Like many of its competitors and comparable manufacturers in the discrete and process metal production, process metal and service-related businesses, Alcan is continually challenged with how to unify their diverse business units and processes to gain competitive advantage. The dynamics of many process-related industries include growing through mergers and acquisition, which has also been an area that continues cause Alcan challenges from an IT perspective as well. Alcan's critical business processes and strategies include sourcing the best possible materials, approving and working with suppliers, while also negotiating with them for the best possible price. Of the many raw materials the company relies on, Bauxite is the most strategically important across the business units Alcan operates today. During the time period of the case study, Alcan generated $23.6B in revenue, operated in 61 countries and had 68,000 employees. They had grown aggressively through acquisition, creating approximately 1,000 duplicate systems, with 400 of them being just for pricing. Given this massive duplication of IT resources, Alcan pays SAP AG hundreds of millions of dollars a year in maintenance fees alone. These are the key factors of the case and set the foundation for the assessment of the pros and cons of the current Alcan IT infrastructure. An analysis of the proposed Alcan infrastructure is also provided, in addition to a recommendation for
Serving as the number one source of our plastic use, companies opt for plastic containers because it's easy, feasible, and convenient. Food packaging alone makes up for 30-40% of landfills with much of that plastic being carried into the oceans. Going off of this, a new concept that's quickly becoming popular are package free grocery stores. These cost- effective grocery stores have everything you could possible need in bulk form and consumers bring glass or reusable containers, or cloth bags and fill them with the food they need. First popping up in cities like Berlin, Vienna, and Barcelona, many are finding this a more sustainable and eco-friendly option resulting in these sort of grocery stores quickly spreading across the ocean, with the first one in the United States expected to open in Brooklyn, New York. Business operators are extremely optimistic that this could serve a very impactful solution to getting rid of unnecessary plastic. (Che Jenny).
There are many strategies that organizations can incorporate in today’s business environment. An organization can decide to take on a low-cost provider strategy, a focused low-cost strategy, broad differentiation strategy, focused differentiation strategy, and/or a best-cost provider strategy. While all of them have their own unique features and can offer a competitive advantage over its rivals, Competitive Shoes, Inc. decided to incorporate the best-cost strategy into its organization in order to compete against it rivals. By incorporating the best-cost strategy into its organization, Competitive Shoes Inc. felt that they could stay
Do you know that it will take 1000 years for a plastic bag to decompose? Our world is the most friendly planet for human beings and every other living thing. We should never take our planet for granted because there is no other like this one and in order for us to keep our planet safe and sound, we should get rid of plastic bags. The other most effective way to keep our planet safe is to recycle every plastic bottle that we used. Every plastic product should not be thrown to the garbage because plastic bottles will take several decades to decompose in soil.
In time, packaging weight has decreased as compared to the packed product. Nevertheless, consumption patterns have generated a higher packaging volume because of the constant changes in demography and life styles. It is the volume of packaging and not so much its weight that attracts critical eyes (Calver, 2004). In addition, the predilection for pre-packed food has increased the amount of plastic waste within the general waste flow.
In fact, many of the major plastics used today began when commissioned to be used for the war effort (Freinkel, 6). When plastic was first brought to The United States, the American people loved it. Not only can plastic imitate other materials, but it is also much more affordable. Overall, plastic is cheap. The leap in plastic produced from the ‘40s until now is extremely substantial. For instance, in 1940 plastic was hardly used, in 1960 a single American used close to 30 pounds of plastic per year, today each individual uses more than 300 pounds of plastic per year (Freinkel, 6). A major impact on the amount of plastic used is directly related to the way Americans, starting in the 1940s, were now able to mass produce plastic products. For instance, a single plastic comb making machine could reproduce ten combs in less than one minute (Freinkel, 22). Overall, plastic is relatively inexpensive and it is made for mass manufacture. Considering this it is east to see why plastic became so popular in the first place, it was a plastic miracle. However, there is a direct relationship between the amount of plastic produced and the amount of plastics that are being polluted into the
The primary concern of Pacific Oil entering into the negotiation was that there were now numerous other oil companies who were seeking to compete with Pacific Oil and offer petroleum to plastic manufacturers. With this in mind, Pacific is concerned that Reliant will not be willing to renew the contract without requiring a lower price and other potential concessions on the part of Pacific that could result in serious losses to the company. On the other hand, the company is also concerned that should they lose this contract, it would take a great deal of effort to obtain sufficient new contracts.
Initially when plastic was discovered, it gave people a sense of hope to accomplish things that were once thought of impossible. Additionally, new companies, factories and idea’s emerged as a result of the discovery of plastic and its flexibility in manipulating the chemical structure. For example, Industries in 1960 adapted to supply produce with plastics from plastics bags to plastic bottles because it saved them lots money from collecting raw materials from all over the world and it gave them the advantage to control the production. It was then thought of as a boon to our economy because people were able to divert from purchasing expensive materials to cheaper ones; however; people did not expect the plastics material to cause harmful effects on our environment. Furthermore, since the discovery of plastics by Leo Hendrik Baekeland, other researchers have came up
The first factor, which Silver Ships has always strived to do, is to have high quality and high performance boats. In order to have such boats, the employees must be highly skilled, motivated and knowledgeable staff that is well paid, and able to produce products at a sufficient level; this is another key success factor. During the making of these boats, the aluminum that is purchases must also be used efficiently. Being able to balance the variable costs will be important to maintaining relatively low costs to create the products, but also to make sure that they are still produced efficiently as well. These productions will have to have advanced technology and being able to differentiate the products from other competitors. This leads into the buyer’s decisions to pick certain companies. Reputation is everything, and when the bids are written up, governmental entities may give certain requirements to give favors to one manufacture over another. All of these key success factors play a role in whether or not Silver Ships can survive in the aluminum boatbuilding
Alcoa Inc is Aluminum Company of America. It is the world 's third largest producer of aluminum, behind Rio Tinto Alcan and Rusal. Alcoa conducts operations in 31 countries more than 200 locations. Alcoa is a world leader in the production and management of primary aluminum, fabricated aluminum, and alumina combined, through its active and growing participation in all major aspects of the industry: technology, mining, refining, smelting, fabricating, and recycling. Aluminum and alumina represent more than three-fourths of Alcoa’s revenue. Non-aluminum products include precision castings and aerospace and industrial fasteners. Alcoa’s products are used worldwide in aircraft, automobiles, commercial
“Competitive strategy involves positioning a business to maximize the value of the capabilities that distinguish it from its competitor’s” (Porter 1980:47). A successful business plan requires first and foremost the formation of an appropriate strategy. Through the implementation of a suitable strategy, the company is able to obtain its own industry niche and gain an understanding of its customers (Porter 1985). Whichever strategy is adopted it must be adequately integrated within the firms goals and missions to achieve a competitive advantage (Parker and Helms 1992).
The significant driving forces for Langham’s proposed international expansion included cost drivers, market drivers, and competitive drivers. The cost drivers were based in the desire of the Langham group wanting regain control over the various back office services, which includes the ability to have decision making power on issues that affect return on investment and higher shareholder value. Additionally, the market drivers that had an effect on the proposed international expansion included was the ability to offer standardized services throughout their properties, some examples of the standardized services are comprehensive sales and marketing systems, advanced technologies, robust standard operating procedures, and versatile marketing strategies for long-term development (Tse, n.d). The standardized services will allow the Langham group to establish a unique brand, which helps separate them from their competitors in the various markets. The final expansion driver was the competitive drivers, this drivers was vital to the international expansion because it enabled the Langham group to craft a guest experience that will be the same regardless of the country where the guest was staying.
I. Introduction 1. There are several basic approaches to competing successfully and gaining a competitive advantage, but they all involve giving buyers what they perceive as superior value compared to the offerings of rival sellers. 2. This chapter describes the ﬁve basic competitive strategy option for building competitive advantage and delivering superior value to customers – which of the ﬁve to
There are three aluminium suppliers who dominate the market which are Alcan Aluminium, Aloca and Reynold metal. These three world leading companies have huge bargaining power on can manufacturers as they were responsible for huge part of production of aluminium market.
Turnbull (1986) recommend that a major weakness is a one-sided focus on the activities of the manufacturer together, that negotiate in the flow of goods and services to the customer