Influence Of The Climate On Architecture - 1752 Words

2.7. Indoor the Environment 2.7.1. Influence of the climate on architecture The prevailing local climate has always influenced building methods or architecture in general. It is therefore understandable that building typologies found around the world are very divers. Humans created protection from the climate by building shelters that were adapted to the climatic conditions they were in. The home, often very simple in its construction, and storage areas for food and other live-sustaining goods - often of higher priority to the community-attest to this principle. A building, like the human body, is constantly undergoing a heat exchange process with the outdoor environment: the building envelope is the device through which this process can be controlled. The ways buildings gain and lose heat must be examined, and methods of thermal comfort must be developed in order to ensure satisfactory performance, keeping in phase with the changing seasons. The flow of heat through walls, floors, ceilings and windows may occur in either direction. Convective heat loss, particularly through glazed areas, accounts for a considerable part of the winter heating load in residential buildings. Unintentional air infiltration is probably the most important component of residential heating loads, on the other hand,Ventilation is a useful means of maintaining comfort conditions during overheated periods. The sun can be a very significant source of radiative energy transmitted into an interiorShow MoreRelatedInfluence Of The Climate On Architecture2783 Words   |  12 Pages2.7. Indoor the Environment 2.7.1. Influence of the climate on architecture The prevailing local climate has always influenced building methods or architecture in general. It is therefore understandable that building typologies found around the world are very divers. Humans created protection from the climate by building shelters that were adapted to the climatic conditions they were in. The home, often very simple in its construction, and storage areas for food and other live-sustaining goodsRead MoreAnalysis Of Sydney Ancher Peter Muller : Reinterpretation Of International Principles For Australia1503 Words   |  7 PagesInternational Principles for Australia In the study of Australian modern architecture, the term regionalism has constantly been discussed. In an architectural sense, regionalism can be understood as an architecture that is derived from its local setting. In relevance to this, elements of regionalism can be found in the works of Sydney Ancher and Peter Muller, two figures that had significant influence in Australian architecture discourse whose works can be seen as being Australian. 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Social Media and its Effect on Eating Disorders - 793 Words

Feet together, thighs apart, this is called the starving art. Powerful quotes such as these sweep the internet on social media websites, leaving harsh marks on all who read them, especially the extremely impressionable youth of America. Today’s youth is becoming heavily reliant on social media outlets such as Tumblr, Instagram, and Facebook, but it comes with a problematic cost, mental disorders on the rise. Eating disorders, depression, bipolar disorder, and other mental disorders are rapidly becoming more and more common in hospitals all across the nation, and social media is fueling the fire. There are solutions, though, ones that can and will work. New solutions are being created, ideas such as better limits in social networking, a more healthy body image on billboards, and being more careful on what message companies are sending out to the new generation. We as a country need to take a stand and realize that our youth is being permanently scarred, and we can help prevent this. 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Case Study-Barclays Free Essays

BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS I. DISCUSSION QUESTIONS, CASE INTRODUCTION AND KEY POINTS Introduction The case covers the introduction of Matt Barrett as CEO of Barclays and the changes he introduced to the organization to maintain its competitive position within the retail financial services industry. In an increasingly competitive environment, Barclays is losing ground due to its lack of data-driven actions and small global presence. We will write a custom essay sample on Case Study-Barclays or any similar topic only for you Order Now The case outlines the actions taken by Barrett to transform some of the key characteristics of Barclays’ corporate structure, and concludes by presenting the challenge he will face in getting management buy-in in order to implement his vision. The key challenges that Barclays faces include: market consolidation, the emergence of the Euro and European Central Bank, increased reliance on IT and web-based platforms, and the rigidity of its own corporate structure. II. EXTERNAL ENVIRONMENT ANALYSIS Summarize the external environment, including conditions in the general, industry, and competitor environments. a. The General Environment Definition: The general environment is focused on the future and can be analyzed by considering the STEEP framework: Social/demographic, Technological, Economic, Environmental/geographic and Political/legal/governmental factors at play. 1. 2. 3. 4. 5. Social/Demographic Technological Economic Environmental/Geographic Political/Legal/Governmental Discussion Question 1: Perform a STEEP analysis to understand the general environment facing Barclays. How will Barclays be affected by external factors? In particular, what will the effect of globalization be in terms of threats and opportunities? Social/Demographic Segment ? English is becoming increasingly the world-wide language of business offering Anglophone Barclays opportunities to expand into international markets with reduced language barriers. BARCLAYS |1 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS Technological: ? ? ? Increased world-wide reliance on IT and the emergence of web-based solutions in 2000 will elevate Barclays’ need to diversify portfolio offerings. Barclays’ must update its â€Å"woefully inadequate† Management Information Systems (MIS) and begin to automate labor intensive processes to reduce costs. In order to enter new markets to increase revenues and satisfy institutional investors, Barclays must invest in increased technology capabilities. Economic: ? ? ? Robust economic environment due to tech boom will increase liquidity in the marketplace. As a result, acquisitions will be more costly than in a down economy. However this will also cause capital to be more accessible. Market trends towards consolidation will pressure Barclays to regain its industry leadership position through acquisition. Globalization and world economy flattening will require Barclays to become a global company expanding its offerings beyond its current UK focus. Environmental/Geographic: ? Geographic borders and distances between countries are shrinking with increased technology and a globalized economy. This will both require and facilitate Barclays’ global presence. Political/Legal/Governmental: ? ? Emergence of the Euro and strengthening of the EU will reduce FX exposure for the European markets and stabilize European economies. European Central Bank will control interest rates in Europe making Barclays more vulnerable to its decisions (versus the decentralized banks prior to the Euro emergence). With an ever increasing number of banks operating across both political and geographic borders, Barclays must expand its reach beyond the UK to remain competitive and avoid a potential takeover. In doing this, Barclays must consider a set of threats and opportunities that are involved with operating outside the UK: Threats 1. Operating a multinational corporation involves managing across multiple cultures, languages, and economic environments – Barclays’ organizational structure must be flexible enough to adapt to these. . Low brand recognition internationally would make competition against local institutions costly. BARCLAYS |2 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS 3. Relocation abroad requires high infrastructure costs. 4. Locating Barclays’ and its customers’ assets across multiple currencies exposes both to fluctuations in exchange rates. 5. Failed expansion into foreign market might damage brand image and alienate n ew customers. Opportunities 1. Increased global reach and brand presence. 2. Diversified risk. 3. Possibility to create new revenue streams through new customer acquisition. 4. Gain first mover advantage in emerging markets. 5. Increases attractiveness of Barclays to multinational corporations. b. The Industry Environment Definition: An industry is a group of firms producing products that are close substitutes. In the course of competition, these firms influence one another. Typically, industries include a rich mixture of competitive strategies that companies use to pursue above-average returns. In part, these strategies are chosen because of the influence of an industry’s characteristics. Compared with the general environment, the industry environment often has a more direct effect on the firm’s strategic competitiveness and above-average returns. The industry environment is the set of factors that directly influences a firm and its competitive actions and competitive responses. Porter’s 5 Forces Model is a powerful tool for understanding the dynamics amongst the five key factors that determine an industry’s level of rivalry and profit potential. [Outlined below, High=H; Medium=M; Low=L] 1. 2. 3. 4. 5. Threat of New Entrants (or barriers to entry) Supplier Power Threat of Product Substitutes Buyer Power Intensity of Rivalry Discussion Question 2: Use Porter’s Five Forces Model to analyze the retail financial services industry in the UK. Given this analysis, is the industry attractive or unattractive? The below Porter’s 5 forces analysis shows that the retail financial services industry in the UK is a potentially attractive industry due to low threat of new entrants, supplier power, and substitutes. On the other hand, medium buyer power and high rivalry within the industry could inhibit return possibilities. Threat of New Entrants (or barriers to entry): Low ? ? High infrastructure costs Barclays has high brand recognition within the UK, less so in its other markets BARCLAYS |3 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS ? ? Regulatory and security issues make market entry complicated for smaller players NOTE: Mergers of existing banks, if considered ‘new entrants’, must be addressed given the consolidation trend existing in the market. Smaller regional banks could pull customers away from Barclays if they were to merge and offer more extensive services but retain local roots and connections. Supplier Power: Low ? Switching costs among IT suppliers low in a fragmented industry Threat of Product Substitutes: Low ? Traditional, paper based, systems have become outdated and are no longer feasible. Asset management advice is preferred by customers over DIY Buyer Power: Medium ? ? Price sensitivity of retail consumer (major revenue stream for Barclays) relatively high compared to that of corporate client Switching costs of retail consumer (major revenue stream for Barclays) relatively high compared to those of corporate client Intensity of Rivalry: High ? ? Customer loyalty and brand recognition make switching of banking provider less likely Large number of competitors within the retail banking space NOTE: Competition within the industry is based on both price and services The Competitor Environment c. Definition: The competitor environment is the final subject of analysis required to gain a full understanding of the company’s external environment. A competitor analysis focuses on each company against which a firm directly competes and involves gathering and interpreting information about its competitors. Competitive rivalry is the ongoing set of competitive actions and responses that occur among firms as they maneuver for an advantageous market position. Especially in highly competitive industries, companies constantly jockey for advantage as they launch strategic actions and respond or react to rivals’ moves. It is important to understand competitive rivalry because it influences a firm’s ability to gain and sustain competitive advantages. 3 I’s Framework Leveraging the 3 I’s framework provides a thorough overview by grouping competitors into three buckets: immediate competition, impending competition, invisible competition. BARCLAYS |4 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS 1. Immediate Competition: Immediate competitors to Barclays are considered to be the major financial institutions located in the UK such as Lloyds TSB and RBS. These institutions are gaining increasing presence over Barclays due to their lower cost structures and improved efficiencies. 2. Impending Competition: Impending competitors to Barclays include international financial services firms such as Credit Suisse First Boston, and smaller firms operating in one of Barclays’ business categories such as investment advisory firms (Zoete Bevan, Wells Fargo Nikko). . Invisible Competition: Barclays’ invisible competitors include smaller UK based businesses that focus solely on a product offered by one of Barclays’ divisions, such as smaller mortgage lending businesses (Woolwich). III. INTERNAL COMPANY ANALYSIS Summarize internal company factors including: capabilities and weaknesses, value chain activities, strategy, and financial situation. a. Outline the company’s internal capabilities and weaknesses. Definition: Capabilities exist when resources have been integrated to achieve a specific set of tasks and are frequently developed within a specific functional area. In addition to identifying the company’s opportunities and threats from the external environment, another important objective of the situation analysis is to evaluate strengths and weaknesses as input for developing the company’s strategies. Discussion Question 3: What are the main capabilities of Barclays? Does Barclays have a core competence? Barclays’ main capabilities include retail financial services and corporate banking within the UK. The company’s core competencies (i. e. trengths relative to competitors that give it a competitive edge) include: a strong brand presence within the UK, a strong domestic franchise, new innovative leadership under Matt Barrett, and outstanding (276%) market cap growth from 1995-2000. BARCLAYS |5 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS Discussion Question 4: Create a SWOT analysis to understand Barclays’ strengths and weaknesses. Does Barclays have a sustainable competitive advan tage in the retail financial services industry? If so, what is the source? Strengths 1. Strong brand presence within UK 2. 76% growth in market cap from 19952000 3. Strong domestic franchise 4. Strong new leadership with strategic vision (Matt Barrett) Opportunities 1. Opportunity to expand into global markets (Barclays Global Investors only 2% of business) 2. Ability to strengthen existing brand presence within Europe (10% of sales and profits) 3. Streamline cost sharing among business units (HR, IT, Finance, etc. ) Weaknesses 1. Cost to income ratio significantly higher than competition (business units operate as silos) 2. Narrow focus (61% of revenue from RFS, capital division focused on debt products) 3. Limited global presence (80% of profits from UK) Threats 1. Management reluctance to embrace new strategies, demoralized staff 2. Competitors have lower cost advantage 3. Stronger global presence of international competitors 4. Dissatisfied institutional investors 5. Inadequate IT systems can inhibit growth Barclays’ competitive advantage includes its: strong presence within the UK market both in terms of locations and brand recognition, strong innovative leadership, and international presence. Barclays’ business strategy has focused on growth within the UK and has not invested enough capital into international expansion. In a globalizing economy with rising multinational financial corporations, the lack of a strong international presence is something that could significantly hurt Barclays in the long-term, and even turn it into a takeover target as institutional investors continue to lose faith in the company. b. Conduct a Value Chain analysis to identify value-creating activities. Definition: By exploiting its core competencies, a competitive firm creates value for its customers. Value is measured by a product’s performance characteristics and by its attributes for which customers are willing to pay. Companies with a competitive advantage offer value to BARCLAYS |6 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS customers that is superior to the value competitors can provide. Value is created by innovatively bundling and leveraging resources and capabilities. A value chain analysis provides information relative to primary (inbound/outbound logistics, operations, marketing sales, and service) and secondary (firm infrastructure, human resources mgmt, technological developments and procurement) activities. A value chain representation of Barclays’ primary and support activities is presented in the diagram below. This information can be used to establish a business strategy which targets select activities to create a sustainable competitive advantage. Primary Activities ? ? ? ? Inbound/Outbound Logistics: N/A Operations: o Strong focus on Retail Financial Services (RFS), account for 61% of revenue o Sold cash, equities, and corporate finance businesses to focus on debt products Service: N/A Marketing and Sales: o Strong focus on UK market and low global presence o Reliance on UK brand recognition Support Activities ? ? ? HR Management: o Executive committee not performing as decision making team o Higher than average staff expenses put heavy strain on cost structure Technology Development: o Management Information Services (MIS) system is outdated and inadequate Firm Infrastructure: BARCLAYS |7 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS o Divisions operating as silos (each has own HR, IT, etc. ) o Lack of data driven decision making processes o Introduction of the Euro and the European Central Bank affect Barclays’ exposure to foreign exchange as well as interest rate changes both for the company itself and its clients Procurement: N/A Discussion Question 5: Which components of Barclays’ value chain have made the company successful thus far? What changes to Barclays’ organizational structure and focus are necessary for Barclays to remain competitive? Barclays has become a major player in the banking industry through strong brand presence within the UK, earning it one out of every five personal customers, and a clear focus on Retail Financial Services (RFS). However, both its UK presence and RFS focus have failed to provide a sustainable competitive advantage for the company. In order to remain competitive within the banking industry, Barclays must examine and redesign various components of its value chain including: 1. Focus on Retail Financial Services: a. Barclays must expand its focus beyond RFS by creating new product offerings for corporate customers and further expanding internationally to give newly acquired corporate customers global access. 2. Outdated and inadequate MIS system: a. In order to manage its internal functions efficiently, Barclays must adopt technological innovations and update its MIS system. 3. Lack of data driven decision making: a. In order to compete in an industry driven by statistics and analytics, Barclays must emphasize data driven decisions throughout its corporate structure. 4. Fragmented core divisions: a. Operating fragmented core divisions such as HR and Finance creates additional costs as well as bureaucracy and inefficiencies. Barclays must consolidate these shared services. BARCLAYS |8 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS c. Financial Analysis Definition: Financial analysis is used to assess the viability, stability and profitability of a company or operating division. The analysis is done using quantitative historical performance found in the financial reporting documents (Balance Sheet, Income Statement, and Statement of Cash Flows). The goal of the analysis is to understand a company’s financial health through its profitability, solvency, liquidity, and stability. Given the financial information provided in the case, it is clear that Barclays is lagging behind its competitors in cost control measures, and has allowed both PPE and Staff Expenses to rise above its competitors’ average. Operating expenses as % of income In addition, an analysis of the company’s divisions and their respective earnings contribution reveals that Barclays heavily relies on its Retail Financial Services division for a large portion of its earnings; this suggests that diversification might be needed. NOTE: Further analysis into the average contribution of each revenue stream for other players in the industry is needed before diversification can be en tirely justified. BARCLAYS |9 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS IV. STRATEGY FORMULATIO N Summarize Barclays’ strategic position as it relates to its current strategy and the components thereof. a. Summarize Barclays’ current strategy. Barclays’ current strategic objective is to drive profits by consolidating internal functions and expanding its international presence. The company is a major player in the UK financial services and retail banking industry but has lost ground internationally despite rapidly rising market capitalization. Fragmented internal divisions and a lack of aggressive expansion have brought up the need for extensive managerial and structural changes to the firm. This prompted the hiring of a new CEO, Matt Barrett, who established a series of restructuring goals for Barclays to remain competitive. b. Strategic Analysis Definition: Conduct an analysis of Barclays’ business strategy by using the 4 P’s Framework. The 4 P’s Framework is used to understand a company’s strategy based on its Position (Mission, Values, and Vision), Priorities, Payments (what it will spend its money on to reach those priorities), and Performance (how it will measure success). By completing the framework, we can analyze a company’s current, future, or recommended priorities as well as set forth a path in order to achieve goals and measure accomplishments. Use the 4 P’s Framework to analyze the firm’s past/current/future strategy. 1. Position a. Mission: To provide innovative products, excellent careers, positive community contributions B A R C L A Y S | 10 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS b. Values: Fact based decisions, customer service, and value maximizing strategy c. Vision: To be one of the most admired financial service organizations in the world 2. Priorities: 1. Develop cross-group synergies to lower costs and improve efficiency 2. Expand reach of Barclays brand abroad through strategic alliances/acquisitions 3. Continue to diversify existing business portfolio 3. Payments: 1. Invest in adequate IT systems 2. Invest in human capital initiatives to align incentives and boost morale 3. Invest in marketing and strategic alliances/acquisitions in underserved regions/segments 4. Performance: 1. Shareholder returns vs. peer institutions 2. Customer and revenue growth (double profits in four years) 3. Increased profit due to lower costs and increased efficiency (reduce costs by ? 1bn) Discuss possible recommendations that Barclays could follow going forward to improve the performance of the company. Determine the decision criteria and also analyze the pros and cons of each recommendation. In order to remain competitive within the marketplace, Barclays must: 1. i. ii. iii. 2. i. ii. 3. i. ii. iii. Develop cross-group synergies to lower costs and improve efficiency by: Rebuilding core infrastructure to consolidate HR, IT, and Finance groups across individual divisions Reducing costs by 18% (? bn) Realigning incentives to reward value-add decisions; Expand Barclays brand abroad though: Increased brand presence in Europe to enter top 5 ranking Strengthening of the brand in US and Africa; Continue diversifying the existing business portfolio by: Expanding Barclays product and service portfolio to strengthen weak or underrepresented areas to serve affluent/high net worth segments Decrea sing reliance on Retail Financial Services by strengthening Barclays Capital and Barclays Global Investors divisions Entering new markets by acquiring major players (e. g. Woolwich). B A R C L A Y S | 11 BARCLAYS: MATT BARRETT’S JOURNEY – WINNING HEARTS AND MINDS Question Reduce staff expenses Option / Hypothesis Reduce labor costs by increasing automation Decision Criteria ? Cost/Benefit analysis ? Effect on employee morale ? Technology capabilities ? Revenue growth ? Barriers to entry ? Effect on current resources ? Revenue Pros †¢ Long term cost reduction †¢ Streamlining of processes †¢ More control over information flow and analysis †¢ Does not cannibalize existing revenue streams †¢ Increase global reach and brand presence †¢ Diversifies risk †¢ Existing customer loyalty and brand presence †¢ No need for customer acquisition Cons †¢ High up-front cost †¢ Lengthy implementation period †¢ Technology risk †¢ Negative effect on employee morale †¢ High cost †¢ High risk and FX exposure †¢ No trial period †¢ Culture clashes, integration logistics †¢ Might stretch resources too thin †¢ Requires investment in infrastructure and human capital †¢ Requires new expertise Diversify target markets Increase revenue through new market entry with current product suite Diversify product offerings Increase equity and investment banking focus of Barclay Capital division growth ? Barriers to entry ? Effect on current resources B A R C L A Y S | 12 How to cite Case Study-Barclays, Free Case study samples