The first two parts of the book set the foundation for THE MANAGEMENT OF GLOBAL OPERATIONS. THE SUBJECT presented international business as a diverse set of human endeavors resulting in the exchange of goods, services, information, and money across national boundaries for the purpose of obtaining financial benefits. It also examined the nature, motives, and importance of multinational corporations and described the business environment as a complex ecological system consisting of nature and humans.
THE THEORETICAL BASE: THE FUNDAMENTALS began with a summary of the basics of international economics. It then explored the fundamentals of international trade and considered the complex subject of international finance.
THE MANAGEMENT OF GLOBAL OPERATIONS, describes the practical application of the art of international management. Managing a business enterprise as a global system requires a different mind set-a different view of the world-than does managing a business in one's home country. The manager of a global enterprise must subscribe to the dictum "Think globally and act locally."
Managing a global MNC begins with a conscious decision to participate in the global game. PARTICIPATION STRATEGY, assumes that the decision to participate in the international market has already been made. The question examined in this chapter is, what modes of entry into the global market are available, and how does a global manager go about choosing one?
After the basic entry strategy has been selected, the manager of an MNC must design the organizational structure that will most efficiently carry out the chosen strategy. ORGANIZATION STRATEGY, examines the various organizational structures used by MNCs in each phase of the internationalization process.
Once the MNC has an appropriate entry strategy and an appropriate organizational structure, the manager must find a way to finance the venture. Several possible approaches are dealt with in FINANCIAL MANAGEMENT STRATEGY, as are the various financial reporting and control systems used by global managers. Production and marketing strategies are treated in PRODUCTION / SOURCING STRATEGY and MARKETING STRATEGY, respectively. Selecting and developing managers for an MNC is the subject of HUMAN RESOURCE DEVELOPMENT. Communication with and control of an MNC's numerous affiliates are the focus of COMMUNICATION AND CONTROL. Finally, CONSORTIA AND STRATEGIC ALLCES looks at the rise of important new actors in the global business environment-strategic alliances.
- 903 reads
