State and Non-state Actors in International Politics

State and Non-state Actors in International Politics INTRODUCTION At the International scene, there are many players engaged in what is regarded as the game of international Politics. One of the oldest and universally acknowledged actors on the modern world stage is the state. A state is a type of polity that is an organized political community living under a single system of government[1]. A Political community is referred to as a government responsible for the citizens under the government. It has been earlier assumed that international relations are made up of the relations between states. International relations can be likened to a series of actions that promote interactions between states. Actors are entities that participate in or promote international relations. The two types of actors involved in international relations include State and non-state actors. State actors represent a government while non-state actors do not. However, they have impact on the state actors. A definition of world politics involving only states as the actors has been challenged since the late 1960s and the early 1970s, since many other actors have become way more involved in the process of international political. Due to this, international relations promotes International pluralism fostering national interactions. The forces of globalization and liberalization in the last three decades of the twentieth century have resulted in a transformation in the world economic structure, thereby undermining the ability of states to govern in full capacity. These great global transformations have had a major influence and have modified the traditional paradigm and theories of international relations, most especially the school of thought of realism due to its basic proposition that actors represent the states, and the states operate a system of anarchy. The realist school of thought has however been criticized for its focus on the state view of international relations and its shallow focus on the problems of war and peace. IDENTIFICATION AND DEFINITIONS OF ACTORS IN WORLD POLITICS Actors in world politics, states and non-state actors, per Professor Ryo Osiba of Hitotsubashi University, can be defined as entities which have the following three features:[2] (a) They should have overall capacity to decide on their purposes and interests. (b) They should also have the capability to mobilize necessary resources to achieve these purposes and interests and be passionate about appealing for global cooperation. (c) Their actions should be significant enough to influence the state-to-state relations or the behaviour of other non-state actors in the global system. Inter-Governmental Organization Even if states are l the dominant actors on the world stage (which is still an argument), they are not at all the only ones. A group of very important players in the International scene is the intergovernmental organizations otherwise known as the IGOs. Intergovernmental organizations are established by states, most times through a treaty. The most well-known intergovernmental organizations are the United Nations (UN). Some other IGOs include the Food and Agriculture Organization, International Labour Organization, International Civil Aviation Organization, International Maritime Organization, World Intellectual Property Organization, World Food Programme, etc.[3]. Since, IGOs only operate by the consent of states, states maintain their sovereignty. Furthermore, most IGOs really do not possess the power to enforce state follow up with their decisions. At least, not without the help of powerful states. For example, since the United States is a permanent member of the UNs Security Coun cil, along with China, Russia, France, and the United Kingdom, it can veto any substantive UN resolution. In accordance to liberal institutionalism, states join Intergovernmental Organisations because it is in their interest to do so. Their membership makes certain problems easily solved and at a less cost than without them. Liberal institutionalism particularly, focuses on collective problems, such as the security dilemma, the appeal to execute competitive tariffs, and the difficulty in agreeing to protect the environment. [4] There is a need for States to correspond and work with one other to oversee other states to make sure that they are honouring their commitments to acknowledge many of the problems. For example, in the free trade case, the World Trade Organization was created to coordinate the negotiation of tariffs and to further provide a mechanism and avenue for the resolving of disputes. Some of these tasks will be more expensive and complicated to execute without the IGOs. There are situations where IGOs are not only created to solve problems but to provide platforms for discu ssion. Some examples of IGOs and their functions include[5]: IGO FUNCTION United Nations (UN) Maintain international peace and security. Develop friendly relations among nations. Achieve international cooperation in solving international problems. Function as a centre for harmonizing the actions of nations World Bank This International Financial Institution works on reducing poverty. It helps developing countries by giving loans. The Group of Eight (G8) The Group of 8 is made up of the worlds leading industrial countries (Canada, France, Germany, Italy, Japan, UK, USA and Russia). The head of the G8 countries meet each year to discuss global issues such as world poverty and security. North Atlantic Treaty Organization (NATO) Military alliance. A system of collective defence where its member states agree to mutual defence in response to an attack by any external party Nongovernmental Organizations Not all actors play governmental roles in the International scene. Nongovernmental organizations, also called NGOs, are defined as non-profit organizations who advocate or otherwise pursue policies for the good of the public. Nongovernmental organizations are engaged in issues such as human rights humanitarian aid, economic development, and social welfare, among other things. Some well-known NGOs include the Red Cross, Greenpeace, Oxfam, and Amnesty International. Nongovernmental Organizations (NGOs) In the 21st century, many people have discovered that by being a part of Non-governmental organizations they could in a way participate in the global system and lobby to influence International organizations. Most have joined as members of one or more NGOs, which are more about members and not states, but have volunteers from populations of two or more states which have formed organizations to promote their shared interests and ideas to influence the policies of state governments and intergovernmental organizations (IGOs). NGOs tackle many global problems and seek changes in the world for causes such as disarmament, environmental protection, human rights and many more. Most pursue objectives that are highly respected and constructive, and therefore do not provoke any controversy or arouse much opposition. NGOs interact with states, sub-state actors, MNCs, and other NGOs. NGOs are increasingly being recognized in the UN and other forums, as legitimate actors along with states but is not equal to them. Some of the groups have a political purpose, some a humanitarian one, some an economic or a technical one. There are times when NGOs combine efforts through transnational advocacy networks. By joining NGOs, many people found that they could participate in the global system and lobby to influence international organizations. Some examples of NGOs include: Amnesty International Amnesty International is a worldwide movement of people who campaign for internationally recognized human rights for all. They conduct research and generate action to prevent and end grave abuses of human rights and to demand justice for those whose rights have been violated. Some of the issues that has been campaign are armed conflict issues and protection of civilians, basic welfare of children, LGBT rights, rights of people with AIDS, womens rights, disability rights, human impact of pollution and environmental degradation, freedom of the press and many more[6] Oxfam An international confederation of 17 organizations networked together in 92 countries, as part of a global movement for change, to build a future free from the injustice of poverty. The well-known organization works to help eliminate global poverty with long-term and sustainable solutions.[7] AIESEC links students worldwide World Wide Fund for Nature works on issues regarding the conservation, research and restoration of the environment) and hundreds and thousands more of NGOs to go Wikimedia Foundation Is dedicated to encouraging the growth, development and distribution of free, multilingual content, and to providing the full content of these wiki-based projects to the public free of charge. The Wikimedia Foundation operates some of the largest collaboratively edited reference projects in the world, including Wikipedia, a top-ten internet property[8] PATH It stands for Program for Appropriate Technology in Health, work with the private and public sectors to help with advancing technologies to address global health challenges. Political Groups that Advocate Violence (Terrorists) Terrorists or rather political groups that advocate violence might not call themselves NGOs, but they operate in the same manner which are by interacting both with states and with relevant populations and institutions through violence and planning attacks. These groups held great power and can influence the international relations between states[9]. A group that is currently active now is the Al-Qaeda. The incidence on the spectacularly destructive attack of September 11, 2001 by members of Al-Qaeda, has demonstrated the increasing power that technology gives terrorists as non-state actors. Other than that, the Al Qaeda also placed suicide bombers in U.S. cities, coordinate their operations and finances through Internet and global banking system, and reach a global audience with the videotaped exhortations of Osama bin Laden. International Criminal Groups: These actors are considered as transnational actors but they act in an illegitimate manner. Transnational criminals often operate in well-organized groups, intentionally united to carry out illegal actions. Groups typically involve certain hierarchies and are headed by a powerful leader. These transnational organized crime groups work to make a profit through illegal activities. Because groups operate internationally, their activity is a threat to global security, often weakening governmental institutions or destroying legitimate business endeavors. Most of these groups are involved in drugs, prostitution, human trafficking, firearms and many other crimes. Some examples of international criminal groups would be the Yakuza in Japan, the Sicilian Mafia in Italy and Triads in Hong Kong, Macau, Taiwan and in countries with significant Chinese population. Multinational Enterprises Transnational Actors Transnational actors are actors that are active below the state level as well as across the state borders. There are two types of transnational actors. They are the transnational corporations(TNCs) or multinational corporations(MNCs) and the nongovernmental organizations(NGOs). Transnational Corporations(TNCs) / Multinational Corporations(MNCs). Other group of actors in International relations are Multinational companies. They are companies whose aims is to make profit and their business interests transcend across more than one state. Most times, these Multinational Enterprises do command vast amounts of resources that rival, and even surpass, the resources of smaller states. Examples of MNEs include: Dangote Group, Epson, Facebook, GlaxoSmithKline, Exon Mobil, etc. It is however important to note that these interests of Multinational Enterprises do not necessarily correspond with or favor the interests of the states in which they operate, or even with their home state where the Multinational Enterprises was formed and their headquarter situated. For example, an MNE may be opposed to trade sanctions on another state, even if its home state wants the sanctions to punish bad behavior, because the sanctions are bad for its business. Multinational corporations (MNCs) are companies that have headquarter in one state but invest and operate extensively in other states. MNCs are based in one state but have branches or subsidiaries operating in other states. In other words, MNC is a large corporation operating on a worldwide basis in many countries at the same time, with fixed facilities and employees in each. The types of MNCs are : Industrial corporations makes goods in factories in many countries and sell them to business and consumers in various countries. The largest MNCs are automobile, oil, and electronic industries. Almost all the MNCS are based in the G7 states. Examples of this MNCs are Sony, Honda, Toyota, Petronas and more. Financial corporations such as banks, they operate multi nationally with more restrictions than industrial corporations. Examples are Oversea-Chinese Banking Corporation Limited (OCBC Bank) and others. Services Such as McDonalds fast-food chain, international airlines like MAS, Asiana Airlines and more, Hilton Hotels Resorts and many others. Multinational Corporations are becoming more powerful as independent actors. A great number of the industrial MNCs have annual turn over sales of billions of dollars. MNCs are most times able to match with most international organizations in terms of size and financial resources. The largest IGO (UN) has about 2 billion dollars a year in revenue, compare to more than 250 billion dollars for the largest MNC. The largest state (United States) has government revenues of 2 trillion dollars. Therefore, this shows that the power of MNCs does not rival the largest states but exceeds many poorer states and many IOs.[10] Multinational Corporations are viewed as citizens of a world beholden to no government[11]. They act internationally in the interests of their (international) shareholders and do owe no form loyalty to no state. They have the motivation maximize profits. MNCs operations support a global business infrastructure connecting a transnational community of businesspeople. MNCs also contribute to their host countrys development. As MNCs operate in other states, it will provide job opportunities for the locals in that state and thus, helped to stabilize the economy in that state.[12] In determining if States are still the most important players in International politics, it is important to examine theories related to this argument 1. Realism: Realism portrays the political system of the world as an anarchic struggle for power and security among competing states. Per realism, there is at all no higher authority than that of the states. Due to this, states in alliance with other states or individually, make provision for their own defence. Power therefore is the only means of achieving security. Security also follows from the willingness to act prevent any state from achieving a preeminent and threatening position in International politics. 2. Radicalism: this school of thought view International politics as organized in line with capitalist imperatives. International relations are structured, conceptualised and dominated by the unequal relationship between the developed and developing worlds. Therefore, a Radical systematic change is important to achieve security on a global platform, security here is understood as a factor of the satisfaction of basic needs for the population of the world irrespective of their national identity. 3. Liberal Internationalism: The liberal Nationalist view suggests that there are certain reasons to believe that the dominant identity of states might be weakening. International institutions, international law, International trade and international commerce have all contributed tremendously to the developing global community. So therefore, we should describe the world not just in terms of state interaction only but also in terms of an increasing community. why states are no loger the key actors Per the traditional perspective, states play the major role in international Politics but after the World War, communications technology has been on the rise, international division of labor and the expansion of global trade, a great number of international organizations have also established. The international scene has changed due to the forces of globalization. It is now of importance that states communicate with one other, which influence international political, economic, military and culture to a great degree. The increasing number of these organizations is parallel to the increasing levels of political, economic, military and cultural transactions between individuals, societies and states. These kinds of non-state actors challenge the state- centric perception. There are two prevailing theories about the role of the state in international relations. Neorealism emphasizes the state plays the most important role in international arena. On one hand, the state possesses sovereign power to insure domestic security. On the other hand, neorealism also stresses the state influence economy in international relations. Neoliberalism not only indicates that the state is the main behavior body in international system, but also affirms the role of non-states, such as international organization, transnational organizations and other kinds of social organizations. As a by-product of intensified globalization process, these kinds of organizations have become more significant determinants of foreign policies of the state. By looking at globalization, the proliferation of non-state actors is gaining international influence and position. Non-state actors can be divided into international intergovernmental organizations (IGOs) and transnational or international non-governmental organizations (NGOs). International intergovernmental organizations are created by states. They have official document of government agencies. On the contrary, transnational or international non-governmental organizations are established not by the state, but by some group of businessmen, individuals and other societal units. They have no legal connection with the state, so they are genuinely transnational. But the state can restrain the activities of these kinds of organizations. There are several powerful organizations such as the European Union, the North Atlantic Treaty Organization (NATO) and the United Nations. Though these organizations own strong power in the international relations, they are entire operate by states. Along with the intensification of globalization the growth of so many kinds of non-state actors is bound to influence the status of the state in international relations. But they cannot substitute for the state. The state is still the most important actor in international relations. The role of the state in the international economy, politics and climate The question of whether the advent of Globalization can lead to extinction of State importance in the International hemisphere would be examined. Cristopher Clapham believes that the globalization is at the core of human existence such that it can be found in every sphere of importance such as the economy, politics and climate[13] The influence on globalization on the economy from State level to the world stage cannot be overemphasised but the State still has legitimate power on certain levels. If a company is to establish its organization in a State, t is under the jurisdiction of that State. The state wield the authority to allow, suspend or close down any operating company within its territory. This point tends to the State the most important actor in international politics as it has the right to determine the scope of a companys operations. States are the components of International politics and it(international politics) is significant in fostering international cooperation, conducting business and ensuring world peace among States. The peace of the world is of grave importance in international politics. The world peace is not attainable by just a state. This goal of peace is only brought out by the endeavour of the whole world. International organizations are making great deal of efforts to prevent any form of chaos that can be caused by war, but still the mantle rests on the shoulders of the state to play the major role in international Politics. Global warming is another issue gradually become a significant in the world due to climate globalization. The negative effects of global warming could have adverse effects on the climate such as the rising of sea levels which affects the world as a whole. States have taken it upon themselves to eradicate this problem by drafting policies. An example of an international agreement called the Kyoto Protocol has been formulated to ensure States take actions necessary to cut down pollution and prevent greenhouse effect. It is worthy to note that such policies can only to d rafted by Stats and International organizations can only support them in actualising these goals. This further proves the importance of states in the international hemisphere. After reviewing the more general treatment of actors in different theoretical perspectives, and if non-state actors are a factor to be reckoned with in the study of world politics, it is important to conceptualize these types of actors. Non-State Actors are most times seen as very having little influence on world politics especially from the perspectives of the realist and other state centric, according to them, it is predominantly states that retain power in international relations but this assumption has been faulted because when realism and liberalism were developed as consistent theories, the influence of non-state actors was indeed very limited and close to non-existence Second, by focusing on the state as main actors, state-centric theories overlook the importance of indirect influence of Non State actor. Watzlawick, Weakland Fisch (dentify two types of change: First order change describes the change within a system, whilst second order change is the change of the system itself, therefore could be considered as meta-change. Although Watzla wicket al. Were concerned with change on the psychological level of human interaction, they note that their concept of change is also applicable to a wide variety of systems. In the system of international politics, first order change is a change that is part of the system and the political structure actors engage in, and thus plays a part retaining the current political structure. Second order change however will lead to a substantial change of the political structure and the way that political actors interact. However, it is necessary to note that an actor may affect international relations, even though it is not in the way desired by the actor itself. This would be the case if the action of an actor is met with fierce resistance, which would consequentially change the system in a way not desired by the original actor. NSAs have been defined as actors that do not represent the states, but act on an international level. They include: Intergovernmental organisations), transnational corporations, non-governmental organisations, epistemic communities (i.e. Networks of scientists and experts and others which include criminal and terrorist organisations. With regard to the first group, IGOs, there is a disparity whether they can be considered as real NSA, because they are set up and controlled by governments of nation states it is necessary to consider the influence exerted by NSAs on a multi-level basis. For example, a NSA may try to influence international l politics by lobbying on the domestic level of a state or in international organisations. TNCs are international corporations with offices and products in different countries. Multi-National Companies can exercise a huge influence on local laws. An example of this is the US-based TNC Texaco, whilst operating in Ecuador, was technically immune to hum an rights claims]. The company dumped toxic waste in the Amazon region. In realism theory, it is assumed that a sovereign country-in this case Ecuador-has to ensure that human rights are enforced, and has the power to do so .Hence ,TNCs only indirectly accountable for human rights obligation s through government regulation .But due to the importance of foreign investment ,particularly for developing countries ,particularly developing countries cannot follow their obligations (Texaco ,with global earning s four times the size of Ecuadors GDP ,was able to operate as a state unto itself Admittedly ,it could be argued that Texaco acted as a pro -longed arm of the United States There have been cases where Multinational companies have been able to exercise significant influence over their home countries .As demonstrated, TNCs show a high capacity for first order change ,although often indirectly by using governments and international organisation . There is a considerable structural dependence of states on Multi National Companies, which will make policy maker s take business interests into account when drafting legislation without being pressured. However, it is difficult to account for such indirect powers without political activity, because they are not trace able. NGOs are non-profit, non-violent organisations that are not set up by the government and are not trying to get hold of power. Examples are the French civil rights group La Quadraturedu Net, Amnesty International and the role of foreign NGOs involved in the Ukrainian Orange Revolution will be investigated. La Quadrature is a civil right s organisation that lobbies for net neutrality on European level. It takes position for ne t neutrality and against copyright extension and software patents and is supported by the American Electronic Frontier Foundation In their recent campaign against the three strikes approach, proposed under the French EU presidency, La Quadrature was quite successful in achieving their goals. Most of the amendments they lobbied against were rejected and s ome of their own proposals put into place instead. Within the framework of intergovernmental organisations, this capacity gives it greater power than any single government (Willets 1982, p24, ascitedin: Arts2003, p7). Thus, after an extensive campaign against torture, Amnesty International co-drafted the anti-torture convention Again, one might question the relevance of Amnesty sanctions. However, Arts (2003) notes that there salting treaty we profound change in the underlying principle of the international community and affected states sovereignty; states could no longer refer to human rights abuses as internal matters. American NGOs supporting the Ukrainian democracy movements have often been criticised for taking sides to increase US influence over the Ukraine. But Wilson (2006) notes that oppositional NGOs were not overly advantaged by Western funds, although support for governmental initiatives was cutback in consequence of a lack of co-operation by the Ukrainian government .Ev en so, pre-revolutionary backing for the government Russia was significantly higher than overall Western funds(Wilson2006).Instead ,oppositional NGOs used their money much more effectively and Western-funded exit polls proved an important tool in preventing voting fraud (Wilson2006).The resulting regime change affected Ukrainian-Russian relations drastically and it has been suggested that it is partly responsible for quarrels over gas prices that affected EU gas deliveriesinwinter2008(Wilson2006,Willershausen 2008). Ithancommercialones(BusÂÂ ´e2001). But binding such NSAs into international agreements banning land mines presents severe complications to international politics. Many NSAs are not willing to sign a ban, whereas some states refuse to join the ban, because hostile NSAs are still using land mines. Additionally, monitoring is difficult. Military NSAs are not bound to law of the state the operate in, precisely because this state cannot retain control. (BusÂÂ ´e2001 ) Therefore, BusÂÂ ´e(2001) stresses the importance of Recognising the relevance of NSAs in international politics individually, NGOs tend to operate on small single-issues, and have much less competencies compared to governments. The sheer number of NGOs still makes the man important actor on the international scene, maybe not individually but as a whole(Arts2003).However ,as demonstrated ,NGOs are not only capable of first order change ,but in the case of Amnesty ,also second order change, by changing the structure of state interaction Terrorist and military guerilla groups affect international politics in a different way .Thus ,in disintegrating states ,some NSAs are the de-facto government(BusÂÂ ´e2001,Cusimano-Love2002).This does not only poses severe problems for the local population but also complicates the political interaction on an international level. According to BusÂÂ ´e (2001) land mines pose a major problem as they contaminate land even years after wars , and because se lf-produced land mine soft en used by military NSAs are even more dangerous Particularly after the cold war and within creasing globalisation, NSAs were able to fill gaps left by declining state influence over political, social and economic conditions (Cusimano-Love2002,Jochnick1999). NSAs benefited drastically from increasing globalisation. The increasing importance of international media and Internet has given NGOs a platform to connect with other NGOs and raise support and awareness for the issues they stand for .Additionally ,human rights groups have been given important tasks in securing the survival of people in humanitarian crises (

Overcoming Barriers to Change

The external environment in which businesses operate is continually changing. Businesses must respond to these changes to remain competitive and continue to meet the needs of their customers. They need the commitment and support of key stakeholder groups, such as employees, in order to ensure changes are embedded to shape the organization for the long term. Corus was formed in 1999 when the former British Steel plc merged with the Dutch company, Hoogovens. Corus is now a subsidiary of the Indian-owned Tata Group. Corus has three operating divisions and employs 40,000 people worldwide:Corus Strip Products UK (CSP UK) is based at Port Talbot and Llanwern, Newport in South Wales. CSP UK makes steel in strip form. This is used in markets such as vehicle manufacture, construction, electrical appliances, tubes and packaging. Corus aims to be a leader in the steel industry by providing better products, higher quality customer service and better value for money than its rivals. In 2005 CSP U K introduced a cultural plan for change called ‘The Journey’. The company wanted to address a wide range of business challenges, but the common theme was the fundamental way that people at all levels went about their work.The Journey focused on the values and beliefs of its people. Vitally, this was not limited to employees, but it included contractors, suppliers and other partners. This community of people together re-defined eight core values. These provided the guiding principles by which Corus people would work. By early 2007, all employees had been provided with a booklet outlining the CSP Journey values and the behaviors the company expected them to follow. The new values encourage individuals to be accountable for their actions.For example, previously, there had been tragic accidents on site and other health and safety issues, such as poor driving behaviour. This needed to change. The Journey program has taken a positive approach so that it now steers everything CSP UK does and underpins the culture of the organization. This case study focuses on how Corus Strip Products UK has overcome barriers to change in order to secure a more prosperous future for the business. Reasons for change Organizational change is a planned and ongoing process and follows clearly structured elements:Identify the key drivers for change. These are forces outside and within the organization, for example, the growing strength of competitors (external) or health and safety issues within the organization (internal). Corus employees were encouraged to understand what was happening in the business (the ‘As Is’) and identify any flaws in the existing way of working. Identify the barriers to change. This often involves people’s attitudes. They may want to continue to work as before or cannot see the need for change. Create and implement a plan for change.This focuses on winning the commitment of all employees, identifying specific solutions to problems areas (for example, cutting staff or investing in new systems) and setting out ways of measuring improvement. Employees were encouraged to envision what the ‘To Be’ position for CSP UK looked like and make plans to bring it about. Measure the effectiveness of the change. CSP UK is prepared to make further changes based on the outcomes of the actions. Examples of internal drivers for change (inefficiencies within the business) at CSP UK included: Poor delivery – rather than delivering steel to customers on time there were delays, leading to loss of business. †¢ Competitiveness – steel produced in the UK could be more expensive than from some other countries. †¢ High wastage – failing to make products right first time meant that they had to be reworked or scrapped. †¢ Low staff morale – employees were committed but were not motivated by the environment in which they were carrying out their jobs. External drivers (pressures for c hange outside the business) came from: New competitors – low cost producers in Eastern Europe and the Far East were taking business. This could lead to reduced demand with higher costs. †¢ Changing customer requirements – for example, the fall in demand for steel for the automotive industry meant that Corus needed to find different types of customers or develop different products. †¢ New technology meant customers expected higher specifications. †¢ Perceptions of the steelmaking industry within the community tended to be negative – for example, the industry was seen as having a poor record on environmental issues.Total Quality Management (TQM) initiatives had previously been implemented to great effect at CSP UK to improve productivity and improve competitiveness. CSP UK had also previously reduced manpower for the same purpose. However, Corus Strip Products is a business with deeply committed people and a relatively low staff turnover. Total payr oll costs are low compared with its other costs such as energy and raw materials. Labor costs at CSP UK account for around only 13% of total costs. This is considerably less than, for example, an assembly line process where they might be around 40-50% of total costs.It therefore made better sense to enable employees to work more efficiently rather than cut the number of staff. Barriers to change Change may challenge peoples’ abilities, experience, customs and practice. It may even be seen as a threat. This can create resistance or barriers to change. For example, if job roles are changed, employees and managers may feel that they lose status or power. If jobs are cut, remaining employees may feel insecure. This can cause low morale and lead to poor productivity.Although Corus Strip Products as a company supported the principles of change and innovation, not all previous programs had delivered the required results. GLOSSARY Corus is an established business in a traditional ind ustry. This meant that it had set patterns of doing things in some areas of the business. This attitude of ‘this is the way we do things around here’ made it more difficult to make necessary changes. Some Corus employees had a fear of the unknown and saw new initiatives as a possible threat to their existing teams and positions.Job reductions had been a major theme in the steel industry since the 1970s and some of Corus’ previous change initiatives had led to job cuts. Other people did not see a threat to their job because the business had previously survived difficult times. This complacency made change difficult for Corus. Another issue facing Corus was its ageing workforce. There is a considerable degree of expertise in the company and long-term high rewards kept people within the industry. Older employees with high technical skills stayed because these skills were not easily transferable.Fewer young people were attracted to the industry because of reduced job opportunities and reductions in apprenticeship schemes across the UK. The company also had a history of rewarding ‘long service’ rather than ‘distinguished service’. This means that employees who had been with the company a long time (but who had lower productivity) could be gaining greater rewards than newer employees who were producing more. Corus felt that this was an area that needed major change so that those employees with higher output were suitably rewarded. Overcoming barriers We cannot solve our problems by spending; we cannot solve our problems by cutting back. The only way to meet our challenges is to change how we go about things†¦Ã¢â‚¬â„¢ (quote from the Managing Director of CSP UK). One of the key techniques Corus has used to overcome resistance to change has been to work closely with employees and get them involved as much as possible in the program. From the start it was important for the company to share with employees what might hap pen to the business if it didn’t change. Corus put emphasis on getting everyone to take ownership of the new values by physically signing up to the program.This helped them ‘buy-into’ the new ways of working. Workers are now more involved in decision making and their contributions and experience are recognized. Through a range of direct and indirect communications, for example, weekly newsletters and workshops, Corus ensures that all employees understand what behaviors it expects of them. As part of implementation, Corus needed to highlight how people were behaving (the ‘As Is’). It created a program with ‘shock tactics’ to show managers and employees the condition of the plant, to identify weaknesses and encourage employees to make changes.For example, 150 senior managers were invited to the Millennium Stadium in Cardiff. This impressive venue raised expectations. However, they were served cold tea and given a presentation on a ripped p rojector screen. The fact that attendees did not comment on this demonstrated that people did not see they had a ‘right to challenge’. It also highlighted that employees had become accustomed to working with limited resources and were willing to accept low standards. This would be an important aspect to work on during the culture change.Managers were also shown videos of poor working conditions and interviews with local schoolchildren in which they said they would not work at the plant because of their perception of a poor outlook and a poor working environment. Around 150 workshops were held to spread the messages. Fortnightly newspapers clarified these values and repeated the key messages through articles on various activities, such as employees taking part in the redesigning of a control room to improve layout and safety. Billboards, intranet, video programs and most of all, direct one-to-one conversations all reinforced the messages.The Journey also raised important questions about how the company managed key issues, such as alcohol or drug misuse. The new values Due to the high standards of safety associated with Corus processes, all working sites are alcohol-free. Understandably, before the change program, anyone offending in this way was likely to face disciplinary action and this is still the case in most working environments. The new CSP UK values focus on helping employees who are willing to accept assistance to improve their performance, rather than taking disciplinary action against them for poor behaviour.This approach, with support and guidance from the company and counseling services, has resulted in over 50 employees that previously would have lost their jobs being retained in work. Measuring the outcomes of change The Journey change program at Corus Strip Products contributes to sustainability for the business. By facing up to its internal weaknesses, Corus Strip Products has improved efficiency, increased output, lowered costs an d reduced waste in an increasingly competitive steel market.This has enabled the business not just to survive but also to grow – even during the economic recession of 2008 and 2009. Thanks to the Journey program, CSP UK expects to reduce costs for the 2009/10 financial year by around ?250 million. To make sure that actions delivered results, Corus established clear targets and standards. Milestones (intermediate steps) were set so everyone would know how far CSP UK had gone to achieving the targets. This made it easier to review and measure progress and achievements or to set new deadlines.There have been a huge number of ‘quick wins’ which add up to a great gain overall. Key performance indicators have shown significant progress and include: †¢ production capacity has increased by 4. 5% to a run rate of 5 million tones †¢ the plant is on track to achieve a 20% reduction in the cost of producing steel †¢ 5,000 employees have signed up to the values and beliefs of the business †¢ a reduction in absenteeism †¢ measurable improvements in levels of quality and service for customers †¢ tighter targets for Health and Safety – new safety teams contribute towards accident-free production carbon dioxide emissions have reduced by 10%. CSP UK now exceeds government standards †¢ measurable improvements in the company’s impact on the local community. Individuals, teams and departments all support the improvement culture and are more engaged and committed to achieving company values and targets. This culture shift is of critical value as it will enable further improvement. For example, Corus has implemented top-level security with controlled access for the 5000+ vehicles which enter the Corus site each day.This provides a new enhanced ‘entry experience’ for employees, contractors and suppliers and demonstrates that Corus Strip Products is now seen as an organization that is proud of itself. Co nclusion All organisations need to manage change. If they fail to do so they may be left behind by the competition. Change management at Corus Strip Products UK involved bringing the issues out into the open, confronting barriers to change, winning the commitment and support of all employees and delivering an effective plan for change.The Journey has helped CSP UK to ‘weather the storm’. The company is now exploiting the benefits the program has given. The results of the change management program show that Corus Strip Products is a company that is sustainable and can continue to make profits in spite of the recession. Demonstrating ongoing improvement has the additional benefit of winning government grants to support the important economic sector of steel production. Overcoming Barriers to Change The research aims to identify barriers that exist in education on the way to changing students’ learning environments in a positive way. The literature review has revealed that current practices often demonstrate new opportunities willingly embraced by teachers.However, in many cases, teachers are not as susceptible to practices that threaten to have negative effect on their customary routines, in particular exemplified by collaborative teaching. Using teacher survey, the study will determine to what degree such reluctance can stand in the way of the teaching innovation.IntroductionTeaching collaboration is an idea that has gained prominence in contemporary educational establishments. Although at first a really unusual practice, collaboration in teaching has been shown to deliver great benefits.For educators themselves, â€Å"collegiality breaks the isolation of the classroom and brings career rewards and daily satisfactions† (Inger, 1993). It also helps beginners and e xperienced professional learn from each other for improved results and relieves young teachers of the trial-and-error process they are usually immersed in. bringing teachers closer together in a coherent effort, collaborative teaching helps foster cooperation and friendliness between teachers. Collaboration can also go beyond the level of a single school, helping extend new methods to other areas.At the same time, collaboration is not always compatible with school culture and practices and character of an individual teacher; hence come barriers to collaborative teaching. A teacher can be resistant to collaboration in general, being averse to any form of joint efforts in the same classroom. On the other hand, the teacher’s attitude can embrace collaboration between vocational and academic teachers or those coming from other schools. Therefore, the research problem is as follows:What obstacles do teachers most often face on the path of innovation in their school curriculum that involves collaborative teaching?The study will be focused on teacher perceptions and aim to find material so as to substantiate improvements in collaborative practices.Literature ReviewCollaboration can occur at any stage of the educational process. Teaching can engage in joint preparation of materials for the classroom sessions or engage in team teaching, or â€Å"organizational and instructional arrangement in which two or more teachers work in the same classroom† (Price et al, 2000-2001). Thus, in special education teachers can use a variety of models including the resource room, itinerant, and consultation models (Price et al, 2000-2001).In the process of realizing collaboration models, teachers face barriers that have been categorized by Welch and Sheridan (1995) into four main groups: conceptual barriers, pragmatic barriers, attitudinal barriers, and professional barriers. Conceptual barriers are caused by differences in the definition of roles by different educators, their difference in the processing of material, approaches etc.When teachers face challenges in working out the exact schedule or joining resources for joint effort, this is described as a pragmatic barrier. Attitudinal barriers are the result of fear to try a new approach. Professional barriers arise when teachers cannot cooperate on effective methods of problem solving, lacking adequate skills of working together as a team.Teachers can benefit from the administration’s effort to introduce additional measures so as to reduce the possibility of conflict among teachers.For this purpose, it is necessary to introduce concrete rules and procedures that will define the boundaries between their roles and help them establish working relationships. In case of team teaching, â€Å"the problem is getting a balance between enough specificity in prescribing roles so that a bureaucratic rule book is not created† (Price et al, 2000-2001). Most researchers believe that conflict is un avoidable, and therefore strategies for coping with it should be worked out by the administration in advance.A lot depends on the organizational culture as school culture can either stimulate or defy the efforts of teachers to work together. Peterson (2002) identifies two types of culture: cooperative and toxic. Within toxic cultures, individuals are striving to work together for common goals. As a result, teachers can reach effective collaboration more easily than in other organizations. In toxic cultures, on the contrary, individual effort is frustrated because of the lack of common framework.In addition, organizational resources can also be a barrier to innovation that should be represented in teaching communities. Many schools lack adequate programs that can accommodate the participation of two or more teachers. There are even fewer resources available for attracting outside professionals that can participate in collaborative projects. This can serve as a motivator for teachers to desire the continuation of the routines currently present in education.Cooperation between academic and vocational teachers can be prevented by the organizational design of the academic environment in which â€Å"the social and organizational isolation of most vocational teachers is exacerbated by the physical separation and programmatic fragmentation in secondary schools† (Inger, 1993).The difference in their social status further contributes to the rising walls between these two groups of professionals. Since academic teachers generally have a higher status, they tend to marginalize their vocational colleagues, a situation that discourages cooperation.

Allied Bartonfinal

Allied Barton security services provides highly trained individuals to accomplish important goals, one is to prevent accidents before they happen, and to provide a fast, professional response when necessary. Allied Barton provides top-notch security officers for a variety of purposes, including chemical and petrochemical, colleges and universities, financial institutions, healthcare facilities, manufacturing and industrial complexes, residential communities, shopping centers, and commercial real estate.Recently, Allied Barton has had many problems within the company, with things such as employee’s calling off, low motivation among staff, and other serious problems that could affect potential clientele in the future (Encyclopedia Britannica, 2008). I decided to take the privilege of changing the company around so it can deliver that which it stands for, quality service, at a great price. I am writing this paper, in order to outline an effective strategy in combating social prob lems within the company.When dealing with the internal problems of Allied Barton security company, I feel it is imperative that all employees are treated with a certain amount of respect, and disciplinary actions are taken against those employees who do not recognize and abide by the standards of performance set forth by the Company. I've worked for Allied Barton as a supervisor since 2004, after viewing these dilemmas; I want to develop a strategic management plan in order to increase performance and productivity and to increase employee performance.In order to increase performance and productivity, better training programs, and better compensation must be implemented. I personally believe that in order to motivate employees, adequate compensation must be provided to those employees that perform well in the company. In order to develop an effective strategic management plan, two primary problems have to be taken care of, one, employee loyalty must be improved in order to decrease t he number of employees that call off, and two, implementing motivational training programs with Cash prize’s or other incentives in order to motivate them to put forth 110%.In order to effectively manage my team, I might have to let some employees go, and hire more in. It is imperative, as a security guard, which you shows up to work on time and does not call off often. Allied Barton offers security services for a variety of businesses, if a security guard is not on call and does not show up, it not only makes the company look bad in front of the business they're supposed to be securing, but also forces the morning shift security guard to work a double. If I have employees working double time, too much over time will become an issue, which will affect my overall labor target.Is the main point of this paper is to develop an effective plan in order to combat these problems that our company is faced with. I firmly believe that you must start from the ground up, if you want to ac complish anything in a corporate structure. In my management plan, I will call for; a new crew, a better compensation plan, and proper motivational training. If I am to hire on new employees, they must be trained properly from the beginning, and learn the rules and guidelines set forth by the company.Once I have organized a plan for the internal problems of Allied Barton, I've been would like to develop a strategy in order to expand our company, by taking on new clients. I must ensure Allied Barton develops a plan to gain more clients, the company must have a reliable, stable crew, who will not call off, and show up to work on time. I feel that if the proper management plan is implemented, Allied Barton can expand; my employees can receive better compensation, and I will have accomplished my goal, which is the restructuring of the company from within. BackgroundAllied Barton has been providing security services since the year 1957, to a wide range of industry, including; commercial real estate, higher education, shopping centers, manufacturing and industrial complexes, financial institutions, and residential communities. Today, Allied Barton has over 50 years of experience in a security contractor industry. Allied Barton has over 50,000 employees and a hundred offices nationwide, which service more than 200 Fortune 500 companies across the country. Allied Barton was founded in Pittsburgh, Pennsylvania and went on to found further institutions in Atlanta, Georgia in 1977.In the year 1988 a company by the name of Spectaguard founded in King of Prussia, Pennsylvania emerged. Spectagaurd proved to be a suitable competition for Allied security, and went on to gain New York-based security in 1999. A major strategic move was made by Allied security in 2000, when Spectagaurd and Allied combined to form one corporation called Allied security, the third-largest security company in the United States. Since the year 2000 Allied security is been expanding its operations th roughout the world, and in 2003 acquired the professional security Bureau.Since the year 2003 Allied security has went on to expand its operations, acquiring Barton protective services in forming Allied Barton security services, creating the world's largest American own contract security services in the United States. Furthermore, in 2006 Allied Barton went on to enhance the quality of our security offerings to clients, and increase revenue, we acquired initial security. With each business that Allied security acquired, our operations expanded. Since I've joined Allied Barton in 2004, I have seen some of these major changes, and hope to make many more.Allied Barton has grown from a small security company in Pittsburgh, Pennsylvania in 1957, to be the largest provider of security services in the United States. I hope that Allied Barton retains this position in the country, and feel they can only do so with the proper staff. What make’s the Allied Barton Company unique, is the individuals that work for it. I think in order to expand Allied Barton's operations, it is imperative that proper training is implemented, and competitive compensation is provided. Having worked for Allied Barton for four years now, I have seen many employees call off, not taking their job seriously.Furthermore, I've also noticed that although training programs are implemented, they could be improved. I firmly believe that if employees are properly trained and paid well, they will perform well. In order to increase compensation, Allied Barton has to increase business. In order for Allied Barton to increase their business, they must acquire new clients, and in order to acquire new clients, Allied Barton must improve their employee’s performance. When Allied Barton acquires new clients, they must also further expand the amount of leaves, or security offers, that they have.I think that when an expansion of employees is made, it is imperative to higher the right employee. I firml y believe that you get what you pay for, if you want to underpay whilst recruiting employees, then you will get what you pay for, an underpaid employee. With our country's current economic situation, contractors are getting sleazier and sleazier because they work for close to nothing. Last year, the Comptroller received 261 complaint of underpayment, compared with 163 complaints in 1990 and 89 complaints in 1989 (Sims, 1992).Furthermore, health care is another major issue, and must be provided for employees. In order for Allied Barton to expand its services, it must be willing to pay well, and hire on hard-working individuals, who are loyal, and take their job seriously. Current Strategy Allied Barton's current strategy is to expand and to retain their current position as America's largest leading provider of security services. In order for Allied Barton to obtain this position, as stated earlier, it must have an efficient crew, as well as proper training programs implemented.Allied Barton has always stood for providing quality services, at a low price; something which I wish to continue. Allied Barton understands that if they want to provide quality, consistent security services across an array of industries, they must meet the needs of those industries on both local and national levels. Locally, Allied Barton hopes to provide superior day-to-day operations support, and on a national level, provides more than 100 offices across the country with an extraordinary number of resources devoted to our clients.Allied Barton wishes to provide a single point of contact for our client’s needs and expectations. Furthermore, Allied Barton has a team of experts assembled to help coordinate and support the transition and security management based on our clients needs. Allied Barton provides an environment that makes employees, tenants and guests feel safe and secure including holding employee seminars and distributing safety awareness steps. Allied Barton does every thing possible in order to make a proactive outreach to the community in which it is established in.Our company strives to provide the best training possible, with training programs that best suit our client security needs. We use state-of-the-art technology in order to create and evaluate reports on a multitude of areas within our security program, with real-time response in the case of emergency. Our clients have access to a call center 24 hours a day, which will have the ability to provide security services at whatever time our client needs it. Alternative Scenarios If Allied Barton is to expand, they must take on new clients.In order to acquire new clients, as I stated earlier, I must take measures to hire on reliable, dependable employees. Furthermore, Allied Barton's training program is good, but I think I could make it better. Our training programs should implement security protocols that are suitable for the clients we serve. My goal is to compete with companies such as benc hmark, which is a federal security agency. Many businesses feel that federal security agencies operate much better than private security agencies, primarily because of the employees of those private security agencies.When we look at federal security agencies, we see great training programs, and a huge budget. Since September 11, 2001, President Bush has given literally millions of dollars in funding to federal security agencies, including the Department of Homeland Security (http://www. fas. org). When dealing with private security companies, the funding that is given to federal security agencies is simply not given to private security companies. I think in order to expand our operations; we must be able to provide security services that are equal to those provided by federal agencies.The only way to provide private security services at an affordable price, that matches the competition of federal security services, effective training programs must be implemented. Also, I think it wo uld be effective to find outside sponsors. When changing the training programs, a believe that Allied Barton provides good training services, but I think the program should be extended, and those candidates that do qualify should pass a series of scored test not only to determine their IQ level, but also personality and behavior patterns.I think that by accurately testing potential employees, we can get an accurate understanding of how they act and think, and how they would think and act in an emergency situation; such as a robbery. Furthermore, based on age and education level, as well as experience, and appropriate compensation plans should be devised. Compensation plan should vary, lowest being paid to the newer employees, and the highest being paid to the more experienced older employees. I also believe that life, health, and dental insurance should be provided to all employees after a 90 day probationary period.I feel that a 90 day probationary period is necessary, primarily be cause you don't want to provide benefits for employee’s who do not want to stay with the company. I also think that a slip system should be implemented within the company. Green slips should be issued to those employees who perform well, yellow slips issued to employees, whose performance is lagging, or dropped, and orange slips as suspension, or probationary slips, issued a those employees who continually underperformed. If an employee is issued a green slip, I feel they should be rewarded.In developing the system, any employee who receives five Green slips or more within a two month period will receive a raise of $. 25 or higher. Furthermore, anybody who's issued 5 or more yellow slips in a one month time frame will be issued a two-week suspension. Lastly, any employee that is issued and orange slip, will face one month suspension, and upon return to the company 90 day probationary period in which the employee's performance will be evaluated, and if the employee decides to still continue to under perform, we will terminate them.Allied Barton has a reputation of one of the nation's largest security companies, and with the proper training and staff, it can retain that reputation for many years to come. I think some risk that Allied Barton will face, that it should avoid, is a recent expansion of federal agencies. Privatize security is a necessity amongst various industries Alternative strategies Alternative strategies that can be implemented to change the current posture and processes within the company should start with the proper testing of our newly recruited security officers.I think that personality and IQ tests are important when determining which employees to select. If an employee is required to hold a gun while on the job, we must make sure that only the most qualified individuals are given an opportunity. Furthermore, I do not want to provide great benefits, and awesome compensation, to employees that do not wish to stay with our company. I be lieve that a three-tier structure should be set in place in order to prevent this from happening. During the first year, the employees will start on tier 1 of the program.Tear one of the program is for beginner employees, and security officers, and acts as a probationary period during which time their performances are reviewed by their supervisors. After a year, the employee will be introduced to tier 2 of our program, during which time a better compensation plan, and benefits packages is arranged; as well as flexibility in scheduling is obtained. Employees in the tier 2 program are those employees who have been with the company for one year or longer, and who have performed adequately or exceedingly to the rules and regulations of Allied Barton.During tier 2, and will be monitored as in tier 1, if the employees have met the criteria necessary, and have performed exceedingly well in the company; they will be granted the opportunity of joining the third tier. The third tier will cons ist of employees who stayed with Allied Barton for three years or longer, and will contain a better compensation package, as well a 401(k), and opportunities to obtain half price shares in our companies stock. Furthermore, I think that it is necessary to provide some kind of pension plan for those employees who have stayed with the company for 25 years or longer in which to retire.We here at Allied Burton want the best employees, and want to keep those employees for the longest time possible. In order for Allied Barton to expand operations, it must contain loyal, trustworthy employees who are willing to give 110% when required. I think that by implementing better compensation plans and benefits packages we will attract more employees, as well as provide the incentive for those employees to always perform their best. Furthermore, by providing a pension plan after 25 years of loyal service to her company, it encourages employees to stay with our company.Allied Barton should expect not hing less than top-notch professionals for their security projects. In order to obtain more clients, we must impress those clients by providing exceptional service, at a great price. In order to provide these compensation plans, and benefit packages, I realize that our clientele must increase. In order to meet the changing environment of the security market, and the challenges of new competition that we face; we must incorporate strategies that lower prices, and provide quality services. As stated earlier, I feel that in order to lower prices, we must first have reliable and dependable employees.With reliable and dependable employees, we then can begin to expand our marketing operations. By motivating the employees, with better compensation plans, and great benefit packages; our team will always be happy, upbeat, and willing to work overtime is required. Furthermore, we must begin to directly market to other businesses, in order to obtain more clientele. I feel that by making these changes, we can accurately meet the demands of the ever-changing security market. Allied Barton is one of the nation's largest independent security providers, and I plan to keep it that way.By introducing better compensation plans and implementing business-to-business marketing plans are key factors in building clientele. Executive summary In summary, I feel that there are many things that must be implemented in order for Allied Barton to retain its current position as the nation's largest independent provider of security related services. Key factors in implementing the appropriate plan for Allied Barton, better compensation plans, business-to-business marketing, and entrance exams based on personality and behavior, and IQ tests must be implemented.By providing better compensation plans, we will attract more employees. By providing personality and behavior exams, as well as IQ exams, we can get a good understanding during the application process of what type of employee the applica nt would be if he or she was to become a security officer with our company. Furthermore, business-to-business marketing must be implemented in order to obtain a larger clientele base. Business-to-business marketing should be done in-house, with a handful of representatives, who are experienced in outbound business-to-business marketing.During the first three months of our business-to-business marketing program, if any telecommunications agent hired and underperforms or do not meet the quota of sales required, they will be replaced by somebody with the proper expertise. By implementing these strategies’s Allied Burton can achieve its vision and goals of maintaining there status as the leading provider of security services in the nation. I feel that business-to-business marketing will prove effective in obtaining additional clientele.As stated earlier, business-to-business marketing should only be done by those who have had experience in outbound business-to-business marketing for two years or longer. I understand that by creating this business marketing to marketing department, I will be adding new employees to the payroll and affecting my labor costs, if I hire 12 agents and each one is able to close three sales a day, Allied Barton will effectively be generating 36 new clients on a daily basis, this should compensate for any labor costs.If Allied Barton can effectively generate 36 new clients on a daily basis, that means that Allied Barton would effectively be generating 1080 new clients a month, or 12,960 clients a year. If Allied Burton is able to obtain 12,960 clients a year, Allied Burton will be able to expand its operations, maybe even to an international level. SWOT As stated in the beginning, weaknesses within Allied Burton include lack of motivation amongst employees, lack of up-to-date promotions, and also employees calling off too often.I feel that we can take these weaknesses, learn from them, and create opportunities to attract more employ ees. If better training programs are implemented, and business-to-business marketing is achieved, Allied Burton will effectively generate new clientele on a daily basis, whilst at the same time, effectively training and employing only the best most qualified individuals for the job. If Allied Burton can meet these requirements, I strongly believe that we can become one of the largest independent providers of security officers around the nation, and can expand operations to an international level.I strongly believe in the values, and vision of Allied Burton, and hope to implement programs that benefit Allied Burton as well as the employees within the company. By creating a win-win situation for everybody, the company will grow, employees will be properly compensated, calling off will be a thing of the past, and up-to-date promotions will be happening on a semi annual or annual basis. Despite Allied Barton's current weaknesses, it has been a strong company for over 50 years, and will only continue to grow with the right management strategy implemented.

A Corporate Governance Report of William Hill - Free Essay Example

Sample details Pages: 8 Words: 2488 Downloads: 5 Date added: 2017/06/26 Category Business Essay Level High school Did you like this example? INTRODUCTION Corporate governance typically describes the way corporate power is exercised within business organisations. Good corporate governance practices are typically defined in terms of practices, processes, and sound economic performance (Turnbull 2010). The present report examines the implementation of sound corporate governance management practices in William Hill, a U.K. Don’t waste time! Our writers will create an original "A Corporate Governance Report of William Hill" essay for you Create order sports betting company. Particular attention will be paid to the practices and processes prescribed by the Corporate Governance Code (2014), the leading template for good corporate governance practices in the U.K. The goal of this report is to enlighten Institutional Investors as to a potential investment in the company. BRIEF COMPANY BACKGROUND William Hill is a global sports betting and gaming company, and one of the most trusted brands in the sports gaming industry. According to the companys latest available key financial statistics, total revenue ascends to  £1.61 billion, gross profit is  £1.32 billion, while EBITDA is  £385 million (Yahoo Finance 2015a). The companys EBITDA is revealing as to the companys financial soundness. The above-mentioned sound financial statistics are clearly reflected in Figure 1 (Yahoo Finance 2015b), which depicts the 5-year stock price trajectory of William Hill. The companys share price has almost tripled in value since January 2011. Notwithstanding, it should be pointed out that, for the sub-period between 2011 and 2013, the stock price soared; whereas, for the period 2013-2015, the stock price is relatively stable, which might point to the existence of impending regulatory shifts conditioning a potential demand weakness for its gaming products (e.g., the company is currently b eing affected by a significant decrease in profits accruing from gaming machines, in view of tougher gaming regulation (The Economist 2014)). Figure 1: Stock Market Price of William Hill (5-year chart) Source: Yahoo Finance; 5-year stock market prices (closing prices  £) WILLIAM HILL: A CORPORATE GOVERNANCE ANALYSIS The present section focuses on the following main five (5) topics of analysis that are relevant to the William Hill, where a more thorough examination of its corporate governance structure and practices are concerned. The first topic addresses the composition of the companys Board of Directors (Leadership); the second topic refers to the companys governance structures and Boardroom Practices (Effectiveness); the third focuses the reporting to shareholders and/or external audit procedures (Accountability); the fourth topic refers to the pay level of the companys Directors and Senior Executives (Remuneration); finally, communications and relations with shareholders are also examined (Relations with shareholders). These topics are quite crucial to our assessment pertaining to the implementation of effective and sound governance procedures and mechanisms at William Hill. Leadership The Board of Directors William Hills Board of Directors is composed of nine Board members (7 men and 2 women). The current Chief Executive Officer (CEO) is Mr. James Henderson, who heads the Groups overall strategic direction, the day-to-day management and profitability of the Groups operations(Hill 2015a). Mr. Henderson possesses extensive industry experience, having climbed the companys corporate ladder through his appointment through several company roles. Moreover, the companys CEO is seconded by the Mr. Neil Cooper, the Groups Finance Director. Mr. Cooper possesses extensive finance experience, having performed various roles outside the Group. The Board is also composed by the Chairman, Mr. Gareth Davis, who is responsible for the companys best corporate governance practices. Finally, the Board is also composed of a set of five independent non-executive Directors and a Company Secretary. The company had, in 2013, a number of female Board members compliant with best practices associated with fair gen der treatment at the Board level (The Guardian, 2013). However, in the current year, the number of female members seems to have fallen below best industry practices (Tonello 2010), but care should be taken to further increase the percentage of women on Board beyond the prescribed legislation (according to U.K.s Governance Code, that minimum percentage should equal 25% of women on Board). This might be a temporary setback, but it currently stands as a non-compliance issue (Financial Reporting Council 2014). The above-mentioned corporate governance structure is compliant with the best practices currently being promoted in the UK, in strict accordance with the UK Corporate Governance Code of 2014 (Financial Reporting Council 2014). The Boards composition seems to ensure that compliance with the Code is adequately assured. For example, there is a clear division of corporate responsibilities within William Hill, with no function overlap nor unfettered powers of decision held by any sp ecific Board member. Moreover, the percentage of outside Directors ensures proper oversight. Effectiveness Governance and Boardroom Practice According to Tricker (2012), there are a number of factors that decisively influence the effectiveness of a companys governance, the most relevant of which are related to the necessary skillset of the top management team, as well as functional flow of both internal and external communications with stakeholders. On both counts, William Hill possesses the necessary requisites in order to comply with the outlined good practices of governance. As previously described, the companys composition is quite diversified and experienced so as to effectively pursue the companys ambitious goals (the previous section describes in more detail the profiles pertaining to the main Board members); at the same time, the inclusion of non-executive Board members vis ÃÆ'  -vis the executive members clearly points out to a proper balance of powers within the sports betting group. That is, good governance practice dictates that inside (i.e., executive) vs. outside (i.e., non-executive) members co-exis t, so that the latter typically do not possess a previous link to the company which might jeopardise their autonomous and independent business judgement. On the other hand, the flow of information to outside investors seems to be quite proficient, most notably where the structure of communications through the Internet and social media is concerned. For example, the companys website provides accurate and in-depth details pertaining to the companys governance structure, balanced Board composition, the companys articles of association and the companys latest available annual accounts (for 2014), and the professional details of the companys auditor and corresponding Annual Report and Accounts. Online transparency seems to be a major company policy, which thus sustains the argument in favor of an effective and balanced governance practice (Hill, 2015b). It is hoped that this strategy of good corporate governance might also be applicable to the case of institutional investors, who t ypically require a greater insight into the companys operations and accounts, information which is normally not available online. This topic might be of importance in the subsequent investment decision making process of institutional investors, insofar as this class of investors typically undertakes a significant proportion of equity into the company and require detailed company information. A major caveat associated with this report concerns the fact that such a subsequent investment position assumed by the institutional investor might be less positively construed by the companys current management (i.e., it might be seen as a potential takeover of William Hill). Finally, a formal and rigorous annual evaluation of the companys top management team is also regularly conducted. The Report on Corporate Governance reveals that good corporate governance is linked to the performance of William Hill. The measures ensuring good corporate governance at the company, in compliance with the U.K. Governance Code, are the following: the induction of Board members through a bespoke program; Board members have full access to all the required information about the company; the Board members are subjected to re-election at least every three years (conditional on effective performance); and the Nomination Committee ensures the nomination for the Board constitutes a transparent process (Hill 2015c). Accountability Reporting to Shareholders /External Audit The Financial Reporting Council prescribes that a truly effective corporate governance structure relies on a number of components, namely: accountability to shareholders and their rights; the full availability of information pertaining to the companys performance and corresponding governance framework; finally, an ethical framework supporting a certain type of irreproachable behavior pattern by the companies, as evinced by either codes of conduct or statutes. In this respect, a distinction is maintained between the law as a stalwart of basic standards of conduct and corporate transparency and statutes or codes that are more efficient in encouraging best governance practice (Financial Reporting Council 2011). Accordingly, William Hills website provides accurate and timely information to existing and prospective shareholders. This information is quite detailed in the Investors area of the companys website, a fact that reveals the companys concern with upholding best governance pra ctices. On the other hand, full details pertaining to the companys auditor has also been properly disclosed, as well as the companys latest accounts (Hill 2015c). Remuneration Directors and Senior Executives The companys levels of remuneration to top executives should be sufficiently attractive to attract, retain and motivate Board members with the necessary quality to manage the company successfully. Simultaneously, the pay level should not be substantially above current market prices. A further point concerns the fact that the latter pay level should be adequately linked to both corporate and individual performance (Tricker 2012). Furthermore, pay levels should be subjected to a transparent and formal procedure, so that the executives involved are not directly responsible for deciding his or her remuneration. According to publicly available information on this topic, the remuneration level of the leading Board members is available through the Directors Remuneration Report, which has been included in the companys annual accounts for the latest year. A detailed breakdown of the accrued remuneration benefits is explicitly detailed in the report. This practice of publicly divulging remuneration levels of William Hills top management is quite compliant with U.K.s best governance practices. Moreover, the remuneration decision process, although somewhat complex, is fully transparent as the existence of mechanisms that ensure that the pay level is not determined by the interested party, and is effectively linked to individual performance (Hill 2015c). A potential area of non-compliance resides in the fact that the Remuneration Report does not fully disclose the remuneration levels for all the Board members, as well as in the fact that the disclosure of remuneration information pertaining to its CEO, although explained, is not entirely formulated in a simple and effective manner. Relations with Shareholders Effective governance practices dictate that relations with shareholders should be adequately based on the mutual understanding between the companys top management and the heterogeneous set of interests pertaining to existing shareholders. Moreover, a transparent process of communications between these two structures should also be implemented, properly taking into account the pursuit of the companys organisational goals (Tricker 2012). According to publicly available information, The Board remains strongly committed to maintaining good relationships with external investors, through constant dialogue, presentation of financial results, and adequate availability of top management to discuss governance issues, thus indicating efficient governance procedures (Hill, 2015d). RECOMMENDATION Global demand for gaming products is typically growing, as the popularity of both gambling and online entertainment continues its expansion at a truly global level. This global expansion should stand to benefit William Hill, and its long-term growth expansion. There are, however, two caveats (KPMG 2010) that warrant an investors attention. First, the online gaming market is undoubtedly a very attractive area of expansion for software developers, casinos and other land-based gambling operators, related suppliers, and industry newcomers and investors alike. This might increase a given companys operating costs, dragging down future growth, as competitive pressures increase in the industry. Second, there are several quite unpredictable political and legislative hurdles in place in many countries, and those obstacles might also condition future global growth. Nevertheless, online gaming seems to have a promising foothold in many European markets. Under this perspective, an investm ent in William Hill is also an investment into the future of online gambling, and the risk-return payoff might be quite interesting from a financial point of view. The online gaming industry thus possesses enormous growth potential, especially in advanced markets such the U.S. and the U.K. Notwithstanding, an impending ethical governance issue within the company might be linked to the allegations that the company might be exploiting addicted gamblers, by further enticing them through the advertisement of credit services to problematic gamblers (news.co.au 2015). This might pose a serious legal risk that might ultimately result in the dampening of growth and should be vehemently addressed through the implementation of adequate governance procedures. The present report sustains that an institutional investment in William Hill is thus justified by the companys sound and promising financial standing, the existence of proper mechanism that ensure that effective and robust corporate governance procedures and mechanisms have been properly implemented, and, ultimately, by the very buoyancy of the sport gaming industry in advanced economies. CONCLUSION In view of the analysis provided by this report, it is our assessment that William Hill is quite compliant with the UK Corporate Governance Code of 2014 (notwithstanding the fact that some issues pertaining to the process of effectively communicating remuneration levels to interested external stakeholders should be made more transparent and the number of female members to the Board should be increased). Finally, an investment decision by our institutional investors should be pursued, taking into consideration the companys financial soundness and its medium to long term growth prospects, notwithstanding the existence of impending regulatory issues that might condition the global growth of the sports betting industry. REFERENCES Hill, W., 2015a. Board of Directors [Online]. Available: https://www.williamhillplc.com/about/board-of-directors/ Hill, W., 2015b. Board and Governance. [Online]. Available: https://www.williamhillplc.com/investors/board-and-governance/ Hill, W., 2015c. William Hill Plc Annual Reports and Accounts 2014. [Online]. Available: https://files.williamhillplc.com/media/1832/2014-final-results-accounts.pdf Hill, W., 2015d. Shareholder engagement. [Online]. Available: https://www.williamhillplc.com/investors/board-and-governance/shareholder-engagement/ Financial Reporting Council, 2011. Effective Corporate Governance. [Online]. Available: https://www.frc.org.uk/FRC-Documents/FRC/FRC-Effective-Corporate-Governance.aspx Financial Reporting Council, 2014. The UK Corporate Governance Code. [Online] Available: https://www.frc.org.uk/Our-Work/Publications/Corporate-Governance/UK-Corporate-Governance-Code-2014.pdf KPMG, 2010. Online Gaming: A Gamble or a Sure Bet? [Online] Available: https://www.kpmg.com/EU/en/Documents/Online-Gaming.pdf News.co.au, 2015. William Hill offers customers $1000 credit. [Online]. Available: https://www.news.com.au/finance/money/william-hill-offers-customers-1000-credit/story-e6frfmci-1227286743077 The Guardian, 2013. FTSE 100 companies still 66 female directors short of boardroom target. [Online]. Available: https://www.theguardian.com/business/2013/oct/07/female-directors-boardroom-target-business-cable The Economist, 2015. A risky business. [Online]. 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