Hyundai Case Study

Asia Paci? c Business Review Vol. 12, No. 2, 131–147, April 2006 Globalization and Employment Relations in the Korean Auto Industry: The Case of the Hyundai Motor Company in Korea, Canada and India RUSSELL D. LANSBURY*, SEUNG-HO KWON** & CHUNGSOK SUH†  *University of Sydney, **School of International Business, University of New South Wales, †  University of New South Wales ABSTRACT Examination is made of the complex interactions between globalization and employment relations as re? ected in the operations of the Hyundai Motor Company (HMC) in Korea, Canada and India.After the closure of its short-lived attempt to manufacture cars for the North American market from Canada, the HMC ‘relaunched’ its globalization strategy in India in 1998. An examination of Hyundai’s experience in both countries suggests that employment relations is likely to continue to be an evolving blend of company-speci? c policies and locally-based practices. KEY WORDS : Global ization, management, unions, employment relations, production systems, Korea, Canada, India Introduction The effects of globalization on employee relations are widely debated.One view is that globalization has created pressures for convergence between different national settings, particularly as multinational enterprises extend their manufacturing and other operations across a variety of countries. Alternatively, it is argued that at national-level institutional arrangements play an important role in creating divergence between employment relations in different countries. As a consequence, globalization is not likely to lead to universal convergence of national patterns of employee relations.A third view rejects the simple convergence/divergence dichotomy and argues that there are complex interactions between global and national (or local) forces which shape the outcome of employee relations (Lansbury, 2002). The Korean automobile industry offers an opportunity to analyse this debat e as it pursues a strategy of globalization and begins the process of expanding production beyond Korea and building plants in other parts of the world. Correspondence Address: Professor Russell Lansbury, Faculty of Economics and Business, University of Sydney, NSW 2006, Australia.Email: r. [email  protected] usyd. edu. au 1360-2381 Print/1743-792X Online/06/020131-17 q 2006 Taylor & Francis DOI: 10. 1080/13602380500532180 132 R. D. Lansbury et al. Globalization of the Korean auto industry has occurred in a very short period of time. It began as a repair industry for vehicles released during and after the Korean War in the early 1950s. The ? rst assembly plant in 1955 had an annual capacity of 1,500 units. When the Korean government launched the ? st Five Year Economic Development Plan in 1962, it introduced the ‘Automobile Industry Protection Law’ and began to promote the auto sector as a key element in emerging Korean manufacturing industry. However, the ? edging Ko rean auto sector experienced uncertainty and ? uctuations during the 1960s. The Saenara Motor Company was established in 1962 under a technical alliance with Nissan, but due to shortage of foreign exchange went bankrupt and was taken over by the Shinjin Motor Company which was allied to Toyota.Shinjin assembled the Corona in a complete knock-down (CKD) form of production, whilst the Hyundai Motor Company began production of the Cortina in a technical alliance with Ford. The Korean government announced a ‘localization plan’ in 1970 under which the proportion of local content in passenger cars was supposed to increase from 38 per cent in 1970 to 100 per cent by 1972. However, the localization rate barely reached 50 per cent by 1972. A rapid period of growth occurred in the Korean auto industry during the period 1972– 82.The government announced ‘A Long Term Plan to Promote the Automobile Industry’ in 1974 which had three major targets: to achieve a loc alization rate of 85 per cent by 1975; a target of 80 per cent of domestic sales to be in the small car segments below engine capacity of 1500 cc; and an export target of 75,000 units by 1981. By the end of the 1970s, the Korean industry had three local producers: Hyundai, Kia (which had taken over Asia Motors) and Daewoo (which had absorbed Shinjin Motors).However, a global economic recession in late 1979 resulted in a severe excess capacity for manufactured vehicles and the Korean government announced a ‘Decree to consolidate the Automobile Industry’ in 1980. The plan required that small passenger cars would be produced solely by Hyundai and Daewoo; that Kia would concentrate on small to medium commercial vehicles; and that only buses and large trucks would be open to competition. This resulted in a substantial contraction of the industry and, by 1983, vehicle production had declined to the levels of 1979.However, production grew steadily again during the mid to late 1980s and expanded substantially in the 1990s (see Table 1). The 1980s and 1990s were a period of mass production as all three major companies built up their annual capacities and began aggressively to export Table 1. Korean automobile production and exports for selected years Production (000s) 1976 1981 1986 1991 1996 2001 Domestic Sales, % Exports, % 49 133 601 1,497 2,812 2,946 97. 5 81. 3 49. 1 73. 9 57. 0 49. 1 2. 5 18. 7 50. 9 26. 1 43. 0 50. 9Source: Korean Auto Manufacturers Association, Statistical Reports (various years). Globalization & Employment in Korea 133 Table 2. Comparison of production and sales by Korean and Japanese automotive companies for selected years (%) 1992 Korea Japan Overseas Production Domestic Production Domestic Sales Overseas Sales 3 97 Overseas Production Domestic Production Domestic Sales Overseas Sales 1995 4 96 25 75 73 27 61 39 35 65 55 45 64 36 Source: Li Song (1998) The Process of Globalization of the Korean Automobile Industry, Economics and Management Analysis, 18:1 utomobiles, particularly to North American and Europe. By the mid 1980s, more than 50 per cent of total production was exported. A comparison of production and sales by Korean and Japanese auto companies in the early to mid 1990s is shown in Table 2. In 1992, the size of the Japanese domestic market was ? ve times larger than that in Korea. During the early 1990s, however, the Japanese auto industry began to restructure in response to economic circumstances. By 1995, Japanese companies produced about 35 per cent of its global production through subsidiaries outside Japan.Their globalization strategy concentrated on expanding overseas production and coordinating components suppliers among various global production centres. In 1995, the proportion of exports to total domestic production in Korea was similar to that in Japan. Yet the globalization of the Korean auto industry focused mainly on exporting domestically produced vehicles until the mid 1990s. Altho ugh overseas production began to increase in the late 1990s, the proportion was still rather small and most production continued to take place in Korea.The duration of the globalization process among Korean auto companies has been shorter than their Japanese counterparts. The Korean auto sector adopted a similar strategy to the Japanese of entering foreign markets at the lower cost end and then moving upwards. However, in contrast to the Japanese who began by exporting to less developed countries, Korean auto companies exported ? rst to the developed economies of the European Union and North America and then to less developed countries in Asia. The Korean companies have encountered dif? ulties in developing extensive supply chains and global materials management required for a mature global production system, which have been hallmarks of the successful Japanese auto companies. Most of the important management decisions are still made in the head of? ce in Korea and relocation of com plete production systems overseas is still in the early stages. Furthermore, since the economic crisis of the late 1990s, Hyundai is the sole survivor of the three former major auto companies in Korea. Hence, the focus is on the experience of Hyundai as it seeks to ecome a global manufacturer with assembly plants in other countries. 134 R. D. Lansbury et al. Although there is an emerging literature about global automobile manufacturing by the USA, Japan and European companies, and their employee relations (see Boyer, 1998; Lewchuck et al. , 2001), little attention has been paid to Korean auto manufacturers which have also been seeking to establish an international presence (Hill and Lee, 1998; Kochan et al. , 1997; Kwon and O’Donnell, 2000). Examination is made of the experience of the Hyundai Motor Company (HMC) in establishing overseas plants, as part of its globalization strategy.It seeks to answer the question: ‘to what extent has the Hyundai Motor Company (HMC) app lied Korean approaches to employee relations, or adapted to local custom and practices in their overseas plants? ’ HMC provides an interesting case as it has embarked on a long-term strategy of becoming one of the world’s largest auto companies by expanding into new markets and establishing plants outside Korea. In order to achieve this goal, HMC has sought to develop effective and appropriate employee relations strategies for managing its employees in its overseas plants.HMC’s ? rst venture abroad was in the mid 1980s, when it established an assembly plant in Quebec, Canada. However, this was an unsuccessful operation and HMC closed the plant in 1993. HMC began operations in India in 1998 in an attempt to re-establish its credentials as a global automobile manufacturer. A major issue, which it has confronted, is the management of labour in India, where unions have been very active in seeking membership and bargaining rights in the auto industry, particularly wi th foreign-owned companies. MethodologyThe primary research approach used in this study was ethnographic, and utilized comparative case studies of employment relations policies and practices of the Hyundai Motor Company in Korea and India. Similar methodologies have been used by Frenkel (1983), Kalleberg (1990) and Oliver and Wilkinson (1989). The researchers undertook several ? eld trips to visit Hyundai’s assembly plants in Chennai (India) as well as in Seoul (Korea), over a three year period from 1999 to 2001. Interviews were conducted with managers and workers in these plants using a semi-structured interview schedule.Documentary material was also collected and analysed from the Hyundai Company in both countries in order to compare the of? cial company policies on employment relations with the prevailing practices at the plant level. Given the fact that Hyundai had closed its assembly plant in Quebec in 1993, the researchers had to rely on interviews with former employees and managers, now located elsewhere in the Hyundai Motor Company, as well as previously published accounts. Fortunately, an extensive study of the Quebec plant had been undertaken and published by Gregory Teal (1995).In his study, Teal noted that ‘while there was a managerial discourse of participation and diffusion of power [in the Quebec plant] the gap between this discourse and the real diffusion of power was such that a sizable minority of employees did not comply with managerial objectives’ (1995: p. 85). Teal’s ethnographic study of the Hyundai assembly plant in Quebec provided a rich source of comparative data for the study of the Hyundai plant in Chennai. Globalization & Employment in Korea 135 Background to the Hyundai Motor Company (HMC)The Hyundai business group is one of Korea’s oldest and most successful familyowned conglomerates known as ‘chaebol’ (Steers et al. , 1989). In 1997, the Hyundai business group had over 60 subsidiary companies, more than 200,000 employees and accounted for approximately 18 per cent of Korea’s Gross Domestic Product. In 2000, the Hyundai Motor Company (HMC) and its subsidiaries were forced to separate from the Hyundai group as a result of government policies designed to reduce the size and in? uence of the chaebols.The Hyundai conglomerate was established by its founder, Chung Ju-Yung, in 1946 as an auto repair shop. This small business expanded into a construction company in 1947 with the establishment of the Hyundai Engineering and Construction Company (HECC). During the Korean War (1950–53) with government support, the Hyundai business group expanded into a number of other areas of activity such as ship-building and heavy machinery. These are key industries which enabled Hyundai to diversify into related businesses, expand in size and maximize economies of scale and scope.The Hyundai Motor Company (HMC) began in 1968 as a complete knock down (CKD) assembler unde r an agreement with the Ford Motor Company. In 1976, HMC produced its ? rst originally-designed model, the Pony, using a low cost strategy with more than 90 per cent of its parts being sourced locally. Other new models followed and HMC entered the US market in 1986 with the competitively low-priced Excel. During the late 1980s, however, the international auto industry experienced considerable restructuring due to oversupply, excessive production capacity and intense global competition (see Womack et al. 1990). This gave rise to a number of strategic alliances between various auto companies via mergers and business partnerships. These were initiated to achieve economies of scale and to enhance the enlarged companies’ competitive positions in the international auto market. This was one reason whey HMC formed a strategic alliance with Mitsubishi in Canada. Studies of the Korean chaebol have tended to describe them as having similar characteristics to the zaibatsu in pre Second W orld War Japan: large, diversi? ed, usually family-owned and managed conglomerates (Amsden, 1989).The Japanese colonization of Korea, which lasted from the early 1900s to the end of the Second World War, resulted in the establishment of a number of institutions and practices derived from Japan and which in? uenced the way in which companies were developed and managed. The chaebol, like the zaibatsu, have used a variety of means to foster worker identi? cation with and dependence on the company (Janelli & Yim, 1993). Hyundai, for example, used the dormitory system (originally established by Japanese enterprises in the textile industry) to allow close supervision and control over predominantly young workers (Cho, 1999).This was accompanied by hiring and training schemes as well as paternalistic welfare systems to foster dependency among the workers. Most chaebol also used the ‘moral persuasion’ of the founder to elicit worker compliance by promoting the concept that the g ood of the nation was based on the company’s performance. The founder of Hyundai, Chung Ju-Yung, regularly exhorted his employees to embrace the ‘Hyundai spirit’. Independent unions were not tolerated and were banned by the government until the late 1980s (Kearney, 1991).Yet worker dissatisfaction with both the paternalism of the chaebol and authoritarianism of the state gradually built up to breaking point and contributed 136 R. D. Lansbury et al. to major industrial disputes and civil unrest resulting in the ‘democratization’ of Korea in 1987 (Choi, 1989; Ogle, 1990). Development of employment relations policies and practices at HMC were strongly in? uenced by the business partnership with the Mitsubishi Motor Company (MMC) which involved not only technical cooperation but also management development. MMC was actively involved in the design of the ? st full automobile manufacturing systems at HMC. MMC made a strategic investment in HMC equal to 10 per cent of HMC’s total capitalization. MMC also entered into an enhanced technological cooperation agreement to supply various parts such as engines, axles and chassis components. The ? rst model which HMC developed was based on the Mitsubishi Lancer. Elements of MMC’s system of labour management approach were utilized by HMC in order to enhance productivity and reduce production costs. These included quality control techniques and job design which sought to more effectively utilize workers.Professional engineers became central to the control of production operations and supervisors were given strict control over workers on the assembly-line. The human resource policies practised by HMC during its formative stage comprised two basic characteristics. First, a strict dual labour market created a division between managerial and production workers. HMC applied different selection criteria for each of these groups of employees. Second, a seniority system of promotion was d eveloped in order to strengthen the hierarchical structure of the internal labour market and to educe short-term labour turnover. Years of service was an important criteria for wage increases and promotion. As HMC expanded its production and hired more employees, however, it adopted what was termed an ‘Open Recruitment System’ (ORS) in an attempt to attract more university graduates and develop a professional management hierarchy. The ORS was also used to introduce more formal systems of recruitment for production workers which would enhance the quality of recruits to the production area. However, the dual labour market system remained and was even strengthened within HMC.Table 3 summarizes the criteria by which management and production employees were recruited. However, HMC argued that their approach to recruitment was transformed from one which relied on personal contracts or connections to one which was based on objective selection criteria. As Kwon and O’Don nell (1999; 2000) have shown, workers in HMC appeared to be more compliant than those in other parts of the Hyundai group until the mid 1980s. Part of the explanation may be the relatively secure employment conditions Table 3. Recruitment practices at the Hyundai Motor Company during the 1990s Management employeesResponsibility Target Groups Assessment Process Production employees Group planning of? ce University graduates Written exam (e. g. language skills) University degree Interviews by senior management and personnel management Personnel department at plant level High School leavers Test for relevant skills High School results Interviews by department head and personnel staff Globalization & Employment in Korea 137 at HMC, although some have argued that HMC workers witnessed the failure of strikes elsewhere and were more acquiescent about their conditions of employment (Bae, 1987).Furthermore, management in HMC and the Hyundai Heavy Industry group also used various means to opp ose the rise of an independent union movement, including physical violence, intimidation and the establishment of complaint in company unions. However, following reforms to labour legislation in the 1990s, HMC was forced to negotiate with unions over wages and conditions. The HMC trade union also became a central force in the formation of the KCTU as the national peak council for the independent trade union movement.One of the main policy responses by HMC to the emergence of a more militant workforce and trade union movement during the 1980s was the implementation of an extensive welfare system. Welfare expenditure by HMC increased from 286 billion won in 1986 to 857 billion won in 1990. Welfare bene? ts which had been limited to management were extended to production workers in the late 1980s. Various cultural programmes were organized in conjunction with training programmes and other activities in an attempt to build a ‘unitarist’ philosophy of loyalty to the ? m and reduce the anti-management sentiments of many workers. Unions made the improvement of welfare systems a major bargaining issue, particularly in the context of an inadequate state welfare system in Korea. The unions achieved the establishment of joint project teams with management to oversee a range of welfare programmes, such as the Employee Housing Construction Implementation Committee to build houses for workers. Scholarships were also obtained for children of workers by the unions in negotiation with management. Wages were the subject of vigorous negotiation between unions and management rom the late 1980s onwards. Wages at HMC increased by 20 per cent in 1987, 30 per cent in 1988 and 28 per cent in 1989 compared with only 6 per cent between 1982 and 1986. It was not only the amount of wages which were the subject of bargaining with the unions but also the wage structure at HMC. As shown in Table 4, the unions achieved increased allowances, bonuses and superannuation paid by HMC to its members. Hence unions were able to broaden the range of issues for negotiation with HMC from the late1980s and made considerable gains during the 1990s.In terms of the broad range of human resource policies and practices, however, HMC has continued to use various means in an effort to promote a convergence Table 4. The structure of remuneration at the Hyundai Motor Company during the 1990s Types of Remuneration Components Monthly wages Normal ? xed wage Other ? xed and variable allowances Performance-based pay Productivity-related pay Bonuses Superannuation Value-added remuneration Other forms of remuneration 138 R. D. Lansbury et al. Table 5. Comparison between employment relations practices adopted by the Hyundai Motor Company in the three plants in Korea, Canada and IndiaHuman resource policies and practices Korea Canada India Selection of employees based on performance-related criteria Training programmes which reinforce company norms such as loyalty and team spirit Emplo yee involvement in some aspects of decision-making at plant level Industrial relations Successful avoidance of collective agreements with unions Flexible wages system linked to productivity and/or performance criteria Internal Labour Market Arrangements High status differentiation between workers and managers at plant level Opportunities for promotion from the shop ? or to higher level positions within the plant Yes Yes Yes Yes No Yes No Yes No No No Yes No Yes Yes Yes No Yes No Yes No of interests between employees and management, while seeking to maintain control and authority over the workforce. The HMC union has been able to resist some of the management’s initiatives to change wages and working conditions, but HMC continues to control the basis on which selection and training of employees is conducted and there is still a strong degree of status differentiation between management and workforce. This is re? cted in large differences between wages, bene? ts and conditions of work between HMC employees at the shop ? oor level compared with those in the ranks of management. Some key employment relations practices are set out in Table 5 and a comparison is made between those that prevail in Korea compared with plants in Canada and India. Hyundai’s Experience in Canada In cooperation with Mitsubishi, HMC opened its ? rst overseas plant in Quebec, Canada, in 1985, in order to assemble the medium-sized front wheel drive Sonata model. The objective was to pro? from HMC’s initial success in Canada in 1984, with the Pony, when HMC became the largest auto importer in the country. Sales to Canada accounted for 30 per cent of HMC’s total production that year. By establishing a presence in North America, HMC sought to boost its sales and avoid the imposition of import quotas. HMC acquired a 400 acre green? eld site near the Canadian town of Bromont in Quebec for the token payment of one Canadian dollar and received $Canadian 110 million in gr ants from the Canadian federal and provincial governments as part of HMC’s total investment of $Canadian 325 million.In addition, the Quebec Department of Labour gave a $Canadian 7. 3 million grant to HMC to assist with training the workforce over a three year period. HMC built both a paint and a press shop to increase North American content (an important criterion for exporting to the USA) as well as because of problems in gaining components from Korea due to labour problems Globalization & Employment in Korea 139 and strikes at HMC’s Ulsan plant. Yet, when the plant was ? ally closed in 1993, one of the major contributing factors was ascribed to HMC’s failure to manage successfully relations with its Canadian managers and employees (Teal, 1995). An analysis of HMC’s experience in Canada offers some useful insights into the way in which the company sought to manage its workforce in North America. This is examined in regard to two key areas: human resourc e and industrial relations policies and practices. The data on which the account Hyundai’s experience in Canada is based is from a study of the Quebec plant by Teal (1995).More information was collected from HMC employees who had worked in the Canadian plant. Human Resource Policies and Practices The hiring policy of HMC in Canada was based on selecting employees who would identify with the company and its objectives. The selection process was lengthy and complex, with candidates spending four days being interviewed, tested for hand– eye coordination and subjected to personality tests. The key selection criteria for prospective employees were that they would be willing and able to do repetitive, monotonous work on an assembly line, as well as work in a team.The company explicitly sought younger workers, around 22 years of age, with little or no experience in the auto industry. Hyundai sought to socialize new employees in a way that promoted identi? cation with the comp any. All production workers were called ‘technicians’ and each employee was referred to as a ‘member’. All company employees wore the same uniform, irrespective of whether they were managers or shop-? oor workers. There was one cafeteria and one parking lot for all Hyundai employees.There was a wide range of sports and leisure activities designed to build team spirit and company ethic among all employees. The training programmes for new employees emphasized loyalty, motivation and team spirit. Some employees were sent to Hyundai’s production centre in Ulsan, South Korea. However, the organization of team work in the Quebec plant was different from Ulsan. The work teams in Canada were less hierarchical and authoritarian than in Korea, team members were encouraged to discuss any problems and there appeared to be greater job rotation within the teams.There was also a ‘Direct Communication System’ in the Quebec plant which was not present in Ulsan. Each team elected its own representative to a departmental committee. Team representatives from each department met regularly, with management playing an observer role at most meetings. There was also a health and safety committee to which workers elected their own representatives. During 1991 there were more than 50 meetings of Direct Communication committees at which more than 400 topics were discussed. Yet management found it dif? ult to satisfy the demands and expectations among employees. In 1991 there were nearly 160 complaints by workers concerning health and safety issues, of which only 100 were resolved. Industrial Relations A major concern of HMC was to avoid unionization of the plant in Quebec. The Canadian Auto Workers Union (CAWU) devoted considerable organizational 140 R. D. Lansbury et al. and ? nancial resources to attempting to organize the plant, without success, although by the time the plant closed in 1993, the union claimed to have achieved a growing lev el of support among the workforce.While much of the emphasis by Hyundai management was on more subtle means of union avoidance, by developing strong identi? cation of workers with the company, a number of employees who were thought to be sympathetic to or organizing on behalf of the union were suspended, transferred or dismissed. The union brought cases of alleged unfair dismissal before the Quebec Government Labour Commission and was successful in achieving an out-of-court settlement for a worker who had been dismissed in 1990.However, the union did not succeed in gaining a collective bargaining agreement to cover workers at the site. One of the devices used to prevent unionization of the plant was the formation of a pro-company, anti-union committee among the employees called ‘the Silent Majority’. It was formed in 1991 to dissuade employees from joining the union. The committee distributed pamphlets which alleged that if the plant became unionized, workers would lose money in union dues and their jobs would be insecure.The committee claimed that while workers were being laid off in other Canadian plants, which were unionized, Hyundai had hired new employees, opened a press shop and provided a high degree of job security. It also charged that the union was more concerned with protecting the jobs of workers in the ‘big three’ auto plants in Ontario where it had a large membership, rather than at the Hyundai plant. But faced with the depressed economic climate in Quebec and the disappointing sales of the Hyundai Sonata in Canada and the USA, Hyundai introduced a reduced work week for all employees and ? ally shut the plant in September 1993. Internal Labour Market Arrangements Distinctions between managerial and production workers were minimized in terms of status differentials within the plant (such as dining facilities), and workers were encouraged to participate in decision-making at the level of team or work group. Yet the work it self remained organized along Taylorist principles, with a strong division of tasks and demarcations between various job functions. Workers complained that even though they were supposed to be involved in a team-based approach to management, they were subject to ‘speed-up’ and work intensi? ation without consultation. They also claimed that Hyundai actively discouraged union membership by workers and refused to engage in collective bargaining. Hence, employee involvement in decision-making was highly restricted and had little impact on the internal labour market arrangements. Yet there existed greater opportunities for promotion of workers in production and other functions to higher level positions in the Canadian plant compared with similar plants in Korea and India. Experience of Hyundai Motor Company in IndiaIn 1996, ? ve years after the closure of the Quebec plant, HMC established a 100 per cent owned subsidiary, the Hyundai Motor Company of India (HMI), Globalizati on & Employment in Korea 141 to manufacture cars in India. It represented an investment of more than US$ 450 million. Construction of a plant with the capacity to produce 120,000 passenger cars per year was completed in Chennai, Southern India, in 1999. By May 2000, the Chennai plant was producing 100,000 vehicles a year and had captured 14 per cent of the Indian market.HMI produced two models in Chennai: Santro (999 cc) and Accent (1,499 cc), both of which achieved approximately one quarter of their respective market segments during the ? rst four months of 2000. HMI began its operation in Chennai with a workforce of 1,400 operating in a one shift production system in October 1998. By January 2001, the workforce had increased to 3,000 workers and a three-shift operation. It had become one of the fastest growing auto manufacturers in India and shared the lead with Ford of India in its respective market segments. It is dif? ult to make a direct comparison between Chennai and the Queb ec plant as Chennai was larger and produced two models instead of one. Nevertheless, HMI followed some policies similar to both the Korean and Canadian plants and also implemented HR policies and practices which emphasized selection procedures and training programmes designed to ensure that new employees are strongly integrated with the organization. However, due to lower labour costs in India, there was more reliance on labour-intensive methods and less use of automation than in Canada or Korean plants.Given the lower levels of education and skill among the Indian workforce, compared with Korea or Canada, there was a much greater presence of Korean managers and technical advisers in Chennai, particularly during the ? rst year of operation. The lines of demarcation between different segments of the workforce were also greater in the Indian plant and there was a more hierarchical structure in the Indian company. Some of these practices re? ected local norms in Indian work culture and industry.The experience of the Hyundai Motor Company in India is analysed with regard to three areas: human resource policies and practices, industrial relations and the internal labour market arrangements. Human Resource Policies and Practices HMI used a variety of HR policies and procedures to align the attitudes of its employees with the corporate culture. Training programmes within HMI re? ected the paternalistic nature within the company and emphasized the development of a strong work ethic among the employees. New recruits were given two-day basic orientation training before being allocated to a speci? c department.Most of the initial work skills are taught on the production line. There followed a job rotation programme which exposed workers to other parts of the plant operations. As Chennai is a mass production plant, most of the jobs were fragmented into relatively simple, repetitive tasks and there was a highly detailed division of labour. Much of the training beyond basic skills development was used to promote employee loyalty and develop harmony at the workplace in order to avoid internal con? ict. Workers were also encouraged to participate in productivity campaigns, employee suggestion schemes and quality control systems.There was a Supervisor Development Programme to enhance the skills of ? rst line managers. At executive level, there was a Management Development Programme to improve 142 R. D. Lansbury et al. the capacity of managers to think strategically, manage their time effectively and improve work methods and quality. The majority of workers at the Chennai plant were employed at trainee level for the ? rst three years and it was anticipated that some of these would leave the company after three years (when the traineeship ended) in search of better wages and conditions.By maintaining high turnover at this level, HMI could keep wages down and retain a group of low-paid trainees who were not permitted to join unions and could provide a †˜buffer’ should demand fall and the workforce need to be quickly reduced. In effect, the trainee position was a de facto short-term contract job, although some workers did receive promotion at the end of the trainee period. Nevertheless, promotion procedures were slow and were aimed at cost minimization, although employees with exceptional performance could receive rapid promotion.In general, it could take up to 20 years or more for production workers to rise to the highest level in their employment structure. There was a system of performance appraisal which varied according to the level of the position. When applied to the non-executive groups the emphasis of the appraisal system was on behavioural criteria such as discipline, attitudes to work, cooperation, punctuality and attendance. The system led to some con? icts between production workers and management, although it was supposed to enhance competition between workers to achieve the highest performance ratings.Wages p olicy was the most critical factor in enabling HMI to achieve a ‘cost effective’ approach to labour management. HMI’s goal was to minimize labour costs while providing management with considerable ? exibility to link allowances to productivity improvements. The total wage package comprised four key elements: a base level amount, a cost of living component, house rental allowance, a ? exibility allowance and a mixture of sundry other minor components (including travel, children’s education, provident fund etc. ).There was considerable variation in the ratio of different components depending on an individual’s position in the hierarchy. Hence, the base component of total salary varied from 60 per cent for managers to 30 per cent for production workers. According to HMI, this system helped to promote employee loyalty to the company. The wages of HMI employees were adjusted annually through increments paid in April and the wage structure was reviewed ev ery three years. During 2000, HMI came under pressure from its workforce to increase wages, and a 20 per cent increase was granted to trainees and junior technicians.The wage levels for trainees and junior technical employees at HMI compared favourably with other multinational auto companies in the same area, but were superior to Indian companies in the auto components sector. However, by having the vast majority of their employees at trainee level, HMI was able to contain its wage costs. The wages and salaries differentials between executive and non-executive employees remained fairly constant over the ? rst few years of HMI’s operation in Chennai, with executives receiving approximately six times that of production workers. However, it was dif? ult to gain accurate information about senior executive salaries paid by HMI. Anecdotal evidence from HMI and other automobile producers in India suggested that the foreign-owned companies shared information about wage Globalization & Employment in Korea 143 levels and generally maintained comparability so that they were not competing against each other in this regard. Hence, the variations between multinational auto companies operating within the Chennai area were minimal. However, there were signi? cant wage differences between the component suppliers (mainly local Indian ? ms) and the foreign-owned assembly companies. Furthermore, wage levels in the Chennai area were generally lower than those in the northern industrial zones of India as they had been industrialized for less time and were still ‘catching up’ to their northern counterparts. Industrial Relations HMI has been strongly in? uenced by the experience of HMC in Korea. From the mid 1980s, with the emergence of militant unionism, HMC experienced considerable industrial con? ict at its plants in Korea. There was a great deal of external intervention in an attempt to resolve con? cts at HMC, with varying degrees of success. Experience in Ko rea conditioned attitudes among the senior managers at HMI. One of the principal reasons why HMC chose to locate its plants near Chennai in the south of India, was that unions were not as well organized as in some other parts of India. The trade union movement is well established in India and is closely linked with socialist politics. The Indian Industrial Relations Act provides a range of rights for workers and unions. The Act guarantees freedom of association and allows for multiple unions in workplaces.It also seeks to facilitate third party intervention in the workplace to resolve industrial disputes. In 2000, trade unions were organized in 24 of the 28 major car manufacturers in India, although not in foreign-owned or joint ventures, including Ford, Volvo, Toyota and HMI. There were two major strikes in the auto sector during the late 1990s. One was a strike over wages and compensation issues at the Ascot-Faridabad plant and lasted 70 days. The other was at Hindustan Motors ove r factory conditions and wages and was 30 days in duration (Bhaktavatsala, 1992). During the ? st two years of HMI’s operations in India, there were no successful organizing efforts by unions or industrial disputes at the Chennai plant. Yet, as the plant became more established and HMI’s market share and pro? tability increased, production workers increasingly raised complaints about labour intensi? cation, low wages and limited opportunities for promotion. However, as the trainee workers comprise half of the workforce at HMI, and were not permitted to join a union or participate in industrial disputes, HMI management was able to resist union pressures.Another source of tension within the Chennai plant occurred between Korean managers dispatched to India from HMC in Korea, and local Indian management. An important contributing factor related to the management style displayed by some of the Koreans which the Indians felt was unsympathetic to prevailing customs and pract ices in India. They complained that their Korean counterparts frequently communicated with each other in the Korean language which excluded Indians from the decision-making process.For their part, a number of Korean managers claimed that the Indians lacked a strong work ethic and therefore had to be more strictly supervised in order to achieve the required levels of productivity. 144 R. D. Lansbury et al. The Koreans also argued that the caste system interfered with the ef? cient operation of the plant because some Indian workers were appointed by Indian managers to positions in accordance with their caste position rather than on the basis of merit. The Indian management system was regarded as unduly paternalistic by some of the Korean managers.HMI established a Works Committee, with the objective of resolving con? icts and differences at the workplace without involving unions. The works committee comprised equal representation from both management and production workers. The Commit tee met monthly and provided a forum in which disagreements over wages and conditions could be discussed and resolved. However, in the absence of a trade union, employees had little bargaining power in regard to management and the Committee had no means of enforcing its decisions. HMI management tended to use the Committee as a means for disseminating its policies among the workforce.The Committee did not have any jurisdiction to set wages or working conditions. While HMI has remained union-free and had not experienced any major industrial dispute, strikes occurred among component suppliers which were Korean joint ventures with HMI, including Donghee, Pyungbuang, Hwasung and Samrib. The disputes concerned wages, job security and welfare issues. The strikes had adverse effects on HMI’s production ef? ciency as many of the companies had a monopoly supplier relationship with HMI. The resolution of these disputes often required direct intervention by HMI. Internal Labour Market A rrangementsFrom the initial establishment of the Chennai plant, HMI adopted a dual internal labour market, which differentiated between managerial and production employees in relation to wages, promotion and welfare facilities. Initially, there were two classes of employees: executive and non-executive. In the executive group there were 11 categories while in the non-executive group there were 14 positions. Within the ? rst year of production, however, the total number of employees increased from 1,503 to 2,320 and there was pressure from the workforce to provide greater wage differentials based on quali? ations. Accordingly, the number of categories in the non-executive ranks was increased from 14 to 18 and two new classi? cations of junior engineer were introduced. The expansion in the number of layers within the non-executive group reduced some of the discontent about the limited status differentials in the organizational hierarchy. However, HMI placed restrictions on the number of promotions of workers to higher level categories. This is an important factor in the management of labour within the plant because, as mentioned previously, trainees have only temporary employment status for the ? st three years and are not permitted to join unions. Hence, their opportunities to gain advancement are limited. During the ? rst year of operation, almost all senior decision-making positions at HMI were held by Koreans dispatched from HMC. The Korean managers not only were heads of division, with responsibility for all key activities in HMI, but also some were placed at operational level to provide support and advice to middle level Indian managers and to coordinate management activities.As the number Globalization & Employment in Korea 145 of total employees increased during the ? rst two years of operation, the ratio of Koreans to Indians in the plant changed from 1:19 to 1:46. However, most key roles remained under the control of Koreans. In the production division , the ratio of Koreans to Indians underwent more signi? cant change, from a ratio of 1:26 in 1998 to 1:172 in 2000. This was in keeping with HMI’s policy of becoming less reliant on Korean managers at plant level. DiscussionThe comparison of HMC’s operations in three countries demonstrates that there are complex interactions between globalization pressures towards a uniform approach to employment relations across various countries and divergent tendencies at the local level in each country. Although HMC sought to carefully select employers at its plant in Canada who would identify with the company’s objectives and follow its procedures, the Canadian workers were willing to challenge management decisions and to exercise their rights on issues such as health and safety.This was despite the fact that the Canadian Auto Workers Union was unsuccessful in gaining collective bargaining coverage of the Bromont plant. Although HMC were able to remain non-union, they had a divided workforce and were not able to implement the full range of Hyundai-style human resource policies and practices as planned. Although the closure of the Canadian operation was primarily due to disappointing sales of the Sonata model, poor employee relations were also a contributing factor to Hyundai’s failure in Canada.The Indian operations marked an important attempt by Hyundai to relaunch its globalization strategy and demonstrate that it could successfully manufacture and sell overseas-made Hyundai vehicles outside Korea. The employee relations practices which Hyundai implemented in India were more like ‘traditional’ Korean approaches and appeared to represent a ‘retreat’ from some of the more ‘progressive’ ideas which were attempted in Canada – such as a ? atter hierarchical structure and greater employee participation in decision-making (albeit limited in scope).But the Indian plant was more labour intensive and had lo wer labour costs, which is similar to the earlier stages of auto production in Korea. Unlike the current situation in Korea, where HMC is required to negotiate with the union movement (due to both its organizational strength and changes in legislation), Hyundai has so far been able to avoid unionization in India. It remains to be seen whether the widespread nature of unionization in the Indian auto industry and political pressures in India may force Hyundai to abandon its policy of union avoidance.An alternative strategy, pursued by some other foreign auto companies in India has been to recognize or foster enterprise unions, which may be more cooperative than industry-wide unions. Implications As has been noted in other studies of auto companies, which established transplants outside their home country, there is a strong tendency towards ‘hybridization’ both in terms of production methods as well as employment relations. This has been observed in the case of Japanese co mpanies which have 146 R. D. Lansbury et al. established plants in the United States (see Cutcher-Gershenfeld et al. 1998), but it has also occurred with US auto companies in Canada (Lewchuck et al. , 2001) and European auto companies which have opened plants in other parts of the world (see Boyer et al. , 1998). It would appear, from the current study, that a similar tendency is occurring within the Hyundai Motor Company as they seek to re-start their overseas production activities in India. A more diversi? ed employee relations strategy, which takes into account the demands of local employees and their unions, may be required if Hyundai is to continue to develop an effective global production system.For its global ambitions to be realized, Hyundai will require a much greater proportion of its manufacturing to be undertaken outside Korea, the development of global supply chains and global coordination of production, marketing and technology development. The experience of Hyundai in Canada and India suggests that employee relations are likely to be an evolving blend of company-speci? c policies and locally-based practices, depending on the context in which Hyundai is operating. ConclusionsThe experience of the Hyundai Motor Company in India illustrates the complexity of the impact of globalization strategies on employment relations. It supports the hypothesis that there are dynamic interactions between global and local forces, which shape employment relations when a multinational enterprise establishes a production facility in a country outside its home base. Hyundai has applied some of its human resources policies from Korea to India, such as training programmes to reinforce employee loyalty to the company, but it has provided fewer opportunities for employees to be promoted from the shop ? or to higher-level positions within the plant. This has caused resentment among some of the Indian employees who feel that they have limited career prospects in the compan y. Hyundai has also successfully avoided unionization despite the fact that unions have collective agreements with most local automobile producers in India. It remains to be seen whether the Indian unions will be able to apply pressure successfully to the company to bargain collectively or persuade the government to require Hyundai to negotiate with the union over the wages and conditions of its employees.Acknowledgements The authors wish to acknowledge the Australian Research Council (ARC) for their award of an ARC Discovery Grant for this research project and the helpful comments of the reviewers and editors. References Amsden, A. (1989) Asia’s Next Giant: South Korea and Late Industrialization (New York: Oxford University Press). Bae, K. H. (1987) Automobile Workers in Korea (Seoul: Seoul National University Press). Bhaktavatsala, R. C. (1992) The Indian automobile industry: patterns of expansion, entry and performance, Management, Journal, 5(2), pp. 7– 111. Globali zation & Employment in Korea 147 Boyer, R. (1998) Hybridization and models of production: Geography, history and theory, in: R. Boyer, E. Cherron, U. Jurgens & S. Tolliday (Eds) Between Imitation and Innovation: The Transfer and Hybridization of Production Models in the International Automobile Industry (Oxford: Oxford University Press). Cho, H. J. (1999) The employment adjustment of Hyundai Motor Company: a research focus on corporate-level labour relations, Korean Journal of Labour Studies, 5(1), pp. 63–96 (in Korean). Choi, J. 1989) Labour and the Authoritarian State: Labour Unions in South Korean Manufacturing Industries (Seoul: Korea University Press). Cutcher-Gershenfeld, J. et al. (1998) Knowledge-Driven Work: Unexpected Lessons from Japanese and United States Work Practices (New York: Oxford University Press). Frenkel, S. (1993) Workplace relations in the global corporation, in: S. Frenkel & J. Harrod (Eds) Industrialization and Labour Relations, pp. 37–63 (Ith aca, NY: Cornell ILR Press). Hill, R. C. & Lee, Y. C. (1998) Japanese multinationals in East Asian development: the case of the auto industry, in: L.Sklair (Ed. ) Capitalism and Development (London: Routledge). Janelli, R. & Yim, D. (1993) Making Capitalism: the Social and Cultural Construction of a Korean Conglomerate (Palo Alto: Stanford University Press). Kalleberg, A. (1990) The comparative study of business organizations and their employees, in: C. Calhoun (Ed. ) Comparative Social Research: A Research Annual, pp. 153– 175 (Greenwich, CT: JAI Press). Kearney, R. P. (1991) Warrior Worker: History and Challenge of South Korea’s Economic Miracle (New York: Henry Holt & Coy). Kochan, T. A. , Lansbury, R. D. & MacDuf? e, J. P. 1997) After Lean Production: Evolving Employment Relations in the World Auto Industry (Ithaca, NY: Cornell University Press). Kwon, S. H. & O’Donnell, M. (1999) Repression and Struggle: the State, the Chaebol and the Independent Trade Unio ns in South Korea, Journal of Industrial Relations, 41(2), pp. 272– 293. Kwon, S. H. & O’Donnell, M. (2000) The Chaebol and Labour in Korea (London: Routledge). Lansbury, R. D. (2002) The impact of globalization on employment relations: the automobile and banking industries in Australia and Korea, The Bulletin of Comparative Labour Relations, 45, pp. –16. Lewchuck, W. , Stewart, P. & Yates, C. (2001) Quality of worklife in the automobile industry: A Canada–UK comparative study, New Technology, Work and Employment, 16(2), pp. 72– 87. Ogle, G. E. (1990) South Korea: Dissent within the Economic Miracle (London: Zed Books). Oliver, N. & Wilkinson, B. (1989) Japanese manufacturing techniques and personnel and industrial relations practices in Britain: Evidence and implications, British Journal of Industrial Relations, 27(1), pp. 73– 91. Song, L. 1998) The process of globalization of the Korean automobile industry, Economic and Management Analysis , 18(1), pp. 20–35. Steers, R. M. , Shin, Y. K. & Ungson, R. (1989) The Chaebol: Korea’s New Industrial Relations Might (New York: Harper & Row). Teal, G. (1995) Korean management, corporate culture and systems of labour control between South Korea and North America, Culture, 15(2), pp. 85–103. Womack, J. P. , Jones, D. T. & Roos, D. (1990) The Machine that Changed the World (New York: Macmillan).

Boys vs. Girls

Commonsense beliefs about boys and girls are not arbitrary. According to Archer and Lloyd (2002), they are associated with coherent ways of understanding the world in which we live, which for many centuries have been presented to each succeeding generation in the form of religious truths. The following little experiment demonstrates one situation where girls have outdone boys. Three boys and three girls were asked to kneel on the floor with their legs together by their high school teacher.All of them were made to bend forward and put their elbows up against their knees. Lipstick containers were placed upright at the end of the six young people’s fingers. Then, they were made to kneel up straight with their legs still together, with hands clasped behind their backs above their waists. They were then told to keep their arms and legs in their position while leaning forward, knock the lipstick container over their noses and return to the kneeling-up position. The observation was t hat girls can do it while boys can’t.The reason that this happened is because girls tend to have more body weight in the lower half of their bodies than boys do so they can balance better. But this little story/experiment does not prove that girls are better than boys. There are just some things that girls perform better than boys, AND vice versa. For instance, boys are observed to do significantly better than girls at mathematics, and understand relationships in the physical world better than the opposite sex (Archer and Lloyd, 2002).Conversely, girls are better at processing language than boys, which goes a long way toward explaining why girls overall have better communication than their gender counterparts. All of these examples and the experiment stated above just means that girls and boys are different. Differences do not imply an order of rank. Oranges and apples are different, but that doesn’t mean oranges are better than apples. Ovaries and testicles are differ ent, but that doesn’t mean that one is better than the other. WORK CITED Archer, J. & Lloyd, B. (2002). Sex and Gender. (2nd Ed. ). New York: Cambridge University Press. Boys vs. Girls Boys and Girls had always been perceived to be greatly different from each other. It has been stereotypically observed that when the doctor shouted, â€Å"It's a baby boy,† the nurse will wrap him around a blue cloth while on the other hand when the doctor declares, â€Å"It's a baby girl,† a pink cloth will then be wrapped around her. But aside from the usual determining colors associated with boys and girls, what other factors set both genders apart and make them distinct? According to Armin Brott, baby boys are slightly heavier and longer than girls at birth.This is why many first-time mothers spend longer labor hours and it ultimately leads to higher birth trauma resulting to more irritable actions among the boys than the girls (Brott, 2008). He also adds that boys are more inclined in a more energetic and rough games as compared to the girls who like to pretend and mimic (Brott, 2008). In accordance to this perception, Leonard Sax, a doctor and a psychologist asser ts that boys and girls differ in their view of the surroundings and environment.In studying the outlook of the girls, he showed an image with â€Å"a girl, a dress, a pet, the sun, flowers, rainbow and all those colors,† which has been the same kind of drawing girls all over the world has drawn (Selliot, 2008). On the other hand, he presented an image of â€Å" bloody red battle scenes, gray rocket ships and black speeding vehicles,† all of which are the same content of a boy's painting (Selliot, 2008). Furthermore, Brott observed that the girls take in greater sensory than boys wherein they can taste more, and tend to exhibit a greater need to be touched.There are actually more differences associated to the two genders. However, it is really difficult to identify who is greater or more superior than the other because as observed in the above comparison, both have their own unique personalities and inclinations which help develop their skills and perception in the thin gs around them. It is therefore important to appreciate the characteristics and traits that set the boys apart from the girls and vice-versa and what makes them special in their own ways. References Brott, A. (2008). â€Å"The Difference Between Boys and Girls. † Retrieved May 20, 2008 from ht

Regional Economic Cooperation Essay

One of the most important developments in the world trade system in the 1990s has been the emergence of regional cooperation. The end of the Cold War reduced political tensions between countries in Asia as well as globalizing production processes and increasing vertical integration. Cities like Bangkok, Kuala Lumpur, and Singapore have been lifting their populations out of poverty in part through cooperative arrangements with neighboring countries. Transnational economic zones have utilized the different endowments of the various countries of East Asia, exploiting cooperative trade and development opportunities. Transfer of technology and manufacturing between nations has allowed them to develop sequentially. Information technology has improved linkages between economies and put remote regions in contact with the world. The private sector provides capital for investment; the public sector provides infrastructure, fiscal incentives, and the administrative framework to attract industry. Regional cooperation is now considered the means of enhancing economic development and providing economic security within the regions. Trade among ASEAN members accounted for more than 23% of all trade by member nations in 1994, topping that of any of the group’s major trading partners. Singapore has concentrated on becoming the technology center for Southeast Asia, sending labor-intensive operations to low-cost neighboring countries like Malaysia and Indonesia in special mutual cooperative trade and development arrangements known as growth triangles or growth polygons. The Southern Growth Triangle, also known as SIJORI (Singapore, the Johore state of Malaysia, and Riau Province of Indonesia), was formed in 1989 and covers a population of about 6 million people. It attracted $10 billion in private sector investments during its first five years. Such regional economic cooperation has occurred in other Asian regions as well, spurring economic development. Growth triangles are expected to be a continued driving force for growth in Asian economies throughout the 1990s. Four growth triangles have been established since 1989, involving parts of 11 countries. There are currently eight growth polygons in East and Southeast Asia, with additional triangles being planned. For example, Cambodia, Laos, Myanmar, Thailand, Vietnam, and China’s Yunnan Province have been discussing ways to develop the Mekong area since 1992. Regional cooperation provides a competitive model to attract investment and technology. According to the secretary general of ASEAN, Ajit Singh, â€Å"These growth areas will have to be flexible to change where necessary, innovative, and always attentive to the needs of the investors and the businessmen. They also have to be aware that they are competing with much larger countries such as China and India, whose capacities for attracting investors are much greater than their own† (Kruger 1996, 17). Asian capital markets are now watching the global economy, and large companies recognize their need to be involved in this fastest growing region in the world. The growth triangles typically group remote regions of the nations involved in an effort to exploit complementary assets within the groupings. For example, the Tumen Delta triangle integrates the capital and technology of Japan and the Republic of Korea with the natural resources of Russia and North Korea (i. e. , the People’s Democratic Republic of Korea) and the labor and agricultural resources of China. The governments of Brunei, East and West Kalimantan, and North Sulawesi of Indonesia; Sabah, Sarawak, and Labuan in Malaysia; and Mindanao and Palawan in the Philippines have given priority to expanding air and shipping routes within the East ASEAN Growth Area, another polygon. Where all parts of the polygon are at similar levels of development, growth is expected to be slower. Singapore has provided capital and technology for developments in Malaysia to support SIJORI. Thailand is expected to provide capital and experience in developing the Mekong polygon. It will encompass a population of over 400 million people offering low wages, rents, and land costs. The Southern China Growth Triangle The Southern China Growth area comprises Hong Kong, Taiwan, and the southern provinces of China (Thant et al. 1994). Because China lags behind Taiwan and Hong Kong considerably in economic development and has a very large population, growth in this triangle has enormous potential. Establishment of this triangle was spurred by market forces and private sector initiatives rather than by policy coordination among the countries. However, government policies have supported the economic links that were instituted. The PRC’s economic reforms and open door policy initiated in 1978 laid the foundation for economic success in Guangdong and Fujian provinces. Establishment of China’s first Special Economic Zone (SEZ) in 1980 provided for tax concessions, expanded land use rights, and simplified procedures for foreign investment. Policies for land use, finance, and trade were designed to reduce transaction costs and to provide greater access to the domestic as well as the world market. Policies formulated within the SEZs themselves have been even more liberal than those in other parts of the triangle. For China, the triangle has provided exports, foreign exchange, and employment as well as access to the larger global economy. Rapid economic growth and higher incomes have occurred in Guangdong and Fujian Provinces with materials and components from Taiwan’s manufacturing sectors and the support of Hong Kong’s advanced services sector. Geographical proximity and common language are the most compelling factors for capital to move across the border from Hong Kong into Guangdong Province, or for investment to flow across the Formosa Strait from Taiwan to Fujian Province. Cantonese is a Chinese dialect spoken in both Hong Kong and Guangdong, while Fujianese is spoken in both Taiwan and Fujian. For Hong Kong and Taipei, the triangle has provided a means of implementing structural changes in manufacturing and export patterns at minimal cost. In spite of recent political posturing on the part of China, economic planners in Hong Kong and Taiwan are optimistic that economic logic will continue to drive regional integration. Low-Cost Sourcing As Japanese and U. S firms seek to reduce the cost of their latest innovations, they are outsourcing production to low-cost contract manufacturers. China has a growing number of low-cost parts and components suppliers. With a minimum of overhead and a large pool of low-cost labor in China, there is a growing list of high-quality vendors in China. The continuing miniaturization of products has lead to joint ventures with companies from Japan, the United States, Taiwan, Hong Kong, and other Asian countries. The success of these firms is dependent upon providing competitive value in a timely manner. Low-cost board assembly operations in China utilize the latest SMT equipment required by new computer and telecommunications products. Capital intensity will increase as IC packaging and SMT assembly operations are installed. In the 1980s, Korea and Taiwan provided the first step in the cost reduction chain by providing the most advanced process capabilities. Singapore and Malaysia became additional sources for contract manufacturing with the establishment of global vendors like SCI and Solectron. Today, further cost reduction is possible by moving production to lower cost regions like China and the Philippines. Wong’s Electronics in Hong Kong provides a three-step process for cost reduction that includes low-cost labor, low-cost sourcing, and low-cost production designs. Hong Kong, Thailand, Malaysia, and China are considered the home of lowest-cost manufacturing competitors in the electronics industry today. They offer limited component technology or product design skills, but provide many low-cost suppliers of generic, low-technology components. Since low-cost manufacturing countries generally lack the technologies required to become industry leaders, they must follow the technology trends as quickly as possible. OEM competitors from Taiwan and Singapore are being forced to open branch plants in China or other Southeast Asian countries to produce the most labor-intensive, cost-driven products.

Macroeconomics Assignment Example | Topics and Well Written Essays - 750 words

Macroeconomics - Assignment Example Conversely, a major concern with the growth is whether it is sustainable which brings into focus two important factors. This includes the emerging countries ability to maintain a stable growth, and whether the global economy can sustain the growth evident in emerging countries. It is important to note that while emerging countries can maintain their stable growth, this growth cannot be accommodated by the global economy. As a result of emerging countries still undertaking the process of catching up in terms of growth, these countries still need to engage in a continuous and a challenging structural change. Other changes that emerging countries still need to tackle emerge in the areas of reforms and also institution building (Lachman 65). While emerging countries are better placed to a progressive growth in a global economy impacted negatively by crises in developed countries, the decoupling seems to be incomplete. In essence, a reasonable growth of the world economy still needs the d eveloped countries. This is important in terms of accommodating the increased growth and the prominence of the emerging countries. ... The lack of such a change may result in a trend of a recurrent global economic turmoil without any firmness in stabilizing the world’s economy. The consequence of the crisis would involve emerging countries leading the way by playing a role in a global economy struggling with protracted rehabilitation related to the over-stretched balance sheets in developed countries (Lachman 66). In addition, the increased growth and development in emerging countries means that these countries in the long run may create a strain on the world’s financial system. As time progresses, it is likely that the global supply of capital will not meet its demand in regard to capital, and the intended level related to the investment needs to finance various projects. In the world economy, today, the rates related to household savings have dwindled in developed countries, and the aging population may not reverse such a trend. Conversely, the effort by emerging countries such as China in rebalancin g its economy to improve consumption appears to impact negatively on the global saving (Atale 18). Is austerity an appropriate answer to deal with excessive public debt? Austerity is not an appropriate answer to deal with excessive public debt since it results in numerous consequences for the economy. Austerity, in other quarters is viewed as expansionary by focusing on cutting spending and not increasing tax. Budgets cuts which are aimed in reducing interest rates and stimulating private borrowing and other investments is seen to change expectations regarding future tax burdens, but this is doubtful. In essence, austerity instead of bringing expansion,

The Thought Experiment in the Foundations of Artificial Intelligence Research Paper

The Thought Experiment in the Foundations of Artificial Intelligence - Research Paper Example However, this is limited to a text only channel such as a keyboard and display screen to display the results. The test involves an interrogator, a machine and a person. The interrogator should be in a room separated from both the machine and the other person. All participants are in fact completely separated from each other, whereby both the machine and the person are designated labels X and Y. This means that he does not know which one is the machine and which one is the person at the beginning of the game. The interrogator’s objective is to distinguish between the two using a series of questions on the machine and the other person as well. The questions could be of the form â€Å"Will X please tell me whether X plays chess?† (Oppy Graham, Dowe David, 2011, The Turing Test, para. 7). Both must answer the question. The machine’s objective is to try and convince the interrogator that it’s indeed the other person, while the person tries to help him identify correctly which one is the machine. If the interrogator fails to reliably tell the machine from the human, then the machine is said to have passed the test. The test does not check the ability to give the correct answer; however it checks how closely the answer resembles that of a typical human answer. ... The technology available now is far from achieving a credible human-like conversation for five minutes as Turing believed it would. The dynamics of human conversation are far too complex as factors like arrangement of words come into play. This can be well observed in the Loebner Prize Competition; an annual event in which computer programs are submitted to the Turing Test. Such competitions have catalysed the growth of AI technology substantially over the years, whereby programs like ELIZA came up. In 1997, one exceptional program called CONVERSE, developed by David Levi and his team, including a well-known researcher in computational linguistics, Yorick Wilks, won the Loebner Prize competition (William J. Rapaport, 2005, The Turing Test). Turing’s experiments focuses mainly on an AI machine’s ability to understand natural language. However this test has undergone some objections over time whereby some people suggest that it is chauvinistic i.e. it only recognizes inte lligence in things that have the capacity to sustain a conversation with humans. Others thought that the Turing Test is not sufficiently demanding. Turing (1950) however considered possible objections to his claim that machines can â€Å"think†. He went ahead and labelled them such as; The Theological objection, the â€Å"Heads in the sand† objection, The Argument from Consciousness, Arguments from Various Disabilities, Lady Lovelace's Objection, Argument from Continuity of the Nervous System, The Argument from Informality of Behaviour and finally, The Argument from Extra-Sensory Perception (Oppy & Dowe, 2011, Turing (1950) and Responses to Objections, para.1). A rather simplified

Analytical essay on debate and conflict between federalists and anti

Analytical on debate and conflict between federalists and anti federalists - Essay Example Those opposed to the constitution, the Anti-Federalists which included John Hancock, Patrick Henry and Samuel Adams, also wrote a series of arguments now known as the Anti-Federalist papers. They feared the potential powers of centralized federal government dominating the will of the states. The Federalists gave assurances that this was not their intention; that they were not trying to create a tyrannical governing system much like the one in Britain which the colonies had just fought a war to escape. This is how the Bill of Rights was formed. It was a compromise forged between the two conflicting viewpoints. The terms describing these differing opinions is somewhat misleading. Federalists are better defined as Nationalists because they supported a powerful federal government. The Anti-Federalists could be more accurately described as federalists because they preferred the government be a federation of autonomous states. This discussion examines the perspective of both Federalists an d Anti-Federalists, how they reached a compromise after two years of heated debate and the reasons why one was ultimately the better choice. The Federalist Papers conveyed the shortcomings of the loosely confederated union between the states that existed at the time and the benefits of unifying the states into an effective central government. The Federalists, being wealthy land and business owners, believed that a strong centralized federal government operated by learned, influential persons would encourage commerce which was to their own and the country’s benefit. In the second of the Federalist Papers, John Jay enumerated this motive first over all other reasons to unite the states by enacting a constitution. â€Å"It has until lately been a received and uncontradicted opinion that the prosperity of the people of America depended on their continuing firmly united, and the wishes, prayers, and efforts of our best and wisest citizens have been constantly

Mesopotamia Civilization Research Paper Example | Topics and Well Written Essays - 1000 words

Mesopotamia Civilization - Research Paper Example Since there were seasonal rains in Mesopotamia, agriculture was initially unsustainable due to massive floods that visited the plains during the springs and summers (Mark). Due to the scarcity of rains in other times of the year only irrigation agriculture was sustainable from the rivers (Apte 81). Besides, both internal and external trade boomed in the ancient days majorly because there was scarcity of natural resources in Mesopotamia (Algaze 32). This, coupled with other civilizations that were encountered over the years, led to massive growth of the empire before its final collapse (History Guide). In this regard, this essay explores and reflects on the ancient civilizations in Mesopotamia in terms of Culture, Art, and Architecture (Temples and Tombs). Essentially, the Sumerians who normally referred to their state as Sumer inhabited Mesopotamia where the first history of the world is believed to have originated (Mark). In this respect, Mesopotamia was largely composed of three st ates that included Sumer-Akad that lied to the north Babylonia, Sumeria, and Assyria that stretched to the extreme north. When it comes to the cities that defined Mesopotamia, the list included Babylon, Uruk, Ur  Kish, Lagash, Assur, Nippur, Niniveh, Susa, Nimrud. All the states of Mesopotamia became empire but perhaps Babylon became the most famous under the rule of King Hammurabi (History Guide). This was majorly because he, together with those under his empire, formulated certain codes of laws that led to the success of the empire. A famous city in Mesopotamia that was situated 20 miles from river Tigirs was called Mashkan-shapir. The river in this city enabled the construction of canals, which were instrumental for the agrarian revolution (Algaze 37). When it comes to the various civilizations in Mesopotamia, it is worth noting that the civilizations came in three phases that ranged from the pre-civilization phase to the post-civilization phase (Annenberg Learner). Due to the seasonality of the two rivers that flowed in Mesopotamia, a vast majority of the communities that stayed there migrated to the southern part that was rich in alluvial soil (Mark). This happened in 5000 B.C. when most of the communities reside in villages that composed of 100-200 people on a permanent basis. Primarily, the southern part of Mesopotamia had soil that was more fertile despite the low rainfall levels (History Guide). As far as the history of Mesopotamia is concerned, it is understood that various periods through which the civilizations took place existed and in this sense, they were classified according to the ages (Annenberg Learner). First, there was the Pre-Pottery  Neolithic  Age that encompassed the earliest signs of archeological settlements and wars that made the error to be referred to as the Stone Age (Algaze 26). In essence, this error came in at around 10,000 B.C. although the existence of humans is believed to have been there even much earlier (History Gu ide). During the Stone Age, the inhabitants of Mesopotamia are believed to have used stone carvings as their major sources of tools especially in agriculture and warfare (Mark). This means that even as men were using stones for virtually all practical uses in their daily lifestyles, the agrarian revolution had started to take off. Although agriculture was not practiced on an extensive scale during

Poor marketing strategies at Bedaya center Research Paper

Poor marketing strategies at Bedaya center - Research Paper Example From the research, it can be comprehended that Bedaya center has a clear vision which clearly states that it helps individuals to discover more about themselves and available career options, but unfortunately marketing strategies are not aligned with the vision of the company. The effectiveness of marketing strategy decides a company’s position in the market; any lacking in the marketing strategy can reduce the effectiveness of service and can slow down the pace of growth and development. Bedaya’s mismatch of marketing strategy and company’s vision is affecting the overall image of the company. Bedaya also needs to focus more on students preference on courses offered, the duration of the courses can be one the reason as short time period courses are more preferred among students; flexibility of hours can also be an effective approach as time flexibility creates ease for them to manage educational and vocational studies. Promotional strategies are also not effecti ve to the acceptable level; Bedaya needs to adopt effective internet branding strategies to position the product rightly in the customers’ minds. Bedaya needs to add more information about the company and services offered on the internet. Only the use of social networks doesn’t determine the effectiveness of branding strategies but the content also matters. It is important for any organization to clearly define its marketing objectives and strive to fulfill the needs and demands of the customers.

Bahrain History 2 Assignment Example | Topics and Well Written Essays - 1000 words

Bahrain History 2 - Assignment Example It only got its independence from Great Britain early in the 1970s. It was only then when the Constitution was formulated along the lines of the needs of the people of the Bahrain and its historical and religious backgrounds. While the country came into being in 1971 (Cavendish, 2006, 37), a fully functional constitution was placed into force in 1973. Under this constitution a unicameral legislature was brought into force. In this constitution there were two categories separately designated for the appointment of the ministers to the cabinet. While one quota was reserved for the ministers to be appointed from the royal family and of the noble class, the other category had the ministers to be appointed through the proper method of election and people’s appointment process. In this cadre the total numbers of ministers appointed were 30 in number. The name of the country was chosen for the Emirate of Bahrain. The constitution of 1973 remained in force for a little time. While initially it was aimed for to be enacted for a longer period, the dream could not come true and due to the disagreements and turbulence in the political scenario, the constitution along with the assembly and the representative members were sent packing in no time. It was in 1975 that the constitution was termed abrogated and the country was being declared to be run in state of emergency (Mangold, 2013, 60). The first few articles were related to the declaration of the power in the country, the other articles were related to the civil society and social welfare and functioning articles and instructions. It consisted of a total of 109 articles which had the segment and space for the domestic affairs, the welfare, the foreign policy, the state affairs and all other basic components that were required for making the constitution a functional one. Under each of the constitution the King is the head of the state, he is supported by the Prince who is from the same family.

Linguistic Assignment Example | Topics and Well Written Essays - 1250 words

Linguistic - Assignment Example Work and family are both important so that does as well. Choong-hoon spoke the most. His co-worker Jun-gil also spoke a lot. This might be because Choong-hoon is the oldest male there. Although everyone made fun of Jun-gil for only speaking to Choong-hoon, he did actually talk a lot as well. This is probably because he is a guest who does not know everybody else, so they wanted to know more about him and also help him to relax. People were all polite to Jun-gil, who was not a member of the group before. So they asked him polite questions about his family and job. Between most of the other people the discussion style was a lot more filled with jokes as people were more familiar with each other. Even when this is the case the polite conversation markers like oh-bba were sometimes used. Interestingly they sometimes seemed to be used to just make the jokes not be taken personally. For instance when I told Choong-hoon to mind his own business. Disagreement or interruption usually goes along with the gender of people. For instance when Hye-jung did not speak clearly, it was another girl who said something about it first. Choong-hoon then did say he thought so too, but he did not say so straight away. Also when Jun-gil is talking about whether he was working during his wifes labor, Jun-ho, another male, is the one who interrupts him. A lot of the special Korean words like oh-bba would have to be explained. More importantly the reasons for these words would probably not make sense to people outside of the Korean language speakers group. Because in Korean there are different ways of speaking to people depending on how well you know them and whether they are older or more worthy of being respected than you, it might be confusing for people who do not speak

Reading and Comprehension Essay Example for Free

Reading and Comprehension Essay Read 8 Secrets to a Knockout Business Presentation using the SQ3R method. Answer the following questions to assess how well you followed the SQ3R method, and whether it helped. Note: Your grade for the assignment will depend on the quality and honesty of your responses and not on how successful you felt you were. ? What was the main point of the written piece? ? What did each section deal with? ? What questions did you ask yourself as you were reading? ? How can you change your note taking skills for the future? ? What would you do to retain this information for later use? ? How might the SQ3R method help you improve your reading comprehension and retention skills? Gen/105 Week 7: Reading and Comprehension Project 1. The main point of this written piece was to tell the reader what the eight most successful secrets were to delivering a knockout presentation in your business affairs. A lot of people at companies just make boring PowerPoint slides and it has so much irrelevant information that the point of the meeting is masked by a weak presentation. This article shows what to do and how to make a great presentation. 2. Each section of this paper dealt with a new and exciting way to capture the attention of a viewer of your business slides. The writer states to â€Å"dig deep† by adding new information and giving more to the viewer. â€Å"Avoid Info overload† shows that too much information can be detrimental to a project, people can bored and wander off. In the section â€Å"Practice Delivery†, it talks about how to memorized your speech and practice what you are saying. This will avoid mistakes, mishaps and fumbling with words. Also, the writer says to â€Å"forget comedy†, by leaving the humor out the project is more professional and shows that you are serious. By â€Å"pick powerful props† shows your audience that memorable ideas and notions can be obtained by using props, so the audience can remember ideas and thoughts associated with the presentation. Another secret is to â€Å"minimize you†, this means take out information relating to you or the business, because people already know what this information is. It waste space and time, and people can get sidetracked. â€Å"Speak the Language† notes that speaking as you always do will help minimize confusions with acronyms and abbreviated words. Be professional but make sure everyone can understand what is been said. Last but not least, â€Å"simple slides† states that you should use slides in your presentation to highlight important information and key words, don’t let the slides overrun the presentation. 3. The questions that came to mind when I was reading was significant. They dealt with how to maximize information during presentations and how do I apply material that are useful in my projects. I don’t want to use unnecessary information that is irrelevant. I also asked myself if using pictures and props were a good idea. I found out that these two tools are necessary to keep the audience engaged in what you’re talking about. 4. I feel like that I have great note taking skills. I always note key words and phrases. If I have a long or difficult reading I always break it down in paragraphs and take notes on key sentences. I also use an outline format which helps greatly. It is almost like the article written in my own language so I can understand it better. I always use my notes to go over information instead of trying to re-read an entire article to find important facts. 5. I will use notes to retain this information for later use. My notes can be very well written as well as the reading, with the same information available. I always keep notes to look over for extra information and key points. 6. I think the SQ3R method does help my reading and comprehension skills improve. By skimming the article I mentally note key words and phrases. I can see how each paragraphs ends and if there are any vocabulary words noted. Noting questions is helpful as well. Keeping in mind question I would ask about the article will help me find an answer to it within the paper. I believe the method does help a lot especially when it comes to larger papers or article that I need to comprehend.

An Analysis of William Shakespeare’s Midsummer Night’s Dream Essay Example for Free

An Analysis of William Shakespeare’s Midsummer Night’s Dream Essay Renaissance humanists believed that if you want to build a moral society, you must begin with the facts of human nature. Basically, this means that their beliefs are rooted on what can be seen, touched, and heard. Shakespeare’s play A Midsummer Night’s Dream crossed the boundaries of humanism and Shakespeare actually put in the play elements which humanists believe did not exist. For humanists, â€Å"Nature itself constitutes the sum total of reality, that matter and not mind is the foundation-stuff of the universe, and that supernatural entities simply do not exist. † (Lamont 145). This follows naturally that people then were with little, if at all, imaginative, and creative tendency. They were not keen to elements in literature such as fairies, or other supernatural beings; elements which are present in Shakespeare’s play A Midsummer Night’s Dream. In the century preceding Shakespeare, â€Å"humanist† plays were often considered dull and moralistic, as they were often in didactic form. Also, another attitude of Humanism towards the universe â€Å"like its judgment as to the nature and destiny of man, is grounded on solid scientific fact.† (Lamont 145). They believed that man was the cream of the crop of God’s creation, and that the earth and everything that revolves around it are the center of the universe. Again, it’s not difficult to imagine that consequently, this philosophy not only affects the scientific aspect of the era, but also the culture, including literature and other arts. People also took a belief in the interconnectedness of things, for example a physician administering a medicine according to the position of the planets. But A Midsummer Night’s Dream, written sometime in the late 1500s seemed to have crossed boundaries. First of all, there are supernatural elements in the play which sort of went against the Humanist philosophy about supernatural entities not existing. Actually, the play is nothing short of magical. Not only do the mortals in the play associated with fairies, but the plot is manipulated by Puck, a hobgoblin. Bottom, on the other hand symbolizes a culture that survived from the Middle Ages until the Elizabethan times wherein â€Å"reign donkeys dressed up as bishops or dogs with Hosts in their teeth would appear in court masques.† (Bloom 73).   Ã¢â‚¬Å"Spirits and fairies cannot be represented, they cannot even be painted,   Ã¢â‚¬â€they can only be believed.† (Bloom 87). Apparently, this is not in line with Humanist philosophy, and this is what Shakespeare’s play brought people to believe also after the play’s publication. A Midsummer Night’s Dream is â€Å"Shakespeares first period of experiment with comic form.† (Bloom 7). Compared to his tragedies, this comedy not only was a trailblazer for rediscovery of classical literature, it also â€Å"knits together a number of different historical times and places, literary traditions, character types, and modes of thought.† (Bloom 7). Humanists also believed that â€Å"whatever he does man is a living unity of body and personality, an inter-functioning oneness of mental, emotional and physical qualities.† (Lamont 274). Apparently, in the play, when Puck put the magical love juice in the eyes of Demetrius, Lysander, and Titania, this premise is not evident anymore, as they were not in their â€Å"right minds† when pursuing different love interests. However, while Shakespeare challenged Humanism through his play, he also showed his influences through the characters, the plot and the sub-plot. Italian Renaissance was an event which influenced Shakespeare in a lot of his works, but Italian Renaissance differs slightly from the English Renaissance, aside from the fact that it preceded the English Renaissance. Italian Renaissance was centered more on visual arts but sonnets also bloomed through Petrarch and Boccaccio. By the time Italian Renaissance was coming to an end and English Renaissance was blooming, writers were then rediscovering the classical literatures from the Italian Renaissance and picked up the sonnets. Shakespeare apparently was one of those writers. Shakespeare’s influences with regard to some elements in the play come from Italian artists like the poet Ovid and the author Apulieus, which show Shakespeare’s rediscovery of the classical literature coming from the Italian Renaissance. For example, the story of Pyramus and Thisbe is told in Ovids Metamorphoses and the transformation of Bottom into an ass is descended from Apuleius The Golden Ass. Elements such as these show how vast Shakespeare’s influences are, and how experimental the play has become compared to his previous tragedies in terms of the characters and the plot.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   I can say that through Shakespeare’s play A Midsummer Night’s Dream, people looked at themselves differently, and appreciated more the beauty of the arts. Before Shakespeare, people seemed stuck-up and were conformed to being moralized by their literature. While it was necessary at that time, change is really inevitable. And through Shakespeare’s experimentation in the said comedy, different discoveries and rediscoveries enabled people to try out new things. Throughout the Renaissance, there was a significant change in the way people looked at the interconnectedness of things. Writers and thinkers questioned the connections, while retaining a sense of their beauty as symbols. A major change which this era experienced is that people interpreted the correspondences of things from literal to symbolic, and appreciated more the beauty of the symbols. Works Cited: Bloom, Harold, ed. William Shakespeares a Midsummer Nights Dream. New York: Chelsea House, 1987 Lamont, Corliss. Humanism as a Philosophy. New York: Philosophical Library, 1949. A Midsummer Nights Dream. Wikipedia, The Free Encyclopedia.

Ireland Building Costs Shipping Container House vs House

Ireland Building Costs Shipping Container House vs House Chapter 1 An outline of aim and objectives. A review of the research undertaken by others. An outline of what will be discussed throughout the thesis. 1.1 Thesis Structure Chapter One Introduction This section introduces the thesis topic, outlines aims and objectives and briefly explains the current housing situation in Dublin. Chapter Two Literature Review The chapter provides the background of shipping containers and review of development examples made of shipping containers around the world. Chapter Three Research Methodology This section demonstrates the research strategy that have been used by the author to obtain relevant information and how these findings will be used to Also research limitations are mentioned in this section. Chapter Four Presentation of research findings This chapter presents data received from available sources. Chapter Five Analysis of research findings This section focus on analysis and comparison of data received. Chapter Six Conclusions and Recommendations This chapter will conclude the study by summarising all findings and data which allow the author to draw conclusions and make recommendations based on findings readdressing them to the aim and objectives. Chapter 2 This section consists of an account of published articles and papers. Available literature is related to shipping containers and current housing situation in Dublin. The chapter provides the background of shipping containers, which may be a possible solution for emergency accommodation in Dublin. Literature review starts with the history of shipping containers. Then it overviews the different uses of shipping containers, strength and weaknesses, their availability, as well as a review of development examples made of shipping containers around the world. Chapter 3 This chapter explains the research design and methodology undertaken for this study. To create a structured and well-ordered thesis an author created the research diagram which demonstrate the whole process of research and where it could lead. Empty bubbles show the possibilities that may occur during the further data collection and research. The original image is included in the Appendix section. The research area, an author is focusing, has not been researched previously, in terms of an Irish perspective. Therefore finding data for the thesis will have to be interpreted through investigation of existing data, and based on the examples from other countries. 3.1 Research question The study aims to answer whether shipping containers are suitable for emergency accommodation as an alternative to other types of housing solutions. 3.2 Research process To achieve the aim of that study, following areas have to be investigated: The background of shipping containers. Segregate two concepts: home and emergency accommodation Determine the meaning of temporary accommodation. Determine the meaning of home. Investigate of current housing situation in Dublin in terms of the housing supply, demand and rental prices. To determine emergency housing providers in Dublin Compare the building cost of providing traditional housing vs. shipping container housing. Investigate social acceptance of shipping container houses. In order to achieve the objectives of this study the necessary methods of research were identified. Author chooses to use primary (e-survey, case study) and secondary methods or research. 3.3 Primary research There are many types of primary research which consists of surveys, interviews, observations, analysis, etc. during which data is collected from the real world. For this thesis author chooses, e-survey questionnaire and case study analysis. 3.3.1 Survey questionnaire The one of the primary research method is survey questionnaire when information is collected from the individuals through their responses to the questions designed in relation to studys research. Fink (2003) believes that questionnaire surveys would be one of the best methods in collecting data on the observations, attitudes, feelings, experiences or opinions. Questionnaire surveys may not be feasible and reliable, however, it was decided to use this method to investigate social acceptance of shipping container houses. The target audience have not been chosen as author expected to receive unbiased opinion from a variety of respondents. E-survey questionnaire included ten questions. They were drafted and posted online. Fifty responses have been received so far. Also the same questions have been sent by email to selected professionals who are working in the areas such as housing, social housing, planning and development, urban economy, charity housing organizations and are directly related to the thesis topic. 3.3.2 Case study Case study method is comprehensive as it can use many approaches for data collection. A case-study approach has been chosen to investigate and overview an existing development projects around the world.   3.4 Secondary research The secondary research consists of data and information collected from existing sources, such as journals, text books, websites, company and government reports and publications (Creswell, 2007). Hence, sources mentioned above were used to gather available information which was directly related to the thesis topic. For this study author uses available literature review and online sources. 3.4.1 Literature review To obtain the information for this study relevant literature relating to containers background and existing developments around the world were reviewed. An extensive search for literature was undertaken of previous thesis and dissertations, journals, reports and related websites. The sources of literature are evident in the references. The literature review was a method of learning such as author examined the literature which has been wrote and analysed by others (professionals, scholars, experts). Secondary research was essential in completing the literature review chapter as it was guidance towards further information sources to complete this study. This led in to investigation of further topics such as determination the meaning of home and emergency accommodation; investigation of the current housing supply, demand and rental prices in Dublin; determination of emergency housing providers in Dublin. 3.4.2 Online sources The most information required was freely available from the websites. However, the internet is vast but extremely disorganized source of information. To use it effectively, we must be able to formulate a search strategy using appropriate keywords (How at al., 2005). Keywords used for the research were: emergency accommodation, shipping container houses, shipping container prices, shipping container house manufacturers, construction costs, Irish housing market, supply, demand, accommodation for rent/for sale, meaning of home, homelessness, etc. Shipping container suppliers and shipping container house manufacturers were contacted by email in relation to shipping containers cost and construction costs of shipping containers houses. 3.5 Expected Outcomes Through the research author expects to rationalise why shipping container houses are not used in Irish construction industry while they are widely used in other countries; highlight advantages and disadvantages of shipping container houses; to find an answer if demand of emergency accommodation meets supply; in other words if there is a shortage of that type of emergency accommodation in Dublin. It is also important to get to know the social acceptance of shipping container houses (positive or negative). 3.6 Limitations The main objective of this study is to compare of traditional house building cost against shipping container house building cost. However, those two units cannot be compared directly as it is usually done in a property market valuation, when properties with similar parameters (size, location, condition, etc.) are compared to calculate its market value, rental value, capital value and etc. The layout of units is seen as limitation in terms of comparison as well. Such as units are so unlike that there is no basis for comparison. Therefore author decided to concentrate on the shipping container house which is close by size to minimum requirements allowed in Ireland and compare it with traditional house multiplying the same size (considering that shipping container is in a same size as traditional house unit) per price per sq metre. Such as there are only two shipping container houses in Ireland, thus large data set analysis is not currently possible because costs are not disclosed. Analysis must be limited and rely on projects from around the world that are available for review. Therefore, methodology of research primarily relies upon literature review, questionnaire survey, case studies and financial analysis of available construction data. For this reason, author decided rely on shipping container housing prices in UK. Costs in pounds will be converted to Euros in accordance with the relevant exchange rate. Another difficulty is to obtain the most up to dated statistical data that relates to the current housing market such as supply and demand. In this case, for example, some papers are issued once a year, so the information is old enough. However, data obtained is going to be used with assumptions that population growth would be faster than delivery of required accommodation. Thus, demand for housing will continue to increase and consequently demand for emergency housing will stay high. Chapter 4 4.1 Current housing situation in Dublin in terms of the housing supply, demand and rental prices. Dublins housing stock has 535,000 properties. 3,619 properties were listed for sale last year in Dublin which is 7.7% less than previous year, according to MyHome (2016). SCSI (2017) believes that activity levels were decreased due to Central Bank mortgage lending restrictions which are not conductive to the first-time buyers and also UKs decision to leave the EU. However, demand for housing will remain high due to changed household structures and increased demand for single person households (RIAI, 2016). Dublin experiences insufficient supply to meet growing demand which is caused by rapid population growth and fast decline of unemployment (CIF, 2016; Duffy at al, 2016). As a result lack of supply supported the rise in house prices, therefore more people who wish to buy a home, but cannot afford it are forced to continue to rent (My Home, 2017). Moreover this may intensify pressure on social housing increasing the social housing waiting list, put upward pressure on rents and force some people into homelessness (CIF, 2016; Duffy at al, 2016). Residential property values in the Dublin Region increased by 64.7% since 2013 and is forecasted to grow further by 6.6% in 2017. Key factors that play role for positive growth were the shortage in new house builds, increased employment rates; an improvement in mortgage lending and finance availability; improved consumer confidence and economic stability (SCSI, 2017). p18 Research shows that average couple-nurse, Garda, teacher or civil servants with 5 years experience-are unable to secure a mortgage for average priced house in housing market (CIF, 2016; Duffy at al, 2016). The same factors mentioned before play role for Private Rented Sector (PRS) which according to (McCartney, 2017) is growing. Since Q1 2011 the number of people in PRS- Private Rented Sector increased by 107,500 in Dublin (McCartney, 2017). The total number of tenancies registered with RTB in Q4 2016 stands at 325,375 and represents 705,465 occupants (RTB, 2017) Between September and December of previous year 2016 rents rose by an average of 13.5% and now are 14% higher than in the 2008. An average rental prices in Dublin are demonstrated in the table and chart below: Average rent Y-on-Y change North City à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,529 14.4% City Centre à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,655 15.5% South City à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,763 13.9% North County à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,375 14.9% South County à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,855 14.2% West County à ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚  Ãƒâ€šÃ‚   1,446 13.9% Availability of properties increased by 200 in Dublin and almost 1,600 properties were available to rent on the 1st February 2017 (Lyons, 2016) Nearly 20,000 households were qualified for social housing support in 2016 (Housing Agency, 2016). However, the current stock of social housing is insufficient to satisfied social housing need (ICSH, 2016). To all the factors influence housing market in Dublin mentioned above, there is also the number of vacant dwellings which represents an inefficient use of valuable resources and makes negative impact on local areas and communities. Census 2016 records 35,000 vacant dwellings in Dublin (Housing Agency, 2017). To satisfied social housing need in July of 2016 Government launched an ambitious plan to provide housing nationally. During six years 47,000 new social houses and 25,000 new units (yearly) have to be built (SCSI, 2017). During 2015 there were only 12,600 new houses built instead of 21,000 (ICI, 2016). Currently, Dublin city region experiences shortfall of 35,242 homes (Housing Agency, 2017). But despite of that development activity is growing every year as demonstrated in Table below Planning Permissions in Dublin region 2012 2013 2014 2015 2016 -57% 77% -8% 129% 27% Some of 12,388 housing units were granted with planning permission in the 2016 (CIS, 2016) According to Housing Agency, (2017a) Dublin City Region will require 33,109 new homes during 2016-2020. Their analysis shows that annual average of required houses is 6,600 per annum over the period to 2020. 4.2 Segregation of two concepts: home and emergency accommodation Very often people do not fully understand the meaning of home and meaning of emergency accommodation. They are confused of those two concepts. Therefore author thinks that those two concepts have to be clearly explained to the reader. 4.2.1 The meaning of home All of us even the truly homeless live somewhere and each therefore stands in some relation to land as owner-occupier, tenant, licensee or squatter (Gray, and Symes, 1983). There is no a straight or single answer what does home means. The answer is very complex and multidimensional. First of all home is physical structure which provides privacy, comfort, safety, continuity and permanence. Home also represents the success, family wealth so it can be considered as a financial investment which can be accumulated and then passed on to future generations as inheritance. But again, home is not only financial asset. It could be seen as identity and self-identity which relates to the deep emotional meaning and particularly memories tided to the places where we live. And it can be a place for self-expression (Gray, and Symes, 1983; Stern, 2009; Fox, 2013). Home means different things to different people. Furthermore, the meanings that home represents to an occupier may change over their life course (Fox, 2006). 4.2.2 The meaning of emergency accommodation The role of emergency accommodation is to provide short-term accommodation for people who are homeless or those who are in crisis. In other words, it could help people who are sleeping on the street; those who are in danger of being hurt in their own homes (experiencing domestic violence), or those who are evicted from home and have no place where to stay until new permanent place to live will be found. Emergency Accommodation includes apartments, private houses and BBs, hostels and hotels. Emergency housing provides only basic necessities, such as a place to sleep, shower, do laundry, get clothing, and eat or get money for food. http://settlement.org/ontario/housing/emergency-and-short-term-housing/emergency-housing/what-is-emergency-housing/ http://www.thejournal.ie/homeless-hostels-housing-first-accommodation-1678286-Oct2014/ 4.3 Reasons for Becoming Homeless There is no single reason why people become homeless. There are many causes which can be determined such as: structural causes, when people are at risk of becoming homeless due to financial crisis that causes poverty, unemployment, and lack of good quality, affordable housing; Institutional Causes, touches those people who leaving prison or mental health institutions and nowhere to go to on their release/discharge; Relationship Causes; Personal Causes, when person is addictive to the alcohol or/and drug use, mental illness, learning difficulties. People with combination of these factors are the most vulnerable part of society and in most cases become homeless. http://www.dubsimon.ie/Homelessness/ReasonsforBecomingHomeless.aspx 4.4 An overview of the current situation in Dublin in terms of emergency accommodation 1007 families with 2026 dependents were registered as homeless in the first month of 2017in Dublin region. 764 families with 1551 dependents were accommodated in hotels and 243 families with 495 dependents in homeless accommodation (DRHE, 2017). Table below shows the number of individuals in Emergency Accommodation. Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Homeless adults 2678 2692 2750 2806 2767 2871 2922 2950 2988 3036 3021 3162 3247 Adults (no dependents) 1636 1629 1618 1618 1549 1601 1591 1612 1631 1660 1656 1780 1894 Families 769 790 839 888 913 939 993 998 1014 1026 1023 1028 1007 Single parent 496 517 546 588 608 608 655 658 671 676 678 674 661 Couple 273 273 293 300 305 331 338 340 343 350 345 354 346 Number of dependents 1570 1616 1723 1786 1847 1894 2020 2012 2065 2110 2110 2096 2046 http://www.dubsimon.ie/Homelessness/HomelessStatistics/DublinStatistics.aspx There are approximately 3000 beds available in emergency accommodation in Dublin region. The chart below demonstrates the number of empty beds in emergency accommodation during Christmas and the New Year period. There are few reasons in relation to increased vacancy. One of the reasons is the provision of significant number of additional new beds; another reason is that some people do not use any other form of shelter they only accept to sleep rough; some of them combine rough sleeping with access to emergency accommodation (DRHE, 2016). Figure 9 Despite of that, in winter 2016 there were discovered 142 persons sleeping rough which represents an increase of 51 persons in comparison with winter 2015 The majority of sleeping rough are those of aged between 31and 40 which accounts for 38%, 27% were aged 18- 30 and another 27% aged 41-50, aged 51 years and over represent remaining 8%. Chart below demonstrates the number of adults discovered sleeping rough on the night of the rough sleeping count which took place on the night of 22nd November 2016 (DRHE, 2016). 4.5 Minimum floor areas and standards for the accommodation of single person Every type of building and its surroundings must provide safety and welfare for people. Therefore all developments should be built in accordance with the prescribed National Guidelines. The minimum requirements are set out in 12 parts which are classified as Parts A to M (DHPCLG, 2017). Table below is created to demonstrate minimum size requirements for one bedroom apartment and studio flat (ESLG, 2015). Minimum overall apartment floor areas Studio 40 sq m One bedroom 45 sq m Table Source: http://www.housing.gov.ie/sites/default/files/publications/files/apartment_guidelines_21122015.pdf 4.6 Building costs of shipping container house Container homes are built out of new purpose built and highly secure steel units and include living spaces, bedrooms, kitchens and bathrooms. For an additional 30-40% cost container houses can be built to meet UK building control regulations. Example of container home sizes and prices provided by manufacturer Size in feets Size in Sq m Description Sterlings Euros Appendix 20 x 8 14.90 single unit container home  £11,995 à ¢Ã¢â‚¬Å¡Ã‚ ¬13785 Plan 1 24 x 10 22.30 double unit container homes  £16,995 à ¢Ã¢â‚¬Å¡Ã‚ ¬19531 Plan 2 30 x 10 27.87 single unit container home  £19,995 à ¢Ã¢â‚¬Å¡Ã‚ ¬22979 Plan 3 40 x 10 37.16 double bedroom container home  £22,995 à ¢Ã¢â‚¬Å¡Ã‚ ¬26426 Plan 4 40 x 12 44.59 double bedroom container home  £24,995 à ¢Ã¢â‚¬Å¡Ã‚ ¬24,995 Plan 5 http://www.container-housing.co.uk/container-homes-costs/ 4.7 Building costs of traditional house Author uses house building costs produced by the Quantity Surveying Professional Group of the Society of Chartered Surveyors Ireland (SCSI).   The Society of Chartered Surveyors analysed a number of live house building projects in the Greater Dublin Area. Extensive and detailed study has been done on the 30 units that were under construction in late 2015 and early 2016. Chartered Quantity Surveyors analysed all cost inputs. For the comparison purposes only hard costs were taken into consideration for this study, where the figures assume structure (traditional strip foundation on good bearing soil); superstructure (timber or block work frame, render finish, tiled roof, insulated to 2011 Part L); completion (double glazed windows; paint grade softwood doors, skirting window boards internally); finishes (paint finished walls, tiling to bath and shower rooms); fittings (Fitted kitchen c/w Formica w/t; wardrobe to main all bedrooms (no appliances)); Services (including Sanitary ware, rainwater, solar panel, heat recovery, condensing boiler and radiator, plastic fittings and pendants throughout for electricity, wired for alarm). Any other costs such as site preparation, VAT, professional fees, land acquisition and development costs, finance costs were excluded. Hard costs according to SCSI research is à ¢Ã¢â‚¬Å¡Ã‚ ¬1084 per square metre.Author excluded from comparison smaler size units and took into account only units that are close to building requirements. As was mentioned in section 4.4 minimum overall floor areas are for studio flat 40 sq m and one bedroom apartment 45 sq m. Size in Sq m Description Euros Appendix 37.16 double bedroom traditional home à ¢Ã¢â‚¬Å¡Ã‚ ¬40,281 Plan 4 44.59 double bedroom traditional home à ¢Ã¢â‚¬Å¡Ã‚ ¬48,336 Plan 5 https://www.scsi.ie/documents/get_lob?id=885field=file https://www.scsi.ie/advice/house_rebuilding_calculator 4.8 Survey questionnaire 4.9 Case studies Chapter 5 In this chapter I am going to analyse all of the data found through my research. And I would try to establish the link between literature and data collected. First, it focused exclusively on single person accommodation. 5.1 Shipping container house versus traditiona