IHRM(international human resource management) Essay

IHRM(international human resource management) - Essay Example The following sections will deliberate on Volvo’s strategies of maintaining competitive advantage in the Curitiba market. Resources and capabilities that Volvo can obtain from Curitiba It is apparent that for any organisation to develop and maintain competitive advantage, just like Aaker and McLoughlin 2007 stipulated, some concepts of working towards attaining organisation’s goals should be articulated upon. Curitiba, being a region of congested traffic, has been a potential market for Volvo. This is arguably true because, as contingency theory stipulates, the environment in which an organisation operates involves articulation of factors such as size and technology among many other factors (Hooley, Piercy and Nicoulaud 2008). In this regard, it is evident that Volvo has strategized on gaining competitive advantage in the Curitiba market. The fact that Curitiba is traffic congested makes it a strategic market for Curitiba to operate in. in essence, Volvo specialises on providing the buses for public transport. Analytically, this is in line with strategically operating in an environment that can provide market for its automobiles. Basically, the primary goal of any organisation is to enter into a market that has demand for its products, thus offering an opportunity to make profits (Martin 2013). Nevertheless, it is indispensable of the management of organisations to apply principles of leadership and management in order to make the right decisions when entering new markets. In another dimension, Volvo must have considered the issue of corporate social responsibility. In any metropolitan area, organisations should focus on applying both economic and corporate social responsibilities in order to be successful. For example, before entering into the Curitiba market, Volvo was aware of the need to formulate a strategy that would bring growth in this region. For example, in the process of providing buses for public transport, Volvo has simultaneously cre ated jobs for many residents in the city. The CSR issues involve bringing in social and responsibility factors into action (Piercy 2009). When people get jobs through Volvo’s involvement in the public transport, their lives get uplifted, thus bringing the overall growth of the city. In addition, Volvo has been able to create its own organisational culture, through which its competitive advantage has been developed and maintained in Curitiba. Volvo’s organisational culture has been a reflection of its vision statement. However, organisation’s culture is developed strategically by its leaders and managers. It is the reflection of what the leaders and managers believes in and work towards realising their goals (Ranchhod and Gurau 2007). In order for Volvo to have managed to capture the Curitiba market, it is apparent that the management has developed a culture that keeps the company growing and surviving in a highly competitive market. For this to happen, the leade rship of the organisation should be well conversant with how to both manage the workforce and focus on customer satisfaction. Studies have document that forms that empowers their employees through various employees wellness and reward programs tend to have a smooth organisational culture development. Therefore, the human resource department must have a grasp of how it can motivate its employees in order to deliver top results. In regard to Volvo’s case, its workforce could be termed as proficient

Project Managment Scheduling queastion Essay Example | Topics and Well Written Essays - 2000 words

Project Managment Scheduling queastion - Essay Example The expected time for an activity represents the average time it would take if the activity is performed over and over again. It is known empirically that the probability density function of activity duration closely follows a Beta distribution, which defines the following relationship (Heldman & Baca, 267) Standard Deviation is used for calculating the variability associated with the high degree of uncertainty in estimated time durations. The standard deviation is represented by sigma symbol ‘ÏÆ'’ and is calculated as The time analysis elements such as the forward pass (Early Start time ES and Early Finish time EF) and the Backward Pass (Late Start time LS and Late Finish time LF) are used to find the Critical Path. These times are calculated using the Expected Time (te) for the respective activity relative to the zero date (date when the project clock starts ticking) of the project. The Backward Pass Late Start (LS) and Late Finish (LF) values are calculated considering that the earliest completion time of the project for the last activity and then working backwards towards the predecessors. For all the last activities, the LF will be equal to the respective EF value. Therefore, values of LF for the activities O, N, M, I and C are equal to the respective values of EF. The Critical Path can be determined by finding the Total Slack for each activity. Total Slack for any activity is the maximum time by which the start of an activity can be delayed without affecting the critical path. The path with the longest Expected time duration is the critical path. Activities on the critical path have slack as 0, since these activities cannot be delayed at all. Each path from the Start to the Finish node is defined along with the respective time duration. The Expected Completion Time (Et) for each path is equal to the expected duration of the constituent activities. For Example, A-E-H-K-I is calculated

Card Security For Republic Bank Customers

Card Security For Republic Bank Customers There is no doubt that most organisations today are becoming essentially dependant on the use of credit cards, arguably its most strategic asset, is to support existing business operations. However, credit card fraud and identity theft has continued to plague the banking and retail industries as there seems to be no feasible solution to these crimes. Advances in technology have opened a gateway for hackers to restructure their position of attack, intruding on ones personal life. The basis of this project is on the new Chip and PIN technology introduced on credit cards. Ive considered this to be an interesting topic because of the publicity this technology has been receiving across the world and it has even reached to our shores, here in Trinidad and Tobago. Hence, Republic Bank Limited one of the local banks would be the case studied in this research. Chapter two would encompass the existing literature on credit card history and Chip and PIN. This chapter would outline how credit cards have become smart cards and how the Chip and PIN cards are used. Chapter three gives the entire design of the project and the objectives to be obtained for the research. Moving to chapter four, the research framework adopted for this study on Chip and PIN and how it relates to the model undertaken in the research. The findings from this research would be summarized version of the data collected, with the analysis of the theory and research framework the author undertook in this study. In concluding, the author would report on the learning aspects of the research and provide an assessment of achievements, giving a position on the research question. Literature REVIEW This section is intended to place the scope of the project with literature surrounding the components of the research question. The Credit Card Transaction Process Discussed This payment mechanism was formally introduced in 1958, when the BankAmericard card, now known as Visa was franchised across the global community. By introducing an electronic authorization system, the BankAmericard was able to be used globally. Now by partnering with banks across the globe, Visa has been able to provide an international processing system for the exchange of money. The workings of a credit card transaction are such that it comprises of four main steps. These are: Authorization Batching Clearing Funding The cardholder requests a purchase from the merchant, which is then submitted to the acquirer by the merchant. The acquirer then sends a request to the issuer to authorize the transaction. Once the authorization code is sent to the acquirer verifying that credit is available, the transaction is authorized and the cardholder receives the product. (This is further explained in detail on page 9 of this document) This simple process of electronic transacting has opened up a world of e-commerce opportunities. From an information system perspective the processing workflow of an online credit card transaction is shown below: Figure 1: Online Credit Card Processing Workflow Diagram (Hubbard, 2003) Because of the vulnerabilities that lay in a transaction, more so the networks across which the information is exchanged, various security breaches can occur. Types of Credit Card Fraud There are many different types of credit card fraud. Fraudsters are very innovative in finding new ways of committing credit card crime and as technology changes so does their crime tactics. Security issues surrounding the card fraud has moved from the traditional ways of committing credit card crime (Application Fraud, Intercept Fraud and Lost/Stolen Card Fraud) to the modern techniques namely, Skimming, Site Cloning and most recently Triangulation. Skimming is the fastest growing type of credit card fraud around because of its simplicity. Pocket Skimming devices can be easily carried around and the cardholders data can be obtained by merely swiping the card through the battery-operated magnetic card reader. This technology has also evolved so as to read the data of Chip and PIN cards, with the use of a scanner. These scanners, which can write or even re-write the data on the Chip cards, are fully portable and have high storage capacities. Because some of these devices are not illegal, they are easily accessible to hackers and can be bought over the internet. Site Cloning involves cloning an entire site or just the pages where customers make purchases. Since the web pages are identical customers are not aware that their personal information is being compromised. Also, confirmation details are sent to the customer just as the official companys website would, so the crime goes undetected. The details entered on the cloned site are then used by the fraudster to commit credit card fraud. Another method of credit card fraud is Triangulation. Goods are presented on websites at discounted prices, which can be shipped to the customer before payment. Again, just as with site cloning, the site appears to be legitimate then the customer proceeds to enter their personal data. With this captured information the fraudster can then order goods from legitimate retail websites using the credit card number obtained. Due to these security issues surrounding credit card information security, there has been global industry-wide concern for the protection of cardholders data. Since security management is a systematic issue, a serious look at what can be done to prevent security breaches is necessary-whether it may be legislation, the use of fraud detection system monitors or the application of data encryption/ authentication techniques. Chip and PIN Technology Credit cards have been a feasible solution for making payment processing simple and efficient. The history of the credit card dates back to the 1900s when oil companies and proprietors created their own credit card as a means of obtaining customer loyalty and improving customer service. However, as with advances in technology, the credit cards have evolved from having just encoded magnetic stripes to modern day Chip and PIN cards, with embedded microchips, which can store and transmit data. These Chip and PIN cards were developed to provide an inter-operative system that would combat card fraud (counterfeit and plastic cards). This transaction processing infrastructure has enabled the cash-less revolution, whereby consumers, governments and businesses benefit from the electronic payment network, which has shifted payments by cash and cheques to an efficient electronic payment system. The mechanics of a credit card transaction is such that the merchant acquirer, usually the bank processes transactions on behalf of the merchant. This payment by credit card represents an offer for issuance of payment in exchange for the goods or services provided by the merchant, (Transaction Processing). There are two parts to this type of transaction processing: the first is front end processing which involves the capture of data messages across communication channels to the point of sale devices; and secondly the back end processing which involves the balancing of accounting information by acquirers and issuers and the submission of the payment to the acquiring merchants bank. As a result of the rapid advances in technology, data security continues to be a major concern as every transaction that involves the transmission data across networks is open to external attacks. Attacks on a consumers card information can come from any angle, whether it may be data thieves or network intruders. The Payment Card Industry Security Standards Council (PCI SSC), which comprises of major payment brands namely VISA, MasterCard, Discover and a few others, have created global compliance standards to protect cardholders data. These set of standards help govern and educate all merchants and organisations that process, store and transmit data, as well as the manufactures of the devices used in transaction processing. The PCI SSC (2010), Data Security Standard Quick Reference Guide, as summarized below, outlines the best practices for protecting cardholder data: Develop and Maintain a Secure Network Install and maintain firewall configuration to protect cardholders data. Do not use vendor-supplied defaults for system passwords or other security parameters. Protect cardholders data Protect stored data Encrypt transmission of cardholders data across open public networks Maintain a vulnerability management program Use and regularly update anti-virus software or programs Develop and maintain secure systems and applications Implement strong access control measures Restrict access to cardholder data by business need to know Assign a unique ID to persons with computer access Restrict physical access to cardholder data Regularly monitor and test networks Track and monitor all access to network resources and cardholder data Regularly test security systems and resources Maintain an information security policy Maintain a policy that address information security for all personnel Nevertheless, despite these procedures in place, there has been amplified instances of the various types of credit card fraud, namely Intercept Fraud, Skimming, Site Cloning as well as Triangulation. This propelled an industry and governmentà ¢Ã¢â€š ¬Ã¢â‚¬Å"led initiative in the UK to embark on the introduction of Chip and PIN card technology. Based on the EMV standard (Euro pay, MasterCard, Visa) Chip and PIN technology was launched in the UK on February 14th 2006. This programme was introduced to combat credit and debit card fraud, and to provide an ideal way of validating the cardholders identity. By utilizing smart card technology a microchip is embedded with the customers information which includes their unique four digit PIN. For transactions to be accepted, the customer PIN entered must match the one encoded on the microchip. These steps are further explained below: The card is inserted by the customer into the card reader. The card reader would then prompt the user to insert their PIN. A four-digit PIN is then entered by the customer. Once the reader accepts the PIN entered the transaction would be approved. Note the PIN entered is not displayed on the reader but rather represented by asterisks. The customer is issued a receipt as confirmation of the transaction process. This process removes the responsibility and accountability from the merchant to the customer for point of sale transactions. The card never leaves the customers hand and as such prevents skimming of ones card information. One of the benefits of the Chip and PIN cards is that the Chip itself is encrypted with a range of security features, which the transaction processing system uses to identify the cardholder. These security features are said to be virtually impossible to replicate. The terminals used for Chip and PIN transactions, use secure transmission technology to ensure the privacy of the cardholders data and can operate over a range of connectivity environments, such as wired, wireless and cellular networks. The PCI Security Standards Council also developed a framework of standards which is legally enforced through a merchant/service provider/card brand agreement. These include requirements that support the encryption of the cardholders account data and the point of sale terminal integration. Figure 2: Outline of the process of a Chip and PIN transaction The PIN entered replaces the request for signature as verification of the transaction. This is why the banking industry in the UK has campaigned for this technology, because signatures can be forged, however the PIN is unique to that person. Although the United States is yet to convert to this technology, countries such as Japan, China, Canada, Mexico as well as the majority of the European Countries have all introduced Chip and PIN technology and it is gaining momentum in various other countries including Trinidad and Tobago. Republic Bank Trinidad and Tobago Limited is the first local bank in Trinidad and Tobago to introduce Chip and PIN technology to make the concept of paying by credit card safer for cardholders. The bank adopted this type of technology because this is now an industry-wide conversion from the magnetic-stripe cards and it is also in keeping with the EMV standard. Conversely, a potential security issue with Chip and PIN card terminals is its capability of processing cards with the magnetic stripe as well. Because of this the request to enter the customers PIN can be bypassed by the merchant, with a receipt generated to be signed by the customer. Now because this option is still available it poses an added security threat to card transactions. So, unfortunately skimming still remains a huge problem for cardholders and sadly enough this includes Chip and PIN cardholders as well. Although this practice is slowly migrating from EMV compliant countries, once a card has been skimmed it can still be used in countries where the magnetic stripe is still prevalent, for example some Asian Countries and the United States. This is why many fraudsters can still create a fake card with stolen magnetic stripe information which can be used in for example the United States. The United States believes that although Chip and PIN has reduced fraud for face to face card transactions, there are a still a number of issues surrounding the security of the system used for this these transactions. Now as with any new system introduced, there have been a number of studies on whether Chip and PIN cards are really secure. So the question is has Chip and PIN technology impacted on the activities of overall card fraud or has the activities of fraudsters shifted from retail crime. In a study by Emily Finch (2010) The Impact of Chip and Pin Technology and The Activities of Fraudsters, it was recognised that since the implementation of Chip and PIN technology participants involved in card fraud made varying decisions when it came to their crime of choice. The Decision to Desist The Decision to Continue To work with others Shift to Distance Transactions Diversification of Theft into Identity The study also shows that there is a shift in the attack strategy of fraudsters from point of sale card fraud to Internet and Card Identity Fraud. In an analysis of Internet and Card Identity Fraud, we can note that Chip and PIN technology was not designed for preventing these types of card fraud. So, the question remains, was Chip and PIN successful at what it was set out to achievereduce card fraud? This too can be argued further as there are other limitations. How can one link a particular card to a specific owner? Once the PIN is known by the individual a transaction can be completed with ease. Other studies have shown that the card readers used for Chip and PIN transactions can be modified. In a study by a team of University of Cambridge Computer Scientists, they have uncovered a series of fatal flaws in the Chip and PIN system. One example is where the internal hardware can be replaced without external evidence of this. This new terminal could then be programmed and modified so that it performs just as a typical terminal, where the card details can be collected and allow criminals to make cards with a fake magnetic stripe, which along with the PIN would enable a fraudster to make valid purchases. Another example is that fraudsters can insert an electronic wedge between the stolen card and the terminal, which tricks the terminal into believing that the PIN was correctly verified. Further, with this wedge inserted, any PIN can be entered and the transaction would be verified. This type of fraud makes it difficult for the victims of the attack to be refunded by the bank as the receipt given is authentic and would state verified by PIN. The bank in turn would be accurate in stating that no refund is required as their records show verified by PIN. This type of complaint appears as an act of negligence by the cardholder as he/she allowed their PIN to be compromised. So based on this study the point of sale attacks are much more prevalent, since before the introduction of Chip and PIN cards, consumers only entered their PIN at ATMs. Now with the introduction of Chip and PIN, consumers are using their cards at various other public areas. To combat the compromising of the consumers PIN a shield over the keypad has been used as added security but in many public areas there are video cameras and a persons PIN can still be captured on footage. So, although the UK banking industry has claimed to have rolled out this new technology successfully in 2006, there seems to be some negative aspects of this technology. The architecture surrounding Chip and PIN technology is questionable and the onus is on the banking industry to ensure that cardholders information is protected. Additionally, it also seems that Chip and PIN terminals offer no difference to what the magnetic stripe terminals offered. These terminals can be tampered with, which is a clear indication that there needs to be accurate configuration of these terminals so as to secure the cardholders data when transmitting transactions and that is not vulnerable to incident of attack. So the intent of Chip and PIN technology has more so opened a new marketplace for fraudsters than prevent/reduce fraudulent activity. PROJECT DESIGN, OBJECTIVES AND RESEARCH METHODS The scope of this project is to outline the features of Chip and PIN technology and whether its implementation thus far has been beneficial. This section of the project would provide the methods involved in achieving the data for the project as well as the results based on the data collected. The chosen approach to this design is online research (journals/scholarly articles) along with a case study on the implementation of Chip and PIN technology in Trinidad and Tobago, with the case being Republic Bank Limited. Objective 1 A good foundation for this objective would be the interpretation of the credit cards history. How has this cash-less mechanism moved from a local innovation to a global payment mechanism by use of digital communication across networks? In gaining a clear understanding on the reason for the implementation of this technology, a wealth of research would be conducted on credit card technology and digital security. Objective 2 A holistic understanding on the basis of credit card fraud and the types of fraudulent activities and the steps taken to prevent credit card crime. What technologies have been implemented and the effects/benefits drawn from these approaches. Objective 3 Expanding from objective two also discussed would be whether or not since the introduction of Chip and PIN technology in the UK, has there been a cascading effect of this new technology across countries. Analysing the increasing number of fraudulent activities reported from statistics, which compelled the global banking industry to find a seamless solution for the protection of cardholders data. Objective 4 An assessment on the introduction of Chip and PIN technology by Republic Bank Limited, which would include sourcing information on its implementation and the benefits derived. Further research would be on the acceptance (or non-acceptance) of the technology by customers. Objective 5 Lastly, from the feedback received from the interview conducted and by analysing the incidents of attack on Republic Bank credit cardholders, what was the determining factor in the bank aligning themselves with the UK standards set by EMV? CONCEPTUAL FRAMEWORK In identifying the framework to be adopted that can be referenced to the literature in this research, the author considered the Delone and Mc Lean IS Success Model. Using this model, the author would explain the net benefits of adopting Chip and PIN technology, relating it to Republic Banks implementation of this technology. DeLeone and McLean IS Success Model In evaluating the success of Information Systems, the DM IS Success Model, systems quality measures the technical success, information quality measures semantic success and organisational impacts and user satisfaction measures the effectiveness of the system. The processes in the model are inter-connected by links, across the dimensions of the system. Figure 3: Depiction of the Updated Information Systems Success Model (DeLeone McLean 2002, 2003) The updated DM Model interprets the evaluation of a system in terms of the information, system, and service qualities and how these characteristics attribute to user satisfaction. As a result of using the system, certain benefits will be achieved and the net benefits will in turn (positively or negatively) influence user satisfaction and the further use of the information system. So, therefore three basic components make up this model, the creation of a system, its use and the consequences of its use. Case study as it relates to the ISS model. Republic Bank has been providing banking and financial solutions to individuals and businesses for over 160 years. Their mission is not only to provide efficient and competitively priced services but also to implement sound policies which will be beneficial to their customers. These factors presented provide clarity and influences the net benefits of the implemented Chip and PIN system at Republic Bank thus far. By use of the ISS model to map the research done in this project, the author would complete a step by step relay of the framework discussing the implementation of Chip and PIN by Republic Bank. Information Quality-Information quality refers to the accuracy/protection of the content of the data in transacting. How secure is the personalized data being transmitted across networks. When a customer presents their card to make a purchase, are they confident that their card information is protected because of the added security enabled on this card. System Quality-The system quality refers to the reliability of the network and the response time in transacting, notwithstanding the approved devices that accept personal identification numbers for all PIN based entries (the ease of use of the system functionalities). Therefore in rolling out this new technology the bank along with their partner merchants would train staff so that they are familiar with the best practice guidelines when using Chip and PIN. Service Quality-This refers to the back-end support systems that assist in usage of the technology. How reliable are Republic Banks servers and IP networks? User Satisfaction- This encompasses measuring the users entire experience-the purchase payment, receipt and service (the ease of purchasing without the fear of being a victim of fraudulent activity). Net Benefits -This is the most important success measure and it encapsulates the cost savings and the decrease in the value of fraudulent transactions arising from stolen credit card data. Was the implementation of this technology beneficial in reducing the incidents of card fraud? Are Republic Bank cardholders satisfied that their bank is on par with global industry changes? The focus of this success model lies in determining the impact the features of technology (information, system, and service quality) have on the variables user satisfaction, use, and net benefits. The main objective for using this ISS model is to establish the ultimate benefits derived from the use of information system both in individual and organizational terms. FINDINGS This chapter will illustrate the findings from the questionnaires submitted to a sample of the Republic Banks credit card customers as well as a formal interview conducted with an employee of Republic Bank Credit Card Centre. The aim of the chapter is to source an awareness of the topic area Chip and PIN by cardholders and the personnel interviewed. Primary Data Collection For the basis of the findings of this research the author conducted a formal interview with a middle management employee at Republic Bank and also distributed questionnaires to a sample of the banks credit card customers. A summarized version of the responses from the interview is represented in this chapter, based on the interviewees knowledge. The questionnaires distributed were mostly closed questions so as to deliberately avoid open-ended respondent answers. Approximately 120 questionnaires were distributed to Republic Bank Customers. Only the answers to the key questions are represented in this chapter. Summarized responses from the interview This interview was conducted with the Supervisor, Card Services, which prove to be very insightful. The Supervisor spoke about the banks vision for their credit card market, and how they plan to continuously innovate so as to maintain their customer base and attract new profitable customers. Since the credit card industry is a highly competitive one, the bank is constantly reviewing their interest rates and looking for new ways to give customer returns from the use of their credit card. Due to his long tenure at the bank and having the customer service background, the supervisor was able to give insight on what infuriates a credit card customer. He explained that customers become frustrated when they see added charges and puffed up late fees placed by the bank on their card statements. In view of the fact that most customers do not read the fine print when completing a credit card application, they are not totally aware of all the charges that can arise from delinquent payments. He f urther added that although queries like this can be explained by representatives at the bank who can provide valued solutions to the cardholders problem, the most infuriating of all queries from customers are unexplainable purchases on their account. At Republic Bank, fraudulent activity on a card can be detected from the use of their state-of-the-art security systems and their experienced fraud expert team that are in place to monitor and detect any unusual activity on a customers credit cards, but even with these measures in place, fraud can occur. The supervisor expressed that by implementing Chip and PIN technology for credit cards, the bank was able to be a step ahead of the competition and most importantly the card criminals. He also stated that although credit card fraud is not as prevalent in Trinidad and Tobago as in the developed countries, continuous education in counteracting fraudulent activities for their customer base is an effective method of addressing credit card fraud. He explained that Republic Bank has not had many eye-opening occurrences of notified credit card fraud but they believe that Chip and PIN technology is an innovative solution to the likelihood of this problem. He was also truthful in expressing that this technology is still new to the industry and all merchants have yet to convert to Chip and PIN enabled machines, therefore there is a window of opportunity for fraud until merchants are mandated to have these Chip and PIN enabled machines. He used the term mandate, because eventually all Republic Bank debit cards would also be chip enabled. In summing up the interview the author probed the supervisor on the banks position on the studies done by the University of Cambridge team on Chip and PIN technology and the tested flaws of the system. His response was quite interesting, because it ventured into a thought-provoking discussion on research. He lamented that the sphere of research done on any topic would result in the researcher seeking out the positive and negative aspects of it. How the data is interpreted, reflects the real value of the research done. Questionnaire Findings Question 5: How often and where do you frequently use your credit card to make purchases? Aim: To assess how often the average Republic Bank cardholder uses their credit card. Findings: Most Republic Cardholders in this study used their credit card regularly, at least five times per month. Credit Cards are used for purchases at the supermarket, restaurant and retail clothing stores. Question 6: Has your credit card information ever been compromised? If yes provide details. Aim: To determine the number of incidents of attack on Republic Bank credit card holders. Findings: Less than 50% of the respondents have never had their credit card data compromised. Question 7: Do you understand the workings of Chip and PIN technology introduced to Republic Bank credit cardholders and the value to be derived from using this technology? Aim: To determine the extent of the customers perception of this technologys value and how the card is used. Findings: Although some customers are guarded about the use of their credit cards, most of the respondents are confident in the service that Republic Bank provides and believes that implementing Chip and PIN gives them that added security against fraudulent activities, especially those customers that frequently travel abroad. Question 8: How do you think by using Chip and PIN cards for making payments will make it easier in transacting? Aim: To establish the efficiencies in the use of Chip and PIN cards, on the time taken to complete a transaction. Findings: Many customers applaud this technology as it reduces the time taken at the cash register when making purchases. It is simple, easy and convenient and most customers are truly happy as there is no need to write their signature. For this reason they find the system most efficient as it prevents their signature from the likelihood of being forged. ANALYSIS The main objective for the research completed on this topic, was to show how and to what extent the adoption of Chip and PIN technology has improved credit card security for Republic Bank cardholders. At a glance, before Chip and PIN technology was introduced in the UK, there was nation-wide educational literature on the benefits of the technology for banks, merchants and most importantly, the customers. However, it seems that this programme led by EMV, created more enthusiasm in the build-up to its implementation rather than the actual usage of the system. From the research, the mounting negative features of the technology and use of the system is outweighed the decreasing positive ones. It seems that the card theft criminals were focused on a solution to obstruct the successful use of the technology before the intention to use. The question remains, which facet of credit card fraud has Chip and PIN really reduced? The research show that for point of sale transactions Chip and PIN has been useful in the prevention of skimming ones card information, however the fraudsters have found alternative ways to improve on that tactic. Chip and PIN technology can only be used à ¢Ã¢â€š ¬Ã…“successfullyà ¢Ã¢â€š ¬? for point of sale transactions and not online transactions, so fraudsters have modified their techniques as with the modifications of the technology. Based on the research framework adopted, Republic Bank has measured their net benefits of adopting the Chip and PIN technology by encircling the information, service and system qualities to deliver user satisfaction and usage of the system with this technology. The success of any information system is multi-dimensional and the relationships among the constructs relate to the comprehensive evaluation of the system. The variable dependent on these constructs are the net benefits of this system, and for whom? This local company has app Card Security For Republic Bank Customers Card Security For Republic Bank Customers There is no doubt that most organisations today are becoming essentially dependant on the use of credit cards, arguably its most strategic asset, is to support existing business operations. However, credit card fraud and identity theft has continued to plague the banking and retail industries as there seems to be no feasible solution to these crimes. Advances in technology have opened a gateway for hackers to restructure their position of attack, intruding on ones personal life. The basis of this project is on the new Chip and PIN technology introduced on credit cards. Ive considered this to be an interesting topic because of the publicity this technology has been receiving across the world and it has even reached to our shores, here in Trinidad and Tobago. Hence, Republic Bank Limited one of the local banks would be the case studied in this research. Chapter two would encompass the existing literature on credit card history and Chip and PIN. This chapter would outline how credit cards have become smart cards and how the Chip and PIN cards are used. Chapter three gives the entire design of the project and the objectives to be obtained for the research. Moving to chapter four, the research framework adopted for this study on Chip and PIN and how it relates to the model undertaken in the research. The findings from this research would be summarized version of the data collected, with the analysis of the theory and research framework the author undertook in this study. In concluding, the author would report on the learning aspects of the research and provide an assessment of achievements, giving a position on the research question. Literature REVIEW This section is intended to place the scope of the project with literature surrounding the components of the research question. The Credit Card Transaction Process Discussed This payment mechanism was formally introduced in 1958, when the BankAmericard card, now known as Visa was franchised across the global community. By introducing an electronic authorization system, the BankAmericard was able to be used globally. Now by partnering with banks across the globe, Visa has been able to provide an international processing system for the exchange of money. The workings of a credit card transaction are such that it comprises of four main steps. These are: Authorization Batching Clearing Funding The cardholder requests a purchase from the merchant, which is then submitted to the acquirer by the merchant. The acquirer then sends a request to the issuer to authorize the transaction. Once the authorization code is sent to the acquirer verifying that credit is available, the transaction is authorized and the cardholder receives the product. (This is further explained in detail on page 9 of this document) This simple process of electronic transacting has opened up a world of e-commerce opportunities. From an information system perspective the processing workflow of an online credit card transaction is shown below: Figure 1: Online Credit Card Processing Workflow Diagram (Hubbard, 2003) Because of the vulnerabilities that lay in a transaction, more so the networks across which the information is exchanged, various security breaches can occur. Types of Credit Card Fraud There are many different types of credit card fraud. Fraudsters are very innovative in finding new ways of committing credit card crime and as technology changes so does their crime tactics. Security issues surrounding the card fraud has moved from the traditional ways of committing credit card crime (Application Fraud, Intercept Fraud and Lost/Stolen Card Fraud) to the modern techniques namely, Skimming, Site Cloning and most recently Triangulation. Skimming is the fastest growing type of credit card fraud around because of its simplicity. Pocket Skimming devices can be easily carried around and the cardholders data can be obtained by merely swiping the card through the battery-operated magnetic card reader. This technology has also evolved so as to read the data of Chip and PIN cards, with the use of a scanner. These scanners, which can write or even re-write the data on the Chip cards, are fully portable and have high storage capacities. Because some of these devices are not illegal, they are easily accessible to hackers and can be bought over the internet. Site Cloning involves cloning an entire site or just the pages where customers make purchases. Since the web pages are identical customers are not aware that their personal information is being compromised. Also, confirmation details are sent to the customer just as the official companys website would, so the crime goes undetected. The details entered on the cloned site are then used by the fraudster to commit credit card fraud. Another method of credit card fraud is Triangulation. Goods are presented on websites at discounted prices, which can be shipped to the customer before payment. Again, just as with site cloning, the site appears to be legitimate then the customer proceeds to enter their personal data. With this captured information the fraudster can then order goods from legitimate retail websites using the credit card number obtained. Due to these security issues surrounding credit card information security, there has been global industry-wide concern for the protection of cardholders data. Since security management is a systematic issue, a serious look at what can be done to prevent security breaches is necessary-whether it may be legislation, the use of fraud detection system monitors or the application of data encryption/ authentication techniques. Chip and PIN Technology Credit cards have been a feasible solution for making payment processing simple and efficient. The history of the credit card dates back to the 1900s when oil companies and proprietors created their own credit card as a means of obtaining customer loyalty and improving customer service. However, as with advances in technology, the credit cards have evolved from having just encoded magnetic stripes to modern day Chip and PIN cards, with embedded microchips, which can store and transmit data. These Chip and PIN cards were developed to provide an inter-operative system that would combat card fraud (counterfeit and plastic cards). This transaction processing infrastructure has enabled the cash-less revolution, whereby consumers, governments and businesses benefit from the electronic payment network, which has shifted payments by cash and cheques to an efficient electronic payment system. The mechanics of a credit card transaction is such that the merchant acquirer, usually the bank processes transactions on behalf of the merchant. This payment by credit card represents an offer for issuance of payment in exchange for the goods or services provided by the merchant, (Transaction Processing). There are two parts to this type of transaction processing: the first is front end processing which involves the capture of data messages across communication channels to the point of sale devices; and secondly the back end processing which involves the balancing of accounting information by acquirers and issuers and the submission of the payment to the acquiring merchants bank. As a result of the rapid advances in technology, data security continues to be a major concern as every transaction that involves the transmission data across networks is open to external attacks. Attacks on a consumers card information can come from any angle, whether it may be data thieves or network intruders. The Payment Card Industry Security Standards Council (PCI SSC), which comprises of major payment brands namely VISA, MasterCard, Discover and a few others, have created global compliance standards to protect cardholders data. These set of standards help govern and educate all merchants and organisations that process, store and transmit data, as well as the manufactures of the devices used in transaction processing. The PCI SSC (2010), Data Security Standard Quick Reference Guide, as summarized below, outlines the best practices for protecting cardholder data: Develop and Maintain a Secure Network Install and maintain firewall configuration to protect cardholders data. Do not use vendor-supplied defaults for system passwords or other security parameters. Protect cardholders data Protect stored data Encrypt transmission of cardholders data across open public networks Maintain a vulnerability management program Use and regularly update anti-virus software or programs Develop and maintain secure systems and applications Implement strong access control measures Restrict access to cardholder data by business need to know Assign a unique ID to persons with computer access Restrict physical access to cardholder data Regularly monitor and test networks Track and monitor all access to network resources and cardholder data Regularly test security systems and resources Maintain an information security policy Maintain a policy that address information security for all personnel Nevertheless, despite these procedures in place, there has been amplified instances of the various types of credit card fraud, namely Intercept Fraud, Skimming, Site Cloning as well as Triangulation. This propelled an industry and governmentà ¢Ã¢â€š ¬Ã¢â‚¬Å"led initiative in the UK to embark on the introduction of Chip and PIN card technology. Based on the EMV standard (Euro pay, MasterCard, Visa) Chip and PIN technology was launched in the UK on February 14th 2006. This programme was introduced to combat credit and debit card fraud, and to provide an ideal way of validating the cardholders identity. By utilizing smart card technology a microchip is embedded with the customers information which includes their unique four digit PIN. For transactions to be accepted, the customer PIN entered must match the one encoded on the microchip. These steps are further explained below: The card is inserted by the customer into the card reader. The card reader would then prompt the user to insert their PIN. A four-digit PIN is then entered by the customer. Once the reader accepts the PIN entered the transaction would be approved. Note the PIN entered is not displayed on the reader but rather represented by asterisks. The customer is issued a receipt as confirmation of the transaction process. This process removes the responsibility and accountability from the merchant to the customer for point of sale transactions. The card never leaves the customers hand and as such prevents skimming of ones card information. One of the benefits of the Chip and PIN cards is that the Chip itself is encrypted with a range of security features, which the transaction processing system uses to identify the cardholder. These security features are said to be virtually impossible to replicate. The terminals used for Chip and PIN transactions, use secure transmission technology to ensure the privacy of the cardholders data and can operate over a range of connectivity environments, such as wired, wireless and cellular networks. The PCI Security Standards Council also developed a framework of standards which is legally enforced through a merchant/service provider/card brand agreement. These include requirements that support the encryption of the cardholders account data and the point of sale terminal integration. Figure 2: Outline of the process of a Chip and PIN transaction The PIN entered replaces the request for signature as verification of the transaction. This is why the banking industry in the UK has campaigned for this technology, because signatures can be forged, however the PIN is unique to that person. Although the United States is yet to convert to this technology, countries such as Japan, China, Canada, Mexico as well as the majority of the European Countries have all introduced Chip and PIN technology and it is gaining momentum in various other countries including Trinidad and Tobago. Republic Bank Trinidad and Tobago Limited is the first local bank in Trinidad and Tobago to introduce Chip and PIN technology to make the concept of paying by credit card safer for cardholders. The bank adopted this type of technology because this is now an industry-wide conversion from the magnetic-stripe cards and it is also in keeping with the EMV standard. Conversely, a potential security issue with Chip and PIN card terminals is its capability of processing cards with the magnetic stripe as well. Because of this the request to enter the customers PIN can be bypassed by the merchant, with a receipt generated to be signed by the customer. Now because this option is still available it poses an added security threat to card transactions. So, unfortunately skimming still remains a huge problem for cardholders and sadly enough this includes Chip and PIN cardholders as well. Although this practice is slowly migrating from EMV compliant countries, once a card has been skimmed it can still be used in countries where the magnetic stripe is still prevalent, for example some Asian Countries and the United States. This is why many fraudsters can still create a fake card with stolen magnetic stripe information which can be used in for example the United States. The United States believes that although Chip and PIN has reduced fraud for face to face card transactions, there are a still a number of issues surrounding the security of the system used for this these transactions. Now as with any new system introduced, there have been a number of studies on whether Chip and PIN cards are really secure. So the question is has Chip and PIN technology impacted on the activities of overall card fraud or has the activities of fraudsters shifted from retail crime. In a study by Emily Finch (2010) The Impact of Chip and Pin Technology and The Activities of Fraudsters, it was recognised that since the implementation of Chip and PIN technology participants involved in card fraud made varying decisions when it came to their crime of choice. The Decision to Desist The Decision to Continue To work with others Shift to Distance Transactions Diversification of Theft into Identity The study also shows that there is a shift in the attack strategy of fraudsters from point of sale card fraud to Internet and Card Identity Fraud. In an analysis of Internet and Card Identity Fraud, we can note that Chip and PIN technology was not designed for preventing these types of card fraud. So, the question remains, was Chip and PIN successful at what it was set out to achievereduce card fraud? This too can be argued further as there are other limitations. How can one link a particular card to a specific owner? Once the PIN is known by the individual a transaction can be completed with ease. Other studies have shown that the card readers used for Chip and PIN transactions can be modified. In a study by a team of University of Cambridge Computer Scientists, they have uncovered a series of fatal flaws in the Chip and PIN system. One example is where the internal hardware can be replaced without external evidence of this. This new terminal could then be programmed and modified so that it performs just as a typical terminal, where the card details can be collected and allow criminals to make cards with a fake magnetic stripe, which along with the PIN would enable a fraudster to make valid purchases. Another example is that fraudsters can insert an electronic wedge between the stolen card and the terminal, which tricks the terminal into believing that the PIN was correctly verified. Further, with this wedge inserted, any PIN can be entered and the transaction would be verified. This type of fraud makes it difficult for the victims of the attack to be refunded by the bank as the receipt given is authentic and would state verified by PIN. The bank in turn would be accurate in stating that no refund is required as their records show verified by PIN. This type of complaint appears as an act of negligence by the cardholder as he/she allowed their PIN to be compromised. So based on this study the point of sale attacks are much more prevalent, since before the introduction of Chip and PIN cards, consumers only entered their PIN at ATMs. Now with the introduction of Chip and PIN, consumers are using their cards at various other public areas. To combat the compromising of the consumers PIN a shield over the keypad has been used as added security but in many public areas there are video cameras and a persons PIN can still be captured on footage. So, although the UK banking industry has claimed to have rolled out this new technology successfully in 2006, there seems to be some negative aspects of this technology. The architecture surrounding Chip and PIN technology is questionable and the onus is on the banking industry to ensure that cardholders information is protected. Additionally, it also seems that Chip and PIN terminals offer no difference to what the magnetic stripe terminals offered. These terminals can be tampered with, which is a clear indication that there needs to be accurate configuration of these terminals so as to secure the cardholders data when transmitting transactions and that is not vulnerable to incident of attack. So the intent of Chip and PIN technology has more so opened a new marketplace for fraudsters than prevent/reduce fraudulent activity. PROJECT DESIGN, OBJECTIVES AND RESEARCH METHODS The scope of this project is to outline the features of Chip and PIN technology and whether its implementation thus far has been beneficial. This section of the project would provide the methods involved in achieving the data for the project as well as the results based on the data collected. The chosen approach to this design is online research (journals/scholarly articles) along with a case study on the implementation of Chip and PIN technology in Trinidad and Tobago, with the case being Republic Bank Limited. Objective 1 A good foundation for this objective would be the interpretation of the credit cards history. How has this cash-less mechanism moved from a local innovation to a global payment mechanism by use of digital communication across networks? In gaining a clear understanding on the reason for the implementation of this technology, a wealth of research would be conducted on credit card technology and digital security. Objective 2 A holistic understanding on the basis of credit card fraud and the types of fraudulent activities and the steps taken to prevent credit card crime. What technologies have been implemented and the effects/benefits drawn from these approaches. Objective 3 Expanding from objective two also discussed would be whether or not since the introduction of Chip and PIN technology in the UK, has there been a cascading effect of this new technology across countries. Analysing the increasing number of fraudulent activities reported from statistics, which compelled the global banking industry to find a seamless solution for the protection of cardholders data. Objective 4 An assessment on the introduction of Chip and PIN technology by Republic Bank Limited, which would include sourcing information on its implementation and the benefits derived. Further research would be on the acceptance (or non-acceptance) of the technology by customers. Objective 5 Lastly, from the feedback received from the interview conducted and by analysing the incidents of attack on Republic Bank credit cardholders, what was the determining factor in the bank aligning themselves with the UK standards set by EMV? CONCEPTUAL FRAMEWORK In identifying the framework to be adopted that can be referenced to the literature in this research, the author considered the Delone and Mc Lean IS Success Model. Using this model, the author would explain the net benefits of adopting Chip and PIN technology, relating it to Republic Banks implementation of this technology. DeLeone and McLean IS Success Model In evaluating the success of Information Systems, the DM IS Success Model, systems quality measures the technical success, information quality measures semantic success and organisational impacts and user satisfaction measures the effectiveness of the system. The processes in the model are inter-connected by links, across the dimensions of the system. Figure 3: Depiction of the Updated Information Systems Success Model (DeLeone McLean 2002, 2003) The updated DM Model interprets the evaluation of a system in terms of the information, system, and service qualities and how these characteristics attribute to user satisfaction. As a result of using the system, certain benefits will be achieved and the net benefits will in turn (positively or negatively) influence user satisfaction and the further use of the information system. So, therefore three basic components make up this model, the creation of a system, its use and the consequences of its use. Case study as it relates to the ISS model. Republic Bank has been providing banking and financial solutions to individuals and businesses for over 160 years. Their mission is not only to provide efficient and competitively priced services but also to implement sound policies which will be beneficial to their customers. These factors presented provide clarity and influences the net benefits of the implemented Chip and PIN system at Republic Bank thus far. By use of the ISS model to map the research done in this project, the author would complete a step by step relay of the framework discussing the implementation of Chip and PIN by Republic Bank. Information Quality-Information quality refers to the accuracy/protection of the content of the data in transacting. How secure is the personalized data being transmitted across networks. When a customer presents their card to make a purchase, are they confident that their card information is protected because of the added security enabled on this card. System Quality-The system quality refers to the reliability of the network and the response time in transacting, notwithstanding the approved devices that accept personal identification numbers for all PIN based entries (the ease of use of the system functionalities). Therefore in rolling out this new technology the bank along with their partner merchants would train staff so that they are familiar with the best practice guidelines when using Chip and PIN. Service Quality-This refers to the back-end support systems that assist in usage of the technology. How reliable are Republic Banks servers and IP networks? User Satisfaction- This encompasses measuring the users entire experience-the purchase payment, receipt and service (the ease of purchasing without the fear of being a victim of fraudulent activity). Net Benefits -This is the most important success measure and it encapsulates the cost savings and the decrease in the value of fraudulent transactions arising from stolen credit card data. Was the implementation of this technology beneficial in reducing the incidents of card fraud? Are Republic Bank cardholders satisfied that their bank is on par with global industry changes? The focus of this success model lies in determining the impact the features of technology (information, system, and service quality) have on the variables user satisfaction, use, and net benefits. The main objective for using this ISS model is to establish the ultimate benefits derived from the use of information system both in individual and organizational terms. FINDINGS This chapter will illustrate the findings from the questionnaires submitted to a sample of the Republic Banks credit card customers as well as a formal interview conducted with an employee of Republic Bank Credit Card Centre. The aim of the chapter is to source an awareness of the topic area Chip and PIN by cardholders and the personnel interviewed. Primary Data Collection For the basis of the findings of this research the author conducted a formal interview with a middle management employee at Republic Bank and also distributed questionnaires to a sample of the banks credit card customers. A summarized version of the responses from the interview is represented in this chapter, based on the interviewees knowledge. The questionnaires distributed were mostly closed questions so as to deliberately avoid open-ended respondent answers. Approximately 120 questionnaires were distributed to Republic Bank Customers. Only the answers to the key questions are represented in this chapter. Summarized responses from the interview This interview was conducted with the Supervisor, Card Services, which prove to be very insightful. The Supervisor spoke about the banks vision for their credit card market, and how they plan to continuously innovate so as to maintain their customer base and attract new profitable customers. Since the credit card industry is a highly competitive one, the bank is constantly reviewing their interest rates and looking for new ways to give customer returns from the use of their credit card. Due to his long tenure at the bank and having the customer service background, the supervisor was able to give insight on what infuriates a credit card customer. He explained that customers become frustrated when they see added charges and puffed up late fees placed by the bank on their card statements. In view of the fact that most customers do not read the fine print when completing a credit card application, they are not totally aware of all the charges that can arise from delinquent payments. He f urther added that although queries like this can be explained by representatives at the bank who can provide valued solutions to the cardholders problem, the most infuriating of all queries from customers are unexplainable purchases on their account. At Republic Bank, fraudulent activity on a card can be detected from the use of their state-of-the-art security systems and their experienced fraud expert team that are in place to monitor and detect any unusual activity on a customers credit cards, but even with these measures in place, fraud can occur. The supervisor expressed that by implementing Chip and PIN technology for credit cards, the bank was able to be a step ahead of the competition and most importantly the card criminals. He also stated that although credit card fraud is not as prevalent in Trinidad and Tobago as in the developed countries, continuous education in counteracting fraudulent activities for their customer base is an effective method of addressing credit card fraud. He explained that Republic Bank has not had many eye-opening occurrences of notified credit card fraud but they believe that Chip and PIN technology is an innovative solution to the likelihood of this problem. He was also truthful in expressing that this technology is still new to the industry and all merchants have yet to convert to Chip and PIN enabled machines, therefore there is a window of opportunity for fraud until merchants are mandated to have these Chip and PIN enabled machines. He used the term mandate, because eventually all Republic Bank debit cards would also be chip enabled. In summing up the interview the author probed the supervisor on the banks position on the studies done by the University of Cambridge team on Chip and PIN technology and the tested flaws of the system. His response was quite interesting, because it ventured into a thought-provoking discussion on research. He lamented that the sphere of research done on any topic would result in the researcher seeking out the positive and negative aspects of it. How the data is interpreted, reflects the real value of the research done. Questionnaire Findings Question 5: How often and where do you frequently use your credit card to make purchases? Aim: To assess how often the average Republic Bank cardholder uses their credit card. Findings: Most Republic Cardholders in this study used their credit card regularly, at least five times per month. Credit Cards are used for purchases at the supermarket, restaurant and retail clothing stores. Question 6: Has your credit card information ever been compromised? If yes provide details. Aim: To determine the number of incidents of attack on Republic Bank credit card holders. Findings: Less than 50% of the respondents have never had their credit card data compromised. Question 7: Do you understand the workings of Chip and PIN technology introduced to Republic Bank credit cardholders and the value to be derived from using this technology? Aim: To determine the extent of the customers perception of this technologys value and how the card is used. Findings: Although some customers are guarded about the use of their credit cards, most of the respondents are confident in the service that Republic Bank provides and believes that implementing Chip and PIN gives them that added security against fraudulent activities, especially those customers that frequently travel abroad. Question 8: How do you think by using Chip and PIN cards for making payments will make it easier in transacting? Aim: To establish the efficiencies in the use of Chip and PIN cards, on the time taken to complete a transaction. Findings: Many customers applaud this technology as it reduces the time taken at the cash register when making purchases. It is simple, easy and convenient and most customers are truly happy as there is no need to write their signature. For this reason they find the system most efficient as it prevents their signature from the likelihood of being forged. ANALYSIS The main objective for the research completed on this topic, was to show how and to what extent the adoption of Chip and PIN technology has improved credit card security for Republic Bank cardholders. At a glance, before Chip and PIN technology was introduced in the UK, there was nation-wide educational literature on the benefits of the technology for banks, merchants and most importantly, the customers. However, it seems that this programme led by EMV, created more enthusiasm in the build-up to its implementation rather than the actual usage of the system. From the research, the mounting negative features of the technology and use of the system is outweighed the decreasing positive ones. It seems that the card theft criminals were focused on a solution to obstruct the successful use of the technology before the intention to use. The question remains, which facet of credit card fraud has Chip and PIN really reduced? The research show that for point of sale transactions Chip and PIN has been useful in the prevention of skimming ones card information, however the fraudsters have found alternative ways to improve on that tactic. Chip and PIN technology can only be used à ¢Ã¢â€š ¬Ã…“successfullyà ¢Ã¢â€š ¬? for point of sale transactions and not online transactions, so fraudsters have modified their techniques as with the modifications of the technology. Based on the research framework adopted, Republic Bank has measured their net benefits of adopting the Chip and PIN technology by encircling the information, service and system qualities to deliver user satisfaction and usage of the system with this technology. The success of any information system is multi-dimensional and the relationships among the constructs relate to the comprehensive evaluation of the system. The variable dependent on these constructs are the net benefits of this system, and for whom? This local company has app

My Bigger :: essays research papers

My Bigger   Ã‚  Ã‚  Ã‚  Ã‚  In Richard Wrights â€Å"Native Son† he magnificently describes how he came about of configuring Bigger. He used four specific people to create Bigger. Wright chose people that stood up for themselves almost to a fault. All of the people did have bad ends, but were nevertheless influential in Wright’s, life good or bad. Wright drew from his personal experiences with these people to manufacture Bigger reactions. There were many social circumstances that held Bigger back from succeeding, like poverty, the depression and even his own stubbornness. Bigger was just reacting to his surrounding like Wright’s people did, a good example of this is when Bigger kills the rat and keeps hitting it. That relates with when Bigger No. 5 drew the knife on the streetcar driver asking him to move to the colored car, and he said â€Å"Make me.† My people I’m going to talk about didn’t have to deal with such hardships, but did deal with more n ational and social challenges.   Ã‚  Ã‚  Ã‚  Ã‚  My Bigger No.1 had a great influence and impact on my life for 17 years and still going. He was born in the first year of the baby boom era. His childhood was good and privileged but it was when he got out of high school when things changed. He did go to college for a half year and flunked out. The country was in a transition period from the mid 60’s to the late 70’s and Bigger No.1 was right in the middle of it and old enough to be affected by it all. And at this time if a man from 18 to 25 wasn’t in college he had to get into the reserves or go to Vietnam where he might die. Bigger No.1 had missed the registration date for the reserves. He didn’t believe in the war and had no intensions of going to it. He was afraid like many men were then, especially if they didn’t like the cause. His father had been in WWII and had nearly died (when he and another man were walking side by side in the jungle they somehow switched places and tw o step later the other man was killed by a sniper). Bigger No. 1’s father was in the Army and he did get into the reserves, one month late. Bigger No.1 had to spend 4 years in the reserve. Now this wasn’t the hard part, it was what was in the middle.

How to measure employees’ performance Essay

Emulation of strategies incorporated amongst organizations is a tell-tale whereby the former company is performing admirably efficient and effective through well formulated resources allocation on its strategy. Of the many decisions a company must face to achieve success is how to measure employees’ performance and how to reward them (Kleiner and Gautreau 2001). For the avant-garde management accounting information system, it cannot live on financial measure alone because management can manipulate such data by cutting cost, investing less and hence forth. The accounting system requires a mix of non-financial and financial data to give a more balanced view of firm’s overall performance (Bushman et al. 1996). Research by Cumby and Conrod, 2001 indicates that non-financial information is highly value-relevant for knowledge-based industries and shown as an effective tool to evaluate an academic organization and demonstrate accountability to government and the public (Dorweiler and Yakhou 2005). Current non-financials could also predict organization’s future financial performance (Smith 2005; Amaratunga et al. 2001). Unlike usual performance measurements system decades ago, more importantly now, is to measure performances relative to organizations’ goals and strategies. Amongst other key issues in the development of performance measurement tools in past decades have been quandaries pertaining customer loyalty. The emerging new generation is more educated with their customer rights thus, more demanding. Declining customer loyalty is due to extensive choices. Hence, corporations have to focus strategy and behavior to not merely selling products/services, but also serving customers (Hope and Fraser 2001). Moreover, there has been a need to increase firms’ pace of innovation. Competitions have proliferated and firms must constantly refresh their strategies and methods; generating new business concepts and processes while coping with the changing nature of technology (Kaplan and Norton 2001). Additionally, prices are falling and costs ought to reduce to remain competitive and profitable. Hence, operation costs are challenged (Inman 2000). Furthermore, talented people are hard to find; even harder to attract. Firms then have to provide a challenging work environment that enables personal development (Hope and Fraser 2001). Large businesses were leading and performing well financially but by early 80s they were displaced as market leaders as competitors vie through quality, innovation, etc (Anthony 1998; cited by Kleiner and Gautreau 2001). Managing intellectual capital or Knowledge Management, is vital to gain competitive advantage at this era. Knowledge management being a long-term strategy, development of BSC helps the company to align its management processes and focuses the entire organization to implement it (Arora, 2002). By ‘implementing’ meaning turning the scorecard into a true management system and sustaining the system (Rohm and Halbach 2006). With BSC, intangible assets are valued (Marr and Adams 2004) while above issues have been addressed also. The scorecard actually balances external measures with the internal measures, financial with non-financial information and short-run with long-run performance drivers (Johnsen 2001; Cobbold and Lawrie 2002a). Strategy of firm in BSC is matched between internal capabilities and external relationships (Kay 1993; cited by Johnsen 2001). Strategy implementation is balancing internal and external demands. Management control and performance measurement are concerned with decision relevance, thus, performance indicators on the BSC are important to managers (Mayston 1985; cited by Johnsen 2001). Learning and growth perspective in BSC can sustain efficient employees while shareholders and customers’ needs are met by realigning values and sustaining good customer relationship in the customer perspective in BSC. Besides, business processes are innovated to keep up with the increasing pace of market uncertainties. BSC helps staff understand more, unlike before, how they could contribute to the strategic success of the organization as well as proven to be a valuable tool in linking vision and strategy to daily actions (CIMA 2001). BSC appears to be very effective and valuable for a divisional manager in a large US company (Mouritsen et al. 2005). The BSC has definitely helped in daily planning activities for different industries. The strength of the scorecard is that it has ascertained the reasons due to its ‘balanced-nature’ (Carmona and Gronlund 2003). In higher learning institutions, the European Foundation for Quality Management was used as performance measurement, do not reflect interests of all stakeholders and not linked to strategic management. Studies show that BSC is adopted instead (Cullen et al. 2003). Hotels also rely on non-financial and financial indicators with increasing confidence in strategic issues (Harris and Mongiello 2001). By using BSC, organizations can also minimize the negative consequences of risk (Scholey 2006) and identify cost reduction opportunities, resulting in overall improvement (Anand et al. 2005). Albeit Cobbold and Lawrie, 2002a claimed BSC to be complete as no additional perspective of believed worth is added, in reality, variations in basic BSC are common; some add a fifth perspective such as stakeholders, economic factors (Rohm nd; Lord and Shanahan 2006). Some express skepticism about the claimed positive results and commented that BSC is just a number crunching-exercise by accountants or just another latest management fad (Angel and Rampersad 2005). Norreklit, 2000 argued that 4 perspectives do not accommodate all intangible assets, changing the BSC framework may put the causal logic of BSC into question (cited by Marr and Adams 2004). She also argued that the BSC is not a strategic control model because of its rigidness and static focus (Lord et al. 2005). BSC has also been criticized because it is bias towards shareholders and fail to address to employees and suppliers (Smith 2005). Hoque, 2003 states that with wide ranges of measures, may lead to information overload. But findings show that BSC is not perceived to be a fad (Lord et al. 2005). There also appears to have no cause and effect dysfunctional organizational behavior as claimed, the only causal is the improved performance in one perspective leads to an increase in another (Lord et al. 2005). BSC is maturing and approached because of its flexibility (Lord and Shanahan 2006; Bible et al. 2006). It has been argued that BSC does consider employee satisfaction through the learning and growth perspective (Hoque 2003). Numbers of performance measures used were satisfactory and information overload was overcome through BSC (Yeniyurt 2003; McWhorter 2003; Arora 2002). However, BSC experiences difficulty in linking performance measures to strategy (Lord et al. 2005). Other issues include it does not tackle human resource and uncertainties issues usually done in PESTEL analysis (Smith 2005). In recent years, the Porter’s model had made its debut to help managers develop and implement long-term strategy (Sims 2001). The model is used to gain competitive advantage over another but does not define for the strategic unit or as a corporation (Sims 2001). It also does not take into account the dynamics of markets which is rapidly changing. Another development adopted by large number of companies is the Economic Value Added [EVA], which includes the cost of capital, hence creating value but was heavily criticized for not being different from traditional methods (Yeniyurt 2003). The Skandia Navigator [SN] was later developed to measure intellectual capital by adding human perspective to the financial, customer, process and learning perspectives (Roslender and Fincham 2001; Shaikh 2004). Although this opened new research fields on intellectual capital, the SN lacks incorporating financial and non-financial measures which is required to provide better performance measurement (Scarbrough and Carter 2001). Works have been done to modifying the traditional budgeting system-Beyond Budgeting Round Table [BBRT] emerged coping faster with changes and uncertainties of product and strategy lifecycles; leading to lower costs and value creation (Hope and Fraser 2001). Management By Objectives [MBO] by Drucker, 1954 is found consistent with BSC-retained emphasis on achieving financial objectives, focusing on marketing and customers and pursuing innovation (Johnsen 2001). MBO is more open-ended but lacks a valid performance measure while BSC is focused (Anand et al. 2005). BSC usage is higher than other management tools like TQM or ABC (Hendricks et al. 2004). BSC initially was a performance measurement tool, after placing strategy into it, BSC evolved to a strategic performance measurement system, illustrating flexibility and maturity (Bible et al. 2006; Cobbold and Lawrie 2002). Failure to focus attention and commit onto scorecard management and communicating them are reasons BSC whither and die albeit how successful the tool has been (Richardson 2004; cited by Hendricks et al.2004). In conclusion, it is important to realize the limitations of BSC. However, successful implementation by managers would bring about many benefits. 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National Junior Honor Society Essay

To be SCHA Queen would be a great accomplishment. I would be able to demonstrate my leadership skills and express my love for show and horses. As SCHA Queen, I would take great pride in being a spokesperson and representative for SCHA and be able to increase membership in SCHA. SCHA means a number of things to me. This was my first year, but I always looked forward to waking up and going out to ride. Another reason why SCHA means so much to me is it keeps me and my horse in shape for other things involving our riding career. Its always fun to see how much my horse changes and develops during the season, and even how I change throughout the season There’s no where to go but up, and that means improvement. SCHA has changed me by changing my attitude about competition. I’ve now learned that winning is not always everything. , it may sound cliche , but, everyone is a winner when you improve on anything. I also have become more confident horseman and I am able to push my hor se to do his best. I have only been riding for about 3 years and SCHA has truly brought out my inner horseman. Now that I am more confident in my riding skills I try to teach my horse new things as well as teach myself. In addition to new skills and confidence I also made new friends. I met new people and learned some facts about riding I hadn’t known before. In general I am very shy and usually keep to myself, but this season has really taught me how to come out of my shell and talk to everyone. I now know that I can talk to anyone in the club and they will be more than glad to help me with anything I may need. A key part of being Queen would be helping others in SCHA. This would include encouraging others during their events and being a good sportsman. I can also give positive feedback about what a person is doing while riding, to help them in a way that they can ride better and be a better sportsman. To help others in SCHA I can share the knowledge I have learned in SCHA and my experience with horses. Just as other people have shared their knowledge with me, I can do the same for other people so the horse community can grow. My friends are always curious about what I do with horses and what SCHA is. I’m lways more than happy to share that information with them in hopes that they will be bit by the horse bug too. Â  As SCHA quee n I will bring a good values, leadership skills and a positive attitude to SCHA. It would mean a great deal to me to be able to represent SCHA at this level level.