It is often said that if you fail to plan, you plan to fail.
This is also usually true for businesses. If the business has a clear air it will help to direct and control activity and enable it to formulate strategies that will help it to achieve its objectives.
A business may decide to change it aims - it will then have to change its strategies.
This is also usually true for businesses. If the business has a clear air it will help to direct and control activity and enable it to formulate strategies that will help it to achieve its objectives.
A business may decide to change it aims - it will then have to change its strategies.
For example,"BP"
Moving from an Oil company to an Energy company
Moving from an Oil company to an Energy company
Each business must have its own, clear "Hierarchy of objectives"
But here we won't focus on whole
"Hierarchy of objectives"
We will start from most important.
The Corporate Aim.
"Hierarchy of objectives"
We will start from most important.
The Corporate Aim.
1) Corporate Aims
These are the long-term goals of the business. They are expressed in relation to the stakeholders that the business is trying to please. Stakeholders are individuals or groups who are affected by the activity of the business.
These are the long-term goals of the business. They are expressed in relation to the stakeholders that the business is trying to please. Stakeholders are individuals or groups who are affected by the activity of the business.
Examples of corporate aims can be
Any business will usually have a number of these corporate aims.
Sometimes, different stakeholders will come into conflict with each other because of these different objectives.
- Increasing value for our shareholders
- To meet the needs for our customers
- To be a good and responsible employer
- To be an environmentally responsible business
Any business will usually have a number of these corporate aims.
Sometimes, different stakeholders will come into conflict with each other because of these different objectives.
- The manager’s decision to introduce new machinery means the less jobs are needed, upsetting workers and the community.
- The worker’s demands for a pay rise causes conflict with the owners and
- The manager’s decision to change production methods that cost less will please the owners but not the community if more pollution is caused.
- The government’s decision to increase minimum wages will please workers but not the owners as profits will decrease.
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