Discussion Week 5 Question 1 Stock Options Chapter 8 Assignment

Discussion Week 5 Question 1 Stock Options Chapter 8 - Assignment Example Using Wal-Mart Company as an example, the company usually gives options to its employees. Each option covers a maximum of ten years from the time when it is granted. For those who at the time the option is granted own stock which represent 10% of the voting power in stock at the company, the term will not exceed five years. An employee can exercise an option when he gives notice to Wal-Mart and the company receives full payment for the option. An employee can exercise their option when their term ends as long as the option does not have restrictions. This can be done within sixty days. Options are transferable and are disposable to an immediate family; this is a â€Å"Permitted Transfer†. An option cannot is not transferable to another person other than through the â€Å"Permitted Transfer† or by the laws of distribution. The best way that the company can leverage stock options so as to offset employee compensation is by allowing employees to sell, transfer and dispose stock in the open market. This is because many employees see options as being part of their compensation and usually want to exercise them so as to get money. Restricting this to just family members is likely to make the options unattractive to employees. Employees should also be free to exercise the options at any time without following the process of notifying the company. This is because as they are in the process of notifying the company, they may miss out on making profits the moment that the stock prices go up in the stock

Management Essay Example | Topics and Well Written Essays - 1000 words - 12

Management - Essay Example Apart from this is the personality that we also possess to include human inadequacies, creativeness, eccentricity and everything that makes us unique. It has been observed by many commentators and researchers that the status of managers has fluctuated over the years. Management is in a period of decline, particularly in the middle management (Scarbrough and Burrel, 1996, cited in Brocklehurst et al., 2009, p. 7). The decline can be due to many factors, one of which can be traced to our personality and relationship: our relationship with people is affected by our uniqueness as humans. Clegg et al. (2008) deal in their article the complexities of human nature: we can relate this with the decline of the middle management, on the relationship of managers versus employees. Yet what makes this managing unique is that there is no exact definition of successful organization, or â€Å"failure† organization. Organizations will continue to exist for as long as man continues to socialize. The problem is how people behave or interact with each other; the effect is on the organization. In our socializing activities, we commit errors, but which are not really errors – they are a part of our being human. Examples of these errors are stereotyping, self-fulfilling prophecies, the ‘halo’ effect, attribution error, cognitive dissonance, and so forth. These affect our managing people. ‘Stereotyping occurs most commonly in the absence of enough social cues in order to make an informed assessment’ (Kawakami et al., 1998, cited in Clegg et al., 2005, p. 57). The most common issues concerning stereotyping center on culture and race. People have been asked to suppress their stereotyping behavior. ‘Self-fulfilling prophecies’ effect how we perceive others and how we act when we interact with them. If we look at others the way we think of them, they may act the way we perceive of them. We have also to consider the values we have