What is Kroger's "Industry Attrractiveness" using Porter's Five Forces

How would you teach ethics to employees in your firm? What would you cover in an in-house training program on ethical behavior of employees?

Compare and contrast the team, virtual, and learning organizations.

COMPANY Case: Porsche: Guarding the Old While Bringing in the New

Porsche (pronounced Porsh-uh) is a unique company. It has always been a niche brand that makes cars for a small and distinctive segment of automobile buyers. In 2009, Porsche sold only 27,717 cars in the five models it sells in the United States. Honda sold about 10 times that many Accords alone. But Porsche owners are as rare as their vehicles. For that reason, top managers at Porsche spend a great deal of time thinking about customers. They want to know who their customers are, what they think, and how they feel. They want to know why they buy a Porsche rather then a Jaguar, a Ferrari, or a big Mercedes coupe. These are challenging questions to answer; even Porsche owners themselves don’t know exactly what motivates their buying. But given Porsche’s low volume and the increasingly fragmented auto market, it is imperative that management understands its customers and what gets their motors running.

Since its early days, Porsche has appealed to a very narrow segment of financially successful people. These are achievers who see themselves as entrepreneurial, even if they work for a corporation. They set very high goals for themselves and then work doggedly to meet them. And they expect no less from the clothes they wear, the restaurants they go to, or the cars they drive. These individuals see themselves not as a part of the regular world but as exceptions to it. They buy Porsches because the car mirrors their self-image; it stands for the things owners like to see in themselves and their lives.

Most of us buy what Porsche executives call utility vehicles. That is, we buy cars primarily to go to work, transport children, and run errands. Because we use our cars to accomplish these daily tasks, we base buying decisions on features such as price, size, fuel economy, and other practical considerations. But Porsche is more than a utility car. Its owners see it as a car to be enjoyed, not just used. Most Porsche buyers are not moved by information but by feelings. A Porsche is like a piece of clothing—something the owner “wears” and is seen in. They develop a personal relationship with their cars, one that has more to do with the way the car sounds, vibrates, and feels, rather than the how many cup holders it has or how much cargo it can hold in the trunk. They admire their Porsche because it is a competent performance machine without being flashy or phony.

People buy Porsches because they enjoy driving. If all they needed was something to get them from point A to point B, they could find something much less expensive. And while many Porsche owners are car enthusiasts, some of them are not. One successful businesswoman and owner of a high-end Porsche said, “When I drive this car to the high school to pick up my daughter, I end up with five youngsters in the car. If I drive any other car, I can’t even find her; she doesn’t want to come home.”

For its first few decades, Porsche AG lived by the philosophy of Ferry Porsche, Ferdinand’s son. Ferry created the Porsche 356 because no one else made a car like he wanted. But as the years rolled on, Porsche management became concerned with a significant issue: Were there enough Porsche buyers to keep the company afloat? Granted, the company never had illusions of churning out the numbers of a Chevrolet or a Toyota. But to fund innovation, even a niche manufacturer has to grow a little. And Porsche began to worry that the quirky nature of the people who buy Porsches might just run out on them.

This led Porsche to extend its brand outside the box. In the early 1970s, Porsche introduced the 914, a square-ish, mid-engine, two-seater that was much cheaper than the 911. This meant that a different class of people could afford a Porsche. It was no surprise that the 914 became Porsche’s top selling model. By the late 1970s, Porsche replaced the 914 with a hatchback coupe that had something no other regular Porsche model had ever had: an engine in the front. At less than $20,000, more than $10,000 less than the 911, the 924 and later 944 models were once again Porsche’s pitch to affordability. At one point, Porsche increased its sales goal by nearly 50 percent to 60,000 cars a year.

Although these cars were in many respects sales successes, the Porsche faithful cried foul. They considered these entry-level models to be cheap and underperforming. Most loyalists never really accepted these models as “real” Porsches. In fact, they were not at all happy that they had to share their brand with a customer who didn’t fit the Porsche owner profile. They were turned off by what they saw as a corporate strategy that had focused on mass over class marketing. This tarnished image was compounded by the fact that Nissan, Toyota, BMW, and other car manufacturers had ramped up high-end sports car offerings, creating some fierce competition. In fact, both the Datsun 280-ZX and the Toyota Supra were not only cheaper than Porsche’s 944 but also faster. A struggling economy threw more sand in Porsche’s tank. By 1990, Porsche sales had plummeted, and the company flirted with bankruptcy.

But Porsche wasn’t going down without a fight. It quickly recognized the error of its ways and halted production of the entry-level models. It rebuilt its damaged image by revamping its higher-end model lines with more race-bred technology. In an effort to regain rapport with customers, Porsche once again targeted the high end of the market in both price and performance. It set modest sales goals and decided that moderate growth with higher margins would be more profitable in the long term. Thus, the company set out to make one less Porsche than the public demanded. According to one executive, “We’re not looking for volume; we’re searching for exclusivity.”

Porsche’s efforts had the desired effect. By the late 1990s, the brand was once again favored by the same type of achiever who had so deeply loved the car for decades. The cars were once again exclusive. And the company was once again profitable. But by the early 2000s, Porsche management was again asking itself a familiar question: To have a sustainable future, could Porsche rely on only the Porsche faithful? According to then CEO Wendelin Wiedeking, “For Porsche to remain independent, it can’t be dependent on the most fickle segment in the market. We don’t want to become just a marketing department of some giant. We have to make sure we’re profitable enough to pay for future development ourselves.”

So in 2002, Porsche did the unthinkable. It became one of the last car companies to jump into the insatiable sport utility vehicle (SUV) market. At roughly 5,000 pounds, the new Porsche Cayenne was heavier than anything that Porsche had ever made, with the exception of some prototype tanks it made during WWII. Once again, the new model featured an engine up front. And it was the first Porsche to ever be equipped with seatbelts for five. As news spread about the car’s development, howls could be heard from Porsche’s customer base.

But this time, Porsche did not seem too concerned that the loyalists would be put off. Could it be that the company had already forgotten what happened the last time it deviated from the mold? After driving one of the first Cayenne’s off the assembly line, one journalist stated, “A day at the wheel of the 444 horsepower Cayenne Turbo leaves two overwhelming impressions. First, the Cayenne doesn’t behave or feel like an SUV, and second, it drives like a Porsche.” This was no entry-level car. Porsche had created a two-and-a-half ton beast that could accelerate to 60 miles per hour in just over five seconds, corner like it was on rails, and hit 165 miles per hour, all while coddling five adults in sumptuous leather seats with almost no wind noise from the outside world. On top of that, it could keep up with a Land Rover when the pavement ended. Indeed, Porsche had created the Porsche of SUVs.

Last year, Porsche upped the ante one more time. It unveiled another large vehicle. But this time, it was a low-slung, five-door luxury sedan. The Porsche faithful and the automotive press again gasped in disbelief. But by the time the Panamera hit the pavement, Porsche had proven once again that Porsche customers could have their cake and eat it to. The Panamera is almost as big as the Cayenne but can move four adults down the road at speeds of up to 188 miles per hour and accelerate from a standstill to 60 miles per hour in four seconds flat.

Although some Porsche traditionalists would never be caught dead driving a front engine Porsche that has more than two doors, Porsche insists that two trends will sustain these new models. First, a category of Porsche buyers has moved into life stages that have them facing inescapable needs; they need to haul more people and stuff. This not only applies to certain regular Porsche buyers, but Porsche is again seeing buyers enter its dealerships that otherwise wouldn’t have. Only this time, the price points of the new vehicles are drawing only the well heeled, allowing Porsche to maintain its exclusivity. These buyers also seem to fit the achiever profile of regular Porsche buyers.

The second trend is the growth of emerging economies. Whereas the United States has long been the world’s biggest consumer of Porsches, the company expects China to become its biggest customer before too long. Twenty years ago, the United States accounted for about 50 percent of Porsche’s worldwide sales. Now, it accounts for only about 26 percent. In China, many people who can afford to buy a car as expensive as a Porsche also hire a chauffeur. The Cayenne and the Panamera are perfect for those who want to be driven around in style but who may also want to make a quick getaway if necessary.

The most recent economic downturn has brought down the sales of just about every maker of premium automobiles. When times are tough, buying a car like a Porsche is the ultimate deferrable purchase. But as this downturn turns back up, Porsche is better poised than it has ever been to meet the needs of its customer base. It is also in better shape than ever to maintain its brand image with the Porsche faithful and with others as well. Sure, understanding Porsche buyers is still a difficult task. But a former CEO of Porsche summed it up this way: “If you really want to understand our customers, you have to understand the phrase, ‘If I were going to be a car, I’d be a Porsche.’

Required Questions –

Question 01: Critically analyze the relevant Porters generic strategies and the growth strategies Porsche is pursuing , justify your answer by referring to the case study (5 marks)

Question 02: Marketing had evolved through five stages, out of this five which concept or concepts is Porsche following , justify your answer. Do you agree with this why or why not (5 marks)

9. The daily requirements for campus patrol officers at the University for the week are:
Day	M	T	W	TH	F	S	SU
Requirement	4	5	6	7	10	9	9
Each officer works five days a week and must have two consecutive days off.  You are scheduling officers to work the appropriate days of the week.  The second officer you schedule is to work which days of the week?

What changes would you recommend to the HR system/architecture and why? For the two companies Lincoln Electric and SAS

Compare and contrast the functional, conglomerate, and divisional forms of organization design structure. What are the advantages and disadvantages of these forms of structure? Use diagrams if they will clarify your explanation.

Customer A's order arrived 8 days ago. Processing time is estimated to be 25 days. The promised due date is 40 days from now. What is customer A's flow time in the system?

Performance Management Process

Many times, people confuse performance management with one element of the performance management process: performance appraisal. Performance management is much more than a once or twice a year event. It is a critical process that aligns individual goals and performance with the strategic goals of the organization. In some organizations, performance management is part of an overall talent management or human capital management program, which is the process that organizations use to both attract and retain skilled employees. In many organizations performance management and talent management are synonymous. Regardless of whether it is viewed as an element of a larger process or is the overarching process, an organization’s performance management plan needs to also be designed to develop and retain talent for the organization.

Planning is the first component of a comprehensive performance management plan.

This part of the process involves setting expectations and goals for groups and individuals. These goals need to be aligned with the strategic goals of the organization, and they should also include the goals that the individual wants to achieve. Aligning the goals of the individuals and the organization is an effective method of achieving the goals of both. Additionally, involving the individuals in the process of setting goals and expectations can lead to greater employee engagement. Determining measurements is also an important part of the planning element of the process. Using SMART goals is one method of determining measurements. The term SMART goals stands for Specific, Measurable, Achievable (with stretch), Relevant, and Timebound. Another benefit of a SMART goal is that employees will know if they are meeting their goals—setting goals properly will set up an almost “automatic” feedback loop for the employees. They will know how they are contributing, which can also lead to greater employee engagement. Finally, when employees are involved in the planning, communicating goals and expectations with employees becomes an inherent part of the process rather than something that must be designed separately. Involvement from the beginning encourages two-way frequent communication between managers and employees.

How does this part of the Performance Management Process operate within your workplace or an organization that you are familiar with?

How do you know if the company is acting ethically? What measurement or assessment would you use? Whose standard of ethics would you use?

Describe all of the major HR systems (the HR architecture) of both organizations. For Lincoln Electric and SAS

Examine the various types of contracts available to Toyota when dealing with international suppliers and advise them on which contracts would be most beneficial to achieve a competitive advantage.

A. EOQ and TAIC: Give an explanation of how the EOQ and the TAIC are interconnected;

B. Real-world example: pick a real-world firm of your interest, and explain how they would manage their inventory and whether an adaptation of the EOQ model would be useful for them;

Review the discussion question and answer below. Do you agree with the answer? why or why not? Give your opinion.

Discussion Question: Please think of a position and propose a strategy to best motivate the employee. For example, you could say that a commission pay structure is the best way to motivate a Real Estate Broker and state why.

Answer: The position I will be talking about is the manager position of any kind of company or store you can think of. Although the manager is not the owner of the company they have a very huge responsibility to the place. It could be difficult to propose a strategy to best motivate the managers because they have to make sure that the employees below them are motivated and encouraged to come to work and be focused on the job. But, I found a couple ways that can be the motivation for all managers.

One of the top priorities of any person who works is, making a decent amount of money. Nobody likes to work for free when they have bills to pay in their house. So, the first motivation can be a pay raise. If not a pay raise then a cash bonus or some kind of cash reward if the managers do certain tasks like for an example: coming to work early for a long period of time, making sure the employees in the store are doing their tasks on time and another; handling customers who have a issue or need help with their best abilities.

Another way managers can be motivated is by the way the store is run. By having a peaceful work environment where everyone knows how to treat each other and speak to one another in stressful situations can motivate not just the managers but anybody in any kind of work place. It really takes a toll on you if you go to work every day and you have to argue with your co workers about things that can just be talked about. Having a hostile workplace does not make you excited to go to work, it will make you dread going to work and having to deal with curtain things. I am not saying that it has to always be sunshine and rainbows at work because some people will just be having a bad day and will not want to deal with things, but having a work place where you can just relax and do your work will be motivating to anyone.

Lastly, I believe that a good strategy that will motivate managers to come to work is being able to work toward more paid time off and vacation time. All managers have to come in on their sick days, days off, vacation days, just any day that they are not in the store and something is going wrong. The managers are always the first ones to be called no matter what the situation is and most of the time they have to come in to work to handle these situations. It comes with the position but it will motivate the managers to be more active when they can and help more when it is needed so they can generate some more time off they can spend with their families. It can be hard on families who have managers because they never have the time to spend family time and if they can go to work knowing they are working towards some more family time it will be better for them.

1. Design a hypothetical Gauge R&R study complete with the purpose, people, proposed measures, actual measures (you can make these up or for extra points to a real R&R on something), and interpretation of results.