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Empirical Findings In Business Research Methodology Commerce Essay

The undermentioned information sing Tokai Carbon ‘s Structure and coordination between Tokai Carbon ( headquarter ) and TCP & A ; Tokai Tianjin ( subordinate ) is acquired from company ‘s web site, questioning via telephone with adjunct gross revenues director of TCP and E-mail interview with director of Tokai Tianjin in order to understand its construction and coordination of company. Nevertheless, some informations could non be accessed owing to confidentiality policy.

Tokai Carbon Co. , Ltd. is a transnational company which is the innovator of C black industry in Japan about century, established in April 8, 1918 with the caput office at Tokyo. Tokai Carbon as a leader who has ever maintained a high-performance merchandises and the universe ‘s top-class R & A ; D, has manufactured and sold four chief C merchandises which consist of C black, graphite electrodes, all right C and clash stuffs. Each one is used for specific intents. Carbon black is used as agent for tyres production and colouring agent for publishing inks, plastics and pigments. Graphite electrodes are used for recycling steel in electric furnaces. Fine C is used in a broad scope of new energy-related Fieldss, such as solar batteries etc. Clash stuffs are used for doing up the brakes and clasps on technology vehicles, bikes and cars, etc. Soon, the company has registered its capital to 22.45 Million Dollars ( 157.14 million Swedish Krona ) . ( Tokai Carbon ‘s Annual Report, 2008 )

In add-on, Tokai Carbon foremost established in Japan to bring forth C black for local demand and export to foreign markets. Harmonizing to increasing of clients ‘ demand in worldwide, the company has developed international schemes by spread outing its concern to planetary market so that company can better its place to be leader in C industry around the universe, and gives better and more comprehensive services to its clients. As a effect, based on higher tendency of internationalisation, Tokai Carbon found up attached house in abroad and the engineering is exported in order to react market demand and vie in world-wide degree. Tokai Carbon, female parent company which has produced and performed gross revenues activities globally in more than 20 subordinates in 8 states has located in Japan and diversified its concerns into three chief parts such as North America, Europe and Asia where is coordinating centre between headquarter and subordinates. ( Ibid. )

In Thailand, Tokai Carbon who had jointed venture with local spouse, Thai Oil Co. , Ltd. , established Thai affiliated company on October 19, 1989 known as Thai Tokai Carbon Product Co. , Ltd. ( TCP ) . TCP is good known in Thai C black fabrication and industries. The caput office is located in Sathorn, Bangkok and the works is located in Sriracha, Chonburi. TCP has 6 fabrication works units. Each unit can bring forth different C black class ( difficult class and soft class ) , with different capacity. Their entire one-year production capacity late was 111,000 metric dozenss. TCP has divided the C black gross revenues into 2 parts – domestic and export gross revenues. TCP has manufactured and exported C black to about 30 clients in 15 states all around the universe, including Japan, Spain, France, New Zealand, Taiwan, Pakistan, India and the ASEAN states. In present, TCP aims to spread out its market farther in Asia Pacific and Europe. As the ISO-9002 certification, the house has a passport to international markets, and can bring forth carbon black with clear cogent evidence of planetary criterions. Additionally, TCP operates the works and takes duty to the environment and environing society with the attention. ( Thai Tokai Carbon Product, 2010 )

In China, Tokai Carbon Co. , Ltd. had jointed venture with Sumitomo Corporation ( China ) Co. , Ltd. to put up Tokai Carbon Tianjin Co. , Ltd. ( Tokai Tianjin ) of which Tokai C ain 80 % and Sumitomo own the remainder 20 % . The works was established in April 2004 and located in Tianjin Economic and Technological Development Zone for production and gross revenues of Carbon Black, capacity of 40,000 dozenss per twelvemonth. ( Tokai Carbon Tianjin, 2010 )

China is really of import market to actively spread out concern since the ingestion rate of C black is lifting at more than 10 % , stand foring its flourishing car industry in China. In twelvemonth 2001, the demand for C black in China has exceeded that in Japan. The move to China is the first clip a Nipponese C black company has set up operations in China. China chief merchandises presently are divided into difficult and soft two series more than 10 assortments. For the tyre, automotive gum elastic parts, non-rubber makers use to supply assortment and high quality carbon black merchandises. In December 2006 the company achieved ISO9001 quality direction system enfranchisement, in January 2008 obtained ISO14001 environmental direction system enfranchisement, merchandise quality and environmental direction to supply a dependable warrant Tokai Carbon Co. , Ltd. Besides, Tokai Tianjin adopts many old ages the production of C black are formed with high-end engineering, and bit by bit spread out the energy used to bring forth particular C black tyres, auto parts for low-carbon and the screen residue usage for non-conductive gum elastic and for the black pigment, production of C black ink. Tokai Tianjin provides users with high-quality merchandises and satisfactory, good service, committed to societal part and the Earth ‘s environment mutualism. It intends to collaborate with the community and seek common development, continue to give strong support and encouragement. ( Ibid. )

5.2 Organization Structure

The vision of company is to go the world-wide leader in C industry and supply high-quality merchandises every bit good. Therefore, the company effort to beef up the abilities of technological development, achieve stakeholder ‘s outlook and pay attending to societal development. ( Tokai Carbon ‘s Annual Report, 2008 )

The ends and aims of steadfast consist of net gross revenues, runing border, return on equity and return on plus as important index of public presentation. In order to carry through the higher of the gross revenues sum, net incomes and the capablenesss of developing merchandises and engineering, the company shows accent on the importance of human resources by interchanging forces on a regular basis among headquarter and foreign subordinates. Besides, it fosters employees ‘ ability in order to do them win easier in spread outing its planetary concern. In add-on, the house attempts to develop high quality merchandises through joint partnership with other houses, support instruction with public establishments in order to beef up the coaction between divisions and within organisation. The house besides focuses on advancing activities by bettering concern processs, increasing the development of advanced value-added merchandises. In the company direction, it non merely measures the strength of operations in abroad and builds cost-competitiveness in conformity with rule of dependability and four guidelines, but besides have internal controls through describing fiscal information in conformity with Financial Instruments and Exchange Act ( J-SOX ) . Furthermore, the house goes on to recognize environmental saving, safety, corporate administration and corporate societal duties for activities. ( Ibid. )

In relation to corporate administration, the company concerns forming corporation, better quality of concern direction and assure of advanced corporate value. Based on corporate administration, the organisation is managed and map of top direction is enhanced. ( Ibid. )

Management policy and schemes are designed by Board of Directors which comprises nine members. Their meetings are arranged one time a month. Board of managers is responsible for doing determinations on critical concern affairs needed by corporate Torahs. Due to Executive Officer system launched in 1999, Board of Directors chooses and appoints Executive Officers who are in charge of managing with concern operations in assorted sections of house so as to promote in operational determinations and represent duties clearly. At the same clip, the meetings are managed and held by the president and the Executive Officers in diverse concern operations in order to see on managerial issues. Furthermore, Board of Corporate Auditors consists of four people who are needed to execute as hearers. It is necessary to go to the meeting of Board of Directors, Executive Meeting and other critical meetings in order to oversee the finding, the concern public presentation and show their thoughts. These meetings are besides arranged one time a month or as requested. ( Ibid. )

Furthermore, the house has internal scrutinizing office dwelling four people who have responsibility to better internal system which originates studies on all concern pattern within organisation. These studies are encouraged to execute and all remarks for bettering are considered and adopted. The results of these audits are informed to the executive managers. In add-on, the Corporate Auditors non merely go to Board meetings and indispensable meetings in conformity with policies and work allocation puting specified by Board of Corporate Auditors, but besides read through and do determinations on cardinal paperss. More significantly, they investigate plus direction and concern action within caput office and other subordinates and require subordinate companies to direct studies when needed. When internal auditing office has to inform the auditing consequences and issue instructions, they arrange run intoing with Corporate Auditors to get down to collaborate scrutiny and exchange thoughts on suggestions. This usually assures that information is transferred on personal degree and communicative connexions are kept being. ( Ibid. )

Board meeting has been conducted quarterly called as the corporate meeting between HQ and Thai subordinate. Pull offing managers and some Chief Executive Officer from Tokai Carbon come to go to board meeting in Thailand. Normally, direction squad presents the TCP ‘s fiscal public presentation to all company ‘s stockholders and commissions in order to follow work advancement and describe the current state of affairs of the company. Furthermore, supply meeting are held on monthly footing in order to portion client information and inform current gross revenues volume among section directors so that they all know the TCP state of affairs and so put up the schemes for each section to work expeditiously. ( Ms. A & A ; Mr. B, personal communicating, April 26, 2010 ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

Harmonizing to interview consequences, under the normal pattern, most of decision-making have to be approved from Tokai Carbon although pull offing manager at each subordinate has the mandate to command over the direction of its subordinate. Tokai Carbon has chiefly authority to command TCP and Tokai Tianjin ‘s determination devising in footings of selling, strategic and fabricating operations. But secondarily, it normally non merely coordinates its important activities like selling, gross revenues, stocks, finance and public presentation but besides eventually TCP and Tokai Tianjin make drumhead studies to Tokai Carbon. Normally, figure of stocks are checked and reported to headquarter every month whereas gross revenues sum are summarized and sent to headquarter everyday in order to inform fiscal public presentation. Besides, inquiring for blessing from Tokai Carbon is needed before executing any related activities. Additionally, Tokai Carbon still command TCP and Tokai Tianjin by look intoing fiscal public presentation and comparing to ends that TCP and Tokai Tianjin have to execute activities to make them. ( Ibid. )

In add-on, chief C merchandises are ab initio designed by female parent company and developed by research & A ; development in Japan so every bit to react local and international market. Mentioning to research & A ; development, Tokai Carbon has experienced about developing engineering for C black for 60 old ages. Tokai Carbon has cooperated with Toyohashi University of Technology and Japan Fine Ceramics Center in order to analyze C merchandises. Since Nipponese houses are the experts in advanced engineering, R & A ; D for new C black classs are conducted at Tokai Carbon as a centre of merchandise development and engineering. ( Tokai Carbon, 2010 )

In instance of TCP ‘s research and development, it concerns the alteration of production procedure. TCP tries to accomplish the maximization of production capacity by bettering productiveness through debottlenecking. In capital-intensive C black industry cut downing constriction can smooth the production procedure in the bing works and increase the end product of the whole works system. The key to success is first-class teamwork which go a long manner to implementing this system from the start. Good communicating and co-operation are concerned as portion of guaranting success. Another TCP ‘s development is production enlargement which means spread outing a new production unit, non making a new merchandise type. ( Thai Tokai Carbon Product, 2010 )

With the aid from HQ in Japan, Tokai Carbon Co. , Ltd. , there are uninterrupted developments of new classs of C black in order to run into the altering demand of automotive industry. TCP aims to supply the premium quality merchandises in conformity with good trained employees. With support of Tokai Carbon, TCP has been able to raise the merchandise quality and command merchandise criterion until the merchandises have met the standards for ISO9002 certification. Furthermore, TCP besides keeps forces along side with the latest developments since directors and employees at all degrees have contributed and done difficult working. This achievement is along with TCP ‘s corporate doctrine, recognized as province of the art production system from origin. Furthermore, TCP tries to non-stop develop both engineering and human resources at the same clip to maintain up with altering technological inventions, for tyre industries and man-made gum elastic. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

In add-on, refering schemes, chief schemes which non merely affect with selling, merchandises and advertizements are largely designed, planned by Tokai Carbon and conveyed to Thai and China subordinates in order to use harmonizing to their ain capablenesss, but besides both of them are able to put scheme for local competition even though pull offing managers have to bespeak the blessing from headquarter prior to execution. ( Ms. A & A ; Mr. B, personal communicating, April 26, 2010 )

In relation to chief resources in production such as provender stock oil, TCP and Tokai Tianjin can buy oil in the name of Tokai Carbon whereas other minor natural stuffs are purchased by each subordinate. TCP buy natural stuffs from both autochthonal providers which are from olefin workss and imports from the United States which are from refinery and liquidizer mills. For the US provider, buying understanding has been made in progress at current market monetary value whereas the theodolite clip to present the merchandises will take approximately 1 month. To be figure one of maker in C black industry in Thailand, TCP has forcefully tried to maximise clients ‘ satisfaction through merchandise quality and on-time bringing. ( Ms. A, personal communicating, April 26, 2010 ) Meanwhile, for Tokai Tianjin, high logistics and distribution costs of C black make it desirable for industries to hold a production base near to a market where merchandises are consumed. Natural stuffs are available in China. Therefore a fabrication base in China meets all demands for runing overseas. Tokai Tianjin is scheduled to provide high-quality C black chiefly to Nipponese and Euro-American tyre makers and Nipponese automotive gum elastic constituent makers, under a service construction equivalent to that in Japan. Furthermore, Tokai Tianjin envisions come ining into non-rubber markets such as those of high value-added merchandises necessitating colorants such as inks depending on the local state of affairs. ( Tokai Carbon Tianjin, 2010 )

For other resources like know-how, human resource and money, TCP and Tokai Tianjin use merely know-how from headquarter but human resources are acquired from engaging local people and headquarter whereas TCP and Tokai Tianjin use their ain capital. Nonetheless, TCP and Tokai Tianjin have competitory advantages over other subordinates such as Singapore since TCP has lower production cost and cheaper monetary value of C merchandises. ( Ms. A & A ; Mr. B, personal communicating, April 26, 2010 )

Furthermore, it can be found that Tokai Carbon is preliminarily responsible for planing direction construction for TCP and Tokai Tianjin, however both subordinates adopt this construction in conformity to local contexts and demand. Furthermore, Tokai Carbon has issued policies which are applied globally hence, TCP and Tokai Tianjin adjust some policies in order to fit with international Torahs & A ; ordinances which differ from each subordinate. ( Ibid. )

In add-on, Tokai Carbon has promoted rotary motion and preparation between headquarter and subordinates. Refering with making rotary motion, Tokai Carbon has utile policy to further directors or employees to make occupation rotary motion both within same state and among other subordinates so as to promote people to larn new cognition and experience in assorted facets from different civilizations such as Thailand and China. For case, Nipponese directors, pull offing managers or direction squad from headquarter are sent to subordinates in order to pull off the concern and operation production in Thailand every bit good as portion cognition about engineering or larn new thing such as how to command stock in warehouse in China. On the contrary, Thai subordinates ‘ directors and employees are besides rotated to headquarter in order to larn organisation direction, civilizations, working life styles and command operations. Besides, preparation is non merely another manner of increasing cognition, but besides is seen to relationship Godhead between headquarter and subordinates. For Thai subordinate, non merely on the occupation preparation and works visiting orientation are concerned, but besides some proficient staffs need to be trained by directing to Tokai Japan for go toing farther seminars to derive new cognition about engineering from headquarter, conversely, adept technician from Tokai Carbon are besides sent to TCP as a adviser for clients in Thailand and supply expertness to TCP. While China subordinate, Nipponese trainers came to give cognition about occupation, ends and regulations in order that everyone understand and cognize how to run into the marks. Along with bettering the efficiency of working at subordinate ‘s environment, both pull offing managers and proficient adviser have a Thai class to larn how to talk and communicating in Thai linguistic communication. In add-on, organisation civilization is embedded through the behaviour of Nipponese pull offing managers. ( Ibid. )

Apart from that, in order to confirm that all sections commence pull offing hazards on steady degrees by minimising and avoiding them in operation of concern, the house builds system in which all relevant sections are connected together and proper measurings are implemented rapidly and exactly. For Thai and China subordinate, directors in each section have to direct study straight to pull offing manager and so these studies are forwarded to headquarter. ( Tokai Carbon ‘s one-year study, 2008 )

TCP has divided and allocated work to each section based on maps which comprise of nine sections named as Production Operations, Marketing, Engineering, Maintenance, Technology Environment and Quality, Logistics, Finance & A ; Accounting, Procurement and Corporate Affairs. TCP ‘s activities focuses on gross revenues and selling ( 60 % ) and production ( 40 % ) . Marketing section is responsible for taking attention of both bing and new clients from which are divided into two groups ; chief clients and minor clients. TCP has freedom to take clients and headquarter find new clients for TCP in order to sell merchandises every bit good. Besides, importing and exporting merchandises are two chief responsibilities of marketing officer. Generally, Tokai Carbon can bring forth and administer C merchandises to clients by itself but if the merchandises are out of stocks, C merchandises are imported from other subordinates such as China and Singapore. On the other manus, other subordinates run out of stocks, Thai subordinate has to back up natural stuffs alternatively. ( Ms. A. , personal communicating, April 26, 2010 ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

Furthermore, mentioning to quality section, the merchandises are tested in the lab through this section to do certain that they are met the standards of clients ‘ specification before presenting to both domestic and oversea clients. Entire gross revenues compose of 80 % domestic gross revenues and 20 % export gross revenues. TCP ‘s clients have been classified into major clients, minor clients, auto-parts clients, agent clients and export clients. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

In add-on, refering with production direction, prediction is the cardinal of corporate strategic planning in long-run and critical constituents of a fabrication system. TCP need calculating to efficaciously better production operations. Production operations public presentation has been affected by calculating truth, because prediction and planning can non be separated in fabrication. Mistake prediction can damage the best effectual programs, and accurate prognosiss can be useless by hapless planning. Normally, gross revenues forecast is predicted based on past gross revenues informations and public presentation, moreover, the market conditions are analyzed and used for calculating gross revenues. Forecasting dramas two basic functions in organisation. One is to cut down the scope of uncertainness that challenges direction. Other is to broaden the scope of options available to directors. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

In each section of TCP, forecasts provide the guidelines to execute each functional country. For finance and accounting section, prognosiss are used for cost controlling and budgetary planning. Meanwhile the selling section is extremely comparative to production section since sellers are responsible to inform gross revenues forecast in figure to the production section based on their experiences and adept sentiment to foretell clients ‘ demand so production director can utilize as mentions to do the determinations on the programming, production capacity and stock list direction on a monthly footing. This program helps the company to equilibrate demand and supply. It can besides salvage chance costs of losing gross revenues and stock list cost of keeping merchandises in warehouse. Traditionally, these activities involve direction squad, gross revenues & A ; selling, finance, and production. It ‘s an aggregative planning, called cross-functional planning. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

However, direction squad a?‚a?­a?‡a??a?„a?? is the determination shaper who set the strategic planning including working procedure, clip program, budgets and ends for each section to implement. Nonetheless, the study of gross revenues prognosis and planning has to direct to Tokai Carbon and blessing from Tokai Carbon is required before execution. ( Ibid. )

The information from several sections are collected and so sent to pull offing managers for considerations. For case, finance section has to describe fiscal place study, hard currency flow statement and company liquidness, whereas selling section has to direct gross revenues study and clients ‘ demand through research. Production section has to direct production study and production control flow every bit good. Pull offing manager is the top direction who has a determination devising on this enlargement. However, pull offing manager has to suggest this undertaking to HQ and inquire for blessing as limitation. When the enlargement has been approved, most of employees are rotated from related and bing section or come from Tokai Carbon for spread outing a new production unit. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

5.3 Administrative System

There are four guidelines for members within organisation under corporate doctrine. To get down with, everyone has ability to make added value from bing resources in order to accomplish the mission. Power and attempt enhances the capableness of value creative activity. Following, steadfast focuses on just direction in order to construct value and keep net incomes continually. Then, house concerns environment as one of of import stakeholders and concern resources. It cares the concern direction harmoniousness with ecology. Later, house realizes internationalism and require agreeable guidelines to react planetary since it supports industry enlargement and trustworthy to worldwide. ( Tokai Carbon, 2010 )

The company issued just concern activities, one of corporate policies which controls all activities and is noticed by all top direction and other employees. What ‘s more, the house has besides issued a assorted sorts of internal regulations refering the concern matter pattern so as to explicate the work allocation of organisation clearly every bit good as duty and authorization. It puts attempt to construct just concern pattern system and obvious fiscal studies are assured. ( Ibid. )

Furthermore, the company emphasizes on transparent concern activities as grounded policy. It is indispensable to uncover information to clients, stockholders, employees and other parties without recognizing to advantages and drawbacks of house. Disclosure information is done harmonizing to appropriate Torahs such as Tokyo Stock Exchange ‘s Rules and Financial Instruments and Exchange Act. Besides, revelation information contains forecasted operating public presentation which is made by opinions or premises from available information. ( Ibid. )

TCP employees do their work following occupation description, company civilization patterns and policies that have been set by HQ. The basic regulations for daily operations is come to work duly and make the occupations harmonizing to company ‘s policies. In instance of any jobs, employees have to describe straight to their section director. The one-year vacations and societal benefits are besides set by HQ. ( Miss A. , personal communicating, April 26, 2010 ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

Management squad at HQ has a duty to measure each subordinate based on fiscal public presentation and production capacity at the terminal of the twelvemonth. First, Tokai Carbon set the mark in numerical per centum for each subordinate to easy mensurate and be clear for the subordinates to follow. Net income, return on plus ( ROA ) and return on equity ( ROE ) has been considered as the standards of rating. For TCP instance, the marks of the twelvemonth 2010 are set as operation net income 13 % , net net income 7.5 % , ROA 9 % and ROE 8 % . The mark has adjusted every twelvemonth for the concern challenges. When the marks are reached, inducements such as fillip and wage are given to the subordinates. The inducements are viewed as the sweetening of subordinates ‘ public presentations. Auxiliary director of each section has authorization to measure employees ‘ public presentation to give wagess or penalties. The results of rating have an consequence on their wage, fillip and publicity. ( Ibid. ) a?‚a??a?”a?‚a?­a?‡a??a?µa?™

5.4 Doctrine

Firm ‘s operation is based on basic Corporate Doctrine called as dependability. This is defined to dependability between endeavor and its stakeholders who are clients, stockholders, employees and society ( Tokai Carbon, 2010 ) . The dependability Fosters organisation to continuously run. In add-on, organisation builds other basic policies to pull off activities such as “ international cooperation, harmonious relationship and the rules of just corporate activity ” ( Tokai Carbon ‘s one-year study, 2008 ) . Furthermore, the company has another doctrine, “ plunging ourselves in the field of creative activity an accepting all challenges in order to better our fight ” . ( Ibid. )

Firm issued Code of Ethics for all managers and employees to advance sensible concern activities harmonizing to basic doctrine and guideline for pattern. “ Code of Ethics consists of just concern activities, conformity, information revelation, appropriate direction of information, Respect for human rights Confrontation with antisocial elements, Respect for abroad civilizations and imposts, Response to breach of the TOKAI CARBON Code of Ethics ” . ( Ibid. ) Initially, house should execute concern activities through just competition meanwhile good relationship had better be kept with clients, providers, managerial organisations and authorities. Second, concern activities of house should be performed conformity with regulations and ordinances including societal norms as good. Third, dependable information should be revealed in order to stand for concern activities ‘ transparence. Fourth, internal and external information such as rational belongings rights for 3rd parties should be managed suitably. Fifth, each person should gain the regard of everyone under working environment while human rights and privateness will be considered strongly and secured decently. Sixth, house will meet with some groups who torment societal safety. Besides, house does non affect with doing illegal or taking improper things into organisation. Seventh, concern activities will be conducted in conformity with ordinances of each state, international Torahs, civilizations and imposts in that state. Last, in instance of interrupting the regulations based on Code of Ethics, top direction straight look into the causes and effects in order to protect return. ( Ibid. )

In add-on, refering with TCP ‘s doctrine, it strives their best to keep a high quality of merchandises in order to run into clients ‘ satisfactions through province of the art engineering and internationally accepted quality system of ISO9002. Furthermore, the company tries to function clients by guaranting that merchandises are delivered to clients in the right clip at competitory monetary values, following the corporate doctrine as ties of dependability. ( Thai Tokai Carbon Product, 2010 )

On the other manus, the basic doctrine of the Tokai Tianjin focuses on “ trust bond ” to work for societal parts and the Earth ‘s environment mutualism. Businesss with clients, employees, investors, and societal dealingss between the alleged powerful people who have a entire relationship of trust between the activities of the endeavor support. Pay attending to this “ trust bond ” concern efficiency through concern activities, attempts to accomplish societal part of mutualism with the Earth environment. China has some significance as endeavors seek to develop and turn. ( Tokai Carbon Tianjin, 2010 )

5.5 Other subjects

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