Meaning of Multinational Corporations: Drastic political changes taking place at the international level and the economic liberalisation across the globe has given rise to the wave of multinational corporations. History of multinational corporations is very old. Multinational corporations are giant firms with their headquarters located in one country and with a variety of business operations in several other countries.
They reflect an important trend in business practice. Early in the 20th century, quality was viewed by businesses as an additional cost of production. However, as businesses realized that high quality leads to more efficient and less expensive production processes, the pursuit of quality became a desirable goal.
Businesses began to implement quality control programs, and they began to require such programs of their suppliers.
Quality control programs proliferated at the same time that businesses were being globalized. This led to the realization that international quality assurance standards were needed to avoid the need to comply with multiple, conflicting systems.
The ISO series is a set of standards for quality management and quality assurance.
The standards apply to processes and systems used to produce products; they do not apply to the products themselves. Further, the standards provide a general framework for any industry; they are not industry-specific. A company that has a quality management system QMS that is "certified to" ISO has demonstrated that it has a documented QMS in place and that it is applied consistently.
The ISO series emphasizes prevention of problems and meeting customers' needs. ISO standards apply to all companies large or small, whether in services or manufacturing.
Before discussing quality standards, it is important to discuss the meaning of quality. Quality refers to the combined features of a product that contribute to its ability to meet identified needs.
Quality assurance processes must balance the needs of the consumer with the needs of the producer, however, the consumer is the ultimate judge of quality. The process by which quality is achieved is called quality assurance.
Quality assurance includes quality control procedures, quality plans, and other mechanisms. The process of implementing quality assurance standards is called quality management.
Quality assurance and quality management are the areas covered by the ISO series. More thancompanies around the world have been certified to ISOand nearly 1, additional businesses per month seek registration.
Competitive pressure is considered the primary reason for adopting ISOand in some markets adoption is obligatory. For example, in the European Union, ISO certification is a legal requirement in the medical devices, high-pressure valves, and public transportation markets.
This essay provides an introduction to the ISO series standards.
Background is provided including the history of the standards. The contents of the standards are summarized, and the certification process is then described. Reasons to adopt the standards and benefits of adoption are later discussed, followed by weaknesses of the standards.
This essay concludes by stating that ISO series standards meet important needs and have changed the daily operations of many businesses. But, if the standards are to continue to meet the needs of industry and society they must be continually reviewed and revised. The ISA focused primarily on mechanical engineering.
The idea of quality assurance dates back to World War II. To deal with quality problems related to manufacturing of defense equipment, the U.
Department of Defense instituted one of the first formal quality control programs in the world. The United Kingdom, influenced by the United States, developed its own quality standards for its defense industry.
These standards were conveyed to defense contractors who were expected to implement them to ensure quality defense equipment. The idea of industry standards continued to spread and develop throughout the world. The ISO published its first standards inand by it had published over 10, standards.
ISO Standards cover a multitude of topics including, but not limited to, paper sizes, a uniform system of measurement, symbols for automobile controls, film speed codes, and an internationally standardized freight container.
Inthe British Standards Institute BSI submitted a proposal to the ISO calling for the development of international quality assurance and quality management standards. Since then more standards have been added to the series. Overcompanies have been certified to ISOand those numbers are increasing rapidly.Ready or not, English is now the global language of alphabetnyc.com and more multinational companies are mandating English as the common corporate language—Airbus, Daimler-Chrysler, Fast Retailing.
Like any other multinational corporation, Acme Motors have been coupled with various economic implications and benefits to the foreign countries in which it operates.
Acme is a motor vehicle company headquartered in Nuevo Laredo but performing other international business in Mexico, Spain and other countries. Essay on Business: Multinational Corporations. challenges facing MNC [Year]Introduction A Multinational Corporation is an enterprise that delivers services or production in more than one country.
The following essay was submitted to the Harvard MBA program by our client. The client was accepted to the program. Long Run Objective.
My long-run objective is to achieve a senior managerial position in a large multinational corporation that markets, or preferably manufactures, commodities. Published: Mon, 5 Dec Outsourcing production and off-shoring service work offers cost advantages to a multinational Company, but can lead to criticism in its home country.
This is where Multinational Corporations (MNC) maximizes their benefits by investing in host developing countries through their technological and other assets advantage. These corporations are usually large firms operating in imperfect market to open up new sources of information and knowledge and broaden the options of strategic moves which make the company competing with its home and global competitors.