Organisational behiever design Essay Example | Topics and Well Written Essays - 750 words

Organisational behiever design - Essay Example So lack of appropriate leadership was the main issue for the company facing so many crises. Following are the related four sub issues. One of the four sub issues was lack of motivation amongst employees. It is very important to keep the working environment challenging for the employees so that they are kept motivated. But again how challenging it should be so that it does not harm the productivity is again the leader’s responsibility. By the implication of the expectancy theory, the employees of the company could have been motivated. The theory relates to the determinants of the attitudes and behaviors at the workplace. There are three things that this theory explains that are valence, instrumentality and expectancy (Judge and Robbins, 2010). Valence is the measure of the attraction and the satisfaction associated with the predefined outcome for an individual. Instrumentality is the belief of the person regarding the relationship amongst performing the action and experiencing the outcome. Expectancy is the belief related to the link amongst the effort making and the good performance in true terms. So if the CEO at that time could have been able to use this theory then the results might not have got worse like in the decade of his leadership. Maslow’s Hierarchy of Needs Theory is one other theory that applies in this case. The reason is that the new CEO failed to fulfill the two higher level needs of the employees of the company that are the esteem and self actualization, Esteem incorporates internal factors like self-respect, achievement and autonomy external factors like recognition. Self-actualization relates to things like achieving your potential, growth and self-fulfillment. The new CEO could not safeguard the higher order needs of the Maslow’s Hierarchy Need Theory. Another sub issue was lack of trust in the company amongst the CEO and all levels of employees. It is known that trust is an expectation that is positive that another does not and will not by words, decisions and actions act opportunistically. Trust is based on two things mainly that are familiarity and risk. Trust has a lot of dimensions mainly like integrity, competence, consistency, loyalty and openness etc. Integrity relates to things like truthfulness and honesty, competence means the interpersonal and technical knowledge and skills, consistency relates to predictability, good judgment and reliability under various situations, loyalty means the willingness to safeguard and protect face for any other person and openness relates to the reliance on someone else to provide you the truth in full. Basically there are three types of trusts that employees in any company can experience. One is deterrence or fear of punishment based trust, the other is identification or trust based on mutual understanding, appreciation for other people’s desires and wants, and the knowledge based or behavioral predictability based trust that roots back to the inter action history. At J.J. Meyers Company the basic issue was that the trust was deterrence based. It means that the employees feared punishment and were forced to trust the CEO whereas they dint not like his leadership style at all. One other issue was that the expectations of the employees were not being fulfilled as they were being in the previous times of success of the company. The culture, the leadership style, the communication, group dynamics are the things on which the perception of the worker is based and these are the things that direct the

Administrative Law Rev Essay Example for Free

Administrative Law Rev Essay Freedom of Information Act 1982 is entirely in the interest of public who can have access to various documents of government of Victoria and its public agencies for verification or for any other useful purpose.   The sole objective of FOI Act is to bring awareness among public whether the functioning and operations of government are in order   and how public analyze the same. Section 22 provides about the charges to be paid for having access to specific documents.   The section provides technical details of payment of fee that is calculated with time that is taken for search of documents.    This is particularly due to the fact that   the time taken for search of documents may vary depending on the date of publication of document. This is also in order to reduce the payment of fee to be paid by public.   All sectors of public may not afford to pay high rate of fees for having access to government documents.   In view of such as these reasons, hourly rate and time taken for search of documents has been included in this section. The section also covers transcription (h)   and routine requests (g)   and in case of inspection of documents no charge shall be calculated (f) in pursuance of Section 8(1) or 11(1). Section 27 clearly states about reasons of refusal of documents by a Minister of state to that effect, applicant shall be informed about the reasons in writing.   This section is somewhat complicated with the fact that a minister or a government official is a servant of public and with that motive, public must be provided access to the documents which is the sole purpose of FOI Act. This section is likely to give rise to conflicts between and may bring a deep dissatisfaction to public. Some of the documents that contain health information are also restricted with the provisions of Health   Records Act 2001, which of these reasons are also to be stated to applicant.   Although there are clauses for applying of review of decisions, launch complain to Ombudsmen, it is both time consuming and   undecisive for applicants to move further with such grievances. Section 50 deals with applications for review which would be pending with Tribunal for decisions.   This may pertain to a request for document, charge made, decision for access, or any other specific request regarding information under FOI Act.  Ã‚  Ã‚   The Tribunal in all respects has to deal with each individual case, giving its due importance of provisions along with genuine reasons. This section is in favor of public, as Tribunal shall reconsiders and reviews the decisions and grants permissions to public in various aspects that are relevant to FOI Act. The Tribunal may refuse the decision of Minister or agency and give an order in favor of public. Those issues or requests for documents which were not considered by Minister, are very well resolved at Tribunal by applicants. Section 51 states that an applicant may apply to Principal officer or Minister for review of decision, which was given in the deemed absence within 28 days   for review of decision or refusing to give access to health documents as per Section 36 of Health Records Act 2001. This section offers powers and opportunities to public   for   reconsideration of requests for having access to documents.   Applicants have to be excessively vigilant in deriving the maximum benefit from the government bodies and officials.  Ã‚  Ã‚   This section is both useful for public and for principal officers to check the veracity of facts in all respects. Section 51A  Ã‚  Ã‚   deals with conciliation of Health Service Commissioner   which state that issues that were deferring in Section 50 and 51 in the matters of health documents, may suitably be taken up by applicant with this section and apply for Health Service Commissioner’s decision.   In case Health Service Commissioner fails to conciliate a request, to that effect an notice in writing must be issued to both applicant and Principal Officer. This appears as a last resort for applicant as the decision of Health Service Commissioner is the final approach for an applicant. Conclusion The enactment of FOI is made with a view of regularizing the functioning and to increase the   working efficiency of governments.   Apart from this fact, the public are also provided an in-depth knowledge about information and working status of governments. Although there are many technicalities involved in FOI Act, each section, sub-section and clause, a significance of reason is attached to it for the benefit of both public and governing bodies.

Food Safety And Security In India Environmental Sciences Essay

Food Safety And Security In India Environmental Sciences Essay Food safety is a growing concern globally. With the innovations in the processing technologies, packaging techniques, agricultural practices, and change in food habits, industry and enforcement authorities are facing new challenges every day. Currently there are more than twenty Indian laws relating to food, which are administered by a number of different Ministries and Departments. Food processors have to comply with these rules. Among the more important food laws are: à ¢Ã¢â€š ¬Ã‚ ¢ Prevention of Food Adulteration Act (PFA) of 1954 and the PFA Rules of 1955. Covers specifications related to food colour, preservatives, pesticide residues, packaging and labelling, and regulation of sales. à ¢Ã¢â€š ¬Ã‚ ¢ The Standards of Weights and Measures Act, 1976, and the Standards of Weights and Measures (Packaged Commodities) Rule, 1977. Designed to establish fair trade practices with respect to packaged commodities. à ¢Ã¢â€š ¬Ã‚ ¢ The Fruit Products Order, 1955. Specifications and quality control requirements regarding the production and marketing of processed fruits and vegetables, sweetened aerated water, vinegar, and synthetic syrups. à ¢Ã¢â€š ¬Ã‚ ¢ Meat Food Products Order, 1992. Administers the permissible quantity of heavy metals, preservatives, and insecticide residues for meat products. à ¢Ã¢â€š ¬Ã‚ ¢ Milk and Milk Products Order, 1992. Regulates the production, distribution, and supply of milk products; establishes sanitary requirements for dairies, machinery, and premises; and sets quality control standards for milk and milk products. à ¢Ã¢â€š ¬Ã‚ ¢ The Food Safety and Standards Act, 2006. In August 2006, Government of India has passed a new legislation Food Safety and Standards Act. 9.2 Food safety standards Temperature control should be maintained in Raw and cooked meat, poultry and meat products, Dairy products and foods containing dairy products, Seafood, Processed fruits and vegetables, Cooked rice and pasta, Processed foods containing eggs, beans, nuts and other protein-rich foods, foods that contain any of the above foods eg sandwiches and custard and cream filled baked goods. Generally the Standards require that potentially hazardous food is kept under temperature control which means below 5 °C and above 60 °C. Businesses need to limit the amount of time that potentially hazardous foods are kept in the danger zone à ¢Ã¢â€š ¬Ã¢â‚¬Ëœ temperatures between 5 °C and 60 °C. Food storage During storage you must make sure that the safety and suitability of the food is kept. This means that Food must be protected from contamination; Food must be stored under correct environmental conditions e.g. lighting and humidity; Potentially hazardous food must be stored under correct temperature. (below 5 °C and above 60 °C or frozen). Food processing Only safe and suitable food is processed; Food must be protected from contamination; There are no organisms present that can cause illness when the food is ready to eat. Some processing steps have clear requirements for example: Cooking Cooling Thawing Reheating Food display Food must be protected from contamination, for example barriers, covering ready to eat foods such as cakes and muffins that are on counters and supervision. That potentially hazardous food is either kept under temperature control or time is used as the control to keep the food safe. If less than 2 hours the food must either be refrigerated or used immediately; For longer than 2 hours, but less than 4 hours, must be used immediately ; For a total of 4 hours or longer, must be thrown out. If using the 2 hour/4 hour rule the business must be able to provide evidence of the times, eg tags with times marked. Food packaging The packaging material used is safe for food; the packaging material used is not likely to contaminate the food; the food is not contaminated during the packaging process. Food transportation Businesses must make sure that food being transported is protected from contamination; and that Potentially hazardous food must be transported at the correct temperature. ( 60 °C or frozen) Health and Hygiene requirements inform the food handlers about their health and hygiene responsibilities; make sure that the food handlers do not handle food if they are unwell with an illness such as gastro, or other illnesses that can be passed on through food; provide sufficient hand washing facilities, refer to Food Safety Standards Premises and Equipment fact sheet; make sure that food handlers on the premises do not contaminate food. Food Handlers Requirements: Food handlers must do everything they can to make sure that they do not contaminate food. They must wash their hands with soap and running warm water in the hand wash basin provided and then dry them using either a paper towel or air drier. Hand washing before handling food must be done regularly and whenever there might be the risk of contaminating food. They must not behave in any way that could cause contamination of food, for example smoking in food handling areas. Food handlers must inform their supervisor if they are suffering from; diarrhoea, vomiting, a sore throat with fever, fever or jaundice, any infected skin wound or discharges from their ears, nose, or eyes as these conditions could contaminate food. Cleaning, Sanitising and Maintenance Food contact surfaces, ie- chopping boards and preparation benches, must be cleaned and sanitised regularly or in between tasks to make sure that contamination of food does not occur. This also applies to the eating and drinking utensils. Sanitising can be achieved by; using hot water (77 °C at least), using a food grade sanitiser or diluted bleach. The premises, fittings and equipment must be kept clean and in a state of good repair. Chipped, cracked or broken utensils must not be used. Garbage must not be left to build up and must be removed regularly. Food Security The broader reasons for food insecurity are many: war, poverty, population growth, environmental degradation, limited agricultural technology, ineffective policies, and disease. Natural resources base like land, water, forest and the bio-diversity being the foundations for the both food security and environmental sustainability has been irreversibly damaged owing to the increasing food demand and consequently food insecurity. 9.3 Food Standards Safety measures for Select food products: Dairy products: As far as microbiological criteria is concerned, Indian standards for dairy products are elaborate. E,g ghee, butter, skimmed milk. The possibility of contamination from heavy metals should be checked and incorporated. Also, the products which are prepared from milk, should address to pesticide residue levels, and veterinary drug contamination e.g. yoghurt and weaning food. Poultry products: Indian standards for shelled eggs are comparable to international standards. The Indian standards for chicken meat and poultry meat should address the requirements for heavy metal contamination. Meat Products: Indian standards are available for boneless meat of Bovine which takes care of microbiological contamination is silent of heavy metals. There are no specifications available for sheep meat and goat meat in India, whereas other countries have identified the heavy metal contamination. Sea foods: Mercury contamination in sea foods is a major concern internationally which has not been addressed in Indian standards .Microbiological characteristics should also be addressed. Agricultural Products: The possibility of aflatoxin content in agricultural products has been addressed in the Indian standards but is silent on heavy metals (lead, cadmium and arsenic). Majority of the codex standards compared talk about lead contamination. The standards are comparable as far as honey is concerned. Milling products: Codex standards on whole-wheat flour consider the possible contamination from heavy meats and microbes where as Indian standards give requirements for physical hazards like rodent hair etc. Edible Oils: Specifications on all types of oils as under codex consider the heavy metal contamination where as Indian standards are not addressing the same. For parameters such as peroxide value, which relates to the rancid condition of oils, Indian standards do not give quantitative specifications. Indian standards should be reviewed to such effects in the interest of public health. Fruits and vegetables: Fresh fruits: Majority of the countries has identified the allowances level for physical impurities, defects and physical contaminations. Some of the countries have given the requirement for metals with Indian additionally following the heavy metals and pesticides specification of codex. Dry fruits: Majority of the countries has identified the specifications for physical impurities and physical contaminants and physical defects. Codex has additionally identified the specifications for heavy metals. Processed fruits and vegetables: Heavy metals limits are clearly identified in Malaysian standards but PFA standards for the above mentioned products are limited to compositional requirements and physical characteristics. USA has clearly described the physical defects in case of jams, squash and jellies etc. Pickle is an item of mass consumption all over India and has various category of ingredients in it. The PFA standards refer to microbiological contamination. The heavy metal contamination is addressed only in qualitative terms where it should have addressed to the heavy metal contamination such as lead, arsenic and cadmium etc in quantitative terms. Food safety checklist includes different aspects under the following heads: Personal hygiene Food Preparation Hot holding Cold holding Refrigerator, Freezer cooler Food Storage Dry Storage Cleaning sanitizing Utensils equipment Garbage storage and disposal Pest control Notes The installation of ISO: 14000, ISO 22000 Quality Management Systems and Hazard Analysis Critical Control Points (HACCP) based food safety system is extremely desirable in view of the changing scenario in the international trade. Ministry of Food Processing Industries is operating a Plan Scheme to motivate the food processing industries for adoption / implementation of food safety and quality assurance mechanisms such as Total Quality Management (TQM)including ISO, ISO 14000, ISO 22000, Hazard Analysis and Critical Control Points (HACCP), Good Manufacturing Practices (GMP), Good Hygienic Practices (GHP) and prepare them to face the global competition in international trade in post WTO era. (Ministry of op Annual Report 2008-09) Unprocessed foods are susceptible to spoilage by biochemical processes, microbial attack and infestation. The right post harvest practices such as good processing techniques, and proper packaging, transportation and storage (of even processed foods) can play a significant role in reducing spoilage and extending shelf life. Sources: Food Security-Agricultural Bio Diversity (Yamini Gurani) Food safety standards ( www.foodstandards.gov.au) Comprehensive study of food regulations and standards, food testing, CODEX resource system Report by TUV South Asia Pvt. Ltd, Mumbai

The Curse of the Hemingways Essay -- Exploratory Essays Research Paper

The Curse of the Hemingways â€Å"Can someone be predisposed to be suicidal?† That is the question that plagues many Hemingway scholars, and indeed it seems that it exists in the Hemingway lineage. Ernest Hemingway’s family tree is dotted with suicides and sudden tragic deaths, too many occurrences for one to merely disregard such tragedies as coincidence. Some believe that there exists the so- called â€Å"curse of the Hemingways,† a way to explain the many deaths within the Hemingway family due to drug overdose or self-inflicted gunshot wounds. Ernest’s case is the most well known, but suicide also struck his father, sister, brother, son, and granddaughter. The suicides among Ernest’s parents and siblings family are numerous. Clarence Hemingway, Ernest's father, killed himself in 1928. Clarence was fervently religious, providing much of Ernest’s moral education in his younger years. However, Clarence battled depression and diabetes, and in the end shot himself in the head on December 6, 1928. Ernest’s closest younger sister, Ursula, suffered from cancer and bouts of depression, and killed herself in a drug overdose on October 30, 1966. Ernest’s brother Leicester was the youngest in the family, the only other male after Clarence’s sudden death. He was a writer like Ernest, but depression and diabetes gripped him and Leicester shot himself on September 15, 1982, after finding out he needed to amputate his legs. The rest of Ernest Hemingway’s family also has had a share of sudden deaths and suicides. Ernest’s second wife, Pauline Pffeifer Hemingway, died suddenly of abdominal pain and internal bleeding. He had lived with her for 13 years and had two children together, Gregory and Patrick. Gregory Hemingway lived a tragic, wretch... ...9/hemingway/stories/biography/index.html - I took from this site the date and causes of death for Leicester, Ursula, and Pauline Hemingway. http://www.timelesshemingway.com/familytree.shtml This site contained the family tree of the Hemingways. http://www.cvc3.org/modelcourses/mrogoff/Macomber.html#SUICIDE%20IN%20THE%20HEMINGWAY%20FAMILY: This site listed the members of the Hemingway family that committed suicide. http://www.advocate.com/html/stories/851/851_hemingway.asp -This site had information concerning Gregory Hemingway’s life and death. http://www.cnn.com/SHOWBIZ/9608/20/hemingway.suicide/ This site had information on Margaux Hemingway. http://www.cigaraficionado.com/Cigar/Aficionado/people/fa899.html This site contained the most information on Ernest of any other website, where I gleaned the history of his accidents and his alcoholism.

Economic Concern in Pride and Prejudice Essay

Jane Austen’s Pride and Prejudice had a long and varied life before it finally saw publication on January 28, 1813. Austen began the book, originally titled First Impressions, in 1796. Economic concerns are all over the place in this novel. One of the things that Austen does so well is to poke fun of the whole social class mentality of England during that time. In the novel, the social and economic classes are drawn very clearly. For example, the Bennets are middle class and they are made to know it by their economic and social superiors – the Bingleys and Darcys. There is a sense of entitlement among the wealth and a sense of subservience among the others. One of the clearest examples of this dynamic based on social class is Mr. Collins who acts like a â€Å"slave† to his cultural superiors, like Lady Catherine de Brourgh. Finally, what makes the story so great is that this tension is teased out until love wins. The marriage between Elizabeth and Darcy is the resolution, but for this to happen Darcy has to overcome his pride and Elizabeth her prejudice. Both are rooted in class consciousness. In Pride and Prejudice, there are many characters who do not have financial concerns, such as Mr. Darcy, Lady Catherine de Bourgh and Mr. Bingley. Therefore I will restrict myself to talking about the Bennet family, and in particular, Mrs. Bennet, in this response. Key to focus on is the way that, at least in part, it is economic reasons that are behind Mrs. Bennet’s frantic attempts to marry off as many of her daughters as possible. Note what we are told in the first paragraph of Chapter Seven about the brute realities of the existence of the Bennet girls: Mr.  Bennet’s property consisted almost entirely in an estate of two thousand a year, which , unfortunately for his daughters, was entailed in default of heirs male, on a distant relation; and their mother’s fortune, though ample for her situation in life, could but ill supply the deficiency of his. Her father had been an attorney in Meryton, and had left her four thousand pounds. The exact details that we are given clearly indicate how important money is. The way in which the property of Longbourne is entailed away from the female line adds new understanding to Mrs. Bennet’s determination that Lizzie should mary Mr. Collins, no matter what her personal feelings are, as it would effectively provide for Mrs. Bennet and the rest of the sisters after the event of Mr. Bennet. Later comments made by Mrs. Bennet about the Mr. Collins and Charlotte â€Å"turning them out onto the street† when Mr. Bennet dies, although are clearly exaggerated, nonetheless accurately reflect the uncertain future of this family unless they can marry off some of their daughters well to provide for the rest. Economic forces are therefore shown to bear massively on the fortunes of this family.

How to Invest Like Warren Buffett Essay

Introduction Simplicity is the best word to describe the life of philanthropist and mega-billionaire Warren Buffett. The same single word also depicts his multi-billion worth of investment principles and strategies (Cunningham, 2008, p. 18). For more than fifty years Buffett was able to build a multi-billion investment empire with his simple investment philosophy. Like his more than 60 billion dollar fortune under his name, Buffett, who is by far the greatest philanthropist of all time for donating almost all of his wealth to the Bill & Melinda Gates Foundation, is also one of the most observed and most admired personalities in business with countless of articles, books and blogs written about him. If most common people look at him as the most generous man in the world today, people in the corporate world regard him as the greatest guru— or even ‘God’— in the realm of investment. With his great fortune, he is considered ‘God’ in investment because of his ability to spot real value when everybody focuses their attention on market movements and because of his unparalleled skills and knowledge to transform simplicity into greatness. If most billionaires like Bill Gates and Lakshmi Mittal built their business empires through managing profitable technology corporations and industrial firms, Buffett made billions by simply knowing how and when to invest his money. How He Started To know more about the investing secrets of Warren Buffett, it is necessary to look at how he managed his most precious property— his life, and how he lives it (Schroeder, 2008, p.1). He learned how and when to earn money at an early age, and he filed his first income tax return when he was only 13 (Sosik, 2006, p.149). Buffett’s value investment career started when he put his money in Berkshire Hathaway, a little known and ignored holding company based in Omaha, Nebraska in the 60’s. Now everybody is startled to know that if you invested $10,000 in the company in 1965, the value of that money today would be more than $30 million (Investopedia Staff, 2007). If his close billionaire friend Bill Gates dropped out of Harvard University to focus on Microsoft Corporation, Buffett, who is known in the business world as ‘Oracle of Omaha,’ was rejected by Harvard Business School. This experience somehow taught him a great deal not only about business but also about life. To most people Harvard is one of the best, if not the best, schools in the world, but Buffett thought otherwise— his basis of choosing school was not the institution, but the people who would impart the requisite knowledge and values. So when asked about his mentors, Buffett only had three people on top of his mind— his father, Benjamin Graham, and Phil Fisher. His father— Howard Buffett— taught him the positive values he needed to live, while Graham and Fisher taught him the basic principles in investment and how to make money in this profession. His investment style is consisted in the following rubric— think outside the box. When he graduated from college, he wanted to make money in Wall Street, but his father and Graham discouraged him (Miles, 2004, p. 30). The two believed that there were great opportunities waiting for him outside Wall Street. That was the time when everybody wanted to work on Wall Street and when everybody focused their attention on the stock market. Buffett believes that stocks are more than just an asset or capital; it is business. His Philosophy It would be futile to know the secrets of his billion dollar secrets without knowing how he thinks and what he believes in. Unfortunately, most of his biographers failed miserably to look into what is in the mind of the world’s greatest investor. In fact, a review of some literatures and articles would reveal that they just focus on the extrinsic side of Warren Buffett; they failed to look at the intrinsic aspect of his life. Many believe that his philosophy is consisted in these two major Buffet rules— first, never lose capital; and second, don’t ever forget the first rule (Miles, 2004, p. 70). It would be best to say that this does not embody Buffett’s philosophy but rather his tactical investment approach. A business philosophy is something that one holds as his primary direction in life— the fountainhead of his concepts and beliefs, the beacon of his goal, and the reason for living. Buffertt’s business philosophy can be expressed by his following simple quote— â€Å"Be feaful when others are greedy and be greedy when others are fearful† (Hagstrom, 1997, p. 52). Essentially this buffett-line expresses the inherent nature of free-market system, which he and his friend Bill Gates have in common. Under a free-market system, it is rational and ethical to be greedy, since the primary goal of a capitalist is not just to earn profit but to expand it and ensure that it creates limitless profits and opportunities. For some this statement may sound ironic or paradoxical since it contradicts the popular or media-fed persona of Warren Buffett. With this belief— that greed is good, Buffett was able to transform his meager investment into a multi-billion dollar empire that even exceeded that of Gates and Mittal. His investment experience proves that by creatively and greedily investing one’s money— one can make a good or even great fortune out of creative value investment. So what does it take to be like Warren Buffett? Definitely it takes a rational and moral philosophy, proper knowledge, and non-conventional investment point of view to follow the billion dollar investment footsteps of Buffett. But what is the role of philosophy in Warren Buffett’s billion dollar investment strategy? The problem with most people is that they tend to mainly focus on tips, secrets, or strategies. Most successful people did not achieve their status by keeping ‘success secrets’ or ‘strategies’ but by putting into action a rational philosophy that motivates and creates values. A simple look at the life and investment career of Buffett would reveal that it is his rational philosophy that continues to motivate him— that keeps on pushing him to do what he does best. As what Fridson said, budding investors must focus on â€Å"uncompromisingly rational investment philosophy† of Warren Buffett. This is because investment secrets or strategies can be absorbed or learned in a very short span of time or even overnight, but it takes an indefinite period of time to absorb and embody a rational philosophy to translate these secrets or strategies to reality. Of course, this billionaire will not exactly say what people would like to know. Contrary to the many written articles about his investment secrets or strategies, Buffett’s secret is in fact consisted only of three simple words that should be practiced everyday— â€Å"read, research, and think† (Miles, 2004, p. 70). Vague and ambiguous as it may seem but this three-pronged strategy is what Buffet practiced and embodied throughout his more than fifty years in the world of investment. That is why it is stressed in this paper that simplicity best describes the life and investment principles of Buffett. For example, this read-research-think approach of Buffett is the essential element of his cigar-butt investment method. Buffett in fact creatively applied this three-pronged approach in his early years as a value investor. Unlike most investors, Buffett put much premium on his rational judgment than on what most people see in the market. His investment style can be likened to that of a diamond prospector. He knows how to assess which diamond is real or not in just a single glance. He reads, he researches, and he thinks. His Investment Strategy Buffett’s investment strategy is governed by two rules and a number of principles. These dual rules have been mentioned above. This sets the difference between his investment philosophy and his investment strategy. Thus in this paper, Buffett’s investment strategy is composed of rules and principles. Under his primary rule, it is not sensible or moral for an investor to invest and then later on lose his money. Thus this can be avoided by paying attention to his three-pronged investment approach— read, research, and think. By following the aforementioned approach, a young investor may be able to discover several things that are essential in investment’s decision-making process. Buffett considered Graham as his investing mentor. According to Miles (2004, p. 72), it was the Graham school from which Buffett learned not just the basics but also the quantitative principles in investment. On the other hand, he learned a great deal about Fisher’s qualitative side of investment, such as brand, management skills, soft skills, and competition. Thus he said: â€Å"I am an active reader of everything Phil Fisher has to say† (Miles, 2004, p. 72). Now every promising and even established investor is eager to hear what he has to say. Despite his unparalleled success as an investor, he still gives credit to his two mentors, as he likes to say that he is 85 percent Graham and 15 percent Fisher (Hagstrom, 1997, p. 27). The reason why it is important to read, research and think is because in investment, it is highly indispensable to consider the following aspects: a) study the business; b) know well who runs it; c) put money in profits; and the most important of all d) have self-esteem. On the other hand, Buffett’s basic steps when investing are the following (Miles, 2004, p. 70): Determine how much you own Conduct research before buying Focus on business ownership not on stock ownership Simplify investments to manageable proportions Keep a single decision to hold a stock and be a continuing holder For example, before investing his money, Buffett researched first the nature and potentials of Gillette, which is still the world’s top producer of razor blade. Warren’s holding company Berkshire Hathaway invested $600 million in Gillette in 1989; four years ago it already owned 11 percent of said company. This means that from the original $600 million investment, Warren’s holding company’s investment grew up to over $3 billion. When he decided to purchase Gillette, he did not mind its value in the market but the potential profits it could muster in the long run. As a value investor, Buffett put money in securities with low prices according to their intrinsic value. In determining the value of a stock, there is no commonly acknowledged method to get the right figure. Basically, the focus of value investors is not on what the market says but on what the company’s potentials and fundamentals offer. This is because there are some companies that are undervalued by the market yet with good potentials to grow and rake in long-term profits. This is the attitude that Buffett showed to modern investors. Markets only reflect the short-term value of a company, and it takes proper knowledge, better understanding, and courage to discover which company is undervalued and has the capacity to establish a long-term profit-making success. His investment methodology Buffett’s methodology is composed of quantitative aspects in value investment. Under this process, he considers the relation between a stock’s quality and its value. Based on his method, the return on equity is equivalent to net income over shareholder’s equity (Investopedia Staff, 2007). One thing that Buffett considers is debt/equity. Before investing, he conducts research whether a company kept away from excess obligation. This is actually a basic principle in investment— do not invest in a company with huge debt. To Buffett, a debt-ridden company has a low capacity to guarantee return on equity. Debt/equity can be measured by dividing the total amount of obligations by shareholders’ equity (Investopedia Staff, 2007). If a company has more debt than equity, it is not advisable to put money in such company since it uses debt to finance its assets and operations. For instance, a company that has a higher ratio of debt vis-à  -vis equity has an unpredictable earning capacity and is prone to high interest expenses (Vick, 2000, p. 169). When one is investing in a particular company, it is advisable to look at the long-term obligation rather than the total amount of debt. Another aspect that is considered by Buffett is the profit margin. However it is not only important to know if a company’s profit margin is high, what is more important is to know whether it is growing. The capacity of a company to earn long-term profits relies not merely on having a positive profit margin but on constantly expanding this profit scope as well. The attitude of Buffett towards investment can be explained by how he managed Berkshire Hathaway. He purchases stocks to keep the same and he does not look at stocks as a commodity that can be bought and sold but as a business entity. His investment style is simple— he buys stocks and treats them as his own business, and this business makes profits not just for a short span of time but for as long as it stays profitable. He also considers the age of the company— the longer the better. Those that stay in the business for at least ten years are good investment opportunities. Since Buffett admits that he only has a limited knowledge in technology corporations he only puts money in a business which he absolutely understands. He puts much premium on longevity, and this principle brought him where he is right now. When he invested in Berkshire Hathaway, he envisioned of a long-term business that could earn a limitless amount of profit. This is what he learned from Graham, which most researchers consider as the proponent of old school in investment. Perhaps the new school in investment is the buy-and-sell style of most investors wherein profits are short-term and limited. Interestingly, Buffett also looks at the nature of business of a particular company. If most investors usually look at numerical figures, Buffett focuses on the qualitative sides of a company. For example, if a company depends on a commodity like gas and oil, he thinks that such company only offers limited returns on equity (Investopedia Staff, 2007). If the product of a company is identical from those of its market rivals, he thinks that competition would hamper the profit-making ability of such company. To understand the importance of this approach in investment, it is necessary to look at the biggest stock holdings of Berkshire Hathaway. The holding company owns 9.5 percent of Gillette, which is the leader in razor blade industry (Jubak, 2004). It also owns 9.2 percent or $10.1 billion of Coca-Cola, which is one of the biggest companies in the beverage industry. The other companies which Berkshire has shareholdings are the following: American Express, American Standard, Ameriprise Financial, Anheuser Busch, Burlington Northern, Comcast, Comdisco, Conoco Phillips, Diageo, First Data Corp., Gannett Inc., GAP, H&R Block, Home Depot Inc., Ingersoll-Rd Co., Iron Mountain, Johnson & Johnson, among many others (Losch Management Co., 2006). Conclusion Billionaire Warren Buffett is indeed an unconventional value investor who thinks outside the box. At a time when most people paid attention to what the stock market says, Buffett relied only on his competent judgment, on his rational philosophy, and on his self-styled investment principles and strategies. That investment philosophy— be greedy when others are fearful put him to where he is right now, with billions of dollars in his. Despite his unmatched success, he remains humble and still retains the ethical values he learned from his father (Boroson, 2002, p. 18). In business, greed is moral and good. In contrast, fear is something that must be overcome to earn limitless profits from investment. Indeed, Buffett attained his unparalleled success by being ‘greedy’ while others cowered in fear of losing their money.   Taken as a whole, his investment tactic can be summarized into three essential principles— a) make your strategy simple and understandable; b) be consistent with your operations and approaches; c) focus on positive long-standing prospects. One interesting point to take into account is that Buffett’s philosophy and investment strategies never contradict each other. When he advises new investors to be ‘greedy,’ he means profits and business. And when he tells people who would like to follow his footsteps to read, research, and think, he would like them to rely on their own judgment and not be affected by other people’s opinion and market trends. With his more than fifty years in business, Buffett introduced the importance of self-esteem in investment. That it is important to rely on one’s moral judgment. By relying on his own judgment, Buffett maximized his profit-making capacity through Berkshire Hathaway. This means that there is no difference between the work ethics and potentials of a value investor and an industrialist. If Bill Gates and Lakshmi Mittal both create technology through their colossal industrial empires, Buffett creates limitless potentials through his creative and self-inspired investment principles. REFERENCES Boroson, W. (2002). J.K. Lasser’s Pick Stock Like Warren Buffett. New York: Wiley Cunningham, L.A. (2002). How to Think Lke Benjamin Graham and Invest Like Warren Buffett. New York: McGrawhill Professional. Losch Management Co. (2006). Berkshire Hathaway Stock Holdings 2006. Retrieved December 11, 2008, from http://www.loschmanagement.com/Berkshire%20Hathaway/Berkshire%20Holdings/2006.pdf Hagstrom, R.G. (1997). The Warren Buffett Way: The Investment Strategies of the World’s Greatest Investor. New York: Wiley. Investopedia Staff (2007, September 21). Warren Buffett: How He Does It. International Business Times. Retrieved December 11, 2008, from http://www.ibtimes.com/articles/20070921/how-he-does-it.htm Miles, R.P. (2004). Warren Buffett Wealth. Principles and Tactical Methods Used by the World’s Greatest Investor. London: Wiley Sosik, J.J. (2006). Leading With Character.   North Carolina: Information Age Publishing. Vick, T.P. (2000). How to Pick Stock Like Warren Buffett. New York: McGrawhill Professional.