transition of business world

8/11/2019 Transition of Business World

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Transition of Business World

COMPARATIVE STUDY

BETWEEN PAST AND PRESENT


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What what TO STUDY???????

Introduction

Global villege

Speed

PLC

Transparancy

Communication

IT

Information

Trade restrications

Innovation

Competition

Flexibility

Globalization


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Introduction This is the 21st century and the business

organisations have been turned up to a newlevel. We can easily state that, the change is the

only thing which is constant in the current

senario.

The methods of business are changing. The styles

are changing. Those who refuse to change

remain behind and stop for ever. There are

number of factors in the business field, which are

continuously in the transition mode. These are

making impact on the success of the business.


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Concept of Global village

The world is global village. The world has becomesmall. The rise of multinational and transnational

corporations demands new requirements on human

resources managers. They must ensure that the

appropriate mix of employees in terms of knowledge,skills and cultural adaptability are available to handle

global assignment. All the nations have understood

that the progress is possible only in globalizing the

business operations. To meet this target, they musttrain individuals to meet the challenges of the global

village.


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SPEED

The speed of many aspects has increased many folds.

Electronic technology is being used in more and

more extent. Technological revolution has changed

the ways in which business could be carried.

Production machines have been developed whichproduce faster goods with better quality.

Electronics has been making a great advancement in

the field of machinery for productions as well as

inspection. Movement of persons has been nowhighly mobile due to speedy air travel. The data

required can be shifted in few secondstime. Rather

the speed of the development in IT is unimaginable.


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PL

We see that the product life cycle is becoming short.

This is demanding faster development of the newproducts.

A product is introduced or launched into the market.

It gains more and more customers as it grows. Then

the market stabilizes and the product become

mature. After a period of time, the product is

overtaken by development and the introduction of

superior competitors, it goes into decline andis eventually withdrawn. PLC length is reduced

considerably.


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Transparency It is observed that, sense of confidentiality is getting

obsolete. At all the levels in the company and outsidethere is transparency with respect to the documents,

data and information. No one needs to hide anything.

The documents like drawings, process sheets and

quality checking instructions were considered asconfidential and were restricted to be seen by any one

in the company or outsider also. Now a days have

changed in such a way that outside vendors have not

only direct access to the drawings and process sheets,but also they are directly involved in the discussion of

the design of products and processes.


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Communication>>>>>>>>>>>>> Methods of communication are coming in to

existance, which help to speed up the businessactivities. Internet connectivity allows

teleconference possible making the availability of

the company personnel to come together even

though they are away at any place on the globe at

far off places. Business discussions for negotiations,

decisions, instructions have been easy. Media has

become powerful through the means of televisionnetwork, newspapers etc. The customer becomes

more knowledgeable about the product he is going

to buy.


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IT Developments like, use of credit card,

ATM, transfer of money through netwithout giving cheque etc. are new

developments. These make the banking

system fast and easy. Computers,

internet, lan, wan etc have greatly shifted

the work culture. This has improved the

accuracy of the work and so the

decisions. In the businesses the real time

information is available for all the levels

of the ersons.


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Information

Yet another advantage is of all type of

information is available in hand. The

consumer education is improvingbecause of the same, which we already

have discussed.

The characteristics of the information is,

it keeps on chaning. Latest informatoin

gets highlighted quickly as never before.


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Trade Restrictions

All the nations in the world have now clearly

understood that the economical progress is possible

only when they break the trade restrictions. They are

accepting the path of liberalization. Too manyrestrictions for starting and running an enterprise is

one of the most important hurdles. The governemnt

officials have to give permission on and often for

issues in the company. It is impossible to run theactivities smoothly in such an environment. Due to

removal of red tapisum, there is freedom for

entrepreneurs to take anny appropriate step for their

business.


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Great companies innovated at every phase of their

evolution. Companies should focus their energies on

innovation elsewhere, such as marketing and

operations. Innovation is simply a form of energy to

create competitive advantage. In the competitive

state you are trying to create is a high degree of

differentiation from your immediate competitors.


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It encourages manufacturers and service

providers (such as workers) to be moreefficient, to better respond to the needs of

their customers.

Competition weeds out the failures, theincompetent, the inefficient, the fat and slow

to respond to changing circumstances. So the

poorer the country, the less resources it has-the more it is in need of competition.


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Fle

xi

bi

li

ty

Flexibility of the organization,

machinery and people will begiving impact on the future of the

company. Company will really

boom if the flexibility is there. Matters like new product

development, shifting the product

line quickly, responding with fastto the needs of services has to be

developed by the organization.


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Globalization Globalization means expansion of business

activities to cover the entire world. Newdevelopments in the field of technology,

expansion of trade and interdependence of

countries helps in the process of globalization. It leads to integration of economies of

different countries in a new global economic

order. In this order, large scale manufacturingactivities will be undertaken for meeting the

needs of local people and also for promoting

exports.


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Globalization


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Characteristics of Global Business Large-scale production and marketing

Integration of economies of countries

Domination of developed countries and MNCs

Benefits to Participating countries

Keen competition among participants

Special role of science and technology

Brings interdependence at global level Revolutionary changes in manufacturing and

marketing concepts


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ASSIGNMENT

NEED FOR GLOBALIZATION

BENEFITS OF GLOBALIZATON

LOSS DUE TO GLOBALIZATION

transition of business world

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