Organizational Culture, Reengineering Services Process, and HR Organization Description Essay Example for Free

Organizational Culture, Reengineering Services Process, and HR Organization Description Essay Magneti Marelli Holding S. p. A. , a division of Fiat, is headquartered in Corbetta, Italy, and is an international manufacturer that designs, produces, and supplies high-tech automotive components. The primary product range is engine control systems for gasoline and diesel engines. Magneti Marelli is currently present in five continents and 18 countries (Fiat, 2010). To create a more consistent environment in the global process, World Class Manufacturing (WCM) has been implemented in all Fiat manufacturing companies. World Class Manufacturing is an international methodology for the organization of the manufacturing cycle to manage plants in accordance with the best standards. The application of WCM principles and methods resulted in logistics and quality and significant cost reductions. Fiat’s manufacturing structure has become increasingly efficient and flexible and has enabled the company to gain a competitive edge. Strategy Description For several years, the Fiat Group has been working to develop into a global manufacturing entity with the highest standards. The implementation of World Class Manufacturing addresses all aspects of the organization including environmental, health and safety, quality, maintenance, cost and logistic issues from the standpoint of continuous improvement. The entire process revolves around the methodical identification and decrease or elimination of waste through application of standardized techniques and tools and involves everyone in the company. WCM recognizes that employee involvement and empowerment are critical to attaining continuous improvement in all fundamentals of the manufacturing system. Organizational development occurs predominantly through employee involvement. World Class companies invest relatively more in their worker relationships and offer appreciably more training. For program achievement, Human Resources needs to be a business strategic partner and a key member of the management team overseeing and providing operational leadership (Entrepreneur, 1996). Strategy Application The key to developing and maintaining a workforce capable of supporting World Class Manufacturing is to cultivate an atmosphere of employee engagement and team building. Developing a skilled and flexible workforce creates value for external customers. To sustain a talented labor force, Human Resources initiatives involve recruitment and hiring; performance management; employee development and training; leadership development and training; team building; and safety and health programs (Scondanibbio, 2010). By recruiting and retaining top talent by identifying skill gaps and focus training as characterized by WCM, turnover and absenteeism rates are lowered and productivity and efficiency from workers increases. Training employees provides the chance to take ownership of their daily activities. Working in teams and cross-functional training increases efficiency and eliminates clutter and confusion on the plant floor. One section of World Class Manufacturing is People Development (Scondanibbio, 2010). HR provides team facilitation, leadership, and direction guidance in meeting instructional needs. The second activity in leading and managing change involves creating a vision that depicts the core values and purpose that guide the organization. It provides a worthwhile direction for designing, implementing, and assessing needed organizational changes. HR Professionals must sustain the change momentum through to completion by providing resources for change, developing new competencies and skills, and reinforcing new behaviors. Strategy Implications Organizational change involves moving from the known to the unknown which can impact worker competencies and coping abilities. Human Resources must prepare the workforce by meeting instructional needs. The second activity in leading and managing change involves creating readiness for change and overcoming resistance to change. This requires HR to be both the constant and supporter in the middle of the turmoil of change. The organization looks to HR to provide needed structures, processes and approaches to support change management and to ensure the efforts deliver results (Belilos, 1997). World Class Manufacturing has defined key principles that define the organization and inspires doing things better and improving quality, delivery, cost, and customer satisfaction. It is important to understand exactly what waste is and where it exists. For each identified waste, a strategy is prepared so performance and quality are improved. The identical process is also applied to human errors and gap analysis. Specific training models are designed applicable to the need. As the phrase indicates, World Class Manufacturing enhances an organization to be a global leader in performance and quality. Human Resources should have a clear understanding of the value of metrics and continuous measurement as the key to achieving sustainable efficiency and effectiveness. Using these outcomes, HR will have a thorough focus on talent and performance management to establish an integrated workforce management system that is closely aligned to the business needs and brand.

Identity in Tayeb Salih’s Season of Migration to the North :: Season Migration North

Identity in Tayeb Salih’s Season of Migration to the North Season of Migration to the North by Tayeb Salih tells the story of a man searching for an identity he was unaware he had lost. Through his growing understanding of Mustafa Sa'eed's life, the central character eventually reconciles his own identity conflicts. Throughout Salih's novel the main character's identity is unclear. While the reader learns much about his background: educational, familial, and professional, his name is never mentioned. A surname is used in reference to his family, but is never applied to him. In once instance he is referred to by another character as "effendi" (85). This phrase, however, is an Arabic title roughly equivalent to "sir" rather than a name. The central character's namelessness serves to focus attention on another character with whom he develops an uneasy friendship: Mustafa Sa'eed. Mustafa entrusts the main character with his affairs after his death, including the key to a private chamber. When the central character enters the mysterious room and uncovers Mustafa's past, the identity conflict becomes apparent: †¦out of the darkness there emerged a frowning face with pursed lips that I knew but could not place. I moved towards it with hate in my heart. It was my adversary Mustafa Sa'eed. The face grew†¦ and I found myself standing face to face with myself. †¦a picture of me frowning at my face from a mirror. (135) Several parallels are drawn between the central character and Mustafa Sa'eed. Both speak English and had studied in London. Even though the central character had grown up in the village, his education and time abroad had made him as much an outsider as Sa'eed. Upon seeing his own reflection in the darkness, he believes it to be Mustafa, who he had grown to despise. As he moves closer to the object of his hatred, he discovers that he is "standing face to face with" himself. Mustafa represents to him all that he despises in himself.

Issues Facing Prison Service

I consider the major challenges facing the prison service over the next 5 years, are preventing the introduction of drugs into prisons and managing prisoners with drug problems. Drug finds in prison doubled over the last 5 years, i. e. approximately 6 drugs finds per day in Scottish Prisons. 69% of the prison population report drug use compared to 8% in the community. Research has identified defined routes into prison. The main routes being visits, mail, prisoners on admission, over the wall, prison staff and concealed in clothing sent in.These routes are organised and concealed by individuals using illicit mobile phones, which are free from monitoring and provide real time direction. The prison service has the difficult task of allowing prisoners’ access to their families in decent humane surroundings, whilst at the same time preventing the introduction of drugs into the prison. Some prisoners` apply pressure on their friends and family to introduce drugs at visits; this may be done reluctantly and has serious consequences for the drug mule if he or she is caught.Basic tools such as observation, intelligence, CCTV out with the visit area and x-ray equipment can disrupt this practice, however, is not wholly effective. Items concealed in mail and include clothing sent in through the postal service, are well known to prison staff who routinely x-ray all items. This practice is risky for the small amount of drugs that can be concealed in these items. The searching constraints on prisoners on reception from court who have drugs concealed in body orifices is a difficult practice to tackle and can involve sizeable amounts of drugs being brought in through this route.Packages thrown over prison walls during exercise periods have become a profitable route of introduction. Prison staffs are advised not to intervene during this highly populated and sensitive period, but to monitor and deal with the recipients after the event; this allows the package to be secreted before intervention. Corrupt prison staff, for a variety of reasons i. e. debt, pressure or blackmail, introduce drugs, money mobile phones etc into the prisons. This relatively safe route is extremely problematic as the quantities involved are dependent on the reasons, nerve and desire of the corrupt staff member.For those participating in drug use in prison, there is a financial and health cost. Limited supply and high demand result in inflated prices. The debt incurred is paid for through a variety of means i. e. through canteen purchases, payments from families outside, selling or trading their own belongings or trading services i. e. inflicting violence on a nominated individual or acting as a drug runner, collecting debts or distributing drugs. The health costs are those associated with drug use i. e. lood-borne viruses from sharing equipment, anxiety, depression, paranoia, weight loss and malnutrition. Reducing drug introduction and managing drug users, are different sides o f the same coin and cannot work in isolation. These drug markets are associated with violence and intimidation, continued drug use in prison will increase the chances of dependent drug use when released. It is generally regarded that the take-up of treatment services in prison is correlated to the availability of drugs within the area.Increased security measures without adequate drug treatment programmes could be problematic. A robust clinical person centred detoxification scheme coupled with investment in a Counselling, Assessment, Referral, Advice and Throughcare service (CARAT) have shown to have a positive impact in drug use reduction. Drug free blocks, coupled with voluntary drug testing, have also shown to significantly reduce drug use amongst the population. Enhanced regimes which include employment and greater privileges have also proven successful.My recommendations to reduce the introduction of drugs into prisons and to manage prisoners with drug problems are as follows; * Nominate a Drug Strategy co-ordinator whose key role is to give equal weight to drug treatment and supply reduction measures within the establishment. * Have dedicated Drug Supply Reduction Teams. Motivated teams produce better results than less interested teams. * Improved liaison with local police, important for tackling all routes of external supply and should be included in the local prison drug strategy. Established prisons should move the prisoners to exercise areas away from prison walls. New builds should be designed to protect the exercise yard away from prison walls. * Security in and around the visit areas should be enhanced by the use of passive drug dogs, on site CCTV and trained motivated dedicated Drug Supply Reduction Teams. * Literature for visitors and prisoners on the impact, consequences and penalties of drug use and supply should be displayed and available for perusal. Passive drug dogs should be used in the searching of prisoner’s property, mail and acc ommodation area as a matter of course. * Cultivate a greater awareness amongst staff of the use and importance of intelligence reporting and feeding this into the National Intelligence Model. * Where possible block mobile phone signals, however the use of the Body Orifice Scanner System (BOSS) Chair should be used in all searches to detect plastic and metal. Identification and tracking of vulnerable staff should be addressed by the Drug Strategy Co-ordinator in collaboration with local police. * All prisons should have a person centred clinical detoxification scheme with recognition of the potential for misdirection and misuse of prescribed intervention. * Follow up and aftercare is as important as pharmaceutical detoxification, CARAT services with investment in staff is crucial to the effectiveness of work undertaken. Links and referral to Throughcare Addiction Services (TAS) will ensure continuity of treatment and care on release. Voluntary Testing Programmes provide support and i ncentives for drug users to remain drug free, resources should be allocated to continue the service. With skilful co-ordinated intervention, the reduction in drugs being introduced into prison will result in an increase in drug users seeking intervention. The challenge is to constantly review and adapt strategies to block new routes of introduction and to offer alternatives and support to those who wish to remain drug free.

Evolution Of A New Species Of Homo Essay - 1347 Words

In 2003 archaeologists discovered the remains of a possible early human ancestor in Indonesia. These remains were found in the Liang Bua cave on Flores Island, Indonesia, and so far this is the only location where similar specimens have been found. It is estimated that H. floresiensis lived between 74,000 and 17,000 years ago (Olszewski, 2016). If this is accurate, it would have lived contemporarily with Homo erectus, Homo neanderthalensis, and most recently Homo sapiens. Homo floresiensis had an unusually short body and small brain size for a Homo in the Late Pleistocene. It displayed a Homo erectus cranial shape but not size, earlier Hominid-like limb proportions, and other primitive, advanced, and unique skeletal features. It was well suited for life on a densely forested isolated island that would have had a limited food source thus contributing to its small size (Lyras et al., 2008). There is much debate on whether these fossils represent a new species of Homo, whether i t is a late survivor of the Homo erectus migration out of Africa, or even be classified within a group of hominids that migrated out of Africa pre-Homo erectus. There are several unique identifying features of H. floresiensis that are crucial in how to classify this collection of specimens. These remains represented an individual with small stature, standing at about only 1 meter (3.5 ft.) tall (Olszewski, 2016). These estimates are based on the measurements of the tibia and comparing thatShow MoreRelatedThe Evolution of Homonin Tribe from the Time Period of Homo Habilis to Mordern1241 Words   |  5 PagesTo the ongoing question as to how humans evolved has still been a debate over several decades. Homo sapiens is a scientific name given to humans. 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He also believedRead MoreHuman Origins : The Cusp Of Evolution Essay731 Words   |  3 PagesF15 The Cusp of Evolution The past works in mysterious way allowing small pieces to leak through to the surface that will one day reveal the answers to the most prominent questions. Ian Tattersall made the claim that in 2012 â€Å"†¦there is nothing in the fossil record that we can regard as a convincing intermediate between any australopith or â€Å"early Homo† and the Turkana Boy (Tattersall, 2012, p.94).† In his argument it was difficult to find the missing link that pulled the last species in the AustralopithRead MoreHuman Evolution Myth or Fact1313 Words   |  6 PagesThe debate of human evolution being fact or fiction has been around for hundreds of years. Evidence of human ancestry has been found in many parts of the world and these fossils found have been proven to be human. The parts of the world include Eurasia and Africa. Although fossils are found in Eurasia, the human ancestor the Hominoidea has been traced back to the Miocene epochs, which were 23 to 5 million years ago. The Hominoidea is a super-family, which contains many species that are existent todayRead MoreHuman Evolution: Myth or Fact1301 Words   |  6 PagesThe debate of human evolution being fact or fiction has been around for hundreds of years. Evidence of human ancestry has been found in many parts of the world and these fossils found have been proven to be human. The parts of the world include Eurasia and Africa. Although fossils are found in Eurasia, the human ancestor the Hominoidea has been traced back to the Miocene epochs, which were 23 to 5 million years ago. The Hominoidea is a super-family, which contains many species that are existent todayRead MoreThe Early African Homo Erectus Fossils1317 Words   |  6 PagesVanessa Agudo Anth 101 April 14, 2016 Research draft #1 The early African Homo Erectus fossils, which are sometimes called Homo egaster, are the oldest known early humans. They are similar to modern humans but taller, stronger, and had a pronounced ridge over their brow Many of their fossil remains have been found in places such as Africa and Asia, which can be dated to be about 1.6 million years old. From fossil findings researchers have revealed that these early humans have possessed modern-human-likeRead MoreThe Discovery Of The Cave1535 Words   |  7 Pageschildren and adults from all different parts of the body. Some body parts seemed almost identical to modern humans’, while others seemed much less advanced than other species in the genus Homo. It had the brain size of an ape, yet had feet almost identical to ours today. Berger decided to name what he believed to be a new species Homo naledi, which means â€Å"star†, referencing the cave where the bones were found. Scientists began to wonder how the bones originally got into the cave, and concluded that

Hepatitis C Is Not A Public Health Crisis - 1473 Words

Hepatitis C is definitely not a public health crisis that needs emergency intervention in terms of the policy makers being pressured to make a decision urgently. However, thousands of citizens of the United States die on a yearly basis from this contagious disease (CDC, 2014). This makes it a serious public health issue. Hepatitis C is basically a liver disease that is contagious in nature and could be fatal if left untreated. According to the CDC website over 3 million Americans are infected with the disease (HCV), and â€Å"approximately 75%–85% of people who become infected with Hepatitis C virus develop chronic infection†. Hepatitis C is most commonly transmitted in the United States through IV drug use (CDC, 2014). Other modes of transmission includes blood transfusion or coming in contact with someone’s blood, accidental needlestick injuries among health care workers (e.g., nurses and phlebotomists), sexual contact (rare) and infants born to mothers who hav e the disease. These above medical and demographic facts make HCV a serious threat on public health. Overview of drug Sovaldi also known as Sofosbuvir is one of the latest anti- HCV drug in the market (Ollove, 2014). The drug has already been approved by the United States Food and Drug Administration (FDA) having gone through years of clinical trials. The drug’s claim to fame other than its high cost ($84,000 for 12 weeks of treatment or $1000 for one pill) is that it boasts of shorter treatment duration of about 3 monthsShow MoreRelatedTaco Bell Case Study1448 Words   |  6 PagesCOMMUNICATION STRATEGY (C/S) WORKSHEET PURPOSE: General: Identify and address key issues behind recent outbreak and food safety image while maintaining customer loyalty and consumer behavior. Action: Investigate, test, and report all possible sources of E. 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(1) It is estimated that about 0.2 to 26% of the general population in different countries are chronically infected by HCV. (2)(3) The hepatitis C virus is an enveloped RNA virus. Given itsRead MoreHeroin : A Dirty Back Alley Drug1967 Words   |  8 PagesBrittney Gronvold English 102 Schwartz 8 December 2015 Heroin in the Suburbs Heroin was once considered a dirty back alley drug, far from leafy suburban streets. Now a epidemic is arising, making heroin usage a health crisis amongst our youth. Heroin has spread from the slums to the suburbs because of the significantly increased use of prescription painkillers. Heroin is cheaper in comparison to medically prescribed opiates like OxyContin and Vicodin. Heroin is an epidemic spreading into suburbanRead MoreHeroin And Its Effects On The United States895 Words   |  4 Pagesestimated 22 million Americans are dependent on or abusing drugs or alcohol, at huge costs to society. 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Essay about Harriet Tubman The Ultimate Figure of Conscience

Throughout history, countless individuals have stood up against unfortunate events and the people who caused tribulations for others. Countless conscience individuals risked everything they knew and loved to stand up for the rights of other people. In the sixteenth century. St. Thomas More cared nothing about his good name and took a silent stand against the government by refusing to accept the king’s marriage. He also declined an oath to head as the head of the Church in England. He knew it was better to suffer for making the right decision, than to lie to his society, clergy, and his government, and suffer in that sense. Dietrich Bonhoeffer stood up to Adolf Hitler during World War II, and tried to expose the cruel crimes led by†¦show more content†¦To the common man, conscience meant listening to their moral code to make day-by-day decisions that would not harm another person. To Harriet, conscience meant standing up against awful people to Harriet lived fro m roughly 1820-1913; the exact year of her birth is completely unknown. She was born to Harriet Green and Benjamin Ross, under the name of Araminta â€Å"Minty† Ross, on the Thompson plantation in Dorchester County, Maryland. The plantation was owned by Edward Brodess, son of Mary Pattison Brodess, a young widow. Mary was an awful mistress, in the sense that she enjoyed her slave’s misery. She often drove the families apart, causing extreme anguish. Although it was common for masters and mistresses to hire out the man to another plantation, Mary separated the family even more by selling two of Harriet’s sisters to a plantation in Georgia. Whites often believed the myth that slaves did not care about their own children. Her parents were quoted about the selling of two children â€Å"a source of great anguish and continuing resentment by both parents.† Ever since her sisters were sold, Harriet lived with the fear that she would be sold and reloca ted, as well. When Sarah Bradford wrote Harriet Tubman’s autobiography, she recalled when Harriet described: The agonized expressions on the faces of her two sisters; the terror of their children, who wereShow MoreRelatedManagement Course: Mba−10 General Management215330 Words   |  862 Pagesfor manufacturing purposes before final production Corporate emphasis on an organization’s intellectual strength All these factors are just some of the management innovations that have been basic drivers of productivity and profitability growth. Figure 1 shows data from our company’s experience with the strong results of such business management innovation throughout a wide range of areas—from product development, supply chain, customer relations, and total quality to human resources, alliances

Dynamic Capital Structure in China Determinants and Adjustment Speed

Question: How Dynamic capital structure in china determinants and adjustment speed? Answer: Introduction Capital Structure refers to the optimal use of various monetary sources of a company to finance its operations. It has two components namely, debt and equity. Debt (Both short term and long term) is associated with long term notes payable, issuance of bonds etc. while equity is associated with stocks (common or preferred), retained earnings etc. Optimal allocation of financial sources subject to these two constraints is the major motto of Capital Structure. The main objective of this paper is to address different determinants of capital structure by clubbing them under a set of company-specific variables like non-debt tax shield, profitability, growth, liquidity, dividend, and firm size. The relationship of these firm-specific variables and their effect on capital structure decisions will be examined under a basic simple model. According to the research papers of Qian et al., 2009; DeAngelo et al., 2011 and Ebrahim et al., 2014, most of the companies adjust their debt leverage towards a targeted leverage score. This implies that companies frame their strategies towards capital structure and perform deviations from the debt leverage target only after adjusting the debt-equity ratio instantaneously. As these decisions have crucial impact on firms cost of capital, investment decisions, valuation and expected returns, this paper explains the rationale behind these decisions by investigating various determinants of capital structure. Literture Review The dependent variable of our study is capital structure. Various studies use various proxies for capital structure. Some argues that debt leverage is a good measure (Debt leverage is calculated as book total debt to book total assets) whereas some suggests book value is an efficient function for investigating firms financial behavior because of its marvelous explanation of assets with price stability. Moreover, managers prefer book value to make financial decisions because it is very expensive for companies to adjust the assets value responding to market condition (Myers, 1997 and Graham Harvey, 2001). According to Guney et al. (2011) and Ebrahim et al. (2014), the adjustment speed was found to be 36% and 28% for Chinese and Malaysian firms respectively by using lagged debt leverage. Now we move forward to explain the rationale for using different variables in our analysis as per the existing literature. Determinants of capital structure: - The explanatory variables under this study are the companys financial indicators. We have incorporated the most common factors under some broad classifications like non-debt tax shield, profitability, growth, liquidity, dividend, and firm size. These variables are very common in both developed and developing countries. Profitability: - According to the pecking order theory, companies prefer internal funds than external financial source (Myers, 1984). According to the Agency theory, highly profitable companies strive to raise more debt for reduction of agency cost due to the misuse of free cash flow by the managers of the firm (Jensen, 1986). Baskin (1989) suggests that past profits have important effect on current debt leverage. In our paper, we use the companys earnings before interest and tax as a measure of current profitability to investigate the companys capital structure decision. Firm size: - The existing literature reveals that the large firms having more stable profitability and flow of cash are associated with lower risk of bankruptcy and hence are authorized to raise higher debt from external financial sources (Fama and French, 2005; Frank and Goyal, 2009). On the other hand, Titman and Wessels (1988) suggests the inverse relation of the firm size to debt leverage since large firms are in a better position to issue equity than the small firms. Firm size is one of the traditional variables in the literature on capital structure and is measured by logarithm of total book assets. Non-debt tax shield: - According to the Trade-off theory, companies tend to obtain more debt when they benefit from higher tax shield. This gives an inverse relationship between debt leverage and non-debt tax shield (DeAngelo and Masulis, 1980). Non-debt tax shield is also a traditional variable analyzed in capital structure studies and it is measured by the sum of depreciation and amortization to total assets. Growth: - As per the papers by Myers and Majluf, 1984 and Frank and Goyal, 2009, debt leverage and growth are inversely related as companies possess easy access to equity funding when they have higher market growth opportunities. On the other hand, Guney et al. (2011) suggests that there is a positive impact of growth on debt decision. Shyam-Sunder and Myers (1999) argues that the change of book assets have significant impact on capital structure decision because of its direct impact on financial deficit. In this paper, we examine firm size by both market growth opportunity and book asset growth. Dividend: - According to Chen et al. (2009), there exist a positive relationship between debt leverage and dividend for the Chinese companies as they deliberately channel their profits to the shareholders through dividends. On the other hand According to Jensen et al. (1992), the effect of dividend is ambiguous i.e. it can be either positive or negative because companies take their dividend decisions by trading off constant financial charges. In our paper, we use dividend per share study to compute its effect on debt leverage. Liquidity: - According to Leary and Roberts (2010), certain companies tend to reserve their debt capacity either for future investment, or to counter the negative impact of underinvestment problems that arises due to high debt leverage. On the other hand, Guney et al. (2011) suggests that higher collateral predicts higher debt for Chinese firms because higher liquidity computed by current ratio shows lower debt whereas Agency cost theory argues that companies raise debt so as to reduce free cash flow by paying interest (Jensen, 1986).With a view to these distinct findings, the variables like current ratio, cash and marketable securities and cash from operation are used to calculate the impact of liquidity. Moreover, we also use quick ratio to observe collateral function in liquidity since quick ratio is nothing but current ratio obtained by excluding inventories. Various papers also focus on the macroeconomic policies and condition for financial behavior of the companies because of the fact that greater interest tax shields for firms (Frank Goyal, 2009 and Fan et al., 2012). According to Mokhova and Zinecker (2014), government debt to GDP has significant effect on capital structure. Several research journals also emphasize on the human resource factors while studying for capital structure. According to Grossman and Hart (1982), discussing the possibility of bankruptcy motivates the managers to increase their potential output. On the other hand, Kale et al. (2007) suggest that debt serves as a tool for bonding mechanism and is positively correlated with employee productivity as employees try to hedge the risk of job loss when the firm possesses high debt by maintaining higher productivity. This paper also argues that the magnitude of relationship between debt leverage and employee productivity is negatively influenced by external employment o pportunities. Thus, the role of debt is weakened when external employment opportunities are increased. Hypotheses development While examining the dependency of capital structure decision of various firms on various financial factors, we have to test the following hypotheses: H (1): Profitability has significant effects on capital structure decision. H (2): Firm size has significant effect on capital structure decision. H (3): Dividend has significant effect on capital structure decision. H (4): Liquidity has significant effect on capital structure decision. H (5): Growth has significant effect on capital structure decision. Testing these hypotheses will give us the understanding of the impact of these financial variables on our capital structure decisions. Research Methodology As reported by the literature review section, the capital structure decision is expected to be driven by the mentioned firm-specific financial factors. In our analysis we consider a simple OLS regression model for testing the hypotheses. For examining the firm-specific factors the equation is written as: Yit* = i + iXij + ui. (1) Here Yi represents the capital structure of the ith firm in tth year. X gives the vector of explanatory variables. The error term is represented by ui. The vector of explanatory variables, X, includes the following: - (1) EBIT, (2) firm size, (3) cash and marketable securities, (4) assets growth, (5) cash from operation, (6) dividend per share, (7) non-debt tax shield, (8) current ratio, (9) quick ratio, (10) growth opportunities. Descriptive statistics: - Table 1 gives the descriptive statistic of all the variables used in our analysis. The mean debt ratio is found to be 22.97% which states that these firms are less levered compared to companies of other developing countries and some developed countries. Variables Mean Standard Error Median Standard Deviation Sample Variance Kurtosis Skewness Range Minimum Maximum Sum Confidence Level(95.0%) Capital Structure 22.97377 1.262704 16.22877 0 20.82505 433.6825 3.429573 1.51394 141.6274 0 6248.864 2.485956143 EBIT 123410.2 27571.69 26396.5 0 454724 2.07E+11 10.76952 0.213199 4508967 -2294529 33567563 54281.94674 Book asset growth 33.03554 27.59178 1.45304 -100 455.0553 207075.3 262.3011 16.06343 7543.481 -100 8985.666 54.32148877 Market growth opportunity 7436.197 1270.255 954.7148 0 20949.58 4.39E+08 23.05907 4.506833 187070 -51423 2022646 2500.821946 Dividend per share 1.827893 0.620561 0 0 10.23455 104.746 79.29406 8.439262 110 0 497.187 1.221732538 Current ratio 524.2044 319.2929 0.125 0 5265.913 27729844 123.9754 10.87616 67823 0 142583.6 628.6098921 Quick ratio 0.630882 0.050026 0.195 0 0.825043 0.680696 3.013667 1.600359 4.28 0 171.6 0.098488169 Cash and Marketable securities 168831.9 18610.03 44941.5 0 306924.4 9.42E+10 20.76774 3.819782 2688644 0 45922264 36638.60935 Book total Debt 22.97377 1.262704 16.22877 0 20.82505 433.6825 3.429573 1.51394 141.6274 0 6248.864 2.485956143 Fim size 13.92436 0.133729 14.21559 0 2.205521 4.864324 15.54624 -2.82974 16.77148 0 3787.425 0.263280518 Non-debt tax shield 1.419533 0.111741 0.560943 0 1.842882 3.396214 3.344908 1.85759 8.794716 0 386.1129 0.219991048 Correlation matrix Correlation coefficient of all variables are examined in the study and presented in matrix form in the table 2 given below. It is observed that the correlation coefficients between the explanatory variables and capital structure are generally consistent. Capital Structure EBIT Book asset growth Market growth opportunity Dividend per share Current ratio Quick ratio Cash and Marketable securities Book total Debt Fim size Non-debt tax shield Capital Structure 1 -0.04439 -0.05752 0.280519 -0.17302 -0.03475 -0.18953 0.013309 1 0.257524 -0.14687 EBIT -0.04439 1 -0.0041 0.003335 -0.02881 0.003744 0.166344 0.26799 -0.04439 0.228438 -0.03596 Book asset growth -0.05752 -0.0041 1 -0.02115 -0.01579 -0.01082 -0.05236 -0.03733 -0.05752 -0.07473 -0.03106 Market growth opportunity 0.280519 0.003335 -0.02115 1 -0.06143 -0.03453 -0.03539 -0.07641 0.280519 -0.05595 -0.08401 Dividend per share -0.17302 -0.02881 -0.01579 -0.06143 1 -0.01194 0.33683 -0.09368 -0.17302 -0.24722 0.045613 Current ratio -0.03475 0.003744 -0.01082 -0.03453 -0.01194 1 0.090305 -0.03754 -0.03475 0.002733 0.051975 Quick ratio -0.18953 0.166344 -0.05236 -0.03539 0.33683 0.090305 1 0.110134 -0.18953 0.128627 0.409857 Cash and Marketable securities 0.013309 0.26799 -0.03733 -0.07641 -0.09368 -0.03754 0.110134 1 0.013309 0.404355 -0.06397 Book total Debt 1 -0.04439 -0.05752 0.280519 -0.17302 -0.03475 -0.18953 0.013309 1 0.257524 -0.14687 Fim size 0.257524 0.228438 -0.07473 -0.05595 -0.24722 0.002733 0.128627 0.404355 0.257524 1 -0.16438 Non-debt tax shield -0.14687 -0.03596 -0.03106 -0.08401 0.045613 0.051975 0.409857 -0.06397 -0.14687 -0.16438 1 Regression Result According to our analysis, we can say that the variables that are statistically significant are EBIT, Firm size, current ratio and book total debt. Statistical significance of the variable EBIT implies that a companys profitability is the most important determinant of its capital structure while statistical significance of the variable Firm size refers to the fact that bigger firms tends to have greater debt. Current ratio is observed to have negative statistically significant coefficients while cash and marketable securities possess statistically insignificant and negative coefficients. This result is in line with that of Guney et al. (2011) who claimed that liquidity represented by current ratio has negative impact on capital structure. Conclusion In this paper, we try to examine certain firm-specific financial variables which can significantly explain the capital structure of the companies under study. The analysis is based on a simple OLS regression model for testing the hypotheses explained earlier. Firstly, we aim to identify the prime determinants of capital structure. 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