TITLE: THE MANAGEMENT OF GLOBAL CORPORATIONS

The Management Of Global Corporations



The Management Of Global Corporations

Introduction

In this term paper we will conduct Global Consideration for the Zen Corporation which is considering the possibility of marketing water purification equipment in Nigeria. This paper will include a detail look at areas that a company must address when they make the decision to go Global. Zen Corporation will address human resources, supply chain management, information technology, research and development, legal and ethical challenges that must be addressed as Zen Corporation moves the water purification equipment into Nigeria. By addressing the Global considerations it will clearly show the areas of risk for management of the Zen Corporation. This will determine if there are gaps that need to be addresses before Zen Corporation continues on with their venture into Nigeria.

Human Resources Management

Zen Corporation will be taking advantage of the use of an export management company (EMC) to manage and run their business within Nigeria. The purpose of an EMC is to "establish a presence in foreign markets by soliciting orders from foreign customers in the name of the manufacturer" (Export America, March 2003). It is also recognized that Zen Corporation loses control of how the product is serviced and marketed when using the EMC; however Zen Corporation feels it is worth the hassle and expense in an effort to overcome the hassles associated with the Nigerian government.

With that being said, the majority of Zen Corporation's Human Resources Management authority will take place in the United States. Zen Corporation will manage their manufacturing facilities and their people through standard Human Resources practices which will comply with United States-based rules and regulations. Zen's employees will be provided with an employee handbook, employee orientation, annual job reviews and annual raises. Benefits will also be provided to the employees as well as commission payments to the sales staff from the EMC.

Supply Chain Management

Supply chain management (SCM) is the process of optimizing the shipment of goods and services from supplier to customer. The goals of SCM are to optimize production, decrease manufacturing time, minimize inventory, streamline order fulfillment and reduce cost. Today's supply chains for mid and large companies span the globe, with suppliers and partners in multiple countries and multiple time zones. Mastery of the supply chain function is one of the key determinants of high performance. In today's rapidly-changing business environment, the supply chain is increasingly important to a company's costs, customer service, asset productivity and competitive position (www.bettermanagement.com).

Zen Corporation will use their export management company (ECM), Global Trading Partners NA, to build their supply chain and logistics strategy. Global Trading Partners NA has been helping companies around the world since 2002 and in 2005 they started Global Trading Partners EU, S.R.L. which was incorporated in Bucharest, Romania. Global Trading Partners helps domestic companies that want to sell their product or service overseas.

Zen Corporation will look for new partnerships in Africa to manufacture and distribute their product around the country. Zen Corporation will look for suppliers and manufactures to ...