EFFECTIVENESS OF INTERNET ADVERTISING Essay

Web advertising first appeared in 1994. Eleven years later, in 2005, U.S. companies spent $12.5 billion advertising online. No longer is that the irrational money of venture-backed start-ups with dubious business models; according to Nielsen/NetRatings, 25% of all display ads in 2005 promoted Fortune 500 companies. Advertisers already spent double the amount online that they spent in 2005 on billboards and other outdoor advertising and roughly half of what they spent respectively on magazine and radio advertising. And after brief market contraction in 2001 and 2002, the online ad industry has been growing 30+% from then. Yet, despite this rapid mainstream of online advertising, many advertisers still are not observing a range of established tactics and strategies understood to substantially improve the effectiveness of online ad campaigns. In some cases, this is because advertisers are new enough to the internet to remain behind on the learning curve. In other cases, many advertisers have viewed the Internet as a source of â€Å"cheap† advertising and therefore do not invest sufficiently in experimentation and research to identify for themselves the tactics that work best.†Sometimes advertisers are pennywise and pound the foolish in not running brand effectiveness studies and using the click-through rate to measure the success of a brand campaign,† said Yaakov Kimelfeld, director of business intelligence and Beyond Interactive. Brian Eakin, Associate Media Director at Freestyle Interactive, concurs: â€Å"While many clients will say that there is value in learning, the clients most in need of actionable research and most connected to a cost-per-sale measure of success, and many of them simply would not allocate the investment that does not mean immediately contribute to product sales. The challenge of planners is to extract the strategic insight from active campaigns without forcing their clients to choose betw een sales and learnings.† Online advertising remains new and fast evolving. But after a decade, it has  been around long enough for several best practices to emerge. It is actually a major trend in recent years is a shift towards generating incremental page impressions. The result is online ad prices are going up, and it may no longer be as a â€Å"cheap† advertising medium. It remains, however, and effective one. As such, it is more important than ever for advertisers to master the tactics that produce the best results for their campaigns.   Here are some practices that can optimize the web designing effectiveness. 1. Adopt a Disciplined Framework for Managing Campaigns The most successful online advertisers adhere to a disciplined process. They set clear campaign objectives. They build measurement, targeting and optimization into the campaign process. And they carefully assess the final results to identify what practices could improve the advertiser’s next campaign. â€Å"If you ask any publisher, they’ll tell you that the spread between response rates to ads can range from 0.02% to 2%,† said Ted Ryan, vice president of sales at NationalGeographic.com. â€Å"That’s a hundredfold difference. That’s what the opportunity is online. Getting best practices right from online ad campaigns isn’t about a 10% improvement in results. It’s about a tenfold or a hundred fold improvement. You can’t afford not to be online. For all that money advertisers invested on TV on brand campaigns, they can get knocked out of water in five minutes on internet by a competitor who does it that much better than they do.† 2. Manage Reach and Frequency Very little will have as dramatic an effect on the success of advertiser campaigns as managing â€Å"reach and frequency.† Whether a campaign’s objectives are more geared towards brand development or direct response, in almost all cases it is in the advertiser’s best interest to maximize the number of people who see the campaign (â€Å"reach†) at an optimal number of exposures to the ad per person (â€Å"frequency†). All too often, however, when advertisers do  not manage their online campaigns closely for this, the result is that a relatively small number of people will see the ads at a tremendously high frequency, wasting many impressions of the campaign. Reach and frequency have a proportional relationship. Each ad impression in campaign is shown either to someone who has not yet seen the campaign, thereby expanding its reach, or to someone who has, increasing the campaign’s average frequency. The â€Å"optimal frequency† – the ideal number of times consumers should be exposed to the campaign’s online ads – is ambiguous. Little research exists on the subject, and results will vary according to the product, campaign objectives and other factors. That said, conventional wisdom is that the optimal frequency for most campaigns is around 4-7 ad exposures, and much beyond that, results hit a point of diminishing returns for both brand and direct response objectives. The challenge for marketers, therefore, is to reach effectively that third of the audience generating only 6% of all pages, while avoiding having heavy users to consume ad impressions at disproportionately high frequencies. The Figure above illustrates the challenge. It graphs a campaign where 37% of the audience sees only one exposure of the ad, 17% sees it twice, 10% sees it thrice, and the distribution gradually diminishes so that only 1% sees the ad 10 times. But then something remarkable happens: 13% of the exposed audience sees the ad 11 times or more. By the time someone has seen an online ad 11 times, the odds that further exposure will improve the person’s opinion of the brand, or likelihood to click on the ad, are low. In other words, 40% of the impressions in this campaign represent money largely wasted. 3. Manage Reach and Frequency through Strategic Media Placement The critical question then is, â€Å"How does one control frequency to maximize reach?† One way is to set a â€Å"frequency cap† with the publisher’s or advertiser’s ad server, using cookies to prevent readers from seeing an ad more than a designated number of times. For a variety of reasons, however,  capping frequency via ad servers can be more difficult in practice than in theory. A more efficient way to control frequency can be through strategic media buying tactics. Back in 2002, the research firm then known as Jupiter Media Metrix demonstrated that an ad campaign of four million impressions could reach an audience at least a third larger when spread evenly over three large sites as opposed to concentrating the same-sized buy on a single site. The key implication was that a broader media buy across several sites was a more efficient way to optimize reach, and moderate frequency, than by concentrating the same number of impressions in fewer sites. The Figure above shown is known as a â€Å"build chart†, showing the varying rates at which audiences accumulate to their monthly total on different types websites. The comScore data show that the audiences for website services and portals scale very quickly: roughly 80% of the monthly accumulated audience to those sites had already visited by the seventh day of the month. At real estate sites, meanwhile, only 35% of the monthly audience had visited within the same one-week period. Sites whose audiences build quickly are likely to attract visitors who come back often, meaning advertisers risk burning through a lot of ad impressions at high frequency levels if their ad buys are too concentrated on these types of sites. Sites that are not as â€Å"sticky†Ã¢â‚¬â€œ with flatter build curves – may have altogether smaller audiences, but campaigns directed towards them will naturally be distributed more evenly across all visitors. The best strategy, therefore, is not to avoid any type of site, but to spread campaigns over multiple sites in order to most efficiently distribute campaign reach at a lower average frequency. 4. Use Rich Media and Video Ad Formats Rich media ads are significantly more effective at engaging users than are standard GIF or JPG image ad formats. These rich media ads are typically formatted in Flash or enhanced-Flash (i.e., specialty rich media ad platforms like DART Motif), with features such as the ability to expand outside of standard ad dimensions, to float across the top of web pages, or to play video clips. Analysis of DART ad-serving logs show that more interactive and prominent rich media units have far higher click rates than standard image ads. The above showing Figure indicates that ads formatted as expandable or in-page units using DART Motif’s rich media platform had more than double the click-rate of image ads, while interstitials (ads, typically large in size, that appears on pages in between two content pages during a user’s surfing session) had more than 10-times the click rate. Motif floating and pop-up ads had close to 50-times the click rates of image ads. To persuade consumer’s positively towards brand attributes, rich media and formats (particularly video) are considerably more effective than the image ad formats. Campaigns served in the platforms of speciality rich media ad providers at least 50% more effective at improving purchase intent than were GIF/JPG image ads(relative to control groups who saw public service announcements), according again to data drawn from Dynamic Logic’s Market Norms, a pool of hundreds of brand research studies. 5. Target Audiences With Appropriate Creative Treatments Another challenge for online ad campaigns is that many agencies have one team, or even one subsidiary company, doing the creative design of ads, and another buying placements on media properties. There may be advantages to this kind of division of labour, including concentrating fields of expertise and cost efficiencies. But the trade-off is that the creative is not always ideally suited for the audiences that see it and the environment where they see it. Closing that gap and better aligning creative executions to the right audiences and environments can have a dramatic impact on campaign effectiveness. â€Å"As you would think, the clients who come on our site and talk about exotic travel, outdoors and environmental issues, and have the creative to go with that, their results can go through the roof,† said Mr. Ryan of NationalGeographic.com. â€Å"Dolby Laboratories, working with the agency Freestyle Interactive, ran a rich media campaign with us,† Mr. Ryan continued. â€Å"I looked at the insertion order and said, ‘Dolby? Okay great, let’s get the business,’ but I wasn’t sure what they wanted with National Geographic’s audience. Then I saw the creative, two interactive ads, one with an electrical storm, and another morphed from the jungle scene to an ocean with the slider bar that changed the sound. The response rates were huge because the ad’s theme was highly relevant to our audience. The campaign metrics, shared by Dolby and Freestyle Interactive, shown by Mr. Ryan was talking about, as seen in the Figure below. RESEARCH DESIGN Research Design The objective of the study is to understand the Effectiveness of Internet Advertising. Research Design Case based research design Data Collection Method Secondary Data Sources of Data Collection There are two sources on which data can be collected via primary source and secondary. The data which are prepared from the main purpose and researcher or owner it is called primary source and the collected from this source is called primary data. The data which is collected from the persons, private bodies, private research agencies etc are called secondary source and the  data collected is from both primary and secondary type. The following are the data from which have been collected from both the sources. Secondary Data is collected through internet, magazines, newspaper and published sources at the various companies. SAMPLING Sampling Sampling is a most important part of the data collection. It is a tool that tries to matches the data according to the criteria. The sampling methods is used specially in the context of data segregation researcher in the field of market research scientific investigation and other fields study where it requires a deep ground selection investigation and other fields study where it requires a deep ground selection of variables. So, sampling is a relevant answer to the accurate and most appropriate selection. JUDGEMENT SAMPLING The judgment sampling is a kind of non-probability sampling where the researchers select the samples from according to its judgment. The criteria have been fixed previously before taking into consideration of the samples. The judgment sampling is one of the most important parts carrying out in any project work. SAMPLING METHOD In this project study, the method adopted for the sampling purpose is the judgment sampling method. SAMPLING SIZE If the sample is too small, it can’t represent the population and outcome will be far more reality. Large samples provide good result, but if sample is too large, it become difficult to handle and also expensive, but in this project samples are taken those involve in web advertising sector. DATA ANALYSIS We identify processes that underlie curiosity resolution and study its impact on consumer motivation and learning. The dataset from our simulated Internet experiment includes process tracking variables (i.e., click stream data from ad-embedded links), traditional attitude and behavioural intention measures, and open-ended protocols. We find that an advertising strategy increases interest and learning relative to a strategy that provides detailed product information. Furthermore, it seems to improve the quality of search substantially (i.e., time spent and attention devoted to specific information), resulting in better and more focused memory and comprehension of new product information. To enhance the effectiveness of Internet advertising of new products, we recommend a curiosity advertising strategy based on four elements: (1) Curiosity generation by highlighting a gap in extant knowledge, (2) The presence of a hint to guide elaboration for curiosity resolution, (3) Sufficient time to try and resolve curiosity as well as the assurance of curiosity- resolving information, (4) The use of measures of consumer elaboration and learning to gauge advertising effectiveness.

Haier Human Resources Management

HRM Effectiveness Evaluation Synergy makes it possible! HRM Effectiveness Evaluation Synergy makes it possible! To Sir Sohail Islam By Group # 3 Date 24-01-2008 Letter of Transmittal GIFT University Gujranwala, Pakistan January, 09, 2008 Mr. Sohail Islam GIFT University Gujranwala, Pakistan Dear Sir, The report is focused on evaluating the effectiveness of Human Resource Department of any multinational Company. We chose Haier for this purpose.We are very thankful to you that you gave us the opportunity to work on such topic, which really made us aware of a lot of hidden facts about the practical HR work done at companies. You helped us a lot in defining this topic. We are very grateful to you that you think us capable of this. Really, we have given our full in this report. We hope it will be above your expectations. Yours affectionately, Zain Hameed, Sarfraz Ahmed, Zohaib Khalid, Umair Ameen, Usman Khalid. Table of Contents Topics Detail |Page Number | |Executive Summary |1 | |Int roduction |3 | |Introduction to Haier |6 | |Company Background |6 | |Company Facts |9 | |Corporate Overview |9 | |Global Presence |10 | |Board of Directors |10 | |Recognition |10 | |Leadership at Haier |12 | |Haier’s HR |14 | |Conception of HR 14 | |Challenge your content, manage†¦Ã¢â‚¬ ¦ |16 | |Values and Philosophy |18 | |Haier in Pakistan |32 | |Evaluation of HR Department |34 | |Conclusion |50 | |References | | Executive Summary This project is concerned with evaluating effectiveness of an HR Department in any multinational company. For the above-described activity, we chose well-known transnational electronic appliances manufacturing company named as â€Å"Haier†. Haier Pakistan holds its office at Raiwind Road. Haier Pakistan has split its HR Department in two parts. One part deals with marketing and distribution employees, while other deals with rest of the employees including administration, accounting, finance, security, and production depart ments.As discussed above, our task was to evaluate the effectiveness of the HR department, and for this purpose we focused on one part of Haier’s HR Department that deals with administration, accounting, finance, security, and production departments. First of all we defined these functions and then evaluated effectiveness of each function in Haier’s HR Department. Haier was incorporated in 1984 only producing household refrigerators. In 2004, Haier’s global sales hit RMB100. 9 billion and Haier brand, valued at RMB61. 6 billion, topped all Chinese trademarks at a nationwide survey. Haier was ranked first in the row of China’s Top 10 Global Brands August 30, 2005 on the Financial Times. Haier CEO Zhang Ruimin was placed 26th of the World’s 50 Most Respected Business Leaders on 17th November, 2005 on Financial Times.Haier’s international promotion framework encompasses global networks for design, procurement, production, distribution and after -sales services. Haier has established 15 manufacture complexes, 30 overseas production factories, 8 design centers and 58,800 sales agents worldwide. From Euro-monitor Statistics, Haier is currently ranked fourth among the global white goods makers by revenue and Haier’s goal is to play a leading role in the world white goods industry. Facing the challenges brought by E-commerce and China’s accession to the WTO, Haier began a management restructuring program in 1998 backed by the efficient Haier Market-chain System practice.During first 5 years, Haier focused on the organization restructuring, management decentralizing with application of advanced information and network systems in order fulfillment, Market-chain performance, logistics, capital operation, after-sales service, product inventory and operational cost reduction. During second 5 year period from 2003, Haier carried out the SBU (strategic business unit) management to stimulate the enthusiasm of every employ ee and to enhance Haier’s competitiveness in global marketplace. Haier has 51,000 full time employees and hires 175,000 contract service personnel, providing a total of 230,000 job opportunities. Haier’s management has been worldwide recognized.Haier has been recommended to the EU Case Studies by Lausanne Management College for Haier Market-chain Management. Haier’s goal is to become a global recognizable brand. (â€Å"Company Background†) The Haier Group is China’s largest home appliance brand and one of the world’s leading white goods home appliance manufacturers. By April 2006, the Haier Group has obtained 6,189 patented technology certificates and 589 software intellectual property rights. Haier products are sold in over 100 countries. Haier is the official Home Appliances Sponsor of the Beijing 2008 Olympic Games. As CEO, Mr. Zhang’s current goal is to further enhance Haier’s leadership in Chinese and global markets and st rengthen the reputation of Haier’s brand worldwide.The philosophy is the driving force behind the motivation and enthusiasm of Haier’s staff of over 50,000 employees worldwide. Haier is now widely recognized in the world. Haier’s production and management system restructuring has enabled Haier to diversify internal and external resources. Haier’s goal is to obtain worldwide recognition and to become one of Fortune Global 500. Haier Pakistan is the Pakistan Sales & Marketing division of the international Haier Group, a globally recognized manufacturer of world-class electrical home appliances. In the next portion evaluation of Haier’s HR department is done on the following basis. †¢ HR Department †¢ HR Planning Analysis and Design of Work †¢ Training and Development †¢ Performance Evaluation We have asked different questions, which are mentioned in the report, which leaded us to following conclusions. There should be a General Ma nager HR, who should be formally trained in HRM. At Haier, Administration Department is merged with Human Resource Department. HR Department should be separate from Administration Department. There are less than enough HR professionals in the Department. According to our information, Haier practices downsizing. Even if Downsizing is inevitable, then lay off employees should be adjusted to other sister organizations, like Haier has SV-RUBA.While designing jobs, The HR department takes information through relevant HODs. The work flow is not documented at Haier. Haier HR Department takes JIT decisions. Haier’s first priority is internal sources for recruitment. The employees who come from internal sources are usually friends or relatives of existing employees. Nepotism is practiced, highly, at Haier. Nepotism reduces the efficiency of employees. Haier’s HR Department does not have any research regarding any issue. Company does not have any system to measure the change in performance and behavior after training. The minimum basic pay at Haier is 4,000. More than 1500 people are working at Haier.Haier’s employees should be given proper and formal training to work on a particular kind of machine. There should be sessions, in which employees should be trained regarding safe work practices. Haier HR department is of the view that most accidents are due to carelessness of employees. Even if it is true, still it is fault of HR department that they did not provide proper training to employees regarding safe work practices. Introduction This project is concerned with evaluating effectiveness of an HR Department in any multinational company. The word, HRM Audit, is also used to describe this activity, but the word, audit, creates some problems in some cases.Audit, usually, refers to financial audits, which is statutorily conducted, and has some negative meanings attached with it for some involved parties, so it would be very wise to call it the evaluat ion or effectiveness measure instead of Audit. For the above-described activity, we chose well-known transnational electronic appliances manufacturing company named as â€Å"Haier†. Haier is expanding very quickly, and has opened many subsidiaries in many countries including Pakistan. Haier Pakistan holds its office at Raiwind Road. This Office is a small portion of a giant size manufacturing plant at the same location. Haier Pakistan has split its HR Department in two parts. One part deals with marketing and distribution employees, while other deals with rest of the employees including administration, accounting, finance, security, and production departments.As discussed above, our task was to evaluate the effectiveness of the HR department, and for this purpose we focused on one part of Haier’s HR Department that deals with administration, accounting, finance, security, and production departments. We split our evaluation work in components. These components were acco rding to different HR Functions. First of all we defined these functions and then evaluated effectiveness of each function in Haier’s HR Department. For this purpose we decided to adopt interviewing approach, because it was most suitable, quick and reliable method as we planned to record each word of that interview. But before doing our desired work, we had to get some general information about Haier, because if you don’t know something, then you can never know a component of that particular thing.Actually our focus is to check the effectiveness of a part of picture by taking whole picture in mind, so a brief introduction about Haier, its History, its leader ship, its achievements, its philosophy and values, its HR Conception, and, most importantly, information about its presence in Pakistan is given below before starting the Evaluation work. Introduction to Haier Company Background Haier was incorporated in 1984 only producing household refrigerators. Over the past 20 years, the company has witnessed significant prosperity and is now a transnational organization widely recognized in the world community. Haier currently manufactures a wide range of household electrical appliances, 15,100 varieties of items in 96 product lines, and exports products to more than 100 countries. In 2004, Haier’s global sales hit RMB100. 9 billion and Haier brand, valued at RMB61. 6 billion, topped all Chinese trademarks at a nationwide survey. Haier was ranked first in the row f China’s Top 10 Global Brands August 30, 2005 on the Financial Times. Haier CEO Zhang Ruimin was placed 26th of the World’s 50 Most Respected Business Leaders on 17th November, 2005 on Financial Times. Zhang Ruimin was ranked 6th of the Asia’s 25 Most Powerful People in Business on Fortune in August, 2004 and first of the 25 Most Powerful Business Leaders inside China on the Chinese Edition of Fortune in April 2005. Haier’s international promotion framework e ncompasses global networks for design, procurement, production, distribution and after-sales services. Haier has established 15 manufacture complexes, 30 overseas production factories, 8 design centers and 58,800 sales agents worldwide.From Zhongyikang Statistics, Haier’s leadership position in Chinese home appliance industry has been solidified by obtaining the domestic market share of 21% for overall appliances, far ahead of all its competitors, 34% for white goods, exceeding globally recognized domination line, and 14% for small electric appliances, overtaking all previous competitive rivals. In the world market, Haier has gained first place in the United States for sales of compact refrigerators and wine coolers, in Iran for washing machines and Cyprus for air conditioners. From Euro-monitor Statistics, Haier is currently ranked fourth among the global white goods makers by revenue and Haier’s goal is to play a leading role in the world white goods industry.On Marc h 4, 2002, Haier unveiled its American headquarters in the landmark neo-classical building, the former offices of the Greenwich Savings Bank, on Broadway, Manhattan, New York, an indication that Haier had moved into a new phase for globalization of product design, manufacture and sales and had a strong determination for long-term development in the United States. On August 20, 2003, Haier erected an electric billboard in the shopping district of Ginza, Tokyo, symbolizing that Haier’s determination to reach Japanese marketplace. Facing the challenges brought by E-commerce and China’s accession to the WTO, Haier began a management restructuring program in 1998 backed by the efficient Haier Market-chain System practice.During first 5 years, Haier focused on the organization restructuring, management decentralizing with application of advanced information and network systems in order fulfillment, Market-chain performance, logistics, capital operation, after-sales service, product inventory and operational cost reduction. During second 5 year period from 2003, Haier carried out the SBU (strategic business unit) management to stimulate the enthusiasm of every employee and to enhance Haier’s competitiveness in global marketplace. Over the past 20 years, Haier provided more than 100 million appliances to worldwide consumers and paid cumulatively a total tax of RMB13. 6 billion, of which RMB2 billion in 2004, RMB5. 5 million per day on average.Haier has scheduled to finance 100 Project Hope primary schools, of which 47 are put into operation. Haier has 51,000 full time employees and hires 175,000 contract service personnel, providing a total of 230,000 job opportunities. Haier’s management has been worldwide recognized. Haier’s experience has been introduced in 16 case studies in business merger, financial management and corporate culture by 7 foreign educational institutes, including Harvard University, University of Southern Califor nia, Lausanne Management College, the European Business College and Kobe University. Haier has been recommended to the EU Case Studies by Lausanne Management College for Haier Market-chain Management.Haier’s goal is to become a global recognizable brand. (â€Å"Company Background†) Company Facts Corporate Overview The Haier Group is China’s largest home appliance brand and one of the world’s leading white goods home appliance manufacturers. Haier was founded in 1984 in Qingdao, Shandong Province, China and manufactures home appliances in over 15,100 different specifications under 96 categories. By April 2006, the Haier Group has obtained 6,189 patented technology certificates and 589 software intellectual property rights. Haier products are sold in over 100 countries. Haier is the official Home Appliances Sponsor of the Beijing 2008 Olympic Games. Headquarters: |Qingdao, Shandong Province, China | |Employees |Over 50,000 worldwide | |Financial Informatio n: |Haier’s global revenue in 2005 reached RMB 103. 4 billion | | |Average annual growth of 68% between 1984 and 2005 | |No. of Subsidiaries |Over 240 | |Listed Subsidiaries |Haier Electronics Group Co. , Ltd. listed on the Hong Kong Stock | | |Exchange | | |Qingdao Haier Co. , Ltd.Listed on the Shanghai Stock Exchange | |Business Scope |Technology research | | |Product development and manufacturing | | |Trade | | |Financial services | |Key Product Lines |Refrigerators/Freezers, commercial air-conditioners, microwave | | |ovens, washing machines, dishwashers, televisions, mobile phones,| | |computers | |Global Presence | |Trading Companies: |64 | |Design Centers |8 | |Industrial Complexes |15 | |Sales Network |Over 58,000 | Board of Directors Chairman and CEO Mr. Zhang Ruimin President Ms. Yang MianmianVice Chairman Mr. Wu Kesong Recognition †¢ Ranked 86th among the world’s 500 Most Influential Brands by World Brand Lab in 2006. Only Chinese brand to be ranked in top 100 for three consecutive years †¢ Ranked 1st among Chinese brands with the most potential by Glebor’s Global Financial Reports of Canada, 2006 †¢ Ranked 1st among China’s Top 10 Global Brands by the Financial Times in 2005 †¢ Ranked 1st among China’s Top 10 Global Brands by China State Bureau of Quality and Technical Supervision (CSBTS) for refrigerators and washing machines in 2005 †¢ CEO Zhang Ruimin ranked 26th among World’s Most Respected Business Leaders by the Financial Times in 2005 CEO Zhang Ruimin ranked 6th among Asia’s 25 Most Powerful People in Business by Fortune magazine in 2004 †¢ Received a World Climate Award from the United Nations Development Program and the US Environment Protection Administration in 2000 (â€Å"Company Facts†) Leadership at Haier â€Å"As far as transforming moments go in a CEO’s career, Zhang Ruimin has a story to match anyone’s. † †“ Financial Times Zhang Ruimin is the Chairman of the Board of Directors and CEO of Haier Group, a position he assumed in 2000. He also holds the title of senior economist. As CEO, Mr. Zhang’s current goal is to further enhance Haier’s leadership in Chinese and global markets and strengthen the reputation of Haier’s brand worldwide.In 1984, Zhang Ruimin was appointed director of the Qingdao Refrigerator Factory, a small, ailing collectively-owned factory in the Shandong province of China. Under his leadership and unique management philosophy, the company has since grown to become what is now the Haier Group, China’s leading home appliance brand, and one of the world’s largest home appliance makers, with a distribution presence in over 100 countries. Mr. Zhang began the turnaround of Haier with an order to destroy 76 defective refrigerators, laying into one himself with a sledgehammer – now preserved for its symbolism in Haier’s muse um. That singular act of destruction impressed on employees that poor quality would not be acceptable. He reinforced the message with an aggressive Western-style quality control program. Mr.Zhang’s management philosophy is a blend of international management principles and Chinese wisdom, with innovation and excellence as its cornerstones. The philosophy is the driving force behind the motivation and enthusiasm of Haier’s staff of over 50,000 employees worldwide. Mr. Zhang acts as a role model for modern Chinese entrepreneurs, and his leadership philosophy and business acumen are widely admired, both in China and within the international business community. Mr. Zhang holds an MBA degree from China Science and Technology University. He was born on January 5, 1949 in Laizhou, Shandong province, China. Zhang Ruimin[pic] Chairman and Chief Executive Officer (â€Å"Leadership†) Haier’s HR Conception of HR Globalized Enterprise and Globalized StaffZhang Ruimin, CEO of Haier Group, performs branding strategy, multi-directions strategy and global strategy under the direction of globalization and creation of famous branding. Currently, Haier acquires continuously quick increasing; the brand of Haier keeps its first position of China home electronics industry, and the brand wins more and more credits in the international market. In 1997, State Economic and Trade Commission decided to support Haier as one of six main Chinese enterprises to compete â€Å"World Top 500 Enterprises†. Globalized operation model in Haier drives it to â€Å"the Express Way†, so in the international market, Haier wins more and more respects in short period of time.However, we can clearly recognize that Haier still has distance compared with world top enterprises. During the current situation, as long as the brand of Haier becomes a global branding, each of our staffs initially shall become a globalized talent. The objectives of HR development in Haier G roup must match our enterprise's strategic objective of globalization, to develop international and competitive talents. (â€Å"Conception of HR†) Promotion based upon excellence, not appearance Promotion is based upon excellence, not appearance —- Haier's Rule of its HR Development During our HR development, we insist on innovation of notion, innovation of system.We keep creating a kind of environment of fair, just and straightforward, and build up a set of mechanism to develop personnel potentialities. Therefore, while we purchase our enterprise's objectives, we can offer each individual a developing space to realize his own value. â€Å"How much you can be involved, we will provide you a corresponding platform. † 1. â€Å"Each individual is a talent, and promotion is based upon excellence, not appearance. † —- Providing a fair, just and open competition environment in fact is the competition of talents. Staffs lead to the enterprise in success. If an enterprise has of most talented and high-qualified people, it will win in the competition.Haier's HR development initially based on â€Å"Each individual is a talent†, â€Å"firstly training people and then creating a brand† to change the function of most of traditional HR departments, and finally built up a HR mechanism and a policy with the function of, how to research and develop individual potentiality, which is different to traditional HR function, but concerning about who should be trained, and who should be promoted to the position of leadership. We provide our staffs 3 kinds of career designing: 1. For administrators; 2. For professionals; 3. For workers. Each of them has one direction towards his promotion. 2. â€Å"Who is incumbent who shall be inspected; promotion is based on competition; One's position shall be changed after his expired term of office. † —- We need to inspect and control the incumbent administrators.There is such a rule in Haier's HR management: the so called â€Å"if you give one person rights, you shall definitely trust him, and if you suspect him, you won't give him any rights†, which is a definitely deny of market economy. In market economy, the essential relationship is driven by benefits. Trust or distrust your staff, or evaluate one staff only based on your private emotions or only based on his personnel capacity won't be a proper method, and maybe will have negative effects in success of an enterprise. Therefore, Haier makes a rule like â€Å"Who is incumbent who shall be inspected; promotion is based on competition; position shall be changed after one's expired term of office†. 3. â€Å"Usually more deeply dolphin dives, more highly it jumps. â€Å"—- Mechanism of promotion and demotion.When we promote a cadre to a high-level position, we won't him immediately inaugurate, however, we assign him to work in related department as an ordinary role; sometimes, even if he is already been playing a important role in the department, due to his lack of such experience, we will let him lower his position and work as a common staff. Sometimes, one person is very experienced, but only lack of integrated and coordinated skills; we will assign him to certain department to have so-called internship. However, it is tough for a cadre under such high pressure; on the other hand, he is finally trained and cultivated his integrated skills. 4. Elimination Quota—- That means in certain period of time and within certain division, we set a quota to lay off staffs in percent.It can be cruel; however, it is good for an enterprise to purchase its long-term strategy. In Haier, there is no such saying â€Å"I cannot give any achievement to the enterprise; however my time and physical works shall be took into account. † If you cannot offer your best efforts, you probably make a fault. Therefore, in such period of time, within certain division, we follow out ou r elimination quota in proportion. (â€Å"Conception of HR†) Challenge your content, manage yourself and challenge yourself Hang Rui Min, CEO of the Group, pointed out in the article My Point of View towards New Economy that, in the age of new economy, people is the key factor to ensure your innovation.Each individual person can body of innovation, and we design our train of thought as a market chain to support outstanding. 1. â€Å"External market competition leads to the internal†Ã¢â‚¬â€- Market Chain Effect. We convince that there are 2 markets involved in one enterprise, the internal and the external. The internal market is how to meet the requirements of the staffs to arouse their initiatives; on the other hand, the external market is to meet the requirements of the clients. Inside Haier Group, â€Å"the next processing is the client†, so it must have a main body to perform their responsibilities for their own market. â€Å"The next processing is the clie nt†, each staff can represent a client, or he is the market.Each staff can suppose to have no responsibility to his supervisor occasionally, but the most important thing is he must have the responsibility to the market all the time. Market chain mechanism, initialized as â€Å"SST† based on Chinese pin yin, that is to say: Firstly, we need to serve our client and acquire the related rewards; and if we cannot match the market's requirements we must give corresponding reimbursement. Neither rewards, nor reimbursement, it could be a blank in the mechanism that means problem will occur. Therefore, the group is under the mechanism, and there are many people in their position under the sprit of â€Å"managing yourself† where people treat their own as a host in their division of Haier Group.They manage their position as operating their own boutique so that they have extraordinary efforts in such as saving energy, decreasing consumption, improving quality etc. 2. Real ti me stimulation—- it is to stimulate and develop the initiatives of the staffs. To encourage new technical invention and innovation, Haier Group issues Staff Rewarding Regulation for Inventions, which establishes an award of â€Å"Haier†, â€Å"Hope of Haier† and â€Å"Rationalized Advice† etc. and based on the economic effectiveness and social effectiveness they achieved, and the enterprise, the administrators and the staffs have equal chances to win the awards respectively. Haier Group is as a sea to take domestic and overseas professional people in.CEO of Haier, Zhang Rui Min, in the article of Haier is the sea wrote with full passions â€Å"as long as to gather all Haier people's power together, it can generate the power as much as a sea, which need the sprit of ‘unselfish contribution and excellence chasing' so that we can have the sense of team work. We make most of the incredible and the impossible become realizations and possibilities. There fore, the great wave of Haier can exceed all barriers, and keep going ahead. (â€Å"Conception of HR†) Values & Philosophy Cultural Concept Corporate Culture Haier corporate culture has been widely recognized by Haier’s employees as innovative value created by Haier senior management. Innovation is the core of Haier corporate culture, Haier’s unique cultural system cultivated and developed over the past 20 years.Haier corporate culture is guided and developed by advanced concept, innovative strategy, efficient organization, creative technology and market orientation, which have enabled Haier to grow swiftly with business expansion from China to outside world. Haier corporate culture features recognition and participation of all employees. Today, Haier is ambitious to gain worldwide recognition. To achieve this magnificent goal, Haier has had all its employees involved in realizing Haier’s ideal to be a global recognizable brand. (â€Å"Haier’s Cor porate Culture†) Haier Spirit †¢ Creating resources and worldwide prestige †¢ Resource Creation is based on innovation . Even Haier has less resources than its rivals, it can benefit from the core competence originated from innovation. The higher objective of the Global Brand strategic stage is â€Å"worldwide prestige† which is accomplished in meeting the needs of customers from all over the world and which will in turn make Haier a globally recognized world-class brand. Haier Style Individual-goal combination, swift action and success â€Å"individual-goal combination† is our method and â€Å"swift action and success† is our target. The market of each SBU should be identified clearly and actions should be taken promptly. Haier HR Concept Promotion is based upon excellence, not appearance Haier provides its every employee opportunities to develop and demonstrate talents. It is not able people, but the mechanism to encourage able people developme nt, should we be concerned about. The responsibility of a manager is to establish a â€Å"race track†, ie. personality development opportunity, for every employee to become a SBU.The â€Å"Horse racing court† requires three principles, firstly, fair competition; secondly, ability-based appointment; thirdly, reasonable job rotation. Under the contract labor system policy, employees are regularly evaluated and classified by performances, and the managerial personnel do not work at the same position permanently but rotate regularly in a fixed period. The significance of Haier’s human resource management is to stimulate the enthusiasm of employees. In this system, every employee can feel the pressure from both inside and outside the company and convert the pressure into creative motility. This is the key to success. Authorization and supervision Performance with full power authorization must be supervised.Haier regulates the rules on post control, promotion competit ion and job rotation â€Å"Post control† is so defined that firstly managerial personnel should self control and discipline; secondly, Haier has to establish a control system to guide the work objective and orientation and shun directional mistakes. In addition, it is aimed to control financial performance and to eliminate misconduct in business practice. â€Å"Promotion competition† indicates that a competitive system is to be operated to promote or demote employees according to their ability and performance. Every employee will be able to feel pressure while having opportunity to demonstrate and develop his potential capability. Job rotation† is destined to change positions of managerial personnel with fixed term, aiming to avoid inefficient performance in management due to thought rigidity and creativity shortage after a relatively long period on the same post. Job rotation system will create more opportunities to young managers for practical experience and ex pand more human resources for the company. Haier strategy Concept Activating shock fish Activating shock fish† Policy has been employed by Haier in acquisition of ailing companies for business expansion. International acquisition is characterized by three stages. In Stage 1, â€Å"Big fish eat small fish†, companies powerful in capital, not technology, merger with less powerful companies.In Stage 2, â€Å"Fast fish eat slow fish†, these companies are powerful in technology, not capital instead. Microsoft, for example, started later than some other counterparts, however, it kept leading the industry with advanced technology and surpassed some old brands. In Stage 3, â€Å"Sharks eat sharks†, â€Å"Power Alliance† became popular in 1990s. Boeing merged with Mcdonnell in such circumstance. In China, â€Å"big fish† not allowed to eat â€Å"small fish†, nor â€Å"fast fish† and â€Å"sharks†, only â€Å"shock fish†. â €Å"Shock fish† represent those companies which are well equipped but not well operated and can be vitalized if effective management is introduced. Three directional changes In early 1999, Haier was about to decide the development guideline.Zhang Ruimin, then President of Haier, brought forward a proposal that Haier’s 1999 development policy should be concentrated on globalization to approach Haier’s goal of global recognizable brand. To realize this goal, Haier prepared and launched an overall plan to restructure Haier’s management system for improvement of corporate competence. Zhang Ruimin proposed â€Å"Three directional changes† of restructuring the company management system. Reference: Previously, Haier focused upon maximization of profits, and Haier gives the priority to customer demands satisfaction. Directional change in management From linear organization structure to BPR of Market-chain DecentralizationDecentralization of traditional Pyr amid management system on the basis of market principle application for interdepartmental management and customer needs satisfaction. Information Based upon interest of customers, production and management processes are operated under the principle of Market-chain Management with continuous and update information. Directional change in market orientation Emphasis shifted from domestic to overseas market Directional change in production scope Emphasis shifted from manufacture to service industry E-commerce system in operation for product sales Haier E-commerce System supported by advanced information technology for network management, marketing, service and procurement. Overseas Expansion based upon domestic success There are two principles.Firstly, the best efforts are made to fully develop the current industry before entering new segment of relative products; secondly, the best efforts are made to gain the leading position in the new segment of the industry after a certain period i n which the business has been well developed. Market development precedes production plants. The principle, â€Å"Market development precedes production plants† was once used for overseas business development in the initial period of Haier. It suggests that production plants should not be built unless sufficient purchase orders are received from the market developed by product sales at the very beginning of business.In 1992, Haier set up its headquarter industrial complex in Qingdao and more then 10 industrial plants throughout the world, especially in the United States. Haier OEC Management: OEC Management. OEC is an abbreviation of Overall Every Control and Clear, indicating that overall control and supervision of every employee every day. â€Å"O† stands for Overall, â€Å"E† for Everyone, Everyday and Everything and â€Å"C† means Control and Clear. Purpose of the OEC Management is as follows: Day-based task accomplishment and improvement The task ass igned for every day basis should be accomplished in the same day with an increase of 1% over that in previous day. The OEC Management is comprised of three systems: Objective > Daily Accomplishment > IncentiveThe Objective must be established first; Daily accomplishment is basic to fulfillment of the objective; Result of Daily Accomplishment will be of significance when it is attached with incentive policy. Slope & ball theory An enterprise likened to be a ball on a slope requiring traction force to stop it from rolling downward and to keep it upward needs efficient management to prevent it from lagging behind and creative ideas to achieve more opportunities for development. What’s remarkable? What’s Difficult? What’s remarkable? It is remarkable for doing well simple things. What’s difficult It is difficult to accomplish the matters the public believe simple. Day-based task accomplishment and improvement The â€Å"Slope and Ball Theory† is used to describe indications of OEC Management in 3 aspects: Management is decisive to business success.An enterprise cannot succeed and business will go down if it is not well operated. Consistent efforts should be made for management efficiency. It is a painstaking and profound process. Efficiency level of management does not always stay unchanged, even the supervising mechanism, but fluctuate continuously. Efficiency management requires untiring efforts. Management is dynamic, endlessly. Enterprise business develops while supervising mechanism needs improvement. Management is not rigid, but flexible and adjustable according to enterprise objectives and internal and external conditions. Haier’s policy is â€Å"Prepare for actual use, not for show Haier's Market-Chain Market- chainMarket-chain management is based upon Haier’s corporate culture and computerized information system, concentrated upon order information flow and operated for logistics and capital performance to realize the Three-Zero objective business restructuring. The system incorporates the factors of sync flow efficiency, SST intensity and performance-based salary system to encourage employees to work hard to satisfy consumer requirements with application of innovative technology, valuable orders, improvement of corporate competence and creation of market demands Demolish the walls inside the outside enterprises. Chinese enterprises should demolish two side and outside walls.Outside wall stands for the life-and-death competition between enterprises of the same trade, suggesting that competitors cooperate with each other for win-win relationship. Inside wall means administrative relation between different departments in the same enterprise, suggesting that competition mechanism be introduced to improve management efficiency. Accelerated pace for information technology application is the key to demolish the walls. Zero stock, distance and working capital. Order based performance indicat es that production will not be arranged unless buyers have placed purchase orders. The entire production process is operated for ordered products. In such way, products are delivered at sight of payment and thus the goal of zero stock, distance and working capital is realized.Zero stock The mission of logistics is to eliminate distance with time and stock volume with time efficiency. Haier’s goal is to eliminate all stock in warehouse. If warehouse is likened to a reservoir, Haier will change the reservoir into a flowing river by the JIT tool. JIT purchase: Purchase is precisely arranged according to the actual needs; needed parts and raw materials are procured through worldwide suppliers for order fulfillment. JIT supply chain: Haier’s warehouse is just a transit station in which all materials can only be stored for 7 days at most. In Haier automated high-bay warehouses, parts and components will be allowed for 3 days.JIT delivery: Haier has established a nationwide l ogistics system for product delivery to every corner in the country. Zero distance Zero distance is another goal of the Market-chain Management. Under this system, Haier will, immediately after obtaining the purchase order, take every effort to satisfy the needs of customers. In the process, delivery efficiency plays a significant role to shorten the time with space efficiency. Buyers can place orders at the Internet and Haier will deliver the ordered goods to the buyers. Zero distance is important for a manufacturer to acquire orders. The enterprise strives to shorten or even eliminate the distance to buyers to obtain and satisfy individual orders.If the distance is not eliminated, the manufacturer might not easily know what customers need and how to satisfy their demands. Zero working capital The third goal of the Market-chain Management is to realize zero working capital. It is believed to be the capability to change cash into material objects and then convert material objects in to cash. Zero working capital means no fund is used as floating capital. Before making the payment to sub-suppliers, the manufacturer receives payment from buyers. This can be realized as production is scheduled at request of customers. This will result in healthy operation of the enterprise. Doing right things and doing things right way Haier’s operational restructuring based upon the Market-chain is carried out by three phases.In phase 1, internal resources are integrated to structure the Market-chain system; in phase 2, valuable orders are obtained from the Market-chain system, giving emphasis upon customer demands satisfaction and establishment of global supply-chain to improve the corporate competence. Currently, Haier has entered phase 3 of the operational restructuring process by focusing upon integration of human resource to make every employee a SBU for more valuable orders. Haier is carrying the OEC Management with an aim to improve management efficiency and quality assurance. This is doing things in right way. On the other side, Haier launches the Market-chain program for competition in the world market place. This is doing right things. There is a distinct difference between doing right things and doing things in right way.An example, a worker on production line is doing things in right way if operation and product quality comply with technical specifications. However, if the product cannot be marketed, what the worker has done is not right. From this point of view, doing right things is the basis of doing things in right way. Continuous improvement of management is to ensure that every employee is doing right. Speed, innovation and SBU Since 2002, Haier’s development theme has been Speed, Innovation and SBU. Speed helps create customer resource. In other words, Haier wants to be the early bird catching the worm. Innovation is to help customers create value provided customer resource is ensured.If every employee becomes a SBU, loyalty of customers will be achieved. Speed Why speed? The fantastic efficiency of the Internet makes us believe that slow players will sure fail. Those who have no relation with the Internet will be washed out. Those using the Internet in business practice but having weak competitiveness will also be eliminated from the competition in the marketplace. Speed plays a significant role in order acquisition, fulfillment and follow-up service. Aim of fast speed Fast speed is aimed at realizing zero stock, zero distance and zero operating capital. Innovation Why innovation? In current depressed market, fast speed is gained by innovative thinking and spirit.The obtained market shares cannot be continued if no innovation is pursued. During the innovation process, innovation should be combined with speed. The decentralized organizing structure is aimed to get the enterprise involved in the market practice. The entire process of management and production are concentrated upon satisfying the needs o f both market and innovation. How to help customers create value by innovation In current network age, value of customers is realized by two methods, ie. customization and globalization. In the current market where supply exceeds demand, buyers have more options. Only those who satisfy their individual demands will be chosen by the buyers.Aim of innovation: acquisition of valuable orders under the following conditions: Essence of innovation Approach of innovation: innovative simulation and introduction. SBU What’s SBU? SBU is an abbreviation of Strategic Business Unit If not only every division, but also every employee is a SBU, Haier’s business strategy will be carried out and shouldered by all employees. At the same time, the innovation of every employee will ensure that Haier’s strategy is successfully implemented. Why SBU? SBU is a carrier of efficient and innovative performance. Those who do not pursue fast speed and innovation are not SBUs. Managers have t o fulfill business assignment.If subordinates are not SBUs, the enterprise cannot satisfy individual customer needs. In other words, what SBU demonstrates is fast speed innovation. With this philosophy, Haier’s objective of fast speed innovative production is quantified for every employee. As a result, every employee will have to carry out technical innovation for production or management efficiency improvement for customer need satisfaction. Haier’s One-Stop service and B-to-E process is in operation to optimize customization production. How to become SBU? Four essential requirements are market objective, purchase order, sales achievements and market reward. These are goals of the company to achieve and break down for every employee.Market objective: competitive power with fast speed creating customer resources Purchase order: acquiring valuable purchase orders with innovative technology to achieve market objective. Sales achievements: quantitative data on customer sa tisfaction gained by order fulfillment and displayed by the company information system Market reward: pay allocated from additional income created by marketing performance and used as incentive for employee enthusiasm in better performance Function of SBU What does SBU mean to the company, employees and customers? To employees, SBU means innovation, and employees will demonstrate their values by helping customers create values.To the company, SBU means corporate competence, which cannot be copied by competitors if every employee becomes a SBU. To customers, SBU means a network age and loyalty to the manufacturer and its brand. If every employee carries out innovation, customer demands can always be satisfied. Features of SBU Feature 1: Only marketing target and position, not senior management or subordinate, considered in business practice. Feature 2: Only market changes, not time to start nor place to finish, focused upon for innovation. Feature 3: Only competitive end market could we are encouraged by to energetically and efficiently realize our ambitious goal. Go abroad; go localized, go up to a higher level – globalized Haier. First difficult, than easyBuild name brand in developed markets and then expand the business into developing markets with little resistance. Without domestic market, business is rootless, without international market, business is weak Without domestic market, business is rootless, without international market, business is weak. If a business is uncompetitive in the domestic market, it is impossible make its way into the international market. However, if a business is successful only in the domestic market, the superiority won’t last long. Haier has experienced a tough time when starting to go abroad. Some asked the question what is the point to seek for a bone abroad when there was easy meat in China.The truth is when all are fighting over the same piece of meat, there will be nothing left but the bone in no time. A bus iness like Haier should actively take part in the global competition. Three 1/3s 1/3 made and sold at home 1/3 made at home and sold abroad 1/3 made and sold abroad Three-in-one localization Three-in-one localization: Haier has its technical development centers, manufacture bases and trading companies set up overseas to enable localized operations with respect to design, manufacture and marketing, among which are Haier America, Haier Europe, Haier Middle East, Haier Southeast Asia, and more. Case study Acquisition of Italian refrigerator plant June 19, 2001.The signing ceremony of Haier acquiring an Italian refrigerator plant was held in the central building of Qingdao Group. The acquisition marked the successful three-in-one localization (localized design, manufacture and marketing) in Europe after the United Sates. The Italian plant was located in a geographically convenient area together with many plants from famous manufacturers like Whirlpool, CANDY, Zanussi, etc. The project w ould bring Haier â€Å"three windows† and â€Å"two radiation effects†, i. e. windows of information, technology and purchase and marketing radiation from Italy to the rest of Europe and product radiation from refrigerator to the rest of product mix.The transnational acquisition provided Haier a white goods production base in Europe as well as access to local manufacturer association and local information, paving the way for integrating of funds, intelligence and cultures and building a world-class brand. Haier believes that internationalization is supported by three-in-one localization of design, manufacture and marketing. The key to internationalization is making use of local funds and human resources. Integration and creation Integrate funds, intelligence and cultures to create a world-class brand. Three internationalization steps Internationalization of management system – to build up employee loyaltyInternationalization of service – to build up custo mer loyalty Internationalization of brand – to build up international competence Five globalization strategies Globalization of design In order to maintain the competitive edge in the international market, Haier has set up 18 design centers worldwide to consolidate resources from developed countries. Globalization of manufacture Haier has set up 10 industrial parks worldwide and 22 plants overseas, making Haier a global manufacturer and enabling prompt action to satisfy local user needs for quality Haier products which in turn greatly provides great support for Haier to achieve its goal of world-class brand. Globalization of marketingHaier has 5,000 overseas retail outlets and over 10,000 service centers all over the world. The principle of interaction, development and innovation has been uphold in the course of globalization, e. g. , the best practice of Haier America is shared with Haier Europe, and the successful marketing of Haier Europe is introduced to Haier Middle East , opening up a vigorous prospect of global marketing. Globalization of purchase Public bidding and online purchase are carried out via Internet. A strategic partnership has been established with best global suppliers, who also participate in the front-end design of Haier products. Globalization of capital operationBy virtue of its experience in manufacture industry, Haier has made its way into finance industry Up to now; Haier has invested in Qingdao Commerce Bank and Chang Jiang Securities and is also running an insurance agency, a life insurance joint venture and a finance firm. By taking 50% shares of Haier Electronics Group, a company listed in Hong Kong, Haier has laid a solid foundation for its further movement to the international capital market. Co-optition Co-optition is the strategic trend of corporate globalization in the 21st century. It is based on competency complementation which is enabled through exchange of resources and aimed at win-win cooperation. On January 8, 2 002, Haier announced the co-optition with Sanyo Japan.Later on February 20, 2002, Haier announced the co-optition with Sampo Taiwan Go abroad; go localized, go up to Haier level Go abroad: go to mainstream markets in mainstream regions; Go localized: be admitted into mainstream channels selling mainstream products; Go up to a higher level: be a mainstream brand Haier in Pakistan Haier is now widely recognized in the world. From the latest statistics of Euro-monitor, Haier was placed fifth for the global white goods manufacturers with the largest world market share for refrigerators. In the list of the most respected companies in Asia and Pacific Region published by the Far Eastern Economic Review issue December 26, 2002, Haier was placed first.Haier’s production and management system restructuring has enabled Haier to diversify internal and external resources. At pre0sent, Haier has put its worldwide logistics, distribution and manufacturing facilities into efficient operatio n for customer demand satisfaction. Haier’s goal is to obtain worldwide recognition and to become one of Fortune Global 500. |[pic] | |†Haier objective: Before selection of products you have many choices in the | | | |market but Haier is the name of trust confidence in the world†. | |Chief Executive | | | |Mr.Shah Faisal | | | |[pic] | |â€Å"We would like to work fast†. Haier is not only competing strictly on price but by | | | |winning market shares through user friendly design, innovative features and top | | | |service for a wide range of appliances and consumer electronics. | |Country Manager | | | |Mr. Faraz Fiaz | | | Haier Pakistan is the Pakistan Sales & Marketing division of the international Haier Group, a globally recognized manufacturer of world-class electrical home appliances.The joint venture between Ruba General Trading Company and Haier Group of China has brought Haier to Pakistan with an initial investment of about US$35 million and a com mitment to provide world-class innovative products based on uncompromising quality to the Pakistani consumer. The plant spreads over a vast area of 63 acres with a covered area of 0. 6 million square feet including a workers’ colony on Raiwind Road, Lahore. The project is expected to produce 0. 9 million pieces of household appliances per year with plans to export to the Middle East and all over Asia. In the first year of its operations, Haier will generate employment opportunities to 600 individuals with potential to grow up to 1200 within the next 5 years. Furthermore, Haier will supplement income of 1000 to 1500 families providing indirect earning and employment possibilities.The roster of products to be launched immediately in Pakistan includes Refrigerators, Air-Conditioners (Window & Split), Deep Freezers and Washing Machines, Microwave Ovens and Small Appliances with Dishwashers, Vacuum Cleaners, Television Sets and Mobile Phones to follow shortly. Haier Pakistan has e ntered the local market with a commitment to help its consumers reap the benefits of modern lifestyle and to provide them world-class innovative products, unmatched nationwide customer support, a vast dealer network and a steadfast after- sales-service throughout the country. (â€Å"About Haier†) Evaluation of HR Department As discussed in introductory portion of this project, we have divided evaluation task in different functions.The division is as following †¢ HR Department †¢ HR Planning †¢ Analysis and Design of Work †¢ Recruitment and Selection †¢ Training and Development †¢ Performance Evaluation †¢ Compensation and Benefits and Safety To get information about all above, we had to interview someone. For this, we got honor to meet Mr. Mohammad Asim Amjad, the HR administrator at Haier HR Department. We asked different questions about each of above functions from Mr. Asim. We recorded that interview, and also got important notes on spot. HR Department What is the structure of your HR Department? On the top of HR department is a General Manager Human Resource followed by a Senior HR manager.Then after it, there is an HR Administrator. Below, the HR administrator, there are HR executives for Recruitment and selection, training and development, Performance appraisals, and compliance. There are also HR officers for Recruitment and selection, training and development, Performance appraisals, and compliance, which work under relevant HR executives. There is also an HR assistant, which only assists Manager Human Resource. On administration sides, after them, there are Labor Officers, and then there are two administration officers, which are followed by a whole team. One administration officer deals with construction, plant, etc, while other deals with Govt. agencies etc.How many people are working in your organization, how many of them are permanent or otherwise, how many of them are on managerial positions and how many a re otherwise? There are Approximately 1200-1700 staff in total. There are 100-1500 workers and 200 managerial staff. The amounts of workers vary according to season and currently it is not season, so we are having only 1000 workers. In the HR Department, there are approximately 10 people required, but they still do not have complete ten and are still recruiting for other. There are more than 100 people in administration staff. The HR Department is merged with Administration department at Haier. We are also planning to install a new production unit, and we need approximately 100 more workers for this.What is your and other HR staff’s qualification? I have personally done MBA in Human Resource Management. Our Senior HR Manager is also as MBA in Human Resource Management. Some of our other HR officers are also MBA, while some of them are BBA, or Simple graduates. Our General HR Manager, who also looks after Finance matters, does not possess any formal degree in Human Resource Ma nagement. He is doing it by his experience. To Whom your HR Department Reports to? And how other people contact your HR Department? Our HR Department is headed by Finance Manager, and he only reports to CEO. So, Our HR Department Reports to CEO of the company. We have divided contact system according to function.It means, if an employee has some problem regarding performance appraisal, he will contact the relevant HR professional. Now, it is not true that is a professional is not on seat, the work will not be done. Another HR officer will have to accommodate according to the situation and will have to do the desired work. Are your Policies properly recorder/written? And do you properly communicate these policies to other departments? If yes, then how? Yes we do have properly written and documented HR policies in our Department. We give proper code to every policy, and its effectiveness date is also mentioned. (Annex 2. 1). Also, we properly communicate these policies to other depart ment. We also have a document regarding this communication.In that document we have mentioned, that which personnel of a department is going to receive a copy of the policy. By this, we make sure that only relevant personnel are given the policy and it is properly communicated to all departments. (Annex 2. 2) Limitations and suggestions: †¢ First of all, we have a problem with current HR structure. The General Manager of Human Resource Department is also looking after Finance Department. HR is a vast function and separate personnel should be there to look after its functions. Also General Manager HR does not possess any formal degree in HRM. So first of all, there should be separate heads for both HR and Finance Departments. Secondly, there should be a General Manager HR, who should be formally trained in HRM. At Haier, Administration Department is merged with Human Resource Department. They are doing it to reduce their costs. But HR functions are so wide that they should be se parated from administration functions, and so is the case with administration functions. HR Department should be separate from Administration Department. †¢ There are less than enough HR professionals in the Department. They still need some more professionals to divide work. As long as we know, the person we interviewed, has also resigned. So they should do something to keep their quality HR professionals intact and should try to hire new ones as required. HR Planning Do you believe in planning? Yes of course, Planning

An Overview of the Legitimization and the Improvement of Drug Rules in America

An Overview of the Legitimization and the Improvement of Drug Rules in America Reforming Americas Drug Policies. An extremely controversial question lingers among citizens and government officials of the United States today. Should drugs be legalized ? Is the War on Drugs working ? After thoroughly researching this topic and understanding each side of the argument, I can easily state that the War on Drugs is not working, and the United States government has taken the wrong approach on handling drugs in the United States. Although it may seem as a problematic solution to some Americans, the legalization (and regulation, of course) of drugs is the only way to solve the issues caused by the newly founded War on Drugs. Legalization will not only halt the wasteful, ineffective War on Drugs, but it will help the United States economy, and solve the over crowding problems in our jails and legal systems that are caused by this war that was begun for the nations public health(Harris 1). Despite the strong opposing arguments, many disagree with this opinion. Many people say the War on Drugs is working, and no benefits can result from legalizing drugs. Drugs are looked down upon, and some are known to be very dangerous, even lethal if abused. In addition, some say drug use rates would only increase if legalized, causing even more problems among our communities. Most people would assume drugs would be more readily available to our youth, and addicts would just be able to get the drugs they crave easier. It is easy to assume things such as this when hearing that legalization is the solution to our nations drug problems, but these assumptions are indeed wrong. When government and health officials in our country became aware of some of the problems certain drug users were going through, such as drug abuse, violence, and death, the officials in our government began to make more and more laws restricting drugs in the United States. These resulted in the prohibition of drugs, making all drugs illegal to posses, manufacture, or distribute (Schaffer 3). Then Nixon declared war on all drugs, and the War on Drugs began, becoming increasingly worse as the years progressed. Under Nixons orders, drug laws became stricter, and efforts were made to try and influence the American population not to do drugs. Lies and propaganda were used in commercials, while outrageous claims were being made to scare people away from drugs (Harris 2). Right away, problems were being caused. The US prison population was relatively stable from about 1926, when figures were first compiled, through 1970. After this point, the effects of Nixons war against drugs, and later t he Reagan and Bush war against drugs, produced a dramatic increase in the number of prisoners. (Schaffer 39). Today, this problem has progressed and has become even worse. There are currently about 1.5 million people in state and Federal prisons and jails throughout the United States. At the current time, at least 24 states are under Federal court orders to relieve prison overcrowding.(Schaffer 39) Despite these high numbers of prisoners that resulted from the War on Drugs, about 10 million Americans are casual drug users (Schaffer 4). These statistics clearly show that a large portion of Americans still use drugs, despite the strict laws that make them illegal. Despite the $15 billion spent on drug use prevention every year, most Americans agree that it is not working (Schaffer 5). American citizens are not the only ones holding the opinion that the war is not working. Official reports state that the war on drugs has reduced the American supply of drugs 10 to 15 percent. However, f ormer San Jose Police Chief Joseph McNamara told New York Magazine, Off the record, [the Drug Enforcement Agency says] its more like one percent.'(Schaffer 32). In addition to the War on Drugs being ineffective, the legalization of drugs will not only eliminate that problem, but it will eliminate other problems caused by the prohibition of drugs. One huge problem in our government today is the money wasted on trying to enforce these drug laws. Jails are also becoming overcrowded, clogging our court systems, and wasting even more money. Some people think that it is good that many convicts go to jail, because it eliminates the violence that supposedly is linked to illegal drugs. Violence is not linked to the use of illegal drugs, and it is only caused by the prohibition. Of all psychoactive substances, alcohol is the only one whose consumption has been shown to commonly increase aggression.(Harris 7). All major authorities agree that the vast majority of drug-related violent crime is caused by the prohibition against drugs, rather than the drugs themselves. This was the same situation which was true during alcohol Prohibition. Alcohol Prohibit ion gave rise to a violent criminal organization. Violent crime dropped 65 percent in the year Prohibition was repealed (Schaffer 12). It is obvious that the prohibition against drugs is the problem, and not the drugs themselves. The violence caused by prohibition is apparent in drug marketing, such as disputes among rival distributors, arguments and robberies involving buyers and sellers, property crimes committed to raise drug money and, more speculatively, social and economic interactions between the illegal markets and the surrounding communities (Schaffer 26). Additionally, the money spent each year on this war could be saved, and used more productively. If the governments of America didnt have to spend so much money on putting drug offenders in jail and making efforts to reduce drug use, they could more wisely use the money on putting more serious criminals in jail. The money could also be used to help more drug abusers with their problems. One way to save much of the money sp ent on the war would directly result from less citizens being put in jail for drug offences. State prisons are so crowded, that at least 24 states are under Federal court orders to relieve prison overcrowding. On average, it costs thirty thousand dollars a year to hold one prisoner in a jail (Schaffer 24). The cost to put a single drug dealer in jail is about $450,000. The same $450,000 can provide treatment or education for about 200 people. In addition, putting a person in prison produces about fifteen dollars in related welfare costs, for every dollar spent on incarceration. Every dollar spent on treatment and education saves about five dollars in related welfare costs. (Schaffer 19). Legalization clearly demonstrates benefits that outweigh any negative effect in this situation, and this can lead to making our communities much better places. Not only would the people of our country gain from legalization of drugs, but our countrys economy would as well. The best analysis done to date by any Federal official shows that legalization of the now illegal drugs would result in a net $37 Billion annual savings. This estimate is considered conservative. That is, it is likely that the savings would be more (Schaffer 18). One important substance that would aid in the boost of our economy is marijuana, or the hemp plant. Hemp is cheaper to produce than cotton, and has many more uses and benefits than cotton does. Growing hemp plants as a cash crop would provide many jobs, and prove to be a large, profitable industry (Gieringer 4). Not only will marijuana be used as a cash crop, but it can also be sold to many Americans, with regulations such as those for alcohol. Substances would be safe because they would come from plausible drug companies, it would eliminate dealers from trying to sell drugs, and it would also be taxable, generat ing money for the government. Marijuana legalization offers an important advantage over decriminalization in that it allows for legal distribution and taxation of cannabis.(Gieringer 5) Also, by eliminating dealers and placing regulations on the substance like those on alcohol, marijuana would also be harder for the youth to get a hold of (Gieringer 7). Altogether, legalization would save the taxpayers around $8 $16 billion, not counting the economic benefits of hemp agriculture and other spin-off industries (Gieringer 8). There are clear positive effects on our economy that could result from the legalization of drugs, or even marijuana alone. The legalization of drugs may seem to be a solution that would only cause more problems in our society, and it may seem that drug use would only increase. However, by making all drugs illegal, the government has taken the wrong approach on solving our nations drug issues. The War on Drugs has proven to only more problems in our society, and these problems can and should be eliminated. There are far too many benefits of legalizing drugs for our countrys laws to remain as they are. Not only is the drug war ineffective, but has caused our jails to become overcrowded. It has also brought violence among our nation with the drug traffickers that smuggle drugs into the country and distribute them. The sixty seven billion dollars that is spent each year on the war on drugs can be used more productively by solving many of our nations other problems, in turn making our country a better place to be.

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Post Partum Haemorrhage (PPH) Essay Example for Free

Post Partum Haemorrhage (PPH) Essay Introduction: Post partum haemorrhage (PPH) is an obstetrical emergency that can follow vaginal or cesarean delivery. It is a major cause of maternal morbidity and one of the top three causes of maternal mortality in both high and low per capital income countries, although the absolute risk of death in much lower in high income countries (1 in 100,000 versus 1 in 1000 births in low income countries). Furthermore, hemorrhage is the leading cause of admission of the intensive care unit and the most preventable cause of maternal mortality. The average blood loss following vaginal delivery, caesarean delivery and caesarean hysterectomy is 500 ml, 1000ml and 1500 ml respectively. Depending upon the amount of blood loss, post partum hemorrhage (PPH) can be- âž ¢ Minor (1L) âž ¢ Severe (10g/dl) so that the patient can withstand some amount of the blood loss. †¢ High risk patients who are likely to develop post partum hemorrhage (such as twins, hydramnios, grand multipara, APH, history of previous PPH, severe anemia) are to be screened delivered in a well equipped hospital. †¢ Blood groping should be one for all women so that no time is wasted during emergency. †¢ Placental localization must be done in all women with previous caesarean delivery by USG or MRI to detect placenta accreta or percreta. †¢ Women with morbid adherent placenta are at high risk of PPH. Such a case should be delivered by a senior obstetrician. A availability of blood or blood products must be ensured before hand. Intranatal: †¢ Active management of the third stage, for all women in labour should be a routine as it reduces PPH by 60%. †¢ Women delivered by caesarean section, oxytocin 5 IU slow IV is to be given to reduce blood loss. †¢ Exploration of the utero-vaginal canal for evidence of trauma following difficult labour or instrumental delivery. †¢ Observation for about 2 hours often delivery to make sure that the uterus is hard and well contracted before sending her to ward. †¢ During caesarean section spontaneous separation delivery of the placenta reduces blood loss (30%). Management of retained placenta: This diagnosis is reached when the placenta remains undelivered after a specified period of time (usually half to 1 hour following the baby’s birth). This is done to apply pressure to the placental site. The whole hand is introduced into the vagina in cone shaped fashion after separating the labia with the fingers of the other hand. the vaginal hand is clenched into a fist with the back of the hand directed posteriorly and the knuckles in the anterior fornix. The other hand is placed over the abdomen behind the uterus to make it anteverted. The uterus is firmly squeezed between the two hands. It may be necessary to continue the compression for a prolonged period until the (during the period, the resuscitative measures are to be continued). Manual removal of the placenta: The operation is done under general anaesthesia. The patient is placed in lithotomy position with all aseptic measures, the bladder is catheterized. One hand is introduced into the uterus after smearing with the antiseptic solution in cone shaped manner following the cord, which is made taut by the other hand. While introducing the hand, the labia are separated by the fingers of the other hand. The fingers of the uterine should locate the margin of the placenta. Counter pressure on the uterine fundus is applied by the other hand placed over the abdomen. The abdominal hand should steady the fundus guide the movements of the fingers inside the uterine cavity till the placenta is completely separated. As soon as the placental margin is reached, the fingers are insinuated between the placenta the uterine wall with the back of the hand in contact with the uterine wall. The placenta is gradually separated with a side ways slicing movement of the fingers, until whole of the placenta is separated. When the placenta is completely separated, it is extracted by traction of the cord by the other hand. The uterine hand is still inside the uterus for exploration of the cavity to be sure that nothing is left behind. i) Management of third stage bleeding: In this third stage of bleeding or hemorrhage, the bleeding occurs before expulsion of placenta. Principles âž ¢ To empty the uterus. âž ¢ To replace the blood. âž ¢ To ensure effective haemostasis. Steps of management: a) Placental site bleeding: âž ¢ To palpate the fundus and manage the uterus to make it hard. âž ¢ To start crystalloid with oxytocin at 60 drops /min and to arrange for blood transfusion if necessary. âž ¢ Oxytocin 10 units IM or methargin 0.2 mg. is given intravenously. âž ¢ To catheterize the bladder. âž ¢ To give antibiotics (ampicillin 2gm.and Metronidazole 500mg. IV). b) Traumatic bleeding: The utero vaginal canal is to be explored under general anaesthesia after the placenta is expelled. ii) Management of true post partum hemorrhage: In this true post partum hemorrhage the bleeding occurs subsequent to expulsion of placenta (majority). Management: âž ¢ Call for extra help involve the obstetric senior staff on call. âž ¢ Keep patient flat and warm. âž ¢ Send blood for diagnostic test. âž ¢ Infuse rapidly 2 litres of normal saline. âž ¢ Give oxygen by mask 10-15L/min. âž ¢ Monitor the pulse, blood pressure, urine output, drug type, dose and time. B. Secondary Post partum hemorrhage: Definition: Secondary post partum hemorrhage is bleeding from the genital tract more than 24 hours after delivery of the placenta and may occur upto 6 week later. The bleeding usually occurs between 8th to 14th day of delivery. Causes: The causes of late post partum hemorrhage are- 1. Retained bits of cotyledon or membranes (commonest) 2. Infection and separation of slough over a deep cervico-vaginal laceration. 3. Endometritis and sub involution of the placental site- due to delayed healing process. 4. Secondary hemorrhage from caesarean section wound usually occur between 10-14 days. 5. Withdrawal bleeding following oestrogen therapy for suppression of lactation. Clinical Manifestation: 1. The lochia are heavier than normal recurrence of bright red flow. 2. Offensive lochia if infection is a contributory factor. 3. Sub involution of uterus. 4. Pyrexia tachycardia. Diagnosis: The bleeding is bright red and varying amount. Rarely it may be brisk. Varying degree of anemia evidences of sepsis are present. Internal examination reveals evidences of sepsis, sub involution of the uterus often patulous cervical OS. Ultrasonography is usual in detecting the bits of placenta inside the uterine cavity. Management: Principle: âž ¢ To assess the amount of blood loss to replace it (transfusion) âž ¢ To find out the cause to take appropriate steps to rectify it. Management: i) Massage the uterus if it is still palpable to bring about a contraction. ii) Express any clots. iii) Encourage the mother to empty her bladder. iv) Give an oxytocic drug such as ergometrine by intravenous or intramuscular route. v) Save all pads lines to assess the volume of blood loss. vi) If retained products of conception are not seen on an ultrasound scan, the mother may be treated conservatively with antibiotic therapy and oral ergometrine. vii) Anemia is treated with iron supplement in severe cases, blood is transfused. Nursing management of PPH: Assessment: 1. Assess maternal history for risk factors, plan accordingly and communicate to the perinatal area. 2. Assess pulse pressure, recording consistently less than 30bpm are consistent with hypertensive crisis. 3. Assess intake output chart. 4. Assess location firmness of uterine fundus. 5. Palpate the bladder distension, which may interfere with contracting of the uterus. 6. Inspect for intactness of any parineal area. Diagnosis: i) Deficit fluid volume related to blood loss as manifested by looking pale, dehydrated decrease pulse rate. ii) Acute pain related to perineal discomfort from birth trauma and physiologic changes from births as monitored by wrinkled in forehead, restlessness irritability. iii) imbalance nutrition less than body requirement related to restriction in food intake as manifested by fatigue, weakness and lethargic. iv) Sleeping pattern disturbance related to pain bleeding as manifested by drowsiness, lethargic, irritated, etc. v) Risk for infection related to birth process maintaining poor hygiene as manifested by patient’s verbal complain, irritable discomfort. Goal: i) Monitoring for hypotension bleeding. ii) Minimize the pain. iii) Improve nutritional status. iv) Improve sleep pattern. v) Reduce the risk for infection. Intervention: âž ¢ For 1st diagnosis: i) Monitor vital signs every 4 hours during the first 24 hours. ii) Assess vaginal discharge for clots and amount. iii) Maintained IV line as ordered by the doctor. âž ¢ For 2nd diagnosis: i) Assess pain level, location, duration and type also. ii) Provide comfortable position (i.e. supine position) iii) Administered medicine as prescribed by the doctor. âž ¢ For 3rd diagnosis: i) Assess the nutritional status of the patient. ii) Patient is advised to take liquid diet from 3rd day solid from 4th day. iii) Weight in monitored daily. âž ¢ For 4th diagnosis: i) Sleep pattern is assessed. ii) Provide a neat and tidy bed to the patient. iii) Unnecessary procedures avoided during sleeping period. iv) Patient is advised to discourage day time sleeping. âž ¢ For 5th diagnosis: i) Assessed the level of infection, burning sensation and frequency of urination. ii) Washing hands wearing gloves can reduce the risk for infection before doing any procedure. iii) Advised the patient to maintain the personal hygiene and also should teach how to take care of perineal area. Evaluation: i) Bleeding is reduced than before. ii) Patients pain level might be minimized. iii) Nutritional status of the patient is improved. iv) Patients sleep pattern is improved. v) Infection is controlled. Conclusion: Post Partum hemorrhage continued to be a leading cause of maternal morbidity mortality. In this patient despite identification and attempt at correction of an identified clotting disorder, major obstetric hemorrhage was not avoided. However, these factors may be unavoidable and early surgical intervention as per local protocol is recommended to minimize maternal morbidity. After studying presenting the seminar on the topic of PPH, I got a thorough idea about this disease and I am thankful to ma’am for giving me opportunity of presenting this topic. I think I can be able to import some amount of knowledge to the group I will be able to provide proper care to such patient if I got in future. Bibliography: 1. C.D. Dutta â€Å"text book of obstetrics† 7th edition, new central book agency, page no- 410-418 2. Annamma Jacob â€Å"A comprehensive textbook of midwifery Gynecological Nursing†, 3rd edition, Joypee brothers medical publishers (p) Ltd. 3. â€Å"Myhes Tex book for midwives†, edited by V. Rith Bennett Linda K. Brown, 12th edition. Page No- 462-470 4. Dr. Parulekar Shashank V., â€Å"Text book for midwives†, 2nd edition, voramidical publication. Page No- 351-356. 5. B. Basavanthappa T. â€Å"Essentials of midwifery obstetrical Nursing†, 1st edition, Jaypee Brothers medical publishers. Page No- 544-555. 6. w.w.w.urmc.rochester.eduURMCHealth Encyclopedia âž ¢ w.w.w.birth.com.auLabour Birth. âž ¢ w.w.w.rcog.org.ukHomewomen’shealth idelinessearch for a guideline. âž ¢ Bmb.oxford journals.org/..205full. âž ¢ w.w.w.ncbi.nlm.nih.gov journal listcases J/V.J;2008