Sunday, May 17, 2020
Management behavior in the Car Industry - Free Essay Example
Sample details Pages: 12 Words: 3625 Downloads: 10 Date added: 2017/06/26 Category Management Essay Type Research paper Did you like this example? In todays competitive market managers have to perform various roles in the organization. Their handling of different situation depends on their management styles. In the motivational theory the top leadership and the executive management understands the active needs active for employees motivation and give the purpose for being motivated. Organizational theory, for a successful organization, focus on the establishment of coordination that how management and employees by strengthening themselves can achieve the common organizational goals PURPOSE OF ASSIGNMENT Everything is done for some definite motive; here we are making our assignment for a definite purpose. The completion and submission of this assignment is an integral part of Advance Diploma in Business Management from London Essex College. Through assignment students will familiarize with management practices and behavior role that they have to play during their professional careers The students not only acclimatize themselves to the corporate environment but also learn to assume responsibility, co-operation and teamwork the hallmarks of modern management and the most important we have to pass our module as well. Donââ¬â¢t waste time! Our writers will create an original "Management behavior in the Car Industry" essay for you Create order APPROACH As for as approach is concerned here we applied the management thoughts and theories of our respective companies. We applied different academic models, academic research, class room notes, our personal experience, industry publication, means both primary and secondary research on automobile industry as s well as review and analysis of it. INTRODUCTION OF FORD AND NISSAN MOTORS FORD MOTOR The Ford Motor Company is an American multinational corporation based in Dearborn, Michigan, a suburb of Detroit. It is the third largest automaker based on worldwide vehicle sale in US after General Motors and Toyota. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford, Lincoln, and Mercury brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK. Fords former UK subsidiaries Jaguar and Land Rover were sold to Tata Motors of India in March 2008. In 2010 Ford sold Volvo to Geely Automobile. Ford will discontinue the Mercury brand at the end of 2010. Ford introduced methods for large-scale manufacturing of cars and large-scale management of an industrial workforce using elaborately engineered manufacturing sequences typified by moving assembly lines. Henry Fords methods came to be known around the world as Fordism by 1914, he is also father of modern assembly line used in mass production NISSAN Nissan is Japanese Car Company and uses the trade mark Datsun. The head offices are in the Ginza area of chuoku, Tokyo, Japan. Nissan used to be Japans second-Largest car company. It is automotive, financial services and engineering industry. It produced automobile, out board motors and forklift trucks.175, 766 employees are working at Nissan. In July 1986, Nissan become the first japanaese automobile company which set the production plant in Europe at Sunderland. We want to know the companys best on management philosophy, values, vision, goals, and social environment. The culture determines the type of leadership .communication and groups dynamics within the company. Impact of Management Behavior and Organizational Culture of Ford Ford Motor Company CEO Alan Mulally turned around the company since he joined Ford Motor Company from Boeing. His management can be summed up in these points: Learn whats going on and how things work. Set goals based on good information. Communicate these goals to everyone involved. Create a process for communicating progress and results. Successful leadership hinges on such crucial skills as communication, collaboration and judgment. Alan Mulally embodied these skills in an extraordinarily high-pressure environment. He transformed Fords culture since arriving at the firm and has fostered cooperation among divisions and regions that used to compete with each other for resources. Hes also modeled transparency, meeting regularly with employees and instituting a dashboard system that makes key metrics about sales and market share more visible to the organization. Allan Mullally recognizes that his own energy is transmittable and that positive energy is a high octane fuel. He exudes a kind of optimism that is both inspiring and credible a blend of his missionary belief in the plan his team has developed together, balanced by relentless realism about current market conditions, and a willingness to make adjustments along the way. Finally, Mulally has created a culture in which telling the truth, however painful it may be, gets rewarded. Every Thursday morning, he presides over what he calls a Business Plan Review. The heads of Fords four profit centres around the world and its 12 functional heads gather to report on how well theyre meeting their targets and on any problems theyre having. Theyre all in it together. Impact on Business On January 28, 2010, Ford forecast a 2010 pretax operating profit and posted $2.7 billion in net income for last year as its CEO Alan Mulally, 64, reaped the benefits of his recovery plan after three annual losses the full-year profit was his first since coming from Boeing in 2006. Perhaps more importantly, Ford gained U.S. market share for the first year since 1995, with new models such as the revamped Taurus. The likes of GM and Chrysler, meanwhile, reorganized with federal aid. Fords profit and cash from operations have been improving thanks to market share gains, better pricing and cost savings. 6- MANAGEMENT APPROACH OF FORD MOTOR COMPANY Ford Motor Company requires all its employees to be an expert in what they do, which encourages specialization. Thus, Ford is a functional organization. Each employee reports to a functional manager. At the same time, they understand the importance of a focus on the final product. As a result, a matrix organization is created where each employee also reports to a chief engineer who represents the interests of the customer. Meetings are conducted every two days to coordinate the relations between chief engineers and functional managers. Fords structure also has other formal mechanisms facilitating communication among functions, such as module development teams, which are cross-functional teams that bring together product and production engineers. Through this structure, Ford strikes a balance between being highly traditional and bureaucratic while at the same time agile and innovative. Ford culture and structure constantly emphasis on learning and continuous improvement .All empl oyees from different levels are expected to analyse the actual and standard performance and if there is any problem there, than understand the cause of all problems. A theoretical framework is made in respect with cause and effect relationship, means what factors causes that problems, how this problem can be solved, when this problem will solved and how long it take to solve that problem. Without such understanding, they believe, improvements are not likely. Their culture emphasizes rethinking of how things are done, and sayings such as never be satisfied and theres gotta be a better way are part of their daily life. For example, if a car comes down the assembly line with a defect, fixing the defect is not the priority. Instead, the emphasis is on understanding the cause of the defect so it is not repeated. In addition to facilitating learning at the individual and team levels, they take steps to make sure that what is learned is shared with the rest of the organization. This is achieved by putting implied knowledge into writing. Traditionally management structure was vertical where chain of command and ultimate decisions made by top management. Ford Company started the mass production with automotive tools in late1920 with standard products, special purpose machine, and standards task and efficient division of labour. The moving assembly line is the symbol of Fordism at Ford Company. Motivation techniques at Ford Motor Company Mulally, a tough manager masked by a boyish face and gee-whiz demeanor, joined Ford in October 2006, a year into a turnaround plan that called for closing plants, cutting jobs and dropping some of its models. He removed obstacles, put new managers in place and forced feuding parts of the company to work together. He had cards printed out for every employee exhorting people to work together and accelerate development of new products and carries one in his own pocket. In weekly management meetings, he holds people accountable but also greets success with applause. CEO Ford Motor Company uses a Positive Reinforcement Technique i.e. the ford employees are rewarded for the favorable behavior they perform according to the wishes of their manager. Impact of Management Behavior and Organizational Culture of NISSAN Nissan Company is very clear about its goals and objectives. The management of company does not believe on traditional but have their own knowledge and expertise and powerful flow of information that runs through divisions of business areas. Their strategy is simple, inspire effective performance and create value for the customers. The management convey individual vision, employee performance, commit action plans and same management practices are entrenched at every level of company. Workforce diversity is also important element, when people from different regions, cultures worked together definitely they share different thoughts but on the other way often healthy conflicts also aroused but the efficient management practice resolved that conflicts, results in operation within Nissan making the process active and direct so diverse workforce brings solutions and leads company towards new direction. There is also two way flow of communication; employees can easily share their th oughts and relationship with the employees based on mutual respect and trust. A new communication channel helps the employees to express the ideas in more effective manner. This is to somewhat the true culture of any progress company. Management Approach of Nissan Management approach of company is very good, employees are treated like the assets of the company, good friendly environment, and worker participation in decision making is the proof of that company is also practicing the impact of different management theories like Hawthorne studies where workers productivity tends upon human behavior. There is equal employment opportunity, workforce diversity, Global code of conduct within the organization, ANALYSIS OF FORD NISSAN STRUCTURE Companys Structure Company structure arrange people and job so that work can be performed for the success of any company as many writers pointed about the importance of organization structure and its relationship with company strategy, technology, environment and culture. Burns and Stalker (1961) concluded that if an organization is to achieve maximum performance than its structure must fit with or match the rate of change in its environments. Handy (1990-1993) has discussed the importance of culture in relation to organization design and structure. Organizations structure of Nissan Nissan Company has announced to introduce new organizational structure to guide Nissan. Nissan has changes to its top management and changes are taking place very soon. Toshiyuki Shiga-Chef Operating officer and continues to report president and CEO. Colin Dodge- Chief recovery officer Hiroto Saikawa- Executive vice president Carols Tavaras -Executive vice president Andrew Palmer Senior vice president Employees understand the company structure and express their opinions easily. Traditional car company (FORD) has traditional hierarchical organizational structure that means each employees role within the organization and relationship of employees. Traditional company has narrow spans of control most important decision will be made by senior management. In the 20th century, company grows bigger and they have command and control of the organization due to the globalization and technology. Advantages of hierarchical structures All employees authority and responsibility will be defined. Specific managers and hierarchical environment motivate effectively. Employees will be loyal. Disadvantages of Hierarchical structures Company will be bureaucratic and respond slowly to changing customer needs. Horizontal communication will be poor. Usually departments make decisions so business decision will be slowly implemented. Companys culture of both organizations Culture is the sum of the beliefs and values that shape norms of behaviour and dictate the ways things get done. There are several continuums that help define an organizations culture. Is the organization driven by results and achievement, or relationships and people? Does the organization have an internal focus, or an external focus? Is the organization adaptive and flexible, or is it structured and stable? Role of organizational culture plays in safety issues. It leads to innovation and strategic thinking. Leadership is also important cultures that every company can know that leadership affect culture. Leaders change or create culture. Cultural leadership apparently has some features in the car production companies where cultural leaders have multiple cultural leaders of the same time. All companies performance shows acceptable trade. These are traditional companies but they are growing business in the world. Organisational theories in management behaviour System theory I have chosen system theory to explain two of these companies. It was developed in 1950s and it was a biological system such as human being. It is most simple level and takes inputs. Basic Elements of a System Inputs Organization or Outputs Transformation system Feedback Boundaries and environment Objectivities and goals Organization as a system Systems theory views an organization as a complex set of dynamically intertwined and interconnected elements, including inputs, processes, outputs, feedback loops, and the environment. Any change in one element causes changes in other elements. System theory helps to learn the company. Such as Maslows hierarchy needs. Creating doctrines of participation. Modern including of technology. Personal mastery. Mental models. Building shared vision. Team learning. Systems thinking A modern company as like Nissan should have followings characteristics. System view point Dynamic process Multi-motivated Multi-disciplinary Adaptive Probabilistic Descriptive The systems approach views organization as a system composed of interconnected and thus mutually dependent sub-systems. These sub-systems can have their own sub-sub-systems. A system can be perceived as composed of some components, functions and processes (Albrecht, 1983). Thus, the organization consists of the following three basic elements (Bakke, 1959 ): Motivation in practice at two car companies Motivation is the most important factor which increases the performance and productivity of a company. Company implements many motivational activities such as rewards (salary, commission, and bonuses), treating the employees very well, taking an interest in the employees personal life, giving a chance to everyone at the company, building and teaching new skills and making the work interesting. Motivated workforce in Nissan is the greatest asset of the company; actually the performance of company reflects the attitudes, beliefs and passion of employees toward work. Company is motivating the employees but different ways both intrinsically and extrinsically. Promotion and empowerment are few examples, when people are empowered, their belongingness with company increased, result in increased in the productivity. Promotion is based on performance based not on seniority based system but in fact on performance based as well as there is compensation system for excellent performance o f employees, this is good practice of corporate gurus of company MOTIVATIONAL THEORIES Research shows how we can motivate employees in a company. Many motivational theories and models could be employed to help to motivate the staff at any companies. Highly motivated people will give good results will in turn help to achieve the organizations goals. Motivating staff in the car manufacturing industry is most important part of running a business. Abraham Maslow developed a motivation theory of human needs in 1954. He mentioned that humans have a different variety of needs. Firstly, humans satisfy their basic needs then try to satisfy their other needs. A company should consider the needs of all its employees. Maslow noted five basic needs and ordered them in a hierarchy from higher to lower. Self Actualization Needs Esteem Needs Achievement Challenging Job Belongingness Needs Status Job Title Security Needs Friendship Friends in Group Physiological Needs Stability Pension Plan Sustenance Basic Salary Maslow Need Hierarchy One research study by James R. Lindner at Ohio University shows that factors which influence the motivation of employees at a company. These findings are interesting; work and good pay are influencing factors on employees at work. Further influential reward systems include job enlargement, job enrichment, promotions, internal and external stipends, monetary and non monetary compensation. These should all be considered as they have been shown to motivate employees at work.It means that an employees behavior will change as their needs are satisfied. According to the Maslow theory, an organization should design their system to motivate its people; pay will help to satisfy the basic need. By applying the Taylor approach of scientific management we can apply the abovementioned theory, effective hiring, training, and compensation incentives, work achievements fulfilled the needs of workers. American Ford company used this technique in assembly line of production for more production an d efficient utilization of resources. When worker are provided good working conditions, fresh air, than their basic need is fulfilled, but they cant be motivated until provided by security need and later on when their primary needs are fulfilled than they shift to other needs. In contrast with company .i.e. is also fulfilling the aforesaid theory as for as concern of employees. it is fulfilling their basic need by offering handsome salary packages, based on performance when appraisal is made employee moves to next stage. The X and Y theory was developed by Douglas McGregor in 1960. Theory X suggests that managers want to direct and control their employees. It argues that employees dont like work, so managers or supervisors should punish them for this. On the other hand, according to theory Y, employees are self motivated, like to do their work and wish to achieve the organizations goals. These are some ideas to motivate people at two companies. (Nissan and Ford) Motivati ng through work design Motivating through participation Motivating through targets If these two companies do not motivate its employees, commonly, some problems will occur. Absenteeism Wasting time Gossip Bucking of the system Challenging of policy Bureaucracy. Recruitment and selection report of company is analyzed that how can it maintain and carried out the staff. Some factors are including recruiting the followings factors; The business growth Filling the vacancies by resignation or termination and retirement. Internal promotion Analysis of Social Factors As for as corporate social responsibilities both companies playing an important role in the society of UK. Nissan and Ford will invest à £2 billion of worth investment in production and R D of low carbon and electric car across the England and Wales. The motive of Nissan is environmental friendly and enriching people life. When the company analyses the social factors, we should consider the followings factors. In management behavior, Social factors also influence such as the groups to which the team be longs and social status. In a group or team, several persons interact to influence the decisions. Ford and Nissan companies should consider the social factors. PESTEL analysis will explain the social factors to make the decisions. They are: Sales are relationship driven Customer expectations Relationship management is industry demand. Life time customers Customers want solution to the problems. Global /multinational company. Cultural mind set Develop ing countries are different levels. Different levels of service. If Ford and Nissan implement the socialization (Group and team) very well, they will get following possible outcomes, such as Job satisfaction Role clarity High work motivation Understanding of culture and perceived control High job involvement Committed to organization Tenure High performance Internationalized values. Actions will be made to encourage ethical and social behavior. Be realistic in setting values and goals regarding employee relationships Encourage input from organization members regarding appropriate values and practices for implementing the culture Opt for a strong culture that encourages and rewards diversity and principled dissent Provide training on adopting and implementing the organizations values Impact of Technology on management behavior and work force Many of the impacts of Information Technology are straightforward. But they are not necessarily obvious, nor are they trivial (Jack Nilles, Centre for Future Research) IT impacts on Ford and Nissan companies performance and productivity. IT provides organizational and financial benefits for companies. It is changing to business landscape. All companies cultures and business strategies use IT. Business strategy collapsing time and distance, enabling electronic commerce. Organization Culture encouraging the free flow of information. Organization Structures making networking and virtual corporations a reality Management Processes providing support for complex decision making processes. Work dramatically changing the nature of professional and now managerial work. The workplace allowing work from home and on the move, as in telework . With the technological development UK car industry is one the leading car industry as Ford, producing a third of its global engine requirement at two UK locations and Nissans Sunderland plant, which is set to be a European hub for battery and electric vehicle production. The combination of investment in British brands and investment in the countrys personnel and plants by foreign companies also brings significant benefits to the full breadth of the UK automotive industry KEY ISSUES The key issue of Nissan is to build the corporate image and foundation in highly competitive environment and is assuming earthquake (EQ) as the most critical catastrophe. While continuous innovation, customers expectations, changing mix, management of diverse workforce are key issues of Ford Company Some of the key issues are as follows. Global production and competition. Consumers spending patterns Emerging Markets Health Care and environmental issues. Foreign Exchange rates Conclusion The management styles can be different in different organization but these management styles should bring great achievement of the organizational goals. By adapting right style of management and leadership in an organization the facilitation of working leadership between various entities of the organization is possible. Thus by comparing the overall management behavior and the structure of the organization for both Ford and Nissan I totally agree that Ford is better than Nissan in all ways. As for as UK car industry is concerned, it is very different as it perceived in 1970`s because majority of British brands are now owned by non British motors group of foreign investors, on the other hand, Aston Martin, more recently owned by Ford. Governmental policies are one the reason of decline in the decline of automobile industry in UK, so government should encourage domestic production and reduce the tariff and taxes.
Wednesday, May 6, 2020
Anaya s Bless Me, Ultima - 1666 Words
Rudolfo Anayaââ¬â¢s Bless Me, Ultima begins with an almost seven-year-old Antonio Juan Mà ¡rez y Luna. His parents, Gabriel and Maria, have just invited Ultima, an old curadera, to live with them. Antonioââ¬â¢s older brothers, Andrew, Eugene, and Leà ³n, are off fighting in World War II, leaving Antonio, his mother and father, and his two sisters, Debora and Teresa, to live in their small farmhouse in Guadalupe, New Mexico. Ultima agrees to stay with the family, and the first night that she is with them, Antonio experiences a dream in which he is present at his own birth. Ultima is the midwife, and his motherââ¬â¢s brothers, the Lunas family, are there and they wish for Antonio to become a religious priest or a farmer like them when he grows up, and thisâ⬠¦show more contentâ⬠¦Antonioââ¬â¢s relationships with others, the events that he experiences, and his natural curiosity for the world and religion all lead to the conflicting beliefs and questions of morality t hat he develops throughout the story. Antonio and Ultima become fast friends, as he spends a lot of his time in the llano gathering herbs and learning about the flora with her. Being the youngest son and the only one of his brothers not drafted into the war, he has a youthful innocence that is eventually broken throughout the story. His innocence is first threatened when he witnesses the death of Lupito, a returned World War II soldier who is suffering from post-traumatic delirium. In his crazed state, Lupito murders the town sheriff, and an angry mob, instead of helping the shaken-up man, chases him down and shoots him. Antonio worries about Lupito and whether he will be going to heaven or hell. The fall following the incident, Antonio goes to school for the first time in his life. As he is beginning school, the war ends and his three brothers are allowed to return home. No one is more pleased about the return of the sons than Gabriel, Antonioââ¬â¢s father, who has always had a plan to move to California with his family. This dream was drilled into
Port Management and Strategy West Coast of India
Question: Describe about the Port Management and Strategy for West Coast of India. Answer: Strategic Planning and Background Information Mumbai Port Trust lies in the middle of the West Coast of India. It is established on the natural subterranean water harbor of Mumbai, Maharashtra (mumbaiport.gov.in 2016). The harbor is spread over 400 kilometers. The harbor is protected by Konkan in its east and by Island City in its west. Mumbai port is administered by an autonomous corporation namely Mumbai Port Trust (mumbaiport.gov.in 2016). The port is completely owned by Indian Government. The port is mainly utilized for bulk of cargos and most of the container traffic is intended for Nava Sheva port. Elements and Process in Strategic Planning Serial Number Elements Process 1 Mission Facilitate effective and sustainable flow of commerce through world leading port operation and infrastructure. 2 Guiding Principle Pursue excellence in world trade and invest in those activities, which advance the position of port as world leader. It conducts best practice in seaport management and international commerce. Developing asset and land for enhancing long-term value and ensuring equitable return port investment. Empower excellence in port operation through improving infrastructure facilities. 3 Value Proposition The port is connected to every key market in all through the world by expansive network. The port offers extensive sailing options and 26 terminal choices to the shippers. Off-dock container yard facility at the seaport facilitates the organizations to transport their good without issues. The port is intended to minimize gap between the seaport and hinterland. Road, inland waterway, pipeline and rail networks have developed for maintaining smooth commodity flow. Deep Water in the harbor provides facilities of ample sheltering of shipping throughout the year. 4 Areas of Focus On-Site Warehousing The port will focus on developing on one-site warehousing in the port areas. It will establish hub in the seaport areas, where the customers will be able to store their commodity goods to be transported in the next day (Desai and Choudhury 2016). Moreover, the port authority will be willing to frame port centric model. The IT experts will customize the stock data for integrating with customers towards control over cargo deliveries and logistics. Changing Sourcing Pattern Government of India should invest more towards improving the operational and infrastructural parts of the port. The port should employee skilled and experienced employees and IT developers for improving technological department (Dandekar and Mahajan 2013). National Prosperity The port will provide gateway of trade and exert a pull on the infrastructure like shipping agency, freight forward, stevedores and banks (Mandal and Harkantra 2013). Improving the equipments The port should highly focus on improvement of their equipments needed for loading and unloading the commodity goods (Strupp 2016). Moreover, the mode of direction with the port areas should be enhanced. Table 1: Element and Process of Strategic Planning (Source: Kale and Joshi 2013) SWOT Analysis Factors Explanation Strength Mumbai port is considered as one of the most preferred ports for trading due to its competitive pricing, location, proximity of industry and secure operation. 3.3 meters high water neap tide is adequate for meeting requirements huge numbers of passenger ships, cargo vessels and deep drafted tankers (Pawar 2013). The port has land areas of 235 ha (Approx). The port has Ro-Ro Terminal and it multilevel car packaging capacity of 5000cars. The port is capable to handle ultra large container ships, which can carry over 15000 TEUs (Gujar et al. 2014). Weakness Congested approach of the roads may cause delay in commodity transportation. The land availability of Mumbai port is restricted. Sub-optimal utilization of railway connectivity reduces the effectiveness of commodity transportation (Noiseux 2016). Traffic evacuation is not allowed in daytime at Mumbai. Increasing rate of ageing workforce has minimized the operational efficiency of the port. Lack of skilled employees, who are technically efficient and contribute in IT infrastructure improvement of the port Exposure to saline environment and dust leads to high maintenance expense. Opportunity The port serves the regions like Pondicherry, Tamil Nadu, South Andhra Pradesh and others. It has been emerged as hubs on the west coast of India. Major cargos, which are handled in the port, are automobile exports, containers, Iron Ore, fertilizers, coals and general cargo items. It assists in effective transportation of exports and imports. Increasing size of ships is effective for huge commodity transportation. 7% growth rate in GDP, foreign exchange rate, stable inflation and increasing international trade lead to increasing income from the port (Chu, Fwa and Nishijima 2013). Threat Increasing competition among the domestic ports is becoming a challenge to ports. The port is facing tough competition from Jawaharlal Nehru Port, Vishakhapatnam Port and Kakinada Port (Jategaonkar and Yadav 2014). Internal clashes among the countries and sea regulation polices highly influence the port in terms of legislations issues. There is high chance for reduced government funding. Increasing awareness of people regarding the environmental issues minimizes the effectiveness of the port. Substitute transportation system like air cargos is minimizing demand of port (Patil, Nanaware and Jadhav 2013). Table 2: SWOT Analysis of Mumbai Port (Source: De Oliveira and Cariou 2015) Recommendation Strategies for Internal Issues Strategies for External Issues The port should take the permission of Government towards increasing the land availability (Jiang et al. 2012). It will help in accommodating more number of cargos and ships for loading and unloading the commodities. As traffic evacuation in Mumbai is not allowed at daytime, Mumbai port should transport most of the commodity goods at night. The port authority should hire new and talented employees for the port operational activities. Apart from that, the port authority should also recruit more number of technically expert employees for improving the equipments of the ports system (Zhang, Huang and Zhao 2013). In order to minimize the maintenance expense resulted from environmental issues, the port should highly focus on creating environmentally sustainable port system. The port should highly concentrate on optimal utilization of railway connectivity towards increasing the effectiveness of commodity transportation (Lee and Cheong 2013). The port needs additional environment and pollution management towards shaping environmentally sustainable port system. In order to beat the challenge from other domestic ports, Mumbai port should incorporate some unique and competitive facilities over those ports. While internal clashes among the countries become the challenge to the port in terms of routes, the port should avoid those countries and try to enhance other smooth routes (Ishii et al. 2013). While there is high chance that Government would reduce their funding, the port authority should ensure that the port would actually contribute in the economy of India. The port authority should convince the Government that they are doing projects by keeping national interest (Monios and Wilmsmeier 2012). In order to face the environment policies of the country, the port should incorporate green transportation system by minimizing carbon emission. The port authority should revise the price structure of the port transportation and minimize the price for effectively competing with the air cargos. Table 3: Recommendation Strategies for Internal and External Issues (Source: Zhang, Huang and Zhao 2013) Marketing Plan Marketing Objectives Incorporating port centric model for enhancing the competitiveness of the port Enhancing the effectiveness of infrastructural, regulatory and operational activities of the port Enhancing the effectiveness of on-site warehousing and other logistic value added services for container goods Developing berth from 10-12 at Indira dock as conventional cargo Developing cruise terminal nearby Gateway of India The port authority would be concentrated on personal selling and direct business trip In order to increase customer database, the port authority would focus on international shipping exhibition Communicational Goals and Target Providing information to current customers and attracting new customers Providing information and remind the local community regarding the contribution from the seaport Sharing information and consulting with the employees Publicity and public communication through marketing communication and gaining support from them Increase customer base and enhancing the ports revenue through huge trading Providing information to the community for getting support from them Setting Target Groups International Businesspersons: These groups of persons deal with other companies in foreign country and remain engaged with exchanging commodity goods through port transportation. Manufacturing Industry: Manufacturing industry involved in international trade is likely to transport commodity goods through port system. Therefore, these are the target group of Mumbai port. Mining Industry: One of the most effective target groups for Mumbai port is mining industry. This industry is most likely to transport huge amount of coals to foreign country. Define Message Avail the integrated seaport service for commercial flow of commodity goods through handling, storing and delivery of cargos. Get the integrated service at minimum price with best quality. Selecting Tools/Medias for Promotion Professional Magazines Commercial Newspaper Reference books for different industry Radio Adverting Television Advertising Digital Media Advertising Direct Mailing International shipping Exhibition 2: Port Sustainability Shore Power Mumbai port should take the initiative of shore power for reducing the environment pollution occurring from port operation. In this strategy, the port will decrease the marine diesel air emission through restricting the container ships to shut down their engines while near port (Pawar 2013). It will also be applicable in berth while loading and unloading commodity goods. In this way, the rate of carbon emission in the marine will be minimized. It has been found that Port of Vancouver in British Columbia uses this strategy for protecting the environment from port operation (Denktas-Sakar and Karatas-Cetin 2012). Renewable Source of Energy Mumbai Port should be highly concentrated on installing renewable source of energy for operating their machines. The installation of wind energy, solar energy will definitely minimize the emission of carbon generated from diesel used in the machines. With the utilization of renewable sources, the port will also save huge resources of the country and thereby, improving the economical condition of the country (Chu, Fwa and Nishijima 2013). The port can also use biodiesel for reducing air pollutants. This strategy is widely used by Port of Rotterdam in Europe. This port authority has decided to install wide energy with capacity 300 MW by 2020 (Strupp 2016). Removing Plastic Soup Mumbai port should participate in removing plastic soup in the port areas in conjunction with other parties. The port authority should involve in removing the floating plastic waste from the docks and ports. In this way, they will be able to build up clean sustainable port towards contributing to the quality life of marine residents. It has been found that Shanghai port in China has used this strategy for keeping environmental interest (Shiau and Chuang 2015). Reducing Idling Time The port authority can reduce the rate of pollution and harmful carbon emission by through reducing the idling time of the truck, bus and other equipment around the port. Through this strategy, the port can save gallons of fuel per day and reduce harmful pollution. It has been found that Busan Port in South Korea uses this strategy for keeping the port areas pollution free (Lee and Cheong 2013). 3: Logistic and Supply Chain (Visakhapatnam Port and Chennai Port) Even though India is a developing country, still Chennai Port is found to be rapidly gaining reputation among the manufacturers in the country (Mandal, Roychowdhury and Biswas 2016). On the other hand, Visakhapatnam Port is rapidly growing because of coal handling berth facilities in India (De Oliveira and Cariou 2015). Therefore, these two ports are under extreme competition in India, which will be further evaluated in the following sections. Discussion of Ports Key Factors Chennai Ports Key Factors Factors Explanation Location and Geography It is the only flat coastal plain port Since situated at thermal equator, there is very less variation of seasonal temperature, which is quite favorable for logistics Moderate risk of earthquake indicates least risk of cargo damage (Jiang et al. 2012) Traffic growth Reputed port for handling coal (8 million tonnes) and iron ore (12 million tonnes) Fastest annual growth for container volume Capacity to handle 3,000,000 TEUs and it is the third mega terminal container (Ishii et al. 2013) Port Layout and Infrastructure Facility for handling general cargo, food grains, granite steel and cars Bharathi Dock handles 100,000 DWT oil tankers Berths are having five marine loading arms associated with pipelines that convey white oil, crude oil and furnace oil (Monios and Wilmsmeier 2012) Terminals Two container terminals operated by Singapore's PSA International Pte Ltd and DP World Pvt. Ltd resulting to a capacity to handle 2.8 million containers (standard) each year Fastest growing container terminal in India having CAGR 20% Flawless communication with Korea, China, Vietnam, Thailand, Europe and Mediterranean (Patil, Nanaware and Jadhav 2013) Table 4: Chennai Port Key Factors (Source: Created by Author) Visakhapatnam Ports Key Factors Factors Explanation Modernization and expansion program Though the investment of 130000 million, port is increasing its capacity to 130 million tones 37 percent of traffic has been reduced by Gangavaram Port, thereby increasing logistics Rashtriya Ispat Nigam Limited (RINL) shifted its base to new port for flawless still transport (Chu, Fwa and Nishijima 2013) Coal handling berth Modernized berth for handling coal with larger chunk Berth is capable to handle capsize vessels, resulting to reduce air pollution Capable of handling vessels with 12.5 meter draft and excellent harbor entrance channel (Jiang et al. 2012) Satellite Port In the recent years, in order to reduce traffic, satellite port will be installed at Bheemunipatnam (Ishii et al. 2013) Table 5: Visakhapatnam Port Key Factors (Source: Created by Author) After evaluating the key factors of both the ports, it can be said that Chennai port is far more developed and advanced. Logistics functions at Chennai port will be easier than Visakhapatnam Port. Choosing between two ports While choosing between the two ports, shippers must consider Chennai port due to the factors such as terminals, traffic, direct connectivity and complimentary mainline feeder services. While considering shippers, it can be identified that Ashapura Group of Companies is the major exporter of iron ore from India (Lee and Cheong 2013). Since trade of coal and iron ore generates the maximum return out of all the other goods, these shippers will be most attracted to Chennai port over Visakhapatnam port (Monios and Wilmsmeier 2012). In India, trade relationship with neighboring countries has increased a lot where direct connectivity with Thailand, China and Korea is the most crucial (De Oliveira and Cariou 2015). Chennai Port is the most suitable here as the shippers from top exporters such as Rungta Mines, MMTC, Bagadiya Brothers and Kalinga Allied Industries can communicate with all other 50+ ports (Zhang, Huang and Zhao 2013). This will eventually increase the amount of exports. Moreover according to Lee and Cheong (2013), the traffic feasibility at Chennai Port is quite favorable due to incorporation of 4 post-Panamax quay cranes, 7 rail-mounted quay crane (RMQC), 120 reefer plugs and seven weekly feeder services. From the above, it can be said that connectivity of Chennai port is flawless and it is far better than Visakhapatnam port. It can also be said that Visakhapatnam port is growing its mechanical handling facilities but its size is quite less than the other. Visakhapatnam port has able to reduce its traffic but needs to increase its capacity so that tones of chunks can be transported at a time. Moreover, the storage facility of Visakhapatnam port is mostly off-dock and therefore in future shippers can get attracted. The traffic and environmental issues are quite less in Visakhapatnam port but the climate here is extreme. Therefore, finally it can be said that Chennai Port is more suitable than Visakhapatnam port for top iron-ore shippers like Ashapura Group of Companies in countries like China and Thailand. Reference List Chu, L., Fwa, T.F. and Nishijima, H., 2013. Container Port Operational Performance Assessment.Journal of the Eastern Asia Society for Transportation Studies,10(0), pp.2197-2209. Dandekar, H. and Mahajan, S., 2013. Mumbai Port and City: Planning for Symbiosis.Focus,10(1), p.24. De Oliveira, G.F. and Cariou, P., 2015. The impact of competition on container port (in) efficiency.Transportation Research Part A: Policy and Practice,78, pp.124-133. Denktas-Sakar, G. and Karatas-Cetin, C., 2012. 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