Information Systems Management & Quality Essay Example | Topics and Well Written Essays - 3000 words

Information Systems Management & Quality - Essay Example This report and the involved case study incorporate computer and information technology plus their application into government projects. The main points of focus are the ability of computer systems to operate effectively when employed on relevant scenarios. The evident exposition here is the failure of the specified projects. Their failures have been attributed to by several issues ranging from technology to management and both. Moreover the National Audit Office has a number of stipulations in its desire for elimination of central government wastage or overspending and improvement of success rates of the projects (Liebowitz & Khosrowpour 2007). In the past, the government has succumbed significantly due to the consequences of unproductive plans that have been deficient of the ability to progress. Considering their progressions, it implies that the projects might have not been capable of delivering as per the expectations of their initial aims (Khosrowpour 2006). Similarly, the inabi lity to succeed might also lie on the projects tendency of accruing losses. In this case the latter is more significant for considerations since both of the selected case studies have the basic facet. The case studies selected for analysis are the independent learning accounts and the pathway. Comprehensively, the independent learning accounts incorporate a scenario that led to the loss of ?97 million whilst the pathway associated a loss of 1 billion Euros. In this instance, the citation convinces the logic of seeking an appropriate means of curbing the situation that might transpire into such losses both presently and in the future (Liebowitz & Khosrowpour 2007). The Independent Learning Accounts Let us assess the specific instances of the projects. First, the independent learning accounts and as a government project. This was the 2001 system offering adults ?150 for educational use was abandoned after fraudsters coined millions in fake applications. The independent learning accoun ts were a system designed to offer adults funds for educational reasons (Schwalbe 2010). In this case, the system failed when the fraudsters succeeded in compromising its effectiveness and obtain benefits from it leading to the government loss. However, this project was chosen since it involves the loss of money from external fraudsters who depends on their skills for malicious gains (NAO 2012). This is the main point for the projects preference since it outlines the major point of scenario that the fraudsters use currently in obtaining benefits they do not merit from genuine projects. This problem is rampant virtually in all situation organizations and by attaining its remedy would assist in resolving other related problems in other scenarios. Management Issues Concerning the management issues leading to the failure of projects, there was poor testing in the case of independent learning accounts project. It is imperative to understand that the project developers and the experts per form series of testing processes of the project (Khosrowpour 1999). The tests are aimed at determining the flaws and formulating technical means of curbing them. In this case technology is the main consideration and the security of a system is imperative for contemplation. According to Madeley (1991), security has to be tested in all perspectives because the system is conveyed via the network and usually users would try the effectiveness of the system as well as detection and blockage of security

Building Background and Comprehensible Input Essay

Building Background and Comprehensible Input - Essay Example It is important to acknowledge that teachers must meet the needs of English learners while addressing the needs of the mainstream student. This is quite a task but one that is possible to tackle. This lecture will address strategies that are essential for English learners to acquire content knowledge and improve academic language proficiency but these strategies will be beneficial to all learners. The lessons: Building Background and Comprehensible Input are both very good tools for teaching students especially those who are at the "maturing" stage. However, as both are being asked to be rated, the verdicts are as of follows: Comprehensible Input lesson received a 95% while Building Backgrounds received 100%. Now, as for the explanations; taking into consideration all the aspects of teaching and learning, the first topic which was Building Backgrounds received the perfect score because it is the root of all the teaching and learning process that transfer from one teacher to the student. Without this, all the effort that the professor gives out will be futile. Building Backgrounds is what its title says; making a sturdy base for the learning of the students. As the description goes, it is important for teachers to consciously incorporate techniques for students to acquire content knowledge and vocabulary content simultaneously. The Comprehensible Input or what you call the dig estive system of the mind is the result of a very good lesson planning. A very well thought-of lesson will stay in the minds of the students for a very long time and it may possibly be their pushing force of the thing that drives them most. It may be hard at first but thinking of lesson plans is actually easy if professors include the students in thinking up ideas for the lesson plan. With this, the students will be able to participate in the decision-making of their classes and thus, be motivated in studying and listening more to the studies because they are the ones who have thought of it in the first place. The Comprehensible Input on the other hand, is solely based on the process of Building Backgrounds. The students will not simply absorb the lessons if the structure of the topic is not attractive and barely retainable in the minds or the students. What is needed here is that the lessons should be highly retainable in terms that the students will remember it for the longest time and that it will be embedded in their minds and will be used for their future. Now, that is the purpose why students are being placed in an institution called, schools and universities. So that in times when the parents can no longer support the growing years of their children, the schools will be there to maintain the foundation that was set up by the family. So in other words, the school becomes the second home of the children. As for the effectiveness of each lesson, it has been established in the previous paragraphs the importance and the uses of the said lessons. However, as have been discussed, only one lesson

Treatment Of Clostridium Difficile Infection Health And Social Care Essay

Treatment Of Clostridium Difficile Infection Health And Social Care Essay As a nurse working in acute medical ward for elderly, I work closely with patients with C. difficile infection. I have noticed the effect of C. difficile infection in elderly can be fatal. C. difficile is a gram positive anaerobic bacillus. They colonise in the oxygen deficient areas of the body. That can cause life threatening conditions, including diarrhoea, colitis and septicaemia and resulting death. C. difficile infection can cause serious illness and a significant cause of patient morbidity and mortality. It is a major cause of hospital acquired diarrhoea. C. difficile infection can cause serious illness and hospital outbreaks .It can cause significant financial burden on NHS. It is estimated that the increased length of hospital stay itself can cause an excess of around  £4,000 per patient. The number of death certificates mentioning C. difficile infection in England and Wales fell by 29% between 2007 and 2008 ,after increasing every year since records began in 1999(National Statistics,2008). According to Weston (2007), Clostridium difficile was first identified in 1935s, but until the late 1970s it was not identified as the cause of pseudo membranous colitis following antibiotic therapy. C. difficile infection is more common in elderly (over the age of 65). People who have a long stay in health care settings, those who have recently had gastrointestinal surgery and those who have a serious underlying illness that compromises their immune system are also at high risk to get C. difficile infection. In-patients are also at high risk if there are hospital outbreaks. Poor infection controls are also an important risk factor. Causes Antibiotics are considered as the most important cause for C. difficile infection. Any antibiotic can cause C. difficile infection, but Broad spectrum cephalosporins, broad spectrum penicillin and clindamycin are most frequently implicated. The second most commonly named antibiotic is Co amoxiclav (Health Protection Agency, 2008). The use of proton pump inhibitors such as lansoprazole, omeprazole and pantoprazole are also potential risk factor for C. difficile infection (Leonard et al., 2007). The disruption of normal harmless bacteria in the gut, because of antibiotic therapy also allows the C. difficile to multiply to greater number. The bacteria start to produce toxins. The antacids suppress the gastric acid secretion and as a result, C. difficile bacteria, including the spores are less likely destroyed. The reason for community associated C. difficile infection was unclear but it is become clear that the reasons for the majority of the infections are associated with antibiotic pr escriptions or hospitalisation (Wilcox et al., 2008). Transmission The transmission is through faecal-oral route. The infected patients acquire the organisms directly from other patients with diarrhoea. The route of transmission may be direct, via the hands of health care workers or via the hands of patients or via the environment. Asymptomatic people who are colonised with C. difficile are also can be able to transmit the disease. About 3% is the colonisation rate in healthy adults, but this increases to nearly 20 % in older people especially in chronic care wards. The spore form of C. difficile can survive in the environment for five months or more on hard surfaces. It is considered that the primary route of transmission of C. difficile infection via healthcare workers hand. Clinical features and pathogenesis The most important clinical feature is sudden onset of offensive smelling diarrhoea during a course of antibiotic or who had antibiotics with in the previous two months. Patients may pass soft or watery stool more than twice daily or in more severe cases more than 20 times accompanied by severe abdominal cramps (Weston, 2007). Abdominal distension, fever and dehydration may also be present in more severe cases. Unless C. difficile is diagnosed, the patients can be miss- diagnosed with irritable bowel syndrome. C. difficile infection is a major health problem worldwide that leads to increased morbidity and mortality. Healthy adults carry around 500 species of bacteria in the colon, 90% of which are harmless (Weston, 2007). C. difficile colitis results from the disruption of normal colonic flora and C. difficile colonises in the oxygen deficient areas of intestine. The spores are able to replicate and produce toxins that can lead to mucosal damage and inflammation. In a healthy adult t he normal colonic flora inhibit the growth and colonisation by C. difficile. The antibiotic therapy may disrupt the normal flora and allow the C. difficile to colonise very rapidly. After colonisation the organisms produces two protein exotoxins( Toxin A, an enterotoxin and Toxin B , a cytotoxin) in to the colonic lumen. These are responsible for diarrhoea and colitis. Toxin A binds to the receptors in the intestine and cause extensive tissue damage, inflammation and oedema. Both toxins posses cytotoxic activity against cultured cells by same mechanisms but they differ in cytotoxic potency, toxin B is generally 1000 times more potent than toxin A and to play a major role in activating inflammatory repose (Weston, 2007). Toxin B is more important than toxin A in the pathogenesis of C. difficile infection in man. According to lab test reports there are 100 different types of c difficile stains. The most recognised epidemic types is ribotype 027.The most important feature of ribotype 027 is hypertoxin production, 10 to 20 times more toxin than other stains. The C. difficile infection caused by ribotype 027 are more likely to be severe with increased complications such as renal impairment, severe colonic dilatation and sepsis (Freeman et al., 2007).The clinical features include increased severity of illness, failure to respond to antibiotics ,abdominal distension. Raised CRP and rising WCC particularly in patients who may have appeared to respond to antibiotics and deterioration in condition and appears to have higher mortality rate. Diagnosis Laboratory studies of stool sample will help to detect c difficile infection. Stool culture will help to detect the presence of difficile with toxin production. Stool enzyme immunoassay (ELISA)will detect both of the toxins ( A or B). For toxin B Stool cytotoxicity assay will be positive.Endoscopy may demonstrate ,but it is the least sensitive for diagnosing C. difficile as compared to stool assays., Sigmoidoscopy alone may not reveal any abnormality if the disease is confined to the right colon. Colonoscopy is more useful. Because of the risk of perforation Sigmoidoscopy and Colonoscopy is contraindicated in patients with colitis (Weston, 2007). Treatment The treatment of C. difficile infection depends on the severity of the illness. At my work place, the patient is closely monitored and isolated. A stool chart is maintained using Bristol Stool Chart. All antibiotics that are not required are stopped. This will help the normal bacteria to thrive again in the gut. If any patient develops C. difficile infection at my work place, we conduct a thorough investigation for the causes and we notify the antibiotic management team to review the patient. The team will review the patient in the ward (rounds Wed/Fri.) or via the phone. There will be a root cause analysis to find why the patient developed C. difficile infection? In some patients fluid and electrolyte replacement and nutrition review may also be necessary. In mild cases of C. difficile infection, patients are monitored for 48 hrs before starting antibiotics. In severe cases, antibiotics may need to be administered immediately. Metronidazole and Vancomycin are the two preliminary ant ibiotics used in the treatment of the infection (Weston, 2007). Usually a 7 to 10 day of therapy is required. Oral metronidazole 400mgs eight hourly for seven to ten days is the first line of treatment. It is contraindicated in women who are pregnant or who are breast feeding. The most recognised side effects of the metronidazole are an unpleasant metallic taste, nausea, vomiting, diarrhoea, abdominal pain, headache, pruritus, rashes, dizziness and reversible neutropenia. Vancomycin is known to cause the spread of vancomycin resistant bacteria. Vancomycin is used for severe, life threatening cases of C. difficile infection. It is also used for patients unable to tolerate metronidazole and failed treatment with metronidazole. Vancomycin is expensive. Oral vancomycin is not completely absorbed or metabolized in the gut and is excreted in the stool unchanged. This is ideal in the treatment of C. difficile infection. The recommended oral vancomycin doses for adults are either 125mg or 500mg four times daily. The use of a rectal vancomycin enema (500mg diluted in 1000ml of 0.9% sodium chloride injection) is also an alternative. A recurrence of symptomatic disease with re infection occurs in 5-20% cases. Management of repeated relapses is more difficult. The options include slow tapering of vancomycin or metronidazole over a period of six weeks and vancomycin combined with rifampicin for seven days. There are also case reports of successful treatments with intravenous immunoglobulin which contains antibodies to c difficile toxins. The studies shows oral administration of limited bacteria or yeast helps to reconstitute the gut flora and there is a potential to prevent infection.The ability of these organisms to colonize and also to prevent and treat the c.difficile is unclear. (Department Of Health, 2009). Surgery may be needed for small number of cases especially if C. difficile infection progress to fulminant colitis and perforation. Loperamide (anti diarrhoea drug) is contraindicated for C. difficile infection because this will slow down the clearing of toxic bacteria (Weston, 2007). Prevention Control Preventing the spread of C. difficile can be challenging as hospitals tend to have an increasing population of elderly, debilitated and susceptible persons, which naturally increases the number susceptible hosts within the environment. Isolation Isolation should be implemented in conjunction with the infection prevention and control measures to minimise the risk of spread to other vulnerable groups. Private room/side room is recommended, especially for patients who are fecally incontinent. Cohort symptomatic C. difficile associated disease patients only with other symptomatic C. difficile infected patients, to minimise environmental contamination. Patients with C. difficile infection may be moved to other rooms or bays when the diarrhoea ceases (no diarrhoea at least 48 hours) (Department Of Health, 2009 and Health Protection Agency, 2009). Hand washing Barrier nursing Contact precautions should be used for C. difficile infected patients with diarrhoea. Proper hand washing is essential. Alcohol-based hand gels are not effective in reducing the spread of the organism and are not recommended. Disposable gloves and aprons should be worn when caring for the patients. It is recommended that not to share the equipments between the patients. It is a good practice to inform healthcare workers and visitors that a patient is on contact precautions, such as labelling the door of the room, without disturbing patients privacy. Last year we (My work place) spent  £1,280.32 for soap, alcohol, gel and moisturiser. Environmental Cleaning The environment of a patient with C. difficile infection should be cleaned thoroughly at least twice per day. An approved hospital disinfectant-detergent should be used for all environmental cleaning. Terminal cleaning (stage cleaning) of ward area is essential after the discharge or transfer or death of a patient with C. difficile infection. (My ward) Decontamination of equipment Do not share equipments among patients to prevent cross infection. Commodes and bedpans are heavily contaminated with spores and are considered as vehicles of cross infection in C. difficile outbreaks. It is ideal that symptomatic patients have their own commodes or toilet facilities. Proper disinfection must be essential. Transfer of Patients Transfer of patients with C. difficile infection or disease to another ward, unit, or to the long term care facility must be informed prior to the transfer that the patient has C. difficile infection. Same notice must accompany transfer of patients with C. difficile infection to a long term care facility (Department Of Health, 2009). It is not necessary to have absence of diarrhoea or negative stool cultures before the transfer of a C. difficile patient to a long term care facility. On the patients discharge, we need to notify the primary care physician (My ward). Rectal Thermometers Since the outbreaks C. difficile in hospitals and long term care facilities, rectal thermometers are restricted to use. For the routine use Electronic tympanic thermometers are recommended (Department Of Health, 2009) Education Ward should conduct training programmes to the health care staff. Ensure that patient / family information leaflets are given out. Anti microbial management team It is the responsibility of the hospital trust to develop anti microbial management team. That should consist of a consultant microbiologist, pharmacist and prescriber. The trust also needs to develop restrictive antibiotic guidelines. These guidelines specifically need to address to avoid the use of broad spectrum cephalosporin, broad spectrum penicillin and clindamycin especially in elderly and minimise the use of fluroquinolones, carbapenems,that we follow in my work place. It is also a good practice to have an infection control link nurse to each and every ward. It is their responsibility to do proper training for staffs and auditing the clinical area. Outbreaks of C. difficile infection in Long Term Care Facilities An outbreak of C. difficile infection is defined as three or more cases of symptomatic C. difficile infection mainly in the same area of the hospital ward within a period of seven days. Infected patients should be placed in isolation room or cohorted. Patient(s) can be removed from precautions if there is no diarrhoea .There is no need to wait for negative stool culture to remove the patent from precautions. An education program regarding C. difficile infection and its transmission and prevention should be conducted to all health care workers. Need to highlight the use of gloves and aprons and moreover proper hand washing. The health care facility need to monitor for any significant episodes of C. difficile infection, and then need to liaise with local health department for further assistance (Walker K et al., 1993). Possible Solution Conducting education programmes and workshops for health care workers and public to increase the awareness of C. difficile infection can contribute a major role in reducing the number of C. difficile infection cases within the healthcare system. Need special attention to personal hygiene. The primary route transmission is via the hands of healthcare workers and other patients and residents. It is very important to perform proper hand washing and barrier nursing (gloves, gowns). Environmental hygiene is also very important factor in controlling C. difficile infection. Regular and proper cleaning of patient rooms with anti bacterial cleaning agents is essential as C. difficile toxins can stay in the environment for several months. Changing the way doctors prescribe antibiotic therapy is also an important strategy in control the C. difficile infection. Because C. difficile infection is always associated with the use of antibiotics, It is also recommended to have an antimicrobial management team for each hospital (Department Of Health, 2009). In cases of recurrent C. difficile infection experts agree that the non antibiotic treatment have a positive impact. The use of toxin binders neutralises the effect of toxin producing stains and to helps the intestinal flora to restore .Tolevamer, developed by Genzyme Corporation is the first non antibiotic treatment approved for C. difficile infection (www.mediscape.com). Mandatory surveillance of C. difficile infection in the United Kingdom When looking at surveillance reports, many of the hospitals in the UK have been affected with outbreaks of C. difficile.  We can see that the large increase in the number is between 2000 and 2007.It is the responsibility of the  hospitals in the UK has to measure and report to the Department of Health.  The surveillance should include the number of positive cases, number of severe infections, the number of required surgery cases and number of deaths. The surveillance of C. difficile infection is taking to get a target for 30% reduction from 2007/2008 numbers by 2010/2011.  In 2007-2008, there were 55,498 cases reported across England. In 2008-2009, the cases reported dropped to 36,095. i.e., cases dropped by 35%. Last year our target (My hospital and my community) was 180. The number of cases reported was 171, 98 of which are from hospital (7 cases from my ward).This year, the target is 155. Social, economic and political issues. C. difficile infection is expensive to the NHS. The total identifiable increased cost of C. difficile infection causes an excess of  £4000 per case. Such high costs can be used to justify expenditure on personnel and/or other control measures to reduce the incidence of this hospital-acquired infection. There are notable outbreaks of c. difficile infection worldwide since 2003.Outbreaks was reported in Montreal, Quebec and Calgary, Alberta, in Canada. Approximately 1400 cases affected, death count 36 89.A similar outbreak reported at Stoke Mandeville Hospital in the United Kingdom between 2003 and 2005, in which 33 patients died. In 2007 Maidstone and Tunbridge Wells NHS Trust was heavily criticized by the Commission, have heightened media and made public awareness. In 2009, four deaths reported at Our Lady of Lourdes Hospital in Ireland also thought to have links to Clostridium difficile infection. The prevention and control of C. difficile infection in health care settings is bec ome a global public health challenge.(Health Protection Agency 2009) Conclusion C. difficile infection is a major problem in hospitals that is associated with the use of antibiotics. C. difficile infection also recognised as one of the major health care associated infection. It is estimated that C. difficile infection affects between 40000-60000 people in the UK every year. The prevention and control of C. difficile infection is very important. The three main elements of prevention are: Need to restricted use of antibiotics; Strict isolation precautions and barrier nursing when looking after patients with diarrhoea and Through cleaning of clinical areas. Poor hand washing is known to play a key role in the spread of infection. Hand washing facilities in the hospitals such as the number of hand washing sinks and their position, and type of taps are also need to be inspected. Hand washing protocols is low in many hospitals. C. difficile infection needs treatment only if it is symptomatic. Most of the people make full recovery and in rare cases the infection can be fatal. Infection control teams need to develop education programmes to improve compliance and regular auditing. It is everybodys business to participate to prevent and control C. difficile infection with in the health care system. The health care workers need to follow the hospital infection control policy.

Comparing the Epic of Gilgamesh, Hesiods Theogony, and Ovids Metamorp

Comparing the Epic of Gilgamesh, Hesiod's Theogony, and Ovid's Metamorphoses   Ã‚   There are many parallels between the Epic of Gilgamesh, Hesiod's Theogony, and Ovid's Metamorphoses. The first similarity is immediately apparent: structure. We can view the structure of the Gilgamesh story as three concentric circles: a story within a story within a story. In the outer circle, a narrator prepares the audience for the primary narrative, contained within the second circle: the tale of Gilgamesh's adventures. Within this second circle a third narrative, the flood story, is told to Gilgamesh by Utanapishtim. Ovid's Metamorphoses is told in a similar way: Ovid starts out by telling of his intention and invoking the gods' help to tell the story. He then tells many tales as the primary narrative, and within the primary narrative exists other narratives, such as "Venus tells Adonis the story of Atalanta" in Book 10. Even Hesiod's Theogony is similar to some extent. He has a bit of a prologue in which he explains how the Muses have inspired him to write of the creat ion, and then he enters the primary creation narrative. This method of storytelling does a variety of things. First, it prepares the reader to accept the story. In Gilgamesh, the narrator tells us that Gilgamesh has set down his adventures in his own hand. This leads the reader to accept the story as an authoritative one, especially considering it has come from a mortal, like us, who is part god. Because Gilgamesh is part god, we realize that if he can accept his lot in life, his mortality, then we mere mortals should be able to do the same. In Theogony, Hesiod prepares his audience to accept the story by telling (ad nauseum) that the Muses have worked through him to create... ...M.E.L. Early Mesopotamia and Iran. McGraw-Hill: New York, 1965. Ovid. Metamorphoses. Trans. Rolfe Humphries. Bloomington, IN: Indiana UP, 1983. Rosenberg, Donna. "Gilgamesh." World Mythology: An Anthology of the Great Myths and Epics. 3rd ed. Lincolnwood, IL: NTC Publishing Group, 1999. 26-57. Swisher, Clarice. The Ancient Near East. Lucent Books: San Diego, 1995. Works Consulted The "Epic of Gilgamesh": An Outline. Online. 15 Feb. 2000. http://www.hist.unt.edu/ane-09.htm Sumerian Mythology FAQ. Online. 15 Feb. 2000. http://webster.unh.edu/%7Ecbsiren/sumer-faq.html Gardner, John and John Maier. Gilgamesh: Translated from the Sin-leqi-unninni version. New York: Alfred A. Knopf, 1984. Harris, Stephen L. â€Å"Gilgamesh.† The Humanist Tradition in World Literature. Ed. Stephen Harris. Columbus, OH: Charles E. Merrill Publishing Co., 1970.

Social Security Coverage- Tanzania

SOCIAL SECURITY POLICY – GLOSSARY . ILO Minimum Standards. International Labour Organisation set an instrument which was adopted at its 35th session in June 1952, popularly known as ‘Social Security (minimum Standards) Convention No. 102. Itemised number of contingencies and benefits required in the minimum standards convention include’ Old Age, Invalidity, Survivorship, Employment Injury, maternity, medical Care, sickness, Unemployment and Death. Indexation of Benefits: It is an adjustment of pensions and other cash benefits to take account of price movements and protection against inflation to the beneficiaries.Indexes may include prevailing statutory minimum wages, yearly average earnings of the contributors e. t. c. Portability of Benefits: This is a system which ensures that members accrued benefits are not lost by a member changing employer, changing employment from one sector to another or by migrating from one country to another. The system ensures continu ity of benefit rights accrued. Means-tested Basis: It is the basis of provision and adjustment of social assistance benefits by the government depending on a person’s means of living.The most considered group of people for the provision of social assistance benefits by meanstesting include, elderly, sick, invalids (disabled), survivors, unemployed. Normally these groups of people fall out of contributory schemes. In other words assistance is provided to citizens according to their inability to meet basic needs for survival, or defending themselves against natural calamities. Three- Tier System: According to ILO framework, Three Tier system is an arrangement/system designed to cater for different needs of protection for different categories of people depending on their level of incomes.Tier one, which is financed by the government, caters for those who are not able to purchase social security services e. g. sick, disabled, elderly e. t. c. Tier two caters for those who can con tribute and is compulsory and supervised by the government. Tier three caters for those who can afford to supplement their Tier two security by purchasing commercial insurance benefits. Tier three is voluntary and privately managed. Three-Tier system is designed to reduce the government expenditure on social assistance/security programs through expansion of coverage of Tier Two and Three. . 3. 4. 5. iii 6. Actuarial Valuation: It is the process which involves assessing the current level of funding of the scheme by comparing scheme assets with liabilities accrued to the date of valuation and to determine the level of contributions that need to be paid in future to achieve the level of funding necessary to pay out the benefits promised. Actuarial reviews are conducted in intermediate periods to ensure that the fund is sustainable and this is reflected in the projections are of a long time frame e. . 25 years. 7. Social Insurance Principles: Is a social security administration where th e resources are pooled together for meeting various contingencies, every one is included regardless of the level or risk exposure and the motive is social protection as opposed to profit maximization. Defined Contribution v/s Defined Benefits: Defined contribution is a situation where benefits from a social security is not known, but depends on the contributions to be made and interests rates obtainable.Defined benefits is a situation where benefits to be obtained are known well in advance regardless of the contributions to be made, provided that the members meets prescribed minimum conditions. Defined contributions are associated with provident fund schemes, while defined benefits are associated with social insurance schemes. 8. iv FOREWORD The socio-economic and political changes, which are taking place in Tanzania, have prompted the formulation of the National Social Security Policy in order to address such changes for the benefit of its citizens and to ensure that sectoral progr ammes and activities are well coordinated.The formulation of the National Social Security Policy came at a time when Social Security Providers are reorganizing their activities to respond to the market demand as related to free market economy. Since independence to-date, some few institutions have been enjoying monopolistic status of providing social security services in the country. However under this policy social security sector will be liberalized. The National Social Security policy is a product of a series of consultations with stakeholders which started in year 2001. The policy was adopted by the government early in year 2003.The aim of this policy is to realize the goals and objectives set out in the vision 2025 by extending social security services to the majority of the Tanzanians. The structure of the Policy document provides background information of social security, status and challenges of the sector in Tanzania, and the rationale for its formulation. There are also ch apters that provide policy issues and statements, institutional frame- work and responsibilities during its implementation. With great pleasure I would like to welcome the social security policy for the development of our country. Hon. Prof. J. A.Kapuya (MP) Minister for Labour, Youth Development and Sports v CHAPTER 1 1. 0 1. 1 INTRODUCTION Background Every human being is vulnerable to risks and uncertainties with respect to income as a means of life sustenance. To contain these risks, everyone needs some form of social security guaranteed by the family, community and the society as a whole. Such socioeconomic risks and uncertainties in human life form the basis for the need of social security. Social security is rooted in the need for solidarity and risk pooling by the society given that no individual can guarantee his or her own security.Formal social security system in Africa and other developing countries is a product of colonialism. In Tanzania during the colonial era, social security coverage was extended to the few people who were in the colonial employment. Most of the people were excluded from any type of public social security scheme. The majority of the Tanzanian people depended upon the traditional social security system for their protection, which is still the case to date, though effects of urbanization and difficult economic environment have weakened the same.After independence, the Government of Tanzania introduced a series of policies and measures to reverse the situation that prevailed during the colonial era. The measures included access to free education and healthcare, provision of social welfare services to marginalized groups such as the elderly, people with disabilities and children in difficult circumstances, as well as establishment of statutory social security schemes.However, tax financed social services have proved to be unsustainable as evidenced by introduction of cost sharing in sectors such as education and health. 1 1. 2 The Concept of Social Security Social security means any kind of collective measures or activities designed to ensure that members of society meet their basic needs and are protected from the contingencies to enable them maintain a standard of living consistent with social norms.The social security concept has been changing with time from the traditional ways of security to modern ones. As societies became more industrialized as a result of industrial revolution in the 19th century and more people became dependent upon wage employment, it was no longer possible to rely upon the traditional system of social security. The negative impact of industrialization and urbanization attracted the attention of policy makers to formalize social security system that addressed the emerged social issues.Social security is defined in its broadest meaning by the International Labour Organization (ILO) as: â€Å"The protection measures which society provides for its members, through a series of public m easures against economic and social distress that would otherwise be caused by the stoppages or substantial reduction of earnings resulting from sickness, maternity, employment injury, unemployment, disability, old age, death, the provision of medical care subsidies for families with children. The ILO framework of social security is based on a three-tier structure, which seeks to utilize various funding sources for provision of better protection to the country’s population. This structure also seeks to address needs of different groups in the 2 society with respect to income and degree of vulnerability. The structure consists of the following: a) Tier One – Social Assistance Schemes This constitutes provision of services such as primary health; primary education, water, food security and other services on a means tested basis.These services are usually financed by the government and Non Governmental Organisations (NGOs. b) Tier Two – Mandatory Schemes These are usually compulsory and contributory schemes financed by both employer and employee during the working life for terminal and short-term benefits. c) Tier Three – Voluntary or Supplementary Schemes The schemes under this tier include personal savings, co-operative and credit societies, occupational pensions schemes and private schemes; managed by employers, professional bodies, communitybased organizations and other private sector actors. CHAPTER II 2. O SITUATIONAL ANALYSIS OF SOCIAL SECURITY SYSTEM IN TANZANIA 2. 1 Objectives of the Social Security Services Social security in Tanzania covers a wider variety of public and private measures meant to provide benefits in the event of the individuals’ earning power permanently ceasing, being interrupted, never developing, being unable to avoid poverty, or being exercised only at an acceptable social costs. The major domains of social security are: poverty prevention, poverty alleviation, social compensation and income distri bution.Many issues relating to social security are sensitive, as they touch on the material interests of organized workers and the unorganized poor as well as insurance industry and employer organizations. The social security system in Tanzania has the following key elements:†¢ Social assistance schemes which are non-contributory and income-tested, and provided by the state to groups such as people with disabilities, elderly people and unsupported parents and children who are unable to provide for their own minimum needs.In Tanzania social assistance also covers social relief, which is a short term measure to tide people over a particular individual or community crisis; †¢ Mandatory schemes, where people contribute through the employers to pension or provident funds, employers also contribute to these funds; 4 †¢ Private savings, where people voluntarily save for retirement, working capital and insure themselves against events such as disability and loss of income and meet other social needs. Despite the existence of this framework, service delivery has not reached the majority of Tanzanians due to inadequate financing and fragmented institutional arrangements.The estimated total population of Tanzania is 33. 5 million1. Out of this, 70 per cent are in the rural areas, while the rest are in urban areas. The total labour force of Tanzania is estimated at 16 million, where 5. 4% of the total labour force or 2. 7% of the total population is covered by the mandatory formal social security system. 93 per cent of the capable workforce is engaged in the informal sector in both rural and urban areas; out of that 80 per cent is in engaged in the agrarian economy2. 2. Informal Social Security System Tanzania, like many other countries in the developing world has had strong informal and traditional social security systems built on family and/or community support.In times of contingencies such as famine, diseases, and old age; individuals have depended on f amily, clan members and members of the community for assistance in the form of cash or in kind. While it is recognized that over time, traditional social security system has tended to decay and change forms in response to the forces of urbanization and industrialization, there is evidence that in Tanzania family and 2 National Bureau of Statistics, 2001 National Labourforce Survey, 1999 5 community social support system have remained as means of social security within different social groups. Overtime, socio-economic reforms have slowly resulted into disintegration of the family-based social security protection leading to the formation of self-help groupings such as UPATU, UMASIDA and VIBINDO. 2. 3 Formal Social Security System Formal social security is a regulated mechanism of protecting citizens against social contingencies.This system has existed in Tanzania well before independence; whereby various policy statements have been made and Acts passed in regard to the protection of t he population against contingencies like injury, loss of employment and old age. These include the Master and Native Ordinance Cap 78 as amended by Cap. 371, Provident Fund (Government Employees) Ordinance Cap 51, Provident Fund (Local Authorities) Ordinance Cap. 53 and the Workmen’s Compensation Ordinance Cap 262. After independence new legislations were enacted and others amended.These include the Severance Allowance Act No. 57 of 1962; the National Provident Fund Act No. 36 of 1964 amended by Act. No. 2 of 1975 which was later repealed and replaced by the National Social Security Fund Act No. 28 of 1997; the Parastatal Pensions Act No. 14 of 1978, the Public Service Retirement Benefits Act of 1999, the National Health Insurance Fund Act No. 8 of 1999 and Local Authorities Provident Fund Act. No. 6 of 2000. 6 Currently, there are five major formal institutions that provide social security protection in Tanzania.These are the National Social Security Fund (NSSF) offering soc ial security coverage to employees of private sector and non-pensionable parastatal and government employees, the Public Service Pension Fund (PSPF) providing social security protection to employees of central Government under pensionable terms, Parastatal Pension Fund (PPF) offering social security coverage to employees of the both private and parastatal organizations, the Local Authorities Provident Fund (LAPF) offering social security coverage to employees of the Local Government and the National Health Insurance Fund (NHIF) offering health insurance coverage to pensionable employees of central government.The formal social security total coverage in Tanzania is about 871,000 members distributed as 363,000 for NSSF, 193,000 for PSPF, 180,000 for NHIF, 90,000 for PPF and 45,000 for LAPF. This represents about 85% of the persons employed in the formal employment sector. 2. 4 The Impact of Social Security System in Tanzania Efforts by the government to provide social security protect ion in the country have brought about significant development. However, due to the absence of an elaborate social security policy to guide effective functioning of the industry, there are some structural, operational and policy weaknesses inherent in the social security system. a) i) Achievements Investment of Social Security Funds 7Social security institutions in Tanzania have been investing in portfolios such as commercial loans, real estate, government securities, Loanable funds, bank deposits and equities; all of which have contributed to social and macro-economic development of the country. ii) Awareness on Social Security Matters There has been an increase in the level of public awareness on the social security system in respect of benefits offered, coverage, investments and general operations of the sector. iii) Organized Self-help Groups Informal social security scheme in the form of self-help groups has been more organized than before. (b) Shortcomings in the Current Social Security System The existing social security system in Tanzania is characterised by a number of shortcomings, which need to be addressed by this policy.Among these shortcomings are: – i) Limited Coverage Persons covered by the social security schemes are those who are employed in the formal sector estimated at 1. 0 million. This is only about 5. 4% of the whole labour force of over 16 million Tanzanians. This means the remaining 15 million labour force, engaged in informal sector and comparatively more vulnerable are not covered by the formal social security protection. ii) Inadequacy of Benefits Paid (Number and Meaningfulness) 8 The number of benefits offered by most of the existing schemes fall below the ILO Minimum Standards in terms of number, quality and indexation to the current levels of earnings. ii) Fragmentation and Lack of Co-ordination The social security sector lacks co-ordination at national level as each Fund reports to a different Ministry with differing ope rational rules and procedures. As a result, contribution rates, benefit structures, qualifying conditions as well as plans and priorities differ form one institution to another. iv) Lack of Mechanism for Portability of Benefit Rights There is no established mechanism that can allow benefit rights of a member to be transferred from one scheme to another. This results in employees losing some of their benefit rights when they move from one sector to another. v) Social Security Benefits In some of the Tanzania’s social security schemes, members’ benefits are not rights but privileges.Normally, members loose some of their benefits if they leave employment before attainment of their pensionable ages. nature of termination. vi) Conflicts in the Existing Legislations Establishing legislations of the current social security institutions have provisions that conflict in terms of operations. In other circumstances, members’ benefit rights are determined by the employers d epending on the 9 vii) Non-contributory Social Security Benefits Currently, there is a segment of salaried workers who are getting social security benefits fully financed through tax revenues; this is a strain to the Government budget. viii) Liberalization There has been a monopoly in the operation of social security institutions in the country. ix)Investment of Social Security Funds There has been inadequate guidance on investment of social security fund at national level 2. 5 i) Challenges In The Social Security System Weakening of Informal Social Protection System Socio-economic developments taking place in Tanzania have resulted into a slow but steady disintegration of the kinship or family-based social support systems on which the majority of Tanzanians have depended for protection against contingencies. Economic hardships have made it difficult for individuals, families and/or kin members to provide assistance to each other in time of crisis and need. The high rate of urbanisa tion has also taken its toll on traditional social protection systems.There has been increasing fragmentation with families becoming more dispersed thereby eroding the capacity of extended families to function as social safety nets. ii) Limited Growth of the Formal Employment 10 Public sector reforms have resulted into retrenchment of workers, freezing employment in the public sector and privatisation of public enterprises. These have led to increased unemployment, which in turn has forced more people to resort to employment in the urban informal sector where earnings are often inadequate and/or uncertain. There is however a limited growth in employment in the private sector. iii) Reduced Access to Social Services Despite the deliberate measures by the government to improve provision of ocial services to the public, considerable part of the population has either limited or no access to services. In some instances, cost sharing in the provision of social services has reduced the capa city of the people to access the services. iv) Low levels of incomeIncomes for the majority of the people in Tanzania are generally inadequate to meet their basic requirements and save for future use. v) Declaration of Low Insurable Earnings Some employers provide remunerations composed of basic salaries and allowances, while deductions for social security are based on basic salaries only, leading to lower benefits from social security institutions upon retirement. 2. Rationale For A Social Security Policy The existing social security system has many shortcomings that include low coverage of the Tanzanian Society, fragmentation of 11 legislation, lack of regulatory framework, lack of a mechanism for portability of benefits and inadequacy of benefits provided. Therefore, the need for a well-articulated national social security policy is more eminent now than ever. In view of the foregoing, there is a need for having a comprehensive national social security policy that shall address t he needs of employed people in the formal sector, self employed population in the informal sector, the elderly, people with disabilities and children in need of special protection.Therefore the social security policy is expected to: Widen the scope and coverage of social security services to all the citizens; Harmonize social security schemes in the country so as to eliminate fragmentation and rationalize contribution rates and benefit structures; Reduce poverty through improved quality and quantity of benefits offered; Institute a mechanism for good governance and sustainability of social security institutions through establishment of a regulatory body; Establish a social security structure that is consistent with the ILO standards but with due regard to the socio-economic situation in the country; and Ensure more transparency and involvement of social partners in the decision making with respect to social security institutions 12 CHAPTER THREE 3. POLICY ISSUES AND STATEMENTS The g eneral objective of the policy is to ensure that every citizen is protected against economic and social distress resulting from substantial loss in income due to various contingencies. Underlying the above–mentioned general objective, this policy shall therefore address the following specific issues: 3. 1 Policy Issue: The Structure of Social Security Sector Different social groups face different contingencies, hence calling for varied types of protection. Provision of comprehensive social security services should follow a structure that recognises different levels of needs, utilises different funding sources and reflects roles of various stakeholders.Policy Statement: Provision of social security services in the country shall be structured as follows: a) Social Assistance Programmes The Government shall enhance the capacity to attend to the social assistance programmes that constitute services such as primary health; primary education, water, food security and social welfare services to vulnerable groups such as people with disabilities, the elderly and children in difficult circumstances on a means tested basis. Moreover, the government shall create an enabling environment for other institutions such as Non Governmental Organisations (NGOs), charitable organisations, families and mutual assistance groups to supplement the government’s effort in the provision of such services. 13 b)Mandatory Schemes Mandatory social security institutions that shall operate under the social insurance principles in accordance with minimum acceptable standards and benchmarks. c) Supplementary Schemes Supplementary schemes shall be established to cater for different social services like health, pensions and other types of insurance over and above those provided by mandatory and social assistance programmes. These schemes shall be run by employers, bodies private and companies, professional community-based organisations (CBOs). 3. 2 Policy Issue: Coverage The existin g mandatory social security schemes currently cover only 5. 4 % of the labour force estimated at 16. 0 million.The larger part of the labour force engaged in the informal sector that includes smallholder agriculture, small-scale mining, fishing, and petty businesses are inadequately covered by self-help initiatives. Moreover, accessibility to the social welfare services by the disadvantaged groups is limited; hence the majority of the people are not covered by the formal social security schemes. Policy Statements: a) Social Welfare Service shall be improved and extended to enhance accessibility to disadvantaged groups including people with disabilities, the elderly and children in difficult circumstances. b) A legal framework shall provide for all employees in the formal sector and devise means of extending coverage to the informal sector such as agricultural, 14 ining, fishing and small businesses. c) There shall be an act to support the formation of mutual assistance initiatives b y the NGOs, CBOs and other groups operating at community level. d) Employers, financial institutions, professional associations, insurance companies, social security institutions and other organisations shall be enabled to establish supplementary schemes to provide social security benefits over and above those provided by mandatory and social assistance programmes. 3. 3 Policy Issue: Social Security as a Right According to Article 22 of the Universal Declaration of Human Rights of 10th December 1948; social protection is a rights issue.Likewise, Article 11(1) of the Constitution of the United Republic of Tanzania stipulates that:â€Å"The state authority shall make appropriate provisions for the realisation of a person’s right to work, to self education and social welfare at times of old age, sickness or disability and in other cases of incapacity†¦.. †3 In view of such provision there is still inadequate coverage of social security services to the Tanzanian Socie ty. Policy Statement Efforts shall be made to enhance awareness and 3 United Republic of Tanzania (1998) â€Å"The Constitution of the United Republic of Tanzania of 1977† 15 sensitisation of the society regarding the important and provision of social security services as a right.3. Policy Issue: Inadequacy of Benefits offered The number and quality of benefits offered by most of the existing social security funds are not adequate to meet the basic needs of beneficiaries; in terms of the number of benefits, magnitude and indexation to the current levels of earnings. Policy Statement: Social security schemes shall have a standard minimum number of benefits offered and indexed to the current levels of earnings of contributors. 3. 5 Policy Issue: Portability of Social Security Benefits Benefit rights are not portable when a member moves from one scheme to another due to differing legislations, operational rules and procedures. As a result members loose some of their benefit righ ts just by moving from one scheme to another. Policy Statement There shall be regulated mechanisms established to enable portability of benefit rights when a member moves from one scheme to another. 3. 6Policy Issue: Lack of Co-ordination 16 The current social security institutions are placed under different Ministries with different rules and procedures, as a result there is a conflict in the administration of social security matters. Policy Statement: The social security sector shall be coordinated by the Ministry responsible for social security matters. 3. 7 Policy Issue: Reciprocal Agreements for Transfer of Benefits Labour mobility across nations has become a common phenomenon due to globalisation and foreign investment, there by require people work and live in different countries; and hence find themselves contributing to various social security institutions.Lack of a mechanism for transfer of benefit rights across nations may result into some members loosing their rights or b eing unable to qualify for better benefits. Policy Statement: Legal mechanisms shall be developed to provide for reciprocal agreements with other countries for transfer of social security benefits across nations. 3. 8 Policy Issue: Partial Withdrawal of Benefits Social security schemes do not provide for pre-mature withdrawals of benefits by members before attainment of the pensionable age. However, due to unstable employment environment, low level of income of most of the workers and little awareness on social security matters, members have a tendency of demanding total 17 withdrawal of benefits upon termination of employment before the attainment of pensionable age.Policy Statement: Legal mechanisms shall be developed to allow for withdrawal of part of the accumulated benefits; while the balance shall remain for long-term benefits on premature termination of their employment. 3. 9 Policy Issue: Financing of Social Security Services The Government has the responsibility of providin g social security services to its citizens. However, due to limited resources the Government still provides limited services for salaried employees and individuals who can afford to contribute for the services. Policy Statements: (a) Services under Social Assistance Programs shall be offered on a means-tested basis and financed by the general tax revenue and other grants. b) Mechanisms shall be established to ensure that all salaried employees and individuals, who can afford to contribute to the mandatory schemes, do so to ensure enhancement of benefits.3. 10 Policy Issue: Guaranteeing of Mandatory Schemes The Government has the responsibility to guarantee members’ benefits in the event the established mandatory social security 18 schemes become insolvent. So far there is no concrete commitment by the Government to instil contributors confidence in their membership Policy Statement: (a) (b) The Government shall continue to guarantee members’ benefits in the established mandatory schemes. The Government shall ensure that Social Security Schemes are managed efficiently. 3. 1 Policy Issue: Taxation on Contributions, Investment Income and Benefits Contributions and income accrued from investment by social security institutions are being taxed thus weakening the capacity of the schemes to offer quality benefit to members. Policy Statement: The government shall continue to review tax policies to ensure contributions, benefits and income from investments to enable mandatory schemes offer meaningful benefits to members. 3. 12 Policy Issue: Investment of Social Security Funds Investment of social security funds is an inseparable function of social security institutions. Sustainability of the schemes and improvement of benefits depend on investment income.Social security funds have often been directed to areas where there is no stimulation of economic growth. There are no clear-cut guidelines directing investments of social security funds at the national l evel. 19 Policy Statement: Guide lines will be developed based on principles of safety yield and liquidity. 3. 13 Policy Issue: Good Governance Good governance is the key to smooth functioning and efficiency in all social security schemes, as they are entrusted to manage funds on behalf of the contributors. There has been poor governance in social security services. Policy Statement There shall be guidelines to ensure that all social security schemes are transparent and accountable to the members and the public at large.3. 4 Policy Issue: Legal Framework and Minimum Standards There is fragmentation of social security system in the country with respect to different legislations and design of the schemes. These schemes also lack minimum standards to guide their operations. Policy Statement: There shall be an act to govern and standardize operations of the social security sector. The law shall also provide for the establishment of a regulatory body that shall ensure smooth and efficien t operations of the sector. 20 3. 15 Policy Issue: Liberalization of the Social Security Sector The current trend in the country is to liberalize various sectors in the economy. However, the current social sector is based on organization/institution monopoly in its operation.Policy Statements: Social security institutions shall operate in a regulated liberalized market as follows:While the existing Social mandatory Security social Services security under institutions shall operate and compete among themselves supplementary schemes shall be fully liberalized. 21 CHAPTER IV 4. 0 ROLES OF STAKEHOLDERS The different stakeholders shall have the following roles to play in the social security sector:4. 1 The Government †¢ †¢ †¢ †¢ †¢ 4. 2 Coverage of the social assistance programmes Put an enabling environment for smooth operations of the social security To institute regulatory and legal framework Supervision of the sector. Guarantor of mandatory schemesSocial Secu rity Institutions †¢ †¢ †¢ †¢ †¢ Offering quality benefits and services Good governance of the schemes Involvement of Stakeholders Widen coverage Awareness creation and sensitisation 4. 3 Employers †¢ †¢ †¢ †¢ Registration of employees Timely and accurate remittance of contributions Awareness creation and sensitisation Adherence to safety and occupational health rules 4. 4 Workers’ Unions †¢ †¢ †¢ Representation of workers’ interests in the social security Awareness creation and sensitisation Support the social security industry. 22 sector 4. 5 NGOs/CBOs †¢ Complement efforts by the Government in the provision of social †¢ assistance programmes and establishment of supplementary schemes Awareness creation to the public 4. 6 Communities †¢ †¢ Responsiveness to the needs of the vulnerable persons Maintain self-help traditions 23

CMR Enterprise Essay

This particular case depicts the history and issues faced by a relatively small company active in the custom architectural millwork industry for the past 25 years. The new owners wanted the newly-acquired company to grow even further. The first few months seems to have been a success – Marcus spent a lot of his time with employees and customers, learning the field since he was, as mentioned in the text, an â€Å"outsider†. However, keeping the company’s integrity and image intact was a priority. However, the problems outlined in the case seems to start – or at least have been worsened – with what will become CMR’s largest account, Blackstone Homes. Problem Identification After reviewing the text in question, three major problems stand out: 1) Customers change requests: When Blackstone Homes sell a house, it does – of course! – come with a pre-finished and installed kitchen, included in the price. However, if the customer wishes, he or she would visit CMR’s showroom and they would build these woodwork according to their new specifications. The added cost will then be charged to the contractor, which will later add it to their bills. This takes time and lead to price increases. This is, in part, what contributed to the clash with Blackstone Homes. 2) IT solution not adapted: InfoCentral, the software implemented by Marcus, does not work out as intended and do not fit the business needs. It is not always updated as required by the employees. According to the text, it may be helpful for the commercial and financial/accounting side, but is lacking several features for its residential counterpart to be really as useful as it can be. 3) Deteriorating business relationship The business relations between the two companies started well and was fulfilling for both part. When the business expended, so did the problems. The root cause seems to be the change requests made by the homeowners. This lead to late delivery, poorly reviewed performance and then the 7% price increase. Future homeowners started considering the prices charged by CMR to be too high. We could therefore expect lower level of sales and revenues in the future. Alternatives generation While we will mostly concentrate our alternatives on the three points mentioned above, we will also include other alternatives, even if they may not be realistic or feasible in the short/medium term. 1) Review customers change requests: We obviously cannot stop change requests and modifications made by the customers. The company and its employees pride themselves by offering flexibility and higher customers’ satisfaction. It would be therefore self-destructive for CMR to put a term to these showrooms. Any person also deserve to have reasonable alternative options when they are buying an object, a home more than anything. However, there is a clear misunderstanding between CMR and Blackstone Homes regarding the fixed allowances for kitchen ($6,000) and the final cost of the installation. In order to solve this issue, it may be a good thing to review the billing part: Instead of having the installation costs â€Å"forwarded† to the contractor, all expenses over $6,000 (parts + labor) should be charged to the homeowners themselves; customers can have access to all options made available by CMR, whilst eliminating cost forwarding and the said related disagreements. 2) Software adaptation It seems clear from the text that the whole issue also come in part from InfoCentral. In order to remediate this issue, we would suggest that all account managers from CMR and employees involved with this software should meet and discuss its performance. What should be changed, what must be kept, or what should be included in order to fit everyone’s needs. However, for any IT solution to bring tangible additional value, it must be easy to use and should not impose additional work. It is supposed to simplify the work, not making it more complicated. 3) The right people on the right place Again, according to the text, there was a clear misunderstanding between both parties; it was even referred as a â€Å"shouting contest†, which is far from being a normal and healthy business relationship. The Key Account Managers (from both sides) could not agree on contract terms and conditions. It could therefore be a good thing to change points of contact and see if the situation can be resolved; a stronger relation, transparency, honesty and â€Å"business awareness† between the two companies might also help straighten things out. 4) Additional ideas The solution to increase profit may not be by simply increasing selling price. We would suggest CMR to run an audit on their Supply Chain, Logistics and Selling, General & Administrative Expenses to see if cost reductions are possible. Could modern machinery help cut their production costs? Could they outsource some of their non-core business or reduce raw material costs by creating a joint-venture with a competitor? Chasing down inefficiencies in the production line can be even more effective than a price increase. Recommendations Using the previous points, we would suggest the three following recommendations: 1) Change the billing process: If possible, all additional costs over $6,000 should be charged to the homeowner directly. In order to make this easier for the customers, offering various financing options may be a good idea. 2) Adapt InfoCentral: Review, correct and revamp the software in order to meet real business needs. May be a good thing to check what competitors are using. 3) Organize recurrent meetings: The situation with Blackstone did not get bad in one day. It may be a good idea to set up weekly or monthly operational reviews; meetings lasting no longer than 30 minutes, where all potential issues can be discussed among stakeholders and managers. The idea is not to let such situation worsen and take the correct actions as soon as possible.