Child Labor Essay

Throughout history there have been articles, boycotts, books, poems, and so much more released to raise awareness on child labor. Children work under illegal, hazardous, and exploitative conditions each day risking their lives. Many of these children have their opportunity for an education taken away to work under harmful circumstances. William Blake’s poem â€Å"The Chimney Sweeper† was written to help aware and prevent child labor. William Blake wrote a poem to aware the society of child labor in Britain. A real life event inspired him to write his poem about the injustice being done to the children. Child labor is exploitation to children. They were out in extremely hazardous conditions that threaten their lives. Children began to die because they were stuck in an unsafe place. The ashes that surrounded them threatened their physical health to an extreme. Fires would be set and the children would be stuck in the chimney causing them to burn to death. Blake uses a variety of symbolism through biblical ideas. He uses symbols to represent what he states in his poem. The Chimney Sweeper is based on a true story. This boy was sold and left alone by his father. Tom sweeps chimneys with four other boys: Dick, Joe, Ned, and Jack. One night tom dreams that he and the other children are sleeping in black coffins. Blake says this relating to the black ashes the children are covered in every day from sweeping the chimneys. In his dream an angel appears with a key. She unlocks the coffin the children were in and let them out. â€Å"Were all of them lock’d up in coffins of black. And by came an Angel who had a bright key, And he open’d the coffins & set them all free;† (lines 12-14) Child labor has been a big issue since industrialization began. Like the poem children were being put to work in atrocious conditions. Child labor was used because they do not have to get paid as much as adults. They were working more than a full time job. Some children would end up working for factories when their family could not afford much so they would give them up. Blake’s poem created a well-known issue concerning child labor in the real world. The way Blake described the children’s suffering and harsh living conditions caught the attention of many of his readers. The poem was created with the intention to have laws against child labor. As well as in Britain, there were many places around the world that were creating laws against child labor like the United States. The British act stated the age limit for children to begin working, children should be washed once a week, and prohibited to clean chimneys with fire in them. This act marked part of a beginning into the long battle to fight for the end of child labor. Unfortunately, till this day child labor occurring all around the world. The International Labor Organization estimated that over 215 million children under the age of 17 are currently working under illegal and harmful conditions. Children around the world are still suffering and unprivileged from opportunities of an education. A lot is done around the world to help and reach awareness to people about child labor. William Blake’s â€Å"The Chimney Sweeper† is a great resource created to help inform the people of the suffering and unfortunate life children live. Work Cited Blake, William. â€Å"The Chimney Sweeper.† –Blake. Web. 18 May 2012.. Fried, Milton. â€Å"Child Labor.† History of Child Labor. Amalgamated Clothing Workers of America. Web. 18 May 2012. . Heath, DIanne. â€Å"Social Science Medley.† Analysis of â€Å"The Chimney Sweeper† by William Blake ~. Social Science Medley, 30 Mar. 2011. Web. 18 May 2012. . Songs of Innocence,1789 and Songs of Experience; 1794 http://165.29.91.7/classes/humanities/britlit/97-98/blake/POEMS.htm; â€Å"- Texts in Context.† Imagery, Symbolism and Themes in Blake’s The Chimney Sweeper (I) from Crossref it.info. Web. 18 May 2012. .

Derailed – Creative Writing

It had rained the night before, and mist was creeping in, like a soft blanket of cold steam. It was silent. The grim reaper was waiting silently for blood. Not even the birds dare tweet. The reaper lifts his hefty but swift scythe. Just as he is about to drop it†¦ â€Å"Don't you worry love, you're only dreaming again.† Margaret slides out of bed and plods off to fetch a glass of water for Daniel. She stared through the windowpane, and out of the four walls that she and Daniel call home. It was cold and wet, perfect weather for Ducks though. It had rained the night before, and mist was creeping in, like a soft blanket of cold steam. Maggie (as she likes to be called), twisted the cold steel, and a cold transparent liquid flowed out, making a racket as it hit the bottom of the sink. After filling her glass, she shut off the flow of water, and turned sharply around. Just as she did so, she nearly had the shock of her life. In front of her was a hairy ape, stamping towards her with half-closed eyes!! Maggie then put her arms around this beast, and told him to drink the glass of water and to get a bath. Maggie then turned on the TV and was pleased to see that her favourite quiz show was due on in about 15 minutes. Daniel smiled and turned to face the towering stairs. He started to climb the stairs. He reached the landing and for some unknown reason decided to turn around and stare out of the window. He stopped tipped his head to one side and thought about something for a second, said a brief de-ja-vous and carried on with his quest which was to have a bath. Daniel reached the bathroom and started to run a bath. After a brief shave, his bath was ready to dive in to. He dived in and while washing himself, (and doing other bathroom activities) he thought about the day ahead. First activitie of the day was to pack some clothes as he had train journey to deal with and then he would†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Oh, I am so sorry, how can I write a story without describing the main character, and his family to you first. Daniel is a 36-year-old entrepreneur , who, at the age of twenty-two, decided to start his own business , making computer components. He had a bad turn at the age of twenty-six and nearly went bankrupt due to a downfall in the price of shares in the computer components. Now he is doing fine (nearly a millionaire) and him and his wife are very happy and content. He is 5ft 6in and has a distinctive chubby look about him. Daniel has a warm chubby face and sparkling hazel-brown eyes. Handsome for a 36 year old, the females might say. Mggi4e was Daniels sectary until 10 years ago, when they got engaged. Unfortunately, however, she fell on a slippery supermarket floor and nearly broke her neck. She can walk but excessive movement could severely injure her. Maggie is just over 5ft 4in and quite thin. She used to have a wide stature and used to be slightly overweight. She lost this weight due to a strict diet and living regime. Her blonde curly locks hang over her shoulders and are complemented by her warm blue eyes. Anyway, continuing on with what the day held for him:- After his morning shift, Daniel was to call a workers meeting, to outline his plans and to hand out raises, awards ect. Daniel then had the rest of the day off so that he could sleep to prepare to travel down to London to visit his old mate Joe. He would travel by train, which it cheep an if on time quicker than car. It cost a tidy forty pounds and would take 3 hours (from Durham). Not bad and especially for Dan as he would travel by first class. This meant that could enjoy his journey and have drinks, food etc as well. Monday morning (12th May) A shrill ringing woke Dan a 6am. He was staying for two days and started packing accordingly. He didn't take much as he only needed clothes and deodorant to take with him. He had a few get-well cards from friends, by these didn't way much and weren't at all bulky. He then had his break fast and wash etc. Daniel kissed Margaret good by, opened the front door and his garage. A gentle breeze came out of nowhere and I take away card fluttered past and landed at the front of Daniel's short drive. He dawdled over and picked it up. He looked at it and saw nothing unusual other than a line saying 21:00 no 1365. Dan though nothing of it, only a bit of scrap paper, and got in his car. As he turned the ignition key and placed his luggage in the passenger seat, he felt a weird buttelfy feeling in his stomach. This was odd. Since dan had not exercised properly, he didn't have any problems. A thought raced across the vast screen of his mind. It might be a stomach ulcer. His had a history of them, but Daniel had been lucky for the past sixteen years. The thought diminished and he reversed his car and carried on. It was only a twenty-minute journey and it passed away quickly and with no problems. The car pulled up at the car park and slowly screeched to a halt. Daniel slid out, paid his two pay and display charge and jumped back in his car. He then practiced the difficult not so accent art of parking and slowly got out. The station was normal. The hustle and bustle of every day lime. Many of the passengers are businessmen and women probably going to work. Dan glanced at his watch, which said 8:30 am. There was time for a coffee. Just as he turned around to head for the cafà ¯Ã‚ ¿Ã‚ ½, a high-pitched squeal dived out of the speakers and into the maze that was Dan's ears. The squealing halted and the tannoy sounded. â€Å"Could all passengers for the train number 1365 Durham to London please listen. The train will not be here at 21:00 as scheduled but will be delayed for about 15 minutes. These delays are due uncontrollable circumstances. Thank you†. Daniel sighed, as this was his train. All of a sudden, his spine tingled and he sensed a feeling of de-ja-vous. He had 2100 no 1365 on a piece of paper. He could not remember when or where but he knew he had seen it. Dan turned back towards the cafà ¯Ã‚ ¿Ã‚ ½ and walked towards it. Unusually, he felt he was being watched. He strained his neck to glance over his shoulder when a small hand touched his shoulder. Dan jumped and turned sharply around. â€Å"How are you Dan†. It was Joann; Daniel's secretary from work. Dan replied with a mumbled, â€Å"I'm alright â€Å". Joanne sensed that something was wrong, but thought it best not to ask what. She walked on and faded into the crowd. Dan turned towards the cafà ¯Ã‚ ¿Ã‚ ½ and strolled along towards it with his small luggage, slung over his shoulder. He finally reached his destination and opened the door. Swinging his bag from his shoulder, he sat down. His arse landed on the soft, warm seat (probably warmed by some clean dude who farted constantly) and Dan started to relax. He had hardly been there for a few seconds when an attractive young waiter approached Daniel. She was about 5ft tall and had long locks of curly hair Dangling from her head and down onto her peninsular-like shoulders. She was thin but obviously liked working out, as I could tell from the clear lines on her long arms. Her hands were small and boney, but were terribly scared. The waiter spoke with a small but kind voice. â€Å"Would you like anything sir†, she squeaked. After a few seconds of deliberation, Daniel replied, â€Å"A black coffee please love†. Rachel (it said on her nametag) then chirped â€Å"Be with you in a minute sir†, and then scarpered off to prepare a coffee for Daniel. Just as she said, she returned in less than two minutes with a black coffee, hot and steaming, in a large mug. Daniel sprinkled two sachets of sugar into his mug, and then sipped. He looked around the area where he sat, and sniffed the polluted air. The cafà ¯Ã‚ ¿Ã‚ ½ was small, with the tables in rows of four. The tables had four chairs each and bottles of sauce and condiment sets sat proudly in the middle on top of a tablecloth. The cloth was opulent and excreted a clean, lemon fresh odour that made you think of spring. The cafà ¯Ã‚ ¿Ã‚ ½ was quite eventful and obviously made a good, if not excellent turnover. Daniel finished his coffee and dawdled up to the till to pay. He paid and on his way out, placed a tip of à ¯Ã‚ ¿Ã‚ ½5 in the hand of the waiter. â€Å"Thanks love. Here, have this as a token of my appreciation for good service.† The waiter thanked Daniel and he continued on. All of a sudden the tannoy sounded, following that same annoying squeal. â€Å"Would all passengers for the no 1365 train please make their way to platform four. We are terribly sorry for the delay. Thank you.† Daniel grabbed his bags, and jogged straight up to platform four. To everyone's bewilderment four police officers, accompanied by four dogs and an armed swat team were standing by the train, carefully looking at everyone suspiciously. The officers and dogs then started to weave in and between passengers, as though they were sniffing for drugs and other illegal objects. The dog came up to Daniel, sniffed his bags and then barked viciously at Daniel. Two officers immediately sprinted over and searched ferociously through his bags. Sure enough, there were drugs in Daniels bag, but they were legal and prescribed by Dan's doctor. The police officers apologised, helped Daniel to fill his bag, and the toddled over to their positions. The next obstruction was a portable metal detector. Everyone was strolling through it, speculating at what caused this annoying chaos. Dan strolled through it, just as everyone had, and then boarded the train. He got on the train, and stared down the aisle. He glimpsed the door to the first class lounge, and wandered down towards it. The first class lounge was spacious and well ventilated. The buffet counter was in the next carriage to the first class and smelt of common aromas such as pie and chips. The carriage had a slight stench of chip fat and an eerie glimmer of flickering light shed out of the broken bar light. Stepping back into the first class lounge, he looked at his ticket and observed the seat number 321. Daniel walked down the first class lounge, selected his seat and sat on it. He was tired and immediately fell asleep, never to wake again. The train was derailed and no one knows why. The press speculate about why the train was derailed and why there were armed guards at the station. The police won't let on either.

Porsche Changes Tack

Porsche Changes Tack Yes, of course, we have heard of shareholder value. But that does not change the fact that we put customers first, then workers, then business partners, suppliers and dealers, and then shareholders. Dr. Wendelin Wiedeking, CEO, Porsche, Die Zeit, April 17, 2005. Porsche had always been different. Statements by Porsche leadership, like the one above, always made Veselina (Vesi) Dinova nervous about the company’s attitude about creating shareholder value. The company was a paradox.Porsche’s attitudes and activities were like that of a family-owned firm, but it had succeeded in creating substantial shareholder value for more than a decade. Porsche’s CEO, Dr. Wendelin Wiedeking, had been credited with clarity of purpose and sureness of execution. As one colleague described him: â€Å"He grew up PSD: poor, smart, and driven. † Porsche’s management of two minds had created confusion in the marketplace as to which value proposition Por sche presented. Was Porsche continuing to develop an organizational focus on shareholder value, or was it returning to its more traditional German roots of stakeholder capitalism?Simply put, was Porsche’s leadership building value for all shareholders, including the controlling families, or was it pursuing family objectives at the expense of the shareholder? Vesi had to make a recommendation to her investment committee tomorrow, and the evidence was confusing at best. Shareholder Wealth or Stakeholder Capitalism? Vesi’s dilemma was whether Porsche—Porsche’s leadership—was increasingly pursuing shareholder wealth maximization or the more traditional Continental European model of stakeholder capitalism.Shareholder Wealth Maximization. The Anglo-American markets—the United States and United Kingdom primarily—have followed the philosophy that a firm’s objective should be shareholder wealth maximization. More specifically, the firm should strive to maximize the return to shareholders, as measured by the sum of capital gains and dividends. This philosophy is based on the assumption that stock markets are efficient; that is, the share price is always correct, and quickly incorporates all new information about expectations of return and risk.Share prices, in turn, are deemed the best allocators of capital in the macro economy. Agency theory is the subject of how shareholders can motivate management to accept the prescriptions of shareholder wealth. For example, liberal use of stock options should encourage management to think like shareholders. If, however, management deviates too far from shareholder objectives, the company’s board of directors is responsible for replacing them. In cases where the board is too weak or ingrown to take this action, the discipline of the equity markets could do it through a takeover.This discipline is made possible by the one-share-one-vote rule that exists in most Anglo-Ame rican markets. Copyright  © 2007 Thunderbird School of Global Management. All rights reserved. This case was prepared by Professor Michael H. Moffett for the purpose of classroom discussion only, and not to indicate either effective or ineffective management. Special thanks to Wesley Edens and Pilar Garcia-Heras, MBA ‘06, for case-writing assistance. Stakeholder Capitalism. In the non-Anglo-American markets, particularly continental Europe, controlling shareholders also strive to maximize long-term returns to equity.However, they are more constrained by powerful other stakeholders like creditors, labor unions, governments, and regional entities. In particular, labor unions are often much more powerful than in the Anglo-American markets. Governments often intervene more in the marketplace to protect important stakeholder interests in local communities, such as environmental protection and employment needs. Banks and other financial institutions often have cross-memberships on corporate boards, and as a result are frequently quite influential. This model has been labeled stakeholder capitalism.Stakeholder capitalism does not assume that equity markets are either efficient or inefficient. Efficiency is not really critical because the firm’s financial goals are not exclusively shareholder-oriented since they are constrained by the other stakeholders. In any case, stakeholder capitalism assumes that long-term â€Å"loyal† shareholders—typically, controlling shareholders—rather than the transient portfolio investor should influence corporate strategy. Although both philosophies have their strengths and weaknesses, two trends in recent years have led to an increasing focus on shareholder wealth.First, as more of the non-Anglo-American markets have increasingly privatized their industries, the shareholder wealth focus is seemingly needed to attract international capital from outside investors, many of whom are from other countries. Second, and still quite controversial, many analysts believe that shareholder-based multinationals are increasingly dominating their global industry segments. Porsche AG I know exactly what I want and what must happen. I am the real one. You can be sure. Dr. Wendelin Wiedeking Porsche AG was a publicly traded, closely held, German-based auto manufacturer.Porsche’s President and Chief Executive Officer, Dr. Wendelin Wiedeking, had returned the company to both status and profitability since taking over the company in 1993. Wiedeking’s background was in production, and many had questioned whether he was the right man for the job. Immediately after taking over Porsche, he had killed the 928 and 968 model platforms to reduce complexity and cost, although at the time this left the company with only one platform, the 911. Wiedeking had then brought in a group of Japanese manufacturing consultants, in the Toyota tradition, who led the complete overhaul of the company’s manufacturing processes. Wiedeking himself made news when he walked down the production line with a circular saw, cutting off the shelving which held parts. Porsche had closed the 2004/05 fiscal year (ending July 2005) with â‚ ¬6. 7 billion in sales and â‚ ¬721 million in profit after-tax. Wiedeking and his team were credited with the wholesale turnaround of the specialty manufacturer. Strategically, the leadership team had now expanded the company’s business line to reduce its dependence on the luxury sports car market, historically an extremely cyclical business line.Although Porsche was traded on the Frankfurt Stock Exchange (and associated German exchanges), control of the company remained firmly in the hands of the founding families, the Porsche and Piech families. Porsche had two classes of shares, ordinary and preference. The two families held all 8. 75 million ordinary shares—the shares which held all voting rights. The second class of share, preference s hares, participated only in profits. All 8. 75 million preference shares were publicly traded. Approximately 50% of all preference shares were held by large institutional investors in the United States, Germany, and the United Kingdom; 14% were eld by the Porsche and Piech families; and 36% were held by small private investors. As noted by the Chief Financial Officer, Holger Harter, â€Å"As long as the two families hold on to their stock portfolios, there won’t be any external influence on company-related decisions. I have no doubt that the families will hang on to their shares. † One of the consultants, focused on lean manufacturing techniques and Porsche’s overwhelming levels of subcomponent assemblies and various automotive parts and inventory, was quoted as saying, â€Å"Where is the car factory? This looks like a mover’s warehouse. 1 2 TB0067 Porsche was somewhat infamous for its independent thought and occasional stubbornness when it came to discl osure and compliance with reporting requirements—the prerequisites of being publicly traded. In 2002, the company had chosen not to list on the New York Stock Exchange after the passage of the Sarbanes-Oxley Act. The company pointed to the specific requirement of Sarbanes-Oxley that senior management sign off on the financial results of the company personally as inconsistent with German law (which it largely was) and illogical for management to accept.Management had also long been critical of the practice of quarterly reporting, and had in fact been removed from the Frankfurt exchange’s stock index in September 2002 because of its refusal to report quarterly financial results (Porsche still reports operating and financial results only semi-annually). Porsche’s management continued to argue that the company believed itself to be quite seasonal in its operations, and did not wish to report quarterly. It also believed that quarterly reporting only added to short-te rm investor perspectives, a fire which Porsche felt no need to fuel (see Appendix 4).Exhibit 1 7,000 Porsche’s Growth in Sales, Income and Margin Operating Margin 28% Millions of euros (â‚ ¬) Sales 6,000 20. 8% 5,000 18. 0% 18. 2% 17. 9% 20% 24% 4,000 13. 6% 3,000 11. 6% 12. 0% 16% Operating Margin (EBIT / Sales) 12% 2,000 7. 0% Operating Income (EBIT) 8% 4. 2% 1,000 2. 0% 0 1996 1997 1998 1999 2000 2001 2002 2003 4% 0% 2004 2005 Note: EBIT = earnings before interest and tax. But, after all was said and done, the company had just reported record profits for the tenth consecutive year (see Exhibit 1).Returns were so good and had grown so steadily that the company had paid out a special dividend of â‚ ¬14 per share in 2002, in addition to increasing the size of the regular dividend. The company’s critics had argued that this was simply another way in which the controlling families drained profits from the company. There was a continuing concern that management came first. In the words of one analyst, â€Å"†¦ we think there is the potential risk that management may not rate shareholders’ interests very highly. † The motivations of Porsche’s leadership team had long been the subject of debate.The compensation packages of Porsche’s senior management team were nearly exclusively focused on current year profitability (83% of executive board compensation was based on performance-related pay), with no management incentives or stock option awards related to the company’s share price. Porsche clearly focused on the company’s own operational and financial results, not the market’s valuation—or opinion—of the company. Leadership, however, had clearly built value for all stakeholders in recent years, TB0067 3 nd had shared many of the fruits of the business, in the form of bonuses, with both management and labor alike. â€Å"We are aware that our lofty ambitions for products, processes , and customer satisfaction can only be achieved with the support of a high-quality and well-motivated team. Here at Porsche, we have such a team—and we believe that they should share in the success of the company by means of special bonus payments. †2 Porsche’s Growing Portfolio Porsche’s product portfolio had undergone significant change as CEO Wiedeking pursued his promise to shareholders that he would grow the firm.The company had three major vehicle platforms: the premier luxury sports car, the 911; the competitively priced Boxster roadster; and the recently introduced off-road sport utility vehicle, the Cayenne. Porsche had also recently announced that it would be adding a fourth platform, the Panamera, which would be a high-end sedan to compete with Jaguar, Mercedes, and Bentley. 911. The 911 series was still the focal point of the Porsche brand, but many believed that it was growing old and due for replacement. Sales had seemingly peaked in 2001/02 , and fallen back more than 15% in 2002/03.The 911 was a highly developed series with more than 14 current models carrying the 911 tag. The 911 had always enjoyed nearly exclusive ownership of its market segment. Prices continued to be high, and margins some of the very highest in the global auto industry for production models. Although its sales had been historically cyclical, 911 demand was not priceelastic. The 911 was the only Porsche model which was manufactured and assembled in-house. Boxster. The Boxster roadster had been introduced in 1996 as Porsche’s entry into the lower-price end of the sports car market, and had been by all measures a very big success.The Boxster was also considered an anticyclical move, because the traditional 911 was so high priced that its sales were heavily dependent on the disposable income of buyers in its major markets (Europe, the United States, and the United Kingdom). The Boxster’s lower price made it affordable and less sensitive to the business cycle. It did, however, compete in an increasingly competitive market segment. Although the Boxster had competed head-to-head with the BMW Z3 since its introduction in 1996, the introduction of the Z4 in 2003 had drastically cut into Boxster sales. Boxster sales volumes had peaked in 2000/01.Volume sales in 2003/04 were down to 12,988, less than half what they had been at peak. Cayenne. The third major platform innovation was Porsche’s entry into the sports utility vehicle (SUV) segment, the Cayenne. Clearly at the top end of the market (2002/03 Cayenne sales averaged more than $70,000 each), the Cayenne had been a very quick success, especially in the SUVcrazed American market. The Cayenne introduction was considered by many as one of the most successful new product launches in history, and had single-handedly floated Porsche sales numbers in recent years.The Cayenne’s success had been even more dramatic given much pre-launch criticism that the market would not support such a high-priced SUV, particularly one which shared a strong blood-line with the Volkswagen (VW) Touareg. The Porsche Cayenne and VW Touareg had been jointly developed by the two companies. The two vehicles shared a common chassis, and in fact were both manufactured at the same factory in Bratislava, Slovakia. To preserve its unique identity, however, Porsche shipped the Cayenne chassis 17 hours by rail to its facility in Leipzig, Germany, where the engine, drive â€Å"Porsche Stays on Course,† Dr.Wendelin Wiedeking, President and Chief Executive Officer, Porsche Annual Report 2003/04, p. 5. 2 4 TB0067 train, and interior were combined in final assembly. 3 A new six-cylinder version was introduced in 2004 to buoy Cayenne sales after the initial boom of the introduction year, by offering a significantly cheaper model choice. 4 As illustrated by Exhibit 2, Porsche’s platform innovations had successfully grown sales volumes over the past decade. Exhib it 2 Units 0,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 Note: Excludes sales of the discontinued 928 and 944/968 models in 1994-1996. These models totaled 1005 in 1995 and 104 in 1006. 911 sales in 2004 and 2005 include 222 and 660 Carrera GTs, respectively. Porsche’s Expanding Platforms and Growing Sales 911 Boxster Cayenne Panamera. On July 27, 2005, Porsche announced that it would proceed with the development and production of a fourth major model—the Panamera. The name was derived from the legendary Carrera Panamericana long-distance road race held for many years in Mexico.The Panamera would be a premium class, four-door, four-seat sports coupe, and would compete with the premium sedan models produced by Mercedes Benz and Bentley. Pricing was expected to begin at $125,000, rising to $175,000. Production was scheduled to begin in 2009 at a scale of 20,000 units per year. This new model would g ive Porsche a competitive element in every major premium-product market segment. The Most Profitable Automobile Company in the World Porsche’s financial performance and health, by auto manufacturer standards, European or elsewhere, was excellent.It was clearly the smallest of the major European-based manufacturers with total sales of â‚ ¬6. 4 billion in 2004. 5 This was in comparison to DaimlerChrysler’s â‚ ¬142 billion in sales, and Volkswagen’s The engine was, in fact, the only part of the Cayenne which was actually manufactured by Porsche itself. All other components of the vehicle were either outsourced or built in conjunction with other manufacturers. 4 The six-cylinder engine, however, was actually a Volkswagen engine which had been reconfigured. This had led to significant debate, as Porsche was criticized for degrading the Porsche brand. Comparing Porsche’s financial results with other major automakers is problematic. First, Porsche’s fiscal year ends July 31. Hence Porsche’s financial results for 2004 reported in Exhibit 3 are those for the August 1, 2003, through July 31, 2004, period. Secondly, Porsche announced that beginning with the 2004/05 period, which ended July 31, 2005, it would move to InternationalFinancial Reporting Standards (IFRS), rather than the German Commercial Code and special accounting requirements of the German Stock Corporation Law (German Generally Accepted Accounting Principles) which it has followed since it went public in 1984.These results will not be comparable to previous reporting years, and will require both Porsche and its analysts to reconstruct its financial history following IFRS. 3 TB0067 5 â‚ ¬89 billion. But, as illustrated in Exhibit 3, Porsche was outstanding by all metrics of profitability and return on invested capital. Porsche’s EBITDA, EBIT, and net income margins were the highest among all European automakers in 2004. 6 What also always stood out a bout Porsche was the average revenue per vehicle. At â‚ ¬83,671, only DaimlerChrysler was even close. Exhibit 3 European Automaker BMW DaimlerChrysler Fiat Peugeot Porsche Renault VolkswagenPorshe’s Competitive Positioning, 2004 Earnings Measures Sales (millions) â‚ ¬ 44,335 â‚ ¬ 142,059 â‚ ¬ 46,703 â‚ ¬ 56,797 â‚ ¬ 6,359 â‚ ¬ 40,715 â‚ ¬ 88,963 Revenue per vehicle â‚ ¬ 39,622 â‚ ¬ 78,056 â‚ ¬ 28,844 â‚ ¬ 19,354 â‚ ¬ 83,671 â‚ ¬ 19,291 â‚ ¬ 18,369 EBITDA â‚ ¬ 5,780 â‚ ¬ 10,280 â‚ ¬ 2,190 â‚ ¬ 4,502 â‚ ¬ 1,665 â‚ ¬ 4,414 â‚ ¬ 7,140 EBIT â‚ ¬ 3,745 â‚ ¬ 4,612 â‚ ¬ 22 â‚ ¬ 1,916 â‚ ¬ 1,141 â‚ ¬ 2,148 â‚ ¬ 1,620 Net Income â‚ ¬ 2,222 â‚ ¬ 2,466 -â‚ ¬ 1,586 â‚ ¬ 1,357 â‚ ¬ 616 â‚ ¬ 3,551 â‚ ¬ 677 EBITDA Margin 13. 0% 7. 2% 4. 7% 7. 9% 26. 2% 10. 8% 8. 0% Margin Measures EBIT Net Income Margin Margin 8. 4% 5. 0% 3. 2% 1. 7% 0. 0% -3. 4% 3. 4% 2. 4% 17. 9% 9. 7% 5. 3% 8. 7% 1. % 0. 8% Source: â€Å"European Autos,† Deutsche Bank, July 20, 2005; â€Å"Porsche,† Deutsche Bank, September 26, 2005; Thomson Analytics; author estimates. Renault’s results included 343 million in extraordinary income in 2004, accounting for net income exceeding EBIT. Porsche’s financial results, however, had been the subject of substantial debate in recent years as upwards of 40% of operating earnings were thought to be derived from currency hedging. Porsche’s cost-base was purely European euro; it produced in only two countries, Germany and Finland, and both were euro area members.Porsche believed that the quality of its engineering and manufacturing were at the core of its brand, and it was not willing to move production beyond Europe (BMW, Mercedes, and VW had all been manufacturing in both the United States and Mexico for years). Porsche’s sales by currency in 2004 were roughly 45% European euro, 40% U. S. dollar, 10% British pound s terling, and 5% other (primarily the Japanese yen and Swiss franc). Porsche’s leadership had undertaken a very aggressive currency hedging strategy beginning in 2001 when the euro was at a record low against the U.S. dollar. In the following years, these financial hedges (currency derivatives) proved extremely profitable. For example, nearly 43% of operating earnings in 2003 were thought to have been derived from hedging activities. Although profitable, many analysts argued the company was increasingly an investment banking firm rather than an automaker, and was heavily exposed to the unpredictable fluctuations between the world’s two most powerful currencies, the dollar and the euro. Exhibit 4 European Automaker BMW DaimlerChrysler Fiat Peugeot Porsche Renault VolkswagenReturn on Invested Capital (ROIC) for European Automakers, 2004 Operating Margin Sales (millions) â‚ ¬ 44,335 â‚ ¬ 142,059 â‚ ¬ 46,703 â‚ ¬ 56,797 â‚ ¬ 6,359 â‚ ¬ 40,715 â‚ ¬ 88,96 3 EBIT â‚ ¬ 3,745 â‚ ¬ 4,612 â‚ ¬ 22 â‚ ¬ 1,916 â‚ ¬ 1,141 â‚ ¬ 2,148 â‚ ¬ 1,620 Taxes â‚ ¬ 1,332 â‚ ¬ 1,177 -â‚ ¬ 29 â‚ ¬ 676 â‚ ¬ 470 â‚ ¬ 634 â‚ ¬ 383 EBIT After-tax â‚ ¬ 2,413 â‚ ¬ 3,435 â‚ ¬ 51 â‚ ¬ 1,240 â‚ ¬ 671 â‚ ¬ 1,514 â‚ ¬ 1,237 Interest Bearing debt â‚ ¬ 1,555 â‚ ¬ 9,455 â‚ ¬ 24,813 â‚ ¬ 6,445 â‚ ¬ 2,105 â‚ ¬ 7,220 â‚ ¬ 14,971 Invested Capital Stockholders' equity â‚ ¬ 17,517 â‚ ¬ 33,541 â‚ ¬ 5,946 â‚ ¬ 13,356 â‚ ¬ 2,323 â‚ ¬ 16,444 â‚ ¬ 23,957 Invested Capital â‚ ¬ 19,072 â‚ ¬ 42,996 â‚ ¬ 30,759 â‚ ¬ 19,801 â‚ ¬ 4,428 â‚ ¬ 23,664 â‚ ¬ 38,928 Capital Turnover 2. 2 3. 30 1. 52 2. 87 1. 44 1. 72 2. 29 ROIC 12. 65% 7. 99% 0. 17% 6. 26% 15. 15% 6. 40% 3. 18% Source: â€Å"European Autos,† Deutsche Bank, July 20, 2005; â€Å"Porsche,† Deutsche Bank, September 26, 2005; Thomson Analytics; author estimates. Invested Capital = total stockho lders’ equity + gross interest-bearing debt. Capital turnover = sales/invested capital. ROIC (return on invested capital) = EBIT – taxes/invested capital. ROIC. It was Porsche’s return on invested capital (ROIC), however, which had been truly exceptional over time.The company’s ROIC in 2004—following Deutsche Bank’s analysis presented in Exhibit 4—was 15. 15%. This was clearly superior to all other European automakers; BMW’s ROIC was second highest at 12. 65%. Other major European automakers struggled to reach 6% to 7%. EBITDA (earnings before interest, taxes, depreciation, and amortization) is frequently used as the income measure of pure business profitability. EBIT (earnings before interest and taxes) is similar but is reduced by depreciation and amortization charges associated with capital asset and goodwill write-offs. 6 6 TB0067This ROIC reflected Porsche’s two-pronged financial strategy: 1) superior margins on the narrow but selective product portfolio; and 2) leveraging the capital and capabilities of manufacturing partners in the development and production of two of its three products. The company had successfully exploited the two primary drivers of the ROIC formula: ROIC = EBIT after-tax Sales x Sales Invested Capital The first component, operating profits (EBIT, earnings before interest and taxes) after-tax as a percent of sales—operating margin—was exceptional at Porsche due to the premium value pricing derived from its global brand of quality and excellence.This allowed Porsche to charge premium prices and achieve some of the largest of margins in the auto industry. As illustrated in Exhibit 4, Porsche’s operating profits after-tax of â‚ ¬671 million produced an operating margin after-tax of 10. 55% (â‚ ¬671 divided by â‚ ¬6,359 in sales), the highest in the industry in 2004. The second component of ROIC, the capital turnover ratio (sales divided by inves ted capital)— velocity—reflected Porsche’s manufacturing and assembly strategy.By leveraging the Valmet and VW partnerships in the design, production, and assembly of both the Boxster (with Valmet of Finland) and the Cayenne (with Volkswagen of Germany), Porsche had achieved capital turnover ratios which dwarfed those achieved by any other European automaker. Porsche’s capital turnover ratio had surpassed all other European automakers consistently over the past decade. As illustrated by Exhibit 5, Porsche’s growing margins and relatively high velocity had sustained a very impressive ROIC for many years. In recent years, however, invested capital had risen faster than sales.But Porsche was not adding fixed assets to its invested capital basis, but cash. The rising cash balances were the result of retained profits (undistributed to shareholders) and new debt issuances (raising more than 600 million in 2004 alone). As a result, fiscal 2003/04 had prov en to be one of Porsche’s poorest years in ROIC. Exhibit 5 2. 5 Porsche’s Velocity, Margin, and ROIC Margin ;amp; ROIC 20% Velocity = Sales/Invested Capital 2. 15 2. 0 2. 12 Velocity 1. 97 1. 99 1. 81 18% 1. 91 ROIC (Operating Margin X Velocity) 14. 2% 12. 5% 11. 7% 11. 6% 10. 5% 1. 19 10. 5% 1. 21 9. % 11. 6% 13. 8% 16% 12. 9% 1. 5 14% 12. 6% 11. 9% 12% 10% 1. 0 8. 0% 6. 1% Operating Margin 6. 4% 6. 0% 6. 4% 8% 0. 91 0. 84 6% 0. 5 3. 8% 2. 0% 3. 7% 4% 2% 0. 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 0% Operating margin = ( EBIT – Taxes ) / Sales. Invested capital = cash + net working capital + net fixed assets. Porsche’s minimal levels of invested capital resulted from some rather unique characteristics. Invested capital is defined a number of ways, but Vesi used her employer’s standardized definition of cash plus net working capital plus net fixed assets. As illustrated in Exhibit 6, Porsche’s invested capital base TB0067 7 had be en growing rapidly in recent years, but not because of additional fixed asset investments. Porsche’s invested capital was growing primarily because of its accumulation of cash. 8 Vesi was concerned that using this measure of â€Å"invested capital† led to a distorted view of the company’s actual performance. Porsche’s minimal fixed-asset capital base resulted from the explicit strategy of the company as executed over the past decade.The development and manufacturing and assembly of the Cayenne was a clear example: †¢ Porsche had spent only $420 million in the development of the Cayenne. Auto analysts estimated that any other major automaker would have spent between $1. 2 and $1. 8 billion. †¢ Porsche had effectively avoided these costs and investments by co-producing the Cayenne with Volkswagen. The Cayenne shared some 65% of its parts and modules with the VW Touareg, with only 13% of the Cayenne’s actual wholesale value being derived fro m parts developed and manufactured by Porsche itself. The production agreement between Porsche and VW made VW responsible for all costs associated with quality problems arising at VW’s manufacturing facilities. Porsche paid VW a unit price for each Cayenne body produced in VW’s assembly facility in Bratislava, Slovakia. Porsche had successfully off-loaded both cost and risk. Exhibit 6 Asset Structure Cash Net working capital Net fixed assets Invested capital Liability Structure Short-term debt Long-term debt Total debt Equity Invested capital Porsche’s Managerial Balance Sheet (millions of euros) 996 â‚ ¬ 227 38 487 â‚ ¬ 753 1997 â‚ ¬ 281 116 578 â‚ ¬ 975 1998 â‚ ¬ 466 132 590 â‚ ¬ 1,188 1999 â‚ ¬ 730 225 649 â‚ ¬ 1,604 2000 â‚ ¬ 823 258 755 â‚ ¬ 1,835 2001 â‚ ¬ 1,121 369 960 â‚ ¬ 2,449 2002 â‚ ¬ 1,683 (355) 2,746 â‚ ¬ 4,073 2003 â‚ ¬ 1,766 (382) 3,215 â‚ ¬ 4,599 2004 â‚ ¬ 2,791 403 3,797 â‚ ¬ 6,992 2005 ↚ ¬ 4,325 (131) 3,641 â‚ ¬ 7,834 â‚ ¬8 19 â‚ ¬ 27 726 â‚ ¬ 753 â‚ ¬7 124 â‚ ¬ 131 844 â‚ ¬ 975 â‚ ¬ 10 114 â‚ ¬ 124 1,064 â‚ ¬ 1,188 â‚ ¬ 52 107 â‚ ¬ 159 1,445 â‚ ¬ 1,604 â‚ ¬ 20 82 â‚ ¬ 102 1,733 â‚ ¬ 1,835 â‚ ¬ 158 (49) â‚ ¬ 108 2,341 â‚ ¬ 2,449 â‚ ¬ 137 850 â‚ ¬ 987 3,086 â‚ ¬ 4,073 â‚ ¬ 70 859 â‚ ¬ 929 3,670 â‚ ¬ 4,599 â‚ ¬ 649 1,641 â‚ ¬ 2,290 4,702 â‚ ¬ 6,992 â‚ ¬ 1,107 2,026 â‚ ¬ 3,133 4,701 â‚ ¬ 7,834Net working capital = accounts receivable, inventories, and prepaid expenses, less accounts payable and accured expenses. This assumes ‘provisions for risk and charges' as equity. Porsche Changes Tack The summer and fall of 2005 saw a series of surprising moves by Porsche. First, Porsche announced that the â‚ ¬1 billion investment to design and manufacture the new Panamera would be largely funded by the company itself. Although the introduction of the Panamera had been anticipat ed for quite some time, the market was surprised that Porsche intended to design and build the car—and its manufacturing facility—nearly totally in-house.The new sports coupe was to be produced in Leipzig, Germany, at the existing Porsche facility, although a substantial expansion of the plant would be required. As opposed to the previous new product introductions, the Boxster and the Cayenne, there would be no major production partner involved. Porsche CEO Wendelin Wiedeking specifically noted this in his press release: â€Å"There are no plans for a joint venture with another car maker. But to ensure the profitability of this new model series, we will cooperate more closely than so far with selected system suppliers. 9 The German share of the value of the Panamera would be roughly 70%. Like the 911, Boxster, and Cayenne, the Panamera would bear the Made in Germany stamp. This methodology defines invested capital by assets, the left-hand side of the managerial balanc e sheet. Alternative definitions of invested capital focus on the right-hand side of the balance sheet; for example, as stockholder equity plus interest-bearing debt. Either version can also be netted for cash holdings under different methods. 8 Porsche’s cash and marketable securities grew from â‚ ¬2. billion in 2004 to over â‚ ¬4. 3 billion at the end of 2005 (July 31, 2005). Credit Suisse First Boston had in fact noted on September 21, 2005, just days before the VW announcement, that, â€Å"In our view, the only disappointment is that management indicated that the company would not look into returning cash to shareholders in the next 18 months. † 9 â€Å"Go Ahead for Porsche’s Fourth Model Series,† Porsche Press Release, July 27, 2005. 7 8 TB0067 The second surprise occurred on September 25, 2005, with the announcement to invest â‚ ¬3 billion in VW.Porsche AG, Stuttgart, seeks to acquire a share of approximately 20 percent in the stock capital of Volkswagen AG, Wolfsburg, entitled to vote. Porsche is taking this decision because Volkswagen is now not only an important development partner for Porsche, but also a significant supplier of approximately 30 percent of Porsche’s sales volume. In the words of Porsche’s President and CEO: â€Å"Making this investment, we seek to secure our business relations with Volkswagen and make a significant contribution to our own future plans on a lasting, long-term basis. Porsche is in a position to finance the acquisition of the planned share in Volkswagen through its own, existing liquidity. After careful examination of this business case, Porsche is confident that the investment will prove profitable for both parties. †¦ The planned acquisition is to ensure that†¦ there will not be a hostile takeover of Volkswagen by investors not committed to Volkswagen’s long-term interests. In the words of Porsche’s President and CEO: â€Å"Our planned investm ent is the strategic answer to this risk.We wish in this way to ensure the independence of the Volkswagen Group in our own interest. This ‘German solution’ we are seeking is an essential prerequisite for stable development of the Volkswagen Group and, accordingly, for continuing our cooperation in the interest of both Companies. † â€Å"Acquisition of Stock to Secure Porsche’s Business,† Porsche AG (press release), September 25, 2005. Porsche would spend approximately â‚ ¬3 billion to take a 20% ownership position in VW. This would make Porsche VW’s single largest investor, slightly larger than the government of Lower Saxony. 0 It clearly eliminated any possible hostile acquisitions which may have been on the horizon (DaimlerChrysler was rumored to have been interested in raiding VW. ) The announcement was met by near-universal opposition The family linkages between the two companies were well known. Ferdinand K. Piech, one of the most prom inent members of the Piech family which, along with the Porsche family, controlled Porsche, was the former CEO (he retired in 2002) and still Chairman of Volkswagen. He was the grandson of Ferdinand Porsche, the founder of Porsche.Accusations of conflict of interest were immediate, as were calls for his resignation, and the denial of Porsche’s request for a seat on VW’s board. Although VW officially welcomed the investment by Porsche, Christian Wulff, VW’s board member representing the state of Lower Saxony where VW was headquartered, publicly opposed the investment by Porsche. In the eyes of many, the move by Porsche was a return to German corporate cronyism. For years, â€Å"Deutschland AG† was emblematic of the cosy network of cross-shareholdings and shared non-executive directorships that insulated Germany from international capitalism.Wendelin Wiedeking, Porsche’s chief executive, himself invoked the national angle, saying this: â€Å"German solution was essential to secure VW, Europe’s largest carmaker, against a possible hostile takeover by short-term investors. † â€Å"Shield for Corporate Germany or a Family Affair? VW and Porsche Close Ranks,† Financial Times, Tuesday, September 27, 2005, p. 17. Germany, although long known for complex networks of cross-shareholdings, had effectively unwound most of these in the 1990s.The German government had successfully accelerated the unwinding by making most cross-shareholding liquidations tax-free in recent years, and both the financial and nonfinancial sectors had sold literally billions of euros in shares. This move by Porsche and VW was seen as more of a personal issue—Ferdinand Piech—rather than a national issue of German alliances. Many Porsche investors had agreed, arguing that if they had wanted to invest in VW, they would have done it themselves. The resulting ownership structure of Volkswagen in October 2005 was: 18. 3% Porsche; 18. 2% State of Lower Saxony; 13. 0% Volkswagen; 8. 58% Brandes Investment Partners; 3. 5% Capital Group; and 38. 19% widely distributed. Porsche still possessed the option to purchase another 3. 4%. 10 TB0067 9 There were also potential strategic conflicts between the two companies. Volkswagen’s premium segment company, Audi, was a distinct competitor to Porsche, particularly in light of the new Panamera project. VW itself had fallen on bad times (see Exhibit 3), and many VW watchers believed that the company needed activist shareholders.VW and its Audi unit were both suffering from high wage costs in German factories, and VW had been seeking wage concessions from many of its unions to regain competitiveness and profitability. Porsche had a reputation of being soft on German unions, and with the growing presence of both Porsche and Ferdinand Piech, critics feared VW would back away from its wage-reduction push. Porsche was not expected to be as cost-conscious or to push VW to ma ke drastic strategic changes.Instead, Porsche was expected to push VW to underwrite a number of the new models and platforms Porsche was in the process of introducing. There were, in fact, lingering allegations that a number of VW’s new product introductions had been delayed by the Cayenne’s production in 2003 and 2004. Shareholders in Porsche—the nonfamily-member shareholders—were both surprised and confused by this dramatic turn of events. Although the arguments for solidifying and securing the Porsche/ VW partnership were rational, the cost was not.At â‚ ¬3 billion, this was seemingly an enormous investment in a nonperforming asset. Analysts concluded that the potential returns to shareholders, even in the form of a special dividend, were now postponed indefinitely; shareholders would not â€Å"see the money† for years to come. The move was also seen by some as an acknowledgment by Porsche that it could no longer expand into new product categ ories without significantly larger capital and technical resources. Automotive electrical systems, for example, were increasingly complex and beyond capabilities possessed in-house by Porsche.The interest in VW, Europe’s second largest automaker to DaimlerChrysler, would surely provide the company with access to key resources. But why weren’t these resources accessible through partnerships and alliances, without the acquisition of one-fifth ownership in Europe’s largest moneyloser? The announcement of Porsche’s intention to take a 20% equity interest in Volkswagen in September 2005 was greeted with outright opposition on the part of many shareholders in both Volkswagen and Porsche. Major investment banks like Deutsche Bank immediately downgraded Porsche from a buy to a sell, arguing that the returns on the massive investment, ome â‚ ¬3 billion, would likely never accrue to shareholders. 11 Although Porsche and VW were currently co-producing the Porsche Cayenne and Volkswagen Touareg, this ownership interest would take the two companies far down a path of cooperation way beyond the manufacture of a sport utility vehicle. Although Porsche had explained its investment decision to be one which would assure the stability of its future cooperation with VW, many critics saw it as a choice of preserving the stakes of the Porsche and Piech families at the expense of nonfamily shareholders.The question remained as to whether this was indeed a good or bad investment by Porsche, and good or bad for whom? Vesi wondered if her position on Porsche might have to, in the end, distinguish between the company’s ability to generate results for stockholders versus its willingness to do so. Why should a small and highly profitable maker of sports cars suddenly hitch its fortunes to a lumbering and struggling mass-producer? That was the question that some alarmed shareholders asked this week when Porsche, the world’s most profitable carma ker, announced plans to buy 20% stake in Volkswagen (VW), Europe’s biggest carmaker.To some critics of the deal, Porsche’s move looked like a return to cosy, German corporatism at its worst. Since January 2002, when a change in the law encouraged German companies to sell their cross-shareholdings in each other, free of capital gains tax, new foreign shareholders have often shaken up fossilised German management. A deal with friendly compatriots from Porsche might rescue VW from this distasteful fate, particularly since foreign hedge funds and corporate raiders have been rumored to be circling VW. â€Å"Business: Keeping It in the Family,† The Economist, October 1, 2005. 1 â€Å"Porsche: We may never see the cash; downgrade to sell,† Deutsche Bank, September 26, 2005. TB0067 10 Appendix 1 (Millions of euros) Sales Cost of goods sold Gross profits Porsche’s Statement of Income, 1996-2005 (period ending July 31) 1996 â‚ ¬ 1,438 1,177 â‚ ¬ 261 24 3 15 64 â‚ ¬ 97 6. 8% 68 â‚ ¬ 29 2. 0% 3 â‚ ¬ 26 1 0 â‚ ¬ 25 1. 7% —-1997 â‚ ¬ 2,093 1,648 â‚ ¬ 446 339 21 67 â‚ ¬ 195 9. 3% 108 â‚ ¬ 87 4. 2% 7 â‚ ¬ 81 9 1 â‚ ¬ 70 3. 4% 45. 6% 40. 0% 1998 â‚ ¬ 2,519 1,853 â‚ ¬ 667 439 17 88 â‚ ¬ 334 13. 2% 157 â‚ ¬ 176 7. 0% 13 â‚ ¬ 164 22 â‚ ¬ 142 5. 6% 20. 4% 12. 4% 1999 â‚ ¬ 3,161 2,154 â‚ ¬ 1,007 571 29 84 â‚ ¬ 550 17. % 184 â‚ ¬ 366 11. 6% 12 â‚ ¬ 354 164 â‚ ¬ 191 6. 0% 25. 5% 16. 3% 2000 â‚ ¬ 3,648 2,527 â‚ ¬ 1,121 625 26 114 â‚ ¬ 636 17. 4% 197 â‚ ¬ 439 12. 0% 12 â‚ ¬ 427 220 â‚ ¬ 207 5. 7% 15. 4% 17. 3% 2001 â‚ ¬ 4,441 3,062 â‚ ¬ 1,380 793 61 87 â‚ ¬ 735 16. 5% 133 â‚ ¬ 602 13. 6% 14 â‚ ¬ 588 318 â‚ ¬ 270 6. 1% 21. 8% 21. 2% 2002 â‚ ¬ 4,857 2,981 â‚ ¬ 1,877 914 79 110 â‚ ¬ 1,152 23. 7% 279 â‚ ¬ 873 18. 0% 48 â‚ ¬ 825 363 (0) â‚ ¬ 462 9. 5% 9. 4% -2. 6% 2003 â‚ ¬ 5,582 3,250 â‚ ¬ 2,332 1,187 116 147 â‚ ¬ 1, 409 25. 2% 392 â‚ ¬ 1,017 18. 2% 88 â‚ ¬ 928 363 0 â‚ ¬ 565 10. 1% 14. 9% 9. 0% 2004 â‚ ¬ 6,359 3,787 â‚ ¬ 2,572 1,254 99 248 â‚ ¬ 1,665 26. % 525 â‚ ¬ 1,141 17. 9% 58 â‚ ¬ 1,082 470 (4) â‚ ¬ 616 9. 7% 13. 9% 16. 5% 2005 â‚ ¬ 6,574 3,501 â‚ ¬ 3,073 1,539 172 169 â‚ ¬ 1,875 28. 5% 510 â‚ ¬ 1,365 20. 8% 127 â‚ ¬ 1,238 459 (4) â‚ ¬ 783 11. 9% 3. 4% -7. 6% Selling, general & admin expenses Non-operating income Other income/expense, net EBITDA EBITDA/sales Depreciation & amortization Earnings before interest and tax EBIT/sales Interest expense on debt Earnings before taxes (EBT) Income taxes Minority interest Net income availabe to common Net income/sales (ROS) Sales growth Earnings growthSource: Thomson Analytics, June 2006, and author calculations. Appendix 2 (Millions of euros) Assets Cash ;amp; equivalents Receivables, net Inventories Prepaid expenses Total current assets Porsche’s Balance Sheet, 1996-2005 (period ending Jul y 31) 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 â‚ ¬ 227 91 199 23 â‚ ¬ 540 â‚ ¬0 60 â‚ ¬ 1,324 917 â‚ ¬ 407 21 â‚ ¬ 1,027 â‚ ¬ 281 170 297 47 â‚ ¬ 795 â‚ ¬ 12 5 â‚ ¬ 1,536 994 â‚ ¬ 541 20 â‚ ¬ 1,374 â‚ ¬ 466 196 328 37 â‚ ¬ 1,027 â‚ ¬ 10 5 â‚ ¬ 1,623 1,062 â‚ ¬ 561 14 â‚ ¬ 1,617 730 202 357 42 â‚ ¬ 1,332 â‚ ¬ 30 9 â‚ ¬ 1,683 1,183 â‚ ¬ 501 110 â‚ ¬ 1,981 â‚ ¬ 823 321 396 45 â‚ ¬ 1,585 â‚ ¬ 177 14 â‚ ¬ 1,797 1,310 â‚ ¬ 487 76 â‚ ¬ 2,340 â‚ ¬ 1,121 439 468 29 â‚ ¬ 2,056 â‚ ¬ 253 38 â‚ ¬ 1,960 1,399 â‚ ¬ 561 108 â‚ ¬ 3,016 â‚ ¬ 1,683 638 487 50 â‚ ¬ 2,858 â‚ ¬ 539 39 â‚ ¬ 3,607 1,652 â‚ ¬ 1,955 214 â‚ ¬ 5,604 â‚ ¬ 1,766 823 539 42 â‚ ¬ 3,170 â‚ ¬ 552 42 â‚ ¬ 4,122 1,847 â‚ ¬ 2,276 346 â‚ ¬ 6,385 â‚ ¬ 2,791 939 726 23 â‚ ¬ 4,479 â‚ ¬ 733 21 â‚ ¬ 4,724 2,116 â‚ ¬ 2,607 436 â‚ ¬ 8,276 â‚ ¬ 4,325 971 572 17 â‚ ¬ 5,885 â‚ ¬ 1,211 27 â‚ ¬ 4,486 2,378 â‚ ¬ 2,108 295 â‚ ¬ 9,525Long term receivables Investments in unconsol subsidiaries Property, plant ;amp; equipment, gross Accumulated depreciation Property, plant ;amp; equipment, net Other assets Total Assets Liabilities Accounts payable ST debt ;amp; current portion due LT debt Income taxes payable Other current liabilities Current liabilities, total Long term debt Provision for risks ;amp; charges Deferred taxes Other liabilities Total liabilities Shareholders' Equity Non-equity reserves & minority interest Common Equity Shareholders' equity, total Total liabilities ;amp; shareholders' equity Common shares outstanding (millions) 117 8 3 156 â‚ ¬ 283 â‚ ¬ 17 481 1 1 â‚ ¬ 782 â‚ ¬ 148 7 10 241 â‚ ¬ 406 â‚ ¬ 116 541 4 4 â‚ ¬ 1,071 â‚ ¬ 159 10 8 262 â‚ ¬ 439 â‚ ¬ 114 648 n/a 0 â‚ ¬ 1,202 â‚ ¬ 193 52 10 174 â‚ ¬ 429 â‚ ¬ 102 856 n/a 5 â‚ ¬ 1,392 â‚ ¬ 240 20 17 248 â‚ ¬ 525 â‚ ¬ 102 95 1 (22) 2 â‚ ¬ 1,558 â‚ ¬ 236 158 28 303 â‚ ¬ 725 â‚ ¬0 1,312 (52) 2 â‚ ¬ 1,987 â‚ ¬ 305 137 200 1,027 â‚ ¬ 1,668 â‚ ¬ 317 1,619 97 437 â‚ ¬ 4,138 â‚ ¬ 337 70 71 1,378 â‚ ¬ 1,856 â‚ ¬ 337 1,916 173 350 â‚ ¬ 4,631 â‚ ¬ 368 649 61 855 â‚ ¬ 1,933 â‚ ¬ 1,457 2,378 182 2 â‚ ¬ 5,953 â‚ ¬ 440 1,107 187 1,064 â‚ ¬ 2,798 â‚ ¬ 1,985 1,281 36 5 â‚ ¬ 6,105 â‚ ¬ 10 235 â‚ ¬ 245 â‚ ¬ 1,027 17. â‚ ¬5 298 â‚ ¬ 303 â‚ ¬ 1,374 17. 5 â‚ ¬0 416 â‚ ¬ 416 â‚ ¬ 1,617 17. 5 â‚ ¬2 587 â‚ ¬ 589 â‚ ¬ 1,981 17. 5 â‚ ¬0 782 â‚ ¬ 782 â‚ ¬ 2,340 17. 5 â‚ ¬0 1,028 â‚ ¬ 1,028 â‚ ¬ 3,016 17. 5 â‚ ¬1 1,466 â‚ ¬ 1,467 â‚ ¬ 5,604 17. 5 (â‚ ¬ 0) 1,755 â‚ ¬ 1,755 â‚ ¬ 6,385 17. 5 â‚ ¬6 2,317 â‚ ¬ 2,323 â‚ ¬ 8,276 17. 5 â‚ ¬8 3,412 â‚ ¬ 3,420 â‚ ¬ 9,525 17. 5 Source: Thomson Analytics, June 2006, and author calculations. TB0067 11 Appendix 3 (Millions of euros) Porscheâ₠¬â„¢s Statement of Cash Flow, 1996-2005 (period ending July 31) 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005Operating Activities Income before extraordinary items Depreciation & amortization Other Cash Flow Funds From/For Other Operating Activities Net Cash Flow From Operating Activities Investing Activities Capital Expenditures Additions To Other Assets Increase In Investments Disposal of Fixed Assets Net Cash Flow From Investing Activities Financing Activities Net Proceeds From Sales/Issue of Com/Prf Stock Com/Prf Purchased,Retired,Converted,Redeemed Long Term Borrowings Inc(Dec) In ST Borrowings Reduction In Long Term Debt Cash Dividends Paid – Total Net Cash Flow From Financing Activities Exchange Rate Effect Cash & Cash Equivalents – Inc(Dec) â‚ ¬ 25 74 47 26 â‚ ¬ 171 â‚ ¬ 71 127 (0) 22 â‚ ¬ 220 â‚ ¬ 142 157 (7) 72 â‚ ¬ 363 â‚ ¬ 191 184 23 (5) â‚ ¬ 392 â‚ ¬ 210 197 11 (22) â‚ ¬ 396 â‚ ¬ 270 133 16 151 â‚ ¬ 570 â‚ ¬ 462 279 26 611 â‚ ¬ 1,377 â‚ ¬ 565 392 423 77 â‚ ¬ 1,456 â‚ ¬ 612 525 515 (349) â‚ ¬ 1,303 â‚ ¬ 779 510 42 (157) â‚ ¬ 1,175 (â‚ ¬ 184) (15) (14) (â‚ ¬ 214) (â‚ ¬ 230) n/a n/a (â‚ ¬ 230) (â‚ ¬ 174) (2) (0) 10 (â‚ ¬ 166) (â‚ ¬ 145) (12) (7) 27 (â‚ ¬ 136) (â‚ ¬ 257) n/a n/a 8 (â‚ ¬ 249) (â‚ ¬ 306) n/a (1) 23 (â‚ ¬ 285) (â‚ ¬ 1,833) 831 (â‚ ¬ 1,002) (â‚ ¬ 1,338) n/a 309 (â‚ ¬ 1,028) (â‚ ¬ 1,265) n/a 478 (â‚ ¬ 787) (â‚ ¬ 851) (63) (243) 226 (â‚ ¬ 932) â‚ ¬0 6 1 â‚ ¬8 (30) â‚ ¬0 102 (33) (5) â‚ ¬ 64 54 â‚ ¬0 (13) (â‚ ¬ 13) 185 â‚ ¬0 49 (21) (22) â‚ ¬6 1 263 â‚ ¬0 (36) (22) (â‚ ¬ 58) 4 93 â‚ ¬0 37 (26) â‚ ¬ 11 2 298 0 339 (102) (45) â‚ ¬ 192 (5) 562 â‚ ¬0 (39) (297) (â‚ ¬ 336) (8) 84 â‚ ¬0 639 n/a (0) (59) â‚ ¬ 580 5 1,025 â‚ ¬6 147 (69) â‚ ¬ 84 (32) 296 Source: Thomson Analytics, November 2005, and author calculations. Appendix 4 Porsche Dispenses wi th Listing in New York Stuttgart. The preferred stock of Dr. Ing. h. c. F. Porsche AG, Stuttgart, will continue to be listed exclusively on German stock exchanges. All considerations about gaining an additional listing in the U. S. A. have been laid aside by the Porsche Board of Management. The sports car manufacturer had been invited to join the New York Stock Exchange at the beginning of the year. The Chairman of the Board of Management at Porsche, Dr.Wendelin Wiedeking explained the decision: â€Å"The idea was certainly attractive for us. But we came to the conclusion that a listing in New York would hardly have brought any benefits for us and our shareholders and, on the other hand, would have led to considerable extra costs for the company. † The crucial factor in Porsche’s decision was ultimately the law passed by the U. S. government this summer (the â€Å"Sarbanes-Oxley Act†), whereby the CEO and the Director of Finance of a public limited company liste d on a stock exchange in the U. S. A. have to swear that every balance sheet is correct and, in the case of incorrect specifications, are personally liable for high financial penalties and even up to 20 years in prison.In Porsche’s view, this new American ruling does not match the legal position in Germany. In Germany, the annual financial statement is passed by the entire Board of Management and is then presented to the Supervisory Board, after being audited and certified by chartered accountants. The chartered accountants are commissioned by the general meeting of shareholders and they are obliged both to report and to submit the annual financial statement to the Supervisory Board. The annual financial statement is only passed after it is approved by the Supervisory Board. Therefore there is an overall responsibility covering several different committees and, as a rule, involving over 20 persons, including the chartered accountants.The Porsche Director of Finance, Holger P. Harter, made the following comments: â€Å"Nowadays in Germany, the deliberate falsification of balance sheets is already punished according to the relevant regulations in the Commercial Code (HGB) and the Company Act (Aktiengesetz). Any special treatment of the Chairman of the Board of Management of the Director of Finance would be illogical because of the intricate network within the decision-making process; it would also be irreconcilable with current German law. † Source: Porsche, News Release of October 16, 2002. 12 TB0067 Appendix 5 Porsche’s Share Price, 2004-2006 Source: www. porsche. com. TB0067 13

COMMUNICATING WITH AND LEADING PEOPLE Essay Example | Topics and Well Written Essays - 1750 words

COMMUNICATING WITH AND LEADING PEOPLE - Essay Example 5 Question 4 Evaluate how the existing processes & channels of communication might have affected team-working and the organisation’s performance and make recommendations for improvement. 6 Question 5 Justify how the implementation of your recommendations will benefit the organization & ensure greater integration of communication systems. 7 References 9 Question 1 What are the current issues and problems relating to Graham’s company and his teams? Write your analysis of the case study. Graham’s company currently faces a series of problems which seem to be related to the following fact: the lack of effective communication between employees at all organizational levels. More specifically, in Graham’s company conflicts have become a daily phenomenon in the workplace. At managerial level, the lack of awareness of employees’ needs have led to the development of ineffective strategies. Indeed, managers ignore the challenges that employees face and promote strategies that are quite difficult to be implemented. Graham has repeatedly tried to intervene and promote appropriate solutions but the elimination of conflicts in the workplace seems to be impossible. The expansion of conflicts across the company can be explained if taking into consideration the company’s development through the years. The company has faced a quite rapid growth. In its first form, the company had just four managers who were the company’s founding members. Through the years, the expansion of business activities led necessarily to the hiring of staff, including managers. The changes on the company’s culture have been inevitable. However, no plan was implemented for managing change and for securing effective communication in the workplace. The lack of such plan has resulted to the company’s current communication problems. The lack of respect and trust in the workplace has caused the further expansion of the company’s communication problem. The elimination of communication problems in Graham Company is primarily related to the willingness of managers and staff to collaborate so that team-working is promoted across the organization. Question 2 Do you agree with the strategies used by Impact Consulting? Justify your answer and make recommendations as what other strategies the company could use to promote team spirit to help motivate & provide support to the teams. In general, Impact Consulting has focused on the improvement of the leading skills of the firm’s managers. Indeed, at a first level a questionnaire has been used for identifying the managers’ thought on critical issues; in this way, the strengths and weaknesses of managers, as leaders, can be revealed. The response of the managers to the particular initiative has been positive setting the basis for the development of an effective communication plan between managers and employees at lower levels of the organizational hierarchy. In addition , a series of sessions has been arranged for helping managers to improve their strategic planning and collaboration skills. Particular emphasis has been given on the CEO’s training. Coaching sessions have been arranged for increasing the CEO’s skills in managing culture changes. This means that the consultants in Impact Consulting have understood the vital role of culture in the firm’s performance. However, the effective management of culture in each organization is not related only to the

Followership Essay Example | Topics and Well Written Essays - 250 words

Followership - Essay Example The author points out that leaders and followers have a symbiotic relationship. According to the author, â€Å"Today’s followers are tomorrow’s leaders† (Frisina 2005) Leaders ought to practice democratic leadership that strengthens the relationship with the followers. The author distinguishes the value of communication to the four types of generations (veterans, baby boomers, Generation X, and Generation Y). According to the author, employees in Generation Y thrive on extrinsic motivation. For example, a young nurse would most likely be tensed and have minimal experience in attending to her duties. If the supervisor provides instant gratification and rewards the nurse, she would be extrinsically motivated to work. This is unlike the veteran and baby boomers that have the experience and have achieved job satisfaction. This category of employees thrives on intrinsic motivation and job security. Different generations have different characteristics. For example, a veteran may find it easier to work in the office for the entire working hours. On the other hand, an employee from generation Y would prefer doing field work for the entire working hours. It is important to delegate jobs depending on the general characteristics of the respective generation. The most important aspect of communication is the mode of delivering information. All the four generations prefer different modes of communication. Veterans would be more comfortable with face-to-face interactions while employees from both Generations X and Y would prefer communication backed by technology. For example, a healthcare facility would open up a page on social media to reach out to the younger generation. On the other hand, veterans would prefer to visit the facility physically for

Barbie and Mattel Corporation Term Paper Example | Topics and Well Written Essays - 500 words

Barbie and Mattel Corporation - Term Paper Example Creating a brand name serves as the best way to achieve this objective. This was the main story behind the success of Barbie in Mattel Corporation. Handler and Elliot modeled a success story by taking a different approach in that designing and modeling Barbie differently from other dolls in the market, which are susceptible to fashion and fickleness. Since customers are aware of an existing similar brand in the market, they are more likely to be more attached to a brand extension that provides better utility as compared to a new product (Arslan & Altuona, 2010). The success behind Barbie was that while other dolls were modeled on the prospect of being tender and dependent , Mattel developed a completely different approach of the same dolls by making Barbie to appear independent and having an elaborated adult figure that portrayed compete femininity that many girls of different ages were attracted to or tried to emulate. This was better enhanced by providing Barbie with different hair styles, mood expressions and different expressions of careers. Barbie according to these aspects became more than a doll in the lives of many young and middle age girls, in that Barbie had a different lovely expression to each age group. This was the story behind creating a brand name in dolls industry that made Barbie to become a lifestyle for many. Though Barbie was hardly a high tech product, it was through innovation that Mattel made the model to be a brand name in the market. The idea of innovativeness and extensions made the two to adopt a different approach that made the product a brand name in the market. An existing product can be created into a new product through brand extension that is much cheaper as compared to introducing a new product in the market (Arslan & Altuona, 2010). Largely brand extensions provide a better way to making brand recognition and image in venturing new markets (Aaker & Keller, 1990).  

Research Paper Example | Topics and Well Written Essays - 1750 words - 1

Research Paper Example Besides, he played these instruments so well that he would be invited to perform a solo in public. It was at a local travelling, when he first encountered an instrument that resembled a cello that was played a Catalan musician; in fact, this musician played a cello-stung broom handle (Avsharian, 1). Later, he requested his father to build a cello for him to practice playing and his request was granted. When Pablo Casals reached eleven years, he got a chance to heat a real cello performance that was performed by a group of travelling musicians; thus, this led to a decision to be dedicated to this instrument. Pablo Casals was enrolled in the Escola Municipal de Musica, where he was taken by his mother in 1888 and he studies cello and piano theory; later in 1890, he was discovered at age of thirteen where he was performing in second –hand sheet music store in Barcelona (Avsharian, 1). Later, he decided to come up with his version of six suites, thereby leading to an extraordinary progress as a cellist. In fact, this was seen when he got a chance to present a solo performance in February 23 1891 in Barcelona, and five years later, he graduated with honours from Escola Escola Municipal de Musica (Johnston, 1). ... He achieved this by playing through basics and entire controls of his elegant tones along with their interpretations. Casals made several tours around the world, where he had a chance to make foundation such as the Ecole Normale in Paris, and Orquesta Pau Casals in Barcelona (Baldock, 36). He had a chance to present a solo performance in December 17 1899 at Lamoureux during a concert in Paris and this led to significant publicity and crucial acclaim (Avsharian, 1). Casals made numerous tours in Spain and Netherlands; in fact, he made these tours accompanied by a pianist Harold Bauer, and made his initial visit to America in 1901, and later went South America in 1903 (Avsharian, 1). Due to his involvement in politics, he received a threat of execution after the outbreak of the civil war in Spain, whereby he was threatened by Franco regime (Avsharian, 1). However, during the Second World War, ha took a chance to offer numerous concerts that were beneficial to Red Cross and other Catala n exiles (Baldock, 36). After renunciation of the Franco regime, he commenced a self-imposed exile in 1946, later in 1950 be re-emerged and continued to promote peace through his music (Taper, 23). During his time in exile, he went to Catalan village located at Prada de Conflent in France, which was near the border of Spanish and France; in fact, between 1939 and 1942, though he made spontaneous appearances as a cellist (Baldock, 36). However, these performances were conducted in unoccupied regions of southern France and Switzerland. Nonetheless, he expressed severe opposition towards dictatorial regime of Francisco Franco in Spain. In fact, this opposition was portrayed through his refusal to appear or perform in countries that supported the authoritarian Spanish government.

Acculturation of the Minorities Essay Example | Topics and Well Written Essays - 1000 words

Acculturation of the Minorities - Essay Example As per Robert Jensen1, the west is a society dominated by ‘White’ people who enjoy privileges often just because of their being white. Their flaws are easily forgiven and are often preferred to other races as they seem ‘less threatening’. These basic assumptions seem to have opened a Pandora box of secrets of ideologies and policies that govern the west. The ‘affirmative actions’ taken by the administration to endorse the policy of equal opportunity looks as if it was issued to emphasize that the ‘whites’ are not afraid of the merits of other races and not as a gesture of belief in general. They have underlined the fact that the superiority complex that the whites seem to have nurtured through the ages might be in the process of disintegrating. The intangible threats from the people who are not white seem to strengthen the bond among the whites. It also seriously questions the integrity of the whites and whether they truly deserve their successes under the given circumstances. Richard Dyer2 goes a step further by stating that racial imagery is central to the organization of the modern world. It is the projection of people and their characteristics, which includes their culture, religion, food habits, nationality, the color of skin etc. that defines racism. Through the decades, Whites have projected themselves as powers that speak and think about other people. They have successfully defined races and nonwhite people. As per Dyer, whites are beyond races and as such, they think themselves as above the rest of the humanity. It is most evident when they address other people as blacks, Chinese, Asians etc. Dyer argues that the biggest challenge the whites are facing today is the authenticity of the whites.  

National Criminal Justice Reference Service Research Paper

National Criminal Justice Reference Service - Research Paper Example History and General Overview of NCJRS The National Criminal Justice Reference Service (NCJRS) was established in 1972. It is a federally funded resource offering justice and drug-related information to support research, policy, and program development worldwide. The NCJRS Federal Sponsors include the U.S. Department of Justice, Office of Justice Programs (OJP), Office of the Assistant Attorney General (OAAG), Bureau of Justice Assistance (BJA), Bureau of Justice Statistics (BJS), National Institute of Justice (NIJ), Office for Victims of Crime (OVC), Office of Juvenile Justice and Delinquency Prevention (OJJDP) and the National Institute of Corrections (NIC). It has such sections as About NCJRS, A-Z Publications/Products, Library/Abstracts, Search Q & A, Grants & Funding and Justice Events each with a distinct web link. (NCJRS Website) Its services and resources are available to anyone interested in crime, victim assistance, and public safety including policymakers, practitioners, re searchers, educators, community leaders, and the general public. NCJRS offers a range of services and resources, balancing the information needs of the field with the technological means to receive and access support. For instance, it offers extensive reference and referral services to help answer questions about crime and justice-related research, policy, and practice. Under the Search Questions & Answers section, one can access questions related to juvenile and criminal justice, victim assistance, substance abuse, and NCJRS services as found under the web link, https://www.ncjrs.gov/App/QA/SearchQA/aspx. (NCJRS Website) Further, it has an option for registering online to join the information network for receipt new publications, grants and funding opportunities, and other news and announcements. This can be accessed under the web link, https://www.ncjrs.gov/App/Secure/Registration/Register/aspx. After registration one receives Justinfo, a bi-weekly electronic newsletter that inclu des links to full text publications, notices of upcoming trainings and conferences, funding announcements, and other resources. This is found under the web link, https://www.ncjrs.gov/justinfo/dates.html. In addition, the one receives E-mail notifications on new publications and resources, periodic mailings of publications and invitations to subscribe to other topical listservs based on one’s interest areas. The NCJRS also holds conferences and promotes the conferences of others, so people can use the NCJRS website to find out about events they may wish to attend. (NCJRS Website) The NCJRS sponsoring agencies publish hundreds of reports and other information products each year to share with the public. Most of the titles are available online for order through https://www.ncjrs.gov/App/Publications/AlphaList.aspx. It has an abstracts database which is one of the largest criminal justice libraries in the world and contains information from the 1970s to the present. Available bo oks, reports, articles, and audiovisual materials include congressional hearing transcripts, research findings, unpublished research, statistics, training materials and program descriptions. Topics covered in the materials in the abstracts database include juvenile justice, victims, law enforcement, courts, corrections, crime statistics, drugs and domestic preparedness. The NCJRS provides a subject-specific thesaurus and English

The School of Sociology and Anthropology Essay Example for Free

The School of Sociology and Anthropology Essay Joel S. Kahn is Professor of Anthropology at the School of Sociology and Anthropology, La Trobe University, Bundoora Campus, Victoria, Australia. He has authored several books, including Constituting the Minangkabau: Peasants, Culture and Modernity in Colonial Indonesia, Minangkabau Social Formations: Indonesian Peasants in the World Economy, and edited, with Francis Loh Kok Wah, Fragmented Vision: Culture and Politics in Contemporary Malaysia For some time we have lagged behind Indonesian stratificatory realities under the impression, once quite true, that the middle classes (or whatever we choose for the moment to call them) were too minute to make a difference. Now, suddenly, when they appear to be making some difference, or anyway are substantial enough to compel notice, we are at a loss to figure out who exactly they are, why they are important, and what difference they actually make. Daniel Levs remarks about Indonesia are doubly true in the Malay-sian context, for in spite of the well-documented growth of, if anything, a relatively larger middle class, as yet there has been remarkably little interest among social scientists in the phenomenon. With a handful of exceptions, very few Malaysianists in Malaysia or overseas have done more than mention the middle class in passing; and there have been even fewer attempts to clarify the use of the concept in Malaysian conditions, or to assess its impact on the taken-for-granted contours of Malaysian society. In the scholarly literature on the Malays, with which I am most familiar and which for better or worse tends to predominate, we   This paper is based on research carried out on the emergence of an indigenous middle class. I am grateful to the Australian Research Council which has provided funds for my ongoing research in Malaysia for the last several years. I would also like to acknowledge my debt to Maila Stivens, my co-worker in this study with whom I have discussed many of the ideas in this paper, and who has given me many suggestions based on her research. I would also like to thank Pat Young and Lucy Healey for their bibilographical work which proved very useful in putting this article together, and Gaynor Thornell for help with the typing.   instead continue to witness an outpouring of studies of peasants, factory girls, ethnicity, and Islam not unimportant in themselves, but in their distribution far from fully representative of current trends in the Malay community. As for studies of Malaysias other main ethnic groups, lamentably fewer in number, the growth of the middle class is similarly largely ignored. But consider the following. According to one observer: In Malaysia, where the non-Malay component of the middle class had continued to grow as a result of economic development since independence, in the 1970s Malay representation in the middle class rose sharply following the introduction of the New Economic Policy. And depending on the interpretation of census data, the size of that substantial and prosperous middle class was as high as 24 per cent of the work force in 1980 (ibid, 31-32). The class grew in significance in the 1980s, so that, using the same calculation, Saravanamuttu estimates that by 1986, 37.2 per cent of workers were in middle class occupations. And doubtless the 1990 census will show continued growth in both the absolute and relative size of the Malaysian middle class.

Madrigal leading up to Monteverd

Madrigal leading up to Monteverd Account of the evolution of the Madrigal leading up to Monteverdi. Madrigals are secular songs for all voices. It formed the basis of poems and sonnets set to music, and various other types of poetry. The first generation of Madrigals were set for four voices; these were (cantus) Soprano (altus) Also (tenor) tenor and (bassus) bass. Madrigals dealt freely with the music, mainly of a homophonic and contrapuntal textures, in a series of overlapping sections and consistent use of imitation. The Madrigal was written for all voices, except at the time, of sacred music, which was written for male voices only. Madrigals in the fifteenth century were written in the vernacular. At this time there was an international style of music. The sixteenth century goes development of voices and new influences. The development of the Italian Madrigal is in three stages. This progression is shown in the third generation madrigal composer, Monteverdi. The Madrigal development spans from 1530 to 1620 approximately. This is at the same time as the end of the Renaissance period and the baroque period. With the development of instruments at this time, harmony was adapted and instruments were brought together to create a contrast of new music. This illustrates the development along with the Madrigals, and how they developed with the music. The First Generation of Madrigals includes composers such as Jaques Arcadelt (ca. 1507 1568). He was a Franco-Flemish composer, and worked in Florence, Rome and France. Arcadelts composition Il bianco e dolce cigno was first published as a set of Madrigals in 1538, and is the most famous of the early Madrigals. This work is predominantly homophonic, and uses imitation for harmonies of 3rds and 5ths. The piece has four parts, and is predominantly consonant, apart from a few suspensions and resolutions. The typical sixteenth century Madrigal is through composed, meaning nothing is repeated and is continuous. Thus, all new words have new music. This is also very typical as it is set for 4 voices. The meanings of the words is the most important part of the madrigal, thus, the words are drawn out over a long moving melody and occasional use of dissonance and chromatic usage, to show the connotation of the words. Mid-sixteenth century (the second generation), Madrigals now consist of 5 to the maximum of 6 voices. This shows the steady progression of Madrigals from the first to the second generation. Cipriano De Rore (1546 1565) who composed Da le belle contrade doriente around 1560 1566. In this madrigal, the woman expresses sorrow that her lover is about to depart. The composer chose intervals associated with sadness and reflected the natural speech inflection. He also includes Melisma, dissonant notes, and a lot more chromaticism, and breaking phrases, to really draw out the emotion of the words. This has clearly adapted from the first generation of Madrigals, more technically demanding and increased range and use of cross rhythms than that of earlier Madrigals. The Third generation of madrigals occurred around the late sixteenth century. In this period, this launched the Baroque era, and experimentation and development of harmony and literal context. A highly experimental composer was Luca Marenzio (1553 1599) who composed Solo e pensoso 1590. It starts with an ascending chromatic sequence, which demonstrates the use of experimentation with harmony at this time from the earlier Madrigals, hence, with the chromatic opening and harmonic usage. The texture in this generation is much broader in its approach and fuller than that of earlier Madrigals. At this point, Madrigals would have been sung for a purpose, because earlier Madrigals were sung just for the enjoyment for the singers. Another third generation composer was Carlo Gesualdo (1560 1613). His use of experimentation with madrigals continued to be used throughout into the Baroque era, with such contrasts between chromatic and harmonic passages, to express the meanings of the words and convey the emotion. His Madrigal ‘lo parto e non piu dissi, is experimental both harmonically and rhythmically. This is highly dissonant due to the chromaticism in all parts of the melody and countermelodies. In short, the Madrigal took course of several changed throughout the three generations. Its harmonic progression becoming more complicated and experimentation with rhythms progressed through the sixteenth century and was a primary key of basic song writing for the Baroque era.

Testing of Pharmaceutical Tablet Strip

Testing of Pharmaceutical Tablet Strip CAREER EPISODE 1 1.1 INTRODUCTION I completed my Bachelors degree in electronics and communication engineering in the year 2011. I pursed my engineering from Vyas Institute of Engineering and Technology, Jodhpur, India. During my final semester of engineering I had to make a working model in the field of electronics. I came up with a project called Testing of Pharmaceutical Tablet strip. The project was performed in group of three. It was completed under the direction and support of Er. Yogesh Chaudhary. In my first career episode, I have described the work done by me in this project in detail. 1.2 BACKGROUND Requirement of medicines and its production is increasing rapidly. There are possible occurrences of breakage, cracks in the capsule or table while its production. And when these damaged tablets are consumed, it may cause irritation or side effects to other body parts. To inspect the production, it becomes very tough manually but the same task can be achieved with the help of image processing through automation of visual inspection. My project deals with the identification of the damaged products after its manufacturing. It involves series of task like segmentation, image processing, filtration, subtraction, pixel-calculation, de-noising, thresholding, and region based statics to identify the damaged and broken tablets. 1.3 The basic moto behind my project is to identify and filter out the damaged and defective capsule strips. Missing tablet, color, or shape/size difference between a set of tablets, or any crack or breakage in the tablets will be identified and marked as defect through my project. The idea was to reduce the manual work for identification of the damaged tablets as the job can be tedious. And to introduce a new procedure that would contribute in digital technology and for the welfare of the society. Identification of defective tablets is done with the help of image processing that uses various techniques of algorithm for processing all the digital images. 1.4 Image processing works on the technique that uses features like extraction, pattern recognition, edge detection and template matching. This process manipulates the data faster to achieve the desired result. For quality assurance of the products that are being manufactured majorly require automation of visual inspection. In this technique, a morphological operation such as opening operation is used for finding defects. The image is made fit for the further processing by performing image segmentation on the input image and then it is filtered to remove any noise. By inscribing rectangles subtraction is performed on the image with the help of morphological operations and it is also subtracted from original gray image which shows the broken tablets. For calculating the exact location of the broken tablet, pseudo coloring method is used and the pixel of the broken capsule is calculated. Correct size or color and any cracks are detected by performing corner detection and Harris algorithm technique on the tablets. Which is then followed by some pre-processing. After detecting the corners, they are compared with the template image and if there is any mismatch in the feature with the original template and the test image, the tablet gets rejected otherwise it is accept and given for use. 1.5 Me being the team leader, had to work out the flow and plan on how to proceed with the implementation process. I divided the project into small tasks and gave priority to each of them. Then they were assigned the duration in which that task had to be completed. My major task was designing the circuit diagram and block diagram on which the components could be decided. And the other crucial task was software coding. Regular meetings were kept with my team mates and the project guide to get any suggestions for any improvement in the project. Meetings were either through email or small presentations had to be made. 1.6 PERSONAL ENGINEERING ACTIVITY I started off with surveying the market so that the project I make would be useful. I read papers and articles relating the new upcoming technology and tried to do research on image processing methods and its technical specifications. This helped me to learn and build new technical skills. By applying my engineering knowledge and through technical reading I plotted a block diagram and decided upon the main hardware components that could be used for this project. It involved: Electrical components like Power supply of 230V, contractor 220-240V 1.47A, conveyor belt, step down transformer and DC motor. Electronics components such as a microcontroller, LCD, Regulator IC, relay. And a basic camera of 1.3MP/VGA With the help of the hardware components and block diagram I used a PCB designing tool for designing and structuring my circuit diagram. 1.7 After deciding and finalizing of the components, I wrote down the procedure in which the tracking of the missing tablet or damaged table would be done. The camera was used basically to get the complete image of the production. After getting the image, it is converted to monochrome image from RGB one. This results in the display of the tablet strips in black and white form, where the strips will be seen in grey color and the tablets would be in black. A predefined number is assigned and kept for the tablets in a strip to keep the track of it. If the tablets are found to be lower than the defined number after image processing takes place, the microcontroller will signal the second motor to discard the strip detected. This was the logical that was used for finding the tablet strip with missing tablet. 1.8 In the similar fashion a procedure was implied for detecting and finding cracks in the tablets. For that, firstly all other components are removed from the image and only the tablet is seen. This is done through filtration technique of image processing.   After this the image is converted to black and white from the original RGB image.   Because of such design and method, only cracks could be seen in the image if there are any. They would differ in color from the black tablet. They would appear to be white thin or thick lines. So, by applying such functioning technique, the presence of any crack in the tablet could be traced. 1.9 The working of my model is very simple. Above two logics are converted into a programming code through two software Bascom AVR and MATLAB 2013, and then the code is installed in the microcontroller ATmega16. Working with MATLAB software was not difficult and coding was not an issue because of having a subject of image processing in my curriculum. When the system is powered on with the help of power supply section, the conveyor belt starts to move. When the camera lens attached to the system senses the tablet strip that is passed through the conveyor belt, it would signal the microcontroller to stop the belt that runs with the help of motor 1. This is done for analyzing the tablet strip. ADC is used for converting the analog power signal from sensors to digital form for signaling the microcontroller. The image taken of the tablet strip is scanned and analyzed according[S1] to the functions as designed in MATLAB code. It will check for any defects or cracks or any missing tablet from the strip with the help of the image that was taken through camera. Based on the quality check performed using image enhancement and by carrying out morphological operations in MATLAB, it would signal the microcontroller to start the conveyor belt if no defect is found and in situations of faulty tablet motor 2 is signal to run a rejecting mechanism. A LCD is connected to get the count of number of strips checked, rejected or for the ones that are found defective. USART is used for communicating with the PC through microcontroller and vice-versa. 1.10 In the end, I could complete the project on time. The most difficult part of my project was to design and propose the circuit diagram. As working with PCB designing software was completely new for me. It took several trials before coming on the final figure. And implementation of the hardware was tough. Few minor mistakes created led into a big problem in my end mistake. I de-soldered the wrongly connected component part and connected it in the proper way to get the desired output and the circuit running. At the last stage, a test run was performed before submitted to check the working of each component and to see that the expected output is achieved. Working in teams was a challenging task as coming on one mutually agreed statement and solution is quite difficult. Though I managed my team well and never made any unfair decisions. 1.11 SUMMARY Thus, for companies manufacturing number of tablets in a day, inspecting the final product manually can be tiresome and a tedious job. The company need the help of automated systems. So, my project is an economical and efficient way to solve this problem. They only problem with this system is that it cannot be used for transparent tablet strips and is made to use for single colored tablets. This problem can be solved by performing further expansion on my project. By performing this project, I learnt a way in which the image processing technique is applied. It was a great learning experience. I could use my engineering knowledge and use it to apply theoretical knowledge into practical grounds. While conducting surveys, I could understand the market position and market value of new technologies. It gave me a good exposure. [S1]

Pakistan Movement To Get A Separate Homeland Essay -- informative essay

Islam is the complete code of life; it covers all aspects of life. Hence, political management and political system are necessary elements of human life and Islam has best explained and endorsed its own theory of political system. Following are the essentials of Islam. 1. Sovereignty belongs to Allah. In Islam, the authority belongs to Allah Almighty who is the master of whole universe. His commands are superior to all other speeches. He is the real and the only ruler of the world. As the Quran States: â€Å"They ask: have we also got some authority? Say: all authority belongs to God alone†. (Al –Quran) Therefore, in Islamic political system, people must believe in superiority of Allah who sustains this universe and sends his representatives. 2. Islamic Shariah as Constitution. Muslim state has its perfectly written constitution, in which rights and duties of everyone are clearly mentioned. Islamic Shariah refers to rules and regulations have to lead their lives. In the Shariah, duties of state, citizen’s role, and their rights are commanded. It covers each and every aspect of life and that will last forever. As Allah Say: â€Å"This day We have perfected your religion and completed My favors†. (Al –Quran) 3. Form of Government. There are so many contemporary theories about form of government for instance, autocracy (rule and authority belongs of experts), democracy (rule by people, for the people). However, Islam prescribed the Theo democracy, which is the combination theocracy and democracy. Islam commanded that is rule of experts of shriah which are elected by citizen of the state 4. Decision through consultation: In Islamic political, khilafat is conducted by mutual consult... ...unter that situation, Sir Syed’s Aligarh movement was aimed at benefiting Muslim by directory then to get western education to be at all to par with Hindus and British. But, the philosophy of deoband was completely opposite to it, they restrict Muslim from getting western education. And in result, the deoband achieved limited sphere of influence. 3. Unclear vision: The mullahs of deoband were opposing the cooptation with British on one side, and while they were also apposed the Pakistan movement to get a separate homeland. So they had not a clear vision their movement. Though deoband movement was less popular than Aligarh Movement but, nevertheless, the importance to bring Muslim unity on the basis of Islam cannot be ignored. Their efforts and propose ware noble as they wanted to create social Justice and harmony for the Indian Muslim.