Controls in Business Activities of Clinkle Company - Admission/Application Essay Example

Controls in Business Activities – Clinkle Company Introduction Globalisation has been the major cause of a competitive business landscape as well as process flows; this has been brought by the need for international quality measurement and evaluation of business practices and performance. This development has resulted in the need for standardization of business practices globally, through creation and standardization of total quality management systems like ISO 9000 for companies and other business and profit-making organizations. ISO 9000 refers to a framework that is designed to aid in quality management of small, medium-sized companies, as well as other business areas; the International Organization designed the system in 1987 for Standardization (ISO) (Blokdijk, 2008). The main pint of interest in this quality management system is to understand how it works to bring about quality management in management of business systems globally, as well as the need to have it in the company while there may be other quality management systems in the local business environment. The ISO 9000 quality management system has been specially designed to give provisions for creating, documenting and maintaining a consistent and demonstrable system of quality assurance in companies and business organizations (Blokdijk, 2008). It is important to understand that the ISO 9000 management system, does not offer a guarantee of quality for a business’ final product; this is because, it is specially designed as a management framework to apply in organizations and not in their final products. This paper examines the importance of the ISO 9000 certification as used in most of business organisations that use it as a determinant of their controls in the management process, focusing on how it can be applied in the case of Clinkle, a startup company dealing in mobile payments. Effective aspects of the control function suitable for Clinkle Being a startup company that deals with various aspects of mobile payments, Clinkle needs to devise an effective strategy by which it can instate proper controls that can aid in its success. For instance, Clinkle needs to institute controls in the way it manages its human resources. It is important for the company to understand that human resources are the most important in any business; therefore, the company has a responsibility of ensuring that the human resources in the business are effectively motivated. Additionally, it has to ensure that the resources in the business are used effectively to achieve the goals and objectives set according to the mission and vision statements of the company. The technologies the company has put in place to facilitate mobile payments and money transfer needs to be properly utilized for the company’s advantages. In this case, acquiring control and quality management systems like ISO 9000 can be a great advantage to the company as it develops itself to acquire the hearts of customers. What it means for Clinkle to be ISO 9000 certified In most cases, companies decide to have an ISO certification because customers often request for businesses to have it. In this case, companies decide to get these standards of certification because customers want to be identified with businesses that have international standards of quality controls and measures (Devinney, 2010). For instance, most customers in the European markets demand that businesses seek an ISO 9000 approval before they can believe that the business is credible, offering high quality products and services. However, most companies often miss out on the significance of having the ISO 9000 certification, this is because, they only use it for marketing purposes. Generally, the ISO 9000 certification is meant to improve all the operating procedures in the business and reduction of costs, thus helping businesses maximize on their returns (Blokdijk, 2008). By being ISO certified, Clinkle is expected to operate and carry out their various practices in line with the guidelines stipulated in the ISO. When Clinkle will begin advertising its ISO certification, it will be an important and useful marketing tool that can enhance its effectiveness and success in the market. For this reason, customers will prefer buying products and services from this business because they know they are those that they expected, made under the internationally recognized standards of quality. Companies expanding to operate in other nations need to ensure that they get the ISO 9000 certification because it is what customers use to measure the standard of quality in the manufacturing and development. This development has made ISO 9000 to be prevalent in most of the international business environments. By joining international markets, having ISO 9000 ensures that these businesses are very competitive (Blokdijk, 2008), able to meet the challenging demands of the dynamic business environment. In this regard, the increasing competition among these companies plays an important role in the creation of quality products and services in the market. Disadvantages the company may face by obtaining the ISO 9000 certification Many international companies have been relying on the ISO 9000 certification in order to have success in their business growth and development. However, some companies have decided to use various kinds of control mechanisms in the controls and other practices and not the ISO 9000 certification. Those who do not advocate the use of these standards in their business growth and development process explain that the change process for using this standard is very expensive, presenting an unnecessary cost to businesses like Clinkle. Additionally, they explain that businesses need to select some people to be trained on how to use the control style. These people, after getting the training, they are to some and train other staff in the business. All this time can be used to do other meaningful business practices that can be of importance to Clinkle and not the ISO 9000 certification process. Additionally, the change process in the business can be a cause of conflict in organisation, because most long term employees have certain ways of doing their work responsibilities and achieving higher outcomes. In this case, the change process may cause them to decrease their productivity in the process of adapting to the change and creating new systems in the business (Rugman, & Hodgetts, 2003). This resistance can work against the company, causing a reduction in the profits and decreasing the moral of workers. For this reason, the business is expected to ensure that it uses other kinds of controls or devise their own effective standards. Adopting the ISO 9000 for Clinkle The process of business growth and development is often complex, requiring the use of effective and credible systems and tools that can meet the various challenges arising in the business environment. For this reason, Clinkleis supposed to ensure it relies internationally recognized systems and tools in its growth and development. The ISO 9000 has been used by many international and domestic companies in increasing their effectiveness in performance (Devinney, 2010). Despite few arguments that have been raised against its use, the system has been responsible for the success of most international businesses and companies, prompting the need for its inclusion in business practices. Clinkle should prepare itself adequately to ensure that it adopts this system in its businesses in order to experience success and competitiveness on the local and international front (Devinney, 2010). References Blokdijk, G. (2008). ISO 9000, ISO 9001 100 success secrets the missing ISO 9000, ISO 9001, ISO 9001 2000, ISO 9000 2000, checklist, certification, quality, audit and training guide. S.l.: Gerard Blokdijk. Devinney, T. (2010). The past, present and future of international business & management. Bingley: Emerald. Rugman, A., & Hodgetts, R. (2003). International business (3rd ed.). Harlow, England: Prentice Hall/Financial Times. Read More