You are on page 1of 11

Running Head: SYSTEM OF STRATEGIC MANAGEMENT

SYSTEM OF STRATEGIC MANAGEMENT


SYSTEM OF STRATEGIC MANAGEMENT
1

Executive summary
One of the organizations in USA is working at effective level to sale clothes to teenagers which
known as HARDA fashion. There are twenty store chains that fully working to serve at effective
level. There are full times employees are appointed through the organization. The company paid
them full time fixed salary. Assistance is provided to full time employees from sales assistant
and manager. This overall support the HARDA fashion to work with strategically through
managing different kinds of challenges. It is facing pressure to improve the probability of
extortion. The discussion will also cover that organization are focusing to apply the distributed
computer system rather than centralised one.
SYSTEM OF STRATEGIC MANAGEMENT
2

Table of Contents
Executive summary.........................................................................................................................1

Introduction......................................................................................................................................3

Six strengths of HARDA system.....................................................................................................3

Situational pressures........................................................................................................................5

Intense level of pressure...............................................................................................................5

Compensation of employees tied for financial level performance..............................................6

Distributed computer system rather than centralized one................................................................6

Distributed computer system.......................................................................................................6

Centralized computer systems.....................................................................................................7

Conclusions......................................................................................................................................8

References........................................................................................................................................9
SYSTEM OF STRATEGIC MANAGEMENT
3

Introduction
Strategic management is effective to represent the organization resources with strategic level
utilization (Trigeorgis, and Reuer, 2017). HARDA fashion is selling ready to wear dresses to
teenagers. There are twenty outlets of the organization which providing the services to North
Eastern part of USA. Experienced employees are appointed through the organization. It provides
the employees fixed salary which are full time employed. Cashier as well as sales assistants
achieve the wages on basis of hour including commission on sales volume. Unsophisticated
registered procedure is used by the organization for maintaining the financial level transactions.
This paper has the goal to explain the procedures, risks and internal control for revenue cycle.

Six strengths of HARDA system


Strengths are important for the organizations to run the operations more effectively (Salem,
Hasnan, and Osman, 2012). HARDA fashion is working with many numbers of strengths that
enable it to managing transactions of sales. Below discussion will explain the HARDA fashion
six strengths.

 Manager within the organization is liable for analyze the cash, credit cards as well as
cheque sales regarding preparation of daily deposit slips, making the deposits of bank and
filling validated deposit slips.
 Data processing department is functioning to send reports of commission and sales to
management for analysis and review.
 Reconciliation report on daily basis is generated through the Assistant managers.
 Sales invoice is provided to cashier through the salesperson for purpose of order review.
Provides the sales inputs number in system.
 Simple registers of cash are used through the HARDA fashion that based on generated
every volume of sales.
 Experienced employees are appointed through the company as well as provide them
remuneration as per the sales volume.

Problem
SYSTEM OF STRATEGIC MANAGEMENT
4

Strengths which were explained within the above discussion enable the HARDA fashion to
overcome from the challenges within the system as well as manage the sales transaction at
effectively level. Following discussion will explain the challenges.

Strengths Avoided challenges


Manager within the organization is liable for Poor record keeping removed through the use
analyze the cash, credit cards as well as cheque of this strength. Deposits validated slips is
sales regarding preparation of daily deposit filled through the manager for reference in
slips, making the deposits of bank and filling upcoming time. It overall leads to solve cash
validated deposit slips. book and bank account discrepancies. This is
one of the important ways to avoid any kind of
fake manipulations record.
Data processing department is functioning to Weekly report sent by data processing
send reports of commission and sales to department which enable to track data of
management for analysis and review. weekly sales for every salesperson that support
to know performance with progress. Weak
zones are identified that important and required
for necessary level enlargements. This is
effective as restricted the salesperson from any
kind of work that reluctant. It overall support
to motivate them within the competitive
environment.
Reconciliation report on daily basis is Preparation of daily report of reconciliation by
generated through the Assistant managers. assistant manager enables to confirm the
separation from authorization as well as
liabilities. Fraud and errors from manipulation
deals will be minimize as assistant manager is
working to manage the cash register through
documenting the cash register with related
activities.
Sales invoice is provided to cashier through the Salesperson is working provide the invoice of
salesperson for purpose of order review. sales to cashier for review the separation of
Provides the sales inputs number in system. duties. When sales level invoice are viewed by
SYSTEM OF STRATEGIC MANAGEMENT
5

different number of parties then not feasible for


salesperson to arrange system. It overall enable
to avoid any kind of errors and global fraud.
Simple registers of cash are used through the Unsophisticated cash register use for avoiding
HARDA fashion that based on generated every any kind of challenge in new employees
volume of sales. training and providing the customers services
speedily. It enables to ensure that sales
transactions are managed correctly for avoid
any kinds of mismanagement as well as loss.
Experienced employees are appointed through This overall enables to avoid the challenge of
the company as well as provide them slow management queue. There are
remuneration as per the sales volume. experienced salespersons that work with the
energy to provide the service to customers very
fast and remove big queues.
Payments to sales person are relied on the
hourly basis that involves incentives which
encourage the appropriate competition with
motivation. It enables to save the costs.

Situational pressures
There is improving cases of fraud regularly seen within the business (Collier, et al., 2015). There
are many number of reasons behind the fraud such as double dealing for earn more amount of
money, inappropriately taking the advantages of business, ineffectively managing the money
related information. In approach of bookkeeping fraud includes the wrong working at clerical
level, any kind of theft, inappropriate information, and inconsistency in records. There are two
kinds of fraud identified through the workers known as the worker and board fraud. HARDA
organization is facing the many kinds of situational pressures which would lead to increase the
number of fraud situations. Below discussion will explain the situational level pressures that
would increase the situations of fraud.
SYSTEM OF STRATEGIC MANAGEMENT
6

Intense level of pressure


Employees and salesperson within the business faces pressure at high level to meet as well as
cross the performance with many number of targets (Crossan, Mazutis, and Seijts, 2013). The
create manipulating financial thinking with record of sales for favor. Organizations work for
satisfy the managers at supervisor level and seek the effective level of promotions. This supports
to enhance the level of performance that leads to high level incomes which desired through the
every individual to gain. This increases the performance that linked with the high income. It can
lead to force employees within the organization to compel for regulate the activities of fraud.

Compensation of employees tied for financial level performance


Compensation approach that based on the commission utilizes through the HARDA fashion
organization regarding sales reward. Specific number of percentage gained through the
employees every month with completion of sales target and similar level of basic pay.
Compensation plan overall lead to enforce employees to work very hard with improving number
of sales. Sometime, it also leads to generate the situational level pressure for fraud perpetuation
within the business. Employees of sales face high pressure to meet the targets on monthly basis
as well as failure to achieve that lead to eliminate the level of incentives in form of commission.
Manipulating level sales invoices can be attempted for meet the monthly level targets
(Greenhaus, Peng, and Allen, 2012).

Distributed computer system rather than centralized one


In today’s competitive environment of businesses distributed computer system has become
important trend with technical advancement (Laudien, and Daxböck, 2016). Technical level
advancement is blockchain technology, cloud computing, etc. These are important to work
effectively with advancement. Distributed computer system has more advantages compare to the
centralized computer system.

Distributed computer system


Distributed computer system approach is effective to support huge number of computers in many
kinds of locations regarding sharing of similar computer processing abilities. This is important to
work differently in parallel to centralized system. Decentralized computer system involves many
computers that situated at many number of places which are interlinked to use the wireless links.
SYSTEM OF STRATEGIC MANAGEMENT
7

Businesses are regularly focusing to invest in approach of distributed computer system due to
low amount of cost (Verissimo, and Rodrigues, 2012). It support to reduce the costs of data
sharing as well as networking across businesses through the interconnection of huge amount of
computer which cost at lower level in parallel to big machines.

It is flexible as well as reliable. This support to computer system for interlinks through the use of
internet that support to process data effectively which is situated at separate places. It increases
the power of processing. For instance, machines accumulation regarding computer enable to
improve the processing power as well as increase the capabilities of the system. System
removing from decentralized computer system overall lead to minimize the whole system
processing power (Agrawal, et al., 2015).

This versatile at characteristically and works at cross level over huge number of machines and
scale evenly. This supports the clients to add more number of computers to deal with
complexities. This can be run on each machine with full level of potential and disconnects
system tolls in low burden.

Distributed computer system works at effective level with huge number of control centres which
are broadly spread in many computer systems. This works with the glitch that does not have
impact on entire business network as capabilities of processing are taken over by other available
machines. It helps to quick isolation and repair system that has fault for generating the
distributed data processing effectively in parallel to system of centralized processing (Rajguru,
and Apte, 2012).

Centralized computer systems


Centralized computer system includes the one server which takes care for significance of
processing activities within the operations of businesses. These gain huge numbers of requests
from work station that are less powerful and do not openly perform the work. This includes the
data storage, uses, and applications. There are many advantages as well as boundaries which
reduce organization potentials to adopt them. Challenges are faced through the organizations that
depend on the information processed by server.

There is limited scalability. Entire applications of the single server as well as processing power
taken through the network can scale through the addition of more power of storage regarding
SYSTEM OF STRATEGIC MANAGEMENT
8

server. This is not linked and cost effective for long time situation. Bandwidth poor level
presents the limitations in huge ways. Organizations that functions with the fluctuating periods of
functions acts as the main server cause challenge. It is very critical to work with concurrent
pressure to users as request high regarding challenges (Jain, Werth, and Browne, 2012).

Conclusions
In the fame of explanations it can be determined that HARDA fashion company strengths lead to
minimize the challenge that occurs at regular level. Many of situational level pressure the
employees to work with the activities of fraud. Organization provides the compensation that
relied on the financial level performance. It generates the pressure for employees to work in high
level of pressure conditions. These can work with the activities of fraud to exceed the limitations
of work. In today’s competitive environment organizations are working with the decentralized
computer system. It overall enables them to improve the level of data privacy. This enables them
to work and pass the information through working on many numbers of machines. It overall
presents the latency low situations. Overall explanation presents that decentralized computer
system has more advantages for the businesses compare to the centralized computer system.
SYSTEM OF STRATEGIC MANAGEMENT
9

References
Agrawal, H., Mathialagan, C.S., Goyal, Y., Chavali, N., Banik, P., Mohapatra, A., Osman, A.
and Batra, D., 2015. Cloudcv: Large-scale distributed computer vision as a cloud service.
In Mobile cloud visual media computing (pp. 265-290). Springer, Cham.

Collier, J.E., Moore, R.S., Horky, A. and Moore, M.L., 2015. Why the little things matter:
Exploring situational influences on customers' self-service technology decisions. Journal of
Business Research, 68(3), pp.703-710.

Crossan, M., Mazutis, D. and Seijts, G., 2013. In search of virtue: The role of virtues, values and
character strengths in ethical decision making. Journal of Business Ethics, 113(4), pp.567-581.

Greenhaus, J.H., Peng, A.C. and Allen, T.D., 2012. Relations of work identity, family identity,
situational demands, and sex with employee work hours. Journal of Vocational Behavior, 80(1),
pp.27-37.

Jain, R., Werth, J. and Browne, J.C. eds., 2012. Input/output in parallel and distributed
computer systems (Vol. 362). Springer Science & Business Media.

Laudien, S.M. and Daxböck, B., 2016. The influence of the industrial internet of things on
business model design: A qualitative-empirical analysis. International Journal of Innovation
Management, 20(08), p.16-40.

Rajguru, A.A. and Apte, S.S., 2012. A comparative performance analysis of load balancing
algorithms in distributed system using qualitative parameters. International Journal of Recent
Technology and Engineering, 1(3), pp.175-179.

Salem, M.A., Hasnan, N. and Osman, N.H., 2012. Balanced scorecard: Weaknesses, strengths,
and its ability as performance management system versus other performance management
systems. Journal of Environment and Earth Science, 12(9), pp.1-9.

Trigeorgis, L. and Reuer, J.J., 2017. Real options theory in strategic management. Strategic
Management Journal, 38(1), pp.42-63.
SYSTEM OF STRATEGIC MANAGEMENT
10

Verissimo, P. and Rodrigues, L., 2012. Distributed systems for system architects (Vol. 1).
Springer Science & Business Media.

You might also like