The Effects Of Drug Abuse On Our Life - 3393 Words

This essay will be written to raise awareness into the idea of drug abuse and what causes it as this is a growing issue within adolescents in our world today. This essay will help to inform people into the negative impact drugs can have on your life and to also outline how an individual can refrain from such acts. It is worthy of investigation due to the fact that it will enable one to gain a greater understanding through science and research about how an individual within the aforementioned age group can be influenced by differing factors, which ultimately lead to consumption of drugs. The essay aims to ensure individuals refrain from conforming to the underlying contention of drugs as a negative substance. To fully grasp an†¦show more content†¦Teenagers and young adults choose to take drugs for many different reasons and these include: To fit in, to escape from pressures, to relieve boredom, to seem grown up, to rebel, to experiment (drug free world 2006) Many teenagers feel as though consuming drugs acts as a solution to their problems. However, the drugs usually become a major problem affecting their life as the years pass on. Drugs soon become an addiction and lead people’s life astray. The addiction itself can be considered a brain disease because drugs change the function and structure of the brain (NIH, 2014). The brain is made-up of a variety of parts that all interconnect to take out a specific job. When drugs are consumed they cause the brain to stop functioning in the way that it usually does. Drugs can affect three primary areas of the brain and these include: The brain stem, the cerebral cortex and the limbic system. (Brain and addiction, 2014) For most people the initial decision to consume or inject any type of drug is voluntary. However, over time, drug use can cause changes to the brain and this can take away peoples self-control and therefore limit their ability to make sound decisions in certain circumstanc es. There are many biological and socio-cultural factors that do indeed play a role in drug use, and this essay will attempt to explain these factors with reference to relevant research studies.

The Impact Of Finance On Real Estate Assets And The...

From my previous work experience within real estate private equity, accounting and debt strategies, I knew what they all had in common and what I really enjoyed doing. I realized that what fascinated me was the influence of finance on real estate assets and the economic outlook of the entire world economy. Studying modules such as, Financial Markets, Multinational Financial Management, Financial Statistics, Mathematics and Economics at university level was the revelation that perfectly matched my ambition in what I wanted to do. Studying the different factors that influence financial markets, organisations and entire nations is combining my interests for Finance to the balance I aimed for. I consider myself fortunate in having the†¦show more content†¦My average grade from my 2nd year is 74% and I achieved an average of 1.5 from my year abroad in Germany. Furthermore, I have achieved an average of 76% for the first semester of my final year; as such I am predicted to graduat e with a high 1st class degree in International Business and Finance. Moreover, I have an innate interest in quantitative subjects, which has been demonstrated by the excellent results achieved in subjects such as, Collecting and Using Business Data (80%), Understanding Business Data (82%), Macroeconomic Analysis (79%) and Quantitative Techniques (87%). With more than 50 Credits in quantitative modules coupled with practical financial modelling experience, I believe I am equipped with the necessary background to cope with the requirements of the MSc Finance at LSE. I believe that what is being looked from applicants is ambition to develop the field of Finance in innovative ways that can help the discipline to move forward. Moreover, The MSc Finance Part-time will require individuals that are able to balance both academic and work commitments. In relation to that I am enthusiastic, committed, positive and an independent learner who is able to demonstrate initiative and creative thought. I have developed extremely efficient time management skills while successfully balancing my academic life

Operational Plan Goals and Objectives

Question: Discuss about the Operational Plan for Goals and Objectives. Answer: The strategic plan is all about identifying the goals and objectives and determining a range of strategies to pursue so that the organization will achieve its goals. Here the given company has already set out the strategic plan for the purpose of establishing the operational plan. Based on the resources of the organization, the company will develop their suitable operational plan for the specified period (Arora, 2016). This will ensure the seamless operation for the long period. Therefore, the operational plan shall contain within the strategic plan and allocate resources, set a timeline along with stipulating performance indicator. Measurement: The sufficient resources are required for manufacturing luxury goods. The company needs to allocate human resource and financial resource which needs to incorporate in the operational strategy. Measurement of Human Resource: Before employing the human resource, the company needs to measure the skill and capabilities of employees. For example, marketing manager of the company should be capable to manage and motivate a team. Secondly, the job role and responsibilities of the employed people need to be specified. For instance, the production manager will be responsible for maintaining production capacity or increase the proportion of the production capacity. Financial measure: On the other hand, the financial resources must be measured to manufacture the product sensibly. Strategically, the employer shall be the preferable choice for highly skilled people. Therefore, there will be financial resources needs for remuneration. Furthermore, the company should measure the administration costs in the form of Printing and stationery expenses Telephone Rent of the operational premises Research and development The company needs to strategies for purchasing equipments, raw material for luxury goods, promotional costs such as advertisement. Manufacturing process measurement: In the operational plan, the company needs to use certain tools and techniques for ensuring the smooth flow of operation (Issar Navon, 2016). In that case the company requires to measure costs per unit production, completion activity ratio of each employees Responsible Person: As the manufacturing unit, the luxury goods manufacturing company shall employ people for manufacturing, marketing, sales, HR, and administrative. Assigned people with different job profile needs to be responsible for specified job profiles. Therefore, the operational efficiencies of the company will be depends on excellence provided by the each employee. Divisions of the luxury goods company Job designation (profile) Job Responsibilities Marketing General manager (manufacturing) Increase management efficiencies by employing, orienting, training, monitoring and disciplining Providing quality service by maintaining standards of the company and accountability Maintain relationship with employees though strong communication skill Develop combined skill and encourage good team efforts to ensure operational excellence. Keep a close look at production completion and send it to the sales department Finance Finance Executive Maintain job responsibilities regarding the financial records and provide information Budget development Assess financial risk management plan to reduce the financial risks Fund resource planning and record day to day financial transactions Sales General Manager (Sales) Set individual sales target with sales team Monitor the achievement of objective of sales Evaluate performance of sales staff Co-ordinate sales action plans with individual sales executives of the company Negotiation with vendors and delivery final luxury goods Administration Senior Executives (Admin) Maintain administrative discipline Arrange meeting and client negotiation Implementing costs reduction and developing report procedures Develop administration staff by providing experimental growth opportunities, information and training Maintain supply inventory by check stock to determine level of inventory HRM HR executive Staffing peoples as per required by the management Handling recruitment related negotiations with the candidates Keep record the employee database on regular basis Resolving issues related to HRM Maintain discipline at office premises and ensure a good environment (Source: Created by author) Timelines: The implementation of any strategy requires a timeline which is all about time period during which work is executed to achieve the desired outcome. This timelines can be short as a day or it can be several months. The given company is scheduling their activities for 7 days. To accomplish one manufacturing process, the company need seven days time span. Operational Activities 1-2 days 3 days 4-5 days 6-7 days Arranging resources (operational, finance and human resource) Production planning Collection of raw material for producing the luxury goods Start manufacturing Sales and Distribution Collection of revenue Budget (Operational budget): Direct Material Budget Particular FY 2016 Budget production unit 1000 Material required per unit 3.5 Material needs for production 3500 Plus: desired ending Inventory 450 Total material required 3950 less: beginning inventory 3500 Material Unit purchased 7450 Material Cost per Unit 12 Total costs of direct materials 89400 (Source: Created by author) Note: Amount in $ Manufacturing Overhead Budget Particulars FY 2016 Unit to be produced 1000 Variable Overhead Costs $ Indirect material ($4 per unit) 4000 Indirect labor ($3 per unit) 3000 Other ($5 per unit) 5000 Total Variable Overhead Costs 12000 Fixed Overhead Costs Depreciation 10000 Salary (High skilled employees) 5000 Rent 2400 Total Fixed Overhead costs 17400 Total Overhead Costs 29400 Deduct depreciation -10000 Cash payment for Overhead 19400 Manufacturing per unit 19.4 (Source: created by author) Note: Amount in $ References: Arora, R. (2016). Changing Dynamics of a Manufacturing Unit. Performance Improvement, 55(1), 23-35. Issar, G., Navon, L. R. (2016). Manufacturing Overhead (MOH) and Departmental Expense Control. In Operational Excellence (pp. 91-93). Springer International Publishing.

Turkeys application for the membership in the EU

Table of Contents Introduction Focus of Research and Research Questions Methodology and Information Sources Argument Literature Review Conclusion Works Cited Introduction Turkey’s application for the membership in the EU (1987) has brought the relationship between the two parties to the new stage. In 2005, Turkey was given the status of an official candidate for the EU membership, which made the prospect of accepting the country to the Union rather realistic.Advertising We will write a custom dissertation sample on Turkey’s application for the membership in the EU specifically for you for only $16.05 $11/page Learn More Significant differences that relate to the fields of economy, politics and international affairs, culture, civil law and religion have predetermined strong interest to the initial conditions, peculiarities, possible outcomes, potential threats and benefits of the abovementioned union. The rapid progress in the partiesâ⠂¬â„¢ relationship corroborated the possibility of a quick positive outcome of the decades-long negotiation and seemed to reflect their opinion about the future union. At the same time, the last years were marked by a turn in Turkey-EU cooperation. Turkey’s international policy shift from orientation to the West towards the strengthening sympathy for the Muslim Middle East identified the country’s international ambitions connected with its world recognition in the position of a strong independent state. Correspondingly, the EU society found itself concerned about the capability of two different cultures to co-exist, integrate, and successfully interact. The rhetoric of the European countries leaders (Nicolas Sarkozy, Angela Merkel) indicated the shift in the EU society’s attitudes. Today Turkey keeps the status of an official candidate for the EU membership. Both parties do not demonstrate the willingness to revise the prospects of the future cooperation, though not showing strong willingness to force the process. At the same time, it would be quite untimely to assume that both societies’ attitudes towards the potential union are homogeneous and coincide with Turkey’s and the EU’s official position. This predetermines the significance of investigation of discussed topic for the further evolution of the Turkey-EU relationship and gies birth to a range of research questions in the field of social studies that require scholars’ and policy makers’ particular attention.Advertising Looking for dissertation on international relations? Let's see if we can help you! Get your first paper with 15% OFF Learn More Focus of Research and Research Questions The focus of this research is the attitude of the Turkish society towards the possible Turkey-EU union. The purpose of study is to detect the tendencies in the Turkish public opinion about the countries membership in the EU, which may clarify to what ext ent this prospect remains realistic and how the integration will progress in case Turkey is accepted. In the course of study, the following research questions are expected to be answered: What attitudes towards Turkey’s membership in the EU exist in the Turkish society? What arguments do the proponents of each attitude provide to support their point of view? What factors influence the Turkish public opinion? What information sources have the strongest authority with the Turkish population? What is the official opinion of the Turkish government? Does it have significant influence on the attitudes of the population? How do the Turkish people see their own future in case the country enters the European Union? What parties of the Turkish society are the most interested in the EU entry? What are the strongest potential threats of the Turkey-EU union? (economical, political, cultural, social, religious aspects) How do the Turkish people want to see their country in the future? (in ternal condition, international arena) How do the Turkish people perceive the attitude of the EU citizens and officials towards Turkey? What alternatives to the EU membership do the Turkish citizens consider possible for their country? Methodology and Information Sources The study implies analysis of information sources devoted to the discussed topic. It is planned to get familiarized and compare the opinions of scholars and journalists who have been studying the public opinion of the Turkish population about the EU entry, as well as the opinions of the Turkish policy-makers. The following sources will be used in the course of the study: Monographs Articles in scholarly journals Turkish daily newspapers EU documents Interviews with Turkey officials: Egemen Bagis (the Minister of EU affairs in Turkey), Uluc Ozulker (ex-ambassador of Turkey to the EU). Argument The preliminary study of the given issue has demonstrated that the Turkish population is not homogeneous in evaluation of the outcome of Turkey’s EU membership. The tendency of opposition to the Turkey’s EU membership is expected to have been strengthening. The Turkish citizens’ strongest concerns are expected to be connected with: 1) the role Turkey will obtain in the European community after joining the EU; 2) the impact of the union on the life of the ordinary Turkish people; 3) social, cultural and religious differences that will play a role of serious obstacles in the Turkey-EU integration. Hypothesis: despite availability of the attitudinal factors that form resistance towards Turkey’s EU membership, the Turkey population has positive expectations about the potential union.Advertising We will write a custom dissertation sample on Turkey’s application for the membership in the EU specifically for you for only $16.05 $11/page Learn More The literature review provided below is aimed at testing the abovementioned statements. Literature Review Study of Turkey population’s attitude towards the EU membership requires obtaining a background on the Turkish political process. Much has been said about the impact of Islam on the Turkish society. Arat’s (2005) is devoted to analysis of Turkish Islam as a power that influences the Turkish political process. The author also estimates the power of the Turkish women in politics. Arat mentions the â€Å"serious polarization within society† (5) between the secularist and the Islamist poles. White’s work (2002) helps understand the roots and the process of evolution of Islamic politics in Turkey. Ãâ€"zyà ¼rek’s (2006) demonstrates that the secular and Islam issues actively interact and to the great extent oppose each other within the borders of Turkey’s political process. The author states that the secularist tendencies have been strengthening in Turkey during the last few years. Andreson (2008) discusses the dynamics of the democratic process in the Turkish politics and â€Å"the warped dialectic between state and religion in the Turkey†. The democratic trends have been competing to the approach expressed by Erdogan, the AKP leader, †When the feet try to govern the head, it becomes doomsday†. Arikan (2008) marks that the principles of democracy and human rights are the basis of the â€Å"new European political order† (113). Turkish expectations about the EU membership are to the great extent connected with blossoming of these principles in the social life of the country. On the other hand, the domination of the mentioned â€Å"new order† is perceived by some citizens as the invasion to the unique Turkish cultural space that has been forming for centuries. However, Carkoglu (2003) marks that â€Å"general attitudinal bases of resistance to EU membership- religiosity, anti-democratic attitudes and Euro-skepticism – do not form sources of EU refutation† (186). The autho r argues that the Turkish elites are now in the state of polarization, and each force is able to find the necessary rhetoric and persuasion mechanism to â€Å"conquer† the population’s support through media (187). Paradoxically, the elites that resist to the EU membership are able to keep their electoral support (ibid.).Advertising Looking for dissertation on international relations? Let's see if we can help you! Get your first paper with 15% OFF Learn More Carkoglu says that despite the dominating positive attitude towards the EU entry among the Turkish political elites, the legislative changes required by the EU are conducted quite slowly (ibid). Besides, they prefer to not emphasize the EU-related issues during the â€Å"electoral rush†. To form a full understanding of Turkey’s attitude to the EU entry, it is necessary to study the opinion of different parties, such as (at least): officials, political organizations and social movements, media, different social groups. One of the most significant questions in the study of the Turkish public opinion about the EU entry is what parties are the most strongly interested in it. In the abovementioned (2008), Anderson outlines the following, â€Å"In Turkey itself, as in Europe, the major forces working for its entry into the Union are the contemporary incarnations of the party of order: the bourse, the mosque, the barracks and the media. The consensus†¦ is not quite a un animity. Here and there, surly voices of reaction can be heard†¦ For the Turkish left, politically marginal but culturally central, the EU represents hope of some release from the twin cults and repressions of Kemal and the Koran; for the Turkish poor, of chances of employment and elements of welfare; for Kurds and Alevis, of some rights for minorities. How far these hopes are all realistic is another matter†. It is necessary to mark that female participants of the country’s social and political life also demonstrate strong interest towards the issue of the EU entry. Aybar et al (2007) who studied the ordinary Turkey citizens’ expectations about the EU membership argue that the union has been initially perceived by the Turkish women as a trigger of the women’s emancipation process. However, as Tunkrova argues in (2010), despite the legislative reforms, true democratization requires more time and the effort of the domestic actors (4). However, some res earchers share a pessimistic view on the capability of the Turkish society to accept the tendencies of the European new order. Particularly, Kà ¶sebalaban (2001) argues that the Turkish nation’s sympathy for the European values is not able to outweigh the Turkish domestic ideology. On the â€Å"subconscious† level, says Kà ¶sebalaban, a union with Europe is perceived by certain parties as an invasion, an encroachment on Turkey’s independence and identity. However, at the moment, while Turkey has not faced the â€Å"challenge† of EU integration, this should not be equated with the â€Å"conscious level†: the overall attitude of the Turkish nation to the EU membership remains positive. Conclusion A set of factors has predetermined the polarization of the Turkish society between the sense of the national identity and socio-cultural autonomy, and the sympathy for the so-called â€Å"European new order† with its principles of democracy and huma n rights. At all levels, from the political elites to the ordinary citizens, there are proponents and opponents of the Turkey-EU union. Despite the required legislative reforms and social changes progress quite slowly, the overall attitude towards Turkey’s EU membership is positive. It is remarkable that the Turkish people understand that the EU entry will intensify the secularist tendencies in the society and lead to the changes at all levels, from legislation to the everyday life. Despite this fact, the support of the EU membership prospect is strong, which may mean that secularization itself is considered by the Turkey citizens a positive change. Works Cited Anderson, Perry. â€Å"After Kemal†. London Review of Books. 2008. 30 April 2011. https://www.lrb.co.uk/v30/n18/perry-anderson/after-kemal. Arat, Yesim. Rethinking Islam and Liberal Democracy Islamist Women in Turkish Politics. Albany: State University of New York, 2005. Arikan, Harun. Turkey and the EU: an Awkw ard Candidate for EU Membership? Aldershot: Ashgate, 2008. Aybar, C. Bà ¼lent, et al. â€Å"Analysis of Attitudes of Turkish Citizens towards the Effects of EU Membership†. Turkish Studies 8.3 (2007): 329-348. Carkoglu, Ali. â€Å"Who Wants Full Membership? Characteristics of Turkish Public Support for EU Membership.† Turkish Studies 4.1 (2003): 171-94. Kà ¶sebalaban, Hasan. â€Å"Turkey’s EU Membership: A Clash of Security Cultures.† Middle East Policy 9.2 (2002): 130-46. Ãâ€"zyà ¼rek, Esra. Nostalgia for the Modern: State Secularism and Everyday Politics in Turkey. 2006. Duhram, NC: Duke Uinversity Press, 2006. Tunkrova, Lucie. â€Å"The EU Accession Process and Gender Issues: Central Europe and Turkey.† Report for the Fifth Pan-European Conference on EU Politics, Porto, Portugal, 23-26 June 2010. JHUBC. Web. White, Jenny. Islamist Mobilization in Turkey: A Study in Vernacular Politics. Seattle, Wash.: University of Washington Press, 2002. This dissertation on Turkey’s application for the membership in the EU was written and submitted by user Kamren Baxter to help you with your own studies. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. You can donate your paper here.

Fetal Alcohol Syndrome Essays (1854 words) - RTT, Fertility

Fetal Alcohol Syndrome Fetal Alcohol Syndrome (FAS) is a condition affecting children born to women who drink heavily during pregnancy. There are three criteria used to describe the effects of prenatal alcohol exposure and to make a diagnosis of FAS. The first of these is a pattern of facial anomalies, these features include: Small eye openings Flat cheekbones Flattened groove between nose and upper lip Thin upper lip These characteristics can gradually diminish as the child ages, but it is important to note that diagnosis does not change because of this. The second criteria is growth deficiencies: Low birth weight Decelerating weight over time, not due to malnutrition Disproportional low weight to height Height and weight below the tenth percentile The third criteria used to diagnosis FAS are brain injury. This includes: Decreased head size Behavioral and/or cognitive problems such as: mental handicap; learning difficulties; problems with memory; problems with social perception Neurological problems (impaired motor skills, poor coordination, hearing loss) A person diagnosed with FAS may show one or more characteristics listed above, and there is a great variability in the outcome. ( McCreight, 1997) Partial FAS is the recommended term used to describe the cluster of problems facing those who have some of the characteristic facial abnormalities associated with FAS, and one other component of FAS such as: growth deficiency; behavioral and cognitive problems or brain injury. This is only of course if it is known that there was significant prenatal exposure to alcohol. (Abel, 1984) Fetal Alcohol Effects (FAE) a term no longer used, refers to the cognitive and behavioral problems that may affect those with Partial FAS. FAE has often been used indiscriminately to label individuals with these problems, whether it not it was known they had been exposed to alcohol in the uterus. It is now recommended that the term FAE no longer be used, instead the more specific terms Partial FAS (PFAS) be used when applicable. ( Blume, 1996) Neonatal Abstinence Syndrome NAS describes the presence of withdrawal symptoms in infants exposed to one or more drugs during pregnancy. These drugs may include: alcohol, narcotics, sedatives, anti-convulsants and others. Some of the symptoms of NAS include wakefulness, irritability, diarrhea, vomiting, respiratory distress and lack of sucking. (Abel, 1966) Alcohol-related birth defects that may be present to those born with FAS can easily be identified because of the cluster of characteristic features involving facial appearance, growth and brain damage. Children born to mothers that drink heavily in pregnancy may also have serious congenital birth defects such as : Heart defects; Kidney and other internal organ problems; Skeleton abnormalities; Cleft palate and other facial abnormalities; Vision and hearing problems. These are known as alcohol-related birth defects (ARBD). The range of these birth defects is likely due to such factors as: 1. variations in the timing of alcohol use; 2. variations in the amount of alcohol used; 3. use of one or more substance that can cause birth defects; 4. and many other individual and genetic factors. ( Villarreal, 1992.) It is not known how much alcohol a woman can safely drink. However, it is known that the more alcohol a pregnant woman consumes, the greater the range and severity of problems to the developing fetus. Drinking alcohol regularly, or daily during pregnancy is considered to be of high risk. Drinking alcohol to the point of intoxication on an occasion is also a risk. There is no safe time period during pregnancy to consume alcohol. There are critical periods during pregnancy for the development and growth of all body systems. Different FAS features may be linked with the period in which alcohol is heavily consumed. This underlines the benefits of stopping or reducing alcohol use at any one point possible during pregnancy. (Davis, 1984) Other factors such as malnutrition, smoking, and the use of other drugs increase the risk of FAS. The mothers overall health, age and exposure to environmental toxins such as lead, mercury, and stressful life events associated with poverty and including physical abuse may also increase the risk of FAS. It is not known how much of a contributor these other factors make, but addressing these related health issues may have a significant bearing on the prevention of FAS. (Kleinfeld, 1993) The risk of FAS is higher for those who already have a

Coffee Bean Inc. Costing Analysis

Coffee Bean Inc. Costing Analysis Free Online Research Papers This report analyses the costs associated with two of Coffee Beans Inc. products, Moana Loa and Malaysian blends based on two different costing methodologies, namely the traditional job costing system that the company uses so far and the Activity Based Costing (ABC). ABC provides us with a more detailed and accurate estimation of the real cost of the products and it can serve as the basis for suitable strategic decisions, concerning products mix, pricing, suppliers and market positioning. A major issue that have to be concerned is the discontinuation or not of Malaysian blend. Appropriate recommendations and alternative solutions are being provided in order to facilitate the strategic decision process and help the Board of Directors to go to the right direction that will optimize our product mix, strengthen our position in the market and boost our operating profit. TABLE OF CONTENTS 1. Introduction 1 2. Traditional Costing method 2 3. Activity Based Costing (ABC) 3 4. Comparison Between the Results of Traditional Costing and Activity Based Costing for Coffee Bean Inc. 5 5. Conclusions 6 6. Recommendations 7 7. Appendix 9 1. Introduction Traditionally, companies used costing based solely on direct labor or machine hours in order to allocate indirect costs to products. A more recent approach is the Activity Based Costing (ABC) that first accumulates overhead costs for each of the activities of an organization, and then assigns the costs of activities to the products, services, or other cost objects that caused that activity. The present report will investigate the costs structure of two products of Coffee Bean Inc., Moana Loa and Malaysian. Initially, the so far applied traditional method will be presented. Then, the refined costing system of Activity Based Costing will be examined. Following there will be a comparison of the two methods with an effort to locate points that will reveal inconsistencies in costing and subsequent pricing of the products. The aim is Coffee Bean Inc. to identify precisely which drivers dominate the cost of each blend and actively adjust its product mix, pricing, purchasing and marketing strategy. Conclusions and recommendations on possible routes of problems, solutions or strategies to follow will be thoroughly discussed and a crystal clear image of the â€Å"cause-effect† relationship of all stages and factors in each blend will be drawn. 2. Traditional Costing method The first method of costing used to evaluate the Coffee Bean products’ costs and profitability is the traditional costing method. This provides an initial base for comparison in order to assess the Malaysian and Moana Loa coffee blends against each other. The traditional costing method classifies all manufacturing costs of products into three big categories, these being direct materials, direct labor and manufacturing overhead. Direct materials and labor are straightforward in the case of Coffee Bean Inc. Company data provided breakdown these costs for both coffee blends in question. On the other hand, the third category of manufacturing overhead may not always be as accurate as it is applied based on a weighted average for the products. The calculation of all three categories is discussed in the following paragraphs. Data is provided for the direct cost of Moana Loa and Malaysian coffees as well as the direct labor costs (Table 1). In addition, a prediction of production in pounds for each product is 100.000 and 2.000 respectively. Given the above inputs, the following direct costs are extracted: Moan Loa Direct Material Cost Moan Loa Direct Labor Cost Malaysian Direct Material Cost Malaysian Direct Labor Cost The manufacturing overhead budget provides us with a schedule of costs for coffee bean products including all other costs other than direct labor and materials. In order to determine the indirect manufacturing costs, the overhead rate used to charge all the indirect manufacturing costs is determined. The product of the overhead rate along with the direct cost allocated to each coffee brand provide a figure of the indirect manufacturing overhead which can be allocated to each blend. Overhead rate = Total budgeted manufacturing overhead / budgeted direct labor cost ? Overhead rate = = 5 Having all three categories of conventional costing and the quantity of each blend required for production, a budgeted cost and price of each blend can be acquired ( Table 2). It is evident that the budgeted cost and price of Moana Loa blend is higher than that of Malaysian, reaching values of $6.00 and $5.00 respectively. Given that the direct material cost is the only different driver in value, and all other costs are found as a product of common rates with quantity, this result is expected. Higher direct material cost of Moana Loa, leads to higher price. This result is seen with skepticism since the data provided for the different activities does differ with blend choice, and to assign manufacturing costs based on weighted averages of production is a simplistic way to go. The effect the different activity costs provided per blend have on their budgeted costs is investigated in the following sections. 3. Activity Based Costing (ABC) The second method of costing used to evaluate the coffee bean products’ costs and profitability is the Activity Based Costing (ABC) method. This method will reveal the link between performing particular activities like purchasing, materials handling, quality control, processing beans which consist our indirect costs, and the demands those activities make on the organization’s resources. In contrast with traditional method, in ABC the expenses incurred to produce individual units of particular products (Malaysian and Moana Loa coffee blends) are separated from the expenses needed to produce these different products. Concerning the activities of roasting, blending and packaging, they have the same overhead cost per hour. Hence, they all can be included in a pool of processing costs since they are homogeneous with a cost allocation base or hours of processing. (Table 4). Activity Cost-Allocation Base Budgeted Activity Budgeted Cost Roasting Roasting hours 96.100 $961.000 Blending Blending hours 33.600 $336.000 Blending Packaging hours 26.000 $260.000 Processing Beans Processing hours 155.700 $1.557.000 In order to proceed to ABC method, the cost allocation rate is needed. Using data in table 4 of the appendix the following results arise. Purchasing Cost Allocation Rate =$579.000 Budg. Cost / 1.158 Budg. Activity= $500 Material handling Allocation Rate = $720.000 Budg. Cost / 1.800 Budg. Activity= $400 Quality control Allocation Rate =$144.000 Budg. Cost / 600 Budg. Activity= $240 Roasting Allocation Rate =$961.000 Budg. Cost / 96.100 Budg. Activity= $10 Blending Allocation Rate =$336.000 Budg. Cost / 33.600 Budg. Activity= $10 Packaging Allocation Rate =$260.000 Budg. Cost / 26.000 Budg. Activity= $10 In addition to the cost allocation rate, the rate per unit of each cost allocation base used to allocate indirect costs (activities) to the products is required. Activities are bonded with activity drivers. Thus, activities like purchasing, materials handling and quality control are linked with cost drivers known as transaction drivers where the number of times an activity occurs matters. On the other hand, processing activities are associated with duration cost drivers where the time needed for the completion of each activity is of importance. Each activity uses a specific cost allocation base. Retrieving data from Table 5 of the appendix, the amount allocated to the cost base used is found. Activity Cost-Allocation Base Moana Loa Malaysian Purchasing Purchase orders 4 4 Materials handling Setups 30 12 Quality control Batches 10 4 Processing beans Processing hours 1.600 32 Purchase Orders=Exp. Sales (pounds)/Purchase order size (pounds) Setups=Setups per Batch x Batches Batches=Expected Sales(Pounds)/Batch Size (Pounds) Processing Hours= Processing Beans*Expected Sales (pounds)/100 In order to proceed to the calculation of the budgeted costs and prices of the two blends, the contribution of each direct and indirect (activity) cost per pound are calculated (Table 6 of the Appendix). Purchasing Cost per Pound=Purchasing Orders Used*Purchasing Cost Alloc Rate/Setups per batch. Materials Handling=Setups Used*Set Up Cost Allocation Rate/Setups per batch. Quality Control per pound=Batches Used*Batches Cost Allocation Rate/ Setups per batch. Processing Beans per pound=Process. Hrs Used* Process. Hrs Cost Allocation Rate/ Setups per batch Having completed all the above steps we are in a position to find the total budgeted cost and price of each blend (Table 7 of the Appendix). It is deduced that budgeted cost and price of Moan Loa blend is lower that of Malaysian having values $4.82 and $6.27 respectively contrary to the values of $7.54 and $9.80 of Malaysian blend. The number of the outputs affects the budgeted costs and prices of the blends. Economies of scale are introduced in the production of Moana Loa contrary to Malaysian coffee. In the first blend the expectation of 100.000 pounds sales allows bigger distribution of cost per pound. At the same time forecasted sales of 2.000 pounds for Malaysian coffee do not let the product to benefit through this method as the cost and the price is higher. The contradicting results arising from the application of the two costing methods (traditional and ABC) are further analyzed. 4. Comparison Between the Results of Traditional Costing and Activity Based Costing for Coffee Bean Inc. The first evident difference which arises from the application of the two aforementioned costing methods is the significant gap between the final cost figure of each method (and consequently the big difference in the price of each blend). With traditional costing the cost of Moana Loa is 25% higher than in the case of ABC ($6.00 Traditional, $4.82 ABC) while for Malaysian blend the cost when calculated with the traditional method is almost 51% lower than what in the ABC case ($5.00 Traditional, $7.54 ABC). The reason for this cost (and consequently price) difference is the fundamental difference between the two costing systems which is the assumption in traditional costing that cost objects consume resources whereas in ABC it is assumed that cost objects consume activities. Another thing that becomes clear with the use of ABC but could not be observed with the use of the traditional costing method is the fact that the item with the lower material cost is actually the one with the higher price (the cost of the raw material for the Malaysian blend is 24% lower than the cost of raw material for the Moana Loa blend while the price of the Malaysian blend is 56% higher than the price of the Moana Loa blend). The above observation can be explained by the fact that in the case of the Moana Loa blend we have economies of scale, so the total cost per pound is lower than the total cost per pound of the Malaysian blend, even thought the cost for the raw material is higher for the Moana Loa and lower for the Malaysian blend. In general after observing the results of the two methods we may say that in the case of the traditional costing method the usually deceiving results that we obtain do not allow us to notice and take actions for cases of mispricing, do not always make clear the cases of economies of scale, do not make us wonder about the effectiveness of our product mix an so on. It is obvious that without accurate cost figures, management cannot make accurate observations and take actions regarding important issues. 5. Conclusions Following that comparison between the existing costing system, which is based on the direct labor cost for the production of each products, and the Activity Based Costing we can derive the following interesting conclusions: The actual cost of Malaysian coffee is higher than the price that it is currently sold ($7.54 vs. $6.50). Hence, a loss of $1.04 per unit is occurring from selling that product. The two products are both mispriced. Moana Loa is overpriced (the price should be lower than the current, after the addition of the 30% mark-up at he new cost). Malaysian is underpriced and a loss is incurring with every unit sold. It is almost certain that more of the remaining 13 products of the company will be also over- or underpriced under the existing costing system. That leads in a totally wrong pricing strategy and is a marketing drawback when the products take their position in the selves of the stores. The total operating profit will be lower in the case we decide just to adjust our prices to the new cost estimations and continue selling the products. Moreover, there is a high probability that the sales of Malaysian, will drop dramatically because it will be too expensive for the quality it offers. From the cost structure under the two different costing methods, it is notable that the indirect cost for Moana Loa is 25% with traditional costing and only 6.72% with ABC and for Malaysian the respective percentages are 30% and 53,6%. It is clear that there are economies of scale for Moana Loa that sells in high volumes and the cost of raw materials account for a very high percentage of the total cost (87.1%) under the ABC method. The indirect costs are allocated in large quantities of the blend, resulting in a very good product (raw seeds are more expensive than other varieties) with a reasonable price. 6. Recommendations The above conclusions make clear that some corrective strategic actions are absolutely necessary in order to re-launch our product mix in a more efficient way, offer value-for-money to our customers and take our business forward. Based on the cost analysis under ABC system and the conclusions that were derived, the following recommendations are made: We should discontinue the production and selling of Malaysian blend since it is currently a source of loss for our business. If there is a special reason that we do not want to discontinue the marketing of Malaysian coffee (ex. to cover the needs of some good and special customers that want a wide variety of products), there is an alternative solution that can turn Malaysian coffee profitable. The solution is to make an accurate sales projection and unify the sales orders throughout the year in only one order that will cover the demand for the whole year. The proper storing conditions will ensure the optimal preservation of the product. In order to illustrate that argument with numbers, if the budgeted 4 orders of 500 pounds each were unified in one order of 2000 pounds (total annual estimated sales) the cost per pound will drop from $7.54 to $4.63 per pound and there will be a profit. We can maintain the price at $6.50 (in order not to confuse the market) and have a profit of $1.87 per unit or decrease the price to $6.02 (30% mark-up) and gain market share with the competitive lower price of the product. Maybe, the reason that Malaysian does not sell much and has very low market share is that it is expensive in relation to its quality. We should examine the cost of all other 13 products in order to discover other products that may be inexpedient to continue producing. We should conduct a Market Research in order to gather information of the consumer behavior regarding the coffee consumption and determine their willingness-to-pay for more premium products. That will help us decide if we shall maintain the price of Moana Loa at $7.80 and promote it as a premium quality coffee in order to have a high mark-up (61.8%) or lower the price to $6.27% (30% standard mark-up), increase sales and gain market share from competitors. The need for change in our pricing policy will bring about the need for other strategic changes as well. We shall plan our tactics towards our strategy taking into account other relevant information. We have to make better sales projections based on historical data of our sales and on market intelligence. The proper market research will provide us with information about consumer preferences and needs, so we can fine-tune our product mix’ quality and price offered to the consumers. We will then proceed to a more detailed segmentation of the market and promote the right product to the right consumer segment (ex. premium coffee for willing-to-pay customers and less expensive blends to customers that consider coffee a commodity). Also, information about competitors’ moves that can come from our suppliers and wholesale customers would be extremely valuable for the mapping of the market field. Another aspect that we should look into is the origin of our raw materials and the location of our suppliers. We have 15 different raw materials (coffee beans) that come from various suppliers. If we could group suppliers together based on their location, we could design a coordinated purchasing plan that would unify the orders and decrease a lot the transportation cost. As an immediate result, we will have a higher operating profit per product. Overall, this new costing system will help us become more efficient, more productive, make better strategic decisions and our products will became more competitive with the new representative pricing that will be based on the real cost and the real value they carry to the consumer. That will strengthen our position in the market and empower the company to expand in other consumer goods market as well. 7. Appendix Direct Costs Moana Loa Malaysian Direct Materials (per pound bag) $4.20 $3.20 Direct Labor (per pound bag) 0.30 0.30 Table 1. Direct cots per coffee blend Traditional Costing Indirect cost allocation rate 5 Moana Loa Malaysian Total Total Direct Materials cost $420,000 $6,400 $6,000,000 Total Direct Labor cost $30,000 $600 $600,000 Total Indirect overhead cost $150,000 $3,000 $3,000,000 Total costs $600,000 $10,000 $9,600,000 Pounds produced 100,000 2,000 Cost per pound $6.00 $5.00 Price per pound $7.80 $6.50 Table 2. Traditional Costing figures allocated per coffee blend Traditional Cost Structure Moana Loa Malaysian Sales 100,000 $780,000 2,000 $13,000 COGS Direct Materials 70.00% 64.00% Direct Labor 5.00% 6.00% Gross profit Indirect overhead 25.00% 30.00% Table 3. Traditional Costing Cost structure Activity Cost-Allocation Base Budgeted Activity Budgeted Cost Cost-Allocation Rate Purchasing Purchase orders 1.158 $579.000 $500 Materials handling Setups 1.800 $720.000 $400 Quality control Batches 600 $144.000 $240 Roasting Roasting hours 96.100 $961.000 $10 Blending Blending hours 33.600 $336.000 $10 Packaging Packaging hours 26.000 $260.000 $10 Total manufacturing overhead cost $3,000,000 Table 4. Cost Pooling Moana Loa Malaysian Expected sales (pounds) 100.000 2.000 Batch size (pounds) 10.000 500 Setups per batch 3 3 Purchase order size (pounds) 25.000 500 Roasting time (hours/100 pounds) 1,0 1,0 Blending time (hours/100 pounds) 0,5 0,5 Packaging time (hours/100 pounds) 0,1 0,1 Table 5. Amount of Cost Base Used ABC: COST per pound Moana Loa Malaysian Direct Costs Direct Materials $4,20 $3,20 Direct Labor $0,30 $0,30 Indirect Costs Purchasing $0,02 $1,00 Materials handling $0,12 $2,40 Quality control $0,024 $0,48 Processing beans $0,16 $0,16 Total Cost per pound $4,82 $7,54 Price per pound $6,27 $9,80 Table 6. ABC:Cost per pound Moana Loa Malaysian Total Total Direct Materials cost $420.000 $6.400 $6.000.000 Total Direct Labor cost $30.000 $600 $600.000 Total Direct costs $450.000 $7.000 $6.600.000 Total Purchasing cost $2.000 $2.000 Total Materials handling cost $12.000 $4.800 Total Quality control cost $2.400 $960 Total Processing beans cost $16.000 $320 Total Indirect costs $32.400 $8.080 $3.000.000 Total costs $482.400 $15.080 $9.600.000 Total Cost per pound $4,82 $7,54 Price per pound $6,27 $9,80 Table 7. Budgeted cost and price of each blend Research Papers on Coffee Bean Inc. 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Kodak and Fujifilm Essay Example | Topics and Well Written Essays - 1500 words - 4

Kodak and Fujifilm - Essay Example Since 1976, Kodak captured large market of camera and film in US (85% and 90% respectively). Photofinishing processes of Kodak soon became industry standard in terms of quality. It always had competitive advantage over its competitors due to the operation and scope of its business. This assisted Kodak for having sustainable growth for around 90 years. However, from 1980s and 1990s, Kodak began to encounter problems in terms of revenues, marker share, technological explosion, and competitors (Schreiner, 2012). As Kodak strives for survival, its biggest competitor Fujifilm enjoys the renaissance of innovation. For Canon and Nikon, innovations with sensors, Fujifilm emerges as a genuine threat to Kodak. In 2010, Fujifilm maintained its place in Fortune Global 500. Even though, the company is now striving to keep up with its current position by diversifying into new similar businesses. Fujifilm was established in Japan in 1934. It has made its place as a leader in videotape, motion pictu re photography, floppy disk, and audio tape industries. It is also involved in manufacturing camcorders, still cameras, chemicals and paper, photofinishing equipment, information and imaging products for medical and office use markets. The company introduced dry plates, motion picture film, and photographic paper. While Kodak goes bankrupt on 13 January 2012, its long time competitor Fujifilm is flourishing fairly well. ... It was so hierarchical that low-level employees needed to wait for top-management in every situation. To get over this inflexible hierarchy, he made himself accessible, and visible and encouraged employees to take more responsibility. Leadership of Kodak has also been inconsistent. The strategy of the company changes with every new chief executive. The biggest management flaw at Kodak was their monopolistic attitude. On the other hand, Fujifilm was efficient in anticipating change and taking quick decisions. Fujifilm took advantage from the weaknesses of Kodak and snatched the market share in a short span of time (Kotter, 2012). Impact of Management Differences The execution strategy of Fujifilm is what gave it an edge over Kodak. In 1980s, when Fujifilm observed the omens of digital doom it established a three-step strategy. i. To earn as much revenues from the film business as possible ii. To prepare for converting to digital iii. To establish new business lines (The Economist, 201 2) Fujifilm looked for new venues for its specialization in film for instance, developing optical films for flat panel screens such as LCD. Since 2000, it invested approximately $4 billion in the business. It paid off very soon. In a short span of time, Fujifilm began to enjoy a market share of 100% in this area. CEO of Kodak, Fisher decided that its specialization lay in imaging. Therefore, he turned out digital cameras and offered it customer with a feature of posting and sharing pictures online. This production could have made Kodak more creative and nimble but he failed to outsource. Yet, Kodak managed to build a monumental business from digital camera but it persisted for only few years before the phones having camera wrecked it