'Kitchen Best Analysis Essay\r'

'Introduction\r\nKitchen exceed Appliance Company essential immediately encompass the estimable, cultural, wakeless and poor backing practices in point for the corporation to remain in transmission line. If the come with continues to twirl a dip optic to much(prenominal) behaviors as bribes, nepotism, illegal behavior and reckless cobblers lastangerment to customer the caller will only continue to find itself in a position that leaves it vulnerable to law suits, immoral charges, fines and incarceration of personnel. The guinea pig study returns a shed light on picture of what commode happen to ships partnership that does non communicate, enforces and support policies and procedures established to realise a agonistic, compliant, safe and sound and honorable workplace.\r\nAnalysis\r\nThe major social, respectable and legal challenges that Kitchen beat out and other small-and-medium-sized enterprises (SMEs) event doing cross smother commerce will be fal ld below. kindly challenges ar most easily identified in cultural differences among regions. For instance language barriers plunder bring on social challenges as rise up as differences in cultural beliefs and behaviors. Businesses must be prep ared to face language differences by having staff available that dejection speak and write in languages other than their native Australian tongue. Also the companies must be disposed(p) to check over and study the cultural differences for the countries that they respect to acquit agate line concern with. This is not only to determine if the designated area is a good place to conduct business, but in like manner to acquire the required knowledge needed to success amply conduct business.\r\nEthical challenges are even much severe for companies when dealing with two different sets of ethical standards, which usually are influenced by cultural standards. It is fully possible that in business dealings that a social club has opposin g ethical standards to operate indoors the two countries. In some destinations such activities as bribes, kickbacks, and nepotism are encouraged whereas other countries frown upon such practices. This is where research plays an important part for companies interested in expanding their business globally.\r\nLegal challenges just like ethical and social challenges have a major equal of SMEs who conduct cross border business. at that place are many forms of governments as well as legion(predicate) forms of legal strategys that vary among countries. While transmutation is accepted, diversity can amaze business moveion difficult as well as legally impossible. An typesetters case of legal challenges can be seen in revenue regularization, employee pay regulations, employee working condition regulations, safety device regulations and environmental impact regulations. If a SME is found in infraction of a particular law or regulation it could face extreme penalties as well as sanctions from agencies as the World Trade brass section.\r\nKitchen dress hat has foresighted since embarkd in creviceing entertainment and kickbacks to potential clients and business partners, which velocity caution has turned a concealment eye to. Such actions have led Kitchen outdo to be susceptible to legal risks. China, Macao and Hong Kong have combat-ready laws against such actions which are punishable by irons and fines. Since Kitchen Best employees participated in such actions, with the knowledge of upper worry, in both jurisdictions the company is liable on with the employees.\r\nThe focussing and overall governance system of Kitchen Best is below par. While the list of shortcomings is long the company can emend the situation by ever-changing the method in which it operates and creating effective policies. One of the biggest shortcomings of vigilance is the practice of spell a blind eye to subversive activity and inappropriate business practices. By turni ng a blind eye to such behaviors and activities perplexity is essentially condoning the employee’s actions. This is obviously a shortcoming that has led Kitchen Best precaution to knowingly participate in unethical behavior such as bribes and kickbacks. Along with the practice of turning a blind eye to the previous mentioned behaviors and activities concern as well as exhibited a shortcoming by not leading by example. In addition management did not create, confine and enforce policies and procedures for employees to follow. This could have prevented the shortcoming of non-governance of competitive practices and safety regulations as in the case of Haus de Metro.\r\nKitchen Best must utilize mechanisms such as effective ossification programs, risk assessments, accessible access of for employees to code of conduct and compliance policies and procedures. As well as the mechanisms mentioned above Kitchen Best must overly use persistent training for all staff including ma nagement on policies, procedures and current legislation. Use of weekly meetings and communication tools such as video conferencing will change the company to remedy communication between all facets of the company. engineering science overall will enhance the job accomplishment of employees, but can also be apply to create checks and balances within the company. For instance a system of web based approval could be apply for the payment of invoices that would allow the company to approve of cover any invoices including those for entertainment. With the advancement of technology companies have the talent to be â€Å"big brother” while also enhancing employee performance.\r\nHenry Chan can learn a grapple from the U.S. Foreign bumble Practices Act (U.S. FCPA) or the U.K. grafting Act. Chan can see the penalties that have been established for corrupted behavior as well as ways to prevent such actions. Since both are from westerly democracies Chan can compare to corru ption acts from China. This will enable Chan to view a variety of guidelines that will facilitate in creating his own policies and procedures for Kitchen Best. another(prenominal) advantage to Chan is that he will be better prepared for supranational business and the cultures of in which they exists.\r\nThe problems at Kitchen Best are related to Horatio Sze and Ma Luk. Through the years the company has made missteps in regards to managing staff. Without checks and balances or enforcements of policies staff had clean-handed reign with no consequences. Without pack supervision or accountability the management staff allowed the behavior to occur. The company allowed the inappropriate behavior of Sze and Luk by turning a blind eye to their actions. If the company had taken direct action such as disciplinary actions or even termination of either employee when their indiscretions became apparent the problems would have been prevented.\r\nTop managers are responsible when corruption i s afoot, particularly when return management has knowledge of the corruption. It is the responsibility of top managers to be aware of what is happening within their business. There is also a necessity for top managers to actively participate in business operations and to investigate any alleged corruptions within the company. In the case of Kitchen Best top management ignored allegations of corruptions. Another responsibility of top management is to take and notional baulk measures against corruption.\r\nIt is imperative that SMEs practice ethical management locally and internationally. In order for global business to expand along with the actual companies ethical management must be enforced. Ethical management not only assists in creating a fair and competitive business atmosphere, but it also enables progressive business relations with countries. Henry Chan can enhance his role in this regard by participating and enforcing ethical business practices. He can also pull ahead fr om exposure to companies similar to Honghua who have transitioned from an unethical management to an ethical management system.\r\nWhen faced with local expectations of â€Å"payoffs” or â€Å"referral money” staff should be advised to hail top management. Staff should consult policies and procedures forward taking any action, but in this case the seriousness of the situation requires management’s attention. Once management is notified of the situation the employee should then work with management to determine the best course of actions. It must also be stated that if the company has researched the business atmosphere the expectations of â€Å"payoffs” or â€Å"referral money” should not come as a surprise. Therefore the company can be prepared when the situation arises and will not have to make a snap decision.\r\nGuidance can be sought through numerous channels that take literature, readingal classes, expert knowledge, legislation and other professionals. exclusively of the resources could provide guide or research on business management and international business. The internet could also be utilized for information regarding business policies, procedures and desire business behaviors locally and internationally. The World Trade Organization is also a good resources as well as looking at such education facilities as Harvard School of Business. Both previously mentioned offer limitless information via their websites.\r\nThere are item steps and methods that Henry Chan can use to jock build Kitchen Best’s corporate culture for the long term benefit of the company. As mentioned before the creation, booking and implementation of policies and procedures that include compliance program. When creating and updating the policies and procedures of the company Henry Chan should consult legal counsel as well as other professionals who can provide expert knowledge. Henry Chan himself needs to improve his management ski lls as well as his ability to interact within different cultures. Another step to improve corporate culture is to remove employees that previously participated in unethical behavior. It is imperative that management lead by example and eliminate those who do not wish to contribute to a confirmatory corporate culture. By creating a culture of compliance the company can successfully perform in a convinced(p) manner. This can also be accomplished by providing training to employees, continuing to guide employees in the tight-laced way in business processes, having incentives for employees to reward positive acts and disciplinary measures for non-compliance to policies and procedures. Each of the steps mentioned above will resolve the issues of bribery, kickbacks, safety violations and uncompetitive contracting awarding. non only will the steps above stuff the current issues of Kitchen Best, but also establish preventative measures against such behaviors.\r\nConclusion\r\nHenry Chan and Kitchen Best can resolve their current business issues and improve the business operations of the company. While the Chan family’s intentions were to create and maintain a company their lackluster attitude towards corruption has made the company liable. With the suggestions provided in this analysis Kitchen Best’s business operations can improve and eliminate the corruption within the company. The scope of improvements necessary for Kitchen Best is vast, which will take a strong amount of time that will in the end prove worth wild.\r\nReferences\r\nDRS: Daniels, J. D., Radebaugh, L. H. & Sullivan, D. P. International business. (14th ed.) U. S. Dept. of justice (2012, noember). A resource guide to the U. S. Foreign Corrupt Practices Act. http://www.justice.gov/criminal/fraud/fcpa/guide.pdf Goo, S. & Loo, G. (2011). Kitchen Best: morals when doing cross-boundary business in Southern China (Product No. HKU948-PDF-ENG). Retrieved from http://hbsp.harvard.e du\r\n'