W3 Disc Incentive Programs Essay Example | Topics and Well Written Essays - 250 words

W3 Disc Incentive Programs - Essay Example ling to leave for boot camp as soon as possible, for advanced civilian skills, electing to defer their enlistment and more† (Army Bonus and Incentive Overview, 2010, p. 1). According to Cokins (2009), the three components of an effective incentive system are as follows: (1) involvement of employees; (2) setting SMART objectives; and (3) recognition of performance of employees according to well-designed standards. As such, after evaluating the incentive program of the U.S. Army, it could be deduced that the three components are duly integrated. For instance, the Partnership for Youth SuccesS (PAYS) ensures future employment to those who joined the Army through the partner organizations (Partnership for Youth Success (PAYS), n.d.). This program ensures involvement of the members; setting objectives of gaining employment after the service; and giving due recognition to those who served the Army through the provision of ready employment to partner organizations. Overall, the U.S. Army has designed effective incentive programs to those who serve their country, through the presence of the three components, as above noted. As such, a continued supply of qualified and competent recruits and soldiers are being developed and maintained with the provision of monetary and non-monetary awards to them and to their family

Benefits of Cross Border Mergers and Acquisitions

Benefits of Cross Border Mergers and Acquisitions In the process of businesses creating or building shareholder value, they the management are motivated to undertake cross border mergers and acquisitions in other to expand their operations which will then generate greater profits or potential for owners (shareholder) value creation than that of internal growth. Cross-border mergers and acquisitions (MA) internationally have played a key part in this issue of globalisation or global activity of growth and expansion. When firms and companies otherwise known as enterprises continually increase in size, they tend to look for more funding or capital from outside their territory (locality) or country of operation which may not be readily available in their home country of operation to further advance their growth and expansion drive. And this particularly involves transnational firms such as HSBC, British Petroleum (BP), Vodafone and Shell for example taking over companies or businesses in other countries by parting away with huge sums of money. According to Krekel et al.(1969) mergers usually involve businesses or corporations of same or equal size, whilst the acquiring firm in the case of acquisitions tends to be bigger or larger. According to recent trends in cross border mergers and acquisitions (MA), most of these Multinational Enterprises (MNEs) move to emerging markets in order to take charge or buy controlling interest in those markets. The creation of the European Union (EU) internal market on 31 December 1992 (which seeks to remove trade barriers among member nations) brought about influx of US, Japanese and EU companies holding market positions in EU. And thus the late nineties witnessed more MA involving both local and International partners, with mega mergers between multinationals like DaimlerChrysler and Exxon-Mobil, which transformed global market competition. During this period many businesses in emerging markets were privatised thus creating growth opportunities for MNEs to gain access to previously closed markets of enormous potential. The United Nations Conference on Trade and Development (UNCTAD, 1998) unfold the driving forces behind cross border MA as per current globalisation. Practitioners of cross border MA deals encourage deregulation or diversification and liberation of the local and state owned businesses or enterprises, thus affording foreign enterprises or businesses in advanced economies to invest directly, joint venture ship or partnership or even outright take over (UNCTAD, 1999) This paper will try to address the significant benefits and also some pitfalls of cross border, mergers and acquisitions as pertaining to global market growth and expansion of Multinational Enterprises (MNEs) or businesses. UNCTAD, 1999 reports that the transition host nation in a greenfield investment or mergers and acquisition stands to benefit in resources or technology. For instance the flow of foreign direct investment to a transition host nation will boost its foreign reserves (Gross domestic product). A clear example is the take over of Cadbury UK plc by Kraft Company which undervalued these shares (Cadbury) but yet invested in excess of Nineteen billion pounds (Â £19) into the UK economy in the midst of the global economic crunch. According to Razin et al (1998), low level of taxes or incentives in some European Union (EU) countries, prompted Investors within UK, to move their production wing of their firms from the UK to E U countries in order for these firms to enjoy stron ger market positions. Investors usually consider tax issues before deciding on where to invest or move their investments to. Many a times, investors favour or decide on nations where the tax laws and policies are relaxed thus favouring their cause in terms of releasing their investment back with maximum gain. Hitt et al (2001 a,b) described acquisition as the process by which controlling stake in a business enterprise or venture is purchased by another larger firm via an open market or on an exchange. Acquisition which is otherwise known as Takeover occurs when majority shares or stake in an organisation is purchased by another bigger firm. By this, the bigger firm take control or charge of the assets as well as the liabilities of this target business which now becomes its subsidiary. Hitt et al (2000) further saw merger as the situation where two or more smaller corporations decide to pull their resources together in order to become a giant leader in their industry or market. When this happens, a new corporate identity will adopted thus both companies will drop their old or individual identities and put on the new one after an agreement has been reached amongst the parties involved. A clear example will be the ongoing merger agreement being entered into by British Airways and Iberial Air lines which aftermath will birth a new corporate identity and image as agreed upon by the parties involved. Another example is that of GlaxoSmithKline which involved synergy between two pharmaceutical firms namely Glaxowellcome and Smithkline Becham that merged to form the second largest pharmaceutical company in Europe. It is worthy to note that synergy will provide more gain since the two companies stands to produce more when they are together through sharing of ideas and technical know how than being on their own as individual. Thus the equation of one plus one equalling three came to being (synergy theory) through merger and acquisition as beneficial to the two firms that came together as one entity or under one umbrella. Again these large companies or businesses with global repute or stature enjoy tremendous benefits in the area reduction in prices, increasing control of market and economies of scale. According to Fatemi et al (1988), even though introducing cross border MA in a near perfect market situation, the owners of the business may not enjoy dividends as per from local operation and this varied valuations for local and international mergers will seek to uncover the imperfect capital market dealings. Pringle (1991) stressed that market accessibility is the main rationale for foreign direct investment. To add to this Harris et al (1991) further elude to the fact that giant or larger companies or firms join with other firms in other nations simply to access their foreign market share. In other words it aids in its saturation into new areas or segments of other markets with no restrictions whatsoever and in addition access credit facilities whilst enjoying tax rebates reserved for local businesses. HOW CROSS BORDER MERGERS AND ACQUISITIONS ARE DETERMINED Investors are always drawn to or interested in investing in high flying corporations who are consistent and increasingly growing and engaging in expansion drive of their various businesses or business units. Growth and expansion performance of businesses may be as a result of good corporate governance practices and policies adopted by or from the side of Management of that firm in line with that of the growing target market. In the words of Cheng et al (1989) and that of Moore (1996), overseas business owners or investors enjoyed high returns on their investments after being encouraged to put or invest their wealth in financial institutions (bank), outside the United States for the simple reason of their good financial health thus, favourable growth rates and high turnover in assets and expansion drive. Among other factors that positively influence cross border dealings in emerging economies like that of Africa, Eastern Europe and South America is profitability and efficiency that st ands out as the number one reason. Financiers and investors from both the United States of America and United Kingdom channel their wealth to some financial institutions (banks) and other businesses in these regions via direct investments or mergers. Hannan et al (2007), Vander (2007) and Pasiouras et al (2007) all consented that investors from the United States will shy away from investing their wealth in those financial institutions that constantly make a deficit after they (investors) have critically scrutinised and reviewed the said financial data, profitability and investor ratios before choosing the right venture to invest in, in order to maximise their wealth. In the words of Hannan et al (2007) a lot of mergers and cross border acquisition happen due to the challenges businesses go through in sourcing for more funds or capital to expand their businesses. Hannan et al (2007) again said many of the larger financial institution (banks) and companies exploit the option of target ing emerging markets in terms of investing their resources when considering expanding their corporations. The results from this movement by the larger companies will better advance the economies of these target countries where the small firms are located for which takeover occurred since the cost involved in business transaction will be drastically reduced due to the size and capital base of these larger firms. Among other things, cross border mergers and acquisition can occur where there is concentration of similar businesses such as banks in a catchment area or region. Businesses like banks and stores according to Hannan et al (2007) would always want to take their services and operations to the door steps of the clients, thus concentrating on high streets and other prime locations to better meet their clients need as can be attested in the United Kingdom (UK). Another point worth considering in this determinant of cross border acquisition and merger is Taxation. As with most countries, local companies enjoy tax reliefs or exemptions for awhile whilst foreign companies are made to pay income tax on their local business enterprise as well as foreign income tax. In the words of Scholes et al. (1990), Servaes et al. (1994) and Desai et al. (2002), investors within advanced economies or markets who pay higher taxes tend to invest overseas where they avoid tax and enjoy exemption from foreign or overseas income. For this reason several indices were created by La porta et al. (1998), useful for eper this larger created affiliation. In these indices there is also rule of law and efficient judiciary process thus ensuring that the rights of individuals are respected by all and sundry. In the same vein, Johnson et al. (2000) agreed with the above statement with emphasis on minority shareholders whilst the rights of creditors should be enforced when f irms default in their payments after notices are served. And last but not the least, there must be fair treatment within the confines of the laws or regulations with respect to company directors (Executive and non executive directors). LIMITATIONS It is important to note that cross-border acquisitions and mergers are not, however, without pitfalls. Irrespective of acquisition being domestic or cross-border, investors experience problem of over paying thus suffering excessive financing costs (Eiteman et al., 2004 pg. 590). Merging corporate cultures between a local firm and an overseas one becomes a problem since regulations for example like governance practices might differ from country to country. Managing the aftermath of cross-border merger and acquisition process is normally characterised by retrenchment to achieve economies of scale and scope in overhead duties or functions. The outcome of this is unproductiveness among employees of the target company who fear of losing their jobs or been laid off. For example the take over of Ghana Telecom by Vodafone in January 2009 saw more than thousand workers being laid off. And their new Chief Executive Kyle Whitehill indicates that further restructuring is necessary to ensure that the company is able to deliver prudent returns Source: Joy Business/Myjoyonline.com/Ghana (July 29, 2010). Even for some top executives, for fear losing their jobs become uncooperative when it comes to merger and takeover talks. United Kingdoms example is the aftermath of takeover of Cadbury UK by Kraft plc from United States which saw the downsizing of over four hundred of its employees after the production plant or unit in UK was relocated in Poland to reduce labour and operative costs. In the words of Hadlock et al (1999), company bosses or executives, for fear of losing their jobs after the takeover will conceal some vital information or be reluctant to provide important data that will aid the investors to properly come to a decision as to whether to invest or not in a target business. Globally, additional problems occur from the part of host countries where their government intervene in price discrimination, financing, employment guarantees, segmentation and general nationalism and favouritism which includes capital flight and corrupt practises by foreign investors with the help of personnel in state departments from target nation (see Eiteman et al., 2004 pg. 590). An example is the Quality Grain Scandal in Ghana where some ministers connived with foreign investors to cause financial loss to the state is seen as the most corrupt deal in the country (Source: newsinghana.com). Also the preparation of final accounts might differ from country to country thus it is advised that there must be consistency in its preparation among subsidiaries of that holding company for easy comprehension. For some countries among emerging economies, the host government creates its own standards which differs from that of developed economies for example United States where private sectors and the Government set up GAAP with other principals and standards. Radebaugh et al (1997), Choi et al (1991) and Land et al (2000) all confirmed the differences in the way financial statements are prepared in US, UK and other European countries with makes it difficult for entrepreneurs to understand and compare with similar statements (profit and loss) within sector. According to Ali et al (2000) and Ball et al (2000), Germany lacks in the preparation of returns such that investors or entrepreneurs request for more insight to facts from host nations outside that of the financial report. Anoth er area worth considering is disclosure policy pertaining to corporate governance. Unlike the US and UK where disclosure in corporate governance is held in high esteem, that of emerging countries is very low. For instance some public companies and their private counterparts in these emerging refuse to practise international accounting standards been accepted globally and for that reason are reluctant to fully disclose information freely to prospective investors or other third parties (see UNCTAD 2000). In fact, the ability to successfully complete cross-border acquisition may itself be a test of competency of the MNE in the twenty first century (see Eiteman et al. (2004) pg. 590). SIGNIFICANT ADVANTAGES OF CROSS-BORDER MERGER AND ACQUISITION CONCLUSION Finally, managers tend to take uneconomical plans of takeovers. Sometimes, the motives for takeover decisions by managers may be attributed to availability of free cash flow or for no just cause. The number and dollar value of cross border mergers and acquisitions has grown rapidly in recent years but the growth and magnitude of activity is taking place in the developed countries, not the developing countries. As opposed to the fighting and scraping for market share and profits in traditional domestic markets, a MNE can expect greater growth potential in the global marketplace. There are a variety of paths by which the MNE can enter foreign markets, including Greenfield investment and acquisition. The drivers of MA activity are both macro (the global competitive environment) and micro in scope (the variety of industry and firm-level forces and actions driving individual firm value). The primary forces of change in the global competitive environment technological change, regulatory change, and capital market change create new business opportunities for MNEs, which they pursue aggressively.

Euthanasia Programs of Nazi Germany Essay -- ethics, t4 program, experi

On the first of September, 1939 World War II began. Hitler is in power of Nazi Germany and is wanting to cleanse the German people of racially unsound elements. He enacts a program that will aim to eliminate the so called â€Å"lives unworthy of life† called the T4 program (History Place). Over the next six years throughout Germany, many people are experimenting with and euthanized to help Nazi Germany reach a â€Å"pure† state. Was this program that was enacted ethical and what has happened since then to stop something like this from happening again? What kind of medical advances and data did we achieve from it and is it ethical today to use what they learned in today’s medical trials? The T4 program was not the beginning of Germany’s effort to reach a super race. Leading up to the war Hitler enacted the â€Å"Law for the Prevention of Progeny with Hereditary Diseases† in the year of 1933. The law called for the sterilization of anyone that had any hereditary illnesses. The list of hereditary illnesses included: â€Å"schizophrenia, epilepsy, senile disorders, therapy resistant paralysis and syphilitic diseases, retardation, encephalitis, Huntington’s chorea and other neurological conditions.† (History Place) This law was enforced by opening 200 genetic health courts that would analyze the medical records of individuals and decide if they were to be sterilized or not. The sterilization of people usually involved the use of drugs, x-rays, or uterine irritants. Dr. Horst Schumann did a lot of these experiments with sterilization at Auschwitz, where he would take a group of men/women and would expose them to x-rays. Most of his exper iments with x-rays were disappointing but he kept using this method. After he subjected his subjects to x... ...at the expense of the brutally murdered test subjects. I have only highlighted a couple of experiments that they conducted that the data collected from these could be extremely helpful to the humankind. Instead of calling it all bad we can find some good that can be salvaged from the victim’s ashes. Works Cited Georgetown University "Chapter 5 the Nazi Eugenics Programs." Chapter 5 the Nazi Eugenics Programs. N.p., n.d. Web. 25 Nov. 2013. "Nazi Medical Experimentation: The Ethics Of Using Medical Data From Nazi Experiments." The Ethics Of Using Medical Data From Nazi Experiments. N.p., n.d. Web. 09 Dec. 2013. "T4 Program (Nazi Policy)." Encyclopedia Britannica Online. Encyclopedia Britannica, n.d. Web. 10 Dec. 2013. "The History Place - Holocaust Timeline: Nazi Euthanasia." The History Place - Holocaust Timeline: Nazi Euthanasia. N.p., n.d. Web. 25 Nov. 2013.

The Raven Tpcastt

â€Å"The Raven† TPCASTT Title This poem could be about a multitude of things with the title Poe chose, but one thing that is clear is that it is about a Raven. Judging from Poe's other works, it is likely about some kind of a rabid/demonic raven. Also, it is very likely that this Raven will torture someone in some unimaginable way that will destroy the person more so psychologically than physically. Paraphrase I was laying in my bedroom pondering life when I heard a knocking at my door. Maybe it is my dead wife Lenore.No, that can't be it. It must just be someone coming by to visit me. I called down the hall apologizing for taking so long to answer the door, but no one was there. This really freaked me out, so I called for Lenore, but again, there was no answer. I heard the knocking again, maybe it's my window. I will check so I can confirm it's darkness and not anything more than that. When I opened up my window a raven came flying in and landed above my door. I decided to a sk the raven his name, and his only response was â€Å"nevermore. I was really freaked out and amazed that there was a bird with the odd name of â€Å"nevermore. † The bird will for sure leave tomorrow, as everything else does. But the bird responded with â€Å"nevermore. † He must have just learned this word from a bitter owner or someone passing by. There is no way it can be speaking to me. So, I just sat back down in my bed to ponder this. Wow, he actually must be a gift from god. I have to ask him if I will ever forget Lenore. He responded with â€Å"nevermore. † If anything will the pain of Lenore's death ever fade?But, the raven said â€Å"nevermore. † Will I ever be able to see my Lenore again, whether in this life or the afterlife? But, the raven said â€Å"nevermore. † Get out of my house Raven! Get out of my house and get your beak out of my heart. But, the raven said â€Å"nevermore. † The raven won't leave and my soul will never be lifted and I'll never be happy. Connotation This poem uses many poetic devices. The first, and possibly most important, is point of view. Poe uses first person because during the time period this was extremely scary material.And putting the readers directly into the narrator's shoes did nothing but increase the fear factor. Also, unlike much literature of that time, Poe uses a lot of imagery to pull readers into story. Phrases such as â€Å"tapping on my chamber door† and describing the echo of his voice give you a sense of auditory imagery. He deeply describes the looks of everything in the house from the bird's crest to the shadows being cast on the floor. Lastly, he takes advantage of the tactile sense by describing the bird's beak digging into his heart. Attitude Poe had a very depressing attitude toward this whole poem.He wrote it while his wife was dying of tuberculosis, a disease that had plagued him his entire life. Also, during this time he was very poor and wasn 't having any success making it as a poet. He used this poem as a way to describe how the â€Å"demons† in the world felt toward him. He used sad and depressing language throughout the poem to really convey to the reader what he was feeling at the time. Also, he uses a techhnique where the poem starts off making the reader think it is going to be a happy poem where he is reunited with his dead wife and they all live happily ever after.But instead, he is disappointed by a bird that is constantly telling him he will never be able to achieve true happiness. Shifts In the poem there are some, but not many shifts. The primary shifts come at the beginning but then the poem almost stables out and stays fairly level. The poem starts off on a sense of boredom with him drifting off in his chair. Then there is a sense of excitement when there is a knocking at the door. Then it is hope and happiness that it could be Lenore. But then it goes back to boredom and almost curiosity when there is nothing but darkness at the door.He goes back to answer the window when he hears the knocking again which causes fear and excitement. When the bird flies in he is mostly scared and curious as to why the bird is there. There is next a sense of hope that this bird will be able to help him connect to his Lenore. From here on out it is almost nothing but anger at the bird as it refuses to say anything other than â€Å"nevermore,† and tells the narrator he is never going to be happy. Title After reading the poem my prediction was very close to correct.I did know that the bird would be torturing him. I didn't think that it would be in any way like he did, but that part was correct. Also, the bird was supernatural. Other than that, the entire story line was very different than what I had initially expected. Theme The theme of this poem is that one's own head can often be the cause of his misery or grief. The man continues to ask the bird questions when he knows exactly what the bird will say. It's almost as though he had wanted to be upset and was intentionally doing this to himself.

Reduced scale

The reforms aimed at the eradication of poverty and unemployment challenges through substantial recovery and improvement or productivity of investment economizing the private sector as the main engine of growth. In discussing the issues of the liberalizing of cooperative policies practices and legislation its clear that the societies have both successes and failures.Successes of the liberalizing of cooperatives up to date To the cooperative movement, liberalizing measures were put in place with a view to create commercially autonomous member-based cooperatives that would be democratically and professionally managed; self-controlled; and self-reliant. To this effect in 1997 government published Session Paper No. 6 of 1997 on â€Å"Co-operatives n a Liberalized Economic Environment† to provide the new policy framework for the necessary reforms.To date the role of the government was redefined from control to regulatory and facilitative in nature. The Ministry of Co-operative Deve lopment duties were confined to registration and liquidation of co-operative societies; enforcement of the Co-operative Societies Act; formulation of co-operative policy; advisory and creation of conducive environment for co-operative growth and development; registration of co-operative audits; and carrying out of inquiries, investigations and inspections which is still applicable today.Successfully also was the enforcement of co-operative principles of voluntary and open Membership; democratic member control; member-economic participation; autonomy and independence; education, training and information; co-operation among cooperatives; and concern for community. The reforms have given autonomy to individuals will to Join or leave the cooperatives, which is still effectively being practiced, up to date. The 1966 Co- operative Societies Act was repealed and replaced by the Co-operative Societies Act, No. 2 of 1997 the new Co-operative Societies Act served to reduced government involve ment in the day-to-day management of co-operatives. Cooperatives were granted authority to rule over themselves from the previous state controls by transferring the management duties in co-operatives from the Commissioner for Co- operative Development to the members through their duly elected management committees. This trend is still applicable up to date where by members have the discretion to make policies through Coco's that benefit them. Co-operatives were no longer required to seek the permission of the Commissioner to invest, spend or borrow.They were now free to borrow against part or the whole of their properties if heir by-laws allowed, provided the annual general meeting approved such borrowing which is still applicable today. The reforms have also given cooperatives the power to hire and fire grade staff without the commissioners consent. The cooperative movement as a result of liberalizing has seen a growth in the cooperative movement with a growth in 2004 of 10,642 coo peratives in Kenya and currently the number is increasing rapidly with the inception of other better laws such as the new constitution.Despite the reducing trend of membership surprisingly there's an increase in member registration in Coco's over the years up to date new CACAOS are being formed even among the self-employed persons in the informal AU Kali) and agricultural sectors, which is a complete departure from the past where these co-operatives were only formed among the employed persons in the urban areas.To this extent, it can be said that liberation has transformed the cooperative movement and that many citizens are appreciative of it. Liberalizing of the cooperative movement has transformed the structural organization of cooperatives. The inefficient cooperative unions are increasingly loosing their members, for cooperative societies now have the freedom to seek better service provision from there organizations or make provision for such services on their own.Another advant age is that Agricultural co-operative unions have particularly been affected through monopoly. For instance, in the dairy sub-sector, co-operative societies were affiliated to the Kenya Cooperative Creameries (KC) that monopolized the processing and marketing of milk up to the early sass's. It is in these circumstances that some of them like Guthrie and Lemur dairy co-operative societies have put up their own milk processing plants that are still running up to date.With this, vertical integration f cooperatives in the dairy sector has virtually collapsed as cooperative societies now have the freedom to sell their produce to any willing buyer rather than KC and some of the societies have put up their own milk processing plants to offer the services previously provided by KC. Despite all that, non-agricultural co-operative unions have remained vibrant, particularly those in the financial sector, and have subsequently maintained the vertical structure of the cooperative movement.For ex ample, to date Kenya Union of Savings and Credit Cooperative (COUSCOUS) brings gather over 2,600 active COCO societies with a membership of over two million while the Kenya Rural Savings and Credit Cooperative Societies Union KEIRETSU has 45 active rural COCO societies with a membership of 1. 5 million. These unions serve as the mouthpieces of the respective CACAOS in the country; a feat that has helped the unions continue to attract rather than loose membership.COUSCOUS also provides common shared services like education and training; business development, consultancy and research; risk management; and the inter-lending program for CACAOS called Central Finance Program. These services have attracted CACAOS to main loyal members of COUSCOUS, and helping it attain the status of the largest COCO movement in Sub-Sahara Africa. Successfully with the current liberalizing of cooperatives most of the cooperative organizations are functioning without reference to the apex organization.The r ole of spokesperson and representative of the cooperative movement is increasingly being played by national cooperative organizations and cooperative unions. As an example, COUSCOUS being the mother of all Coco's now stands out as the mouth-piece and advocate of CACAOS in all matters that affect the development and growth of these cooperatives. COUSCOUS has been vibrant in the recent past by being vocal, in opposing the retrenchment of employee's as that would affect the membership of Cacaos.Even more significantly, COUSCOUS was recently involved in the formulation of the yet to be debated and enacted COCO Act that sets out to make special provisions for the registration and licensing of Cacaos, prudential requirements, standard forms of accounts, co-operate governance, amalgamations, divisions and liquidations; establishment of a COCO Regulatory Authority, savings protection insurance, and setting up a Central Liquidity Fund, among others. In the circumstances, the collapse of the vertical organization of the cooperative movement in the country is increasingly becoming evident.Another success of the liberalizing is that with liberalizing of the economy, banks such as The Cooperative Bank of Kenya have opened shareholding to individual members of co-operative societies as was duly recommended by their societies in 1996. The bank has however, retained its association with the co-operative movement by restricting 70% of the shares to co-operatives while individual members of societies hold only 30% of the shares and are not entitled to attend the annual general meeting of the ann.. This has helped to keep out private shareholders who might have bought out the bank as has been the case in other African countries.The coming of this policy framework also saw the International Cooperative Alliance's (CA) cooperative principles of voluntary and open membership, democratic member control; member- economic participation, autonomy and independence, education, training, cooperation among cooperatives; and concern for community became formally incorporated in the cooperative policy. The 1997 policy failed to provide for the separation of the responsibilities of elected management committees from managerial staff responsibilities.Consequently, management decisions were still made by elected leaders that may not be qualified managers. In such response to the inadequacies of the 1997 policy, the Ministry formulated a revised policy framework titled â€Å"Kenya Cooperative Development Policy 2008†. The 2008 policy themed at ‘expanding the economic space for sustainable cooperative growth in Kenya', focused on restructuring, strengthening and transforming cooperatives into vibrant economic entities that can confront the challenges of wealth creation, employment creation and poverty reduction as private business ventures.To date the policy is still up and running. After the fall of Kenya National Federation of Cooperatives KNIFE, the interim Board started developing the strategy in 2007 by holding provincial consultative meetings that focused on how to revive the organization. This culminated in the National Cooperative Leaders Conference in November in 2007, which endorsed a new governance structure, revised By-Laws (2008) and a new funding strategy.The revised By-Laws (Kenya National Federation of Cooperatives, Bibb) proposed a governance structure consisting of a secretariat composed of the Executive Director ND four heads of sections; a technical committee comprising of the Chief Executive Officers of Nachos; the General Assembly as the supreme authority consisting of 75 elected delegates; and the National Governing Council as the executive authority comprising of eight Chairmen of Nachos, seven elected regional representatives, the Commissioner for Cooperative Development and the Executive Director.The By-Laws also address the need for strengthening of the financial capacity of KNIFE, as they propose a graduated sc ale of annual contribution by members based on the type of cooperative organization and annual turnover. This amends have helped to shape the federation up to date with increased number of people. The revitalization program has charted a new direction for the organization, as it restricted its activities to the core objective for which it was formed. That is, to be the mouth-piece of the cooperative movement in Kenya by engaging in advocacy, lobbying, collaboration and networking activities.At the end of the revitalization process, the investment in institutional capacity building of KNIFE should has enabled it to address wealth creation and poverty alleviation of the cooperative movement. Liberalizing has rough about growth of banks such as the Cooperative Bank of Kenya. The Bank has not only been instrumental in providing banking services to cooperatives, but has also been the source of affordable credit for the cooperative movement. For instance, today it lends approximately EKES 3. 5 billion (USED $46. Million) annually to Cacaos, in order to increase their liquidity levels so that they can meet member demands for loans associated with school fees. Moreover, the Cooperative Bank still serves as a mechanism through which most donors to the agricultural sector, particularly those that produce coffee, can channel their support. This has allowed the Cooperative Bank to network with many donors, such as Food Aid Organization (FAA), and the European Union, among others. In the financial sector, CACAOS are also increasingly becoming innovative by developing new products to enhance their income.For instance there's some diversification of traditional products of savings and credit of Coco's by introducing Front Surviving liberalizing: the cooperative movement in Kenya Front Office Service Activity (FOSS). FOSS offers services that members can use to process their monthly salary, while having access to instant cash advances (based n their salary) and maintaining wi thdrawal savings deposits. Currently, slightly over 250 CACAOS operate with this activity in Kenya.In addition, the COCO movement is quickly spreading from its traditional urban and wage employment strongholds into the agricultural sector in rural areas and informal economy. As a success liberalizing has enabled the setup of free market cooperative entities that have led many people to derive their Jobs from marketing products produced by cooperatives. For instance, dairy cooperatives produce various products such as fresh ilk, ghee, butter and yoghurt; while other agricultural cooperatives market coffee, fish, pyrometer and eggs. These products are then passed on to other entities to market to retailers, wholesalers and consumers.To date this trend continues and has helped reduce poverty and provide employment as it was the expectation of the 1996 framework policy paper. Liberalizing has made Cooperatives to be sources of income by generating opportunities for many people, particul arly members of cooperatives. In 2007, primary cooperatives in the agricultural sector had a membership of 1 approximately 50% of whom were estimated to be active. The CACAOS had 6,286,894 members, 98% whom were active in the lending activities of their cooperatives. The other non-agricultural primary cooperatives had a total membership of 334,000, with approximately 50 per cent active.These figures are clear pointers to the significant contribution of cooperatives to poverty reduction and poverty prevention in Kenya to date. This is particularly true as most of the income generated from cooperatives is mainly used to address long-term poverty prevention measures. Liberalizing has brought focus on cooperatives to the core activities of operatives, including agribusiness, entrepreneurship, savings and credit advancement regulations, leadership and governance of cooperatives, and the economic benefits of membership in cooperatives, among others.It is apparent that any cooperative that doesn't provide Economic gains in Kenya tends to be deserted by the members. This is evidenced by dormancy that cooperatives are currently experiencing. A few activities of such successful cooperative ventures could be viewed as attempts at offering social protection to the members and this has brought the growth in some cooperatives in the country. As an advantage the framework policy has seen transformation of the cooperative movement where benevolent funds have been introduced in most CACAOS to which members contribute regularly and only draw from them when they are bereaved.The schemes define the relatives in whose death the member would get assistance to meet the burial expenses, as well as the respective amount of money to which he/ she would be entitled. Gracefully the institutionalizing of the framework paper policy and liberalizing has seen the transformation of the Cooperative Insurance Company(ClC). This company has the ore business of giving protection against risks ass ociated with operation of cooperative enterprise, as well as cooperators themselves.Significant ICC has also developed a micro-finance insurance scheme specifically for covering savings of micro-finance institutions (Miff) in case a person with a loan passes away before completing repayment. Negative aspects of the liberalizing of cooperatives Consequently, the immediate impact on most co-operatives was mainly negative. The elected leaders abused the freedom bestowed on them and to the detriment of many cooperative societies.Corruption cases; gross mismanagement by officials; theft of operative resources; split of viable co-operatives into small uneconomic units; failure by employers to surrender members' deposits to co-operatives (particularly Cacaos); failure to hold elections in co-operatives; favoritism in hiring and dismissal of staff; refusal by co-operative officials to vacate office after being duly voted out; conflict of interest among co-operative officials; endless litiga tion; unauthorized co- operative investments; and illegal payments to the management committees were increasingly reported in many co-operatives and up to date the trend is till continuing though at a reduced scale.Though there's a surge of cooperative societies the indication is that up to date there's recorded numbers of dormant cooperative societies. In 2004, the Kenya Union of Savings and credit cooperatives actually estimated that 42% of the cooperative societies were dormant. The number is still increasing and this isn't beneficial to the eradication of poverty through employment and innovation. The relative poor performance of agricultural cooperatives could also be attributed to the liberalizing of the co-operative sector without adequately preparing the co-operatives. There's also the element of over dependence of the agriculture sector, which leads to failure unexpectedly. Liberalizing has brought about immense changes in the cooperative movement.The Kenya National Federat ion of Cooperatives was the national apex of cooperative movements in Kenya. Its dominance declined drastically due to corruption and mismanagement reason being that poor management over the years saw KNIFE deviate from its core business into other activities, such as auditing, education and training as well as research and consultancy. Such activities were already being performed by some of its members, and subsequently KNIFE ended up competing with some of its members hat were offering the same services to the cooperative movement. In the circumstances some cooperatives found no reason for being members of a federation that they saw as a competitor.However its quick revival was established in 2005 after the then minister of cooperatives dissolved Knife's Board of Directors and replaced it with an interim board (Kenya National Federation of Cooperatives, AAA). Interim Board of Directors that was appointed by the Minister in May 2005 immediately embarked upon developing strategies f or reform and restructuring to revivalist the organization (Kenya National Federation of Cooperatives, 2007). As a active impact KNIFE has largely been ineffective in representing the cooperative movement during policy and legal processes. As an example, it failed to effectively participate and influence changes to the 1997 Cooperative Societies Act that produced the Cooperative Societies (Amendment) Act, 2004.KNIFE started monopolizing donor support after the ACT had been enacted to hold consultations on the implications of the Act, which was too late to achieve any impact. Perhaps this also explains the absence of cooperatives in national development debates. KNIFE has lacked even up to date the urge to influence policy and legislative debates in Kenya, aging it difficult to improve the visibility of the cooperative movement. This is surely a liberalizing downfall a thing that the paper framework couldn't expect to happen. As a negative effect liberalizing has reduced government s upport since autonomy was given to the private sector this free market approach has unfortunately brought to the decline of, the number of trainees from Cooperative college of Kenya.Cooperatives attending the college have been reducing since the liberalizing due to the tremendous reduction in government sponsorship to the cooperative movement for training purposes. Left on their own, most cooperatives, especially in the agricultural sector, have been unable to raise the required fees for their staff to train at the college. CONCLUSION In conclusion, the impact of liberalizing has seen cooperatives survive the market forces and open up more enterprising innovations that secure the welfare of employees. Successfully much legislation has been put in place that is still working up to date and this has helped to attract more members to cooperatives. On the downside corruption is still rampant as the societies grow new schemes are being hatched to hamper the progress of the cooperatives.