Procesos Industriales y de Servicio

Procesos Industriales y de ServicioCadena de valor es un modelo terico que permite describir el desarrollo de las actividades de una organizacin empresarial, descrito y popularizado por Michael E. Porter. La cadena de valor categoriza las actividades que producen valor aadido en una organizacin en dos tipos las actividades primarias y las actividades de apoyo o auxiliares.Las actividades primarias se refieren a la creacin fsica del producto, su venta y el servicio posventa, y pueden tambin a su vez, diferenciarse en sub-actividades. El modelo de la cadena de valor distingue cinco actividades primariasLogstica interna comprende operaciones de recepcin, almacenamiento y distribucin de las materias primas.Operaciones (produccin) recepcin de las materias primas parity transformarlas en el producto final.Logstica externa almacenamiento de los productos terminados y distribucin del producto al pilfersumidor.Marketing y Ventas actividades purloin las cuales se da a bunco gameocer el producto.Servicio de post-venta o mantenimiento, agrupa las actividades destinadas a mantener o realizar el valor del producto, mediante la aplicacin de garantas.Las actividades primarias estn apoyadas o auxiliadas por las tambin denominadas actividades secundariasInfraestructura de la organizacin actividades que prestan apoyo a toda la empresa, como la planificacin, snatchtabilidad y las finanzas.Direccin de recursos humanos bsqueda, contratacin y motivacin del per tidingsal.Desarrollo de tecnologa, investigacin y desarrollo obtencin, mejora y gestin de la tecnologa.Abastecimiento (compras) proceso de compra de los materiales.check bit cada actividad de valor aadido han de ser identificados los generadores de costes y valor2. Identificacin y priorizacin de macroprocesosLas empresas y sus divisiones autnomas dirigen sus asuntos principales por medio de grandes sistemas de uso repetido que son intrnsecamente multifuncionales llamados macroprocesos.La city managera de los macroproses os son procesos empresariales que tienen sus papeles dentro del concepto de sacar nuevos productos, procesar los pedidos de los clientes, cobrar, contratar empleados, entre otros.Los macroprocesos reciben informacin de los proveedores, procesan esta informacin, producen productos concretos y sirven esos productos a los clientes, externos e internos. El procesamiento realizado concuerda con la definicin de proceso serie sistemtica de acciones dirigidas al logro de un objetivo. Cuando las empresas crecen los macroprosesos se vuelven muy numerosos.Un macroproceso consiste en muchos segmentos llamados microprocesos. Cada uno se lleva a cabo dentro de una unidad organizativa funcional que, con frecuencia, est presidida por un supervisory program de primera lnea.En resumen, los macroprocesos son aquellos que tienen ms de un proceso.3. Diagramas de relacin, interdisciplinarios y de flujo.Las herramientas que permiten visualizar mejor las rutas hacia el cambio son los diagramas de relacin, de proceso y de flujo.Los diagramas ayudan a dar visibilidad a trabajo. Ayudan a documentar las rutas que se emplean space-reflection symmetry satisfacer al cliente. El anlisis de estos diagramas permiten aumentar identificar acciones de mejora o cambio como reducir tiempo de ciclo, disminuir defectos, bajar costos, medir desempeos, reducir nmero de pasos que no proporcionan valor agregado, etc. Se convierten en requisitos previos e importantes space-reflection symmetry tener xito en el rediseo estructural, reingeniera o benchmarking.Diagrama de relacin Indica las interrelaciones o vnculos existentes entre los clientes y proveedores en las distintas partes de la organizacin. Visin global que describe las interacciones entre las principales funciones de la empresa. Es una imagen de las conexiones de entrada y salida (clientes y proveedores) entre las partes de una organizacin, como las funciones, departamentos, divisiones o reasDiagrama de procesos interdisciplinarios Muestran la forma en que los principales procesos atraviesan los lmites de varias funciones. Revela qu ocurre en el inner y muestra la secuencia de pasos de los procesos productivos, entradas y salidas. Ilustran la forma de hacer el trabajo en las organizaciones, las trayectorias que siguen los insumos al ser transformados en resultados que los clientes valoran.Flujogramas Herramienta ms conocida para ilustrar procesos productivos. Para definir, documentar y analizar procesos, con nivel alto de detalle. Un flujograma es la representacin grfica de las secuencias de pasos que integran un proceso. Mientras ms informacin se incorpore ser de ms utilidad.Existen tres mtodos bsicos para recolectar la informacin necesaria para crear un diagramaAuto generacin. Cuando se domina completamente el proceso.Entrevistas face-to-faceizadas. Con proveedores, operarios y clientes del proceso. Validacin.Entrevista en grupo. Participacin conjunta de todas las personas relevantes e involucradas, para la creacin y validacin del diagrama.El criterio ms importante para seleccionar el proceso es el impacto que tiene sobre el valor que percibe el cliente.Seleccionar los procesos que realizan las mximas contribuciones al cliente como clase mundial y alta competitividad.Existen Otros criterios como la reduccin de costos, reduccin de tiempo de ciclo o respuesta, minimizar o eliminar defectos, cuellos de botella, tecnologa obsoleta, etc.4. Descripcin de procesosInformacin bsica (encabezado)Nombre del procesoResponsable o dueo del procesoCliente (persona, rea, depto. o empresa)InicioFinalFecha en la cual se hace la descripcin del proceso.VersinQuin lo elaborQuin lo autorizObservaciones Elementos que constituyen la descripcin del procesoENTRADASACTIVIDADESRESPONSABLESALIDASDocumentos o productosAccin que se realiza con los elementos de entrada para producir las salidas. Deben de expresarse con verbos activosPersonas o personas que ejecutan la accin.Documentos o productos.FORMATO PARA DESCRIPCIN DE PR OCESOS CRTICOS IDENTIFICADOSA continuacin se presenta el formato para que cada persona describa el proceso indicado.NOMBRE DEL PROCESO_________________________________________DUEO DEL PROCESO__________________________________________INICIO DEL PROCESO __________________________________________FINALIZACIN DEL PROCESO __________________________________CLIENTE_______________________________________________________FECHA_____________________VERSIN __________________________ENTRADASACTIVIDADESRESPONSABLESALIDASElaborado por_______________________ Aprobado por _____________________Fecha _______________ Circulacin ______________________________________5. Rediseo y validacin de procesoPara ser competitivos deberamos de abandonar las viejas ideas acerca de cmo se deba organizar y dirigir un negocio.La reingeniera significa volver a empezar, arrancando de cero.En esencia, la idea est en el pensamiento discontinuo. La identificacin y el abandono de reglas anticuadas y de supuestos fundamentales que sustentan las operaciones o procesos corrientes.La reingeniera es la revisin fundamental y el rediseo radical de los procesos para alcanzar mejoras espectaculares en medidas crticas y contemporneas de rendimiento, tales como costos, calidad, servicio y rapidez.METODOLOGA IFASE IFilosofa empresarial Visin, Misin y Valores. Definir la empresa (productos o servicios, competencia, estructura, etc.)Identificacin de procesosClasificacin de procesos crticos (cadena de valor)Diagrama de interrelaciones de procesos crticosFASE IIMapeo de procesos crticos. Recursos, documentos, apoyo e indicadores de eficiencia y eficacia.Descripcin de procesos crticos.Construccin de diagramas de los procesos crticos.FASE IIIValidacin de los procesos.Complementar los procesos con medidas importantes dependiendo del tipo de proceso (tiempo, distancia, satisfaccin.)Anlisis de Valor Agregado.Eliminar lo no necesario y que no agregue valor.Tratar de mejorar las necesarias que no agregan valor en cuanto a la dimensin clave.FASE IVAnalizar y redisear los procesos. Cuantificar las mejoras.Validar el nuevo procesoProgramar su implementacin.Proyectar los beneficiosSeguimiento y evaluacin.Mejora de los procesos.METODOLOGIA IIPREPARACIN1.1 Reconocer la necesidad1.2 Desarrollar consenso ejecutivo1.3 Capacitar al equipo1.4 Planificar el cambioIDENTIFICACIN2.1 Modelar clientes2.2 Definir y medir rendimiento2.3 Definir entidades2.4 Modelar procesos2.5 Identificar actividades2.6 Extender modelo de proceso2.7 Correlacionar organizacin2.8 Correlacionar recursos2.9 Fijar prioridades de procesosVISIN3.1 Entender estructura del proceso3.2 Entender el flujo del proceso3.3 Identificar actividades de valor agregado3.4 Referenciar rendimiento3.5 Determinar impulsores del rendimiento3.6 Calcular oportunidad3.7 Visualizar el ideal (externo)3.8 Visualizar el ideal (interno)3.9 Integrar visiones3.10 Definir subdivisionesSOLUCIN Diseo tcnico4 A1. Modelar relaciones de entidades4 A2. Reexaminar conexiones de los procesos4 A3. Instrumentar e informar4 A4. Consolidar interfaces e informacin4 A5. Redefinir alternativas4 A6. Reubicar y reprogramar controles4 A7. Modularizar4 A8. Especificar implantacin4 A9. Aplicar tecnologa4 A10. Planificar implementacinSOLUCIN Diseo accessible4 B1. Facultar a empleados que tienen contacto con clientes4 B2. Identificar grupos de caractersticas de freight rates4 B3. Definir cargos / equipos4 B4. Definir necesidades de destrezas y personal4 B5. Especificar la estructura gerencial4 B6. Redisear fronteras organizacionales4 B7. Especificar cambios de cargos4 B8. Disear planes de carreras4 B9. Definir organizacin de transicin4 B10. Disear programa de gestin del cambio4 B11. Disear incentivos4 B12. Planificar implementacinTRANSFORMACIN5.1 Completar diseo del sistema5.2 Ejecutar diseo tcnico5.3 Desarrollar planes de prueba y de introduccin5.4 Evaluar al personal5.5 Construir sistema5.6 Capacitar al personal5.7 Hacer prueba piloto del nuevo proceso5.8 Refinamiento y transicin5.9 Mejora continuaESTRUCTURALder. Alto ejecutivo que autoriza y motiva el esfuerzo total de la reingeniera. Actuar como visionario y motivador, ideando, exponiendo la visin del tipo de organizacin que desea crear, comunica a todo el personal el sentido y propsito. Debe tener autoridad sobre los recursos necesarios. Ser un autntico lder, vigoroso, emprendedor, convencido y conocedor.Dueo del proceso. Gerente responsable de un proceso especfico y del esfuerzo. Tiene la responsabilidad de redisear su proceso. Debe acomodarse al cambio y ser sereno ante la adversidad. Motiva, inspira y asesoras a los equipos.Equipo. Grupo de individuos dedicados a redisear un proceso, lo diagnostican, supervisan y ejecutan. Producir ideas y planes para convertirlos en realidades. Capacitarse, inventar y descubrir, creatividad y sntesis.Comit Directivo. Cuerpo formulador de polticas, desarrollan estrategias y supervisan el progreso. Priorizan, asignan recursos y resuelven conflictos.Zar. Indiv iduo responsable de desarrollar tcnicas e instrumentos y de lograr sinergia. Capacita y apoya coordina las actividades.6. Herramientas para la optimizacin de procesosPROCESOHERRAMIENTAS1. Identificar problemas para resolver y proyectos de mejora. Recoleccin de datos Tormenta de ideas Principio de Pareto2. Investigar las verdaderas causas del problema y/o factores para un proyecto. Grficas e histogramas Listas de verificacin Tormenta de ideas Diagrama causa efecto Principio de Pareto Anlisis de registro de produccin o inspeccin.3. Determinar las mejores opciones o soluciones. Principio de Pareto Tormenta de ideas4. Aplicar y evaluar las soluciones. Recoleccin de datos Listas de verificacin Grficas e histogramas5. Tomar acciones para evitar que el problema se repita o asegurar que el proyecto sea exitoso. Conceptos modernos de control Modelos de planeacin.6. Presentacin a la Gerencia. Presentacin profesional con la participacin de todos los involucrados.RECOLECCIN DE DATOSConsiste en la recopilacin de datos en forma acumulativa y sistemtica que se efecta sobre determinada situacin (equipo, proceso, procedimiento, actitud u otros) en formatos adecuados como reportes, hojas de trabajo o formas claras y durante un perodo de tiempo, que estn directa o indirectamente relacionados con la calidad y el servicio.Procedimientoa) Plantear claramente los objetivos del proyecto o del problema a resolverb) Analizar cada caso para definir qu se va a medir u observarc) Registrar y ordenar todos los datos obtenidosd) Relacionarlos de manera que puedan proporcionar informacin confiablee) Procesar la informacin obtenida y validarla con los expertos en el temaf) Ordenar los datos de acuerdo con el grado de importancia o impactog) Seleccionar la informacin relevante a la solucin del problema o al xito del proyecto.TORMENTA DE IDEASEs una tcnica que consiste en dar oportunidad a todos los miembros de un equipo de trabajo, para opinar y sugerir con relacin a un determinado proyecto o problema.Procedimientoa) Se coloca el grupo frente a un rotafolio en forma circular.b) Nombrar a la persona que escribir las ideasc) Se inicia el aporte de ideas uno por uno de acuerdo con la direccin de las agujas del reloj.d) Cada idea es registrada en el rotafolio por la persona designadae) No se permite interrumpir o censurar al expositor de turnof) Las ideas se van desarrollando por estmulo de las ideas de los otrosg) Se da por finalizada esta fase, cuando todos hallan agotado sus ideas del tema en cuestin.h) Anlisis y reflexiones cada quin analiza la lista de ideas generadas, se permiten las preguntas para aclaraciones, se descartan las ideas descabelladas o no posibles, se utiliza alguna tcnica adecuada para ordenarlas de acuerdo con la importancia que el grupo considere adecuada.PRINCIPIO DE PARETOEn todo fenmeno que resulte como consecuencia de la intervencin de varias causas o factores ordenados de mayor a menor, segn sea su importancia, se encontrar que un nmero pequeo de causas, que encabeza la lista, contribuye a la mayor parte del efecto mientras que el grupo restante, contribuye a una pequea parte del efecto. causeS EFECTOPocos VitalesMuchos TrivialesGrfica de ParetoEs una grfica presentada por barras verticales en forma descendente, correspondiente a la priorizacin dada por el principio de Pareto o regla 80/20.Procedimientoa) Identificar el efecto que nos interesa analizar (proyecto o problema crtico)b) Hacer lista de todas las posibles causas que contribuyen al efecto (tormenta de ideas), si es posible se puede de una vez cuantificar el impacto.c) Ordenar dichas causas basadas en su contribucin de mayor a menor, con su peso cuantitativo real o por medio del porcentaje.d) Graficar en forma de barras para identificar los pocos vitales y los muchos triviales.DIAGRAMA CAUSA EFECTO O DE ISHIKAWA.Es una herramienta para el anlisis de causa efecto, utilizada para determinar acciones o soluciones a problemas identificados a travs de un anlisis de Par eto.Este diagrama de Ishikawa se traza con una espina dorsal o lnea central que constituye e camino a la cabeza que es donde colocamos el efecto (proyecto o problema a resolver), hacia la cual se dirigen las espinas que estn constituidas por las causas y sub-causas.Tcnica de las 5MsEn las empresas se utiliza esta clasificacin de causas, que aunque no es obligatoria, incluye la clasificacin de causas en cinco categoras, que la experiencia muestra que son prcticas y nos ayuda a ordenar la informacin de una forma bastante unreserved.Las categoras especficas son Mano de obra Mtodos y procedimientos Materiales Maquinaria y equipo Medio ambiente.Procedimientoa) Definir el problema o situacin a realizar. Normalmente derivado del anlisis de Pareto.b) Dibuje un cuadro o rectngulo al lado derecho de la hoja o superficie en la cual va a construir el diagrama y escriba dentro del cuadro el problema o efecto.c) Dibuje una flecha horizontal de izquierda a derecha que llegue al cuadro dibujadod) Dibuje las espinas, cinco si decide utilizar las 5Ms, rotulando cada una con las categoras.e) Coloque cada una de las causas de acuerdo con su naturaleza en la categora que considere adecuada. Utilice previamente la tormenta de ideas.f) Al terminar de la clasificacin en el diagrama, determine las causas ms importantes para definir una accin concreta.Mano de Obra Mtodos y ProcedimientosMaquinaria y Materiales Medio ambienteEquipoCAUSAS EFECTOGRFICAS ESTADSTICAS, HISTOGRAMALas grficas son representaciones de algn fenmeno o evento cualquiera a travs de figuras, smbolos, lneas, dibujos, etc Al mismo tiempo, son herramientas de comunicacin que permiten expresar de una forma muy clara, simple y efectiva lo que nos nmeros muestran confusamente u ocultan.Procedimientoa) Ordenar los datos en un formato adecuado para el efecto.b) Decidir qu tipo de grfica ser til y verificar si se cuenta con los datos necesarios para construirla.c) Construir la grfica de acuerdo con los datos trazando en los casos que se necesiten los ejes horizontal (X) y vertical (X).d) Asigne la escala ms adecuada, buscando la proporcionalidad ms adecuada para el tipo de grfica que se construir.e) Dibuje a mano o con la ayuda de la computadora la grfica especfica.f) Una puntos, correlacione variables, utilice porcentajes, etc. dependiendo de si es una grfica de barras (verticales u horizontales), grfica de pastel o circular, un diagrama de dispersin, una grfica de Pareto, un histograma, una grfica de control, etc.PRESENTACIN A LA GERENCIATambin se denomina presentacin de proyectos y es una de las actividades ms importantes y provechosas para los equipos, ya que todos tendrn la oportunidad de exponer frente a la gerencia.Consiste en presentar todo lo que se ha trabajado desde la tormenta de ideas para identificacin de problemas o proyectos, hasta el planteamiento final de la solucin, en la cual todos los integrantes de un equipo han aportado ideas, creatividad, trabajo y han colaborado para alcanzar e l xito.ProcedimientoAntes de la presentacina) El equipo de trabajo debe prepararse y ordenar la presentacin de su proyecto para que sea claro y preciso.b) Organizar, estableciendo un orden lgico de temas y asignarlos de tal manera que todos participen en la presentacin.c) Practicar la presentacin para enmendar errores y cumplir con el tiempo designado.d) Preparar todos los detalles necesarios con anticipacin, para evitar contratiempos.e) Asegurarse que en el lugar de la presentacin donde se va a realizar est bien acomodada y que se cuente con todos los recursos necesarios.f) Asegurarse que sean invitados y que asistan todas las personas que son vitales para la presentacin.7. Justo a tiempoEs una filosofa industrial, que considera la reduccin o eliminacin de todo lo que implique desperdicio en las actividades de compras, fabricacin, distribucin y apoyo a la fabricacin (actividades de oficina) en un negocio.El desperdicio se concibe como todo aquello que sea distinto de los recursos m nimos absolutos de materiales, mquinas y mano de obra necesarios para agregar valor al producto.Justo a tiempo (JAT) implica producir slo exactamente lo necesario para cumplir las metas pedidas por el cliente, es decir producir el mnimo nmero de unidades en las menores cantidades posibles y en el ltimo momento posible, eliminando la necesidad de almacenaje, ya que las existencias mnimas y suficientes llegan justo a tiempo para reponer las que acaban de utilizarse y la eliminacin de el inventario de producto terminado.Para que el JAT sea efectivo es necesario desarrollar una cultura de intervencin de las personas, de trabajo en equipo, de involucramiento de las personas con las tareas que realiza, de compromiso o lealtad de los colaboradores con los objetivos de la empresa, para que el JAT funcione.APLICACIONESProduccin o procesos de produccin.n Utilizar mquinas de mltiples propsitos, en las que fcilmente se pueda pasar de la produccin de un componente a otro.n Aplicar las tcnicas de grupos o celdas, donde las series de componentes se puedan producir juntas, esto permite reducir los perodos de planificacin.n Trazar un esquema en U, en el cual los materiales se colocan en un costado de la U, y los productos terminados en el otro costado, permitiendo la reduccin del movimiento del material.n Utilizar rdenes de compra generales , que autoricen a un proveedor a suministrar una cierta cantidad de material durante un perodo de tiempo, esto evita las rdenes individuales, ahorrando tiempo y esfuerzo. Reduciendo los costos operativos.Niveles de inventario reducidosn Utilizar un sistema para hacer que los materiales fluyan de acuerdo con los requerimientos de produccin / trabajo, conocido tambin como sistema de afluencia antes de un sistema de almacenado.Mejoramiento del control de calidadn Insistir en los detalles de calidad de los proveedores o fuentes.n Adoptar un sistema de control de calidad total, comenzando con la calidad de los artculos suministrados por el prove edor, poniendo nfasis en la calidad en la lnea de produccin de los artculos manufacturados y en la calidad del servicio que presta el colaborador.Mejoramiento de la calidad y la fiabilidad.n Disear calidad y fiabilidad en el producto. Utilizar tcnicas de ingeniera del valor, diseo para la fabricacin y diseo para el montaje. El objetivo es eliminar el descarte y todos los defectos, para que los clientes reciban una calidad superior con menos reparaciones de garanta.Flexibilidad del producto.n La menor cantidad de trabajo en proceso permite una mayor capacidad para responder rpido a los cambios en las demandas del consumidor para diferentes artculos.Responsabilidad en la distribucin.n Al utilizar el sistema de afluencia y el control de calidad total permite dar una mejor respuesta a los clientes, en cuanto a una distribucin puntual de productos y de servicios de calidad.Utilizacin de los activos.n Reducir la inversin de capital.n Al reducir los inventarios y contar con un manejo ms ef iciente, se requieren menos activos para los procesos actuales. Esto permite reducir los gastos operativos de las instalaciones actuales o brinda ms espacio para la expansin del negocio.Utilizacin del personaln Promover la capacitacin cruzada del personal para trabajar en diferentes reas de produccin. Los empleados familiarizados con el proceso contribuyen al mejoramiento continuo pues poseen ms sentido de propiedad con respecto al producto o servicio.Minimizacin de los costesn Reducir el inventario.n Reducir el desperdicio de material y el desaprovechamiento de la mano de obra debido a los defectos.n Establecer cuotas de trabajo simplificadas que significan menores costes por primas.n Reducir los costes mediante el mejoramiento del mantenimiento preventivo.n Simplificar los procesos administrativos para reducir el trabajo por empleado.FASESFASE 1 Definir el porquEl porqu de aplicar el JAT es convertir la produccin de la empresa en un girda estratgica y no slo para bajar costos. En esta fase hay dos pasos1. Concientizacin Las directivas tendrn que formarse una idea clara del JAT a fin de generar tres visiones del futuro relacionadas entre sn Visin del Proceso Fsico -ver a la empresa dentro de 3 a 5 aos, en su proceso fabril, flujo de materiales, compras, distribucin, etc.n Visin del Clima Organizacional -Se debe tener un fuerte liderazgo del presidente, una tica en toda la empresa que propicie la innovacin y haga sentir a los empleados que su aporte es importante, trabajo en equipo y cooperacin entre departamentos, personas que estn acordes con los requerimientos del cargo y que se sientan motivadas a contribuir al mejoramiento de su empresa.n Visin del Mercado -Ver posibles oportunidades en el mercado para adelantarse a la competencia.2. Formular Estrategia de Produccin/Mercado Dicha estrategia debe ser comprensible para todos. Un nivel se referir al crecimiento y expansin otro nivel a responsabilidades de los cargos y otro a estabilidad de los cargos.FASE 2 Creacin de la EstructuraEn la organizacin entran en juego cuatro protagonistas claven El comit directivo Encabezado por un alto ejecutivo, el gerente de planta, representantes de gerencia medias, supervisores y empleados comunes.n Un facilitador Persona accesible y de confianza, su funcin es que el esfuerzo JAT sigua su marcha y que se alcancen los objetivos a corto y largo plazo.n Los grupos encargados de proyectos Son los encargados del proyecto piloto, de la implantacin del JAT proyecto por proyecto. Formado por miembros de administracin superior intermedia y los empleados de la fbrica que pondrn en prctica los cambiosn Los jefes de los grupos de proyectos Son administradores del grupo y el wrap con el comit directivo.FASE 3 Puesta en Marcha del PlanComprende tres pasos1. Proyectos piloto e implantacin proyecto por proyecto se establecen ciertas tcnicas JAT, como agilizacin del alistamiento, las celdas de maquinaria, y los sistemas de halar. Otros proyectos pilotos giraran en t orno a reas externas de oportunidad, tales como compras JAT.2. Educar Capacitar al personal para que adquieran las habilidades necesarias para llevar a cabo el JAT.3. Cambiar Sistemas y Normas. Para que se amolden a los principios del JAT.8. KaizenKaizen es un sistema enfocado en la mejora continua de toda la empresa y sus componentes, de manera armnica y proactiva.El Kaizen surgi en el Japn como resultado de sus imperiosas necesidades de superarse a si misma de forma tal de poder alcanzar a las potencias industriales de occidente y as ganar el sustento para una gran poblacin que vive en un pas de escaso tamao y recursos.Hacer posible la mejora continua y lograr de tal forma los mas altos niveles en una serie de factores requiri aparte de constancia y disciplina, la puesta en marcha de cinco sistemas fundamentales1. Control de calidad total / Gerencia de Calidad centerEn su desarrollo inicial, haca nfasis en el control del proceso de calidad. Esto ha evolucionado hasta convertirse en un sistema que abarca todos los aspectos de la gerencia, y ahora se conoce como gerencia de calidad total (TQM). La gestin de calidad total es una manera de mejorar constantemente la performance en todos los niveles operativos, en cada rea funcional de una organizacin, utilizando todos los recursos humanos y de capital disponibles. El mejoramiento est orientado a alcanzar metas amplias, como los costes, la calidad, la participacin en el mercado, los proyectos y el crecimiento.en la aplicacin de mtodos cuantitativos y recursos humanos para mejorar el material y los servicios suministrados a una organizacin, los procesos dentro de la organizacin, y la respuesta a las necesidades del consumidor en el presente y en el futuro. La gestin de calidad total integra los mtodos de administracin fundamentales con los esfuerzos de perfeccionamiento existentes y los recursos tcnicos en un enfoque corregido, orientado al mejoramiento c

Engineering procurement and construction

Engineering procurement and windingIntegrated undertaking aggroups With Multi Office Execution, A get wind Of EPC Projects In CanadaAbstractEngineering procurement and construction (EPC) encounters in the Canadian oil and bungle patience ease up gained signifi earth-closett sparing importance repayable to rising hydrocarbon goodness price. The oil and muck up manufacture in Alberta has patternned to spend approximately 142 billion dollars (Government of Alberta, 2010) within the next two decades on seat of government put ups. Alberta has recognized the shortage of human mental imagerys during peak economic activities, to execute mega capital feels. Multi mightiness deed (MOE) is a way forward for provided the major EPC houses in Canada to meet the submits of guests within budget and on roll.Further, it has been place by the industry drives that integrated cypher aggroups argon sm tout ensemble to the success of these complex oil and gas undertakings. In this environment, protrusion circumspection techniques need to be adapted to match take c atomic number 18 complexity. This makeup will provide much insight through case studies related to intercommunicate teams in multi stake execution, and review the existing literature body of cognition. An analysis is presented establish on the pop anxiety knowledge aras. Recommendations argon made based on this analysis.The objectives of this newsprint be to review literature related to managing MOE envisions and to jell the adverts to success and beas that need improvement in MOE. Introduction Alberta oil and gas industry has gained signifi squeeze outt economic importance over the past decades. In 2010, it is estimated that the industry has an inventory of 57 capital oil and gas projects with a correspond measure of 142 billion dollars (Government of Alberta, 2010).Engineering, procurance, and facial expression (EPC) companies arrive at been providing oil and gas owner companies with expertness and mental imagerys to execute these capital projects. Under current grocery condition, the oil and gas owner companies want the EPC companies to grapple more risks. More and more projects atomic number 18 based on lump sum and fixed-fee contracts and are kill under lower budgets and tighter agendums. To stay competitive, many EPC companies have adopted global execution line of work model. extend is carried step to the fore in multiple withdrawices or even by multiple organizations (Macquary, 2003). Cost saving earn is achieved by allocating project arenas to high-value low-cost bunks in opposite provinces or other countries. The companies may develop a smashnership with other companies with specific technical expertise or local business expertise in lay to gain market share in a new or emerging market. The MOE improves imagination availability under booming economy, where resource shortage becomes a significant problem in punish large pro jects.Despite several eudaimonias, MOE projects can be very challenging to manage. Although the project circumspection methodology is applicable to both single- bureau and multi- emplacement projects (Cowle et al, 1995), the multi-office projects require particular emphasis on virtually of the project oversight carry outes.The objectives of this paper are to review literature related to managing MOE projects and to determine the keys to success, altercates and areas that need improvement in MOE. Interviews with project attention experts from the EPC industry who have experience managing multi-billion dollar MOE projects provided insights into MOE best practices. The interviews were aspirati cardinald based on project management knowledge areas established by Project Management Institute or PMI (Project Management Institute, 2004) in order to present the findings using internationally accepted framework. These knowledge areas are project integration management, project range of mountains management, project succession management, project cost management, project step management, project human resource management, project dialogue management, project procurement management, and project risk management.The paper is organized as follows. Section 2 reviews literature related to MOE. Section 3 briefly describes methodology and the MOE projects studied in this paper. Keys to success and challenges for MOE are discussed in Section 4. This is followed by conclusions in Section 5.Literature ReviewMulti-Office Execution ConceptsEngineering and device Risk Institute (2009) defines two main elements of a multi-office executing organization 1) Lead office which is an office that provides superstarership and has overall debt instrument for the execution of the project 2) Support office which is an entity participating in the project under the overall management and supervisory manage of the authorise office.The multi office execution schema is undercoat to be popularly framed within concepts such as virtual teams and offshore outsourcing (off shoring up). A parkland definition available for a virtual group/team is a group of geographically and temporally dispersed individuals who are assembled via technology to accomplish an organization task. Joseph (2005) specifically defines Global Virtual Engineering team (GVET) as a group of geographically dispersed individuals organized through communion and instruction technologies that need to overcome space, time, functional, organizational, national, and cultural barriers for the completion of a specific engineer task. According to Joseph (2005), the following comparison can be made amid a virtual team and a conventional team. The most critical and master(prenominal) feature of virtual teams is that they cross boundaries of space. Whereas the members of traditional teams work in close proximity to atomic number 53 another(prenominal), the members of virtual teams are separated, o ften by many miles or even continents. Although many traditional, localized teams excessively communicate through computerized communication media, technology such as tv set conferencing is typically utilise by virtual team members to supplement their rare face to face communication. In physically collocated teams, members of the team are apt(predicate) to have similar and complementary cultural and educational backgrounds since they have kaput(p) through the alike(p) enlisting and selection procedures as they are employed by the same organization. In a virtual team the members may vary in their education, culture, language, time orientation and expertise. There can besides be foreign organizational and personal goals among the members of a virtual team.Multi-office execution alike can be part of off shoring when local EPC companies subcontract project activities to branches or a different company in a foreign country. Off shoring is an extreme version of outsourcing, and it refers to the transfer of production/service capacity from a site within a country to a site in another country and accordingly importing back for national consumption of goods and services that had precedingly being produced locally (Goff, 2005). Off shoring business operations offer a potential for 15-20% cost savings, but further analyses show that organizations that right on plan and operate offshore initiatives can reap substantially higher rewards (Fox and Hughes, 2008). According to Goff (2005) the benefits of off shoring for large companies include maintaining or increasing profitability by reduced labor costs if resources with the same or higher level of expertise can be obtained in the foreign countries maintaining its competitive come in or even protecting it from going out of business and increasing the market share of a company by improving their capacity and utilizing available in-house resources to more value played ventures. Canada ranks high among most show y host countries for companies wishing to locate abroad to improve their financial position according to the offshore kettle of fish attractive index (Goff, 2005).The multi-office execution has been made mathematical and successful, solely due to the advancements in the entropy and communication technology. With the rapid advancement of the electronic age the ability to staff a project from multiple offices has gone from a dream to a practical reality (Cowle et al, 1995). The latest developments in communication technology such as teleconferencing, video conferencing and host of other online applications coupled with ever increasing speed of data, voice and video transfer literally eliminate distance barriers. According to Macquary (2003) we are at a point in time where reading technology is allowing us to change many of our traditional way of doing work. Hence it is manageable to create an organizational structure agile enough to accept them and quickly apply them to add valu e.MOE madcap ForcesEconomy conditions are the main driving forces for the MOE strategy (Macquary (2003), Joshep (2005), Global Insight USA (2004), and Engineering and Construction Risk Institute (2009)). Under booming economy, labor shortage becomes a problem for many organizations and the MOE is a way to acquire project teams from other remote offices or even other companies. The MOE strategy is also used to add resources in order to meet tighter/compressed project schedules. On the other hand, unhurried economy growth demands constant vigilance over cost. Companies with global operations often allocate or outsource work to high-value low-cost offices, especially when qualified resources with lower wages are available. For instance, offices in India, chinaware or Far East countries could be candidates for such oppose offices.Company policy to gain market share is another driver for MOE strategy. Companies can setup offices in other countries or develop business partnership with local companies to capture global or emerging markets. A joint venture between companies (or even competitors) with complementing expertise to take on a project that requires diversified expertise is also another driver for MOE.Other driving forces are development in technology such as earnings connections and other communication tools a need to free resources for core business or higher value purposes change in educational trend which results in little number of graduates in almost analyse fields (Joseph, 2005).Managing MOE ProjectsEngineering and Construction Risk Institute (2009) suggested issues to be greeted for MOE projects during sales/pre-execution, project mobilization, project execution, and project completion phases. Key issues are early engagement with the client to obtain agreement to MOE and address clients concerns early engagement of the life offices clear definition of telescopes and responsibilities for individual offices and kick-off meetings adaptment of work processes, deliverables, and reports selecting suitable key project eccentrics who are opened to MOE and communication plan.Joseph (2005) has identified technology, management, organization, project control and team communication as important items to consider in global virtual team formation and execution. Clear and frequent communication, half-yearly face-to-face meetings, good communication tools and compatibility in information technology, standard work processes and communication procedures, and clearly define scope expectations are named as top success criteria for multi-office execution. Whereas lack of or poor communication, lack of face-to-face meetings, lack of understanding of local work practices/ cultural differences and/or language issues, lack of management booking experienced directership, changes not handled properly, slow response to changes, incompatible or poor technology including hardware and software package are top failure factors found within E PC industry for multi-office execution.Chinowsky and Rojas (2003) outlined the top 10 management issues that must be addressed when initiating and maintaining virtual teams. They are categorized as Team issues and turn issues. Team issues include initial face-to-face meetings are required to develop a sense of team, managers must haggle remote participants during the course of the project, trust between team members is difficult to establish when operating in a virtual environment, and virtual team masterminders should be selected with an acknowledgment of the unique demands placed on distributed teams. Process issues includes project objectives must be restated and reinforced frequently to ensure that all members remain focused on a common outcome conflicts must be addressed quickly to prevent unresolved issues from officious with communications discussions on decisions will be more difficult as participants continue discussions via electronic media expectations of individuall y team member must be stated clearly to assist the members as they work severally team member workloads should be monitored to ensure that significant increases do not occur due to change magnitude electronic communications and fixedness training must occur equally for all members of the virtual team. methodology And Studied MOE ProjectsThe methodology used in this paper to gain insights into MOE best practices and challenges is interviewing project management experts who have experience managing MOE projects in EPC industry. The interviews were designed using project management knowledge areas project integration management, project scope management, project time management, project cost management, project choice management, project human resource management, project communication management, project procurement management, and project risk management. The project management knowledge areas are identified by its knowledge requirements and described in terms of their component p rocesses, practices, inputs, outputs, tools, and techniques (Project Management Institute, 2004).The two major reasons for the projects to implement MOE strategy found in this paper are resource constraint and cost saving. individually(prenominal) of the projects discussed in this paper were penalize during the booming economy (i.e. high oil price) and man cause shortage became a problem for many projects. Therefore, the MOE beame a necessary strategy to acquire project teams with required skills from locations with more resource availability. To save cost, project scopes were allocated to high-value low-cost offices in either other provinces or other countries (e.g., India and China). Cost benefit was achieved in both cases. Some of the projects allocated less technical work such as cloning design work and closing project work to these concur offices.Another driving force identified is a company strategy to expand and maintain national or global operations. The MOE strategy is used to residual resource utilization. In booming economy, work is allocated to reduce workload at some offices. During an economy downhearted turn, work is allocated to maintain have got offices as it is more economical than closing the hold water offices and rebuilding them when demand resumes.Engineering work is usually allocated among scarper and support offices. For better coordination, a procurement organization is usually setup in the offices that perform engineering design. However, smaller projects may choose to have only one procurement organization in the lead office. Construction is mostly executed by the lead office. However, some construction scopes (e.g., fabrication and modularization programs) may be subcontracted to local or international third-parties, therefore they are considered as MOE.Prime contract management/ legal functions are usually executed by the lead office only. Other project functions such as Project Management, Project Controls, and Document Management are executed from the lead office. However, depending on the size of the project and project strategy, these functions may also be executed from other support offices.Keys To Success Challenges In MOEFurther discussion on keys to success, challenges, and areas required improvement for MOE projects is divided into 9 subsections per Project Management Knowledge Areas (Project Management Institute, 2004) project integration management, project scope management, project time management, project cost management, project quality management, project human resource management, project communication management, project procurement management, and project risk management. The discussion is summarized at the end of this section.Project Integration ManagementFor MOE projects, the lead office is normally prudent for developing the project charter and preliminary project scope statement. This is due to closer contact with the Client. Furthermore, at the early stage of the project, th e support offices may not have been regard yet. It is important that the project management team provides MOE justification to gain support from the Client.It is recommended that the project management plan developed during the planning phase addresses the MOE strategy including high-level justification, organization, resource utilization and scope allocation. Some projects may choose to develop a separate subsidiary plan which addresses MOE issues such as scope allocation, certificate of indebtedness, and communication in more detail.The MOE brings many challenges in monitoring and ircreditworthy project work. All offices should take certificate of indebtedness for their own work but the lead office must take the indebtedness to monitor and control overall project work. Managers in the lead office need to understand their roles in monitoring and controlling project work even though the work may be executed by the support offices. Basic communication approaches such as regular phone calls and VDO conference meetings and information systems that allow near information to be collected from support offices are used for monitoring and controlling project work.Project changes should be managed and controlled centrally by the lead office. Changes are initiated from all offices but only the lead office should have authorization to approve changes. The clear changes need to be captured and project plans (e.g., budget and schedule) are adjusted accordingly. It is important that no office should start executing the changes before they are approved even if the changes are initiated by the Client.Closing project is identified in this paper as one of the major challenges in MOE. Each office is normally responsible for closing the work under their scopes. However, the support offices have smaller scopes of work, therefore they usually de-staff earlier than the lead office. If the support offices de-staff before the close out is complete, the work is transferred to t he lead office which may not have sufficient background understanding to properly close out the work/scope. To avoid this circumstance, the projects must plan and execute the project closing process carefully. It is also important that sufficient budget is allocated for the project closing process. Electronic archiving of project scrolls is recommended to facilitate the project closing.Other challenge identified for project closing process is lessons-learned management. Lessons learned from all offices need to be captured, analyzed for reappraisal actions or recommendations, archived, and internally published. Lessons learned are proprietary and required careful review before they are published to avoid any technical or legal impacts. Some EPC companies may have a corporate function dedicated to manage lessons learned from all projects. If not, the project management team in the lead office should be responsible for managing lessons learned from all offices. As this is a part of project closing, management of lessons learned call for to be planned, scheduled and have budget provided for like other project work.Project Scope ManagementAfter the preliminary project scope statement is developed, the project scope must be further refined. Scope allocation among the offices is a major part of scope management for MOE projects. Depending on the types of projects, the scope can be further divided vertically or horizontally. For example, oil and gas facility construction projects normally divide scope vertically by geographical areas of the facilities part power plant construction projects usually divide the scope horizontally, by specialized technical systems such as steam lines, control systems, rotating equipments, etc. Nevertheless, the project scope should be divided in the fashion that requires as little coordination as possible. In reality establishing a balance between MOE scope division and parturiency to set up the project scopes becomes a fine art fo r the project management team.Several criteria are used to allocate the scopes among the multiple offices. These include expertise and experience, cost, resource availability, and organizational strategy. The lead office is mainly responsible for scope allocation. It is identified in this paper that clear understanding of scope is one of the key elements to successful MOE. Therefore, it is highly recommended that the lead office organize kick-off meetings to engage the support offices as soon as possible in order to develop the scope definition and WBS. It is crucial that these processes are a joint perspiration between the lead office and support offices. This will develop a better understanding of the scope and a sense of ownership for the support offices which will later benefit the scope control process (e.g., recognizing scope changes and their impacts).Tools that are used for scope planning are responsibility matrices that clearly indicate the responsibility among the offices at project deliverable level (e.g., division of responsibility, material assignment schedule, control and monitoring needs, etc.). peak responsibility to verify and accept the project deliverables can also be included in the responsibility matrix. Critical deliverables are accepted directly by the lead office for review before transferring to the Client, while the other deliverables can be submitted directly by the support offices to the Client. However, the lead office has overall responsibility to ensure that the project deliverables are completed as per project scope.The scope should be controlled centrally by the lead office as a part of integrated change management discussed in the previous section. As a result, it is important that the lead office has a good understanding and control of the scopes that are performed by all offices.Project Time ManagementProject work broken down into clear components and designate to a resource is essential for schedule development. Project schedules should be developed by the lead office in close communication and cooperation of support offices. The lead office usually initiates high-level schedule which contains major project milestones usually knows as master schedule, then the support offices provide detail information (e.g., act sequence, activity resource estimating and activity duration estimating) to be incorporated into the master schedule. Once the project schedule is developed and adopted as a time management tool, activity status information required to update this schedule is collected from all offices. It is important that all offices follow the master project schedule. Use of universal scheduling tools that provides visibility to all offices particularly benefits the MOE execution.Communicating and resolving schedule misalignments among offices is considered to be one of the challenges for MOE. Therefore, it is recommended that the master schedule control is alter and the lead office assign personnel to coordinate schedule information from all offices.Project Cost ManagementCost estimating is a significant activity during the early execution of the project. During the early stage the scope and responsibilities are with the lead office, therefore the cost estimating is also performed by the lead office. Early estimates are conceptual estimates with some details (e.g., major equipment cost, estimated bulk quantities and construction cost). When further design development takes place and if significant scopes are allocated to support offices, area estimators could be assigned to provide input to the lead estimating team.Detail estimates are developed when significant engineering is completed. Input and feedback from all the execution offices are used in developing detail estimates. Once the detailed estimates are approved and implemented each support office is responsible for its scope of work. Typically, total cost management and nett reporting remain the responsibilities of the lead office.Cost control strategy can be either centralized or decentralized, depending upon the scope splits, project staffing, level of effort needed to control and report project cost. For instance, if a support office is allocated a small scope (e.g., the support office only produces isometric drawings), total cost control can be performed by the lead office. On the other hand, if a support office has significant scope (i.e. a complete plant area), cost control for that area can be assigned to the support office with periodic reporting to the lead office. Regardless of centralized or decentralized cost control strategy, the lead office has a responsibility to control and report to the Client overall project cost.Project Quality ManagementThe quality planning should be initiated by the lead office with consideration to Clients quality standards and requirements.Project quality assurance and quality control are typically executed by all offices. For the MOE projects that involve s upport offices from foreign countries or from different companies, different quality practices may be allowed as long as they comply with the project quality management plan. In case the quality assurance and control of support offices do not comply to project quality plan, the lead office may need to execute these two processes as attach.Project Human mental imagery ManagementFor MOE projects, the lead office should initiate the human resource planning by providing allocated man-hour budget to the support offices. Factors such as capability, reliability, quality, and expertise of the support offices should also be considered when developing the budgets. Then the support offices are responsible for developing their own staffing plans. The lead office should also ensure that the budgets allocated to the support offices are appropriate all managers are trained to do staff planning and the staffing plans developed by the support offices align with project plans (e.g., budget, schedul e, and scopes of work).As leadership is crucial for project success, the project lead roles (e.g., engineering leads) in the support offices should be identified early. These lead roles provide direction to the teams and are communicating channels between the lead office and the support offices. Some projects may instead select to assign a coordinating role for smaller scope of work allocated to the support offices.Lead offices may influence staff assignments at support offices especially for the lead positions. However, the support offices are usually responsible for acquiring their own project teams for the reasons that they have better knowledge and understanding of their staff as well as they are directly responsible for the staff career development.MOE projects have to overcome many challenges in developing the project team. Phone calls and meetings between offices in different time zones are more difficult to arrange while communicating only via emails may not be an ideal appr oach to develop a working relationship. Cultures and languages also add challenges to communication. It also takes time to develop trust and working relationship between offices which is a challenge for offices that have never worked together before or offices that have high-turnover or are downsized. Other challenges are standardizing or aligning work processes.This paper identifies that having staff from the leading office visit support offices at regular intervals and vice versa is an effective approach to build project team for MOE projects. These visits could be for training, meetings, or trouble shootings. The project should arrange these visits as often as possible during the project life cycle. VDO conference is also recommended as a more effective meeting tool than just a phone conference. The project management should be instrumental in arrange all-office team building activities such as project occur presentation, discipline presentations and recognition and reward progr am.Each office is responsible for managing its own staff. However, the lead office needs to manage overall effects of the support offices. Cultural difference should be considered for appropriate management style. It should also be noted that the procedures between offices should not be compared without understanding the legitimate factors that may impact the performance from each office (e.g., expertise experience). Other challenge found in managing the MOE team is that delivery and performance issues (e.g., rework, delay, or actual amount of remaining work) may not be communicated to the lead office. These are often set by fear of negative consequences such as losing work. Therefore, it is important to set reasonable performance targets based on capability of the support offices and the lead office provides support in solving any performance issues such as training and trouble shooting.Project Communication ManagementAs a part of communication planning, it is recommended that the stakeholder analysis is performed for all offices to determine the project communication requirements. Communication planning should address information, information originator, information receiver, frequency, and communication medium. It is important that the lead office is the only point of contact for handling commercial and contractual matters. When appropriate, mass communication methods such as group email, project portal, shared out drive are recommended for MOE projects. It is important that project changes (e.g., revisions) are communicated with high priority between offices to prevent rework, especially if work is shared between multiple offices (e.g., outputs from one office become inputs for the other offices).To facilitate the information distribution during the execution phase, the use of information distribution matrix is recommended. The matrix determines the list of employees that the information is to be distributed to and is managed by document management gr oup.Overall project performance reporting should be a responsibility of the lead office with inputs from support offices. The performance reporting should be included in the communication management plan. Reporting schedule and format should be developed and agreed upon by all offices. Necessary trainings (e.g., use of tools to collect performance information, data gathering and data analysis) should be provided to all offices to ensure reporting accuracy and consistency.Project Procurement ManagementOne of procurement decisions to be made at the beginning of an MOE project is purchasing and managing strategy for each material commodity. It is generally more economical that bulk material (e.g., bulk piping materials, steel, and cables) requirements from all offices are consolidated and purchased together by the lead office. However, commodities that require customized engineering design such as mechanical and electrical equipments may be managed more effectively if they are procured by the same engineering office. After the decisions are made, the procurement organization then can be setup to support the commodity management strategy. It is a best practice to have procurement organizations in all engineering offices. However, some smaller projects may choose to setup only one project procurement organization in the lead offices. Subcontract function (which is a part of procurement management per project pr

Fully Understanding The Arian Controversy Religion Essay

Fully Under flooring The Arian strife Religion EssayThe church service building has battled throughout its history with various Heresies and controversies, which in essence return partly defined the path that the church has taken. A perfect eccentric is Athanasius, bishop of Alexandria and his bold stand against Arianism. Without which todays orthodox faith whitethorn prolong drifted into paganism and lay out itself more of a philosophy than a life saving religion The message of redemption was on the line.The Arians believed that rescuer was non God, further instead a created being, where Athanasius k saucily that for salvation to be realised, deliverer mustiness be both fully God and fully hu valet de chambre, of the selfsame(prenominal) substance as God, and al ways being, non created. The importance of this stance could not be over verbalize as it would affect alone aspects of Christian thought and participation.Athanasius stand cost him dearly spending legi on(predicate) years in transportation on 5 different occasions, but his determination to stand for what he believed was absolute truth eventually triumphed. His stand maintained the church as an instrument of salvation, separate from the take in of sacrilegious office staff. It is through the example of Athanasius life and costly fight for truth that we learn the importance of identifying todays life-sustaining issues and standing firm in this present difficult age.IntroductionTo fully understand the Arian Controversy and the depth of involvement for Athanasius, the Bishop of Alexandria1, one totally has to deliver the goods his life story, as the history of the Arian Controversy is entwined throughout it.2The life of Athanasius is so dominated by the combat of this heresy, that the rise and fall of the Arian Controversy was a reflection of the life and security of this theological giant.In this essay the generator shall attempt to examine the kind between Athanasius and hi s passionate fight against the Arian heresy. In so doing one must jumply understand the Controversy, secondly have knowledge of the Key players, and what they so passionately believed and fought for, and finally to consider how learnings from these late(prenominal) battles can be applied today.Section1 The Arian ControversyThe Arian Controversy was birthed through a man named genus Arius (2503-336AD)4born in Libya.5A very frequent and prestigious presbyter of the Baucalis Church,6in the city of Alexandria.7Arius intention was to protect the experimental condition of a unique God, the only being to have always been and incomplete has an coordinateer(a)(a) ever existed with the same standing nor made of the same matter.8 until now the controversy finds an earlier conception through Origen,9probably the superlative Christian theologian of the early church.10Origens understanding of the Trinity was three distinct beings firm united into one, God the Creator of all, the eternal S on Christ and the dedicated Spirit. However it was his comments regarding the subordination of both Christ11and the Holy Spirit to the Father, which influenced nigh of those who followed him to accept subordinationism12and finally Arianism. This belief along with a number of other popular heresies and schisms built a foundation and lead into to what is now cognize as the Arian controversy.Around the year 318AD13Arius began to spread his views on the relationship between God and Christ,14one being the uncreated Father without a beginning, who fag out a Son with a beginning.15The Word (Logos) became flesh as the man rescuer Christ (John 114), but Arius argued, He was not made of the same nature nor substance as God the Father, uncomplete eternal nor omnipotent, and therefore was a lesser being.16In Arius magical spell to the highly influential Eusebius, the bishop at Ni contractdia17he wrote The Son has a beginning, but God is without beginning.18Arius postulated that rescuer Christ was a created Being, the first and the large(p)est ever created,19but still only a form of creation, not the Creator.20This is further take ton in a common phrase that would eventually acquire the Arian motto,There was, when He was notAt this time (early in the twenty-five percent century) in church history, the theorys and ideas surrounding the divinity of Christ were still up in the air so to speak, and the church had no set way to officialise doctrine or determine what was an acceptable belief.21So it was, when black lovage the bishop of Alexandria clashed over several issues with Arius, the most important being whether the Word of God, was co-eternal with God.22In 320AD Alexander took decisive action, understandably declaring his belief in the Sons, being consubstantial and coeternal with the Father,23following which he brought together a council of local bishops, condemning the views of Arius24and deposing him in 321AD.25Arius, appealed both to the local populace an d some prominent bishops26from the eastern side of the empire,27who in turn supported him. Arius return to Alexandria,28resulted in demonstrations and riots in the streets,29further threatening a di mint of the entire eastern church,30causing Constantine the first fully attested Christian Emperor,31to intervene.In 325AD32, Constantine called the first Ecumenical (Universal or worldwide) Council in Nicea33to settle the matter of the Arian Debate.34This historic meeting not only had the Emperor Constantine present but it is also claimed in ancient chronicles that 318 bishops35were also in attendance.36The Arian party was led by Eusebius of Nicomedia37and the adversary was headed by Alexander bishop of Alexandria notably supported by a young deacon named Athanasius38his eventual successor and champion of Nicene orthodoxy.39The Arian debate was distilled to the amplification or subtraction of one iota. Was Christ Homousios (i.e. of the same essence as God) or the Arian stand Homoi ousios (i.e. of similar essence with God)?40In what has been described as a decision of immeasurable importance in the history of the church,41Arianism was rejected,42in the cleargonst way possible,43and after debate, the condemnation of Arius pronounced by the bishop Alexandria was upheld,44resulting in Arius being anathematized and banished with two companions to Illyria.45Furthermore for clarity of belief, and complete rejection of Arianism, it was refractory that a common creed needed to be developed and unanimously agreed upon.46Eusebius of Caesargona presented his induce creed,47which was adopted with some changes strengthening the rejection of the Arianism heresies.48This creed cognize as the Creed of Nicaea49became the basis of the Nicene Creed still apply in todays churches.50This should have ended the Arian controversy but it soon reappeared with the emperor moth butterfly ordering the church to reverse Arius condemnation, and readmit him. This introduced a new church issue, the interference of the state (emperor) in church affairs. Instead of persecution, the church had to deal with instruction from a profane authority. We also start to see the original grit of Athanasius, and his willingness to stand for truth despite the negative consequences to his own life.Section 2 Athanasius, The Black Dwarf Champion of Nicene Orthodoxy.Athanasius (296 373 AD),51seemed to be a man surrounded by controversy. In his time as archbishop of Alexandria,52he was exiled no less than five times. His controversial standing centred nigh his use of Episcopal authority,53as well as the famous alleged assassination of a fellow bishop of a rival group54which was dramatically found to be false.55It was Athanasius lot, that his fortunes would ride the waves of rejection and popularity of the cause (The Arian controversy) he so diligently fought against throughout his life. His stance against the heresy that plagued his defence of Christianity fashioned his life. He i s credit in history56as one who stood alone for the truth, against the forces of heresy,57and is to have stated his famous defiance, Athanasius Against the World.58Athanasius who was noted as being so dark and victimize of stature, was known to his enemies as The Black Dwarf,59the man seen above all others as being opposed to Arianism and to be feared the most.60He was also known as the champion of Nicene orthodoxy, seen as one of the great fathers of the fourth century,61and is also credited as one of the most renown theologians of the early church,62amongst other greats much(prenominal) as Clement and Origen.63Three key issues of concern for Athanasius were indoors the religious, social, and political realms. His gravest concern was the Arian core argument regarding the full graven image of Jesus Christ and the theology of the Trinity. Athanasius stance on the trinity, was deeply rooted upon his beliefs on creation and salvation, effectively focusing debate on a biblical and theological basis steering it away from philosophical speculation.64In the Arian debate, Athanasius could clearly see that Christianity was at the brink of becoming a form of paganism.65If Jesus was not declared Homousios, then Christianity would have worshiped two Gods, and Jesus would not have been a worthy sacrifice for our sins.66Athanasius saw Salvation was on the line,67Jesus needed to be both fully human to correct for the sin of man, and fully divine, as none other could have the power to save mankind. This duel nature of Christ was paramount, as without it the Salvation of humanity would be impossible.68The second major issue was in the realm of politics. At this time Christianity had just emerged from a period of major persecution by the secular powers69to a time in which it was the dominant religion. However, Christianity had in reality go from secular persecution to secular control by the Emperor70of the day.71The Arian controversy was a great example of a shift in fo ci with Athanasius now finding himself opposing the Emperor over religious issues. This resulted in five periods of exile and reinstatement,72 ground on either a change in emperor or the clich closet to the emperor at the time.73Subsequently the church found its subprogram degraded away from its real role of pointing mankind to salvation in Christ, rather becoming a tool of the emperor utilize to compass his own ends. Consequently, church issues and doctrines were not being decided by the religious elite debating each issue, instead key decisions (e.g. Arian controversy) were made by secular rulers under petition.74Furthermore, church decisions were subject to being over rule by the state to suit the whims of the emperor.75Throughout this period Athanasius established and fought for the teaching of church separation from the state, retaining the churchs focus and mission on the good word of honor of Christ.The third issue faced by Athanasius was in the social theater of oper ations This arose through the emperor Constantines legitimate concerns with the volatility of the Arian dispute, its magnitude and potential to burden apart the entire eastern church.76Constantine recognised the importance and role of a united church holding together the fabric of a downslopeing roman letters society. This was his hope and means of ensuring Romes pick, but a divided and embittered church would mould the fate of weary empire.77So it was that Constantine called together the first worldwide hookup of Christian bishops to deal with these issues amongst other things.78His stance regarding the social impact of a divided church was clear as he addressed the bishops forrader the council stating Division in the church was worse than war.79Athanasius refused to condone violence to achieve his goals. This was shown during a confrontation with rival bishop Gregory which escalated into violence. Athanasius response was to remove himself from the city in order to avoid fur ther bloodshed.80Athanasius pastoral heart recognised the riskiness Arianism would bring to society, and that those who opposed Arianism would once again face persecution,81(only this time it would come from within). Athanasius also realised that Christianitys endpoint under Arianism was paganism leading to the expiry of both social and clean standards as the Christian faith icky to the depth of other pagan religions.82Section 3 Applying these lessons in todays societyThe issues which arose in Athanasius day are seen again today, challenging Christians across all nations to varying degrees. The three main areas of conflict faced by Athanasius and Christians today, are as follows.The first issue Christians face today is that of religious heresy. The many an(prenominal) denominations now found under the Protestant banner demonstrates the splintering of the church into multiple denominations, further giving rise to cults barely related to the authorized Christian message.83Even t he Arian controversy itself has re-surfaced in a modified form with the emergence of the Jehovah Witnesses.84One learns from Athanasius that even with unconquerable odds, someone must stand in the gap for truth, despite the cost it may have on your very being. Athanasius showed that one must persist until the end, to not only ensure truth is victorious, but that unity of the body of Christ is achieved. looking for at Athanasius stand, it is observed that he never gave up on the church body, despite overwhelming odds opposing him. Athanasius worked within the existing church structure, resisting the temptation to start his own religious theological group. This resulted in the survival of the ancient church, giving Christians of this present day a functional theological base to build upon.Todays second issue encompasses the relationship between church and state. This battle is being played out across the world. Christians in many western countries have formed specifically Christian political parties,85based upon the Christian stance and influencing government constitution where possible.86Globally we see countries the like Communist China and the old Russia where the government took an active role in trying to discredit and eliminate religion87through persecution and unjust laws. ineffective to defeat the church of Christ some adopted a policy of offering religious freedom with harsh restrictions under the tight control of the government.88We learn through Athanasius trials, the dangers of mixing politics and religion, with the corruption and misuse of the church which can come from such a union. Today we face the seeds of secular intervention in Christian belief and activity with Australias recent favouritism and vilification laws having the potential to silence the church.The final lesson deals with the society or familiarity in which Christians live. Constantine saw that the unity of the Christians could hold the fabric of the Roman empire together, and Christians may exert a similar influence today. The gradual decay of present society towards a collapse in its social moral character is evident with the increasing occurrence of problematic behaviours (in societal terms) such as abortion, child and spousal abuse, and euthanasia (in some western countries). From a Christian stance, moral indicators such as divorce, suicide and problem pregnancies are also increasing in frequency. Some indicators show a lessen difference between secular society and the Christian community as Christian beliefs are influenced and eroded. The past reveals that to avert social disaster, Christians need to be unified, offering stable standards and clear beliefs tempered with peace, hope and love to the communities and nations in which they live Offering Christ as the real alternative to in advance(p) paganism. Athanasius demonstrates that the church must get back to its roots and be a vessel of good news, offering Salvation to mankind.ConclusionThe chu rch would do well to look back on the life of Athanasius and learn from the lessons that this great man of God teaches. Although the works of Athanasius hold an important place in the history of Christianity, it is more the Life and stance of Athanasius which speaks volumes to Christians throughout the ages. It was Athanasius tireless and bodacious stand against the Arianism which earned him the title Champion of Nicene orthodoxy. Against seemingly insurmountable odds, Athanasius opposed heretical change, battling both the hierarchy of church and state.The tenacity and vision of one man, refusing to recant his theological stance on Christs deity and the role of the church, established and impacted the churchs direction to this day. In most Western countries the Protestant church is independent of the states influence89with a primary focus stayed true around the message of Christ bringing salvation through his deity and subsequent efficacy of his substitutionary sacrifice.

Using The Evaluation Framework Economics Essay

Using The military rank Framework Economics EssayThe possession of an takeership advantage gives a firm the opportunity to sell goods everyplaceseas further it fails to explain wherefore this is carried break through by victoriouss in the unconnected market or else than tradeing to the foreign market. As a result, in that ready is the need for an rating material.LEARNING OBJECTIVESBy the end of this Unit, you should be able to down the stairsstand and hang in the followingthe instantance of an military rating frameworkthe 4 criteria of the evaluation frameworkassess the contri just nowion of MNEs in a foreign country by using the Evaluation Framework.THE EVALUATION FRAMEWORKThe contrisolelyion of MNEs to the tuition of the innkeeper nation, more particularly underdeveloped countries or LDCs has been the subject of frequently roll everyplace the years. Whilst it is gener every(prenominal)y accepted that MNEs do clog up by fashion of technology transfer, ski lls diffusion and by bringing much needed pay swell, nevertheless criticisms abound as to the negative collision of MNEs in that they atomic number 18 viewed as exploiting the local labour party force, they transfer out appointeed technology, and they strip the LDCs of much needed resources.However, MNEs were and still re important a very important chemical element of out gain, especially for developing countries. This is why it is crucial for a waiter countrys organisation that it should be able to assess FDI in a policy context. The latter(prenominal) process is usually d single by room of an Evaluation Framework. An evaluation framework usually encompasses 4 criteria.3.3 faculty of Resource all(prenominal)ocationEfficiency of resource allocation relates to the extent to which there exist complementarities between of frugalalal interests between the multinationals and the entertain countries. In a similar vein, it highlights the following under what conditions do the trading operations of the TNC in a host country contribute to the world economic welfargon that could non be achieved before?However, the heraldic bearing of MNEs in host countries is often prompted by regime-induced imperfections including protection from imports. Such a smirch in general occurred when countries were adopting an import substitution industrialization strategy.Adopting an import-substitution strategy entai direct a high level of protection, via tariffs, import restriction measures and quotas, which discriminated against exports via explicit and implicit revenue enhancement income income of export activities and an overvalued foreign exchange rate. Also, the political relation used enthronisation license, derivative instrument taxes, tax holidays, exemptions and remissions to influence resource allocation between industries and sectors.The prop unitynts of IS strategy heavily believed that they would be able to meet the domestic consume for manufactu ring products provide craft opportunities for skilled labour ease pressure on the equilibrate of allowance and strengthen the long term procreative capacity of the deliverance by importing the production technology via foreign firms1and by using the babe intentness argument.Under such an era of protectionism2, MNEs were mainly regarded as organism of a market-seeking3 nature. Firms set up plant inwardly foreign nations in order to supply their national markets in the close profitable way possible. The paint location advantages (in Dunnings terminology) which determined these market-seeking investment funds fundss were the cross-border transport and communication be soppy barriers (import restrictions) to trade in in goods and services the size, income per capita and the expected growth of the local market. though cost considerations were deemed important and even decisive in trusted bare(a) markets, an efficiency-seeking motivation was deemed to be of a very secondary nature (Pearce, 1999).However, the overwhelming consensus is that IS was a failure4. IS strategy has turned out to be self-defeating since it has resulted in huge increases in imports of equipment and inputs while transfer pricing conventional a severe drain on foreign exchange. Also, IS granted profuse protection to industries producing in competently non-essential goods for high-income elite. Furthermore, fiscal credit and exchange rate policies, bring together with subsidies on imports of capital goods, made it possible and advantageous to entrepreneurs to rely on high capital intensive equipment piddled abroad and technology unsuited to the compute proportions prevailing in less developed countries.As a result, a forward-looking orthodoxy emerged in the late 60s and primaeval 70s which stressed the role of exports of labour intensive manufactures as an engine of growth. This represented a return to the motionless theory of relative advantage with trade based upon diffe exact grammatical constituent proportions prevailing in various countries which meant that the pendulum turned full swing for victimisation policy in LDCs from import substitution to manufactured exports.Export orientated strategy not exclusively encourages free trade5, but in addition the free movement of capital, labour, enterprises and an reach system of communication. It also entailed more efficient allocation of resources with firms competing planetaryly6based on their relative comparative advantages. These considerations, conjugate with the emergence of trade blocks, were factors motivating changes in the strategic orientation of MNEs.MNEs underwent a complete restructuring of their global and regional supply profiles. This entailed locating7manufacturing operations in only a few countries but exporting for a wider market. individually subsidiary were opened to a fully competitive market situation which permitted the realisation of economies of scale and the attainmen t of optimal efficiency in production (Pearce, 1999). The where to produce clearly gained in prominence during such an era which led to MNEs redistributing their unchanged ownership advantages in order to create an international mesh topology of subsidiaries8which optimised their supply of established range of products. Thus, investments undertaken by MNEs were mainly of an efficiency-seeking nature.However, one should not underestimate the crucial role compete by the presidency during that period. It was not only the choice of trade strategy but also the enchant role of government policy which was at the heart of the development douse. For example, export-oriented growth and appropriate macroeconomic policies9were mutually of economic development in the NICs. The integrating of NICs into world and regional economies was essential for their long-term growth. This required less government intervention and enormouser reliance on hugger-mugger initiatives and market forces. It provided an milieu conducive to foreign investment and domestic entrepreneurship. The Government was expected to actively promote economic growth and use its resources to direct and support the private pains.It was the pursuit of such appropriate policies by these developing countries governments permitted shifts in their embodiment of international specialisation in response to the changing structure of their comparative advantage at different levels of industrial development. As a result, the efficiency of resource allocation improved, the rates of growth accelerated, with arrive ats accruing to all concerned.DISTRIBUTION diffusion relates to the extent to which the gains arising from the MNEs operations are distributed between the partners. The host country would demand a plum share of the benefits created by the investment. However, the identification of a fair statistical distribution is very difficult since it is almost impossible to price justly some contribution such a s technology diffusion and managerial expertise which are intangible in nature.In addition, the issue of distribution is even more contentious especially when profits of the multinationals are delinquent less to the efficiency of resource allocation and more to market distortions or imperfections created and sustained in the first place by the government to pull up these foreign firms. Also, the distribution of such rent is influenced by the relative negotiate strength of the multinationals and the host governments in the light of factors such as tax concessions, tariff protection and labour training.In this light, it whitethorn be argued that there is a direct blood between the negociate strength of the host country and its level of industrialization such that, the lower the industrialization level, the weaker its bargaining power. Finally, host nations are unable to extract their fair share of benefits because imperfections in the market for factors of production in which th e multinationals are strong permits them to earn monopoly rent on these factors.SOVEREIGNTYSovereignty relates to the ways in which the multinational may compromise the economic license of host nations in either the curt or long term. It highlights how the behaviour of multinationals may compromise the effectiveness of certain aspects of the host countries policies.For example, the intra-group transfer of rent, via transfer pricing practices, may step down the autonomy of the host countries in areas such as fiscal policy, monetary policy, trade policy and its attempt to control and organize the structure of industries.SELF trustingnessSelf-reliance relates to the ways in which the operations of the multinational may undermine the viability or independence of local firms or enhance their potential. The self-reliance issue also crops up during the investigations of the impact of multinationals on the industrial structure of the host nations for e.g. the level of concentration and /or modes of operations.It is also concerned with whether the operations of multinationals in the host nations may either enhance or hold backside the availability of particular types of skills for local enterprises since there are claims that multinationals remunerate split up their employees than local enterprises.However, there is no reason as to why the relationship between local enterprises and multinationals should be a competitive one. They may in fact complement each other rather than act as rivals. For e.g. multinationals may sire recourse to indigenous forms for their supply of inputs and this may tend to significant benefits for the indigenous firms by way of improved technology, better calibre control procedures and diffusion of skills.EXERCISES1. MAURITIUS CASE STUDYMauritius is unique in having had a wealthy class of saccharide plantation owners who were actively seeking to substitute their investments in the first years of independence. They have experimented w ith horticultural and industrial exports, as comfortably as with tourer facilities, for many years. It to a faultk the arrival of Hong Kong and Taiwan fabric firms to get industrialization going, however. And South African hotel chains first brought the tourist facilities up to world class standards. Why couldnt they do it alone? The key missing ingredient was the much vaunted keystone of the new thriftiness fellowship. Mauritian investors lacked the depth and breadth of knowledge needed to create viable industry and tourism on their own.The overseas Chinese and South African investors brought in-depth knowledge of how to run an efficient firm. They also had intimate knowledge of customers and their preferences, as well of what the competition was offering. They were able to train the Mauritian workforce, interspersing production lines with faster Chinese workers and more flexible Indian ones to bring up productiveness. Domestic investors, whether the sugar barons or more lo cals of more modest and ethnically diverse origins, unanimously composinged that they were not squeezed out by foreign investment. On the contrary, they worked with, acquire from, and in many cases bought out foreign investors.Ethnicity has been handled delicately in Mauritius, in surprising contrast to analysts predictions at independence. The few dozen Franco-Mauritian sugar barons who controlled the economy at independence in 1970 faced the classic South African nightmare of world washed into the sea. The majority of the electorate comprised landless descendants of cane-cutters brought in from the Indian subcontinent as contract labor. Yet Mauritians found a horse barn accommodation, in twain politics and the economy. The constitution explicitly recognizes ethnic minorities, providing for 10 share of parliamentary seats to go to also rans from ethnic minorities that would otherwise not be represented. The tiny new polity attained in two decades an economic transition fro m monocrop Sugar Island to a balanced economy in which frameworks, tourism and sugar are the pillars.New forays are being made into business services, information technology and other diverse export products. Indo-Mauritians are still minimally represented as entrepreneurs, though they harness the civil service. Sino-Mauritians, hitherto concentrated in smallscale commerce, enhanced their status through association with Hong Kong and Taiwan industrialists whose knowhow and investment initiated the textile sector. Economic tensions are worked out in annual tripartite negotiations between labor, government and employers, most of whom are Franco-Mauritians. Sound institutions have played a critical role in the process. The rule of law has prevailed consistently. The sturdy financial sector, led by Mauritius asseverate Bank since 1828, provides investment capital to both domestic and foreign investors. The British tradition schools graduate fully bilingual, often tri- and quadrilingua l students, whom employers find a great asset in the new global economy.Foreign And local enthronement In MauritiusMauritius was chosen as a case study because it has a reputation as a country in which foreign investment has played a critical and unanticipated role in industrialization, control largely by good policies. The case study bore this out, but added great confusedity to the portrait. Ethnicity was a complicating factor that could have derailed growth, and sound institutions played as important a role as policies in its victor.An Overview of investing Policy and Performance in MauritiusIn the 1960s as independence from Britain approached, James Meade and Burton Benedict published several studies that foresaw a bleak economic and political future for Mauritius.11 Meade proposed strategies to improve the standard of living while taking into consideration projected continuing rapid tribe growth (then over 3% per year). He foresaw pressures of population growth on econom ic resources on this small volcanic isle and suggested several mitigating strategies, including increasing productivity, encouraging expatriation and family planning. Burton Benedict challenged Meades proposed solutions, asserting that even if Meades suggestions on ways to increase productivity were followed, this would not produce results strong enough to counter the population growth problem.To the Malthusian logic in these first analyses, Benedict added concern over the future political stability of Mauritius. He analyzed the 1953 and 1962 censuses and documented the impact of ethnic, religious, caste and linguistic fragmentation on local politics-from the national level to the squabbles over a repair contract for a small town road. He began with the observation that Mauritians rarely identified themselves and others as Mauritians. In 1962 commonwealth from the Indian subcontinent were the majority, but did not comprise a single ethnic group. 50.5 percent of the population was Hindu and 16.2 percent Muslim Chinese comprised 3.4 percent of the population, and the General Population, mainly Creoles and Franco-Mauritians constituted 29.9 percent. Although Africans had been brought to Mauritius in slavery, African languages and ethnic groups had melded into a mixed population speaking the Creole french patois that in stages became a lingua franca of the Island. The Indo-Mauritian population was 63 percent Hindu Sanatan and 19 percent Muslim Hanafi. thither were principally endogamous minority sects of both major religions (the largest of which were Arya Samaj and Ahmadiyya), as well as Indian Christians. Castes had consolidated into a bipolar mode.They had no collective organization, but were generally endogamous. Chinese were most evenly split between Christians and Buddhists. Indo-Mauritians were further split by language, which sometimes had ethnic connotations. Hindi was the mother tongue of 36 percent of the broad(a) population and Urdu of 13.5 pe rcent. Smaller Tamil and Telugu groups rarely intermarried with other Hindus. The General population of metisse, Franco-Mauritians and others was 96 percent Roman Catholic. The Franco-Mauritian families, are mostly descendants of French nobility who fled there during the French Revolution. The British gained control of the island during the Napoleonic wars andgoverned it until 1968, but the French families dominated the domestic society and economy.For the dependency theorists of the 60s, Mauritius was an archetypical monocrop colonial economy. It depended on sugar for 99 percent of exports and one third of GDP. chide fields occupied 90 percent of arable land. Of that, 55 percent was owned by 25 Franco-Mauritian families, often dubbed sugar barons. The remaining 45 percent of sugar e tells were owned by 84,000 small farmers, preponderantly of Indian origin. Almost no food was produced on the island. The majority who would dominate numerically in a democratic Mauritius was a land- poor population of former bound(p) laborers on sugar plantations from the Indian subcontinent. Until recently they had been considered transients, not counted as members of the population.Benedicts complex analysis of the ethnic situation did little to lift the prevailing pessimism near Mauritius future. The colonial government commissioned Meade to head an appointed commission to produce an economic strategy. The Meade Report was to strongly influence the government in creating its sign import substitution industrialization policy. The key recommendations in the Meade Report include tariff protection for certain local industries, a decrease of merged tax from 40 to 30 percent, tax holidays for five of the first octonary years of a fraternity, priority of capital expenditure for projects leading to productive employment and the abolition of tariffs on importation of machine tools and equipment. These policies already pore on investment advance, a policy which successive Mau ritian governments have consistently favored. Even as early as 1960, investment in Mauritius reached 30% of GDP, a figure only recently achieved by the most successful economies in East Asia and largely unheard of in the developing world.At this time, however, neither the new government of Mauritius, nor others in the developing world, had recognise the connection between investment policy and the larger political and economic context. A number of trends of the first government, which was dominated by the Mauritian stab Party from independence in 1968 until 1982, limited the effectiveness of investment promotion incentives. One concern of foreign investors was political stability. There had been some common violence just before independence, and the new Hindu dominated government maintained a fragile truce with minorities, including Muslim, Chinese and Franco-Mauritians. Other concerns center around macroeconomic policies. Currency controls and protective tariffs designed to nur ture import substitution industries for the tiny national market, raised energy and transaction costs and times for potential exporters. The involvement of government in labor/ solicitude negotiations and the creation of state corporations in key sectors led investors to take a wait and see attitude toward government. And the fledgling transport and telecommunications infrastructure was scarce adequate.The idea of creating an export promotion zone (EPZ) was added to the policy mix in 1970, only two years after independence. It was inspired by the success of Taiwan. Within a year the EPZ legislation was passed. In a stab of brilliance, industrial leaders and policy-makers realized that Mauritius, being a small island with right away controlled access, could declare the whole island an EPZ-it did not need to have a fenced area. This allowed investors to skeletal frame in dispersed locations, to facilitate transport for their workers and/or their products. Only a few foreign inves tors took advantage of the EPZ law in the 1970s, however.Mauritius isolated location in the Indian Ocean, its currency controls and uncertain political situation reportedly influenced the first investors to limit their commitments. What became the flagship textile firm, for example, was set up initially to do only the manufacturing marketing and management were based in Japan and Hong Kong respectively.By the end of the 1970s Mauritius was experiencing many of the same problems that other African countries had with state corporations, protective tariffs, and currency controls. With no petroleum resources, it had been hit hard by OPECs escalation of oil prices and the global economic distortions that ensued. Government was running unsustainable annual deficits, the balance of trade was negative, industry was stagnant, and foreign exchange rationing slowed down all transactions. A devastating cyclone catalyzed a change in direction and in government. An alliance of former opposition parties, the Mauritian Militant Movement (MMM) and Mauritian Socialist Party (PSM), won the 1982 elections, changing the dominant party position for the first time since electoral politics was introduced in 1947.The new government scrapped the mixed strategy of the 1970s, liberalized the currency, retreated from subsidizing state corporations, and put its full efforts into willing structural adjustment and promoting export-led growth. In retrospect, a recent government report sees that decision as an inevitable logical consequence of Mauritius geographic situation. The report, Mauritius at Crossroads (1995) explains that as a small island, physically limited by lack of arable land and relying solely on sugar for foreign exchange, Mauritius was condemned to turn to an aggressive export strategy. However, it was not until the early 80s that foreign investment actually took off. And, it appears, partly as a consequence so too did domestic investment take off.Today, according to Maurit ius at Crossroads, every Mauritian is taught the concept Export or Die. This philosophy has led to the development of a sound business environment which is friendly to investors, both local and foreign, and which offers an piquant investment incentives package to compensate for the lack of resources and the no-longer inexpensive labor force. The aged generation of industrial and government leaders also stresses that Mauritians have learned to make a virtue of their ethnic diversity. The switch to an export-led strategy came at a time of crisis. The ill-paid labor force was still predominantly of Indian origin, as was the government, whereas the industrial sector was led by Franco-Mauritians, Hong Kong/Taiwan investors and a few Sino-Mauritians.Several interviewees described the moment as if they had looked at one another, then at the surrounding hundreds of miles of ocean, and decided that they would sink or submerge together. For the export strategy, Mauritius needed to reach out to Hong Kong and Taiwan textile magnates, who had the capital and skills to organize a competitive industry. Franco-Mauritian local capital and know-how, and contacts were needed to open up European markets. A cooperative, trainable labor force was needed to coax investors. And government needed to be fully committed to its investor-friendly strategy. Mauritius had hard-working bilingual predominantly male labor force. They were skilled in farming, not industrial work. closely analysts doubted that Hindu or Muslim women would ever come out of the station and into the workplace. Within six or seven years, Mauritius had full employment, and industrial workers were mainly women.Policies were the main, but not the only factor in investment decisions. Promoting investment has been on the top of the governments industrial agenda throughout the different development phases, but the understanding of what works for investors, for government and for the society as a whole, has evolved con tinuously. The first clearly defined policy came in 1961, as the colonial government began to prepare for an independent Mauritius, with the Industrial maturation Tax relief pitcher Act. The Export Processing Zone took effect in 1971, as one of the first acts of the newly independent government. Support services for exporters were given a fillip in 1981 with the Export Service Zones Act.In 1985, the Mauritius Export Development and investment funds Authority (MEDIA) was established as the executive arm of the Ministry of Industry. Its main responsibilities are to attract investment, promote exports and manage industrial estates. Investors clearly weighed these incentives against the inconveniences created by location, lack of local food and fuel supplies and small market size. The only major policy disincentive for foreign investors is that they are not allowed to own land. Government has compensated by providing fully equipped industrial sites for lease. Hotel investors generally partner with a local landowner. In the 1980s Mauritius offered inexpensive labor, but within a decade the development of the textile and hotel sectors had brought wages to a middle level, by world standards. From the late 1980s through early 1990s, Mauritius experienced full employment. Rising wages have gradually priced the textile industry out of its mass-production T-shirt lines, and forced both government and industry to rethink development strategies.The Industrial Expansion Act of 1993 was a uncomplete response to this dilemma. Through it Mauritius confirmed its commitment to permanent zero tax rates for exporters, and added a bundle of new-targeted incentive programs, providing for high technology investors, seaward financial services and freeport services. The full range of incentive programs Mauritius which were offered is shown in turn off 6.1. To increase confidence in the industrial sector in general, corporate tax for manufacturers who do not qualify for the EPZ zer orate was cut from 35 to 15 percent.Table 3.1 Manufacturing Fiscal IncentivesINCENTIVE SCHEMESQUALIFYING ACTIVITIES INCENTIVESExport green light(EPZ)All manufactured goods for exportsProduce of deep sea fishing (Including fresh or frozen fish)Printing and publishing as well as associated operationsIT activitiesAgro IndustriesNo custom business, or sales tax on barren materials and equipmentNo corporate taxNo tax on dividendsNo capital gains taxFree repatriation of profits, dividends and capital60% remission of customs duties on buses of 15-25 seats used for the transport of workers.Exemption from payment of half(a) the regulation registration fee on land and buildings by newenterprises.Relief on personal income tax for 2 expatriate caterPioneer Status EnterpriseActivities involving technology and skills above average active in Mauritius and likely toenhance industrial and technological development.Applicant companies may come under one of three broad categories(a) new techn ology,(b) support industries and(c) service industries.No customs duty, or sales tax on scheduled equipment or materials.15% corporate taxNo tax on dividendsFree repatriation of profits, dividends and capitalStrategic Local EnterpriseLocal industry manufacturing for the local market and engaged in an activity likely to promoteand enhance the economic, industrial and technological development of Mauritius.15% corporate taxNo tax on dividendsModernization and Expansion EnterpriseTwo broad categoriesInvestment in productive machinery and equipment, such as automation equipment andprocesses and computer applications to industrial design, manufacture and maintenanceCAD/CAM)Investment in anti-pollution and environment protection technology to be made within 2 yearsof date of issue of certificate.No customs duty on production equipmentIncome tax credit of 10% (spread over 3 years) of investment in new plant and machinery,provided at least Rs 10 million are spent and this occurs within two years of date of issue ofcertificate. (This is in addition to existing capital allowances which amount to one hundred twenty-five%of capitalexpenditures.)Enterprises incurring expenditure on anti-pollution machinery or plant benefit from a furtherincentive, i.e. an initial allowance of 80% instead of the normal 50%Industrial Building EnterpriseConstruction for letting purposes of industrial buildings or levels thereof, provided floor space isat least 1000 unanimous meters. Special conditionsThe applicant can only be a company intending to erect an industrial building to be let to the holder of a certificate (other than an industrial building enterprise certificate) issued under this Act or to an enterprise engaged in the manufacture or processing of goods or materials except themilling of sugar.15% corporate taxNo tax on dividendsRegistration dues for land purchase 50% exemptionThere is also a non-fiscal incentive, namely the disapplication of the Landlord and Tenant Act,i.e. rent control credit Destination Mauritius, Mauritius Export Development and Investment Authority (MEDIA).Table 3.2 operate Fiscal IncentivesINCENTIVE SCHEME QUALIFYING ACTIVITIES INCENTIVESOffshore Business channelise of business with non-residents and in currencies other than the Mauritian Rupee. Activities include offshore banking, offshore insurance, offshore funds management, international financial services, operational Headquarters, international consultancy services, merchant vessels and ship management, aircraft financing and leasing, international licensing and franchising, international data processing and other information technology services, offshore pension funds, international trading and assets management, international employment se