THE BUSINESS GLOBALIZATION PROJECT

The purpose of this assignment is to help you understand and apply text principles to real-world organizations. Chapter 2 introduces six external and global environments to show how shifts in these environments affect organizations. Mediating organizations and individuals also shape organizational actions. To prepare for, or respond to, external and mediating activities, organizational leaders undertake internal adaptations of people, processes, and structures !!"# to survive and thrive in their global world. $ou can conceptualize this pro%ect by placing your organization in the center of &igure 2.'. $ou will conduct research that demonstrates how the firm adapts !!" to global shifts. (n other words, you are building a systems view of your organization)s relationship with a global world.

1. Select a Firm
*ach person selects a firm from one of the industries designated for this term. +rdinarily there will be no more than five people studying firms in the same industry. +nly one person will be allowed to study each company and we will follow the rule of ,first come, first served.*veryone should select firms headquartered outside their home country . .ibrary reference sources that may help you get started include/ a# The Global Marketplace, b# International Directory of Company Histories, c# World Class usiness, d# Hoo!er"s Handbook of World usiness, and e# #ncyclopedia of Global Industries0 some of these are online. 1 caveat/ there is no ,one best way- to approach this pro%ect. 2owever, the library subscribes to many electronic databases that contain research appropriate to this pro%ect. 3eneral (nternet searches are less likely to yield useful pro%ect information.

2. Prepare t e I!"i#i"$al paper

4se library and credible electronic sources to find information suitable for answering a5e below. This is a research paper0 you must consult multiple sources beyond those generated by the organization itself. "ee information below for guidelines on the number of references re6uired, and the balance between company publications and more ob%ective sources. 7hen writing, think of yourself as an analyst rather than a reporter. This means that when you describe a business activity, you also need to explain how that description advances some point you are making. $our audience is a business reader interested in working for or investing in the firm and part of your %ob is to help the reader evaluate this firm. The reader knows text materials very well, but wants to know how you apply those concepts to a company.

%. I!"i#i"$al Paper C&!te!t

a# (ntroduction to the firm I. Provide a history of 1 page 8ring us up to date with the company and events affecting it. (f the enterprise has a long history, '

review it briefly, putting ma%or emphasis on events most relevant to the firm9s global activities. ii. Describe the firm today +utline the businesses in the company portfolio and explain what percentage of its revenues:profits come from the business that represents the industry you are to study. (n some cases, e.g., ;c<onald9s, the portfolio is comprised of a limited range of products. (n other cases, e.g., 3eneral *lectric, the parent company owns a huge number of businesses in different industries ranging from white goods appliances# to consumer and industrial products. iii. Provide most recent data on size =eport at least on the last full year9s company revenues,' markets:nations served or in which the company has a presence manufacturing, sales, investments#, and number of employees worldwide. (deally, you will find this information for the company and in the business:industry on which you are focusing. iv. Use Chapter 3 definitions of a global enterprise to eval ate the e!tent to "hich yo r firm is global on each of the five dimensions of the definition !rovide specific examples to demonstrate you understand and can apply each dimension. &or example, a company that operates in all continents and in '>? nations is 6uite global in establishing a worldwide presence. 2aving reviewed each of the five dimensions, decide how global you think the firm is at this point and explain your decision. b# 1pply @ levels of strategy to your company Chapter > describes the five levels of strategy. $ou should prepare several sentences that apply each level of strategy to your firm. &irst find a statement issued by the firm or make inferences based on behaviors# that answers the enterprise strategy 6uestion/ what is the organization9s overall purpose:why does it existA This statement might be called its vision statement, value statement, mission or a similar term0 in some cases, organizations do not specifically outline their purpose in which case you must infer their purpose from what they say and:or do#. $our main interest is in exploring $hy the organization exists. "ometimes organizations very thoughtfully tell you why they exist, e.g., to return wealth to shareholders0 to have fun and make a profit while doing so0 to assist humankind. $our %ob here is to tell me what their purpose is as you understand it. +bviously, every firm exists to generate profits. 8ut not all say that. "o when they are mum on the profit:wealth issue, you need to explain that and indicate what other purposes they pursue. Then go beyond enterprise strategy to find evidence of how the firm operationalizes corporate, business, operational, and individual levels of strategy.
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4sually you will be able to locate revenues. These should be annual data. !rovide your data in 4.". dollars, and if you have to convert to dollars, provide your source:date:amount of currency exchange. 1 good exchange calculator is/ www.oanda.com. This and other sources are found on the research link of my homepage under ,3lobal *conomy- fac-staff.seattleu.edu:parker#. 2

1dditionally, you must provide several paragraphs business strategy within your assigned industry. This should include concrete examples to show what the organization at the business level does to achieve its enterprise purpose. 8usiness strategy 6uestions to answer include/ what is the basis of this firm9s strengthA 7hat does it offer that others do notA That is, what are its core competenciesBthose >5@ competencies that distinguish it from competitorsA 7hat are its ma%or strategies:approaches to competing in the global marketA 2ow competitive is it and with what firmsA <oes it compete to win with wholly owned subsidiaries or collaborate via %oint ventures or other strategic alliances0 or does it do both with competitionA "ee also Chapter @ for insight on these terms.# "everal books provide statements the company makes about itself. These may be useful to you in two ways. &irst, the examples provide direction for you as you search for your company9s five levels of strategy. "econd, some of the examples will be based on the companies you are studying. (n the latter case, check what you find in the book against what the company is saying about itself today0 these global firms can change very 6uickly.
Ceffrey 1brahams 'DDD# The Mission %tatement ook& '() Corporate Mission %tatements from *merica"s Top Corporations+ 8erkeley, C1/ Ten "peed !ress. Cohn 7. 3raham and 7endy C. 2avlich 'DDD# Corporate #n!ironmental ,olicies. .anham, ;</ "carecrow !ress. ;any international firms, especially those located in *urope. !aul 3. 2aschak 'DDE# Corporate %tatements. Cefferson, FC/ ;c&arland !ublishers. ;ostly 4.". but does have 4.". subsidiaries of global firms such as Festle, C(81-3*(3$, "mithGline-8eecham.

c# *xplain how the firm meets common global challenges Chapter > describes four central challenges facing global organizations/ problems that cannot be solved, managing intangibles, managing diversity, addressing new issues for which managers and organizations are ill-prepared. !rovide two concrete examples from your readings to show how your organization is affected by one or more of these common challenges. ;ake explicit statements linking the specific challenge and the example you9ve chosen. d# (ntegrating people, processes, and structures Fote/ $our focus here should be internal to show how the firm is either adapting to global shifts or attempting to shape them. i. #!plain and eval ate the firm$s str ct re. 1n organization9s structure is the framework for action that reflects governance decisions and decisions about how to organize responsibilities among people and their %obs. (n this section you need to focus first on governance and second on management structure0 you will analyze each "ee Chapter '2 for details.# ii. Dra" %or copy from the company$s "ebsite& a graphic of yo r company$s str ct re that incl des governance and managerial responsibilities This graphic should include the 8oard s#, top management, and levels below top management that include the business you are studying. &or example if you are studying !hilips *lectronics in >

the semiconductor industry, then you would report !hilips9 structure to show all positions at and above semiconductors. (t is not important for you to list names, but you do need to list %ob titles because they demonstrate relationships. &or example, we can guess that a senior vice president is above a vice president in the organizational hierarchy. "ometimes a company will not provide a copy of their structure or organizational chart. (n that case, you may need to conduct research or look at titles of top managers to interpret and draw the structural arrangement on your own. 4sually the annual report has a list of titles for top managers0 some Datamonitor reports also provide this information. $ou may need to consult with your professor for help in interpreting what you see. iii. 'o r analysis "ill "eigh advantages and disadvantages of the chosen str ct re at t"o levels( )oard and *anagement )oard +tr ct re ,nalysis/ 8egin with description of the role of the 8oard and its relationship with top managersBare these two separate or closely integratedA 7hat are the advantages:disadvantages of the 8oard:C*+ relationshipA +ften you can find evidence of each by reading annual or 'H5k type reports that explain who is on the 8oard and what they do. Try to find there specific examples to support the points you are making. *anagement +tr ct re ,nalysis( *very global company manages functions, geographic diversity, and products:services. 7here they differ is how they organize responsibilities for each. (n one example geographic divisions could report to functions at head6uarters0 another example might organize functions beneath geographic divisions. "o your %ob is to show how these three functions, geographic regions, products:services# are organized in your firm. 4sing text concepts, explain what type of organizational structure you see/ is it functional, divisional what type#, a hybrid, a network, a matrixA =emember that a hybrid is a structural form that mixes say, function and geographic division, at the same level. 4se appropriate business language to describe the structure of your organization. 1n example of what one might write is/ this structure is a divisional one, organized according to geographic regions. 1ssess the advantages:disadvantages associated with this structure as found in text and articles you)ve read about your firm. 4se specific examples from the company to support your assertions about advantages:disadvantages. =emember that what you are trying to do in this paper section all sections for that matter# is demonstrate that you can apply text concepts to a firm and support your assertions with specific company examples. iiia. -ind one e!ample that sho"s the firm has adapted one or more processes to operate in a global "orld !rocesses are systematic or continuous activities used to accomplish organizational tasks. 1s shown in Chapter 2 of the text, organizations engage in many processes, including strategic management processes, social responsibility and ethics, change management, innovation, 6uality control processes, technology transfer, etc. 7hat you want to do here is describe a process in which the firm engages, and then explain how that process helps:hinders the firm in a global world. $our description of the selected process should be detailed such that the reader knows exactly what it is the company is doing. $our description and analysis should be in detail. ?

iib. .ocate yo r firm$s position on the social responsibility contin

&ind concrete examples from the firm to support your position. &or example, does you firm conform to its own or another code of ethics or principles, e.g., Caux !rinciplesA <oes it apply its ethics codes also to its suppliersA &ind one company example that illustrates what the company is doing to comply with its own code of ethics or other C"= initiatives. iv. -ind t"o e!amples that help yo demonstrate the firm has adapted one or more of its personnel practices to operate in a global "orld. The people in an organizationBfrom top managers to production or service employeesBare essential to achieving organizational purpose. Therefore, managing people is critical for global integration. ;anaging people includes staffing, hiring, compensating, promoting, and the like "ee Table 2.@ on p. IJ for other examples#. 7hat you want to do here is describe at least two ways to manage people that shows how your firm adapts people better to shape or respond to globalization. These descriptions should be sufficiently detailed to help your reader understand exactly what the company is doing. Then explain:analyze how that approach to managing people helps:hinders the firm in a global world. e. =eferences There are two good reasons to reference. &irst, referencing acknowledges that ideas are the intellectual property of others. "econd, referencing helps readers begin where the researcher stopped rather than begin at the same place as the researcher began. The details of referencing can sometimes be challenging. 7hat you want to bear in mind is this/ any information in the paper other than your original thoughts# must be acknowledged by means of a parenthetical citation in the body of the paper, e.g., !arker, 'DDE#. <irect 6uotes should include 6uote marks and page numbers. 1ll sources should be internally cited parenthetically according to 1merican !sychological 1ssociation 1!1# style. 1 three-page synopsis of 1!1 style guidelines !arker version# are on the class web site. The text itself uses 1!1 style, and so you can get pointers from reviewing the reference sections or boxed materials in each chapter. !rovide a reference list containing at least '@ references using appropriate 1!1 style. $ou may not count more than three references from the firm in the total, e.g., Corporate annual report, homepage, and a mailing from the company are permissible0 you should plan on using at least t$el!e in-depth articles from current periodicals or newspapers no older than two years unless negotiated otherwise#.

'. (etail) *&r Prepari!+ ,&$r I!"i#i"$al Paper

<eliverables Two copies of the individual 8usiness 3lobalization paper are due on the assigned date. +ne copy will be evaluated by your professor, another filed for future student use. +rganizing the !aper The papers should be organized as follows/ '. !ut the firm name at the upper right hand top of the first page, followed by your name @

and the current term date. 2. (n the body of the paper provide headings and subheadings reflective of assigned categories shown above. 2eadings and subheadings are useful to the reader and help the writer is sure all assigned topics are covered. >. "ingle spaced. ?. Fumber the pages. @. !repare a minimum of 25> paragraphs each on topics covered by all parts of a5d above0 K5' page on history alone0 references are found on a separate page. 3rading:!oints for the (ndividual !aper 3rades on the individual paper are as follows/ a '@ points0 b and cB'H each0 dB'H points each for i, ii, and iii. =eferences 'H points0 style:grammar 'H points = 85

-. T e Gr&$p Pr&.ect
!lanning for success The group pro%ect is an analysis of how firms in the selected industry are coping with:adapting to each of the six global environments. (ts purpose is to help each person gain greater insight into a specific global industry and into the managerial adaptations occurring in the industry. 1s a group you need to think about and plan for how individual research can help you meet group goals. The group submits a written plan on the date noted in the syllabus that contains the following/ a. an overall vision:mission statement outlining your group)s purpose and its expected outcome, e.g., in terms of the product and the process, what you hope to learn about the topic and about working in teams, the contributions you will make and the grade you are trying to achieve. (f your industry needs to be more narrowly defined, e.g., within the food industry a group might decide to focus %ust on cookies, then your plan should reflect this focus. b. +utline specific and measurable ob%ectives for the pro%ect such as the following/ how many examples or articles per firm:per week must each person assemble to complete the group pro%ectA (nasmuch as each person has options for the individual paper, what can you do to be sure that each external environment has examples from which the group can chooseA 2ow and when will you pass through each of the five stages for groups, see chapter materials on teams for a list pp. ?225>#. 7hat roles will each person play in the group pro%ectA <ecide on logistics and roles0 who is to do what0 when0 where0 in what format, e.g., 7ord or !ower!oint. 2ere are numerous roles that could be performed to enhance pro%ect 6uality/ a# proofread the draft paper for grammar, typos, standard business language, etc., b# review the draft paper to ascertain that each section has the appropriate number of examples, and correct information in each section, c# review for !!" links, c# review for references and internal citations, e# review the presentation0 does it conform to the presentation outlineA J

c. <evelop a set of common commitments and a method for evaluating input and output for each individual9s work0 you must specify exactly how you will assign points and how you will deal with one another when commitments are not made. "ee the web sample titled ,8usiness 3lobalization !ro%ect !eer *valuation &orm.-# 7hen you submit your written plan, attach a copy of your evaluation form and the points you9ve decided to allocate to each factor you evaluate. e sure that the numbers of points you allocate match the number a!ailable on the syllabus+ (t would be helpful if you send an e-mail attachment of your group plan and rating sheet as well as provide a written copy in class. (f the latter only, then the graded copy of your plan should be submitted along with your group pro%ect. Content for the 3roup !ro%ect:!aper i. Introd ction (ntroduce us to the industry by describing identified segments of the industry, and the one s# you are studying. &or example, in the airline manufacturing industry, segments include large, medium, and small %et production, and divisions might include commercial or defense buyers. Then provide a brief introduction to the firms you9ve studied, indicating to what extent these firms represent the industry. &or example, in the music business, the top five producers issue about DHL of music. (n the steel industry, the top five producers represent only about '2L of the industry. +bviously, if your group has studied about DHL of production you can make more definitive statements about the industry than if you)ve studied only '2L of producers. 8e aware of that. 1dditionally, this introduction should introduce summary points such as what the paper is going to show about globalization and its effects on firms in the industry. Fote here which of the global environments most affect firms in the industry, and explain that assessment. ii. The six global environments !rovide headings for each of the six global environments we have studied and provide text to demonstrate organizational responses to globalization in each environment. "ee tips to follow for each environment and make a note for re6uired industry information.# 4sually it is a good idea to put global industries and business activities right after your introduction, because the industry provides a context for understanding firms in the industry. !ut particular emphasis on showing how firms are adapting people, processes, and structures to operate in these various global environments. 1t a minimum, provide examples from ' different firms in each global environment studied these need not be only from the firms you have specifically studied#. Create summary statements for each section to explain how the examples you9ve chosen are reflective of or atypical for the industry. ii. Conclusion

!rovide a conclusion of '52 pages to summarize your industry findings and look to the future. (n particular, summarize in what ways firms in this industry are adapting people, processes, and structures to survive and succeed at a global level. 4se evidence you9ve provided in your papers or that you)ve ac6uired from readings for this class# to describe anticipated changes for firms in this industry as globalization continues. &or example, how is the rapid pace of change likely to affect firms you)ve studiedA 1dditionally, use this newly ac6uired knowledge to describe the types of activities you believe are necessary for firms to succeed in this industry over the longer run. The conclusion also should include a section describing the skills you believe are most important to industry managers. 1s you did in your individual papers, cite references using parenthetical style. !rovide a separate ,=eferences- page for the paper. Challenges to consider/ avoid grammar:style differences that demonstrate you did not coordinate when preparing the paper. 1dditionally, try to avoid uneven references that demonstrate lack of coordination. Grades for the Written Group Project 3rades for the group pro%ect are as follows/ 7ritten group plan 2H 3roup !resentation 2H 7ritten paper/ (ntroduction/ E 3lobal *nvironments !!" links#/ ?E Conclusion/ '2 =eferences/ "tyle, grammar, etc./ J J 120 points total

T e Gr&$p Pre)e!tati&!
Group presentations will: <escribe the industry and highlight industry findings0 in particular, give us a sense of the size of the industry in terms of annual revenues, then tell us what percentage of those revenues are generated by the firms you9ve studied. *xplain how firms in the industry are adapting people, processes, and structures to various environments in a global world you do not need to cover each environment, but E

should cover those that you think are most important to firms studied0 explain why you believe they are important#. (ndicate what the future holds for enterprises in the assigned global industry. <escribe the managerial skills most important to the industry they have studied.

Tips for links to each glo al en!iron"ent: *xamples below are illustrative rather than exhaustive, except for global industries where you must provide information as described below. ;ost of your examples will come from individual firms studied, and the group will use these examples to build a case about what you believe is typical for firms in the industry. .inks to a global industry and business activities/ (nformation in this section is re6uired/ The idea in this section is to generate as much information as you can to explain the industry and various firms9 roles in it. Conduct research so you can describe the industry and even draw a ,family tree- of the industry you are studying. &or example, a group study of the do-it-yourself <($# industry recognized that <($ is part of the retail industry that includes the following/ <epartment "tores <iscount M Nariety =etailing <rug, 2ealth M 8eauty !roduct =etailing 3rocery =etailing Convenience "tores M 3as "tations Consumer *lectronics M 1ppliance =etailing 8uilding ;aterials M 3ardening "upplies =etail M 7holesale 2ome &urnishings M 2ouseware =etailing 1uto !arts =etailing M 7holesale Fon-"tore =etailing 2oover9s (ndustry ;aster .ist, 2HH2# Clothing, "hoe M 1ccessory =etailing M 7holesaling 2ere is an example of a family tree created for the <o (t $ourself <($# industry/

There are many different ways to evaluate firms in an industryByour %ob is to find different measures of 6uality. 7hat is the size of the global industry you9ve studied in terms of revenues, numbers of people employed, or similar dataA 7here do your firms rank as compared to other firms in this industryA 1re they on lists showing best or worst performance or activitiesA 7hat are ma%or sources of distinctive advantage for each of the firms studied in this industryA 2ow rivalrous are they and with what firmsA <o they compete to win with wholly owned subsidiaries or collaborate via %oint ventures or other strategic alliances. ;akhi%a, Gim and 7illiamson 'DDI# argued that industries can be classified as multidomestic, simple global, integrated global and fully global. Conduct research on firms in your global industry0 and develop an argument to support your decision about which of these four classifications is appropriate to the industry in which your firm competes. 7hat firms are most likely to survive:thrive in this industry and whyA Fote/ &or all chapters, see also the !ower!oint presentations and the specific lecture notes for the 3roup presentation. .inks to global culture This section can draw on any material found in Chapter I, and you want particularly to focus on how a company is shaping or reacting to changes in global culture. #uestions that "ight help $ou are: (n what ways are firms or any given firm# responding to or shaping cultural globalizationA 7hat is the organization9s ,culture-A 1nd what are the assumptions organizational members make about the role culture plays in their workA 7hat are the firm9s practices when it encounters cultural similarities and differencesA 2ow does it respond to demands for cultural diversity at workA 7hat cultural challenges does the firm face on a global scaleA 'H

2ow does it shape global cultureA The point here and in every section is to demonstrate how firms in this industry are adapting people, processes, and structures !!"# to survive:thrive in an increasingly global culture. .inks to the global economy <emonstrate ways it is evident that the firm you are studying is responsive to and engaged by a globalizing economy Chapters E and D#A Chapter E/ 7hat are firm practices relating to managing in a global economy, e.g., direct investments, export:import behavior, sourcing patterns, accounting for profits and costs abroadA The point here and in every section is to demonstrate how firms in this industry are adapting !!" so they can survive:thrive in an increasingly global economy. Fote/ <on9t confuse the economics of a firm and its internal financial operations with topics covered in Chapter @. (n other words, demonstrate the link between a firm9s economic performance and the global economy to show you understand how the two are related. Chapter D/ 3lobal businesses are members of the formal work sector, but they too struggle with issues of unemployment, wage and labor ine6uities, and even child labor. To what extent has your firm exported %obs to other nations and:or created service or knowledge %obs outside its nation of origin. 7hat labor challenges does it faceA (s there evidence of national diversity among top managersA <oes the firm relocate %obs to hire cheaper labor or does labor come to the firmA .ook particularly at compensation systems and benefits. Chapter D argues that global businesses increasingly are expected to resolve some of the challenges created by labor globalization. "ometimes they address these challenges with codes of business or industry conduct0 other times they are sub%ect to pressure tactics or collaboration with representatives of civil society organizations0 in still other cases they collaborate with governments or intergovernmental organizations to address labor issues. Fot all organizations are model citizens. Thus you may find that the organization you are studying is more exemplary for what it has not done than for what it has done. !rovide specific examples to show how firms in this industry are adapting internal people, processes, and structures !!"# in response to globalization of labor. .inks to global politics <emonstrate ways it is evident that the firm is responsive to a globalizing political environment by applying text concepts to firms or industries studied. The point here and in every section is to demonstrate how firms in this industry are adapting !!" so they can survive:thrive in an increasingly global political environment. %pplica le chapter concepts to consider are: (n what ways has the firm benefited from or been damaged by privatization, deregulation, or ''

industrial policies of nations. 7hat do organizational leaders have to say about the effects of deregulation and privatization on their operationsA <o they see these forces as opportunities, threats, or bothA (n other words, how have decisions within national governments affected the global firmA 2ow is the firm or industry affected by or involved in multilateral or global trade agreements such as the *4, ;ercosur, or the 7T+A To what extent are businesses in your industry working to alter the political:legal environments in which they operateA <o they lobby, develop industry alliances to pressure governments, file suits, or otherwise work to shape their political environmentA 7hat global standards are applicable to the firm or industryA 2ow are firms responding to or complying with these standardsA 7hat ad%ustments are they making in !!" to complyA 7hat is the effect of corruption and transparency on firm and industry decisionsA 2ow is the firm or industry affected by global security issues, e.g., terrorism, and concerns such as armed conflict, piracy, counterfeiting, money laundering or the likeA To what extent are firm practices shaped by illegal activities or global gangsA <oes the organization form alliances with intergovernmental or nongovernmental organizations to address social as well as economic issuesA <escribe these activities and consider how they serve organizational purposes. .inks to global technology <emonstrate firm responsiveness to technological progress within or outside its industry drawing on material covered in Chapter '' this chapter is on the web site, and we will cover topics for it in class, but it has not been reproduced for you because ( did not assign it for class#. This section might describe research and development programs, show how the firm protects intellectual property or manages technology transfer. 2as the firm adopted technologies, e.g., hardware or software, or high and low-technology to improve its products or processesA The point here and in every section is to demonstrate how firms in this industry are adapting !!" so they can survive:thrive in a world where technological shifts are increasingly global. .inks to globalization of the natural environment <emonstrate organizations9 responsiveness to globalization of the natural environment as reflected in topics covered in Chapter J. (n terms of globalization of natural resources, what are each firm9s ma%or issues with respect to ac6uiring and using natural resourcesA 7hat natural resources do firms in the industry use most and how do they work to preserve or conserve those resourcesA +r do theyA 2ow do firms deal with globalization of diseases such as 2(N:1(<"A 1re any involved in sustainable development. <o they use environmental accounting, pollution controls, etc., to protect the environmentA <o they recycle and reuse or abuse the natural '2

environmentA 1re these firms involved in cross sector or industry partnership to preserve the environmentA The point here is to demonstrate how firms in this industry are adapting people, processes, and structures !!"# to survive:thrive in an increasingly global world where natural resources are finite and use of them in one part of the world affects resource availability now or in the future. 3ood luck.

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