Theory and Economic Analysis for Business Management - Essay Example

M.A.S CASE ANALYSIS Introduction A Business Management Theory is defined, the values and practices of a production to reach its preferred organizational objectives conducting successful administration. Management theories are executed to assist enlarges organizational efficiency and overhaul quality. Not several managers use a theory or thought when employing strategies in the place of work. They commonly use an amalgamation of several theories, depending on the place of work, purpose and employees. Contingency theory and Chaos theory are amongst the two relevant theories in the management of an organization. Contingency Theory This theory asserts that administrators make decisions based on the state of affairs at hand rather than a "one size fits all" technique. An administrator takes correct act based on features most significant to the existing state of affairs. Managers in an institution of higher education may desire to utilize a management approach, which includes contribution from workforce while a manager in the armed forces may want to employ a domineering approach. Looking at the M.A.S holdings, Mr. Mahesh the director of this investment used this theory successfully. After the work situations in Sri Lanka had gotten hard, he sought to resolve this matter well within the required period. He decided to put into practice and experience his new-fangled thought, and hired the female labor for the real initial instance in Sri Lanka, knowing the reality that female in Sri Lanka were extremely experts in garments related fields. His target was to utilize the cheapest and most expert professionals to labor for them. Rigby, (2008) affirms that, Hiring women, as employees were not an easy undertaking because the females were not permitted to toil and they were controlled from their families. He started cheering women to abscond their homes and get chances to make wealth. Further, he started diverse operations with the aid of his spouse. He also formed free of charge residence for women, free of charge dispensaries and checkup facilities inside the factories, free of charge breakfast and lunch for women functioning for this undersized entity. This was more than adequate for the deprived families, so they had deep thoughts of it. As time went, the females from diverse parts of the state got optimistic and went for employment. After several course of time, the administrator started manufacturing Bra for the prominent corporation brand called Victoria secrets. It was a prominent corporation, and this was not easy to begin dealing with this corporation. He persuaded them and made certain that he would congregate their hope. Females subjugated the production and more than eighty percent of the personnel in the association were women. The corporation benefited from the sales of about $800 million in just Bra business. M.A.S holdings more over longed a worldwide perceptible industry by developing a program to teach and give power to its female personnel. The leader and the founder of the corporation Mr. Mahesh wanted to do something diverse as company collective responsibility. It was the first instant that any manufacturing corporation started a movement to teach the female employees. This included complimentary education programs for its female’s personnel, complimentary meals, therapeutic care centers and scholarships for countryside areas at where the MAS holdings foliage were situated. As if this were not sufficient, the corporation started manufacturing gents and women garments, leisurewear, and sportswear. The corporation was doing extremely well in terms of productivity. There are at the present about seven units functioning in different three states for manufacturing of Bra for women, and the yearly creation of Bra is not less than $54 million. Chaos Theory The theory states that Change is steady. Even though, certain actions and conditions in an association can be controlled, others cannot. Chaos theory knows that change is certain and is infrequently controlled. Williamson, et al (2012) affirms that while associations grow difficulty and the likelihood for vulnerable events raise. Organizations raise energy to keep up the new altitude of complexity, and as associations use up more energy, more constructions are required for steadiness. The organization keeps on developing and changing. M.A.S holdings association applied the above theory and finally the company made tremendous achievements. The company manager Mr. Mahesh sought to advance the picture of the corporation in the modern world. He took a step of making the surroundings of the workforce a better consign to work. The company came up with an eco-manufacturing lodge in 2008. Their plan was to lessen carbon discharges. It included the lunar plants, which would aid offer about fifteen percent of the total energy essential for plant. The plant and building configuration was newly introduced and was rather diverse from normal and was ecological welcoming according to values of ISO and EMAS. It was, in addition, a distinctive step and was introduced in Sri Lanka for the first time. The MAS holding turned out to be pioneers in this eco-manufacturing and accomplished paramount reward for it, as well. They highlighted their ecological pleasant policies and efforts in their advertising operation internationally and named it “The attire without fault”. This campaign was extremely accepted and esteemed all over the globe at diverse levels. Efforts that were made to give confidence the olive manufacturing a high-quality image of the corporation became exceedingly successful. In the same year, The Adidas acknowledged and declared in the yearly conference that MAS investment corporation is its most inventive suppliers they regard MAS holding not only inventive in merchandise design, but also in its organization through the procedure of constant enhancement in their civilization. The continuous upgrading plan of MAS holdings forced the world’s well-known brands such as Nike, banana republic; GAP, Adidas and Marks & Spencer to become its consumers. Now the corporation is stirring audaciously towards incessant enhancement and modernization. The corporation has also won the historic countrywide and intercontinental awards. In the same year of 1997, the corporation began its new twig in India. M.A.S investment offered the inventive fashion dress in to the inhabitants and soon it became the prominent trademark in India. In the restricted time, the corporation achieved the paramount client brilliance award in 2008, in India. The corporation furthermore won the American attire and footwear alliance award this reward was given on the brilliance of the community responsibilities. The corporation claimed that they designed clothes with concern and contemplation by protecting employee and member of staff right. According to Pienaar, et al (2006), The MAS investment was the first corporation in Asia that installed the totally incorporated apparel manufacturing software packages. The corporation has also won the diverse excellence, wellbeing and safety awards. At present, the corporation has about twenty-four design studios crosswise different five countries regarding forty thousand citizens are employed. The company’s center is on constant enhancement and improvement. In 2008, the MAS textile division was acknowledged as most inventive at Femmy Award ceremonial, this pointed out that the corporation was constantly focusing on improvement and was doing its paramount. The corporation moved further speedily and started first sell overseas scale new unit of deform, knit textile mill. It provided 150,000 square foot deform knit manufacturing amenities to the business. This unit was started following the combined speculation of different corporations. M.A.S holding consists of individual units such as MAS Fabrics, MAS intimates, and MAS Active. The corporation is presently dealing with the diverse products such as pajamas, knickers, Bras, athletic wear, hooks, elastics, and fabrics. Theory Analysis While recognizing and understanding the above-mentioned theoretical approaches, we still believe that futuristic management with inventive approach can confirm extremely helpful and efficient while taking in hand the issue of managerial change and the amendments made by such management has better chances to get the height of victorious managerial change. As in the theoretical framework, the manager of M.A.S holdings shows that the futuristic and inventive leaders may have a better ability to close the procedure of managerial change with accomplishment. In addition, it is because of their correct insight of future trends, and their exclusive or a new way of administration, judgment and performing. If we evaluate the early steps taken by Mr. Mahesh in the situation of MAS holdings investment in Sri Lanka, it can be seen that the revolutions made by Mr. Mahesh were based on his visualization. He not only wanted to do well in the domestic markets, but also wanted to initiate MAS holdings to international market. He perceived the future, future treads and takes steps to meet the requirements, and the result was a significant boost in their business in terms of profitability, repute and exposure. It can also be deducted from the case study how futuristic persons come into the scene, and take their companies towards breakthrough achievement by their inventive approach and verdicts. In order to describe better and present the stance that visionary and innovative leader has thoughtful relations with victorious managerial alteration, choose to describe the findings of literature review along with case studies and proposed model. Based on the findings after reviewing the literature, it is believed that managerial change that is based on suitable vision of a manager, and then pursued by an inventive approach of the leader to get this vision and have a reflective relation with achievement. Organizations, which desire for brilliance has to think about inventive leaders Sekhar, (2009) also emphasized that in order to congregate the managerial goals, leaders must regard the prospect trends and leaders can recognize future trends by their apparition. Near to Bass, the futuristic and inventive leadership is a means to run the organizations in these quickly altering trends and conditions. In transformational leadership theory, Ufomadu,(2004) states that an apparent vision of leader can take part in a fundamental role whereas addressing the matter of managerial change analyzing the case of MAS Holdings, the changes and steps made by Mr. Mahesh was based on his extensive vision. He alleged that concern of hiring skilled employees was getting hard in Sri Lanka, in conditions of their accessibility and earnings, and it may perhaps get most horrible in the future, so he began hiring women on low down earnings. He began making terms with worldwide consumers, accepting the domestic market tribulations. He was considering MAS Holdings as an intercontinental firm besides selling garments to only confined marketplace. Having an eye on the future, he alleged that surroundings is a meadow of attention for modern globe, so he started advertising products as “attire without fault” which destined that MAS Holding was manufacturing outfits in an ecological welcoming manner by taking a good concern of the surroundings. He not only alleged the future in a correct way, but also furthermore took inventive steps to be entered in this prospect in a flourishing manner. As a result, he effectively transformed a local garment plant into extremely trustable and alleged global firm. Conclusion It is apparent from the text that initiating and harmonizing change all the time necessitates well-developed management expertise. This is also accurate that any change procedure regularly faces the definite intensity of resistances, the efficient manager who can manage the confrontation and execute victorious changes. Recognizing, attending to and conquering the confrontation is always extensive and not a straightforward procedure. People oppose changes, and in particular they defy most to fundamental changes and it is simply the leader’s skill to conquer. A tough leader is essential to solve the difficulty, as the physician is necessary to solve therapeutic setback. It can be seen in the above debate that organizational changes are necessary to stay in business. It is a period of elevated competition and always varying expertise and worldwide trends. To react to these changes consequently and to stay attuned it is acceptable for associations to comprehend, accept and execute changes. It is the call for of time, to become victorious in commerce and get to the height of sustainability Following Vaidya, (2011) statements, It is conjectured that the managerial change, which is based on the leader’s apparition and his inventive approach, can be positioned in the study where it has a straight relation with accomplishment or the uppermost height of managerial performance. These changes, which might escort to a managerial improvement as it can be seen in the case analysis. Mr. Mahesh believes that victorious managerial change is pre circumstances of improvement Understanding the call for of change is not enough for administrators or leaders. They have to recognize, comprehend and then propose the most appropriate and pleasing form of change. It demands the leaders, to employ their competencies, as well as the supremacy of their visualization and then receiving the lane of victorious change putting into practice by their inventive approach. Therefore, it can be affirmed that managerial change, which is based, on the leader’s apparition and then followed by the leader’s inventive approach to get this visualization, has a comparatively strong and closer relation with enhanced managerial concert and show the way to potential improvement. Though the case study is restricted to two case theories only, and additional case studies can show value to this exertion, yet the consequences of case studies are adequately helpful to add to the reliability of the stand. It can be seen how leaders come to the sight and change the local manufacturing units into conglomerate corporations by their dream and inventive steps. Works cited Rigby, P.H. (2008). Theory and economic analysis for business management.: Cornell University: USA, NJ Sekhar, S.V. (2009). Business Policy And Strategic Management. I. K. International Pvt Ltd: New York, NY. Ufomadu, F. (2004). How to Become Extremely Successful in Business Management, Personal Management, and Family Budget Planning. Ufomadu Consulting & Publishing: New York, NY: Vaidya, K. (2011). Inter-Organizational Information Systems and Business Management: Theories for Researchers. IGI Global Snippet: New York, NY: Vogt, J., Pienaar, W., and Williem, P. (2006). Business logistics management: theory and practice. Oxford University Press: USA, NJ Williamson, D., Cooke, P., Jenkins, W. and Moreton, M. (2012). Strategic Management and Business Analysis. Routledge: New York, NY. Read More