Wednesday, January 29, 2020

Polysar Limited Essay Example for Free

Polysar Limited Essay Executive Summary This report seeks to explain the key differences between the NASA (North American South American) and EROW (Europe and rest of world) sales performance over the past nine months. There are several reasons causing the sales performance figures currently stemming from NASA to be incomparable with the EROW numbers, including the current practice of transferring large quantities of regular butyl rubber from the Sarnia to the Antwerp production facilities. As Polysar operates globally, it is also important to consider certain international aspects and specific risks. These include, foreign currency exchange fluctuations, potentially creating gains or losses, as well as international taxes and tariffs. The decisions made regarding allocation of profits between the two geographic centers will directly impact the taxes paid in either location. ADD ON WITH SPECIFICS Introduction A high-level overview of Polysar Limited provides an all-encompassing image of the nature of this case, necessary to later effectively focus in on specific financial details and problems. Polysar is Canada’s largest chemical company, with the North American production facility located in Sarnia Ontario. The company splits into 3 main groups including petrochemicals, diversified products, and rubber, of which the latter is the largest representing 46% of sales. This rubber division is the core of the report, as its success is vital to Polysar. The rubber division is split into two geographic centers, in Sarnia Ontario and Antwerp Belgium respectively. (See Appendix 1 for graphical representation). Both geographic centers produce both regular butyl and halobutyl rubbers. In 1985, Sarnia opened a second production facility that has not yet reached capacity. By comparison, Antwerp has only one facility operating at full capacity and still unable to meet demand for regular butyl rubber. To cope with this, the Sarnia transfers large quantities of its production to Antwerp at cost. The inability of the Sarnia facility to earn a profit from these transferred units represents one of the main causes of concern regarding sales performance figures. In order to correctly and efficiently asses the current situation, we will be reviewing a number of criteria, and from there introduce and analyze several alternatives presented by these assessments. Further Recommendations Transfer Pricing As you are aware, the NASA segment is currently charging EROW for the butyl rubber being transferred in order to meet the European demand. This charge is currently calculated on the basis of NASA’s cost. This is only one of three possible approaches that are used to set to transfer prices internally within Polysar Limited. The three options that may be considered are: 1. Set transfer prices at cost 2. Set transfer prices at a negotiated mutually agreed upon level 3. Set transfer prices at the market value  Currently, as the first option is implemented, this is causing the two major problems. The first is in regards to the product mix produced within the Sarnia production facilities. As no profit is recorded for the units that are transferred, the product mix may be decided on a sub-optimal basis. Our team recommends further investigation to determine the necessary information as to if the costs to produce the halobutyl and butyl rubbers within both NASA and EROW. This could lead to decisions of specialization in the Sarnia plants or Antwerp plant for one type of rubber produced if cost savings for that product line is higher than transportation costs of shipping to the other facility. Additionally, another problem being experienced through the current transfer pricing approach is that the NASA does not show any profit on the Polysar internal transfer of rubber. Consequently, the EROW segment may record this profit without the same having the additional fixed costs pertaining to the costly initial investment of the second Sarnia plant amounting $550 million and the associated depreciation. This leads to an unfair representation of profitability for the two cost centers. In terms of which to use for Polysar Limited’s Rubber Segment, setting prices at cost hereby benefits the EROW center, whereas using market price would benefit the NASA segment. This is because then NASA is recording revenue for the units transferred, whereas EROW will not, (provided that the prices in both markets are similar – international arbitrage). With Polysar’s company wide profitability in mind, as well as spirit of fairness in representation for both segments using a de-centralized approach, our recommendation is the use of negotiated transfer pricing. This occurs when the NASA and EROW segments collaborate to agree on a selling/purchasing price for the internationally transferred butyl supply. Implementing this will cause both segments to have better information of the costs and benefits associated with the transfer. To narrow down on what this transfer price should specifically be, a range of acceptable transfer prices will provide an estimate.  As this is an international transfer, there are even more considerations that become relevant. For example, the corporate tax rate applied in North American versus Europe should be considered. Furthermore, management should look specifically into duties, tariffs, foreign exchange rates and risks, as well as governmental relationships. By this token, charging Antwerp a lower transfer price will result in fewer Custom Duty payments as the rubber crosses borders. Flexible Versus Static Budgetary Systems Currently Polysar employs a static budget system for their budgeted level of rubber sales. However, if more butyl or halobutyl rubber is produced and then sold these will cause a variance as composed to budgeted figures. For  example, variable costs will go up, however this may simply be in direct correlation to the increased rubber produced. It is important to be able to analyze if variances are based on volume or cost differences. By tracing the cost variances more closely after implementing this flexible budget system, a better evaluation of management’s performance may be achieved. This can be directly used when considering compensation for managers. INSERT NUMBERS. Employee Compensation Plan Polysar uses the participative budgetary system, which is directly linked to employee compensation. Although this bottom-up approach to budgeting allows for accurate estimates due to managers with specific rubber cost knowledge being involved, it can cause a conflict of interest that may be costly. It is essential, and highly recommended that the NASA rubber division establish a budgetary committee to review the estimates made to ensure the lower level management has not added in budgetary slack intentionally in an effort to achieve their compensation figures based on meeting these targets. However, even the top management currently possesses a huge conflict of interest influencing them in the direction of allowing for budgetary slack as their compensation is up to 50% for both meeting divisional profits, as well as exceeding corporate profit targets. These targets can clearly be met, if costs have been artificially manipulated to be higher than expected. As it is improbable to find members of the budgetary committee who will be completed impartial and not subject to a bonus on the premise of meeting profit targets, responsible accounting should be implemented. This system holds each manager responsible for the estimate of the individual cost and revenue basis for which he or she was in charge of deciding. This means, he or she is essentially responsible to explain the differences between the actual and budgeted results. In order to negate the previously mentioned conflict of interest, it is recommended to include the amount of variance in a manager’s estimate in the calculate of compensation, hereby eliminated large bonuses if the original estimate was not within a certain range of the actual value (extra-ordinary occurrences excluded). Hedging of Risk The nature of the Polysar’s business contains a certain degree of  specialized risk. First and foremost, operating internationally in various currency zones contributes to foreign exchange risk. This can be hedged through capital markets, resulting in lowering risk for the corporation. Also, as there is a great degree of risk for the variable costs of production in relation to the oil, it is imperative to hedge this risk as well. It is very possible to hedge market commodity price risks through capital markets or advance purchase of these oil inputs. This can provide more stability for Polysar Limited as a whole, particularly the key rubber division. Capacity Analysis Appendices Appendix 1 Polysar Rubber

Tuesday, January 21, 2020

Analyzing Search Engines :: essays research papers

<div style="sub-title">1. Formulate five criteria for the evaluation of search engines To effectively evaluate three different search engines from the perspective of an advanced web user, the following criteria were established: 1. Relevance and accuracy of search results 2. Search speed 3. Advanced search options 4. Other services 5. Site design and layout More information about these criteria and how they were used is available below. 2. Test three search engines against your criteria For this evaluation, the following three search engines were tested: 1. AltaVista - http://www.altavista.com/ 2. Google - http://www.google.com/ 3. DirectHit - http://www.directhit.com/ <div style="sub-title">3. Explain your methodology The criteria outlined in Part 1 were reached by considering the things that would be important to an advanced user. Of course, factors like Relevance and Speed are critical to such a user (particularly in a work environment). The search options criteria is particularly important to advanced users who are after a specific page and do not want to waste time 'wading' through results from a 'standard' search. The other criteria are important to most users and mean that the search engines are more usable and useful. The search results from the three test search engines (Part 2) were evaluate according the criteria, explained it more detail below. Criteria 1 - Relevance and Accuracy of Results This criterion was to evaluate the usefulness of a particular search engine according to the accuracy of its results. I defined the relevance, according to personal standards, after browsing the pages in the results, for three separate search terms. The Relevance Percentage is calculated by counting the number of relevant pages that appear in the first 20 search 'hits' and then multiplying by 20 (for a percentage). Criteria 2 - Search Speed This criterion was to evaluate which of the test search engines returns results quicker. However, it is important to note that the speed test is both a test of the Internet connection to the remote machine, as well as the time taken by the search engine to perform the search. Furthermore, tests of Internet speeds are very variable based on time of day, other internet traffic etc and are therefore of only limited accuracy. For this reason, no 'hard numbers' were calculated (ie timed searches). Instead, I rated each search engine based on 5 searches per engine at the same time, same day. The possible Speed Ratings are as follows: Excellent, Good, Poor Criteria 3 - Search Options This criteria was to evaluate the search engines advanced search options.

Monday, January 13, 2020

Ghosts with Sh!t jobs

The narrative follows a couple who majored in robotics, a digital Janitor, a human spam-bot, and two silk-collecting brothers. The couple who majored in robotics work as baby assemblers in Canada for the rich Asian families overseas. I found this aspect of the film interesting because something as essential as a baby is fabricated and made a commodity, not unlike the current relationship between North America and Asian countries and the fabrication of essentials like clothing, vehicles, and food.The director draws attention to the current situation in Asia through the contrast of the real world and Morrison's fabricated world. The digital Janitor draws attention to the mass censorship of media and the control that governments have over their countrys access to information. This Janitor enters the digital past-world through a virtual reality interface and blocks out any advertisements or sensitive information that his Asian superiors would not like shown to the public.Here Morrison to uches on aspects of todays society like the privatization of information, centralizing control, nd the actions that our governments take to ensure that protection of information and reinforce control. I found that the human spam-bot, (employed by a Nigerian â€Å"spam cartel†) was the ultimate representation of a pop-up or advertisement that we today are so irritated by. However, the slick manner in which she advertises correlates with todays marketing and advertising firms' strong motives to deceive and manipulate the consumer.Morrison takes a very interesting approach to filmmaking and narrative in general s he has completely flipped the economic and business world of today. I found that the multiple narratives gave the viewer a sense of depth and more solid understanding of what is happening today between North America and Asia with regard to economical power and the distribution of products and resources. For the art world, this film looks to the future of societies on an international level, and gives viewers the opportunity to experience life in a different light through the film itself. Ghosts with Sh! t jobs By goremancer

Sunday, January 5, 2020

What It Means To Be A Hispanic Jew Essay - 778 Words

What it Means to be a Hispanic Jew in America Everyone knows that America is the land of freedom, the melting pot, where many come in search of the American Dream. Some have fled from persecution, others to support their families; they all have their own reasons. There will always be pros and cons wherever one may live, depending on where, how diverse, and the environment. Living in America as a Hispanic Jew can be challenging due to the anti-Semitism they face, being multicultural, and foreign-born. In our society, there are a handful of people who believe that anti-Semitism is a matter of the past, and do not realize that it still exists today. Countless of Jews face it more than once in their lifetime, whether it may be an†¦show more content†¦If one consumed a dairy product first, the person must wait one hour to be able to consume meat products, and if one ate a meat product, they must wait six hours to be able to consume a dairy product. That being cleared up, in the Hispanic culture there a lot of traditional foods that a Jewish person would not be able to consume because it is not considered kosher according to the Halakha. Foods such as Paella, a very vibrant dish made with rice and shellfish, chorizo, a very well known pork sausage, and many foods that contain lard, such as tamales and beans. Over the years, many Hispanic Jews have found ways to substitute or change a lot of these recipes, making it their own unique Kosher-Hispanic cuisine. Being multicultural can also be an advantage because it builds bridges between cultures and expands ones knowledge, whether it may be being multilingual, knowing the history and traditions of both cultures, or even something as simple as knowing how to cook a variety of delicious foods from different countries. Furthermore, being foreign-born can have a few advantages as well as disadvantages. Coming to America, one of the first things a foreign-born encounter is the language difference. Generally, when p eople come from a Spanish-speaking country, they have a very tough time communicating with English speakers, if Spanish is the only language they know. Often times feeling as if they have no voice; due toShow MoreRelatedBeing an other Essay877 Words   |  4 Pagesï » ¿In her essay â€Å"Being an Other† Melissa Algranati talks about how she didn’t know what race category she belonged to because of her ethnic background. Algranati’s father was born in Alexandria, Egypt and her mother was born in Maniti, Puerto Rico. She is a product of marriage, and her race is a Puerto Rican Egyptian Jew. She explains how her upbringing was different because of her parents’ different racial barriers. 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Moore was as an ethical leader and how he dealt first hand not only with the struggles of war but also what it took as a leader to ready his men in order to meetRead MoreRacial Reconciliation : African American1732 Words   |  7 PagesTJ Tyrrell Dr. Jessup April 19, 2017 SOC 220 Reflective Essay 3 1. Racial reconciliation is when one person or a group of a race apologizes and reconciles with someone of another race that was brought to harm by the faults of the first group. The PowerPoint illustrates the different reconciliations accepted by different races. The first race the PowerPoint covers is African American’s. This sense of oneness is what is essentially violated with when African America people experience Racism. The beliefRead MoreTrue Islam Has Been Hijacked1878 Words   |  8 Pagespopulation. Crippling the opportunities for Muslims in America due to the discrimination and prejudice that they received, many Muslims live in fear and anger. Fear of their neighbors and anger due to unequal opportunity and misunderstanding. This essay will analyze the perceptions of Islamic culture prior and post certain events, such as: Iranian Revolution and the following hostage crisis, the Gulf War, and 9/11. Following each event, the progression of islamophobia will be evalu ated. Once the eventsRead More Brown v. Board of Education and Multiculturalism Essay2346 Words   |  10 Pagesreality in education prompts the question: Is integration the final answer? W. E. B. Du Bois, a famous black African American historian and sociologist, once put: â€Å"Black students don’t need integration; they need an education.† James Baldwin, in his essay â€Å"Take Me to the Water†, also charges that â€Å"integration and education are not synonyms, though Americans appear to think so† (389). While the two prominent African Americans may be speaking in a different context, they both point out that integrationRead More Using Asian-Americans to Justify Racism and Prejudice Essay1777 Words   |  8 PagesAsian  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   80.4%  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   39.9% White  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   79.1  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   22.0 Black  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   66.2  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   11.3 Hispanic  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   50.8  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   9.2    Median family income, by ethnic group (1993) (3)    Asian  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   $44,456 White  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   39,300 Hispanic  Ã‚  Ã‚  Ã‚   23,654 Black  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   21,542 (For brevitys sake, Asian in this essay includes Pacific Islanders, and Hispanic includes Spanish, Cuban, Puerto-Rican and Mexican Americans.) The model minority myth Although it is true