Research Articles Base: Sample Dissertation Abstract

Abstract Paper On E-learning And Instructor Lead Training In The Course Of Studying For The Microsoft Computer Professional (MCP) Certification Exams

Abstract   About the Study             Today’s world, especially in the business, government, and military sectors, is shrinking. There is a direct connection between the success of an organization and the effectiveness of its personnel.  A competitive organization must do the following tasks daily: analyze volumes of information, make business decisions based on the information analysis, assign tasks to personnel, and ensure assigned tasks are completed.  One effective method is the use of computers and multimedia in training personnel, located anywhere, on almost any subject.  Computers and machines can assist personnel in completing their tasks but an organization’s success is based on a simple question. “How effectively do personnel perform their tasks?”   One way to enhance the skills and increase the effectiveness of personnel is through good training. Traditional classroom training is expensive and it normally cannot be repeated locally, at a worksite. Organizations can reduce training costs without effecting training quality by adding Computer Based Training and/or eLearning courseware to their training curriculum.   For this study, two types of training methods are going to be discussed and studied: Instructor-lead training (ILT), where the course is conducted on-line in a group setting (via a chat room or bulletin board) with a teacher; and E-learning (or Self-study), where the student can either download the course guide or learn through a web site, and work at their own pace.               Both types of training have their advantages. Most instructor-lead courses set very small class sizes, and students can benefit from the questions and comments of other students.  Formal instructor-led training is the most structured of all the training methods. This method ensures that techniques are taught in a uniform manner, in an environment free from distractions by an instructor who is an expert in the course material. It is probably the best training method for presenting a new or complex subject. Formal instructor-led training also provides your help desk techs a break from their daily routine, which can help prevent burnout.  Unfortunately, these many benefits don’t come cheap. Instructor-led training is the most expensive of all the training methods. It’s not uncommon for a course to cost over ,000 per person. You must cover not only the cost of a professional instructor but also the cost of having your staff away from work. In the UK, companies can be quite cost-conscious, and such an outlay is often the first to go when they are looking to save money.  (Dray, 2002) On the other hand, e-learning allows students to complete the training when they have the time, versus having to be online for scheduled meetings of an instructor-lead course.   It minimizes the opportunity cost involved in training in terms of the following: the cost of a company expert to teach a course instead of developing his/her job, the cost for the students to attend the course instead of carrying out their tasks, and the cost of logistics and travel.  In E-learning, the time devoted to training is reduced by 30-50% due to the use of technology; consequently, specialists and students can go back to the frontline faster and carry out value-added tasks for their organizations. Moreover, E-learning allows training consistency. It incorporates the best instructional practices in the industry and the client’s expert knowledge in the field to recreate everyday situations allowing the students to “learn by doing”.  The E-learner confronts true experiences in a risk free environment that later empowers him to improve his performance on the job.  Furthermore, E-learning provides a 1 to 1 student/professor ratio vs. 30 to1 on traditional training. This allows a greater level of concentration. A combination of audio, video, image, text, animation and music in the computer increases students attention and improves knowledge transference since they use most of their senses to perceive all the information and data they are exposed to.  (Rosenberg, 2000)             After getting a brief background of these two types of instructional methods, the researcher wanted to find out if there is a significant difference between the effectiveness of E-learning and Instructor Lead Training for the Microsoft Computer Professional (MCP) Exams administered by IBM’s IT training department.  The test results from five different exams given to respondents who need MCP certification were used as data for this study.   Bibliography Creswell, John W. Research Design: Qualitative, Quantitative, and Mixed Methods Approaches. Sage Publications: New York. 2002. Dawson, Ruth. Fill this in before you go: underutilized evaluation sheets. Journal of European Industrial Training, Vol. 19 No. 2., 1995.  Dray, Jeff. Choosing the Right Training Style. (November 8, 2002). TechRepublic, Inc. Middleton, Peter. Barriers to the efficient and effective use of information technology. The International Journal of Public Sector Management. Vol. 14 No. 1. 2002. Orpen, Christopher. The Impact of self-efficacy on the effectiveness of employee training. Journal of Workplace Learning: Employee Counseling Today. Vol. 11, No. 4., 1999  Rosenberg, Marc J. E-Learning: Strategies for Delivering Knowledge in the Digital Age. McGraw-Hill Trade: New York. Rowe, Christopher. Incorporating Competence into the Long-term evaluation of training and development. Industrial and Commercial Training. Vol. 27, No. 2, 1995.  Rowe, Christopher. Assessing the Effectiveness of Open Learning: the British Aerospace Experience. Industrial and Commercial Training. Vol. 25 No. 4. 1997.  Young, Kevin. Is e-learning delivering ROI? Industrial and Commercial Training. Vol. 34 No. 2., 2002.      Credit:ivythesis.typepad.com

Abstract Paper On E-learning And Instructor Lead Training In The Course Of Studying For The Microsoft Computer Professional (MCP) Certification Exams

Abstract About the Study Today’s world, especially in the business, government, and military sectors, is shrinking....

A Sample Dissertation Abstract

Abstract This research study draws on the core competence and value of sustainability in automotive as well as power generation industries in United Kingdom and Nigeria as supported by such comparative case analysis as the main research method being utilized of those industries focused within the dissertation study particularly Honda as part of the automobile industry and Siemens as part of power generation industry. Thus, there can be integration of such competence and sustainability framework that are essential for the industries involved as supported by such questionnaire responses through Likert scaling method as gathered in lieu of determining ideal outcomes of competence and sustainability within automotive and power generation industry in UK and Nigeria. Then, there begins to recognize and adopt positive competence and sustainability factors in giving right amount of understanding as well as application of competence and sustainability theories and concepts as reflected into the background as well as in the literature review section. Thus, explaining certain industry values and principles which are believed to underlie sustainable development that can employ a strong impact on business operations and performance wherein full coverage of industry competence are determined and assessed from within the ideal knowledge centering on business process implication that may reveal such strengths and weaknesses on certain noticeable outcomes of the study. Comparative model involving such theory assumption can be useful analytical tool, as well as being of considerable intrinsic interest to the researchers in the field of investigative study within the academic field. Indeed, the comparative method is not a new method to reach better grounds for study analysis and awareness thus, by looking at different kinds of automotive and power generation organizations within UK and Nigeria is well and good but can be contrasting among other countries as there adds theoretically sophisticated resource dimension. The method in focus amicably pertains to the industry behaviour as well as the interaction within global industries operating in the United Kingdom and Nigeria respectively and that such impact of competence and sustainability will set forth better business operations and effective marketing options in order for these industries to fully take part in changing the business world into a more advanced transition that may have such substantial reference on the industry’s culture and responsibility. Credit:ivythesis.typepad.com

A Sample Dissertation Abstract

Abstract This research study draws on the core competence and value of sustainability in automotive as well as power generation...

Dissertation on Creative Management and Human Resource Management at Apple Daily Hong Kong

Creative Management and Human Resource Management at Apple Daily Hong Kong     Abstract             The paper aims to assess the creative management and human resource management practices and processes in Apple Daily Hong Kong. Apple Daily Hong Kong is a leading newspaper in Hong Kong owned by Next Media. The paper is designed to find out the effectiveness of creative management and human resource management in Apple Daily Hong Kong.             It has been found by the researcher, through the conducted survey and interview that Apple Daily Hong Kong has several creative management approaches, among these are employee empowerment and strategic human resource management (SHRM). According the survey and interview these effective approaches to management and has yielded many benefits for both the organization and the employees. In the area of HRM, the researcher found out that in general, the employees consider the HR processes of the company as “effective”. These HR processes provide benefits for both employees and organizations. It is interesting to note that the researcher, through the interview, found out that the HR department is able to combine both Human Resource Management and Creative Management through Strategic Human Resource Management (SHRM).             Through secondary resources the researcher was able to study SHRM more deeply. According to secondary resources “Strategic human resource management involves the linking of HRM with the strategic goals and objectives of the organization in order to achieve a progressive business performance and achieve an organizational structure that promotes innovation and flexibility”. SHRM is “a major approach to improving the competitive advantage of the firm. The goals and objectives of HRM are aligned with the strategic objectives and plans of the organization”.       Chapter I: Problem and Its Background   Introduction Background of the Study             Creative management focuses on how to change an organization’s management by means of opening up the organization’s climate and management style, increasing participation and giving employees more freedom as to how things are done. Human Resource Management on the other hand, is defined as a set of philosophy, policies, procedures and practices related to the management of an organization’s employees. Human resources management is particularly concerned with all the activities that contribute to successfully attracting, developing, motivating, and maintaining a high-performing workforce that results in organizational success.             There are little empirical research that examine the relationship of creative management and human resource management and how these are being implemented in organizations.  This paper will investigate and study how creative management and human resources management are being applied in Apple Daily, one of the most popular and successful newspapers in Hong Kong. The researcher aims to determine the relationship between creative management and human resource management. Apple Daily Hong Kong: Overview of the Business             Apple Daily keeps the leadership position in the Hong Kong newspaper industry. Based on the Next Media’s 2008 annual report, Apple Daily continues to enjoy the second-largest readership among all Hong Kong’s daily newspapers. In the year ended 31 December 2007, it was read by a daily average of 1,466,000 readers aged 12 and over, an increase of 13, 4 percent on the figure of 1,275,000 for the previous year. As a result, Apple Daily’s share of total daily newspaper market grew from 23.0 percent to 27.0 percent. Its circulation sales also rose by 2.4 percent to an average of 305,896 copies per day during the second half of 2007, compared with 298,777 copies in the same period of 2006 (Next Media Annual Report 2008).             Research by Nielsen Media revealed that the demographic profile of Apple Daily’s readership was higher than that of the most popular daily, in terms of educational and career status and personal and household income. IN addition, the quality of the newspaper’s contents and its neutral political stance ensured the continued loyalty of its readers, particularly those with higher educational qualifications, despite string competition from free dailies, price cuts by other newspapers, and the growing popularity of online news sources (Next Media Annual Report 2008).     Human Resource Management at Apple Daily             Next Media, the company that owns Apple Daily Hong Kong is committed to delivering up-to-the minute news that occurs at any time and anywhere in the world. This special responsibility requires unstinting efforts and professionalism from the company’s team members. As of March 31, 2007, Next Media employed a total of 3,499 people in Hong Kong, Taiwan and Canada. Of this workforce, the frontline journalists and photographers are just the tip of the iceberg. Thousands of backroom staff work around the clock to ensure that articles and photographs reach the readers in time. being a responsible and distinguished employer, Next Media aims to recruit and retain the best and brightest talents in the industry. The company has always been an equal opportunities employer. The recruitment policy of the company is non-discriminatory; staff members are appointed purely on the basis of their relevant skills and experiences. Moreover, the staff are treated with respect and are rewarded fairly for their hardwork, enthusiasm and skills, as well as their adherence to the Group’s strict ethical standards (Next Media 2007).             To maintain the highest quality of team members, staff remuneration packages are reviewed annually in the light of individual employee’s responsibilities and the Group’s business performance, together with internal benchmarks and prevailing market practices and conditions. Employees are rewarded on the basis of their performance. Performance-related variable pay such as special year-end bonuses and a profit sharing scheme are provided to team members who made exceptional contributions to the Group. In addition, special educational subsidies are available to those who wish to obtain professional or career-related qualifications.   Statement of the Problem             In this light, the study aims to determine the relationship between Creative Management and Human Resource Management as applied in the case of Apple Daily in Hong Kong. Specifically, the study intends to answer the following questions: 1. In which way does Apple Daily Hong Kong implement creative management? 2. How effective is creative management in Apple Daily Hong Kong? 3. What are the benefits of implementing creative management? 4. What are the Human Resource Management (HRM) processes of Apple Daily Hong Kong that add to its success? 5. How do these processes contribute to the success of the company? 6. How does Apple Daily Hong Kong view its human resources (employees)? 7. How does the company combine creative management policies and practices with HR policies and practices? 8. Does combining creative management and HRM have advantages?   Research Objectives             The study is designed to determine the relationship of creative management and human resource management. The specific aims of the study are: 1. Identify the ways in which Apple Daily Hong Kong implement creative management. 2. Determine the effectiveness of creative management in Apple Daily Hong Kong. 3. Identify the benefits of implementing creative management. 4. Determine the HRM processes of Apple Daily Hong Kong that contributes to the success of the newspaper. 5. Identify the contributions of Apple Daily’s HRM processes to its success. 6. Determine how Apple Daily Hong Kong views its employees. 7.  Discover how Apple Daily Hong Kong  combines creative management policies and practices with HR policies and practices. 8. Identify the advantages of combining creative management and HRM.   Significance of the Study             The study will be a welcome addition to the existing data and studies about Human Resource Management. The study will also serve as an important source of valuable information about creative management applied in real organizational setting. The researcher aims to present a report that will be able to inform and educate readers as well as serve as a reference for other researchers. The study will particularly give in-depth analysis of HRM and creative management as sources of competitive advantage of Apple Daily Hong Kong. Competitive advantage can be considered as a condition, which facilitates more efficient operation and higher quality products and/or services for an organization. Michael Porter (1985) considers an organization where earning exceeds cost as an organization that achieved competitive advantage. Competitive advantage in Porter’s perspective is being able increase earnings despite the competitive pressures.     Chapter II: Literature Review   Creativity in Organizations             Creativity is considered as one of the core competencies of organizations today. In order to survive in today’s business environment, an organization must learn to adapt to the changes and advancements in all the aspects of the business. Organizations learn to identify the micro- and macro-environment factors that affect them and learn to deal with them. Organizations that can adapt to changes are rewarded with the ability to sustain their competitive position in the market. However, in order to move forward and to achieve more than what they already have, organizations must never run out of ideas and strategies. That is when creativity enter the picture. According to Degraff and Lawrence (2002) creativity creates progress, and progress creates value. What allows a company to respond proactively to diverse pressures is the development of creativity as a core competence. Creativity in a sense focuses on innovation. However, it is more than that. Creativity means the development of new processes, new ways of communicating with customers, or new ways of attracting and retaining the best talent. Creativity is the core of all the competencies of an organization because creativity is what makes something better or new.   Creative Management             Creative management according to Henry (2001) is about changing the way organizations are run, by trying to open up the organization’s climate and management style, increasing participation and giving employees more freedom as to how things are accomplished. Creative management aims to transform the company from within. For staff in creative organizations, creative management may entail developing more creative attitude in themselves, paying attention to ways of developing and nurturing creativity in others and sustaining an open climate or culture that encourages creative endeavor and systems that enable organizational innovation and inter-organizational networking.   Human Resource Management             Literature on Human Resource Management abounds. Jackson and Schuler (1995) use HRM as an umbrella term that encompasses: A. specific human resource practices such as recruitment, selection, and appraisal B. formal human resource policies which direct and partially constrain the development of specific practices C. overarching human resource philosophies, which specify the values that inform an organization’s policies and practices   Ideally according to Jackson and Schuler (1995), these comprise a system that attracts, develops, motivates, and retains employees who ensure the effective  functioning and survival of the organization and its members.   Areas of Human Resource Management             The areas of Human Resource Management that will be covered in the study are the following. 1. Recruitment and Selection             Recruitment is concerned with finding applicants, communicating opportunities and information and generating interest. It includes interview, screening, and selection of most qualified candidates, filling of positions through transfer or promotion, and coordinating temporary employment. The aim of recruitment is to identify a suitable pool of applicants quickly, cost efficiently, and legally. Selection is the process of obtaining and using information about job applicants in order to determine who should be hired. Placement involves matching individuals to jobs based on the demands of the job and the competencies, preferences, interests, and personality of the individual. Selection and placement yield a match between the organization’s needs for specific qualified individuals and the different needs of employees that determine the type of work that is satisfying for them (Schmitt and Chan 1998 cited in Sims 2002). 2. Training and Development             Training and Development are planned learning experiences that teach employees how to perform their current and future jobs. Training focuses on present jobs, whereas development prepares employees for possible future jobs (Sims 2002). The objective of training and development is to contribute to the organization’s overall goals. 3. Performance Appraisal and Management             Performance appraisal is the process by which an employee’s contribution to the organization during a specified period is assessed. Performance management is the integration of performance appraisal systems with broader HRM systems as a means of aligning employees’ work behaviors with the organization’s goals. A performance management system consists of the processes used to identify, encourage, measure, evaluate, improve, and reward employee performance at work. 4. Career Development             Career Development is an ongoing, formalized effort by an organization that focuses on developing and enriching the organization’s human resources in light of both the employees’ and the organization’s needs. Career planning is the process by which an individual formulates career goals and develops a plan for reaching those goals. Career development and career planning should reinforce each other. Career development looks at individual careers from the viewpoint of the organization, whereas career planning looks at careers through the eyes of individual employees (Sims 2002). 5. Reward Management             Reward management deals with the formulation and implementation of strategies and policies that aim to reward people fairly, equitably and consistently in accordance with their value to the organization. It deals with the design, implementation and maintenance of reward practices that are geared to the improvement of organizational, team and individual performance. Reward management is an integral part of an HRM approach to managing people (Armstrong 2003).  Reward management according to Heery and Noon (2001) is that aspect oh HRM that deals with the management of remuneration and, potentially, with the management of intrinsic rewards, such as recognition of employee achievement.               Although there is a plethora of information and data regarding human resource management in organizations, the researcher intends to contribute to the existing literature with a new focus. The focus of the present study is on creative management and its relationship with human resource management.     Chapter III: Research Methodology and Research Design                         This chapter will discuss the research methods that the researcher intends to implement. This chapter will also discuss the procedure in gathering and coming up with relevant findings.   Methods of Research Primary Research             In order to illustrate the relationship between creative management and HRM, the researcher intends to employ a descriptive type of research. The researcher will make use of survey questionnaires in order to find out how creative management and HRM are applied in Apple Daily Hong Kong. The survey will present useful information to determine whether combining creative management and HRM contributes to the success of Apple Daily Hong Kong. The responses of the subjects will be summarized, analyzed, and reported in order to make a general findings about the topic.             The researcher will also conduct an in-depth interview involving tow HR personnel from Apple daily Hong Kong. The aim of the interview is to ascertain how HRM practices and policies are being implemented in Apple Daily and how does creative management affect the HR policies and practices of the company. The researcher opted to use this king of research considering the desire of the researcher to obtain first hand data from the respondents so as to formulate rational and sound conclusions and recommendations for the study.   Secondary Research             The researcher will make use of published materials such as books, magazines and newspapers to collect data and information regarding the topic. The researcher will also make use of the internet to obtain information about the company such as its background and other related information. As a guide, the researcher will also refer to the previous lessons in class in order to apply theories and laws in the research. For the research, the researcher will mainly rely on secondary data in obtaining the information. Due to inaccessibility of the subject or the case study, other research methods are not applicable. Secondary data are data that have been collected for some other purpose. Secondary data can provide a useful source from which to answer the research question(s). Punch (1998) mentions several advantages of using existing data. Expenditure on obtaining data can be significantly reduced and data analysis can begin immediately, so saving time. Also, the quality of some data may be superior to anything the researcher could have created alone (Thomas, 2004, p. 191). On the other hand, the chosen research method also has several disadvantages. Data that have been gathered by others for their own purposes can be difficult to interpret when they are taken out of their original context. It is also much more difficult to appreciate the weak points in data that have been obtained by others. The data may be only partially relevant to the current research question (Thomas, 2004, p. 191).             To investigate the problem area a case study approach of Apple Daily Hong Kong will be conducted. The case study approach, as an academic research, is widely used. The strength of a case study approach is that it is possible to handle several types of empirical material like documents, artifacts, interviews and observations.     Modes of Data Collection Survey             To facilitate fast and efficient data collection, and in order to reach respondents who are hard to meet personally due to their busy schedules and because of geographical constraints, the researcher sent the survey questionnaires through electronic mail. This can save both time and money. The questionnaires were sent to each individual in the sample by electronic mail with a request to be completed and then returned in the given date. The questionnaires were also collected in a similar manner.  The advantages of this approach are that it is relatively inexpensive and it can be accomplished by the researcher alone. It also allows the researcher to have access to samples that might be hard to reach in person or by telephones, and it permits the respondents to take sufficient time to give thoughtful answers to the questions asked. The data that will be gathered will be organized and presented in a systematic manner to be able to draw valid and accurate conclusions.   Interview             In addition to the survey method, the researcher conducted a face-to-face in-depth interview. The researcher was the one who designed the interview questions. In addition, the researcher will also serve as the interviewer during the interview. The interview will involve two HR personnel from Apple Daily Hong Kong. The interview will be a useful data-gathering tool since it will aid the researcher in acquiring data from the interviewees.   Research Design             The research employed both qualitative and quantitative research methods. The primary source of information and data will come from survey that will be conducted by the researcher through electronic mail among the employees of Apple Daily. The list of the employees that have flexi-time arrangements was acquired by contacting the organization. Out of the list, the researcher randomly selected the target population.             The researcher conducted an in depth interview with two HR personnel in order to assess the company’s implementation of creative management and HRM. Through this research design, the researcher will gather pertinent information that will be instrumental to making a conclusion.   Respondents of the Study             The respondents of the study are employees working in Apple Daily Publishing. By contacting the organization, the researcher obtained the list of employees. The employees working in Apple Daily Publishing (excluding journalists and photographers) were sent electronic mails informing them about the research and requesting their participation. Through convenience sampling 100 employees were chosen to be sent with the electronic mail. Out of this 100, only 57 responded to the electronic mail. The researcher took out 7 respondents to participate in the validation of the research instrument. The remaining 50 employees will be the target population of the survey.   Ethical Considerations             The study will involve human participation and some company data will be used. Therefore, the researcher must bare in mind the ethical considerations that must be prioritized. The researcher values consent and respects confidentiality. The researcher will ensure that that she does not violate the privacy of the respondents and the confidentiality of company data. Securing the permission of the participants will be of utmost importance.             In order to ensure that the respondents and participants are well-informed about the study the researcher sent out a written letter explaining the details of the research, its objectives, purpose and procedure. The reasons why the respondents were chosen to participate in the study were also carefully explained. The researcher also aimed to create rapport and build trust between her and the respondents in order to ensure that the respondents will fully cooperate.   Research Instrument             In order to investigate how Apple implements creative management and HRM, the researcher prepared a survey questionnaire that will be sent to the target population. The researcher used open ended questions in the survey. Open-ended questions allow issues to be discussed more freely than would occur with close or structured questions.             In addition to the survey questionnaires that were sent to the employees of Apple Daily Hong Kong, the researcher conducted an interview with the HR personnel of the said newspaper. The aim of the interview is to determine how the company implements creative management and HRM policies and practices. The interview also aims to identify the benefits of creative management and the company’s HRM policies and practices to the employees and to the organization.   Validation of the Instrument             In order to validate the research instrument, the researcher will initially submit a sample of the set of interview and survey questions and after approval; the survey will include seven employees from the target population. Upon completion of the survey questionnaire, the researcher will ask the respondents for any suggestion or any necessary corrections to ensure further improvement on the instrument and at the same time validate its use. The researcher will then again analyze the survey questionnaire in order to ensure that it is reliable. The researcher is prepared to re-design the survey question, should the respondents report difficulty in accomplishing the survey questionnaire.   Administration of the Instrument             The seven respondents who were used to validate the research instrument will be excluded. The researcher will tally, score and tabulate all the responses to the survey questions. The researcher will use a structured interview. It will be consist of a list pf specific questions and the researcher will not depart from the interview structure. In order to acquire clear statements form the interviewees, the researcher may encourage or ask clarification from the interviewees. The researcher will never allow his beliefs, attitudes and opinions to interfere or to have weight on the findings of the research.     Chapter IV: Research Findings   Survey Questionnaire             The survey questionnaires were sent to the target population through electronic mail. Shown below are the questions that are in the survey questionnaire. The questionnaires were collected via electronic mail.   1. What are the creative management approaches that the company implements? 2. Do you think that these approaches are effective? 3. What do you think are the benefits of these creative management approaches to the organization? 4. What do you think are the benefits of these creative management approaches to the employees? 5. Please assess the effectiveness of the HRM practices and policies of Apple Daily Hong Kong. Please choose the number that corresponds to your answer.                                     1 – Ineffective                                     2 – Slightly Effective                                     3 – Effective                                     4 – Highly Effective A. Recruitment and Selection B. Training and Development C. Performance Appraisal and Management D. Career Development E. Reward Management 6. Do you think that the company’s HR policies and practices contribute to its success?   Interview Guide Questions             The researcher formulated a guide questionnaire for the in-depth interview. The guide questions are presented below. 1. What are the creative management approaches that Apple Daily Hong Kong implements? 2. What are the benefits of these approaches to the employees and to the organization? 3. What are the HR policies and practices of the company that add to its success? 4. How does Apple Daily Hong Kong view its human resources (employees)? 5. How does Apple Daily Hong Kong view the HR department? 6. How does Apple Daily Hong Kong combine creative management approaches with HR policies and practices? 7. What are the advantages of combining creative management approaches with HR policies and practices?   Survey Results 1. What are the creative management approaches that the company implements? Out of 50 respondents, 36 answered employee empowerment while 6 answered creative salary and reward schemes. Four (4) respondents answered  employee participation in decision making in the form of focus groups and suggestion boxes, while 3 respondents answered flexible working arrangements. One (1) respondent answered open work climate. 2. Do you think that these approaches are effective? Out of 50 respondents 47 said that the creative management approaches of Apple Daily Hong Kong are effective while 3 said that they are not. 3. What do you think are the benefits of these creative management approaches to the organization? <ul style="margin-top: 0in; margin-bottom: 0in" type="circle"> <li class="MsoNormal" style="text-align: justify; line-height: 200%">10 	Respondents – Be able to create an open work environment for the employees 	that will increase performance and motivation.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">8 	Respondents – Be able to make the employees commit to the company’s goals 	and objectives.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">8 	Respondents – Be able to attract and retain talented employees.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">7 	Respondents – Be able to hear the voices of the employees, therefore making 	decision-making more effective.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">6 	Respondents – Increase the company’s competitive advantages.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">5 	Respondents – Be able to be more flexible and adapt to the changes in the 	micro- and macro-business environments.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">5 	Respondents – Increase earnings because of high employee performance.</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">1 	Respondent – Earn a good reputation with various stakeholder groups.</li> </ul> 4. What do you thin are the benefits of these creative management approaches to the employees? <ul style="margin-top: 0in; margin-bottom: 0in" type="circle"> <li class="MsoNormal" style="text-align: justify; line-height: 200%">32 	Respondents – Increased in the employees’ ability to change or develop the 	way their jobs are done</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">15 	Respondents – Ability to influence decisions regarding the employees’ work</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> 	Respondents – Increased employee participation in organizational decisions</li> </ul> 5. Please assess the effectiveness of the HRM practices and policies of Apple daily Hong Kong. A. Recruitment and Selection             41 respondents said that the recruitment and selection process of the company is effective while 9 said that it is highly effective. B. Training and Development             33 respondents said that the training and development strategies of the company are highly effective while 11 said that it is effective. 6 respondents said that it is slightly effective. C. Performance Appraisal and Management             20 respondents said that the performance appraisal and management practices of the company are highly effective while 15 said that it is effective. 9 respondents said the performance appraisal and performance management practices of the company are slightly effective. 6 respondents said that the performance appraisal and management of the company are ineffective. D. Career Development             45 respondents said that the career development practices of the company are highly effective while 5 respondents said that they are effective. E. Reward Management             39 respondents said that the reward management strategy of the company is effective while 11 said that it is slightly effective. 6. Do you think that the company’s GR policies and practices contribute to its success?             47 respondents said yes while 3 said no.   Interview Results 1. What are the creative management approaches that Apple Daily Hong Kong implements?   Interviewee 1: Our organization has a very active employee empowerment commitment. The organization from top to bottom is committed in making the employees empowered and giving them more participation in the decision-making process, especially regarding their jobs. Interviewee 2: I think that the human resource management philosophy of the company is creative as well. The company implements strategic human resource management, meaning, each department must integrate its policies, practices, and processes to the organizational goals and objectives. I think strategic human resource management is important for creative management to succeed. They go together. Strategic HRM integrates the company’s human resources with the goals and objectives of the organization while creative management is all about coming up with new ways of achieving those goals and objectives and making the employees more empowered to do their jobs. 2. What re the benefits of these approaches to employees and to the organization? Interviewee 1: To the organization, the benefits all boil down to improved performance because the employees are motivated.             The employees get a sense of empowerment that makes them more committed and motivated. They have more freedom to decide how they do their work. They become more committed to the organization’s goals and objectives because they know that they participated in creating them. So there is a sense of ownership.   Interviewee 2: To the organization, the benefits is increased employee performance and greater ability to attract and retain talented employees. And of course greater earning because of increased employee performance.             The employees become more empowered. The organization becomes more committed to training and developing them, making sure that they are equipped with knowledge, skills and abilities to make informed work-related decisions. 3. What are the HR processes of the company that add to its success? Interviewee 1: The company strategic human resource management, that means that all HR processes must add to the company’s success. Interviewee 2: Like what I have said, the company believes in strategic human resource management. That entail integration of all HR practices with the goals and objectives of the company. So I can say that all HR practices contributes to the success of the company. 4. How does Apple Daily Hong Kong view its human resources (employees)? Interviewee 1: The company views its employees as a source of competitive advantage. Interview 2: A source of competitive advantage. 5. How does Apple Daily Hong Kong view the HR department? Interviewee 1: Strategic partner and human capital steward.   Interviewee 2: Partner in making sure that the company’s human resources’ or employees’ efforts are directed towards the achievement of organizational goals and objectives. 6. How does Apple Daily Hong Kong combine creative management approaches with HR processes? Interviewee 1: Through strategic human resource management. Through SHRM the company views its human resources as a source of competitive advantage. That is why the company is constantly looking for ways to improve the working conditions of the employees and to tap the knowledge, skills, and abilities of the employees. This is achieved through creative management. Interview 2: The company combines creative management approaches with HR processes through strategic human resource management. 7. What are the advantages of combining creative management approaches with HR policies and practices? Interviewee 1: A more adaptive and flexible company that has the ability to innovate and to direct its human resources to achieving its goals and objectives. Interviewee 2: Increased performance, flexibility, good relationship between management and employees, intelligent decision-making, commitment from both sides (management and employees).           Chapter V: Data Analysis               According to Xu and Rickards (2007) creative management is the study and practice of management, drawing on the theories of creative processes and their application at individual, group, organizational and cultural levels. Creative management is associated with new forms of management practices (Henry 2001). The changing business environment has placed traditional command and control management practices under pressure. Increasingly organizations are experimenting with more creative forms of management that rely more heavily on participation, self-organization, facilitation and nurturing. One of the creative management approaches that both respondents and interviewees have identified in the data collection process is employee empowerment. Indeed many authors have pointed out that employee empowerment is one of the most popular form of creative management (Henry 2001; Amar 2002). According to Oden (1997), the objective of empowerment is to tap the creative and intellectual energy of everybody in the company and provide everyone with the responsibility and the resources to display real leadership within their own individual spheres of competence. For empowerment to occur, companies must undertake two initiatives: first is to identify and change organizational conditions that make people powerless, and then second is to increase people’s confidence that their efforts to accomplish something important will be successful. Empowering employees according to Sims (2002) is a popular approach to work organizations. It means giving employees the authority, tools, and information they need to do their jobs with greater autonomy, as well as the self-confidence required to perform the new jobs effectively. Empowering is inherently a motivational approach. It boosts employees’ feeling of self-efficacy and enables them to more fully their potential, satisfying high-level needs for achievement, recognition, and self-actualization. Empowerment results in changes in employees’ effectiveness. The result is that people take more initiative and persevere in achieving their goals and their leader’s vision even in the face of obstacles. According to both respondents and interviewees, Apple Daily Hong Kong implements employee empowerment as a creative management approach. It is also important to note that one of the interviewees mentioned strategic human resource management (SHRM) as a creative management approach. The researcher consulted published materials regarding SHRM. Strategic human resource management involves the linking of HRM with the strategic goals and objectives of the organization in order to achieve a progressive business performance and achieve an organizational structure that promotes innovation and flexibility (Buyens and de Vos 1991). Strategic HRM according to Burke and Cooper (2004) has emerged as a major approach to improving the competitive advantage of the firm. The goals and objectives of HRM are aligned with the strategic objectives and plans of the organization. The role of HRM is to determine the human resources needed to support strategic objectives and to ensure that employees are selected, trained, evaluated, and rewarded in ways that further the achievement of business objectives. Strategic human resources management means accepting the HRM function as a strategic partner in both the formulation of the organization’s strategies and the implementation of those strategies through activities such as recruiting, selecting, training, and rewarding personnel (Sims 2002, p. 27).             The interview also reveals that Apple Daily Hong Kong combines creative management and human resource management through SHRM. The different processes of SHRM according to Sims (2002) are the following: 1. HR Planning             In HRM planning, planners analyze an organization’s HRM needs in a dynamic environment and develop activities that enable an organization to adapt to change. The HRM planning process involves forecasting HRM needs and developing programs to ensure that the right numbers and types of individuals are available at the right time and place (Sims 2002). 2. Recruitment and Selection             Employee recruitment involves interview, screening, and selection of most qualified candidates, filling of positions through transfer or promotion and coordinating temporary employment. The aim of recruitment is to identify a suitable pool of applicants quickly, cost efficiently, and legally. Selection or staffing involves assessing and choosing job candidates (Sims 2002). 3. Training and Development             Training and development such as orientation, performance management skills training, and productivity enhancement are planned learning experiences that teach employees how to perform their current and future jobs. Training focuses on present jobs, whereas development prepares employees for possible future jobs. 4. Performance Appraisal Through the performance appraisal process, organizations measure the adequacy of their employees’ job performance and communicate these evaluations to them. Performance appraisals are a critical link in the HRM process, as they assess how well employees are performing and determine appropriate rewards or remedial actions to motivate employees to continue appropriate behaviors and correct inappropriate ones. The HRM role in performance appraisal is one of working with other managers in the organization to establish the appraisal process, the performance dimensions to be measured, the procedures to ensure accuracy, and requirements for discussion of appraisal results with employees (Sims 2002). 5. Career Development Organizations are becoming more active in developing career development programs. Many organizations are designing career programs in an attempt to increase overall organizational performance and employee productivity, and to attract, develop, and retain the most qualified employees in this increasingly competitive and global environment (Sims 2002). 6. Compensation The aim of compensation practices is to help organizations establish and maintain a competent and loyal workforce at an affordable cost (Sims 2002).   The interview and the survey also revealed that the organization views its employees as a source of competitive advantage which is in agreement with the resource based perspective of SHRM.  Looking at the firm in a resourced-based view has given birth to the idea that Human Resource can be a source of competitive advantage for the firm. The importance of HR as a source of competitive advantage sprung up from the resourced-based view of the firm, which presents a notion that firms develop competitive advantages through valuable and inimitable internal resources. The resource-based view is a conceptualization of firms as unique bundles of accumulated tangible and intangible resource stocks. Resource stocks are defined as internal attributes, including assets, capabilities, processes, routines, and knowledge, that are tied semi-permanently to or controlled by a firm (Barney 1991; Wernerfelt 1984 cited in Niehaus 1995). Viewing SHRM in a resource-based perspective, Wright and McMahan (1992) argues that human resources have the ability to provide sustained competitive advantage through the fulfillment of four basic requirements. 1. Human Resources can be a source of competitive advantage if they are able to add value to the production processes of the firm. 2. Human Resources can be a source of competitive advantage if they are equipped with rare skills. 3. Human Resources can be a source of competitive advantage if they are able to yield a human capital that is hard to imitate. Although human resources are not subject to the same degree of imitation as equipment of facilities, the firm can invest on its human capita to in order to further decrease the probability of such imitation by qualitatively differentiating a firm’s employees from those of its competitors. 4. Human Resources can be a source of competitive advantage if they are not subject to replacement by technological advances or other substitutes. Viewing human resources as a resource that has the potential to contribute to the achievement of sustainable competitive advantage, Burke and Cooper (2004) argued that SHRM has emerged as a major approach to improving the competitive advantage of the firm. As an approach to improving the competitive advantage of the firm, the aim of SHRM is to attract, train and develop and retain employees of the highest quality.   If the company’s employees are seen as a source of competitive advantage, the company views the HR department as a strategic partner and human capital steward. As a strategic partner, the HR department adds value to the organization by understanding business operations. The HR manager and personnel possess operational experience in functional areas such as marketing, finance, operations, and sales. They understand business conditions to generate pertinent practical solutions for the stakeholders (Gilley and Maycunich 2000). As a Human Capital Steward, HR contributes to strategic capabilities by developing, leveraging, renewing, and nurturing a firm’s stock of knowledge, skills, abilities, interests, and talents. HR is there to help ensure that every individual is able to make value added contributions by identifying and cultivating individual competencies and capabilities. HR delivers people strategy by ensuring that renewal and rejuvenation are on-going activities. HR contributes to organizational success by initiating training and development activities and by creating a culture of continuous learning. HR shapes the values and provides the contextual backdrop that enables people to take initiative and use their judgment in a flexible and fluid business setting. The role of HR is not to create a dependency between the employee and the HR unit, but to forge a partnership that leads to increased intellectual capital, enhanced commitment, greater awareness of opportunities to make a difference, and adaptability (Lengnick-Hall and Lengnick-Hall 2004).   Chapter VI: Recommendations and Conclusion   Making Employee Empowerment Work             In order to effectively empower the employees, the company must: <ul style="margin-top: 0in; margin-bottom: 0in" type="disc"> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Make 	sure people understand their responsibilities</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Give 	them authority equal to the responsibilities assigned to them</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Set 	standards of excellence that will require employees to strive to do all work 	“right the first time”  </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Provide 	them with training that will enable them to meet the standards</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Give 	them information that they need to do their jobs well</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Trust 	them</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Give 	them permission to fail</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Treat 	them with dignity and respect  </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Provide 	them with feedback on their performance  </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> 	Recognize them for their achievements  (Sims 2002)</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"></li> </ul> Goal Setting             Managers and employees need to understand each other’s goals. In addition, managers are responsible fro helping employees in setting goals or objectives. With a clear understanding of explicit goals or objectives, managers and employees can work together to achieve specific outcomes (Sims 2002).   Lifelong Learning             Lifelong learning provides extensive continuing training, from basic remedial skills to advanced decision-making techniques throughout employees’ careers. Lifelong learning programs can achieve three things. First, the training, development, and education provide employees with the decision-making and other knowledge, skills, abilities, and experiences they need to competently carry out the demanding, team-based jobs in today’s organizations. Second, the opportunity for lifelong learning is inherently motivational. It enables employees to develop and to see an enhanced possibility of fulfilling their potential; it boosts employees’ sense of self-efficacy; and it provides an enhanced opportunity for the employee to self-actualize and gain the sense of achievement that psychologists like Maslow, McClelland, and Herzberg correctly argue is so important. Third, although lifelong learning may not cancel out the potential negative effects of downsizing, it might at least counterbalance them to some degree by giving the employee useful and marketable new skills (Sims 2002).                 For future studies, researchers may opt to focus on how creative management can be implemented in organizations and how organizations are implementing creative management. This can be helpful in building the creative management literature.   References Annual Report (2007). Next Media. Retrieved February 19 2009, from http://www.nextmedia.com/v5/pdf/ar2007e.pdf   Annual Report (2008). Next Media. Retrieved February 19, 2009 from http://www.nextmedia.com/v5/pdf/ar2008e.pdf   Amar, A. D. (2002). Managing Knowledge Workers: Unleashing Innovation and Productivity. Westport CT: Quorum Books.   Armstrong, M. (2003). A Handbook of Human Resource Management Practice. (9th  ed.) London: Kogan Page.   Barney, J. (1991). Firm Resources and Sustained Competitive Advantage. Journal of Management, 17, 99-120.   Burke, R. and Cooper, C. (Eds.) (2004). Reinventing Human Resources Management: Challenges and New Directions. New York:Routledge.   Buyens, D.  and De Vos, A. (1999). The Added Value of the HR Department. In C. Brewster and H.  Harris (Eds.). International HRM: Contemporary Issues in Europe (pp.31-47). New York: Routledge.   Degraff, J. and Lawrence, K. A. (2002). Creativity at Work: Developing the Right Practices to Make Innovation Happen. New York: John Wiley and Sons.   Gilley, J. W. and Maycunich, A. (2000). Beyond the Learning Organization: Creating a Culture of Continuous Growth and Development through State- Of-The-Art Human Resource Practices, Cambridge, MA: Perseus Publishing.   Heery, E. and Noon, M. (2001). A Dictionary of Human Resource Management. Oxford: Oxford University Press.   Henry, J. (2001). Creativity and Perception in Management. Thousand Oaks, CA: Sage.   Jackson, S. E. and Schuler, R. S. (1995). Understanding Human Resource Management in the Context of Organizations and Their Environments. Annual Review of Psychology. 46, 237+.   Lengnick-Hall, M and Lengnick-Hall, C. (2004). The HR Function in the New Economy. In R. Burke and C. Cooper, (Eds.), Reinventing Human Resources Management: Challenges and New Directions (pp. 35-53). New York: Routledge.   Niehaus, R. (1995). Strategic HRM. Human Resource Planning, 18(3), 53+.   Oden, H. W. (1997). Managing Corporate Culture, Innovation and Intrapreneurship. Westport CT: Quorum Books.   Porter, M E (1985), Competitive Advantage: Creating and Sustaining Superiority. New York: Free Press.   Schmitt, N. and Chan, D. (1998). Personnel Selection: A Theoretical Approach.  Thousand Oaks, CA: Sage.   Sims, R. (2002). Organizational Success through Effective Human Resources Management. Westport CT: Quorum Books.   Thomas, A. B. (2004). Research Skills for Management Studies. London: Routledge.   Wernerfelt, B. (1984). A Resource Base View of the Firm. Strategic Management Journal, 5, 171-180.   Wright, R. M. and McMahan G. C. (1992). Theoretical Perspectives for Strategic Human Resources Management. Journal of Management, 18(2): 292-320.   Xu, F. and Rickards, T. (2007). Creative Management: A Predicted Development from Research into Creativity and Management. Creativity and Innovation Management, 16(3): 216 -228.                   Credit:ivythesis.typepad.com

Dissertation on Creative Management and Human Resource Management at Apple Daily Hong Kong

Creative Management and Human Resource Management at Apple Daily Hong Kong Abstract The paper aims to assess the creative...

Topic: What FI Law reforms are required to ensure S.A strategic development?

Topic:  What FI Law reforms are required to ensure S.A strategic development?   The above topic question is being chosen because it is a must for the researcher and the readers to be aware of the law and its reforms not just in general formation but also to recognize foreign investment laws and how it ensures the strategic development of Saudi Arabia, the need to gather resource information towards FI laws and how it works and applied in the Kingdom and to come up laws needed by the region in order to boost business economy trade, keeping substantial grounds in certain services like, those coming from oil and gas industry as well as telecoms and there creates some of the research questions relating to main keywords of the topic question, these questions came from knowledge formation and thinking by the researcher and how PhD thesis assumes relevance upon imposing answers to the questions, a brief overview of possible answers in order to provide ample amount of information regarding foreign investment laws and certain reforms which are geared towards foreign investment processes of Saudi Arabia. The questions are important as they will serve as basis for the assimilation and construction of literature review, in terms of secondary research foundations forming in critical assessment and appraisal of several useful literature studies.      Ideally, upon ensuring strategic development for Saudi Arabia, foreign investments, in such laws and reforms are needed in order for the Kingdom to actively participate in the business market functions there is, to keep business on track and have a safe zone towards economy development and processes of the Saudi region. Auty (2001, quoted from, Ramady, 2005 in Chapter 11), indicated that, “Kingdom of Saudi Arabia has set itself the objective of reducing the economy’s vulnerability and heavy dependence on oil market fortunes, and has opted for decentralized, private market-based economic activities”. The need for Saudi Arabia to be a part of the World Trade Organization, upon enabling huge Saudi world market share and the Kingdom will use Foreign Direct Investment in order to foster technology transfer and domestic economic stimulus (Najem, 2003 quoted from, Ramady, 2005 in Chapter 11).     (Quoted from, Ramady, 2005 in Chapter 11) http://www.springerlink.com/content/u1823813302322u1/           Research Questions:     1.   What are the current Foreign Investment Laws like in Saudi Arabia? Current foreign investment laws like in Saudi Arabia are amiably present for the purpose of doing business operations in the Kingdom, allowing of business expansion, merging and acquisition frontiers as well as improvement on the investment climate is visible and functioning and pays essential domain for the Saudi’s government systems and network structures. For example, the Kingdom has business, commercial foreign investment law, as being determined consistently. The foreign investment law on entrance to the state for example will be allowing debtors to assume law reforms particular on the oil and gas investment laws as Saudi’s business economic law is open for trade and other underlying agreements as deemed possible.   a.)  What is the current economic situation like?   The current economic situation of the Kingdom integrates stability and sustainable business economy as the Kingdom is open to foreign investments to enter into the market stature and cycles for instance, there assumes that Saudi Arabia have an oil business boom wherein other countries are benefiting from the situation and that more business entrants and expansion were seen in the Kingdom, coming of investments are evident enabling the economic situation on the right perspective and valuation.   b.)What is the current Foreign Investment like?   The foreign investment of the Kingdom is like outbound ways as there implies to certain in-flows such as of 18 billion dollars during the year of 2007 and early of 2008, as foreign investment laws do incurs program integrating liberalization towards the Kingdom’s business and investment regime, diversify an economy overly dependent on oil and petrochemicals, promote employment for stable population and is a core player in World Trade Organization in the year 2005. The foreign investment law of Saudi permit foreigners to invest in the sectors their economy, except for specific activities as it can be off limits to foreign investors (Abdel-Rahman, 2003). Aside, Saudi’s foreign investors are no longer required to take local partners in business sectors and other activity of the investment process.  The investors are allowed to transfer money from their enterprises outside of the country and can sponsor foreign employees. Minimum capital requirements to establish business entities have generally been eliminated other than capitalization requirements to which Saudi Arabia is being committed during accession to the WTO like for, insurance business driven.   c.) What are the current Foreign Investment Laws?   The current investment laws do assume Saudi government encouragement into investment such as those related to communications technology, life sciences and energy from within economic development. Saudi Arabia have open service markets to foreign investment, including financial and banking services, maintenance and repair of aircraft and computer reservation systems, wholesale, retail and franchise distribution services, both basic and value-added telecom services, and investment in the computer and related services sector. Thus, Saudi Arabia’s FI laws currently close oil exploration, drilling, and production to foreign investment. National oil company Saudi Aramco presently conducts all oil exploration and development within Saudi Arabia. However, foreign companies, under current Saudi law, cannot purchase a stake in Aramco or take an equity position in the upstream oil sector.     d.)How the Foreign Investors view on the current Foreign Investment Laws? The foreign investors view foreign investment laws as a means of standardized treatment for corporate taxes, access to a skilled, motivated labor force, the consistent enforcement of foreign arbitration awards, as well as precise and transparent mechanism to reduce and stop counterfeit products from entering the Kingdom as well as ample protection of intellectual property rights that meets international standards. There is combination of FI groups in its function as well as role as the number of other FI bodies has helped facilitated economic liberalisations, stimulating both growth in the national economy on the back of diversification, privatisation and export-orientation, and attracted greater foreign investment and participation (Abdel-Rahman, 2003).   2.   How and why the current Foreign Investment Laws fail to advance Saudi Arabia’s economic?   Foreign investment laws fail to advance Saudi economy for one reason, it can be because some of the prospected foreign investors have complaints for example, the situation notifying that, there were not in appearance to have high expectations like, the SAGIA (2001), as the iinvestors complain that impediments remain as there have agreements with various Saudi government agencies and ministries to facilitate and streamline foreign investment procedures.   a.) What groups of organisation or governmental associations are involve, impact or have some influence to the establishment of the current Foreign Investment Laws?   There is SAGIA which developed a negative list of sectors off-limits to foreign investment (quoted from, www.sagia.gov.sa). The sectors currently closed to foreign investment include three manufacturing categories and 13 service industries. SAGIA periodically reviews the list of activities excluded from foreign investment, and submits its reviews to the Supreme Economic Council for approval. Although these sectors are off-limits to 100 percent foreign investment, foreign minority ownership in joint ventures with Saudi partners may be allowed in some sectors (Saudi Arabian General Investment Authority, 2001; UNCTAD, 2001). There was also Royal Commission for Jubail and Yanbu, and the Arriyadh Development Authority, have actively promoted opportunities in Saudi Arabia’s industrial cities and other regions. In addition, private investment companies, the National Industrialization Company, the Saudi Venture Capital Group and the Saudi Industrial Development Company have also become increasingly active in project development and in seeking out foreign joint venture partners. The Saudi Industrial Development Fund, important source of financing for investors which is a development finance institution affiliated with the Ministry of Finance as well as to support the development of the private industrial sector for expansion, upgrading and modernization of existing business domains sectors (Saudi Arabian General Investment Authority, 2001; UNCTAD, 2001).         b.)What are the benefits or disadvantages for Foreign Investors? Foreign partners in service and contracting ventures organized as limited liability partnerships must pay in cash the contribution to authorized capital. SAGIA’s authorization is one better step for setting up such business partnership in the Kingdom and as of today’s time, foreign investment is being welcome in Saudi Arabia given the fact that there promotion towards economic development, transferring of the foreign expertise to the Kingdom as there creation of jobs and expanding export zones of the Kingdom. The investment regulations does permit registration of Saudi-foreign venture consulting businesses as Saudi Arabia allows business operations to establish office in the region with or without a partner. However, some of the offices practicing law and other services, must ensure a Saudi partner and the partner’s equity cannot exceed over seventy five percent of the business total investment.     c.) What are the factors that cause the Foreign Investment Laws to fail?     The factors that cause foreign investment laws to fail are found within the situation directed to foreign investors as there eligibility to receive low cost financing for particular business costs such as fixed assets and working capital as loans are provided for a maximum term with repayment schedules designed to match projected cash flows for the project in question. Another, is by means of some FI disputes have caused serious problems for foreign investors. For instance, Saudi partners have blocked foreigners’ access to exit visas, forcing them to remain in Saudi Arabia against their will. In cases of alleged fraud, foreign partners may also be jailed to prevent their departure from the country while awaiting police investigation or adjudication of the case. Courts can impose precautionary restraint of personal property pending the adjudication of a commercial dispute. As with any investment abroad, it is important that U.S. investors take steps to protect themselves by thoroughly researching the business record of the proposed Saudi partner, retaining legal counsel, complying scrupulously with all legal steps in the investment process, and securing a well-drafted agreement.   d.)What are the major aspects of the Laws, that concerns the Foreign Investors the most? The aspect on transfer policy as well as conversion concerns foreign investors as there no restrictions on converting and transferring funds associated with an investment into a freely usable currency at a legal market-clearing rate. There have been no recent changes, nor are there plans to change remittance policies. There are no delays in effect for remitting investment returns such as dividends, return of capital, interest and principal on private foreign debt, lease payments, royalties and management fees through normal legal channels. There is no need for legal parallel market for investor remittances. There is no limitation on the inflow or outflow of funds for remittances of profits, debt service, capital, capital gains and returns on intellectual property, imported inputs and others.   3.   Why Saudi Arabia needs Foreign Investments?   Saudi Arabia needs foreign investments in order to strengthen their business grounds and be able to solidify their economic status over other neighbouring countries, they need foreign investment for humanitarian relations and peace keeping as well as the fact that, there  is no requirement that share of foreign equity, the Kingdom does not impose conditions on investment such as locating in specific geographic area, percentage of local content or local equity, substitution for imports, export requirements or targets, or financing only by local resources as investors are not required to disclose proprietary information to the Saudi government as part of the regulatory approval process.   a.) What are the current Saudi Arabia’s economic needs?   The Kingdom realizes that achieving its ambitious economic goals requires a steady flow of technology and expertise into the country. Therefore, its policy is to welcome foreign capital and invite it to participate in economic development projects in cooperation with Saudi business. The Saudi government established policy is not to impose any restrictions on the movement of capital into and out of the Kingdom and always to respect private ownership. In addition, foreign investment that fulfils the requirements of the Foreign Capital Investment Code enjoys all privileges of national capital and is entitled to the same treatment, protection, and incentives accorded to national capital. Saudi Arabia is fully committed to increasing private sector participation in economic growth. Privatization is a key element of the Kingdom’s economic liberalization and a host of sectors are being opened to the private sector. Telecommunications, electricity, airlines, postal services, railways, port services and water utilities are some of the potential areas for investment.   b.)How Foreign Investment benefits Saudi Arabia?   Saudi Arabia actively encourages foreign investment, especially if the projects have a lasting developmental effect on the country’s economy and promote industrialization and technology transfer. Saudi law requires that any project involving foreign capital result in “economic development” and transfer needed technology. Moreover, foreign investors must find Saudi partners in order to benefit from Saudi investment incentives and practically speaking, to obtain authorization from the relevant Saudi authorities. The petroleum and mineral extraction industries are owned and controlled by the government, and are generally closed to foreign investment.   c.) What are the benefits and disadvantages for the current Foreign Investors? The one disadvantage can assume that, most foreign investment is carried out through limited liability companies organized for this purpose by the foreign investors and their Saudi partners. The investment firms are being formed in accordance with Saudi company law and registered in the present time, only foreign capital invested in foreign-owned branch office will qualify for investment license evidence (Aitken and Harrison, 1999; Borensztein, De Gregorio and Lee, 1998). Aside, some benefits can be: exemption from customs duties, no restriction on repatriation of profits as well as procurement of the national products by the Kingdom’s bilateral trade agreements.   d.)Why the current Foreign Investment Laws needed to be reform? The FI laws needs reforming stature since, Saudi Arabia undertook reform of foreign investment laws as such with coverage to intellectual property rights along with WTO agreement on Trade Related Aspects of Intellectual Property Rights and the Kingdom have updated their Trademark Law, the Copyright Law as well as the Kingdom’s Patent Law (Aitken and Harrison, 1997; de Mello, 1997; 1999) along with compliance and effective deterrence against violators. The law allows foreign firms to own a majority stake in companies in the kingdom. The maximum income tax rate for foreign firms came down from 45 percent up to 20 percent. Saudi Investment Authority, looking after some foreign investments, has put in place better process in lieu for decisions on investment applications.   4.   What kind of Foreign Investment Law Reforms does Saudi Arabia need?   Saudi Arabia needs foreign investment law, the law which assumes direct investment over the Kingdom as such those FI related to oil and gas industry. The law reforms linking to the process of ‘Saudization’ have been protected in conjunction with acceptable benchmarks, allowing foreign capital and labour guarantees on business rights and participating domains, Saudi FI laws, those intended to preserve the national, cultural and religious identity of the kingdom are to be maintain as while committed to other reforms on assimilation of investment matters, as investment reforms that adds positive drive for investors to invest more business possibilities in the Kingdom The Foreign Investment Law, enacted by the Saudi Arabian General Investment Authority, allow foreign investors to own property, transfer capital and profits, claim full ownership of their projects and enjoy a reduction in tax rates (Aitken and Harrison, 1999; Borensztein, De Gregorio and Lee, 1998). The law protects foreign investors from confiscation of property without a court order or expropriation of property except for public interest against an equitable compensation. Thus, foreign companies are encouraged to invest in the insurance sector, the outcome of the Kingdom to increase foreign investment and expand the country’s economic base to invite international trade options.   a.) What other countries have the similar situation as Saudi Arabia?   Other countries have similar situation as such found in Gulf Cooperation Council countries such as, Kuwait, UAE and Qatar may engage in internal trading and distribution activities. Similarly, only joint ventures with at least 51 percent GCC ownership interest are permitted to export duty-free to other GCC countries. Together, the conditions can be disadvantage in foreign investor attempting to operate wholly foreign-owned company in Saudi Arabia. Conditions are expected to improve, as foreign investment in support by SAGIA then becomes engaged in identifying and reducing barriers to foreign investment inside the Kingdom.       b.)What are their Foreign Investment Laws like and the results of their regulatory framework? (similar situation)   The foreign investment laws are of solid investment background, the enterprise policies are of similar cycle and process as there reflects open market into private business policies as the Kingdom’s new FI law allowed foreign ownership of business operations, as Saudi have endowed better business economy over other countries and a difference in operations as the Kingdom is leader in oil and gas industry. The result of the regulatory framework is pointed constantly on investment capital and revenues along with similar laws on business entrance as well as expansion conditions and there both may have no restrictions in terms of their foreign exchange and the recognition of profits and capital as a result of rigorous foreign investment actions and realizations.      c.) How are the Foreign Investment and the Foreign Investment Laws in other countries? The Kingdom plays strategic role into oil markets, as there would be naive to think that the Saudis are willing to give up any sovereignty that would impact this role. Several countries like, Kuwait and United Arab Emirates tends to open their upstream oil sectors to foreign investment because of lack of capital, experience, technology and profitability (Aitken and Harrison, 1997; de Mello, 1997; 1999). The Saudi oil sector does not lack any of these attributes. Foreign investment in the oil sector will not benefit the Saudis, because it will not add much to GDP, improve technology or reduce unemployment. In addition, foreign investment in the oil sector could force Saudi Arabia to violate some OPEC quota, a pressing situation that happened also in Venezuela nation.   d.)What are the differences in Foreign Investment Laws, between Saudi Arabia and other countries?   The differences of foreign investment laws between Saudi Arabia as compared to several MENA states, it is believed that the Kingdom does not need FDI in order to finance the capital transformation of the domestic economy and some other countries need strong foreign investment, and that Saudi does hold the financial resources to fund its own ongoing economic reform and modernisation. But it does require foreign participation to stimulate production and competitiveness as well as capitalise on technological assimilation in industries outside of the energy sector   e.) What does the Foreign Investment Laws needed to be changed, to increase Foreign Investors?   For a possible change, foreign investment law needs sort of dramatic change from previous investment law, into new investment law as there allows foreigner a hundred percent ownership as well as the property required for the business operation, while enabling FI strength to be found in the context of adjustable economy given effectiveness of the Kingdom’s local business to level up to the global companies. For instance, foreign investors will be holding up investment licenses into diverse business activity. The new foreign investment law had brought significant changes to previous business regulations of Saudi Arabia as the foreign investors and their non-Saudi employees will be sponsored under the new licensed firm. Another significant change will be reduction in the corporate tax rate for foreign companies with stable profits for example, with percentage ratio of 45 percent to 30 percent (Aitken and Harrison, 1999; Borensztein, De Gregorio and Lee, 1998) . The new FI laws then enable Saudi companies to carry forward corporate losses for an unspecified number of years. There needs streamlining of foreign investment application process by creating certain shop facility. It will be required to respond to investment applications within couple of days, the foreign investor is allowed to do business with freedom of business exercise.     .     REFERENCE     Abdel-Rahman, A-M. M. 2003. Foreign Direct Investment in the Kingdom of Saudi Arabia: trends, Sources and determinants’, Unpublished manuscript.   Aitken, B. and Harrison, A. E. 1999. Do Domestic Firms Benefit from Direct Foreign Investment. American Economic Review.   Aitken, B. and Harrison, A. E., Hanson, G., and Harrison, A. E. 1997. Foreign Investment, Export Behavior and Spillovers. Journal of International Economics, 43:103-32.   Borensztein, E., De Gregorio, J. and Lee, J-W. 1998. How does Foreign Direct Investment Affect Economic Growth ?. Journal of International Economics, 45: 115-35.   de Mello, L. R. 1997. Foreign Direct Investment in Developing Countries and Growth: A Selective Survey. Journal of Development Studies, 34(1):1-34.   de Mello, L. R. 1999. Foreign Direct Investment-led Growth: Evidence from Time Series and Panel Data. Oxford Economic Papers, 51:133-51.   Saudi Arabian General Investment Authority (SAGIA). 2001. Database. Kingdom of Saudi Arabia, Riyadh.   UNCTAD. 2001. Foreign Direct Investment and the Challenge of Development, World Investment Report. United Nations.   Credit:ivythesis.typepad.com

Topic: What FI Law reforms are required to ensure S.A strategic development?

Topic: What FI Law reforms are required to ensure S.A strategic development? The above topic question is being chosen because it ...