Business relations are often changing and given that these relations are mostly summed up in a contract, it is often the case that contracts are amended to reflect these changes. Care is however needed to avoid pitfalls What is contract variation? Contract variation is what happens when parties to a contract agree to do something …
A lot of rationalization conceals what typically goes down in most business relations. This, if you think about it, makes more sense especially if you consider how people at times tend to take the adversarial nature of business to the extreme edge, that is, brinkmanship. An executive in an organization will hire a research team …
The environments in which businesses exist are constantly changing. By environment I mean both internal and external. What can one do about it? The short answer is come up with a strategy that ensures that the business is distinct and has a competitive advantage. Strategy, in its simplest form, means the things that an organization …
Business dealings are often summed up in a contract, that way the parties have an idea of how to handle future issues should they arise. At least in theory that is what it looks like. In practice however, you need to understand the need for dispute resolution and am not just talking about litigation. Taking …
Here is a simple look at Dispute Resolution in business Read More »
What is force majeure? Different legal systems have developed various theories to deal with the need of contracting parties to excuse themselves from contractual obligations should events beyond the parties control inhibit the said parties from fulfilling the said obligations Force majeure is an example of such a clause in a contract Let’s say you …
The concept of supply chain is often given attention in the context of one company dealing with another company. And most books will define supply chain as such which is ok. The problem is if one is keen on adding value to what they make then they have to look at internal supply chain as …
WHAT IS SUPPLY CHAIN? A supply chain from the perspective of Harrison and Van Hoek is a group of partners who collectively convert a basic commodity (upstream) into a finished product (downstream) that is valued by end-customers, and who manage returns at each stage. In a supply chain it is important to understand that while …
In business it pays to know each of the various key players or stakeholders. By stakeholders I mean people who can affect or be affected by the business. Johnson and Whittington, in their book Exploring strategy, defined stakeholders as “people and groups that depend on the organization and upon which the organization itself depend” Going …
Getting goods of the right quantity is one of the FIVE Rs of procurement. There are a number of factors that determine the ‘right quantity’, things like demand for the final products, market conditions, the inventory policy of the organization etc. The inventory policy of the organization will determine the type of system the organization …
For most people when negotiating or planning for items to procure, price becomes a major factor. There is nothing wrong with considering price in whatever you buy after all it’s an expense and expenses in business means less profit if not properly factored in. The two main approaches that parties to a procurement set up …
