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Thursday, September 20, 2018

Italian Corner restaurant business plan

Executive summary

The Italian Corner business plan is based on how the current project is using its available assets and capital to operate an old restaurant in a new way. The new owner is going to take a loan and improve the place to be a unique Italian restaurant that is successful and profitable.  The place is located in Sultan Qaboos Street Park near The Avenues Mall Oman and it will be made for serving the local people of Muscat, tourists and shoppers who like to try new food types while shopping. There are not too many Italian restaurant s in Oman which makes the new place opportunities are big. The plan is based on serving 170 customers to be well seated and served. Kitchen is going to be renewed and improved via equipment and chefs. High income families growth is a main aim of the current project as the restaurant is tending to have more than 30% of its customers from this category. The Italian Corner will be established in a prime location where good food is presented in a nice innovative way with strong management and a strong working crew through a warm Italian atmosphere that is like a grocery store that attracts people who seek new taste and ambiance.

Mission

The Italian Corner mission is to present a full service family Italian restaurant that offers high quality food dishes from the Italian cuisine in affordable prices to families and groups of friends who like to visit a unique place and enjoy an eating experience there. The place has a goal of providing customers with an entire eating experience that goes far beyond what they expect each time they visit the place. The place is focusing on the concept of hygiene and cleanliness as main customers' needs in addition to taste, good service and high quality. The place values people who are working for it as workers' satisfaction is a main objective of the Italian Corner as this ensures loyal employees who work hard for improving the service of the place. 

Objectives

The project objective is to purchasing the current available assets of the old place and improving them through converting the place into an Italian high quality restaurant that presents different types of pastas, pizzas and other Italian foods. Having a strong in-depth management; the current objectives can be achieved:

  1. Providing customers with the finest and highest quality Italian food and service they can have in Oman.

  1. Creating a cooperative working atmosphere where workers can feel home and belonging to the place according to certain set goals for success and making high profits.

  1. Having a hit of first year sales 1.5 million RO or more with a 10% growth rate in the following years. 

  1. Reaching a high gross margin.

  1. Maintaining both labor and food costs to be consistent with the business high ridge.

  1. Maintaining good reputation and building a good brand in Oman.

  1. Being a respectable family restaurant that can attract high income people.

  1. Being the first Italian restaurant in the area. 

Keys to Success

  • The strong and supportive location where the restaurant is based in.

  • The professional managers and workers the place depends on.

  • Uniqueness in products and decoration of the restaurant.

  • Innovation in techniques of presentation.

  • Experienced chefs and managers.

Company Summary

The Italian Corner is a family Italian restaurant that is based in a nice area in Muscat, Oman near the Avenues Mall which makes it interesting for shoppers and visitors who look for good eating experiences. The company depends on an innovative dinning program that attracts customers through providing them with offers and parties that can please them and enable them to treat a free sample of our food and desserts. The place is tending to make parties at the weekends and attract people to try small free samples of the food presented in the place including main dishes, pastries, desserts and drinks. There are gift certificates that are tended to be delivered to customers based on the spent money in the place and the number of visits they make to it. The program also includes gifts as birthday parties for distinguished customers and their families. The Italian Corner restaurant will represent an intimate charm and atmosphere of an Italian Grocery Store supported with framed Italian pictured and prints as well as Italian American pop music. Both the menu and ambiance will attract individual customers, couples, friends, youth and workers as well as the entire family.

Company Ownership

The company is owned and operated by two main owners who are graduated from business administration and are having MBA certificates. One of them is acting as a president and the other is acting as a secretary. The place is opening under the name of Italian Corner and will be run by a number of professional managers.   

Start-up Summary

The Italian Corner will be supported by the owners with equipment, raw materials, kitchen equipment, improvements, staff and management costs. The loan will be taken from National Bank of Oman in a sum that is estimated with 325.000RO, start up expenses are 350.000RO, cash input are 75.000RO and the loan balance will equal 600.000RO to be repaid over 15 years time with an interest that equals 9.5%. The two owners keep a sum of money that is 90.000 RO that will only be used when needed if there are sudden or unexpected costs needed related to the start up. The start-up equipment will include the different required items that will be purchased for improving the current place including its kitchen such as mixers, stoves, ovens, freezers, dishes, cups, decoration, kettles, coffee machines, refrigerated systems for keeping pizzas and other pastries. 
Table: Start-up

Start-up 
  
Needed items 
  
Expenses for start up 
Expensed needed itemsRO0
Small equipmentsRO3,000
Place LicenseRO400
staff and MangersRO10,000
AdvertisementsRO1,000
Insurance costsRO3,000
Other ExpensesRO0
Total Start-up ExpensesRO17,400
  
Start-up Assets 
Cash neededRO90,000
Inventory Start-upRO10,000
Other needed Assets currentlyRO10,000
Long-term AssetsRO547,600
Total AssetsRO657,600
  
Total RequirementsRO675,000

Table: Start-up Funding

Start-up Funding 
Start-up Expenses for Fund
RO17,400
Start-up Assets for Fund
RO657,600
Total Funding need
RO675,000
  
Assets 
Non-cash start up Assets
RO567,600
Cash Requirements from Start-up
RO90,000
Additional Cash collected
RO0
Cash Balance on begining Date
RO90,000
Total Assets
RO657,600
  
  
Liabilities and Capitals 
  
Liabilities 
Current Borrowed
RO0
Long-term Liabilities
RO600,000
Accounts Payable ( Bills)
RO0
Other Current Liabilities free ofinterest
RO75,000
Total Liabilities
RO675,000
  
Capital 
  
Investment plan 
Owner
RO0
Investor
RO0
Additional Requirements for investing
RO0
Total Planned Investment
RO0
  
Loss of Start-up
(RO17,400)
Total Capital
(RO17,400)
  
  
Total Capital as well as Liabilities
RO657,600
  
Total Funding
RO675,000

Services and products

The Italian Corner menu has a variety of 30 types of pasta and 15 chicken types added to a variety of vegetables, soups and sea food entries. There are a number of appetizers, snacks, salads and sandwiches. There aren't any types of wines or ham meat as Halal food is a main concept of the place. Special salads and family meals are served on the restaurant's main menus. Fresh juices, cocktails and smoothies are on the menu in addition to a number of delicious Italian desserts. The restaurant focuses on using the freshest ingredients of raw materials and the finest pasta imported from Italy and special sauces prepared by chefs. Meat and chicken are fresh and come from special farms in Oman. The menu of the restaurant also includes a diet list that presents the same products in low fats and low calories portions to provide customers with the needed dietary meals they may ask for. There is also a menu for children that contain a variety of meatballs pasta, burgers, fried potatoes and pizza as well as different types of fruit ice cream and cheesecakes; it is based on a concept of Sponge Pop presentation meals to attract children to such meals that come with a gift toy. The restaurant focuses on presenting a variety of new tastes from the Italian cuisine in an innovative technique that tends to improve current Italian dishes and develop them to match the Arabian needs and tastes.

Market Analysis
The Omani market is a great wide business market that depends on high national and individual incomes that make the trade movement is rich and strong. Restaurants are a good choice for making a successful business in Oman because the social behavior of Omani people tend to prefer outdoor foods and to enjoy the fun and pleasure of eating outsides in superb places that are interested in taste, cleanliness and quality in addition to the friendly service. The Omani people are such friendly people who are highly civilized and used to trying different verities of food from different cultures as in Oman; there are different restaurants from different cultures such as Chinese, Arabian or Italian. Oman is a big consuming country for different types of food and this high food consumption is said to be at a rate 3.7% compound annual growth rate in 2017. Oman consumes meat in a big rate that is increasing yearly in a percentage of 5.1% and fruits and vegetables are consumed with a 4% yearly growth rate each and milk as well has the same ratio. This tells that food consumption is high and the restaurant's opportunities are big. Hospitality industry is flourishing in Oman and there are different foreigners who are either working there or visitors. Omani people are consuming different food types rather than other GCC countries as the population in Oman is growing fast and the tourism industry is flourishing. The food consumption is generally high in the GCC region as within the time period between years 2012to 2017, the food consumption rate of the GCC area is potential to be greater at a CAGR of 3.1 % to be 49.1 million MT by the end of 2017. It is supposed that The GCC region's per capita food consumption will get by 2017 to be 983.0 kg. The performance of the Omani food industry is quite good to a big extent and the business and trade movement is flourishing in Oman which is promising and helps in improving people's incomes. The life style in Oman is not a bedwin one but on the contrary; people are very modern and they like eating in restaurants. They have different food demands and needs based on the family structure, cultural background and life style and other factors related to each group of Omani people. Oman is a country that also includes different varieties of people from different cultures and they all prefer eating outside and this will help The Italian Corner attract different types of customers from different nationalities. There are some Italian restaurants in Oman but the need for more of such types is high. (The report, 2013)









Market segmentation
The market of Oman has different customers' segments but the current project is focusing on some of them mainly families, workers, students and friend groups and tourists. This can be as shown in the following figure:
Figure 1 Customers segmentation
Market needs
The Omani market needs are different and based on the type of industry and related to hospitality and food industry, the needs of the market in Oman can be summarized as follows:
  1. Receiving the best and most kind and friendly service that match with high tastes.
  2. Having best quality related to all details of food and service.
  3. Being welcomed and entertained specifically.
  4. Relaxing and enjoying the eating experience.
  5. Eating good food made with fresh clear and well known ingredients.
  6. Having tasty and delicious and sufficient portions of food.
  7. Eating Halal food that is well ensured and guaranteed.
  8. Cleanliness and hygiene of all details and ingredients on high levels.
  9. Affordable prices compared to the service level.
  10. Enjoying the presentation, comfortable stay and love eye images.
Market trends
Market trends are very important for any business to start and succeed as they have to be well identified and realized in order to be followed. The current project is a restaurant for families mainly and the market trends it should focus on can be the families' needs of comfort, relaxation, being at ease, having fun and pleasure with the family, feeling safe and secured and talking freely. This is highly regarded by the Italian Corner as families have the biggest area in the place as there are areas that are separated and protected from other places in the market where families can eat and enjoy at a great ease and comfort. Other customers' scales such as students and workers are also considered by the company as there are sandwiches and snacks for easy eating and there are diet meals for those who like to keep healthy and not to gain more weight. Meals prices suit all social scales as there are cheap ones and expensive rich ones according to the needs of customers.  The business is following a marketing trend that depends on having the best and finest suppliers who can provide the restaurant with best raw materials, sauces, pasta, flour and other food ingredients in specific times without delay. The strong supply chain is meant to ensure fresh food that is clean and organic and free from bad materials. The customers' satisfaction is a great desire of the place and it is a main goal to be achieved by collecting all the positive factors that should work together to ensure it. Contracts' terms and conditions can help in maintaining the suppliers at their best performance and under control which ensures that the company is safe and well protected. Checking raw materials and supplies can make the work go right so the company depends on its managers to do such an important process. (Hoyle, 2002) 
Competitor analysis
The Italian Corner has some competitors in the Omani market; most of them are not found near the Avenues Mall although being in Muscat. The following ones are the main and most important competitors to the current project:
Trattoria Italian Restaurant & Café
The restaurant is based in Salalah towers and it is an Italian restaurant that is presenting different Italian dishes such as pasta, rositto and others. Many people like it but some complain of the taste and service.
La Fattoria Della Pizza
This is a strong competitor because it is known for its excellence and fine tasty Italian food dishes and good service and friendly place. There are some complaints from some customers related sauces and pizza ingredients.
Romano's Macaroni Grill
The place is presenting different types of pasta and grilled meat and chicken. It is famous among foreigners living in Oman and tourists. Service is good but the area is not very suitable for Omani families.
ITALIANO
The place is simple and presenting different services for buying Italian dishes such as eating in the place or home delivery or take away. Food is good but not very superb. (tripadvisor, 2016).
SWOT analysis
Strengths
The Italian corner has main strengths that can help it succeed as the following:
  1. The owners of the place have studied business administration and they have a MBA.
  2. Managers are professionals as well as chefs and other workers.
  3. The place area is wide and well divided for families and other customer categories.
  4. The staff is working in a cooperative work environment and they are well appraised and motivated.
  5. There is a uniqueness in presentation, promotion and marketing strategies.
  6. The location of the restaurant is strong and vivid with people.
  7. Innovation and creativity are main concepts the place is based upon.
  8. The small number of market competitors in Italian food service in the same area.
Weaknesses
There are some weak points related to Italian corner as follows:
  1. Being a new restaurant that is not known or common among people in Oman.
  2. The owners' experience is not wide or enough.
  3. Costs of improving the place and of staff and managers are high.
  4. Loan repay will be difficult.
  5. Profits may be late than expected.
Opportunities
The opportunities the Italian Corner can have are as the following ones:
  1. The uniqueness in design, dishes, chefs, managers and raw materials.
  2. The good area near the Avenues Mall can provide a support for the restaurant and bring in more customers and build a good name for the place.
  3. Focusing on families and providing them with what they need.
  4. Having a great variety in menus and presentation.
  5. Reaching success easily by the help of the effective management.
  6. Providing customers with innovative ideas such as gifts for distinguished customers and surprising birthday parties for special customers.
Threats
There are some threatening points that the place should study well and consider as:
  1. The existence of resembling restaurants in Oman, Muscat and the strong brand name they have.
  2. Rarity of high quality Italian raw materials in some markets.
  3. The probability of having problems with Italian chefs and staff. 
Strategy and implementation summary
The current project is established is Oman's capital city that is Muscat because the city is rich in tourism and shopping movements and many people like to visit the new restaurants open in Muscat. The restaurant presents the three main meals in addition to the brunch which is late lunch and snacks at any time.
Competitive edge
The current are the main competitive edge factors related to the Italian Corner:
  1. Unique high superior dishes of pasta and rice and uniqueness in Italian desserts.
  2. Friendly clean highly educated waiters and working men who are keen on being so kind and welcoming to all customers.
  3. Focusing mainly on families and providing them with the needed atmosphere they like in addition to seating them well and in a way that they all feel at great ease.
  4. Focusing on hygiene and cleanliness in all the place parts
Marketing strategy
The Italian Corner has a strong supportive marketing strategy that makes it unique compared to other market competitors. The company focuses more on different business details especially tiny details such as tables, sheets, napkins, sauces, spoons, dishes and forks as such things are so important to customers who seek superiority and quality. Hygiene and cleanliness are applied highly in kitchen and in all areas of the restaurant to ensure safety and health of customers. 
Advertising strategy
The Italian Corner depends on a promotion campaign that can help greatly in making the place well known and realized by pizza lovers and different customers' scales. Competition is high among restaurants in Muscat so advertisements about the new place have to be distinguished and supportive. According to Hardy, (2010) promotion of today depends mainly on a variety of channels that may be very modern and coping to the age advancement or traditional as mixing between the two types can lead to a successful promotion campaign. The following advertising techniques are those ones to be used with The Italian Corner:  
  1. Paper and wall ads
Paper and wall advertisements will be used to be added to daily newspapers that are sent to people's homes as this method can show customers pictures of the new place and the menus they can choose food from and can also declare the offers and events the place is doing. This method can also be used in shopping malls near the restaurant as people who go shopping in malls as the Avenues Mall can have some paper ads from the place they are buying their needs such as grocery shops and others. This can make people aware that a new Italian restaurant that is beautiful and clean is opening and this will make them eager to visit it.
  1. TV ads.
TV ads is a good idea in making people aware of the services and dishes of the restaurant as the image will be the tool the place is depending on as details of dishes can be shown, pictures and videos of chefs cooking can also be shown in TV ads with the nice Italian music that is found in the place as this will attract people and affect their passions to visit the place. Omani actors or sports figures can also be in such ads as they can support the place with their nice words as being customers of it. Waiters who are friendly smiling and very neat and good looking can also be shown in the TV ads to attract customers to the place.      
  1. Online ads.
Online ads are the most interesting today as most people like them and follow them so there will be a great focus on them and the restaurant will use them effectively to reach as many people as possible. Omani forums will be the place where people can discuss the restaurant and its details and there will be a specialized site for the place on a high technological level showing pictures of the place and discussing how different dishes are made. The site will be linked to a Facebook page to make people aware of the restaurant. Google ads will also be used to show the place on online sites of people living in Oman. 
  1. Social media ads.
The Italian corner is using social media ads to attract people who are online and focusing on them to realize the place, its concept and the dishes presenting there. There will be a site that is linked to a Facebook page and a Twitter page. Instagram and Pinterest will also be used to show pictures of the place and leave nice comments recommending it. TV ads will be shown on You Tube channels and on Facebook as well. These sites will be used for opening discussions among people living in Oman about the place and its advantages.
  1. E mail newsletters and phone numbers
E-mail lists will be bought by the management of Italian Corner in order to use these e-mails and send the people bullet-in about the restaurant and its offers. E-mails newsletters will be used to make people aware of dates when the restaurant is making offers or events. Special customers will be gifted via these e-mails to make them more interested in checking them regularly. Phone numbers of customers will be used to make them acknowledged with the new dishes and updates and offers of the place. 
Brand challenges
The Italian corner may face problems and challenges when it is trying to build its brand in the Omani market. These challenges in building its new name and brand may include customers' satisfaction, employees' satisfaction, conflicts between management and owners or between employees and management and other challenges such as need for money or for new staff.  
Pricing strategy
Pricing of dishes and drinks at the Italian Corner will depend on understanding the demands of the customers, calculating costs of meals and realizing medium prices of competitors and then to decide prices of different dishes to be reasonable and profitable.
Positioning statement
Positioning of the Italian corner will be based on addressing the needs and demands of the market, customers and employees as the company focuses on stressing its position in the market with the high quality products and efficient well motivated employees and professional managers. Meals, dishes, napkins, forks and spoons will all be considered in positioning the restaurant in Oman as details are very important for customers who can help in positioning the place well.
Sales strategy
Sales in The Italian Corner are considered very important because they can make the required profit level needed for making the place successful. Profits are not to be collected in the first year but costs and loans have to be recovered.

Sales Forecast

The Italian corner is expected to have increase in sales estimated with 5% based on factors such as being known among visitors of the Avenues Mall Oman and by positioning itself using high quality and efficiency. Loyal customers can also bring other friends and relatives to the place. The promotion campaign can help a lot in making the place attractive which will be confirmed by the professionalism of its workers in presenting more than expected from customers. Coupons will be sold to interested customers who need a discount in next visits to the restaurants.

Table: Sales Forecast


Sales Forecast
 
 
Year 1
Sales
 
Food and drinks Sales
RO1,638,070
Merchandise
RO5,478
Coupons
RO37,700
Total Sales
RO1,681,248
  
Sales Direct Cost
Year 1
Sales + Merchandise at 25.7%
RO421,053
Other
RO0
Subtotal Direct Cost of Sales
RO421,053

 Personnel Plan

Management fixed costs of the Italian corner are as follows:

Owner 1 = RO30,000

Owner 2 =RO60,000

Boss manager =RO39,000

Dining Room Manager =RO32,000

Kitchen Manager =RO25,000

Total Management Costs  =RO186,000

Management Team of the Italian corner 

Owner 1

Owner 2

Boss Manager

Dining Room Manager

Kitchen Manager

The Kitchen labor would represent 11.3% of sales. 

Dining Room labor would represent 6.1% of sales.

Payroll taxes are 10% of sales.

Table: Personnel



Personnel Plan

   
 

Year 1

  

Salaries of managers

RO186,000

  

Kitchen Labor at 11.3% of Sales

RO185,604

  

Dining Room Labor at 6.1% of Sales

RO99,834

  

Total People

65

  
    

Total Payroll

RO471,438

  

Financial Plan

The financial plan of the Italian restaurant is made in order to meet the financial needs of the company and balance them and it is based on the following:
  1. The growth of the place is expected to be moderate and the cash flow is to be steady.
  2. Increasing of sales is expected to be 4% yearly.
  3. There may be an increase in costs estimated with 1% to 2% yearly.
  4. Maintenance and repairing works will be kept up in order to get a solid operation.  
Table: General Assumptions

General Assumptions
   
 
Year 1
  
Plan Month
1
  
Current Interest Rate
5.50%
  
Interest Rate Long-term
9.50%
  
Tax Rate
22.03%
  
Other
0
  

Projected Profit and Loss

The profit margin is the most important part in the projected profit and loss statement as the first year, it doesn’t show much change or jump in a dramatic way but within time, it is supposed to raise as a result of the restaurant success and development and building a good name and a reputation.
Profit and Loss
   
 
Year 1
  
Sales
RO1,681,248
  
Direct SALES Cost
RO421,053
  
Other Costs related to Goods
RO0
  
Total sales Cost
RO421,053
  
    
Gross Margin
RO1,260,195
  
Gross Margin %
74.96%
  
    
    
Expenses
   
Payroll
RO471,438
  
Promotions of Sales and Marketing
RO0
  
Depreciation
RO66,144
  
Discounts of Credit Card
RO21,692
  
Advertisement
RO104,142
  
Rent Fixed Rate
RO112,200
  
Utilities 2.4% of Sales
RO40,350
  
Insurance
RO35,304
  
Costs of papers
RO30,262
  
Coupons cost
RO158,555
  
Trash Disposal
RO1,500
  
Uniforms of workers
RO3,000
  
Telephone costs
RO3,000
  
Maintaince cost
RO13,500
  
Smallwares
RO1,500
  
Outside Services
RO3,000
  
Cleaning and washing
RO11,769
  
Menus and checks cost
RO1,200
  
Laundry and sheets
RO1,500
  
Music and games
RO1,500
  
Advertising
RO1,500
  
Over/Short
(RO180)
  
Professional Fees
RO4,500
  
Taxes & Licenses costs
RO1,980
  
Bank Charges
RO936
  
Control
RO1,500
  
Payroll Taxes
RO70,716
  
Expense of office work
RO3,900
  
Other
RO2,100
  
    
Total Operating Expenses
RO1,168,508
  
    
Profit without Interest and Taxes
RO91,687
  
EBITDA
RO157,831
  
  Interest Expense
RO56,050
  
  Incurred Taxes
RO7,868
  
    
Net Profit
RO27,769
  
Net Profit/Sales
1.65%
  

Cash flow

Cash Flow
   
 
Year 1
  
Cash that Received
   
    
Cash gained from Operations
   
Cash of Sales
RO1,681,248
  
Subtotal Cash got from Operations
RO1,681,248
  
    
Additional received Cash
   
Sales Tax, Received
RO0
  
New Current Borrowed
RO0
  
New Other Liabilities from interests
RO0
  
New Liabilities Long-term
RO0
  
Sales of different Current Assets
RO0
  
Sales of Assets Long-term
RO0
  
New Investment gained
RO0
  
Subtotal Cash gained
RO1,681,248
  
    
Expenditures
Year 1
  
    
Expenditures from different Operations
   
Cash Spend
RO471,438
  
Bill Paid
RO1,053,685
  
Subtotal Spending on Operations
RO1,525,123
  
    
Additional spentCash
   
Sales Tax, Paid Out
RO0
  
Principal Repayment of Current loans
RO0
  
Other Liabilities Principal Repaid
RO7,500
  
Long-term Liabilities Principal Repaid
RO26,664
  
Purchasing Other Current Assets
RO0
  
Purchasing Long-term Assets
RO0
  
Dividends
RO0
  
Subtotal spent Cash
RO1,559,287
  
    
Net Cash Flow
RO121,961
  
Cash Balance
RO211,961
  


Balance sheet of the Italian corner

Projected Balance Sheet

The current projected Balance Sheet of The Italian Corner is solid. It is not anticipated to meet the debt obligations providing that the company's specific goals are well achieved.

Table: Balance Sheet


Balance Sheet
   
 
Year 1
  
Assets
   
    
Current Assets
   
Cash
RO211,961
  
Inventories
RO39,382
  
Other Current different Assets
RO10,000
  
Total Assets
RO261,344
  
    
Assets of long term
   
Assets of long term
RO547,600
  
Accumulated Depreciation
RO66,144
  
Total Assets on long term
RO481,456
  
Total Assets
RO742,800
  
    
Liabilities as well as Capital
Year 1
  
    
Current Liabilities
   
Accounts Payable
RO91,595
  
Current Borrowed
RO0
  
Other Current Liabilities
RO67,500
  
Subtotal Current Liabilities
RO159,095
  
    
Liabilities of long term
RO573,336
  
Total Liabilities
RO732,431
  
    
Capital that is paid in
RO0
  
Earnings that are retained
(RO17,400)
  
Earnings
RO27,769
  
Total Capital
RO10,369
  
Total Liabilities and Capital
RO742,800
  
    
Net Worth
RO10,369
  


EXP1: Triangle Law of Forces & Parallelogram of Forces

  • Theory:
Depe.nding to t.he gen.eral la.w of the fo.rces , if t.he bo.dy ex.pose w.ith thr.ee for.ces in equi.librium th..an , the. tw.o. for.ces. are. repr.esented. as a t.wo s.ide of a tria.ngle. in sam.e. or.d..er w.ith sca.ling.th.eir mag.nitude.to a su.it.able sc.ale. th.en th.e th.ird. si.de o.r th.e closi.ng. si.de. of th.e trian.gle. wo.uld. b.e t.he resul.tant.in oppo.site. ord.er..
  • Objective:
To provethe theoryforthe Triangle ofForces&Parallelogram ofForces.

  • Apparatus:
Work panel, Weight with hangers, Magnetic protect.

  • Procedure: part A (Known forces)
1) 100 gm weight has been added to the left and right hand weight hangers.

2)Than, 100 gm weight has been added to the center weight hanger.

3) after that, chord has been horizontally to measure the angel by protector.
4)space diagram of the chord has been drawing with the corrected angel.

5) force angel drawing that the length has been equalto the force because weight.
6)finally , the end of triangle has been meted with start point.( Figure 1.1)

Figure 1.1:  space diagram & force diagram for triangle of forces







  • Procedure: part B (Unknown force)

1) Procedure of part a has been repeated .

2)Than, weight on any one of hungers has been added or removed and do not count weight. ( unknown weight.

3) continue with same procedure of part A.

  • Procedure: part C (parallelogram of forces)

1) space diagram has been draw of the cord with correct Angeles.

2)force magnitudes has been marked on the space diagram.

3) the parallelogram has been constructed to find line OD .(Figure 1.2)
4)resultant. OD has been conformed.is equal.and opposite.to the.force.from.middle.



Figure 1.2:  parallelogram of forces













Observations and callculation:

Part a:


Scale – 5 cm and R = 5 cm
So , convert to N

5*5 = 25g
25/ 9.8 = 2.55 N

Part B:


Scale = 5 cm and R (unknown) = 4 cm
So,
5*4 = 20 g
20/ 9.8 = 2.04 N

Part C:



  • Discussion:

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Mobilization

Introduction
X is a public organization in Oman that presents different services for people and institutions in Oman and this makes it important for the organization to develop its services and the way it reaches the public as the organization is trying hard to present different electronic services and reach the public in new different ways, this requires high control from the organization and high concentration on its innovative and creative services and it makes it necessary for the organization to get rid of any blocks and barriers that may block the success of applying innovation and creativity. These barriers may be in the individual themselves and may be cultural or social or others as Oman is an Arab country of the Gulf that may have different traditions and customs and social details that may prevent achieving the needed success. The organization then should find solutions and frameworks that enable it to face these blocks and solve the different problems faced by the organization when implementing innovation and creativity. The organization's activity depends mainly on development and planning which are in bad need for creative and innovative ideas and this makes the need for facing blocks against creativity and innovation is an urgent need. It was found by Gomez, (2007) that innovation and creativity are based on supporting the concept of communication in the business organization and is based on understanding and analyzing the climate of the organization to realize the blocks and face them. In the current paper, there is a discussion for the X climate and communication level in order to find out some techniques to face the blocks to creativity and raise the development levels in the organization.

Analysis 
X is a public service Omani organization that depends on providing the public individuals and organizations with planning and development services, it has different partnerships with governmental institutions and ministries which makes it a great responsibility on it to face the blocks to creativity and innovation as it is based on achieving the sustainable comprehensive development that is needed for all different parts in the Sultanate.  The organization faces the difficulties and blocks to achieving comprehensive development through some blocks to creative and innovative ideas as these blocks are found in some individual ideas that may be social or cultural as for example some employees and mangers still apply the traditional methods of dealing with the public which delays many things and leads to having loss and problems with different institutions. The organization is trying to choose intelligent leaders who are able to apply change and face blocks to creativity and innovation as according to Davial, Epstein and Shelton, 2007) it is important for any organization that is based on development and planning to find out suitable leaders who are themselves not having individual blocks to creativity and innovation and who are able to find solutions for these blocks.
The organization X depend mainly on development and planning for other organization in Oman which makes creativity and innovation a must and a great need for facing any blocks to creativity and innovation. The organization sometimes face some individual blocks from some employees who are not cooperative enough to apply technology in dealing with the public and this made the organization try to find out methods and techniques to face these individual blocks such as training employees on using technology and understanding why they can't cope with change easily. The importance of analyzing the climate of the organization is highly supported in many research such as that of Procter, (2010) as he stressed the need to find different analysis techniques to analyze the climate of the organization in order to measure the volume of blocks and identify those who are fighting change and blocking creativity and innovation. He also mentioned some frameworks and models to be applied by organizations that need development such as the category attribute model that depends on categorizing the different blocks and assessing them each in order to find solutions for each of them and face it. The model also was mentioned and supported by Isaksen, (1993) who added that the analysis using the category attribute model can help in developing the organization and help in planning which is very important for an organization such as X. 
X is facing a challenge of having different blocks to creativity and innovation that are blocking and hindering the success of the organization and work against development and planning and this requires the organization to find methods to solve that problem in other experiences and in the literature. Individual attitudes can be considered a block that hinders the success of an organization and this needs to be well tackled by X as there are many employees who are characterized with applying old fashioned techniques, traditional methods and passive attitudes towards change, for example, there are some employees who are not able to use the online site of the organization to contact the public clients and this is a great problem although X is keen on training them but they have their own passive attitudes regarding dealing with the online sites to contact the public, some women employees are also say that they are not feeling safe to contact the public using these sites which delays many works and leads to failure in many parts of the organization, these blocks are also social and cultural because employees think of the culture of Oman and how people regard things from their own views. According to Cropley and Cropley, (2015) stressed the need to understanding the climate of the organization, the psychology of individual attitudes and how they work as blocks against creativity and innovation, they also confirmed on the need to have a good leadership style and good leaders who can communicate creativity and innovation well in the organization.
Because the work of X depends mainly on sustainable comprehensive development and planning, it is important for it to find out the suitable framework that can match its development needs and that can provide it with the enough support to achieve creative ideas and innovative plans. This was mentioned by Hogan, (1995) who discussed how the organizational development can be applied by applying creativity and innovation in the same time and how this can let the organization present a high quality service that can compete other competitors in the market in the same field. Flaherty, (2008) also confirmed this and stated that change is a basic element of creativity and innovation and it can provide the organization with new ideas and fields of success as it encourages the organization to take the required risks to open new markets and new successful business activities in many places.  
Conclusion
In conclusion, creativity and innovation are very basic elements to the success of any business organization whether it is public or private and the current paper presents an overview for how X is trying to face the different challenges and blocks that face it against the success in the field of presenting sustainable comprehensive development and planning for the different institutions of Oman. These blocks can be either individual such as personal attitudes of individuals towards change, social such as social concepts or cultural based on specific concepts of cultures. There are some models and frameworks that can be applied in the organization to face blocks to innovation and creativity and the organization needs analyzing its climate to choose a model. In X, there are many blocks to creativity that are tries to be faced by the organization's leadership and management.


Globalization and Cultural Diversity

Introduction
Since globalization has been very important, many business organizations began to focus on cultures and cultural diversity effect in the workplace. Cultural diversity requires intensive interest from management as managing across cultures is very serious and requires training and techniques to be successful. The work environment that includes people from different countries with different cultural backgrounds may contain conflicts and stress as a consequence of misunderstanding or not accepting views and behaviors of other different people. Here the role of the manager appears as a good manager has to be aware of strategies for improving the workplace communication and motivating employees to communicate within each other in a better way without consideration to cultural differences. The current paper is presenting a view of how managing across cultural can be very important and to the influence left on the business organization by cultural diversity, it also discusses how the management style can affect cultural diversity and the problems and challenges resulting from it in the business organization and it shows the need for training managers to be effective in managing across cultures. 
Discussion
According to Saxena, (2014) cultural diversity leaves great influence on the business organization and this influence can be good at many times and at others can be bad and passive. They confirmed that this influence should be used by managers in order to het welfare of the business and raise its productivity and achieving organizational goals, they referred to the strategies managers should apply in order to make good use of the cultural diversity in the workplace. These strategies can train employees to avoid issues related to cultures and not to discuss them with each other such as religion, customs, traditions, rituals and different personal behaviors of food, drink and others. This can save much work time and make employees more able to perform properly according to the organizational goals. Managers should encourage employees without regard to their cultures and encourage them to have self-confidence and be more courageous with customers and colleagues. Other authors referred to the influence of cultural diversity on the performance of employees such as Neves and Mele, (2013) who discussed how to avoid the passive influence of cultural diversity and motivate employees to communicate with each other and with their managers. They referred to raising the awareness of employees about other cultures and making them more open towards accepting others and the details related to their different cultures. They explained that when cultural differences cause stress and conflicts in the workplace, productivity and profitability are negatively affected as employees waste time doing problems and they don't cooperate with each other and they feel job dissatisfaction that affect their performance and then the organizational performance.      
Culture has said to leave great influence over business organizations as according to Mazure, (2010) there are differences in employees' performance and they may be related to their cultural backgrounds, this can be related to time management, adequacy, thinking and reaction, doing different tasks and systematic techniques. Here the manager has to regard those differences and try to make all employees work according to the general organizational behaviors and avoid following own cultural behaviors. Symen, (2006)discussed how rules and legislations of the country where the organization is established should be well understood by all employees from the different cultural backgrounds. This can be effective in making them aware of their limits inside and outside the organization. Languages should also be set as basic and secondary, for example English can be the basic language to be used in formal meetings or Arabic according to the type of people working together and their different cultural backgrounds.      
According to Kogler et al, (2011) any business organization that has employees from different cultures may suffer stress and conflicts that may result from the contradicting ideas related to behaviors, customs and values and these ideas can affect the way employees act and react in different tasks they are asked to perform. They explained that a management style that is well chosen to be flexible can help in making ideas of employees closer to each other and the effective manager is that one who is able to change the management style that can work effectively with people from different cultural backgrounds. The management style that focuses on communication techniques can be effective in reducing the stress and conflicts resulting from differences in ideas and reactions. Hunt, (2007) added that the management style should include different means for analyzing the behaviors f employees and then to follow guiding systems for guiding their behaviors towards the organizational behaviors and to cooperate together to achieve the organizational goals. 
Beaumont, (1999) referred to the intercultural communication and how it can be applied via the management style that consider different relevant issues to the employees' cultures as masculinity and feminism as in some cultures, it is difficult for employees to be lead by a woman and equality is not applied related to sex, those employees are in need to be aware of the importance of equality, they can be trained on cooperating with all people without regard to sex and race differences. State requirements and laws is also issues related to cultural differences and should be declared to employees from the beginning as the laws of the country they are working in should be the basis of setting rules. Another issue that is needed to be declared to employees is the changes that should be applied in order to make the work environment more cooperative, they should be applied through applying a management style that is flexible enough to accept changes and differences as well as the ability to share information easily among employees. 
Kawar, (2012) explained that a management style should depend on some models and framework for applying specific management systems and techniques that encourage employees to communicate and that motivate them to compete and present their best. These models can encourage employees participate in different activities and team work effectively which can improve their performance and then the organizational performance. Wilson, (2005) conformed that some problems such as power distance and collectivism versus individualism should be considered when choosing a management style as they differ when dealing with the cultural backgrounds of employees. The management style can solve the problem by making employees more cooperated and engaged within the different activities in the workplace.
According to Kumar and Patrick, (2012) training managers is very important to solve the problems and conflicts that may appear as a result of the cultural differences between employees, managers should be trained specifically in order to learn models and frameworks that can help them engage employees into the different activities and tasks within teams easily. Training managers can improve their performance and communication as well as improving their communication level with employees, this can help them in turn improve the communication level of employees and help them be aware of the benefits of working with people with different cultural backgrounds such as gaining global experience and new knowledge about different business systems around the world, currencies and other business information. Training managers can teach them concepts of equity and fairness without regard to the differences in race, sex or other considerations. Managers are in need to be trained on openness and on making open discussions and communications in order to accept different people and make them accept others even if they are different.
Training managers can be effective in making all employees work together in cooperation and can communicate better because they can understand the differences in cultures and avoid issues that may hurt others such as religion and politics. Managers can encourage them learn about different cultures and have awareness about them. There should be special programs for training managers and they can be sent abroad to different countries where they can learn new management styles to help them face the challenges they may suffer as a result of cultural diversity in the workplace. (Matic, 2008)
Conclusion
In conclusion, managing across cultures can be either positive or negative according to the way managers deal with it and to the management style used by managers. Cultural diversity in the workplace can be of great influence on the business success, productivity and profitability as it can lead employees to communicate better or it can leave passive effects as stress and can cause conflicts and problems. This is a big challenge faces managers who are in need to be aware of their responsibilities in this regard and try to find effective solutions for these problems. Management styles are numerous and managers have to study them hard to choose a management style that is suitable for usage in a multicultural business environment. The management style has to be flexible and encourage communication and cooperation. Training managers is a great necessity that makes managers better and more effective in discussing employees, realizing their differences and can communicate properly with employees from different cultures. Training managers can improve their performance, the employees' performance and the organizational performance.

Friday, September 14, 2018

Employee Turnover Literature Review

Introduction
Employees turnover is the frequent employees' leaving their jobs in a business organization and it represents a great problem that business entities suffer due to the results it leaves passively on the organization such as the lack of experiences, the need to exert efforts and costs to train and prepare new employees to take the positions of those leaving employees and the limited time periods for getting new employees who may not be as good as those leaving members. In Oman; there are high rates of employees' turnover resulting from the high number of foreign employees working in Oman in both public and private sectors and due to the traditional leadership  styles used by leaders and the work environment in some business organizations as all these factors affect the way the organization is trying to retain its employees and then leads to high rates of turnover that affects the success of the company and leads to its failure and making great loss. The problem of employees turnover in A' Safwa Dairy Company SAOG has been dealt with in the first part of this assignment as the company suffered high rates of employees' turnover resulted from different reasons including leadership style, having foreign employees with high rates, lack of satisfying work environment and other reasons. The current paper is a critical review of the literature of part one of this assignment in order to evaluate the literature, relevant used theories and models with a clear justification for selecting these theories, models and techniques. The paper is also a reflection of the debates in the literature about the concepts used.
Critical review of the literature of part 1
According to Hom and Griffeth, (2001)employees turnover is defined as that ratio of leaving work by employees to be divided on the employees' total number and this can be true to some extent as according to Philips and Cornell, (2004), employees turnover means that the organization loses its employees suddenly and it can be voluntary or not. This definition can then decide that employees turnover can be voluntary or not but this research is discussing voluntary turnover of employees and the passive effects it leaves over business organizations. Shamsuzzoha and Shumon, (2015) discussed how employees turnover can be harmful on the organization and can cause different problems and losses for the business and they stressed on the need to study the reasons behind employees turnover in order to face them and find solutions for them. This view is also confirmed by Tariq, Ramzan and Riaz, (2013) who also stressed the need to make deep analysis for the real reasons behind employees turnover in the organization and that this requires understanding the way the organization is doing its work, how communication is applied, the nature of work environment and the leadership styles applied in the organization. The first part of the research discussed this in relation to A'Safwa business organization and referred to the organization's need to make such analysis and to investigate these reasons, it is also suggested that the organization tries to communicate with employees and leaders and try to identify the real reasons behind employees' turnover and if these reasons are resulting from employees' personal opinions or as a result of things that are found in the work environment and cause the employees to suffer and feel dissatisfied. O'Halloran (2012) reported that voluntary turnover is the most impacting type of turnover of employees as it has many negative outcomes that organizations suffer and that it can cause different losses on the business organization because it is not expected by the organization and that leadership suffers the lack of employees who can replace those leaving employees and that it is a shock to leadership to face high rates of turnover which makes it a great problem the organization suffers and should seek solutions. This view was also presented by Saeed et al, (2014) who added that voluntary turnover has deep intentions inside employees' minds and that most leaving employees are planning for it for long periods of time before leaving decisions are made and that is true that employees' voluntary turnover causes perplexity in the organization and makes leadership not able to take decisions with those employees as even punishment is not effective or acceptable especially when those leaving employees have the legal rights to leave work suddenly or they have short term contracts with the organization. The first part referred to involuntary turnover and tried to explain it through the literature according to Arokiasamy, (2013)who gave some information about it but although this is not needed here as the research is discussing voluntary turnover in A'Safwa Dairy Company SAOG, it was needed to explain it in order to focus that this research is not dealing with involuntary turnover and to show that it is completely different from voluntary turnover. The first part referred to views by Chang, (2009), as he referred to solutions that can be applied there in the business organization and reduce or end employees' turnover such as following practices and strategies that can reduce it including new leadership practices, applying employees' engagement effectively, following competitive compensation and making modifications on the work environment in order to make it more attractive for employees and retain them. This is confirmed by many authors such as Gerhart, (1990) who discussed the issue and confirmed that when employees are job satisfied, they usually feel belonging for the organization and feel not leaving it as they have high morale and high levels of job satisfaction and these things relate all to the organization and its work environment, the opportunities it presents to its employees, how far they are engaged and if there is a reward system that can really provide them with the appreciation needed for them and the promotion strategy and if it suits the employees' performance and can be promising for their future aspirations so it is good for the organization to investigate its current status and check if employees are satisfied with what they really have or there are complaints and dissatisfaction levels.
Theories and models presented in the first part were presented due to the effect they leave in the literature and because there are many authors who stressed on the importance of using them; the research presented how the human relation theory discussed the needs of employees and the relation of these needs with people management; the theory was presented through the views of Rose, (2005) who stated how the theory is dealing with the human factor and raising its importance and the needs that individuals have in the workplace and that these needs may be physical or psychological or others but they need to be studied deeply by the leadership; the theory can also be viewed according to Warner, (2007) as he discussed the employees interests at work and how management can regard them in order to improve the morale of employees, he also confirmed on the need to compensate employees as much as possible and that they have to be protected by ensuring they have all they need as this helps in meeting the interests and needs of the organization itself. The first part used the theory in order to focus on the importance of giving interest to employees' interests by managers and leaders in a way that ensures applying their needs which can be explained through the human relations theory and this can well be seen through the leadership style as A'Safwa Dairy Company still suffering a transactional leadership style that needs to be replaced with a better transformational leadership style that depends on communication among employees and how to understand their needs by leaders in order to change the work environment to suit such needs and to raise employees' morale. Warrick, (1981) explained how the leadership style can affect the degree of employees' satisfaction in a business organization and he referred to the need of applying the proper leadership style and that employees can be retained by a leadership style that focuses on giving much appreciation to employees and raising their morale with a good motivation system and a strategy that depends on investing in employees and considering them a main asset of the organization, he also referred to the human relation theory and referred to work conditions and work climate and their need to assert human interests to retain employees by making them work in an acceptable work environment. He stated that a leader's style is the most important variable that can be focused on to affect employees' performance and satisfaction as job challenge and job interest added to the organizational work conditions are very important for employees' retaining because a good work environment where employees have enough opportunities to be promoted and grow can make them more self confident and can improve relationships between employees and leaders which is considered a consequence of the leadership style that should focus on communication and human relations mainly.
The first part of the research discussed soft systems theory and how leaders can act according where they live of real world and that this can in turn affect the way employees work and feel in the business organization, this was through the views of Coffey, (2009) as he discussed how leaders' attitudes can affect the job satisfaction of employees and that this can help employees be more satisfied when leaders thoughts and attitudes were positive towards achieving employees' needs and respecting them. The research also came near the hard systems theory and confirmed its importance in maintain employees within an organization as according to Ibrahim and Alsabbah, (2014), hard systems focus on the features of the objectives of the organization and how the organizational goals should mainly depend on retaining employees and considering them one of the main values of the organization as this can help in retaining employees and reducing their turnover rates through understanding them and considering their needs through the organizational goals. They also referred to other different systems such as the general systems theory and they confirmed that it is important as it helps understand the employees' way of working in the organization and if the organization is following soft or hard systems as this helps in realizing the way of thinking of employees and the organization's leadership which helps in retaining employees by focusing on their needs as hard competence for example can help the leadership motivate employees through encouraging them to have more skills related to the organizational success and that soft competence can improve the employees' morale by training them to have mores skills that can help them be promoted sooner and receive more recognition rewards from the organization. These theories were chosen in the first part due to their great importance in reducing employees; turnover, this can be seen and confirmed through the views of Dainty, Bagilhole and Neale, (1998) as they confirmed the need to retain professional employees in business organizations by increasing salary levels of employees and managers who are important to the business organization and they added that this helps in maintaining the stability of the work force which can help in improving the competitive advantage of the business in front of competitors and they referred to the need to apply both soft systems and hard systems theories in order to fill the gap in employees' skills and raise the level of experience by training employees which has long term effects on both employees and the organization. They confirmed that organizations where employees have competitive salaries are more able to retain its employees even if they are foreigners as this makes employees are more encouraged to stay in the jobs and they also confirmed that organizations that appreciate its employees are also able to retain them and make them more loyal to the organization where they feel a part of and where they have all they dream of ambitions they deserve. This makes it important to understand that foreigner employees who leave work in A'Safwa Dairy may be leaving jobs to their countries where they can be promoted easier than in Oman and this makes Omanization is not the only solution to retaining professionals who may not be found in Oman in the current stage.  
The first part of the research discussed the need of the contingency approach in analyzing the organization and finding out the reasons behind employees' turnover as this was presented through a discussion of the views of Zeffane, (1994) who discussed the theory importance in that regard as it helps understand the relationship between the leadership style and the employees' values as the theory stated that some leadership style can be better in retaining employees and other can't but they may be very serious and can cause employees' turnover such as bureaucratic leadership styles such as the transactional leadership as it may lead to employees' turnover due to the lack of communication that enables leaders realize the employees' needs and then to apply them. This approach was chosen for the need to have employees' retention practices within the organization by applying a type of contingent retention to employees that depends on the corporate activities that can be used to retain employees such as compensation practices which are very important in retaining employees especially in multinational organizations where discrimination can be found and this is very important to be applied in A'Safwa Dairy group as it can be seen that salaries of Omani workers are higher than salaries of the same workers from other foreign countries. This was confirmed in a study for Reiche, (2008) who added that contingent retention depends mainly on applying fairness and justice among employees to protect employees from temptations of other business organizations and to keep talents in the organization and he confirmed on the need to have monetary incentives to retain employees as this encourages the core employees to be retained in the organization and reduces loss resulting from their turnover. The first part discussed the avoidability matrix for retaining employees as this was presented through the views of Morrell, Clarke and Wilkinson, (2015), as they discussed the unweaving leaving of employees referring to their voluntary leaving their jobs and organizations and discussed the avoidability matrix as it is a model for measuring the rates and numbers of the employees who left the jobs and classifies them into categories and each category refers to a specific reason or a group of reasons that made them leave work. This was confirmed by She et al, (2013) as they discussed the need to apply the avoidability matrix in the business organization as they explained that the matrix can have the turnover type and that it can either be actual or perceived and that turnover intents can be avoidable or not and that there should be a prevention and control orientation to be practiced by the organization to reduce turnover of employees and the matrix show that entrepreneurial attitudes can change employees' intents of leaving the job as they can control the levels of dissatisfaction among employees by meeting their needs and ensuring a safe environment for them to work in.
The first part of the research referred to Wang, (2007) views about how to reduce employees' turnover levels through applying an evaluation system model that can be used for analyzing the risk of employees' turnover in the business organization and discussed the system which provides some factors that can lead to employees turnover and they are found in the business organization and its work environment, the system was referred to due to its importance in measuring the real turnover attitudes in the organization and the factors impact individually as this can help in managing employees' turnover in the organization by leadership practices and the different motivating activities of human resources management. This can also be asserted by Yan and Yan, (2015) who referred to the evaluation system model as the model focuses on the talent resources in the organization and how to evaluate the talented employees' skills and needs and measure their level of satisfaction and then to work hard to improve their skills as well as their satisfaction as the model measures the cost and the level of individuals turnover by using system configuration management in addition to risk management criteria as turnover is considered a risk that threatens the organizational stability and lead to different losses. This view confirmed that assessment is very important to be applied in the business organizations in order to focus on the real reasons behind turnover and then to fix them. The first part of the research referred to the core self theories and that they can be used by the leadership of the organization in order to apply core self evaluation practices via the usage of critical analysis that can measure employees' turnover and the rates related to it; this can be done periodically such as yearly measurements as it helps in reducing the turnover levels through identifying the performance levels of employees and investigating the reasons for their satisfaction and dissatisfaction and recognizing the different factors relevant to this in order to provide organizational support for employees who need training or promotion and the to make the needed feedback for developing the employees' levels of performance and encouraging them to be more engaged in decision making within the organization. This was presented through discussing a study by Joo, Hahn and Peterson, (2014) as they tried to set a base for retaining employees through evaluating their needs by themselves and by the organization and comparing them with the organizational needs. This can be confirmed by Javed et al, (2014) as they confirmed the need to apply evaluation based on core self theories and they added that a metal analysis can also be effective in this regard and they confirmed that core self evaluation is negatively related to the different turnover intentions of employees.
The first part of the research discussed a study by Perez, (2008) for it presented a job coupling model that is used for reducing employees' turnover by studying the withdraw tendency of employees from their jobs and stated that the job coupling model is investigating how to retain employees through realizing the components of that model and explained them by referring to the off the job coupling and on-the job coupling, this model was referred to in the first part because it is important for understanding the trends of the organizational policies and then to build upon them new policies and strategies for retaining employees and reducing their turnover rates. This can be regarded by the views of Long et al, (2012) who referred in their study to different models including the job coupling model and other models of employee turnover and they confirmed that the use of these models is very essential as they enable the leadership of the organization to be aware of the factors relevant to employees turnover and how to face them and this was also confirmed by Besich, (2005) who discussed different models of employees turnover focusing on factors such as age, job satisfaction, gender and other factors that affect employees' turnover in the business organization and that the traditional models of employees turnover should be faced by other modern models such as March and Simon's model and Mobley's model as these models were mentioned in the first part of the research as they confirmed on using these models for dealing with voluntary turnover and finding solutions to turnover using them as these models depend on understanding the employees' abilities to take decisions of leaving the work and such theories specifies the factors causing the leaving decision such as perceived ease of movement and perceived desirability of movement which are presented by the March and Simon's model as both of them refer to assessing the job satisfaction of employees and discus the methods and activities the organization's leadership can follow to make employees in a better morale and ensure they are job satisfied as this will decrease their tendencies to leave work and these models can consider internal turnover and its reasons before deciding what to do with external turnover which were discussed by Pietersen and Oni, (2014) who discussed employees' turnover referring to two types of employees turnover which are the internal turnover that means employees leave their current departments and jobs in the organization and leave to other jobs in other departments in the same organization and this refers to a clear job dissatisfaction that resulting from problems within the department or the job themselves and not the organization and the external turnover which means employees leave their jobs and the organization where they are working to look for other jobs in different organizations.      
Conclusion
In conclusion, it is important to state that employees' turnover is a serious organizational problem that can affect the organizational success, productivity and profitability and can cause loss in many areas of production and other operations of the organization. Employees turnover has many reasons and causes and it can be dealt with through identifying those reasons and analyzing the organizational conditions such as the work environment and the different factors affecting the job satisfaction of employees in order to find solutions to employees turnover and be able to retain them. The current paper is critically investigating the literature review of the first part of the research and how it investigates the different reasons for employees turnover in the A'Safwa Dairy Company as the literature is explained referring to the different theories stated in the first part such as the human relation theory in addition to referring to the models that can share in solving the problem of employees turnover such as March and Simon's model and other different models that can assess and evaluate the organizational conditions related to internal and external turnover of employees and can by this solve the problem and apply different techniques and activities based on those theories and models to help the business organization end the problem of employees turnover or at least reduce it. This can be applied by A'Safwa Dairy company in order to solve the problem of employees turnover and retain their professional employees who may be native Omani or foreign employees as Omanization can help in solving the problem to some extent but other employees should also be retained in addition to the professionals who are foreigners.
Recommendations
It is recommended that A'Safwa Dairy company regards some specific theories and models and then to try to apply them on the employees by applying some relevant activities and implementations to help reducing the ratios of employees turnover in the organization as these activities mentioned in that paper and the first part of the research as these models can be effective in raising employees' morale and job satisfaction which helps in making them work better and develop themselves to reach higher positions in the organization.  

Labor Relations

Introduction
Labor relations is the study of how unionized employment situations can be managed and practiced as it is relevant to industrial relations and many researchers discussed it with relation to many areas such as economics, sociology, history, law, and political science in addition to the study of labor unions and labor different movements and it is related also to human resource management as a sub area. Courses in labor relations field is covering labor history, labor law, union organizing, bargaining, contract administration, and important contemporary topics. In the United States, labor relations in the private sector is regulated by the National Labor Relations Act. Public sector labor relations is regulated by the Civil Service Reform Act of 1978 and various pieces of state legislation. In other countries, labor relations might be regulated by law or tradition. Industrial relations is a multidisciplinary field that studies into the employment relationship and it is being called employment relations or employee relations due to the importance of non-industrial employment relationships as this is regarded especially in the human resource management field. Some researchers nowadays provide definitions for human resource management such as synonymous related to employee relations. Other authors regard employee relations as only targeted non-unionized workers but labor relations is seen as dealing with unionized workers. Industrial relations studies examine different employment situations, not only ones with a unionized workforce. Many researchers see that trade unionism, collective bargaining and labor-management relations as well as the national labor policy and different labor laws. (Brito, Galin and Novick, 2001)



Why employees join unions
Employees join unions for many reasons such as Employees usually join unions in order to be safe from the bad practices of employers and ensure their rights in many areas especially when the employers are not giving employees enough interest such as letting them work in bad work environments without regard to safety or security measurements in addition to the shortage of employers in providing employees with greater job security regarding their contracts, limits of them and time periods, insurance systems, hiring rules and promotion as unions can provide many solutions for these problems, resolving employee concerns, showing favoritism, and making employment decisions are suitable for employees' concern. Unions are most successful where employers send the message that they "don't care" about their employees. Allowing employees to work in unsafe conditions, not addressing or resolving employee concerns, showing favoritism, and making employment decisions that are perceived as unfair can leave your company susceptible to an organizing campaign.
Unions are useful to be used when there are big numbers of employees' complaints and when employers don't regard and consider employee complaints especially those claims of discrimination and payroll concerns, or fail to find solutions for them quickly and efficiently. Some employers give employees orders without explanations, or ask them to do jobs that they are not assigned or prepared for doing them and this can affect the productivity of employees and may increase their turnover. Ignoring the complaints of employees is a very serious problem as it can lead to more complications. Then union campaigns are set for providing employees with strength in the work place that can enable them claim for their needs, rights and demands. Unions can provide effective complaint handling systems for discussing employees complaints and trying to find suitable solutions for them. Compulsory memberships are also effective within unions in order to provide employees with their rights and they include union shops that are important to include hired employees within the union and the agency shops that are important for making nonunion employees pay an equal fee. Employees who also suffer lack of respect are in need for unions as many employers try to use inhuman punishment methods and embarrass employees by insults and blaming methods that make employees complain and ask for the help of the unions.
Then unions can deal with these matters of lacking respect by ensuring the effective communication among employers and employees and helping managers be good leaders who are able to manage such matters and address employees properly as unions can guide employers be caretakers of their employees and reduce employee vulnerability to the traditional union sales pitch. Another reason is the lack of safety measurements in the work environment as employees need safety training, special appropriate equipment with a certain quality level, and clear guidelines and procedures for responding to and reporting workplace accidents and protecting employees from them. Higher wages, salaries and benefits are other reasons for making employees ask for unions help as employees who don't get enough money pay for their efforts are the most suffering ones and are in need for unions help. (Mitchell and Simpson, 2009)
Labor Legislations
The Wagner Act
The National Labor Relations Act of 1935 which is known as the Wagner Act after New York Senator Robert F. Wagner who has founded the statute of United States labor law which guarantees the main rights of the employees of the private sector for organizing into trade unions, engaging incollective bargaining for better terms and conditions at work, and to take collective action including strike when needed. The act was the bases of creation the National Labor Relations Board, which conducts elections that can require employers to enter into collective bargaining with labor unions (also known as trade unions). The Act isn't suitable for workers who are under supervision of the Railway Labor Act including agricultural employees, domestic employees, supervisors, federal, state or local government workers, independent contractors and some close relatives of individual employers. (Britania, 2015)
National Labor Relations Board
The National Labor Relations Act of 1935 which is known as the Wagner Act after New York Senator Robert F. Wagner who has founded the statute of United States labor law which guarantees the main rights of the employees of the private sector for organizing into trade unions, engaging incollective bargaining for better terms and conditions at work, and to take collective action including strike when needed. The act was the bases of creation the National Labor Relations Board, which conducts elections that can require employers to enter into collective bargaining with labor unions (also known as trade unions). The Act isn't suitable for workers who are under supervision of the Railway Labor Act including agricultural employees, domestic employees, supervisors, federal, state or local government workers, independent contractors and some close relatives of individual employers.
Taft Hartley Act
The Taft-Hartley Act of 1947, sponsored by U.S. Senator Robert A. Taft and Representative Fred A. Hartley, was designed to amend much of the National Labor Relations Act of 1935 (the Wagner Act) and discontinued parts of the Federal Anti-Injunction Act of 1932.
The Taft-Hartley Act was the first major revision to the Wagner Act, and after much resistance from labor leaders and a veto from President Harry S. Truman, was passed on June 23, 1947.
The Taft-Hartley Act provides for the following:
    • It allows the president to appoint a board of inquiry to investigate union disputes when he believes a strike would endanger national health or safety, and obtain an 80-day injunction to stop the continuation of a strike.
    • It declares all closed shops illegal.
    • It permits union shops only after a majority of the employees vote for them.
    • It forbids jurisdictional strikes and secondary boycotts.
    • It ends the check-off system whereby the employer collects union dues.
    • It forbids unions from contributing to political campaigns.
The act also required union leaders to take an oath stating that they were not communists. Although many people tried to repeal the act, the Taft-Hartley Act stayed in effect until 1959 when the Landrum-Griffin Act amended some of its features. (nirb, 2016)













Unionizing employees
Unionizing employees is a process of organizing employees in a business organization into one union that can work as an intermediary between employees and their employer and when the company establish the union, then employees are called unionized. Unionizing employees have a great effect on employees as it makes them feel safe and secured and that their rights can be gained by authorized.
Organizing a union has main steps as follows:
  1. Building an organizing committee: the committee consist of a group of leaders who are well identified and representing all the organization's departments with information gathered about employees and employers.
  2. Adopting an issue programs: the program is developed by the committee for the demands of employees.
  3. Signing up majority on union cards: workers who join the union should have a card campaign.
  4. Winning the union election:  by the cards, elections start by the federal board for weeks.
  5. Negotiating a contract: this means the contract signed between the union and the organization for ensuring terms that can specify employees' rights and demands. (ueunion, 2015)