Want help to write your Essay or Assignments? Click here
The Moral Status Case Study
In the process of scrutinising the consigned object which is based on Fetal Abnormality with Marco, Wilson, Jessica, Dr. Wilson and Maria, it is evident that more than one woman decided to revenue all the perspective linked to Christians. Such a case is better recognized when a close relative left to ask that she expected to allow what “God proposed”. Morals of Christian endeavor are contained in the Christian theory whereby, they purpose to agree to all the standards of a person’s behaviour clearly announced by God as well as recorded in the Bible for each Christian to view them.
Marco, Wilson, Jessica, Dr. Wilson and Maria suggest that they respect the humanism stated in the book of sacred writings (Peterson, 2010). The book states that “for you made my most profound being; I praise you, for I am fearfully and wonderfully made; your precious eyes saw my unformed body and made me whole; in your hand back all men were made before any person came to be”.
However, the men wanted to take the very natural common part of the circumstance of “honest to goodness” or even theoretically talking about being materialistic, whereby, such an act ought to be demolished at adolescents and put plainly as the hatchling departure.
The Moral Status Case Study
Want help to write your Essay or Assignments? Click here
Action Imposed
Higher trust in the spirit that Maria and Jessica had, spearheaded them in making a decision towards doing what was expected by divinity and deciding to keep the toddler. Their spirit of a developing life was like as a social thing, and ending it would be like butchering the spirit. Executing the spirit is a transgression, which was supported by Marco and Dr Wilson as the best actions to be taken to do away with the new-born child.
The actions would best be done in such a way to stop the materialistic world point of view, and things that pertained individuals who are the most corporeal beings (Rossi, 2010). Most of the racial effects summarized in this report are only important to the type of society which will respond to them. However, it is a bad thing to allow racial summarization to persist and also be sharpened in Ontario as it might lead to huge damage due to the high cost incurred.
In this case, the commission has laid a lot of recommendations and actions, which addressed summarizing of ethnic groups. Such an act is not an extensive summary of the best performance of the commission in fighting racial summarizing as it is not the main objective of commission exertion. Purpose geared towards solicitation is all that is required to raise more concerns on racial summarizing and put an end to it (Peterson, 2010).
The Moral Status Case Study
Want help to write your Essay or Assignments? Click here
Want help to write your Essay or Assignments? Click here
Home Visit with Sallie Mae Fisher Video
The major problems that can be identified from the home visit with Sallie Mae Fisher video, it is the social alienation of the patient, she is psychologically disturbed and with the lack of appetite the medicine will not be effective enough. She misses her husband a factor that increases the pain and the suffering that she is undergoing. She, however, points out that he used to smoke so often a factor that may be led to the condition that she is undergoing.
The discharge instructions have not been followed to the letter. There is no oxygen supply at the homestead since this was one of the discharging factors that would assist her to recover much faster at home. Lack of family to offer support also affects how the patient will cope with the ailment. The medications were not filled in time because her daughter works full time and she also has her issues to deal with.
Want help to write your Essay or Assignments? Click here
Home Visit with Sallie Mae Fisher Video
For the betterment of the patient, it is vital that some questions should be addressed to improve the health of the patient. The nurses should be aware of all the medicines that the patient should be taking at a given time. As evidenced, the patient mentioned that a nurse who has visited earlier didn’t assess the medications that were not available. Better and proper education should also be provided to the patient so that she can understand why some things are mandatory. Regarding the supply of oxygen in the house, she should be aware that the requirement is necessary, and it should be fixed immediately.
Home Visit with Sallie Mae Fisher Video
Want help to write your Essay or Assignments? Click here
Since the patient doesn’t have any family support, she should regularly be visited, or a nurse should permanently be at her home to guide her in the healing process. Psychologically, she should be involved in other activities that would make her concentrate on her health other than being psychologically being affected by those that she misses. The patient will be better if exercise is introduced into her life. Exercising rejuvenates an individual’s body energy, and this makes blood circulation to be efficient, and this will work well with the heart condition that she has.
Therapy and a holistic, multidisciplinary approach to the older people with heart conditions must be followed to the letter. It has been evidenced how effective the nurse visits have helped such kind of patients to cope with their conditions. Follow-ups by doctors and nurses are recommended, but they should be regular so that better techniques will be availed that will be used to improve the patient’s survival (Koelling et al. 2005)
Home Visit with Sallie Mae Fisher Video
Want help to write your Essay or Assignments? Click here
Dialogue
Nurse: “Good afternoon Sallae Mae, my name is Christine, and I will be your nurse today. I have learned that you are having issues with taking your medication?”
Mae: Yes I have not been consistently taking my drugs in the right procedure as prescribed, however sometimes I feel pain and headache all over my body that leads to lack of appetite, and how can I do it better nurse?”
Nurse: All the medications that you have been prescribed with have significance in your healing. Take them at the time prescribed so that your health will improve. In regards to the pain, body systems respond to the drug and they may cause such pain since they are fighting infections so that your body parts can function properly. I also realize that you do not have oxygen supply as indicated in the discharge prescription?
Mae: “True, I don’t want any oxygen in this house, I am just tired all I think about is my late husband, and recently I have no appetite. I am so depressed and I feel hopeless when I think of him”
Nurse: “That should not be the case mom; oxygen supply enables your breathing to be better and prevents polluted air into your systems. It will clean your lungs for healthy breathing and improve blood circulation. Be strong you need to allow your daughter to come and visit you to enable you reduce your loneliness. Hope you understand me, mom.”
Mae: “Yes I apparently don’t blame you, but I can’t stop thinking about him when my only daughter doesn’t have enough time to come and check on me, nurse.”
Nurse: “I have a solution to that, I will volunteer to be visiting you after every two days, and we start an exercise session so that you won’t be thinking about family members so much. I will also talk to your daughter to at least spare some hours and visit you. You will get better mom and all the best. I will visit you two days later and eat well never lose hope. Bye for now,”
Want help to write your Essay or Assignments? Click here
Transocean Case Study
1.0 Introduction
The paper will evaluate the strategic position of Transocean, a major player in global offshore drilling services in the oil and gas industry. Strategic management is a process that entails formulating and implementing main objectives as well as initiatives a company takes based on the available resources. It also takes into consideration the evaluation of external and internal environment in which the firm operates.
Founded in 1953, the company is headquartered in Houston Texas. Transocean administrative division has since shifted to Vernier, Switzerland for tax and client servicing reasons. Various models such as STEEPLE, Ansoff and Porter’s Five Forces will be used to paint the company’s strategic position when it comes to, macro-environmental review, competition, diversification strategy, market development, product development and market penetration. To wrap up, the paper will make recommendations regarding the direction the company has to take to remain sustainable.
1.1 Analysis of Transocean Limited
Transocean is a prominent global provider when it comes to offshore drilling services for energy establishments. The company owns and operates the world’s most multipurpose flotillas that concentrate on deep-sea and extremely harsh environment drilling (Deepwater.com, 2016). With a fleet of sixty-one portable offshore drilling components, the company offers powerful rigs for deepsea drilling. Transocean helps clients to establish and develop oil as well as natural gas stockpiles.
The company offers an exceptional drilling performance that is anchored in a solid experience that spans more than a half a century. Transocean shares are listed on the New York Stock Exchange under the acronym RIG and Swiss Stock Market under the acronym RIGN.Transocean operates more than 140 offshore rigs in almost all mainmarine markets. Apart from offering drilling services offshore, the company offersdrill management services globally. Transocean operates not just the largest extreme-deepsea flotilla of drill ships global, but it is also the largest offshore fleet worldwide.
The company hires more than 20,000 employees with the technical expertise that is the envy of their business rivals(Deepwater.com, 2016). Moreover, Transocean provides management and accomplishment services for assessment and production firms regarding offshore drilling schedules. The company’s mission is to become a leading offshore drilling organisation that provides rig-based services with a global reach, by incorporating a highly dedicated workforce,state of the art machinery and ultra-modern technology, while concentrating on technically demanding environments (Transocean, 2007b)..
The company is dedicated to values that represent its focus, innovativeness, safety, trust and reliability. The company promises to surpass not just the anticipations of theclient, but employees and shareholders as well (Deepwater.com, 2016). Transocean’s strategic goals include getting aligned with its customers when it comes to supporting and ensuring delivery of clients’ business objectives.
The company conducts its operations with distinction which is characterized by safety and efficientoffshore solutions (Deepwater.com, 2016). In addition,Transocean keeps on enhancing its corporate culture and processes to optimize returns. Lastly, the company not only attracts but also nurtures and retains the industry’s best employees.
Want help to write your Essay or Assignments? Click here
2.0 Industry Trends
Drilling oil and gas was previously dependent on backlogs. Contract bores alter their rates based on their rig charges relative to retailing oil and gas prices. Usually, contract bores tend to wait on the day down, and speedily adjust their prices upwards depending on how the markets are performing (Redall, 2012). There has been a widespread pattern of extreme deepsea rig business with strong daily charges.
However, there has been a downward trend in mid-water rig markets. The most lucrative market lies of the Gulf of Mexico and West African coastal line, down to the south of Africa. The demand for deep-sea rigs is anticipated to remain jerky in the short-term(Helman, 2015).As of now, approximately 206 floaters are operating under contract across the industry (Deepwater.com, 2016).A large percentage of the total number is idle for completing major contracts.
3.0 Analysis the different types of strategic options
3.1Ansoff Matrix:
Existing Markets
Market Penetration
Product Development
New Markets
Market Development
Diversification
Existing Products
New Products
Transocean is a dominant player in a market that is not highly saturated. However, to remain at an edge over its closest business rivals, the company has adopted different approaches. Based on the Ansoff matrix, Transocean has been using a low pricing model to penetrate the market. When it comes to market development, Transocean has been offering ultra-deepsea drilling and management services in various parts of the world. What makes the company the envy of its business rivals is the fact that Transocean’s product development strategy works magic. Apart from ultra-deepsea boring services, the company offers rig and deepsea drilling consultancy services which is certainly some form of diversification hence competitive edge.
In short, Transocean operates in the same market by adopting a horizontal strategy in terms of expanding the product line. Lastly, Transocean has a predominantly diversified portfolio. To diversify risks, the company has necessitated mergers and acquisitions when it comes to financial management and technical expertise. The company operates in various regions such as the United States, the Gulf of Mexico, the North Sea, West Africa, and Southeast Asia, Middle East and the Arctic.
3.2Porter’s Five Forces
3.2.1Competition
Transocean threat of competition is moderate to high. For example, following a merge in mid-2007 between Rig and Transocean’s chief rival Global Sante Fe, this attempt reduced competition particularly, in ultra deep-water segments. While Transocean has almost a monopoly in ultra deep-water drilling, It is likely to enjoy less competition in ultra deep-water, especially in harsh climates that require technical personnel.
In fact, this contributed to the need for anti-trust lawsuit following the merger between RIG and GSF. Nonetheless, the firm has exposure to different offshore markets such as jackupsegment that is associated with intense competition in various regions globally as well as pricing (Porter, 2008). By and large, the organisation has less competition in ultra deep-water segments, with a somewhat intense competition in mid-water floater and also jackup segments.
Want help to write your Essay or Assignments? Click here
3.2.2 New entrants
Transocean enjoys a low threat of new entrants. With respect to offshore contract drilling sector, it requires huge investment in fleet and rigs before getting inflows from gas and oil organisations (Porter, 2008). This makes nearly impossible for new firms to enter this sector.
3.2.3 Substitute
The main threat of substitute is the changing the energy source from hydrocarbon to renewable sources across the world, which is not likely in the short-run (Turner, 2007). Therefore, the threat of substitute is low.
3.2.4Purchasing power
Transocean’s purchasing power is moderate. Much as exploration and production firms have power when it comes to negotiating, especially in mid-water floaters and jackupsegments, they have sufficient ability and provision of idle rigs. In essence, the buyers are in aposition to negotiate low daily rates in the contracts while ultra deep water segments maintain stringent rates (Schlumberger, 2008).
3.2.5Suppliers’ power
The supplier power is moderate. Transocean providers have some degree of power. For instance, suppliers like National Oilwell Varco take part in the decision making in constructing Transocean’srigs andother essential parts. Luckily, this is crucial for Transocean since National Oilwell Varco has a few plans of increasing the fleet of drillships. In general, benefits from pricing since they are the main clients to themajority of their specialised providers (Porter, 2008).
Want help to write your Essay or Assignments? Click here
3.3 STEEPLE
3.3.1 Social
The organisation takes part in various social activities, including charitable contributions to developing environmental initiatives to increase its reputation.
3.3.2 Technological
Technology is necessaryfor drilling sector as such Transocean gets its strength in technological development. While oil drilling and the ecology are related, so is technology and demand. Drilling in deepwater is more and more vital from drilling organisations since they are considered to be more profitable. The firm is positioning itself to capitalize in this segment. For instance, in 2007, Transocean acquired a drillship worth USD 470m to take advantage of deep-water drilling, which allows the firm to drill up to ten thousand feet.
Due to advanced underwater drilling, there has been a decrease in jackup rigs demand (Associated Press, 2007). This presentsTransoceanwith the opportunity to beat their rivals like Noble Corporation in the struggle for innovation. Currently, the firm is leading in deep-water exploration (Katsaros & Christy, 2005).
3.3.3 Economic
Cost is a major challenge for drilling organisations. As oil price rises, the cash flow increases too, which makes organisationsinvest considerably in drilling activities? Furthermore, the new techniques of recovering oil though they are essential in the growth of petroleum production, are leading to an increase in the gasoline price. Implicitly, thehigh price of oilis required to make drilling firms profitable. High global investment drives drilling.
With great interest to drill in foreign regions, global investors are significantly investing, hence leading to expansionof oil and gas sector (Maksoud, 2007).Even though raising oil cost will adversely influence Transocean, in reality, will be beneficial in the long run. Oil cost is inelastic. In other words, afluctuation will insignificantly affect demand. Therefore, increasing oil prices willboost cash flow for Transocean, which means additional business like funding new drilling projects.
3.4.4 Environmental
On environmental protection, Transocean is committed to enhancing its stringent police on Environmentalmanagement system (EMS). Transocean’s EMS visitation is conducting its operations in a standardised manner that fulfills the high levels of stipulated laws to drive continuous enhancements while instilling ownership across its facilities (Transocean, 2007a). The organisation is environmentally sustainable by way of using green products and assessment is utilized as part of routine operations.
The firm also focuses on recycling. Additionally, Transocean has set up a recycling plan, where recyclables are sorted and compressed in rigs. After compression, they are transported to Tech Oil Products and donated to a recycling hub in the ARC of Iberia.
Transocean has collaborated with different oil and gas firms such as Subsea 7, and BP in the SERPENT project. Thisentails necessitating access to the installations, in partnership with their customers to present scientific knowledge to experts in the SERPENT project (Dictionary.Cambridge 2012). In turn, the analysts conduct various projects including assessing biodiversity and effects of drilling on the environment.
The analysts also work on the company’s rigs to study marine species (Transocean, 2007a). By and large, Transocean protects the environment in which it operates to demonstrate that the company recognises the consequences of natural demand shifters.
3.4.5 Political/Legal
Oil presents this organisation with a strong political force. Because oil is the primary source of energy internationally, thus, the supply of oil is related to power regardingpolitics; oil firms leverage authority over regimes (Dictionary.Cambridge 2012). With no oil organisations, United States is likely to lose its dominance in developing nations remarkably. Though oil drilling firms are fundamental in giving regimes the authority, they are still regulated and work as per government laws, such as prohibiting drilling in particular regions like the Gulf of Mexico to protect the environment.
In 2007, the Congress was promoting the closure of a quarter-century ban on the production of offshore energy. This decree banned 85 percent of all drilling in United States’ continental shelf, greatly affecting oil drilling firms including Transocean (Kamalick, 2007). Furthermore, the Congress were supporting the opening of additional shorelines, which was associated with renewable sources of energy, as such they sought for support from environmentalists. While regimes exercise their authority on oil and gas providers, these providers, in turn, have authority over the very regimes.
Want help to write your Essay or Assignments? Click here
3.4.6Ethical Standards
Transocean aspires to ensure financial discipline in their disclosure, honesty and candor in all their engagements with clients, ahigh esteem for employees, customers and suppliers, the safety of employees, property and the ecosystem and technical leadership. Loyalty to these core values demands the company to execute its operations in tandem with thelaw and the utmost standards of business ethics.
In advancing that objective, the company embraces the Code of Business Conduct and Morality, the firm’s environment is also a corrupt free zone and an Anti-Corruption and Business Conduct Policy takes care of that. Again, directors and employees are not allowed to enhance the culture of inside trading. Nonetheless, all employees should adhere to the privacy policy.
4.0 Recommendations
Since oil is directly associated with international authority, oil drilling organisations have authority over regimes, nevertheless, with another alternative, Transocean should continuously go this direction to maintain the lead if the primary source changes
Much as the company has advanced drillship tools, it should take a notch higher by researching new products in comparison to its rivals.When it comes to maintaining competitiveness in oil and gas industry, Transocean should use differentiation strategy that will be vital in developing clients’feedback and service delivery. The differentiation strategy should focus on quality rigs, particularlydeep-water drilling and ability to survive environmental disasters such as hurricanes.
While this threat of substitute islow, in future it may reduce the demand for oil. For that reason, Transocean should create awareness among clients about the benefits of oil in comparison to other energy sources. This can be carried out through advertisements. For instance, the organisation should use ads that demonstrate even with the use of alternative sources such as ethanol, which is considered environmentally sustainable compared to oil. Ethanol requires aconsiderable quantity of biomass. In the even that US, ethanol from corn is employed on a large scale, then it will contribute to increased costs of corn.
The prices of beef will also skyrocket remarkably as cows feed on corn products. On the other hand, if Brazilian corn is used thatis produced from sugar; rainforests in the region will be cut to provide land to grow sugar. Creating awareness through ads will help Transocean increase the demand for oil while increasing the demand for petroleum products from the company.
The company should embrace Ansoff model to diversify its portfolio. Instead of concentrating on drilling and consultancy, the company can take a leap of faith and venture in other business like marine transport, finance, healthcare, real-estate, heavy metal processing among others. Diversification is critical because it will help the company spread risks, when oil business is at its low.
Want help to write your Essay or Assignments? Click here
5.0 Conclusion
The study set out to evaluate Transocean position in the offshore drilling services. The company’s background, values and strategic goals were highlighted at the outset. To understand the company’s product and market development; market penetration and diversification, the Ansoff Matrix was used. The Porter’s Five Forces were employed to establish the intensity of the competition. However, STEEPLE model was used to evaluating the company macro-environment. In the end, the paper touched on the best practices as assured by ethics codes. Recommendations were made regarding the corporation’s future.
6.0 Bibliography
Associated Press 2007. JP Morgan Securities analyst upgrades GlobalSantaFe, Transocean to “neutral.” Retrieved 17th March. 2016 from Factiva.
Berman, A. 2007. Drilling advances. World Oil, 19. Retrieved March 17, 2016 from Business Source Premier Database
Deep Sea Drilling Project 2015.” The Columbia Encyclopedia, 6th ed.. 2015. Encyclopedia.com. 17 Mar. 2016 <http://www.encyclopedia.com>.
Want help to write your Essay or Assignments? Click here
1.0 Introduction
The paper will evaluate the strategic position of Transocean, a major player in global offshore drilling services in the oil and gas industry. Strategic management is a process that entails formulating and implementing main objectives as well as initiatives a company takes based on the available resources. It also takes into consideration the evaluation of external and internal environment in which the firm operates.
Founded in 1953, the company is headquartered in Houston Texas. Transocean administrative division has since shifted to Vernier, Switzerland for tax and client servicing reasons. Various models such as STEEPLE, Ansoff and Porter’s Five Forces will be used to paint the company’s strategic position when it comes to, macro-environmental review, competition, diversification strategy, market development, product development and market penetration. To wrap up, the paper will make recommendations regarding the direction the company has to take to remain sustainable.
1.1 Strategic Analysis of Transocean Limited
Transocean is a prominent global provider when it comes to offshore drilling services for energy establishments. The company owns and operates the world’s most multipurpose flotillas that concentrate on deep-sea and extremely harsh environment drilling (Deepwater.com, 2016). With a fleet of sixty-one portable offshore drilling components, the company offers powerful rigs for deepsea drilling. Transocean helps clients to establish and develop oil as well as natural gas stockpiles.
The company offers an exceptional drilling performance that is anchored in a solid experience that spans more than a half a century. Transocean shares are listed on the New York Stock Exchange under the acronym RIG and Swiss Stock Market under the acronym RIGN.Transocean operates more than 140 offshore rigs in almost all mainmarine markets. Apart from offering drilling services offshore, the company offersdrill management services globally. Transocean operates not just the largest extreme-deepsea flotilla of drill ships global, but it is also the largest offshore fleet worldwide.
The company hires more than 20,000 employees with the technical expertise that is the envy of their business rivals(Deepwater.com, 2016). Moreover, Transocean provides management and accomplishment services for assessment and production firms regarding offshore drilling schedules. The company’s mission is to become a leading offshore drilling organisation that provides rig-based services with a global reach, by incorporating a highly dedicated workforce,state of the art machinery and ultra-modern technology, while concentrating on technically demanding environments (Transocean, 2007b)..
The company is dedicated to values that represent its focus, innovativeness, safety, trust and reliability. The company promises to surpass not just the anticipations of theclient, but employees and shareholders as well (Deepwater.com, 2016). Transocean’s strategic goals include getting aligned with its customers when it comes to supporting and ensuring delivery of clients’ business objectives.
The company conducts its operations with distinction which is characterized by safety and efficientoffshore solutions (Deepwater.com, 2016). In addition,Transocean keeps on enhancing its corporate culture and processes to optimize returns. Lastly, the company not only attracts but also nurtures and retains the industry’s best employees.
Want help to write your Essay or Assignments? Click here
2.0 Strategic Industry Trends
Drilling oil and gas was previously dependent on backlogs. Contract bores alter their rates based on their rig charges relative to retailing oil and gas prices. Usually, contract bores tend to wait on the day down, and speedily adjust their prices upwards depending on how the markets are performing (Redall, 2012). There has been a widespread pattern of extreme deepsea rig business with strong daily charges.
However, there has been a downward trend in mid-water rig markets. The most lucrative market lies of the Gulf of Mexico and West African coastal line, down to the south of Africa. The demand for deep-sea rigs is anticipated to remain jerky in the short-term(Helman, 2015).As of now, approximately 206 floaters are operating under contract across the industry (Deepwater.com, 2016).A large percentage of the total number is idle for completing major contracts.
3.0 Strategic Analysis the different types of strategic options
3.1 Ansoff Matrix:
Existing Markets
Market Penetration
Product Development
New Markets
Market Development
Diversification
Existing Products
New Products
Transocean is a dominant player in a market that is not highly saturated. However, to remain at an edge over its closest business rivals, the company has adopted different approaches. Based on the Ansoff matrix, Transocean has been using a low pricing model to penetrate the market. When it comes to market development, Transocean has been offering ultra-deepsea drilling and management services in various parts of the world. What makes the company the envy of its business rivals is the fact that Transocean’s product development strategy works magic. Apart from ultra-deepsea boring services, the company offers rig and deepsea drilling consultancy services which is certainly some form of diversification hence competitive edge.
In short, Transocean operates in the same market by adopting a horizontal strategy in terms of expanding the product line. Lastly, Transocean has a predominantly diversified portfolio. To diversify risks, the company has necessitated mergers and acquisitions when it comes to financial management and technical expertise. The company operates in various regions such as the United States, the Gulf of Mexico, the North Sea, West Africa, and Southeast Asia, Middle East and the Arctic.
3.2 Porter’s Five Forces of Strategic analysis
3.2.1 Competition
Transocean threat of competition is moderate to high. For example, following a merge in mid-2007 between Rig and Transocean’s chief rival Global Sante Fe, this attempt reduced competition particularly, in ultra deep-water segments. While Transocean has almost a monopoly in ultra deep-water drilling, It is likely to enjoy less competition in ultra deep-water, especially in harsh climates that require technical personnel.
In fact, this contributed to the need for anti-trust lawsuit following the merger between RIG and GSF. Nonetheless, the firm has exposure to different offshore markets such as jackupsegment that is associated with intense competition in various regions globally as well as pricing (Porter, 2008). By and large, the organisation has less competition in ultra deep-water segments, with a somewhat intense competition in mid-water floater and also jackup segments.
Want help to write your Essay or Assignments? Click here
3.2.2 New entrants
Transocean enjoys a low threat of new entrants. With respect to offshore contract drilling sector, it requires huge investment in fleet and rigs before getting inflows from gas and oil organisations (Porter, 2008). This makes nearly impossible for new firms to enter this sector.
3.2.3 Substitute
The main threat of substitute is the changing the energy source from hydrocarbon to renewable sources across the world, which is not likely in the short-run (Turner, 2007). Therefore, the threat of substitute is low.
3.2.4 Strategic Purchasing power
Transocean’s purchasing power is moderate. Much as exploration and production firms have power when it comes to negotiating, especially in mid-water floaters and jackupsegments, they have sufficient ability and provision of idle rigs. In essence, the buyers are in aposition to negotiate low daily rates in the contracts while ultra deep water segments maintain stringent rates (Schlumberger, 2008).
3.2.5 Suppliers’ power
The supplier power is moderate. Transocean providers have some degree of power. For instance, suppliers like National Oilwell Varco take part in the decision making in constructing Transocean’srigs andother essential parts. Luckily, this is crucial for Transocean since National Oilwell Varco has a few plans of increasing the fleet of drillships. In general, benefits from pricing since they are the main clients to themajority of their specialised providers (Porter, 2008).
Want help to write your Essay or Assignments? Click here
3.3 STEEPLE
3.3.1 Social
The organisation takes part in various social activities, including charitable contributions to developing environmental initiatives to increase its reputation.
3.3.2 Technological
Technology is necessaryfor drilling sector as such Transocean gets its strength in technological development. While oil drilling and the ecology are related, so is technology and demand. Drilling in deepwater is more and more vital from drilling organisations since they are considered to be more profitable. The firm is positioning itself to capitalize in this segment. For instance, in 2007, Transocean acquired a drillship worth USD 470m to take advantage of deep-water drilling, which allows the firm to drill up to ten thousand feet.
Due to advanced underwater drilling, there has been a decrease in jackup rigs demand (Associated Press, 2007). This presentsTransoceanwith the opportunity to beat their rivals like Noble Corporation in the struggle for innovation. Currently, the firm is leading in deep-water exploration (Katsaros & Christy, 2005).
3.3.3 Economic
Cost is a major challenge for drilling organisations. As oil price rises, the cash flow increases too, which makes organisationsinvest considerably in drilling activities? Furthermore, the new techniques of recovering oil though they are essential in the growth of petroleum production, are leading to an increase in the gasoline price. Implicitly, thehigh price of oilis required to make drilling firms profitable. High global investment drives drilling.
With great interest to drill in foreign regions, global investors are significantly investing, hence leading to expansionof oil and gas sector (Maksoud, 2007).Even though raising oil cost will adversely influence Transocean, in reality, will be beneficial in the long run. Oil cost is inelastic. In other words, afluctuation will insignificantly affect demand. Therefore, increasing oil prices willboost cash flow for Transocean, which means additional business like funding new drilling projects.
3.4.4 Environmental
On environmental protection, Transocean is committed to enhancing its stringent police on Environmentalmanagement system (EMS). Transocean’s EMS visitation is conducting its operations in a standardised manner that fulfills the high levels of stipulated laws to drive continuous enhancements while instilling ownership across its facilities (Transocean, 2007a). The organisation is environmentally sustainable by way of using green products and assessment is utilized as part of routine operations.
The firm also focuses on recycling. Additionally, Transocean has set up a recycling plan, where recyclables are sorted and compressed in rigs. After compression, they are transported to Tech Oil Products and donated to a recycling hub in the ARC of Iberia.
Transocean has collaborated with different oil and gas firms such as Subsea 7, and BP in the SERPENT project. Thisentails necessitating access to the installations, in partnership with their customers to present scientific knowledge to experts in the SERPENT project (Dictionary.Cambridge 2012). In turn, the analysts conduct various projects including assessing biodiversity and effects of drilling on the environment.
The analysts also work on the company’s rigs to study marine species (Transocean, 2007a). By and large, Transocean protects the environment in which it operates to demonstrate that the company recognises the consequences of natural demand shifters.
3.4.5 Political/Legal
Oil presents this organisation with a strong political force. Because oil is the primary source of energy internationally, thus, the supply of oil is related to power regardingpolitics; oil firms leverage authority over regimes (Dictionary.Cambridge 2012). With no oil organisations, United States is likely to lose its dominance in developing nations remarkably. Though oil drilling firms are fundamental in giving regimes the authority, they are still regulated and work as per government laws, such as prohibiting drilling in particular regions like the Gulf of Mexico to protect the environment.
In 2007, the Congress was promoting the closure of a quarter-century ban on the production of offshore energy. This decree banned 85 percent of all drilling in United States’ continental shelf, greatly affecting oil drilling firms including Transocean (Kamalick, 2007). Furthermore, the Congress were supporting the opening of additional shorelines, which was associated with renewable sources of energy, as such they sought for support from environmentalists. While regimes exercise their authority on oil and gas providers, these providers, in turn, have authority over the very regimes.
Want help to write your Essay or Assignments? Click here
3.4.6Ethical Standards
Transocean aspires to ensure financial discipline in their disclosure, honesty and candor in all their engagements with clients, ahigh esteem for employees, customers and suppliers, the safety of employees, property and the ecosystem and technical leadership. Loyalty to these core values demands the company to execute its operations in tandem with thelaw and the utmost standards of business ethics.
In advancing that objective, the company embraces the Code of Business Conduct and Morality, the firm’s environment is also a corrupt free zone and an Anti-Corruption and Business Conduct Policy takes care of that. Again, directors and employees are not allowed to enhance the culture of inside trading. Nonetheless, all employees should adhere to the privacy policy.
4.0 Recommendations
Since oil is directly associated with international authority, oil drilling organisations have authority over regimes, nevertheless, with another alternative, Transocean should continuously go this direction to maintain the lead if the primary source changes
Much as the company has advanced drillship tools, it should take a notch higher by researching new products in comparison to its rivals.When it comes to maintaining competitiveness in oil and gas industry, Transocean should use differentiation strategy that will be vital in developing clients’feedback and service delivery. The differentiation strategy should focus on quality rigs, particularlydeep-water drilling and ability to survive environmental disasters such as hurricanes.
While this threat of substitute islow, in future it may reduce the demand for oil. For that reason, Transocean should create awareness among clients about the benefits of oil in comparison to other energy sources. This can be carried out through advertisements. For instance, the organisation should use ads that demonstrate even with the use of alternative sources such as ethanol, which is considered environmentally sustainable compared to oil. Ethanol requires aconsiderable quantity of biomass. In the even that US, ethanol from corn is employed on a large scale, then it will contribute to increased costs of corn.
The prices of beef will also skyrocket remarkably as cows feed on corn products. On the other hand, if Brazilian corn is used thatis produced from sugar; rainforests in the region will be cut to provide land to grow sugar. Creating awareness through ads will help Transocean increase the demand for oil while increasing the demand for petroleum products from the company.
The company should embrace Ansoff model to diversify its portfolio. Instead of concentrating on drilling and consultancy, the company can take a leap of faith and venture in other business like marine transport, finance, healthcare, real-estate, heavy metal processing among others. Diversification is critical because it will help the company spread risks, when oil business is at its low.
Want help to write your Essay or Assignments? Click here
5.0 Conclusion
The study set out to evaluate Transocean position in the offshore drilling services. The company’s background, values and strategic goals were highlighted at the outset. To understand the company’s product and market development; market penetration and diversification, the Ansoff Matrix was used. The Porter’s Five Forces were employed to establish the intensity of the competition. However, STEEPLE model was used to evaluating the company macro-environment. In the end, the paper touched on the best practices as assured by ethics codes. Recommendations were made regarding the corporation’s future.
6.0 Bibliography
Associated Press 2007. JP Morgan Securities analyst upgrades GlobalSantaFe, Transocean to “neutral.” Retrieved 17th March. 2016 from Factiva.
Berman, A. 2007. Drilling advances. World Oil, 19. Retrieved March 17, 2016 from Business Source Premier Database
Deep Sea Drilling Project 2015.” The Columbia Encyclopedia, 6th ed.. 2015. Encyclopedia.com. 17 Mar. 2016 <http://www.encyclopedia.com>.
Steel constitute essential aspects of most elements of everyday life. Steel supports a broad range of businesses and practices. In the UK for instance, steel contains a key ingredient for various industries. Steel is used in various strategic processing and building supply chains.
Collectively, these industries embody 20 percent of those engaged in the production sector across the UK and create Gross Value Added (GVA) of £24.6bn (Bowler, 2016). The global steel industry in the UK is faced with extremely tough economic circumstances. Steel overproduction globally stands at thirty-five percent. This has seen the closure of several steel production plants in Europe.
Moreover, workers in the steel processing industry have fallen by seventy thousand. While demand for steel has not reverted to pre-crash levels, the cost of steel has dropped by 50% over the last few years. These uncertain times have culminated in some organisations having to assume severe commercial pronouncements. These consist of the closure of the SSI UK factory at Redcar, and innumerable layoffs at factories operated by Tata Steel UK and others (Simpson, 2012).
Want help to write your Essay or Assignments? Click here
As of 2014, the UK steel industry hired about 34, 500 workers from 465 areas and had an economic output of £1.7 billion. This type of placement is spread unequally across the UK, with fifty percent in Wales, Yorkshire and Humberside (Bowler, 2016). As such, the UK steel sector supports not only a collection of domestic industries but fundamentally local communities.
Whereas the steel industry has many benefits to the community, the product is subject to competition from any other in the market economy. The current crisis can therefore, be examined from a global and historical context. The UK steel business has withered significantly over the last four decades when it comes to production and job placement (Tovey, 2015). Conversely, other nations have enhanced capacity considerably.
In the previous decade, global steel production has gone through expansion, with overall production snowballing by ninety-six percent between 2000 and 2014. This escalation attributed for by China whose steel fabrication has increased four times since the turn of the century (Williamson, 2016). For the last forty years, steel production in the UK has fallen behind its competitors like France, Spain, Italy and Germany. Based on similar production, European nations, for instance, have put a premium on the domestic steel industry.
Want help to write your Essay or Assignments? Click here
The role of government in handling the current crisis
During the crisis, the government took the centre stage and worked proactively as well as intensively to assist the British steel sector (Soubry, 2016). For example, the government hosted a steel conference to discuss the way forward with leading players in the industry to recognise the importance of steel firms among the locals. Other areas where the government has played a significant role are listed below;
Business rates
On business rates and steel firms, they are about 5 to 7 times compared to other rival nations in Europe. On the other hand, UK steel firms believe that there is a need for the government to remove investment machinery, as no measure has been taken. While such a move is associated with inexplicable effects, any adjustments of business rate would require transferring it to another sector. Because this issue will take the time to review as the local authority keep rates levied from organisations, there is no likelihood an immediate response as well as uncertainty regarding the government’s role to assist the sector in fulfilling these costs (Soubry, 2016).
Again, the government does not need EU to review business rates to provide an equal business field for all steel makers across the UK. Eliminating machinery from these rates may indicate the government’s dedication to rebalance the economy, increase the attractiveness of UK to domestic investors in production and maximise the sector’s output, and competitive edge by investing in sophisticated tools.
Want help to write your Essay or Assignments? Click here
Procurement
Currently, the government is discussing procurement policy to assist steel manufacturers in the UK to compete for major contracts. By late last year, the government had published standards to put into consideration when purchasing steel. This attempt is likely to enhance opportunities for suppliers while assisting steel manufacturers level fields to compete with global providers and spur rivalry.
These standards aim at helping the government use a strategic and open method to source steel in critical projects. It is practical to put tendering provisions best on these elements without necessarily violating stand laws, and this flexibility is a regular application in other nations. The government role in adjusting procurement standards is necessary is increasing the probability of UK steel organisations access bigger projects.
Nonetheless, the effects of these adjustments will take a long period to occur. Moreover, the government needs to take an active role in promoting the use of UK steel in projects especially, public infrastructure (Tovey, 2015).
Rewarding SSI employees
The government promised to pay employees following the closure of Redcar steelworks and the bankruptcy of SSI. The compensation amounted to 80 million euros, however about 30 million euros would be in rewards as statutory redundancy (Soubry, 2016). Much as the government is committed to rewarding SSI employees, the figures are mainly estimates since the actual spending will rely on demand and a person’s conditions.
Government’s move to assist the affected is vital, although its response highlights in rewarding and retaining individuals that lost their employment opportunities, rather than protectingassets that are of great significance to the nation. Much as the government has a role in protecting the affected, there is no proof in terms of attempts to save Redcar steelworks from closing.
The employees who lost their jobs were prioritised and encouraging providers to assist in the distribution of funds; it is not evident whether these funds are adequate to support not only economic redevelopment but also the needed retraining. In fact, the response of the government should be determined not by some funds located and the number of affected workers.
Macro-environment
Political factors
In the steel sector, the government play a significant function. For instance, the UK government imposes tariffs as well as barriers to protect domestic producers. Nonetheless, with Free Agreement Agreements (FTA) this function has been minimised. The UK government also offer tax holiday (subsidies in certain nations) to support the expansion of the sector. Moreover, governments streamline domestic and global environmental standards to minimise emissions while protecting the environment.
On the other hand, the government of India has initiated National Steel Policy to reduce the demand and supply gaps. Based on this policy the government gives the steel industry various incentives such as infrastructure, reduced duty and land. Since steel sector in India, the government has maximised sales tax from 15 to 20 percent while 75% of foreign direct investment (FDI) is permitted to present different concessions related to customs duty (Tovey, 2015). Nevertheless, with the current state of infrastructure in India is not adequate for the steel industry.
Want help to write your Essay or Assignments? Click here
Economic factors
Population growth, particularly in Russia, India, and China, has contributed to the high demand for cars, building and other infrastructural facilities that subsequently result to increase in demand for steel products. Consequently, the ballooning of different economies that permit duty-free imports have accelerated the demand for steel. However, with the current crisis, GDP is growing slowly (Robinson, 2016).
Social factors
Steel sector provides employment opportunities to many; nonetheless, it divides a region into rural and urban areas since it is a certain area leading to its development. This sector plays a significant role in developing rural areas that in turn improves the living standard of the rural masses.
Technological factors
The steel industry is still using conventional technology. Steel companies use a considerable amount of energy, and the rising fuel cost is pushed producers to adopt efficient steel production techniques. Furthermore, technology is vital in manufacturing quality steel items.
There is a lack of creativity when it comes to production, steel companies use electric furnace in production, but due to fluctuating energy, a significant proportion of the raw material is wasted (Wakefield, 2015). Technologies which are used are outdated; however, India’s Sail steel is planning to merge with PASCO to use modern technology.
Environmental factors
While steel industry is crucial, it creates adverse conditions to the environment. Moreover, many steel firms use pollution control as well as energy saving tools, which are not adequate to control the pollution. Nevertheless, certain steel companies across the world Like Tata uses environmentally friendly equipment in the production process to minimise carbon dioxide emissions (Simpson, 2012). In fact, the company has Ultra-low carbon steel manufacturing for reducing emissions in the atmosphere.
On macro environment factors,the steel industry appears weak in general. Also, the macro-environment factors surrounding the current crisis demonstrate a positive change in growth in particular nations. Much as the global economy is experiencing uncertainties, fluctuating cost of fuel may maximise economic development especially in oil-importing countries (Keir, 2016). Growth in the international steel sector has almost stopped.
With the increase of approximately 0.6 percent two years ago, demand was restrained at roughly 0.5 percent with a recovery of 1.5% in 2016. Main steel industries recorded a relatively high productivity in 2015, and the same is expected in 2016. In the case of the uncertain market, some steel manufacturers are reducing production. Similarly, various steel projects have been achieved, and manufacturing started (Wakefield, 2015). Net importing countries continue to increase capacities.
Owing to weak demand for steel, the pricing for primary raw materials have been plummeting are likely to remain low. The cost of steel has been decreasing following excess steelmaking capacity and nose-diving raw material costs. The recent drop in oil costs has impacted steel prices, especially for tubes and pipes made from steel (Keir, 2016). Negligible revenues have led to a dwindling in the industry’s revenue over the last few years, with slight rebounds anticipated shortly.
Want help to write your Essay or Assignments? Click here
Recommendations
Based on the above analysis, the government is dedicated to providing an equal ground for steel producers in the UK. As such, British steel should take advantage of this move and increase its attractiveness to domestic investors so as to enhance competition, productivity and efficiency through investment in sophisticated equipment.
British steel should not rely on government support, regardless of how essential they may. However, British Steel is entitled to government support particularly regarding domestic laws allowing them to compete effectively with other European nations and at the global level when it comes to securing major projects.
In fact, British steel should collaborate with the government to recognise the magnitude at which other industries are threatened due to national guidelines. Therefore, British steel should establish mechanisms for working with other industries and ways of ensuring that they promptly respond to a crisis before they cause damage.
With regards to procurement standards, which have been amended, British steel should say comprehensively how such rules are beneficial to the sector and the supply chain by expensive procurement decisions. Furthermore, the British steel should initiate and develop internal R&D ability to constantly;
Reinforce production technology to ensure the sector is environmentally sustainable and efficient
Look for tactics to convert by-products to energy that may be recycled, this will reduce energy expenses while generating additional income for steel industry
Look for an alternative material, an aspect that will minimise dependence on metal.
Want help to write your Essay or Assignments? Click here
Conclusion
In a nutshell, this analysis demonstrates that the UK government recognises the steel sector as a key industry. However, past governments lacked an effective strategy to detect and tackle the crisis. Following the closing of Redcar steel, the UK leadership has attempted to respond to the effects of such closures in terms of policy framework at the local and global level.
Nevertheless, increased support has not contributed to a quantifiable effect for industry players as well as the community. Nor is the measure in place is adequate to present future certainty. As such, the UK government should collaborate with steel sector to adopt sustainable strategies for steel producers.
Want help to write your Essay or Assignments? Click here
Quality Health Care
Case Study
Introduction
Massachusetts General Hospital was established in the year 1811 and has ever since been committed to the delivery of quality health care. Through the course of history, the medical institution has been committed to the advancement of care through appropriate pioneered research and education to its professionals(Maillet, Lamarche, Roy, & Lemire, 2015). Currently, Massachusetts General Hospital based in Boston is ranked among the top 16 pediatric and adult institutions that offer a bed capacity of 947 and surgical facilities that can admit close to 48,580 patients.
The medical facilities mission stands at a guided approach in meeting the needs of patients and families through the delivery of quality care within a safe and compassionate environment that is advanced through innovative research and education with the intent of improving the well-being of the community. This paper aims at conducting a study on some of the internal and external factors that affect the manner in which healthcare is dispensed in this hospital.
Want help to write your Essay or Assignments? Click here
Internal Factors that Impact the Business
Within different health care facilities, it is essential to consider that many of the employees and the management experience distress. These distresses are attributed to the internal and external factors that affect business (Maillet.et, al.2015). As compared to the external factors, it is vital to note that the internal factors tend to have more direct impact on an organization. In consideration of the Massachusetts General Hospital, it is essential to consider that some of the internal challenges that the organization faces include:
Finances and Resources
The availability of finances and resources has the capacity to impact medical services within an institution of health. This is in consideration of the fact that the demands of medical services tends to be beyond the capacity of a health care institution. On the other hand, healthcare resources tend to be limited with the expectations of the patients considerably higher, a factor that points out to the low quality of health care services (Maillet, et, al.2015).
This has been considered to affect the quality of the health care providers. The limited access to resources translates to less medical aids, infrastructures and equipment’s that spur the process of healthcare delivery within a healthcare system.
Service Delivery
The quality of medical services and care primarily depends on service delivery, a factor that requires knowledge and technical skills of the practitioners. Physicians who are poor in the delivery of health services to patients undermine the standards of care, a factor that negatively impacts the delivery of health care services within an institution(Maillet, et.al.2015). This requires that physicians improve their knowledge and competencies with the aim of delivering quality medical services that impact the medical facility.
Want help to write your Essay or Assignments? Click here
Human Resource Management
Within a healthcare organization, it is essential to consider that the Human Resource management approaches play a significant role in impacting the quality of health care services. HR management in this case plays an essential role in the manner in which patients are served(Maillet, et.al.2015). On the other hand, the HR and its functions of employing and terminating employees contribute to the success or failure of an organization. The allocation of resources is also another significant element that the HR plays in the dispensation of quality services within an institution of health.
Research and Development
In the field of health care services, the element of research and development remains essential since the decision makers rely on this information on how to improve the health care systems(Maillet, et.al.2015). The role of an effective Health Care Research and Development aids in the provision of information that may lead in the improvement of health care services. This clearly determines that an ineffective research and development approach within a medical institution may hinder the manner in which healthcare services are dispensed, thus impact an organizations functions.
External Factors affecting Health Care Services
It is essential to consider the fact that there are some external factors that additionally affect the manner in which health care services are delivered within an institution. These factors would include:
Economic factors:
It is vital to consider the allocation of decision making under the consideration of economic factors needs to be considered in the offering of effective services within a health institution. Economic factors in this case infer to the resource pressures that have always placed constraints within the health institutions and influence the manner in which decision are made within the health care sector.
According to Maillet et, al (2015), financial constraints are known to contribute to decisions that limit and reduce the investments made on health care. This clearly determines the fact that economic factors have an impact in the delivery of health care services.
Political Factors
It is essential to consider the fact that the lack of political stability within a nation has the capacity to influence health care. On the other hand, political figures are prone to develop legislations that either limits the manner in which healthcare services need to be dispensed within a facility, thus impacting the manner in which healthcare services are delivered(Maillet, et.al.2015). This can be seen in the manner in which laws are developed in regards to costs and prices in healthcare that impact the patients and affect other health institutions.
Want help to write your Essay or Assignments? Click here
Social Factors
Sex, age and hereditary factors remain some of the elements that also determine the manner in which quality healthcare services are offered. The choices that are made are in other words arrived at under the consideration of social factors such as the cultures of the patients, a factor that may limit the delivery of quality health care(Maillet, et.al.2015).
On the other hand, the structure of the society has a contribution in healthcare delivery since the elements of social support and networking in connection to cultures are considered in healthcare. The development of environments that are socially unfavorable in this case may impact health care systems.
Want help to write your Essay or Assignments? Click here
Technological
Medical technology is a term that is used to determine the equipment’s, procedures and processes under which medical care is dispensed within a medical facility. An instance of technological changes in the medical field would include the development of new surgical procedures, new medical equipment’s and so on(Maillet, et.al.2015).
It is in this case essential to note that the aspect of technology has an adverse effect on health care and the manner in which quality is offered within a medical institution. The lack of appropriate technological outputs in this case limits the delivery of quality healthcare services within a health institution, a factor that affects an organization.
Conclusion
It is vital to consider that the healthcare sector is comprised of many institutions, resources, people and organizations that are comprised together by established policies whose purpose is geared towards the promotion, restoration and the maintenance of health care services. In this case, hospitals are required to effectively function through a system that ensures that its structures execute high-quality services to the patients(Maillet, et.al.2015).
Organizations that have these kinds of structures are known to take the vertical organizational structure through the inclusion of many layers of management, a factor that determines the level where Massachusetts General Hospital is classed. These numerous layers of management are developed to ensure that roles and responsibilities are shared and tasks are achieved exactly as required.
Want help to write your Essay or Assignments? Click here
The organizational structure of Massachusetts General Hospital in this case works through the inclusion of several layers of management that are tasked with different responsibilities. These structures are made up of the boards of directors that consist of influential members within the health fraternity. On the other hand, the Board members leave it upon the executives to oversee the decisions and the day to day operations of the hospital and the manner in which they are performed(Maillet, et.al.2015).
On the other hand, the department administrators are also considered in the structure of the organization and are tasked with the responsibility of reporting to the management. Departments within the medical institution have department administrators who oversee the functions of the department within this hospital.
It is additionally essential to consider that the patient managers are also part of the hospitals structure and are mainly tasked with the responsibility of overseeing patient care within the institution. Lastly, the service providers include the staff members that conduct the operations of medical facilities on a daily basis. It is in this case essential to consider that the healthcare sector is comprised of many institutions, resources, people and organizations that are comprised together by established policies whose purpose is geared towards the promotion, restoration and the maintenance of health care services.
Want help to write your Essay or Assignments? Click here
Strategic Change at the American Red Cross
American Red Cross is a non-profit humanitarian organization which provides emergency assistance or services and disaster relief to Americans. In addition, the organization educates people inside the United States on how to avert risks in the society. It is beyond doubt that the American Red Cross performs functions significant to the lives of Americans.
Founded in May 21, 1881, the organization has alleviated human suffering in various ways. It has save a number of lives especially those affected by natural disasters and victims and survivors of war or terror attacks. The lives of the police or army policies are in the hands of the American Red Cross, a role which further highlights its significance (McGovern, 2011).
The organization has been applauded by most Americans for its effective service delivery. However, the organization has been plagued with a number of problems in the recent past and this has subjected the lives of many Americans to danger. The organization continues to face other challenges have impacted its growth and development. With the significance of this organization in mind, it is critical for the entity to pursue strategic change as a way of realizing stability and growth which it enjoyed in the 20th century.
The nature of disasters has changed significantly hence becoming hard to save the lives of Americans using the traditional methods employed in the 20th century. The causes of death around the world have become complex hence demand more complex solutions. Therefore, strategic change should be assumed in order to turn around things in the country and to restore confidence that Americans had in it.
Additionally, the activities of the organization have expanded. While it was meant to help those affected by natural disasters, soldiers and victims of war, American Red Cross is expected to offer community education and outreach. Generally speaking, strategic change is necessary at American Red Cross in order to change its design of response to disasters hence effectively alleviating human sufferings (The American Red Cross, 2014).
Want help to write your Essay or Assignments? Click here
SWOT Analysis of the American Red Cross
Strengths
Strong brand quality
The success of the American Red Cross is largely influenced by its brand strengths. It has strong brand quality which is attributed to its contributions to humanitarian history. The entity has gained popularity and respect from the Americans owing to the previous contributions to saving humanity. For an entity to have a strong foundation, it must have depth.
The American Red Cross is supported by more than 700 locally chapters throughout the United States, which perform more than 200,000 blood drives every year. This explains why this organization is the largest blood supplier in the country (The New York Times, 2015).
Want help to write your Essay or Assignments? Click here
Strong resource base
It is not easy for an entity to achieve strong quality brands if there are no sufficient resources. The American Red Cross has a wide network of both human and financial resources, and this explains why it has been able to deliver the services as expected by the public.
Advanced volunteers network
The strengths of the American Red Cross lie in the advanced volunteers’ network. There is a high number of youth who have volunteered to support the functions of the organization. The entity has youth marketing program which has about 169,000 volunteers, and all of them work towards ensuring realization of the organization’s objectives and mission (The American Red Cross, 2014).
A high trust from the public
The American Red Cross is trusted by majority of the Americans, some of them have volunteered to supports its functions. Majority of the Americans are of the view that the organization is effectively delivering its mandate. There has been no case of corruption or mismanagement of funds, and this is the main reason why majority of the Americans have donated their money to support organization’s programs (The New York Times, 2015).
Want help to write your Essay or Assignments? Click here
Youth Marketing Strategy
The presence of the youth marketing strategy puts the American Red Cross ahead of other humanitarian organization in the United States. With this strategy, the company has been able to use interactive mediums to conduct marketing activities.
Better Coordination
Proper coordination of activities is one of the aspects which have contributed to the success of the American Red Cross. This means that the company is functioning effectively and efficiently (McGovern, 2011).
The strengths discussed above are critical for the success of the strategic change process. The American Red Cross should capitalize on this strength in order to succeed in this pursuit.
Weaknesses
Poor Handling of the Resources
Management of resources is critical for success of any organization. Hurricane Katrina wrought a widespread devastation which compelled Americans to rethink of the responses adopted by the government as well as the humanitarian organizations. The American Red Cross, which is the de factor human side of the Federal Emergency Management Agency, was on the spotlight.
The issues which unfolded after this unforgettable event raised eyebrows about mismanagement of the resources by the entity. The entity later admitted that it had miscalculated the number of personnel to engage in evacuation of the victims in hotels and motels.
Want help to write your Essay or Assignments? Click here
Assumption that it is a government project
There is a widespread believe that the American Red Cross is the project of the government hence should be supported and funded fully by the government. Consequently, the number of supporters continues to decline every year (Weerawardena & Mort, 2012).
Low Transparency Level
The American Red Cross has been accused of providing misleading information and data about how it has been spending Donor’s Dollars. How the company used Hurricane Sandy funds remains a secret up to now, something which would definitely inflict a competitive harm (The American Red Cross, 2014).
In the pursuit of the strategic change, the American Red Cross must identify these weaknesses and establish the right approaches to handle them as it would negatively affect the whole process.
Want help to write your Essay or Assignments? Click here
Opportunities
Wide network which enables the company reach global community
The American Red Cross has established its presence in majority of the parts in the United States. However, it has the opportunity to capitalize on its ability to establish more presence in all regions both locally and internationally and this would enhance its efficiency in delivering the services.
New Media Channels Exploding
The modern generation is innovative and technology savvy. This provides a golden opportunity for the American Red Cross to embrace new technologies to market its operation. Additionally, the entity can use celebrities to influence the actions of the modern youth (Dolnicar & Lazarevski, 2009).
New Ways of Connecting to the Public
Other than social media platforms, which have emerged in the recent past, the American Red Cross can use blood drive activities to connect to the public.
Threats
Huge Competition
There are numerous humanitarian organizations which offer services similar to those of the American Red Cross. Some of its rivals offer to pay those who donate blood (The American Red Cross, 2014).
Want help to write your Essay or Assignments? Click here
Regulatory Compliance
The government of the United States established policies which governs operations of every non-profit organization. For the American Red Cross to perform its operations, it must meet specific requirements. In some cases, meeting all the requirements is costly to the company. In the event that the organization is not able to meet the regulatory compliance, then the strategic change process will not be undertaken.
Busier Target
The American Red Cross depends on the contributions of the young professionals, majority of whom are always busy. As such, the entity risk delays of its operations in some situations. Therefore, strategic change process is likely to be negatively affected.
Appreciative Inquiry 4-D cycle
Discovery
While the organization faces some challenges and shortcomings, it is also important to highlight that it has good history marked with great successes. The organization uses the success story of the past as a tool for developing better outcome for the future (Whitney & Cooperrider, 2011). Notably, the fundamental goal of this strategy is to capitalize past success to create an image of excellence for its customers and shareholders. This strategy will paint the organization as effective and excellent thus making customers and shareholders ignore any shortfall associated with it.
Dream
In regard to design, the organization projects poor strategies. Specifically, it has poor strategy in regard to sustainability as it depends mainly on donors as one of their sources of finances. With great scrutiny and many conditions that come with this source, sustainability is not secured (Whitney & Cooperrider, 2011).
Want help to write your Essay or Assignments? Click here
Design
Evident in its strategies, American Red Cross has successfully crafted a good and ideal organization using the positive successes from the past. This will inform a clear image of the future and this will be felt both at individual and organization levels, making the organization to achieve future possibilities.
Destiny
In regard to this strategy, the organization posts positive results. For instance, there is a great sense of belonging and purpose within the organization, and employees as well as shareholders taking part in major decisions. This will create a shared vision that will also be executed through shared values (The American Red Cross, 2014).
Comparison of the Organizational Outcomes using the Two Analysis Methodologies
From SWOT analysis, it is clear that the American Red Cross has the right resources and capabilities necessary for successful strategic change. The organization can capitalize on its strength to succeed in this pursuit. Strong quality brand is vital in this endeavor. The company is trusted highly by the public and this is important towards realization of the intended objectives of strategic change.
Notably, the weaknesses discussed are likely to pose challenges in this process. The company has the responsibility to identify these weaknesses and convert them to be strengths if predetermined objectives are to be achieved. Appreciative Inquiry analysis points out some of the strengths that are similar to those identified by SWOT analysis.
AI identifies good long history as one of the aspects which will enable the company succeeds with regard to this strategic change. The strategic change is closely linked to the mission of the company, which is to offer quality services, something which is also identified in SWOT analysis.
Want help to write your Essay or Assignments? Click here
Conclusion
The American Red Cross has gained popularity for its strong quality brand and the nature of services it offers to Americans within and outside the United States. While it is easy to conclude that the organization is doing perfectly well, critical analysis shows otherwise. The nonprofit organization has faced myriad of challenges in the recent past, which has negatively service delivery.
This demands the management to undertake strategic change so as to restore the pride of the company. To achieve the intended results, it is important for the management to employ SWOT analysis and Appreciate Inquiry 4-D analysis to understand some of the aspects that will influence the process.
References
Dolnicar, S. & Lazarevski, K. (2009). Marketing in Non-Profit Organizations: An International Perspective. International Marketing Review, 26(3), 275-291.
Whitney, D. & Cooperrider, D. (2011). Appreciative Inquiry: A Positive Revolution in Change. New York: ReadHowYouWant.com.
Weerawardena, J. & Mort, G. S. (2012). Competitive Strategy in Socially Entrepreneurial Nonprofit Organizations: Innovation and Differentiation. Journal of Public Policy & Marketing, 31(1), 91-101.
Want help to write your Essay or Assignments? Click here
Want help to write your Essay or Assignments? Click here
Transocean Strategic Management
1.0 Introduction
The paper will evaluate the strategic position of Transocean, a major player in global offshore drilling services in the oil and gas industry. Strategic management is a process that entails formulating and implementing main objectives as well as initiatives a company takes based on the available resources. It also takes into consideration the evaluation of external and internal environment in which the firm operates.
Founded in 1953, the company is headquartered in Houston Texas. Transocean administrative division has since shifted to Vernier, Switzerland for tax and client servicing reasons. Various models such as STEEPLE, Ansoff and Porter’s Five Forces will be used to paint the company’s strategic position when it comes to, macro-environmental review, competition, diversification strategy, market development, product development and market penetration. To wrap up, the paper will make recommendations regarding the direction the company has to take to remain sustainable.
1.1 Analysis of Transocean Limited
Transocean is a prominent global provider when it comes to offshore drilling services for energy establishments. The company owns and operates the world’s most multipurpose flotillas that concentrate on deep-sea and extremely harsh environment drilling (Deepwater.com, 2016). With a fleet of sixty-one portable offshore drilling components, the company offers powerful rigs for deepsea drilling. Transocean helps clients to establish and develop oil as well as natural gas stockpiles.
The company offers an exceptional drilling performance that is anchored in a solid experience that spans more than a half a century. Transocean shares are listed on the New York Stock Exchange under the acronym RIG and Swiss Stock Market under the acronym RIGN.Transocean operates more than 140 offshore rigs in almost all mainmarine markets. Apart from offering drilling services offshore, the company offersdrill management services globally. Transocean operates not just the largest extreme-deepsea flotilla of drill ships global, but it is also the largest offshore fleet worldwide.
The company hires more than 20,000 employees with the technical expertise that is the envy of their business rivals(Deepwater.com, 2016). Moreover, Transocean provides management and accomplishment services for assessment and production firms regarding offshore drilling schedules. The company’s mission is to become a leading offshore drilling organisation that provides rig-based services with a global reach, by incorporating a highly dedicated workforce,state of the art machinery and ultra-modern technology, while concentrating on technically demanding environments (Transocean, 2007b)..
The company is dedicated to values that represent its focus, innovativeness, safety, trust and reliability. The company promises to surpass not just the anticipations of theclient, but employees and shareholders as well (Deepwater.com, 2016). Transocean’s strategic goals include getting aligned with its customers when it comes to supporting and ensuring delivery of clients’ business objectives.
The company conducts its operations with distinction which is characterized by safety and efficientoffshore solutions (Deepwater.com, 2016). In addition,Transocean keeps on enhancing its corporate culture and processes to optimize returns. Lastly, the company not only attracts but also nurtures and retains the industry’s best employees.
Want help to write your Essay or Assignments? Click here
2.0 Industry Trends
Drilling oil and gas was previously dependent on backlogs. Contract bores alter their rates based on their rig charges relative to retailing oil and gas prices. Usually, contract bores tend to wait on the day down, and speedily adjust their prices upwards depending on how the markets are performing (Redall, 2012). There has been a widespread pattern of extreme deepsea rig business with strong daily charges.
However, there has been a downward trend in mid-water rig markets. The most lucrative market lies of the Gulf of Mexico and West African coastal line, down to the south of Africa. The demand for deep-sea rigs is anticipated to remain jerky in the short-term(Helman, 2015).As of now, approximately 206 floaters are operating under contract across the industry (Deepwater.com, 2016).A large percentage of the total number is idle for completing major contracts.
3.0 Analysis the different types of strategic options
3.1Ansoff Matrix:
Existing Markets
Market Penetration
Product Development
New Markets
Market Development
Diversification
Existing Products
New Products
Transocean is a dominant player in a market that is not highly saturated. However, to remain at an edge over its closest business rivals, the company has adopted different approaches. Based on the Ansoff matrix, Transocean has been using a low pricing model to penetrate the market. When it comes to market development, Transocean has been offering ultra-deepsea drilling and management services in various parts of the world. What makes the company the envy of its business rivals is the fact that Transocean’s product development strategy works magic. Apart from ultra-deepsea boring services, the company offers rig and deepsea drilling consultancy services which is certainly some form of diversification hence competitive edge.
In short, Transocean operates in the same market by adopting a horizontal strategy in terms of expanding the product line. Lastly, Transocean has a predominantly diversified portfolio. To diversify risks, the company has necessitated mergers and acquisitions when it comes to financial management and technical expertise. The company operates in various regions such as the United States, the Gulf of Mexico, the North Sea, West Africa, and Southeast Asia, Middle East and the Arctic.
3.2Porter’s Five Forces
3.2.1Competition
Transocean threat of competition is moderate to high. For example, following a merge in mid-2007 between Rig and Transocean’s chief rival Global Sante Fe, this attempt reduced competition particularly, in ultra deep-water segments. While Transocean has almost a monopoly in ultra deep-water drilling, It is likely to enjoy less competition in ultra deep-water, especially in harsh climates that require technical personnel.
In fact, this contributed to the need for anti-trust lawsuit following the merger between RIG and GSF. Nonetheless, the firm has exposure to different offshore markets such as jackupsegment that is associated with intense competition in various regions globally as well as pricing (Porter, 2008). By and large, the organisation has less competition in ultra deep-water segments, with a somewhat intense competition in mid-water floater and also jackup segments.
Want help to write your Essay or Assignments? Click here
3.2.2 New entrants
Transocean enjoys a low threat of new entrants. With respect to offshore contract drilling sector, it requires huge investment in fleet and rigs before getting inflows from gas and oil organisations (Porter, 2008). This makes nearly impossible for new firms to enter this sector.
3.2.3 Substitute
The main threat of substitute is the changing the energy source from hydrocarbon to renewable sources across the world, which is not likely in the short-run (Turner, 2007). Therefore, the threat of substitute is low.
3.2.4Purchasing power
Transocean’s purchasing power is moderate. Much as exploration and production firms have power when it comes to negotiating, especially in mid-water floaters and jackupsegments, they have sufficient ability and provision of idle rigs. In essence, the buyers are in aposition to negotiate low daily rates in the contracts while ultra deep water segments maintain stringent rates (Schlumberger, 2008).
3.2.5Suppliers’ power
The supplier power is moderate. Transocean providers have some degree of power. For instance, suppliers like National Oilwell Varco take part in the decision making in constructing Transocean’srigs andother essential parts. Luckily, this is crucial for Transocean since National Oilwell Varco has a few plans of increasing the fleet of drillships. In general, benefits from pricing since they are the main clients to themajority of their specialised providers (Porter, 2008).
Want help to write your Essay or Assignments? Click here
3.3 STEEPLE
3.3.1 Social
The organisation takes part in various social activities, including charitable contributions to developing environmental initiatives to increase its reputation.
3.3.2 Technological
Technology is necessaryfor drilling sector as such Transocean gets its strength in technological development. While oil drilling and the ecology are related, so is technology and demand. Drilling in deepwater is more and more vital from drilling organisations since they are considered to be more profitable. The firm is positioning itself to capitalize in this segment. For instance, in 2007, Transocean acquired a drillship worth USD 470m to take advantage of deep-water drilling, which allows the firm to drill up to ten thousand feet.
Due to advanced underwater drilling, there has been a decrease in jackup rigs demand (Associated Press, 2007). This presentsTransoceanwith the opportunity to beat their rivals like Noble Corporation in the struggle for innovation. Currently, the firm is leading in deep-water exploration (Katsaros & Christy, 2005).
3.3.3 Economic
Cost is a major challenge for drilling organisations. As oil price rises, the cash flow increases too, which makes organisationsinvest considerably in drilling activities? Furthermore, the new techniques of recovering oil though they are essential in the growth of petroleum production, are leading to an increase in the gasoline price. Implicitly, thehigh price of oilis required to make drilling firms profitable. High global investment drives drilling.
With great interest to drill in foreign regions, global investors are significantly investing, hence leading to expansionof oil and gas sector (Maksoud, 2007).Even though raising oil cost will adversely influence Transocean, in reality, will be beneficial in the long run. Oil cost is inelastic. In other words, afluctuation will insignificantly affect demand. Therefore, increasing oil prices willboost cash flow for Transocean, which means additional business like funding new drilling projects.
3.4.4 Environmental
On environmental protection, Transocean is committed to enhancing its stringent police on Environmentalmanagement system (EMS). Transocean’s EMS visitation is conducting its operations in a standardised manner that fulfills the high levels of stipulated laws to drive continuous enhancements while instilling ownership across its facilities (Transocean, 2007a). The organisation is environmentally sustainable by way of using green products and assessment is utilized as part of routine operations.
The firm also focuses on recycling. Additionally, Transocean has set up a recycling plan, where recyclables are sorted and compressed in rigs. After compression, they are transported to Tech Oil Products and donated to a recycling hub in the ARC of Iberia.
Transocean has collaborated with different oil and gas firms such as Subsea 7, and BP in the SERPENT project. Thisentails necessitating access to the installations, in partnership with their customers to present scientific knowledge to experts in the SERPENT project (Dictionary.Cambridge 2012). In turn, the analysts conduct various projects including assessing biodiversity and effects of drilling on the environment.
The analysts also work on the company’s rigs to study marine species (Transocean, 2007a). By and large, Transocean protects the environment in which it operates to demonstrate that the company recognises the consequences of natural demand shifters.
3.4.5 Political/Legal
Oil presents this organisation with a strong political force. Because oil is the primary source of energy internationally, thus, the supply of oil is related to power regardingpolitics; oil firms leverage authority over regimes (Dictionary.Cambridge 2012). With no oil organisations, United States is likely to lose its dominance in developing nations remarkably. Though oil drilling firms are fundamental in giving regimes the authority, they are still regulated and work as per government laws, such as prohibiting drilling in particular regions like the Gulf of Mexico to protect the environment.
In 2007, the Congress was promoting the closure of a quarter-century ban on the production of offshore energy. This decree banned 85 percent of all drilling in United States’ continental shelf, greatly affecting oil drilling firms including Transocean (Kamalick, 2007). Furthermore, the Congress were supporting the opening of additional shorelines, which was associated with renewable sources of energy, as such they sought for support from environmentalists. While regimes exercise their authority on oil and gas providers, these providers, in turn, have authority over the very regimes.
Want help to write your Essay or Assignments? Click here
3.4.6Ethical Standards
Transocean aspires to ensure financial discipline in their disclosure, honesty and candor in all their engagements with clients, ahigh esteem for employees, customers and suppliers, the safety of employees, property and the ecosystem and technical leadership. Loyalty to these core values demands the company to execute its operations in tandem with thelaw and the utmost standards of business ethics.
In advancing that objective, the company embraces the Code of Business Conduct and Morality, the firm’s environment is also a corrupt free zone and an Anti-Corruption and Business Conduct Policy takes care of that. Again, directors and employees are not allowed to enhance the culture of inside trading. Nonetheless, all employees should adhere to the privacy policy.
4.0 Recommendations
Since oil is directly associated with international authority, oil drilling organisations have authority over regimes, nevertheless, with another alternative, Transocean should continuously go this direction to maintain the lead if the primary source changes
Much as the company has advanced drillship tools, it should take a notch higher by researching new products in comparison to its rivals.When it comes to maintaining competitiveness in oil and gas industry, Transocean should use differentiation strategy that will be vital in developing clients’feedback and service delivery. The differentiation strategy should focus on quality rigs, particularlydeep-water drilling and ability to survive environmental disasters such as hurricanes.
While this threat of substitute islow, in future it may reduce the demand for oil. For that reason, Transocean should create awareness among clients about the benefits of oil in comparison to other energy sources. This can be carried out through advertisements. For instance, the organisation should use ads that demonstrate even with the use of alternative sources such as ethanol, which is considered environmentally sustainable compared to oil. Ethanol requires aconsiderable quantity of biomass. In the even that US, ethanol from corn is employed on a large scale, then it will contribute to increased costs of corn.
The prices of beef will also skyrocket remarkably as cows feed on corn products. On the other hand, if Brazilian corn is used thatis produced from sugar; rainforests in the region will be cut to provide land to grow sugar. Creating awareness through ads will help Transocean increase the demand for oil while increasing the demand for petroleum products from the company.
The company should embrace Ansoff model to diversify its portfolio. Instead of concentrating on drilling and consultancy, the company can take a leap of faith and venture in other business like marine transport, finance, healthcare, real-estate, heavy metal processing among others. Diversification is critical because it will help the company spread risks, when oil business is at its low.
Want help to write your Essay or Assignments? Click here
5.0 Conclusion
The study set out to evaluate Transocean position in the offshore drilling services. The company’s background, values and strategic goals were highlighted at the outset. To understand the company’s product and market development; market penetration and diversification, the Ansoff Matrix was used. The Porter’s Five Forces were employed to establish the intensity of the competition. However, STEEPLE model was used to evaluating the company macro-environment. In the end, the paper touched on the best practices as assured by ethics codes. Recommendations were made regarding the corporation’s future.
6.0 Bibliography
Associated Press 2007. JP Morgan Securities analyst upgrades GlobalSantaFe, Transocean to “neutral.” Retrieved 17th March. 2016 from Factiva.
Berman, A. 2007. Drilling advances. World Oil, 19. Retrieved March 17, 2016 from Business Source Premier Database
Deep Sea Drilling Project 2015.” The Columbia Encyclopedia, 6th ed.. 2015. Encyclopedia.com. 17 Mar. 2016 <http://www.encyclopedia.com>.
Want help to write your Essay or Assignments? Click here
Manchester United Football Club; Strategic Analysis
Executive summary
The main purpose of this report is to provide a critical analysis of Manchester United Football Club internal and external factors affecting its strategy formulation and implementation. PESTLE Analysis and SWOT analysis are some of the tools used to access the factors affecting strategic management and evaluation in the company. Finally, a recommendation is to be given for the best applicable strategy using Ansoff Matrix.
a. Corporate objective
One of Manchester United’s business objective is to increase revenue by expanding its businesses. The company’s strategies comprise of expansion of global portfolio sponsorship, development of the retail business, enhancement of broadcasting news and taking advantage of the digital technology. Additionally, Manchester obtains revenue from some businesses: broadcasting, sponsorships, retail, merchandising and licensing, mobile content, and match-day tickets (Manchester United, 2016).
Want help to write your Essay or Assignments? Click here
b. Macroeconomic analysis
PESTLE Analysis
Strategic decisions made by the company are highly affected by macro-economic factors such as taxes, governing laws and regulations, as well as demographic changes (Sue, 2013).
1. Political factors
These comprise of the laws and regulations that govern the way an organization carries out its activities. The government regulates a company’s activities through tariffs, taxes, and incentive provision. Since the company’s goal is to increase revenue in its existing business ventures, it is important to adhere to tax payments to ensure that its activities are not interrupted through legal claims. For example, the company had a case for failing to pay taxes as required.
It, therefore, calls for managers to ensure that the company liaises with the set regulations to ensure the business activities run smoothly. In many countries, there are stadiums that fans use to watch football matches (Aileron, 2013). Also, broadcasting corporations are charged for airing the football matches. The revenue collected by the governing authorities as a result of the football matches in connection with the company help in enhancing the stakeholder relationship leading to minimal regulations.
2. Economic factors
Inflation, living standards, and growth capacity of a set target market influence the strategies set in place. Since the company runs some businesses, it formulates specific plans for the different ventures. In the retail, merchandise, and mobile business, the company markets the products in new and emerging economies to increase its market share. More products are shipped in countries that are facing inflation since the value of the product rises against the local currencies. The company also manufactures products in varying degree of performance for different income earners to increase specific customer value and avoid market discrimination.
3. Social factors
Different countries exhibit varying social and cultural perceptions. To take advantage of the social issues, the company the company employs players from different social backgrounds to increase its global penetration. Since football is social, it provides room for the company to integrate different groups of people by the provision of uniformed merchandise.
The sale of t-shirts and shoes with the company’s logo keeps its fans united and, in essence, leads to increasing in revenue collected from the sale of tickets (Manchester United, 2016). The company’s fans are united through the United’s anthem and uniform products. The company’s strategic managers make use of the unity amongst its fans to diversify its product portfolio for increased revenue and profits.
4. Technological factors
The world has become a global community due to the improvised technological advancements. Digital technology is one of the major technological advancement that is used for business strategies. The majority of consumers watch football through the social sites. The company uses the sites such as Instagram, Facebook, and Twitter to market its match-day activities for ticket sale as well as its merchandise.
Fans are united through the sites and made aware of the company’s strategies as well as get their needs for an increase in customer value. The company was able to generate more than $10 million in revenue in the year 2015 through its mobile content activity. Through the website, followers are updated about the company’s activities and products making technology a vital element in its strategy formulation.
5. Environmental factors
The internal and external environment is another factor affecting strategic formulation and implementation by the company. Provision of conducive work conditions, as well as an exercise in corporate social responsibility, are some of the measures Manchester takes into consideration to make its strategies effective. The company outsources its operations and follows the set environmental protection standards to ensure it minimizes pollution and protects the environment.
Want help to write your Essay or Assignments? Click here
6. Legal factors
Legal standards and regulations should be followed to ensure that there are market sustainability and growth. Through its legal team, the company takes care of legal issues and ensures all departmental functions operate as required by the legal authorities to ensure there are no obstacles while carrying out its normal business operations.
c. Competitive analysis
SWOT analysis is another effective method used to assess the potential implications of a strategy (Ovidijus, 2013). In the case of Manchester United, one of its main strength is a wide base of fans and popularity. The company uses the loyalty from fans to market its different product portfolios for increased revenue. Still, the company has a strong financial strength. Hence, it’s able to finance its operations and satisfy all its stakeholders.
The company’s main weakness is its concentrated market making due to stringent rules of the European Football Clubs making it hard to diversify its product portfolio in other countries. However, the company has a great opportunity for increasing its market share since more people are getting attracted to football and associated products.
Being one of the best football clubs, the company uses the opportunity to strengthen its products and harness more fans through its uniform products. However, the company faces intense competition from other English clubs such as Manchester City that have an equal fan base making it hard to penetrate. To phase out the competition, the company maximizes its already popular name to increase its market share and to give out customized products (Manchester United, 2016).
d. Internal analysis strategic capabilities
Strategic capabilities consist of financial, human, and capital resources that an organization uses to formulate and design its strategies. To make a strategy effective, the different strategic capabilities must be integrated. Regarding resources, there are those that are basic and unique. The unique resources are the core competencies of an organization while the basic resources are those that must be present for a strategy to be implemented.
General workforce, finances, and infrastructure are the basic resources. Brand name, trademarked products, and expertise skills or differentiated product portfolios are some of the core competencies that a company takes advantage of in formulation of strategies. Manchester United’s core competencies are brand name and a wide fan base that makes it attract some of the best players as well as market its subsidiary products.
ManU’s business functions comprise of financing, purchasing and supplies, production, human resources, marketing and research and development. All these departments are integrated together to ensure that daily operational functions run smoothly (Mackenzie, 2015).
Manchester FC has a line of business venture it operates. In line with the retail and merchandise, the company targets young adults for its branded t-shirts and other merchandise. Most fans are young adults and form the highest market. The middle-income earners mostly attend the live matches and form the market segment for the match-day business venture.
2. Business strategy
The increase in product portfolio is one of the company’s business strategies. Differentiation by using its trademark and logo is one of the methods the company has been using to ensure the products reach to its target market, and the consumer’s value is maximized (Ovidijus, 2013). Fans go for their company’s products, and it is through differentiation that Manchester has been able to retain and increase its market share. Since wide fan base is one of the organizations strengths, it uses it to increase its sale in merchandise and tickets.
Want help to write your Essay or Assignments? Click here
3. Strategic choice
New product development is the best strategy the company can use to increase its market share and revenue (MSG, 2011). Since the company already has a wide and increasing market share, increasing in product portfolio is likely to get a high customer recognition thus increasing its revenue. The existing products have a high market share and sales revenue, and the company is assured of market penetration of a new product since the existing fans will be the ones to purchase the new product. A new product will lead to increased revenue.
f. Strategy evaluation
Product development is the most suitable since the existing products have already attained high market share and market awareness. Since the company has many fans who are loyal, the new product will have high acceptance rate amongst the different stakeholders as it is feasible and has a high potential for generating returns.
Want help to write your Essay or Assignments? Click here
g. Conclusion and recommendations
Manchester United faces social, environmental, political, legal, and economic issues in its strategy formulation and implementation. All these factors influence the outcome of strategy, and the company takes them into consideration before formulating and implementing a strategy.
8.1. The company has been maximizing its strengths effectively since it takes advantage of the wide fan base to increase its product portfolio for increased market share and revenues.
8.2. The main weakness that the company has when compared to its major rivals is a concentration in the European market which has limited fan base compared to other regions where its competitors exist. Financial problems is another weakness the company faces due to the imminent player transfers that cost the company a lot of finances.
8.3. The main threat faced by Manchester FC is competitors. Since the company is operating profitably and has a high market capitalization, it can be said that it is managing its threats effectively. The company increases its fan value by designing custom made products at low prices making the fans remain loyal.
8.4. Manchester’s vision is to be one of the best clubs that provides the best returns to its shareholders and sponsors. The increase in product portfolio is one of the strategies the company uses to increase revenue. When there is high revenue, the returns are high thus the vision of the company is not different from its strategy since strategies are formulated in line with the vision of the company.
