2. How does an analysis of this project in a real options context differ from a more traditional NPV valuation? How would you model this using a more traditional discounted cash flow framework? What elements would it fail to capture? Could you capture the real options aspect of the project using this approach?
Top management communicates the strategic goals and objectives of the organization in its budgetary directives. Lower-level managers and employees contribute their own ideas and provide feedback on the goals and objectives. The result is two-way communication about opportunities and challenges that lie ahead. Budgets also help managers coordinate activities across the organization. For example, a budget allows purchasing personnel to integrate their plans with production requirements, while production nuinugers use the sales budget and delivery schedule to help them anticipate and plan for the employees and physical facilities they will need.
The purpose of this study is to differentiate what WACC stands for, what it represents and how it influences management to make decisions. The study seeks answer the research question, Are WACC and ENPV are conected and if so explain everything connected to their interdependence? The goal is to use current knowledge and new discoveries in the field to proove if there is interconnection between these two and to explain how companies can use WACC and ENPV to be more profitable. The WACC stands for Weighted Average Cost of Capital. It is the measure of the average cost of capital a firm is paying for it's debt.
Employee loyalty Employee loyalty refers to the psychological attachment of employees to their employer. It is the extent to which employees identify themselves with the organization’s work ethics, objectives of the organization and contribute to the corporate performance. Employee loyalty is visible from the feelings, attitudes, positive behaviour and actions of employees. These loyal employees always prefer to choose the organizations interests and are willing to make personal sacrifices to a certain extent. 1.2 .Supervisor
The basic and psychological definition of motivation is the “reason or reasons someone acts in a particular way or fashion”. In order to understand how motivation affects everyday life, one must understand how motivation is categorized; how motivation functions; and why motivation is critical to human interaction. Motivation can be separated into two categories; internal and external motivations. Internal or intrinsic motivation means that one participates in activities or acts in a certain way because it is personally rewarding. Having the satisfaction of completing a task and feeling pride and personal growth has been related to intrinsic motivation.
Intrinsic motivation being employees are interested on the work because it is personally interesting, rewarding, challenging. Job satisfaction and the achievement of your personal goals are some examples of intrinsic motivation. Extrinsic motivation being employees work solely for the reason to receive a reward or the outcome. Extrinsic motivated employees are more concerned about the end results (pay raise, benefits, and promotions) than
According to Cantarow (1979), the hallmark of the workaholic personality is the joy of creativity, and workaholics would seek passionate involvement and gratification through work. This concurs with the views of Peiperl and Jones (2001) who see workaholics as ‘hard workers who enjoy and get a lot out of their work’. These views although highly inconsistent with the traditional definition of workaholism, establish some commonality with the
No doubt, organizations should promote the kind of positive supervisor mentoring behavior exemplified in question 1. This is because, such conducts will motivate employee satisfaction which can lead to excellent job performance, good work ethic, and high retention of skilled workers. This relates to the concept of job satisfaction which is, “a pleasant feeling resulting from the perception that one’s job fulfills or allows for the fulfillment of one’s important job values” (Noe et. al. p. 322).
The efforts add value the company and have unsurpassed impacts on it 's global perform. P&G 's code of conduct addresses satisfying, motivated and loyal employees that represent the basis of a global leader. The development of employee satisfaction is essential in the increased productivity, quality and higher number of innovated products. P&G 's employee motivation are base on appealing to built-in drives rather than using outside threats and rewards. Satisfied employees form optimistic reference to P&G and increase its
Basically, people who take those work as a job in which they have an interest in, they are bound to enjoy the work even more and feel pride in working that organisation. 126.96.36.199 Esteem needs Individuals prefer to have a stable, typically high assessment of themselves for self-confidence or self-assurance and for the approval of others. There are 2 categories into which these two needs are classified. The first category is for craving for power, attainment, and competence, mastery of proficiency, self-assurance, sovereignty and freedom. The second category is known as craving for status or respect, position, reputation, magnificence, supremacy, significance, gratitude, formality or
The financial statements are used to determine the figures for limitations included in the budget. A time frame is set to reassess whether the budget is being followed and what course of action the variances have changed. The variances are determined by macroeconomic factors like the price of gas and microeconomic factors like the reduction of labor hours at work. The budget is then changed according to these occurrences, and checked to see if the initial goals can still be accomplished.