Research Articles Base: Example Learning Outcomes

Example Learning Outcomes

Number: Domain: Description 1 Knowledge Identify problems/issues by applying economic concepts to practical situations Identify appropriate approaches to decision making Classify business objectives and understand the decision making process of organisations Demonstrate knowledge and understanding of ethical issues that influence decision-making. 2 Research Independently investigate, retrieve and utilise appropriate primary and secondary sources 3 Mentation Critically analyse decision making problems/issues issues involving qualitative and quantitative data by applying economic principles/theories and decision making techniques to practical/factual situations and assess the implications. Critically evaluate and review the impact of the decision context of the organisation. Synthesise, evaluate and summarise relevant business information Develop and create a range of novel solutions and approaches to business decision making. 4 Argument Structure and present a logical argument – develop decision making techniques for a variety of business situations. Arrive at rigorously reasoned conclusion as a result of analysing qualitative and quantitative data and, when required, propose recommendations. 5 Communication Communicate their findings appropriately, in professional ways so that reports, essays and presentations are detailed, logical, succinct and coherent 6 Contribution Justify approaches and solutions to a variety of decision making situations and receive critical feedback from both their peers and tutors. Achieve a critical appraisal of one’s own learning. Be able to deal with, and develop from, conflict situations and interact effectively with their colleagues Plan and manage resources autonomously. Display a high level of autonomous learning and preparation to participate fully in the case workshops. 7 Practical Demonstrate relevant practical management decision making skills appropriate to the level of study.     src=”http://pagead2.googlesyndication.com/pagead/show_ads.js”> Credit:ivythesis.typepad.com

Example Learning Outcomes

Number: Domain: Description 1 Knowledge Identify problems/issues by applying economic concept...

What is the research evidence for the part the “critical period” plays in second language learning? What might be the implications for teaching?

Critical Period in Second Language Learning   What is the research evidence for the part the “critical period” plays in second language learning? What might be the implications for teaching?   Introduction One of the arguments about adolescent or adult second language learning is that they cannot learn another language the same way as they have acquired their first in spite of the claims that the two processes are similar in many aspects. Native speakers acquire their mother tongue at an early age by picking it up in the rich cultural and linguistic environment they were born or grew up in. Adolescent or adult learners cannot feasibly do so in learning a second language because they have already lost their “magic” for picking up a language.   Critical Period in Second Language Learning Critical period is defined by  (1989) as “selected timed in the life cycle in which may structures and functions become especially susceptible to specific experiences that may alter some future instantiation of that structure or function.” In addition,  (1992) also defined “critical period as environmental events in which must happen at certain times in the development of an organism for normal development to occur.” ( 1991) defined it as “any phenomenon in which there is a maturational change in the ability to learn, with a peak in learning in some maturationally defined period and a decline in the ability to learn, given the same experiential exposure, outside of this period.” Originally, critical period is used in species-specific behavior. It is the period when imprinting is observed in certain species such as young birds and rats.  (1987) lists four characteristics of the imprinting as below. ·         It tends to appear under well-defined developmental conditions. ·         It cannot be forgotten or revised once it has been established ·         It involves the recognition of species’ characteristics rather than individual characteristics. ·         It may be learned long before it is manifested.  (1987) assumes that only the first characteristic above is applicable to the human language acquisition. A pioneering work by (1967) explores the critical period hypothesis and concluded that “Between the ages of two and three years language emerges by an interaction of maturation and self-programmed learning. Between the ages of three and the early teens the possibility for primary language acquisition constitutes to be good; the individual appears to be most sensitive to stimuli at this time and to preserve some innate flexibility for the organization of brain functions to carry out the complex integration of sub-processes necessary for the smooth elaboration of speech and language. After puberty, the ability for self-organization and adjustment to the physiological demands of verbal behavior quickly declines. The brain behaves as if it had become set in its ways and primary, basic skills not acquired by that time usually remain deficient for life.” (1967) In second learning, two very important factors which comprise the critical period hypothesis are age factor and length of learning process (1959). According to their critical period hypothesis, after puberty when the plasticity of the brain is lost, the functions of the various parts of the brain cannot be rearranged, and “complete or nativelike mastery of languages, first or second, is difficult and unlikely” (1988). Therefore, language learning is difficult for adult learners after puberty.  (1967), who further developed the critical period hypothesis, believed that the lateralization of language functions in the left hemisphere is considered to be completed by puberty. If we assume that second language learners were adults, we would not expect them to go through the similar process as children growing up in a target language situation. Grown-ups tend to have their own psychological egos and they may have been influenced by many other affective factors that may prevent them from mingling, socializing, or learning the way native-speaking children or even non-native speaking children do. Their language learning may be hindered by many affective factors or may be limited to certain situations. The second factor is the length of the learning process. If adults learning a second language follow the similar process of children acquiring their first language in general, it may not expect any adult language learners to take all the time they need or learn in the fashion as children do to attain their proficiency. It may be theoretically sound, but realistically impossible. Time is usually not on adult language learners’ side since they themselves need to survive or support their families in the new target language environment and culture by working on jobs. They are not in a position to choose the kind of language environment that is optimal in learning a second language. Because of the biological, socio-cultural, and socio-psychological constraints, adult language learners have other problems young learners do not have. These problems include, but not limited to such affective factors as attitude, motivation, social distance or perceived social distance from the target language group. As research (1977;  1977) has indicated, adult language learners may develop an attitude problem that will impact their learning or proficiency in a second language in one way or another. This attitude has something to do with the target language, its culture, and people. If second language learners have resentment or prejudice against a certain ethnic group, they may have a difficult time dealing with the language and culture of that particular group. Target language, culture, and its people are often closely linked together. Any bias against an ethnic group may end up affecting the learners’ attitude toward whatever symbolizes that group, including their language and culture. Attitude, in turn, is closely linked to motivation. Non-native speakers learning a second language may have different motivations.  (1972) studied several kinds of motivations of second language learners. Some may have an instrumental motivation, which means that their desire to learn a language is totally utilitarian. It is driven by the pragmatic concerns of being able to utilize a language to enter a college, get a job, or further a career. Some others may have an integrative motivation, which means that some second language learners are willing to integrate themselves within the culture of that language group and become part of that society. Generally speaking, the attitude and motivation of second language learners usually play an important role in their second language learning process. If adult learners have a negative attitude toward a language, an ethnic group, or even the target language environment, they may not be motivated to learn the said language willingly. Another chain reaction coming out of the attitude factor is the social distance or perceived social distance proposed by  (1979). When second language learners have an attitude problem and lacks motivation, they may also have developed some perceived social distance, holding a negative view or assuming certain kind of opinion based on their understanding of the target language, culture, and its people. Acton explained that it was not particularly relevant what the actual social distance was between cultures, since what the learner perceives formed the person’s reality. People perceive the cultural environment through the filters of their own worldview and then act upon that perception. When learners encounter a new culture, their acculturation will be affected by how they perceive their own culture in relation to the culture of the target language. Implication to teaching Adults who spend the time and effort to learn a second or new language may do it for different reasons and purposes. The majority of them may not have the luxury of having an optimal learning environment envisioned by certain language acquisition or learning theories. They need the basic interpersonal communicative skills (1984) to survive in the target society first. The purpose of acquiring or learning a language is for communication. To achieve such a purpose, a native speaker or a non-native speaker alike will have to possess certain degree of competence. In second language learning and teaching, the communicative competence theory proposed by  (1980) and  (1981) is the most commonly espoused and relevant. There are four areas of communicative competences that they depicted. These include grammatical competence or linguistic competence, sociolinguistic competence, discourse competence and strategic competence. “Grammatical competence or linguistic competence includes the mastery of the language code such as lexical items, rules of word formation, sentence formation, literal meaning, pronunciation, and spelling. Sociolinguistic competence indicates the mastery of appropriate language use in different social contexts, with emphasis on appropriateness of meanings and forms. Discourse competence refers to the speaker or writers mastery of combining meanings and forms to achieve a unified text in different modes such as a telephone conversation or persuasive essay through the use of cohesion devices relating utterance forms and coherence rules to organize meanings. Finally, strategic competence requires the communicator’s mastery of verbal and non-verbal strategies to compensate for breakdowns in communication for lack of the previously mentioned competence or performance limitations such as use of dictionaries and paraphrasing to enhance communication effectiveness.” (1980; 1981) The reason second language learners need to resort to learning grammar is that it provides some general and systematic guidance on the structure and syntax. However, some second or foreign language professionals do not consider grammar to be an important element in second or foreign language learning or teaching. They believe that language can be learned holistically through the context without explicit instruction in grammar.  (1992) claimed that “the effect of grammar is peripheral and fragile” and that “direct instruction on specific rules has a measurable impact on tests that focus the performer on form, but the effect is short-lived.” In the same context, other professional believe that grammar is the only substance in second or foreign language teaching. They would equate language learning and teaching with grammar. Learning a second language is learning the grammar of that language. The traditional grammar-translation method is a typical example. Age factor is an important element for us to consider in second language learning. Teaching grammar to children is easier since children are capable of acquiring a new language given the rich cultural and linguistic environment and necessary exposure to the target language. For children with less knowledge of the world, rules are acquired through hypothesis testing, not grammar teaching. It is a waste of time to teach children grammar. However, adult second language learners are more mature compared to children. Adult are more worldly knowledge and are able to use their analytical powers in language learning. Adult language learners may have already lost “the magic” of acquiring a language that children possess; explicit grammar instruction can play a major role in their language learning process. Adult learners are able to comprehend the rules of grammar with the knowledge from either their first language or other experiences derived from their worldly knowledge. They are ready to apply the rules they have learned, and the rules of language will provide them with some perspective on the basic patterns of that language. With analysis of grammar rules and practice, they can induce or deduce meaningful hints out of these rules. In other words, by offering rules of grammar to adult learners, we are offering them a useful and pragmatic tool to compensate for their lack of intuition on the target language. Grammar instruction does not mean presenting meaninglessly structural information that learners cannot use. On the contrary, it serves as a tool to refine and further “build on what learners already knew and to give them opportunities to deductively construct new meanings” (1999). Grammar plays a very important role in second language learning for adult learners. It provides rules and general guidance that facilitate better understanding of the structures of the target language. The purpose of language learning is to be able to effectively communicate in the target language. Linguistic or grammatical competence is an integral component of the communicative competence. Explicit grammar instruction can enhance the development of the linguistic competence and improve on second language learners’ fluency and accuracy so they can use the second language effectively to advance themselves in every aspect in the target language society.                                 Credit:ivythesis.typepad.com

What is the research evidence for the part the “critical period” plays in second language learning? What might be the implications for teaching?

Critical Period in Second Language Learning What is the research evidence for the part the “critical period” plays in second language ...

The contributions and learning outcomes of Physical Education under the New Academic Structure for Senior Secondary Education

The contributions and learning outcomes of Physical Education under the New Academic Structure for Senior Secondary Education  Overview The Education sector takes up the highest share of budgetary allocation in Hong Kong. It accounts for almost one quarter of the total public expenditure in which the secondary education accounts to around one third of the total education expenditure. To date, Hong Kong has been undergoing rapid changes in all areas of education. Fundamentally, the school curriculum reforms calls for the development of a new culture of learning and teaching as well as the strengthening of the subject contents. Many schools in Hong Kong have failed in setting priorities in terms of the subjects that should be taught in the classroom as well as the allocation of time for non academic subjects. Teachers are increasingly concerned with the little attention given to extracurricular activities and personality development ( 2003) As a former British colony, the education system in Hong Kong is based on the United Kingdom particularly the system employed in England. The system includes a non compulsory three year kindergarten which is followed by a six year primary education. The secondary education features a three year junior secondary education and a non compulsory two year senior secondary education which will lead to the Certificate of Education Examinations and a two year course which also leads to the Hong Kong Advanced Level Examinations.             Under the new 3+3+4 senior secondary curriculum, there will be a three year junior secondary, a three year senior secondary and a four year undergraduate academic system that will be implemented by the year 2009 onwards( 2007). The change in the curriculum can be considered the most dramatic reform in Hong Kong. It can be categorized into three integrated dimensions: change in the structure of the education system, change in the curriculum and the change in the public examinations.             Such reform has been supported by the new understanding of learning which follows the global understanding that learning is the learner’s construction of knowledge and is then a matter of learning experiences in meaningful activities that fosters values. With this, the subjects are replaced with learning experiences in the eight Key Learning Areas (KLAs). The idea behind this reform is for the students to focus initially on languages and mathematics and then carry out their chosen studies in science or humanities (2006). Physical Education has been included among these key learning areas. Over the years, the public policy which addresses the development of physical education has been assigned to programmes associated with the opportunities for young people to take part in sport. Every major strategic plan of the government for sport has been emphasized to young people. Generally, sports policies for young people are centered on three areas of activity. First is to strengthen the physical education and sport within schools. Secondly, to create sustainable links between the sports played in the school and those played outside the school or within the community. Lastly, to develop means that will ensure that talented participants can progress in this area (19997). Governments invest in sports not only to assist the development of sport itself but mostly to help improve the quality of life of its citizens. Features of the Curriculum Design for P.E Based on the Senior Secondary Curriculum guide, Physical education (PE) is an elective subject leading to the Hong Kong Diploma of Secondary Education. It is one of the eight Key Learning Areas (KLAs) included in the curriculum reform. The important components of the PE KLA consist of the ‘education of the physical’ which means helping students to obtain good health, good looking body and good performance in the field of sports as well as the ‘education about the physical’ which means helping the students understand the theoretical aspects. In order to meet the needs and interest of the students, there are four curricula included in the new curriculum for physical education. These are General PE, PE elective, Liberal Studies: Sports and Health Unit and Career Oriented Studies: Coaching and Sports & Recreation management.  All senior secondary students are required to take the General PE while the others are optional (2004).             The General PE is built upon the six strands of PE which includes the development of motor and sport skills, health and fitness, sports related values and attitudes, knowledge and practice of safety, knowledge of movement and aesthetic sensitivity. Students will be encouraged to participate in areas of activities such as athletics, ball games, gymnastics, aquatics, dance, physical fitness and outdoor pursuits. Liberal studies as a core subject in the New Senior Secondary Curriculum will broaden the students’ knowledge and improve their social awareness. Students will be nurtured to become critical, reflective and independent through multi perspective and inquiry approaches. They will become more informed and responsible individuals which is necessary for their development and fulfillment. On the other hand, Career Oriented Studies: Coaching and Sports & Recreation Management will assist students to build foundation for career development and further studies in other areas. Concerns on the roles of leisure, recreation and sports in the development of healthy and quality lives have been raised over the years. As these areas are rapidly growing, there is the increasing demand for professionals trained in the field such as coach, program organizer, facilities manager and therapists. This elective will help students to decide a career path in the other related fields. PE elective emphasizes on the connection of theories and practical skills to further develop the interest of students in the area of Sports, PE and recreation. Students under this elective are expected to acquire a deeper understanding of theories and applications in the human movement and health. It is unique among other senior secondary elective subjects as it aims to cultivate a critical mass of individuals. Under this elective, students will have knowledge of PE, sports and recreation that will enable them be critical and reflective of the issues affecting their lives at the personal, community, national and global levels. As they become physically and mentally healthy, they will be more capable of facing challenges and regulate themselves to adopt a healthy lifestyle and eventually encourage others to follow their ways of living. Aside from this, they are expected to develop moral behaviors in respecting the plurality of cultures in the context of PE, sports and recreation ( 2006). Learning Outcomes Physical education can contribute to the physical self, emotional, social and personal self, spiritual and community self. In short, it can contribute to the development of the whole person. It also has the potential to make significant contributions in other areas of the educational development of the individual. Such view is supported by many curriculum documents, physical education texts and current researches () Upon the completion of the PE elective, students will obtain a strong knowledge base, desirable attitudes and values and the necessary skills that will make them active and healthy individuals. Additionally, they will develop a foundation for further education in science, humanities and social sciences. There are four categories of learning outcomes that are identified under the PE Elective Science foundation Ø  broaden the knowledge base and deepen the understanding of issues relating to body maintenance and self enhancement. Increase the intellectual capacity in integrating physical skills to theoretical learning with the use of physical experiences to strengthen the conceptual understanding and thinking and evaluate the theories relevant in the contexts of PE, sport and recreation Humanities and Social Science Foundation Ø  connect the principles of PE, sport and recreation to related fields and disciplines and develop awareness on the their links to further education and career paths Generic Skills Ø  develop generic skills specifically communication and critical thinking skills and be able to apply them in real life situations along with their collaborative skills and creativity Values and Attitudes Ø  develop personal as well as social qualities, pleasing sporting manners, commitment, sense of responsibility and the respect for the different cultures when organizing events involving physical activities both in the school and in the larger community. Pros and Cons There has been recent reawakening notion that schools are not solely for educating students and training them for adult life but also to produce rational, effective and socially responsible citizens who can fulfill useful roles in the community. Social and morale responsibility fits very well in the rationale of physical education. Sports, being a microcosm of the society can assist in the inculcation of values. What can be consciously promoted in PE can also be transferred to other areas of the curriculum and in the lives of young people in general. To be part of the sporting community also allows the individuals to acquire a wealth of common experiences that is shared by them wherever they play. There are also political initiatives manifested in physical education. For example, the existence of specialist sports college (2001). Thus, students are not only nurtured physically but are also inculcated with social values as they engage in physical education activities. Generally, Physical education will equip the students with the knowledge and skills that are necessary to pursue an active and healthy lifestyle. By engaging in the broad range of physical activities, students will develop their interest and the ability to remain physically active. They will be nurtured to become healthy and productive individuals that will lead to the reduction of future medical expenditures for diseases. The breadth of the P.E curriculum will help students who are particularly interested in PE and sports and establish a solid foundation for further studies and future advancements. The variety and flexibility of the curriculum will enable them to advance smoothly into higher education and possibly to future careers in areas such as human biology, nursing, physiotherapy, occupational therapy, PE, sports and recreation. It will contribute to the development of skills as well as positive values specifically sportsmanship and perseverance. All of which are in line with the World Health Organization’s agenda of building a long term capacity for a healthy society (2004). Ultimately, physical education will make significant contribution in the whole development of the person and in the realization of a healthy community.             Undeniably, the success of the new curriculum is dependent on the students and teachers collaborative effort. However, PE teachers in Hong Kong have been historically weak. This may be problem especially since the learning area cannot be redirected to other teachers. In addition to this, teachers are also faced with the problem of compressing the time and the increase in their workload.             Another problem with the physical education curriculum is the issue of equality among students. Issues of class, sexuality, ability and culture have obvious bearings in the ways by which men and women are positioned socially and in status under the context of physical education. Marginalization has been a reality for women as well as to men in physical education. It is something which will be experienced by many individuals in different settings. This is so because people are judged based on the existing and prevailing norms dictated by the dominant groups. As a consequence, some people may be viewed as deficient and are subjected to prejudices in physical education (2002). All too often, judgments are made in connection to a single and stereotypical image of masculinity and femininity that ahs been viewed as the norm. Indeed, individuals must be ensured to have their legitimate place in physical education regardless of their differences. Implications of the new curriculum Part of the curriculum reform is the attempt to introduce school-based assessment which is likely to provoke teacher opposition due to the increase in their workload. The reform also compress the time that is used for formal curriculum while creating rooms for different sorts of student activities as part of their wide training (2006). The implementation of the Physical education Reform poses difficulties in terms of school policies. For most P.E teachers, the P.E assessment is no value in terms of promoting the school. Hence, they are faced with the problem of implementation since they are too preoccupied with school work. The insufficiency in time for teaching P.E and assessment for too many students in the class remains a major barrier. Ultimately, teachers are facing problems which are related to the concept of P.E assessment () Until recently, physical education has been characterized with the lack of formal assessment. Assessment has been an integral part of teaching and learning. However, assessments in PE classes are often a problem. for one, teachers are compelled to make their comments under pressure if time and the limitation of space. Oftentimes, comments are short, general or vague such as ‘satisfactory’ which may men that the students is satisfactory or the teacher is not sure who he/she is so it must be satisfactory. PE teachers usually find difficulties in making accurate assessments especially those who had to take a large number of classes and students (1994). Strengthening Students’ Motivation in Physical Education Physical education has a clear motivational problem. More often than not, the students’ interest in PE declines as they progress through school. Given this, a successful physical education program can be achieved if the students are motivated to learn the intended objectives. Motivation can be defined as the collection of causes which engages someone in an activity (2004). Among the potential barriers to motivation are the intrinsic and extrinsic motivations of the students.  A problem arises especially since the motivation varies from one person to another. Therefore, the involvement may be unpleasant for some and the intrinsic motivation to participate is lost. To address this problem, lessons must be designed in accordance to their meaning and significance to the students. Extrinsic motivation is also a potential barrier since students are motivated to engage in the activity to receive rewards (2004). The practices of the teacher can also be a barrier since they are faced with the immensely difficult task of motivating each individual. To become effective, they must continuously examine their teaching styles and adapt to the changing needs and emends of the students. The attitude of the teacher affects the students and therefore they must improve their credibility and influence through planning, goal setting and exhibiting conduct exemplifying the behavior expected of the students. Teachers must also elicit enthusiasm about physical education. This way they can get the students motivated and active. A variety of teaching strategies can also be used. The curriculum also plays a crucial part in strengthening the motivation. Students who do not enjoy what they are doing could simply avoid the activity. Physical education can be integrated in a way that students will see the meaning across disciplines. It can be integrated with other key learning areas such as math and physics, science and humanities. The curriculum must also be developmentally appropriate to meet the needs and the interest of the students. For the physical education to be successful, it is necessary that the barriers to its implementation are overcome. It is important that everyone gets involved in to make the collective effort to break such barriers. However, the teacher holds most of the challenges to break down such barriers. Physical Education teachers must continually advocate the importance of physical education and its lasting effects in the health and well being of the students. Conclusion Hong Kong has been reforming its Secondary Education as a response to the need of developing a new culture of learning and teaching and strengthening of the subject contents. Perhaps the most dramatic reform in Hong Kong is the change in its curriculum which encompasses the change in the structure of the education system, change in the curriculum and the change in the public examinations. This kind of reform is in accordance to global understanding that learning is the learner’s construction of knowledge and learning experiences which identified eight Key Learning Areas (KLAs). Among these key learning areas is Physical Education. Physical education (PE) has become an elective subject in the curriculum leading to the Hong Kong Diploma of Secondary Education. The important components of the PE KLA involve educating the students to obtain good health and helping them to gain an understanding of the theoretical aspects of physical education. The inclusion of this elective is aimed at the acquisition of knowledge of PE, sports and recreation that will enable students to be critical of the issues affecting them in the different levels of their daily lives. As students become physically and mentally healthy, they will be more capable of regulating themselves to adopt a healthy lifestyle and encourage others to follow their ways of living. Moreover, physical education does not only contribute to the physical self but to all aspects which leads to the development of a whole person. With this, the PE curriculum is expected to benefit the students in terms of acquiring a strong knowledge base, desirable attitudes and values and the necessary skills for a healthy living. They will also develop a foundation for further learning in other related areas such as science, humanities and social sciences. Along with these benefits are the potential barriers and challenges to the implementation and success of the program. Undeniably, the teachers will face greater challenges in terms of assessment and time allocation. The curriculum reform has introduced the infusion of learning areas which increased the workload of teachers and compressed their time. Also more PETE in Hong Kong must be improved since it has been historically weak. Another problem with the physical education curriculum is marginalization among students. Indeed the status of Physical Education can be improved and the motivation of the students to engage in such activities can be maintained only if these barriers are overcome. Ultimately, the appropriate curriculum and the teachers’ practices will be the crucial factors to maintain the enthusiasm towards physical education until the next few years. Credit:ivythesis.typepad.com

The contributions and learning outcomes of Physical Education under the New Academic Structure for Senior Secondary Education

The contributions and learning outcomes of Physical Education under the New Academic Structure for Senior Secondary Education Overview T...

A Critical Review of Myself as an Effective Agent of Individual and Organizational Learning

A Critical Review of Myself as an Effective Agent of Individual and Organizational Learning     TABLE OF CONTENTS   Title Page ………………………………………………………………………    1 Table of Content ………………………………………………………………   2 Introduction ……………………………………………………………………    3 Discussion ……………………………………………………………………..    4                      Section 1. You as a Learner ………………………………………….   4             Section 2. Individual Learning ………………………………………..  6 ·         Motivation ………………………………………………………..   7 ·         Time Management ……………………………………………… 7 ·         Communication ………………………………………………….  8 Section 3. Organizational Learning …………………………………..  11 Conclusion ……………………………………………………………………… 15     A Critical Review of Myself as an Effective Agent of Individual and Organizational Learning   Introduction It can be said that organizational change is one of the critical determinants in organizational success and failure. According to  (1994), major change is occurring in most of today’s organizations. Perhaps the space between the new organization design and implementing it into actuality is the whole coverage of organizational change and development. This is what is happening to our organization. People are said to be adaptive to change. It is done through individual and organizational learning. Such learning within our organization is palpable and in progression. In learning, positive skills must be present from the initiators of change so as to successfully implement their intended development. Thus, managers need to have the necessary abilities not only in identifying the segments of the organization that needs change but also on how to effectively introduce such changes within the immediate members of the organization. In order for an organization to be more competitive in the marketplace, the management must always see to it that they use a management system and strategy that would sustain the capability, strength and competitive position (2000;  2003). One of the most effective management strategies that are irrevocable and proven to be effective is allowing learning to take place within the bounds of the organization and its people. Learning is generally known as a process in which rational individuals acquire knowledge, skills, attitudes, values, beliefs, emotions, and senses (2003).  Today, learning is not only focused on knowledge acquisition and development in behavior but also used in social institutions like learning society, learning organization, and even permanent learning itself. In the perspective of Hong Kong health services, it could be claimed that learning serve as the most immediate response to the existing and upcoming trends and changes affecting the traditional operations of the industry. Learning aids the people to develop their skills and capabilities in relation to their individual and organizational performance towards productivity. This is why, learning in HKs public health services sector is important. Similarly, our organization is not exempted to the current changes that affect its overall functioning. As response, the entire management is currently recognizing the need to adapt with such changes. Individual and organizational development through various programmes, seminars, workshops, trainings, and new innovations are implemented. With this, the whole personnel are able to upgrade their capabilities especially when it comes to the performance of identified responsibilities. The recent changes in the public health sector in HK serve as the underlying mechanism in the development and materialization of management strategies that will be used in the future services and applications.   This paper explores the notion of learning within organizations. Specifically, it provides personal evaluation, analysis, and discussion of individual and organizational learning particularly to the area in which I work. The concepts of motivation, time management and communication are discussed and related to my daily experiences. Using these, answers are expounded, collated, and related according to the principles and theories of organizational management. Sources of data are cited using the Harvard referencing style. Section 1: You as a learner             I am a senior nurse working in the operating room. Mainly, I have to supervise and give training based on theories and practice for the new comers and junior staff. With my established years in service and considering the numerous experiences that I have in the past, I can say that I am a learner who is armed with the needed concepts to do the jobs at hand. As a learner, I am always exposed to the potential application of my knowledge especially in actual circumstances.  Possessing the needed characteristics to facilitate learning and using self-assessment tools, my learning ability is predominantly high and flexible.             The process of learning within this module includes theoretical and experiential learning methods. I am exposed to the theories and concepts present in printed reading materials as well as publicly accessed Internet documents. Also, I am always in the hospital and I consider each day as a new learning experience. I get to practice my craft and at the same time, develop my personality – both professionally and socially. The experiences that I have within the boundaries of the hospital are the materialization of the theoretical and conceptual know-how that I possess. With my daily dealings with other people in the workplace, learning is very potent and in progressive growth. Personal reflection is also dominant in my learning process. At the end of the day, I have this attitude to assess the things that I have completed all throughout the day and tried to check if I did the right thing or otherwise.             My previous experience of learning in the workplace includes my dealing with new staff that possesses roughly new theoretical and conceptual information in relation to the field and its practices. In particular, I learned the new theories and concepts or should I say the development – both existing and emerging, that affected and will affect the nursing practice as a whole. I recognized the role of technological innovations that will change the traditional view of nursing practice. More importantly, I learned that every person must fully develop and upgrade his/her professional and personal abilities that will make him/her a pro in the field of specialization. Among this is ability to manage endless and confusing changes without making the human resources feel overwhelmed and powerless. The following are the key learning points about my own learning: <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> It includes individual or group that shares common as well as varied interests. </li> </ul>   <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> Learning includes experience, function, time management, and communication. </li> </ul>   <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Changes are to be anticipated and must be recognized.</li> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph; line-height: 200%"> Personal and professional development should always be at hand.</li> <li class="MsoNormal"> Learning is continuous and goes hand in hand with the idea of development. </li> </ul>   <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph"> Technical innovations affect the existing principles and practices of nursing. </li> </ul>   Section 2: Individual Learning             In my own experience, I recognized the following concepts as important element of individual learning. Motivation. The definition of motivation varies. This is a basic example why the term ‘motivation’ is filled with complexities.  (1998, 168) stated that it is “the willingness to exert high levels of effort toward organizational goals, conditioned by the effort’s ability to satisfy some individual need”. On the other hand, (1997) define motivation as “the set of processes that arouse, direct and maintain human behavior toward attaining some goal”. This definition includes three key essential aspects: arousal, direction and maintaining. Arousal is to do with the drive/energy behind people’s actions such as their interests to do the things or they do it just want making a good impression on others or to feel successful at what they do. Direction means the choices people make to meet the person’s goal. Maintaining behavior could keep people persisting at attempting to meet their goal hence to satisfy the need that stimulated behavior in the first place. When a person is effectively motivated, constant learning is not far at hand. Time Management. Long-term work objectives are: guaranteed productivity and customer relations, sustainable competitive advantage when it comes to technologies involved in the operations, and also employee development. On the other hand, short-term goals include the application of theoretical and experiential learning as well as continuous learning within the workplace. My priorities are the long-term goals but I never forget my short-term goals because they are my stepping stones towards the attainment of my bigger goals. In managing my time and achieving objectives, I always see to it that I maintain a schedule which indicates the lists of activities to be done with particular allocation of time. All activities to be done are directed to the achievement of the desired goal. However, there are times wherein constraints are present. Among this are unpredictable changes brought about by lack of resources (e.g. financial or human resources) and the flexibility of the plan itself. Communication. Communication plays its role in the direction, coordination, and control of tasks and activities (2001;  2002). It deals with the what, when, and how of the process. Consequently, communication serves as the pathway through which suggestions and insights that would generate change and new ideas. It also keeps and preserves values and relationships necessary to keep the system of the organization collectively. The poor effects of communication in the workplace can result to internal conflicts and poor organizational productivity. When difficulties in communications occur, there are immediate effects in the operations of the team. For instance, in dealing with instructions from clients or upper management authorities, when a member of the team commit a miscommunication mistake, the effects are not just confined to the internal but also to external operations of the whole team. It may destroy customer as well as employee relationship. Among the common and observable barriers of communication are ineffective listening skills, inconsistent verbal or nonverbal messages, resistance to change, individual bias, time limitations, distractions, personal assumptions as well as demographical differences in race, culture, age, and religion (2002;1996). Among the methods to be applied in overcoming these barriers include the presence of standard communication procedures such as centralized communication lines and sources, booklets and handouts to be distributed among members. Also, the existence of quarterly trainings and team building experiences changes the communication strategies, methods or procedures. To ensure effective communication within the workplace, there is a need to increase the knowledge and understanding of team members in terms of verbal, non-verbal, and symbolic communication concepts and new changes. Listening must also be developed. It must be done actively rather than passively. In relation to conflict, communication focuses on what is right rather than who is right. Most importantly, there is a need to maintain constant open and two-way communication process. Team members are motivated to work if there is democracy within the working environment and its people involved (2002;  2000;  1996). Meanwhile, my experiences of learning affect others learning by means of adapting the knowledge that I gained and applying it to their own individual consumption and application. In the same manner, my learning style affects the way I use theories with others by means of communal knowledge that we both know what we are talking about. Because we are in the same track or level of understanding, we are able to do the job with common objective and expected outcome. My role in mentoring and coaching are different in several ways. First, in mentoring I act mainly as a counselor. This means providing advice on different areas such as development opportunities and career paths (2001).  (1994) stated that mentoring provides more than just additional knowledge as it also allow the employee to master a particular learning sector. Mentors typically have a wider experience in the company, and this empowers them to assign persons under them into tasks that help their development. Thus, an important element in the mentoring relationship is the establishment of mutual respect between the person and the mentor. In relation to coaching, I am more of a tutor. I observe an individual’s work and actions, and along the process provide comments regarding execution skills which may be lacking. It is important that in the coaching relationship, the coach has to have opportunities to observe the work of the person and be open to feedbacks. For instance, my experience in task management in the hospital, coaching and mentoring are often done in order to cope up with the changes brought about by new innovations (knowledge or technology) as well as the rising need to provide key workers with support in response to a change of role. These situations often inspire me to implement my expertise in coaching or mentoring. Coaching and mentoring are also closely linked with task management initiatives in order to help the workers adapt to changes in a method consistent with their personal values and goals (2000;  2000). As coaching and mentoring when implemented effectively has the capability to enhance motivation and productivity and minimize staff turnover as workers feel valued and aware of both small and large changes within the organization (2005; 2003; 1994). This role is critically provided by coaches or mentors. Coaching is able to maintain a balance between fulfilling management goals and objectives while at the same time taking into consideration the development needs of individual workers. It is practically a two-way relationship with both the company and the workers obtaining significant benefits. Thus, the manager definitely involves his/her self in the said processes in order to gain the desired outcomes.   Section 3: Organizational Learning According to  (1999), organizational learning is associated with the transfer of managerial knowledge from subsidiaries to the parent company. It can also be the case that the transfer is from one overseas affiliate to another. In addition, organizational learning is believed to be part of the core competencies that will allow multinational companies to adapt and succeed in international operations (1995). This suggests that organizational learning is important in order for organizations to have better understanding to the underpinnings of the market that they have decided to penetrate as well as the culture of the industry that they decided to operate into. In my organizational setting, it could be stated that it is indeed a learning organization. Learning organization is rooted on the principle that a successful organization must be able to continuously adapt and learn as it consistently operates, to have the ability to respond to the emerging changes and new trends in its immediate environment, and for the purposes of growth (2004;  2000;  1990). According to  (1993) and  (1998), the learning organization is an institution that learns powerfully and collectively, continually transforming itself to better manage and use knowledge for corporate success, empowering people within and outside the organization to learn as they work and to utilize technology to maximize learning and production. The conceptual foundations of learning organization are firmly based on systems theory ( 1990) and its practical application to managing a business has evolved out of strategic planning and strategic management (1985; 1994), which have recognized that organizational learning is the underlying source of strategic change (1988;  1993).             Organizational learning includes the idea of change management and continuous improvement (2002). Organizations are neither the rational, harmonious entities celebrated in managerial theory nor the arenas of apocalyptic group conflict projected by  (  1980).  (1996) believe that modern organizations, like the hospital in which I belong, passed by the guild structures and they grew larger, skills become increasingly fragmented and specialized as positions become more functionally differentiated. Organizational change is part of and a result of struggles between contradictory forces, also change management practice is related with endeavoring to manage their competing demands. To fully understand why and how to change organizations due to new market trends, it is elementary and necessary to know their present structures, management and behaviors. This is possible through studying the overall conditions of the organization. The given systems of ideas or organizational theories are crucial to change management in two respects (1993). First, they provide models of how organization should be structured and managed. Second, they provide guidelines for judging and prescribing the behavior and effectiveness of individuals and groups within an organization. It is clear that in many organizations, there is no clear understanding of the theories. Change cannot hope to be fully successful under circumstances ( 1996). The Model of Continuous Improvement may help organizations to have sufficient knowledge on the factors that are directly involved in the process It is said that organizational change is one of the critical determinants in organizational success and failure (1998). Further, Appelbaum and colleagues stated that the focus of successful organizations is on customers and their needs, which includes investing in ways to improve sales and provide superior service to clients, and they do not forget that their customers and their customers’ needs underlie their organization’s existence. In addition, adapting factors crucial to the success of certain missions and the implementation of solutions to problems are common traits of a successful organization (1998). The lack of such initiatives can throw an organization into confusion, being stuck in traditional practices that cannot solve or handle the current problems faced. Thus, the lack of such factors stresses the need for a strategic organizational change. It is basically a flexible strategic planning process as opposed to a static form. Thus, to fully cope up with the emerging changes in the globalised public health sector, organizations including the hospital in which I belong, are advised to continuously study the potential areas that need improvements or alterations. In doing so, the organization is not left behind in terms of emerging market trends that are innovative and technology-based in applications. In application to my department, learning is always exercise through the daily practice of knowledge and expertise and at the same time reinforced by the new technologies available to improve the service. The recognition of change initiates the learning among the staff. If there are new policies released, practices and even technologies, there is a need to adapt and learn such. The ideas of learning organization is applied in the ward though the development of new skills, policies or rules, and performance appraisal. The theories and concepts are needed to be practiced and applied in daily encounters with co-employees as well as clients. Examples of how these theories are put into practice includes hands-on demonstration, interactive discussion, monthly seminar-workshop, seasonal leadership training, and other activities directed to the employee professional and personal development. Just recently, there was a learning forum about the latest health policy in HK. All staffs are informed about the facts and information especially the ones that have immediate effect in the nursing role. Also, a demonstration was done using a new instrument. Although, my department is not directly related, my staff including me had the chance to keep ourselves updated and knowledgeable with the basics of such instrument. Lastly, daily coaching and mentoring is done among the staff of my department.       Conclusion             With all the learning capabilities that I have as well as the theories and concepts put into practice, I can say that I am a satisfactory and effective change agent.  (1999) points out that there are strong resistances to change. People are afraid of the unknown. But with my constant motivation, I effectively apply the intended changes in a manner that will not bother or negatively affect the performance of my staff. The key learning points for me and my staff is the ability to welcome new information, knowledge or idea in relation to our nursing role; potentiality to apply and adapt them in performance to our duties; eagerness to learn constantly and continuously for professional and personal development; and use them to address changes occurring as changes are considered to be critical success factor for the organization and not something that is to be worry about. Learning will be used to improve care in the future by using it as the main agent for change adaptation and superior service. By possessing the needed abilities as a product of learning, rendering services to all the people is at its maximum superior level. Based on the discussions above, it is found out that the concept of learning can serve as strategy that the management can take to build-up its competitive edge. The ability of a business to stay in significant period of time in the industry where it belongs is one measure of its success. This means that being able to survive is a necessity and survival translates to the ability of a business to compete. This is done through learning – may it be individual or organizational in nature.                               Credit:ivythesis.typepad.com

A Critical Review of Myself as an Effective Agent of Individual and Organizational Learning

A Critical Review of Myself as an Effective Agent of Individual and Organizational Learning TABLE OF CONTENTS ...

Finance

In this assignment, there are six learning outcomes: <li class="MsoNormal" style="text-align: justify; line-height: 200%"> Investigate sources of finance available to organizations </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> Demonstrate the use of finance as a resource within a business </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> Prepare reports on the financial performance of an organization</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> Make financial decisions based upon financial information available </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> The report Investigate sources of finance available to different types of organizations </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> Evaluate and discuss the methods available to organizations to enable them to investigate the financing of a major capital project (where will they get the money from, how does the process work)</li>   In this view, various financial books, journals and electronic sources are used to address the above learning outcomes.  Eager, a fictitious company, and Esprit, a global company, are used for more detailed discussion.          Learning Outcomes 1 and 5 A firm’s capital structure is usually a mix of financing alternatives generally classified as debt and equity financing ( 1999).  The latter refers to long-term borrowings while the former refers to long-term funds.  Optimal capital structure is achieved when the firm’s cost of capital is minimized and its market value is maximized ().  In the case of ACME, the 0M cost of new production facility in the US has several financing sources to consider before arriving at a specific capital structure.  In the case of acquisition, seller financing is possible when ACME has a target company with goals suitable with ACME’s pursuits (2006).  Aside from ease of preparing a contract, ACME can readily start operating the new plant and derive potential benefits.  The problem, however, is the obligation of ACME for periodic payments or face litigation as well as the probability of being in default in case the acquirer found reasons to withdraw the acquisition due to internal problems or absence of synergy (1996).               The plant acquisition can also be financed through the aid of government programs ( 2006).  It is coined as the most popular federal program that offers up to seventy percent of business acquisition.  In the contrary, the offer is intended for small business targets and requires applicant-acquirers to obtain 25%-33% of the loan in cash or cash equivalents ( 2006).  ACME’s 0M facility seemingly is under medium to large business.  On the other hand, there are commercial banks that can be an option at times of huge financial requirement.  However, unlike the government, banks do not aspire to be looked by the society as charity organizations.  Rather, they have almost the same objectives with business borrowers, that is, to profit.  Due to the conflict of interest, banks demand rigorous loan requirements from applicants like financial strength, cash flow, debt and equity ratio and collateral (1993).  The bigger the loan, the more stringent screening will take place.    There is a way to get-off this through mezzanine financing.  The borrower will finance the deal with the bank and secure the loan with “ballooning” equity ownership.  The drawback, however, lies in the idea that when the business started to earn positive cash flows, its distributable profits is largely attributable to the bank in question due to exhaustion of ownership use to survive the business during the early days of the project’s financing ( 2006).  Asset-based lenders (ABLs) is a fragment of mezzanine financing because the commercial banks does not take ownership to fulfill the obligation of the lender but only some assets of the business like plants, A/R or inventory ( 2006).  This is less risky than the preceding option but can dissolve the working capital of ACME use to calm shareholders and other creditors about its future prospects.                                    Further, luring private investors or requesting additional funding from existing shareholders is a lucrative strategy when a firm is on the verge of acquisition.  This is because there is a higher probability that it can obtain equity investment in this particular engagement than start-up setting (UAEP, 2006).  This can be in the case of initial public offering (IPOs) in which there is a stock sold to investors giving them the right to receive dividends or payback after every profitable periods.  Even though this is a simple and ready strategy for ACME, the firm should take caution for investors who are just “playing” in the stock market as well as internal processes that lead it to Enron-like scandals.  This difficulties as well as monitoring costs can be minimized if venture capitalists will be entertained.  The strength of such strategy is that they have long-term perspective for applicants who have passed screening.  However, ACME may loose control of its operations as venture capitalists typically assist the loan grantees to develop new products ( 2006).               As a conclusion, ACME should use the aid of commercial banks mixed with IPOs.  IPOs can serve as a platform for ACME to leverage the risk of varying interest rates of commercial banks.  Of course, the size of ACME is also an incentive for commercial banks to expedite investigation and granting of the necessary funds.  The 0M acquisition cost can be financed through 60:40 equity-to-debt ratios.  It is to be noted that high equity capital structure is less risky than debt financing because the firm should pay banks even though there is no profits.  However, too much equity financing can destruct the ownership structure of the firm which can be harmful for major stakeholders.  In addition, debt financing can also be used to maximize the performance and size of ACME as well as a tool to lure more investors or partners due to high credit rating.       Learning Outcome 2 Cash flows are the lifeblood of a corporation and inability to maintain in a manageable level will lead bankruptcy (1995).  This admonition is supported by their study and found that cash flow is a more superior measure to predict bankruptcy than accrual accounting.  As a result, for beneficial change in payment term, the company should keep separate cash and accrual records.  This is especially significant as accounting policies are changed and the previously profitable companies that have substantial cash flows were tamed due to policy changes.  As long as every cash flow decision is indeed analyzed within the boundaries of real cash assets, changes in payment term will continuously beneficial on its part.  Non-cash transactions such as deferred taxes or depreciation are excluded from analysis.  The potential cash flow increases will easily be reflected by actual cash flow increases from beneficial change in payment term.   Cash flow is equal to the sum of operating profit and depreciation plus or minus other non-cash transactions (1999).  This means that cash flow is actually a measurement of a firm’s capability to generate cash asset and is the true test of the firm’s performance and long-term survival and growth.  On the other hand, cash flows are not really free which give rise to measurement of free cash flows (FCF).  FCF is the real cash flow a company has after making necessary investments in fixed assets, distribution of dividends and tax payments (1999).  As observed, either free or tied cash flows are concern, it is necessary for a firm to continuously increase its cash flows because they are not only used for day-to-day expenses but can also be utilized for other significant costs if cash flows are fairly substantial.          Learning Outcome 3 and 4             As shown in table 1, Eager has an elapse time of 297 days (its operating cycle) in 2005 between the periods raw materials are delivered and when payment for the finished product manufactured from those materials is received from customers.  However, Eager cannot operate its day-to-day activities within this 297 days cycle without the 77 days spontaneous financing received from its suppliers.  The net financing requirement of 221 days is the period that is used to compute the required funds that should be available to bridge the financing gap otherwise Eager cannot continue to operate.  Table 1 show that the firm should have access to short-term financing of approximately 45M and essentially having to finance 221 days worth of sales valued at their cost price.                In 2006, Eager has prolonged its financing gap to 270 days perhaps by having attractive contracts with longer payment dates (56 days, in terms of credits) and also with shorter ones (in terms of debts).  However, it increased the required short-term financing at 53M.  This situation is the usual tenet of financial management which is the trade-off of returns to risks.  As financial risks decrease due to longer credit days, returns decrease due to longer operating cycle (at 327 days), longer debtor days (at 100 days) and slower inventory turnover (at 226) which affect availability of stocks and payment of debtors which reduce working capital.  It is therefore apparent that for the succeeding years it is important to effectively market the product (for faster inventory turnover), efficiently produce the product (for faster semi-finished inventory turnover) and creation of harmonious relationship with both debtors and creditors (to obtain reconciliation settlements in times of working capital bottleneck).               Since Eager has high beta, it is ideal to use equity financing.  Investors require a rate of return higher than the market average and a beta of 1.5 is simply an indication that Eager shares provide returns 50% higher on every dollar return in the market average.  Complementarily, debt refinancing can be obtained easily as the company has historically no loan renewal problems but the firms should be able to settle a fixed-interest rate.  Refinancing is common in mortgages and the competition result in offering fixed-interest rates in which Eager can exploit when it has ongoing obligation over a fixed asset.  This will lessen interest payments and increase working capital momentarily.                The decline in 2006 EBIT indicates that the company is having difficulty in selling its products as well as the major costs associated in producing and distributing them.  Investments should be made in product development and product diversification rather than marketing.  Borrowing costs is increasing which could mean that the firm is not shielded with interest rate fluctuations and transaction costs.  Equity financing should be focused.  Since ordinary share capital is not increased for two consecutive years, the firm can issue additional shares to mitigate rising borrowing costs.  A fall in income tax is a supportive account in equity financing but the firm should study because this would be the effect of tax-deductible debt which is mitigated herein.  Retained profits on the other hand support product diversification and development.  Using Du Pont analysis and strategy, product development is rationalized.  Du Pont intends to focus on science-based innovation wherein returns are expected to kick-off in 2010.  With this mindset, Eager can use its substantial assets and retained earnings to finance product development without the worry of timing of money even it takes five years at most.  Commercialization of the developed/ diversified product is also easy because the company do business virtually.    Table 1: Cash Cycle for Eager Cash conversion cycle formula = (Average Inventory Days + Average Debtor Days) – Average Credit Days Average inventory = (Average Stocks/ Cost of goods sold)* 365 days Average Debtor = (debtors/ credit sales)* 365 days Average credit = (creditors/ purchases or COGS)* 365 days   For 2005 220.73 or 221 days 297.3673 =operating cycle 76.64 81.67 215.70 For 2006       credit days debtor days inventory days 270.14 or 270 days 326.7344 =operating cycle 56.59 100.28 226.46               Approximate amount of financing required         =(cost of goods sold/ 365 days)* 33 days                       For 2005              45,939,542.47                           For 2006              53,680,438.36               Learning Outcome 6             Supposed that Esprit condition assumed in the preceding examples do not hold.  The global firm will be viewed by investors as a good investment destination but there is the need to determine the expected rate of return from the cost of capital.  Using CAPM, the following Esprit information can be calculated: risk-free rate of 3%, beta (risk measure) of the stock is 2 and the expected market return over the period is 10%.  The stock is expected to return 17%.  This can be then used by investors in assessing the profitability of Esprit investment and in turn used by Esprit to entice capital into its coffers ( 1999).   As CAPM is useful for Esprit to determine the level of performance investors are expecting, WACC aids the firm to select the most efficient combination of capital structure by reflecting in the computation both equity and debt financing options.  For example, Esprit is contracted with a project that has internal rate of return (IRR) of 9% with initial investment equivalent to million, 15 years life span and interest rate on debt at 8%.  However, the firm has its broker who offers an alternative investment with the same initial outlay and life span but with IRR of 12% and required rate of return of 13%.  Using WACC, the original 8% debt rate is down to 4% (8% x 0.50) while 13% equity rate is down to 6.5% (13% x 0.50) with a total WACC of 10.5%.  In effect, the move to mix debt and equity in computation makes IRR of option one rejected (9% < 10.5%) while IRR of option two accepted (12%>10.5%) wherein initially option 1 is more worthwhile in absolute terms than option 2.                Not all firms particularly the new players can obtain its beta coefficient easily or its stocks are not traded in Hong Kong Stock Exchange (HKSE) making CAPM and WACC infeasible.  Due to this input problem, there is a need to resort to other methods.  First, the pure play approach (p. 442) requires a firm (say, confronted with new investment option that is never tapped before) to based its beta and financial structure strategy to a firm that is registered and traded in HKSE.  Research is important to complete the missing inputs for either CAPM or WACC derivations.  Ideally, the basis firm should be aligned with the same business as the nature of the new investment option.  The objective of such is to determine a suitable venture match and to have profile of an experienced and relevant firm.  Second, the subjective approach can guide the firm although with lesser concrete results than the first alternative.  Managers will simply make a project risk classification subjectively in which beta can be derived.  For example, routine replacement projects is classified as low risk with beta 10%, projects maintaining current operations as average risk with 14% beta and so on   Credit:ivythesis.typepad.com

Finance

In this assignment, there are six learning outcomes: Investigate sources of finance available to organizations Demonstrate th...