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MODULE 5- Organizational Structure and Processes

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MODULE 5- Organizational Structure and Processes

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Benefits of Employee Empowerment

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You know that being a leader in your business requires helping employees to do their jobs without constant micromanagement from you. When employees can work independently, your time is freed up to do other necessary business tasks. Doing the job independently and being empowered are similar but slightly different. When you empower employees, you give them the ability to make certain decisions, rather than only following the standard procedures when working independently. Empowerment has huge benefits for the employee, your team and the company bottom line.

Tip

Empowering your employees instead of micromanaging them improves accountability and customer service, improves job satisfaction and helps you to solve problems faster than before.

When you empower an employee to make decisions and to get things done with reasonable judgment, you are telling him that you trust him, and that you feel he is intelligent and can handle things. There are benefits of staff empowerment. An employee becomes more accountable, knowing that the boss has confidence in his ability to perform. That confidence means he will get the job done and that he will do the job to the best of his ability.

Nothing is more frustrating when dealing with business issues than to constantly have to refer to another person on the chain of command. If a person is given the resources and authority to get the job done without running around for 10 authorizations, things get done faster, according to Account Learning.

For example, if you are out of the office at a lunch meeting and the phones go down, having an employee who is authorized to work with the phone technicians to resolve the problem could have the problem solved before you return from lunch. If this employee had not been empowered to do this, the entire office would have remained down until you returned (either early from lunch or after).

Think about how many times that car salesperson has to go to the manager to get approval for the next line item negotiated. This is time-consuming and customers don't like it. People like dealing with the person who can get the job done for them. Job empowerment to make certain deals, give certain discounts at their discretion or provide other customer service solutions builds a happier customer base.

Empowered employees often have higher job satisfaction because they know that the boss values and trusts them, according to the Saylor Foundation. Imagine an employee who helped an unhappy customer get the resolution that the customer had desired, and then even sold them a second product by thinking outside of the normal company protocol. This employee will feel great about the accomplishment. Many times, situations like this build employee confidence, helping to mold junior talent into senior management over time.

Empowered employees are allowed to question things and look at every aspect of the job from their perspective. If there isn't employee empowerment, she simply punches in, forces the round peg in the square hole all day until it's time to punch out. She never questions the process.

An empowered employee sees a better way, makes the adjustments to change the pegs and makes the entire system better. Empowered employees know that managers respect new ideas that make things better.

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What Are the Benefits of Employee Empowerment?

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Empowering your employees instead of micromanaging them improves accountability and customer service, boots job satisfaction and helps you to solve problems faster than before.

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MODULE 5-Organizational Structure and Processes

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MODULE 5-Organizational Structure and Processes

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Edgar Schein’s four common elements of an organizational culture model

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THIS VIDEO GIVES AN EXAMPLE OF BOTH PESTEL AND SWOT ANALYSIS TOOLS WITH STARBUCK CORPORATION

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PEST and SWOT Analysis Starbucks Example

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MODULE 8- Controlling Performance and Operations

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MODULE 8- Controlling Performance and Operations

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This article has links on how to implement TQM and Six Sigma

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The Four Phases of the PDCA Cycle

With the PDCA cycle you can solve problems and implement solutions in a rigorous, methodical way. Let's look at each of the four stages in turn:

1. Plan

First, identify and understand your problem or opportunity. Perhaps the standard of a finished product isn't high enough, or an aspect of your marketing process should be getting better results.

Explore the information available in full. Generate and screen ideas, and develop a robust implementation plan.

Be sure to state your success criteria and make them as measurable as possible. You'll return to them later in the Check stage.

2. Do

Once you've identified a potential solution, test it safely with a small-scale pilot project. This will show whether your proposed changes achieve the desired outcome - with minimal disruption to the rest of your operation if they don't. For example, you could organize a trial within a department, in a limited geographical area, or with a particular demographic.

As you run the pilot project, gather data to show whether the change has worked or not. You'll use this in the next stage.

3. Check

Next, analyze your pilot project's results against the criteria that you defined in Step 1, to assess whether your idea was a success.

If it wasn't, return to Step 1. If it was, advance to Step 4.

You may decide to try out more changes, and repeat the Do and Check phases. But if your original plan definitely isn't working, you'll need to return to Step 1.

4. Act

This is where you implement your solution. But remember that PDCA/PDSA is a loop, not a process with a beginning and end. Your improved process or product becomes the new baseline, but you continue to look for ways to make it even better.

The four stages of the cycle are illustrated in Figure 1, below:

PDCA Model courtesy of The W. Edwards Deming Institute®.

When to Use PDCA

The PDCA/PDSA framework works well in all types of organizations. It can be used to improve any process or product, by breaking them down into smaller steps or development stages, and exploring ways to improve each one.

It's particularly helpful for implementing Total Quality Management or Six Sigma initiatives, and for improving business processes generally.

However, going through the PDCA/PDSA cycle can be much slower than a straightforward, "gung ho" implementation. So, it might not be the appropriate approach for dealing with an urgent problem.

It also requires significant buy-in from team members, and offers fewer opportunities for radical innovation - which may be what your organization needs instead.

How to Use PDCA to Improve Personal Performance

While PDCA/PDSA is an effective business tool, you can also use it to improve your own performance:

First, Plan: Identify what's holding you back personally, and how you want to progress. Look at the root causes of any issues, and set goals to overcome these obstacles.

Next, Do: When you've decided on your course of action, safely test different ways of getting the results that you want.

Then, Check: Review your progress regularly, adjust your behavior accordingly, and consider the consequences of your actions.

Finally, Act: Implement what's working, continually refine what isn't, and carry on the cycle of continuous improvement.

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PDCA (Plan Do Check Act) - Continually Improving, in a Methodical Way

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PDCA stands for Plan-Do-Check-Act - a four-stage problem-solving model that enables organizations to continually improve processes, products or services.

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MODULE 8- Controlling Performance and Operations

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MODULE 8- Controlling Performance and Operations

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TQM and the seven basic components

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this article gave a psychological approach along with video examples.

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What is INTRINSIC MOTIVATION? What does INTRINSIC MOTIVATION mean? INTRINSIC MOTIVATION meaning

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Leadership styles

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Extinsic vs intrinsic motivation

This article gave a psychological approach along with video examples.

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Why do we do the things we do? What drives our behavior? Psychologists have proposed different ways of thinking about motivation, including looking at whether motivation arises from outside (extrinsic) or inside (intrinsic) an individual.

Mental Health in the Workplace Webinar
On May 19, 2022, Verywell Mind hosted a virtual Mental Health in the Workplace webinar, hosted by Amy Morin, LCSW. If you missed it, check out this recap to learn ways to foster supportive work environments and helpful strategies to improve your well-being on the job.
Researchers have found that each type has a different effect on a person's behavior and pursuit of goals. To better understand the influence of intrinsic and extrinsic motivation on human behavior, it will help to learn how each type works.

What Is Extrinsic Motivation?

Extrinsic motivation is when we are motivated to perform a behavior or engage in an activity because we want to earn a reward or avoid punishment.﻿﻿ You will engage in behavior not because you enjoy it or because you find it satisfying, but because you expect to get something in return or avoid something unpleasant.

What Is Intrinsic Motivation?

Intrinsic motivation is when you engage in a behavior because you find it rewarding. You are performing an activity for its own sake rather than from the desire for some external reward. The behavior itself is its own reward.﻿﻿

Extrinsic Motivation

Participating in a sport to win awards

Cleaning your room to avoid being reprimanded by your parents

Competing in a contest to win a scholarship

Studying because you want to get a good grade

Intrinsic Motivation

Participating in a sport because you find the activity enjoyable

Cleaning your room because you like tidying up

Solving a word puzzle because you find the challenge fun and exciting

Studying a subject you find fascinating

Press Play for Advice On Staying Motivated

Hosted by therapist Amy Morin, LCSW, this episode of The Verywell Mind Podcast shares how to stay motivated and focused even when you don't want to. Click below to listen now.

Follow Now: Apple Podcasts / Spotify / Google Podcasts

Extrinsic vs. Intrinsic Motivation: Which Is Best?

Extrinsic motivation arises from outside of the individual while intrinsic motivation comes from within. Research has shown that each type has a different effect on human behavior.﻿﻿

Studies have demonstrated that offering excessive external rewards for an already internally rewarding behavior can reduce intrinsic motivation-a phenomenon known as the overjustification effect.

For example, in a 2008 study, children who were rewarded for playing with a toy they had already expressed interest in playing with became less interested in the item after being externally rewarded.﻿﻿

This is not to suggest that extrinsic motivation is a bad thing-it can be beneficial in some situations. For example, extrinsic motivation can be particularly helpful when a person needs to complete a task that they find unpleasant.

Additionally, external rewards can:

Be a source of feedback to let people know when their performance has achieved a standard that is deserving of reinforcement

Induce interest and participation in an activity an individual was not initially interested in

Motivate people to acquire new skills or knowledge (once these early skills have been learned, people might become more intrinsically motivated to pursue an activity)

Extrinsic motivators should be avoided in situations where:

An individual already finds the activity intrinsically rewarding

Offering a reward might make a "play" activity seem more like "work"

When to Use External Rewards

Motivate a person to learn something new

Make a person more interested in an activity that they are not interested in

Provide feedback to people to let them know their performance is worthy of recognition

When Not to Use External Rewards

A person is already interested in the topic, task, or activity

Offering a reward would make the activity feel like "work" instead of "play"

When to Use Extrinsic Motivation

Most people assume that intrinsic motivation is best, but it is not always possible in every situation. Sometimes a person simply has no internal desire to engage in an activity. Offering excessive rewards can be problematic as well.

However, when they are used appropriately, extrinsic motivators can be a useful tool. For example, extrinsic motivation can get people to complete a work task or school assignment that they are not interested in.

Researchers have arrived at three primary conclusions regarding extrinsic rewards and their influence on intrinsic motivation:

1. Intrinsic motivation will decrease when external rewards are given for completing a particular task or only doing minimal work.﻿﻿ If parents heap lavish praise on their child every time they complete a simple task, the child will become less intrinsically motivated to perform that task in the future.

2. Praise can increase internal motivation. Researchers have found that offering positive praise and feedback when people do something better than others can improve intrinsic motivation.﻿﻿

3. Unexpected external rewards do not decrease intrinsic motivation.﻿﻿ If you get a good grade on a test because you enjoy learning about a subject and the teacher decides to reward you with a gift card to your favorite pizza place, your underlying motivation for learning about the subject will not be affected. However, rewarding in this situation needs to be done with caution because people will sometimes come to expect rewards.

How Do Intrinsic Motivation and Extrinsic Motivation Influence Learning?

Both extrinsic and intrinsic motivation play a significant role in learning. Experts have argued that education's traditional emphasis on external rewards (such as grades, report cards, and gold stars) undermines any existing intrinsic motivation that students might have.

Others have suggested that extrinsic motivators help students feel more competent in the classroom, which in turn enhances their intrinsic motivation.﻿﻿

"A person's interest often survives when a reward is used neither to bribe nor to control but to signal a job well done, as in a "most improved player" award. If a reward boosts your feeling of competence after doing good work, your enjoyment of the task may increase.

Rewards, rightly administered, can motivate high performance and creativity. And extrinsic rewards (such as scholarships, admissions, and jobs that often follow good grades) are here to stay."

-David G. Meyers, Psychology: Eighth Edition in Modules

A Word From Verywell

Both extrinsic motivation and intrinsic motivation drive human behavior. There are several key differences between motivation that comes from external rewards and the kind that is driven by an individual's genuine interest, including the influence of each type on a person's behavior and the situations in which each type will be most effective.

Understanding how each type of motivation works and when it is likely to be useful can help people perform tasks (even when they do not want to) and improve their learning.

Additional Reading

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Extrinsic vs. Intrinsic Motivation: What's the Difference?

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Extrinsic and intrinsic motivation can impact behavior in different ways. Learn the differences between extrinsic and intrinsic motivation.

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MODULE 6- Managing Human Resources and Communications

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MODULE 6- Managing Human Resources and Communications

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The difference between formal and informal communication

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Formal Vs Informal Communication: Difference between them with examples & types

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MODULE 6- Managing Human Resources and Communications

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MODULE 6- Managing Human Resources and Communications

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The hiring process

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What is the Hiring Process?

In this lesson, we will explore the recruiting process used by human resource managers to review applications, test and interview candidates, perform reference checks and request health checks.

The hiring process is the process of reviewing applications, selecting the right candidates to interview, testing candidates, choosing between candidates to make the hiring decision and performing various pre-employment tests and checks.

During the hiring process, a human resources manager will use the following steps to determine the best possible fit for the job:

1. Review job applications

2. Test candidates

3. Interview selected candidates

4. Choose candidates based on pre-determined selection criteria

5. Perform background and reference checks

6. Send selected candidates for a health check

The Hiring Process in Action

Bark's Dog Bone Company needed to hire another baker. Mr. Pugsley, human resource manager, received over 200 applications. He knew he had to use a process to select the best possible candidate. But what should he do next?

The first step Mr. Pugsley will take is to review the applications. Application review means reading each application that is received to determine whether the candidate possesses the skills, education, experience or other qualifications needed for the job. Pugsley will then separate those candidates into who will be interviewed and who will be retained on file for a period of time.

Testing candidates will be the next step and generally involves testing candidates for job skills or knowledge to determine whether the candidate is qualified for the position. Tests might include personality tests, skills tests and physical tests. Mr. Pugsley chose several candidates and sent them all for testing. Once he receives the results of the testing, he will narrow down the selection to fewer candidates.

Interviews are scheduled next. An interview is a meeting between the job seeker and the employer to evaluate whether the candidate has the right qualifications for the job. Although testing provided Mr. Pugsley with a good idea of whether the candidates would be right for the job, the face-to-face interview will tell him more about the candidate, like personal hygiene, timeliness and manners. Once the interviews have been completed, candidates will be selected on the basis of the results of the testing and the interview. This step will narrow the pool of candidates down even more. A set of pre-determined criteria is developed and may include skills, knowledge, experience and education.

Choosing a candidate is done by comparing the candidate's qualifications to a pre-determined list of qualifications or criteria necessary to perform the job. Sometimes the candidate selection is done by one person. Sometimes a committee peruses the applications and interview notes and makes the decision. Mr. Pugsley will carefully review his interview notes and test results for all of the candidates and make the final decision.

Once the right candidate is chosen, background checks and reference checks are necessary. Performing background checks generally involves checking a candidate's credit score, criminal record, education record and military record. These checks are done to verify that what a candidate states on his application is actually true and can be verified. If a candidate does not provide truthful information or lies about any of the information he includes in his application, it is generally grounds to rescind the job offer.

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the hiring process: how human resource managers recruit and hire employees - video & lesson transcript | study.com

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The Hiring Process: How Human Resource Managers Recruit and Hire Employees - Video & Lesson Transcript | Study.com

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In this lesson, we will explore the recruiting process used by human resource managers to review applications, test and interview candidates, perform reference checks and request health checks. The hiring process is the process of reviewing applications, selecting the right candidates to interview, testing candidates, choosing between candidates to make the hiring decision and performing various pre-employment tests and checks.

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MODULE 5- Organizational Structure and Processes

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MODULE 5- Organizational Structure and Processes

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5 types of organizational structures

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Updated on:

In one of our previous articles, we discussed organizational chart best practices. Now let's take a look at types of organizational charts structures which can be used in different scenarios. And you don't have to worry about creating them too. Our organizational chart software supports all the types mentioned below.

Organizational Structure Types

1) Hierarchical Structure

The hierarchical model is the most popular organizational chart type. There are a few models that are derived from this model.

In a hierarchical organization structure, employees are grouped with every employee having one clear supervisor. The grouping is done based on a few factors, hence many models derived from this. Below are few of those factors

Function - employees are grouped according to the function they provide. The below image shows a functional org chart with finance, technical, HR and admin groups.

Geography - employees are grouped based on their region. For example in USA employees might be grouped according to the state. If it's a global company the grouping could be done according to countries.

Product - If a company is producing multiple products or offering different services it can be grouped according to the product or service.

These are some of the most common factors, but there are many more factors. You can find org chart examples for most of these types in our diagramming community.

This is the dominant mode of organization among large organizations. For example Corporations , Governments , and organized religions are hierarchical organizations with different levels of management , power or authority .

2) Matrix Structure

In a Matrix organizational structure, the reporting relationships are set up as a grid, or matrix, rather than in the traditional hierarchy. It is a type of organizational management in which people with similar skills are pooled for work assignments, resulting in more than one manager to report to (sometimes referred to as solid line and dotted line reports, in reference to traditional business organization charts).

For example, all engineers may be in one engineering department and report to an engineering manager. But these same engineers may be assigned to different projects and might be reporting to those project managers as well. Therefore some engineers might have to work with multiple managers in their job role.

3) Horizontal/Flat Structure

This is an organizational chart type mostly adopted by small companies and start-ups in their early stage. It's almost impossible to use this model for larger companies with many projects and employees.

The most important thing about this structure is that many levels of middle management are eliminated. This enables employees to make decisions quickly and independently. Thus a well-trained workforce can be more productive by directly getting involved in the decision-making process.

This works well for small companies because work and effort in a small company are relatively transparent. This does not mean that employees don't have superiors and people to report. Just that decision making power is shared and employees are held accountable for their decisions.

So in summary, when deciding on the suitable organizational chart, it is important to have an understanding of the current organizational structure of your company.

4) Network Structure

Network organizational structure helps visualize both internal and external relationships between managers and top level management. They are not only less hierarchical but are also more decentralized and more flexible than other structures.

The idea behind the network structure is based on social networks. Its structure relies on open communication and reliable partners; both internal and external. The network structure is viewed as agiler than other structures because it has few tires, more control and bottom flow of decision making.

Using a Network organizational structure is sometimes a disadvantage because of its complexity. The below example of network org chart shows the rapid communication between entities.

5) Divisional Structure

Within a divisional structure, each organizational function has its own division which corresponds to either products or geographies. Each division contains the necessary resources and functions needed to support the product line and geography.

Another form of divisional org chart structure is the multi-divisional structure. It's also known as M-form. It's a legit structure in which one parent company owns several subsidiary companies, each of which uses the parent company's brand and name.

The main advantage of the divisional structure is the independent operational flow, that failure of one company does not threaten the existence of the others.

It's not perfect either. There can be operational inefficiencies from separating specialized functions. Increase in accounting taxes can be seen as another disadvantage.

6) Line Organizational Structure

Line organizational structure is one of the simplest types of organizational structures. Its authority flows from top to bottom. Unlike other structures, specialized and supportive services do not take place in these organizations.

The chain of command and each department head has control over their departments. The self-contained department structure can be seen as its main characteristic. Independent decisions can be taken by line officers because of its unified structure.

The main advantage of a line organizational structure can be identified as the effective communication that brings stability to the organization.

7) Team-based Organizational Structure

Team-based organizational structures are made of teams working towards a common goal while working on their individual tasks. They are less hierarchical and they have flexible structures that reinforce problem-solving, decision-making and teamwork.

Team organization structures have changed the way many industries work. Globalization has allowed people in all industries around the world to produce goods and services cooperatively. Especially, manufacturing companies must work together with the suppliers around the globe while keeping the cost to a minimum while producing high-quality products.

Other Types of Organizational Charts

The ones shown above are the most commonly used org chart structure types or organogram structure types as some call them. But there are plenty more models which have various advantages and disadvantages based on the situation and organization. You can easily experiment with different models using our org chart software.

In a future article, we're hoping to talk about the advantages and disadvantages of using organizational charts. Stay tuned for that article and hope you enjoyed this one.

Have questions? Feel free to ask them in the comments or you can reach to us via our social media channels.

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Types of Organizational Charts | Organization Structure Types for Companies

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Types of organizational charts used across various organizations in many industries. These include the most common org chart structure types plus the various org chart models derived from the main ones. All organizational chart types include editable templates which you can edit and create your own org chart.

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Planning tools and techniques this video explains three categories of planning tools and techniques. Techniques for assessing the environment, Techniques for allocating resources and Contemporary planning.

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Planning Tools and Techniques | Organization and Management | Lesson 3-4

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MODULE 3- Management within a Global Organization

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MODULE 3- Management within a Global Organization

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Global Perspective of Management

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Global Perspective of Management

A global perspective is when someone can think about a situation as it relates to the rest of the world. It may seem silly to some that every business should be concerned with what goes on in another country, but today we're all connected in a lot of ways. With the use of the Internet as a means of reaching customers, every mom-and-pop store on the corner can now compete on a global scale, when you think about it.

Benefits and Drawbacks

Chances are you know someone who owns a phone. Just where did that phone come from? The person (maybe yourself) who purchased it went to the local store and paid for the new device, but what exactly did it take to get that phone to the store? Many phones are designed and have operating systems from the United States; rare minerals in the phone's circuitry mainly come from China and Mongolia; they use processors made in Korea and Taiwan; and gyroscopes (so the screen flips when you turn it) from Europe, with most of the phones being assembled back in China. Many of the items we use every day have parts from or are put together in another country.

A manager with a local mindset would not know where to start coordinating all of these parts or even figure out from where to outsource them. Outsourcing is when companies do not do all of the work themselves but hire another company (often overseas) to complete some part of the work based on cheaper labor or material costs. Managers with a global perspective are able to research where materials originate in the world and seek to take advantage of cost savings by purchasing them right from the source. Labor costs are often one of the largest considerations when it comes to manufacturing products. There are many other countries that have much lower labor costs than we do here in the United States.

After adding up all of the cost savings for materials and labor, it would seem that doing business globally is the best way to go in every case. Well, not quite! There are also some drawbacks that global managers must be aware of when it comes to using the entire world as your office. Each country has its own rules for international trade, in the form of tariffs, trade restrictions, or government regulations that are meant to protect the host country's companies and resources. Even though a nation might have the cheapest cost for a particular mineral, the costs of getting it out of the country may not be worth it in the end.

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global perspective of management: definition & concept - video & lesson transcript | study.com

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Global Perspective of Management: Definition & Concept - Video & Lesson Transcript | Study.com

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A global perspective is when someone can think about a situation as it relates to the rest of the world. It may seem silly to some that every business should be concerned with what goes on in another country, but today we're all connected in a lot of ways.

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MODULE 3- Management within a Global Organization

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MODULE 3- Management within a Global Organization

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10 Principles of Organizational culture

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Jon Katzenbach, Carolin Oelschlegel, and James Thomas

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Companies can tap their natural advantage when they focus on changing a few important behaviors, enlist informal leaders, and harness the power of employees’ emotions.

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MODULE 3- Management within a Global Organization

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MODULE 3- Management within a Global Organization

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6 Common Challenges of managing a global organization

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As a big baseball fan (Go Red Sox!), one of the most fascinating aspects of the sport is how international it has become. Across Major League Baseball, more than a quarter of the players on big-league rosters were born outside the United States and this percentage is increasing. Baseball, the most American of institutions, went global to find new talent, expand its brand and introduce its business to new customers. Its international success should serve as a lesson to any enterprise, old or young. If your business is looking for growth, going global is the natural next step.

There will be roadblocks. I should know. At one time, I was vice president of international finance for an American supplier of telecommunications networking equipment, where I was responsible for the accounting, tax and finance functions for 30 foreign subsidiaries. In addition, I spent considerable time helping support their HR and legal needs. I have the battle scars to prove that managing a global organization presents challenges.

Although individual companies respond differently to international opportunities, my experience finds that they face a common set of challenges when managing a global footprint.

1. HR: People are an asset and a challenge. Many companies find recruiting and developing talent abroad hard to accomplish. There are language and cultural differences to overcome, and you often don't have HR personnel on the ground in satellite offices. Identifying an onboarding program for international employees that works for you is a critical success factor.

At-will employment, which allows businesses to terminate workers for any reason, is a U.S. construct. Outside the U.S., employment relations are handled by contracts, and host country labor laws may supersede certain elements of what we, in the U.S., think of as a typical employment agreement. Penalties for noncompliance can be significant. In France, for example, the maximum damages for unfair termination is set at 20 months of gross salary for employees with at least 30 years of service. Companies with global workforces often deal with multiple payroll and HR administration systems too. No wonder HR leaders struggle to find the time to be strategic.

2. Taxes: Complexity is increasing. The list of countries initiating a value-added tax, which is collected at each stage of production, in growing, most recently in the United Arab Emirates and other Gulf states. As more sales go online and are fulfilled by third parties, compliance has become tricky for these e-commerce businesses. You need to know the local tax rules and have a plan in place so that the risks of running into trouble are reduced.

It's also a new day in tax information reporting. Globalization, emerging markets, greater transparency and increased regulation are transforming the global tax framework. Seeking to combat tax evasion, governments are sharing information on residents' assets and income, which has increased the compliance burden on business.

3. Cash management: Businesses need to be prepared for the age of digital cash. In developing countries, digital cash has become physically safer than carrying or storing cash or buying gold or silver. It makes bank transfers faster and cheaper and allows smaller businesses to engage more efficiently in global e-commerce. Working with one or two global banking partners versus a myriad of banks from country to country will make things easier and more effective.

Treasurers still have to deal with volatile foreign currencies, as well as compliance with anti-money laundering know-your-client regulations, which have made it more difficult to do seemingly simple things, like open an overseas bank account.

4. Market entry: When entering a new market, there's always the need for local knowledge. How do you make those contacts? How do you avoid common mistakes? What are the best practices? Over time you would like to think market entry becomes less complicated, but it doesn't.

The common barriers to entry include government regulation, forecasting startup costs, product differentiation, access to suppliers and distributors, and competitive response. But the speed of innovation might require a new business model or new approach to pricing and marketing. Identify a primary, experienced in-country expert to serve as your guide to launching new operations successfully.

A good first step to gaining a baseline understanding of a potential international business expansion destination is accessing a number of reputable, free resources, like this country profile library, which is available for businesses to take the first step towards informed and successful expansion.

5. Transaction support: The volume of global mergers and acquisitions is increasing. Companies and investors have loads of cash and interest rates remain low. But cross-border transactions present a unique set of issues that are compounded by the scale and geographic scope of the deal. Parties to the transaction often come from divergent cultural backgrounds and have multiple language requirements, conflicting strategic objectives, and different business practices. Early recognition of these obstacles is vital. Your "deal team" should include the right internal leadership, lawyers, financial advisors and in-country experts who are able to work in harmony with one another.

A key to making these deals work is getting the transition right at the front end and successfully integrating operations. Once the transition services agreement expires, you need to have the right people and systems in place to keep operating.

6. On-call expertise: When a problem arises halfway around the world, who are you going to call? Who do you trust? The best companies have access to a robust lineup of experts, from lawyers to accountants to consultants, they can call anytime.

For reprint and licensing requests for this article, click here.

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Six common challenges in managing a global organization

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As a big baseball fan (Go Red Sox!), one of the most fascinating aspects of the sport is how international it has become. Across Major League Baseball, more than a quarter of the players on big-league rosters were born outside the United States and this percentage is increasing.

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This article lists 5 benefits of workplace diversity. This website has many articles for both small businesses and corporations that want to read up on how to manage workplace stress and effective management tips.

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When you think about diversity, what springs to mind? The first things that people usually think of are factors such as age, gender, race, cultural background, etc., but there is far more to creating a diverse workplace than hiring people who fit into different age brackets or creating the perfect male to female ratio.

Though we may share things in common with other individuals, at the end of the day, everyone is their own person and can bring different things to the table, which is why diversity is so important among a team. By hiring people with different personalities and at varied stages of their career, it can help to foster creativity and offer a range of perspectives and ideas.

Here are a few of the top benefits or diversity in the workplace.

1) Talents, skills, and experiences

Individuals from diverse backgrounds can offer a selection of different talents, skills, and experiences, that may be of benefit to the organization and their work performance. Though some crossover of skills can be beneficial when it comes to assisting each other, it's important to hire people with the appropriate skills to fit each of the roles within the company. A variety of skills and experiences among the team also means that employees can learn from each other

2) It creates innovation

By working alongside people of different backgrounds, experiences and working styles, creative concepts can be born from bouncing ideas off of each other and offering feedback and suggestions. Whereas one person may be great at generating exciting, out of the box ideas, another individual may have the necessary experience to execute it; so it is essential to play on each individual's strengths and collaborate with others in the team.

3) Language skills can open doors for a business

Language barriers and cultural differences can often act as a bit of an obstacle for a company who want to expand their business over shores; however, by hiring employees who speak different languages it can make it possible for a company to work on a global basis and interact with a broader client base. Representing a number of nationalities within your company can also help to make it more relatable

4) It grows your talent pool

A company who embraces diversity will attract a wider range of candidates to their vacancies, as it will be viewed as a more progressive organization and will appeal to individuals from all walks of life. Naturally, as the number of applicants for each vacancy rises, the chances of finding an exceptional candidate increases too! It can also help with employee retention, as people want to work in an environment who are accepting of all backgrounds and promote equality.

5) Improves employee performance

Employees are more likely to feel comfortable and happy in an environment where inclusivity is a priority. Equality in the workplace is important for encouraging workers from all backgrounds to feel confident in their ability and achieve their best. The higher the team morale, the more productive employees are.

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What Are the Benefits of Diversity in the Workplace?

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When you think about diversity, what springs to mind? The first things that people usually think of are factors such as age, gender, race, cultural background, etc., but there is far more to creating a diverse workplace than hiring people who fit into different age brackets or creating the perfect male to female ratio.

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MODULE 2- Culture and Diversity in the workplace

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MODULE 2- Culture and Diversity in the workplace

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This video gives a step by step guide on the importance of diversity and the positive effects of workplace diversity. Companies with a diverse workplace will attract diverse customers.

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The Importance of Diversity In The Workplace

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MODULE 2 - Ethics and Corporate Social Responsibility

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MODULE 2 - Ethics and Corporate Social Responsibility

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This video gives a visual breakdown of corporate social responsibility. It continues the discussion with the arguments for and against corporate responsibility.

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Business Ethics and Social Responsibility | Episode

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Business Ethics: Corporate Social Responsibility

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Visit Study.com for thousands more videos like this one. You'll get full access to our interactive quizzes and transcripts and can find out how to use our videos to earn real college credit. YouTube hosts only the first few lessons in each course. The rest are at Study.com.