Intel Business Strategy in China - Essay Example

? BUSINESS STRATEGY AND PLAN FOR INTEL IN CHINA Business Strategy and Plan for Intel in China Organizational structure The subsidiary, being a new plant, will adapt a top-bottom organizational structure. A branch manager will head the firm; below him will be departmental managers, while supervisors will look at the plant departments and the marketing departments. This defines the chain of communication and the flow of information within the organization. Departments in the plant Production department-this department will be headed by a production manager and supervisor. There will be eight workers in the department handling the actual production work. Marketing department-headed by a marketing manager, this department will handle the process of moving the produced goods from the firm to the customers. The department will have six employees, divided into two groups, each headed by a supervisor. Finance department -handling all the financial operations in the organization, this department will have three employees, headed by the head of finance. He will handle the duties of a supervisor. Human resource department- handling all the duties of hiring, placement, and promotional recommendations as well as addressing all employees’ needs, this department will have two employees, headed by a personnel officer. The recruitment process Skills are an important element for the success and growth of our subsidiary. In the highly competitive business environment, offering our clients with the best quality products is paramount for Intel. Despite the Chinese market providing cheap labor, we will settle for the most qualified individuals in the market. While identifying the most qualified individuals to hire, the plant will go through a recruitment process. However, internal recruitment sources will provide the required expertise on the Intel operations in the new subsidiary. Starting a new subsidiary requires logistical information. Every organization, despite operating in the same industry, has unique operational culture and processes from other firms. This necessitates shipping of part of our most qualified personnel from our main branch to the Chinese subsidiary. Among the most competitive departmental managers, production managers and supervisors, five will receive promotion to head the Chinese plant. Through performance evaluation and the records of accomplishment of the identified candidates, the highest scoring individual will take over as the branch manager of the Chinese firm. Specifically, they will ensure that quality and accountability culture in serving our customers remain a priority. External sourcing will however involve consultancy firms and recruitment bureaus. By extensively using referrals, we hope to have the most qualified individuals in the Chinese market. Purposively, part of the recruited staff will come from Chinese firms in the same industry like Intel. Training After external sourcing of labor, the team will undertake training of the staff to provide them with the best skills and knowledge to work for Intel. Subsequently, they will place them in their most qualified departments by matching their skills and expertise with the organizational departments. Training involves instilling the required skills and knowledge to a taskforce in order to achieve organizational goals and objectives (Welsch 2005, p. 35). Achieving our mission will involve the use of intensive and extensive training of the recruited staff. Extensively, training will cover on the various elements of production, as well as Intel culture. Intensively however, we will focus on training newly hired employees on the aspects of their jobs according to departments. This will ensure high levels of productivity from our staff. Providing them with intensive training ensures minimal errors in our work, saving the organization reproduction costs and time. Additionally, we will ensure to provide them with induction training in order to orient them with our organizational mission, objectives and culture. This initiates them into the competitive Intel group. Not only will induction involve orienting them in their various jobs, organizational ethics, morals of our employees, organizational structure, the types of communication, features of the enterprise, the history of Intel and general benefits of being part of the Intel team will form part of the agenda. In addition to the initial training provided to the employees, offering them with on-the job training in form of refresher courses will ensure high levels of performance. Importance of culture in our success Our team, specially trained on the dynamics of the Chinese market, will introduce Intel culture to the Chinese market. On the other hand, through consultancy, we will adapt the Chinese culture of doing things. As Champoux (2011, p. 23) points out, this will ensure high employee performance in the subsidiary. Since the Chinese have a different culture, we will incorporate this in our operations. Wages and remuneration of employees Money is one of the key motivating factors in an organization. All employees work in order to earn a living. Therefore, we will strive to provide them with proper salaries, in order to motivate them to work hard and achieve organizational goals. While drawing our salary and wage structure, wed will put into consideration a number of factors. One of these factors is the market rate, which will put into consideration the amount of salaries other firms in the same industry offer their employees. Ours, since we target the best people in the market, will be quite high. The kind of jobs that the employees will have will also form part of the remuneration structure. We will ensure that employees receive compensation for their efforts. Therefore, too much demanding tasks and job descriptions will attract more salaries than less demanding jobs. Moreover, since we will use performance contracting, employees will receive additional salaries as rewards for exemplary performance in their duties (Boswell & Boudreau 2000, p. 284). Marketing and communication Through marketing, firms move their products from the warehouses to the customers. Therefore, it is through extensive marketing that an organization can achieve high revenues. Externally, we will use the traditional methods of advertising in order to reach to a wider audience. Through internet advertising, especially the social media, the audio-visual and print media, we will try to reach to a wide number of potential customers. However, in order to maximize our sales and revenue, we will internally use our staff on direct marketing strategy. Collectively, through our culture of disciplined and highly skilled employees, we will strive to sell our brand image to the new customers. Type of customers Intel has business-to-business customers (B2B), as we develop software for companies and other electronic companies. In most cases, we deal with large corporations, a reason why we focus more on professionalism (Barschel 2007, p. 4). Since most of the electronic companies such as computer manufacturing plants have their plants in China, this subsidiary is likely to be a transformation to our organizational success. Operations For the subsidiary to function properly, there are a number of important operations that have to run smoothly. The operations of this subsidiary will thus be quite different from the American firm. We will ensure that production, marketing, and distribution processes function smoothly to ensure that we achieve success in this new market. Works Cited Barschel, H 2007, B2B versus B2C Marketing - Major Differences Along the Supply Chain of Fast Moving Consumer Goods (FMCG). Mu?nchen, GRIN Verlag GmbH. http://nbn-resolving.de/urn:nbn:de:101:1-2010081316727. Boswell, W.R. & Boudreau, J.W. 2000, "Employee satisfaction with performance appraisals and appraisers: The role of perceived appraisal use", Human Resource Development Quarterly, vol. 11, no. 3, pp. 283-299. Champoux, J. E 2011, Organizational behavior integrating individuals, groups, and organizations. New York, Routledge. http://site.ebrary.com/id/10416621. Welsch, B. 2005, "Employee Training Includes Empowerment", Air Conditioning, Heating & Refrigeration News, vol. 224, no. 14, pp. 35. Read More