Q1 Flashcards
5 Benefits of Corporate Governance?
Increase Market Value Reputation Attractiveness as an employer Attractiveness to investors Compliance to regulation Increase Credit Rating Examples of corporate governance scandals; FIFA Cambridge Analytica HBOS Horesemeat Scandal Volkswagen Emission Scandal Apple's Iphone 'slowed down' phones
Propose 5 measures that an organisation could take to reduce the likelihood of unethical behaviour in supply chain in order to protect its reputation?
Establish a code of conduct
Supplier field visits
Re-educate buyers and provide training
Reward good behaviour and practice
Create a culture of whistle blowing
Ensure buyers are up to date on Tradecraft, ILO, ETI
Ensure buyers are up to date on standards such as Traidcraft
5 Examples of data that can be shared to improve demand management?
Historical data and sales history Product cost Market trends Pricing performance Lead Time Information Review of product complaints Delivery dates information and locations New product development data
What are main the main challenges to successful systems integration across globalised supply chains?
Wisner, Tan and Leong's overview Cost of integration Language and cultural issues Capacity of applications Time zones and reliability Impact of Big I and Little I Resistance and fear of loss of jobs Speed and networking issues
4 principles of Corporate Governance?
(Aras and Crowther and Davies)
Rule of law; (framework of rules and operation)
Identity;
Purpose; (value’s, activities & global sourcing)
Power
Participation
Transparency
Accountability; (board members and managers)
Sustainability; (ethical behaviour and environmental)
Assess 5 risks that can impact on organisation that undertake global sourcing?
Christopher & Peck Process Risk ( Control Risk (Child Labour, IPR) Supply Risk (Raw material shortage) Demand Risk (Fashion, trends) Environmental Risk (Force majeure, earthquakes, floods)
Ethical Risk
Foreign Exchange Risk
Language & Cultural Issues
Advantages of integrated IT systems?
Reduction in;
Stages taken in the business process
Costs involved in administration and service
Time required to process transactions
Cost of processing, data entry and correction
Duplication and data entry errors
Challenges of integrated IT systems?
Human Barriers
Preparation
Active internal integration
Active external integration
5 advantages increasing local sourcing vs global sourcing?
Shorter supply chain Reduced carbon footprint Availability of JIT supply chains Reduced transport costs Marketing advantages Closeness to communities Avoid currency exchange risk Avoid labeling difficulties
What actions to take in the event of an ethical breach?
Investigate the possible breach and collect evidence.
Early and urgent dialogue with the supplier.
Review KPIs’ and take remedial action if unclear.
Product a supply chain map to outline vulnerabilities.
Conduct an audit, or appoint a third party to conduct.
Improve auditing regime.
In extreme cases, exit the supplier or alert the police.
Communication with media to be carefully planned.
Explain the key elements of the Cadbury report, in relation to corporate governance?
The first UK code on corporate governance was produced in 1992 by the Cadbury Committee in response to an increasing mistrust in the honesty of listed companies. The Cadbury report addresses the following areas;
- The board of directors (role, frequency of meetings)
- Executive remuneration (policy, compensation)
- Financial reporting and internal control
- Shareholder relations (AGM, dialogue with shareholders)
Discuss the main aspects that are likely to be addressed by regulations covering health and safety in the workplace?
Health and Safety Policy Audit Risk assessment Measuring and reviewing performance First aid provision Liability Negligence Corporate manslaughter Safety committees Occupational health and safety
Explain the UK Health and Safety at Work act 1974?
The UK Health and Safety at Work 1974 is the foundation and framework for health and safety legislation in the UK. The majority of subsequent legislation, regulation and so on extends, expands, modifies or otherwise relies up this act.
The Act makes it the legal responsibility of every employer to ensure the health, safety, and welfare of its employees. The responsibility may either be an absolute or qualified duty.
Absolute Duty - is compulsory, unavoidable, and must be carried out in the manner specified.
Qualified Duty - Need only be carried out ‘so far
Describe 3 areas of regulation, other than health and safety, that might impact upon the employment of people in the organisation?
Employment Contracts:
(Working time, statutory leave, flexible working)
Unconventional Workers:
(Agency workers & temporary workers)
Employee redundancy and dismissal:
(Voluntary redundancy, redundancy pay, dismissal)
TUPE:
Explain the concept of Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE)
This is the main piece of legislation governing the transfer of an undertaking, or part of one, from one organisation to another. The regulations are designed to protect the rights of employees in a transfer situation, enabling them to enjoy the same terms and conditions as they did before, and to protect their continuity of employment. These transfers can take place when;
Organisation changes ownership Following mergers When part of an org has been acquired When licence or franchisee changes hands In house processes are outsourced
