Chilean Copper Mine Collapse and Rescue Essay Example for Free

Chilean Copper Mine Collapse and Rescue Essay The tragedy with the happy ending all started August 5, 2010, when the mine collapses 33 workers are trapped at the Chilean copper mine 300 meters below the ground level. Safety codes require ladders for mines, and the miners attempted escape through the ventilation shaft system, but the ladders were missing. The mining operation soon became known as â€Å"Camp Hope,† for the next 69 days the dry, dusty, work site would be where rescue workers, officials, authorities, media, friends, and family of the trapped miners would call home. A small copper operation in northern Chile, owned by Minera San Esteban Primera, is in what many call the driest place on earth, the Atacama Desert. Some years earlier, the mine was shut down because of several accidents, including one death in March 2007. Later, in 2007 the mine reopened and the mine workers went back to mining the copper. In August 2010 when the accident occurred there were two groups of workers in the mine; the first group were near the entrance could escape, but the second group were so deep in the mine escape though the normal entrance was not an option. The workers quickly went to the ventilation shaft system only to find the ladders were not in place as requested in the orders written by the federation of Chilean mining workers and the confederation of copper works when the mine reopened. By the time rescue teams could respond these shafts were not accessible because of ground movement cause by the cave-in. â€Å"The Chilean government took over the rescue effort on the first day and poured enormous resources into the operation† (Kofman). By day two, rescuers had started drilling â€Å"boreholes† in the attempt to locate the miners and allowing listening devices to be sent down in efforts to hear if any of the miners had survived. A second collapse causes access to the lower shafts to be blocked and shut down operations. The trapped worker’s knew that rescue operations were in play because the 33 men could the noises below the ground. With limited food, water, and oxygen supplies officials are not sure if the trapped miners can survive four days in their current conditions. By day 17, eight holes had been bore using equipment that had been brought in because on site there was not ample equipment for a rescue of this magnitude. As one of the drill bits (normally used for oil drilling) returned to surface with a note attached, stating â€Å"Estamos bien en el refugio, los 33 (English: We are well in the shelter, the 33) (Wikipedia, 2010). Receiving this message was the first bit of given hope to the families that the collapse mine victims’ were all alive and well. This is when all involved began to change the facility once known as â€Å"San Josà ©Ã¢â‚¬  to Camp Hope. To this point in the rescue operations little talk of survival is the conversation, and this is to prevent false hope or any media mishaps. The authorities had given special thought and considerations to all persons involved in the tragedy. Many times is area’s such as Copiapo, Chile, the miners, the company’s administrative workers, and rescue personal are either friends or family, so by keeping this in mind the communications had to project that efforts to rescue would not cease until all hope is lost. Preparations fo r the rescue of the survivors were in operations, and the workers and the family members of the trapped miners needed refuge. Tents and shelters were set-up and become home as authorities announced the rescue could take several months. During the first 17 days, three plans have been put into place, in the rescue operations. All three of the plans worked in grand scheme of the rescue, in order for the trapped miners to survive this long a plan of survival had to come to play. A trapped shift-supervisor took on the role as survival leader, and gathered the men in a secure room, organizing their supplies with the intent that the few resources they had must last if they were to survive the rescue. Luis Urzula in a position of authority, and the men’s trust Urzula he explains ratios and organizes skilled men to go out into the mine shafts to assess the situation. Finally, workers’ from above can secure two holes, only six inches in diameter, but with the help of what is known as paloma, everything needed by the men below could be sent. Clothing, food, water, medicine, and sleeping supplies could be sent to the men. The items meant more than just survival, the items helped to establish trust that survival was possible. In the days to follow a small fiber optic video line is snaked down to the men. Each family is given the chance to see and speak to their loved ones; the ability to send and receive messages they receive encouragement. As the end of the month of August grows near, Plan A and Plan B toward rescue are in full operations. The trapped workers now have electricity, running water, fresh air, and the fiber optic video cable that allows the men to watch live soccer through their tiny TV, reported ABC News. Each of the men was allowed five minutes per day to communicate with their families and open-communications with the rescues. The once completely hopeless situation for all the company’s employees and the rescue worker, whether this is the professionals or the friends and families, they now feel the cohesion of the rescue efforts. In all of the communications questions were allowed and encouraged to ensure operations below and above ground were in complete collaborations for the efforts of the success in the rescue and to rejoin these families. September passed and October arrives, the rescue mission continues, in the time that has passed the assembly of people gave considerable care, and thought to each member of the rescue operation. Over the past 60 days, by establishing, a record level of compassion is felt, and a bond grew to encourage hope. Finally, on October 12, 2010 the first of the 33 miners was brought up in a rescue capsule, and almost 24 hours later the last trapped miner was brought to safety. The entire group of rescued miners underwent medical and psychological evaluations; within seven days of the rescue all 33 were home with their families. REFERENCES Sherwell, Philip. (2010). 2010 Copiapà ³ mining accident. Retrieved on April 21, 2011. http://en.wikipedia.org/wiki/2010_Copiap%C3%B3_mining_accident Weik, J. (2010, August 6). Over 30 workers trapped after Chilean copper mine collapse. Metal Bulletin Daily, (224), 65. Kofman, Jeffery. (2010). Trapped: Inside the Chilean Mine Collapse. Retrieved on April 19, 2010. http://abcnews.go.com/International/inside-chilean-mine-33-trapped-men/story?id=11622729page1

Early Judaism: Messianic Claimants/Messianic Expectations Paper

A messiah is a rather ambiguous term. It mainly means an anointed one; usually a messiah is considered to be a son of David and would reestablish Israel to what it once was. Because messiahs are anointed ones they would typically be Jewish priests, prophets and kings. However, a Messiah can also be a warrior, or a man of peace. (CITE) A messiah was to reestablish unity among the Jewish people and navigate through the hardships and oppression that they went through during early Judaism and bring a sense of freedom and relief. An array of messianic claimants came forth during the two peaks of Jewish rebellion, the death of King Herod the Great and the first Jewish war against the Romans. The first search for a messiah started in the sixth century BC when the Jews of Babylonia were exiled, they called for an anointed one that would bring them back to their home. The second time was when Alexander the Great brought down the Achaemenid Empire and left it to his Macedonian generals. The Jews were peaceful and tried to fit in more with the Greeks to avoid confrontation through this time. Ultimately when the Greeks pushed it too far and destroyed the temple the Hasmonean family led a revolt that bought independence back to the Jews. This period is referred to as the Hasmonean Dynasty. In response to this change of priesthood, the Jewish people reorganized themselves into three major philosophies; the Sadducees, the Pharisees, and the Essenes. When the shift went to Roman, the Jews lost their sense of freedom. They were then ruled by King Herod the Great which didn’t improve. Herod the great was a powerful, brutal and ruthless leader, who accomplished a large amount, however under his rule Jewish people were extremely poor and highly taxe... ... army by his side. Simon and his followers were well organized and systematic in their approach. Works Cited http://www.livius.org/men-mh/messiah/messiah_01.html http://www.livius.org/men-mh/messiah/messiah_06.html http://www.livius.org/jo-jz/josephus/josephus.htm http://www.livius.org/ja-jn/jewish_wars/jwar07.html http://www.livius.org/men-mh/messiah/messianic_claimants03.html Anchor Bible – Richard, Horsley Horsley, Richard A. "Menahem In Jerusalem : A Brief Messianic Episode Among The Sicarii--Not "Zealot Messianism." Novum Testamentum 27.4 (1985): 334-348. ATLA Religion Database with ATLASerials. Web. 4 Apr. 2012. Stern, Pnina. "Life Of Josephus: The Autobiography Of Flavius Josephus." Journal For The Study Of Judaism In The Persian, Hellenistic And Roman Period 41.1 (2010): 63-93. ATLA Religion Database with ATLASerials. Web. 4 Apr. 2012. Early Judaism: Messianic Claimants/Messianic Expectations Paper A messiah is a rather ambiguous term. It mainly means an anointed one; usually a messiah is considered to be a son of David and would reestablish Israel to what it once was. Because messiahs are anointed ones they would typically be Jewish priests, prophets and kings. However, a Messiah can also be a warrior, or a man of peace. (CITE) A messiah was to reestablish unity among the Jewish people and navigate through the hardships and oppression that they went through during early Judaism and bring a sense of freedom and relief. An array of messianic claimants came forth during the two peaks of Jewish rebellion, the death of King Herod the Great and the first Jewish war against the Romans. The first search for a messiah started in the sixth century BC when the Jews of Babylonia were exiled, they called for an anointed one that would bring them back to their home. The second time was when Alexander the Great brought down the Achaemenid Empire and left it to his Macedonian generals. The Jews were peaceful and tried to fit in more with the Greeks to avoid confrontation through this time. Ultimately when the Greeks pushed it too far and destroyed the temple the Hasmonean family led a revolt that bought independence back to the Jews. This period is referred to as the Hasmonean Dynasty. In response to this change of priesthood, the Jewish people reorganized themselves into three major philosophies; the Sadducees, the Pharisees, and the Essenes. When the shift went to Roman, the Jews lost their sense of freedom. They were then ruled by King Herod the Great which didn’t improve. Herod the great was a powerful, brutal and ruthless leader, who accomplished a large amount, however under his rule Jewish people were extremely poor and highly taxe... ... army by his side. Simon and his followers were well organized and systematic in their approach. Works Cited http://www.livius.org/men-mh/messiah/messiah_01.html http://www.livius.org/men-mh/messiah/messiah_06.html http://www.livius.org/jo-jz/josephus/josephus.htm http://www.livius.org/ja-jn/jewish_wars/jwar07.html http://www.livius.org/men-mh/messiah/messianic_claimants03.html Anchor Bible – Richard, Horsley Horsley, Richard A. "Menahem In Jerusalem : A Brief Messianic Episode Among The Sicarii--Not "Zealot Messianism." Novum Testamentum 27.4 (1985): 334-348. ATLA Religion Database with ATLASerials. Web. 4 Apr. 2012. Stern, Pnina. "Life Of Josephus: The Autobiography Of Flavius Josephus." Journal For The Study Of Judaism In The Persian, Hellenistic And Roman Period 41.1 (2010): 63-93. ATLA Religion Database with ATLASerials. Web. 4 Apr. 2012.

Ipad’s Integrated Marketing Communications Report

Table of Contents Introduction1 Apple’s Integrated Marketing Communications Programme for iPad. 2 Brand Positioning2 Target Audience3 Target market and segments4 Evaluation of the products’ Integrated Marketing Communications plan:4 Conclusion7 Recommendations7 Bibliography8 Introduction This report will discuss Apple’s Integrated Marketing Communications (IMC) Programme for their iPad product and how this is coordinated to communicate the iPad’s product positioning strategy.Apple’s iPad is a tablet computer adding a new genre to their mobile devices. The report will discuss the brand positioning and any recommendations for future IMC planning. Apple’s corporate headquarters are based in California in the US in the heart of the Hi-tech industry. They are global in terms of computer electronic consumable sales. Apple position themselves as a top of the range brand with pioneering innovations and consumer needs and wants in mind.Steve Jobs, for mer co-founder, chairman and CEO of Apple Inc. , made a compelling positioning statement during his introduction of the iPad at a conference in January 2010, he stated that the iPad is â€Å"so much more intimate than a laptop, and it’s so much more capable than a smartphone with its gorgeous screen† (STONE, 2010). Apple is committed to remaining in the forefront of innovation and quality, and therefore will sustain their competitive advantage in a rapidly evolving market.This report will also highlight the importance of media for Apple’s brand and how Apple have used this to reach its’ target audience and increase brand awareness. It will also question if Apple is focusing on the Marketing Communications Mix or are they relying more on the desire of the ‘brand’? The theory behind IMC is to use all aspects of marketing communication such as Advertising, Public Relations, Direct marketing and Personal selling to attain and sustain long-term cu stomer relationships while strengthening brand awareness and increasing profits.Apple’s use and effectiveness of the IMC campaign and their success from it will be discussed further in this report along with what message Apple are trying to deliver in their advertising of the iPad. Apple’s Integrated Marketing Communications Programme for iPad. The Apple brand is instantly recognisable throughout the world due to the company’s positioning strategy of their product line by way of product features, quality and ease of use to name a few. Their leadership in innovation gives the brand competitive advantage and this has fed the want and desire for the brand by consumers.Therefore the iPad having the Apple brand already created a certain am The Apple brand is instantly recognisable throughout the world due to the company’s positioning strategy of their product line by way of product features, quality and ease of use to name a few. Their leadership in innovation gives the brand competitive advantage and this has fed the want and desire for the brand by consumers. Therefore the iPad having the Apple brand already created a certain am Apple is no different to most organisations for using promotional and advertising tools to gain customers’ interest and the desire for their products.However, their marketing on innovation and design of the iPad also catches the attention of new potential consumers. To many the technology was not totally new, but the concept was and Apple focussed on that. Previous products from Apple put their brand in the limelight and made any new product launch a much anticipated one. amount of reputation, awareness and prominence in the marketplace before it was even launched. So how is Apple’s Integrated Marketing Communications organised to communicate the iPad’s positioning strategy? Firstly, we should look at the brand positioning and how the iPad fits in.Brand Positioning Brands and the management of brands have become very important elements of culture and the economy. A brand can increase the product's perceived value and therefore brand management and the marketing techniques used are seen as vital to increase brand equity and the positioning of their products. Marketers see a brand as an implied promise of the level of quality consumers have come to expect from the brands’ products and that future products will meet those expectations. Apple is seen as an ‘iconic brand that delivers revolutionary, beautifully designed and incredibly profitable products. (Daye, 2012). The ‘Apple’ brand is in fact Number 1 in brand value according to Forbes, saying it is worth $87. 1 billion, up 52% from two years ago (Forbes, 2012). The master of the Apple brand was Steve Jobs who was an excellent brand marketer and core to what Apple is today. He saw the future for Apple which was going beyond computers, therefore his first step was to remove the word ‘Com puter’ from their logo. Doing this allowed the company to diversify and expand into the world of mobile devices and more. Doing this allowed the company to diversify and expand into the world of mobile devices and more.Just as the products are very important for competitiveness, the brand is too, and the Apple brand certainly has succeeded in building up a very valuable good: an instantly recognizable and universally respected brand. This makes it easier to promote and sell the iPad. In fact, some brands over time become cult brands: consumers become passionate about the brand and levels of loyalty go beyond reason (Roberts, 2004) and Apple has become a cult brand in some respects. As mentioned in Steve Jobs’ compelling positioning statement in the introduction, he made two important statements about the product.They were that the iPad was between two already highly successful mobile devices, the laptop and the smartphone, and very importantly that the iPad had competi tive advantages over each. Apple brand followers were instantly excited and could not wait for the release of the iPad so they could be the first to have it, whether they needed such a device or not! The iPad was a game-changer in the tech world when released in April of 2010 and some believe it may end the personal computer era such is the strength of the brand. Target AudienceThe iPad’s target audience is not as clear as one would think, it turns out that it is very broad. The initial thought on the iPad by the media was that it was just a big iPhone that could not be used for regular phone calls, so who would want something like that? Apple believed, like for the iPod, that the iPad was for everyone. They got this perception when a year after the iPod was released many consumers still believed the device was for ‘techies and celebrities’. The task, therefore, was to use communications to inform world audiences that the iPod (and now the iPad) was for everyone, not just a select few (Fill, 2009).The fact that many features and programs on the iPad were inherited from the iPod and iPhone it meant that users would be familiar with the devices’ capabilities and have the advantage of mobile computing too. The iPad had the potential to target music lovers of all ages and denominations, it was a learning tool for both students and professionals with the addition of thousands of applications (apps) available. The variety of apps could attract consumers who love to read, share photographs, stay in touch through forms of email, forums, virtual meetings, social media and Apples’ ‘Facetime’ to name a few.This made the iPads’ audience vast and diverse. Target market and segments Segmentation is necessary because a single product is unlikely to meet the needs of all customers in a mass market (Fill, 2009). This should be the case for most products, however the iPad is satisfying many needs and desires. For example, du e to the variety of applications available, the iPad becomes an educational tool, a recreational tool, a business tool and a communication tool, all of which the iPad was designed for. It is clear the device is equally good for home use as well as business for both genders.But the competitiveness of the product is strengthened by Apple’s award winning dedicated music store, iTunes, which delivers seamless downloading of not just music, but books and movies too, which widens the target market and covers several market segments. The need to communicate through channels such as social media, example is Facebook, and websites specifically designed for mobile devices such as iVillage for women, make the iPad a very attractive device as it is stylish, light weight and now trendy to own one.Consumers of all ages and backgrounds can potentially own one as the price of the base model is relatively acceptable in terms of technical devices is concerned. Because of the potential to incre ase productivity businesses are scrambling to purchase the iPad, students and colleges want them, and they are seen being used by news broadcasters and presenters not to mention government representatives. Apple do not appear to target markets like other companies do, they tend to target people.They use elements of IMC and AIDA (Attention, Interest, Desire, and Action) to achieve and maintain customer loyalty and increase brand awareness. They managed to present complex technology in an easy, user friendly and fun way, a key to their success in many markets. Evaluation of the products’ Integrated Marketing Communications plan: Apple continued on the successes of previous products when launching their iPad product, using images and reminders of what those previous products have done for the world. Their marketing communications for the iPad very much focused on what the company has done and what they are best at.In the keynote presentation of the iPad, the company reminded us that in October 2001, Apple revolutionised the way people listen to music with the iPod, in April 2003 Apple revolutionised the way people buy music, videos and games with iTunes. In October 2007, they revolutionised the world of mobile communications with the iPhone, and now with the iPad, Apple will ‘revolutionise’ the world again. Steve Jobs’ enthusiastic description of the device during his Keynote in January 2010 makes the individual user feel that it was made for them, that they will â€Å"hold the internet in their hands and it is an incredible experience. Steve Jobs on many occasions has stated that he loves Apple products and their customers. This shows in the customer support Apple has invested in. The company internally is well briefed on how Apple wants to be perceived, again this shows in how secrecy shrouds products prior to their launch. Their communication mix is very much audience focused and always consistent. The message for iPad is clear, it is a device for the individual who could personalise it and bring it anywhere. Apples’ marketing objectives were quite simple for the iPad.Their approach has always been the same, but different to other organisations, their introduction was somewhat spectacular due to the fact that products prior to launch were always successfully kept a secret. This made Apple brand fans excited and other consumers intrigued. Apples’ marketing strategy is â€Å"It’s better to be simple† and it shows in their marketing communications as they keep their advertising minimalistic and product information in simple language. The main forms they use are social media, online advertising, presentation keynotes and sometimes viral marketing!Either way, the message is clear and simple; the product is exciting, fun and easy to use. This is unusual, as traditionally, technical products were always described by their systems’ statistics and technical terminology which the avera ge consumer does not understand. Brand awareness is increased because of the hype. The communication mix or marketing mix involves the implementation of a marketing plan consisting of: i) Promotion, ii) Product, iii) Price and iv) Place. The Apple brand is an incredibly strong brand hence ‘Promotion’ is mentioned first.Apple, surprisingly, do not spend as much on advertising as one would think. Media such as television and magazines are their main choice but what Apple did and did best were product launch press releases. As mentioned before, keynote presentations were what Apples’ former CEO was extraordinary at. And people who mattered most to promote and place the new product in the media through public relations press releases, were present at these presentations. Secrecy of a product generated interest and added to that the Apple brand which created hype, resulted in enthusiastic anticipation of the iPad launch.Commercials were simplistic but visually pleasin g and this enhanced the beauty and simplicity of the design and features of the iPad, exactly what Steve Jobs himself loved about Apple products. This is also mirrored in their shop designs featuring simple but sophisticated look just displaying the Apple products promoting their features. More recently, the iPad has been placed in most good computer electronic stores around the world and of course Apples’ own e-commerce website. It is now as easy to purchase the iPad as it is to buy shoes.The iPad, like other Apple products, is designed and manufactured to the highest standards as always maintained by the former CEO Steve Jobs. The Product is probably Apples’ most important ‘P’ in the communication mix as they believe they have the most a product can offer. â€Å"Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings. † (Apple, 2004). The products and the brand will push the other ‘Ps’ of the mix for Apple.Price was not as important for Apple as their products. With their iPad they have competitive advantage with innovation, they also have control with materials, such as touch screens and flash memory to keep costs down over their competitors. Most electronic goods’ prices generally fall as the product nears the end of its PLC, (Product Life Cycle). Not so much with Apple products. Apple manages to get people hooked on their products from an early age. The iPad, like other Apple mobile devices, are very easy and fun to use and have the capability of adapting to the user by means of applications and personalisation.Therefore, as the user grows older the device can contain more ‘mature’ applications. For example, games and early learning apps can entertain children while music and movies are a must for adolescences, and productivity and new s may be important for adults. Today we cannot live without social networking and weather information! This is a very clever way of reaching a varied target audience that is not confined to gender, demographics, interests, or even age and Apple use ‘apps’ to promote the iPad.The effectiveness of the IMC campaign is hard to measure for the iPad as an individual Apple product, as much of the interest is down to the loyalty of the brand also. Critics will always point to the negatives, but there is without doubt, evidence to show the iPad is a huge success. Promoting the iPad to young users, for example, in schools and colleges and images of celebrities and peers using them means it generates the desire to own one. Apple can also lock the consumer into the brand by linking their products and services so that they continue to use the brand through life.Conclusion Their advertising and in-store presentation of the iPad gives the product a prestigious image, but the ability t o allow the consumer to try it or ‘play’ with it in their stores shows the confidence the company has for their products’ capabilities and quality, and that is what consumers inevitably pick up on. For effective marketing there needs to be effective communication of the information of the product. Apple does it well, but they do it simply and that seems to work. The desire they have generated for the consumer to want a fun and productive device is unquenchable.Apple may not follow all the rules of Integrated Marketing Communications, but they are careful in the planning of a product entry into the market. Secrecy, hype, presentations and image are key to their success it seems and the Apple brand remains powerful and resilient. Recommendations Apple as a company must be transparent to remain credible and sustainable in today’s business climate. This will also aid in the expansion into emerging markets. The success of the iPad has been a cornerstone for the company roven by sales of nearly 40 million iPads at the end of 2011, according to Forbes, and they expect 73 million in sales by the end of 2012. This can be over confident and risky as they lack new innovation since the iPad 2 launch. To continue growth into 2013 Apple’s marketing strategy will need to focus on brand positioning, promotion, customer service and estimate a competitive price of iPad with additional features linking to research and analysis of the environmental forces to compete in the global market. A continual S. W. O. T. analysis would benefit to understand the company’s position.Promotion development and strategies can be extremely effective if Apple continues to focus on its strategic human resource management and by making consistent attempts to remodel its marketing plan to continue successfully. Bibliography Apple, 2004. Apple Press Info. [Online] Available at: http://www. apple. com/pr/library/2004/01/08HP-and-Apple-Partner-to-Deliver-Digital- Music-Player-and-iTunes-to-HP-Customers. html [Accessed 27th March 2013]. Daye, D. , 2012. Weakness In The Apple Brand?. [Online] Available at: http://www. brandingstrategyinsider. com/2012/12/crunch-time-for-the-apple-brand. html#. US860jAqyCl [Accessed 28th Feb 2013].Fill, C. , 2009. Marketing Communications. Fifth Edition ed. Harlow: Pearson Education Limited. Forbes, 2012. Apple Tops List Of The World's Most Powerful Brands. [Online] Available at: http://www. forbes. com/sites/kurtbadenhausen/2012/10/02/apple-tops-list-of-the-worlds-most-powerful-brands/ [Accessed 24th March 2013]. Roberts, K. , 2004. The Future Beyond Brands: Lovemarks. New York: Powerhouse Books. STONE, B. , 2010. New York Times. Inside Technology. [Online] Available at: http://www. nytimes. com/2010/01/28/technology/companies/28apple. html? _r=0 [Accessed 12 Feb 2013]. ——————————————–

Intrinsic vs. Extrinsic Incentivation How to Motivate Successfully - Free Essay Example

Sample details Pages: 7 Words: 1974 Downloads: 1 Date added: 2017/06/26 Category Management Essay Type Compare and contrast essay Did you like this example? Intrinsic vs. Extrinsic Incentivation à ¢Ã¢â€š ¬Ã¢â‚¬Å" How to Motivate Successfully? Extrinsic Motivation Moving on to describing and assessing external incentivation, almost all measures, depending on the definition used, can be summed up under one term: à ¢Ã¢â€š ¬Ã‹Å"moneyà ¢Ã¢â€š ¬Ã¢â€ž ¢. Whether it is the base salary, the bonus, the commission, the pension plan, health benefits, or the company car à ¢Ã¢â€š ¬Ã¢â‚¬Å" it all can be boiled down to a monetary value that is provided to the individual by an external entity. The aim of theses monetary rewards is to refund the individual for the efforts he is taking on in pursuing a goal on someone else behave and motivating him to do that in an efficient and effective way to his best means. This is the playground of classical principal-agent theory and has become one of the main research fields in motivation research. The goals of company owners, management, and the firm itself have to be aligned with the personal goals of each individual to create a consistent frame for activities. Controlling and reducing the à ¢Ã¢â€š ¬Ã‹Å"agency co stsà ¢Ã¢â€š ¬Ã¢â€ž ¢ inherent in the principle-agent relationship to a minimum is a key aim of external incentivation. Beside intrinsic motivation, which was discussed in the previous section, external incentivation is especially prominent in the context of managing a sales force as the principal-agent conflict is strong in these settings (Basu, Lal, Srinivasan, Staelin, 1985). One important reason for this connection is the relative detachedness of the sales representatives à ¢Ã¢â€š ¬Ã‹Å"on the roadà ¢Ã¢â€š ¬Ã¢â€ž ¢ from the rest of the organization. However, the transaction based nature of the sales process also makes it easy to track and reward performance, which in turn is one important instrument in handling the problem. The obvious question that large amounts of research have dealt with is, how to archive the alignment of interest, the transformation of external goals into personal goals of the individual, by using external incentivation in a meaningful and most efficie nt way. In the next paragraphs we will provide a brief overview of the research results aiming at answering this question and give some practical insights into how to apply these findings in practice. Don’t waste time! Our writers will create an original "Intrinsic vs. Extrinsic Incentivation How to Motivate Successfully?" essay for you Create order Principal-Agent Theory Principal-agent theory in principal discusses problems arising in settings where a person X, the principal, hires person Y, the agent, to perform a task that is in the interest of person X. If this task is for some reason not in the interest of person Y as well, he has an incentive to deviate from performing the task in the way intended by the principal. In theory the principal could deal with this problem by writing a complete contract specifying that the agent is receiving a payment, which is higher than the agentà ¢Ã¢â€š ¬Ã¢â€ž ¢s alternative choices, for performing the task as intended by principal and in all other cases the agent receives nothing. The underlying problem now becomes obvious when we consider that, first, there is nothing like a complete contract in real live and not all possible states of nature in the future can be captures already in a contract today and second, that the concept of complete and perfect information is just a theoretical construct rather tha n observable in reality. Most of the issues evolve around asymmetric information between the two parties with the agent normal having an information advantage. For example, the principal has no exact information about the pay-out structure of the agentà ¢Ã¢â€š ¬Ã¢â€ž ¢s different options and he often also cannot observe the agentà ¢Ã¢â€š ¬Ã¢â€ž ¢s efforts level in executing the assigned task directly (Eisenhardt, 1989). These issues create a huge problem for the principal as he is exposed to the risk of conflict of interest and moral hazard by the relationship with the agent. Managing this relationship in an efficient way to reduce the imposed risk and create an optimal outcome for both parties is therefore essential as the backup option of the principal in walking away from the relationship completely is in most cases a suboptimal outcome for both parties with lower overall welfare (Eisenhardt, 1989). Fortunately, research around the agency dilemma has produced several strateg ies of coping with principal-agent problems. Often cited tools with regard to employment relations are pay-for-performance/bonus-based incentives, promotion-based incentives, profit sharing, performance measurement/evaluation and bonding contracts/performance bonds (Baker, Jensen, Murphy, 1988). Further concepts discussed within the context of the agency dilemma are, among others, efficiency wages and the threat of employment termination as well as transaction costs dynamics. The general idea of most concepts trying to mitigate agency costs, as mentioned before, is to reach an alignment of the self-interests of the principal and the agent so that by fulfilling the task assigned by the principal, the agent is also acting within his own best interest. To reach such an outcome, the economic benefit for the agent in fulfilling the assigned task must be larger than his outside options. In addition, the principal generally expects the agent to invest high effort in carrying out the task, as the probability for a successful completion of the task is higher for high effort then for low effort. Investing a high effort in the completion of assigned task can be seen as the simplest definition of high motivation of an agent and thus, constitutes the link between the agency dilemma and motivation science (Bagozzi, 1980). However, for the agent, investing a high effort is costlier than just investing minimal effort in the task and the principle cannot observe directly if the agent is investing a high or a low effort (which is the standard case of information asymmetry). Therefore, the principal has to not only consider the outside options of the agent, but also the different behaviour options inside the organisation when defining a way to overcome the principal-agent inefficiency. Countermeasures for Sales Force Management In theory, a large set of instruments to handle agency problems exists, as mentioned in the previous paragraph. However, only a few of them are actually relevant and also accepted by practitioners in the context of sales force management. Beside the efficiency wage concept and performance measurement/evaluation, pay-for-performance/bonus-based incentives is by far the most used tool in controlling agency costs (Baker, Jensen, Murphy, 1988). The efficiency wage concept which basically argues that the payment of a wage premium above the market clearing price is economical rational due to the risk of shirking while facing high monitoring costs, the limitation of employee turnover and the bigger selection in recruitment. In contrast performance measurement/ evaluation is focusing on increasing the monitorability of the job performance of the sales representatives to reduce the issue of asymmetric information. Modern costumer-relationship-management software is able to provide the mana gement with extensive data about the sales representativeà ¢Ã¢â€š ¬Ã¢â€ž ¢s efforts and performance and thereby makes it easier to tie wage payments closely to invested effort level and performance. The most important instrument in coping with agency problems are, as mentioned before, pay-for-performance/bonus-based incentives. Within classical principal-agent-theory problems, when the principal can only observe an outcome that is linked to the effort level of the agent with a specific probability but not the effort level itself directly, the agent can be motivated to invest high effort by paying a bonus. For the states of nature that have a higher probability of appearance when high effort is exercised a bonus is paid and no bonus is paid when other states of nature are observed. The bonus has to be chosen in a way that the expected value for the agent is higher for always investing high effort than for staying with low effort. It depends on the payoff structure of the princ ipal and the agent if incentivising for high effort is optimal or if the needed bonus is higher than the expected additional profits of the principal and accepting low effort is advantageous. As the agent is normally assumed to be risk averse the effect of higher bonus payments is decreasing as he has to be compensated for the additional risk he is exposed to. In terms of sales force compensation packages that means that a high base payment is advantageous as it is valued higher by the sales representative than a risky bonus payment, as long as he is risk averse. The bonus payment should be just large enough to incentivise the high effort and commitment behaviour desired by the management. The bonus itself should be linked to an observable outcome which has the highest possible predictive power for the chosen effort level. That is definitely not the overall firm performance and also does not have to be the contribution margin of a customer or the new customer acquisition rate à ¢Ã¢â€š ¬Ã¢â‚¬Å" it can well be that items like à ¢Ã¢â€š ¬Ã‹Å"number of customer visitsà ¢Ã¢â€š ¬Ã¢â€ž ¢ are the best predictor of effort. However, with the sales representative knowing the performance measure an adverse incentive to optimize just this measurement and not to generally invest high effort is introduced. Thus, it can in turn make sense to relate the bonus payment to measure that are capturing positive outcomes for the firm like customer contribution margin, or harder to manipulate for an individual like overall firm performance as an extreme. The right balance and mixture of different measures the bonus payment is linked to, is therefore an important factor for a successful compensation plan (Misra Nair, 2011). Another important issue that is heavily debated within the research community is whether there is a link between job satisfaction and job performance and if high job satisfaction causes high job performance or if high job performance causes high job sati sfaction. This causality dilemma, which sounds at first glance similar to the question after if the chicken or the egg was first in the world, presents a real relevance to practitioners as it is a valid question if there is an advantage for management do shift resources into improving job satisfaction to achieve a higher performance or if performance should be addresses directly. In an empirical study, Richard P. Bagozzi discovered in 1980 that job satisfaction actually is correlated with performance. Sales representatives were found to be motivated by anticipating the satisfaction caused by high performance rather than by the performance itself. Therefore, the motivating factor for achieving high performance can be seen in job satisfaction, however Bagozzi concluded thatà ¢Ã¢â€š ¬Ã‚ ¦ à ¢Ã¢â€š ¬Ã…“perhaps the most striking finding is that job satisfaction does not necessarily lead to better performance. [à ¢Ã¢â€š ¬Ã‚ ¦] How, then, can one influence performance? The present study points to self-esteem as a key determinant. Management should enhance self-esteem by regularly providing positive reinforcement in the form of personal recognition and monetary rewards, as well as socially visible acknowledgement of good performanceà ¢Ã¢â€š ¬Ã‚  (Bagozzi, 1980, S. 71). This statement clearly point in a very interesting direction, stating that monetary rewards are no end in itself but should be used to increase the self-esteem of the employee and to express an appreciation for the employeeà ¢Ã¢â€š ¬Ã¢â€ž ¢s commitment. We can clearly recognize the bridge that is built by this research finding to Herzbergà ¢Ã¢â€š ¬Ã¢â€ž ¢s two-factor theory and Maslows hierarchy of needs addressed in the theoretic models-part of this paper as well as to the issues and importance of intrinsic motivation discussed earlier. References Bagozzi, R. P. (1980). Performance and Satisfaction in an Industrial Sales Force: An Examination of Their Antecedents and Simultaneity. Journal of Marketing, 44(2), 65-77. Baker, G. P., Jensen, M. C., Murphy, K. J. (1988). Compensation and Incentives: Practice vs. Theory. Journal of Finance, 43(3), 593-616. Basu, A. K., Lal, R., Srinivasan, V., Staelin, R. (1985). Salesforce Compensation Plans: An Agency Theoretic Perspective. Marketing Science, 4(4), 267-291. Chen, F. (2005). Salesforce Incentives, Market Information, and Production/Inventory Planning. Management Science, 51(1), 60 75. Eisenhardt, K. (1989). Agency theory: An assessment and review. Academy of Management Review, 14(1), 57à ¢Ã¢â€š ¬Ã¢â‚¬Å"74. Kissan, J., Thevaranjan, A. (1998). Monitoring and Incentives in Sales Organizations: An Agency-Theoretic Perspective. Marketing Science, 17(2), 107-123. Latham, G. P. (2012). Work Motivation. New York: SAGE Publication, Inc. Misra, S., Nair, H. S. (2 011). A structural model of sales-force compensation dynamics: Estimation and field implementation. Quantitative Marketing Economics, 9(3), 211à ¢Ã¢â€š ¬Ã¢â‚¬Å"257. Page 1