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Joined: 16 Sep 2010
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Location: India
Schools: Terry, Georgia Tech
WE 1: Working for Wipro Technologies since April 2010
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New post 14 Oct 2010, 06:01
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“ It is unrealistic to expect individual nations to make, independently, the sacrifices necessary to conserve energy. International leadership and worldwide cooperation are essential if we expect to protect the world’s energy resources for future generations.”

The above topic suggests a general way of tackling a major problem that the world faces today, that of conserving energy resources. And I strongly support the view mentioned above. I will try and elucidate some of the points I think makes this opinion so valuable and practical.

It is true that the problem of depletion of energy resources is not as big a problem for some countries as it is to the others. However, we must remember that this a problem that the world is facing as a whole, and thus it will not be sufficient if just a handful of countries address this issue while others stay inactive. Countries with ample resources at the moment must remember that since the unrenewable energy resources is limited, they will face the same problem that others are facing at the moment, and thus joining hands with others in finding a sustainable solution to the fast depletion of such sources will only help them in the long run, not to mention that it is one of the ways that countries from all over the world can use to come closer and build up other strategic ties. It can be compared to the threat of terrorism prevalent some years back, and like that it can only be tackled if all countries put in a synchronised, well planned and effective effort to address it.

The major income for some countries, especially in the middle east, come from oil. But the oil reserves is decreasing very rapidly. Thus, these countries have to find alternative measures to sustain their economy. Otherwise, this problem of depletion of energy resources is practically a multi faced problem for them, threatening their economy as well as their influence in the current world polity. Other countries must also see this opportunity to address the prevalent bilateral problems that exist between countries like Iran and Iraq. Thus, saving energy resources can infact be a way to save millions of innocent lives that are lost by intermittent wars between neighbouring countries.

Also, saving energy resources and using renewable energy resources will address the other major problem of Global Warming. Since, it is a known fact that conventional energy resources pollute the environment at a much greater rate that does the unconventional resources, using the latter in place of the former has the potential to be the solution to a number of global problems. However, Sharing knowledge and technologies which will help in the development and increased use of such methods is a must to achieve this result, which can only be done if all the countries co operate and lend a helping hand to each other.

Lastly, the sacrifices made by countries can infact come back as a blessing to them. Increase in use of unconventional energy resources will mean opening up of new industries, creation of new jobs and improvement of the countries’ as well as the world economy. As the recent meltdown showed that the world economy is more tightly connected than ever before, measures must be taken to improve its general health, on a global scale.

Thus, bonding and cooperation between countries all over the world is needed if we truly want to get a lasting solution to this pertinent problem. Isolated efforts can provide temporary relief, but for it to reach truly magnificent levels at solving the problem of energy resource depletion, all such efforts need to be brought together, combined and implemented in the most environment friendly and economical way.

The following appeared in a memorandum from the business department of the Apogee Company.
“ When the Apogee Company had all its operations in one location, it was more profitable than it is today. Therefore, the Apogee company should close down its field offices and conduct all its operations from a single location. Such centralization would improve profitability by cutting costs and helping the company maintain better supervision of employees.”

There are a number of underlying assumptions that has made the conclusion above very weak. A proper evaluation of the argument needs addressing these assumptions, which I will elucidate in the following paragraphs.

First, nothing has been said about the product of the Apogee Company. It might well be a service provider, such as a car rental company, for which it is absolutely vital for the company to have many field offices so as to reach to the customer economically and also in the least possible time. Even if it is a manufacturing company, field offices are necessary to manage and supervise timely procurement of raw materials and delivery of finished goods. Thus, closing down field offices will only result in further decrease in profits.

Second, the decrease in profit might have resulted from completely different reasons. It is possible that while cost of goods has increased steadily over few years, the company has not been able to expand its business proportionately. Thus, strategizing intelligently and even opening a few new offices at different locations rather than closing them down, can result in increased business and thus increased profits.

Third, Closing down offices may result in a huge number of people, unwilling to work in some other location. It might well be possible that these people are some of the best performing employees that the Apogee company currently has, and their resignations will thus result in a significant drop in the product or service provided by the company, thus reducing their profits even more.

Fourth, It is also possible that the fixed assets at the different offices are more than required, and the cost of their maintenance eat up into the profit. Eliminating them, rather than closing down the whole office, can also be done to increase profits.
Last, one of the reasons for closing down of field offices can well be addressed in a much better way than the way prescribed. Recruiting good quality managers and computerising daily log books can help in the supervision of employees across all offices in a much better manner than manual supervision, even if it is in a single office alone.

Thus, as we can see, there are a number of ways in which the problems talked about in the passage can be tackled. Also, the measures advocated can infact have an adverse effect in the company’s financial conditions. Since careful analysis should be done to address before coming to any conclusion, I feel the conclusion drawn in the passage is highly unjustified till all the assumptions talked about above are satisfactorially answered.

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Please rate my AWAs   [#permalink] 14 Oct 2010, 06:01
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