An organization is composed of members, which includes the owners, employees, workers and trainees who work for compensation which can be in the form of profit, salary or stipend. There always remains a confusion regarding when we talk about the term salary and stipend. Salary is paid to the employees, in return for the work performed by them in the organization. On the other hand, the stipend is provided to the interns or apprentices, who work in the organization for the short term, with an … [Read more...]

Monitoring and Evaluation are the two management tools that help in keeping a control on the business activities as well as raising the level of performance. Monitoring refers to an organized process of overseeing and checking the activities undertaken in a project, to ascertain whether it is capable of achieving the planned results or not. Conversely, evaluation is a scientific process that gauges the success of the project or program in meeting the objectives. The primary difference between … [Read more...]

Penetration pricing strategy is one in which the company charges a low price, in the beginning, to derive maximum sales volume from the price-sensitive customers. On the contrary, when at the initial stage high prices are charged to the customers, which is gradually decreased to attain maximum profit from less price sensitive customers. Price is among the important components of the marketing mix, which is the firm's outright source of earning, and it not only covers the cost of production … [Read more...]

Research is a calculated investigation that provides a base for the decision-making. It can be understood as the study undertaken by an individual or entity systematically, for finding out solutions to the problems under consideration. Survey or experiment are carried out to gather information as per the objectives. Based on utility, research is divided into two categories, i.e. basic and applied research, wherein basic research is one that adds further knowledge to the actual knowledge. On … [Read more...]

The level of productivity, in the production, determines the profitability, efficiency and performance of the enterprise, i.e. the higher the productivity of the firm the greater will be the earning capacity. It aims at determining the relationship between the input and output, in a particular production process. In short, it is nothing but attaining the highest possible outcome, while consuming minimum factors of production. Productivity is often misconstrued with production, but there … [Read more...]

The primary objective of production and operations management is to effectively manage and utilize those resources of the firm that are essential for the production of goods and services. Production management refers to the management of activities related to the production of goods. On the other hand, operations management is a step ahead of production management, or it can be said that the production management is a part of the operations management. Operations Management, as the name … [Read more...]

Compensation is a term closely related to the labour market. When the supply of labours is short in the market, better compensation can fulfil such shortage. It contains both direct and indirect components. Compensation refers to the remuneration that a worker gets from his/her employer in exchange for the work and contribution made to the organization. On the contrary, benefits imply the non-monetary reward that an employee earns as a part of the employment relationship, in addition to the … [Read more...]

Negotiation is described as the two-way communication through which one can get what he/she want from others. It is a process in which two parties seek to resolve their conflicts, by modifying their demands, to reach a mutually acceptable solution. The two common types of negotiation are distributive negotiation and integrative negotiation. Distributive Negotiation is one in which one party wins, and other loses. On the other extreme, integrative negotiation can be described as the … [Read more...]

Every business enterprise has a set of proposed objective, which must be attained within the given time frame to reach its mission. In order to determine whether the route chosen by the enterprise is correct or not, the objectives are evaluated against dedicated metrics, with the help of KPI. KPI stands for key performance indicator that denotes a quantifiable metric, for a defined objective. It exhibits the factors leading to the success of an organization. As against, KRA or otherwise … [Read more...]

With the expansion of business activities, in the past few years, the way of doing business is completely changed. Nowadays, it is quite easy to draw the attention of customers towards your product or service, through various means. However, the aim of business remains same, i.e. to maximize revenue and profitability. Sales are all about selling product or service to the final consumer at an agreed price, by using different business strategies and techniques. On the contrary, business … [Read more...]