Hong Kong Style

HONG KONG STYLE An Interview with Victor Fung BY JOAN MAGRETTA UPPLY CHAIN MANAGEMENT is Working its Way onto the strategic agendas of CEOs in an expanding list of industries, from autos to personal computers to fashion retailing. Propelling that change is the restructuring of global competition. As companies focus on their core activities and outsource the rest, their success increasingly depends on their ability to control what happens in the value chain outside their own boundaries. In the 1980s, the focus was on supplier partnerships to improve cost and quality.In today's faster-paced markets, the focus has shifted to innovation, flexibility, and speed. Enter Li et) Fung, Hong Kong's largest export trading company and an innovator in the development of supply chain management. On behalf of its customers, primarily American and European retailers, Li et) Fung works with an ever expanding network PORTRAIT BY LANCE HIDY 103 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE of thousands of su ppliers around the globe, sourcing clothing and other consumer goods ranging from toys to fashion accessories to luggage.Chairman Victor Fung sees the company as part of a new breed of professionally managed, focused enterprises that draw on Hong Kong's expertise in distribution-process technology-a host of informationintensive service functions including product development, sourcing, financing, shipping, handling, and logistics. Founded in 1906 in southern China by Victor Fung's grandfather, Li &) Fung was the first Chinese-owned export company at a time when tbe China trade was controlled by foreign commercial houses. In the early 1970s, Victor was teaching at the Harvard Business School, and his younger brother, William, was a newly minted HarvardM. B. A. The two young men were called home from the United States by their father to breathe new life into the company. Since then, the brothers have led Li et? Fung through a series of transformations. In this interview with HBR edito r-at-large foan Magretta, Victor Fung describes how Li &) Fung has made the transition from buying agent to supply chain manager, from the old economy to the new, from traditional Chinese family conglomerate to innovative public company. Victor and William Fung are creating a new kind of multinational, one that remains entrepreneurial despite its growing size and scope.Victor Fung is also chairman of a privately held retailing arm of the company, which focuses on joint ventures with Toys R Us and the Circle K convenience-store chain in Hong Kong. He is also chairman of the Hong Kong Trade Development Council and of Prudential Asia. How do you define the diHerence between what Li & Fung does today-supply chain managementand the trading business founded by your grandfather in 1906? ing which quotas have been used up in Hong Kong, for example, tells you when you have to start buying from Taiwan. Understanding products was also more complex. We knew that in Taiwan the synthetics were be tter, ut that Hong Kong was the place to go for cottons. We could provide a package from the whole region rather than a single product from Hong Kong. By working with a larger number of countries, we were able to assemble components; we call this â€Å"assortment packing. † Say I sell a tool kit to a major discount chain. I could buy the spanners from one country and the screwdrivers from another and put together a product package. That has som. e value in it-not great value, but some. In the second stage, we took the company's sourcing-agent strategy one step further and became a manager and deliverer of manufacturing programs.In the old model, the customer would say, â€Å"This is the item I want. Please go out and find the best place to buy it for me. † The new model works this way. The Limited, one of our big customers, comes to us and says, â€Å"For next season, this is what we're thinking about-this type of look, these colors, these quantities. Can you come up with a production program? † Starting with their designers' sketches, we research the market to find the right type of yarn and dye swatches to match the colors. We take product concepts and realize them in prototypes. Buyers can then look at the samples and say, â€Å"No, I don't eally like that, I like this. Can you do more of this? † We then create an entire program for the season, specifying the product mix and the schedule. We contract for all the resources. We work with facto- When my grandfather started the company in Canton, 90 years ago during the Ching dynasty, his â€Å"value added† was that he spoke EngUsh. In those days, it took three months to get to China hy hoat from the West; a letter would take a month. No one at the Chinese factories spoke English, and the American merchants spoke no Chinese. As an interpreter, my grandfather's commission was 15%. Continuing through my father's generation, Li &Fung was basically a broker, charging a fee to put buyers and sellers together. But as an intermediary, the company was squeezed between the growing power of the buyers and the factories. Our margins slipped to 10%, then 5%, then 3%. When I returned to Hong Kong in 1976 after teaching at Harvard Business School, my friends warned me that in ten years buying agents like Li & Fung would he extinct. â€Å"Trading is a sunset industry,† they all said. My brother and I felt we could turn the business into something different, and so we took it through several stages of development. In the first stage, we cted as w^hat I would call a regional sourcing agent and extended our geographic reach by establishing offices in Taiwan, Korea, and Singapore. Our knowledge of the region had value for customers. Most hig buyers could manage their own sourcing if they needed to deal only with Hong Kong-they'd know which ten factories to deal with and wouldn't need any help. But dealing with the whole region was more complex. In textiles, quotas g overn world trade. Know104 HARVARD BUSINESS REVIEW September-October 1998 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE ries to plan and monitor production so we can ensure quality and on-time delivery.This strategy of delivering manufacturing programs carried us through the 1980s, but that decade brought us a new challenge – and led to our third stage. As the Asian tigers emerged. Hong Kong became an increasingly expensive and uncompetitive place to manufacture. For example, we completely lost the low-end transistor-radio business to Taiwan and Korea. What saved us was that China began to open up to trade, allowing Hong Kong to fix its cost problem by moving the labor « intensive portion of production across the border into southern China. So for transistor radios we created little its-plastic bags filled with all the components needed to build a radio. Then we shipped the kits to China for assembly. After the labor-intensive work was completed, the finished goods came back to Hong Kong for final testing and inspection. If you missed a screw you were in trouble: the whole line stopped cold. Breaking up the value chain as we did was a novel concept at the time. We call it â€Å"dispersed manufacturing. † This method of manufacturing soon spread to other industries, giving Hong Kong a new lease on life and also transforming our economy. Between 1979 and 1997, Hong Kong's position as a trading ntity moved from number 21 in the world to number 8. All our manufacturing moved into China, and Hong Kong became a huge service economy with 84% of its gross domestic product coming from services. So dispersed manufacturing means breaking up the value chain and rationalizing where you do things? That's right. Managing dispersed production was a real breakthrough. It forced us to get smart not only about logistics and transportation but also about dissecting the value chain. Consider a popular children's doll-one similar to the Barbie doll. In the early 1980s, w e designed the dolls in Hong Kong, and we also produced the olds because sophisticated machinery was needed to make them. We then shipped the molds to China, where they would shoot the plastic, assemble the doll, paint the figures, make the doll's clothing-all the labor-intensive work. But the doll had to come back to Hong Kong, not just for final testing and inspection but also for packaging. China at that time couldn't deliver the quality we needed for the printing on the boxes. Then we used Hong Kong's welldeveloped banking and transportation infrastructure to distribute the products around the world. You can sec the model clearly: the labor-intensiveHARVARD BUSINESS REVIEW September-October 1998 middle portion of the value chain is still done in southern China, and Hong Kong does the front and back ends. Managing dispersed manufacturing, where not everything is done under one roof, t akes a real change of mind-set. But once we figured out how to do it, it became clear that our r each should extend heyond southern China. Our thinking was, for example, if wages arc lower farther inland, let's go there. And so we began what has turned into a con- forced us to get smart about dissecting the value chain. † stant search for new and better sources of supply.Li& Fung made a quantum leap in 1995, nearly doubling our size and extending our geographic scope hy acquiring Inchcape Buying Services. IBS was a large British hong w ith an estahlished network of offices in India, Pakistan, Bangladesh, and Sri Lanka. The acquisition also brought with it a European customer base that complemented Li &. Fung's predominantly American base. This Hong Kong model of borderless manufacturing has become a new paradigm for the region. Today Asia consists of multiple networks of dispersed manufacturing-high-cost hubs that do the sophisticated planning for regional manufacturing.Bangkok works with the Indochinese peninsula, Taiwan with the Philippines, Seoul with northern China. D ispersed manufacturing is what's behind the boom in Asia's trade and investment statistics in the i99os-companies moving raw materials and semifinished parts around Asia. But the region is still very dependent on the ultimate sources of demand, which are in North America and Western Europe. They start the whole cycle going. What happens when you get a typical order? Say we get an order from a European retailer to produce 10,000 garments. It's not a simple matter of our Korean office sourcing Korean products or ur Indonesian office sourcing Indonesian products. For this customer we might decide to buy yarn from a Korean producer but have it woven and dyed in Taiwan. So we pick the yarn and ship it to Taiwan. The Japanese have the best zippers and buttons, but they manufacture them mostly in China. Okay, so we go to YKK, a big Japanese zipper manufacturer, and we order the right zippers from their Chinese SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE LI & FUNG'S GLOBAL REACH Li & Fung prod uces a truly global product by pulling apart the manufacturing value chain and optimizing each step.Today it has 3 5 offices in 20 countries, but its global reach is expanding rapidly. In 1997, it had revenue of approximately $1. 7 billion. San Francisco Paris Oporto, Portugal San Pedro Sula, Honduras †¢ Brussels †¢ Istanbul †¢ Cairo Mauritius plants. Then we determine that, because of quotas and labor conditions, the best place to make the garments is Thailand. So we ship everything there. And because the customer needs quick delivery, we may divide the order across five factories in Thailand. Effectively, we are customizing the value chain to hest meet the customer's needs. Five weeks after we have received the order, 0,000 garments arrive on the shelves in Europe, all looking like they came from one factory, with colors, for example, perfectly matched. Just think about the logistics and the coordination. This is a nev*? type of value added, a truly global product that has never heen seen hefore. The label may say â€Å"made in Thailand,† but it's not a Thai product. We dissect the manufacturing process and look for the best solution at each step. We're not asking which country can do the best joh overall. Instead, we're pulling apart the value chain and optimizing each step – and we're doing it globally. 106Not only do the benefits outweigh the costs of logistics and transportation, but the higher value added also lets us charge more for our services. We deliver a sophisticated product and we deliver it fast. If you talk to the big global consumer-products companies, they are all moving in this directiontoward heing best on a glohal scale. So the multinational is essentially its own supplychain manager? Yes, exactly. Large manufacturing companies are increasingly doing global supply-chain management, just as Li & Fung does for its retailing customers. That's certainly the case in the auto industry.Today assemhly is the easy par t. The hard part is managing your suppliers and the flow of parts. In retailing, these changes are producing a revolution. For the first time, retailers are really creating produets, not just sitting in their offices with salesman after salesman showing them samples: â€Å"Do you HARVARD BUSINESS REVIEW September-October 1998 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE Beijing Dalian Qingdau Shanghai Liuyang New Delhi Karachi Guangzhou . Shantou Dhaka Hanoi f† Bombay Bangalore †¢ Taipei Zhanjiang Bangkok Manila Saipan Colombo JohorBaharu . . Singapore Jakarta want to buy this?Do you want to buy that? † Instead, retailers are participating in the design process. They're now managing suppliers through us and are even reaching down to their suppliers' suppliers. Eventually that translates into much better management of inventories and lower markdowns in the stores. Explain why that translates into lower markdowns for retailers? Companies in consumer-driven, fast-moving m arkets face the prohlem of obsolete inventory with a vengeance. That means there is enormous value in heing able to huy â€Å"closer to the market. † If you can shorten your buying cycle from three onths to five weeks, for example, what you are gaining is eight weeks to develop a better sense of where the market is heading. And so you will end up with substantial savings in inventory markdowns at the end of the selling season. HARVARD BUSINESS REVIEW September-October 1998 Good supply-chain management strips away time and cost from product delivery cycles. Our customers have hecome more fashion driven, working with six or seven seasons a year instead of just two or three. Once you move to shorter product cycles, the prohiem of obsolete inventory increases dramatically.Other businesses are facing the same kind of pressure. With customer tastes changing rapidly and markets segmenting into narrower niches, it's not just fashion products that are becoming increasingly time sensit ive. Several years ago, I had a conversation about ladies fashion garments with Stan Shih, CEO of Acer, the large Taiwan-hased PC manufacturer. I jokingly said, â€Å"Stan, are you going to encroach on our territory? † He said, â€Å"No, no, hut the PC business has the same basic problems you face. Things are changing so fast you don't want to wind up with inventory. You want to plan close to the market. He runs his husiness to cut down the delivery cycle SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE and minimize inventory exposure by assembling PCs in local markets. So what I have to say about supply chain management for fashion products really applies to any product that's time sensitive. Supply chain management is about buying the right things and shortening the delivery cycles. It requires â€Å"reaching into the suppliers† to ensure that certain things happen on time and at the right quality level. Fundamentally, you're not taking the suppliers as a given. The classic supply-chain manager in retailing isMarks ik Spencer. They don't own any factories, but they have a huge team that goes into the factories and works with the management. The Gap also is known for stretching into its suppliers. Can you give me an example of how you reach into the supply chain to shorten the buying cycle? Think about what happens when you outsource manufacturing. The easy approach is to place an order for finished goods and let the supplier worry ahout contracting for the raw materials like fabric and yarn. But a single factory is relatively small and doesn't have much buying power; that is, it is too mall to demand faster deliveries from its suppliers. We come in and look at the whole supply chain. We know the Limited is going to order 100,000 garments, but we don't know the style or the colors yet. The buyer will tell us that five weeks before delivery. The trust between us and our supply network means that we can reserve undycd yarn from the yarn supplier. I can l ock up capacity at the mills for the weaving and dying with the promise that they'll get an order of a specified sizc; five weeks before delivery, we will let them know what colors we want. Then I say the same thing to the factories, â€Å"I on't know the product specs yet, but I have orga- the retailer hold off before having to commit to a fashion trend. It's all about flexibility, response time, small production runs, small minimum-order quantities, and the ability to shift direction as the trends move. Is it also about cost? Yes. At Li & Fung we think about supply chain management as â€Å"tackling the soft $3† in the cost structure. What do we mean hy that? If a typical consumer product leaves the factory at a price of $1, it will invariably end up on retail shelves at $4. Now you can try to squeeze the cost of production own 10 cents or 20 cents per product, hut today you have to be a genius to do that because everybody has been working on that for years and there's not a lot of fat left. It's better to look at the cost that is spread throughout the distribution channels-the soft $3. It offers a bigger target, and if you take 50 cents out, nobody will even know you are doing it. So it's a much easier place to effect savings for our customers. Can you give me an example? Sure. Shippers always want to fill a container to capacity. If you tell a manufacturer, â€Å"Don't fill up the container,† he'll think you're crazy.And if all you care about is the cost of shipping, there's no question you should fill the containers. But if you think instead of the whole value chain as a system, and you're trying to lower the total cost and not just one piece of it, then it may he sm^arter not to fill the containers. Let's say you want to distribute an assortment of ten products, each manufactured hy a different factory, to ten distribution centers. The standard practice would be for each factory to ship full containers of its product. And so those ten cont ainers would then have to go to a consolidator, who would unpack and epack all ten containers before shipping the assortment to the distribution centers. Now suppose instead that you move one container from factory to factory and get each factory to fill just onetenth of the container. Then you ship it with the assortment the customer needs directly to the distribution center. The shipping cost will be greater, and you will have to be careful about stacking the goods properly. But the total systems cost could be lower because you've eliminated the consolidator altogether. When someone is actively managing and organizing the whole supply chain, you can save costs like that. We think about supply chain management as ‘tackling the soft ‘ in the cost structure. † nized the colors and the fabric and the trim for you, and they'll be delivered to you on this date and you'll have three weeks to produce so many garments. † I've certainly made life harder for myself no w. It would be easier to let the factories worry about securing their own fabric and trim. But then the order would take three months, not five weeks. So to shrink the delivery cycle, I go upstream to organize production. And the shorter production time lets 108 HARVARD BUSINESS REVIEW September-October 1998SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE So when you talk about organizing the value chain, what you do goes well beyond simply contracting for other people's services ot inspecting their work. It sounds like the value you add extends almost to the point where you're providing management expertise to your supply network. In a sense, we are a smokeless factory. We do design. We huy and inspect the raw materials. We have factory managers, people who set up and plan production and balance the lines. We inspect production. But we don't manage the workers, and we don't own the factories. Think ahout the scope of what we do.We work with about 7,500 suppliers in more than 26 countries. If the average factory has 200 workers – that's probahly a low estimate – then in effect there are more than a million workers engaged on behalf of our customers. That's why our policy is not to own any portion of the value chain that deals with running factories. Managing a million workers would he a colossal undertaking. We'd lose all flexihility; we'd lose our ability to fine-tune and coordinate. So we deliherately leave that management challenge to the individual entrepreneurs we contract with. Our target in working with factories is to take nywhere from 30% to 70% of their production. We want to he important to them, and at 30% we're most likely their largest customer. On the other hand, we need flexibility-so we don't want the responsibility of having them completely dependent on us. And we also benefit from their exposure to their other customers. If we don't own factories, can we say we are in manufacturing? Absolutely. Because, of the 15 steps in the manufactu ring value chain, we prohably do 10. Our basic operating unit is the division. Whenever possible, we will focus an entire division on serving one customer. We may serve smaller customers hrough a division structured around a group of customers with similar needs. We have, for example, a theme-store division serving a handful of customers such as the Warner Brothers stores and Rainforest Cafe. This structuring of the organization around customers is very important – remember that what we do is close to creating a customized value chain for every customer order. So customer-focused divisions are the building hlocks of our organization, and we keep them small and entrepreneurial. They do anywhere from $20 million to $50 million of business. Each is run hy a â€Å"What we do is close to creating customized value chain for every customer order. † / The way Li & Fung is organized is unusual in the industry. Can you describe the link between your organization and your strateg y? Just about every company I know says that they are customer focused. What, in fact, does that mean? Usually it means they design key systems that fit most of their customers, they hope, most of the time. Here we say-and do-something different: We organize for the customer. Almost all the large trading companies with extensive networks of suppliers are organized geographically, with the country units as their profit centers.As a result, it is hard for them to optimize the value chain. Their country units are competing against one another for husiness. HARVARD BUSINESS REVIEW September-October 1998 lead entrepreneur-we sometimes call them â€Å"little John Waynes† because the image of a guy standing in the middle of the wagon train, shooting at all the had guys, seems to fit. Consider our Gymhoree division, one of our largest. The division manager, Ada Liu, and her headquarters team have their own separate office space within the Li & Fung building in Hong Kong. When you wal k through their door, every one of the 0 or so people you see is focused solely on meeting Gymhoree's needs. On every desk is a computer with direct software links to Gymhoree. The staff is organized into specialized teams in such areas as technical support, merchandising, raw material purchasing, quality assurance, and shipping. And Ada has dedicated sourcing teams in our branch offices in China, the Philippines, and Indonesia because Gymboree buys in volume from all those countries. In maybe 5 of our 26 countries, she has her own team, people she hired herself. When she wants to source from, say, India, the branch office helps her get the joh done.In most multinational companies, fights hetween the geographic side of the organization and the product or customer side are legendary – and predictable. From the product side, it's â€Å"How can I get hetter service for my customer? It may be small for you in Bangladesh, hut it's important for my product line globally. † A nd from the country side, it's â€Å"Look, I can't let this product group take unfair advantage of this particular factory, hecause it pro109 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE duces for three other product groups and I'm responsible for our relationships in this country overall. Here's our solution to this classic prohlem: Our primary alignment is around customers and their needs. But to balance the matrix, every productgroup executive also has responsibility for one country. It makes them more sensitive to the prohlems facing a country director and less likely to make unreasonahle demands. Can you tell us more about the role of the little John Waynes? The idea is to create small units dedicated to taking care of one customer, and to have one person running a unit like she would her own company. In fact, we hire people whose main alternative would be to run their own business.We provide them with the financial resources and the administrative support of a hig organization, h ut we give them a great deal of autonomy. All the merchandising decisions that go into coordinating a production program for the customer-which factories to use, whether to stop a shipment or let it go forward-are made at the division-head level. For the creative parts of the business, we want entrepreneurial behavior, so we give people considerable operating freedom. To motivate the division leaders, we rely on substantial financial incentives by tying their compensation directly to the unit's bottom line.There's no cap on bonuses: we want entrepreneurs who are motivated to move heaven and earth for the customer. Trading companies can be run effectively only when they are small. By making small units the â€Å"We think of our divisions as a portfolio we can create and collapse, almost at will. † heart of our company, we have been able to grow rapidly without becoming bureaucratic. Today we have about 60 divisions. We think of them as a portfolio we can create and collapse, a lmost at will. As the market changes, our organization can adjust immediately. What role, then, does the corporate center play?When it comes to financial controls and operating procedures, we don't want creativity or entrepreneurial behavior. In these areas, we centralize and manage tightly. Li &. Fung has a standardized, fully computerized operating system for executing 110 and tracking orders, and everyone in the company uses the system. We also keep very tight control of working capital. As far as I'm concerned, inventory is the root of all evil. At a minimum, it increases the complexity of managing any business. So it's a word we don't tolerate around here. All cash flow is managed centrally through Hong Kong.All letters of credit, for example, come to Hong Kong for approval and are then reissued by the central office. That means we are guaranteed payment before we execute an order. I could expand the company by another 10% to 20% hy giving customers credit. But while we are ver y aggressive in merchandising – in finding new sources, for example-when it comes to financial management, we are very conservative. I understand^ though, that Li & Fung is involved in venture capital. Can you explain how t hat fits in? We've set up a small venture-capital arm, with offices in San Francisco, London, and Brussels, hose primary purpose is corporate development. If you look at a product market grid, Li &. Fung has expertise in sourcing many types of products for many types of retailers, but there are also holes in our coverage. A big piece of our corporate development is plugging those holes-the phrase we use is â€Å"filling in the mosaic† – and we use venture capital to do it. Let's say Li &. Fung is not strong in ladies fashion shoes. We'll have our venture group look for opportunities to buy into relatively young entrepreneurial companies with people who can create designs and sell them but who do not have the ability to source or to finance.Th at's what we bring to the deal. More important, doing the sourcing for the company lets us build presence and know-how in the segment. At the same time, we think it's a good way to enhance our returns. All venture capitalists will tell you that they bring more than money to their investments. In our case, we are ahle to back the companies with our sourcing network. One of our biggest successes is a company called Cyrk. We wanted to fill a hole in our mosaic in the promotional premiums business-clothing or gift items with company logos, for example. We bought a 30% stake in Cyrk for $200,000 in 1990. We ended p doing all the M&M gum hall dispensers with them, but the real coup was a full line of promotional clothing for Philip Morris. After five years, we sold our investment for about $65 million. We're more than happy with our investment results, but our real interest is in corporate developHARVARD BUSINESS REVIEW September-October 1998 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE SUPPL Y CHAIN MANAGEMENT: HOW LI & FUNG ADDS VALUE LI & Fung does the high-value-added front- and back-end tasks in Hong Kong front end design engineering production planning back end quality control testing logistics It organizes the ower-value-added middle stages through its network of 7,500 suppliers, 2,500 of which are active at any one time. raw material and component sourcing ment, in filling in the mosaic. We're not looking to grow by taking over whole companies. We know we can't manage a U. S. domestic company very well because we're so far away, and the culture is different. By hacking people on a minority basis, however, we improve our sourcing strength and enhance our ability to grow existing client relationships or to win new ones. That's real synergy. You've grown substantially both in size and in geographic scope in the last five years.Does becoming more multinational bring any fundamental changes to the company? Since 1993, we've changed from a Hong Kongbased Chinese compan y that was 99. 5% Chinese and probably 80% Hong Kong Chinese into a truly regional multinational with a workforce from at least 30 countries. We used to call ourselves a Chinese trading company. (The Japanese trading companies are very hig, and we wanted to he a big fish in a small pond, so we defined the pond as consisting of Chinese trading companies. ) As we grow, and as our workforce hecomes more nationally diverse, we wonder how Koreans or Indians or Turks will feel bout working for a Chinese multinational. HARVARD BUSINESS REVIEW Septtmber-October 1998 managing production We're torn. We know that if we call ourselves a multinational, we're very small compared to a Nestle or a Unilever. And we don't want to he faceless. We are proud of our cultural heritage. But we don't want it to be an impediment to growth, and we want to make people comfortable that culturally we have a very open architecture. We position ourselves today as a Hong Kong-based multinational trading company. Ho ng Kong itself is hoth Chinese and very cosmopolitan. In five years, we've come a ong way in rethinking our identity. As we grow and become more multinational, the last thing we want to do is to run the company like the big multinationals. You know – where you have a corporate policy on medical leave or housing allowances or you name it. How do you avoid setting policies, a path that would seem inevitable lor most companies? We stick to a simple entrepreneurial principle. For the senior ranks of the company, the mobile executives, we â€Å"encash†-that is, we translate the value of benefits into dollar figures-as much as we can. Cash gives individuals the most fiexihiiity. I annot design a policy to fit 1,000 people, so when UI SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE in doubt we give people money instead. You want a car? You think you deserve a car? We'd rather give you the cash and let you manage the car. You buy it, you service it. The usual multinational solution i s to hire experts to do a study. Then they write a manual on car ownership and hire ten people to administer the manual. If you ask yourself whether you would rather have a package of benefits or its equivalent in cash, m. ayhe you'll say, I don't want such a nice car, hut I'd prefer to spend more money on my home leave.Cash gives individuals a lot more freedom. That's our simplifying principle. month is still doing so this month. The committee of 30 not only shapes our policies hut also translates them into operating procedures we think will he effective in thefield. And then they hecome a vehicle for implementing what we've agreed on when they return to their divisions. There are few businesses as old as trading. Yet the essence of what you do at Li & Fung-managing information and relationships-sounds like a good description of tbe information economy. How do you reconcile the new economy with the old?At one level, Li &. Fung is an information node, fiipping information hetween ou r 350 customers Since you operate in so many countries, do you and our 7,500 suppliers. We manage all that today have to index cash equivalents to local economies? with a lot of phone calls and faxes and on-site visits. That's the guts of the company. Soon we will need Wherever we operate, we follow local rules and hest practices. We do not want uniformity for lower- a sophisticated information system with very open architecture to accommodate different protocols level managers. If they say in Korea, â€Å"We don't rom suppliers and from customers, one rohust want bonuses hut everyhody gets i 6 m onths enough to work in Hong Kong and New York-as salary,† that's the market. What we do would probwell as in places like Bangladesh, where you can't ahly drive the HR department in a multinational crazy. But it works for us: for the top people, we fig- always count on a good phone line. ure out a cash equivalent for henefits, and for the loI have a picture in my mind of the ideal tr ader for cal staff, we follow local hest practices. It's fine if today's world. The trader is an executive wearing e do things differently from country to country. a pith helmet and a safari jacket. But in one hand is a And rememher, we are an incentive-driven commachete and in the other a very high-tech personalpany. We try to make the variable component of computer and communication device. From one compensation as hig as possible and to extend that side, you're getting reports from suppliers in newly principle as far down into the organization as possi- emerging countries, where the quality of the inforhle. That's the entrepreneurial approach. mation may he poor. From the other side, you ight have highly accurate point-of-sale information from the United States that allows you to reAs you spread out geographically, how do you hold plenish automatically. In other words, you're mathe organization together? The company is managed on a day-to-day hasis by neuvering between areas that have a lot of catching the product group managers. Along with the top up to do-you're fighting through the underbrush, so to speak-and areas that are already clearly fomanagement, they form what we call the policy committee, which consists of about 30 people. We cused on the twenty-first century. meet once every five to six weeks.People fly in As the sources of supply explode, managing inforfrom around the region to discuss and agree on polimation becomes increasingly complex. Of course, cies. Consider, for example, the topic of compliwe have a lot of hard data about performance and ance, or ethical sourcing. How do we make sure our ahout the work we do with each factory. But what suppliers are doing the right thing-by our cuswe really want is difficult to pin down; a lot of the tomers' standards and our own-when it comes to most valuable information resides in people's issues such as child lahor, environmental protecheads.What kind of attitude does the owner have? tion, and countr y-of-origin regulations? Do we work well together? How good is their interCompliance is a very hot topic today-as well it nal management? That kind of organizational memory is a lot harder to retain and to share. We should be. Because our inspectors are in and out of see the capturing of such information as the next the factories all the time, we probably have a hetter frontier. You could look at us as a very sophisticated window on the prohlem than most companies. If IT system. So that's the modern side of who we are. we find factories that don't comply, we won't work ith them. However, because there is so much subcontracting, you can't assume that everyone is doWbat about the more traditional side? ing the right thing. That is, you have to make sure In the information age, there is an impersonality that a supplier that was operating properly last that seems to say that all the old-world thoughts 112 HARVARD BUSINESS REVIEW September-October 1998 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE about relationships don't matter anymore. We're all taken with the notion that a bright young guy ean bring his great idea to the Internet, and it's okay if no one knows him from Adam. Right?Maybe. But at the same time, the old relationships, the old values, still matter. I think they matter in our dealings with suppliers, with eustomers, and with our own staff. Right now we're so big, three of our divisions could be seheduling work with the same factory. We could be fighting ourselves for factory capacity. So I'm in the process of creating a database to track systematically all our supplier relationships. We need something that everyone in the company ean use to review the performance history of all our suppliers. One of my colleagues said, â€Å"We'd better guard that with our lives, because if somebody ever ot into our system, they could steal one of the company's greatest assets. † I'm not so worried. Someone might steal our database, but when they call up a supplie r, they don't have the long relationship with the supplier that Li & Fung has. It makes a difference to suppliers when they know that you are dedicated to the business, that you've been honoring your commitments for 90 years. I think there is a similar traditional dimension to our customer relationships. In the old days, my father used to read every telex from eustomers. That made a huge difference in a business where a detail s small as the wrong zipper color could lead to disastrous delays for customers. Today William and I continue to read faxes from customers-certainly not every one, but enough to keep us in personal toucb with our customers and our operations on a daily basis. Through close attention to detail, we try to maintain our heritage of customer service. As we have transformed a family business into a modern one, we have tried to preserve the best of what my father and grandfather created. There is a family feeling in the company that's difficult to describe. We don't care much for titles and hierarchy.Family life and the company's business spill over into each other. When staff members are in Hong Kong to do business, my mother might have tea with their families. Of eourse, as we have grown we have had to change. My mother can't know everyone as she once did. But we hold on to our wish to preserve the intimacies that have been at the heart of our most successful relationships. If I had to capture it in one phrase, it would be this: Think like a big company, act like a small one. A TRADITION OF INNOVATION In the company's early years, Li & Fung dealt in porcelain and other trnditidnal Chinese products, inclLidinK bamboo nd rattan ware, jade and ivory handicrafts-and fireworks. Li ik Funj;'s invention of paper-sealed fireerackers in 1907 to replaee the traditional mudsealed firecracker was a major breakthrough. At that time, the U. S. import duty on firecrackers was hased on weight. The paper-sealed fireeraekers not only ineurred lower unport duti es by being lighter but also eliminated the problem of excessive dust produced by the discharge of the mud-sealed variety. Li &. Fung's paper-sealed manufaeturing process has become the industry's standard. i Is the growing importance of information technology good or bad for your bnsiness?Frankly, I am not unhappy that the business will HARVARD BUSINESS REVIEW September-October 1998 113 SUPPLY CHAIN MANAGEMENT, HONG KONG STYLE be more dependent on information technology. The growing value of dispersed manufaeturing makes us reach even further around the globe, and IT helps us accomplish that stretching of the company. As Western companies work to remain competitive, supply chain management will become more important. Their need to serve smaller niche markets with more frequent changes in products is pushing us to establish new sources in less developed countries.We're forging into newly emerging centers of production, from Bangladesh to Sri Lanka to Madagascar. We're now landing in northern Africa – in Egypt, Tunisia, Morocco. We're starting down in South Africa and moving up to some of the equatorial countries. As the global supply network becomes larger and more far-flung, managing it will require scale. As a pure intermediary, our margins were squeezed. But as the number of supply chain options expands, we add value for our customers by using information and relationships to manage the network. We help companies navigate through a orld of expanded choice. And the expanding power of IT helps us do that. So the middle where we operate is broadening, making what we do more valuable and allowing us to deliver a better product, which translates into better prices and better margins for our customers. In fact, we think export trading is not a sunset industry but a growth business. Was the professional management training you and William brought with you from the United States helpful in running an Asian family business? It's an interesting question. For m y first 20 years with the company, I had to put aside-unlearn, in act-a lot of what I had learned in the West about management. It just wasn't relevant. The Li & Fung my grandfather founded was a typical patriarchal Chinese family conglomerate. Even today, most companies in Asia are built on that model. But a lot has changed in the last five years, and the current Asian financial crisis is going to transform the region even more. Now, instead of managing a few relationshipsthe essence of the old model-we're managing large, complex systems. It used to be that one or two big decisions a year would determine your success.In the 1980s, for example, many of the Asian tycoons were in asset-intensive businesses like real estate and shipping. You would make a very small number of very big decisions-you would acquire a piece of land or decide to build a supertanker-and you were done. And access to the deals depended on your connections. 114 The Li & Fung of today is quite different from the company my grandfather founded in 1906. As it was in a lot of family companies, people had a sense over the years that the company's purpose was to serve as the family's livelihood. One of the first things William and I did was to persuade my father o separate ownership and management by taking the company puhlic in 197 3. When our margins were squeezed during the 1980s, we felt we needed to make dramatic changes that could best be done if we went back to being a private company. So in 1988, we undertook Hong Kong's first management buyout, sold off assets, and refocused the company on its core trading business. Later we took our export trading business public again. I'm sure some of our thinking ahout governance structure and focus was influenced by our Western training. But I'm more struck by the changes In the company's decision making.Right now in this building, we probably have 50 buyers making hundreds of individual transactions. We're making a large number of small decisions instead of a small number of big ones. I can't be involved in all of tbem. So today I depend on structure, on guiding principles, on managing a system. Of course, I think relationships are still important, but I'm not managing a single key relationship and using it to leverage my entire enterprise. Instead, I'm running a very focused business using a systems approach. That's why I say that in the last five years, everything I learned in business school has come to matter. Li &

Life in the New England Colonies

The American way of life has changed throughout the centuries. Our views of life have changed dramatically in many ways. History has changed the way we look at American values in general. Such things as our drive for hard work and value of education have evolved from specific types of people during the growth of this great nation. But who were these mysterious people that so drastically changed the way we think today? These â€Å"wonderful† people were called puritans and settled in the New England colonies. They ran their society with a strong hand, and valued their land. When it came to work and education they put forth 110% effort. The puritan values have been carried through the centuries and are still alive and kicking today. In today†s society hard work holds as much of an importance as it did during the puritan times. We hold this American value in high regard when it comes to most things. The puritans viewed hard work as a necessity to survive. We know this partly by the fact that some where around 80% of the puritans were farmers and in order to keep up a good farm you must put your nose to the grindstone. As time has evolved the American views it has been reluctant to change this one. After all if you let any slack out in today†s society you are likely to be replaced. And therefore we always strive to be the best, this in return forces us to work harder day by day. The puritans viewed materialist things much the way we do today. What this means is that in America today you are judged by what you have and the way you look. If you are dressed like a homeless person going in for a job interview, your never gonna get the job no matter what qualifications you have. See in today†s society you are judged by what is on the outside instead of what is in the inside. The puritan†s were much this way about land. As we see in the Crucible Mr. Proctor is accused of making false accusations so that he may buy the land of the people that are on their way to jail. It might be argued that the land was the main source of profit during these times, however it also was a sign of how important you were to God. If you had 300 acres of land you were considered one of Gods chosen few. In the Crucible we also see that Reverend Parris asks for golden candlesticks to place in the church. Now one may not forget that the church was nothing more than a beat up old shack, far from any of the Cathedrals of today. They would do anything to be viewed as being closer to God much way we would do anything to make people like us and accepts us. From the time of the puritan†s to generation-X education has always been a important value. Although some today view school as another place for teens to kick back and just talk to each other. Most however are in school to do more than just learn, they are there to succeed. 97% of all high school students have plans for a higher learning in college. And where are the best colleges located? Most are located on the East Coast. Such schools as Harvard and Yale were founded by our strict ancestors, the puritan†s. They viewed education as a tool. With it you will succeed. Who knows, back then with a good education you might end up in office. In fact many great men attended school on the East Coast. Thomas Jefferson for instance attended Harvard. The tradition of a great education has survived through the passing years and will most likely live on. Values of such people as the puritan†s have continued on in the world today and have changed the course of history, as we know it. Education, hard work, and materialism are just three of the many influences that have been handed down from our great ancestors. However, the question still at hand is â€Å"Have these values, that have been handed down to us so generously, been for the better or the worse? This is one question I feel must be answered by ones heart. It is after all, a matter of opinion.

Consequences of the Korean War

Consequences of the Korean War * The Korean War never ended, and they are still under an armistice to this day. The Korean War is technically not over; all that's keeping the two sides from going to war again is a cease-fire agreement. * The Korean War brought the US and Russia further apart, and the fear of communism would later lead the US to throw itself into Vietnam, to avoid another North Korea. * It also brought China into conflict with the US, bringing bad feelings between the two countries which would last for decades. To this day, American troops are staitioned along the border between the Koreas and there are still reports of sporadic firing. * The war also created a strong bond between South Korea and the United States. * Syngman Rhee's southern regime became even more dictatorial, and in 1960 he resigned after student riots. South Korea only became more unstable with his departure, and it is only in the last two decades that South Korea has really seen sustained economic growth. * In North Korea, Kim Il-sung developed a full-scale personality cult, and ruled until his death in 1994. Tensions between the two countries remain to this day, perhaps seen best in North Korea's boycott of the 1988 Seoul Olympics, to which the USSR and PRC sent athletes. The legacy of the Korean War continues to haunt the United States, as the US worries about North Korea's possession of nuclear weapons. * * The Korean War was able to bring diverse effects to not only Korea but the World. The Korean War was one of the most destructive and brought economic and social damage to Korea. However, the Korean War was able to boost the economy of both Japan and the US.The Korean War also legitimized the United Nations and led to further expansion of military power. The Korean War also showed the growing anti-communist feeling across the US. The Korean War brought both positive and negative effects to the world. * The Korean War brought many negative effects to Korea. â€Å"The Kor ean War was one of the most destructive of the 20th century. Perhaps as many as 4 million Koreans died throughout the peninsula, two-thirds of them civilians. This compares, for example, with the 2. 3 million Japanese who died in WWII.China lost up to 1 million soldiers, and the US suffered 36,934 dead and 103,284 wounded. Other UN nations suffered 3322 dead and 11,949 wounded. † (http://encarta. msn. com/text_7 6559607__0/Korean_War. html) The Korean War also brought social damage to Korea, â€Å"especially in the North, where three years of bombing left hardly a modern building standing. †(http://encarta. msn. com/text_761559607__0/Korea_War. html) The war also reinforced the boundaries between the North and the South. North Korea remained a communist nation and South Korea became a free republic.This social difference still brings conflict even today. * Although the Korean War had negative effects on Korea, it did however boost the economy of Japan,† The war ha d a lasting consequence beyond Korea. Much of the material used in the war was bought from nearby Japan. This gave Japanese economy such an dynamic boot after the ravages of WWII that some have called the Korean War, Japan’s Marshal Plan, a reference to the US economic aid program that helped rebuild post-war Europe. The Korean War had similar effects on the American economy, as defense spending nearly quadrupled in the last six months of 1950. (http://encarta. msn. com/text_761559607__0/Korea _War. html) The Korean War although devastating to Korea was able to bring a new beginning to the Japanese with a better economy. The Korean War was able to give the Japanese the success that WWII gave the US after the depression. * Besides world economic success and social devastation the Korean War was also able to legitimize the United Nations as well as bring larger military expansion to the world. â€Å"It confirmed the ideas behind NSC-68, with its call for US to expand its milit ary and to lead an anticommunist alliance. Goldfield, pg 870) The Korean War also, â€Å"responsible for establishing America’s chain of military bases around the world and its enormous defense and intelligence system at home. † (http://encarta/msn. com/text_761559607__0/Korean_War. html) The Korean War was able to reinforce the idea of a more prominent military system and the importance of the United Nations. * The Korean War had both positive and negative effects. The Korean War was able to boost the economy of the Japanese government and revive their economy similarly to the way ours was during WWII. The Korean War, however, was very destructive to Korea.Both North and South Korea had much causality but they both were stretched economically. With the end of the Korean War it left Korea still split and still with a communist government to deal with even through today. The Korean War also legitimized the United Nations as well as brought more military power throughout the world. The effects of the Korean War can without a doubt still be seen throughout the world today. * January 14, 1950: Ho Chi Minh proclaims DRV (Democratic Republic of Vietnam). * April 25, 1950: Truman approves NSC-68 * May 30, 1950: In South Korea, Republic Of Korea elections.Many conservatives ousted by moderates. * June 25, 1950: North Korea crosses the 38th Parallel, invading South Korea. * June 25, 1950: First Blair House meeting. * June 26, 1950: North Korea's tanks reach the outskirts of Seoul. * June 27, 1950: Truman commits US Naval and Air support to South Korea. * June 27, 1950: American Delegate asks UN to furnish assistance to ROK (Republic of Korea) to restore international peace. * June 29, 1950: General MacArthur flies to South Korean headquarters at Suwon. * June 30, 1950: Truman and advisers agree to give MacArthur 2 divisions. July 2, 1950: NKPA (North Korean People's Army) takes Suwon. * July 22, 1950: Communist Chinese attack Nationalist Chinese islands, Quemoy and Little Quemoy. * July 29, 1950: MacArthur visits Formosa, home of the Nationalist Chinese defeated by Mao. * August 17, 1950: US announces in UN its goal of a unified, anti-Communist Korea. * August 27, 1950: US planes accidentally attack Manchurian airfields. * September 11, 1950: Truman approves NSC-81/1. * September 15, 1950: With US/UN/ROK forces pushed back nearly to the end of the Korean peninsula, MacArthur launches the Inchon Invasion. September 27, 1950: Walker's Eighth Army makes contact with X Corps. MacArthur gives OK for US forces to cross the 38th Parallel. * September 29, 1950: Syngman Rhee's government ceremonially restored in reconquered Seoul. * October 9, 1950: US Army crosses 38TH Parallel near Kaesong. * October 15, 1950: Wake Island Meeting * October 19, 1950: US forces occupy Pyongyang * October 24, 1950: MacArthur orders his troops into Korea's northernmost provinces. * October 25, 1950: South Korean ROK forces annihilated by PRC (People's Republic of China) forces at Pukchin. * November 1, 1950: First US vs.Communist Chinese fighting at Unsan * November 3, 1950: UN resolution passed, censuring North Korea for â€Å"breach of peace† * November 7, 1950: Congressional Elections in US, seen as a referendum on Truman's policy. * November 27, 1950: US Marines/Infantry surrounded by Chinese Communist forces at Chosin Reservoir. * November 30, 1950: In press conference, Truman admits US may be considering using A-Bomb. * December 15, 1950: Truman declares a state of national emergency. * January 4, 1951: Ridgway evacuates Seoul, withdraws from Inchon * January 25, 1951: Operation Thunderbolt. US/UN/ROK forces go back on the offensive. February 1, 1951: UN censures People's Republic of China for â€Å"aggression† * February 1951: Operation Killer begun. * March 7, 1951: Ridgway launches Operation Ripper. * March 15, 1951: US/UN/ROK forces retake Seoul. * March 24, 1951: MacArthur unilaterally issues an ultimatum to the People's Republic of China. * April 4, 1951: Congress endorses NATO, sends Eisenhower to head unified NATO command. * April 5, 1951: Operation Rugged. * April 5, 1951: Truman dismisses MacArthur from command. * May 3, 1951 to June 25, 1951: Senate Foreign Relations Committee investigates MacArthur's dismissal. April 14, 1951: Gen. James Van Fleet assumes tactical command of Eighth Army. * April 22, 1951: All-out Communist offensive fails to retake Seoul. * May 15, 1951: Another Communist offensive, again fails to take territory. * May 18, 1951: Ridgway launches counteroffensive. * May 18, 1951: UN nations start military goods boycott of the People Republic of China. * May 30, 1951: Operation Piledriver, an offensive against the Iron Triangle, begins. * June 30, 1951: Ridgway broadcasts first American overture for peace talks. * July 8, 1951: Peace talks begin at Kaesong. August 19, 1951: Communists accuse UN forces of violating the Kaesong area, suspend the talks. * October 25, 1951 : Peace talks resume at Panmunjom. * March 29, 1952: Truman announces he will not run for reelection. * April 11, 1952: Truman relieves Eisenhower of command so he can run for President. * June 1952: Washington authorizes bombing Korean power plants on the Yalu river. * July 11, 1952: US air attack on Pyongyang. * August 5, 1952: Rhee wins another clearly rigged election. * November 4, 1952: Eisenhower wins Presidential election in landslide. November 29, 1952: Eisenhower secretly goes to Korea on fact-finding mission * February 11, 1953: Eisenhower replaces the frustrated Van Fleet with Lt. Gen. Maxwell Taylor. * April 16, 1953: Communists attack â€Å"Pork Chop Hill† * April 26, 1953: Talks resume at Panmunjom. * June 8, 1953: â€Å"Terms of Reference,† regulating POW repatriation, signed. * July 19, 1953: Delegates reach agreement at Panmunjom. * July 27, 1953: Peace Treaty signed at Panmunjom. 38th parallel reset as boundary between communist North and anti-communi st South. Cold War tensions continue unabated.

Define Global Governance Essay Example | Topics and Well Written Essays - 3750 words

Define Global Governance - Essay Example These factors are very common and can never be downplayed by the champions of global governance. It is like this: A father or an elderly person is the head of a family where all members of it should generally go by the word of the former. But practically, you would find different perceptions even in a family on issues of importance as each and every member of family seeks individuality in conducting his / her own affairs. This is because as we find different mentalities and opinions on part of individuals. This situation can be extended to a global village where all nations are expected to adhere to the directives of the global governing body irrespective of its nature. Even in a country where all state or provincial governments are guided and controlled by a single federal government, we find differences and quarrels over sharing of river waters and other petty issues. In most of the countries, governments have been facing separatist agitations or movements for some reason or the ot her. The sole reason for this situation is that no one agrees with the other on issues of prime importance. In such a situation, we cannot expect all nations to go by one single commanding entity on several issues at the international level. A recent example is North Korea which defied the world nations and test fired seven missile launches that could carry nuclear warheads. It jolted the entire world and the USA was the first country to react in a threatening manner. North Korea's immediate neighbor Japan also lost no time in calling for an urgent meeting of the UN Security Council to discuss the issue (Marquand, 2006). We must not undermine the argument of North Korea that the US has no business to question its missile program as it had tons and tons of nuclear missiles and warheads on the American soil. This argument is not without reason and most surprisingly, neither the UN nor any other global governing body supervising the nuclear arms proliferation supported the logical North Korean argument. The USA has a clear responsibility to answer the North Korean claim in a convincing manner. When the global governing agencies like the UN and the International Atomic Energy Commission succeed in obtaining an answer from t he USA that convinces the North Korean Government that could only be the first step in the right direction towards achieving global governance for all practical purposes! Bibliography to be included in journals section Marquand, Robert 2006, 'Korea's missile salvo to world', Christian Science Monitor, July 06 edition.

Predict future business opportunities and threats in the national and Essay

Predict future business opportunities and threats in the national and global environment - Essay Example The purpose of this paper is to describe and analyze threats and opportunities that businesses face in the future domestically and internationally. The economies of countries have become more interconnected than in the past. A potential opportunity for businesses in the global economy is to take advantage of the growing trade from emerging economies. Emerging economies can be defined as rapidly growing and volatile economies that promise huge potential for growth, but also pose significant political, monetary, and social risks (Businessdictionary). In a lot of these emerging economies there are a growing number of middle class citizens that are looking to purchase consumer products in order to increase their standard of living. Two examples emerging economies that pose a tremendous opportunity for companies looking to expand into foreign markets due to their large populations are China and India. The combined population of China and India account for over one-third of the global popu lation. A market that has been forgotten by the business community which poses an opportunity for companies looking to expand oversees is Africa. The Sub-Sahara African region is considered by many economists as the frontier market. Africa has six of the ten fastest economies in the world (Harare and Johannesburg). Another reason that Africa represents a huge opportunity for businesses in the future is due to the fact that within three decades Africa will surpasses China as the world’s largest workforce. In the future another factor that represents an opportunity for businesses is technological advancement. Companies must invest money in research and development in order to accelerate the process of innovation to bring new technologies to the market. Companies will be able to improve their manufacturing capabilities as technologies such as robotics become advance enough to replace the need for human labor. Automation provides several advantages to companies such as lower labo r costs and greater productivity. â€Å"Automation created hundreds of millions of jobs in entirely new fields† (Kelly). The premise that robotics and automation will increase unemployment is erroneous. The need of low skilled laborers will decrease in the future, but the demand for skilled laborers will rise. New technologies are going to create new markets and more opportunities for new businesses. The supply of labor in the future will change in regards to how companies recruit personnel. The old approach of focusing mainly in employees located near the geographical location of the business will change. Companies in the future are going to look more to recruit employees internationally because it will become harder to find educated employees in many fields from the local labor supply. The governments of the different nations across the world are going to have to change their immigration policies in order to adjust to the needs of global corporations. In the future companie s will be able to reduce their operating costs associated with energy due to the fact that renewable energy sources will become cheap enough to replace the dependency on petroleum as the main source of energy and gasoline. Despite all the positive scenarios of the future of business there are also threats that corporations must deal with. Robotics poses both an opportunity and a threat. If machines evolve enough to have artificial intelligence that is smarter than the human brain it is possible that the robotics

Chapter 5 Essay Example | Topics and Well Written Essays - 500 words

Chapter 5 - Essay Example 2. The LMX theory provides predictions in terms of stages of relationship development. With each individual, both leader and subordinate, there is a phase in which both assess each other’s potential. The potential is defined as each person’s motivations, attitude and respect for one another. Provided this is established, there is a development of trust, loyalty and greater respect. At the final stage of this progress, self-interest becomes intertwined in the commitment of both leader and subordinate in mission objectives. In vases of low-exchange relationships, the consequences of this are lower compliance with the terms of each mission, particularly if the subordinate in a low-exchange relationship feels that he is being less favored than other subordinates are. This will cause the team to become antagonistic instead of welcoming of work together. It is imperative that the leader create a feeling of respect, trust and loyalty among all subordinates, while treating each as an individual respecting their needs and wants as well. 3.

Global Perspectives. Portfolio Essay Example | Topics and Well Written Essays - 3000 words

Global Perspectives. Portfolio - Essay Example Activity Section 3 - Once you have completed this task take one global issue and one global process and undertake some further research on the internet. Write a brief summary of your research (retain for your portfolio) and then share with others in your respective Group Discussion Forum. On completion of the forum discussion write a brief summary of what you have learned from the discussion. Brief summaries of research and what you have learned from the discussion: Put here what you retained for the portfolio: a brief summary of your research (approx. 200 words) and a brief summary of what you have learned from the discussion (approx. 200 words). Activity Section 4 (part 1) - On the basis of your reading and experience what is your view of globalisation and how does it impact upon your experience? What are the benefits (of globalisation) and from whose perspective, and what are the negative consequences? Prepare a summary of your responses Task Section 5 - Chose one global issue that particularly interests you. Conduct your own research on your chosen issue and evaluate how knowledge varies depending on its source. Consider why there are discrepancies in opinion in your chosen issue and what the implications are in terms of the importance of who says what and when and most importantly why (what interests are at stake? Formal or informal, explicit or implicit). (maximum 1 page) Activity Section 6 (part 1) - Search the internet to learn about sustainable development. You are asked to consider two questions: If the economic model is based on continual growth is this at odds with sustainability and why? What is the role of business with regard to sustainable development and what does your organisation do with regard to sustainability? In this section you have been asked to note a number of responses as you have gone through the material. Scenario for UNEP Representative - Imagine you are a representative of the UN Environment Programme (UNEP) and have been

Managing people Essay Example | Topics and Well Written Essays - 2500 words - 1

Managing people - Essay Example Concurrently, the changing demands from non-unionised employees are calling for salary re-negotiation that can easily lead to significant imbalance in management salaries. However, in order to remain without considerable trade union influence, the company is considering renegotiating these pay structures as part of what appears to be a poorly-developed salary and reward system. This report highlights the problems at Fastening Technologies in comparison to traditional versus more progressive HR policies and models available. Recommendations are offered in how to improve the most fundamental and long-lasting problems at the company related to performance appraisal systems, rewards management, and organisational structure and culture. Armstrong (2006) identifies that the total aim of HRM is â€Å"to ensure the organisation is able to achieve success through people† (p.28). This is a well-developed practice at Fastening Technologies Limited as with a change in HR leadership came new and ongoing discussions about how to link mission goals and strategy with human development and performance. Fortunately, Fastening Technologies has a team-focused organisational model that supports team training and interpersonal relationship development between managers and subordinates. Through the efforts of current HR leadership, the business has become a collectivist culture where group needs and team structures drive decision-making in management and within the line and support employee networks. Despite the efforts to build new systems and remove HR redundancies during a period where pricing has led to cost-cutting issues, Fastening Technologies seems to have a fundamental misunderstanding about employee behaviours and their personality related to job performance and motivation. Treven & Potocan (2005) refer to the locus of control model that dictates the level to which employees will

Essay assignment Example | Topics and Well Written Essays - 2750 words

Assignment - Essay Example It is significant to appreciate that the lawfulness of the Education Act and its inherent relations to external affairs power. The federal state of Australia, as you are aware, is a member of Commonwealth parliament. Adoption of the Act by the federal government comes a week after passage of the same act by the Commonwealth assembly. The principal controversy follows inherent rejection of the Act by members of the opposition in our federal parliament. Just to recap the content of National Education Act 2015, it has a collection of relevant legislation to our current educational needs. The current National Education Acts clearly expounds details of an education institution and its role in the society. It identifies an education institution as any organization with a primary goal of providing instruction to pupils within the age of 5 years to 18 years in the relevant subjects such as mathematics and science literacy. It also encompasses the National Education Standards and defines it as the body of principles pertaining to the primary or secondary education. Ministry of Education must promulgate this body of principle to enable it take effect on any states education system (Zines, 2008). The inherent discussion centers on section 1(c) of the promulgated Act. This sub-section introduces the cause of disagreement in the past Act. It introduces the Commonwealth Education Proctor, as a representative of the Commonwealth to our education institutions including Kearneys Spring State School. The Commonwealth Educational Proctor does an oversight role on behalf of the Commonwealth on our education system and quality. It is mandatory, according to the Act, to have such an official in every Australian school (Zines, 2008). The Minister of Education has the power according to the Act of organizing for the appointment of Commonwealth Education Proctor in any member State of Commonwealth within all the respective

Summary Assignment Example | Topics and Well Written Essays - 500 words - 28

Summary - Assignment Example The government advocated socialist ideologies but which however could not be marketed on the global market since these did not appeal to the post modern types of films. It is for this reason that the Fifth Generation films took a radical approach in their development and could be viewed as rebellious. Though they were banned on the domestic market, they received significant appreciation on the global market. The fifth generation films specifically moved from a usual Chinese Kung fu movie towards depicting a disintegrating socialist background. This is illustrated in the film tilted (Platform 2000) which shows the successful troupe of cultural workers from Fenyang to the countryside. The other issue is that Jia’s films are primarily concerned with portraying a sociological perspective with regard to the social problems caused by the Chinese development. For instance, the films focused on issues such as destruction of the environment, neighborhood s as well as the destruction of families as some of the problems caused by contemporary Chinese development. Jia also incorporated pop music in his films as a form of entertainment given that his childhood was characterised by complete lack of entertainment. The arrival of Japanese pop music and Hollywood films had a liberating effect since these revolutionized the Chinese film. The other issue that characterized Jia’s films is tha t he was concerned about portraying reality through the camera. The sixth generation on the other hand not only rejected the metaphysical image of China but reflected a polarized society. However, the sixth generation film is of the view that a paradigm transformation about the way the camera portrays reality should be confronted and all the contradictions should be captured. For instance, xiancheng is is a true reflection of socialist industrialization failure. This has in fact led to cultural poverty as depicted in Jia’s films. The

Self awareness and career development Essay Example | Topics and Well Written Essays - 2500 words

Self awareness and career development - Essay Example This theory explains the need of self awareness and how it will be useful in leading a better life. According to this theory, one can develop interpersonal skills. A person should co-operate with his team members and must be a good team player. If a person following Holland's theory will have a strong career and will find it easy to develop his skills. This will help in minimizing the problems with in colleagues. This theory will guide in enhancing one's personality in terms of his behavior, skills and growth in career. Without self awareness, a person cannot progress in career, as they find it difficult to move well with others and unable to carve a niche for himself. Holland's theory of career development comprises of two categories that helps in achieving careers that are stable. Aim of his theory is to enhance people's interests and help them pursue in their career which leads to success. According to Daniel Goleman(1995), emotional intelligence plays a vital role in self awareness and career development. Emotional intelligence sharpens one's attitude of analyzing others. (Goleman 1995). This theory Emotional intelligence helps a complete organizational process, right from the selecting a candidate, conducting test and interviews and appointing him in a correct job. It takes care of client's service and the client's relationship with the manufacturer. Almost all the organizational activities can be done in a perfect manner by following this theory. Theory on emotional intelligence can be used to know the abilities and capacity of an employee. This paves the way to a successful career. Major disadvantage is, this theory fails to concentrate on the behavior and elements like a person's character. Possessing a good emotional intelligence and not having interpersonal skills will not help in getting a good career. Instead a person must have both these skills to be sure of his career development. As mentioned by Goleman (1995), there are two categories of emotional intelligence. One deals with self understanding in terms of behavior, realization of one's goals. The second category emphasizes on knowing other's feelings and behavior. The important concept of this theory is self motivation, managing and understanding own emotions. Relationship management and managing other's emotions are also a part of emotional intelligence theory. All this in turn leads to self awareness and enhances social skills too. By increasing the emotional intelligence one can be more successful in his career. I personally feel that, Goleman's theory concentrates only on emotional aspects, but in lacks in describing the situational aspects. Though behavior is an important part, knowing only that is not sufficient in developing self awareness. This theory is useful only to understand our own behavior. As mentioned by Albert Bandura (1995), self efficacy is one of the major qualities one should definitely possess. Efficacy is, having a trust in oneself and faith in his abilities to control and manage. One should believe in his talent so that he can excel in his life. (Bandura 1995). In a problematic situation, how a person reacts and behaves also comes under efficacy. One can have a control on his behavior and is responsible for his normal

How to Succeed in College Essay Example for Free

How to Succeed in College Essay For most, the collegiate experience represents a major cornerstone in life. Attending college can provide identity, give direction and fortify the foundation of its students. Success in college means always demonstrating responsible decision making. Attendance policies and rules of participation may not appear to be significant, but they can move a student to the right or to the left in the grading scale. It is also crucial to adhere to rigid standards that command accountability. Some Professors are adamant about participation and class involvement. Academia mandates setting goals and becoming objective. You will discover that these habits, when applied, enhance the window of opportunity for success to enter. Confidence is an essential part of being a successful college student. Likewise, a student that lacks this sort of discipline, readiness and mental strength will most likely be lackadaisical and less likely to thrive in college. The first key to succeeding in college is attendance. Being present and on time ensures that pertinent knowledge is ascertained. Most of all, showing up on time for every class allows the individual to develop positive attendance habits that are just as important in the job market. These habits reflect a sense of dependability to professors and employers alike. A student simply cannot gain information from a lecture if they are not present. Nonetheless, being present is only half of the equation. The next step is class participation. Professors want to see that their students can apply what is being taught to them. This element may stimulate debate, or even trigger thorough research on something in particular. At the college level, participation and attentiveness really exercise the mind. Consequently, when students work in groups, are involved in research and share opinions they are able to hone their communication skills. Subsequently, it is critical for any college student to set goals and concise objectives for accomplishing them. Individuals with something to work toward are most likely to thrive in any c ollege or university. Goals provide the determination to fuel students through adversity; school related or not. Objectives should be well-defined. They are actually small steps indicative of levels of accomplishment and success. For college students, enormous goals are not far-fetched, nor do they seem impossible to reach when clear  objectives exist. Students who regularly set goals and objectives possess more ambition and drive than those who do not. Goal-oriented people have a more resilient work ethic due to the fact that they can see the progression of their hard work when they arrive at specific objectives. This hard work creates a sense of gratitude and individual accomplishment. Ultimately, college students must be prepared mentally and harbor a positive attitude. Self-confidence must be present if anyone is to endure the investment and sacrifice that pave the way to becoming a college graduate. A confident student is one that can evade social distractions and work through personal adversity to get to the finish line. Successful college students and college graduates are mentally poised. This frame of mind beckons the hard-working college student to accept challenges, explore new modes of learning and to appreciate their individuality. A confident mind is a mind for success. The rigors of college can, at times, seem overwhelming. With so much information to process, students are bound to enter their respective careers with a solid grasp on what they are doing. Success in college is contingent almost completely on attitude and fortitude. The college freshman will discover that the road ahead is bumpy, demanding and can be painstaking. The graduating senior will be indebted forever for the journey. The investment is precious; the success affiliated with reaching the destination is boundless.

Upper Respiratory Infections: Causes and Properties

Upper Respiratory Infections: Causes and Properties Robert Middleton Case Study:Â  Upper Respiratory Infections Nature of Upper Respiratory Infections The upper respiratory tract includes the mouth, nose, throat, larynx, and trachea and diseases are named for the anatomical sites that are involved with the infection. Sinusitis is named for the inflammation and infection of the sinus cavity; pharyngitis, the inflammation and infection of the throat; laryngitis, the inflammation of the larynx; and tonsillitis, the infection and inflammation of the tonsils. Many times because the infections affect several sites at the same time, the infections can be grouped under either rhinopharyngitis or tonsillopharyngitis. Rhinopharyngitis is a viral disease that causes the inflammation of the pharynx and mucous membranes inside the nose, increasing the production of mucous. Additional symptoms may include coughing, fever, headache, and fatigue, if left untreated, infection could lead to viral or bacterial pneumonia. Tonsillopharyngitis is a bacterial or viral disease that causes the inflammation of the tonsils and pharynx, when caused by group A streptococcal bacteria, it is called strep throat. Common symptoms include sore throat, inflammation of the tonsils, high fever, headache, pain in the ears and neck, and fatigue. Causative Agents and Mechanisms of Pathogenesis of Upper Respiratory Infections Pathogenesis: Upper respiratory infections are very contagious and spread by inhalation of droplets containing the microorganism or hand to hand contact and then spread to the epithelial layers of the upper respiratory tract. Causative Agents: Most upper respiratory infections are caused by viruses and are the most common of human infections worldwide. Bacterial infections can occur in the upper respiratory tract and are usually the result of group A streptococcus and outside of the United States corynebacterium diptheriae is a major pathogen. Abscesses can develop as a result of infections of deeper tissues of the mucosal sites like peritonsillar abscesses, retrotonsillar abscesses, and retropharyngeal abscesses. Disease Viruses Bacteria and Fungi Rhinitis Rhinoviruses, adenoviruses, coronaviruses, influenza viruses, respiratory syncytial virus Rare Pharyngitis or tonsillitis Adenoviruses, parainfluenza viruses, influenza viruses, rhinoviruses, herpes simplex virus Group A streptococcus, corynebacterium diptheriae Peritonsillar or retropharyngeal abscesses None Group A streptococcus, Fusobacterium, species, Staphlococcus aureus [i]

Shakespeare Who killed Duncan

Shakespeare Who killed Duncan Macbeth is now Thane of Glamis has he emerges from a bloody battle as a brave and fearless warrior. He is admired by many people as a great man. However, this proves not to be the case. Macbeth is one of Shakespeares bloodiest tragedies. This play is a about control, aspiration, greed and eventually murder. These been the traits of Macbeth himself who ultimately wore the blood of king Duncan on his hands that fateful night, however there were many contributory factors that was to influence his final decision. The play Macbeth is set in damp and dreary Scotland, where King Duncan is the ultimate ruler. At the start of the play the Celts are in battle with the Norwegians. We are first introduced to Macbeth as a military hero at his highest peak as he along with Banquo is riding across the weather torn heath. Stumbling upon three witches Macbeth is told a prophecy in which he will eventually become Thane of Cawdor, and King of Scotland. Macbeth welcomes the idea of greatness and it is this which triggers the spiral of events in the story. However, the witches are simply responsible for the mere introduction of these ideas, merely, subconsciously implanting the thought that Macbeth maybe able to control his own destiny by saying All hail Macbeth, hail to thee Thane of Cawdor and All hail Macbeth that shalt be king there after as a worship to Macbeth the witches plant a seed which continues to grow, eventually Causing Duncans death and eventually Macbeths own destruction. In the Elizabethan era witches were generally accepted as real. This period was very superstitious, fearing the power of witches the most. This stemmed from the supposed satanic beliefs of witches and their partnership with the Devil. Believing in the power of the super natural and religion, an Elizabethan audience would have believed the witches prophecies were going to become reality. This would in turn make them follow the gripping plot for the overall outcome of the play. We are then introduced to the character of Lady Macbeth in act one scene five. When she is reading a letter from Macbeth, Lady Macbeths instant response to this, is the thought of killing King Duncan. Hie thee hither, that I may pour my spirits into thine ear this shows she is anxious for Macbeth to return so she can talk to him about the murder. However, she is worried that Macbeths heart is too full o th milk of human kindness. She is aware that her spouse is not without ambition, but without the illness should attend it. At this instant lady Macbeth is relishing the thought of eventually becoming Queen, with the prowess and greatness that this would bring. Though, she is clearly concerned that the nature of Macbeth is too kind. Nevertheless with her awareness of this weakness with the addition of her powers of persuasion, her wavered confidence in Macbeth is soon reinstated. She knows that her manipulation will soon bring success. Lady Macbeths determination to be queen is quite e vident as makes reference to the raven who himself is hoarse and croaks the fatal entrance of Duncan. It is here that the audience would realise she is planning murder King Duncan, she calls upon evil spirits to â€Å"unsex me here† abandoning all of her femininity, her â€Å"direst cruelty† is obvious when opposing her nature asking for it to â€Å"take my milk for gall.† Lady Macbeth appears to be brutal and vicious and thinks nothing of killing King Duncan, having no sense of what is right and wrong. Lady Macbeth believes that it is entirely moral to commit the act of murder, stating Wouldst thou have that which thou esteemst the ornament of life, and live a coward in thine own esteem, she impresses upon Macbeth that to not go through with the deed would be horrible to himself, and that he would be a coward in is own eyes. Here we see her manipulative techniques, by making Macbeth look weak, by questioning his manhood she hopes that Macbeth will respond by doing the opposite in order to maintain his strength in her eyes, and psychologically, in his own. In doing this her success is prevalent as Macbeth carries out her ruthless plan, regardless of his own conscience. After the murderous event, she, unlike Macbeth, is very calm and unmoved she asked Macbeth to return to the murder scene. However, his response ill go no more caused her to act alone. Lady Macbeth takes everything in her stride, raising well above any fear or doubt, and coldly states give me the daggers: the sleeping and the dead are but as pictures: ‘tis the eye of childhood that fears a painted devil she then visits the murder scene returning the dagger to the Kings room and cleverly smears the grooms with blood of Duncan. This shows her strength and composure with no element of weakness. On Lady Macbeths return from the murder scene Macbeth is anxious and edgy. This is shown by Macbeths reaction to the knocking Whence is that knocking. How isnt with me, when every noise appals me? On reflection of the killing of King Duncan Macbeth hallucinates and goes temporarily insane Methought I heard a voice cry ‘Sleep no more! Macbeth does murder sleep, the innocent sleep, sleep that knits up the ravelled sleave of care, the death of each days life, sore labours bath balm of hurt minds, great Natures second course, chief nourisher in life feast. This shows the importance of sleep, and Macbeths extreme lack of it leading up too and subsequent to the murder of King Duncan. Unlike Macbeth, Lady Macbeth maintains her composure the day after the murder. However she is concerned that Macbeths weakness will soon prevail. We witness her anxiety when she urges her husband to be light hearted and merry. Lady Macbeths direct thoughts may make her appear utterly cold and ruthless, but is this really so? Lady Macbeth clearly takes steps in order to clear her conscience of the evil spirits to stop up th access and passage to remorse in order to be relentless. I believe this was in order for her conscience to allow her to act in such an unremorseful way. The phenomenal strength of Lady Macbeth is invigorated for the occasion and her heartless abilities are proved through her particular attention to detail regarding the murder. But still, her moral conscience triumphed as lady Macbeth eventually revealed this when she comments Had he not resembled my father as he slept, I had donet In conclusion after carefully considering the mitigating factors leading up to the tragic event Lady Macbeth played a large part in the precipitated murder of King Duncan. However, Ultimately It was Macbeth who was responsible for his death after sercoming to her manipulation by committing the eventual act. Unfortunately Macbeths downfall was caused by his greed after allowing his ambition to control his destiny. I strongly believe the witches can not be blamed for Macbeths murderous behaviour themselves. The witches simply anticipated rather than initiated Macbeths actions. I am of the belief that with the influence of lady Macbeth in addition to his clear personal ambition Macbeth would have, in time, still murdered King Duncan. Macbeth was himself a callus individual who wouldnt let anyone or anything stand his way. It is in the end, each individuals decision to fall for the temptation, or to be strong enough to resist their captivation.

Steven Spielberg :: Essays Papers

Steven Spielberg Steven Spielberg is an American motion-picture director, producer and executive, who has achieved great commercial success and is among the most popular film-makers of the late 20th Century. Spielberg made his first film at the age of 12. In 1969, his short film â€Å"Amblin† came to the attention of Universal Pictures and he signed a seven-year contract with them. His earliest commercial efforts were television movies, which included the f m â€Å"Duel† made in 1971, and which gained him wider recognition. In 1975 Spielberg made the film â€Å"Jaws†, a thriller based on Peter Benchley’s novel about a great white shark. â€Å"Jaws† proved to be a tremendous success and quickly established Spielberg’s reputation and fame. After this, with only few exceptions, almost every motion picture that Spielberg has handled has become a box-office hit, and he has been increasingly regarded as a film-maker of genuine artistic ability. Subsequent films have included â€Å" Close Encounters of the Third Kind†(1977), â€Å"1941†(1979), â€Å"Raiders of the Lost Ark†(1981) and it’s sequels: â€Å"Indiana Jones and the Temple of Doom†(1984) and â€Å"Indiana Jones and the Last Crusade(1989), also â€Å"E.T.† (1982) which has been said to have been his greatest achievement, â€Å"The Color Purple† (1985), â€Å"Empire of the Sun†(1987), â€Å"Always†(1989) and â€Å"Hook†(1991). In 1993 Spielberg released two films that had tremendous commercial and artistic impact. â€Å"Jurassic Park† featuring computer-createad dinosaurs, which within four weeks of it’s release became the top-grossing motion picture up to that time. He als released â€Å"Schindlers List†, an epic of the Holocaust, this proved him to be a director of grear power and sensitivity, he received an academy award for best director and best picture. In 1987 he had received the Irving Thalberg Award. In 1994, with Jeffrey Katzenberg and David Geffen, Spielberg formed a new studio, Dreamworks SKG, they also annouced the formation of a creative partnership with Microsoft Corporation - Dreamworks Interactive - to produce interactive games, videos a teaching materials.

Is Mill a Rule Utilitarian? Essay -- essays research papers

D. Vinson Is Mill A Rule Utilitarian?   Ã‚  Ã‚  Ã‚  Ã‚  I don’t believe so. I must begin my argument with two definitions and one assumption. First, Rule Utilitarianism states that right action is defined by whether or not a given action is an instance of a moral rule that tends to maximize utility. Second, Act Utilitarianism states that right action is defined by whether or not a given action maximizes utility. Finally, the Utilitarian Principle holds that right actions are right in proportion as they tend to promote happiness; wrong as they tend to produce the reverse of happiness. I hope that my assumption will be granted as it is taken verbatim from the text. With these notions as a starting point I believe that I can now show Mill to be an act-utilitarian.   Ã‚  Ã‚  Ã‚  Ã‚  The case for Mill being a rule-utilitarian is a strong one. Mill certainly relies heavily on rules in his treatise and argues that they are useful to the point of necessity.   Ã‚  Ã‚  Ã‚  Ã‚  To consider the rules of morality as improvable is one thing;   Ã‚  Ã‚  Ã‚  Ã‚  to pass over the intermediate generalizations entirely, and to   Ã‚  Ã‚  Ã‚  Ã‚  endeavor to test each individual action directly by the first   Ã‚  Ã‚  Ã‚  Ã‚  principle is another.   Ã‚  Ã‚  Ã‚  Ã‚  Further on in the text, Mill even seems to minimize the importance of the first principle by declaring that it is only useful for settling disputes ove...

Prejudice Essay -- essays research papers

For this oral history paper I was very excited to find someone with a quite interesting and culturally diverse family background that I think would contribute a lot to the topic of prejudice and stereotype. This paper will discuss the views of stereotype and prejudice of my interviewee and also how the two factors have affected her life. Brown (1995) defines prejudice as a negative attitude, emotion, or behavior towards members of a group as a result of their membership of that group. This negative attitude, emotion, or behavior that we project toward members of a particular group is influenced by the attitudes of others around us and the norms of our ingroup. In this paper I would try to use the interviewee’s stories which in many instances are filled with treatments of prejudices and stereotypes coming from herself and others. The person I interview is FDG, a 23 year-old female college student with a Motion Picture/Movie Production at the Academy of Art in San Francisco. FDG was born and raised in Jakarta, Indonesia. Her father is Indonesian and her mother is from Turkmenistan (formerly part of the Soviet Union). Her father comes from a very religious (Moslem) family in Sumatra and it was quite a horror to his family when he decided to marry a foreign Jewish girl (her mother then converted to Islam when FDG was 7 years old). FDG comes from a very comfortable economic background, both her parents are chemical engineers. FDG said that she grew up in a very sheltered environment where almost every she needed were provided for. As a child of a mixed raced couple, FDG becomes a member of the minority group in the country she was living in where most couples come from similar economic, religious, and ethnic backgrounds. FDG now acknowledges that during her childhood and adolescence she had encountered and experienced stereotyping and prejudice. Because Russian is her first language, in kindergarten she was teased by her friends for not being able to speak Indonesian fluently and looking different than the others. â€Å"I’ve always hated my blonde hair,† says FDG, â€Å"one time a friend accused me of being an albino Indonesian†¦ I guess he couldn’t accept the fact that I had a Russian mother with blonde her too!† In the 4th grade she got into a fight and punched a classmate after he yelled, â€Å"Go back to where you belong†¦ you Russian terrorist!† FDG remarks that looking ba... ... being categorized in the Chinese group. FDG knows what it feels like to be prejudiced against, without realizing it she still cannot help from being a prejudiced person herself towards certain members of one group (Chinese Indonesians). Like many of other native Indonesians, she also has adopted some prejudiced views against Chinese Indonesians. When I ask FDG if she realizes that she is treating this particular group with the same stereotypes and prejudices that she was treated with while she was living in Indonesia, she says yes. FDG said that she acknowledges it but later on comments that she cannot help but be influenced by the perception of the majority. Although FDG may always encounter prejudices and stereotypes in the future, she now know that it is important to get to know a person based on their intelligence and not by their ethnic backgrounds. Now that she is living in a more â€Å"international† environment such as San Francisco, I think FDG is now able to broaden her perception towards prejudices and stereotypes and hopefully she will finally come to terms with her own diverse heritage and not have negative perceptions regarding others that are different from herself.

Part Three Chapter II

II ‘Wha' d'you wan'?' Terri Weedon's shrunken body was dwarfed by her own doorway. She put claw-like hands on either jamb, trying to make herself more imposing, barring the entrance. It was eight in the morning; Krystal had just left with Robbie. ‘Wanna talk ter yeh,' said her sister. Broad and mannish in her white vest and tracksuit bottoms, Cheryl sucked on a cigarette and squinted at Terri through the smoke. ‘Nana Cath's died,' she said. ‘Wha'?' ‘Nana Cath's died,' repeated Cheryl loudly. ‘Like you fuckin' care.' But Terri had heard the first time. The news had hit her so hard in the guts that she had asked to hear it again out of confusion. ‘Are you blasted?' demanded Cheryl, glaring into the taut and empty face. ‘Fuck off. No, I ain't.' It was the truth. Terri had not used that morning; she had not used for three weeks. She took no pride in it; there was no star chart pinned up in the kitchen; she had managed longer than this before, months, even. Obbo had been away for the past fortnight, so it had been easier. But her works were still in the old biscuit tin, and the craving burned like an eternal flame inside her frail body. ‘She died yesterday. Danielle on'y fuckin' bothered to lemme know this mornin',' said Cheryl. ‘An' I were gonna go up the ‘ospital an' see ‘er again today. Danielle's after the ‘ouse. Nana Cath's ‘ouse. Greedy bitch.' Terri had not been inside the little terraced house on Hope Street for a long time, but when Cheryl spoke she saw, very vividly, the knick-knacks on the sideboard and the net curtains. She imagined Danielle there, pocketing things, ferreting in cupboards. ‘Funeral's Tuesday at nine, up the crematorium.' ‘Right,' said Terri. ‘It's our ‘ouse as much as Danielle's,' said Cheryl. ‘I'll tell ‘er we wan' our share. Shall I?' ‘Yeah,' said Terri. She watched until Cheryl's canary hair and tattoos had vanished around the corner, then retreated inside. Nana Cath dead. They had not spoken for a long time. I'm washin' my ‘ands of yeh. I've ‘ad enough, Terri, I've ‘ad it. She had never stopped seeing Krystal, though. Krystal had become her blue-eyed girl. She had been to watch Krystal row in her stupid boat races. She had said Krystal's name on her deathbed, not Terri's. Fine, then, you old bitch. Like I care. Too late now. Tight-chested and trembling, Terri moved through her stinking kitchen in search of cigarettes, but really craving the spoon, the flame and the needle. Too late, now, to say to the old lady what she ought to have said. Too late, now, to become again her Terri-Baby. Big girls don't cry †¦ big girls don't cry †¦ It had been years before she had realized that the song Nana Cath had sung her, in her rasping smoker's voice, was really ‘Sherry Baby'. Terri's hands scuttled like vermin through the debris on the work tops, searching for fag packets, ripping them apart, finding them all empty. Krystal had probably had the last of them; she was a greedy little cow, just like Danielle, riffling through Nana Cath's possessions, trying to keep her death quiet from the rest of them. There was a long stub lying on a greasy plate; Terri wiped it off on her T-shirt and lit it on the gas cooker. Inside her head, she heard her own eleven-year-old voice. I wish you was my mummy. She did not want to remember. She leaned up against the sink, smoking, trying to look forward, to imagine the clash that was coming between her two older sisters. Nobody messed with Cheryl and Shane: they were both handy with their fists, and Shane had put burning rags through some poor bastard's letter box not so long ago; it was why he'd done his last stretch, and he would still be inside if the house had not been empty at the time. But Danielle had weapons Cheryl did not: money and her own home, and a landline. She knew official people and how to talk to them. She was the kind that had spare keys, and mysterious bits of paperwork. Yet Terri doubted that Danielle would get the house, even with her secret weapons. There were more than just the three of them; Nana Cath had had loads of grandchildren and great-grandchildren. After Terri had been taken into care, her father had had more kids. Nine in total, Cheryl reckoned, to five different mothers. Terri had never met her half-siblings, but Krystal had told her that Nana Cath saw them. ‘Yeah?' she had retorted. ‘I hope they rob her blind, the stupid old bitch.' So she saw the rest of the family, but they weren't exactly angels, from all that Terri had heard. It was only she, who had once been Terri-Baby, whom Nana Cath had cut adrift for ever. When you were straight, evil thoughts and memories came pouring up out of the darkness inside you; buzzing black flies clinging to the insides of your skull. I wish you was my mummy. In the vest top that Terri was wearing today, her scarred arm, neck and upper back were fully exposed, swirled into unnatural folds and creases like melted ice cream. She had spent six weeks in the burns unit of South West General when she was eleven. (‘How did it happen, love?' asked the mother of the child in the next bed. Her father had thrown a pan of burning chip fat at her. Her Human League T-shirt had caught fire. †Naccident,' Terri muttered. It was what she had told everyone, including the social worker and the nurses. She would no sooner have shopped her father than chosen to burn alive. Her mother had walked out shortly after Terri's eleventh birthday, leaving all three daughters behind. Danielle and Cheryl had moved in with their boyfriends' families within days. Terri had been the only one left, trying to make chips for her father, clinging to the hope that her mother would come back. Even through the agony and the terror of those first days and nights in the hospital, she had been glad it had happened, because she was sure that her mum would hear about it and come and get her. Every time there was movement at the end of the ward, Terri's heart would leap. But in six long weeks of pain and loneliness, the only visitor had been Nana Cath. Through quiet afternoons and evenings, Nana Cath had come to sit beside her granddaughter, reminding her to say thank you to the nurses, grim-faced and strict, yet leaking unexpected tenderness. She brought Terri a cheap plastic doll in a shiny black mac, but when Terri undressed her, she had nothing on underneath. ‘She's got no knickers, Nana.' And Nana Cath had giggled. Nana Cath never giggled. I wish you was my mummy. She had wanted Nana Cath to take her home. She had asked her to, and Nana Cath had agreed. Sometimes Terri thought that those weeks in hospital had been the happiest of her life, even with the pain. It had been so safe, and people had been kind to her and looked after her. She had thought that she was going home with Nana Cath, to the house with the pretty net curtains, and not back to her father; not back to the bedroom door flying open in the night, banging off the David Essex poster Cheryl had left behind, and her father with his hand on his fly, approaching the bed where she begged him not to †¦ ) The adult Terri threw the smoking filter of the cigarette stub down onto the kitchen floor and strode to her front door. She needed more than nicotine. Down the path and along the street she marched, walking in the same direction as Cheryl. Out of the corner of her eye she saw them, two of her neighbours chatting on the pavement, watching her go by. Like a fucking picture? It'll last longer. Terri knew that she was a perennial subject of gossip; she knew what they said about her; they shouted it after her sometimes. The stuck-up bitch next door was forever whining to the council about the state of Terri's garden. Fuck them, fuck them, fuck them †¦ She was jogging along, trying to outrun the memories. You don't even know who the father is, do yeh, yer whore? I'm washin' my ‘ands of yeh, Terri, I've ‘ad enough. That had been the last time they had ever spoken, and Nana Cath had called her what everyone else called her, and Terri had responded in kind. Fuck you, then, you miserable old cow, fuck you. She had never said, ‘You let me down, Nana Cath.' She had never said, ‘Why didn't you keep me?' She had never said, ‘I loved you more than anyone, Nana Cath.' She hoped to God Obbo was back. He was supposed to be back today; today or tomorrow. She had to have some. She had to. ‘All righ', Terri?' ‘Seen Obbo?' she asked the boy who was smoking and drinking on the wall outside the off licence. The scars on her back felt as though they were burning again. He shook his head, chewing, leering at her. She hurried on. Nagging thoughts of the social worker, of Krystal, of Robbie: more buzzing flies, but they were like the staring neighbours, judges all; they did not understand the terrible urgency of her need. (Nana Cath had collected her from the hospital and taken her home to the spare room. It had been the cleanest, prettiest room Terri had ever slept in. On each of the three evenings she had spent there, she had sat up in bed after Nana Cath had kissed her goodnight, and rearranged the ornaments beside her on the windowsill. There had been a tinkling bunch of glass flowers in a glass vase, a plastic pink paperweight with a shell in it and Terri's favourite, a rearing pottery horse with a silly smile on its face. ‘I like horses,' she had told Nana Cath. There had been a school trip to the agricultural show, in the days before Terri's mother had left. The class had met a gigantic black Shire covered in horse brasses. She was the only one brave enough to stroke it. The smell had intoxicated her. She had hugged its column of a leg, ending in the massive feathered white hoof, and felt the living flesh beneath the hair, while her teacher said, ‘Careful, Terri, careful!' and the old man with the horse had smiled at her and told her it was quite safe, Samson wouldn't hurt a nice little girl like her. The pottery horse was a different colour: yellow with a black mane and tail. ‘You can ‘ave it,' Nana Cath told her, and Terri had known true ecstasy. But on the fourth morning her father had arrived. ‘You're comin' home,' he had said, and the look on his face had terrified her. ‘You're not stayin' with that fuckin' grassin' old cow. No, you ain't. No, you ain't, you little bitch.' Nana Cath was as frightened as Terri. ‘Mikey, no,' she kept bleating. Some of the neighbours were peering through the windows. Nana Cath had Terri by one arm, and her father had the other. ‘You're coming home with me!' He blacked Nana Cath's eye. He dragged Terri into his car. When he got her back to the house, he beat and kicked every bit of her he could reach.) ‘Seen Obbo?' Terri shouted at Obbo's neighbour, from fifty yards away. ‘Is ‘e back?' ‘I dunno,' said the woman, turning away. (When Michael was not beating Terri, he was doing the other things to her, the things she could not talk about. Nana Cath did not come any more. Terri ran away at thirteen, but not to Nana Cath's; she did not want her father to find her. They caught her anyway, and put her into care.) Terri thumped on Obbo's door and waited. She tried again, but nobody came. She sank onto the doorstep, shaking and began to cry. Two truanting Winterdown girls glanced at her as they passed. ‘Tha's Krystal Weedon's mum,' one of them said loudly. ‘The prozzie?' the other replied at the top of her voice. Terri could not muster the strength to swear at them, because she was crying so hard. Snorting and giggling, the girls strode out of sight. ‘Whore!' one of them called back from the end of the street.