Monday, September 30, 2019

Comparison of Ifrs and Us Gaap Essay

Presents the key similarities and differences between IFRS and US GAAP, focusing on the differences commonly found in practice. It takes into account all standards published up to August 2007. IFRS Pocket Guide 2006 Provides a summary of the IFRS recognition and measurement requirements. Including currencies, assets, liabilities, equity, income, expenses, business combinations and interim financial statements. Understanding financial instruments – A guide to IAS 32, IAS 39 and IFRS 7 Comprehensive guidance on all aspects of the requirements for financial instruments accounting. Detailed explanations illustrated through worked examples and extracts from company reports. Contents Page Preface How to use this publication Summary of similarities and differences Accounting framework Financial statements Consolidated financial statements Business combinations Revenue recognition Expense recognition Assets Liabilities Equity Derivatives and hedging Other accounting and reporting topics Foreign currency translation Earnings per share Related-party disclosures Segment reporting Discontinued operations Post-balance-sheet events Interim financial reporting 3 4 12 13 20 25 30 34 39 50 58 59 62 62 63 64 65 67 67 68 69 Index Similarities and Differences – A comparison of IFRS and US GAAP – October 2007 Contents 1 Preface Preface One day we may not need to produce this publication because the world’s capital markets will be using one accounting framework, and there will be no need for a comparison between two sets of standards. However, there is much to do before this can become reality. The International Accounting Standards Board and the US Financial Accounting Standards Board have been committed to converging IFRS and US GAAP since the Norwalk Accord of 2002. Many commentators have called for convergence to simplify financial reporting and reduce the compliance burden for listed companies, especially those with stock market listings in more than one jurisdiction and those who participate in cross-border, capitalmarket transactions. A major step in the movement to one set of global accounting standards is the Securities and Exchange Commission’s 2007 proposal to drop the requirement for a US GAAP reconciliation by foreign private issuers that prepare their primary financial statements under full IFRS. Another significant step is the 2007 SEC Concepts Release on allowing domestic US registrants to use IFRS as an alternative to US GAAP. These potential changes, if they come to fruition, will significantly alter the international landscape of accounting. US capital-market participants have already started to show a much greater interest in IFRS, realising that it may replace US GAAP as the accounting language underlying future financial reporting and capital-market activity. This will not happen immediately.

Sunday, September 29, 2019

Persuasive Speech on Sex Education at School Essay

Should children be given sex education in schools, or should this be the responsibility of the parents? Thesis Statement: Sex, as serious and important to discuss, is still a very uncomfortable topic for teenagers to discuss; this speech will persuade the audience that sometimes, some things are best discussed at the comfort of a child’s home rather than the company of others. Sex is an important part of life. Whether or not we choose to go for it right away or wait, chances are we will have sex at one point in time, which is why it is better to get the facts straight sooner than later. The problem is though, with sex; we don’t get to say, â€Å"Experience is the best teacher.† If it is, then we could all get away with doing â€Å"it† and could say that we’ll do better next time. In 2010, the Philippine Government has implemented a United Nations-backed sex education program in public schools for children and teenagers. The sex education program has been piloted in selected schools around the country and included topics such as Reproductive Health, HIV/AIDS prevention, and family planning. Most of these topics imply only the abstinence part of sex education. Talking about sex does not make us want to have it. In fact, in health classes, sex is usually associated with abstinence. To be honest, my family has been open into discussing sex issues to us, their children. From time to time, they open discussions about sex, and ask us of our concerns with regards to certain aspects of sex. At first, I found it a whole lot awkward and uncomfortable talking about genital organs and hearing about how babies are made generally. However, as I have continued going to school and is somehow able to acquire the maturity I was expected to have, I have learned that sex should be taken seriously.

Saturday, September 28, 2019

American Consumerism Essay Example | Topics and Well Written Essays - 750 words

American Consumerism - Essay Example This essay shall shed more light on American Consumerism as described in the work of Dratch and Schor. A lot of Americans generally feel dissatisfied in terms of material possession. This is in relation with the interview of Schor (1). However, this does not mean that they overspend in purchasing goods to fulfill their needs but they purchase these goods because they want these goods to live comfortably. This explains why a lot of Americans work for longer hours as opposed to citizens in other countries. The need to satisfy this wish list, as well as work more to fulfill is one that leads to their being the best savers. A good example is how Americans purchase goods that relate to their own lifestyle. A great percentage of Americans will purchase a car that appeals to them, visit specific shopping malls, rent specific houses, and even dress in specific designer clothes. This explains that they wanted that particular type of good but did not need it. Such kind of lifestyle pushes them to get to that particular brand of product so as to retain their image and class in the society. Americans lead a rich lifestyle yet they spend very little amounts of money. This is from the compilation of Dratch (1). Americans have been said to be the best analyzers of their spending habits and do not purchase goods to please other people. Through the making of budgets just as Dratch recommends (1), Americans avoid being materialistic and making purchases to please other people. This means that they only purchase goods that are important at that particular time in their life or goods that will add value to their present life. The American consumer cannot be said to lack self discipline. This is derived from the interview of Schor with Soron (Schor 1). Additionally, the media through advertisements cannot be blamed for the consumer behavior of the Americans (Schor 1).

Friday, September 27, 2019

IP3 Essay Example | Topics and Well Written Essays - 1000 words

IP3 - Essay Example The services provided by organizations can be analyzed using the market share and growth rates and can be classified into four categories. The services can be classified as cash cows, question marks, dogs and stars depending on their performance in the competitive market. Portfolio analysis enables the organization to allocate it resources effectively and help in the decision making process. The challenge facing portfolio analysis is the accurate definition of product market segment by an organization. Portfolio analysis can be considered as an organized way to go about asset allocation in the market. The services  dispensed by the hospital can be evaluated using the service department offering the services. The market share will reflect the number of patients visiting the organization and the growth rate will be evaluated by the increase in customers on an annual basis. The hospital offers orthopedic services to its patients. Orthopedics deals with ailments affecting the musculoskeletal system in man. This is one of the high performing departments in the organization receiving  many patients on an annual basis. The hospital has allocated a large number of nursing staff and technological resources to the specialty. Another high performing department in the hospital is the Pulmonology department. Pulmonology deals with ailments that affect the respiratory tract in human beings. The hospital receives high numbers of patients thus has invested in nursing staff and technology to ensure that the organization is efficient. The hospital is ranked highly for the number of specialized patient services it provides. Pulmonology and Orthopedics services can be considered as cash cows to the organization due to the market share the hospital commands. Cash cows can be defined as those services that have elevated market share in a sluggish growing industry. The hospital has two cash cows explains the ranking

Thursday, September 26, 2019

Philosophy Ethics Essay Example | Topics and Well Written Essays - 1500 words

Philosophy Ethics - Essay Example Mill explained this rule with the aid of the principle of utility. According to this principle which is also sometimes referred to as the principle of happiness, for a person to be happy himself he should consider the happiness of others to be as important as his own happiness (Mills 1867). This philosophy of happiness was further explained by John Stuart Mill with the assistance of his theories by putting forward the rules of thumb. The reason for presenting these rules was that Mill argued that a person should not misunderstand the meaning of happiness. These rules were used by him to support the theory of maximizing happiness and provide an insight into the meaning of this principle. These rules encompass the aspects of this principle to cover the features and the characteristics which should be understood about it. The rules of thumb were to be always considered to reach to a proper conclusion as to what happiness actually is. According to these rules, it is through knowledge and learning that a person actually gets to know that what act will bring about the maximum happiness. The reason behind this is that it is through awareness of the developing of humans and human nature that one can understand that what act is morally correct and will actually bring about the maximum happiness for the maximum number of people. These rules also present that a person should increase his level when thinking about happiness. That is happiness should not be restricted to certain things. A person should search for happiness in everything that surrounds him. These things can range from nature to music to history and art. That is a person should be learned and it is through his knowledge that he will be able to find happiness in all these things. An example of education can be considered here as to how much educated an individual is to know about certain facts about life. Being educated would help an individual to distinguish between the higher and lower pleasures in terms of happiness. He would understand as to which pleasures are attainable and which are not. With appropriate education the individuals are able to experience both the lower and higher forms of pleasure through which they can decide as to what they would prefer. With enough education one can know about different things existing in the world and thus individuals can then decide as to which happiness they really want. (Mills 1867; Steward & Blocker 2005). To make his theory even better understood Mill clearly presented the exceptions that implied to this rule of happiness. He explained that though acts like lying and murder are considered to be wrong under normal circumstances but these acts become acceptable under certain conditions. An example to this can be that when a person has to protect himself from a murderer he has a right to act in self defense. Another example which can be considered is a person can lie when the person has to conceal some information from someone who might misuse it and cause great harm. Mill is quoted as â€Å"Actions are right in proportion as they tend to promote happiness; wrong as they tend to produce the reverse of happiness. By happiness is intended pleasure and the absence of pain† (Mill 1986 ii). According to the utilitarian position, it is the consequences of an act that matter the most. In this regard, John Stuart Mill who was a

Wednesday, September 25, 2019

Intellectual Property Rights Essay Example | Topics and Well Written Essays - 500 words

Intellectual Property Rights - Essay Example If not then licensing of patents will have to be negotiated between the company and the laboratory. In such a scenario it is the internal agreement between the laboratory and the staff, students or post doc fellows which comes in effect. There might be a general agreement in place and specific agreement for the particular project might have to be executed including or excluding the right so people of the laboratory (Queen’s University IPR Guide, 2011) 2) Work for Pay – if the staff is specifically hired to follow directions of the laboratory coordinator or anyone else then they shall not be entitled to any IPR as it was not their genesis. They were just executors who acted on behalf of the director and did not contribute any cognitive inputs (NIT, Rourkela 2009) 3) Contractual work – if the project is work-for-hire, the employee or agency will retain the right to be identified as the creator of the IP but the right of commercialization and IP rests with the labor atory. In such cases the staff depending on the general agreement has the share of the IP benefit as the work was not indigenously developed by the laboratory. 4) Full time work – if any student or staff works in the laboratory full time or part time the rights to IP depends on the contract of employment.

Tuesday, September 24, 2019

Logistics & Physical Distribution Essay Example | Topics and Well Written Essays - 2250 words

Logistics & Physical Distribution - Essay Example The key components of the paper involve company description, supply chain mechanism, key performance indicators, charts and diagram of supply chain and applicable support systems such as ERP, SCM, and APS. My supply chain design of the company ABC is aimed at ensuring that time for clearance and distribution of goods at port is minimized. This paper addresses the design and operation of company ABC in terms of its supply chain. Key Performance indicators (KPI’s) in terms of supply chain of the company ABC concerns improvement of time usage at ports (Kapoor and Kansal 2003). Diagram and charts providing the logistics and physical distribution of the ABC are essential for effective presentation of the strategy. Physical distribution comprises the movement, handling, and storage of products from the point of source to their tip of consumption or employ, via various routes of distribution. Logistics administration comprises the management of these functions for competent and expenditure successful physical distribution. It must be apparent the last 50 meters are fitting more and more leading in these kinds of supply chains. Supply chain organization is the lively administration of supply chain actions to exploit customer value and accomplish a sustainable aggressive advantage. The objective of Company ABC is to increase efficiency through elimination of redundancy distribution and supply processes that are used in many clearance and forwarding organization. The goals of supply chain management are to minimize and reduce organizational inefficiencies. In order to employ this in company ABC’s supply chain, it is necessary to analyze the process of organizing practices among production facilities, suppliers, customers and distribution centres. This will enable a precise distribution of goods at the right time to the correct destination. By doing this, it would be possible to reduce costs while sustaining a desired service level. After assessing the objective of

Monday, September 23, 2019

Dialogue between Two Women Essay Example | Topics and Well Written Essays - 750 words

Dialogue between Two Women - Essay Example One major difference between the two centuries is the industrial revolution that changed the whole social dynamics of the world. Flora: But it has changed. Nowadays seeking a profession for a woman is not taboo. But most of the professions that women get areas housemaids or if they are good at reading and writing, they can be teachers or they can become novelists like me. Jane: Well, that sounds nice, even though your century seems more open, but still women are not equal to men in social dynamics. I don’t know about the specific roles in your society but here in the eighteenth century, we women, usually after the age of 23, wait for their prince charming to knock at their doorstep. We have to show shyness and have to act delicate, that attracts men and we can get married. Flora: I understand but here in my century, times have slightly changed. Many women professionals (mostly artists) are stepping up to the challenge. We don’t necessarily have to get married and think about children only. A woman who now seeks a career and lives life on their own terms are now looked upon by many women. You were born in the romantic era, where the romance was in full swing, the typical romance where the man takes the initiative and takes the lead. I am born in the Victorian era where women rulers are looked upon. Jane: Even though women’s roles in your time are more liberal but I would cling to the modesty of my 18th century. There are no restrictions on women in choosing the profession and earning a living for themselves but the Victorian era makes them the ruler which is somewhat of an unknown territory. At times it does feel alluring but I have my reservations. Flora: I enjoy the liberty and choices my century has given me. We are more independent and are more involved in the social dynamics.

Sunday, September 22, 2019

United States History from 1865 - 1929 Essay Example | Topics and Well Written Essays - 1250 words

United States History from 1865 - 1929 - Essay Example 1865 marked the death of slavery and birth of racism in US which appalled as decades passed by while the 20th century highlighted the diplomatic side of US. Slavery in US was officially banned after 1865, yet that was the time of birth of racism in US. African Americans, Asian Americans and Chinese were some of the minorities in US between 1865 and 1929. White Americans formed the majority of US. 1865 and onwards was the era when US opened the gates to immigration and people started to pour into US from all parts of the world. That was also the time when slavery was considerably abolished from US after a long struggle of the states and US had been proven indivisible. Nevertheless, the abolition of slavery gave birth to racism because not all Americans were pleased to see the past slaves acquire the right to vote and fill positions in the government. This raised new challenges not only for the African Americans, but also for all other migrants that were in a minority in the US. After the slavery was legally abolished and the rich culture of America was eradicated, African Americans felt uncomfortable while using their right to vote. Although they had physically been released from the chains of slavery, yet they required decades of psychological therapy to break free of the hold of the trauma of slavery. However, things changed for the better as time passed. Many of them introduced the black codes with puts constraints on their freedom. By 1870, a lot of African Americans were allowed entry into politics and the Congress. But a vast majority of the white Southerners was not in the favor of reconstruction. The culmination of the Reconstruction Period in 1877 sanctioned a new constitution. In spite of the guarantees made by the new constitution, African-Americans and the immigrants had the status of second-class citizens in US. With limited civil rights, they made subordinates to the white Americans that were in majority. Racism was omnipresent in schools, off ices, hospitals, recreational spots and public stations. As the 19th century approached its end, racism in US reached its apogee. Strict segregation in public places, sports, theaters, transportation and cemeteries was supported by law. A vast majority of the African Americans had been denied the right to vote as a result of their inability to pay the poll taxes, which had been primarily enforced to keep them from participating in the policy. African Americans were subject to violence by the mobs and they were put into forced labor in jails if they were made complaint against. Although law had declared them free, yet the majority of African Americans had hardly managed to escape slavery. Start of the 20th century brought industrial revolution to the US. In fact, things had started to change in favor of technological advancement right from the last two decades of the 19th century. Industrialization also made more room for the workers. The American Federation of Labor was established in 1882. Workers were dissatisfied with the low wages and long working hours till the end of the 19th century. Immigrants made a significant proportion of the industrial workforce. Almost 25 million immigrants had settled in different cities of America between 1865 and 1910. Although immigrants were offered lower wages than the native Americans and they had to worker more than them, yet the living conditions in America were better than those in their homelands. Immigrants in America had

Saturday, September 21, 2019

Children’s Functional Health Pattern Essay Example for Free

Children’s Functional Health Pattern Essay Toddlers believe rules are absolute and behave out of fear of punishment. The toddler will respond with good behavior for positive feedback. These  values and beliefs are learned. Preschoolers frequently express their values by stating who or what they like or what they want to be when they grow up. Preschoolers receive modeling of values from involved adults, peers, as they develop their morality. School-Age children’s values come from religion, cultural, and parental values influences. These factors shape a child’s moral development, and concept of right and wrong. School-age children are able to make decisions related to moral and ethical issues. Parents may cater to their toddler when they are misbehaving, giving them more attention when they are bad than when they are good. This make the toddler believe that behaving badly gets their parents attention. Parents need to remember to reward good behavior, and to emphasize rewards for acceptable behavior and minimizing attention for unwanted behavior. Parents may not have firm and established rules, making it confusing for the toddler to distinguish right from wrong. Peers or inappropriate content on television can negatively influence preschooler’s values and beliefs. Parents may have a poor morals and value system themselves, inadvertently teaching their preschoolers the same behaviors. School-age children may bend to peer pressure to gain the acceptance of their peers. School-Age children may cheat due a desire to win, or pressure from their parents and peers to be great. Short Answer Questions Address the following based on the above assessment findings. Expected answers will be 1-2 paragraphs in length. Cite and reference outside sources used. 1) Compare and contrast identified similarities as well as differences in  expected assessment across the childhood age groups. Across the stages of development from toddler up to school age children there is a significant difference in the amount of guidance needed and the amount independence required. The differences are evident when examining how each developmental phase interacts and responds within each health assessment pattern. Toddler and preschool children need more structure and routine, whether it’s brushing their teeth or bedtime rituals. School-aged children, on the other hand, require more independence and trust in decisions while still being guided and reassured as the develop their own sense of identity. There are similarities as amongst the age groups as well, such as all of the children moving towards a state of autonomy and the ability to express themselves adequately and be heard by either their parents, their peers, or both. Additionally, all of the different age groups have the need for a structured and healthy home environment in order to grow and develop. 2) Summarize how a nurse would handle physical assessments, examinations, education, and communication differently with children versus adults. Consider spirituality and cultural differences in your answer. When the nurse is caring for a child, the nurse must remember that they are essentially caring for the child and the parent (Jarvis, 2012). For a nurse, the assessment, examination and interaction with a child patient offers its own set of challenges and requires a different approach from that of an adult. When dealing the toddler and preschooler, the nurse should visit with the parent first, letting the child size the nurse up. The nurse can assess child on how they interact and react to the parent and the nurse. This allows the child to see that the caregiver has accepted and trusts the nurse. For the toddler and the preschooler, the parent will be providing most, if not all of the health history. When beginning the physical assessment on the child, move slow and approach them slowly while seeming happy and unthreatening. The nurse should allow the child to hold instruments, like a stethoscope, during the physical exam to help them feel like they are involved in their own care. Having parents there add security and support for children, and also can help with the ease of assessing the  child without them realizing that they are being assessed. With children of each stage of development, the nurse must be cognizant of verbal and non-verbal cues provided by the child. The nurse should be mindful that there could be cultural and/or spiritual considerations to take into account, like when undressing a child of the opposite sex. The nurse needs to ensure that the caregiver and the child feel comfortable. With both children and adults, assessment should start with least invasive and progress leaving most invasive last. School-Age children should be assed like either children or adults depending on their developmental age. Adult assessment can be more direct than that of a child. Ask adults open ended questions, listen to their complaints, and educate as needed. References Current Nursing. (2012). Theory of Psychosocial Development: Erik H. Erikson. Retrieved From http://currentnursing.com/nursing_theory/theory_of_psychosocial_development.html Edelman, C., Kudzma, E., Mandle, C. (2010). Health Promotion throughout the Life Span [VitalSource Bookshelf version]. Retrieved from http://pageburstls.elsevier.com/books /9780323056625 Jarvis, C. (2012). Physical Examination and Health Assessment [VitalSource Bookshelf version]. Retrieved from http://pageburstls.elsevier.com/books/978-1-4377-0151-7

Friday, September 20, 2019

Effect of Organisational Culture on Information Technology

Effect of Organisational Culture on Information Technology The Effect of Organizational Culture on Information Technology/Business Strategic alignment in Saudi Firms Abstract This research effort is intended to study the dynamic relationship between the IT Strategy and the overall Business Strategy in Saudi Firms. IT strategies perceived to be developed in isolation, meaning that such strategies are put forward by IT managers without any involvement of top business managers. The IT manager may be oblivious or he/she may not have a clear idea of the business strategy leading to a strategic diversion where all important technical investments decisions are made by the IT director alone. The researcher recognized some major factors that influence alignment including Organizational Culture; therefore the researcher investigated the current organizational Culture at large selected Saudi firms. In addition, perceptions of Information Technology Value and utilization in the targeted companies was identified and analyzed through set of questionnaires and interviews in order to help the researcher to establish the relationship between Information Technology and Organizational Culture, since it would be a valuable part of forming the proposed strategic alignment model. The Saudi firms, where questionnaires have been distributed, and interviews have been conducted are SABB (Saudi British Bank), Saudi Airlines, AL-Marai, and AlTawniah. The researcher is aiming to collect further data from previous Strategic Alignment Models, and collect more information through additional interviews and questionnaires in order to interpret and validate the findings of the first stage that will lead to the design of the final stage of the Strategic Alignment Model. All data will be combined to give the base for a Strategic Alignment Model. This new model will be a practical one that should fit the Saudi environment. 1. Introduction Strategic alignment has become one of the most important topics for researchers in all industries. Its main objective is to establish and arrange a relationship between business and IT strategies. From a competitive advantage point of view, organizations with such alignment will have edge over others. 2. Context of the Research In the last few decades, the gap between business strategy of organizations and their IT strategy has been noticed by researchers and practitioners across the globe. Numerous research articles have been written to indicate this fact and to highlight the importance of bridging the gap between IT strategy and business strategy of organizations, to achieve coordinated results and efficiency for the enterprise. MIS professional, researchers have understood the significance of the issue which exists at global level [1]. Figure (1) summarizes the Information System/Business relationship which can be described as ‘Interdependent; where any changes in the IS (Software, Hardware, Database and Telecommunication devices will have an impact on the Business and vice versa; any change in the business (Strategy, Rules and Procedures) will have its impact on the Information Systems function of the organization [2]. FIG01-07Since Information systems and organizations influence each another. On the one hand, information systems must be aligned with the organization to provide information that is important to different groups according to the organization need. On the other hand, the organization must be aware of and open itself to the influences of information systems in order to benefit from new technologies [3]. Figure 1: The interdependence between organizations and information systems (Laudon Laudon, 2006) The interaction between information technology and organizations is very complex and is influenced by a great many mediating factors, including the organizations structure, standard operating procedures, politics, culture, surrounding environment, and management decisions as shown in figure (2). One mediating factor was selected by the researcher, which is the organizational culture, and the purpose of this selection will be discussed in a later section. Managers must be aware that information systems can markedly alter life in the organization. They cannot successfully design new systems or understand existing systems without understanding organizations. Managers decide what systems will be built, what they will do, how they will be implemented. Sometimes, however, the outcomes are the result of pure chance and of both good and bad luck [2]. 3. Original Work in Strategic Alignment Strategic Alignment is defined as the process of creating and managing a business driven IT organization, for which the main focus is implementing information oriented Solutions, that is most important to meeting the business goals, objectives, and strategies of the enterprise [4]. In order to make organizations successful, it is important for all parts of the organization to move in the same strategic direction. Of particular importance is that the business strategy and the IT strategy are complementary. If they are trying to move the organization in different directions the risk of failure may increase. Given the high level of resources invested in IT by most organizations it is important for it to be used as a strategic resource to contribute towards the achievement of business objectives. The strategic alignment would measure the relationship between an organizations IT function and its business objectives. The degree to which alignment is present in an organization will depend o n many factors. These factors will include the knowledge of the subject by management, the organizational infrastructure and culture, the nature of the business, the technology in use, and the ability of the organization to manage change. It is very important to realize that Strategic alignment is a process and not a project. Also Alignment issues should be considered at all levels of the organization, meaning that the occurrence of alignment at one level does not guarantee alignment at another [5]. 3.1 Strategic Alignment Models Alignment models show the relationship between the various domains (Business: mission, vision, objectives and tactics and Technical: processes, skills and knowledge) that influence alignment, which is dynamic with a strategy or technology decision impacting on one or more of the other domains. The alignment model within an organization must be continually reviewed due to the ongoing change in the internal and external environments. Corrective action must be taken to realign the organization when necessary. Many managers do not realize that a decision imposed on one domain may impact on one or more of the other domains [6]. Different people depending on their experience and background will have different strengths in each domain. An IT professional would likely have strengths in IT strategy or infrastructure while a business manager would likely have strengths in business strategy or organizational infrastructure. This could lead to problems if communication channels are not strong an d management processes are not in place to facilitate alignment. There are number of models which were designed to attempt to come up with such an alignment. Some of the most important models are the following: A. Strategic Alignment Model (Henderson and Venkatramon, 1993) The model has four domains or variables: business strategy, IT strategy, organizational infrastructure and IT infrastructure [7]. Butler and Fitzgerlad defined the context of the business strategy domain as business scope which refers to â€Å"the decisions that determine where the enterprise will compete†; distinctive competencies which â€Å"pertains to the areas that determine how the business will compete in delivering its products and services† and business governance which concerns â€Å"the choices that enterprises make when competing in the market place, e.g., whether alliances are entered into or not†. While administrative infrastructure refers to â€Å"the roles, responsibilities, and authority structure†; the business processes are â€Å"the manner in which key business functions are carried out† and skills refer to â€Å"the knowledge and competencies of organizational actors. In the context of IT strategy define technology scope as â€Å"the specific types of technology that are considered to be critical to the organization†; systemic competencies refer to â€Å"the salient characteristics and technological strengths of the IT systems† and IT governance as â€Å"issues refers to the manner in which IT systems are developed†. On the other hand, The IT architecture as â€Å"the policies and decisions made in regard to the integration of application systems, systems software, and hardware into cohesive platforms that are captured by the IT architecture dimension†; The processes are referred to as â€Å" how IT systems are planned, developed, implemented, and operated† and the skills dimension is captured by â€Å"the experience, competencies, commitments, values, and norms of the participants in the planning, development, implementation, and operation processes† [8]. B. Top-Down Alignment Model The theory consist of an input-process-output model, seven constructs, six Causal relationships and six hypotheses as shown in figure 4 The input-output-process model provides the initial bases for the theory. The Seven constructs are: the external environment, the internal environment, Planning resources, the planning process, the strategic information systems plan, the implementation of the strategic information systems plan, and the alignment of the strategic information systems plan with the organizations Business plan. These seven constructs exhibit causal relationships among each other illustrated through hypotheses [9]. 4. Knowledge Gap Based on the above, and through screening some of the existing strategic alignment models in the literature review, the researcher figured out that to achieve such an alignment there is a need to consider and integrate the following points: 1. Most of staff, if not all, is unaware of business goals, especially in the environment of Saudi Arabia [10]. 2. Important technical investments decisions are made by the IT manager alone [11]. 3. No relationship exists (Gap) between Business strategy and IT strategy [12]. 4. A lot of factors are not taken into consideration when forming strategic alignment, such as Structure, Culture, politics, and others [13]. 5. Strategic alignment models discussed only top management level and discarded other levels [14]. 6. Previous strategic alignment models are hard to be understood and implemented in reality [15]. The models discussed in the literature review may have achieved one or two of the above six points, however, there is no existing model that has achieved the above six points altogether. Based on the above, I have selected Strategic Alignment as a starting and a centre area of my research that the researcher is building on to fulfill the other points mentioned. The model that the researcher is aiming to establish, differs from the existing ones in that it will meet the requirements and challenges of the Saudi environment taking into consideration the 6 above points. 5. Research Aims Significance * To bridge the gap between Business Strategy and Information Technology Strategy through developing and designing a simple Strategic Alignment Model, that includes the essence of the major research works in addition to other strategic alignment theories available * To highlight the role of socio-cultural aspects as a critical success factor for successful IT implementation, which were not taken into consideration in the past * To measure the contribution of such a model to business performance. * To encourage Saudi Firms to use such a model to gain competitive competition. * To reduce the associated costs of implementing Information Systems in Organization 6. Research methods The researcher has used the mixed research methodology. Mixed research involves the mixing of quantitative and qualitative methods or paradigm characteristics within a stage of the study or across two of the stages of the research process. It collects data either sequentially of simultaneously to best understand research problems [16]. Advantages of using mixed research includes: the major goal for researcher who design and conduct mixed research is to follow the fundamental principle of mixed research, in other words, the researcher should mix quantitative and qualitative research methods, procedures, and paradigm characteristics in a way that the resulting mixture or combination has complementary strengths and non-overlapping weaknesses. When different approaches are used to focus on the same phenomenon, while providing the same result, is a strong evidence for the result. Other important reason for doing mixed research are to complement one set of results with another, to expand a set of results, or to discover something that would have been missed if only a quantitative or a qualitative approach had been used[17]. Questionnaire One of the most widely used research techniques can be defined as collecting data through written questions [17]. There are a number of different ways in which questionnaires can be administered; for example: posted to the intended respondents or administered over the telephone or face-to-face. A questionnaire design provides a quantitative description of trends, attitudes, or opinions of a population by studying a sample of that population. From sample results, the researcher generalizes or makes claims about a population [18]. Interviews Interviews are considered to be the main tool of the qualitative researcher for data collection [18]. Additionally, since the interpretive stance is also being followed, interviews are viewed to be the main and appropriate source from where data has been collected. According to Walsham, interviews allow the best access to the interpretations that the participants have regarding the actions and events, which have or are taking place and the views and aspirations of themselves and other participants. An added benefit is that it allows researchers to step back and examine the interpretations of their fellow participants in some detail, and this is an advantage that other methods may not allow [18]. Data analysis Data gathered will be analyzed through frequency distributions. These will give way to reviewing the data categories and the number of referrals in each category. With relation to data analysis, the indicators that will be used in evaluating the study include the age of the respondent; the social status; the educational attainment of the respondents; the occupation of the respondents and their length of stay in the company they belong to [19]. The research has involved 4 large organizations, SABB (Saudi British Bank), Saudi Airlines, AL-Marai, and AlTawniah, where interviews have been conducted with CIOs and CEOs to have a clear idea about the companys business strategy. Also, other interviews will take place with IT directors to investigate about the Information Technology (IT) strategy and its relationship with the business strategy. In addition,2 sets of questionnaires were distributed among different levels of the organizations to come up with the types of organizational culture and the use of Information technology in those organizations. At the end, data were collected and analyzed through using SPSS software. 7. Expected Research Outcomes The results from this research are anticipated to be of great help to top managers, strategic planners, IT managers, and other work force in Saudi environment, and will contribute to the following factors: * Increasing the awareness of the importance of Strategic Alignment Model Concept. * Selling the quick wins, by having strategic alignment achieved effectively. * Showing the importance of the use of Information Technology in organizations * Identifying the organizational culture as a major factor of achieving strategic alignment. * Encouraging decision makers and top management to apply and implement strategic alignment throughout the organization. * Highlighting the weaknesses of previous strategic alignment models and the lessons learned, which would help other researchers for future work 8. Indicative Thesis Structure The thesis will contain seven chapters (tentative): Chapter 1: Introduction: Presents an overview about the research subject. It shows the importance of strategic alignment in all sectors, followed by bridging the gap between business strategy and IT strategy, and the factors that affect strategic alignment. The research aims and significance then was explained followed by a brief discussion of the research methodology, research framework, then prospected research contribution was mentioned. Chapter 2: Literature Review: Provides the literature review for this research. It begins with explaining Business strategy, Business planning and its tools, followed by a discussion of IT strategy, IT planning, and its tools. Then a discussion of strategic alignment was presented. And ended with an overview of previous strategic alignment models. Chapter 3: Research design and methodology: Describes the research design and methodology conducted in this study. It starts with discussing the research general strategy, methodology and the reasons for selecting the methods of data collection. Followed that is a detailed explanation of the quantitative and qualitative methods, were a detailed description of the design of the research instruments was presented. Chapter 4: Developing the Parameters of the Strategic Alignment Model: Presents the need for a strategic alignment Model that can bridge the gap through identifying 3 parameters: Organizational Culture, Business strategy and its domains, and IT strategy and its domains Chapter 5: Questionnaires Analysis: Discusses and examines the data collected through the questionnaires for both, identifying the organizational culture, and the use of IT in the 4 Saudi firms Chapter 6: Interviews Analysis: Talks about and analyses the data collected through the interviews in the 4 Saudi firms. Chapter 7: Conclusion and Recommendations: Proposes the new strategic alignment model, and concludes the study and gives recommendations and future directions. 9. Training Undertaken * Using electronic library resources in Sep-2006. * Stage I part A on 30/Aug/2006. * Stage I part B on 31/Aug/2006. * Stage II Part A (presentation) on 26/Jul/2007. * Stage II Part B (Academic writing) on 26/Jul/2007. 10. Review of the research Undertaken * Wrote 2 chapters of the thesis (Introduction, Overview and Background about Business Strategy, IT Strategy, and Previous Strategic Alignment Models). * Completed of first level of data gathering (questionnaires Interviews). * Passed the ITIL (Information Technology Infrastructure Library) Foundation Certificate. * Published two conference papers. * Presented posters at the ARU 1st 2nd Annual Research Student Conference 11. Action Plan The necessary steps for completion of the research are as follows: 1. Type of organizational culture and Information Technology use was investigated by the researcher through questionnaires(phase 1) 2. Interviews with CEOs and IT managers were conducted in terms of Business strategy and IT strategy existence(phase 1) 3. Data analysis was carried out, which involved performing statistical analysis (SPSS) into the gathered data. 4. Distributing mores questionnaires and conducting further interviews to in order to establish a relationship between Organization Culture and Strategic alignment and show its important effect on the selected Saudi firms 5. All data from the (phase1) and (phase 2) will be combined and linked together to give the base for designing the Strategic Alignment Model. 6. Design the proposed Strategic Alignment Model 7. Writing up of the PhD thesis and preparation for the oral exam. 8. The plan of work also includes writing and submitting papers, attending conferences related to the study and presenting the work. Gantt chart The following chart depicts the action plan of the project and the time expectations for each step in details and it is as follows: Years 2007 2008 2009 2010 Tasks 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 1 2 3 4 5 6 7 8 References [1] David W. Nickles, IT-BUSINESS ALIGNMENT: WHAT WE KNOW THAT WE STILL DONT KNOW, Proceedings of the 7th Annual Conference of the Southern Association for Information Systems, 2005 [2] Kenneth C. Laudon and Jane P. Laudon, Management Information Systems: Managing the Digital Firm, 9th Edition, Prentice Hall, 2006 [3] McNurlin, B.C., and Spargue, R.S., Information Systems Management in Practice, 6th Edition, Prentice Hall, 2002 [4] Raymond Pap, Introduction to Strategic Alignment, Idea Group Inc, 2001 [5] Yolanda E. Chan, Why havent we mastered Alignment? The importance of the informal organization structure, MIS Quarterly Excusive, 2002 [6] Allen, D. and Wilson, T., â€Å"Vertical trust/mistrust during information strategy formation, International Journal of Information Management, 2003 [7] Henderson, J.C. and Venkatraman, N., â€Å"Aligning business and IT strategies†, in Luftman, J.F. (Ed.), Competing in the Information Age: Strategic Alignment in Practice, Oxford University Press, New York, NY, 1996 [8] Butler, T. and Fitzgerlad, B., â€Å"Enterprise Transformation and the Alignment of Business and Information Technology Strategies: Lessons from Practice, 1998 [9] Ruohoueu Parnisto, Proceedings of the First European Doctoral Seminar on Strategic Information Management, Turku centre for computer Science, 1996 [10] Hatem Tamimi, Ala M. Abu-Samaha Sufian Yousef ,Perceptions of Information Technology/Information Systems Value/ Utilisation in Saudi Organisations Proceedings of the ECIME conference, France, pp 1 12, September 20 21, 2007 [11] Bassellier, G. and Benbasat, I. (Business Competence of Information Technology Professionals: Conceptual development and influence on IT-business partnerships), MIS Quarterly 28(4): 673-694, 2004. [13] Baker, E.H. Leading Alignment, CIO Insight 1(45) 19-20, October 15, 2004. [14] Benbya, H. and McKelvey, B. (2006). Using Coevolutionary and Complexity Theories to Improve IS Alignment: A multi-level approach, Journal of Information Technology 21(4): 284-298 [15] Chan, Y.E., Sabherwal, R. and Thatcher, J.B. Antecedents and Outcomes of Strategic IS Alignment: An Empirical Investigation, IEEE Transactions on Engineering Management 51(3): 27-47, 2006. [16] Creswell, JW, Research design: qualitative and quantitative approaches, Sage, Thousand Oaks, California, 1994 [17] Tashakkori and Teddlie, Mixed methods in social behavioral Research, Sage Publications, Inc, 2002 [18] Denzin and Lincoln, the Landscape of Qualitative Research, Sage Publications, Inc, 2003 [19] Walsham, Interpretive case studies in IS Research: Nature and Method, European Journal of Information Systems, 1995 Publications 1. Hatem Tamimi, The Effect of Organizational Culture on Information Technology/Business Strategic alignment in Saudi Firms, 1st Annual Research Student Conference, ARU, Cambridge,2006 2. Hatem Tamimi, Ala M. Abu-Samaha Sufian Yousef ,Perceptions of Information Technology/Information Systems Value/ Utilisation in Saudi Organisations Proceedings of the ECIME conference, France, pp 1 12, September 20 21, 2007 3. Hatem Tamimi, The status of IS Planning in Saudi Firms, 2nd Annual Research Student Conference, ARU, Cambridge,2007 4. Hatem Tamimi, Strategic IS Plans; do they exist in Saudi Firms?, IACeT2008,The International Arab Conference on e-Technology, Arab Open University, Amman-Jordan, October 15-16, 2008 Appendix A The Designed Questionnaire Survey On Strategic Information System Planning Assessment in Saudi companies. The objective of this survey is to investigate how Saudi managers use Information Technology (computer-based information, software, database, networks, communication, and other devices) to support their Strategic Planning. Your assistance in providing information regarding how often you use IT systems, the reasons for using these systems, and whether these systems satisfy your informational needs will be greatly appreciated. This survey is conducted under the direction of Mr Mike Smith, Department of Information Technology, Anglia Ruskin University, Chelmsford, UK. All responses are confidential and will remain anonymous. The success of this study depends on the completeness and the quality of information you provide. We ask you to be as thorough and free as possible in answering the questions in this. Thank you for your time and cooperation! NOTE: Please answer this questionnaire only if you are a user of Information Technology (computer-based information, software, database, networks, communication, and other devices). If you are not a user of Information Technology would you ask a manager in your corporation who is to complete this questionnaire. I. PERSONAL BACKGROUND 1. Organisation name: 2.Sex (M/F): 3. Age: 4. Education: Please choice highest degree attained (Please choice one): A. High school graduate or less B. Baccalaureate Degree C. Masters Degree D. Doctorate 5. Please indicate (how many) college (University) level courses you have completed in Information Technology (Information Systems, Computer Science, Programming, Networks or Communication). (Please choice one): 0 1 2 3 4 ≠¥5 II. PRESENT JOB RESPONSIBILITIES 6. Functional area (Please choice one) : A. Accounting B. Finance C. Marketing D. Manufacturing E. Research and Development F. Personnel G. Corporate Administration H. Information Systems I. Other (Please specify): 7. A. Management Level (Please choice One): 1. First Line Supervisor or Manager 2. Mid-level Manager (Supervising other managers) 3. Executive (Top) Level Manager (Vice president, President, Chairman of the Board of Directors etc. B. Job Title: III. USE OF INFORMATION TECHNOLOGY (PC, Software, Databases, Networks, Internet, and other devices): 8. Managers perform a number of Planning roles. For each of the following roles, please indicate the value of IT. (Please choice a number for each role): Decision roles Of Great Value Of Moderate Value No Value At All Does Not Apply Choice A. Capitalist (Identifies and initiates changes) 5 4 3 2 1 0 B. Trouble Handler (Handles important and unexpected troubles) 5 4 3 2 1 0 C. Resource Allocation (Approves and allocates all organisational resources 5 4 3 2 1 0 D. Negotiator (Represents the organisation at major negotiations 5 4 3 2 1 0 1. Planning consists of several steps. For each of the following steps, please indicate the value of IT. (Please choice a number for each step) : Decision steps Of Great Value Of Moderate Value No Value At All Choice A. Identifying problems or issues 5 4 3 2 1 B. Generating alternative courses of action 5 4 3 2 1 C. Evaluating the out comes of each alternative 5 4 3 2 1 D. Ranking the alternatives and choosing one 5 4 3 2 1 E. Implementing the chosen alternative 5 4 3 2 1 2. As a Planner you may use both IT-based and non IT-based in decision making. The percent of IT you use for supporting the following Planning tasks is: (Please choice a number) Decisions >80% 61% to 80% 41% to 60% 21% to 40% None Choice A. Long Term (Strategic) Planning 5 4 3 2 1 0 B. Mid-Term (Tactical) Planning 5 4 3 2 1 0 C. Short Term (Operational) Planning 5 4 3 2 1 0 3. Managers have a mental model (i.e., an image, idea, or conceptualization of the organisation) which they use for planning, controlling and operating purposes. How helpful is the Information Technology Systems (IT) you are presently using in forming or revising the mental model of your corporation? (Please choice a number): Very Helpful Moderately Not Helpful Helpful At All 5 4 3 2 1 12. How valuable is the information the existing IT provides to your mental model in guiding your planning, controlling and operating decisions? (Please choice a number): Of Great Value Of Moderate Value Of No Value At All 5 4 3 2 1 13. Overall, how important is IT for Planning that are critical to the success and effectiveness of your managerial duties? (Please choice a number): Very Important Moderately Important Not Important At All 5 4 3 2 1 Iv. SOURCES AND TOOLS USED TO OBTAIN IT-BASED INFORMATION 14. You obtain the IT-based you use for Planning mainly (Please choice one): A. By yourself B. Through a designated person C. Through a request to an information systems group D. Other (Please specify): 15. Please indicate, on the average, how many hours per week you actually use a personal computer (PC) or a terminal to obtain computer-based information which is essential for the performance of your duties. (Please choice one): A. >16 hours B. 9 -16 hours C. 5 -8 hours D. 1 -4 hours E. 16. Please indicate the average number of hours per week use each of the following hardware pieces: A. I dont use any hardware pieces. Yes/No? Hours/week hours B. 1. Stand-alone personal computer (PC) hours 2. PC or other terminal connected to an internet hours 3. PC or other terminal connected to an â€Å"On-line† distributed computer system hours 4. PC or other terminal connected to a Local Area Network (LAN) hours 5. Other (Please specify) : hours 17. Please indi Effect of Organisational Culture on Information Technology Effect of Organisational Culture on Information Technology The Effect of Organizational Culture on Information Technology/Business Strategic alignment in Saudi Firms Abstract This research effort is intended to study the dynamic relationship between the IT Strategy and the overall Business Strategy in Saudi Firms. IT strategies perceived to be developed in isolation, meaning that such strategies are put forward by IT managers without any involvement of top business managers. The IT manager may be oblivious or he/she may not have a clear idea of the business strategy leading to a strategic diversion where all important technical investments decisions are made by the IT director alone. The researcher recognized some major factors that influence alignment including Organizational Culture; therefore the researcher investigated the current organizational Culture at large selected Saudi firms. In addition, perceptions of Information Technology Value and utilization in the targeted companies was identified and analyzed through set of questionnaires and interviews in order to help the researcher to establish the relationship between Information Technology and Organizational Culture, since it would be a valuable part of forming the proposed strategic alignment model. The Saudi firms, where questionnaires have been distributed, and interviews have been conducted are SABB (Saudi British Bank), Saudi Airlines, AL-Marai, and AlTawniah. The researcher is aiming to collect further data from previous Strategic Alignment Models, and collect more information through additional interviews and questionnaires in order to interpret and validate the findings of the first stage that will lead to the design of the final stage of the Strategic Alignment Model. All data will be combined to give the base for a Strategic Alignment Model. This new model will be a practical one that should fit the Saudi environment. 1. Introduction Strategic alignment has become one of the most important topics for researchers in all industries. Its main objective is to establish and arrange a relationship between business and IT strategies. From a competitive advantage point of view, organizations with such alignment will have edge over others. 2. Context of the Research In the last few decades, the gap between business strategy of organizations and their IT strategy has been noticed by researchers and practitioners across the globe. Numerous research articles have been written to indicate this fact and to highlight the importance of bridging the gap between IT strategy and business strategy of organizations, to achieve coordinated results and efficiency for the enterprise. MIS professional, researchers have understood the significance of the issue which exists at global level [1]. Figure (1) summarizes the Information System/Business relationship which can be described as ‘Interdependent; where any changes in the IS (Software, Hardware, Database and Telecommunication devices will have an impact on the Business and vice versa; any change in the business (Strategy, Rules and Procedures) will have its impact on the Information Systems function of the organization [2]. FIG01-07Since Information systems and organizations influence each another. On the one hand, information systems must be aligned with the organization to provide information that is important to different groups according to the organization need. On the other hand, the organization must be aware of and open itself to the influences of information systems in order to benefit from new technologies [3]. Figure 1: The interdependence between organizations and information systems (Laudon Laudon, 2006) The interaction between information technology and organizations is very complex and is influenced by a great many mediating factors, including the organizations structure, standard operating procedures, politics, culture, surrounding environment, and management decisions as shown in figure (2). One mediating factor was selected by the researcher, which is the organizational culture, and the purpose of this selection will be discussed in a later section. Managers must be aware that information systems can markedly alter life in the organization. They cannot successfully design new systems or understand existing systems without understanding organizations. Managers decide what systems will be built, what they will do, how they will be implemented. Sometimes, however, the outcomes are the result of pure chance and of both good and bad luck [2]. 3. Original Work in Strategic Alignment Strategic Alignment is defined as the process of creating and managing a business driven IT organization, for which the main focus is implementing information oriented Solutions, that is most important to meeting the business goals, objectives, and strategies of the enterprise [4]. In order to make organizations successful, it is important for all parts of the organization to move in the same strategic direction. Of particular importance is that the business strategy and the IT strategy are complementary. If they are trying to move the organization in different directions the risk of failure may increase. Given the high level of resources invested in IT by most organizations it is important for it to be used as a strategic resource to contribute towards the achievement of business objectives. The strategic alignment would measure the relationship between an organizations IT function and its business objectives. The degree to which alignment is present in an organization will depend o n many factors. These factors will include the knowledge of the subject by management, the organizational infrastructure and culture, the nature of the business, the technology in use, and the ability of the organization to manage change. It is very important to realize that Strategic alignment is a process and not a project. Also Alignment issues should be considered at all levels of the organization, meaning that the occurrence of alignment at one level does not guarantee alignment at another [5]. 3.1 Strategic Alignment Models Alignment models show the relationship between the various domains (Business: mission, vision, objectives and tactics and Technical: processes, skills and knowledge) that influence alignment, which is dynamic with a strategy or technology decision impacting on one or more of the other domains. The alignment model within an organization must be continually reviewed due to the ongoing change in the internal and external environments. Corrective action must be taken to realign the organization when necessary. Many managers do not realize that a decision imposed on one domain may impact on one or more of the other domains [6]. Different people depending on their experience and background will have different strengths in each domain. An IT professional would likely have strengths in IT strategy or infrastructure while a business manager would likely have strengths in business strategy or organizational infrastructure. This could lead to problems if communication channels are not strong an d management processes are not in place to facilitate alignment. There are number of models which were designed to attempt to come up with such an alignment. Some of the most important models are the following: A. Strategic Alignment Model (Henderson and Venkatramon, 1993) The model has four domains or variables: business strategy, IT strategy, organizational infrastructure and IT infrastructure [7]. Butler and Fitzgerlad defined the context of the business strategy domain as business scope which refers to â€Å"the decisions that determine where the enterprise will compete†; distinctive competencies which â€Å"pertains to the areas that determine how the business will compete in delivering its products and services† and business governance which concerns â€Å"the choices that enterprises make when competing in the market place, e.g., whether alliances are entered into or not†. While administrative infrastructure refers to â€Å"the roles, responsibilities, and authority structure†; the business processes are â€Å"the manner in which key business functions are carried out† and skills refer to â€Å"the knowledge and competencies of organizational actors. In the context of IT strategy define technology scope as â€Å"the specific types of technology that are considered to be critical to the organization†; systemic competencies refer to â€Å"the salient characteristics and technological strengths of the IT systems† and IT governance as â€Å"issues refers to the manner in which IT systems are developed†. On the other hand, The IT architecture as â€Å"the policies and decisions made in regard to the integration of application systems, systems software, and hardware into cohesive platforms that are captured by the IT architecture dimension†; The processes are referred to as â€Å" how IT systems are planned, developed, implemented, and operated† and the skills dimension is captured by â€Å"the experience, competencies, commitments, values, and norms of the participants in the planning, development, implementation, and operation processes† [8]. B. Top-Down Alignment Model The theory consist of an input-process-output model, seven constructs, six Causal relationships and six hypotheses as shown in figure 4 The input-output-process model provides the initial bases for the theory. The Seven constructs are: the external environment, the internal environment, Planning resources, the planning process, the strategic information systems plan, the implementation of the strategic information systems plan, and the alignment of the strategic information systems plan with the organizations Business plan. These seven constructs exhibit causal relationships among each other illustrated through hypotheses [9]. 4. Knowledge Gap Based on the above, and through screening some of the existing strategic alignment models in the literature review, the researcher figured out that to achieve such an alignment there is a need to consider and integrate the following points: 1. Most of staff, if not all, is unaware of business goals, especially in the environment of Saudi Arabia [10]. 2. Important technical investments decisions are made by the IT manager alone [11]. 3. No relationship exists (Gap) between Business strategy and IT strategy [12]. 4. A lot of factors are not taken into consideration when forming strategic alignment, such as Structure, Culture, politics, and others [13]. 5. Strategic alignment models discussed only top management level and discarded other levels [14]. 6. Previous strategic alignment models are hard to be understood and implemented in reality [15]. The models discussed in the literature review may have achieved one or two of the above six points, however, there is no existing model that has achieved the above six points altogether. Based on the above, I have selected Strategic Alignment as a starting and a centre area of my research that the researcher is building on to fulfill the other points mentioned. The model that the researcher is aiming to establish, differs from the existing ones in that it will meet the requirements and challenges of the Saudi environment taking into consideration the 6 above points. 5. Research Aims Significance * To bridge the gap between Business Strategy and Information Technology Strategy through developing and designing a simple Strategic Alignment Model, that includes the essence of the major research works in addition to other strategic alignment theories available * To highlight the role of socio-cultural aspects as a critical success factor for successful IT implementation, which were not taken into consideration in the past * To measure the contribution of such a model to business performance. * To encourage Saudi Firms to use such a model to gain competitive competition. * To reduce the associated costs of implementing Information Systems in Organization 6. Research methods The researcher has used the mixed research methodology. Mixed research involves the mixing of quantitative and qualitative methods or paradigm characteristics within a stage of the study or across two of the stages of the research process. It collects data either sequentially of simultaneously to best understand research problems [16]. Advantages of using mixed research includes: the major goal for researcher who design and conduct mixed research is to follow the fundamental principle of mixed research, in other words, the researcher should mix quantitative and qualitative research methods, procedures, and paradigm characteristics in a way that the resulting mixture or combination has complementary strengths and non-overlapping weaknesses. When different approaches are used to focus on the same phenomenon, while providing the same result, is a strong evidence for the result. Other important reason for doing mixed research are to complement one set of results with another, to expand a set of results, or to discover something that would have been missed if only a quantitative or a qualitative approach had been used[17]. Questionnaire One of the most widely used research techniques can be defined as collecting data through written questions [17]. There are a number of different ways in which questionnaires can be administered; for example: posted to the intended respondents or administered over the telephone or face-to-face. A questionnaire design provides a quantitative description of trends, attitudes, or opinions of a population by studying a sample of that population. From sample results, the researcher generalizes or makes claims about a population [18]. Interviews Interviews are considered to be the main tool of the qualitative researcher for data collection [18]. Additionally, since the interpretive stance is also being followed, interviews are viewed to be the main and appropriate source from where data has been collected. According to Walsham, interviews allow the best access to the interpretations that the participants have regarding the actions and events, which have or are taking place and the views and aspirations of themselves and other participants. An added benefit is that it allows researchers to step back and examine the interpretations of their fellow participants in some detail, and this is an advantage that other methods may not allow [18]. Data analysis Data gathered will be analyzed through frequency distributions. These will give way to reviewing the data categories and the number of referrals in each category. With relation to data analysis, the indicators that will be used in evaluating the study include the age of the respondent; the social status; the educational attainment of the respondents; the occupation of the respondents and their length of stay in the company they belong to [19]. The research has involved 4 large organizations, SABB (Saudi British Bank), Saudi Airlines, AL-Marai, and AlTawniah, where interviews have been conducted with CIOs and CEOs to have a clear idea about the companys business strategy. Also, other interviews will take place with IT directors to investigate about the Information Technology (IT) strategy and its relationship with the business strategy. In addition,2 sets of questionnaires were distributed among different levels of the organizations to come up with the types of organizational culture and the use of Information technology in those organizations. At the end, data were collected and analyzed through using SPSS software. 7. Expected Research Outcomes The results from this research are anticipated to be of great help to top managers, strategic planners, IT managers, and other work force in Saudi environment, and will contribute to the following factors: * Increasing the awareness of the importance of Strategic Alignment Model Concept. * Selling the quick wins, by having strategic alignment achieved effectively. * Showing the importance of the use of Information Technology in organizations * Identifying the organizational culture as a major factor of achieving strategic alignment. * Encouraging decision makers and top management to apply and implement strategic alignment throughout the organization. * Highlighting the weaknesses of previous strategic alignment models and the lessons learned, which would help other researchers for future work 8. Indicative Thesis Structure The thesis will contain seven chapters (tentative): Chapter 1: Introduction: Presents an overview about the research subject. It shows the importance of strategic alignment in all sectors, followed by bridging the gap between business strategy and IT strategy, and the factors that affect strategic alignment. The research aims and significance then was explained followed by a brief discussion of the research methodology, research framework, then prospected research contribution was mentioned. Chapter 2: Literature Review: Provides the literature review for this research. It begins with explaining Business strategy, Business planning and its tools, followed by a discussion of IT strategy, IT planning, and its tools. Then a discussion of strategic alignment was presented. And ended with an overview of previous strategic alignment models. Chapter 3: Research design and methodology: Describes the research design and methodology conducted in this study. It starts with discussing the research general strategy, methodology and the reasons for selecting the methods of data collection. Followed that is a detailed explanation of the quantitative and qualitative methods, were a detailed description of the design of the research instruments was presented. Chapter 4: Developing the Parameters of the Strategic Alignment Model: Presents the need for a strategic alignment Model that can bridge the gap through identifying 3 parameters: Organizational Culture, Business strategy and its domains, and IT strategy and its domains Chapter 5: Questionnaires Analysis: Discusses and examines the data collected through the questionnaires for both, identifying the organizational culture, and the use of IT in the 4 Saudi firms Chapter 6: Interviews Analysis: Talks about and analyses the data collected through the interviews in the 4 Saudi firms. Chapter 7: Conclusion and Recommendations: Proposes the new strategic alignment model, and concludes the study and gives recommendations and future directions. 9. Training Undertaken * Using electronic library resources in Sep-2006. * Stage I part A on 30/Aug/2006. * Stage I part B on 31/Aug/2006. * Stage II Part A (presentation) on 26/Jul/2007. * Stage II Part B (Academic writing) on 26/Jul/2007. 10. Review of the research Undertaken * Wrote 2 chapters of the thesis (Introduction, Overview and Background about Business Strategy, IT Strategy, and Previous Strategic Alignment Models). * Completed of first level of data gathering (questionnaires Interviews). * Passed the ITIL (Information Technology Infrastructure Library) Foundation Certificate. * Published two conference papers. * Presented posters at the ARU 1st 2nd Annual Research Student Conference 11. Action Plan The necessary steps for completion of the research are as follows: 1. Type of organizational culture and Information Technology use was investigated by the researcher through questionnaires(phase 1) 2. Interviews with CEOs and IT managers were conducted in terms of Business strategy and IT strategy existence(phase 1) 3. Data analysis was carried out, which involved performing statistical analysis (SPSS) into the gathered data. 4. Distributing mores questionnaires and conducting further interviews to in order to establish a relationship between Organization Culture and Strategic alignment and show its important effect on the selected Saudi firms 5. All data from the (phase1) and (phase 2) will be combined and linked together to give the base for designing the Strategic Alignment Model. 6. Design the proposed Strategic Alignment Model 7. Writing up of the PhD thesis and preparation for the oral exam. 8. The plan of work also includes writing and submitting papers, attending conferences related to the study and presenting the work. Gantt chart The following chart depicts the action plan of the project and the time expectations for each step in details and it is as follows: Years 2007 2008 2009 2010 Tasks 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 6 1 2 3 4 5 6 7 8 References [1] David W. Nickles, IT-BUSINESS ALIGNMENT: WHAT WE KNOW THAT WE STILL DONT KNOW, Proceedings of the 7th Annual Conference of the Southern Association for Information Systems, 2005 [2] Kenneth C. Laudon and Jane P. Laudon, Management Information Systems: Managing the Digital Firm, 9th Edition, Prentice Hall, 2006 [3] McNurlin, B.C., and Spargue, R.S., Information Systems Management in Practice, 6th Edition, Prentice Hall, 2002 [4] Raymond Pap, Introduction to Strategic Alignment, Idea Group Inc, 2001 [5] Yolanda E. Chan, Why havent we mastered Alignment? The importance of the informal organization structure, MIS Quarterly Excusive, 2002 [6] Allen, D. and Wilson, T., â€Å"Vertical trust/mistrust during information strategy formation, International Journal of Information Management, 2003 [7] Henderson, J.C. and Venkatraman, N., â€Å"Aligning business and IT strategies†, in Luftman, J.F. (Ed.), Competing in the Information Age: Strategic Alignment in Practice, Oxford University Press, New York, NY, 1996 [8] Butler, T. and Fitzgerlad, B., â€Å"Enterprise Transformation and the Alignment of Business and Information Technology Strategies: Lessons from Practice, 1998 [9] Ruohoueu Parnisto, Proceedings of the First European Doctoral Seminar on Strategic Information Management, Turku centre for computer Science, 1996 [10] Hatem Tamimi, Ala M. Abu-Samaha Sufian Yousef ,Perceptions of Information Technology/Information Systems Value/ Utilisation in Saudi Organisations Proceedings of the ECIME conference, France, pp 1 12, September 20 21, 2007 [11] Bassellier, G. and Benbasat, I. (Business Competence of Information Technology Professionals: Conceptual development and influence on IT-business partnerships), MIS Quarterly 28(4): 673-694, 2004. [13] Baker, E.H. Leading Alignment, CIO Insight 1(45) 19-20, October 15, 2004. [14] Benbya, H. and McKelvey, B. (2006). Using Coevolutionary and Complexity Theories to Improve IS Alignment: A multi-level approach, Journal of Information Technology 21(4): 284-298 [15] Chan, Y.E., Sabherwal, R. and Thatcher, J.B. Antecedents and Outcomes of Strategic IS Alignment: An Empirical Investigation, IEEE Transactions on Engineering Management 51(3): 27-47, 2006. [16] Creswell, JW, Research design: qualitative and quantitative approaches, Sage, Thousand Oaks, California, 1994 [17] Tashakkori and Teddlie, Mixed methods in social behavioral Research, Sage Publications, Inc, 2002 [18] Denzin and Lincoln, the Landscape of Qualitative Research, Sage Publications, Inc, 2003 [19] Walsham, Interpretive case studies in IS Research: Nature and Method, European Journal of Information Systems, 1995 Publications 1. Hatem Tamimi, The Effect of Organizational Culture on Information Technology/Business Strategic alignment in Saudi Firms, 1st Annual Research Student Conference, ARU, Cambridge,2006 2. Hatem Tamimi, Ala M. Abu-Samaha Sufian Yousef ,Perceptions of Information Technology/Information Systems Value/ Utilisation in Saudi Organisations Proceedings of the ECIME conference, France, pp 1 12, September 20 21, 2007 3. Hatem Tamimi, The status of IS Planning in Saudi Firms, 2nd Annual Research Student Conference, ARU, Cambridge,2007 4. Hatem Tamimi, Strategic IS Plans; do they exist in Saudi Firms?, IACeT2008,The International Arab Conference on e-Technology, Arab Open University, Amman-Jordan, October 15-16, 2008 Appendix A The Designed Questionnaire Survey On Strategic Information System Planning Assessment in Saudi companies. The objective of this survey is to investigate how Saudi managers use Information Technology (computer-based information, software, database, networks, communication, and other devices) to support their Strategic Planning. Your assistance in providing information regarding how often you use IT systems, the reasons for using these systems, and whether these systems satisfy your informational needs will be greatly appreciated. This survey is conducted under the direction of Mr Mike Smith, Department of Information Technology, Anglia Ruskin University, Chelmsford, UK. All responses are confidential and will remain anonymous. The success of this study depends on the completeness and the quality of information you provide. We ask you to be as thorough and free as possible in answering the questions in this. Thank you for your time and cooperation! NOTE: Please answer this questionnaire only if you are a user of Information Technology (computer-based information, software, database, networks, communication, and other devices). If you are not a user of Information Technology would you ask a manager in your corporation who is to complete this questionnaire. I. PERSONAL BACKGROUND 1. Organisation name: 2.Sex (M/F): 3. Age: 4. Education: Please choice highest degree attained (Please choice one): A. High school graduate or less B. Baccalaureate Degree C. Masters Degree D. Doctorate 5. Please indicate (how many) college (University) level courses you have completed in Information Technology (Information Systems, Computer Science, Programming, Networks or Communication). (Please choice one): 0 1 2 3 4 ≠¥5 II. PRESENT JOB RESPONSIBILITIES 6. Functional area (Please choice one) : A. Accounting B. Finance C. Marketing D. Manufacturing E. Research and Development F. Personnel G. Corporate Administration H. Information Systems I. Other (Please specify): 7. A. Management Level (Please choice One): 1. First Line Supervisor or Manager 2. Mid-level Manager (Supervising other managers) 3. Executive (Top) Level Manager (Vice president, President, Chairman of the Board of Directors etc. B. Job Title: III. USE OF INFORMATION TECHNOLOGY (PC, Software, Databases, Networks, Internet, and other devices): 8. Managers perform a number of Planning roles. For each of the following roles, please indicate the value of IT. (Please choice a number for each role): Decision roles Of Great Value Of Moderate Value No Value At All Does Not Apply Choice A. Capitalist (Identifies and initiates changes) 5 4 3 2 1 0 B. Trouble Handler (Handles important and unexpected troubles) 5 4 3 2 1 0 C. Resource Allocation (Approves and allocates all organisational resources 5 4 3 2 1 0 D. Negotiator (Represents the organisation at major negotiations 5 4 3 2 1 0 1. Planning consists of several steps. For each of the following steps, please indicate the value of IT. (Please choice a number for each step) : Decision steps Of Great Value Of Moderate Value No Value At All Choice A. Identifying problems or issues 5 4 3 2 1 B. Generating alternative courses of action 5 4 3 2 1 C. Evaluating the out comes of each alternative 5 4 3 2 1 D. Ranking the alternatives and choosing one 5 4 3 2 1 E. Implementing the chosen alternative 5 4 3 2 1 2. As a Planner you may use both IT-based and non IT-based in decision making. The percent of IT you use for supporting the following Planning tasks is: (Please choice a number) Decisions >80% 61% to 80% 41% to 60% 21% to 40% None Choice A. Long Term (Strategic) Planning 5 4 3 2 1 0 B. Mid-Term (Tactical) Planning 5 4 3 2 1 0 C. Short Term (Operational) Planning 5 4 3 2 1 0 3. Managers have a mental model (i.e., an image, idea, or conceptualization of the organisation) which they use for planning, controlling and operating purposes. How helpful is the Information Technology Systems (IT) you are presently using in forming or revising the mental model of your corporation? (Please choice a number): Very Helpful Moderately Not Helpful Helpful At All 5 4 3 2 1 12. How valuable is the information the existing IT provides to your mental model in guiding your planning, controlling and operating decisions? (Please choice a number): Of Great Value Of Moderate Value Of No Value At All 5 4 3 2 1 13. Overall, how important is IT for Planning that are critical to the success and effectiveness of your managerial duties? (Please choice a number): Very Important Moderately Important Not Important At All 5 4 3 2 1 Iv. SOURCES AND TOOLS USED TO OBTAIN IT-BASED INFORMATION 14. You obtain the IT-based you use for Planning mainly (Please choice one): A. By yourself B. Through a designated person C. Through a request to an information systems group D. Other (Please specify): 15. Please indicate, on the average, how many hours per week you actually use a personal computer (PC) or a terminal to obtain computer-based information which is essential for the performance of your duties. (Please choice one): A. >16 hours B. 9 -16 hours C. 5 -8 hours D. 1 -4 hours E. 16. Please indicate the average number of hours per week use each of the following hardware pieces: A. I dont use any hardware pieces. Yes/No? Hours/week hours B. 1. Stand-alone personal computer (PC) hours 2. PC or other terminal connected to an internet hours 3. PC or other terminal connected to an â€Å"On-line† distributed computer system hours 4. PC or other terminal connected to a Local Area Network (LAN) hours 5. Other (Please specify) : hours 17. Please indi

Thursday, September 19, 2019

The Fab Four :: Personal Narrative Essay Example

The Fab Four In high school I had four teachers that were very important to my success. High school was a good time for me with all my sports, music activities, and Student Council, but it was also very tough. I didn't have many friends. Also, I worried so much about school and "getting the grade", that I often felt very stressed. I also went through a period of a couple years when I was pretty depressed. These four teachers helped me through my difficult times mostly by just being there to listen. I also loved their classes, but I think that more than anything they influenced me because I liked them as people and knew they believed in me. I truly believe that if a student likes a teacher, feels a connection with them, and can develop a relationship, they will be much more interested in the material and will care more and do better. The first two of these teachers, Mr. Oftedahl and Mr. Vepraskas (Mr. O and Mr. V), were my band and choir directors. What amazing people! I love music and often times use music as a form of escape or healing in the rough times. Mr. O and Mr. V were always there to listen to me and offer what comfort they could. I could talk to them as real people, on an adult level. They didn't treat me as a kid with just kid problems. They were very sincere when talking to me and were also very talented musicians. Even though they were my teachers, I know I can talk to them and that they are more than my teachers - they are my friends. Their friendship and open door was what I needed most at that time in my life. The other two high school teachers who were influential were helpful in the same ways as Mr. O and Mr. V, always willing to listen, but they were more. Because of these two teachers, I not only knew that I wanted to teach, but they helped me realize what I wanted to teach. Señorita Brown was my Spanish teacher my freshman and sophomore years. I fell in love with Spanish when I started taking it in 7th grade with the dream of someday traveling to Spain. Señorita Brown helped me to realize that not only did I love Spanish, but that I was gifted in the language and could help others.

Wednesday, September 18, 2019

Characterization Of The Physician :: essays research papers

Direct Characterization:Doctor of physicsHe was very into astronomy.He kept his patient from being depressed by horoscope and magic.He could sense the fortune that'll arrive in his sick patients dwelling. He was a very good physician.He knew the cause of every sickness. His patient pays him in gold. He read a lot of medical books written by the famous physicians such as Esculapius, Deiscorides, Hippocrates and Hali' etc. He was careful about his diet; never ate a bite more than he should yet he ate healthily.He read buy little in the Bible.He dressed in blue and scarlet. He is careful with his money.He kept the gold he gained and loved it more than anything else.Indirect Characterization:He is well respected in the society since he is a doctor.He might be a descendant of one of the well-known physicians.He studied a lot about medicine and its causes. It said that he knew the cause of very malady, were it of hot or cold'.He probably isn't a Christian, at least not a devoted one. He c ures his patients not from his good-will, but because the gold he'll receive later.He enjoys reading books written about medicine, or anything that has to do with his field. He seems to be fastidious, and wary man.He's fairly rich (This is portrayed through his attire) yet not very generous, maybe even a bit stingy.The Social ClassDoctors, throughout the century has been considered the higher-class people, the more nobles ones. It was the same during the Medieval Period. They were regarded as the high-class, the well educated. Doctors and physicians alike were very influential, especially when knowledge about medicine weren't as perceived as now. People around look up to them and go to them for help.

Tuesday, September 17, 2019

NAPOLEON :: essays research papers

Napoleon 1 NAPOLEON â€Å"RABULIONE† Napoleon 2 Abstract Napoleon Bonaparte was and still is one of France’s most revered heroes. Though born a Corsican in 1769, he journeyed to France for schooling at the age of nine. After an interesting and quiet childhood Napoleon joined the French artillery at the age of sixteen. Through hard work, bravery, political connections and being born during a turbulent time, Napoleon rose to the rank of General. In 1799 he was elected France’s First Consul For Life, later he proclaimed himself France’s Emperor. Napoleon reformed much of European law and spread the idea of republicanism throughout much of Europe. His ideas continue to be incorporated into Switzerland’s law. Napoleon also reformed schools and strengthened Paris’ reputation as one of the cultural capitals of the world. Napoleon’s life was not without setbacks. In 1814 he was exiled to the island of Elba, by British Allies. He was also exiled to St. Helena after losing battles at Waterloo, Wavre, Ligny and Quatre Bras. He lived in confinement surrounded by British Guards until he died on May 5, 1821. Napoleon 3 Napoleon†¦ â€Å"Rabulione† Napoleone di Bounaparte, who was also known as the â€Å"little Corsican†, was born to Carlo Maria and Letzia Maria Ramolino di Bounaparte in Ajaccio, Corsica on August 15, 1769. His family had moved there from Italy in the 16th century. Napoleon was the second of eight living children. He was named after an Egyptian religious figure. He and his older brother Giuseppe were allowed to wrestle, draw on the walls and play games in an undecorated room in the house. Napoleon also received a nickname as a child, Rabulione, which means â€Å"he who meddles in everything†(Bloom 2001). Napoleon was a very small, hot tempered youth. Though small, he would often beat up his older brother when fighting. He hade a very large ego and was very conscientious. As a child his mother often had him follow his father to the local tavern because his father liked to gamble and was not very lucky. He would have to run back and give reports to his mother. Napoleon formed many routines as a child that he continued throughout his life. Firstly, he bathed daily, as Emperor he bathed for an hour each morning before getting dressed. Secondly, he was very generous. He bestowed many awards, honors and titles as Emperor. Napoleon 4 Napoleon started school at the age of five. He was enrolled in a school, run by a nun in 1774.

Monday, September 16, 2019

Luxury Brands Insights Essay

Over years, India’s tryst with luxury brands has changed gears. With high disposable incomes and a penchant for all things luxury amongst affluent Indians on the rise, the country is emerging as the next stopover for global luxury brands such as Gucci, Christian Dior and Versace. However, we must realize that Luxury marketing is a whole new ball-game altogether, both from the perspective of the marketer as well as the luxury consumer. It therefore becomes important to view it both in relation and isolation from the ‘regular’ goods marketing. To achieve the above objective, we would first look at how luxury goods are different from regular goods and then go on to explore some facets and trends of the luxury goods as well as their market and consumers. This analysis would finally sum up into a SWOT analysis of the luxury goods segment, thereby helping in obtaining a bird’s eye view of the exercise at hand. Considering that the luxury concept has shifted to the ‘new’ meaning, we would further delve into that aspect to understand the drivers for luxury brands presently, as well in the time to come. This is followed by a luxury potential determination of the Indian market both in terms of quantitative growth factors as well as qualitative initiatives. INDEX Abstract5 Objectives & Sub Objectives6 Research Design6 Getting To Know Luxury8 Difference Between Regular & Luxury Goods10 Luxury In India14 Qualitative Insights15 Quantitative Insights16 The Affluent Indian: Profiling The Indian Luxury Consumers17 Classification Of The Indian Luxury Consumer21 4p Trends24 Consumer Trends29 Strategies For Luxury Marketing In India57 Moving Forward66 References69 Annexure70. â€Å"Why do I need to know how the watch market is doing? I’m in the business of luxury† Partick Heiniger, CEO, Rolex GETTING TO KNOW LUXURY Luxury brands have often been associated with the core competences of creativity, exclusivity, craftsmanship, precision, high quality, innovation and premium pricing. These product attributes give the consumers the satisfaction of not only owning expensive items but the extra-added psychological benefits like esteem, prestige and a sense of a high status that reminds them and others that they belong to an exclusive group of only a select few, who can afford these pricey items. The luxury sector targets its products and services at consumers on the top-end of the wealth spectrum. These self-selected elite are more or less price insensitive and choose to spend their time and money on objects that are plainly opulence rather than necessities. For these reasons, luxury and prestige brands have for centuries commanded an unwavering and often illogical customer loyalty. Luxury, derived from the Latin word luxus, means indulgence of the senses, regardless of cost. Luxury brands are brands whose ratio of functional utility to price is low while that of intangible utility to price is high. Such brands share characteristics like consistent premium quality, a heritage of craftsmanship, a recognisable style or design, a limited production run of any item to ensure exclusivity, an element of uniqueness and an ability to keep coming up with new designs when the category is fashion-intensive. THE market for luxury brands in our country has expanded in recent times. With income levels going up, customers prepared to buy such brands are growing in numbers. According to an NCAER Household Income Survey, in 2001-02, there were 20,000 families in India with annual incomes of more than Rs 1 crore. By 2005, that number increased to almost 53,000. By 2010, India will have some 1, 40,000 crorepatis. Retail management company KSA Technopak estimates the market for luxury and high-end clothing in India at Rs 1,000 crore and for accessories at another Rs 1,000 crore. CHARACTERISTICS OF THE LUXURY INDUSTRY 1. Luxury is a product category in itself: This can be best explained by the fact that both an expensive watch and an artwork can be considered to be luxury items. Therefore, all luxury marketers are not just competing in their ‘technically defined’ product categories (like manufacturers of refrigerators compete amongst themselves) but for the wallet share of luxury goods in total. 2. The meaning of luxury had changed Luxury has moved from its ‘old’ meaning of ownership that is also known as conspicuous consumption – Conspicuous consumption is a term used to describe the lavish spending on goods and services that are acquired mainly for the purpose of displaying income or wealth rather than to satisfy a real need of the consumer. In the mind of a conspicuous consumer, such display serves as a means of attaining or maintaining social status. Invidious consumption, a necessary corollary, is the term applied to consumption of goods and services for the deliberate purpose of inspiring envy in others has now changed its objects to the ‘new’ meaning of the experience / fulfilment derived from possessing a certain object. 3. Aura is more important than exclusivity Exclusivity is something that cannot be ensured to a great extent and neither is it the prime requirement of a luxury consumer. The consumer bases his decisions on the relevance of the aura of the brand to his fulfilment or actualization needs. 4. Trading up A mass of wealthy people have emerged the world over, give rise to a large section of consumers who are now moving to luxury / premium brands, thereby creating greater business opportunity for luxury marketers. 5. Trading down Today, fashion brands are giving luxury brands competition because of marketing mix and branding strategies, which make it acceptable to pair these two brands. This is something that was not practiced before. eg. Wearing an Armani shirt with a pair of GAP jeans 6. Emergence of luxury brands. Sea of luxury brands have emerged giving a wide choice to consumers, in all segments of luxury goods. 7. Factors at play In luxury marketing there is a subtle interplay between three factors that most strongly influence the luxury consumer to buy: product brand; dealer or store’s brand or service providers’ reputation; and price/value relationship 8. Customer loyalty is more important that brand awareness Rather than focus on measuring the brand awareness of a luxury company, measuring customer loyalty is far more significant a metric regarding the success or failure of corporate strategy to connect with the luxury consumer. CONSUMER PERSPECTIVES TOWARDS LUXURY Consumers can be segregated in 3 groups according to what luxury means to them: Luxury is Functional – these consumers tend to buy luxury products for their superior functionality and quality. Consumers in this segment, the largest of the three, tend to be older and wealthier and are willing to spend more money to buy things that will last and have enduring value. They buy a wide array of luxury goods, from artwork to vacations, and conduct extensive pre-purchase research, making logical decisions rather than emotional or impulsive. Messages that highlight product quality and are information-intensive are powerful with this group. Luxury is Reward – these consumers tend to be younger than the first group but older than the third. They use luxury goods as a status symbol to say â€Å"I’ve made it! † They are motivated by their desire to be successful and demonstrate this to others. Luxury brands that have widespread recognition are popular, however they don’t wish to appear lavish or hedonistic in their appearance. They want to purchase â€Å"smart† luxury that demonstrates importance while not leaving them open to criticism. Marketing messages that communicate acceptable exclusivity resonate with this group. Luxury is Indulgence – this group is the smallest of the three and tends to include younger consumers and slightly more males than the other two groups. Their purpose for luxury goods is to lavish themselves in self-indulgence. They are willing to pay a premium for goods that express their individuality and make others take notice and are not overly concerned with product longevity or possible criticism. They enjoy luxury for the way it makes them feel; therefore they have a more emotional approach to purchases. They respond well to messages that highlight the unique and emotional qualities of a product. DIFFERENCE BETWEEN REGULAR & LUXURY GOODS Luxury has never been something easy to define, yet this mystery concept is something highly desired by one and all alike. We look at delving deeper into this mystery and aura of luxury goods by way of comparing them against ‘regular goods’ as well as highlighting the characteristics of the luxury industry. Strategies for Luxury Marketing in India There are conventional foundations for ensuring success of a brand and they are listed below in brief: 1. The brand must be â€Å"expansive† Which means it should be full of innovation opportunities for the marketer and in terms of satisfying the divergent needs of the luxury consumer 2. The brand must tell a story It is this story, of either heritage or performance or other aspects that goes on to build the aura of a brand over time. The story always accentuates the identity of the brand. 3. The brand must be relevant to the consumers’ needs Depending upon the mindset of the luxury class, it is imperative for a brand to satisfy those needs, whether they are for recognition or functional use etc. 4. The brand must align with consumers’ values A brand that does not concur with the basic values of a consumer’s society has a small chance of succeeding because luxury items are forms of expression or identification for a luxury consumer. This makes it difficult for the consumer to adopt the brand in such cases. 5. The brand must perform Irrespective of which category the brand belongs to, a performance assurance is a must for the brand if it wishes to be in the evoked set of luxury consumers, considering the price being paid for luxury. INDUSTRY OVERVIEW. In the past, brands like Liz Claiborne and Pierre Cardin tested Indian waters but made a hasty retreat following poor customer response. This led to a general perception that India is still not ready for luxury brands. But now that impression is changing. Many leading global luxury brand marketers have started taking our market seriously. Luxury goods’ marketing is a different ball game as the type of customers involved fall in a different class altogether. These customers are influenced more by glamour and style and want to stand out in a crowd. They do not bat an eyelid whey they buy a Vuitton bag costing Rs 50,000 or a Mont Blanc diamond-encrusted pen for Rs 50 lakh, Ermenegildo Zegna’s top-of the-line, custom-tailored suit costing Rs 6 lakh or a mid-range Louis Vuitton briefcase priced Rs 1. 27 lakh. As these figures suggest, luxury brands are prestige products characterised by high-involvement decision-making that is strongly related to the person’s self-concept. Sensory gratification and social approval are the primary factors in selecting a prestige product. Cutting prices or giving discounts can be detrimental in case of luxury brands. A higher price implies a higher level of quality and also suggests a certain degree of prestige. Similarly, distribution should be restricted. Status-sensitive consumers may reject a particular product if the feeling of exclusivity goes away. Managing luxury brands is as much an art as a science. The challenge is to create a demand for something which is not really needed. After all, it looks crazy to spend Rs 50,000 on a handbag or Rs1,27,000 on a briefcase. Creativity plays a key role in creating such a premium image. Many luxury brands achieve legitimacy and fashion authority as a result of the creative talent of their design teams who respect the brand heritage and yet continuously reinvent it. MARKET SIZE AND INDUSTRY GROWTH RATE With the European and American markets reaching a saturation point, leading players are now concentrating on the BRIC countries and the action is expected to shift to India, being the fastest growing luxury market, growing at 25%. , and is expected to maintain these rates for the next 10 years. The Indian Luxury Market is estimated to be to be USD 4. 35 billion and this forms only 2% of the global share. The growth of luxury markets is on the basis of GDP per-capita growth and the High Networth Individuals (HNI’s) in a country. India will be the second largest economy by 2040. Factors like Consumer Attitudes, Real Estate, Regulatory Environment and Ecosystem are important for the growth of luxury market and these are improving in the country. India has 83,000 millionaires and every year 16,000 more are getting added to this. The main trigger behind Indians indulging in luxury is to flaunt status, and the consumers here are becoming aware of leading global brands in the space, but tend to be extremely value conscious. There is a sizeable population engaging in outbound travel and getting exposure to global luxury market. The Indian consumer wants not just to be pampered, but entertained, excited and Inspired by Luxury brands and hence global players will have to look at innovative methods of reaching and engaging customers to succeed in the Indian market. With India emerging as one of the important players in the Luxury Space, the rich and famous across the globe are interested in exploring Indian Luxury products. Also, because of the availability of high disposable income Indians have developed an appetite to live a lavish lifestyle. India is being looked upon by the entire world as an emerging market and a potential Global hub. Hence, considering the potential of the Country many big brands from across the Globe either have set up their base here or are planning to do the same. GDP CONTRIBUTION The Gross Domestic Product or GDP is the indicator of the performance of an economy. According to the estimates of 2008, India’s GDP is $1. 209 trillion and this is slated to make improvement in the coming times. It is estimated that India’s GDP will grow by 6. 5% in the year 2009. In 2008 the country’s GDP was 9%; the slowdown that has been witnessed this year in the estimates is largely due to the slowdown witnessed by the agriculture and the industrial sectors. A look at the India GDP composition sector wise throws up some interesting figures. The agriculture sector contributed 17. 2%; industry contributed 29. 1% while the service sector had a contribution of 52. 7% according to 2008 estimates. FDI LIMITS AN INTERESTING FACT!!! What is the size of US Luxury Market? A) A third of India’s GDP B) Half of India’s GDP C) Equal to India’s GDP D) More than double India’s GDP ANS: D) More than double India’s GDP. While India will certainly not match the US, Japan or China in terms of its domestic market size for luxury goods and services for decades to come, its influence on global luxury business will steadily increase in the coming years. The reasons are many and mostly historical. Unlike Japan or China, India has a history and a tradition of luxury for millennia. It has an influence on textiles and handwork on them, on gems and their setting in jewellery, in food (including ingredients and spices), on natural skin and body care, on fragrances and cosmetics, and even furniture, furnishings, and objects d’art. For centuries, India’s nobility and the wealthy have been used to â€Å"commission† and patron works of luxury and extraordinary human skill. LUXURY MARKET SECTORS SECTORS| KEY PLAYERS| MARKET SHARE %| Jewellery| | 27| Clothing| | 16| Digital Accessories| | 13| Time Wear| | 8| Cosmetics & Skin Care| | 8| Foot Ware| | 6| Wine & Liquor| | 6| Accessories| | 6| Fragrances| | 4| Crystal Wear| | 2| Others| | 4| The Key Player Analysis The following table summarizes the marketing mix adopted by the 4 leading luxury brands. In order to arrive at successful strategies to market luxury in India, it is pertinent to look at the marketing strategies instituted by the existing luxury players in India. Product| Price| Place| Promotion| Valentino offers a limited assortment due to the nascent demand of gowns in India. This is attributed to Indian women’s preference of sarees over gowns. Because of this trend, Valentino has launched â€Å"saree inspired gowns† in their latest collection. Valentino has also included a few sarees (worn by Elizabeth Hurley) in its trademark red in their collection. | Valentino claims to charge prices same as their western counterparts. | Opened its first store in August ’06 at Delhi’s Shangri La hotel. it is currently looking for space to open a standalone store each in bangalore, Mumbai & surprisingly, Ludhiana. Has no plans of opening a store in a luxury mall due to a fear of dilution of identity. The brand owns numerous stores in China. | The brand has little promotional presence. In the west it relies on red carpet events & fashion shows to promote its gowns. However due to lack of such events in India, it uses little print advertisements from abroad in India. They predominantly feature Hollywood actresses & models. | Product| Price| Place| Promotion| The brand offers a smaller assortment of their products in west in India. This is attributed to the cultural difference & the differences fashion trends. | The brand claims to price their products equitably in India when compared to their western counterparts. However, it does admit to the greater taxes. | Launched operations in India in 2005. has only one boutique in India as opposed to 8 boutiques in China. The brand’s only boutique in India is located at The Imperial Hotel in Delhi. | Has no. promotional campaigns targeted exclusively at Indian market. Nicole Kidman, the brand’s leading endorser, recently shot an advertisement with Indian model/actor Arjun Rampal in Rajasthan. However, the advertisement will not be aired in India as Chanel only promotes in print media in India. Came into headlines for dressing up actress Sonam Kapoor for a film premier. | Product| Price| Place| Promotion| Made headlines with their intention to design sarees. However, the brand has shown no signs of actually producing them. Offers limited amount of their product offerings due to limited demand in Indian market. However, is planning to expand their offering in future. | The brand admits to charging a higher price due to the tax structure & high infrastructure costs. | Launched operations in India in 2007 with boutiques in Mumbai and Delhi. Murjani Group is the master franchisee of this brand in India. The brand’s store in Delhi is located at The Oberoi’s Hotel. the brand has currently shelved the plans of opening four more stores including one in the Emporio Mall. The brand owns close to 27 stores in almost all leading cities of China. | The brand relies heavily on print advertisements. However, it regrets its recent decision of promotions through newspaper advertisements as it harmed the brand’s exclusive & luxe image. Has no specific advertisements & promotional material for Indian customers. | Product| Price| Place| Promotion| Armani offers all of their latest collection in their Indian stores. The brand recently made headlines in Indian newspapers for including Sherwanis in the 2009 fall-winter collection. The sherwanis are now sold globally in all their stores. The brand has registered a tremendous growth by selling above 200 items a month and registering a growth of above 50 percent annually. | Armani claims to price their products same as abroad & refuses to comment further. | Armani has recently entered the Indian market with a joint venture with DLF. The store currently operates through two exclusive stores in Delhi’s first Luxury Mall DLF Emporio. The is currently in plans of opening four more standalone stores in Delhi and Mumbai. It owns 15 stores in China. | Armani, unlike in west, only relies on print media (in magazines) to promote their products. The brand features its international promotional material in India as well. However, in its latest ad campaign, it featured a model of Indian descent (Vasuki)| DETAILED ANALYSIS OF THE MACRO-ENVIRONMENT Political Trends One positive factor for any company entering India is the political stability of the nation as well as democratic style of leadership. Government apart from tariffs has taken a neutral stance towards the luxury stalwarts, FDI and tariffs as only concern which will be strengths in coming future. The implementation of the Free Trade Area, which laid out a comprehensive program of regional tariff reduction, will be continuously implemented in phases through the year 2010. Over the course of the next several years, the programs in tariff reductions will be made broader. Efforts to eliminate non-tariff barriers and develop common product certification standards were initiated. In addition, ASEAN also was able to formulate framework agreements for the intra-regional liberalization of trade in services. Economic Trends Despite the adverse economic trends in the last year, the luxury goods industry as a whole experienced relatively robust economic growth. Many countries have also seen the risk-weighted capital adequacy ratios of their banking systems improve due to government-sponsored bank recapitalization programs, continued progress in financial restructuring, and improvements in financial risk management. Overall Indian economic trend is a silver lining for companies as India is increasingly becoming the hotbed for millionaires and billionaires the new found riches is growing and will continue to be so, hence economic trend which was a challenge will grow as a big advantage. Social / Cultural Trends. There have also been social and cultural trends that have been evident over the last few years in the luxury goods industry. These include: (a) The irreversible rise of civil society (b) The rise of civil society and urbanisation blends perfectly with dreams that luxury brands sell (c) The increase in the roles of intellectuals and social awareness. (d) Indians are a peculiar breed, victims of centuries-old socio-economic oppression. Where each of us is pinned on the social matrix is revealed by our last name or even a stray twist in accent. Money or the display of it can rarely manage to unsettle the hierarchy. Awareness or rather subtle awareness is something which luxury marketers are happy about and aiming at. With more and more urbanisation and globalisation the need to be in parity with the world will fuel the demands for more upmarket and more luxurious lifestyle. Technological Trends It is a common knowledge that the luxury goods industry is still a relatively new industry in the country and is still in its early stages of development. Technology being a important factor still comes as second at times in various luxury categories, though make no mistakes that that second is still way above what a mid level brand can aim at. India being hub of technological development still does not provide luxury brands enough lucrative options as tech advancement are not synchronised and homogeneous, hence it is a dark spot but might be a very significant area in future. Legal Trends. Intellectual property (IP) and IP Rights (IPR) creation, commercialization, and protection have been a significant source of comparative advantage of enterprises and economies and a major driver of their competitive strategies. Indeed, countries all over the world are fully aware of the pressing need for a long-term policy commitment to collectively transform the luxury goods industry into one which is largely based on knowledge, driven by innovation and sustained by life-long learning. Countries all over the world have pledged to work together to help accelerate the pace and scope of IP asset creation, commercialization and protection; to improve the regional framework of policies and institutions relating to IP and IPRs, including the development and harmonization of enabling IPR registration systems; to promote IP cooperation and dialogues within the region as well with the region’s Dialogue Partners and organizations; to strengthen IP-related human and institutional capabilities, including fostering greater public awareness of issues and implications, relating to IP and IPRs. INDIA and IPR are a big problem, just not having the stringent and encompassing laws is not the only issue, and problem also arises due to weak enforcement of laws. Cheap imitation and intellectual property infringement is a common occurrence in the nation. Luxury Goods Industry SWOT Analysis Strengths: †¢Has products that boast of a very powerful retail. This includes a reputation for value of money, convenience and a wide variety of products †¢Has grown significantly over the years, and has experienced global expansion. †¢Main competence lies on the use of information technology (IT) to fully support its international logistics system. Therefore, companies in this industry can see how their individual products perform within the United States for instance, or even at stores at a glance. †¢Is able to deliver good customer care, as the limited amount of work would mean plenty of time to devote to customers. †¢Products have established a strong reputation within the market. †¢Offers little deficits and overheads. Therefore the companies in this industry can offer good value to customers on a consistent basis. Weaknesses: †¢Is one of the world’s largest industries but has a weak control of its empire, despite its IT advantages. This could lead to a decrease in productivity in some areas where it has the least control. †¢Since companies in this industry sell products across many sectors, they may lack the flexibility that some of its more focused competitors possess. †¢Operates globally, but its presence is located in only relatively few countries worldwide. †¢Some luxury goods lack market presence or reputation †¢The company’s cash flow is unreliable especially in the early stages of a new luxury product development. †¢Over flooding doesn’t leave a luxury brand a real luxury brand. Opportunities: †¢Taking over, merging, or forming strategic alliances with other luxury good companies while focusing on strong markets like Europe or the Greater China Region and India. †¢Luxury good companies operate only on trade in a relatively small number of countries all over the world. Thus, this would open the opportunities for future businesses in expanding various consumer markets, such as those in China and India. †¢The opening of new locations and branches offer luxury good companies the opportunities to exploit market development. This could lead to the diversification of the company’s branches from large super centres to local-based sites. †¢Opportunities exist for luxury good companies to continue with their current strategy of establishing large branches worldwide. †¢The industry is continuously expanding, with plenty of future opportunities to exploit for success. †¢AS FOR INDIA IT IS â€Å"THE â€Å"INDUSTRY OF FUTURE maybe 10 more years. Threats: †¢Being number one means that the luxury goods industry is the target of competition, the industry to beat, both locally and globally. †¢Being a global retailer means that luxury goods companies might be exposed to political problems in the countries where the company has operations. †¢The production costs of most luxury products have the tendency to fall because of lower manufacturing costs. Manufacturing costs fall because of outsourcing to low-cost regions around the globe. This phenomenon could lead to competition in prices, which in turn would result in the deflation of prices in various ranges. Intense price competition must definitely be considered a threat. †¢Indian mentality of the masses. †¢REPUTATION, if it goes down company goes down. Detailed Analysis of the Industry Environment The assessment of the industry attractiveness is performed using the Porter’s Five Forces Model. A. Threat of New Entrants New entrants in the luxury goods industry will have to deal with high costs of entry for their latest technologies. Most major competitors in this industry have yet to establish strong distribution channels. This will severely hamper their plans to retaliate with their technological developments as without distribution channels, their products would never be seriously considered in the market by customers. These companies must worry though about certain government laws in some countries that might weaken their competitive position (2002). B. Bargaining Power of Suppliers. Suppliers of luxury goods have relatively lower bargaining power because their products have yet to establish consistency in the market. This is in contrary to ordinary brands where these products have been able to secure the confidence of its customers worldwide. C. Bargaining Power of Buyers A majority of consumers in the luxury goods industry are professionals who rely on mobile and expensive gadgets and expect seamless services every time they use them. For instance, a customer phones in a service request from the New York airport while boarding a plane bound to Paris the same day. The technical people in New York will immediately work on the service ticket of the client. And when that client arrives in Paris, he / she would be able to call the New York service centre and pick up exactly where he / she left off (1999). The bargaining power of buyers in the luxury goods industry is relatively high because there are only few, large players in the industry. D. Threat of Substitutes There are very little threats that could emerge from possible substitutes. This is because product-for-product substitution could not possibly happen especially with luxury goods. Other products cannot simply replace the ingenuity of the established luxury products in the market. Also, the millions of users of these luxury products surely would find it too uncomfortable using other products other than their luxury products CASE STUDY: THE MURJANI GROUP OVERVIEW Murjani Group develops, launches, and builds various designer lifestyle brands. It operates in the United States, India, and internationally. Murjani Group was founded in 1930 and is based in New York, New York. They partner with international luxury brands and retail them in India. KEY EXECUTIVES Managing Director: Mr. Vijay Murjani. Chief Operating Officer: Mr. Pradeep Mansukhani Business Head of French Connection: Mr. Dhiresh Sharma Marketing Head of Luxury Division: Mr. Vikram Raizada Business Head of Gucci: Ms. Ananda Kara JOURNEY 1930: Mr B. K. Murjani found the group in Shanghai, CHINA with it’s first retail store 1950: After the world war Murjani commenced operations in Hong kong with a trading company. 1952: Murjani sets up Hong Kong’s first garment manufacturing factory. 1958: With 6 years, Murjani grew to one of the largest apparel producers in the world, with a production capacity in excess of 10 million units per annum. 1966: The current Chairman, Mohan Murjani, joins the group. 1966: The Group commenced its transition from manufacturing to designer lifestyle brand development and marketing, by launching its first brand in the USA, â€Å" Marco Polo† 1976: Murjani launches the â€Å"First Designer jean† 1980: Murjani sponsors the US Open 1985: Murjani launched Tommy Hilfiger,in 1985. Here again Murjani group re-enforced their panache with ground breaking and ingenious marketing, to ensure that Tommy Hilfiger, would almost immediately, positioned amongst the top designers in the world. The innovative brand marketing and management techniques adopted by Murjani Group over the years, have changed the very paradigm of marketing, merchandising and retailing, as we know it today. 1986: Murjani launches â€Å"Coca-Cola clothes Why India With a luxury boom in India, there are over one million luxury consumers, which is only a fraction of eight million plus consumers who have the disposable incomes but are unfamiliar with the luxury segment. The growth rate is 14. 6 per cent. Target audience is 22-55 year olds. India’s luxury goods market of Rs 717 billion is set to expand with a new firm to facilitate process by bringing together buyers and manufacturers. India’s total retail market has been estimated at $160 billion or Rs 7,170 billion, covering eight million consumers. Of them, one million are considered to be in the luxury brands segment 2000: NAMASTE INDIA The Murjani Group for many years, was very keen to establish a presence in the Indian market, but had to wait for the right time. In 2000 with the rapid growth in the consuming class, Murjani was amongs.