(Schlesinger) Stakeholder can be outer or inner to the commerce or the organization. For the victorious execution of the commerce and for the correct or utilized use of invested money, stakeholders rely on the CEO. Therefore, pay of the CEOs is vital for the stakeholders of the John Deere and Caterpillar. b. Literature
Week 1 Assignment Chapter 1 Q 2, 3, 6 2. The principal agent problem occurs when the principals delegate decision making authority to the agents. The agents often seek acceptable levels of profit and shareholder wealth while pursuing their own self interests. Self-interest can lead managers to focus on their own long term job security. The compensation committee of the board should align incentives for management with shareholder interest.
They influence and impact the business because the business may need money for it to keep running. The owners/shareholders provide the money that may be needed. The capital that is provided by the shareholders will pay for everything to keep the business up and running, this means that they will be paying for the costs to start up the business. This may include the salaries of the cleaners, the employees, the rent of the shop, the electric and utility bills Etc. They should be kept well informed of the financial state of the organisation, so as to encourage them to keep investing in the company.
If the income of the business is more than the expenses then the company has made money and vice versa. The figures covered in the income statement are important to its managers and owners, but also to their investors and creditors’.
Being able to track sales compared to the previous years’ numbers is a valuable tool in being able to track business. They use this information to forecast on where they think the business will be heading in the next week, month, or year. If the debt percent gets to high then they need to adjust the amount of liabilities that they have to bring that number down. Knowing the times interest earned ratio allows the managers to know at what percent the company is earning interest on its net income. Investors find this information lucrative because the more expendable cash a company has the more likely they are to pay out in dividends for the stock holders..
PROMINENT POSITIONS Board of directors Bradley J. Wechsler The role of the Board of Director is to supervise the business and affairs of the Company, Which are conducted by its officers and employees under the direction of the chief executive office CEO, to enhance the long-term value of the Company for its shareholders. The Board is elected by the shareholders to oversee management by enhancing shareholder value in a manner that recognizes the concerns of other stakeholders in the Company including its employees, suppliers, customers and the communities in which it operates. Chief Executive Officer The current CEO Richard L.Gelfond is responsible for ensuring that financial targets are being reached and that marketing activities and operational procedures are consistent with IMAX’s objective Executive Vice President & Chief Financial Officer As CFO, Joseph Sparacio is responsible for overseeing the financial activities of an entire company. This includes signing checks, monitoring cash flow and financial planning. Greg Foster Chairman & President, Filmed Entertainment Foster’s primary responsibility is overseeing all aspects of the company's global filmed entertainment activities, including creative, production, film distribution, business affairs, marketing, sponsorship, studio relationships and the revolutionary IMAX DMR® process.
6 Social Responsibility within Company Q Social Responsibility within Company Q Daniel R. Beckerman Western Governors University WGU Student #000322976 For any given business, the greatest potential for revenue growth can be found through a mix of focusing on providing for the shareholders, as well as thinking of the stakeholders as a whole. This means focusing past short term profits and creating a plan that demonstrates a measure of social responsibility. Business reputation goes a long way towards creating how large a company’s customer base is going to be, and giving the appearance of not caring about the community can lead to a loss of customers and a loss of additional revenue in the long run.
From the private interview to town hall meeting, we are building our personal power or personal fascination in the corporation so that every colleague knows this figure. To be a top manager, the conceptual and technical skills are essential, but we could not ignore the importance of human skills. In this simulation, we learnt the rudimentary of human skills in the corporation to lead, communicate, coordinate and control the behavior of other individuals. We also learnt that a high need for power is especially importance to a manager, to build the credibility in the corporation and hold a high power. We could do the decision like hold town hall meetings, build a coalition of support and clarify organizational value.
Greatness is the property possessed by something or someone of outstanding importance or eminence. It is something achieved throughout a period with hard-work, dedication, and perseverance. Jim Collins, in his book Good to Great, chooses a select few companies and recognizes there efforts and seeing the challenges they overcome to go from a good company to a great one. Jim and his team challenge themselves by identifying and evaluating the factors and variables that allow a small fraction of companies to make the transition from merely good to truly great. The book starts out and lays out the criteria that Collins and his research team used in selecting the companies that served as the basis of the meta-analysis that provided the findings
In this paper will be discussed the flexible theory of leadership and its function to the procedure in Costco Company. In addition to the role of the chief executive officer plays in flexible leadership theory. A corporation’s directorial effectiveness such as Costco has to be supported on the durable willingness to compete to succeed. In today business world the model for organizations is to become accustomed to an international globalization, diverse cultures and growth, the necessary to do better than the competition and to be able to draw attention and keep a substantial marketplace is desired to stay on the top. Marketplace frequently changes and drifts fast, for this reason leadership quality is required to guarantee the business survival and domination.