Internal Development and Strategic Alliance

Internal Development and Strategic Alliance Should firms go it alone or pursue a strategic alliance? This essay will compare internal development (organic development) with strategic alliances and look at whether it is better for the organisation to go it alone or partner with other organisations.   Internal development is where strategies are developed by building up the organisation’s own resource base and competences, Johnson and Scholes, (1999). Strategic alliances are when two more parties form a collaborative agreement to exchange or combine resources to pursue a development strategy, but remain separate legal entities, Bennett (1996). Joint ventures, licensing, networks are examples of types of alliances. There are many benefits that can be achieved from going it alone that may not be available through an alliance.   First of all, when an organisation develops a highly technical product the organisation through the process of development, may begin to understand its organisation better, and thus learn ways of building up or acquiring competences.   This type of learning and development may not be as extensive if alliance partners are involved in the development process.    Similarly when an organisation enters new markets through direct investment (going it alone) it can gain advantages (e.g. local market knowledge, competences in selling to new markets) that it may not have gained through working through distribution alliance partners. By going it alone – the organisation receives the full benefits of undertaking a development venture – including all the profits, patents, technical know-how and resulting competitive advantages. With alliances, depending on the agreement, any success (profits, patents, know-how) has to be shared between partners.    By undertaking internal development the organisations can exercise greater co-ordination and control over the investment and the objectives of development. With an alliance (e.g. JV), however, organisations may lose that autonomy and find it harder to control the development because decisions have to be taken on a joint basis.   Many alliances have failed due to differing objectives or motives by alliance partners.   For example, one partner may go into an alliance for short term learning gain, whereas the other partner may see the alliance as more strategic, long term and replacing one area of its value chain, Wit and Meyer (1998). With internal dev elopment there can be a greater degree of control and co-ordination, and perhaps a greater chance of the development objectives being met, without disputes. Going it alone may be a preferential route for those firms who are particularly sensitive about exposing or giving away core competences or skills that provide the organisation with a competitive advantage in the market place.   If an organisation believes that the risks of exposure of its core competences are too great through an alliance, it is more likely to use internal development – because core competences can be internalised.   Going it alone may make sense to an organisation which is pursuing development which is characterised as â€Å"fit led innovation†.   When the organisation is able to use or realistically grow its resources and competences to meet the market opportunity.   However, if the level of innovation required is more â€Å"stretch led† the organisation may have to carefully consider whether it should pursue internal development or other methods of development in order to meet its market opportunity.   For some organisations going it alone may be the only option available to them – especially if they are working in a field which is breaking new ground or where there are no other suitable partners available, (Johnson and Scholes, 1999). Therefore going it alone can offer organisations many benefits over other methods of development. However, the method is often criticised for being a slower form of development (Johnson and Scholes, 1999), requiring a higher overall capital outlay (Wit and Meyer, 1998) and has the downside that the organisation bears the full costs and risks if the development (e.g. product development or market development) fails.   By going it alone an organisation can miss out on all the benefits available to them from alliances.   The benefits of alliances will now be discussed in relation to the Xerox-Fuji 50:50 joint venture alliance case study, (Hill, 2000). The alliance between Xerox and Fuji gave each company significant benefits over and above, them going it alone.   Firstly, both companies benefited from sharing the costs of their market and technology development.    Fuji and Xerox, were able to bring the â€Å"best of the best† from both companies.   They were able to pool their resources, competences, skills, technology know-how together to create a new, fresh entity, with defined objectives for both parties Wit and Meyer (1998).   Fuji, had the local knowledge of markets, distribution channels and Xerox, excellent skills and know-how in manufacturing and sales, thus the alliance enabled both companies to benefit from each other’s competences.   Through an alliance mutual l earning can take place which can complement each other’s companies strengths or weaknesses.   By going it alone you can limit yourself to the organisation’s own skills and competences and only what you can realistically develop internally. The Xerox and Fuji alliance meant that both organisations were able to limit their risks of development. Xerox was able to test the market for its products before committing itself to a new market (Hill, 2000).   It could remove its investment without too much difficulty.   If it had gone it alone, market entry may have been harder and more risky for Xerox.   Certainly alliances can be preferable if an organisation is undertaking a risky development – as failure can shared between partners. Alliances due to their nature, can also provide faster methods of development than which can be created through internal development. However, alliances have been criticised for: i) their high failure rates – 60% after 2 years fail, (Dawes, 1994) ii) Risk of exposing competences and technical know-how to partners iii) Disputes, relationship issues that result from working with other partners iv) Profits and advantages having to be shared between partners iv) the less autonomy and control available to partners compared with going it alone. In answer to the question should firms go it alone or pursue a strategic alliance – I   believe it really depends on the current situation of the organisation (internal and external).   There may be circumstances where an organisation would be better to go it alone – especially if the organisation was concerned about exposing its core competences, felt that its existing resources and competences would be sufficient to meet the market opportunity, and it needed high levels of control over its development decisions.   In other circumstances – the organisation may find it cost prohibitive to develop in-house, be experiencing strong competitive pressures and thus need to seek partners to support them on high research and development costs, or obtain specific skills, technical know-how to take advantage of a market opportunity.   As outlined above internal development (going it alone) and alliances have different advantages and disadvantages for different orga nisations.   Therefore the choice over which development method would need to be taken on a case by case basis. BIBLIOGRAPHY In the preparation of this assignment I have consulted the following research sources: Bennett, R. (1996) International Business: Pitman Publishing Oxford University: (1990) A Concise Directory of Business: Oxford University Press Hill, C. (2000) International Business: Competing in a Global Marketplace: McGraw Hill Needle, D. (1995) Business in Context, An introduction to Business and its environment, Second Edition: International Thompson Business Press Bleeke J. and Earnst D. (1992) Collaborating to Compete: Wiley and Sons Dussauge, P. Garrette B., (1999) Co-operative Strategy: Competing Successfully through Strategic Alliances: Wiley Lorange P. and Roos J., (1993) Strategic Alliances: Blackwell Lynch R. (1993) Business Alliance Guide: The Hidden Competitive Weapon: Wiley Sandaram and Black (1995) The International Business Environment: text and cases:  Prentice Hall Rugman and Hodgetts (1995) International Business: A Strategic Management Approach: McGrawhill Matsura, N. (1991) International Business, A New Era: Harcourt Brace Jovanovich (HBJ) Dawes, B. (1994) International Business: A European Perspective: Stanley Thorne Johnson and Scholes (1999), Exploring Corporate Strategy, Prentice Hall

The Problems of the Uninsured Essay -- Health Care

Scenario 1 Part A I would clarify the daughters’ confusion regarding Medicare versus Medicaid. Medicaid is a federal health insurance program which provides assistance to uninsured individuals who meet certain criteria. Medicare is a federal health program for persons over the age of 65 who qualify for social security benefits and certain disabilities (Cherry & Jacob, 2011). Mrs. Zwick qualifies for Medicare part A because she is over the age of 65, and most likely worked which makes her eligible for social security benefits. Her Medicare Part A plan will cover her hospital admission in full. Part A-Hospital Insurance will cover Mrs. Zwick for her five day hospital stay and continue to do so up to 55 more days after the first $1,068 (United States Government, n.d.). Because she met the criteria of a hospital stay of at least three days, her first 20 days at the skilled nursing facility will be covered 100%. Because her urinary tract infection was hospital acquired, Medicare will not reimburse the facility for any treatment or extended stay. Medicare considers a urinary catheter acquired infection a never event. This means that it should never have happened, or could have been prevented and therefore Medicare will not reimburse the facility (Torrey, 2011). Neither the daughter nor patient knows this was a hospital acquired infection and I would strongly suggest the health care provider to be forthright and tell the family. Medical Coding of conditions for the insurance company is how the hospital recei ves appropriate reimbursement, and a treatment that improperly coded could lead to fraud. Medicare states that a patient cannot be billed for any additional care needed to resolve a never event (Torrey, 2011). Medi... ...nses except for small copayments. References Cherry, B., & Jacob, S. R. (2011). Contemporary Nursing Issues, Trends, and Management (5th ed.). [VitalSource Bookshelf]. Retrieved from http://www.pageburstls.elsevier.com Federal Government. (n.d.). FAQs For Employees About COBRA Continuation Health Coverage (Fact Sheet). Retrieved from FAQs For Employees About COBRA Continuation Health Coverage website: www.dol.gov/ebsa/faqs/faq-consumer-cobra.html Frontline (T.R. Reid). (2008, April 15). Sick Around the World [Television broadcast]. Germany: A popular, largely market-based system. Public Broadcasting Service. Torrey, T. (2011, November 27). There’s More To It Than Just Patient Safety. About.com Guide. Retrieved from http://patients.about.com United States Government. (n.d.). Medicare Benefits (Policy Brief). Retrieved from Medicare.gov: www.medicare.gov

Project Manager

A project manager is responsible for all of the aspects of the implementation process. This is includes but not limited to the responsibilities of task assignments, resource availability, maintenance, project documentation, budget and timeline oversight, and communication among all of the project team members. A company may run into several errors before, during, and after a system is implemented it is critical for a plan to be formed and followed to try to reduce the amount of errors. To begin the process of implementing a system the project needs three major components completed in the establishing plans and controls phase.These three components are the breakdown of the project into various phases, specific budgets applicable to each phase, and specific timetables applicable to each project phase. For a project to be managed effectively the project needs to be broken up into multiple phases to try to prevent as many bugs as possible. If a project is broken up it becomes easier to m anage and precede smoother. Because a project of implementing a new system has multiple people involved it becomes unrealistic for there to be a standard method for breaking down the task.This is because there are several different opinions and requirements for each phase. To the extent possible, tasks should be broken down to a level where task definition is sufficiently clear to enable individual personnel to be assigned to specific tasks. Making an accurate timeline is difficult to do since there are regular setbacks when implementing a system. The timeliness will depend on the project manager and whether or not the manager has had previous experience with the company. The previous experience will help with estimating the amount of time given to each task based on the previous project.The time estimate will involve the four basic steps of work measurement: identify the task to be estimated, for each task estimate the total size or volume of the task, convert the size or volume es timate into a time estimate by multiplying the estimated processing rate, and adjust the estimated processing rate to include circumstantial considerations such as idleness or complexity. Executing Implementation activities is the next critical phase when implementing an accounting system. This involves the actual finishing the design plan.This includes activities such as employee training, acquiring and installing new computer equipment, detailed systems designs, documenting the new system, file conversion, and test operations. Not all of these activities may be applicable depending on the software being implemented. Employee training is critical because the employees are who is going to be using the system. This will help with making the transition into the new software smoother. Some additional design work will be completed during the detailed systems design activity.This is the activity that might reveal that some of the design plan will be unworkable, and plans may need to be c hanged at this point. Documentation is one of the most important activities when implementing a new system. The documenting can be used to help with training employees, provide programmers with useful information for the future, information for auditors, and assist with design expectations. The implementation plan will allow adequate time for data screening since errors occur during the file conversion.File conversion can be one of the most time consuming activities, and will be provided a lengthy timeline. For testing operations the parallel approach will be used despite the expenses. If the direct approach was used the errors from the system failing could equal the expenses that could be spent in the parallels approach to ensure system effectiveness. The final step in the planning process is the evaluation of the new system after it has been implemented. The new system will still need to be monitored and changes may be needed to the system afterwards.This will help ensure that the system is running appropriately according the original plan that the company decided on. Feedback will be imperative from the employees who are actually using the new system daily. The monitoring will be done through observations and questionnaires. References Bodnar, G. , & Hopwood, W. Accounting information systems . (Eleventh ed. ). Upper Saddle River: Pearson. Hoyt, J. (2009). 5 steps to a successful implementation of your new accounting system. ERP Software, Retrieved from http://www. erpsoftwareblog. com/2009/11/5-steps-to-a-successful-implemention-of-your-new-accounting-system/ Project Manager A project manager is responsible for all of the aspects of the implementation process. This is includes but not limited to the responsibilities of task assignments, resource availability, maintenance, project documentation, budget and timeline oversight, and communication among all of the project team members. A company may run into several errors before, during, and after a system is implemented it is critical for a plan to be formed and followed to try to reduce the amount of errors. To begin the process of implementing a system the project needs three major components completed in the establishing plans and controls phase.These three components are the breakdown of the project into various phases, specific budgets applicable to each phase, and specific timetables applicable to each project phase. For a project to be managed effectively the project needs to be broken up into multiple phases to try to prevent as many bugs as possible. If a project is broken up it becomes easier to m anage and precede smoother. Because a project of implementing a new system has multiple people involved it becomes unrealistic for there to be a standard method for breaking down the task.This is because there are several different opinions and requirements for each phase. To the extent possible, tasks should be broken down to a level where task definition is sufficiently clear to enable individual personnel to be assigned to specific tasks. Making an accurate timeline is difficult to do since there are regular setbacks when implementing a system. The timeliness will depend on the project manager and whether or not the manager has had previous experience with the company. The previous experience will help with estimating the amount of time given to each task based on the previous project.The time estimate will involve the four basic steps of work measurement: identify the task to be estimated, for each task estimate the total size or volume of the task, convert the size or volume es timate into a time estimate by multiplying the estimated processing rate, and adjust the estimated processing rate to include circumstantial considerations such as idleness or complexity. Executing Implementation activities is the next critical phase when implementing an accounting system. This involves the actual finishing the design plan.This includes activities such as employee training, acquiring and installing new computer equipment, detailed systems designs, documenting the new system, file conversion, and test operations. Not all of these activities may be applicable depending on the software being implemented. Employee training is critical because the employees are who is going to be using the system. This will help with making the transition into the new software smoother. Some additional design work will be completed during the detailed systems design activity.This is the activity that might reveal that some of the design plan will be unworkable, and plans may need to be c hanged at this point. Documentation is one of the most important activities when implementing a new system. The documenting can be used to help with training employees, provide programmers with useful information for the future, information for auditors, and assist with design expectations. The implementation plan will allow adequate time for data screening since errors occur during the file conversion.File conversion can be one of the most time consuming activities, and will be provided a lengthy timeline. For testing operations the parallel approach will be used despite the expenses. If the direct approach was used the errors from the system failing could equal the expenses that could be spent in the parallels approach to ensure system effectiveness. The final step in the planning process is the evaluation of the new system after it has been implemented. The new system will still need to be monitored and changes may be needed to the system afterwards.This will help ensure that the system is running appropriately according the original plan that the company decided on. Feedback will be imperative from the employees who are actually using the new system daily. The monitoring will be done through observations and questionnaires. References Bodnar, G. , & Hopwood, W. Accounting information systems . (Eleventh ed. ). Upper Saddle River: Pearson. Hoyt, J. (2009). 5 steps to a successful implementation of your new accounting system. ERP Software, Retrieved from http://www. erpsoftwareblog. com/2009/11/5-steps-to-a-successful-implemention-of-your-new-accounting-system/

The Dilemma Facing African Americans During The First...

The dilemma facing African Americans during the first few decades after emancipation was profound. The post Civil War-Reconstruction era in the South was one where African Americans had political voting rights, members of Congress, and a vision for the future that would extend the principles of democratic government to all black people. Quickly though, it changed to a situation that was akin to slavery itself. With the removal of the Federal forces in the South following Reconstruction, the gains that were made eroded both political power and the civil rights of African Americans. Economically, millions of poor southern blacks were trapped in the sharecropping system structured to ensure that they provided cheap agriculture labor for the benefit of white landlords. Throughout the South, with the institution of the Jim Crow laws, blacks began to be excluded from all public accommodations, denied access to schools and other essential services, and restricted from living in certain residential areas. Essential to the racist assault against black people’s rights was lynching, fear and death. The extreme denial of due process of law arose during this time. People who committed crimes against African Americans failed to be arrested or prosecuted, and African Americans who were accused of wrongdoing were not assured a fair trial. The Supreme Court Case of Plessy vs Ferguson in 1896 set the legal precedent and made it possible for states to enforce racial segregation lawsShow MoreRelatedThe Historical Progression of African Americans4523 Words   |  19 PagesProgression of African Americans Jeff Brown HIS 204: American History Since 1865 Prof Carl Garrigus May 16, 2010 The Historical Progression of African Americans America in 1857 was a â€Å"Nation on the Brink.† Relationships between the Northern and Southern states had been strained for decades. During the 1850 s, the situation exploded. The Compromise of 1850 served as a clear warning that the slavery issue—relatively dormant since the Missouri Compromise of 1820—had returned. African AmericansRead MoreCase Studies13817 Words   |  56 PagesCASE STUDY #1 A Job Search Dilemma Eric, a second-semester senior, is looking for a job. Anxious about finding work in the worst economy in decades, he sends out scores of resumes for a wide variety of positions. The first call he gets is for a position that doesnt really interest him, but he figures he should be open to every opportunity. He schedules an interview, which he aces. In fact, the recruiter offers Eric the job on the spot. He would like Eric to start as soon as possible. Should EricRead MoreDo Muslim Women Really Need Saving?7400 Words   |  30 PagesDo Muslim Women Really Need Saving? Anthropological Reflections on Cultural Relativism and Its Others Author(s): Lila Abu-Lughod Reviewed work(s): Source: American Anthropologist, New Series, Vol. 104, No. 3 (Sep., 2002), pp. 783-790 Published by: Blackwell Publishing on behalf of the American Anthropological Association Stable URL: http://www.jstor.org/stable/3567256 . Accessed: 18/01/2012 15:55 Your use of the JSTOR archive indicates your acceptance of the Terms Conditions of Use, available atRead MoreOne Significant Change That Has Occurred in the World Between 1900 and 2005. Explain the Impact This Change Has Made on Our Lives and Why It Is an Important Change.163893 Words   |  656 Pagesand Paul Buhle, eds., The New Left Revisited David M. Scobey, Empire City: The Making and Meaning of the New York City Landscape Gerda Lerner, Fireweed: A Political Autobiography Allida M. Black, ed., Modern American Queer History Eric Sandweiss, St. Louis: The Evolution of an American Urban Landscape Sam Wineburg, Historical Thinking and Other Unnatural Acts: Charting the Future of Teaching the Past Sharon Hartman Strom, Political Woman: Florence Luscomb and the Legacy of Radical Reform