Philosophy Exam

PH220 — Ethics and Values Morgan State University Dr. John Hersey Midterm Exam Directions: Your exams must be submitted through SafeAssign on Blackboard. Late submissions will be penalized 10 points (one full letter grade) and I will not accept submissions after one week past the due date, which will result in a 0 for the assignment. Plagiarism merits automatic failure for the course. Put your name, PHIL 220 with section number, Dr. Hersey, semester and year, Midterm Examination on the top left of the first page. Clearly identify section headings, item numbers, and descriptions.Remember the rubric for evaluation of written work from the syllabus. Any references to the text should be indicated simply by the page number in parentheses. Section 1: Explanations Write a 4-5 sentence explanation for 5 of the following. (20 points) The key is to be as thorough, concise, and essential as possible in the short space allotted. Full credit will be given for explanations that not only ide ntify the concept, but also indicate its context and moral significance. 1. Psychological egoism (Ch. 2) 2. Universal ethical egoism (Ch. 2) 3. Greatest happiness principle (Ch. 2) 4.Cost-benefit analysis (Ch. 2) 5. Care ethics (Ch. 2) 6. Intuitionism (Ch. 3) 7. Divine Command Theory (Ch. 3) 8. Good will (Kant, Ch. 3) 9. Practical imperative (Kant, Ch. 3) 10. Prima facie duties (Ross, Ch. 3) 11. Virtue ethics (Ch. 4) 12. Happiness (Aristotle, Ch. 4) 13. Habit (Aristotle, Ch. 4) 14. Virtue as a mean (Aristotle, Ch. 4) 15. Excellence, de (Confucius, Ch. 4) 16. Mengzi on human nature (Confucius, Ch. 4) 17. Moral absolutism (Ch. 5 and Rachels essay) 18. Cultural relativism (Ch. 5 and Rachels essay) 19. Fatalism (Ch. 6) 20. Hard determinism (Ch. 6) 21. Soft determinism (Ch. 6) 22.The Value of Life Principle (Ch. 8) 23. The Principle of Individual Freedom (Ch. 8) Section 2: Essays Write a response in answer to two of the essay questions below. (40 points each) Though quality of considerat ion takes precedence over quantity of pages, 2–3 double-spaced pages for each essay seems to be a good guideline for length. 1. In Ursula K. Le Guin’s short story â€Å"The Ones Who Walk Away from Omelas,† Omelas is a utopian city of happiness and delight whose inhabitants are intelligent and cultured. Everything about the city is pleasing except for the secret underlying Omelas’s happiness.Omelas’s good fortune requires that a single child is imprisoned and kept in filth, darkness, and misery. Upon coming of age all of the citizens of Omelas are informed of the city’s dark secret. After learning this secret most citizens remain in the city but some walk away. Many take this short story to be a sharp critique of utilitarian moral philosophy. Evaluate this critique by (1) identifying the objection implied in the story, (2) developing a careful and complete interpretation of the relevant aspects of Mill’s philosophy upon which you might base your evaluation, and (3) arguing for the success or failure of this objection.You may find a copy of the short story on Blackboard. 2. Consider the following scenario. After colliding with an iceberg at sea the luxury liner RMS. Gigantic sinks in the North Atlantic. Four survivors—two adult males, one adult female, all with families safe at home, and a 10-year old boy, who is weak from injuries suffered during the sinking and whose entire family has already perished in the disaster—are adrift on a lifeboat with barely one week’s provisions for all of them.On the seventeenth day adrift, with the survivors desperate for food, someone suggests that since the boy will most likely die anyway and doesn’t have a family to take care of that the three adults should kill him and use his body for nourishment until they are rescued. In a detailed and thoughtful essay, write an answer to the question â€Å"Is it permissible to kill the boy? † from the per spectives of Immanuel Kant (Duty Ethics) and John Stuart Mill (Utilitarianism). Your essay should include a careful and comprehensive consideration of the relevant aspects of their moral theories for addressing the question.Finally, give your own personal moral evaluation of the question and the supporting reasons for your view. 3. Consider the following scenario. Three MSU students, Joy, Faith, and Hope, work at a soup kitchen every Saturday helping the homeless. Joy devotes every Saturday helping the homeless because she loves and enjoys doing it. While there is certainly some personal sacrifice in doing so, she cares so deeply for others and sympathizes with the homeless people’s plight so much that she willingly and consistently serves. Faith also helps every Saturday, but very rarely enjoys it.Some Saturdays she goes begrudgingly and others she must force herself to go. But she does go consistently because she recognizes that there is a universal demand to do good to oth ers that can’t be ignored. Hope is on the fast track to a career in politics and will be running for public office immediately after graduation. She also helps out every Saturday, but works hard only when the local news organizations come around for interviews. In a careful and comprehensive essay analyze each of these person’s actions from the perspective of Kant’s moral philosophy.Which of these person’s actions has moral worth for Kant? Why? Why do some not have moral worth? Are there any problems with such estimation? Do you agree or disagree with Kant’s evaluation of their actions? Explain in detail why or why not and justify your view? 4. Consider the following passage from Dostoyevsky’s Crime and Punishment: â€Å"Look here; on one side we have a stupid, senseless, worthless, spiteful, ailing, horrid old woman, not simply useless, but doing actual mischief, who has not an idea what she is living for herself, and who will die in a day or two in any case. . . On the other side, fresh young lives thrown away for want of help, and by thousands, on every side! A hundred thousand good deeds could be done and helped, on that old woman’s money which will be buried in a monastery! Hundreds, thousands perhaps, might be set on the right path; dozens of families saved from destitution, from ruin, from vice, from the Lock hospitals—and all with her money. Kill her, take the money and with the help of it devote oneself to the service of humanity and the good of all.What do you think, would not one tiny crime be wiped out by thousands of good deeds? For one life thousands would be saved from corruption and decay. One death, and a hundred lives in exchange—it’s simple arithmetic! † (Part I, Chapter 6). Explain the argument given in this passage. Is it a good act utilitarian argument (assuming the facts to be roughly as stated)? How would a rule utilitarian and a Kantian criticize this way of a ct utilitarian reasoning? Which of these two kinds of criticism (if any) do you find more convincing? Explain your reasoning in detail. 5.To what extent do you believe that Jews, Christians, and Muslims use the Divine Command Theory approach rather than egoism or act or rule utilitarianism as a basis for their ethical systems? That is, do you believe that most Jews, Christians, and Muslims follow their religion’s moral rules because they believe that those rules were established by a supernatural being or for other reasons, for example for the promise of reward in the afterlife, out of fear of punishment, for salvation, etc.? Explain your answer in detail. 6. Moral rules can be very useful for governing our lives and guiding our actions.However, problems can arise in the application of such rules to unusual situations. In such cases adherence to rules can result in actions being performed that would be considered immoral. How does Aristotelian Virtue Ethics, with its emphasis on the development of a virtuous character, address the problem of moral rules? Be detailed and very specific in your consideration. To what extent do you think the problem of moral rules plays a role in modern morality? 7. Write a dialogue between two people who advocate different positions on the issue of moral absolutism and moral relativism.Be thorough, thoughtful, and reflective. Style, humor, creativity, and cleverness in your examples are all welcomed, but make sure that the dialogue makes clear that you understand the key concepts concerning relativism and absolutism. 8. Write a dialogue between two people who advocate different positions on the issue of freedom. Be thorough, thoughtful, and reflective. Style, humor, creativity, and cleverness in your examples are all welcomed, but make sure that the dialogue makes clear that you understand the key concepts concerning freedom and determinism. . Do you think that suicide is morally justified? Drawing on some of the ethical t heories from our text, explain why you believe that it is or is not justified. If you believe that it is sometimes justified, then identify and explain the conditions that make it justified. 10. Do you think that capital punishment is morally justified? Drawing on some of the ethical theories from our text, explain why you believe that it is or is not justified. If you believe that it is sometimes justified, then identify and explain the conditions that make it justified.

Investment Management

24/02/2013 1 25721 INVESTMENT MANAGEMENT Lecturers: Sean Anthonisz Nadima El-Hassan Jianxin Wang Brandon Zhu Subject Coordinator: Jianxin Wang Objectives 2 ? ? ? ? Why do you take this subject? What do you expect to learn? How much did you pay for this subject? Is this a good investment? Investment Decisions 3 ? ? How much should I invest in risky assets? How much should I invest in different risky assets? ? ? How many risky assets should I hold? When not to diversify? ? How to determine mispricing? Fair value today? Expected return next year? ? How well do asset pricing models work? ? ? 1 24/02/2013Investment Decisions 4 ? Passive versus active investing ? ? Is market efficient? Why not? What does it take to beat the market? How to hedge and how much to hedge? Derivative pricing Trading cost, liquidity, private information ? How should I manage risk? ? ? ? How should I trade? ? ? Sources of my performance? What Do We Learn in This Subject? 5 ? ? ? ? A theoretical framework for portf olio construction. A theoretical framework for the pricing of equities and bonds. Some practical applications of asset pricing models and portfolio analysis. Issues relating to market efficiency and investor behaviour.Course Structure 6 Funds Management Information Portfolio Theory Risk and Return Markets and Investing CAPM Factor Models & APT Options Fixed Income Equities Futures 2 24/02/2013 Investment Electives 7 ? ? ? ? ? ? 25705 Financial Modelling and Forecasting 25728 Bond Portfolio Management 25729 Applied Portfolio Management 24731 International Finance 25762 Synthetic Financial Products A whole range of subjects for Quant Fin majors: technical analysis, numerical analysis, fin econometrics, stat methods, derivative pricing, interest rate modelling. Prerequisite 8 ? ? 25742 Financial Management Basic math and statisticsBasic calculus and optimization Probability and distributions ? Mean, variance, standard deviation, covariance ? Linear regression by ordinary least square ( OLS) ? ? ? Read the online Quantitative Review ? A very brief review next week What Is Expected – in class 9 ? Lectures are primarily aimed at Identifying and explaining key concepts and issues Highlighting the links to practice ? Completing selected problems from text ? ? ? Questions are encouraged and rewarded. ? Discussion is better than lecture Mutual respect and encouragement; Potential problems: repeated late arrivals, chatting during lecture, academic honesty Code of behavior ? ? 3 24/02/2013 What Is Expected – outside class 10 ? Address some details within the course reading materials. ? Group study is more effective ? ? Workload is about 7-8 hours per week on average (albeit uneven), including course readings, practices, and assignments. Multiple learning channels: ? ? Multiple levels of learning: ? Web-based learning support Lecture material, textbook, and Excel sheets Approach to Learning 11 ? ? ? Read relevant chapters prior to lectures Attempt to identify and understand the key messages: Concepts? Issues? Connections?Ask questions during lecture. ? You paid $$$ for the opportunity ? ? Think & reflect; don’t just summarize & memorize. Practice using back-of-chapter questions. Approach to Learning — I listen and I forget; I see and I remember; I do and I understand. —Xun Zi Just Do It! —Nike 12 4 24/02/2013 Textbook and Readings 13 ? Bodie, Kane, Marcus, Investments, 9th Ed, McGraw-Hill/Irwin, 2011. ? You take full responsibility if using an earlier edition. ? ? ? ? Harvard Business School case study 9202-024 â€Å"Strategic Capital Management†. R.A. Haugen, Modern Investment Theory, 5th Ed, Pearson Higher Education, 2001. J. H. Cochrane, 2006, Investments Notes. Other fun books on financial markets. Assessments 14 ? Weekly online quizzes: 10 marks ? ? ? ? ? 15 MC questions in 1 hour Unlimited tries with the best mark kept Monday morning to next Wednesday midnight Once closed, quizzes cannot be re opened Best 10 marks for the semester Group-based case report Online group registration Report due 5pm Friday March 29 Late submissions carry point deduction ? Case study in lecture 6: 10 marks ? ? ? ? Assessments 15 ?Mid-session exam: 40 marks ? ? ? ? Cover lectures 1 – 6, including the case study Multiple-choice (20 marks) Short-answer questions (20 marks) No formula sheet Cover lectures 7 – 13, excluding lecture 8 Multiple-choice (20 marks) Short-answer questions (20 marks) A short list of formulas will be identified and provided during the final exam. ? Final exam: 40 marks ? ? ? ? 5 24/02/2013 Online Group Registration 16 ? ? ? ? ? ? Log in the online course website Click on â€Å"Groups† in the left panel Group names contain â€Å"1m†, â€Å"2m†, â€Å"3m†, â€Å"4m†, indicating max members = 1, 2, 3, 4, respectively.The first member is the group leader. Registration closes after 5pm on March 10. Changing group only in the most extreme circumstances. What’s Required? 17 ? ? ? Materials covered in the chapters listed in the lecture program, except certain subsections are explicitly excluded. The midsession and the final exams will focus on materials covered during lectures, with at most 3-4 multiple-choice questions in each exam on materials not covered in lectures. Materials not covered in lectures will be heavily featured in the online quizzes. Administrative Issues 8 ? Name sign: â€Å"Open† for the business of learning ? Take it out at the start of every lecture It’s good to make the lecturer know your name ? Come to consultation hours ? ? ? Other times by appointment Email for straightforward questions Complex questions are best answered through interactive discussion ? Emails will be answered before or during the next consultation hours ? 6 24/02/2013 Learning Support – Postgraduate ? ? ? ? ? Need help with your postgraduate studies at UTS Business School? Are you new to un iversity / postgraduate education?Not sure to how develop your academic skills in writing, reading, critical thinking etc.? Not sure how to complete assignments or achieve your best? Ask for help from the Learning Support Coordinator ? ? ? ? ? ? Make appointments for confidential individual help Lots of ‘online study resources’ to recommend / hardcopy study resources to share Attend the Study Skills Workshops all semester / or download them / Help by email / phone support / Email: [email  protected] edu. au www:http://www. business. uts. edu. au/teaching/student/resources/studen t-learning. tml Join us on facebook UTSBlearningsupport ? Asset Classes 20 ? ? ? ? ? ? The money market The bond market The equity market The real estate market Currency markets Derivative markets ? Financial and commodities ? Others? Trading Platforms 21 ? Organized exchanges Dealership markets Auction markets ? Electronic trading ? ? ? ? OTC – NASDAQ Alternative trading systems (ATS) ? ECNs, dark pools, internal crossings. ? Algorithm/high frequency trading 7 24/02/2013 High Frequency Trading 22 ? Menkveld (2011): a HFTer on Chi-X Dutch stocks from Jan 2007 to June 2008 Trades 1400 times per stock per day ?Gross profit per trade â‚ ¬0. 88 ? ? ? ? ? â‚ ¬1. 55 profit on the spread net of fees â‚ ¬0. 45 profit on positions < 5 seconds â‚ ¬1. 13 loss on positions >= 5 seconds Max capital committed ? â‚ ¬2 million per stock ? Implied annualized Sharpe ratio = 9. 35! ? ? Sharpe ratio for S&P500 over the period = -0. 16 ? Chi-X is in Australia. Costs of Trading 23 ? Commission: fee paid to broker for making the transaction ? Exchange members/subscribers? ? Spread: Bid and ask prices Spread: ask – bid ? P89, #14 ? Market versus limit orders ? ? ? Price impact of large tradesStock Margin Trading 24 ? ? ? ? Borrow (from brokers) to purchase shares Initial margin Maintenance margin – minimum level the equity margin can be Margin call ? Call for more equity funds ? Margin arrangements differ for stocks and derivatives 8 24/02/2013 Margin Trading – Initial Conditions 25 ? ? ? ? ? X Corp: P = $70 Initial Margin = 50% Maintenance Margin = 40% 1000 Shares Purchased Initial Position: Stock $70,000 Borrowed Equity $35,000 $35,000 Maintenance Margin 26 ? ? Stock price falls to $60 per share New Position ? $60,000=$35,000(Borrowed) + 25,000(Equity) ? Margin = $25,000/$60,000 = 41. 67% How far can the price fall before a margin call? ? ? (1000P – $35,000) / 1000P = 40% P = $58. 33 ? P88, #9 Short Sale 27 ? ? Purpose: Profit from a price fall Mechanics Borrow stock through a dealer/broker Sell it and deposit proceeds and margin in an account ? Any dividend is passed back to the lender ? Closing out the position ? ? ? ? Buy back the stock and return it to the lender Profits can be deposited into your own account ? Naked versus covered short sale 9 24/02/2013 Short Sale – Initial Conditions 28Z Corp Initial Margin Maintenance Margin Initial Price Sale Proceeds Margin Account Balance 100 Shares 50% 30% $100 $10,000 $ 5,000 $15,000 Short Sale – Maintenance Margin 29 ? Stock Price Rises to $110 Stock owed Net equity ? Margin % (4000/11000) ? ? $11,000 $ 4,000 36% ? ? How much can the stock price rise before a margin call? ($15,000 – 100P) / (100P) = 30% P = $115. 38 P89, #12 Summary 30 ? Course introduction and requirements ? Think, reflect, and participate ? ? Financial markets and assets Trading of financial assets Trading platforms Transaction costs ? Margin trading and short selling ? ? 10 Investment Management UNIVERSITY OF TEXAS AT DALLAS SCHOOL OF MANAGEMENT FIN6310: INVESTMENT MANAGEMENT SOLUTIONS TO PROBLEM SET #1 PROF. ARZU OZOGUZ SPRING 2013 1. Calculate the value of the following two bonds. Assume that coupon payments are made semi-annually and that par value is $1,000 for both bonds. Coupon rate Time to maturity Yield-to-maturity Bond A 5% 5 yrs 7. 2% Bond B 5% 25 yrs 7. 2% Recalculate the bonds’ values if the yield to maturity changes to 9. 4%. Which bond is more sensitive to the changes in the yield? Will this always be the case? When the yield-to-maturity is 7. %, the bond prices are, respectively, 1 1 1. 036 0. 036 1 1. 036 0. 036 1 1. 047 0. 047 1 1. 047 0. 047 25 1000 1. 036 1000 1. 036 908. 98 1 25 746. 58 When the yield-to-maturity is 9. 4%, the bond prices are, respectively, 1 25 1000 1. 036 1000 1. 047 827. 62 1 25 579. 01 Price of bond A decreases by 8. 95%, while price of bond B drops by 22. 45%. The longer term bond is more sensitive to a given change in the dis count rate. This will always be the case. Mathematically, there are more terms in the equation for the longer-term bond that are influenced by the discount rate.Practically speaking, your money is tied up longer with a longer term bond and so you will experience greater capital losses and gains when interest rates change. 2. A bond with a coupon rate of 4. 7% is priced to yield 6. 30%. Coupon is paid is semi-annually; the par value is $1,000. The bond has 5 years remaining until maturity. Assuming that market rates stay the same over the next five years, calculate the value of the bond at the beginning of each year and the amount of change in the bond’s value from year to year. Describe the behavior of the bond’s value over time.At t = 0, at issue the price will be 1 1 1. 0315 0. 0315 1 1. 0315 0. 0315 1 1. 0315 0. 0315 1 1. 0315 0. 0315 1 1. 0315 0. 0315 23. 5 1000 1. 0315 932. 28 At the end of year 1, the price becomes 1 23. 5 1000 1. 0315 1000 1. 0315 1000 1. 0315 1 000 1. 0315 944. 20 1 23. 5 956. 88 1 23. 5 970. 37 1 23. 5 1000 984. 73 The price change from year to year is ? ? ? ? ? 11. 92 12. 68 13. 49 14. 36 15. 27 The bond is selling at a discount today; its price will rise to move toward par value at maturity. The change in price increases as it gets closer to maturity. 3.Suppose that you purchased a 20-year bond that pays an annual coupon of $40 and is selling at par. Calculate the one –year holding period return for each of these three cases. a. The yield-to-maturity is 5. 5% one year from now. If the yield-to-maturity is 5. 5% one year from now, the bond will be selling for 1 1 1000 1. 055 40 825. 89 1. 055 0. 055 Hence, the holding-period-return (HPR) is: 825. 89 40 1000 13. 41% 1000 b. The yield-to-maturity is the same one year from today as it is today. In this case, the bond price will remain at par and therefore the holding period return equals to coupon rate 4% c.The yield-to-maturity is 2. 5% one year from now. 1 1000 1. 025 40 1224. 68 1. 025 0. 025 Hence, the holding-period-return (HPR) is: 1224. 68 40 1000 26. 47% 1000 1 4. Plot the yield curve implied by the data in the following table. Time to maturity 3 months 6 months 1 year 2 years 5 years 10 years 15 years 20 years Yield-tomaturity 2. 40% 2. 60% 3. 00% 4. 30% 4. 80% 5. 70% 6. 40% 5. 20% Based on the Expectations Hypothesis, what does the yield curve tell us about short-term rates 5 years from now? What does it tell us about short rates 15 years from now and 20 years from now?Since the yield curve is upward sloping through the fifth year, investors expect that short term rates will be higher during that period than they are today. That is, they expect the 3-month rate to be higher than 2. 4% when five years have passed. They also expect short term rates to be higher than current rates in 15 years. This is reflected in the slope of the yield curve which is positive through year 15. However, the expectation is that after 15 years, short term r ates will begin to fall again. The downward slope in the yield curve is a sign of that expectation.That is, the 3-month rate that prevails 20 years from now is expected to be lower than the 3-month rate that prevails 15 years from now. 5. The current yield curve for default free zero-coupon bonds is as follows: Maturity (years) 1 2 3 Yield-tomaturity 10% 11% 12% a. What are the implied one year forward rates? The one-year forward rate for time 2 solves the following equation: 1. 11 1. 10 1 12. 009%. Similarly, the one-year forward rate for time 3 solves That is, the equation: 1. 12 That is, 14. 0271% 1. 11 1 b. Assume that the expectations hypothesis of the term structure is correct.If market expectations are accurate, what will the yields to maturity on one year and two year zero coupon bonds be next year? We have already computed the forecast for the one year rate next year. We must now compute the expectation for the 2-years to maturity. This must equate the strategy that consist s of investing for 3 years at the current 3-year spot rate with the strategy of investing at the one-year spot rate and then rolling over the profits into a two-year bond one year from now: 1. 10 1 1. 12 13. 0136%. Hence, the forecast for the one-year yield is This implies that 12. 09%, and forecast for the two-year yield is 13. 0136%. c. If you purchase a two year zero coupon bond now, what is the expected total rate of return over the next year? What if you purchase a three year zero coupon bond? You can assume that the par value is $100. We need to compute the forecasted price of the two-year zero-coupon bond at the end of the first year. Notice that by that time this has become a one-year bond. Hence its price is 1000 1. 12009 892. 79 Today the price of this bond is simply 892. 79 811. 62 does not pay any coupons, its return is given by: 1 1 10% . 11. 62. Since this bond Similarly, if you purchase a three-year zero coupon bond today, the forecasted price a year later is 1000 1. 130136 Today, this bond’s price is simply expected holding period return is 78. 295 71. 178 1 78. 295 . 71. 178. Therefore, the 10% 6. Consider the following three bonds. You are investigating how the bonds would react to changes in interest rates. Bond A Face value Years to maturity Coupon rate Yield-to-maturity $1,000 3 5. 5% 4. 80% Zero-coupon bond $1,000 2. 85 0 4. 80% Bond B $1,000 3 8. 75% 4. 80% Assume that coupons are paid once a year. . Find the duration of each bond. Bond A Time 1 2 3 Price ZCB Time 2. 85 Price Bond B Time 1 2 3 Price Cash Flow 87. 5 87. 5 1087. 5 Present value 83. 49 79. 67 944. 81 1107. 97 Weight 0. 075 0. 072 0. 853 Cash Flow 1000 Present value 874. 92 874. 92 Weight 1. 000 Cash Flow 55 55 1055 Present value 52. 48 50. 08 916. 58 1019. 13 Weight 0. 051 0. 049 0. 899 Hence, the durations are: 0. 051 0. 075 1 1 0. 049 0. 072 2 2 0. 899 0. 853 3 3 2. 85 2. 78 2. 85 b. Calculate the modified duration of each bond. The modified durations are ? ? 2. 85 2. 72 1. 048 2. 78 2. 5 1. 048 c. Calculate the estimated percentage change in price of each bond due to a 0. 50% change in yield to maturity. The percentage change in the price of each bond due to a change in the yield? ? ? to-maturity is ? ? ? 2. 72 2. 65 0. 5% 1. 36% 1. 33% 0. 5% d. What can you conclude about the reactions of the bonds? Specifically, compare the percentage price changes of the bonds with similar durations and the bonds with similar maturities. Bonds with equal durations are more alike than bonds with equal maturities in their reactions to changes in yields. 7.Suppose that your insurance company has issued a Guaranteed Investment Contract (GIC) that matures in three years and promises to pay an interest rate of 23. 36%. The amount invested in GIC today is $150,000. You have decided to immunize your position by purchasing a bond that has a par value of $150,000, a coupon rate of 23. 36%, and four years to maturity. The bond is selling currently at par value. a. W hat is the future value of your company’s obligation? The future value of the obligation is $150,000 1. 2336 $281,588. 13 b. Assume that the interest rate stays at 23. 36%.At the date at which each payment is received, compute the accumulated value of reinvested coupons and the proceeds from the bond sale. How close will you come to your meeting your obligation? The bond pays a coupon of $150,000 23. 36% $35,040. If the market rates remain unchanged, at the end of year three it will be possible to sell the bond still at par. With this information, we can construct the following table: Year 1 2 3 3 Total future value Cash flow 35,040 35,040 35,040 150,000 Accumulated value 53,322. 78 43,225. 34 35,040 150,000 281,588. 13 That is, you will be able to repay your obligation in full.

Performance Management

2. 1. 1. Literature survey and details on Performance management The central part of Performance management is rating employee’s performance as synergy. Performance management is the process through which managers ensure that employee’s activities and outputs contribute to the organization’s goals [1]. The main requirements of the process are to know what activities and output is desired, to observe whether they occur, and to provide feedback to help employees meet expectations. While taking feedback from different sources, managers and employees identify performance problems and try to resolve those problems. It provides an opportunity for the employee and performance manager to develop goals and jointly create a plan for achieving those goals. Development plans contributes to organizational goals and the professional growth of the employee. Performance Management being the most critical area of human resource management, the department relies on evaluation results in determining the soundness of much developmental decision, which have direct impact on the business surplus. The Process of Performance Management Figure 2. 1 Process of Performance Management [2] Purpose of Performance Management [2] 1. Strategic purposes – To achieve the business objective of an organization, effective performance management plays a vital role. Performance management does this help by linking employee’s behaviour with the organizational goals. It starts defining what the organization expects from each employee and at the same time it measures the performance of each employee’s to identify either the expectations are met or not. Depending upon performance measurement, the organization can take corrective action such as training, incentives or discipline. Performance management can achieve strategic purposes on the following condition. * When performance measurements are truly linked with the organizational goals. * When the goals and feedback about performance are communicated to the employees. 2. Administrative purpose – It is the way where organization uses the system to provide information for day to day decisions about salary, benefits and recognition programs. Decision making related to employee retention, termination for poor behaviour, hiring and layoffs are supported by erformance management. As the administrative decisions are supported by performance management, the information in performance appraisal can have a great impact on the future of individual employees. 3. Development purpose – It serves as basis for developing the employee’s knowledge and skills. When the employee’s met expectations they become more valuable. Employees get aware of their strength, weakness and areas of improvement by feedback of effective performance management. Tools of performance management [3] . Performance and development reviews 2. Learning and development 3. Coaching. 4. Objectives and Performance Standards 5. Competency and competencies 6. Measurement Pay 7. Team based work 8. 360 degree appraisal 9. Performance problem solving Criteria for effective performance management [1] Figure 2. 2 criteria for effective performance management [1] The aim of the performance management should be achieving employee behaviour and attitude which supports the organization goals, strategy, and culture. If the organization strategy changes the human resource personnel should help the managers assess how the performance management system should change to serve the new strategies. Example: – If a company emphasizes customer service, then its performance management system should define the kinds of behaviour that contribute to good customer service. Focus of Performance management [2] 1. Performance improvement 2. Employee development 3. Satisfying the needs and expectations of stakeholders 4. Communication and involvement Conclusion In today's management scenario Performance appraisals have become a tool of much importance. With the help of objective and fair HR practices, Performance management can prove to be the best. The outputs of which could be used for Organization development rather than for mere employee efficiency improvement. If challenged casual and subjective appraisals will not be able to stand the test of fairness and legality. Firms are thus being forced to emphasize a participative but joint management by objectives followed by a participative, joint-periodic appraisal, to bring more clarity into the system. Performance Management 2. 1. 1. Literature survey and details on Performance management The central part of Performance management is rating employee’s performance as synergy. Performance management is the process through which managers ensure that employee’s activities and outputs contribute to the organization’s goals [1]. The main requirements of the process are to know what activities and output is desired, to observe whether they occur, and to provide feedback to help employees meet expectations. While taking feedback from different sources, managers and employees identify performance problems and try to resolve those problems. It provides an opportunity for the employee and performance manager to develop goals and jointly create a plan for achieving those goals. Development plans contributes to organizational goals and the professional growth of the employee. Performance Management being the most critical area of human resource management, the department relies on evaluation results in determining the soundness of much developmental decision, which have direct impact on the business surplus. The Process of Performance Management Figure 2. 1 Process of Performance Management [2] Purpose of Performance Management [2] 1. Strategic purposes – To achieve the business objective of an organization, effective performance management plays a vital role. Performance management does this help by linking employee’s behaviour with the organizational goals. It starts defining what the organization expects from each employee and at the same time it measures the performance of each employee’s to identify either the expectations are met or not. Depending upon performance measurement, the organization can take corrective action such as training, incentives or discipline. Performance management can achieve strategic purposes on the following condition. * When performance measurements are truly linked with the organizational goals. * When the goals and feedback about performance are communicated to the employees. 2. Administrative purpose – It is the way where organization uses the system to provide information for day to day decisions about salary, benefits and recognition programs. Decision making related to employee retention, termination for poor behaviour, hiring and layoffs are supported by erformance management. As the administrative decisions are supported by performance management, the information in performance appraisal can have a great impact on the future of individual employees. 3. Development purpose – It serves as basis for developing the employee’s knowledge and skills. When the employee’s met expectations they become more valuable. Employees get aware of their strength, weakness and areas of improvement by feedback of effective performance management. Tools of performance management [3] . Performance and development reviews 2. Learning and development 3. Coaching. 4. Objectives and Performance Standards 5. Competency and competencies 6. Measurement Pay 7. Team based work 8. 360 degree appraisal 9. Performance problem solving Criteria for effective performance management [1] Figure 2. 2 criteria for effective performance management [1] The aim of the performance management should be achieving employee behaviour and attitude which supports the organization goals, strategy, and culture. If the organization strategy changes the human resource personnel should help the managers assess how the performance management system should change to serve the new strategies. Example: – If a company emphasizes customer service, then its performance management system should define the kinds of behaviour that contribute to good customer service. Focus of Performance management [2] 1. Performance improvement 2. Employee development 3. Satisfying the needs and expectations of stakeholders 4. Communication and involvement Conclusion In today's management scenario Performance appraisals have become a tool of much importance. With the help of objective and fair HR practices, Performance management can prove to be the best. The outputs of which could be used for Organization development rather than for mere employee efficiency improvement. If challenged casual and subjective appraisals will not be able to stand the test of fairness and legality. Firms are thus being forced to emphasize a participative but joint management by objectives followed by a participative, joint-periodic appraisal, to bring more clarity into the system. Performance Management Every organisation aspiring to achieve success by extending its wings from the mother country to a host country has to put into consideration certain pertinent issues that govern assimilation of the organizational culture into the existing political and socio-economic structures of the host country. The fundamental is an organisation aspiring to put up a new site in a foreign country, that is, China. Based on the survey and group discussion findings, the Managing Director seems to make assumptions that can dearly cost the organisation its success. For instance based on issues to do with the organizational background, the Managing Director has to put into keen consideration issues like the differences between China and the UK in terms of political structures, socio-cultural and economic issues, geographical advantage among others. For example every country has a political structure that differs from others in a way though by some aspects there could be some similarities. Another issue is the socio-economic structures which work together with the political system of a country. A country with capitalistic principles is totally different from a country whose system embraces communism. An organisation from a capitalistic country (with a capitalistic orientation) will find problems operation in a host country that embraces communism. This is because it has to source for manpower from the country and the success of an organisation is majorly determined by the dedication of the personnel or manpower. Therefore the Managing Director is expected to put into consideration these factors. Maybe to ensure progression of the organisation culture and way of operation, certain key positions have to be occupied by experts from the mother organisations to aid steer the branch into prosperity. The geographical location of an organisation is crucial in determining its success. This will be taken to refer to advantage or benefits it reaps by being close to other powerful economies or near an extensive market which would ensure obvious success. This might not be a serious issues since fundamental in UK wound reap similar benefits as fundamental China because both offers good market. However, issues to do with purchasing power, tastes and preferences and also cultural issues that determine whether the immediate population will accept the products offered or not should be considered. Other issues have to do with the quality of manpower in China compared to UK since it would be cheaper to work with local manpower than imported expertise. This is due to effects cost of production which might affect the profitability of the organizational operations. About the survey carried out and the group discussions held I would say that this was a smart move to seek to understand crucial issues concerning activities in the organisation, attitudes and perceptions of the personnel. Picking on the findings I would say that the parameters used were the most appropriate. They touched most of the crucial issues concerning the relationship between the management and the employees. Thorough, investigation would be required to ascertain the claims posed by the employees. On technology the managements should ensure utilization of modern technology to better productivity rather than surveillance and monitoring and manipulation of employee activities in the firm to the advantage of the management and at the expense of employee convenience and satisfaction. This would boost trust and help cultivate a culture of hard work, efficiency and effectiveness at work. On health, any screening or medical tests should be designed in a way to erase the already conceived idea of discrimination. It should be done in a way that will convince the employees that it is for further privileges in health care facilities offered by the organisation. If no health care service or privileges are offered the organisation will lack a way of convincing its employees. On morale, as much as the company appeals for unity it should cultivate the same by making the employees feel part of the organisation. A situation whereby the management is detached from the rest of the organisation the senior personnel enjoys privileges and opportunities that the juniors and other employees do not, staff morale is expected to be low. All programmes should be aimed at motivating the employees to work and hard since they feel part of the system. Too much bureaucracy would temper with proper running of the organisation’s productive processes. On communication, there should be constant contact between the management and the employees. As cited earlier too much bureaucracy stagnates processes. The employee would be bored and demoralized if all the time they have to communicate their views, they have to pass through a long process and through intimidating situations. The senior management is supposed to keep moving around not exactly to monitor operations but to create a friendly atmosphere between the management and the employees. Cultural change in an organisation is only achieved by ensuring structures are put up to achieve the set goals. The management should feel socially responsible to the employees. The goals set should be achievable and the organisation should provide an enabling environment to help the employees achieve the set objective. The manner in which this survey was conducted was proper for problem solving and ensuring changes in the culture of the organisation. An organisation grows and for it to attain progress in its growth it has to employ proper strategies in role administration. Proper communication, good leadership and organizational skills boost the morale of the employees a great deal. Good leadership and utilization of proper channels of communication ensures enhancement of self-confidence among the employees. Think of a situation whereby employees are viewed as desperate people who have no choice other than to keep on working there. The managers use intimidating language and they keep commandeering the employees every now and then. There is not direct contact between the juniors and the seniors. This makes the employees shrink back, never express their views and opinions and that would be a looming disaster in the organisation. At times it even leads to strikes or go slows. Lack of accountability by the management is another indicator of poor organisation leadership. Transparency and accountability are leadership skills, every manager must have. Employees are grown ups and they should always be let to know why things happen the way they do in the organisation. They should be kept aware of the progress or problems and challenges experienced by the organisation. Still on leadership the employees should be encouraged to exploit their full potential. Means should be provided for self exploitation and the organisation should encourage the employees to be committed to their work. Patriotism, commitment and loyalty to the organisation will not be brought about by a whip, rather it will be a product of good governance in the organisation. Staff or employee motivation is the ultimate goal that can be achieved by an organisation. When proper communication is done and other good leadership skills are inculcated in the management circles, then morale will be boosted among employees of the organisation and a motivated labour force can make tremendous achievements. The benefits an organisation can derive from good governance and proper communication include a committed labour force. Employees will have their minds geared on achieving organizational goals. Secondly the organisation will not have to replace employees when they run away from the organisation. It will also not incur more cost in training new employees or staffs. Employees will not absent themselves on flimsy grounds just to get off the boring place and employees will not suffer from stress related complications due to working under tight conditions. Morale will be boosted and everyone will feel obligated to ensure the success of the organisation. The employees are also likely to unleash their full potentials leading to high creativity and innovativeness and therefore the organisation will incur low costs of acquiring expertise from outside. This ensures also quality production and all these combined will reduce the cost of production and boost profits. This creates a culture that is value based, organizational ethics are adhered to and conflicts are minimized. Generally, this enhances unity of purpose and all the employees are geared towards achieving a common objective. If the management considers this, it prevents a looming management disaster. No organisation can progress without putting these factors into consideration. Fundamental should undertake expansion programmes by cultivating such a spirit. It does not matter what socio-economic set up employees come from; all human beings work efficiently and effectively where managers of work are realistic and reasonable. A work force that embarks on stress management cannot ensure progress in an organisation. Every organisation has a culture. Organizational culture has much to do with the values held dear by the organisation, the attitudes of both the management and the employees and the general behaviour of the workers in the organisation which is a manifestation of the values upheld and embraced by the organisation. Let us dissect this issue of organizational behaviour. Behaviour is shaped among other things by motivation. A motivated work force feels proud of their work places and the organisation. They will report to work early and they will have a reason to buy a couple of minutes in the organisation later after day’s period of work elapses. They keep talking about the organisation and would love to be associated with it. Behaviour is also influenced by work performance. An organisation that has hit the headlines for its performance makes the employees feel proud of it. Even other companies envy it to cross over to it by offering better remunerations. An organisation that offers equal opportunities and allows juniors to enjoy privileges enjoyed by the seniors will have employees who are motivated, proud and committed. A well motivated work force exhibits good group dynamics. An organisation has different operations and departments. Each section works as a group and all the sections work as one achieving great heights. Behaviour is a product of the culture of an organisation. Culture in an organisation is developed through strategies. This involves unity of purpose, team work, problem solving, creativity and innovation, profit maximization, accountability among other things. An organisation with a good culture ensures first of all team work spirit is inherent in its structures. This most assuredly enhances quality, effectiveness and efficient productive processes, better human resource development and allocation of resources which boosts its publicity. Team spirit also ensures that the work force is receptive to other better ideas. New issues keeps emerging in trade circles and a non-receptive labour force would cause a serious failure in productive processes of an organisation. A culture that is aimed at problem solving one of the best fault finding, pointing accusing fingers at people only results to more chaos. Man is to error though it should not be deliberate. But whenever a problem arises among the employees or if at all differences arise between management and the employees it should be tackled in a manner that it would result to a settlement of the dispute. I would recommend the Fundamental for working towards this end. A good culture also ensures an integrated and collaborative training and learning. This imparts similar skills at all levels and ensures effectiveness and efficiency at all levels. Opportunities should always be equitably distributed and on merit so that employees are also encouraged to their best. Of great importance is development of communication systems within the organisation and between the organisation and the outside which is the society. An organisation publicizes itself by ensuring proper flow of information. This is besides quality products and proper waste disposal. Though our main interest is human resource development all these issues come in to determine organizational performance. There are myriad of ethical issues concerning firms or organisations. However, we will embark on ethical issues concerning human resource management. Failure of an organisation to ensure ethical working conditions could definitely lead to failure of organisation to achieve its goals. For instance work force that is forced to work in risky areas and in pathetic conditions will not deliver. For instance it is unethical to put workers in a section of production where machines produce a lot of noise and you fail to provide ear masks. It is also unethical to put worker in unhygienic conditions. Working environment should ensure safety and high health conditions. Remuneration should be properly done. It is unhealthy to seek certain favours as a manager inorder to promote or offer certain privileges. It is also unethical to force someone to compromise their cultural and religious values. All employees manhandling juniors by management and general failure by management to communicate effectively to the juniors is unethical. It is worth noting that loopsided decision making is not in accordance to the corporate or business’s code of ethics. All organisations should ensure that ethical issues are adequately addressed to ensure organisational’s success. Performance Management CMIChartered Management Institute Diploma in Management and Leadership UNIT S8003 – Performance Management Julie RowcliffeNovember 2012 Task 1 A. C. 1. 1 Explain the links between Individual, team and organisational objectives A. C. 1. 2 Identify the selection of and agree individual and team objectives A. C. 1. 3 Identify and agree areas of individual and team responsibility in achieving objectives Introduction Edinburgh College is going through major change at the moment with the merger of 3 Edinburgh College’s coming together.Our new principal is in place and is currently setting the new management structure and organisational objectives for the next 5 years. Edinburgh College must find alternative ways of securing income due to huge cuts made from the Funding Council. The Government has made a commitment to provide 25000 apprenticeships throughout Scotland for 16 – 24 years old but predominantly 16 – 19 year olds. There is a huge pressure from the Gove rnment for College’s to engage in these programmes which will in turn bring new funded money into the college which will soften the shortfall from the Funding Council.Using the 7 stages based on â€Å"Plan-Do-See† (hand out from Annette) I will discuss and identify Task 1 1. 1 Check Vision 1. 2 Establish Vision 1. 3 Check Vision 1. 4 Establish Vision 5. 1 Self Appraisal 5. 2 Performance appraisal 5. 3 Confirm appraisal results 5. 1 Self Appraisal 5. 2 Performance appraisal 5. 3 Confirm appraisal results 2. 1 Draw up preliminary strategic objectives 2. Create strategy map 2. 1 Draw up preliminary strategic objectives 2. 2 Create strategy map 4. 1 Check Progress 4. 2 Find ways for improvement 4. 1 Check Progress 4. 2 Find ways for improvement 3. 1 Specify Performance Indicators 3. 2 Set Weight 3. 3 Specify and distribute initiatives 3. Agree on performance goals 3. 1 Specify Performance Indicators 3. 2 Set Weight 3. 3 Specify and distribute initiatives 3. 4 Agree on pe rformance goals Job analysis Job analysis Job appraisal Job appraisal Vision Clarification 1. 1 Check Vision With a new college and new principal and changes to the way funding is granted to college’s, there must be a new vision put in place. . 2 Establish Vision To increase and provide opportunities for 16 – 19 year old Modern Apprenticeship programmes across a wide range of vocational areas. For Edinburgh College to succeed in doing this we must diversify into new areas to help this area grow. The government is driving their commitment for college provision for 16 – 24 year olds; therefore the college cannot ignore this directive from the Government. From a college aspect this has potential to draw several million pounds direct from the Government.Strategic Objectives establishment 2. 1 Draw up preliminary strategic Objectives As Modern Apprenticeship Coordinator I must set clear objectives and ensure each individual involved is clear of their role to achieve these Objectives. These objectives include, ensuring contract are filled with apprentices, ensuring tutors and assessors provide excellent training and mentoring to â€Å"keep them on board† which in turn will achieve the objective of full funding claimed and brought into the college. 2. Create strategy Map A strategy map represents how an organisation creates value. A strategy describes how an organisation can create sustained value for its shareholders, customer and communities. Using Robert S. Kaplan and David P. Norton STRATEGY MAPS THE COMPLETE SUMMARY would help me set clear Strategic Objectives Performance goal establishment 3. 1 Specify Performance Indicators The goal is to ensure all apprentices achieve their qualification and maximise full funding available. 3. 2 Set WeightI would meet with assessors individually and put in place a performance goal agreement. I would use Skills Development Scotland’s benchmark % rate to monitor performance. 3. 3 Specify and d istribute initiatives I would meet with all staff involved and ensure full clarity of responsibilities was understood. As MA Coordinator I would survey on going initiatives and look at development of new initiatives and distribute any new initiatives with full discussion of all staff. 3. 4 Agree on Performance goalsI would meet individually with assessors confirm what was expected to be achieved and set quarterly targets and meetings to discuss these goals, this would link up with their performance goal agreement. Monitoring and coaching 4. 1 Check Progress We have internal verifiers (IV’s) within the department who check all apprentice portfolios monthly; we also have external verifiers (EV’s) who come into the college every 6 months to ensure we are delivering in line with the awarding body rules. This helps to ensure we are delivering high quality training.I meet regularly with IV’s to discuss individual apprentices which allows me to see progress. 4. 2 Find ways for improvement I would observe staff’s work, listen carefully to staff and their views and questions and give them feedback on ways of improvement, possibly mentoring another assessor if there is a weakness in an area that another excels in and close regular meetings to provide support. Performance appraisal 5. 1 Self Appraisal I would collect performance records from various sources look at achievement rates and prepare performance results and supporting documents. 5. 2 Performance AppraisalI would have a one to one meeting with individuals do discuss performance and would use SDS’s benchmark % performance to calculate how successful their performance is this again would be linked back to their performance goal agreement. 5. 3 Confirm Appraisal results This would be done in a one to one meeting with recorded notes of appraisal results and feedback with any actions required. Job Appraisal These are carried out by way of Staff Development Reviews (SDR’s) or Performance Development Reviews (PDR’s) these are used for staff with income responsibilities within Edinburgh College.These reviews are carried out yearly by managers and their staff, objectives and goals are measured from the previous year where they were set and are looked at and graded as; achieved, partially achieved or not achieved. Job Analysis At this stage, the essence of jobs (accountabilities) within an organization is clarified, and major activities and necessary capabilities are defined to achieve such accountabilities. This would be done by looking at job descriptions and work activities within that role. Task 2 A. C. 1. Identify the need to create an environment of trust and support with others A. C. 2. 2 Identify the causes of conflict and describe strategies to minimise or prevent conflict As MA Coordinator it is my role to ensure staff feel supported and clearly understand their roles within the department. To create an environment of trust thee must be exc ellent communication by way of regular meetings, encouragement, and giving recognition for achieving goals which is a motivational factor from Herzberg’s motivators and hygiene factors, (Herzberg – The Motivation to Work 1959).This allows for a more harmonious working environment as everyone is clear on their own individual responsibilities and goals. As a manager I must present information clearly, concisely, accurately and in ways that promote understanding. Conflict can arise when there is lack of clarity in roles or staff do not understand fully what is expected of them, equally there are other factors which can cause conflict which can be a direct effect of bad communication between myself and staff or lack of training, poor supervision, working conditions which are hygiene factors ofHerzberg’s motivators and hygiene factors. Using the chart below taken from Pathways to Management and Leadership, Diploma in Management Unit C45 I will show an example of how conflict can arise and ways of preventing this. The right skills and the knowledge| +| Motivation to do the job| +| The necessary resources| =| Objectives Achieved| Clerical in The funding Unit has responsibility for checking apprentice quarterly reviews are completed properly and sent out to employers on time in line with SDS rules. These reviews are sent on to employers to show how apprentices are progressing with college training.One to one training given to clerical from MA Coordinator explaining what is required. Clerical already deals with outside Training Providers reviews therefore her experience and knowledge of what is required is essential to reviews being completed accurately and within time deadlines. | +| Receiving positive feedback and comments from employers shows this is a worthwhile exercise and not just a ‘tick box’ exercise. This makes the clerical feel this is a valuable job worth doing. A new rule was brought in by SDS that they required to see any absences recorded on the review form.MA coordinator communicated this to the assessor and tutors who carry out the reviews through an e mail but only some read the e mail and this was not put in place in time for the next set of reviews. I then spoke to the clerical and explained this in a casual conversation but the clerical did not realise this had to start immediately. Reviews were then carried out and sent out to employers without this information. This caused conflict between me and the clerical as she felt she hadn’t been properly/officially told about this.We agreed monthly one to one meetings would be set up to go through the review process and ensure this did not occur again. MA Coordinator took full responsibility for this not being implemented when it should have been. It was also agreed to hold monthly meeting with assessors and tutors to ensure all were made away of the ever changing rules SDS create and although e mails should still be sent this could not be th e only form of communication with such important matters. | +| MA Coordinator secured 10 hours of extra clerical help to manage this process.This was done by putting a business case forward to the Vice Principal and HR. | =| Objective was achieved as quarterly reviews were sent on time to employer and apprentice. These are recorded on spreadsheet and copies kept in apprentice portfolio. Employers happy to see progress at college and SDS compliance rules were met. | Task 3 A. C. 2. 1 Evaluate and assess individual and team performance against objectives A. C. 2. 2 Identify methods of providing feedback to individuals and teams on performance A. C. 2. Explain recording systems for performance assessment for individuals or teams Using SMART objectives (Performance Management Key Strategies and Practical guidelines, Michael Armstrong) allow me to look at how we can achieve our main objective within the Funding Unit, which is to ensure the contracted places allocated to Edinburgh College are fulfilled and the contract value met. Element| How does the objective include this element| Specific| To fulfil contract places granted by the government and ensure full contract value is met. Measureable| This is measured by the amount of apprentices that are started on the Modern Apprenticeship programme within the college and also measured against the monetary value on the contract. | Achievable| This is achievable by assessors and MA Coordinator engaging with employers and selling the Apprenticeship programme to them. | Relevant| This is extremely relevant as the college is pressurised through the Government initiative to commit to 25,000 apprentices across Scotland in 2012. The funding council see this as a way of colleges bringing in income to cover for the shortfall of funding from the funding council. Timescaled| Contracts from SDS are bid for on a yearly basis, March to March. If contracts are not fulfilled colleges are in danger of losing this income. | In order for t he target to be met assessors must understand when units need to be achieved with apprentices so this can be converted into monetary value. This process involves assessors, tutors and me. Using a complex spreadsheet (see below) which holds information on the qualification the apprentice is following, the monetary value against each individual as this iffers depending on qualification, the actual month these must be achieved and the overall performance of the contract can be assessed using this spreadsheet. SDS has an online system called Corporate Training System (CTS) that all Training Providers must use to record and claim all progress on apprentices. SDS set % Performance benchmarks that must be met to allow future contracts to be secured. This is another way I can monitor performance of the contract. This is based on new starts and leavers to achievers.I send the spreadsheet weekly to assessors prior to our weekly meetings to discuss the progress of individual apprentices and lo ok at any potential apprentices who are not achieving. I would arrange a meeting between me the assessor and apprentice to try and find ways of supporting the apprentice, the offer of extra support through means of Edinburgh College’s Student Support Services are often taken up by apprentice with various tools to help assist them, e. g. extra time on exams or extra material given to help self study.Good performance management is achieved through all parties ensuring that: Staff know what is expected of them, every one clear about goals and works towards them, objectives are SMART (Specific, Measurable, Achievable, Relevant and Time related), a system exists to accommodate day to day performance feedback (spreadsheet above) and Staff Development Reviews are used to help self development and improve performance. The spreadsheet records performance of each individual which in turn shows me how each assessor and apprentice is performing. Another form of performance assessment cou ld be the 360 degree (http://cipd. o. uk/factsheets/360-degree-feedback. aspx) assessment which allows for performance feedback for a person, team, or organization by many of the people who work with a person or team in that organization. When employees receive feedback only from their managers, they act on limited information. If employees receive feedback from other co-workers — a 360 ° feedback assessment — they gain a more complete picture of performance. Using this method I could adopt questions for the apprentice, assessor and myself to look at how they see themselves performing.This could allow me to analyse each score and discuss any issues before the problem arises. For example a question on how an apprentice thinks he is progressing could show different to how an assessor perceives this. TASK 4 A. C. 3. 1Explain a performance improvement cycle A. C. 3. 2 Discuss the indicators of poor performance A. C. 3. 3 Evaluate methods that support performance improvem ent There are many different variations to the performance improvement process, but most follow a version of the PDCA cycle: plan, do, check, act.The â€Å"plan† part involves identifying the nature of the problem, obtaining the resources to fix it and determining the best way to implement change. The â€Å"do† part is the actual changing of an existing process. The â€Å"check† part involves measuring key performance indicators to ensure that the new process is performing as expected. The â€Å"act† part includes making changes to the change in order to make the underlying process as efficient as possible. Using the management cycle (Performance Management, Michael Armstrong) below works as a continuous process to manage performance. Plan Plan Act Act Review Review MonitorMonitor Plan – To ensure all places on the SDS contract are filled within the one year time frame given by SDS Act – Meet with tutors and assessors to discuss their input, commitment and responsibilities Monitor – Achieved through monitoring of new starts on MA programmes Review – Look at ways of reviewing this with regular assessor meetings Part of the assessor’s responsibilities is to recruit apprentices and find suitable employers willing to employ them and allow them to attend college to achieve their qualification. As MA Coordinator I was aware one of the new assessors was not achieving targets and goals set.Several meetings had taken place between me and the member of staff and he eventually indicated lack of time and full understanding of SDS and MA rules were hindering his achievement rate, he also indicated he felt I did not give him enough information to carry out this aspect of his role. He brought up a situation where he had recruited an apprentice who was 20 and the contract only allows 16 – 19 year olds, he felt he should have been made aware of such a relevant rule. He also felt uncomfortable about speaking to employers as he sees this as a ‘sales pitch’.I had given him a set of the SDS rules and wrongly assumed he would read through these and ask any questions he was unsure of but due to time constraints he had not done this. I recognised a need to spend more time with this assessor and look at ways to ensure he was aware of all rules to enable him to achieve his goals. I set up regular meetings between myself and a more experienced assessor, which allowed the experienced assessor to share good practice and tips with this member of staff. I organised for the assessor to shadow the more experienced assessor on going out and visiting employers.I also set up staff development with our commercial department who have a sales aspect responsibility within the college; he worked closely with one of the sales staff on going out visiting employers and seeing firsthand how to enhance his sales skills. I introduced an information sheet which the assessor could take with him to employ ers which gave him a starting point when going into speak with employers. I also introduced a financial bonus scheme to both employers and apprentices as I recognised employers had no real incentive to take on apprentices.Within 1 month or setting this up the assessor had filled all his places on his programme. TASK 5 A. C. 4. 1 Discuss the organisations disciplinary and grievance procedures A. C. 4. 2 Identify the role of the manager in both the disciplinary and grievance procedure A. C. 4. 3 Summarise the key aspects of legislation that applies to an organisations disciplinary and grievance procedures Disciplinary rules and procedures help to promote orderly employment relations as well as fairness and consistency in the treatment of individuals. Disciplinary procedures are also a legal requirement.Disciplinary rules tell employees what behaviour employers expect from them. If an employee breaks specific rules about behaviour, this is often called misconduct. Employers use discipl inary procedures and actions to deal with situations where employees allegedly break disciplinary rules. Disciplinary procedures may also be used where employees don’t meet their employer’s expectations in the way they do their job. These cases, often known as unsatisfactory performance (or capability), may require different treatment from misconduct, and disciplinary procedures should allow for this. http://www. acas. org. uk) Within Edinburgh College the Grievance and Disciplinary policy was updated in January 2010 and will run through to January 2014 this is approved by the Joint Trade Unions and Senior Management. (See appendix 1) In Edinburgh College all line managers have a responsibility to deal with Grievance and Disciplinary matters. In many cases formal disciplinary action can be avoided if the line manager tackles the problem with their staff as quickly as possible, e. g. poor timekeeping, poor relations with colleagues, improper use of telephone and or inte rnet etc..This could be improved through discussion rather than through formal disciplinary procedures. Problems dealt with early enough can be ‘nipped in the bud’ if acted upon firmly and fairly with the emphasis on counselling the individual that their behaviour is not up to the standard and must improve. Although informal the meeting must be recorded along with what was discussed at the meeting and any agreement reached. If however the employee is not satisfied with the outcome then formal procedure should be initiated.If formal procedures need to be initiated there are 2 stages within Edinburgh College’s Grievance and Dispute Policy and Procedure that must be adhered to, firstly Stage 1 where the employee should submit a formal, written statement of the grievance (appendix 2) to their line manager. If this relates to their line manager it should be given to the next senior manager. A meeting will take place within 5 working days, if another meeting is require d after this, it should also happen within a 5 days of previous meeting. The employee will be notified in writing within 5 days.If agreement is not reached the employee will be advised of their right to appeal the decision in terms of Stage 2 of this Policy and Procedure. Stage 2 will only be initiated if a resolve was not found. The employee would then submit a written appeal to the Principal within 10 working days of the outcome from Stage 1. All previous documents will be available for the Principal and employee prior to the meeting. Once the Stage 2 meeting has taken place the outcome will be notified in writing to all parties no later than five working days.The Principals decision will be final. On 6 April 2009, the new ACAS Code of Practice on Disciplinary and Grievance Procedures came into force. The current legislation on dismissal and grievance procedures introduced in 2004 was replaced by a far simpler, but not legally binding code. The new Code will provide guidance for e mployers and employees to handle disciplinary and grievance situations that arise in the workplace. â€Å"Employers and employees should always endeavor to resolve disciplinary and grievance matters informally in the workplace.The Code provides a standard of reasonable behaviour to help them to do this,† says Lauren Harkin, Solicitor in the Employment Law team at Lemon&Co Solicitor. However management within an organisation will adhere to statutory rules and lawyers would argue the interpretation (quote from Scott Charles Forbes, solicitor, Miscarriage of Justice Organisation) To summarise Disciplinary and Grievance procedures are frameworks which provide clear and transparent structures for dealing with difficulties which may arise as part of the working relationship from either the employer’s or employee’s perspective.They are necessary to ensure that everybody is treated in the same way in similar circumstances, to ensure issues are dealt with fairly and reas onably, and that employers are compliant with current legislation and follow the Acas Code of Practice for handling disciplinary and grievance issues. Disciplinary procedures are needed to: * let employees know what is expected of them in terms of standards of performance or conduct (and the likely consequences of continued failure to meet these standards). identify obstacles to individuals achieving the required standards (for example training needs, lack of clarity of job requirements, additional support needed) and to enable employers to take appropriate action. * enable employers and employees agree suitable goals and timescales for improvement in an individual's performance or conduct. * try to resolve matters without recourse to an employment tribunal. * act as a point of reference for an employment tribunal should someone make a complaint about the way they have been dismissed.Grievance procedures are needed to: * provide individuals with a course of action if they have a com plaint (which they are unable to resolve through regular communication with their line manager). * provide points of contact and timescales to resolve issues of concern. * try to resolve matters without recourse to an employment tribunal. References | Appendix 1| Appendix 2| Armstrong, M (2006) Performance Management Key Strategies and Practical Guidelines| Existing Motor Vehicle Projection Sheet 2012 – 2013|Forbes, SC Solicitor, Miscarriage of Justice Organisation| Harkin, L Solicitor in the Employment Law team at Lemon ; Co Solicitor| Herzberg, The Motivation to Work 1959 http://www. acas. org. uk| http://cipd. co. uk/factsheets/360-degree-feedback. aspx| Kaplan, R S and Norton, D P, Strategy Maps The Complete Summary| Pathways to Management and Leadership, Diploma in Management Unit C45 | The 7 stages based on â€Å"Plan-Do-See† (hand out from Annette)|

Student's Demands on and Expectations Essay Example | Topics and Well Written Essays - 750 words

Student's Demands on and Expectations - Essay Example But still, they are not mature enough to take complete responsibility (although partial) for their actions and reactions. University students, on the other hand, are much more mature and are completely able to live a life on their own. They can take their own decisions, make their own choices and are able to take the responsibility for their actions and reactions, whatsoever. There are thousands of all kinds of expectations and demands made on high school students. These demands create an environment that puts a pressure on the students enabling them to familiarize with competition and professionalism. These demands help them become more realistic, more practical, more familiarized with the outer world (outside their innocent nutshells) and come out of their childhood fantasy-world. Teachers demand students to be more mature in their studies, mainly assignments, writings, papers, reports, presentations, etc. They also demand them to be less childish and more grown-up for that matter. After so many things expected from high school students, they have some expectations in turn too. They expect their elders to be more cooperating and helping as their lives become more and more challenging so that they get thorough this very difficult, yet interesting and very memorable part of their lives. They expect their teachers to assist them in the more challenging jobs and assignments assigned to them and want a little leniency, at least in the attitude, to help them cope with these new challenges. Demands on University Students: University students are subjected to similar expectations as the high school students as well but on a much higher level. Since they are considered to be much more grown up and mature. Considered to be old enough, they are expected to portray a bit more adult behavior than high school students. Their teachers expect them to be more professional and able to understand harder things easily. Since they are about to enter the actual professional world soon enough, they are expected to come out of books, understand the practical world and act accordingly. The environment of a university is rather professional than educational since the main thing to be taught at this level is professionalism and practicality and not education (since that is what is done throughout their previous years - like high school) Parents expect them to be almost completely on their own. Sometimes, they are even expected to fulfill their financial requirements themselves through some part-time job etc (unlike high school students who are completely dependent upon parents). Expectations of University Students: Unlike high school students, the expectations of university students are comparatively more practical and realistic. They try to be on their own as much as they can but obviously they are not independent grown-ups (but on the verge of being one). So they expect at least some leverage in some such regards. Similarly, they are not

How To Build An Effective Team Essay Example | Topics and Well Written Essays - 1750 words

How To Build An Effective Team - Essay Example Development of the employer-employee affiliation is significant to both parties for quite a few motives (McShane & Glinow, 2004, Pp 415-417). 2. Secondly, employees might discover that improved moral performance on their part in fact fallout in advanced reimbursement. For example, many organizations are concerned in connection with marketing, which is the procedure of generating and upholding lasting dealings with customers. Connections marketing, which can help an organization add to its income, necessitate the collaboration of employees. Employees that execute their jobs carefully and industriously are often pleased with elevated pays. 3. Thirdly, even if there is no substance increase, morally suitable behavior provides wisdom of complacency. So, it is beneficial for each organization to uphold elevated principled values and thus promote confidence among an organization and its employees. Organizational Behavior organizations or companies have been illustrated as groups of people who work mutually dependent headed for various reasons. This description evidently specifies that organizations are not structures or parts of any mechanism. Organizations are, certainly, people who work together to achieve communal purposes. The learning of organizational Behavior (OB) and its associated topics assist us to comprehend what people believe, sense and do in managerial surroundings. There are quantities of behavioral regulations that supply to OB: psychology, sociology, social psychology, anthropology, and political science. There are a lot of disputes and chances today for managers to use OB perceptions. One of the mainly significant and multi-ethnic confronts facing organizations at present is developing a new team. Organizations are becoming more diverse in provisions of gender, race, and ethnicity. Keeping in consideration the ideas of OB permits organization to make possib le the needs of developing a new team. Characteristics For Building A New Team 1. Supervisors, managers and association personnel members generally discover ways to progress business consequences and productivity. Many view team-support as the most excellent plan for linking all employees in generating trade accomplishment. No matter what one calls its team-support development attempt: incessant development, totality of quality, bend over manufacturing or self-aimed at work teams one is determined to get better consequences for its customers. 2. Considering diverse kinds of people and probable behaviors to contract with them permits a manager to choose the management style and techniques most suitable to their circumstances to build an effective team. 3. Research on performance of employees in an association could assist in choosing and guiding founded on there experienced prospective to execute the job. 4. Employees performance aids in make a decision of wages rates, founding presentation standards, work scheduling, allocation of work according to persons capability and locating to-do list when building a team.

SWOT annalysis Assignment Example | Topics and Well Written Essays - 500 words

SWOT annalysis - Assignment Example This paper examines the company’s strengths, weaknesses, opportunities and threats as depicted in the Figure 1 below. With regard to strengths, PepsiCo, Inc. is renown in maintaining top brands. Indeed, Pepsi is one of the most recognized brands in the globe. In the year 2008 for example, Pepsi featured in the 28th position in the top 100 global brands rankings. Furthermore, most of its other brands are top brands as well. They include Diet Pepsi, Lipton Teas, Tropicana, Aquafina Bottled Water, Quaker Foods and Snacks, Tostitos, Sierra Mist, Gastorade Mountain view among many others. Most of these brands dominate in over 200 countries worldwide. Another strength of PepsiCo, Inc. is product diversification. In this regards, Pepsi maintains a wide variety of products including juice drinks, snacks, bottled water, breakfast cereals, ready-to-drink beverages, cakes, among other. Also, PepsiCo, Inc. maintains an excellent distribution channel. In this regards, the company enhances proper the delivery of its products directly from the places of manufacture to the consumers and retail stores. The company also markets their own products, giving them a competitive advantage. With regards to weakness, PepsiCo, Inc. heavily depends on Wal-Mart. Approximately 12 percent of PepsiCo’s total net sales is sold to Wal-Mart (Datemornitor, 2011). This therefore implies that PepsiCo is greatly affected by Wal-Mart’s strategies to large extents. For instance, Wal-Mart’s low price strategy mounts lots of pressures to PepsiCo, Inc. Overreliance on the US markets also constitutes PepsiCo’s weakness. In this regards, a substantial portion of PepsiCo’s revenues originate from the United States. As such, the company is largely affected by changes in the economic condition in the US economy. With reference to opportunities, PepsiCo continues to broaden its product base. For example, PepsiCo, Inc. recently

Knowledge of Organisational Behaviour Essay Example | Topics and Well Written Essays - 2000 words

Knowledge of Organisational Behaviour - Essay Example This understanding enables them to not only make sense of the behaviour they witness in their workforce, but also to predict it before hand and sometimes even influencing it to reflect the desired level. Thus, it is reasonable to assume that organizational behaviour teaches one how to control human behaviour in an organization. However, it may be unreasonable to label this practice as exploitative, since the control is limited to an organizational setting, and the results are aimed to improving organizational performance, rather than exploitative practice of this knowledge. Organizational behaviour teaches a manager how to analyze and handle several different dimensions of an organization. One of the relatively well-known areas of expertise is the substantial and extensive knowledge of motivation that organizational behaviour has to offer. It offers dozens of theories on motivation, each tailored to specific situations as well as different findings in this area. These range from the classic theories such as Maslow’s Hierarchy of Needs Theory to the more controversial, contemporary theories such as Theory X and Y (Thompson and McHugh, 2002, pp. 10-48). Each of these motivational theories offers a unique insight into an employee’s mind, helping one understand what drives these employees to put effort into their work and then teaching one how to use these teachings to influence employees to exhibit desired behaviour. On the surface, it may seem like a euphemism for ‘manipulation techniques’ that teach a manager how to exploit a person’s predictability and use it to their organization’s advantage. However, the intentions behind organizational behaviour practices should be kept in sight before drawing such evaluations. Discussion Considering an organization with a de-motivated workforce may help one understand the ethical validation of this discipline. Such an organization would have paid employees who have each been designat ed specific tasks, each of which contribute to the organization’s performance and success. This is common amongst organizations that combine technology, creativity, and innovation in their operations. If the employees of such an organization lack motivation, their performance levels will be low, and predictably below the needed levels (Rashid, 2003, pp. 30-55). This would lead to failure of the organization, which could have several detrimental results, which could lead to employees losing their jobs and putting them at as much loss the organization. Thus, teaching a manager to remedy such a problem in a manner, which is beneficial for both the employee and the organization, is not exploitative. Furthermore, these theories do not try to manipulate an employee psychologically on a subconscious level. They do not aim to take advantage of the employee without realizing it, but rather offer this motivation at a conscious level, the influence of which is visible to the employees t hemselves. Other than Pavlov’s Classical Conditioning theory, most of the motivational theories operate on a conscious level and depend on the employees consciously reacting to the situation they are presented with (Huczynski and Buchanan, pp. 5-25). For example, bonus schemes are one of the most commonly used motivational techniques in a workplace. They offer the employee monetary and other similar forms of extra compensation for efficient and