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Global Management

Compare and contrast decision making at headquarters and at foreign subsidiary locations.

Evaluate major means of control.

Describe the elements of global supply chain management.

Recommend alternatives for transporting products along the supply chain from suppliers to customers.

Derive the in-country and cross-border supply chain logistics for Riordan's(Fictitious company) move into CANADA.

Recommend management controls in line with XYZ's business objectives and CANADA

Be sure to explain where decisions will be made, at what level decisions will be made, and why decisions will be made at that level.

Solution Preview

Compare and contrast decision making at headquarters and at foreign subsidiary locations.

When a corporation establishes a subsidiary in a foreign country, its managers decide how much control they need to maintain over the subsidiary's managers and a headquarters-foreign subsidiary control relationship can be one of centralization and decentralization. Centralization refers to the process when important decisions are made at higher organizational levels or above the foreign subsidiary and more likely with pressures for global integration while decentralization refers to important decisions made at lower organizational levels or at subsidiary and more likely with pressures for local responsiveness.

Evaluate major means of control.

Most people assert that as the nature of organizations has changed so must the nature of management control and they claim that management should exist to support employee's efforts to be fully productive members of organizations and communities -- therefore, any form of control is completely counterproductive to management and employees. Nowadays, writers of management literature now prefer the use of the term 'coordinating' rather than 'controlling'. The following are some of the means of control/coordinating:

1. Various administrative controls such as standardized documents to ensure complete and consistent information is gathered.
2. Delegation is a major means of influence and therefore is categorized as an activity in leading rather than controlling or coordinating. It is assigning responsibility to an employee to complete a task and granting him/her sufficient authority to gain the resources to do the task.
3. Evaluation is to collect and analyze information carefully to make decisions.
4. Financial statements (budget management) - A review of financial statements is one of the more common methods to monitor the progress of the company's programs and plans.
5. Performance management (observation and feedback) provide an opportunity for supervisors and their employees to regularly communicate about goals and how they are going to be met.
6. Policies and procedures help ensure that employee laws are followed and minimize the likelihood of costly litigation.
7. Quality control and operations management includes organization-wide programs such as Total Quality Management, ISO9000, and operations management includes overall activities involved in developing, producing and ...

Solution Summary

The solution compares and contrasts decision making at headquarters and at foreign subsidiary locations. Major means of control are also evaluated; the elements of global supply chain management are described; alternatives for transporting products along the supply chain are given; in-country and cross-border supply chain logistics were derived; and management controls were recommended. References included.

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