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New Zealand Veterinary Journal Publication details, including instructions for authors and subscription information: http://www.tandfonline.com/loi/tnzv20
Business management — an introduction> J.D. Hutchinson
a
a
Department of Management Studies , University of Waikato Published online: 23 Feb 2011.
To cite this article: J.D. Hutchinson (1978) Business management — an introduction>, New Zealand Veterinary Journal, 26:10, 238-243, DOI: 10.1080/00480169.1978.34554 To link to this article: http://dx.doi.org/10.1080/00480169.1978.34554
PLEASE SCROLL DOWN FOR ARTICLE Taylor & Francis makes every effort to ensure the accuracy of all the information (the “Content”) contained in the publications on our platform. However, Taylor & Francis, our agents, and our licensors make no representations or warranties whatsoever as to the accuracy, completeness, or suitability for any purpose of the Content. Any opinions and views expressed in this publication are the opinions and views of the authors, and are not the views of or endorsed by Taylor & Francis. The accuracy of the Content should not be relied upon and should be independently verified with primary sources of information. Taylor and Francis shall not be liable for any losses, actions, claims, proceedings, demands, costs, expenses, damages, and other liabilities whatsoever or howsoever caused arising directly or indirectly in connection with, in relation to or arising out of the use of the Content. This article may be used for research, teaching, and private study purposes. Any substantial or systematic reproduction, redistribution, reselling, loan, sub-licensing, systematic supply, or distribution in any form to anyone is expressly forbidden. Terms & Conditions of access and use can be found at http:// www.tandfonline.com/page/terms-and-conditions
238
NEW ZEALAND VETERINARY JOURNAL
VOL 26
Business management - an introduction** J. D. Hutchinson* N.z. Vel. J. 26: 238-43
Downloaded by [Oregon State University] at 13:39 11 January 2015
ABSTRACT
Management is concerned with the successful allocation of available resources to achieve various objectives and opportunities. Strategic management involves a systematic appraisal of any profit (e.g. veterinary practice) or non-profit (e.g. veterinary club) organisation in order to develop sound strategies, plans and budgets for improving future performance. The veterinary profession has to operate within the economic environment. It therefore has to continually determine the likely impact of various economic trends, for example, zero or low growth in real terms in the short run; declining farm income; continuing high inflation; low private investment; high balance of payments deficit; tight money supply; continuing economic cycles; increasing instability; increasing rates of change; and declining livestock numbers. An analysis of the results of a small survey of veterinary firms showed quite wide variations for various possible objectives such as revenue growth and size, profit, profitability, and range of services offered. An interfirm comparison study is really required to eliminate some of the anomalies in the analysis and to improve the information provided. INTRODUCTION
I would like to discuss some of the aspects of management of both business (i.e. profit-oriented) and non-business (i.e. nonprofit-oriented) organisations. In doing this I would like to briefly discuss the management studies degree at Waikato University, look at some definitions of management, examine some concepts of strategic management, and consider the use of interfirm comparisons for improving veterinary performance. I will examine some aspects of instability and change directly affecting veterinary operations, and then the results of a small sample of veterinary financial statements. THE BACHELOR OF MANAGEMENT STUDIES DEGREE (BMS)
The BMS degree is at least a 4-year degree and consists of28 courses. Subjects studied by students include accounting, marketing, administration, industrial relations, management systems, business policy, economics, mathematics and computer science. However, students are free to take courses in other schools such as the sciences and arts. The standard first year programme consists of eight courses: financial accounting, cost accounting, law, computer science, administration, microeconomics.. macro-economics, and mathematics. Over the next 3 years, such subjects as company law and accounting, industrial relations, co-ordinating studies, taxation, auditing, business finance, business policy, management accounting and a special project report can be added. Students who take accounting as their main study have, after 4 years, passed the necessary courses for the two professional accounting qualifications (ACA, CMA). So they not only have accounting knowledge but they also have a good knowledge of a number of other subjects which is so important for students interested in careers either directly, or indirectly, associated with business and management. The BMS degree is a versatile, *
Department of Management Studies, University of Waikato Adapted from a paper delivered to the NZVA Conference in February 1978.
job-oriented degree. WHAT IS 'MANAGEMENT'?
Management means a variety of things to different people. It is concerned with making decisions that determine the future course of action for an organisation over both the immediate future, and the longer term. It therefore involves managing change in order to achieve objectives(12). It is concerned very much with planning, organising, staffing, directing, controlling, leading and co-ordinating==---
, \._ - ' - -. ROJ
o~~~
1966
1968
1970
1972
1974
1976
Fig. I. Company 1: Growth in sales, EPS, & ROJ
1978
300
250
160
SALES
1962
= 100
1
200
'-'""././ 50L-__ 1962
239
NEW ZEALAND VETERINARY JOURNAL
1978
-
,,
~
/
./'
1966
1968
3
120
"
__ ' ROI
._---,-
80
/
1970
Return per
$ invested
A
\
X \
100
__________________ '.-
1964
/
/_fEPS
140
~
\
\
"
Scale 1961 = 100
\
\ \
\
4
_______________
1972
1974
1976
1978
6O~--~----~----~----~----~----~----~
1960
Fig. 2. Company 2: Growth in sales, EPS, & ROI
1961
1963
1962
1965
1964
1966
1967
Fig. 3. Comparison offirms 3 & 4
Downloaded by [Oregon State University] at 13:39 11 January 2015
STRATEGIC MANAGEMENT
Strategic management simply describes the systematic way in which the various facets of any profit, or non-profit, organisation are examined in order to develop sound strategies, plans and budgets for improving future performance - or at least to maintain present levels of performance. So it involves more the planning side of management
New Zealand Veterinary Journal Publication details, including instructions for authors and subscription information: http://www.tandfonline.com/loi/tnzv20
Business management — an introduction> J.D. Hutchinson
a
a
Department of Management Studies , University of Waikato Published online: 23 Feb 2011.
To cite this article: J.D. Hutchinson (1978) Business management — an introduction>, New Zealand Veterinary Journal, 26:10, 238-243, DOI: 10.1080/00480169.1978.34554 To link to this article: http://dx.doi.org/10.1080/00480169.1978.34554
PLEASE SCROLL DOWN FOR ARTICLE Taylor & Francis makes every effort to ensure the accuracy of all the information (the “Content”) contained in the publications on our platform. However, Taylor & Francis, our agents, and our licensors make no representations or warranties whatsoever as to the accuracy, completeness, or suitability for any purpose of the Content. Any opinions and views expressed in this publication are the opinions and views of the authors, and are not the views of or endorsed by Taylor & Francis. The accuracy of the Content should not be relied upon and should be independently verified with primary sources of information. Taylor and Francis shall not be liable for any losses, actions, claims, proceedings, demands, costs, expenses, damages, and other liabilities whatsoever or howsoever caused arising directly or indirectly in connection with, in relation to or arising out of the use of the Content. This article may be used for research, teaching, and private study purposes. Any substantial or systematic reproduction, redistribution, reselling, loan, sub-licensing, systematic supply, or distribution in any form to anyone is expressly forbidden. Terms & Conditions of access and use can be found at http:// www.tandfonline.com/page/terms-and-conditions
238
NEW ZEALAND VETERINARY JOURNAL
VOL 26
Business management - an introduction** J. D. Hutchinson* N.z. Vel. J. 26: 238-43
Downloaded by [Oregon State University] at 13:39 11 January 2015
ABSTRACT
Management is concerned with the successful allocation of available resources to achieve various objectives and opportunities. Strategic management involves a systematic appraisal of any profit (e.g. veterinary practice) or non-profit (e.g. veterinary club) organisation in order to develop sound strategies, plans and budgets for improving future performance. The veterinary profession has to operate within the economic environment. It therefore has to continually determine the likely impact of various economic trends, for example, zero or low growth in real terms in the short run; declining farm income; continuing high inflation; low private investment; high balance of payments deficit; tight money supply; continuing economic cycles; increasing instability; increasing rates of change; and declining livestock numbers. An analysis of the results of a small survey of veterinary firms showed quite wide variations for various possible objectives such as revenue growth and size, profit, profitability, and range of services offered. An interfirm comparison study is really required to eliminate some of the anomalies in the analysis and to improve the information provided. INTRODUCTION
I would like to discuss some of the aspects of management of both business (i.e. profit-oriented) and non-business (i.e. nonprofit-oriented) organisations. In doing this I would like to briefly discuss the management studies degree at Waikato University, look at some definitions of management, examine some concepts of strategic management, and consider the use of interfirm comparisons for improving veterinary performance. I will examine some aspects of instability and change directly affecting veterinary operations, and then the results of a small sample of veterinary financial statements. THE BACHELOR OF MANAGEMENT STUDIES DEGREE (BMS)
The BMS degree is at least a 4-year degree and consists of28 courses. Subjects studied by students include accounting, marketing, administration, industrial relations, management systems, business policy, economics, mathematics and computer science. However, students are free to take courses in other schools such as the sciences and arts. The standard first year programme consists of eight courses: financial accounting, cost accounting, law, computer science, administration, microeconomics.. macro-economics, and mathematics. Over the next 3 years, such subjects as company law and accounting, industrial relations, co-ordinating studies, taxation, auditing, business finance, business policy, management accounting and a special project report can be added. Students who take accounting as their main study have, after 4 years, passed the necessary courses for the two professional accounting qualifications (ACA, CMA). So they not only have accounting knowledge but they also have a good knowledge of a number of other subjects which is so important for students interested in careers either directly, or indirectly, associated with business and management. The BMS degree is a versatile, *
Department of Management Studies, University of Waikato Adapted from a paper delivered to the NZVA Conference in February 1978.
job-oriented degree. WHAT IS 'MANAGEMENT'?
Management means a variety of things to different people. It is concerned with making decisions that determine the future course of action for an organisation over both the immediate future, and the longer term. It therefore involves managing change in order to achieve objectives(12). It is concerned very much with planning, organising, staffing, directing, controlling, leading and co-ordinating==---
, \._ - ' - -. ROJ
o~~~
1966
1968
1970
1972
1974
1976
Fig. I. Company 1: Growth in sales, EPS, & ROJ
1978
300
250
160
SALES
1962
= 100
1
200
'-'""././ 50L-__ 1962
239
NEW ZEALAND VETERINARY JOURNAL
1978
-
,,
~
/
./'
1966
1968
3
120
"
__ ' ROI
._---,-
80
/
1970
Return per
$ invested
A
\
X \
100
__________________ '.-
1964
/
/_fEPS
140
~
\
\
"
Scale 1961 = 100
\
\ \
\
4
_______________
1972
1974
1976
1978
6O~--~----~----~----~----~----~----~
1960
Fig. 2. Company 2: Growth in sales, EPS, & ROI
1961
1963
1962
1965
1964
1966
1967
Fig. 3. Comparison offirms 3 & 4
Downloaded by [Oregon State University] at 13:39 11 January 2015
STRATEGIC MANAGEMENT
Strategic management simply describes the systematic way in which the various facets of any profit, or non-profit, organisation are examined in order to develop sound strategies, plans and budgets for improving future performance - or at least to maintain present levels of performance. So it involves more the planning side of management
