Anyorganisation is based on an articulate structure that is set tofunction best to accomplish set objective and goals. This is not justa shell but requires the framework that holds the structure intactwhich in turn calls for the need for paradigms wired to properfunctionality to achieving the purpose. Paradigms offer thesimplicity to the complex structure to form the network on which aplatform is constructed for achievement. The agglomeration of theconcepts, ideas, notions, assumptions, ethics and virtues form thebasis through which governance is functional in an organization andthus compel the success of the firm.
Alook at the success of organizations is based on a number of thoughtsput together that entwine in one way or another to come up withworking idea to drive an organisation and thus the formation of thevarious approaches to economics (Sandven, 2002). Economics can bemainstream or heterodox depending on their contrasting approachesthat makes them different in their own kind of way. The most commonbeing the mainstream is mostly associated with neoclassical economicsa merger between Keynesian and neoclassical attributes with arationale point of view (Sandven, 2002). Heterodox economics drawsparallel approaches to the mainstream involving the socialist andMarxian concepts and is institutional based.
Neoclassicaleconomics being part of the larger mainstream economics is based onthe concept of maximization of utilities in order to maximise on thereturns (Aspromourgos, 1986). It focuses on the determinants such asdemand and supply which determine the prices and the output ofproduction (Clark, 1998). Furthermore, the concept is linked torational which is a presumptive of the choices made. Choice theory isbased on information provided and is biased on the accumulateinformation of that single option (Aspromourgos, 1986). Hence, it isnotable that this concept is presumptive on information choice basedpreference and maximum utility to maximum profits. The concept isbent of the idea of equilibrium of maximization (Clark, 1998).
Mixedeconomy is a system that combines both the aspects of socialism andcapitalism and is regarded as the orthodox and unorthodox system dueto the two concepts (Nee, 1992). It encompasses free markets privateand public ownership where allows freedom of capital use by theprivate sector and the government input in social economic activity.The concept is based on the profit growth margin with private basedproduction and monopolized production and the government input tocurtail economic crushes and management of financial market prices.This leads to improved and safer market returns which in turn thegovernment makes use to improve social welfare. Thus mixed economy isfocused on both the economic front as well as the social welfareplatform (Nee, 1992).
Radicaleconomics is based on the concept that material gain is out of theeffort of hardwork and technology and other aspects are onlysupportive elements to the preferences of production. Infrastructurein this type of concept is only a means to an end and is as a resultof a need rather than innovative ability and has no economic value.It also has disregard for the government in the development anddismisses any role associate with the state in fulfilment of socialeconomic welfare. It is suffice to say, competition and other formsof market friendly economic concepts are contrary to the attributesof the radical economy and is based on the society complex notionsuch as the Marxism concept.
is one of the telecommunication giants in the world, a multinationalcorporation in the United Kingdom and has subsidiaries throughout theglobe including Africa and India. It is a public limited company witha product line ranging from internet services to digital televisionand fixed line ( Group Plc, 2014). The net worth in revenueis over 30 billion years as of the financials of 2014. It isapproximated to have more than 9,000 employees in their varioussubsidiaries throughout the world and is listed in the forex market.Being a corporate giant it has acquired a number of the companies inan effort to take charge of the communication industry in London andthe world including Orange and Peoples phones ( Group Plc,2014).
Thecompany is structured in a view of the social obligation in promotingimprovement of social welfare. Social obligation is a key factor inthe determination of the proper use of ethics and business values.Accountability is a social responsibility of any organization to thepublic and considering that is a public listed company withgreat economic foothold in terms of revenue and human resource annualreports on audits conducted are publicly shared and scrutinized. Thisensures there is a free platform of fairness in accounting for therevenue spent in development ( Group Plc, 2014).
Withreference to the mixed economy theory, as applied by the ,there is public and private ownership that is subject to scrutiny.The company is in charge of the telecommunication and requiregovernment input through provision of licences of the networks andalso through trading on the forex market. Consequently, thegovernment is in charge of the control of the market prices, controland access of the litigation process and laws that promotetelecommunication as well as keep the company in check. On the otherhand, offers employment to the 9,000 employees it has onpayroll across the world. This is their way of social way of givingto the society ( Group Plc, 2014).
Otheravenues of the social responsibility include the carbon emissionfootprint monitoring as well as corporate responsibility throughinvesting in development activities.Community policing networkingand surveillance provide by the telecommunication service is also ameans of making a safer haven for the society. Payment of taxrecovered from the profits and returns from the business. Moreover,there is the foundation that does charitable works and isinvolved in provision of basic necessities in numerous countriesaround the world, with sponsorship in various causes such as cancerand other national disasters ( Group Plc, 2014).
Theaim of many organizations including is profit making. It isone of the private obligations it has in terms of governance. Themembers of the board directors are all put in place to oversee thesuccess of the company at all cost. Integrity and accountability isan aspect of governance that I taken to account in upholding thehighest standards of business ethics and virtues. Confidentiality isanother private obligation in governance of the employers andemployees of depending on what is termed as confidential andwhat is regarded as for public view ( Group Plc, 2014).
Withregard to the neoclassical theory, has structured thegovernance tool to maximise on the profit making bit of the companyat any cost required. This is not just all but at a cost effectivemargin that ensures that returns are at a high. The company hiresthe best of the best in the telecommunication industry in order tohave the best outcome and to countermeasure any problems that mayarise. The investment in up-to-date technology and acquisition ofsmall companies with amazing products is their way of maximising theresources in their niche to ensure that profits are flowingconstantly and rising ( Group Plc, 2014).
Agood governance system is based on the accountability andtransparency of the individuals of power and proper business ethics.Social and private obligation are key aspects in ensuring that theframe work of the organization is to the letter and has the bestinterest at heart in business terms and the value of the consumer istaken to account. has in the number of ways demonstrated soand has lived up to its motto.
Aspromourgos,T. (1986). On the origins of the term `neoclassical`. CambridgeJournal of Economics,265-270.
Nee,V. (1992). “Organizational dynamics of market transition: hybridforms, property rights and mixed economy in China“. AdministrativeScience Quarterly,,1-27.
Clark,B. (1998). Principles of Political economy: A comparartive approach.Praeger.
Sandven,T. (2002). CorporateGovernance: Theoretical Background and Implications for the Analysisof Corporate Governance in Norway.Oslo: STEP publiser.
Group Plc. (2014). AnnualReport 2014.Bershire: Group.