Feedback needed

ameing · Posted: Thu Jan 04, 2007 11:33 am Post subject: Feedback needed

Hey guys,

Essays writing is probably the weakest area for me. Here is one example of my exercise on Essay of Argument. Hope you can give me some feedback

Thanks in advance
ameing

Topic : “Over time, the cost of processing go down because as organizations learn how to do things better, they become more efficient. In color film processing, for example, the cost of a 3-by-5-inch print fell from 50cents for five-day service in 1970 to 20 cents for one-day service in 1984. The same principle applies to the processing of food. And since Olympic Foods will soon celebrate its 25th birthday, we can expect that our long experience will enable us to minimize cost and thus maximize profits.”

Essay :
Over time, man learns to do thing in better and quicker ways, “practice makes perfect”! It is especially true in the industrial booming era, productivity and efficiency are key areas of evaluation on the success of any organization. Although the argument about the ability of organization in reducing processing cost thru better efficiency, can thus maximize in profitability seems to meet the logic of development in industrial evolution, it does not present sufficient support to substantiate the argument. Comparing color film processing to food processing is a very general assumption, plus the argument does not explain how it benefits in profitability. Clearly, there are concerns that needs to be discussed which have been omitted in the argument.

One big challenge that food processing industry is facing today is the cost of competition. While they might have the best in technological and efficient farming supports to reduce production cost, it may not guarantee the gain will all go into profits. The bigger question is the price that consumers are willing to pay to Olympic Foods products. With the growth of super-stores like Wal-Mart, consumers have been taught to buy at “Low price everyday” store. Suppliers are constantly being challenge by the price tag on the shelf and margin to retailers. Thus, reduction in processing cost may not guarantee an increase in profit, especially if the percentage in cost reduction is not compatible to the decrease in end user prices.

Secondly, management team determines the success of any organization because they are the leader that leads in any plan of execution efficiency and productivity. The argument does not explain if Olympic Foods has a proactive management team that constantly changes and upgrades their strategies and production systems to improve the production efficiency. While experiences can be valuable for improvement, it can also be the hinder for changes. The ability of Olympic Foods to maximize their profits thru minimizing the processing cost depends if they have a good system to support it.

Although the argument seems logical to assume that over time, all organizations progress to be more efficient and cost effective, thus can increase in their profitability, it is not convincing. It does not present supports to substantiate the argument with issues like the cost of competition, the strength of management team and organization system in Olympic Foods as it was discuss above.

Rolling Eyes