Managing_Resources_and_Operations

Running head: GLOBAL OPEREATIONS MANAGEMENT AIU-Online Sandra Fitzhugh Managing Resources and Operations Abstract Today there are so many investments in technology and the true power of the internet makes it so easier for big and small companies alike to go global. Before only the larger companies were thought of as multinational corporations, but today this is no longer true. Globalizing a business is a good venture since growth in revenue and shares are show little change in today’s markets, but the international market is what businesses are looking for and is a great opportunity for overseas startups. This paper is an attempt to show some issues to overcome when you expand in the overseas market with PPQ parts expanding in Japan and Germany. Environmental scanning is a technology that managers understand. These techniques will allow managers to identify the trends that help get the important information that will help them understand the conditions that will affect their operations and the cause of the change. Since businesses will operate under a certain political rule, the environment and the development of public policy will affect business operations along with economics and interest rates as well as unemployment and the GDP all of which can be global or domestic and all global events should be taken into great consideration. Throughout the years there have been a lot of demographic changes because of the shift in the workforce. There has been a change in the shift between men, women and minorities which brings about change in our economic development. Computer software and hardware are not the only technology force that are changing in the world today there are a lot of breakthroughs that are making a change in today’s market such as the medical field of technology. Companies need to take a good look at who they are competing with and know that their employees and other interest groups can affect the way they manage their companies. The condition of the economy in Germany is doing a lot better than the economist had thought given the fact that the debt issue in Europe issue in Europe is around.2% dealing with the GDP. German politics are trying to create a deeper union that will advance their interest in economic and national security (Bloomberg, 2012). The economy in Japan is a little slower, but is increasing because more consumers are buying more fuel efficient vehicles than ever before. The debt crisis has an effect on the European financial market in Japan, but their outlook as of today is still uncertain. There seem to be talk about a nuclear disaster that has been kept from the people who have protested in the streets on this issue. The competition with cars seems to be up and down in Japan with the Suzuki vehicle taking the lead in the sales market. Their plan for staying ahead of the game is maintain their current product strategy. Mazda on the other hand is in a catch up situation with the suv sales because of an annual loss they have been experiencing. The Mazda CEO is thinking about adding some partners to help with manufacturing, resources and new technology. BMW is currently in the lead while General Motors are trying hard to boost their sales with smaller models of SUVs’ against the SUVs’ of BMW. (Reuters, 2012). Managerial strengths comes when they have the ability to work with several people while motivating their people to get the job done and done well so the communication is key to letting people know what it is they are trying to achieve. The care managers need to understand the consumer needs and what they want in a SUVs or similar vehicle so quick decisions will have to be made from time to time. Another good manager will know the strengths and weaknesses of the organization so changes can be made accordingly. Cost structure will deal with the financial strengths and weaknesses. Some short term goals of PPQ parts would recognize the increase of 5000 employees to 10,000 employees with a four year period while raising the charity by 5 percent total profit in four years as well. Raising the market share of SUVs’ from 5 percent to 9 percent and we should also raise the three year average for a 6 percent margin to around 13 percent in the next four years should show good progress. A long term goal would be to raise the stock price from ten dollars a share to twenty two dollars per share and then work to lower the turnover rate from twenty five percent to seventy percent. A good long term strategy would be to stop over producing vehicle that will cause recalls which is a costly mistake for the company. Any defective parts will cause the reputation of the company and good standing with the consumer. Expanding to a car manufacturing company is Japan is a good idea since they are the largest in the automotive industry for parts, technology and expertise. Japan is the second largest leader in the consumer market that has a turnover rate of about 1 billion dollars last year alone. One good thing about going to Japan would be the ability to recruit the best of industry world in Japan to work for a company that is known for success. Germany does not have franchising in their country which makes this country very attractive to a company wanted to do business there. The country prides themselves on skilled workers from managerial experience to their manual workers who work hard to uphold the standards they pride themselves with. References: Startup Overseas. (n.d.). Expanding a Business Plan in Japan. Retrieved from http://www.startupoverseas.com.uk Bloomberg. (2012). Bloomberg Business Week. Retrieved from http://www.news. businessweek.com Reuters. (2012).Japan Economy Picking Up. Retrieved from http://www.reuters.com