Great content, Monte. Keep up the good work

I'm working on an assignment that requires me to assess if a company is having an agency problem but the account statements given only show me that directors are overpaid according to market and have very favourable stock options locked in for five years well below market price. Any ideas would help. The company also seems risk averse as it's growing slowly.

Snowboarding? I had no idea. Good analogy to explain the topic. More interesting than just theory. Builds on what is taught in the Strategic Management MBA subject. Thanks Monte.

Makes more sense after you finish the course. Can learn at own pace and apply to the real world.

Very practical.

Great as a refresher. Thanks.

Thanks Monte. Great for a refresher.

Thank you so much!! You saved my assignment!!

The drawing of the fruit salad made the concept of the additivity problem very clear. Thank you.

This lesson i didnt understand thank you

Anda boleh memilih untuk salah satu daripada hadiah di atas

the painting or drawing you do is distracting and makes the listener lose focus from what is being said. Focus on the core of the video, this is not a kids video that we will need graphics to keep us engaged

thank you very mich for sharing! excellent video

No offense. Your vocal tune is so irritated

can you please tell me which factor affect on real earning mangement negatively or postively

Hello friends, I have 1 situation: Company X has 20 years of experience in making agricultural products (rice) and supplying them to customers (production, distribution). CEO sees the growth potential of the livestock sector in the next 5 years, CEO of the company wants to expand the company's core competencies into the livestock sector. So will the CEO decide to do M&A or set up a completely new company to add this core competency quickly? Now the company will have 2 core competencies, right? Thank you.

Thank you, this is very simple and easy to understand

Great video! It has a great amount of information in slightly more than 5 minutes. Thanks!

Thank you very much for the video !

Great video!

This video finally helped me understand this concept! Thanks from Canada :)

Core competencies are people or machine or plant or licence of invention, right?

As per Atul's comment (below), and my response. The debtholder is paid before the shareholders, but will only be paid in full if the liquidated value of the assets is sufficient to pay all of the debt.

I’m little bit confused, if the company failed and goes bankrupt does the debt-holders still be paid off? Or not?

incredible work mate

How have you made this cool video? What software to use for a similar content for my course?

Why does only the debt holder have all the downside? If the company goes bankrupt or it is liquidated, won't the debt holders be paid first and then the shareholders?

I should also note, I took literary license - I was never a contender for the Olympics, and am not even a very good snowboarder - I focused my resources on academia.

Great video, this is how I teach it to my supply chain students: Students: There is a claim that every organization needs to focus all of its scarce, limited, and valuable resources (manpower, machines, money, management, and material - the 5Ms) on being the best at one specific thing (your core competency). The idea is that if you try to be a huge diversified conglomerate that tries to be the best at everything, then you will eventually suck at everything because you will have to spread your resources out too thinly across too many areas. General Motors used to be a diversified industrial conglomerate that made train engines, airplane engine, cars, trucks, ovens, refrigerators, generators, etc. How about just focus on cars and trucks? If you do something better, faster, and cheaper than anyone else in the world (your core competency), then wouldn't everyone come to you for it? Why wouldn't you outsource to someone that can do it better, faster, and cheaper than you? But, isn’t developing a core competency putting all of your eggs in one basket? Answer - no. Look at 3M. What is 3M’s core competency? Answer - Adhesives/glues/sticky stuff. They make the best sticky stuff in the world. What customers, products, and/or industries use sticky stuff? All of them do. 3M has a core competency and is actually diversified and recessionary proof because of it. Every company in every industry for every product needs glue. How about another example like Honda. What is Honda’s core competency? Answer - Powertrain (engines and transmissions that last forever). So what products use Honda powertrain? Answer - anything and everything that needs a powertrain - leaf blowers, snowmobiles, jet skies, 3 and four wheeler, cars, trucks, generators, motorcycles, chainsaws, etc. That is diversified and recessionary proof by definition. Companies right now are outsourcing entire functional areas to other companies that have core competencies in these functional areas. For example, companies are outsourcing logistics/transportation/distribution management to 3PLs and 4PLS because these 3PLs and 4PLS can do it better, faster, and cheaper (it is their core competency). Are companies outsourcing purchasing/procurement/sourcing? Yes - to BPOs (Business Process Outsourcing firms), especially for indirect (e.g., MRO, printers, toilet paper, travel, advertising, etc.) and perhaps even direct one day. Are companies outsourcing manufacturing/product/operations? Yes - to manufacturing subcontractors like Jabil Circuit. Jabil can build circuit boards for several different industries such as aerospace, automotive, computer hardware, etc. These companies that outsource to Jabil do not have the economies of scale that Jabil gets by doing it for everyone. Futhermore, in some industries like high tech (Texas Instruments, Hewlitt Packard, Honeywell, Intel, Apple, etc.), their product life cycles are so short that they cannot afford to make the capital investment that Jabil can and does for circuit boards. Companies like Nike, Mattell Toys, Dell, etc., do not actually even build anything themselves and they outsource everything to manufacturing subcontractors (some of which might be sweatshops in South East Asia - but hopefully these shops are SA 8000, ISO 9000, and ISO 14000 certified which proves they take labor laws, quality, and the environment somewhat seriously). The cool thing about your majors is that lots of companies are outsourcing purchasing, operations, and logistics management. That means there are companies out there with core competencies in a component of your major. So, who are they going to give preferential treatment towards for hiring? Probably students like you that are majoring in their core competency. Think about it, wouldn't there be fewer jobs for you if companies did everything themselves and they did not outsource SCM functional areas like purchasing, operations, and logistics. You could make the argument that if they did this stuff themselves, they could still hire you, but they were not doing that in the 1970s and 1980s. They hired general business majors or just put people without college degrees into SCM jobs. That might explain why they started to kind of underperform in these areas. Couldn’t we say the same about healthcare today or in the very recent past? There were a lot of people in healthcare making supply chain and spend decisions that had no formal education or training in SCM. There are college students now majoring in the other specialized majors such as Sales, Food Marketing, HRM, etc. That is a great thing because that is a core competency for several companies in several industries and they hire those students. Final thought - But what about these manufacturing companies that are outsourcing everything, who will they hire? Probably you. I think SCM is a core competency for manufacturing firms that outsource everything. Think about it. They all outsource everything to the same suppliers. Who wins in that situation? The company that manages their suppliers the best - SCM. An aggressive outsourcing strategy that not only includes outsourcing your direct material needs, but also entire functional areas (like purchasing, operations, and logistics management) is very risky territory. It is territory that requires strong skills sets and a core competency in your major - supply chain management. -- Dr. Sime (Sheema) Curkovic, Ph.D., Valluzzo & Lee Honors College Faculty Fellow Professor, Operations/Supply Chain Management Western Michigan University, Haworth College of Business Schneider Hall Room 3246, Kalamazoo, MI 49008-5429 Tel.: 269.387.5413; E-Mail: [email protected] "Better, faster, cheaper"; www.wmich.edu/supplychain "WMU Integrated Supply Management (ISM)...Nation's best undergraduate SCM program (Gartner 2014); 2nd in SCM technology (SoftwareAdvice 2015); 2nd in top global SCM talent (SCM World 2017) Vitae: www.wmich.edu/sites/default/files/curriculum-vitae/CurkovicVitae2017_0.pdf Sample Lectures & Should You Major in Supply Chain Management? wmich.edu/supplychain/academics/lectures

wow, you really put some thoughts to how students can really understand this issue. Thank you, great work!

It is really helpful video to understand the basics, Thanks to you.

Great summary!

Very informative video! thank you

I'm not a student at the University of the Sunshine Coast. Sorry :(

This example is much much much much easier for us to absorb the concept of core competencies ~ Thanks teacher Wynder!

stop painting, it is really annoying and disturbing.

Good video

Good one man. keep it up

This guy is good. Thanks.

Thank you for the Explanation !

What is the difference between Maximise self interest in standard finance and bounded self interest in behavioural finance ? Plz

resourceful and understandable in a simple way. Thanks.

Thank you so much for a great tutorial. Very helpful. Please upload more videos and thanks for your effort

It is helpful for me

Basically he just gave a definitions without explaining shit

u r aawwsssmm thnxx

Spot the spelling mistake?

Thank you so much. It's easy to understand.

Really like the explanation of Earning management through this video , very easy to understand .