GB511C Strategic Resources Management: Final Exam
GB511C Strategic Resources Management: Final Exam
Adam J. Franco
Norwich University
Professor Laurette Brady
November 16, 2013
Manufacturing today includes all facets of research, development, production, sales, distribution, logistics, customer service, marketing, and support. It extends from the making of physical products to the delivery of services (Deloitte, 2013). Manufacturing companies now compete on a global scale and utilize specific locations around the world to their advantage. For instance, basic, simple to make products will be produced in an area with cheap, low education labor. While products that use high tech machinery that require a skilled labor force would need to be produced elsewhere. Likewise, there are many unique challenges to managing the intangible assets of organization. This paper will examine those unique challenges a manufacturing company, with operations in the US, Mexico, France and Turkey, would face with aligning their human, information, and organization capital to their global strategy.
USA
Manufacturers will open factories in the places they expect to be the most profitable and productive. That decision will certainly take into account factors like infrastructure, trade and tax policies, and the regulatory environment (Pianalto, 2011). One of the most important factors that will determine where firms locate is the quality of human capital. For a manufacturing company, the US is a good source of a well educated and competent labor force. In the US in the last 20 years, technological innovation has transformed the manufacturing work force, increasingly favoring higher-skilled individuals, many with post-secondary education. The traditional blue-collar and middle-skill manufacturing jobs, that are the traditional norm in the US, are accounting for a smaller share of employed labor force. Conversely, the number of college-educated manufacturing workers is increasing (Pianalto, 2011). A
Adam J. Franco
Norwich University
Professor Laurette Brady
November 16, 2013
Manufacturing today includes all facets of research, development, production, sales, distribution, logistics, customer service, marketing, and support. It extends from the making of physical products to the delivery of services (Deloitte, 2013). Manufacturing companies now compete on a global scale and utilize specific locations around the world to their advantage. For instance, basic, simple to make products will be produced in an area with cheap, low education labor. While products that use high tech machinery that require a skilled labor force would need to be produced elsewhere. Likewise, there are many unique challenges to managing the intangible assets of organization. This paper will examine those unique challenges a manufacturing company, with operations in the US, Mexico, France and Turkey, would face with aligning their human, information, and organization capital to their global strategy.
USA
Manufacturers will open factories in the places they expect to be the most profitable and productive. That decision will certainly take into account factors like infrastructure, trade and tax policies, and the regulatory environment (Pianalto, 2011). One of the most important factors that will determine where firms locate is the quality of human capital. For a manufacturing company, the US is a good source of a well educated and competent labor force. In the US in the last 20 years, technological innovation has transformed the manufacturing work force, increasingly favoring higher-skilled individuals, many with post-secondary education. The traditional blue-collar and middle-skill manufacturing jobs, that are the traditional norm in the US, are accounting for a smaller share of employed labor force. Conversely, the number of college-educated manufacturing workers is increasing (Pianalto, 2011). A
References: Baron, A. & Armstrong, M. (2007). Human capital management: achieving added value through people. London: Kogan Page. Deloitte. (2013). Global Manufacturing Competitiveness Index.Retrieved from: http://www.deloitte.com/assets/Dcom-Mexico/Local%20Assets/Documents/ mx(en-mx)Global_Manufacturing_Competitiveness2013.pdf Hand, J. (2009) Turkey: The Magnitude of Opportunity, UK Trade & Investment. Retrieved from: http://www.emita.org.uk/_downloads/Business%20is%20Great%20-%20with%20Turkey%20-%20Jessica%20Hand.pdf Kaplan, R., and Norton, D., (2004). Measuring the Strategic Readiness of Intangible Assets. Harvard Business Review, 82(2) Manyika, J. (2012). Manufacturing the future: The next era of global growth and innovation. Retrieved from: http://www.mckinsey.com/insights/manufacturing /the_future_of_manufacturing Pianalto, S. (2011) Invest in human capital to spark U.S. manufacturing resurgence: Sandra Pianalto. Retrieved from http://www.cleveland.com/opinion/inde x.ssf/2011/12/invest_in_human_capital_to_spa.html Parussini, G. (2013). France Seeks to Promote Industry, but Frugally Government Will Serve as Catalyst, but No Promise of Funding. Retrieved from: http://online.wsj.com/news/articles/SB10001424127887323392204579071082151614224 Spira, J. (2013) Three Ways to Manufacture in Mexico: Retrieved from http: //www.spira engineering. com/ha_mexico.html Tomko, D. (2010) TURKEY: A comprehensive assessment of Turkey’s outsourcing potential. Retrieved from: http://www.andrew.cmu.edu/user/dtomko/is_site/dtomko_TurkeyPaper.pdf