Making Paper Doll Face
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Kawaii
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Kawaii is a Japanese term which means “cute”. These collectible kawaii items of my brother are so cute. These are tamagochis that have built in infrared which connects to the tamagochis that has infrared. How I wish to have these kind of items but I’m out of budget for this. Lolz!
My Cousin
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"Childhood is a journey, not a race.", a quote that I will cherish forever. When I always see kids running, playing, laughing, it made me remember back to my younger years. Before, I usually played with my playmates especially my classmates and friends. I cannot forget those times playing tigso, takyan, tagu-anay, jolenay, and a lot of local games which made me happy.This is Janrex. You may call him Jan-Jan. He is my cousin and he is in Grade 2. He is so cute and super smart. When I'm going to visit them at their house, we usually played tagu-anay and dampa. Jan-Jan loves to borrow my phone because he wants to play some mobile games. That is why, I will keep my phone so that he won't play it.
Now, I cannot imagine that he is a big boy na. Hehehe. Last time, i saw him, he is toddler. Now, a lad who is studying in the primary level. Whew! Time is so fast. Maybe, di ko lang mamalayan, meron na pa pala itong sariling pamilya. HEHEHE. Anyways, my payo to him na lang, enjoy being a kid. Being a kid is like a thing which is temporal and not eternal.
Areas Related to HRM on the 9th SONA of the President
During the 9th SONA of the President at the Batasang Pambansa, there are lots of achievements she shared. She discussed some achievements in banking and finance, education, and a lot more and one of the achievements she shared related in the Human Resource Management are; for small entrepreneurs they should be well funded, teacher's training to provide more quality education to their students and lastly, effective protections for our OFWs.
To discuss these three areas related to Human Resource Management further, let's go back what Human Resource Management is. According to our brother online dictionary, Human resource management (HRM) is the strategic and coherent approach to the management of an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. The terms "human resource management" and "human resources" (HR) have largely replaced the term "personnel management" as a description of the processes involved in managing people in organizations. In simple sense, HRM means employing people, developing their resources, utilizing, maintaining and compensating their services in tune with the job and organizational requirement.
For the last works done by our dynamic President, she made some efforts in order those employees both in private and government sectors will work in motivation. That is why, many of our organizations, corporations and companies here in the Philippines doesn't experience recession well.
These were the three areas related to HRM in which the President shared. To wit:
1. Nakinabang ang pitong milyong entrepreneurs sa P165 billion in microfinance loans. Nakinabang ang sandaan libo sa emergency employment ng ating economic resiliency plan. Kasama natin ngayon ang isa sa kanila, si Gigi Gabiola. Dating household service worker sa Dubai, ngayon siya ay nagtatrabaho sa DOLE. Good luck, Gigi.
Here, loaning is one of the easiest way in which our small entrepreneurs can sustain to their businesses. They have to borrow some money from the lender whether how much is it. That is why, the Arroyo administration imposed this kind of loaning system which is called microfinance loan. Microfinance refers to the provision of financial services to low-income clients, including consumers and the self-employed. This Microfinancing loans are small loans granted to the basic sectors, on the basis of the borrower’s cash flow and other loans granted to the poor and low-income households for their microenterprises and small businesses to enable them to raise their income levels and improve their living standards. These loans are typically unsecured but may also be secured in some cases. That is why, this microfinance loan is such a great help to our so-called mamamayan. For them, this is not a burden but as long as they can sustain their businesses in their own, it is better not to borrow in order for them not to sink in the quicksand of debts.
2. Pardon my partiality for the teaching profession. I was a teacher. Kaya namuhunan tayo ng malaki sa education at skills training. Ang magandang edukasyon ay susi sa mas magandang buhay, the great equalizer that allows every young Filipino a chance to realize their dreams. Nagtayo tayo ng 95,000 na silid-aralan, nagdagdag ng 60,000 na guro, naglaan ng P1.5 billion para sa teacher training, especially for 100,000 English teachers.
In this second issue, education is important to everyone especially to the young minds. Education is central to development and a key to attaining the millennium development goals of our government and our society. It is one of the most powerful instruments for reducing poverty and inequality and lays a foundation for sustained economic growth. That is why, most developed countries invest more in their education system and produce more competitive which our country envy. When Pres. Gloria Arroyo first stepped in the Malacañang Palace as our second woman president, she planned and studied well about the poor education system of our country. After for a long time, Madam President has a solution in which students can benefit but the teachers also. This solution in which our president made, is such a great help in order that the teachers and instructors of different schools in our country will be more competitive. It is good to know that the government invest funds worth of billion pesos for the training for our teachers. This training will help and motivate our teachers especially those English teachers to work hard so that they can serve well our country and so that they will know what are the new trends in teaching in using new technologies nowadays. And because of that, good to hear that and well done Madam President!
3. Sa hirap at ginhawa, pinapatatag ang ating bansa ng ating Overseas Filipinos. Iyong padala nilang $16 billion noong isang taon ay record. Itong taon, mas mataas pa.
I know that this is not a sacrifice joyfully borne. This is work where it can be found -- in faraway places, among strangers with different cultures. It is lonely work, it is hard work.
Kaya nagsisikap tayong lumikha dito sa atin ng mga trabahong maganda ang sahod, so that overseas work will just be a career choice, not the only option for a hard-working Filipino.
Meanwhile, we should make their sacrifices worthwhile. Dapat gumawa tayo ng mas epektibong proteksyon at pagpapalawak ng halaga ng kanilang pinagsikapang sweldo. That means stronger consumer protection for OFWs investing in property and products back home. Para sa kanila, pinapakilos natin ang Investors Protection Task Force.
In this last area related to HRM, the President focused it to the OFWs or Overseas Filipino Workers. According to them, OFWs are the modernized heroes of our country. The money in which the OFWs remittedevery year is such a great help so that we can earn billion of pesos. Because of the blood and sweat offered by the OFWs to work outside the country, most of us admired them. That is why, the government established a task force in which it is beneficial to the OFWs so that they will be overseen by the government whether they were paid well by their employers or not. Good to hear also that the government implemented well to have jobs inside the country with a nice wages so that working outside the country is a choice now and because of that, no more BRAIN DRAIN anymore.
Now, because of these few achievements done by our President , we may not call her tamad na Presidente but instead a WORKING PRESIDENT. These achievements done by her is a proof that our country Philippines is a developing country and soon to be a Tiger Economy .
To discuss these three areas related to Human Resource Management further, let's go back what Human Resource Management is. According to our brother online dictionary, Human resource management (HRM) is the strategic and coherent approach to the management of an organization's most valued assets - the people working there who individually and collectively contribute to the achievement of the objectives of the business. The terms "human resource management" and "human resources" (HR) have largely replaced the term "personnel management" as a description of the processes involved in managing people in organizations. In simple sense, HRM means employing people, developing their resources, utilizing, maintaining and compensating their services in tune with the job and organizational requirement.
For the last works done by our dynamic President, she made some efforts in order those employees both in private and government sectors will work in motivation. That is why, many of our organizations, corporations and companies here in the Philippines doesn't experience recession well.
These were the three areas related to HRM in which the President shared. To wit:
1. Nakinabang ang pitong milyong entrepreneurs sa P165 billion in microfinance loans. Nakinabang ang sandaan libo sa emergency employment ng ating economic resiliency plan. Kasama natin ngayon ang isa sa kanila, si Gigi Gabiola. Dating household service worker sa Dubai, ngayon siya ay nagtatrabaho sa DOLE. Good luck, Gigi.
Here, loaning is one of the easiest way in which our small entrepreneurs can sustain to their businesses. They have to borrow some money from the lender whether how much is it. That is why, the Arroyo administration imposed this kind of loaning system which is called microfinance loan. Microfinance refers to the provision of financial services to low-income clients, including consumers and the self-employed. This Microfinancing loans are small loans granted to the basic sectors, on the basis of the borrower’s cash flow and other loans granted to the poor and low-income households for their microenterprises and small businesses to enable them to raise their income levels and improve their living standards. These loans are typically unsecured but may also be secured in some cases. That is why, this microfinance loan is such a great help to our so-called mamamayan. For them, this is not a burden but as long as they can sustain their businesses in their own, it is better not to borrow in order for them not to sink in the quicksand of debts.
2. Pardon my partiality for the teaching profession. I was a teacher. Kaya namuhunan tayo ng malaki sa education at skills training. Ang magandang edukasyon ay susi sa mas magandang buhay, the great equalizer that allows every young Filipino a chance to realize their dreams. Nagtayo tayo ng 95,000 na silid-aralan, nagdagdag ng 60,000 na guro, naglaan ng P1.5 billion para sa teacher training, especially for 100,000 English teachers.
In this second issue, education is important to everyone especially to the young minds. Education is central to development and a key to attaining the millennium development goals of our government and our society. It is one of the most powerful instruments for reducing poverty and inequality and lays a foundation for sustained economic growth. That is why, most developed countries invest more in their education system and produce more competitive which our country envy. When Pres. Gloria Arroyo first stepped in the Malacañang Palace as our second woman president, she planned and studied well about the poor education system of our country. After for a long time, Madam President has a solution in which students can benefit but the teachers also. This solution in which our president made, is such a great help in order that the teachers and instructors of different schools in our country will be more competitive. It is good to know that the government invest funds worth of billion pesos for the training for our teachers. This training will help and motivate our teachers especially those English teachers to work hard so that they can serve well our country and so that they will know what are the new trends in teaching in using new technologies nowadays. And because of that, good to hear that and well done Madam President!
3. Sa hirap at ginhawa, pinapatatag ang ating bansa ng ating Overseas Filipinos. Iyong padala nilang $16 billion noong isang taon ay record. Itong taon, mas mataas pa.
I know that this is not a sacrifice joyfully borne. This is work where it can be found -- in faraway places, among strangers with different cultures. It is lonely work, it is hard work.
Kaya nagsisikap tayong lumikha dito sa atin ng mga trabahong maganda ang sahod, so that overseas work will just be a career choice, not the only option for a hard-working Filipino.
Meanwhile, we should make their sacrifices worthwhile. Dapat gumawa tayo ng mas epektibong proteksyon at pagpapalawak ng halaga ng kanilang pinagsikapang sweldo. That means stronger consumer protection for OFWs investing in property and products back home. Para sa kanila, pinapakilos natin ang Investors Protection Task Force.
In this last area related to HRM, the President focused it to the OFWs or Overseas Filipino Workers. According to them, OFWs are the modernized heroes of our country. The money in which the OFWs remittedevery year is such a great help so that we can earn billion of pesos. Because of the blood and sweat offered by the OFWs to work outside the country, most of us admired them. That is why, the government established a task force in which it is beneficial to the OFWs so that they will be overseen by the government whether they were paid well by their employers or not. Good to hear also that the government implemented well to have jobs inside the country with a nice wages so that working outside the country is a choice now and because of that, no more BRAIN DRAIN anymore.
Now, because of these few achievements done by our President , we may not call her tamad na Presidente but instead a WORKING PRESIDENT. These achievements done by her is a proof that our country Philippines is a developing country and soon to be a Tiger Economy .
Human Power
"Human beings are the most important, potent and critical, resource of any organization, and yet the least understood and the worst managed of its resources"
In this statement, my own notion for this is, the employee is the most important ingredient in an organization or company. Without an employee, you cannot say that it is an organization (most of us referred this as company) because they are the one which contributed more in order that this kind of organization can survive.
Leaders within our industry have consistently stated that employees are very important. According to the American Public Transportation Association, they defined two main strategic goals on the development of our industry's workforce. The managers and supervisors have stated that training and development is the core requirement to long range success. Ask yourself, "Why is training and development, attracting and retaining transit workers such a problem? Why doesn't the transit industry create a market of certified transit professionals? Why aren't we teaching our employees how vision, mission and values link to our every day business?". Organizations still ponder with the need to invest current dollars in training and certification processes, in place of short-term fixes that tend to add only little value to the industry's success. Anyone managing a multi-million dollar public transit operation today realizes that this industry employs over 450, 000 people in North America and moves over four billion people annually. Ensuring our employees have the tools needed to be successful, improving their skills through training and managerial dedication that will pay dividends. Many leaders underestimate the importance of designing an organization's future with this in mind. However, I challenge our leaders to take the steps to have the goals of training, development, and recognition as part of our industry's way of operating. Having these goals that invests in our employees, will sustain long needed success for our customers and the growth of our industry into the 21st century.
Employees are potent and critical because they are human beings which have rational thinking and logic. According to philosophical view of man, when he realises that he is the highest of all creation, then he becomes a human. When he develops his intellect, then he becomes a human. When he becomes an example for others, then he becomes a human. When he transcends the common limitations through his wisdom, then he becomes best of humans.
Not all humans have the same kind of intellect. Some men have the ability of being a leader and some are not. Do not be confused why there are people in the highest positions in a company and there are people in the lowest positions in a company. That is why there are managers, supervisors, CEOs which are gifted in this kind of disciplines.
In order that the managers, supervisors and other high ranking officials of a certain organization can have a better product, managers or any other high ranking officials of a certain organization may made some motivators to the employees so that these motivators will help to them in order that their products or contributions may be acceptable to the institution. As I surf over the internet, I found this motivators so that employees may be happy at work.
1. What People Want From Work
Some people work for personal fulfillment; others work for love of what they do. Others work to accomplish goals and to feel as if they are contributing to something larger than themselves. The bottom line is that we all work for money and for reasons too individual to assign similarities to all workers.
2. How To Demonstrate Respect at Work
Ask anyone in your workplace what treatment they most want at work. They will likely top their list with the desire to be treated with dignity and respect. You can demonstrate respect with simple, yet powerful actions. These ideas will help you avoid needless, insensitive, unmeant disrespect, too.
3. Provide Feedback That Has an Impact
Make your feedback have the impact it deserves by the manner and approach you use to deliver feedback. Your feedback can make a difference to people if you can avoid a defensive response.
4. Top Ten Ways to Show Appreciation
You can tell your colleagues, coworkers and staff how much you value them and their contribution any day of the year. Trust me. No occasion is necessary. In fact, small surprises and tokens of your appreciation spread throughout the year help the people in your work life feel valued all year long.
5. Trust Rules: The Most Important Secret
Without it, you have nothing. Trust forms the foundation for effective communication, employee retention, and employee motivation and contribution of discretionary energy, the extra effort that people voluntarily invest in work. When trust is present, everything else is easier.
6. Provide Motivational Employee Recognition
You can avoid the employee recognition traps that: single out one or a few employees who are mysteriously selected for the recognition; sap the morale of the many who failed to win, place, or even show; confuse people who meet the criteria yet were not selected; or sought votes or other personalized, subjective criteria to determine winners.
7. Employee Recognition Rocks
Employee recognition is limited in most organizations. Employees complain about the lack of recognition regularly. Managers ask, “Why should I recognize or thank him? He’s just doing his job.” And, life at work is busy, busy, busy. These factors combine to create work places that fail to provide recognition for employees. Managers who prioritize employee recognition understand the power of recognition.
8. Top Ten Ways to Retain Your Great Employees
Key employee retention is critical to the long term health and success of your business. Managers readily agree that their role is key in retaining your best employees to ensure business success. If managers can cite this fact so well, why do many behave in ways that so frequently encourage great employees to quit their job?
9. Team Building and Delegation: How and When to Empower People
Employee involvement is creating an environment in which people have an impact on decisions and actions that affect their jobs. Team building occurs when the manager knows when to tell, sell, consult, join, or delegate to staff. For employee involvement and empowerment, both team building and delegation rule.
10. Build a Mentoring Culture
What does it take to develop people? More than writing “equal opportunity” into your organization’s mission statement. More than sending someone to a training class. More than hard work on the part of employees. What development does take is people who are willing to listen and help their colleagues. Development takes coaches, guides and advocates. People development needs mentors.
To read more about this, you may click this link: http://humanresources.about.com/od/rewardrecognition/tp/recognition.htm
We may say also that the human beings in an organization are the least understood and worst to manage it is because, these human beings are able enough to make some critical decisions and justifications. You cannot easily control your employee because they are capable to do so some things which you can do unless you do have some robotic employees which are irrational and cannot perform logical thinking. That is why, God gave the dominion to the man to rule over the fluvial, terrestrial and aerial domains but not above to him.
Source:
http://74.125.153.132/search?q=cache:V1edGbz1MIoJ:www.aptrex.com/StumpoPaperCalgary.pdf+why+employees+are+important&cd=1&hl=tl&ct=clnk&gl=ph
http://humanresources.about.com/od/rewardrecognition/tp/recognition.htm
21st Corporations
150 years ago, the business corporations was relatively insignificant institution. Today, it is all pervasive like the church, the monarchy,and the communist party and other times and places. The corporations today is a dominate institution.
Corporation is like a jigsaw in the society as a whole. If you remove it, the pictures incomplete but equally, if it's the only path, its not gonna work. The corporation is just like a family unit. People in the corporation work together just for common in. Like the telephone system, yet it reaches almost everywhere its extraordinarily powerful its pretty hard to avoid and its transforms the lives of the people. It balance for the betterment of the people. The eagle, soar, clear-eye, competitive, prepared to strike but not a vulture. Noble, avisionary majestic but the people can believe in and be inspired by that creates such a lift that is source.
Corporations are artifical creations. You might say there are monsters trying to devour as much as profit as possible at anyone's expense. Like a whale, big fish which can swallow you in an instant. The word corporate gets attached in almost a sense of agenda and one hears a lot about the corporate agenda as though it is an agenda which is trying to take over the world.
What is a Corporation? It is a group of invdividuals working together to serve a variety of objectives. The principle one of it is earning large, growing, sustain and legal returns for the people who own the business.
Birth of Corporation: The history of corporations goes back at least to the sixteenth century, and since then their essential nature has not greatly changed. Before corporations, debts were transgenerational, passed on to descendents, some of whom were placed in debtors' prisons to repay the monies. The early state-chartered corporations of Europe and England were established to sponsor exploration of the New World. Those who sailed forth from England to trade for spices in the East Indies took grave risks in the journey, and even graver ones should they lose their precious cargoes. If they did not sail under the charter of a state corporation, they and their families could be ruined for life if bad weather or piracy struck en route. By establishing the corporate form, limiting shareholders to liabilities no greater than their investment, Europeans were able to create a form of commerce that could absorb the hard knocks of trading and exploring, encouraging both risk-taking and speculative investment at the same time. Those early corporations negotiated their charters with the state, which outlined the terms of their rights as well as the monies that were to be repaid to the crown. As a social technology, this was a brilliant invention, releasing the vigor of enterprise in the world. The charter of limited liability distinguished a corporation from all other forms of enterprise, because it was (and is) actually a gift of the state„a grant, a covenant, a form of permission that citizens, through their government, delegate to the corporation and its shareholders. In the early years of the republic, the citizens of the United States were keen to prevent any institution, foreign or domestic, commercial or religious, from dominating or suppressing their newly won rights. Early corporation charters were carefully drafted by states to ensure this subordination. At the beginning of the nineteenth century, there were only a few hundred corporations in the United States, and many of these were chartered expressly to build canals, turnpikes, or other public infrastructure. Even then, citizens openly and persistently expressed concern that corporations with specific rights granted under charters would nevertheless become so powerful that they could take over newspapers, public opinion, elections and the judiciary. Workers had similar fears about their own status within these new corporations. Thus early state charters were detailed and restrictive. They specified limits on profits, the amounts of indebtedness allowed, the overall capitalization, and how much land a corporation could own. The power of large shareholders was limited by scaled voting, so that large and small investors had equal voting rights. Interlocking directorates were not allowed, and in the case of public works projects, corporations were allowed to retain their original investments with predetermined percentages of profit. When profit projections were reached, the project was turned over to the state. It was the commonly held opinion at that time that corporations were a "creature of the law and may be molded to any shape or for any purpose that the Legislature may deem most conducive for the general good." In many states, clauses of incorporation gave legislatures the right to annul or revoke a charter whenever they chose to, or after a certain period of time (often several decades). Some states even required public votes to continue certain charters.
Despite these efforts, legislatures inevitably began to lose their control over big business, state by state. Government corruption became particularly rampant after the Civil War, and with it came a loosening of laws regulating interlocking trusts, factory towns and sequestered private fortunes. Child labor flourished, along with Pinkerton and other private armies that kept protests in check, workers in line. The Civil War had transferred great amounts of wealth to corporations, and with this concentration of power they began to clamor for "equal rights" and new simplified chartering laws that would treat every corporation equally (This is the means of incorporation we have today: anyone can do it, and for a nominal fee.)
There quickly followed a wholesale reinterpretation of the Constitution by the judiciary, granting new powers and rights to corporations. The primary thrust behind these precedents was the "due process" clause of the Fourteenth Amendment. This amendment protected the rights of freed slaves, but it was subsequently interpreted to give corporations the same status before the law as that of a natural person. On that basis, judges reversed hundreds if not thousands of state laws controlling wages, working conditions, ownership and corporate tenure.
In the wake of those decisions, American business was transformed. Unions could be interpreted as "civil conspiracies" and could be enjoined from striking. With the reduction of state power, incentives were reversed and states such as Deleware began attracting business by having the simplest and most lax incorporation procedures and regulations, driving other states to compete by lowering their own standards. The marriage of business and government also undermined„turned upside down, in fact„the Bill of Rights. The First Amendment, guaranting the right of every citizen to engage in free speech, was established to encourage, promote, and preserve democratic traditions. In the late 1700s there were very few ways to communicate except through speech: flyers, books, pamphlets, and broadsides from every conceivable quadrant of the political spectrum. The Founding Fathers wisely understood that the suppression of these political expressions would inevitably lead to tyranny of one sort or another; they did not want any one voice to have sway or dominance over the public discourse. There was little concern at that time that among the voices clamoring to be heard would be that of commerce... and the founders of the American republic still had no concept of the multinational corporation.
By invoking the First Amendment privilege to protect "speech," corporations achieve precisely what the Bill of Rights was intended to prevent: domination of public thought and discourse. Although corporations profess that they are legitimately expressing their democratic rights in their attempt to influence the government, their argument presupposes that all parties, from the single voter to the multinational company, have an equal voice in the political debates surrounding important issues.
Modern Corporations and Multinationals (21st Century): A corporation is a business that is legally independent from its members. Corporations may incur or pay debt, negotiate contracts, sue and be sued. Corporations range in size from local retail stores to a nation's largest corporation. These larger corporations sell stocks to shareholders, and the shareholders legally own the company. Management of the company remains separate from, but accountable to, the ownership. The shareholders are organized with a board of directors who hold regular meetings and make decisions on broad policies governing the corporation. Although many Americans own stock, they normally do not participate in regular board meetings or exert significant control over corporate decisions.
Sometimes corporations with closely related business may share board members, which is called an interlocking directorate. In this arrangement a manufacturer, a financial services company, and an insurance company with shared business also share the same board members. These few individuals, then, exert power over multiple companies whose business is interdependent.
According to a common online encyclopedia, conglomerate is a corporation made up of many smaller companies, or subsidiaries, that may or may not have related business interests. The buying and selling of corporations for profit—rather than for the service or products they provide—form conglomerates. The process of corporate merger often leads to large layoffs because, as companies combine forces, many jobs are duplicated in the other company. For example, a conglomerate may take over a smaller company, including that company's marketing department. The conglomerate will already have a marketing department capable of handling most of the new acquisition's needs. Therefore, as many as half or all of the acquired marketing department employees would lose their jobs. The same situation often occurs when two corporations of a similar size merge.
Other types of corporations include monopolies, oligopolies, and multinationals. Monopolies occur when a single company accounts for all or nearly all sales of a product or service in a market. Monopolies are illegal in the United States because they eliminate competition and can fix prices, which hurts consumers. In other words, monopolies interfere with capitalism. The Philippine government does not allow monopolies but U.S. government does consider some monopolies legal, however, such as utilities where competition would be difficult to implement without distressing other social systems. But even utility monopolies have seen increased competition in recent years. Recently electric power companies have seen deregulation and increased competition in some regions as well.
Oligopolies exist when several corporations have a monopoly in a market. The classic example of an oligopoly would be American auto makers until the 1980s. Ford, Chrysler, and General Motors manufactured nearly all vehicles built in America. As globalization has increased, so has competition, and few oligopolies exist today.
Multinationals are corporations that conduct business in many different countries. These corporations produce more goods and wealth than many smaller countries. Their existence, though, remains controversial. They garner success by entering less-developed nations, bringing industry into these markets with cheaper labor, and then exporting those goods to more-developed countries. Business advocates point to the higher standard of living in most countries where multinationals have entered the economy. Critics charge that multinationals exploit poor workers and natural resources, creating environmental havoc.
Sources: http://www.mecgrassroots.org/NEWSL/ISS19/20CorpBirth.html
http://thecorporation.com/
Corporation is like a jigsaw in the society as a whole. If you remove it, the pictures incomplete but equally, if it's the only path, its not gonna work. The corporation is just like a family unit. People in the corporation work together just for common in. Like the telephone system, yet it reaches almost everywhere its extraordinarily powerful its pretty hard to avoid and its transforms the lives of the people. It balance for the betterment of the people. The eagle, soar, clear-eye, competitive, prepared to strike but not a vulture. Noble, avisionary majestic but the people can believe in and be inspired by that creates such a lift that is source.
Corporations are artifical creations. You might say there are monsters trying to devour as much as profit as possible at anyone's expense. Like a whale, big fish which can swallow you in an instant. The word corporate gets attached in almost a sense of agenda and one hears a lot about the corporate agenda as though it is an agenda which is trying to take over the world.
What is a Corporation? It is a group of invdividuals working together to serve a variety of objectives. The principle one of it is earning large, growing, sustain and legal returns for the people who own the business.
Birth of Corporation: The history of corporations goes back at least to the sixteenth century, and since then their essential nature has not greatly changed. Before corporations, debts were transgenerational, passed on to descendents, some of whom were placed in debtors' prisons to repay the monies. The early state-chartered corporations of Europe and England were established to sponsor exploration of the New World. Those who sailed forth from England to trade for spices in the East Indies took grave risks in the journey, and even graver ones should they lose their precious cargoes. If they did not sail under the charter of a state corporation, they and their families could be ruined for life if bad weather or piracy struck en route. By establishing the corporate form, limiting shareholders to liabilities no greater than their investment, Europeans were able to create a form of commerce that could absorb the hard knocks of trading and exploring, encouraging both risk-taking and speculative investment at the same time. Those early corporations negotiated their charters with the state, which outlined the terms of their rights as well as the monies that were to be repaid to the crown. As a social technology, this was a brilliant invention, releasing the vigor of enterprise in the world. The charter of limited liability distinguished a corporation from all other forms of enterprise, because it was (and is) actually a gift of the state„a grant, a covenant, a form of permission that citizens, through their government, delegate to the corporation and its shareholders. In the early years of the republic, the citizens of the United States were keen to prevent any institution, foreign or domestic, commercial or religious, from dominating or suppressing their newly won rights. Early corporation charters were carefully drafted by states to ensure this subordination. At the beginning of the nineteenth century, there were only a few hundred corporations in the United States, and many of these were chartered expressly to build canals, turnpikes, or other public infrastructure. Even then, citizens openly and persistently expressed concern that corporations with specific rights granted under charters would nevertheless become so powerful that they could take over newspapers, public opinion, elections and the judiciary. Workers had similar fears about their own status within these new corporations. Thus early state charters were detailed and restrictive. They specified limits on profits, the amounts of indebtedness allowed, the overall capitalization, and how much land a corporation could own. The power of large shareholders was limited by scaled voting, so that large and small investors had equal voting rights. Interlocking directorates were not allowed, and in the case of public works projects, corporations were allowed to retain their original investments with predetermined percentages of profit. When profit projections were reached, the project was turned over to the state. It was the commonly held opinion at that time that corporations were a "creature of the law and may be molded to any shape or for any purpose that the Legislature may deem most conducive for the general good." In many states, clauses of incorporation gave legislatures the right to annul or revoke a charter whenever they chose to, or after a certain period of time (often several decades). Some states even required public votes to continue certain charters.
Despite these efforts, legislatures inevitably began to lose their control over big business, state by state. Government corruption became particularly rampant after the Civil War, and with it came a loosening of laws regulating interlocking trusts, factory towns and sequestered private fortunes. Child labor flourished, along with Pinkerton and other private armies that kept protests in check, workers in line. The Civil War had transferred great amounts of wealth to corporations, and with this concentration of power they began to clamor for "equal rights" and new simplified chartering laws that would treat every corporation equally (This is the means of incorporation we have today: anyone can do it, and for a nominal fee.)
There quickly followed a wholesale reinterpretation of the Constitution by the judiciary, granting new powers and rights to corporations. The primary thrust behind these precedents was the "due process" clause of the Fourteenth Amendment. This amendment protected the rights of freed slaves, but it was subsequently interpreted to give corporations the same status before the law as that of a natural person. On that basis, judges reversed hundreds if not thousands of state laws controlling wages, working conditions, ownership and corporate tenure.
In the wake of those decisions, American business was transformed. Unions could be interpreted as "civil conspiracies" and could be enjoined from striking. With the reduction of state power, incentives were reversed and states such as Deleware began attracting business by having the simplest and most lax incorporation procedures and regulations, driving other states to compete by lowering their own standards. The marriage of business and government also undermined„turned upside down, in fact„the Bill of Rights. The First Amendment, guaranting the right of every citizen to engage in free speech, was established to encourage, promote, and preserve democratic traditions. In the late 1700s there were very few ways to communicate except through speech: flyers, books, pamphlets, and broadsides from every conceivable quadrant of the political spectrum. The Founding Fathers wisely understood that the suppression of these political expressions would inevitably lead to tyranny of one sort or another; they did not want any one voice to have sway or dominance over the public discourse. There was little concern at that time that among the voices clamoring to be heard would be that of commerce... and the founders of the American republic still had no concept of the multinational corporation.
By invoking the First Amendment privilege to protect "speech," corporations achieve precisely what the Bill of Rights was intended to prevent: domination of public thought and discourse. Although corporations profess that they are legitimately expressing their democratic rights in their attempt to influence the government, their argument presupposes that all parties, from the single voter to the multinational company, have an equal voice in the political debates surrounding important issues.
Modern Corporations and Multinationals (21st Century): A corporation is a business that is legally independent from its members. Corporations may incur or pay debt, negotiate contracts, sue and be sued. Corporations range in size from local retail stores to a nation's largest corporation. These larger corporations sell stocks to shareholders, and the shareholders legally own the company. Management of the company remains separate from, but accountable to, the ownership. The shareholders are organized with a board of directors who hold regular meetings and make decisions on broad policies governing the corporation. Although many Americans own stock, they normally do not participate in regular board meetings or exert significant control over corporate decisions.
Sometimes corporations with closely related business may share board members, which is called an interlocking directorate. In this arrangement a manufacturer, a financial services company, and an insurance company with shared business also share the same board members. These few individuals, then, exert power over multiple companies whose business is interdependent.
According to a common online encyclopedia, conglomerate is a corporation made up of many smaller companies, or subsidiaries, that may or may not have related business interests. The buying and selling of corporations for profit—rather than for the service or products they provide—form conglomerates. The process of corporate merger often leads to large layoffs because, as companies combine forces, many jobs are duplicated in the other company. For example, a conglomerate may take over a smaller company, including that company's marketing department. The conglomerate will already have a marketing department capable of handling most of the new acquisition's needs. Therefore, as many as half or all of the acquired marketing department employees would lose their jobs. The same situation often occurs when two corporations of a similar size merge.
Other types of corporations include monopolies, oligopolies, and multinationals. Monopolies occur when a single company accounts for all or nearly all sales of a product or service in a market. Monopolies are illegal in the United States because they eliminate competition and can fix prices, which hurts consumers. In other words, monopolies interfere with capitalism. The Philippine government does not allow monopolies but U.S. government does consider some monopolies legal, however, such as utilities where competition would be difficult to implement without distressing other social systems. But even utility monopolies have seen increased competition in recent years. Recently electric power companies have seen deregulation and increased competition in some regions as well.
Oligopolies exist when several corporations have a monopoly in a market. The classic example of an oligopoly would be American auto makers until the 1980s. Ford, Chrysler, and General Motors manufactured nearly all vehicles built in America. As globalization has increased, so has competition, and few oligopolies exist today.
Multinationals are corporations that conduct business in many different countries. These corporations produce more goods and wealth than many smaller countries. Their existence, though, remains controversial. They garner success by entering less-developed nations, bringing industry into these markets with cheaper labor, and then exporting those goods to more-developed countries. Business advocates point to the higher standard of living in most countries where multinationals have entered the economy. Critics charge that multinationals exploit poor workers and natural resources, creating environmental havoc.
Sources: http://www.mecgrassroots.org/NEWSL/ISS19/20CorpBirth.html
http://thecorporation.com/
Downsizing Human Resource
Due to the recent world financial crisis, many business firms and corporations closed becase they cannot sustain anymore the high inflation of high prices through low income and high expenses such as in labor expense, ect. because of the stiff competition of many companies. The only solution found out by the management of different firms is to have a recession and decrease their manpower so that the company can sustain and survive.
There are companies were affected last 2008 global financial crisis and one of these companies is the FedEx Corporation (Global). FedEx is well known because of its global services such as the FedEx Express in which it delivers cargoes and baggages of customers throughout the world. Here is an online magazine (ProcurementAsia Mag) which covers about the huge loss of FedEx,
There are companies were affected last 2008 global financial crisis and one of these companies is the FedEx Corporation (Global). FedEx is well known because of its global services such as the FedEx Express in which it delivers cargoes and baggages of customers throughout the world. Here is an online magazine (ProcurementAsia Mag) which covers about the huge loss of FedEx,
| Quote: |
FedEx Post Huge Loss, Outlook Gloomy By: Jerrel Yun, Singapore Global - FedEx announced a huge loss in the previous quarter, as consumers and businesses downsized shipments and the company took over approximately US$1.2 billion in one-time charges. FedEx lost US$876 million, in the three month period ending in May, compared to a US$241 million loss a year ago. The company took a US$900 million write-down for its 2004 purchase of Kinko's Inc - now known as FedEx Office - and US$90 million in charges for the acquisition of Watkins Motor Lines in September 2006. It also took charges for employee severance and facility cutbacks. In addition, FedEx's operating performance continued to be restrained by the global recession, which resulted in lower shipment volumes at FedEx Express and FedEx Freight, the company said. Revenue for the fourth-quarter fell 20% year-on-year from US$9.87 billion to US$7.85 billion. The company foresees difficult operating conditions in the near future. "The operating environment for our first two quarters in fiscal 2010 is expected to be extremely difficult," Alan Graf, executive VP and CFO of FedEx said. The company said Q408 revenue at the company's Express arm fell 25% due to a contraction in freight volumes and a rise in fuel prices. In the freight segment, revenue dropped 28%. However the company's ground segment did comparably well, with revenue dipping approximately 1% year-on-year. FedEx said that international package volumes improved in the fourth-quarter compared to the quarter before, which could signal that the financial slowdown is levelling off. "There are signs that the worst of the recession is behind us and we remain optimistic that we will see quarter-over-quarter economic improvement later this calendar year," said Frederick W. Smith, chairman, president and CEO, FedEx Corp. In a conference call with analysts, Graf said the company hasn't yet decided whether it will have to layoff more workers or make further cut backs because of economic conditions, reported AP. "That is a question that's going to play out during the year," Graf said. "We have hiring and wage freezes, basically across the board. We have suspended our 401(k) contributions. If the economy turns up and we start to see the growth that we think we will get, we will start to repair those reductions," said Graf. |
And because of this huge loss happened to the FedEx Corporation, at first they downsize their human resource but time came the CEO of the FedEx decided to close their company. Last year, the FedEx-Philippines had their last cargo flight to China and had their farewell party.
There are many reasons why an organization may need to lay off employees in the current business environment that includes mergers and acquisitions, outsourcing key operations, and eliminating less-than-optimal business lines are just a few. However, at the heart of any layoff decision is the need to remain financially viable and competitive both now and in the future. It can therefore be tempting to continue the cost-saving measures as you select an outplacement services provider for your downsized employees. However, the choices you make can seriously impact your company’s reputation and profitability in the future, warns Sharon Winston, regional senior vice president and general manager of leading career services company Lee Hecht Harrison’s San Jose office.
Winston notes that in outplacement, there are no real shortcuts. "There are many paths, but they are each a climb, and anyone who tries to convey something different is misleading you."
Winston recommends that human resources professionals and senior management teams develop a system for evaluating potential outplacement providers that takes into consideration the quality of the program and the overall capabilities of the provider company. "Management teams need to realize that every former employee will likely talk to at least six people about the experience," says Winston. "That’s a lot of exposure. And if just one of those former employees feels badly enough to sue you, it will be a costly event. Taking the time up front to select the right outplacement provider can save money in the long run."
With that in mind, the experts at Lee Hecht Harrison suggest five criteria to consider when choosing an outplacement services provider:
BUSINESS BACKGROUND
Look for a firm with solid business experience and a proven track record. Be sure that the people who will service your account have experience working in the business world. If you are looking at a boutique firm or a company that focuses only on the local market, consider whether or not they have the depth and breadth of experience to handle candidates who may need to pursue a national job search.
CONTINUITY
Your employees are all business people; therefore, it makes sense that the outplacement package you purchase should be based on project management principles, like milestones, team meetings and individual accountability. This will allow each employee to jump into the job search quickly, without having to take the time to learn how the program itself works. It’s also important to ensure that each employee will be assigned a job search counselor who will remain with him or her throughout the process. Be cautious of the "bait and switch." The team you meet during the selection process should be comprised of the people who will actually provide services to your employees.
NOTIFICATION TRAINING
A good outplacement provider can help managers craft both the specific message and the tone in which news of the layoff should be delivered. Notification training ensures that all managers follow the same process and have the opportunity to ask questions before, rather than during, the event. This can help reduce the company¹s legal exposure. Don¹t assume that your managers know how to conduct themselves during a layoff. Managing a downsizing isn¹t a repetitive task, and your leadership team may not have extensive experience delivering the news.
ONSITE ORIENTATION
Your outplacement provider must be able to provide initial onsite services to downsized employees immediately after the notification. These employees need an opportunity to vent and assistance in formulating their next steps, including how to notify their families. A good outplacement provider can offer a highly facilitated opportunity for employees to express their feelings and give options to deal with the situation in a positive way. Without this guidance, it’s impossible to gauge how individuals will handle the time between the notification and leaving the property.
LEADERSHIP DEVELOPMENT
After a layoff, business doesn’t slow down to accommodate the smaller workforce. Instead, organizations must quickly regroup, re-identify themselves, shift key management roles and find new ways to move forward. An outplacement provider should be able to work with individuals and management teams within an organization to help them assimilate into the new corporate structure and develop key leadership competencies. This kind of coaching can have a tremendous impact on the company’s ability to remain productive after a downsizing.
Winston notes that in outplacement, there are no real shortcuts. "There are many paths, but they are each a climb, and anyone who tries to convey something different is misleading you."
Winston recommends that human resources professionals and senior management teams develop a system for evaluating potential outplacement providers that takes into consideration the quality of the program and the overall capabilities of the provider company. "Management teams need to realize that every former employee will likely talk to at least six people about the experience," says Winston. "That’s a lot of exposure. And if just one of those former employees feels badly enough to sue you, it will be a costly event. Taking the time up front to select the right outplacement provider can save money in the long run."
With that in mind, the experts at Lee Hecht Harrison suggest five criteria to consider when choosing an outplacement services provider:
BUSINESS BACKGROUND
Look for a firm with solid business experience and a proven track record. Be sure that the people who will service your account have experience working in the business world. If you are looking at a boutique firm or a company that focuses only on the local market, consider whether or not they have the depth and breadth of experience to handle candidates who may need to pursue a national job search.
CONTINUITY
Your employees are all business people; therefore, it makes sense that the outplacement package you purchase should be based on project management principles, like milestones, team meetings and individual accountability. This will allow each employee to jump into the job search quickly, without having to take the time to learn how the program itself works. It’s also important to ensure that each employee will be assigned a job search counselor who will remain with him or her throughout the process. Be cautious of the "bait and switch." The team you meet during the selection process should be comprised of the people who will actually provide services to your employees.
NOTIFICATION TRAINING
A good outplacement provider can help managers craft both the specific message and the tone in which news of the layoff should be delivered. Notification training ensures that all managers follow the same process and have the opportunity to ask questions before, rather than during, the event. This can help reduce the company¹s legal exposure. Don¹t assume that your managers know how to conduct themselves during a layoff. Managing a downsizing isn¹t a repetitive task, and your leadership team may not have extensive experience delivering the news.
ONSITE ORIENTATION
Your outplacement provider must be able to provide initial onsite services to downsized employees immediately after the notification. These employees need an opportunity to vent and assistance in formulating their next steps, including how to notify their families. A good outplacement provider can offer a highly facilitated opportunity for employees to express their feelings and give options to deal with the situation in a positive way. Without this guidance, it’s impossible to gauge how individuals will handle the time between the notification and leaving the property.
LEADERSHIP DEVELOPMENT
After a layoff, business doesn’t slow down to accommodate the smaller workforce. Instead, organizations must quickly regroup, re-identify themselves, shift key management roles and find new ways to move forward. An outplacement provider should be able to work with individuals and management teams within an organization to help them assimilate into the new corporate structure and develop key leadership competencies. This kind of coaching can have a tremendous impact on the company’s ability to remain productive after a downsizing.
Insourcing or Outsourcing?
Why outsourcing and why in sourcing???
Well, in this kind of situation I cannot easily judge which is better. Before we are going to choose, let’s define these two words so that we can able to decide which of these is better.
As I scan over the internet, I found these definitions which are better to understand what an outsourcing really is. According to a common online encyclopedia, it is the procuring of services or products, such as the parts used in manufacturing a motor vehicle, from an outside supplier or manufacturer in order to cut costs.
Another online investment dictionary defines that, it is a practice used by different companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally.
Since most of the companies now suffering from financial crisis due to the recent world financial crises, most of them need to minimize their expense in order for them to sustain and support their companies.
According to small business encyclopedia, outsourcing occurs when a company purchases products or services from an outside supplier, rather than performing the same work within its own facilities, in order to cut costs. The decision to outsource is a major strategic one for most companies, since it involves weighing the potential cost savings against the consequences of a loss in control over the product or service. Some common examples of outsourcing include manufacturing of components, computer programming services, tax compliance and other accounting functions, training administration, customer service, transportation of products, benefits and compensation planning, payroll, and other human resource functions. A relatively new trend in outsourcing is employee leasing, in which specialized vendors recruit, hire, train, and pay their clients' employees, as well as arrange health care coverage and other benefits.
Most organizations choose outsourcing because outsourcing offers a lot of advantages. When organizations outsource to countries like India, they benefit from lower costs and high-quality services. Moreover organizations can concentrate more on core functions once they outsource their non-core functions. Outsourcing can also help organizations make better use of their resources, time and infrastructure.
In outsourcing, the outsourcer and the outsourcing partner have a greater relationship when compared to the relationship between a buyer and a seller. In outsourcing, the outsourcer trusts the outsourcing partner with vital information. Outsourcing is no longer confined to the outsourcing of IT services. Outsourcers in the US and UK now outsource financial services, engineering services, creative services, data entry services and much more.
Most organizations are opting to outsource because outsourcing enables organizations to access intellectual capital, focus on core competencies, shorten the delivery cycle time and reduce costs significantly. Organizations feel outsourcing is an effective business strategy to help improve their business.
Now, we are going to discuss what is in sourcing is all about. You may define in sourcing as the opposite of outsourcing but it is still vague for it is still a broad term. According to a common online encyclopedia, insourcing is the (or contracting in) is often defined as the delegation of operations or jobs from production within a business to an internal (but 'stand-alone') entity that specializes in that operation. Insourcing is a business decision that is often made to maintain control of critical production or competencies. An alternate use of the term implies transferring jobs to within the country where the term is used, either by hiring local subcontractors or building a facility.
According to PR Web, insourcing was becoming more common by 2006 as businesses had less than satisfactory experiences with outsourcing (including customer support). Many outsourcing proponents responded to a negative consumer opinion backlash resulting from outsourcing their communications management to vendors who rely on overseas operations.
To those who are concerned that nations may be losing a net amount of jobs due to outsourcing, some point out that insourcing also occurs. According to a study by Mary Amiti and Shang-Jin Wei, in the United States, the United Kingdom, and many other industrialized countries more jobs are insourced than outsourced. They found that out of all the countries in the world they studied, the U.S. and the U.K. actually have the largest net trade surpluses in business services. Countries with a net deficit in business services include Indonesia, Germany and Ireland.[1]
Insourcing is loosely referred in call centers who are doing the work of the outsourcing companies. Companies that outsource include Dell, Hewlett Packard, Symantec, and Linksys. The callcenters and technicians that are contracted to handle the outsourced work are usually over-seas. Customers may refer to these countries as "India" technical support if they are hard to understand over telecommunications. These insourcing companies were a great way to save money for the outsourcing of work, but quality varies, and poor performance has sometimes harmed the reputations of companies who provide 24/7 customer/technical support.
The Organization for International Investment, a Washington D.C. trade association, uses the term to describe the creation of jobs through foreign direct investment within the United States.
When an organization delegates its work to another entity, which is internal yet not a part of the organization, it is termed as insourcing. The internal entity will usually have a specialized team who will be proficient in the providing the required services. Organizations sometimes opt for insourcing because it enables them to maintain a better control of what they outsource. Insourcing has also come to be defined as transferring work from one organization to another organization which is located within the same country. Insourcing can also mean an organization building a new business centre or facility which would specialize in a particular service or product.
Organizations involved in production usually opt for insourcing in order to cut down the cost of labor and taxes amongst others. The trend towards insourcing has increased since the year 2006. Organizations who have been dissatisfied with outsourcing have moved towards insourcing. Some organizations feel that they can have better customer support and better control over the work outsourced by insourcing their work rather than outsourcing it. According to recent studies, there is more wok insourced than outsourced in the U.S and U.K. These countries are currently the largest outsourcers in the world. The U.S and U.K outsource and insource work equally.
Now we are going to decide which fits to the organization. If your organization has a number of non-core processes which are taking plenty of time, effort and resources to perform in-house, it would be wise to outsource these non-core functions. Outsourcing in this case, would help you save on time, effort, manpower and would also aid you in making quicker deliveries to your customers.
If you require expertise services in areas which do not fall under your core competency, then outsourcing will be a good option as you can get access to expertise services. For reducing costs and making faster deliverables, outsourcing is again a good option.
If your work involves production, then it would be more ideal for your organization to opt for insourcing, as you can save on transportation costs and exercise a better control over your project.
It is not necessary to choose outsourcing over insourcing or vice versa. Your organization can outsource and insource at the same time. By outsourcing and insourcing simultaneously, you can have the best of what both offers and your business can get a competitive advantage!
For me, outsourcing is better for we may minimize our expenses and labor cost. That is why many multimillion companies and businesses firms not only that but also colleges and universities choose outsourcing.
Take note that there are advantages of outsourcing. These are:
Cost savings. Many businesses embrace outsourcing as a way to realize cost savings or better cost control over the outsourced function. Companies usually outsource to a vendor that specializes in a given function and performs that function more efficiently than the company could, simply by virtue of transaction volume.
Staffing levels. Another common reason for outsourcing is to achieve headcount reductions or minimize the fluctuations in staffing that may occur due to changes in demand for a product or service. Companies also outsource in order to reduce the workload on their employees (freeing them to take on additional moneymaking projects for the business), or to provide more development opportunities for their employees by freeing them from tedious tasks.
Focus. Some companies outsource in order to eliminate distractions and force themselves to concentrate on their core competencies. This can be a particularly attractive benefit for start-up firms. Outsourcing can free the entrepreneur from tedious and time-consuming tasks, such as payroll, so that he or she can concentrate on the marketing and sales activities that are most essential to the firm's long-term growth and prosperity. "What an outsourcing partner really sells is focus," wrote Adam Katz-Stone in Baltimore Business Journal. "In accounting for instance, that is something that typically is seen as necessary but not essential, not the core of the business. So you bring in an outsourcing partner and then you don't have to think about that any more. You can focus your energies on sales, marketing, all the other things that matter more."
Morale. This is an often-overlooked but still notable benefit that can sometimes be gained by initiating an outsourcing relationship. "Often a business's lack of internal expertise or dedication to non-core tasks results in poor attitudes and ultimately poor performance," wrote Kevin Grauman in CPA Journal. "This can lead to overlap and duplication of internal efforts. An effectively designed and ongoing communication process emanating from one or more outsourcers can greatly reduce or eliminate these duplications."
Flexibility. Still others outsource to achieve greater financial flexibility, since the sale of assets that formerly supported an outsourced function can improve a company's cash flow. A possible pitfall in this reasoning is that many vendors demand long-term contracts, which may reduce flexibility.
Knowledge. Some experts tout outsourcing of computer programming and other information technology functions as a way to gain access to new technology and outside expertise. This may be of particular benefit to small businesses, which may not be able to afford to hire computer experts or develop the in-house expertise to maintain high-level technology. When such tasks are outsourced, the small business gains access to new technology that can help it compete with larger companies.
Accountability. Outsourcing is predicated on the understanding—shared by business and vendor alike—that such arrangements require quality service in exchange for payment. "Paying for a business service creates the expectation of performance," stated Grauman. "Outsourcers are well aware that this accountability is both practical and legal, with fiscal implications. The same cannot be said for internally provided functions."
Bear in mind also that there are disadvantages of outsourcing. Some of the major potential disadvantages to outsourcing include poor quality control, decreased company loyalty, a lengthy bid process, and a loss of strategic alignment. All of these concerns can be addressed and minimized, however, by companies who go about the outsourcing process in an informed and deliberate fashion. Info World's Maggie Biggs counsels businesses to define "exactly what business processes and/or functions it makes sense to maintain via a service relationship. Unless you have a lot of resources to expend, it may make sense to prioritize outsourcing projects based on the number of benefits you expect to gain from the arrangement." There may also be inherent advantages of maintaining certain functions internally. For example, company employees may have a better understanding of the industry, and their vested interests may mean they are more likely to make decisions in accordance with the company's goals. Indeed, most analysts discourage companies from outsourcing core functions that directly affect the products or services that the business offers.
Source:
http://www.outsource2india.com/why_india/articles/outsourcing-versus-insourcing.asp
http://www.answers.com/topic/outsourcing
Well, in this kind of situation I cannot easily judge which is better. Before we are going to choose, let’s define these two words so that we can able to decide which of these is better.
As I scan over the internet, I found these definitions which are better to understand what an outsourcing really is. According to a common online encyclopedia, it is the procuring of services or products, such as the parts used in manufacturing a motor vehicle, from an outside supplier or manufacturer in order to cut costs.
Another online investment dictionary defines that, it is a practice used by different companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally.
Since most of the companies now suffering from financial crisis due to the recent world financial crises, most of them need to minimize their expense in order for them to sustain and support their companies.
According to small business encyclopedia, outsourcing occurs when a company purchases products or services from an outside supplier, rather than performing the same work within its own facilities, in order to cut costs. The decision to outsource is a major strategic one for most companies, since it involves weighing the potential cost savings against the consequences of a loss in control over the product or service. Some common examples of outsourcing include manufacturing of components, computer programming services, tax compliance and other accounting functions, training administration, customer service, transportation of products, benefits and compensation planning, payroll, and other human resource functions. A relatively new trend in outsourcing is employee leasing, in which specialized vendors recruit, hire, train, and pay their clients' employees, as well as arrange health care coverage and other benefits.
Most organizations choose outsourcing because outsourcing offers a lot of advantages. When organizations outsource to countries like India, they benefit from lower costs and high-quality services. Moreover organizations can concentrate more on core functions once they outsource their non-core functions. Outsourcing can also help organizations make better use of their resources, time and infrastructure.
In outsourcing, the outsourcer and the outsourcing partner have a greater relationship when compared to the relationship between a buyer and a seller. In outsourcing, the outsourcer trusts the outsourcing partner with vital information. Outsourcing is no longer confined to the outsourcing of IT services. Outsourcers in the US and UK now outsource financial services, engineering services, creative services, data entry services and much more.
Most organizations are opting to outsource because outsourcing enables organizations to access intellectual capital, focus on core competencies, shorten the delivery cycle time and reduce costs significantly. Organizations feel outsourcing is an effective business strategy to help improve their business.
Now, we are going to discuss what is in sourcing is all about. You may define in sourcing as the opposite of outsourcing but it is still vague for it is still a broad term. According to a common online encyclopedia, insourcing is the (or contracting in) is often defined as the delegation of operations or jobs from production within a business to an internal (but 'stand-alone') entity that specializes in that operation. Insourcing is a business decision that is often made to maintain control of critical production or competencies. An alternate use of the term implies transferring jobs to within the country where the term is used, either by hiring local subcontractors or building a facility.
According to PR Web, insourcing was becoming more common by 2006 as businesses had less than satisfactory experiences with outsourcing (including customer support). Many outsourcing proponents responded to a negative consumer opinion backlash resulting from outsourcing their communications management to vendors who rely on overseas operations.
To those who are concerned that nations may be losing a net amount of jobs due to outsourcing, some point out that insourcing also occurs. According to a study by Mary Amiti and Shang-Jin Wei, in the United States, the United Kingdom, and many other industrialized countries more jobs are insourced than outsourced. They found that out of all the countries in the world they studied, the U.S. and the U.K. actually have the largest net trade surpluses in business services. Countries with a net deficit in business services include Indonesia, Germany and Ireland.[1]
Insourcing is loosely referred in call centers who are doing the work of the outsourcing companies. Companies that outsource include Dell, Hewlett Packard, Symantec, and Linksys. The callcenters and technicians that are contracted to handle the outsourced work are usually over-seas. Customers may refer to these countries as "India" technical support if they are hard to understand over telecommunications. These insourcing companies were a great way to save money for the outsourcing of work, but quality varies, and poor performance has sometimes harmed the reputations of companies who provide 24/7 customer/technical support.
The Organization for International Investment, a Washington D.C. trade association, uses the term to describe the creation of jobs through foreign direct investment within the United States.
When an organization delegates its work to another entity, which is internal yet not a part of the organization, it is termed as insourcing. The internal entity will usually have a specialized team who will be proficient in the providing the required services. Organizations sometimes opt for insourcing because it enables them to maintain a better control of what they outsource. Insourcing has also come to be defined as transferring work from one organization to another organization which is located within the same country. Insourcing can also mean an organization building a new business centre or facility which would specialize in a particular service or product.
Organizations involved in production usually opt for insourcing in order to cut down the cost of labor and taxes amongst others. The trend towards insourcing has increased since the year 2006. Organizations who have been dissatisfied with outsourcing have moved towards insourcing. Some organizations feel that they can have better customer support and better control over the work outsourced by insourcing their work rather than outsourcing it. According to recent studies, there is more wok insourced than outsourced in the U.S and U.K. These countries are currently the largest outsourcers in the world. The U.S and U.K outsource and insource work equally.
Now we are going to decide which fits to the organization. If your organization has a number of non-core processes which are taking plenty of time, effort and resources to perform in-house, it would be wise to outsource these non-core functions. Outsourcing in this case, would help you save on time, effort, manpower and would also aid you in making quicker deliveries to your customers.
If you require expertise services in areas which do not fall under your core competency, then outsourcing will be a good option as you can get access to expertise services. For reducing costs and making faster deliverables, outsourcing is again a good option.
If your work involves production, then it would be more ideal for your organization to opt for insourcing, as you can save on transportation costs and exercise a better control over your project.
It is not necessary to choose outsourcing over insourcing or vice versa. Your organization can outsource and insource at the same time. By outsourcing and insourcing simultaneously, you can have the best of what both offers and your business can get a competitive advantage!
For me, outsourcing is better for we may minimize our expenses and labor cost. That is why many multimillion companies and businesses firms not only that but also colleges and universities choose outsourcing.
Take note that there are advantages of outsourcing. These are:
Cost savings. Many businesses embrace outsourcing as a way to realize cost savings or better cost control over the outsourced function. Companies usually outsource to a vendor that specializes in a given function and performs that function more efficiently than the company could, simply by virtue of transaction volume.
Staffing levels. Another common reason for outsourcing is to achieve headcount reductions or minimize the fluctuations in staffing that may occur due to changes in demand for a product or service. Companies also outsource in order to reduce the workload on their employees (freeing them to take on additional moneymaking projects for the business), or to provide more development opportunities for their employees by freeing them from tedious tasks.
Focus. Some companies outsource in order to eliminate distractions and force themselves to concentrate on their core competencies. This can be a particularly attractive benefit for start-up firms. Outsourcing can free the entrepreneur from tedious and time-consuming tasks, such as payroll, so that he or she can concentrate on the marketing and sales activities that are most essential to the firm's long-term growth and prosperity. "What an outsourcing partner really sells is focus," wrote Adam Katz-Stone in Baltimore Business Journal. "In accounting for instance, that is something that typically is seen as necessary but not essential, not the core of the business. So you bring in an outsourcing partner and then you don't have to think about that any more. You can focus your energies on sales, marketing, all the other things that matter more."
Morale. This is an often-overlooked but still notable benefit that can sometimes be gained by initiating an outsourcing relationship. "Often a business's lack of internal expertise or dedication to non-core tasks results in poor attitudes and ultimately poor performance," wrote Kevin Grauman in CPA Journal. "This can lead to overlap and duplication of internal efforts. An effectively designed and ongoing communication process emanating from one or more outsourcers can greatly reduce or eliminate these duplications."
Flexibility. Still others outsource to achieve greater financial flexibility, since the sale of assets that formerly supported an outsourced function can improve a company's cash flow. A possible pitfall in this reasoning is that many vendors demand long-term contracts, which may reduce flexibility.
Knowledge. Some experts tout outsourcing of computer programming and other information technology functions as a way to gain access to new technology and outside expertise. This may be of particular benefit to small businesses, which may not be able to afford to hire computer experts or develop the in-house expertise to maintain high-level technology. When such tasks are outsourced, the small business gains access to new technology that can help it compete with larger companies.
Accountability. Outsourcing is predicated on the understanding—shared by business and vendor alike—that such arrangements require quality service in exchange for payment. "Paying for a business service creates the expectation of performance," stated Grauman. "Outsourcers are well aware that this accountability is both practical and legal, with fiscal implications. The same cannot be said for internally provided functions."
Bear in mind also that there are disadvantages of outsourcing. Some of the major potential disadvantages to outsourcing include poor quality control, decreased company loyalty, a lengthy bid process, and a loss of strategic alignment. All of these concerns can be addressed and minimized, however, by companies who go about the outsourcing process in an informed and deliberate fashion. Info World's Maggie Biggs counsels businesses to define "exactly what business processes and/or functions it makes sense to maintain via a service relationship. Unless you have a lot of resources to expend, it may make sense to prioritize outsourcing projects based on the number of benefits you expect to gain from the arrangement." There may also be inherent advantages of maintaining certain functions internally. For example, company employees may have a better understanding of the industry, and their vested interests may mean they are more likely to make decisions in accordance with the company's goals. Indeed, most analysts discourage companies from outsourcing core functions that directly affect the products or services that the business offers.
Source:
http://www.outsource2india.com/why_india/articles/outsourcing-versus-insourcing.asp
http://www.answers.com/topic/outsourcing
Areas Related to MIS on the 9th SONA of the President
Last July 29, 2009, President Gloria Macapagal-Arroyo had her 9th State of the Nation Address during the 3rd Joint Regular Session of the 14th Congress of the Republic of the Philippines at the Session Hall of the Batasang Pambansa at Quezon City. SONA (State Of the Nation Address) is important because this is the time wherein the president would tackle or discuss to the mass all the achievements which he or she has done. This 2009 was the last SONA of the President Gloria Arroyo in which she commemorate most because this is the last term of her administration.
The 9th State of the Nation Address of President Gloria was attended by many celebrities in the political discipline. Senate President Enrile, Speaker Nograles, Senators, Vice President de Castro, Former President Ramos, Chief Justice Puno, and the other congressmen and ambassadors were present during that SONA. President Gloria M. Arroyo carved up to the crowd what she did last 2008. In her speech, many achievements she shared especially the infrastructures in those remote areas in the country. The million jobs also in which she gave scholarships to the Filipino people in which they can go to some TESDA accredited school to study some vocational qualifications or courses so that after they went to the training, they can have the National Certificates Level II in the discipline of butchering, bartending, computer maintenance and so on.
Mrs. Arroyo also talked about some issues regarding in the field of ICT. To start with:
1.) Sa telecommunications naman, inatasan ko ang Telecommunications Commission na kumilos na tungkol sa mga sumbong na dropped calls at mga nawawalang load sa cellphone. We need to amend the Commonwealth-era Public Service Law. And we need to do it now.
In this first issue, it is so very nkaka-irita that when you have cellphone load worth of 30 pesos then some networks would send you some nonsense messages such in Smart, they will send some promos in which you did not subscribe that promo. It is necessary that NTC should made some actions in which the sumbong of the people will be heard so that this telecommunication companies will know what are their mistakes.
2.) Kung noong nakaraan, lumakas ang electronics, today we are creating wealth by developing the BPO and tourism sectors as additional engines of growth. Electronics and other manufactured exports rise and fall in accordance with the state of the world economy. But BPO remains resilient. With earnings of $6 billion and employment of 600,000, the BPO phenomenon speaks eloquently of our competitiveness and productivity. Let us have a Department of ICT.
This second issue talks about BPO and tourism sectors in which they contributed more to the economy's wealth. It is necessary to have a Department of ICT so that it will oversees to the small and medium BPOs in which it aligns to the field of electronics and other services which is related to ICT to guide and help them in some financial matters and how for them to export more their products. Due to their earnings, all I can say is, let should have a DICT.
3.) In technical education and skills training, we have invested three times that of three previous administrations combined. Narito si Jennifer Silbor, isa sa sampung milyong trainee. Natuto siya ng medical transcription. Now, as an independent contractor and lecturer for transcriptions in Davao, kumikita siya ng P18,000 bawat buwan. Good job, Jennifer.
In this last issue it talks about two fields, these are: the field of education and and the field of ICT. It is good that President Arroyo made some programs in which it helps to the can't afford Filipinos to attend in schools to have some diplomas and certificates after they graduated to their chosen field. The Arroyo administration together with the cooperation of the TESDA (Technical Education Skills and Development Authority) made the Pangulong Gloria Scholarships or PGS in which they can choose any qualifications they want such as computer maintenance, bartending, housekeeping, welding, medical transcriptioning and etc.. Because of these qualifications offered by the PGS, you may work as an independent contractor and lecturer in any ICT related fields. Just like Jennifer Silbor, she finished the qualification of medical transcription in which she is also a scholar of PGS and because of this, she earned almost P18,000 every month. Whew! What a big amount. Well, just like me, I am a scholar of PGS last summer in the qualification of computer maintenance. It it still related in ICT. I passed also my NC II and because of that, I can earn money and at the same time, I am a student. Congratulations to Jennifer and Me. hehehe
SONA is not all about pagmamayabang of the president. These are all the efforts she made even though she was criticized by many people. Well, all I can say is, let's see what will the next president can do better than this president.
If I am an IT Consultant
If I am the IT Consultant, I better suggest to the president to improve the IT infrastructure of the university as well as the technology so that internet connectivity will be enhanced not only the internet connection but also the different tasks of the different offices of the University of Southeastern Philippines.
As I surf over the internet, I found out this so-called Advanced Console Server. This ACS secures the remote IT infrastructures management. What is this IT infrastructures management service? IT Infrastructures Management Service is a set of concepts and policies for managing information technology (IT) infrastructure, development and operations and also known as Information Technology Infrastructure Library (ITIL).
Over the past decade, corporate information technology (IT) departments have replaced large mainframes and minicomputers with smaller, less costly, and more scalable servers. This transition offers substantial benefi ts. In the past, increasing an organization’s computing power meant replacing a large computer with an even larger one – a process that was both expensive and time-consuming. The switch to clustered computing (also called server farms) reduced both the expense and the disruption of adding more computing resources. Mainframes offered high availability and reliability, but at a premium price. Servers offer equally reliable and available computing resources using less expensive hardware – and because servers are incrementally scalable, adding more computing power leverages previous IT investments. As IT departments adopted cluster computing practices, managing the widely dispersed servers became a signifi cant issue. Monitoring and managing remotely located servers usually relies on an on-site IT staff member, a third-party service contract, or a willing, but untrained, employee. The fi rst two are costly, and the third compromises IT access and security policies. This white paper explores the issues facing the IT staff as it attempts to manage the dispersed and growing IT infrastructure. As more servers and more support equipment connecting these servers enter the corporate computing environment, the demand for high-quality, platform-independent infrastructure management tools also increases. Effectively managing centralized or remote servers, networking equipment, and other IT assets will remain a critical aspect of IT infrastructure management.
Identifying and Meeting Infrastructure Management Challenges
Managing today’s IT infrastructure requires an approach that maintains virtually continuous business operation, provides high levels of security, and reduces operating cost and complexity while increasing IT staff productivity.
Each of these challenges presents IT administrators with unique issues, many of which involve ensuring secure and immediate access to the IT infrastructure.
An effective way to achieve this access is through a console server, which connects the serial console ports of many managed devices to a single appliance. An IT administrator can access any managed device’s console from any location at any time, even when the production network is unavailable. State-of-the-art console servers offer the following features:
Scalability — The ability to manage several servers in high-density racks is beneficial.
Port density — A console server should use a minimum amount of space in a rack to manage all the equipment in that rack.
Reliability — All connectors are located on the same side of the console server; the unit must be rack-mountable; and the unit should require minimum cabling and offer a high level of integration.
Power supply — The console server’s power supply needs to be integrated into the device.
Compatibility — The console server needs to be compatible with all of the IT organization’s servers and network equipment.
Security — Comprehensive support for IT security policies, including multilevel user access control and logging capability, is critical.
Audit capability — The console server needs to log all its activities in order to maintain security and regulatory auditing compliance.
Hardware flexibility — Support for out-of-band management, the ability to connect to more than one LAN, and integration with service processors and intelligent power distribution units (IPDUs) is useful.
Software flexibility — Upgradability helps to take advantage of emerging technologies.
Cost and service — The console server vendor should be committed to a product roadmap in IT infrastructure services.
Maintaining High Availability
Widely dispersed computing resources create an environment that relies on component peak performance for a maximum amount of time. Infrastructure problems, including environmental factors, hardware and operating system errors, power failures, and natural disasters, comprise 20 percent of all unplanned data center downtime.
When the network is operating properly, local or remote access is available through the network (in-band) and standard programs such as SSH and encrypted Web browser sessions. However, if a server or a network router has failed, IT administrators need access to the failed device through an out-of-band mechanism that connects to the device’s serial port and provides low-level control such as hardware self-tests or power cycling.
Maintaining Network Security
Widely dispersed computing resources often create a serious challenge to maintaining network security. Established access policies become more troublesome to enforce (e.g., when a non-IT employee reboots a server). Likewise, talking an employee through the steps to change BIOS settings involves employee access to administrative passwords, which violates established authentication, authorization, and auditing policies. In the event of an IT audit, these practices increase company vulnerability to charges of security policy violation and non-compliance with regulatory requirements. Out-of-band access strengthens IT security policies by supporting features such as encryption of console traffic, authentication protocols including token-based authentication, and IP packet fi ltering, among others. Role-based access limits access to only those administrators with responsibility for maintaining specifi c servers. A console server also needs to support session management and maintain local and remote event logs, access logs, and data logs. Effective physical security (e.g., keeping servers in a locked room) is rarely possible at remote locations that do not employ full-time IT staff. Access to a server’s serial console from anywhere strengthens server security and enhances IT policies governing the confi dentiality of corporate data.
Centralizing Data Center Management
Today’s data center environment includes both a heterogeneous mix of servers and geographically dispersed servers and other devices such as uninterruptible power supplies and PBX phone systems. The IT staff needs to be able to manage this diverse environment from any location at any time of day or night, without regard to hardware type, operating system, or network status. A console server needs to support all popular server operating systems and hardware features, such as a service processor and its Intelligent Platform Management Interface (IPMI). In addition, because many network-connected devices include only a serial console interface, a console server needs to be able to aggregate operating information from these devices. Uninterruptible power supplies, network routers and switches, telephony systems, and environmental control systems are examples of non-computing devices that can be controlled through console server.
Controlling Costs
Without remote access to a device’s serial port, IT administrators are unable to securely communicate with an inoperative server unless they travel to the site. IT administrator travel incurs costs. A far larger cost is incurred if server availability is critical to the company’s business. Productivity losses throughout the company further increase the negative effects of unplanned downtime. Space requirements also increase without remote access to the device’s serial port. When servers and other network equipment are functioning properly, in-band access to the devices and systems management applications normally suffi ce to monitor and manage the IT infrastructure. A serial console server directly addresses infrastructure hardware failures using secure out-of-band access to the failed device, even when the network is not functioning. The out-of-band capability enables IT administrators to communicate with a failed device without having to be physically present at the site where the device is located. Quicker access to failed devices reduces unplanned downtime on the production network and enhances a company’s ability to maintain or even improve its revenue stream.
Reducing Complexity
The variety of servers and other devices in a typical corporate environment complicate detection of hardware failures and initiation of correct recovery features. Each device may support a different serial port connector, and there is no standard for the pin assignments on the commonly used RJ-45 serial connector. Add to this the different types and lengths of serial cables, and the complexity of merely gaining access to serial ports often requires signifi cant investments of IT staff time and budget. Simpler cabling and connectors increase the infrastructure management value of a console server. Standard CAT5 cables and RJ-45 connectors, coupled with confi gurable cabling pin-outs, add fl exibility and eliminate the need for specialized adapters to connect to the console server.
Increasing Staff Productivity
Automating as many routine, repetitive administrative tasks as possible contributes signifi cantly to a more productive IT staff. Locating and creating an inventory of all IT assets, particularly at remote locations, consumes many hours of staff time that could be more productively used on other, more strategic tasks. Staff hiring and training also becomes more diffi cult, time-consuming, and expensive in a heterogeneous and dispersed environment in which each server and device relies on a different user interface. A serial console that automates discovery of any serially connected device saves confi guration and installation time, and reduces the chance of human error. In the same vein, a consistent user interface simplifi es confi guration of a large number of servers and other devices that could
be dispersed among many locations. And a consistent, simple, Web-based interface reduces hiring and training costs.
The Advanced Console Server Solution
ACS advanced console servers provide IT and network operations center staff with the ability to perform secure, remote and out-of-band data center management of IT infrastructure from anywhere in the world. It also offers an Enhanced Security Framework that provides current security profi les and enough fl exibility for IT administrators to create custom security profi les that comply with existing network security policies.
Maximizing Network Availability
Perhaps the single most important objective of today’s IT staff is to ensure that data is available to suppliers and company employees without interruption. Unplanned server or network downtime undermines that objective and causes productivity losses and reduced revenue to every one of the company’s partners. To ensure that an organization’s data and its network are always available, the console server provides both in-band and out-of-
band remote access to servers and other serially connected networked devices. IT access to the console server is available from any location at any time, providing the IT administrator with low-level control of network attached hardware. This control includes hardware self-test, BIOS access, power cycling, and remote rebooting.
Protecting Network Security
The console server integrates with a company’s existing security structure and supports enterprise security policies. It
supports strong user authentication using two-factor authentication with RSA SecurID and device authentication using certifi cates and a host key. The console server is compatible with virtually all authentication servers, including RADIUS, LDAP, Active Directory, TACACS+, Kerberos, and NIS protocols. Supported authorization methods include local access control lists or server-based group authorization through Active Directory, LDAP, TACACS+, or RADIUS. The console server also supports role-based authorization, and maintains both remote and local data and event logs and audit trials. It supports data encryption and secure out-of-band dial-up access through ISDN modem.
Centralizing Data Center Management
The console server provides both in-band and out-of-band remote access to connected serial devices. In-band access is available through single or dual Ethernet ports, which support up to 1 Gbit/second transmission speeds and secure Telnet and SSH access to serial devices. A PC card slot (16- or 32-bit) supplies wireless remote access. Out-of-band access is available through either a built-in modem or a customer-supplied V.92 or ISDN modem. The ACS console server easily confi gures and manages large data centers using a browser-based interface. Tight integration with Avocent DSView 3 software provides an effective method to configure and manage servers using a consistent, simple interface. The ACS console server also integrates power management from a single interface for any third-party power supply vendor.
Controlling Operational Costs
Remote access to all devices connected to the advance console server virtually eliminates the need for IT staff to travel to remote sites in order to manage and maintain servers and other network equipment. Not only does this save travel costs, but remote access also reduces recovery time for unplanned downtime, which helps a company meet its revenue goals.
Providing Easier IT Management
By using a simple, secure Web-based interface, the advance console server enables an IT administrator to configure and manage any networked device with a serial port. This includes servers, routers, switches, and some non-computing devices such as power supplies, HVAC controls, and building alarms.
The advance console server also simplifies cabling requirements. Standard CAT5 cabling terminated with inexpensive RJ-45 connectors supply the needed connections to the console server. Because RJ-45 pin-outs differ from one manufacturer to another, the advance console server provides a software-configurable pin-out feature to simplify serial connections between a device and the console server.
Enhancing IT Staff Productivity
The auto-discovery mechanism of the advance console server saves significant amounts of IT time at the time of initial installation and configuration. Auto-discovery detects the names of connected devices and updates the network confi guration automatically, reducing the possibility of data entry errors and further helping to maximize uptime. The auto-discovery feature also detects servers that have been re-located, which allows the IT staff to avoid time-consuming and error-prone re-confi guration. The advance console server’s consistent Web-based interface also simplifies hiring and training requirements, and enables the IT staff to configure and manage large numbers of servers and other devices.
Sources:
http://en.wikipedia.org/wiki/Information_Technology_Infrastructure_Library
http://www.youtube.com/watch?v=v9pCdNdHkRo
Avocent.pdf
As I surf over the internet, I found out this so-called Advanced Console Server. This ACS secures the remote IT infrastructures management. What is this IT infrastructures management service? IT Infrastructures Management Service is a set of concepts and policies for managing information technology (IT) infrastructure, development and operations and also known as Information Technology Infrastructure Library (ITIL).
Over the past decade, corporate information technology (IT) departments have replaced large mainframes and minicomputers with smaller, less costly, and more scalable servers. This transition offers substantial benefi ts. In the past, increasing an organization’s computing power meant replacing a large computer with an even larger one – a process that was both expensive and time-consuming. The switch to clustered computing (also called server farms) reduced both the expense and the disruption of adding more computing resources. Mainframes offered high availability and reliability, but at a premium price. Servers offer equally reliable and available computing resources using less expensive hardware – and because servers are incrementally scalable, adding more computing power leverages previous IT investments. As IT departments adopted cluster computing practices, managing the widely dispersed servers became a signifi cant issue. Monitoring and managing remotely located servers usually relies on an on-site IT staff member, a third-party service contract, or a willing, but untrained, employee. The fi rst two are costly, and the third compromises IT access and security policies. This white paper explores the issues facing the IT staff as it attempts to manage the dispersed and growing IT infrastructure. As more servers and more support equipment connecting these servers enter the corporate computing environment, the demand for high-quality, platform-independent infrastructure management tools also increases. Effectively managing centralized or remote servers, networking equipment, and other IT assets will remain a critical aspect of IT infrastructure management.
Identifying and Meeting Infrastructure Management Challenges
Managing today’s IT infrastructure requires an approach that maintains virtually continuous business operation, provides high levels of security, and reduces operating cost and complexity while increasing IT staff productivity.
Each of these challenges presents IT administrators with unique issues, many of which involve ensuring secure and immediate access to the IT infrastructure.An effective way to achieve this access is through a console server, which connects the serial console ports of many managed devices to a single appliance. An IT administrator can access any managed device’s console from any location at any time, even when the production network is unavailable. State-of-the-art console servers offer the following features:
Scalability — The ability to manage several servers in high-density racks is beneficial.
Port density — A console server should use a minimum amount of space in a rack to manage all the equipment in that rack.
Reliability — All connectors are located on the same side of the console server; the unit must be rack-mountable; and the unit should require minimum cabling and offer a high level of integration.
Power supply — The console server’s power supply needs to be integrated into the device.
Compatibility — The console server needs to be compatible with all of the IT organization’s servers and network equipment.
Security — Comprehensive support for IT security policies, including multilevel user access control and logging capability, is critical.
Audit capability — The console server needs to log all its activities in order to maintain security and regulatory auditing compliance.
Hardware flexibility — Support for out-of-band management, the ability to connect to more than one LAN, and integration with service processors and intelligent power distribution units (IPDUs) is useful.
Software flexibility — Upgradability helps to take advantage of emerging technologies.
Cost and service — The console server vendor should be committed to a product roadmap in IT infrastructure services.
Maintaining High Availability
Widely dispersed computing resources create an environment that relies on component peak performance for a maximum amount of time. Infrastructure problems, including environmental factors, hardware and operating system errors, power failures, and natural disasters, comprise 20 percent of all unplanned data center downtime.
When the network is operating properly, local or remote access is available through the network (in-band) and standard programs such as SSH and encrypted Web browser sessions. However, if a server or a network router has failed, IT administrators need access to the failed device through an out-of-band mechanism that connects to the device’s serial port and provides low-level control such as hardware self-tests or power cycling.Maintaining Network Security
Widely dispersed computing resources often create a serious challenge to maintaining network security. Established access policies become more troublesome to enforce (e.g., when a non-IT employee reboots a server). Likewise, talking an employee through the steps to change BIOS settings involves employee access to administrative passwords, which violates established authentication, authorization, and auditing policies. In the event of an IT audit, these practices increase company vulnerability to charges of security policy violation and non-compliance with regulatory requirements. Out-of-band access strengthens IT security policies by supporting features such as encryption of console traffic, authentication protocols including token-based authentication, and IP packet fi ltering, among others. Role-based access limits access to only those administrators with responsibility for maintaining specifi c servers. A console server also needs to support session management and maintain local and remote event logs, access logs, and data logs. Effective physical security (e.g., keeping servers in a locked room) is rarely possible at remote locations that do not employ full-time IT staff. Access to a server’s serial console from anywhere strengthens server security and enhances IT policies governing the confi dentiality of corporate data.
Centralizing Data Center Management
Today’s data center environment includes both a heterogeneous mix of servers and geographically dispersed servers and other devices such as uninterruptible power supplies and PBX phone systems. The IT staff needs to be able to manage this diverse environment from any location at any time of day or night, without regard to hardware type, operating system, or network status. A console server needs to support all popular server operating systems and hardware features, such as a service processor and its Intelligent Platform Management Interface (IPMI). In addition, because many network-connected devices include only a serial console interface, a console server needs to be able to aggregate operating information from these devices. Uninterruptible power supplies, network routers and switches, telephony systems, and environmental control systems are examples of non-computing devices that can be controlled through console server.
Controlling Costs
Without remote access to a device’s serial port, IT administrators are unable to securely communicate with an inoperative server unless they travel to the site. IT administrator travel incurs costs. A far larger cost is incurred if server availability is critical to the company’s business. Productivity losses throughout the company further increase the negative effects of unplanned downtime. Space requirements also increase without remote access to the device’s serial port. When servers and other network equipment are functioning properly, in-band access to the devices and systems management applications normally suffi ce to monitor and manage the IT infrastructure. A serial console server directly addresses infrastructure hardware failures using secure out-of-band access to the failed device, even when the network is not functioning. The out-of-band capability enables IT administrators to communicate with a failed device without having to be physically present at the site where the device is located. Quicker access to failed devices reduces unplanned downtime on the production network and enhances a company’s ability to maintain or even improve its revenue stream.
Reducing Complexity
The variety of servers and other devices in a typical corporate environment complicate detection of hardware failures and initiation of correct recovery features. Each device may support a different serial port connector, and there is no standard for the pin assignments on the commonly used RJ-45 serial connector. Add to this the different types and lengths of serial cables, and the complexity of merely gaining access to serial ports often requires signifi cant investments of IT staff time and budget. Simpler cabling and connectors increase the infrastructure management value of a console server. Standard CAT5 cables and RJ-45 connectors, coupled with confi gurable cabling pin-outs, add fl exibility and eliminate the need for specialized adapters to connect to the console server.
Increasing Staff Productivity
Automating as many routine, repetitive administrative tasks as possible contributes signifi cantly to a more productive IT staff. Locating and creating an inventory of all IT assets, particularly at remote locations, consumes many hours of staff time that could be more productively used on other, more strategic tasks. Staff hiring and training also becomes more diffi cult, time-consuming, and expensive in a heterogeneous and dispersed environment in which each server and device relies on a different user interface. A serial console that automates discovery of any serially connected device saves confi guration and installation time, and reduces the chance of human error. In the same vein, a consistent user interface simplifi es confi guration of a large number of servers and other devices that could
be dispersed among many locations. And a consistent, simple, Web-based interface reduces hiring and training costs.
The Advanced Console Server Solution
ACS advanced console servers provide IT and network operations center staff with the ability to perform secure, remote and out-of-band data center management of IT infrastructure from anywhere in the world. It also offers an Enhanced Security Framework that provides current security profi les and enough fl exibility for IT administrators to create custom security profi les that comply with existing network security policies.
Maximizing Network Availability
Perhaps the single most important objective of today’s IT staff is to ensure that data is available to suppliers and company employees without interruption. Unplanned server or network downtime undermines that objective and causes productivity losses and reduced revenue to every one of the company’s partners. To ensure that an organization’s data and its network are always available, the console server provides both in-band and out-of-
band remote access to servers and other serially connected networked devices. IT access to the console server is available from any location at any time, providing the IT administrator with low-level control of network attached hardware. This control includes hardware self-test, BIOS access, power cycling, and remote rebooting.
Protecting Network Security
The console server integrates with a company’s existing security structure and supports enterprise security policies. It
supports strong user authentication using two-factor authentication with RSA SecurID and device authentication using certifi cates and a host key. The console server is compatible with virtually all authentication servers, including RADIUS, LDAP, Active Directory, TACACS+, Kerberos, and NIS protocols. Supported authorization methods include local access control lists or server-based group authorization through Active Directory, LDAP, TACACS+, or RADIUS. The console server also supports role-based authorization, and maintains both remote and local data and event logs and audit trials. It supports data encryption and secure out-of-band dial-up access through ISDN modem.
Centralizing Data Center Management
The console server provides both in-band and out-of-band remote access to connected serial devices. In-band access is available through single or dual Ethernet ports, which support up to 1 Gbit/second transmission speeds and secure Telnet and SSH access to serial devices. A PC card slot (16- or 32-bit) supplies wireless remote access. Out-of-band access is available through either a built-in modem or a customer-supplied V.92 or ISDN modem. The ACS console server easily confi gures and manages large data centers using a browser-based interface. Tight integration with Avocent DSView 3 software provides an effective method to configure and manage servers using a consistent, simple interface. The ACS console server also integrates power management from a single interface for any third-party power supply vendor.
Controlling Operational Costs
Remote access to all devices connected to the advance console server virtually eliminates the need for IT staff to travel to remote sites in order to manage and maintain servers and other network equipment. Not only does this save travel costs, but remote access also reduces recovery time for unplanned downtime, which helps a company meet its revenue goals.
Providing Easier IT Management
By using a simple, secure Web-based interface, the advance console server enables an IT administrator to configure and manage any networked device with a serial port. This includes servers, routers, switches, and some non-computing devices such as power supplies, HVAC controls, and building alarms.
The advance console server also simplifies cabling requirements. Standard CAT5 cabling terminated with inexpensive RJ-45 connectors supply the needed connections to the console server. Because RJ-45 pin-outs differ from one manufacturer to another, the advance console server provides a software-configurable pin-out feature to simplify serial connections between a device and the console server.
Enhancing IT Staff Productivity
The auto-discovery mechanism of the advance console server saves significant amounts of IT time at the time of initial installation and configuration. Auto-discovery detects the names of connected devices and updates the network confi guration automatically, reducing the possibility of data entry errors and further helping to maximize uptime. The auto-discovery feature also detects servers that have been re-located, which allows the IT staff to avoid time-consuming and error-prone re-confi guration. The advance console server’s consistent Web-based interface also simplifies hiring and training requirements, and enables the IT staff to configure and manage large numbers of servers and other devices.
Therefore, advance console server provides secure remote access to serial consoles for servers and other devices, including power supplies, telephony equipment, and network routers and switches. Out-of-band capability enables secure console access from anywhere at any time regardless of network availability, reducing downtime and virtually eliminating travel to remote sites. The advance console server solution includes integrated power management and centralized management to support network security, administration, maintenance, and upgrades. The console server reduces operational costs, automates device discovery, and simplifies cabling and pin-out requirements not only that but also it enhances internet connectivity from network traffic.
Sources:
http://en.wikipedia.org/wiki/Information_Technology_Infrastructure_Library
http://www.youtube.com/watch?v=v9pCdNdHkRo
Avocent.pdf
Barrier's on IT/IS Implementation
Before we are going to tackle about the barriers of IS/IT implementation for my visited organization, let's define first what barrier is. According to a common online dictionary, it is anything that restrains or obstructs progress, access or in other word, it is a barrier. Barrier is not new to us anymore. Even in our personal lives, there are barriers also. These barriers hinder so that we will not become successful in life.
As I surf over the internet, I found these seven barriers in IT modernization. These are:
1. Cost: Finding the funds to pay for modernization projects
Modernization is rarely an IT budget item and typically requires incremental funding that must be raised from somewhere else in the organization. And, getting those monies allocated is the number one challenge facing IT managers. In fact, many executives express frustration at their inability to show business value or return on investment (ROI) from modernization initiatives. For example, arguments related to technical capabilities and toolsets or addressing the shrinking pool of staff skills are viewed as purely IT problems, and therefore, fall on deaf ears. What’s more, in the eyes of financial types, legacy applications are “paid for” with ongoing maintenance (which is a standard IT budget line item) their only cost. Couple that with the perception that modernization projects simply maintain the status quo – and don’t deliver new functionality – and it’s easy to see why there’s little enthusiasm for projects to upgrade legacy systems. What’s lacking are vehicles to communicate the current business value of the supporting applications and infrastructure, the future business value of modern, agile systems, and the implications of delaying modernization work. IT executives need ways to make a stronger connection between modernization and operational concerns, such as lost competitive advantage, declining revenue, and poor regulatory compliance, to get the needed funds.
2. Risk: Changes to core business applications must be carefully considered
Frequently, the very systems that are in the most need of modernization are essential to the business and, as such, are very likely running quite well. And because downtime isn’t an option with such software, IT has the additional challenge of trying to modernize without jeopardizing current operations. Moreover, any change to core capabilities introduces significant business risk that can be very hard to justify. Without a sound business case for modernization, there’s little reward for that risk, particularly when compared to doing nothing at all. But, IT executives also worry that “leaving well enough alone” when it comes to core business applications simply delays the inevitable – and puts them in the uncomfortable position of having to be reactive rather than proactive. However, they need to ensure that their political capital is spent on projects that deliver maximum benefit in the shortest time possible and with minimal risk. A clearer understanding of the risks from inaction is necessary to make a good case for modernization.
3. Inertia: Why modernize when everything is working fine?
For many IT executives today, there’s no clear personal reward for modernization. And, that’s particularly true in situations where the end result simply maintains the status quo functionality, albeit on a more current technology platform. In fact, there’s a strong disincentive to take on projects to update legacy applications and development tools. Horror stories abound of career-killing, big-bang modernization projects that go over budget and fail to go live. This, combined with the fact that all IT departments have more than enough urgent work on their to-do lists, creates yet another barrier to modernization.
4. Time: Modernization projects take too long
Another common impediment to modernization is the perception that timelines for such projects are inordinately long. Of course, they are complex and require considerable planning and validation time, in addition to performing the actual upgrade work. However, as with any project, the longer the timeline, the more time it takes to realize the benefit – and the greater the likelihood that it will be interrupted, suspended, or even cancelled. IT organizations need to find ways to define an overall modernization roadmap, deliver in smaller, incremental steps, update the plans as business and IT needs change, and show progress along the way.
5. Information: Where to start; what the best practices are; when to use what approach
Another common concern for IT executives is how to make the right decision about modernization tools and techniques. There are many vendors promoting many products and services – and little independent information to help organizations make the smart investment for their particular environments. There’s a real fear of being locked into an approach and technologies that don’t easily adapt as the industry changes. And, that’s understandable because modernization projects are hard enough to get off the ground without having to worry that they are going down the wrong path.
6. Balance: Modernize and maintain – how do you do both?
Seventy percent or more of IT budgets is devoted to the maintenance and support activities needed to ensure that day-to-day operations run smoothly. Shifting focus and funding to modernization is a difficult balancing act and a significant barrier. With pressing business and IT issues always front and center, modernization projects quickly fall to the bottom of the list. Many IT executives find it difficult to “keep the lights on” while simultaneously updating legacy systems. They report feeling like they need ways to change the tires on the car while it’s speeding down the road at 85 miles per hour.
7. Quality of Service: Organizations are leery of changes that could compromise service levels
One significant advantage enjoyed by legacy applications is the years of careful, iterative tuning to ensure enterprise-class reliability, security, scalability, and availability. And, IT managers worry that adopting newer technologies, such as Java and .NET, may pose serious service quality problems once deployed. Even upgrades to the latest operating system levels and hardware technology can degrade the performance of aging applications, which were not designed to run in these environments or which exploit long forgotten features of the old one.
Incremental modernization approaches are needed that:
• Consider quality of service requirements
• Can model the production environment before deployment
• Help to ensure a seamless transition
Now, let's go to my adopted company for this task. My adopted company for this task is the Rhine Marketing-Computer Division in San Pedro St., Davao City. As we interview the MIS Manager of the Rhine Marketing-Computer Division, he gave us four barriers in which they found too tough in order for them to implement their IT/IS. These are:
1. Cost
2. Adoption in New System
3. Downsizing of Manpower
4. Feedbacks
According to him, the most barrier of these barriers which he enumerated for their organization is the Cost. Why cost? It is because when they want to change their IS in their organization, cost is the main reason why sometimes there are delays in implementing new IS. He also stated that, it is too difficult also to change new systems if the user of it is older and doesn't have any background in computer.
We all know that Rhine Marketing has many branches in the Philippines, they made their own programs and systems so that it is easy for them to implement within the organization. Mr. MIS Manager shared that when they're going to have their maintenance on their programs and systems, they usually made some back-ups of the data for some security reasons. Because they have their own systems, Rhine Marketing experienced also downsizing of the HR. But the bottom line of that is, if you have your own program within your company, be assure that it is user friendly.
Sources:
http://www1.unisys.com:8081/eprise/main/admin/micro/doc/Seven_Barriers_to_Modernization_White_Paper.pdf
As I surf over the internet, I found these seven barriers in IT modernization. These are:
1. Cost: Finding the funds to pay for modernization projects
Modernization is rarely an IT budget item and typically requires incremental funding that must be raised from somewhere else in the organization. And, getting those monies allocated is the number one challenge facing IT managers. In fact, many executives express frustration at their inability to show business value or return on investment (ROI) from modernization initiatives. For example, arguments related to technical capabilities and toolsets or addressing the shrinking pool of staff skills are viewed as purely IT problems, and therefore, fall on deaf ears. What’s more, in the eyes of financial types, legacy applications are “paid for” with ongoing maintenance (which is a standard IT budget line item) their only cost. Couple that with the perception that modernization projects simply maintain the status quo – and don’t deliver new functionality – and it’s easy to see why there’s little enthusiasm for projects to upgrade legacy systems. What’s lacking are vehicles to communicate the current business value of the supporting applications and infrastructure, the future business value of modern, agile systems, and the implications of delaying modernization work. IT executives need ways to make a stronger connection between modernization and operational concerns, such as lost competitive advantage, declining revenue, and poor regulatory compliance, to get the needed funds.
2. Risk: Changes to core business applications must be carefully considered
Frequently, the very systems that are in the most need of modernization are essential to the business and, as such, are very likely running quite well. And because downtime isn’t an option with such software, IT has the additional challenge of trying to modernize without jeopardizing current operations. Moreover, any change to core capabilities introduces significant business risk that can be very hard to justify. Without a sound business case for modernization, there’s little reward for that risk, particularly when compared to doing nothing at all. But, IT executives also worry that “leaving well enough alone” when it comes to core business applications simply delays the inevitable – and puts them in the uncomfortable position of having to be reactive rather than proactive. However, they need to ensure that their political capital is spent on projects that deliver maximum benefit in the shortest time possible and with minimal risk. A clearer understanding of the risks from inaction is necessary to make a good case for modernization.
3. Inertia: Why modernize when everything is working fine?
For many IT executives today, there’s no clear personal reward for modernization. And, that’s particularly true in situations where the end result simply maintains the status quo functionality, albeit on a more current technology platform. In fact, there’s a strong disincentive to take on projects to update legacy applications and development tools. Horror stories abound of career-killing, big-bang modernization projects that go over budget and fail to go live. This, combined with the fact that all IT departments have more than enough urgent work on their to-do lists, creates yet another barrier to modernization.
4. Time: Modernization projects take too long
Another common impediment to modernization is the perception that timelines for such projects are inordinately long. Of course, they are complex and require considerable planning and validation time, in addition to performing the actual upgrade work. However, as with any project, the longer the timeline, the more time it takes to realize the benefit – and the greater the likelihood that it will be interrupted, suspended, or even cancelled. IT organizations need to find ways to define an overall modernization roadmap, deliver in smaller, incremental steps, update the plans as business and IT needs change, and show progress along the way.
5. Information: Where to start; what the best practices are; when to use what approach
Another common concern for IT executives is how to make the right decision about modernization tools and techniques. There are many vendors promoting many products and services – and little independent information to help organizations make the smart investment for their particular environments. There’s a real fear of being locked into an approach and technologies that don’t easily adapt as the industry changes. And, that’s understandable because modernization projects are hard enough to get off the ground without having to worry that they are going down the wrong path.
6. Balance: Modernize and maintain – how do you do both?
Seventy percent or more of IT budgets is devoted to the maintenance and support activities needed to ensure that day-to-day operations run smoothly. Shifting focus and funding to modernization is a difficult balancing act and a significant barrier. With pressing business and IT issues always front and center, modernization projects quickly fall to the bottom of the list. Many IT executives find it difficult to “keep the lights on” while simultaneously updating legacy systems. They report feeling like they need ways to change the tires on the car while it’s speeding down the road at 85 miles per hour.
7. Quality of Service: Organizations are leery of changes that could compromise service levels
One significant advantage enjoyed by legacy applications is the years of careful, iterative tuning to ensure enterprise-class reliability, security, scalability, and availability. And, IT managers worry that adopting newer technologies, such as Java and .NET, may pose serious service quality problems once deployed. Even upgrades to the latest operating system levels and hardware technology can degrade the performance of aging applications, which were not designed to run in these environments or which exploit long forgotten features of the old one.
Incremental modernization approaches are needed that:
• Consider quality of service requirements
• Can model the production environment before deployment
• Help to ensure a seamless transition
Now, let's go to my adopted company for this task. My adopted company for this task is the Rhine Marketing-Computer Division in San Pedro St., Davao City. As we interview the MIS Manager of the Rhine Marketing-Computer Division, he gave us four barriers in which they found too tough in order for them to implement their IT/IS. These are:
1. Cost
2. Adoption in New System
3. Downsizing of Manpower
4. Feedbacks
According to him, the most barrier of these barriers which he enumerated for their organization is the Cost. Why cost? It is because when they want to change their IS in their organization, cost is the main reason why sometimes there are delays in implementing new IS. He also stated that, it is too difficult also to change new systems if the user of it is older and doesn't have any background in computer.
We all know that Rhine Marketing has many branches in the Philippines, they made their own programs and systems so that it is easy for them to implement within the organization. Mr. MIS Manager shared that when they're going to have their maintenance on their programs and systems, they usually made some back-ups of the data for some security reasons. Because they have their own systems, Rhine Marketing experienced also downsizing of the HR. But the bottom line of that is, if you have your own program within your company, be assure that it is user friendly.
Sources:
http://www1.unisys.com:8081/eprise/main/admin/micro/doc/Seven_Barriers_to_Modernization_White_Paper.pdf
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