Strategic Management Individual Assignment Example | Topics and Well Written Essays - 1750 words

Strategic Management Individual - Assignment Example ith their operational strategy so as to render enhanced services to the community and to promote consistent growth of the business (McKellar, 2010, p.136). To support and execute sustainable development in its broader sense, it is necessary for the management to achieve some strategic changes in terms of decision making processes, project cycle, and organisational culture (Business strategies for sustainable development, 1992). This could be attained through the implementation of a strategic environmental analysis system. This paper will discuss what a strategic environmental analysis system is and the essential analysis frameworks in the external and organisational environments. According to Kessler, â€Å"Strategic Environmental Analysis (SEAN) is a structured, participatory process to analyse environmental problems and opportunities for development, to identify main actors, and to define strategic goals at early stages.† (Kessler, 2000, p.136). The most notable feature of this system is that it tries to address the inter-relationship between environmental concerns and socio-economic development concerns (Erdmenger, et al, 2000, p.80). The SEAN considers the elements of different conceptual and environmental assessment backgrounds, such as strategic environmental assessment. Another potential feature of this framework is that it tends to be proactive by acting on the early stages of decision making instead of being reactive or defensive (Segnestam et al, 2003). Since SEAN is a potential framework to identify the areas of overlap between environmental and socio-economic development issues, it can better assist the organisation to develop effective bu t achievable sustainable development goals. SEAN is an effective way to set strategic priorities because it can minimise the complexities and uncertainties involved in the strategic planning process while at the same ensuring that critical issues do not go unaddressed (Dalal-Clayton & Sadler, 1999, p.na). A

The Second World War (WWII) - News Article :: World War 2 II Two

The Bomb Was Dropped Today is the day after the mass destruction of Hiroshima. On Monday, August 6th the first atomic bomb to be used in war fare was dropped. The atomic bomb â€Å"Little Boy† as they called it was drooped at approximately 8:15am Japanese standard time. The B-29 Bomber â€Å"Enola Gay† was the one to have dropped the atomic bomb yesterday which caused mass destruction. When the bomb reached approximately 2,000 feet above the surface it was detonated. Reports say that â€Å"Little Boy† caused a massive wind that leveled houses up to 1.5 miles from the center of the explosion. â€Å"A bright light filled the plane," wrote Lt. Col. Paul Tibbets, the pilot of the Enola Gay, the B-29 that dropped the first atomic bomb. "We turned back to look at Hiroshima. The city was hidden by that awful cloud...boiling up, mushrooming." He was astonished at what they have done. Today the day after the drop of â€Å"Little Boy† it is unknown of the amount of deaths and it is believed to be in the tens of thousands. What will happen next? Will we see Japan surrender the war? In the up coming days we will see how this concludes. Today is the day after the mass destruction of Hiroshima. On Monday, August 6th the first atomic bomb to be used in war fare was dropped. The atomic bomb â€Å"Little Boy† as they called it was drooped at approximately 8:15am Japanese standard time. The B-29 Bomber â€Å"Enola Gay† was the one to have dropped the atomic bomb yesterday which caused mass destruction. When the bomb reached approximately 2,000 feet above the surface it was detonated. Reports say that â€Å"Little Boy† caused a massive wind that leveled houses up to 1.5 miles from the center of the explosion. â€Å"A bright light filled the plane," wrote Lt. Col. Paul Tibbets, the pilot of the Enola Gay, the B-29 that dropped the first atomic bomb.

Weighted Average Cost of Capital and Yeats

Extra Credit Assignment: Yeats Valves and Controls Inc. Completed as a Group with the Following Individuals: (in alphabetical order by last name) Adetunji Adeniyi Tung F. Cheng Gregory Chiu Rashmin Patel WenHao Zhang Course Title: Accounting and Finance Course No. /Section: MG6093 Instructor: Frank X. Apicella November 28, 2012 Yeats Valves Question The following are questions which should focus the groups on important aspects of the Yeats Valves case. Note the actual case name is Yeats Valves and Controls, Inc. The case number is UV0094.There is also a spreadsheet – that number is UV0184. As mentioned   – the corresponding case is TSE  International Corp. – case # UV0114. 1. What is the situation that this company faces? Yeats Valves and Controls, Inc. is currently considering a merger with TSE International Corporation. The founder, who is Chair and CEO, W. B. â€Å"Bill† Yeats, is about to reach his 62nd birthday and does not have a succession plan. He is concerned with the future of his company as none of the other executives can take his place because they are all specialists.Bill Yeats believes that TSE can provide stability to Yeats as he is reaching retirement, and TSE is a larger company with better marketing and global distribution channels. However, he is concerned with the fit of the two companies even though he thinks TSE is a better partnership than other alternatives. 2. What are the strengths and weaknesses of Yeats and its counterparty, TSE? Unlike TSE, which is more global-oriented with indirect distribution channels, Yeats has a stronger national and direct distribution channel.TSE has a larger mass market production system (high volume) while Yeats has a more customized market production (lower volume). In addition, Yeats has a strong R&D, having many patents for multiple applications, particularly with its latest development of the Widening Gyre Program that has a high-profile government contract. This might not be reflected in the stock of the company as a growth opportunity. 3. Why should Yeats and TSE want to negotiate a merger deal?Yeats is considering this merger deal because it would offer a succession plan for the company as TSE is a much larger company that can offer Yeats financial stability without having Yeats to identify new capital (debt and equity) on its own to fund the Widening Gyre Program (an advanced hydraulic-controls system). Yeats needs additional funding in order to continue the R&D of the Widening Gyre Program. Also, TSE has the expertise of mass manufacturing that Yeats need for widening its reach in commercialized distribution.In order to maintain a competitive edge, Yeats need both the finance and manufacturing capabilities of TSE as other competitors in the same industry have been consolidating more and more. However, Bill Yeats is concerned about losing voting control from a merger with TSE. He also wants to ensure that Yeats employees are kept after the mer ger and its stockholders gain value from the merger. He wants TSE to continue the R&D and commercialization of the Widening Gyre Program; and for him to stay on as head of Yeats until TSE can fully operate Yeats by ffering him a reasonable bonus plan. Though Bill Yeats could turn to another company, Rockheed Marlin, a large defense contractor, or other companies, he prefers TSE because he is familiar with TSE and they have complementary needs. Bill Yeats also ruled out a joint venture with TSE because he felt it was an inferior alternative as it will have the same integration issues. To reduce tax obligations, Yeats and TSE want to complete the merger in a stock-swap deal. 4. Use valuation analysis to determine the valuation of Yeats. What are the key value drivers?As mentioned above – Note the Harvard web site has a student spreadsheet for Yeats Valves that you  should  use as the basis for your analysis. Questions are contiinued below – One way of determining val uation of Yeats is through WACC, the Weighted Average Cost of Capital. It is the minimum return a company needs to earn in order to satisfy its investor base (as weighted for the amount of debt vs. equity in the target/capital structure), which is what the company must pay investors to raise new financing to support new projects or ventures.WACC is particularly useful here because Yeats has no debt, thus, it is an equity financed company. In the case of Yeats, the company must have capital to continue to develop and market its new Widening Gyre Program. The formula for WACC = Re (E/V) + Rd (D/V)(1-t) However, because Yeats does not have debt, the second half of this formula, Rd(D/V)(1-t) is not necessary. Being that Yeats has zero debt, the value of its equity is in full, which represents its Enterprise Value. Tax (t) is determined in the case as 40% or . 40 (p. 5).We must then calculate the CAPM for the cost of equity (see Excel sheet for details): Re = Rf + Beta (Rm-Rf) Re = Requi red Return on Equity Rf = Risk Free Rate = 5. 98 (p. 16) Beta = Measure of Risk relative to the general market (volatility) = 1. 5 (p. 5) Rm-Rf = Equity Market Risk Premium (EMRP) = 5. 5 (p. 16) Rm = Market Risk Rf = Risk Free Assets (U. S. treasury security) With Beta at 1, the stock price changes in precise tandem with the market, but with Yeat’s beta at 1. 5, it is more risky than a group of peer stocks. Thus, Re = Rf + Beta (Rm-Rf) Re = 5. 98 + 1. 5 x 5. 5Re = 14. 23%, the cost of equity at for Yeats Then calculate WACC = Re (E/V) + Rd (D/V)(1-t) WACC = 14. 23 (100%) + 0 (0%) (1-40%) WACC = 14. 23% Addtional Questions for Yeats / TSE cases 5. What do you believe Yeats valves is worth? What key financial assumptions determine the range of high and low values in your valuation analysis? Also, draw on any other valuation approaches and information that you can. With WACC = 14. 23% Assuming Terminal Growth Rate = 4% 1) Terminal Value (or present value at a future point) with $ represented in 1,000 = $7059. 8 (1+4%) (14. 23% – 4%) $71771. 1 = $72 million 2) DCF (Discounted Cash Flow calculated using a financial calculator): CF0 = 0 CO1 = 4689. 3 CO2 = 4584. 3 CO3 = 5302. 1 CO4 = 6127. 4 CO5 = 78830. 9 I = 14. 23 NPV = 55306. 17 NPV = $55. 306 million 3) Equity Value= 55,306,170 Minus Debt= 0 Divided by Outstanding Shares = 1,440,000 or $55,306,170 1,440,000 Equity Value per Share = $38. 407 per share Other valuations can include comparing P/E ratios with other peer companies. Also comparable are Price/Revenues, Price/EBIT and Price/EBITDA. See exhibits 8 and 9 for comparable Ratios of Peer Firms. 6.What are the advantages and disadvantages of a combination between Yeats and TSE Int? The advantages of combining Yeats with TSE would be that Yeats can offer R&D expertise that TSE lacks, and TSE can offer manufacturing and marketing expertise that Yeats lacks. With TSE’s commercialized global reach and Yeats’ national government contract s, it would be expected that there would be financial synergies that would benefit both companies in the long-term, including cost savings from greater purchasing power for materials and components, and application of TSE’s Six Sigma for higher quality control savings.This would increase value to stockholders of both organizations and offer diversification. However, the disadvantage would be that the two companies operate differently and will have to find a common ground that would allow them to merge their cultures. One of the concerns mentioned in the case is that Yeats has a more entrepreneurial operation that might not fit TSE. Both companies will have to be open-minded to learn each other’s methods of operations. 7. What risks do TSE Int. and Yeats Valves face in the proposed merger?Consider a range of transaction, financial and operating risks. What effect do these risk factors have on the value of Yeats Valves? In the proposed merger, TSE will not want to over p ay for the proposed merger while Yeats will not want to be under-valued in the stock swap. Yeats has a concern that TSE may under-value its Widening Gyre Program, which could be under-estimated by the market price. Bill Yeats wants to stay on to operate Yeats after the merger with a bonus and return to R&D rather than focusing on raising capital.TSE has to know how much value such a transaction will offer TSE being that TSE has very little experience in financing R&D. Both companies must consider their differences in operating cultures and the risks involved over the long-term viability of the two companies. TSE must consider how long they will have Bill Yeats as he is nearing retirement at a time when TSE might need Bill Yeats to maintain the success of this merger. What long term bonuses may be required to attract Bill Yeats to remain, and what succession plan might TSE have to come up with for Yeats Inc.?These are all risks to both parties. 8. Develop a negotiating strategy i. e. , an opening asking price to sell your company – Yeats – as well as the price below which you would walk away from the deal. Justify your ‘drop dead’ or walk away price. Being that the Terminal Value is at $72 million, we would ask to sell Yeats to TSE at that opening price. However, in calculating the Discount Cash Flow Value with Net Present Value at $55 million, this would be the drop dead price we would walk away from the deal.A value between these ranges would be preferred, as the minimum ($55 million) represents the equity value of Yeats and the maximum ($72 million) represents the future value of Yeats. In addition to the price negotiations, we would also negotiate social terms (as suggested by Bill Yeats). This includes for Yeats’ employees not to be terminated after the merger and Bill Yeat to remain as head of Yeats with bonuses (five year options to purchase 80,000 shares of TSE stock at 90% of market price at the close of acquisition, a nd an incentive bonus of $50,000 to $200,000 per year).

Dignity and Transformation in the Face of Tragedy in The...

It is not very often, when you read a book that you see hopeful and stirring themes placed against a backdrop of terror and tragedy. The â€Å"Grapes of Wrath†, written by John Steinbeck in 1939, is a gritty and realistic picture of life for migrant families in California during the Great Depression in the face of a drought, all struggling to build lives for themselves and maintain their dignity amongst the rampant capitalist self-interest of landowners. â€Å"The Grapes of Wrath† is both a novel both a naturalistic epic and a social commentary. Steinbeck tackles major themes such as suffering inflicted from man unto man and the snowballing effects of both selflessness and selfishness, all seen through the eyes of an altruistic, omniscient narrator†¦show more content†¦The climax of the struggle occurs as Jim is murdered by a police officer, who Tom then kills. In the absence of the group’s spiritual leader, Tom steps up and joins together a large group of migrants to fight for better conditions, finding his purpose as a man of the people and leaving the Joad family on his own. The book concludes when Tom’s sister, Rose of Sharon, gives birth to a stillborn baby, and uses her milk to save a starving man, representing the community of migrants and humans in the face of oppression. Jim Casey, the spiritual and moral center of the novel, is a character worth analyzing more in depth. When Casey joins Tom on his journey, he is a bit of an enigma. An ex-preacher, he was cynical to the theatrical trappings of all things church-related, however his spirituality is unshaken. In a Christ-like acceptance of the flaws of others (a figure with whom he shares initials), he sees holiness not within following a certain set of rules, but in being compassionate and fully embracing the human experience. In this, I believe Steinbeck used this character as a voice for the central theme of the book. He unflinchingly accepted all tragedy thrown the way of his surrogate family with kind words and a grace that was almost other-worldly. His violent death further solidifies his position as a martyr and a change-maker,Show MoreRelatedJohn Steinbeck s The Great Depression1405 Words   |  6 PagesThe historical masterpiece written by John Steinbeck portrays a story about a humble family who are forced to find jobs during the time of the Great depression. The characters are hopeful, as they pray for a pray for a brighter future. Steinbeck tries to demonstrate the strength of unity, and that working together will triumph anything that is done individually. Rather than sticking to their own beliefs, the characters are modeled by their environment. They have no choice but to seek help to beRead MoreBlack Naturalism and Toni Morrison: the Journey Away from Self-Love in the Bluest Eye8144 Words   |  33 Pagesthis mean that by focusing on the influences of environment in literature we are labeling our main characters helpless victims? Absolutely not. In The Street Lutie Johnson fights the ghetto with a determination that can only be called heroic; her tragedy is that she loses her battle against her surroundings, but her triumph consists of her willingness to break the boundaries that both white and black society had created for African American women in the 1940s. I n Toni Cade Bambara s The Lesson,