance and adequately focused criteria for growth. Ryanair has achieved its objective to reduce its operation cost through maximising its use of technical advances, as it introduced the options of booking of tickets and issuing of boarding cards online (Schmidt and Druehl, 2008). This airline company has provided a relevant example of how its operational teams and processes are brought together to deliver innovation in specific target niches. It has been assumed that the innovation introduced by Ryanair is desired by the target niche market (Habtay, 2012). Therefore, it can be argued that innovation levels should be maintained in balance in order to achieve the company’s initially presented goals for growth and expansion. As illustrated in Professor Clayton’s theory on disruptive innovation, an emergent strategy that organisations should adopt should be based on essential principles. Initially, companies that consider the option of disruptive innovation should incorporate elements of learning into their strategy plan (Paton, 2013). Furthermore, organisations should be focused on finding relevant information that can guarantee that they move in the right direction, similarly to what Ryanair did in the European airline industry through its adherence to the disruptive innovation model (Schmidt and Druehl, 2008). As a result, this type of innovation can produce long-term catalytic change, as illustrated in the example of Ryanair. The way in which a new technology addresses the demands presented in an existing customer segment is an important condition for success. Existing customers have been found powerful to affect an organisation’s resource allocation process (Christensen et al., 2008). The basic idea behind the application of disruptive innovation in practice is to introduce new functions or attributes, as Ryanair introduced a low-cost strategy and flexible fares to its customers (Petrick and Martinelli, 2012). A significant assumption can be provided in relation to new market disruptive innovation in the sense that it is more likely to prosper among customers that companies have not been addressed previously. As implied in The Innovator’s Dilemma, Professor Clayton’s theory of disruptive innovation illustrates both the strengths and weaknesses of using financial ratios to measure business performance in both the short-term and long-term (Christensen, 1997). The strengths associated with using these ratios refer to the capacity of companies to use specific financial information to advance their business operations. Weaknesses of these ratios include improperly maintained focus or irrelevant or inaccurate financial details. The most important ratios with regards to Professor Clayton’s theory are the following profitability ratios: Return on Capital Employed (ROCE); Current Ratio and Acid Test Ratio (Christensen et al., 2008). The ratio of RONA presents a comparison of net income with the specific net assets. The ratio of ROCE provides significant information about the returns that an organisation achieves from the capital it employed. In the case of Ryanair, the company’s ROCE ratio indicated a significant increase from 6.86% in 2011 to more than 10% in 2013 before tax (Paton, 2013). The formula for calculating the current ratio is to divide current assets and current liabilities. Therefore, Ryanair’s current ratio in 2013 is 1.97:1. Acid test ratio is obtained through subtracting current assets and inventory and the result is divided with current liabilities (Habtay, 2012). The acid test ratio in 2013 is 1.97:1. These ratios indicate that the company performs well in its niche target market as a result of the introduction of disruptive innovation. Plan Professor Clayton’s teaching provides fundamental business ideas that can help individuals move forward to a sustainable and successful future, as human beings. His concepts reinforce the potential of professionals in the business world to bring about a substantial change that can alter positively their lives (Christensen et al., 2008). When human beings are confronted with new technological innovations, they tend to explore the numerous opportunities associated with such technology advancements that can help them become more successful in their operations. Sustainability emerges as an essential dimension in Clayton’s teaching on disruptive innovation (Petrick and Martinelli, 2012). By finding new markets for new technologies, individuals can help companies move in the right direction through adhering to the model of disruptive innovation (Christensen et al., 2008). Technology is the key to a sustainable and successful future for human beings considering the emphasis on improvement in product performance. There has been always a drive to seek improvement of products and services in any market segment. Clayton’s teaching motivates individuals to restructure their thinking and present distinct inferences regarding the application of disruptive innovation models in practice (Chandra and Yang, 2011). In fact, the model suggested by the professor indicates a proven path to achieving a sustainable and successful future based on the concept of disruptive innovation. The ability of human beings to innovate is leading in the contemporary business world, which is oriented towards long-term success. Clayton’s ideas are focused on presenting a realistic framework according to which sustainable is achievable as well as new innovations address current needs and expectations identified in different markets (Christensen et al., 2008). As Clayton a rgued, market leaders are responsible for embracing such innovations and exploit the numerous advantages of technologies. As a result, this would contribute to the emergence of a high level of sustainability in the dynamic business environment (Maldonado, 2014). The model introduced by Professor Clayton provides managers with an opportunity to offer relevant insights into the most appropriate way of utilising disruptive technologies. The professor presents his arguments in a clear, consistent manner, which helps individuals understand the specificity and applicability of his theory (Christensen, 1997). The emergence of particular value networks is in line with the basic idea to refocus on technology through the distinct model of disruptive innovation (Petrick and Martinelli, 2012). Moreover, Professor Clayton emphasises the necessity to discuss different managerial decisions, which contribute to enhanced sustainability in the business world. Moving to a sustainable and successful future may be challenging for human beings, but they can make a sense of all activities pertaining to disruptive innovation and apply them in practice. This can help individuals realise the potential and practicalities of the ideas shared by Professor Clayton (Habtay, 2012). Emphasis on the learning cycle shows that both individuals and companies can embrace the concept of change, which may contribute to expanding sustainability not only in the organisational context but also in society (Christensen et al., 2008). The professor’s teaching is intended to clarify any misunderstanding related to business performance in the contemporary world. His ideas suggest that sustainability and business success are attainable through the simple realisation of companies’ potential (Christensen, 1997). In addition, the development of new capabilities as related to specific organisational boundaries may be a relevant solution to overcome problems i n a company’s performance. Conclusion This paper discussed Professor Clayton Christensen’s theory on disruptive innovation, which has been recognised as a significant tool in driving the growth of many organisations (Christensen et al., 2008). The paper also provided arguments pertaining to the successful implementation of the theory in practice. Ryanair was referred to as an example of company, which adheres to the model of disruptive innovation (Paton, 2013). It has been concluded that Ryanair’s low-cost strategy has brought substantial success to the company. Moreover, the paper discussed details on how the professor’s teaching is inspiring for human beings in the process of moving forward to a sustainable and successful future. References Chandra, Y. and Yang, S. (2011). ‘Managing Disruptive Innovation’. Journal of General Management, vol. 37(2), pp.23-50. Christensen, C., Johnson, C. W. and Horn, M. B. (2008). Disrupting Class: How Disruptive Innovation Will Change the Way the World Learns. New York: McGraw-Hill. Christensen, C. (1997). The Innovator’s Dilemma: When New Technologies Cause Great Firms to Fail. Boston: Harvard Business Review Press. Cortez, N. (2014). ‘Regulating Disruptive Innovation’. Berkeley Technology Law Journal, vol. 29(1), pp.175-228. Govindarajan, V., Kopalle, P. K. and Danneels, E. (2011). ‘The Effects of Mainstream and Emerging Customer Orientations on Radical and Disruptive Innovations’. Journal of Product Innovation Management, (1), pp.121-132. Habtay, S. R. (2012). ‘A Firm-Level Analysis on the Relative Difference between Technology-Driven and Market-Driven Disruptive Business Model Innovations’. Creativity & Innovation Management, vol. 21(3), pp.290-303. Jang, S. W. (2013). ‘Seven Disruptive Innovations for Future Industries’. SERI Quarterly, vol. 6(3), pp.94-98. Maldonado, E. R. (2014). ‘How to Identify Disruptive New Businesses’. Global Conference on Business & Finance Proceedings, vol. 9(1), pp.510-520. Paton, M. (2013). Ryanair Profits Soar 21% [online]. The Motley Fool. Available at: http://www.fool.com/investing/general/2013/01/28/ryanair-profits-soars.aspx [Accessed: 14 August 2014]. Petrick, I. J. and Martinelli, R. (2012). ‘Driving Disruptive Innovation’. Research Technology Management, vol. 55(6), pp.49-57. Schmidt, G. M. and Druehl, C. T. (2008). ‘When Is a Disruptive Innovation Disruptive?’ Journal of Product Innovation Management, vol. 25(4), pp.347-369.

The Foolproof Topic of Social Issues Strategy

The Foolproof Topic of Social Issues Strategy It's another tier of racism. There is a particular fragility of revenue and social position in France. Anarchy immersion study wasn't the greater education parents anticipated. Nations that offer social welfare programs are called welfare states. You need to always start looking for academically proved and dependable sources that you're able to cite in your essay. Students lead busy lives and frequently forget about an approaching deadline. You have to make sure you've picked an adequate topic so you may submit a high-quality essay. These topics are meant to help students identify some helpful sources. Some teens are so involved in the digital world of internet gaming and media they don't really focus on things and issues around them. If only a few individuals are speaking out against it, then it isn't a social matter. Furthermore, there are different joints which only draw in women or seem to get frequented by men only. Inferior groups should remain in their place. Unsurprisingly, because job opportunities are lessen for dropouts, these 2 groups have the maximum incarceration prices. In getting what you would like, it's sometimes essential to use force against other groups. There are a number of other issues which are rubbing citizens the incorrect way. It is not surprising that the problem has come to be a lot more visible in urban locations and over half of all homeless folks dwell in one of the nation's 50 largest cities. The issue is that there's no voice telling government what is reasonable and what isn't fair, they act at leisure. There are a lot of problems, even on your own campus, which should be resolved. Further, there's a significant deal of research already done on this subject. Our customer support will gladly tell you whether there are any special offers at the present time, and make sure you are getting the very best service our business can deliver. There are many and in many instances, because of the great diversity we've got in our nation. There'll also be the chance to chat with native speakers. Attempt to persuade a person who might disagree with you about three things they can do in order to handle racism today. The reason might have been anything. Social issues have always been an essential part of the human condition. It's these social problems that are drawing fans to look after these fledgling heroes since they try to deal with everyday life and grapple with their newfound powers. It's just unfortunate that there are nevertheless some party leaders who would like to be prime minister, who decide to stand with those who are intolerant instead of standing with the LGBT community,'' he explained. Some groups of individuals are simply inferior to other groups. All sources have to be no over five years old. Specifically in the specialty of pediatric psychiatry, find positions in which you are able to work with children. Understanding and improving the manner that social elements interact with different forces is crucial to our future. Then there are the wellness concerns. It's shocking that all these are still in denial about the possible effect of medical care costs on America. Nonprofit organizations are often formed for the only goal of solving a social matter. When discussing gender equality topics, it's crucial to follow certain rules not to abuse a specific sort of readers. Describe ways that all types of prejudice and bias are or aren't interconnected in your standpoint. What's important is the measurement of the comparative form and parameters between both systems. Utilize your example to strengthen your opinion and explain it. Therefore, it's critical to make them experience its different elements to enhance their knowledge. It does so within this fashion. This was the event of the on-line group who banded themselves under Anonymous who'd hack into websites, servers once they went online to create their demands known.

Violence, Power, and Goals in the Hebrew Bible and The...

Violence is a means to an end. Violence is not something most humans resort to for enjoyment. Violence is, however, the right thing to be done in certain situations. With violence, comes great power. Power and violence walk together, hand in hand. When violence is exhibited, the power of the individual is shown to those around him. In both the Hebrew Bible and The Iliad, violence is depicted as a mode to reach goals. The reason for this is that violence allows an individual or a deity to flaunt their powers, while they simultaneously achieve their personal and communal ambitions. Just like how mortals have their own goals, deities also have an agenda. God, in the Hebrew Bible, has only two goals: to have humans obey Him blindly and to†¦show more content†¦Sacrifices are, in nature, very violent. Innocent blood is spilled to please the vengeful God. In Exodus 12, the Lord struck down all the first-born in the land of Egypt, from the first-born of Pharaoh who sat on the throne the first-born of the captive who was in the dungeon, and all the first-born of the cattle (Exodus 12:29). God did all that just because the Pharaoh stubbornly refused to let the Israelites leave his country. The immense sacrifice of the first-borns of man and beast was an act of violence that led the exodus of the Israelites. The mass murder of the Egyptian people and livestock also proves to the Pharaoh the great power of God, a power that would have remained unseen if not for the plagues and the executions. For after the Pharaoh witnessed the death of at least one man or one beast in each Egyptians household, he said, Up, depart from among my people...Go, worship the Lord as you said (Exodus 12:31). With this final act of violence, God helped reach the Israelites communal goal: to leave the oppressive Egypt and to enter the liberal Promise Land of Canaan. Because humans were created in Gods image, it makes perfect sense that humans will use violence as a way to achieve their own goals, just like what God does. In I Samuel, David had one goal during the Goliath episode: to let this whole assembly (the soldiers) know that the Lord can give victory without sword or spear. For