January 26, 2009

Corporate Strategy

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Awareness of the company that his fate depends also on the environment and the community about the rise of late. Therefore, we can also read the news more often about the increasing efforts that include a corporate social responsibility (CSR).

In the country we can see efforts such as Telkom who donated computers and Internet connections to assist in the villages, the Sampoerna diligently to provide scholarships, or Unilever products through the development Lifebouy help higenis a toilet in the villages. Anyone who do these things, and whatever they do, we give them worthy of praise. We also expect more companies to follow them.

Unfortunately, most companies still view CSR as part of the cost or reactive measures to anticipate rejection and community environment. Some companies are able to raise the status of CSR to a higher level with the making as part of efforts to increase brand building and corporate image. However, efforts CSR is still a rarely used as part of a strategic planning company.


CSR and corporate strategy? Sounds second it mutually incompatible. Milton Friedman, the Nobel Prize winning economist, even pout efforts to make the company as a tool for social purposes. Corporate goal, according to him, only generate economic benefits for shareholders. Of course, Friedman's considered opinion increasingly outdated. However, creating synergies between CSR and corporate strategy is not something that is also prevalent.

Fortunately only a few large companies and academic circles, including Michael Porter, Clayton Christensen, and Rosabeth Moss Kanter (third from the Harvard Business School), has proven successful programs CSR disinergikan with the company's strategy will provide a far more impact to the community and large companies itself compared to the efforts of CSR ala measure. According to them, only with the CSR as part of corporate strategy, CSR programs can be eternal. Because the company's strategy is closely related to the CSR program, the company will not remove the program even though the CSR was a crisis, unless you want to change the fundamental strategy. While in cases of CSR in general, so the company was a crisis, the CSR program will be cut first.

An example of a very interesting case is that Nestle to help the breeder cow in India. Before Nestle into India, the farmers who have difficult access to clean water channels, the land fertile, and other infrastructures that support should be satisfied with the life-cow beef lean and short. When Nestle into India, the company quickly realized for the supply of pure milk is sufficient, they need to help the breeder's. Thus, the CSR program diluncurkanlah massive.

Nestle established centers with milk storage engine cooling in some places. In addition, periodically, the car that brought the Nestle veterinarian, nutrition experts, agriculture experts, and experts come to the quality of the breeder. Financial and technical assistance are also provided to help the cattle farmers dig wells and improve the well-irrigation system. The result? When Nestle was first launched this program, only 180 local breeder who participate. Nestle now have to handle about 75,000 cattle farmers. Milk production increased by 50 per breeder times, and the standard of living of the breeder took much improved.

An example is the hotel group Marriott International, which provides job training to the unemployed heavyweight. This program is run in a dozen cities in the U.S.. Marriott promising trainees work remains if they successfully pass. This program was not only to help the unemployed and the local community, but also Marriott. Why? In fact received the unemployment of more loyal to the company.

Company information-technology companies such as Cisco and Microsoft also does not lag. Cisco to provide free training on them-they are talented but can not afford to obtain certification from Cisco. Microsoft to assist schools in developing countries (including Australia) in the computer design curriculum subjects. When the students have graduated, their skills can be used to support products that are produced by two companies.

That's some examples of successful companies in the strategy and coordinate their CSR program. They not only succeeded in helping the environment and local communities, but also the company itself. Synergies between the two was very possible. If we want to complete the social problems, may be the main key is located on the involvement of the corporate sector at this time because of the strength of the corporation has exceeded the power of government and other institutions. Which is the main problem is how difficult it is to change the mindset for this purpose the company and see each other for behind CSR.

Who is your company said this challenge?

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January 06, 2009

Information Technology : New Business Opportunities

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The world of information technology doesn't necessarily offer bigger and better opportunities than old-fashioned games like fast food. But IT is spawning more opportunities faster than any other business - and technological whiz-kids aren't the only ones making millions.

You can't control a twinge of envy when a company like Maid, previously little known, sees its shares double in a week - thanks to a deal to provide Microsoft's Internet services with business information. But envy's the wrong response. Try emulation instead.

The world of information technology doesn't necessarily offer bigger and better opportunities than old-fashioned games like fast food. But for small firms IT is spawning more business opportunities faster than any other industry - and technological whiz-kids aren't the only ones making millions.

To join them, though, the best route is to work for an existing IT company or join forces with someone who does. Time and again, the large employer either ignores an employee's bright idea or, even worse, alienates key workers by putting a stop to their key work.


IBM, for spectacular example, decided that its Mannheim unit in Germany should stop work on software that organises tasks across large corporations. Furious at losing their baby to another part of IBM, five engineers stomped out and started SAP. It has sold $4 billion of software since 1972, and leads the US market.

As for turning up noses at bright ideas, an established mainframe software company wasn't at all interested in Dave Duffield's plan to make 'client-server' networks (which link PCs) easy to use for basic business functions. After going public in 1992, five years after foundation, PeopleSoft has made Duffield worth more than $400 million.

The first rule for joining the hi-tech race, then, is the same as for any entrepreneurial venture. Back your own judgment. The next best course is to back somebody else who has that faith. One businessman who wisely joined a whiz-kid is now worth $29 million - although the company, UUNet, lost $7 million in its latest year.

Like SAP and PeopleSoft, UUNet features in a fascinating Fortune survey of up-and-coming (sometimes just arrived) IT companies with gee-whiz names like Tenth Planet and Humongous Entertainment (educational software), Digital Domain (special effects for films) and On Ramp. The last, founded by another big company escapee, designs Internet content - and the Internet (see Maid) is the hottest current scene.

The heat won' t last, though; money-losing companies won't go on making 23 millionaires overnight through dizzy stock market ratings. The Internet is attracting over-excited attention because the potential market is immense. Yet other markets are just as large which aren't in cyberspace, but down to earth: like management meetings.

The estimated 45 million meetings held every week matches the Net for potential users. So a company, Proxima, which makes overhead projectors fed straight from a PC, has the right idea. Look for very large markets where technology can provide an advantage that you would value highly yourself. The best entrepreneurs are their own greatest fans.

In high-tech, though, it helps if the next greatest fans are very large, rich companies. The Microsoft connection which made Maid is an example. Look through the ranks of IT stars, and other giants like IBM and AT&T crop up as early customers or even backers. Knocking on big company doors is therefore another wise move.

In fact, their doors may open more readily than those of the venture capitalists who are popularly supposed to support start-ups. The venturers, however, mostly pulled back after some bitter losses. That's a constant fear with new technologies - that promised wonders will never materialise, or will disappoint.

The fear is never shared by IT entrepreneurs, which is the right attitude. It needs to be tempered by realism. That's why taking in a partner with wide business experience is an excellent idea. These firms can grow so fast - doubling every year, say - that there isn't time to learn management on the job.

But you also need to keep the system free-and-easy, like one Internet entrepreneur who has only three rules for his 80 employees: Do what you're hired for. Do some personal development. Do some office task. The idea is to keep an adaptable culture so that your people won't join the breakaway ranks. The biggest single source of new whiz-companies seems to be Apple - which was once a whizzing breakaway itself.

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