X-Battery Company, a supplier for General Motors in their search for alternative battery source such as hydrogen or large voltage rechargeable batteries for new electric vehicles is seeking to expand. One of the areas the company is seeking to expand and discussing exploring an opportunity to expand into facilities on Kava, a small significant island in the South Pacific. Many obstacles lay in the way of expanding into Kava by the X-Battery Company. However, X-Battery’s owner, Chris Morales is dedicated and determined to expand into Kava. Mr. Morales understands and realizes that a flourishing world or globalized economy is beneficial for everyone. Mr. Morales accepts the statement “Globalization means corporate leaders and investors must consider more than their organization’s moral standards. To maintain reputation, they must look to the heart of their supply chains” (Kennedy-Glans, 2005, p.24, ¶1). Before making a final decision to enter Kava, I have been asked to evaluate several factors that will decide the issue of expanding into Kava. Using a three step process of identifying the problem, defining criteria, goals, and objectives, and evaluating the effects of the problem, I will evaluate three concerns: organizational processes, human resources, and ethics which will allow me to present an accurate and persuasive case.
Identify the Problem
X-Battery has three problem areas of concern for expanding into Kava: organizational processes, human resources, and ethics. Kava’s government with its population diversity struggles with providing basic services and needs for its people. With little if any organizational abilities, the government of Kava struggles from various issues that they often cannot adequately react to. The country of Kava often faces natural disasters such as tsunamis, typhoons, and other water and weather related issues. In addition, Kava struggles with medical threats including AIDS and the avian flu. Without improvement to these organizational processes and reactions, Kava cannot hope to attract further attention of foreign investment and future improvement.
Although the majority of Kava’s population is under the age of 15, ethnically mixed, and religiously diversified and is fluent in English, Spanish, and French, there has been no official government policy to better integrate or improve the overall well-being or standard of living for its citizens. Kava has an untapped employment opportunity as it has a large young inexpensive labor pool that can produce high quality work.
Another important issue facing the organizational process is the rising terrorism risk developing from within and outside of Kava. With the diversity of race, religious, and language, Kava is struggling to find an identity and maintain peace. External and internal influences have caused divisive terrorism attempting to disrupt the government’s goal of unifying and improving the country. The government appears to want to do what is right and other organizations are willing to assist as best as they can. Ethical concerns also include the possibility of violating underage labor laws, since the majority of the population is less than 15 years of age.
Define Criteria, Goals, and Objectives
Kava seeks the services and expertise of foreign companies such as X-Battery to provide a model of successful organizational processes to move from private enterprise to the governmental organization. From basic services, maintaining rule, providing emergency services, and other necessary functions, X-Battery can provide an example and template on conducting day to day business both privately and publicly. Kava, its government and many other organizations such as community based and faith based organizations are eager to learn, improve upon, and make important changes for the overall well-being of the country. Businesses such as X-Battery have also taken an interest in Kava and its untapped potential for growth.
Replicating X-Battery’s successful development and growth infrastructure such as marketing, finance, purchasing, technology, human resource, physical resource, transportation, strategic planning, and leadership will allow Kava to improve their social needs. To begin this step, I foresee that X-Battery will have to work with the government and local leaders to locate a physically suitable location for minimal man made or non man made disasters. Establishing order and a channel of command just as in business will improve overall working conditions within the government. With Kava’s government agreeing to not only assist locating a safe location but also reasonably assuring X-Battery of safety from terrorists, the process of planning an expansion into Kava may proceed.
Kava has a large young population that can provide quality work inexpensively. I believe that X-Battery would like to see a formal uniform educational system started to better educate the population. One noticeable positive is the diversification of language abilities among the population. This one attribute is most important for a company considering world wide global expansion. Harnessing these untapped language skills with a proper education creates an opportunity unmatched elsewhere in the organization.
Maintaining the population’s health, physically, mentally, and medically will play an important part of how successful Kava is at enticing further business expansion. Basic medical services and preventative treatments and practices to avoid every day ailments, illnesses, and more serious conditions such as AIDS and avian flu which are now common place must be implemented immediately.
X-Battery has an opportunity to show Kava that even in a diversified company or country for that matter that all individuals with their various differences can coexist and contribute in a peaceful setting. Basic human rights and respect for all individuals must be the foundation. Respect and respectful disagreements must be understood and tolerated. X-Battery is going to be a player here if it is the last thing our owner does. Mr. Morales wants to do the right thing and he is doing so by example.
The government of Kava will be expected to maintain lawful control, provide accountability to others, and be watchful of improper use of the young employment pool readily available within Kava. Thoughtful and considerate use of the nation’s natural resources should be conserved and not wasted needlessly. An island country cannot afford to continue to import a great deal of products without offsetting exports. Using sound ethics and minimizing waste, the country can mirror itself to the high standards that X-Battery expects of itself and others.
Evaluate the Effect of the Problem