Net Present Value and Cash - 1056 Words

GROUP ASSIGNMENT CASE 23: DANFORTH amp; DONNALLEY LAUNDRY PRODUCTS COMPANY Purpose of Meeting: To make capital budgeting decision with respect to the introduction and production of a new product, a liquid detergent called Blast. Need to consider what types and which cash flows should be included in capital budgeting analysis. Damp;D was producing and marketing two major product lines: 1. Lift-Off: Low –suds, concentrated powder. 2. Wave: Traditional powder detergent. Questions amp; Answers: 1. If you were in Steve Gasper’s place, would you argue to include the cost from market testing as a cash outflow? If I’m Steven Gasper’s I would not include the cost from market testing as a cash outflow. The reason is because the†¦show more content†¦The reasons of this are:- a) When the machine was bought for Lift-Off productions the cost has been calculated; and b) In obtaining the machine and building for Blast productions no cash payment has been made. Since the production of Blast will occupy current excess capacity, no incremental cash flows are incurred; hence, none should be charged against Blast. 4. Would you suggest that the cash flows resulting from erosion of sales from current laundry detergent products be included as a cash inflow? If there was a chance that competition would introduce a similar product were Damp;D to fail to introduce Blast, would this affect your answer? Yes, it should be treat as an incremental cash flow for the reduction in the sales of the Lift-Off and Wave, referred to as erosion. These lost sales are included because it a cost (a revenue reduction) that the company must bear if it choose to produce the new product (Blast). It will not affect our answer if there was a chance that competition would introduce a similar product at time Damp;D fail to introduce Blast. This happen due to the fact that for constructs cash flow we ignore the competitor effect. 5. If debt is used to finance this project, should the interest payments associated with this new debt be considered cash flows? No. We discount project cash flows with a cost of capital that is the rate ofShow MoreRelatedNet Present Value and Net Cash Flow1220 Words   |  5 Pagesbudgeting? a Will an investment generate adequate cash flows to promptly recover its cost? b Will an investment generate an acceptable rate of return? c Will an investment have a positive net present value? d Will an investment have an adverse effect on the environment? 3 Which of the following is not considered when using the payback period to evaluate an investment? a The profitability of the investment over its entire life. b The annual net cash flow of the investment. c The cost of the investmentRead MoreNet Present Value and Cash Flow1400 Words   |  6 Pages000. Assuming a company tax rate of 30%, the firm’s cash flow from operations is: (A) $840,000 (B) $180,000 (C) $135,000 (D) $75,000 4. Given an effective annual interest rate of 14 per cent, the present value of a perpetuity consisting of yearly payments of $25,000 starting immediately is, rounded to the nearest dollar (A) (B) $203,571 (C) $178,571 (D) 5. $232,071 $156,641 If the present value of a perpetual income stream is increasing, the discountRead MoreNet Present Value and Initial Cash Outlay755 Words   |  4 Pagesï » ¿ Week 5 – Homework Answers P8-1. Suppose that a 30-year U.S. Treasury bond offers a 4% coupon rate, paid semiannually. The market price of the bond is $1,000, equal to its par value. a. What is the payback period for this bond? b. With such a long payback period, is the bond a bad investment? c. What is the discounted payback period for the bond assuming its 4% coupon rate is the required return? What general principle does this example illustrate regarding a project’s life, its discountedRead MoreNet Present Value and Free Cash Flow Essay example1101 Words   |  5 Pages Given the proposed financing plan, describe your approach (qualitatively) to value AirThread. Should Ms. Zhang use WACC, APV or some combination thereof? Explain. (2 points) * From the statement of AirThread case, we know that American Cable Communication want to raise capital by Leveraged Buyout (LBO) approach. This means ACC will finance money though equity and debt to buy AirThread and pay the debt by the cash flows or assets of AirThread. * In another word, it’s a highly levered transactionRead MoreCash Flow Per Period Of A Project790 Words   |  4 Pagesthe time in which the initial cash outflow of an investment is expected to be recovered from the cash inflows generated by the investment. It is one of the simplest investment appraisal techniques. Formula The formula to calculate payback period of a project depends on whether the cash flow per period of the project is even or uneven. In case they are even, the formula to calculate payback period is: Payback Period = Initial Investment Cash Inflow per Period When cash inflows are uneven, we need toRead MoreGuillermo Furniture Capital Budget Recommendation Essay example1087 Words   |  5 Pagescompares cash inflows and cash outflows instead of net income calculated using the accrual basis. Capital projects are typically evaluated using quantitative analysis and qualitative information. There are two capital budget evaluation processes that take into consi deration the time value of money Net Present Value (NPV) and the Internal Rate of Return (IRR) (Edmonds, 2007). Time value of money is necessary when comparing possible business investments that have different costs, cash flows, andRead MorePresent Value and Capital Budgeting1106 Words   |  5 PagesPart I A. Present Value with Discount rate of 7% = 15000/(1+7%) = 15000/1.07 = $14,018.69 Present Value with Discount rate of 4% = 15000/(1+4%) = 15000/1.04 = $14,423.08 B. Account A - Present Value with Discount rate of 6% = 6500/(1+6%) = 6500/1.06 = $6,132.08 Account B - Present Value with Discount rate of 6% = 12600/(1+6%)^2 = 12600/1.1236 = $11,213.96 C. Present Value of Gold Mine 7% = 4900000/1.07 + 61,000,000/(1.07)^2 + 85,000,000/(1.07)^3 = 45,794,392.52 + 61,000,000/1.1449 + 85Read MoreCash Budget For 3 Months Ending 31st August 20151350 Words   |  6 Pages Question 1 Zahlee Ltd Cash budget for 3 months ending 31st August 2015 Appendix 1 June July August Receipts: Sales Cash 60’000 40’000 75’000 Credit (50%) 50’000 60’000 40’000 Sub-letting old warehouse 2’500 2’500 2’500 Loan received - - 30’000 Total receipts (a) 112’500 102’500 137’500 Payments: Purchases (suppliers) 60’000 50’000 50’000 Purchase of new transport vehicles 45’000 - 55’000 Wages 16’000 16’000 18’000 Overheads 19’000 23’000 21’000 Interest of bank loan 100 100 100Read MoreDifferent Aspects Of An Investment1433 Words   |  6 Pagesspending limit among the two. I made substantial analysis for the two corporations, as this is very significant for possible growth of our own company. I analyzed a five-year projected income statement and a five-year projected cash flow. I also determined the Net Present Value, and Internal Rate of Return among the two companies to make a decision. This paper also includes three peer-reviewed sources to combine with the theoretical explanations. Introduction The thought of acquiring another corporationRead MoreCapital Expenditure Valuation Methods1130 Words   |  5 Pagespayback period is the time it takes for a project or investments cash outflows to be recovered by cash inflows generated from the same project or investment. It is a very simple and commonly used capital budgeting technique. The formula used to compute the payback period is initial investment divided by cash inflow per period. You generally want to choose the investment that provides the shortest payback period, because you will get you cash back and it can be put toward other investments or projects

Self Assesment Report - 1026 Words

SELF ASSESSMENT REPORT NAME: MANISH KATARIA (P10556063) DATE: 15/11/10 TUTOR: NEIL SHERIFF TITLE: SELF ASSESSMENT REPORT MODULE: CORP 1520 BUSINESS COMMUNICATIONS AND CREATIVITY Executive Summary Benjamin Franklin once said, â€Å"By failing to prepare, you are preparing to fail†. The report explains the meaning of Personal Development planning and its importance in the life of a person. I explored my learning styles using activities done in tutorials. I came to know that I am a reflective learner. Contents List 1.Introduction 2.Self Assessment Analysis 3.Learning Styles 4.Personal†¦show more content†¦References list: INTERNET qaa.ac.uk [online]. (nd) [Accessed 11/11/2010]. Available from: . http://www.sqa.org.uk/files_ccc/Tutor_Guide_PDP.pdf http://www.vark-learn.com/english/page.asp?p=visual http://www.vark-learn.com/english/page.asp?p=aural http://www.vark-learn.com/english/page.asp?p=readwrite http://www.vark-learn.com/english/page.asp?p=kinestheticprint http://www.vark-learn.com/english/page.asp?p=questionnaire http://en.wikipedia.org/wiki/Personal_development_planning http://www.palgrave.com/skills4study/pdp/about/index.asp BOOKS 1. Business Skills Handbook,London by ROY HORN (2009) Appendices 1 | | | | | | | | | | | |Level of confdence |Areas of confidence |Areas to be improved | |SKILL | | | | |Inormation Technology |Quite confident |Basic use of IT, Microsoft Word, Using |Microsoft powerpoint and excel, web |Show MoreRelatedThe Domestic Violence Act 1995 Essay1499 Words   |  6 Pagesexisting mental illness (Vilarino, Arce, Farina, 2013). 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Many of the different teachings of martial arts were around for centuries before gunpowder was even invented. It has unfailingly fulfilled its purpose for self-defense; itRead MoreQuality And Integrity Of Coach Essay1391 Words   |  6 Pagesaptitude and abilities. Coach s board gives the most abnormal amount of oversight in their association and has separate, independent HR, audit, and Governance and Nominations (GN) Committees. The BODs and every advisory group of the BODs lead a yearly self assessment which incorporates an assessment by every chief of the execution of Coach s Chief Executive Officer, alternate chiefs, every panel and the board in general. The consequences of these assessments are talked about with the Board and advisoryRead MoreUnconditional Positive Respect1569 Words   |  7 Pagestherapeutic procedure may be suitable (Beultler et al., 2006). Cri tque. Humanistic counselling process focuses on an holistic goal therefore some clients sense of purose may include more specific goals. Clients can come self-selected meaningful goals such as anxiety in social situations (Scholl, Ray, Brady-Amoon, 2014). Counsellor should respect the clients views and address the client’s needs and goals (Young, 2013), bearing in mind thatRead MoreThe Components Of The Counseling Process1748 Words   |  7 Pagesis thinking and feeling and how the client is behaving. Establishing and maintaining rapport is vital for the disclosure of information, the initiations of change, and the ultimate success of counseling.† (Newsome, 2014). The ablity to place your self in the mind of the client and ask questions that are relitive to his frame of thinking is what will help you client open up. Its important to think of how it might feel to have different short term goals and objectives, how th e relatily of a clientRead MoreSmartphone Based Wound Assessment System For Diabetes Patients1537 Words   |  7 Pagescan accelerate wound healing, save travel cost and reduce healthcare expenses. (b) Our arrangement gives picture examination calculations that keep running on a Smartphone, and along these lines give a minimal effort and simple to-utilize gadget for self-administration of foot ulcers for patients with sort 2 diabetes. III LITERATURE SURVEY In literature, the problem and the previous techniques of ulcer detection system is described Lei Wang et.al states that a structure that Design a very productiveRead MoreWho Is The Client Meets All Criteria For Bipolar I Due?1511 Words   |  7 Pagesbelieve are not clinically attached to this particular manic episode, where he is now saying, â€Å"My skin is coming off in clumps†. 2. Score the WHODAS and report the results. In one paragraph, interpret the results of the WHODAS. How can this information benefit you as a clinician? Understanding and communicating Mild – Moderate Getting around Severe Self-care Mild Getting along with people None – Mild Life activities – Household Moderate Life activities – School/work Severe Participation in society MildRead MoreThe Roots Of Tea From Japan1472 Words   |  6 Pages TYPOLOGY REPORT INTA3222: CRITICAL PERSPECTIVES ASSESMENT 2 NAME: ANNA LI STUDENT NUMBER: 3415239 TUTOR: BELLA DUNSTAN WORD COUNT: The roots of tea settled in Japan during 1191, marking the beginnings of Japanese tea ceremonies and architecture. The architecture of teahouses in Japan bloomed slowly, with the birth of tea masters and disciples. The architects of these spaces were credited with the art of tea before the analysis and creations of rooms to share this art. Many of these

Principles of Sustainability Vulnerability

Question: Discuss about thePrinciples of Sustainabilityfor Vulnerability. Answer: Introduction Vulnerability towards a specific issue is the most pressing issue in the present world, of which energy sustainability and water sustainability are the most important issues. It is of great importance to assess and understand the serious issues which are within the system and to compare and contrast the measures related to energy sustainability and water sustainability in various Countries (Afghan Carvalho nd). Sustainability index and the safety index are two critical factors which can evaluate and prepare a system for achieving optimum development in the World. In this report, we would evaluate various actions taken by Australia and Singapore related to energy sustainability and water sustainability especially with relation to the factors given below. Government regulation of Australia and Singapore regarding energy and water sustainability Key scientific research and technological innovation of Australia and Singapore The actions of non-government organisations and the private sectors in Australia and Singapore Exemplar projects in Australia and Singapore Step 1 Australia Government Regulation of Australia Regarding Energy and Water Sustainability The development of the aspect of sustainability has become the most important objective of various Countries and its Governments. Sustainable Australia with its strategy Sustainable Communities Strategy has been formed to enhance the present and future generations with effective policies as a response to the arising issues of the environment and economies. Government has formed a National Urban Policy where they have been enhancing urban living conditions while promoting the regional development and improving ways of planning and evaluating change. The Australian Government has been delivering environmental sustainability by introducing carbon price which has been formed to achieve an effective greenhouse effect through cost effective measures and this is called as the clean energy initiative. Water sustainability issues have been addressed by introducing water security campaigns which would run over 10 years. This especially has targeted the Murray Darling Basin and the setting of network of marine protection while implementing National Waste Policies. The Government has also been influencing the growth of population by targeting a population limit. The main objective of the Government was that they should achieve an optimum population which can enable and facilitate an increased water supply which can increase the food production and an increase in renewable energy sources. Key Scientific Research and Technological Innovation Technological developments and communication have bene greater sources of enablers for most of the Australians to live and work remotely. This has also enabled the Australians to form organizations at remote locations from their main customer bases and stay within the communication networks with their families. The Government has taken various measures for improving the social and economic opportunities through various initiatives like Government investments in the National Broadband network which can enhance the living conditions for the Australians. The technological innovation has also been achieved through various implementations like the immigrant programs where they have used the skills of the immigrants in order to develop their production, marketing, management and technological fields. This move has resulted in a greater advancement with higher proportions of employees participating in developing the technological fields in Australia. The Actions of Non-Government Organisations and the Private Sectors Australia being one of the most fastest developing urban countries in the world with around 70 75% of its population in the urban areas, the private sectors and the non-government organisations are able to contribute effectively for the investment and support for achieving the energy and water sustainability (Australian Bureau of Statistics 2011). The Government of Australia has committed to bring in greater innovation in Australia with a specific agenda which includes the development of the public and private sectors with commercialisation of newer inputs with effective partnerships between researchers and the international industries sectors. The private sectors with their innovative and productive skilled employees would bring in much awareness in the Country to enhance the ability of better usage of energy which can improve the economic growth from increases in greenhouse gas emission and the usage of energy resources. The Private sectors will be able to adapt and implement the newer technologies to a greater extent in terms of implementing the irrigation, electricity, water and energy consumption policies. Exemplar Projects Australian cities being the most carbon intensive cities in the world, are a lot scarce in terms of water, density, resource efficiency and amenities (Palmer nd). The most well designed project is the Central Park Project in Sydney which has created an efficient mechanism in order to solve these issues mentioned above. The Central Park Project is a new model of an Urban Renewal Project in Sydney which is a system of complex integration model and which can provide a reasonable low carbon energy and a reliable system of water resources (Bureau of Infrastructure 2011). The project innovation has introduced various aspects in terms of technical innovation, governance innovation and commercial innovation. This private sector driven project has introduced a low carbon green transformer system in Sydney which has given a new shape to the Construction industry in Australia (Hugo et al 2010). They have incorporated new and cutting edge technologies in energy and water industries. This has led to creating shared thermal services, creation of newer generation of power facilities which can lead to low - carbon energy emission which can benefit the local community people with a lower impact of carbon presence in water. Step 2 Singapore Government Regulation of Singapore Regarding Energy and Water Sustainability Singapore has been known as the Worlds leading commercial countries with one of the biggest financial centres and the busiest ports. The Country sprang to the first position from fourth position in almost 50 years (Kiong nd). The main mission with which the Country could spring back was to build a competitive economy and to achieve a greater environmental sustainability (Kiong nd). The Government of Singapore has introduced its first green house plan with a 10 year national initiative. In 2009 2010 Ministry of the Environment and Water Resources and Ministry of National Development has prepared a Blue print for creating sustainable Singapore with critical strategies for developing the green growth actively (Kiong nd). The Inter Ministerial Committee has sanctioned $ 1 billion for sustainable development over the period of 5 years. The land use plan and its master plans are reviewed almost every 10 years in order to ensure a sustainable and a liveable community. Key Scientific Research and Technological Innovation Singapore has formed various regulations in terms of the pricing systems, technological projects, raising consumer awareness on environmental sustainability, information and technology, environmental issues like the quality of air, environmental change and energy efficiency including environmental conservation. Key scientific research and technological innovation were related to the policies mentioned below. Introducing policies related to air quality and reducing mobile sources of pollutants Introducing demo projects on renewable energy by testing various solar technologies and by introducing research projects related to energy conservation and risk assessment Enhancement of energy efficiency by framing minimum standards in order to achieve the Green mark certification Improvement of water efficiency programs by water efficient home programs, recycling of water, submission of water management programs in cases of heavy water usage and introduction of water conservation programs in order to improve the value of water Introduction of waste management and participation in recycling and infrastructure support for recycling management The Actions of Non-Government Organisations and the Private Sectors In order to solve the clean water issue and environmental sustainability issue, Singapore as a Country was motivated naturally to introduce newer ways of innovation and to develop new water management methods like water reclamation and sea water desalination. The environment and water industries in Singapore have been identified as the main growing industries where the Government has committed a $ 330 million to fund newer projects related to innovation and capacity building (King nd). Various partnerships between the Government and the Private Organizations have played a critical role in improving the sustainability of Singapores energy and water resources (King nd). The private companies have implemented the projects related to infrastructure in order to showcase their talents and to develop and test their newer commercial solutions to various issues. Exemplar Projects The Government of Singapore runs a Singapore International Water Week where it can showcase different solutions for the green house issues. International industry leaders and experts come to solve issues, introduce new technologies and to introduce their past achievements in the context of conservation of energy and water. There were various projects which were introduced related to Hybrid Electricity Solutions with a local brand, Pacific Light Energy with a partnership with REC a Solar Manufacturing Company. The projects would cover the electricity needs for a 2000 2500 person corporate campus. Step 3 Australia has taken measures for careful planning of its population in order to ensure a sustainable growth for their future. The Government of Australia has taken measures to strengthen the environmental solutions for various issues as a response however I feel that the Government of Singapore has taken various initiatives by collaborating with many International and Large Companies in order to cover their energy and electricity needs (Productivity Commission 2011). Research in Australia was conducted by the Social Inclusion Board and more emphasis was laid on the liveability conditions of the urban areas in Australia which has included financial and affordability conditions of the Country (Anglicare Western Australia 2011). Singapores context was a lot different where research and development was a lot stronger with the presence of Solar Energy Research Institute of Singapore and Energy Research Institute. Australia has also worked towards developing a design and building industry which is considerably efficient in creating buildings in extreme conditions because of its weather. This has also made it collaborate with the other Countries like India, China and Singapore in order to partner with the International brands to develop a greater sustainability of energy and water. Conclusion Australia and Singapore have made their own regulations and policies demonstrating a sustainable model of work to achieve energy sustainability and water sustainability. The Governments had a commitment to achieve their final objective in order to reform their Countries for the enhancement of the communities and its people. References Afghan H Carvalho, M G nd, Sustainability and Safety Evaluation of Energy System, Viewed on Oct 15th 2016, https://www.worldscientific.com/doi/suppl/10.1142/6443/suppl_file/6443_chap01.pdf. Anglicare Western Australia 2011, Rental Affordability Snapshot, Viewed on Oct 15th 2016, www.anglicarewa.org.au/news/. Australian Bureau of Statistics, 2011 (a), Australian National Accounts: National Income, Expenditure and Product, Dec 2010, cat. no. 5206.0, Canberra. Bureau of Infrastructure 2011, Transport and Regional Economics, (forthcoming), Spatial Trends in Australian Population Growth and Movement, BITRE, Canberra. Kiong, G nd, Environment and Water, Viewed on Oct 15th 2016, https://www.edb.gov.sg/content/edb/en/industries/industries/environment-and-water.html. Kiong, G nd, Clean Energy, Viewed on Oct 15th 2016, https://www.edb.gov.sg/content/edb/en/industries/industries/clean-energy.html. Hugo, G. et al, 2010, Demographic Change and Liveability Panel Report, in DSEWPAC, A sustainable population strategy for Australia, Issues paper and appendices, Canberra. King, P nd, Sustainability City Singapore, Viewed on Oct 15th 2016, https://www.ggbp.org/case-studies/singapore/sustainable-city-singapore Palmer, R nd, Central Park: Sustainable, Liveable, Resilient and Future Ready, Viewed on Oct 15th 2016, https://network.wsp-pb.com/article/central-park-sustainable-liveable-resilient-and-future-ready. Productivity Commission 2011, A sustainable Australian population what role for policy? Submission to the Sustainable Population Strategy Taskforce, Productivity Commission, Canberra.

Theoretical Approaches to the Organizational Development

What is organization development? Organization development refers to a systematic and ongoing process of designing and implementing effective organizational change. It is also a scientific field of inquiry in which scholars study how best organizations can be developed.Advertising We will write a custom research paper sample on Theoretical Approaches to the Organizational Development specifically for you for only $16.05 $11/page Learn More The underlying principle of organizational development is therefore the need to implement change in organizations and manage the change so as to achieve certain predetermined objectives (Cummings Worley, 2009, p.1). Theoretical approaches to organizational development Systems approach Most of the modern theoretical approaches to organizations are derived from the systems theory founded by Von Bertalanffy in 1951. It conceptualizes organizations as being composed of sub-systems which interact with each other for the co mmon good of organizations. Each sub-system is considered as being important for the success of the whole and therefore organizations need to be guided by mutual trust, harmony and a unity of purpose. Von Bertalanffy argued that each and every employee was unique and thus there was the need of treating them as such without any cultural stereotypes or prejudices (Burns Flam, 1987, p.381). The systems approach has affected the field of organizational development by making organizations understand that each part of the organization is important for the functioning of the whole. Through the approach, organizations have been able to integrate their various departments to operate in an interdependent manner, a situation which has seen the emergence of what is referred to as line or horizontal management. The harmonization of organizational departments has also led to the emergence of team work in many organizations. The Contingency Approach According to Burns and Stalker in an article ti tled â€Å"The Management of Innovation†, as quoted in the FAO Corporate Document Respiratory, it is not possible to have a universal approach to all situations and that different situations require different guidelines and modes of intervention.Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Organizations do not exist in a vacuum but rather exist in an environment which is characterized by social, cultural, economic, political and technical forces. In order for an organization to attain its objectives in an efficient and effective manner, it is good to consider the environments in which it exists and come up with strategies which match those environments, then cultivate an organizational culture which would enable it to thrive in those environments. The contingency approach has affected organizational development in that organizations have become more inclusive in the proc ess of decision making, which has seen employees have the permission to micromanage their work and come up with the best ways of performing their duties. The reason is that managements have realized that full control of employees may interfere with their productivity, which in turn negatively affects that of the organizations (Donaldson, 2001, p.5). Socio-Technical Theory According to Pasmore in an article titled â€Å"Designing Effective Organizations†, and as quoted in the FAO Corporate Document Respiratory, each and every organization comprises of the people, the environment and a technical system. The social system is composed of the employees while the technical system is composed of knowledge, tools and techniques used by the social system. According to Pasmore therefore, there is a need to maintain equilibrium between these subsystems so that organizations may be effective and efficient. The social technical theory has made organizations to integrate employees’ work with technology with a view of maximizing the available opportunities for attaining organizational goals and objectives (Thompson, 2003). Action research approach The approach conceptualizes organizational development as a product of a bottom up strategy to organizational improvement. The philosophy behind the action research approach is that any effective change must be based on evidence. The approach has its roots in Kurt Lewin, who is considered by many scholars as the father of organizational change and development.Advertising We will write a custom research paper sample on Theoretical Approaches to the Organizational Development specifically for you for only $16.05 $11/page Learn More Lewin came up with what he called three stage theory which involves three stages or steps namely unfreezing, changing and freezing (Cummings Worley, 2009). The first step of unfreezing is about doing a cost benefit analysis about the proposed change and weighing whether the pros of the change outweighs the cons, then creating the necessary motivation for the change. This stage is therefore the preparatory stage and is very crucial because it determines the success of the change if effected. When employees are highly motivated to change, the resistance to change is minimized and vice versa (Cameron Green, 2009). The next stage is the change stage which is also known as the transition stage and involves implementing the change. This is the hardest stage in change implementation because employees are always reluctant to move out of their comfort zones despite any motivation (Burke, 2011). During this stage therefore, employees need to be guided and encouraged to undertake the change. The final stage is the freezing stage, which is also known as refreezing stage. During this stage, the organization has successfully sailed through the change process and is now leaving in a new dispensation. There is therefore the need of creating a new culture in the organization which is in line with the new organizational dispensation (Cummings Worley, 2009). Action research has affected organizational development in a variety of ways. In fact, it is the most popular approach in determining organization development in that many organizations actually base their changes on research. Through research, organizations are able to initiate changes based on data collection and analysis. Some usually develop strategic plans based on empirical data. Programs are also implemented through a rigorous process which is composed of base line surveys, monitoring and evaluation of the programs in an ongoing process. Forces which influenced the emergence of organizational development The social force The social force which influenced the emergence of organizational development was the shift from the classical management theories which viewed employees as robots to be operated by the managers to the human relations approach to management which views emp loyees as social beings with physical, emotional and psychological needs.Advertising Looking for research paper on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More The shift brought the need for organizations to put in place fare employee practice which involves things like employee training, team work, flexible working and scholarships to the employees. Through this, organizations are able to improve the competencies of their employees thus leading to increased efficiency, effectiveness and productivity (Jones Brazzel, 2006). Political forces The political forces which led to the emergence of organizational development were the events of the World War II. Prior to the war, organizations largely relied on the scientific management theory by Taylor. Taylor’s theory was synonymous to colonization in that it viewed employees as laborers and the managers as all knowing elites with an all round knowledge virtually in all aspects of organizational processes, functioning and procedures. After the world war, nations of the world realized that collaboration with each other was far much better than elimination of rivals or competing ideologies. As a result, organizations realized that all stakeholders were important for their success. Managers therefore started embracing employee inputs by allowing them to be creative, innovative and flexible while discharging their duties. The result was increased productivity because some employees actually had unique talents, which made organizations improve their levels of attainment of objectives (Bradford Burke, 2005). Economic force The economic force which led to organizational development was the global recession of the 1980s, a period of poor economic performance characterized by low gross domestic product for countries, reduced productivity, less income for those working or doing business, inflation and high costs of living. The recession affected virtually all aspects of human life including organizations both in the public ad private sector. Due to the recession, organizations were forced to come up with strategies of cutting on operational costs. One way mostly adopted was t hat of training employees so as to enable them undertake various tasks within an organization. Interpersonal force Globalization is the interpersonal force which led to the emergence of organizational development. It can be defined as the minimization of the differences between people of the world and the maximization of their similarities through interactions, cooperation and communication. The advancement in Information and Communication Technology (ICT) has transformed the world into a global village. Through ICT and improved means of transport, people are more than ever able to do business with each other without any form of barriers (Scholte, 2005). Through globalization, organizations have found themselves opening new branches in other countries. Examples of such organizations which have used globalization as an aspect of development include Tesco in the United Kingdom and Wal- Mart stores in the United States. References Bradford, D. L., Burke, W. W. (Eds.). (2005). Reinvent ing organization development: New approaches to change in organizations. San Francisco, CA: Wiley. Burns, T.R., Flam, H. (1987). The shaping of social organization : social rule system theory with applications. London: Sage Publishers. P.381. Burke , W.W.(2011). Organisation change: theory and practice.(3rd Edn.). Thousand Oaks : SAGE Publications. Cameron, E., Green, M.(2009). Making sense of change management : a complete guide to the models, tools techniques of organisational change. London: Philadelphia. Cummings, T. G., Worley, C. G. (2009). Organization development and change (9th Edn.) Mason: OH, South-Western Cengage Learning. P.1. Donaldson, L. (2001). The contingency theory of organizations. Thousand Oaks, Calif. Sage Publishers. P.5. Jones, B. B., Brazzel, M. (Eds.). (2006). The NTL handbook of organization development and change: Principles, practices, and perspectives. San Francisco, CA: Pfeiffer. Scholte, J. A. (2005). Globalisation: A Critical Introduction, (2nd Edn.). Basingstoke: Palgrave Macmillan. Thompson, J.D. (2003). Organizations in action: social science bases of administrative theory. New Brunswick, NJ: Transaction Publishers. This research paper on Theoretical Approaches to the Organizational Development was written and submitted by user Kailyn Phillips to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.