A company profile Essay Example | Topics and Well Written Essays - 1250 words - 1

A company profile - Essay Example In addition, it entirely owns a functioning power corporation in Singapore. The company majorly takes part in the development, manufacture and operation of big power plants. It uses modern equipment and technology (Meyer and Lu 2005, 63). Also, it makes use of domestic and international capital. The power plants for this company are advanced in terms of technology rendering them efficient and stable (Dietz Orr and Xing 2008, 22). Founded on power industry, this corporation puts emphasis on breakthroughs in management, technology and in organizational systems (YU and YU 2010, 10). These exceptional features have enabled it to break numerous records and create various milestones among its competitors and peers as far as power technology and construction and management of power plant is concerned (Dietz Orr and Xing 2008, 22). The whole labor productivity of this corporation is ranked amongst the top in local power industry. Examining Hainan Nuclear Power Company limited as well as Huaneng Shidaowan Nuclear Power Company, Huaneng power international company ha s gotten into the sector of nuclear power (YU and YU 2010, 10). In the meantime, it actively incorporates different industries, though strongly investing more on the coal, shipping and harbor industries. This has strengthened the company’s aptitude to personally supply coal. The Company considers power industry as its center business (Meyer and Lu 2005, 63). It holds on to the Green Development viewpoint and carries on to pace up structural amendments (YU and YU 2010, 10). The Company struggle to optimize the growth of coal-fired power, robustly develop hydropower, and dynamically build up wind power, solar power alongside other types of modern energy (Dietz Orr and Xing 2008, 22). It strives to build up nuclear power, and goes on with developing natural gas-fired power, to be able to boost the quantity of low-carbon

Theories of learning Essay Example for Free

Theories of learning Essay This assignment will address andragogy – a theory of learning. To do this it will focus on the specific areas of andragogy and compare them to other theories of learning. The theory of andragogy has been around for nearly two centuries and the findings are particularly linked to the work of Malcolm Knowles. The judgements will be related to the experiences of students in higher education. The theory of adult learning is a â€Å"dynamic area of research and theory building. † (Merriam, 2008 p2). Malcolm Knowles explains that â€Å"andragogy assumes that the point at which an individual achieves a self concept of essential self-direction is the point at which he psychologically becomes adult. † (As cited by Atherton J. S, 2005 p1). Knowles (1970) sees andragogy as a contrast to pedagogy (the teaching of children) which he says is a â€Å"teacher dominated form of education, long regarded as appropriate for children’s learning, and [andragogy] a learner-centred one, now viewed as particularly relevant for non-traditional adult learners. † (Bartle, 2008 p1). Knowles explains andragogy to be the â€Å"art and science of helping adults learn† (as cited by Bartle, 2008 p1). He also argues that â€Å"adults were self-directed, problem solving learners whose life experience constituted a significant learning resource. Thus instead of the traditional hierarchical relationship between the teacher and pupil, the adult learner participates fully in his or her education, influencing the curriculum and determining learning objectives. †(Bartle, 2008 p1) Knowles’ assumptions are based around five key facts: 1. Self-concept: as a person matures his concept moves from one of being a dependant personality toward one of being a self-directed human being 2. Experience: As a person matures he accumulates a growing reservoir of experience that becomes an increasing resource for learning. 3. Readiness to learn. As a person matures his readiness to learn becomes orientated increasingly to the developmental tasks of his social roles. 4. Orientation to learning. As a person matures his time perspective changes from one of postponed application of knowledge to immediacy of application, and accordingly his orientation toward learning shifts from one of subject- centeredness to one of problem centredness. 5. Motivation to learn: As a person matures the motivation to learn is internal (Knowles 1984:12) (As cited by Smith M. K, 1996; 1999 p1) Each of these assumptions comes under considerable debate. His idea of self-concept implies that all adults move from dependant to self-directed learning and that they need to be responsible for their own decisions. Adults need to be treated as capable of self-direction (Smith M. K, 1996; 1999). Knowles believes that adults should participate in designing their own development tasks and the educator should help to focus on the goals and provide ideas, resources and feedback to guide towards progress (Knowles, 1970). The next point explains the belief that adults learn effectively through â€Å"experimental techniques of education such as discussions and problem solving† (as cited by Smith M. K, 1996; 1999 p3). Sometimes experimental learning in inappropriate, especially when large amounts of new information are necessary and the decision must be made as to what is being learnt before making judgements (Smith M K, 1969; 1999) It could be argued that different experiences could be bias and presumptuous. Knowles third assumption regarding readiness to learn emphasises the place at which the importance of study becomes clear to carry out a particular task. It could be interpreted as adults learn things that are useful rather than intriguing or interesting – do we not learn some things just for sheer pleasure? (Smith M.K, 1969; 1999). It has also been argued by Dewey (1993) that â€Å"literature on reflection (e. g. Boud et al 1985) would support the argument that age and amount of experience makes no educational difference† (cited by Smith M K, 1996;1999). If this is the case then Knowles assumptions on the difference between andragogy and pedagogy are queried. With regard to orientation to learning Knowles sees this as conditioned rather than natural learning (as cited by Smith M. K, 1996; 1999). He states that the educator should ensure the adults desire for growth and anticipated results are clear, personal and realistic. He also expresses that adults are goal orientated in their learning (Knowles 1970). In his final point Knowles (as cited by Bartle, 2008) suggests that as adults the motivation to learn becomes internal, enquiry based and directed by the learner. He also suggests that as adults the relationship between the educator and the learner is one of mutual responsibility where the educator is seen more as a guide or coach. The life experiences of the learner are respected by the educator who becomes â€Å"a colleague who contributes to the learner’s self-esteem and sense of accomplishment† (Knowles, cited by Bartle, 2008 p4). This creates a setting to help the adult realise their full potential and move towards fully independent learning. In comparison to angragogy the constructivist theory of learning, as suggested by Biggs (2003), focuses on the learners knowledge and their approach to learning, suggesting learning is not just about acquiring knowledge but â€Å"as we learn our conceptions of phenomena change and we see the world differently. The acquisition of information in itself does not bring about such a change, but the way we structure the information and think with it does. † (Biggs, 2003 p13) Angagogy relates to Higher Education students as it recognises the great amount of learning that takes place throughout life and in various non-academic settings with the adult learner taking control. Knowles suggests that â€Å"students should be empowered for self-education, determining course content and self evaluation† (Knowles as cited by Bartle, 2008 p4) and prominent adult educators maintain a student-centred classroom by encouraging a problem-solving curriculum inclusive of self-pacing, designed by students, and also offering the opportunity for risk taking. The educator continues to â€Å"raise student consciousness while acknowledging life experience, and building a democratic, flexible, and personally supportive climate. † (Bartle, 2008 p4). In this assignment I have looked at the main areas of andragogy – adult learners being self directed, ready to learn and intrinsically motivated. Andragogy has been compared to pedagogy and constructivism theories and the differences highlighted. The findings have been related to the experiences of students in higher education showing the educators role to remain meaningful but less instructive and the learners learning what they need to know in order to grow. Adult learning is an ever-expanding area of research and theory, challenging ideas and confronting the theories of learning. (1,050 words) Reference List Atherton, J (2005) Learning and teaching: Knowles’ andragogy; an angle on adult learning. [On-line] UK; available; file: //f:/Knowles’%20andragogy%20an%20angle%20on%20adult%20learning. mht Bartle, S (2008) Andragogy. EBSCO Research starters. EBSCO publishing Inc Biggs, J (2003) Teaching For Quality Learning at University. Second Edition. The Society for Research into Higher Education and Open University Press. Knowles, M (1970) Modern Practice of Adult Education. Chicago: Follet. Merriam, S (2008) Adult Learning Theory for the Twenty-First Century. From http://www. interscience. wiley. com Smith, M. K (1996; 1999) â€Å"Andragogy†, the encyclopedia of informed education. http://www. infed. org/lifelonglearning/b-andra. htm Bibliography Brockbank, A and McGill, I (1998) Facilitating Reflective Learning in Higher Education. Buckingham: SHRE/Open University Press. Mortimore, P (1999) Understanding Pedagogy and its Impact on Adult Learning. London:Chapman. Payne, E (2000) Developing Essential Study Skills. London; prentice Hall.

Environmental Monitoring Program for Clean Room

Environmental Monitoring Program for Clean Room Bioburden and ETO limits Environmental monitoring program for a class 9 clean room that manufactures enteral feeding sets Abstract A clean room is an internal clean environment that is often used for manufacture or scientific research with a low level of environmental pollutants such as air bourn microbes, dust or chemical vapors. A clean room has a controlled level of contamination that is specified by the particles that are permitted per cubic meter and also the size of the particles is specified. A clean room has a special meaning that is defined by the International Standards Organization (ISO). ISO has defined a clean room as a ‘room in which the concentration of airborne particles is controlled and which is constructed and used in a manner to minimize the introduction, generation and retention of particles inside the room and in which other relevant parameters, e.g temperature, humidity and pressure are controlled as necessary’. Clean rooms are usually supplied with air that has been filtered through high efficiency air filters. This air is then changed a number of times depending on the class and purpose of the clean room. A clean room is built with materials that do not generate particles or outgas airborne chemical contamination and can be cleaned easily. Finally personnel that operate inside the clean room where protective clothing knows as bunny suits to minimize their dispersion of particles and microorganisms. An enteral feeding tube provides a means of maintaining nutritional intake when oral intake is inadequate or when there is restricted access to the gastrointestinal tract, eg owing to obstruction. ETFs are now commonly used for a wide range of clinical conditions and across a wide range of people (Rebecca White, Vicky Bradnam ,Handbook of drug administration via enteral feeding tubes, 2007) .Enteral feeding devices include enteral feeding pumps, pump sets, enteral feeding tubes and kits. Enteral feeding is often used to supply patients with nutrition who cannot consume by swallowing. Patients may not be able to consume by swallowing due to injury or illness such as pancreatitis, cancer and malnutrition. Introduction Cleanrooms are monitored according to two well-known standards, ISO 1644-1 and Federal standard 209E. Federal Standard 209E is the standards that the USA comply with whereas ISO 1644-1 are the standards that are applied internationally. ISO 14644 part 1 has been revised as a new second edition draft international standard ISO/DIS 14644-1.2(2014). ISO 14644-1 is part of a series of documents concerned with cleanrooms and associated subjects. This part of ISO 14644 specifies the classes of air cleanliness in terms of particle concentration in air volume. It also specifies testing methods that are used to determine classification. These include selection of sampling locations and evaluation of class from the data collected. The most significant change in this new set of standards is the use of a more consistent statistical approach to the selection and the number of sample locations and the evaluation of data collected. The statistical confidence is calculated based on the hypergeometri c distribution. Non-Viable Particles-Air Microbial Contamination-Air and Surface Pressure differential Water quality Temperature and Humidity Annex A There are a number of test parameters that ISO state that have to be tested when testing the air in a clean room. These recommended tests are listed in Annex A. Annex A provides the recommended tests and the recommended order in which to carry them out .The parameters are listed as follows. Airflow test, Air pressure difference test, humidity test, temperature test, particle disposition test, installed filter leakage test, Airflow directional test and visualization, Airborne particle test for macro particles, Airborne particle test for ultrafine particles, Electrostatic and ion generator test, Particle deposition test, Recovery test, Containment leak test. A checklist is provided to assist in testing criteria. This check list in encoded Annex A. Annex A also gives a series of recommended tests when sampling. 5. Test report The result of each test should be recorded in a test report and the test report should include the following information: Name and address of the testing organization and the date which the test was carried out. Number and year of publication of this part of ISO 14644. Clear identification of the physical location of the clean room or clean zone tested, and specific designations for coordinates of all sampling locations. Specific designation criteria for the clean room or clean zone, including the ISO classification, the relevant occupancy state and the considered particle size. Details of the test method used and identification of the test instrument and it’s current calibration certificate. Test result, including data reported as specifically required in the clause of Annex B, and a statement regarding compliance. Any other specific requirements defined relevant to the clause of Annex B. A.1 General The test procedures that are used in this part of ISO 14644 may be used for demonstrating compliance with the performance criteria of a user specified installation and for performing periodic testing The choice of tests are usually based on the required level of classification, operational states and the design of installation. Table 1 provides optional tests that are recommended by the international standards organization and table 2 is the bioburded limits provided by ISO for a class 9 cleanroom. Annex B (B.1.1) This test method is a specification of the measurement of airborne particle concentrations with size distributions having a threshold size between 0.1 micrometer and 5 micrometers. Measurements are often made according to three defined occupancy states. These occupancy states are as follows; as-built, at rest and operational. The measurements are made to verify the cleanliness classification in accordance with ISO 14644-1. (B.1.2.1) This part of Annex B is known as B1. The location selection, sampling points, clean zone classification determination and the quality of data required should be in accordance with ISO 14644-1. One of the main aspects of B1 is to provide reference methods. Annex B also provides a risk assessment for the clean room. >/= 0.1 um >/=0.2um >/=0.3um >/=0.5um >/=1um >/=5um (B.1.2.2) Procedure for airborne particle count ISO recommends the installation of a DPC intake at a specified sampling location. In sampling locations where the airflow is not controlled or predictable the inlet of the sample probe should be directed vertically upwards. The transit tube from the sample probe inlet to the DPC sensor must be as short as possible. If samples that are greater than or equal to one micrometer, the transit tube must not exceed the manufactures recommended length and diameter. B3 Airborne particle count for macroparticles The test methods that are described here are for the testing of particles larger than 5 micrometers in diameter. Measurements for macro-particles can be made in any of the three occupancy states of a clean room. These measurements are made in order to determine the concentration of macro-particles. B.3.3 Measurements methods for macroparticles ISO has assigned two general categories for macro-particles, therefore comparable results may not be produced if different measurement methods are used. Therefore correlation between different methods is not possible Collection by filtration or inertial effects, which is then followed by microscopic measurement of the number and size, or measurement of the mass of collected particles. (1). Filter collection and microscopic measurement (B.3.3.2.1) will report macro-particles using particle size based upon the agreed diameter. (2). Cascade impact collector and microscopic measurement will report macro-particles using particle size base upon the microscopists choice of reported particle diameter. (3). Cascade impact collector and weight collector will macro-particles using particle size based upon an aerodynamic diameter. (b). In situ measurement of the concentration and size of macro-particles with a time of flight particle counter or a DPC. (1). DPC measurement will report macro-particles using particle size based upon an equivalent optical diameter. (2). Time of flight particle size measurement (B.3.3.3.3) will report macro-particles using particle size based upon an aerodynamic diameter. B.3.3.3 macro-particle measurement without particle collection B.3.3.3.1 Macro-particles can be measured without collecting particles from the air. This process involves the optical measurement of the particles that are suspended in the air. An air sample is taken through a DPC, which reports either the equivalent optical diameter or the aerodynamic diameter of particles. B.3.3.3.2 Discrete particle counter (DPC) measurement. The procedure is the same as in B.1. DPC does not require sensitivity for detection of particles that are less than 1 micrometer. Care is required in order to ensure that the DPC samples directly from the air at the sample location. If sample tubes are longer than 1 meter to the DPC then they should not be used. The DPC often has a sample flow of 0.00047 m^3/s and should be fitted with an inlet sized for isokinetic sampling in unidirectional flow zones. The DPC should be set facing upwards in areas where non-unidirectional airflow takes place. The DPC size range settings are established so that only macro-particles are detected. B.3.3.3.3 Time of flight particle size measurement The dimensions of macro-particles can be measured by using a device that is known as time of flight apparatus and accelerated through a nozzle into a partial vacuum, where the measurement region is located. Any particles that are in the air sample will accelerate to match the air velocity in the measurement region. It is this relationship between the air velocity and particle velocity at the point of measurement that can be used to determine the aerodynamic diameter of the particle. B.3.4 Procedure for macro-particle count The sample inlet probe must be set up on the selected apparatus. The required air volume must be sampled to collect at least 20 macro-particles at each sample point and make measurements as specified in ISO 14644-1 or ISO 14644-2. The M-discriptor concentration in the selected particle size ranges must be calculated as agreed between customer and supplier, and report the data. B.3.5 Test reports The following information and data should be recorded as described in clause 5. (a). Definition of the particle parameter to which the apparatus responds (b). Type of measurement: classification or test M descriptor determination or monitoring (c). Type designations of each measurement instrument and apparatus used and it’s calibration state. (d). Cleanliness classification of the installation (e). Macro-particle size range(s) and the count for each size range reported (f). Apparatus inlet sample flow rate and flow rate through sensing volume. (g). Sample point locations (h). Sampling schedule plan for classification or sampling protocol plan for testing (I). Occupancy state(s) (j). Stability of macro-particle concentration, if required (k) Other data relevant for measurement.

Euro Disney Case Study

Euro Disney Case Study Disney Company is one of most successful operator of theme parks in the world, and their theme park in America and Japan achieved great success but the situation in Europe is not so good. The article uses some aspects of the Hofstedes cultural dimensions and Trompenaars research on organisational culture to compare the cultural difference between America and France, then find out three mistakes that the company made in managing its Euro Disney operation through the case study. In the following sectors, the three lessons the company should have learned about how to deal with diversity based on its experience will be described. More rapid development in the trend of multinational companies, the cross-cultural management has become a major part of business. The purpose of this paper is to obtain some favorable factors to the future development of Euro Disney by the above analysis. Trompenaars classify the corporate culture into four kinds: the family, the Eiffel Tower, the guided missile and the incubator. The dimensions he used to distinguish different corporate cultures are equality-hierarchy and orientation to the person-orientation to the task (Sanchez, Paul. 2004) . The America corporate culture is belong to the third one, this kind of corporate culture has task-oriented characteristics, the employees should comply with some fixed rules and have high efficiency. The employer always pay more attention to your work results rather than the process, they request the employees should be loyal to the professions and projects greater than be loyal to the company, so the atmosphere in the company is some serious. Compared to the America corporate culture, the French corporate generally do not have terms of the corporate culture. The French company will never give you a sick book which tell you what you should do and which kind of language you should speak, but th ese things are very clarified to every branch. Only in this way the culture can show flexible and efficient. Many people will find it very strange how could be so efficiency under the circumstance that having not a detail arrangement and rules. This is a wonderful phenomenon in The French corporate. In a word, the French company pay more attention to human and the corporate culture which think highly of the deep-rooted relations between people and there is a relaxed and harmonious atmosphere in the company. The three mistakes In determining the target market did not take into account cultural differences Euro Disneys choice of location focus on the aspects of financial and population, then Euro Disney theme park located in the populous central Europe. Disney executives did not see that Mickey Mouse and intellectuals in the region of the left bank of the Seine in Paris can not live in harmony and France is serious about their intellectual. In retrospect, Paris is not the best place to establish such a theme park, so the establishment of the Disney parks is a declaration of war to intellectuals of French. Disneys manager stated publicly some of the criticism is the nonsense of a small number of business would not help them a favor. This may can be well operated according to American culture, while the French pay more attention to their own cultural elite and regard this refute as attack of national quality. Having not adequately take into account the habits of the French when arrange the service kinds Disney do not provide breakfast because they think that the Europeans do not eat breakfast. In addition, the Disney company does not provide alcoholic beverages within the park, but the French habits are different, they are used to drinking a cup while taking lunch, which aroused the anger of the French. Disney executives did not estimate that the European are not interested in vacation in theme park so much, in the attitude of Disney Company the European will be happy about spending a few days in a theme park like the American and Japanese, but middle-class in Europe just want to get away from everything around and go to the coast or the mountains, and Euro Disney is the lack of such appeal. No combination of French culture to the local staff management Disney has taken global standard model as same as the Japanese business, they transplanted the American culture to France directly then doing this result with a serious clash of cultures. The Disney Company use many measures that departed with the local culture, for example, in the Euro Disney, the France worker are requested to comply with the strict appearance code as the other theme parks in United States and Japan do, the workers are asked to break their ancient cultural aversions to smiling and being consistently polite to the park guest even must mirror the multi-country makeup of its guest. In addition, the Disney Company brought their U.S. Pop culture to France and fought hard for a greater local cultural context. The French people think that this is an attack on their native culture, so they adopted an unfriendly attitude toward to the arrival of the Disney, including the protest come from the intellectual and th e local residence and farmers. The three lessons Multinational companies should target market accurately Even in the same country or regional market, the traditional culture makes different control power to different people. Multinational companies should be fully based on detailed market research to find the weak links in the market and make a breakthrough, use the point to an area model to expand. For example, McDonalds opened in the Chinese market, its target is no longer work for the busy working-class, but the children. The golden arches mark, the joy atmosphere of the shop, the furnished toys, full of playful ads, as well as various promotional activities specifically carry out for children, these have a tremendous appeal to the target customers . McDonald think that adult eating habits difficult to change, only those children whose taste not yet formed are the potential customers of Western fast food culture, the McDonald received Broad market recognition and have huge market potential. Multinational enterprises should pay full attention to the importance of the influence of cultural differences on marketing Face to the new multiple culture environment, the multinational enterprise should take an objective acknowledge about the cultural differences of the consumer demand and behavior and respect it, abandoning the prejudice and discrimination of culture completely(Burnett, Sally-Ann, Huisman, Jeroen, 2010). Moreover, multinational enterprises should be good at finding out and using the base point of communication and collaboration of different cultures and regard this base point as the important consideration factor when plan to enter the target country market. After all, the fundamental criterion for a successful business enterprise is whether it can integrate into the local social and cultural environment. The multinational enterprises should improve the sensitivity and adaptability to the different culture environment. Multinational enterprises should make full use of the competitive advantages of cultural differences and promote international marketing The objective of international cultural differences can also be the basic demand points of different competitive strategy. In the international market, launching culture marketing activities and highlighting the exotic culture and cultural differences in the target market can open the market quickly. Companies should strive to build cross-cultural two-way communication channels, it is necessary to adapt to the hosts cultural environment and values and carry out the business strategy of localization to make it can be widely accepted by the host country local government, local partners, consumers and other relevant stakeholders . Effective cross-cultural communication on the one hand contribute to cultural integration, but also can create a harmonious internal and external human environment for corporate management. Conclusion From the Euro Disneys failure in the initial stage, we should realize deeply that cultural factors play enormous role in the process of expanding overseas of the enterprises and lack of cross-cultural awareness will bring out failure of the business. With the increase and deepen of the economical contact, transnational marketing received more and more attention. If the multinational companies can not handle properly the culture difference between foreign markets and home market in the whole marketing management process, the result will be that low profit with higher cost even lead to bankruptcy.

Lingerie: What makes women use underwear? :: Essays Papers

Lingerie: What makes women use underwear? Introduction: Ever since seventh grade, one of my closest friends has had an eating disorder. Liz (name has been changed) always thought that her body was not perfect because she just so happened to be a little bit bigger than most of her friends. What she started to do was starve herself and work out intensely. For lunch, all Liz would eat were Saltines and oranges or apples. Even with that lunch she never ate every single thing. My friend started to look really thin; she was very pale and extremely weak. During sports she never was able to play for the entire game and she was never able to practice without taking water breaks or breather breaks. Her anorexia was incredibly noticeable on the lacrosse and soccer fields. Everybody new that something was wrong with Liz: you could just tell by looking at her. Liz thought that being anorexic would make her have the perfect, ideal â€Å"Barbie doll† body. I think that seeing all those models in magazines had a huge effect on her because she thought that was what she was suppose to look like. Seeing one of my best friends have an eating disorder since 7th grade has been hard. I would try to talk to her, give her advice, monitor her when or what she would eat, which was hard. My friend’s eating disorder got so bad that my mom and I had to go to Liz’s mom and talk to her. We told her that Liz needed to see a doctor and get help. So Liz’s mom started to take her to the doctor once a week to get weighed. The doctors would monitor her weight and if did not gain any she would have to go to a hospital to get more help. This is just an experience that I have seen, but there are so many more cases like this and that is what the marketers have drilled into our heads. Background: Fashion has been in existence since 3000 BC and through out the years it has changed drastically for the worst. But underwear has been here longer even if it wasn’t in traditional clothing material; it was formed in some type of way for example leaves. Underwear was first worn only by prostitutes and the lower class people. Upper class women thought that underwear were like pants and men only wore pants, but that all started to change once women started to see that underwear was made to cover the private areas on the body. Lingerie: What makes women use underwear? :: Essays Papers Lingerie: What makes women use underwear? Introduction: Ever since seventh grade, one of my closest friends has had an eating disorder. Liz (name has been changed) always thought that her body was not perfect because she just so happened to be a little bit bigger than most of her friends. What she started to do was starve herself and work out intensely. For lunch, all Liz would eat were Saltines and oranges or apples. Even with that lunch she never ate every single thing. My friend started to look really thin; she was very pale and extremely weak. During sports she never was able to play for the entire game and she was never able to practice without taking water breaks or breather breaks. Her anorexia was incredibly noticeable on the lacrosse and soccer fields. Everybody new that something was wrong with Liz: you could just tell by looking at her. Liz thought that being anorexic would make her have the perfect, ideal â€Å"Barbie doll† body. I think that seeing all those models in magazines had a huge effect on her because she thought that was what she was suppose to look like. Seeing one of my best friends have an eating disorder since 7th grade has been hard. I would try to talk to her, give her advice, monitor her when or what she would eat, which was hard. My friend’s eating disorder got so bad that my mom and I had to go to Liz’s mom and talk to her. We told her that Liz needed to see a doctor and get help. So Liz’s mom started to take her to the doctor once a week to get weighed. The doctors would monitor her weight and if did not gain any she would have to go to a hospital to get more help. This is just an experience that I have seen, but there are so many more cases like this and that is what the marketers have drilled into our heads. Background: Fashion has been in existence since 3000 BC and through out the years it has changed drastically for the worst. But underwear has been here longer even if it wasn’t in traditional clothing material; it was formed in some type of way for example leaves. Underwear was first worn only by prostitutes and the lower class people. Upper class women thought that underwear were like pants and men only wore pants, but that all started to change once women started to see that underwear was made to cover the private areas on the body.

Rural-Urban Inequality in Contemporary China Essay -- impact of PRC Hok

Introduction -- The Summary of the Reading Materials: 　　The PRC hukou system, whose formal name is â€Å"huji† system, institutionally divides and organizes the Chinese people. To fully appreciate the significance of the hukou system, however, is not easy, even though many, especially those who have lived under the system, can vividly and endlessly attest its mighty presence. For it extensively and powerfully affects almost every aspect of the Chinese society and way of life. In this process, the hukou system tends to generate multifaceted, sometimes even contradictory and conflicting effects on China’s politics, economy, and social life.In politics,the PRC hukou system established stability, authoritarianism, and Elite Class. In economics, the hukou system has allowed the PRC to circumvent the Lewis Transition (also known as Lewis turning point, made in 1968 by Lewis, describes with the growth of rural economic , cheap labor after being fully absorbed, their wages will rise significantly. Lewis displayed wit h this theory of industrialization and urbanization are the best means to combat rural poverty) and hence to enjoy rapid economic growth and technological sophistication in a dual economy with the existence of massive surplus labor, however, the hukou system has created tremendous irrationalities, imbalances, and waste in the Chinese economy and barriers to further development of the Chinese market. At the same time, the PRC hukou system has generated a regionally uneven development and spatial inequality, such as the capita income gap, legal minimum wages, the amount of Welfare Pay. The PRC hukou system made a horizontal stratification in social life: Chinese culture, social stratification, and social norms and values have all d... ... new resources to finally overcome the wide cleavage between rural and urban that has characterized Chinese society since the 1950s, only a sketchy overview pf some the initiatives will be presented. 　　 Conclusion 　　Unlike population registration systems in many other countries, the PRC hukou system was designed not merely to provide population statistics and identify personal status, but also directly to regulate population distribution and serve many other important objectives desired by the state. In fact, the hukou system is one of the major tools of social control employed by the state. Its functions go far beyond simply controlling population mobility. Through nearly fifty-year’s development, the PRC hukou system constituted rural-urban inequality in contemporary China, which has been bringing profound influences on Chinese politics, economics, and social life.

Glaxo Pakistan

Table of Contents INTRODUCTION As per Jim Collins, *â€Å"V*ery few have a capability of going from Good to Great†. Many companies strive to be the best in the market. Most never succeed. Many do so only temporarily and subsequently lose their position through misunderstanding how they got there and what is needed to stay there. http://www. roi-ally. com/BPE_vol1. htm Therefore in order to maintain the business position and to identify its future needs, one requires an accurate analysis of the reality of the business situation and determine its financial health. This is rather complicated yet necessary for keeping one’s financial affairs clean and sustains the organization’s growth. Recognizing the importance of the above subject matter, I choose topic 8 for my research report i. e. â€Å"An analysis of the financial situation of your choice of organization. † The company selected for this purpose is *â€Å"*GlaxoSmithKline Pakistan Limited*†*, also referred to as â€Å"GSK† or â€Å"The Company†. REASON FOR CHOOSING THE TOPIC Topic selection is based on a number of factors which derived me towards selecting this topic for my thesis in comparison to other topics specified in research and analysis project guidelines. Following are the few reasons for choosing the said topic: Relevance to the Current profession: While working in the Financial Advisory Services Department of Deloitte Pakistan, I got various opportunities to explore different sectors and industries. This has equipped me with strong interpretational and analytical skills which helped me to work effectively on the said topic. Future Assistance: The pharmaceutical industry provides a lot of financial analysis opportunities because of the complexity of its operation. This complicated structure enabled me to better understand and practically apply theoretical knowledge and be better equipped to undertake financial analysis in my future career. Importance in ACCA: Financial analysis is one of the most important topics tested in ACCA examinations. I personally feel that it is an interesting topic which has a practical application. Moreover, it enabled me to utilize my IT skills and the knowledge that I gained from my studies. COMPANY AND SECTOR Industry: Pakistan has a very vibrant and forward looking Pharma Industry. It has about 500 pharmaceutical manufacturing units including those operated by 25 multinationals present in the country. It has shown progressive growth over the last one decade and now meets around 70% of the country's demand of Finished Medicine. The industry has invested substantially to upgrade itself in the last few years and today majority of the industry is following Good Manufacturing Practices (GMP), in accordance with the domestic as well as international Guidance. The industry has the capacity to manufacture a variety of product ranging from simple pills to sophisticated Biotech, Oncology and Value Added Generic compounds. http://www. ppma. org. pk/ The Company: History: There are four major companies in the history of GSK: Burroughs Wellcome & Company, Glaxo Laboratories, Beecham and SmithKline and French. GlaxoSmithKline Pakistan Limited was created on January 1st 2002 through the merger of the aforementioned companies operating separately in Pakistan. Today GSK is standing as one of the largest pharmaceutical company of the world. Business: As a leading international pharmaceutical company, GSK is dedicated towards global healthcare and believes it to be ethically important and a key to its business success. GSK Pakistan’s primary activities are manufacturing, import, export and marketing of research-based pharmaceutical and consumer healthcare products. It operates mainly in two industry segments: Pharmaceuticals (prescription drugs and vaccines) and consumer healthcare (over-the-counter- medicines, oral care and nutritional care). Market Share: GSK Pakistan limited holds a major market share in terms of products, asset base, revenue and innovation. It produces 5 brands among the 10 top brands of the pharmaceutical products in the market. It is the 1st company in Pakistan’s pharmaceutical industry which reached the revenue of Rs 10 Billion and currently holds 18. 33% of the total volume of the pharmaceutical product traded in Pakistan. Products: GSK has a large products portfolio ranging from tablets, toothpaste, inhalers to complex capsules, in over 28,000 different pack sizes and presentations. Principally GSK produces antibiotics, respiratory, dermatological, gastro-intestinal, metabolic, analgesics, central nervous system (CNS) products and vaccines. AIMS AND OBJECTIVES Objectives and milestones are of crucial importance for any activity and are the core of its success, or failure. Setting an objective before initiating the project provides the required directions and assists in anticipating its result. This report aims to evaluate and assess the financial & business position of GlaxoSmithKline Pakistan Limited for financial year ended December 30, 2008. This will be achieved by the following three key tools: Vertical Analysis It deals with the most sophisticated technique for analyzing the financial statements which is ratio analysis, also known as trend analysis. This analysis will be conducted to compare GSK's current year performance with its previous periods under four broad categories i. e. Profitability, Short Term Solvency, Liquidity and Efficiency, Long Term Solvency and stability & Market ratios. Within each category different ratios would be calculated depending upon their significance and appropriateness. Horizontal Analysis For a more meaningful and judicious picture of the entity’s position it is compared with its competitor within the industry. Through this horizontal or competitor analysis, GSK’s current year performance is judge against its major competitor Sanofi Aventis. This analysis is conducted by the use of financial ratios in the same four broad categories. Business Analysis Business analysis is a well-established means of thinking critically about an entity, its resources and its environment. This analysis aims to evaluate GSK’s performance not only from the financial perspective but its business as a whole. This will be achieved by the use of technique namely â€Å"SWOT (Strength, Weaknesses, and Opportunities & Threat) analysis† and by conducting a general analysis of business highlighting its major performance area. Future Prospects: This report will also highlight the company’s future objective and strategies and assess its alignment with GSK’s vision and purpose of existence. INFORMATION GATHERING ‘Information is a source of learning. But unless it is organized, processed, and available to the right people in a format for decision making, it is a burden, not a benefit’. William Pollard Any course of action that generates a successive message can be considered as a source of information. Information can be gathered from virtually anywhere but ideal information is that, which when used, adds value. Keeping this in mind, I exploited the most appropriate and authentic information sources. The major sources used to gather the information are: Annual Reports The most reliable source of information is the company’s annual report. These not only contain financial statements of an entity but also other information of current and future scenarios which helps in evaluating its performance. Annual Reports of GSK for December 2008 and 2007 and its competitor Sanofi Aventis for the December 2008 were obtained from their websites. Meetings Several informal meetings were conducted with the management of GSK regarding its business and financial stance. I also managed to have meeting with senior associates at Deloitte who had an experience of conducting audit of Abbott Laboratories (Pakistan) Limited. They provided me guidance to conduct the business analysis and industry knowledge, to facilitate me in achieving my goals effectively. Internet Internet proved to be one of the strongest sources which enhanced the frequency and quality of information gathered during the project. The official website of GlaxoSmithKline Pakistan Limited (http//:www. gsk. com. pk) assisted to assemble constructive information for its better understanding which helped in scrutinizing the company’s financial performance. Additionally, different quotes and definitions were gathered from Google Search Engine. Articles The Article published in Student Accountant by ACCA, â€Å"How to Approach Performance Appraisal Questions? by Steve Scott from May 2006 issue, helped in the interpretation of the financial position of GlaxoSmithKline Pakistan Limited. ACCA Study Texts The study texts of ACCA Paper F7 and P2, P3, CAT Paper T6 published by BPP and FTC, were the helpful resources in gathering definitions and interpretations of ratios and conducting business analysis. Financial Analysis Financial analysis is an aspect of the overall business fina ncial position that involves examining historical and competitor data to gain information about the current and future financial health of a company. ttp://www. enotes. com/small-business-encyclopedia/financial-analysis Comparison with the prior periods (Vertical analysis) and with the competitor (horizontal analysis) in the form of ratios assists an organization in taking appropriate measures for improving its financial credibility. Vertical Analysis: Trend or vertical analysis is an aspect of technical analysis that evaluates the current performance of the company using the past data. It is based on the idea that what has happened in the past gives traders an idea of what will happen in the future. ttp://www. investopedia. com/. This analysis is done under four broad ratio categories discussed below: Profitability Ratios: RETURN ON CAPITAL EMPLOYED (ROCE): The primary measure of profitability is normally considered to be ROCE. It is the ratio which measures the relationship betwee n the sizes of the profit figure relevant to size of the business. (Student Accountant – May 2006) ROCE of the company has reached at a level of 36. 84% in 2008, which is a growth of 4% from 2007 32. 89% that had reduced by 2. 29% compare to 2006 (35. 18%). This increase in 2008 was mainly due to the rise in net profit of 17% in comparison to FY 2007. Whereas, in the year 2007, the increase in noncurrent liabilities by 40. 65% (in comparison to 2006) caused a decline in its ROCE. {draw:frame} GROSS PROFIT MARGIN (GP %): The gross profit margin ratio tells us the profit a business makes on its cost of sales. GP% of GSK was 28. 77% in the year 2008 which demonstrated a downward trend, since the recorded margin in the year 2007 was 37. 25% and 38. 33% in 2006 respectively. Despite of the rise in the sales revenue by 26% in 2008, GSK’s GP% has decreased. This was due to the drastic increase in its cost of sales by 43. 38% over 2007 (which was particularly due to the rise in raw material & commodities prices), whereas there was no consequent increase in its sales prices (because of no increase in drug prices sanctioned by the government since 2001). The same reason was observed in the year 2007 which squeezed its GP% by 1. 08% over 2006, regardless of the increase in its net sales by 5. 6%. {draw:frame} NET POFIT MARGIN (NP %): â€Å"A change in the net profit margin is a measure of how well a company has controlled its overheads†. Student Accountant- May 2006) NP% of GSK has shown a declining trend by an average of approximately 1% per year during the three years periods. It was 15. 74% in 2007 but decreased to 14. 59% in the year 2008. However, this reduction was not in the same proportion as of gross profit, due to the increase in other operating income by 100. 15% (which is 65. 46% of the net profit) and tighter control of company on its expenses during the year. In the year 2007 the NP% decreased by 0. 76% from 16. 50 in 2006, nonetheless indicating no major variation. {draw:frame} ASSET TURNOVER: The asset utilization ratio (sales/net assets) shows how efficiently the assets are being used to generate sales. (ACCA P3 BPP Study Text) Asset turnover of GSK was 1. 26 times in 2008, which was an increase of 22% from 2007. This was due to an increase in sales by 26% from 2007 and the raise in fixed assets by 4. 54% (which was because of the capital investment of 646 million made by the company, the major portion of which was spend on facility improvement, rationalization and upgrading its plant) that resulted in the improvement of its assets turnover. However, in the year 2007 it declined by 3% from 1. 7 times in 2006 to 1. 04 times, which was due to the increase in total assets by 7. 63%. {draw:frame} RETURN ON EQUITY (ROE): ROE is the amount of net income returned as a percentage of shareholders equity. It measures an entity’s profitability by revealing how much profit a company generates with the money shareholders have invested. http://www. investopedia. com/ ROE of GSK was 23. 4% in the year 2008 that was 2. 82% higher than 2007, which was because of the boost of 17. 04% in its net profits figure. In the financial year 2007, it slightly dropped by 1. 32% from 22. 9% in 2006 to 20. 58%. The issued common stock (Bonus Shares) in FY 2007 resulted in its equity enlargement by 7. 7% over 2006, consequently decelerating its ROE. {draw:frame} Short Term Solvency, Liquidity and Efficiency: CURRENT RATIO: Current ratio measures a company's ability to pay its short-term obligations. www. investopedia. com The current ratio of GSK was 4. 22:1 in 2006 further declining to 4. 27:1 and 4. 11:1 in 2007 and 2008 respectively. Although there have been a raise in current assets by 5. 98% but current liabilities are increased in a greater proportion i. e. y 10% during 2008, thus decelerating GSK’s current ratio by 4% from 2007. Whereas, the decrease of 15% from 2006 to 2007 in current ratio was due to 3. 3% rise in the company’s current liabilities. A lthough there have been no drastic changes in current assets figure over the three year period, however, it comprises almost 34% of cash and bank balance, signaling towards ineffective cash management. {draw:frame} QUICK RATIO: The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. It shows better liquidity position than current ratio. ww. investopedia. com The quick ratio of GSK has decreased from 3. 13 in FY 2006 to 2. 98 in FY 2007 to 2. 31 in FY 2008. In the year 2008 GSK’s quick ratio has declined in a greater proportion than its current ratio, indicating cash being stuck in stock in trade which can be seen by an increase of 53% in stock in trade figure over 2007. This implies the company has made high investment in less liquid assets which resulted in the increase of its cash operating cycle. Therefore there is a need to restrain any further increase in its inventory level. In the year 2007, inventory only increased by 7%, indicating no substantial change. {draw:frame} ACCOUNTS RECEIVABLE COLLECTION PERIOD (In Days): It is a measure of the average number of days that a company takes to collect revenue from its customers after a sale has been made. www. investopedia. com Account receivable collection period of GSK had radically increased from 4 days in the year 2007 to 27 days in 2008, which was caused by 770% increase in its accounts receivables (mainly because of high receivable on government tenders) over 2007. Although, this resulted in the augmented sales turnover but it also raised doubtful debt provision from 2. 9 million in 2007 to 4. 6 million in 2008. However, no significant rise was observed in receivable collection period days of 3. 06 days in FY06 from FY07. {draw:frame} ACCOUNTS PAYABLE PAYMENT PERIOD (In Days): It is used to calculate the average number of days that a business takes to pay off its creditors. www. investopedia. com Account payable days of GSK have decreased by 22 days from 93 days in FY 2007 to 71 days in FY 2008. This sudden decline was due to the increase of 43. 8% in cost of goods sold, which is fairly less in comparison to the 9. 94% rise in trade and other payables. However, in FY 2007 the 7% increase in COGS was in proportion to the 6. 25% raise in trade and other payables, resulting in no considerable change in the year 2007 in comparison to 94 days of its preceding year 2006. {draw:frame} Long Term Solvency and stability Ratios: GEARING (Long Term Debt / Equity): Gearing is a general term describing a financial ratio which compares some form of owner's equity (or capital) to borrowed funds. It is a measure of financial leverage, demonstrating the degree to which a firm's activities are funded by owner's funds versus creditor's funds. Financial gearing ratio of GSK is not significantly important as it has remained below 1% in the 3 year period from 2006 to 2008. Gearing ratio for FY 2008 and FY 2007 is 0. 25% and 0. 29%, which are relatively better in comparison to 0. 88% for the financial year 2006. This indicates that the company is highly dependent on its internal cash flow generation system and holds a stable financial position. Therefore, it currently and subsequently would have no problem to borrow funds but at present, it does not seem to rely on the strategy of generating finance through debt. {draw:frame} INTEREST COVER: It is a ratio that indicates how many times a company can cover its interest charges on a pretax basis. Failing to meet these obligations could force a company into bankruptcy. www. investopedia. com Interest cover of GSK had declined by 191 times being at 40. 05 times in FY 2008 in comparison to 231. 18 times in FY 2007 which was an increase of 93. 92 times in comparison to 137. 5 times in FY 2006. One of the major reasons for this drastic decline in the interest cover in 2008 is because of the rise in financial charges of GSK, which rose because of the foreign exchange losses occurred during the year by the company. This depicts an inefficient FOREX risk management for importing of raw material and exports of its products. While in the year 2007 exchange losses are apparently low comp ared to the other two years. {draw:frame} Market Ratio: EARNING PER SHARE (EPS): EPS is the portion of a company's profit allocated to each outstanding share of common stock. Earnings per share serve as an indicator of a company's profitability. www. investopedia. com EPS of GSK had increased from 9. 79 per share in 2007 to 11. 46 per share in FY 2008, but it was lower as compared to 12. 19 per share of 2006. The increase in the current year (FY 2008) is due to vigorous 17. 04% increase in net profit in comparison to the profit of FY 2007; however no further shares issue was made during the year. Whereas, the decline in FY 2007 was due to the issue of common shares (bonus shares) which expanded the company’s common stock by 25% but net profit remained almost same as of FY 2006. draw:frame} PRICE EARNING RATIO (P/E): A valuation ratio of a company's current share price compared to its per-share earnings. It is calculated as: Market Value/ share divided by Earning per share. www. investopedia. com P/E ratio of GSK has decreased by 13. 03 to 6. 63 in the FY 2008 compare to the FY 2007, but in 2007 it increased by 19. 66 compared to the 12. 81 of FY 20 06. The decrease observed in the year 2008 was because of the undervalued share price and improvement in the EPS during the year. The market price of the share in Dec 2008 was Rs. 75. 9 (Dec07: Rs. 192. 4) and the earning per share was Rs. 1. 46 (Dec07: Rs. 9. 79). The low P/E ratio will result in the high expectations of investors for the potential rise in share prices. The stock prices were generally low due to economic recession in the country and fragile moves of the investors at the stock exchange. The increase in P/E ratio during 2007 was due to decrease in EPS by 20% over 2006. {draw:frame} DIVIDEND PAYOUT RATIO (DPO): Dividend payout ratio is the percentage of earnings paid to shareholders as dividends. www. investopedia. com Dividend payout ratio of the company is depicting a growing trend. Its DPO in the FY 2008 reached to 82. % from 76. 6% in FY 2007, i. e. approximately an increase of 6%. This was due to a raise in net profit by 17%, consequently meeting its investorâ₠¬â„¢s expectation. Whilst the payout ratio of GSK indicates that it was able cover 65. 6% of the total profit in FY 2006. However GSK retained 23. 4% and 32. 4% of its net profits in the year 2007 and 2006 respectively, since heavy capital expenditure was incurred within these two years, which was financed by its retained earnings. {draw:frame} Horizontal Analysis: Knowing your customer is critical, but knowing your competition can be even more valuable. Better knowledge of rivals proffers a legitimate source of competitive advantage, horizontal analysis commonly known as competitor analysis is used for that purpose. This analysis tends to evaluate the entity’s standing in comparison to the other companies within the industry. It is not vital that the companies within the same industry are direct competitors (which can be seen in the case of GSK & Sanofi Aventis hereinafter referred to as SA); even then they would be expected to broadly demonstrate similar performance, in terms of growth. (ACCAP3). The Horizontal analysis of GSK is done within the same categories of trend analysis. Profitability Ratios: Profitability ratios of GSK are better than that of SA. The huge difference in the profit margin of these two corporations is due to the difference in their size. Gross profit margin of the GSK is 28. 77%, which is 4. 48% better than that of SA. GSK’s vast product range allows it to purchase and produce in bulk, hence reducing its overall cost. On the other hand, SA manufactures low volumes of products which increase its ordering cost and consequently raise its cost of production. Net profit margin of GSK is 14. 9% while that of SA is 0. 88% in the FY 2008. This difference of 13. 71% indicates that excessive non production cost of SA is squeezing its net profit. As a consequence low ROCE of SA of 15. 36% is witnessed in comparison to GSK’s 36. 84%. SA’s asset turnover of 1. 46 times indicates that it has utilized its assets 0. 2 times more efficiently than G SK to generate sales revenue. Short Term Solvency, Liquidity and Efficiency: The current ratio of GSK for FY 2008 is 4. 11 and of SA is 0. 98. Since SA’s current ratio is less than 1, it is can lead to the difficulty in fulfilling its short term obligations. SA’s liquidity problems can be witnessed from its short term borrowings covering 48% of the total Current Liabilities. Conversely, Current ratio of GSK is high showing signs of over capitalization. Additionally, cash and bank balances of GSK are 34 % of its total current assets which indicates weak working capital management. Quick Ratio of SA and GSK is 0. 2 and 2. 25 respectively. This enormous difference from the current ratios of these companies highlights the possibility of investment in assets which are less liquid. The inventory (stock in trade) of the SA is almost 62% of its total current assets while GSK holds around 44% of its current assets. SA has kept a stringent control over its working capital while GSK’s policy seems much more relaxed with its creditors and Debtors. These relaxed terms could be one of the reasons which helped GSK in increasing its Sales revenue by 26% in FY 2008 from FY 2007. SA, in contrast, has less receivable collection days and increased payable payment days. Hence SA is better at controlling its cash conversion. Long Term Solvency and stability Ratios: Both the companies hold stable positions in the context of long term solvency. Gearing ratios are not significant as these are less than 1% in both the companies. Interest cover of 40. 05 times shows a sound financial position. Finance cost occurred by GSK mainly consist of the foreign exchange losses borne by the company in importing the raw material. While SA has interest cover of 0. 51 times due to the high finance cost on short term borrowing. Market Ratios: The huge difference in EPS of GSK and SA is due to their different profitability position. Moreover GSK has a high payout ratio of approximately 83% as compared to 35. 28% of SA. NAV of SA is 2. 5 times higher than GSK particularly due to the high number of equity shares (common stock) issued, which is also reflected in its share price. SA currently has a share price of Rs. 211 and GSK’s shares are of Rs. 75. 94/share respectively. SA’s P/E ratio of 53. 18 indicates low earnings and high market price of its shares. This is a source of concern indicating that its shares are overvalued. Conversely, GSK’s P/E ratio of 6. 63, highlights that its shares are currently undervalued. Business Analysis The business performance analysis of GSK will be carried out using SWOT analysis and by general discussion of its business practices. SWOT SWOT analysis is fundamentally about discovering what a company does well, how it could improve, whether it is making the most out of the available opportunities and whether there are any changes in the market that call for corresponding changes in the business. http://www. bnet. com/2410-13240_23-66478. html Strengths The largest pharmaceutical company in Pakistan. The first company in Pakistan’s pharmaceutical industry that crossed Rs 10 billion sales mark. Produces 269 varieties of products, out of which Augmentin, Amoxil, Panadol, Ventolin and Ampiclox are among the top 10 pharmaceutical Rx products of Pakistan. The sales revenue of Augmentin and Amoxil reached to PKR2bn and PKR1bn in 2008. Betnovate is its leading brand by volume. Segment leadership in antibiotics, respiratory products, anti-malaria, gastrointestinal (GI), derma and hepatitis products, vaccines and anti helmentic medicaments. Stood at 1st position in poster competition of â€Å"International Clinical Operations, Community of Practice Meetings†. Awarded with corporate philanthropic award certificate in 2008 by Pakistan Centre for Philanthropy. Contributes to social welfare by running various charitable programs with leading NGO’s in Pakistan such as Pakistan National Forum, National Children Human Development on women’s health, concern for Children trust and the trust for health and medical sciences. Awarded as â€Å"Best place to work-2008† by a leading HR consultancy in association with Pakistan Society for Human Resource Management. Committed to innovation by developing medicines through its global R effort. Weaknesses Due to high cost of importing raw material for medicines, GSK faces strong competition from low-cost generic equivalents. Ineffective foreign exchange currency contracts resulted in the increase of exchange losses (financial charges) for the current year. Strict labor laws and a corporate income tax rate, makes it difficult for GSK to operate. Weak cash management. Opportunities: Potential for growth in the domestic market. Sector modernization initiatives will create expansion opportunities. Cut of import duties were made by the government on Pharmaceutical products. This will increase the import of products and motivate foreign involvement in respect of the investment, raw material purchase and technology transfer. Prospective increase in exports of medicines is possible as currently, Pakistan is ranked among the top eight leading exporters of herbal medicine. Threats: Significant counterfeit drug industry. Domestic patent law is below international standards. Illegal copying, counterfeiting and law enforcement is continuing to present significant problems for the international pharmaceutical companies operating in Pakistan. Rising numbers of generics is a major barrier to multinational investment. Increasing inflationary trends without consequent increases in the prices of drugs. Exposed to foreign exchange currency risk as the company is highly dependent on import of raw materials. Slow registration process for approving new formulae for medicine thus hampering its access. More about GSK: The Vision: â€Å"The opportunity to make a difference to the lives of billions of people† GSK states that they are aware of the work they do to improve the quality of people’s lives. It takes pride in this and is committed to produce products that benefit patients. It is committed towards improving and implementing the healthcare programs in Pakistan, particularly the area of preventive healthcare and vaccines remains essential and explicit. GSK is the world’s leading developer and manufacturer of vaccines. In order to evaluate the alignment of company’s activities with its vision, I have conducted the business analysis under the following heads: Market Eminence: GSK has always remained a strong wing of the pharmaceutical industry of Pakistan. It has managed to maintain a consistent growth in demand of different vaccines, antibiotics, dermatology, gastro intestinal & cardio vascular portfolios. GSK has a wide distribution network, it sell its products to wholesale drug distributors, hospitals, government entities and other institutions, hence covering almost the whole pharmaceutical market. It produces 7 out of 20 top brands in the pharmaceutical industry of the country. It was as awarded â€Å"The most preferred pharmaceutical company† of the year. It is the market leader of pharmaceutical industry of Pakistan. Quality Management: Quality in the Pharmaceutical industry is of significant importance. Due to the sensitive nature of industry, strict quality parameters are set by the regulatory bodies for pharmaceutical companies. GSK is one of the few companies which not only follow the quality standard set locally but also practice international quality standards. It was reward with the prestigious â€Å"Corporate Excellence Award† by Management Association of Pakistan (MAP). This was presented after independent evaluation of quality of management practices followed by GSK including corporate governance practices, marketing planning, production, R, corporate social responsibility and remarkable financial performance. GSK has always set high quality standards in the industry. It has recently introduced quality management system and is conducting workshops for its successful implementation. It has also installed one of the fastest tube filling and cartooning machines for its production efficiency and is continually advancing towards improvement in product’s quality and productivity. Research & Developments: GlaxoSmithKline, Pakistan (GSKP) Limited is the largest research-based pharmaceutical company in the country and the second largest in the world. It has recently conducted 19 Phase-II and III studies in therapeutic areas of Oncology, Neurosciences, Psychiatry, Metabolic and Hematology. It got 1st Position in poster competition in â€Å"International Clinical Operations, Community of Practice Meeting† held in Bangkok. Its R department’s 10 team members were presented with â€Å"Gold Awards† and Certificate of Recognition by CMD. It spends globally around US $ 14 million on research and development each day. The Company has consistently launched new products. † Sensodyne Total Care† and â€Å"Sensodyne Gentle Mouthwash† launched with unique formulation are its recent addition. Overall, it has supported the Pharma industry of by introducing low cost and quality pharmaceutical products. Employee’s Development: GSK is well known for being one of the most preferred employers. It has been awarded as â€Å"Best place to work† in 2008 by a leading HR consultancy in association with Pakistan Society for Human Resource Management. International Day of Disability was celebrated at GSK, showing its strong believes in equal opportunity employment. Its HR team recently launched a new initiative titled â€Å"Mentoring†, which provides guidance and assistance for developing talent. It also conducted a learning fair in 4 major cities of Pakistan, which offers a diverse range of courses for employees’ development and learning exposure. In order to promote and give a chance to new talent, its HR team visited 14 Universities during its recruitment process. Corporate Social Responsibility (CSR): GSK believes that corporate social responsibility is an integral and embedded part of its business. It is sincerely involved in the community work and in various charitable projects in Pakistan and around the world. It works under the context of various health, women and child development, education, and relief programmers’ at grass root level. In 2008 GSK has been rewarded with a corporate philanthropy award in recognition of its support for the social development causes in Pakistan. It is the major corporate donor for numerous NGOs and also a member of the National Commission for Human Development (NCHD). As a movement to its corporate social responsibility GSK Pakistan has introduced 1st of its kind, value health card. The card will be issued solely on the prescription of doctors, for those who cannot afford pharmaceutical products at their standard retail prices. Environment, Health and Safety (EHS) Environment, health and safety are major concerns for GSK. It continually works towards improving people’s health and safety and for developing environment friendly products. It has received Environment Excellence Award (AEEA 2008) and EHS Excellence Awards in recognition to its good environmental practices. It has installed low-cost engineering solution (glove box), which reduced OEL level by 40%. Business Continuity Plan desktop exercise was also conducted at all of its sites. CONCLUSION: GSK leads the industry in terms of value, volume and market shares. It has managed to improve the quality of human life along with showing consistency and stability in its overall business growth. This report’s objective, to assess the financial and business position of GSK, was achieved in four key areas. This report aims to analyze the financial and business position of GSK over the three year period from 2006 to 2008. In the context of aforementioned objectives this report concludes: Business: GSK‘s overall business performance is in line with its mission and is contributing towards its strategic objective. Due to its presence in the country since 1955, it has managed to build strong business foundation and is able to maintain consistent growth in the market. It has excelled in the field of Research and Development by introducing new products covering various generics, ensuring employees satisfaction by providing better environment to work, expanding its operation through empowerment of diverse product portfolio, contributing towards corporate social responsibility by capturing tasks; to work for the social health and safety, education and environment friendliness and most importantly being profitable, depicts its strong businesses practices. Financial Trend: GSK Pakistan has managed to give better financial results in the current year 2008 as compared to the FY 2007, which identifies its financial stability and further growth prospects. Even though the returns (ROCE & ROE) in the current year have improved but its profit margins (GP% & NP %) have depicted a declining trend, which was a result of raise in its revenue expenditure (COGS, Admin, S and Financial expenses). However it can be witnessed that the company has remained focused on continuous improvement in its business processes and sustained its investment in its product & promotion to offset the negative impact on margins through productivity improvement and sales growth. Although the company was not able to perform well in the year 2007 in comparison to its preceding year 2006, but it was able still able to deliver a stable financial performance having no major threats. This decrease in its financial position during the year was mainly due to the increase in inflation and depreciation in rupee that affected its operating margin negatively. Moreover the capital expenditure made during the year caused a decline in its profitability ratios, but its benefit will be obtained in the later years. The company has always provided sound investment returns which can be seen by consistent growth in its payout ratio. In the year 2007, GSK announce bonus issue of 1:4 when it declared lower dividends, thus retaining its investor’s confidence and being a reliable company for all of its stakeholders. Competitor’s Comparison: Due to its larger asset base, vast product portfolio, global presence and skilled research & development function GSK has a natural edge over its competitor Sanofi Aventis. Overall GSK’s financial performance is better than its competitor in the FY 2008. Almost all of the ratios calculated under the four broad heads, shows that GSK is giving better returns and incurring less cost. Profitability ratios of the GSK show a better picture than that of Sanofi Aventis, with the exception of Asset efficiency which shows a better utilization of assets by Sanofi to generate revenues. Liquidity position of both the companies is stable apart from the huge investments that were stuck in the stock in trade. Higher EPS and low P/E ratio of GSK shows that there is a potential for rise in its share price of the Company, in comparison to the overvalued shares of SA resulted in high P/E ratio. Future Prospects: The company can be seen as being committed to respond to the challenges of the operating environment and continues to seek opportunities to drive growth in its existing portfolio. It has a good pipeline of innovative new medicines together with the sustained availability of existing products. However, the pharmaceutical industry, in which GSK exists, has ample of barriers such as high inflationary environment without general price relief, which makes it difficult to manage its business operations. The company has a great potential for growth, but its sustained success depends on the industry’s regulatory environment, that should be able to balance the interest of the company with the need of affordable healthcare. APPENDIcES APPENDIX 1: BALANCE SHEETS (GSK) {draw:frame} APPENDIX 2: PROFIT & LOSS STATEMENTS (GSK) {draw:frame} APPENDIX 3: BALANCE SHEETS (SA) draw:frame} APPENDIX 4: PROFIT & LOSS STATEMENTS (SA) {draw:frame} APPENDIX 4: RATIOS FORMULAE {draw:frame} APPENDIX 5: RATIOS CALCULATIONS {draw:frame} Key Skill Statement Skill and Learning Statement is the testimonial which includes the compilation of key factors learned during the course this project. This part of report includes following: What did you learn from the meetings with your project mentor, includ ing the presentation that you gave to your project mentor? How well do you think that you have answered your research question(s)? How have you demonstrated your interpersonal and communication skills during the project work? How has undertaking the RAP helped you in your accountancy studies and/or current employment role? Choosing a Mentor In accordance with the guidelines, I was required to hold three meetings with my mentor. Working as a trainee in one of the big four audit firms, made the task of locating a mentor quite easy. Mr. Qayam Karim Maknojia (ACA from Institute of Chartered Accountant of Pakistan), Manager in Financial Advisory Services at Deloitte Touche Tomastu, agreed to occupy the role of my mentor. I choose Mr. Qayam as my mentor because of his vast knowledge and experience in the field of advisory and audit. Meetings Planning all the meetings before hand ensured their smooth running, and enable maximum to be achieved in the shortest time. Meeting 1 Due to time constraint and workload, first meeting took place at 7 pm, Wednesday 16th September, 2009 at our client’s office. In order to get most out of the 1st meeting, I had performed all the background work and shortlisted two topics, topic 8 and Topic 20 for the purpose of this report. I also selected the potential organizations that I was willing to use for each respective topic, but before making the final decision I decided to consult Mr. Qayam. After discussing number of issues like learning potential and merits of each topic I decided to underpin my research report on Topic 8, business and financial analysis of an organization over a three year period. We also discussed the potential sources of information which I could use for the purpose of this report. Due to workload, Mr. Qayam told me that we will hold the next meeting after finalizing the client and asked me to mail him the agenda and progress of the report one week before the meeting. Meeting 2 Second meeting took place at the 6:30 pm, after office hours, at Deloitte Karachi Office on Thursday 29th October, 2009. As requested by Mr. Qayam, I e-mailed him the agenda, my uncompleted report and excel generated worksheet one week before the meeting. By then my report consisted of interpretation ratios of the Company and business evaluation aspects with initial data in bullet points that I was going to use. Mr. Qayam assessed the work that I had performed and pointed out weaknesses and lack of reasoning in my interpretation. He also suggested that I should incorporate a competitor analysis so that a complete financial overview is covered in the report. Furthermore, he also pointed the fact that, it was not feasible to use business model as the data required for them are hard to come by. Instead, he recommended me to take some specific aspect of the company’s operations and evaluate their alignment with its vision and strategic objectives. We concluded the meeting and my mentor told me to take as much time as I want, because the deadline for the submission of the report is too far. He asked me to mail him final draft report once I have completed it. Meeting 3 The last meeting was held in the conference room of Deloitte Pakistan’s Karachi office on Wednesday, 25th November, 2009. I had mailed the final draft report to my mentor around 15 days before the meeting. After receiving his acknowledgment, I prepared presentation on Microsoft PowerPoint 2007 slides to give it a more professional look. I consulted my seniors, as how to make and delivery good quality presentation. Keeping the guidance provided by my seniors in mind, I prepared and rehearsed my presentation several times. I was a bit shaky at the start of the meeting, but my confidence level grew as I proceeded. After the presentation question answer session took place, which was most exciting as my colleagues and mentor tried to challenge my research by asking numerous questions. I was glad that I had prepared myself for this, although I was not able to answer 100% of the questions asked, my mentor and colleagues were satisfied with the work I had performed and effort I gave in preparing this report. Assessment of the Presentation The presentation took place in front of my mentor and my office colleagues. It took me nearly two days to structure and prepare the presentation. After that, I rehearsed the number of times alone to build confidence. The day before the meeting, I gave this presentation in front of my friends, who are MBA professionals so that they can point out any weakness in my communication. At the start of the meeting I distributed, handouts consisting of ratios, competitor analysis and summary of the business performance of the Company. The meeting progressed smoothly throughout the presentation. As I have already informed the listeners that a question answer session will take place after the presentation is over, no interruption occurred in between. In the introduction phase, it was quite clear that most of my colleagues didn’t possess any prior knowledge of GSK Pakistan Limited, so they took a keen interest in the topic. During the Q & A session numbers of questions were asked by my colleagues challenging my research. Most of the questions related to the financial aspects of the Company, like why I chose that particular competitor. Most exciting questions were asked by my mentor, which focused on the business performance and which widen my horizon of analyzing the business. Overall the presentation was effective. I was able to deliver the presentation in the allocated time, although question answer session went longer than I had hoped. After the presentation my overall efforts were appreciated by my colleagues and mentor. Presentation Outline {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} {draw:frame} Questioning Questioning is a vital element of effective communication based on any medium. It enhances understanding, searches for clarification and opinions. There are two basic types of questions: Open questions such as; what†¦? Who†¦? Where†¦? The responses they require are in broad terms. Open questions can further be classif ied in to probing questions and leading questions. Closed question defines a parameter which limits the response of the questioned individual to choices like ‘Yes or No. During the three meeting Questioning formed a significant part of the communication. Through this me and my mentor developed ideas and structured my thoughts which helped me in completing my report. During the question answer session both open and close ended question were asked by the audience, which tested my knowledge rigorously and helped me identifying weakness in the communication process. However, Questioning was two way process. Numerous open ended questions were asked by me, in order to gain better understanding of the work I had to perform and whether I was on the right track or not. Listening As communication are a two way process between sender and a receiver. Listening is the act of decoding the information being received and it forms a fundamental part of a communication process. Listening is as important a characteristic as questioning. Every communication process is open to noise and distortion and the meaning of the message being delivered is altered or lost if they are present. The first meeting held was open to frequent physical noises and distractions. One of my weaknesses that came into light during the 1st meeting was that, I found out to be an impatient listener. I interrupted Mr. Qayam at numerous times when I did not agree with his opinions. Learning from the 1st meeting other meetings were arranged and timed to avoid interruption. I started to become more patient and listened to my mentor with full concentration and noted down questions which I asked after he has concluded. During my 3rd meeting I noticed that some of the audience members were not listening effectively as they asked question which have already be answered during the course of my presentation. Self Evaluation {draw:g} Overall communication process consists of a sender, transmitting a message to the receiver through a communication medium. The process of communication is incomplete and/or ineffective until it is confirmed via feedback, that the receiver understood the intended message. The communication between me and my mentor could be seen by the above communication model. During the course of my project, the overall interaction with my mentor was quite effective. We were able to decode each other’s message easily and were able to communicate our thoughts properly. Perhaps, one of the reasons for effective communication was the informal relation with him, which allowed me to ask questions without being reluctant. I have used number of channels to communicate with my mentor, E-mail being the most effective medium after face to face conversation. The interaction with my colleagues during the presentation was not effective. Reason for which could be that I was not able to generate their interest. Due to this I had to repeat things over and over again. I was also asked questions, answers for which were already given in the presentation further implying that communication flow was hampered. Being an ACCA Affiliate and recruited recently, as a trainee consultant in Deloitte Pakistan, requirement for sound evaluation and interpretational skills are essential. During the course of this project, it had not only strengthened my academic knowledge I acquired before and furnished my interpretational and data mining skills, but also helped me into developing presentational skills which I lacked. Significant portion of the analysis of GSK was performed using ratio/trend analysis over a three year period ended 2008. In order for the assessment to be systematic and logical these ratios were broken into 4 broad categories so that proper attention would be given to each section and no major area was overlooked. To give a more meaning evaluation of the Company’s financial performance, I also incorporated, as guided by my mentor, a horizontal or competitor analysis of GSK with Sanofi Aventis. Performing business analysis of GSK was a difficult task, as this analysis required qualitative data in addition to the quantitative data about the Company. After carefully evaluating how to assess the business performance of a company I came to the conclusion that it was not feasible to use business evaluation models for the analyses of GSK as significant internal data was required. I discussed different operations for the company, evaluated whether’ they aligned with its vision and strategic objectives. Furthermore, I also used a corporate appraisal technique called SWOT analysis. In order to make my findings easy to understand for my mentor, I decided to use as minimum figures as I could and instead relied upon using graphs and interpreting data as a percentage. Microsoft Office was extensively used for this and by the end of this research project I was able to navigate around and use advance level options of its applications with ease. According to me, this research and analysis report contains a sound financial and business analysis of GSK Pakistan and fulfills the requirement to Topic of 8 of BSc. guidelines with ease. References Printed Material ACCA Study Text (2008/09) Paper F9 Financial Management. Kaplan Publishing Foulks Lynch ACCA Study Text (2008/09) Paper F7 (INT) Financial Reporting. Kaplan Publishing Foulks Lynch ACCA Study Text (2008/09) Paper P2 (INT) Corporate Reporting. BPP Learning Media Ltd ACCA Study Text (2008/09) Paper P3 Business Analysis. BPP Learning Media Ltd Annual Report (2006), Glaxo SmithKline. Annual Report (2007), Glaxo SmithKline. Annual Report (2008), Glaxo SmithKline. Electronic and Other Material Types BNET. SWOT Analysis: http://www. bnet. com/2410-13240_23-66478. html (Visited 05th November 2009) Financial Analysis http://www. enotes. com/small-business-encyclopedia/financial-analysis (Visited 05th November 2009) Introduction http://www. roi-ally. com/BPE_vol1. htm (Visited 05th November 2009) Industry http://www. ppma. org. pk/ (Visited 05th November 2009) Investopedia. Vertical Analysis: http://www. investopedia. com/terms/v/vertical_analysis. asp (Visited 05th November 2009) Investopedia. Return on Equity: http://www. investopedia. com/terms/r/returnonequity. asp (Visited 05th November 2009) Investopedia. Current Ratio: http://www. investopedia. com/terms/c/currentratio. asp (Visited 05th November 2009) Investopedia. Quick Ratio: http://www. investopedia. com/terms/q/quickratio. asp (Visited 05th November 2009) Investopedia. Accounts Recievable Collection Period: http://www. investopedia. com/terms/a/average_collection_period. asp (Visited 05th November 2009) Investopedia. Accounts Payable Payment Period: http://www. investopedia. com/terms/a/accountspayableturnoverratio. asp (Visited 05th November 2009) Investopedia. Interest Cover: http://www. investopedia. com/terms/i/interestcoverageratio. asp (Visited 05th November 2009) Investopedia. Earning Per Share: http://www. investopedia. com/terms/e/eps. asp (Visited 05th November 2009) Investopedia. Dividend Payout Ratio: http://www. investopedia. com/terms/d/dividendpayoutratio. asp (Visited 05th November 2009) William Pollard. Quote (Visited 07th November) http://thinkexist. com/quotation/information_is_a_source_of_learning-but_unless_it/226524. html BIBLIOGRAPHY Electronic and Other Material Types Competitor Websites Novartis Pharma: http://www. novartis. com (Visited 05th November 2009) Sanofi-Aventis: http://www. anofi-aventis. com. pk (Visited 05th November 2009) Regulators/ Governments Websites Karachi Stock Exchange: http://www. kse. com. pk (Visited 15th November 2009) Pakistan Pharmaceutical Manufacturers Association: http://www. ppma. org. pk (Visited 12th November 2009) Newspaper Websites Business Recorder’s website: http://www. brecorder. com (Visited many times) Dawn’s website: http://www. dawn. com (Visited many times) The Financial Daily webs ite: http://www. thefinancialdaily. com (Visited many times)