Strategic Management - Essay Example

Download file to see previous pages These automobile producers include Ford, Toyota, Volkswagen BMW and several others which rely on the quality products produced by Magna. With the help of its technologies Magna is able to develop a variety of products including exterior, interior, metal body, front models, rear models, lighting components and several others. Magna is also known for its assembling of these products together to produce an automobile which can meet the requirements of the modern day society. Although the company went through an era of considerable losses in 2008, it still was able to grasp a profit of nearly $51 million by the end of September 2008. This clearly shows that the company is growing more and more day by day generating more profits so as to fulfill its aim of achieving the right profitability rate. Unlike other companies, Magna International Inc. does not follow a mission statement with inflexible approaches. It, as a substitute, uses its ‘corporate constitution’ and its ‘Employees’ Charter’ as its responsibilities and line of action. The corporate constitution of Magna International included the rights and responsibilities of its workers, declaration of management’s involvement in profits and development of the business, and description of disciplines on management. Their culture and responsibility, hence, is to keep a balanced behavior with management, workers and investors. The operating philosophy and culture of Magna International is based on the fairness of treatment, equality of opportunities to all employees and a collaborative approach to work for the good of the organization. It gives ample space to the employees in order to increase its efficiency and provides a flexible approach to the wants of employees, shareholders and management. The aim of Magna is to become a leading supplier of automobile parts but keeping the integrity and fairness in the treatment of its organizational workers and other stakeholders. The company has expanded throughout these years and has now been able to develop 242 manufacturing operations all over the world. Magna International in order to achieve its aim has to operate in a proper international, regional and industrial environment. The industrial environment of the company includes the working level of the employees and the potential to which they can work at. The industrial environment of Magna International is modified in such a way so that their employees are able to work at their maximum potential. The industrial environment of Magna includes its fair working policies and other programs which tend to encourage employee participation. Moreover an Employee Charter which was introduced in 1988 helps them to achieve this target of fairness and balanced industrial environment. As the company has expanded all over the world it applies to all the principles and laws of different nations. To do so the company makes sure that it is competitive enough to launch its manufacturing plants in certain countries and that its routine activities in that particular area are successful enough. The company has developed such policies which help them to further expand in these countries and cope up on the level of international scenario. The company strictly follows the laws and economic policies of the country in which it develops its plants. Similarly it also adheres to the factor of language as per the country ...Download file to see next pagesRead More