Tassal is a company located in Tasmania in Australia. It was formed in 1986 as salmon fish farming. It is one of the largest salmon producer and more employees in Tasmania. It deals with fresh, frozen, smoked, canned and other values derived from fish products (Ehnert 2008). In November 2003, Tassal grew from privately owned firm to a major public company. Therefore, its management is under the control and powers of the government since it was changed from private firms to public corporation by the government.
Tassal’s head office is in Hobart where the critical decisions and planning are made by the top management committee. It has many offices and branches located in Tasmania town. This shows its operations are decentralized. The sales and marketing offices are located in Melbourne City. This shows that the management is centralized but its operations are decentralized in different towns within the country (Jabbour & Santos, 2008). The organization structure, therefore, starts from the top office in Hobart, where the decisions are made to Melbourne where the sales and marketing of firm fish products are to other smaller offices within the Tasmania town.
Tassal company has endorsed with huge resources under its disposal that favors it with other competitors. This has enabled it to reach international market and make it the best salmon fish farming in the world. The comparative advantages it has include the following; firstly, the availability of water. Australia is located strategically and borders oceans and it has also many rivers and lakes which are the breeding ground for fish (Robert & Philiph, 1976). This makes fish readily available at cheaper costs for farming, production and marketing. Secondly, cool climatic conditions with both warm and cold currents meet which provide favorable temperatures for fish breeding and availability of fish planktons. Thirdly, the availability of huge capital bases to fiancé its daily operations. Since there is government introduction, a lot of government support and subsidies are given to Tassal Company as financial aids and grants that help in stabilizing financial capability. Fourthly, the readily available of market for fish and fish products. Tassal is strategically located with the Asia Continent and is surrounded with huge population which offers ready markets for the fish and fish products (Trevino, Brown & Hartman, 2003). Fifthly, the availability of modern technologies in fishing, fish preservation and treatment before it goes bad since it is perishable commodity.
Tassal’s Management and Organizational Structures
Apparently, the fishermen use modern fishing methods and nets with boats having refrigerators that would preserve fish for longer period of time. High technology used in Tassal helps in production of various fish products like fish oil through extraction methods. Lastly, more effluent means of transport and communications. In Australia there are many tarmacked roads and airports in Melbourne City connecting one town to another and connecting Tassal to the market areas (Samson & Draft 2014). Also there is efficient means of communication that helps the company to connect to the clients and distributors and this facilitates more marketing.
Political & legal; in Australia, there is political stability. The security is highly enhanced there are more police force maintaining laws and order. The government also peace makers with its neighboring countries and this provide stability. Also favorable government policies regarding the fishing business (Caliyurt & Yuksel, 2015). Government gives tax holidays, tax reduction and passing policies which favor the investments inn fish farming but discouraging other competitors from penetrating the Australian market through heavy custom duties and taxation rates.
Economic: Australian climate is very cold and many animals and crops cannot do well under such environments. Therefore, the only source of livelihood is fish farming and many citizens take it as their economic backbone of the country growth and development.
Socio-cultural: the availability of favorable fish eating cultures in Australia has provided ready market for Tassal fish farming. Since fish is rich in protein, they develop eating fish as the best way as source of protein instead of other sources like meat.
Technological factors: the availability of high quality modern technology has improved fish farming in Australia. They employ the best technology practices in fishing, its preservation and manufacturing of fish products (Trevino, Brown & Hartman, 2003). This modern fishing nets ensure there is sustainability in fish breeds as small fish species are spared too grow bigger. Also high technology has helped them do fish cross-breeds that will be more adoptable to the harsh cold climates. Fishermen are also well trained on how to use modern technologies. Moreover, more availability of research and development institutions in Australia that take research and developments of new fishing methods and breeds.
The main competitors of Tassal are Huon Aquaculture and Petuna Seafoods. Therefore, Tassal has no large number of competitors in Australia. To offset the competitors, Tassal operates in three main hatcheries that has the capacity to produce ten million tons a year. They also have research centers which facilitate selective breeding research with capacity of expansion in near futures (Stead, 2009).Tassal is also strategically with the surroundings of large salmon base as compared to other competitors like Huon and Petuna Seafoods. Large expansion base within the Tasmania town and Melbourne City enabled it control huge market base as compared to other competitors. Also these competitors are privately owned while Tassal is under government corporations and its management and decision makings are made by the central government. Any help needed are given by the government like capital.
International Environments favoring Fish Farming in Tassal
The vision of the company is to establish itself as the leading aquaculture in the Mediterranean Sea, produce among top five fish producers. It provides healthy products of high nutritional values and affordable prices for the consumers, meets the needs of the shareholders, its employees and the social needs of the regions where it operates (Barnard 2007). This helps to maintain the business economic sustainability for long period of time by environmental protection.
To produce delicious, healthy seafood and affordable prices that improve people’s lives and high quality, innovative products that adds values to our clients’ business. Through the use of innovations and new methods of production would help in environmental preservation which would increase sustainability.
- To remain pioneers in aquacultures sectors internationally and further strength then our leading positions
- To increase our production and introduce new products
- To respect the environment and ensure environmental sustainability
- To increase productivity and efficiency for the benefits of our shareholders
- To successfully meet the challenges of demand of the domestic and international markets
- To ensure transparency in the structure, operation and production of the company
Their objective and goals of production takes the following;
- Specific: they set goals to be achieved within the specific time periods and evaluate
- Measurable; the outcome of the goals are able to be quantified and seen eg production healthy fish products
- Realistic: they make realistic goals which when resources are available they could achieve
- Attainability; they work towards attaining the goal set before the actual start in production
- Time period in which the objective to be achieved. Setting the time would help them work hard in order to meet the time-bound periods within the plan.
Within the Tassal’s structure, there two types of working plan; Short-Term Plan and Long-Term Plan. Short-term plan is a plan set to be achieved within a short period of time usually less than one year while long-term plan is a plan that tales longer period of time to be achieved and they require huge capital and resource outlay to be met (Brown, Trevino, Harrison, 2005). In Tassal’s management structure, short and long term plans are there and decisions are made daily towards the achievement of these goals.
Traditional Approach: in this approach, Tassal implies key decisions in its development and implementation. They consider where are they now? Where do they want to? And how do they go there? This approach starts with getting necessary resources, developing vision and mission, environmental survey of the competitors produce and getting the marketing gaps existing in the production systems., making strategic planning and implementation to achieve the set objectives
Modern and innovative Approach: this is the recent methods of planning and Tassal uses this less detailed plan approach in piloting manner. The approach involves analysis and planning of what to be produced and how they are produced, developing a design strategy, then development stage, implementation and eventually evaluation to know if the set objectives are met.
Policy on proper waste disposal: Ensuring wastes from fish are properly disposed. Also using chemicals that well treated before discharge to the sea to ensure that water cycled to the water bodies are safe for human and aquatic life.
Production of healthy and quality fish and fish products: by producing healthy fish products using modern technology, any wastage of fish resources would be reduced and this will maintain sustainability of the fish species and other aquatic life.
Effects of Environmental factors on Tassal Fish Farming
Introduction of research and development centers and technological advancements: through introduction of research and learning institutions that would enable them do more research and come up with breeds that are more adoptable to the harsh environment.
Tassals employes two strategies to perform its managerial and administrative functions. They include; vertical staffing and horizontal staffing. Vertical Staffing involves the recruitment of people to fill the top leadership positions in the organization’s hierarchy. This is done when certain management skills are needed (Thomas, 2007). Horizontal staffing involves the recruitment process of employees of the same level or category to fill functions at the same levels as other employees. this is to strengthen the already existing team by inserting some energy and teamwork.
Internal Recruitment Method: This entails hiring already existing employees within the organization’s structure and having job design which can best suit them. They include; job promotions transfers or job compensation. It is the cheapest method of recruitment..
External Recruitment Method: This entails job advertisement in the social media, daily papers, employment sites, company websites, newsletters, trade papers, seminars and conferences and graduate trainee for campus students. It entails job title, qualifications, descriptions and characteristics (Walker & Jones, 2012). The applicants send their resumes and CVs and HR does the selection based on qualifications and experience. The interviews are done to choose the best for the job.
Measures to Develop Effective Workforce by Tassal Organization
An able workforce team should put into place to ensure the company goals are achieved. The various measures used include the following;
- Job training through seminars and conferences to impart new knowledge and professionalism in on their work.
- Offering better salaries and remunerations; to act as morale booster and catalyst in production
- Readily availability of tools and equipment of the jobs to done to reduce time wastages and idleness in looking for the right tools and equipment to do the work.
- Job compensation and performance appraisals through rewarding the best performing employees as appreciation of their hard works.
- Proper leadership and teamwork that would accommodate everybody in the company and inclusivity of various ideas and opinions.
- Provision of holidays, offs and leaves to reduce job fatigue and boredoms and creates job freshness and capacity to perform.
- Creating social welfares that will manage the employees’ welfares and conflict arising from the place of work. Also allowing them to have trade unions and other social organizations.
The HR has deployed measures to curb environmental degradation by issuing employees with PPE, gloves, gumboots and antiseptic chemicals that would not affect their health conditions (Trevino, Brown & Hartman, 2003). This would make environment more friendly and comfortable to work.
- Leadership in Tassal and its Effectiveness
Initially Tassal was a privatized but the management was changed after government acquisition in its management practices. This has enabled get full government support and its operations are under the management of the government. Changing this leadership has enabled it to expand from small salmon fish farming to international recognized organization.
- Leadership Styles in Tassal
Leadership styles exhibited in Tassal include;
- Achievement-oriented leadership to set goals and high standards of the company visions and missions
- Directive leadership to allocate resources on what to be done and how they should do it to achieve the set objectives
- Participative leadership to consult and seek advices fro all stakeholders and make the appropriate decisions which will make the company thrive
- Supportive leadership to consider the needs f the followers, show concerns and create conducive working environment by increasing workers self-esteem and confidence
- Leadership Traits and Characters
- Democratic leadership; in Tassal everyone’s opinions matters and they allow every member staff or employee to ask, advice or give comments on the company’s working progress
- Laissez faire style; the staffs are set free to do what they feel right at the right time without seeking permission from the top management as long as it benefits the company but within stipulated structure.
This type of leadership has boosted the morale and confidence in employees to work harder as all their efforts are appreciated and being accounted for. They instill self-confidence, courage, focus, accountability and teamwork that translates to higher production (Barnard, 2007). Since Tassal operates within the environment, their mandate to have a clean and sustainable environment. Therefore, the management has partner with other conservation organizations WWF Australia and has acquired full certificate in salmon production.
- Effectiveness Of Tassal in Operation Management
Level of Competition in which Tassal Operates
The firm is headed by The Operation Manager with other several team leaders of other staff members. The head office makes crucial decisions and passes them to other staffs. The sales and marketing offices are located away from the head office and it is responsible for daily marketing and distribution of fish and fish products (Robert & Philiph, 1976). Therefore, this allows for job delegation which improves the performance on the behalf of the top management.
- Tassal’s Effectiveness in Managing Supply Chain
The supply chain is responsible for marketing and making Tassal’s fish products more competitive to other companies around Tasmania. They conduct fish procurements, promotions, advertisements and ensure the fish products are well distributed to reach to the intended clients. Tassal has incorporated new methods of marketing and distribution in its structure to make it more competitive. They have created marketing website where all their products are seen and how orders can be placed using their business portals. The supply chain has also established marketing newsletters that with pictorial products of fish that would help In promotion and marketing (Barnard, 2007). They have engaged in serious market research and developments by conducting market surveys to determine marketing gaps existing in the market and work hard towards filling these gaps by coming up with new products that are more appealing to the consumers. Tassal’s main aim is to conserve the environment and the supply chain also does well to fulfill this mission. Therefore, they have been using correct packaging methods which are biodegradable in both short and long run. This would reduce environmental damages.
Even though the business is booming and making a lot of profits, there are still gaps it should fill in order to make it more competitive internationally, as other countries like Japan and China are posing threats to it. These strategies include the following;
- Market segmentation and segregation; Tassal should conduct market surveys and know the countries the fish demand is higher and where there is high competition in order to build a strong marketing strategy in terms price, product, promotion and place (Trevion, Brown & Hartman, 2003). This will expand the fish farming business and make it more competitive to international markets.
- Employing modern and high technology in fish farming that other competitors cannot match through efficient and environmental friendly manner that will help them produce cheap, affordable and high quality fish and fish products
- Business mix; Tassal concentrates only in selling of salmon fish as seafood. However, the demand of salmon fish could drop in the world market due to changes in demand and tastes. Also other competitors use salmon fish in their production (Ehnert, 2008). In case there is market fluctuations, Tassal could run a huge loss and therefore, it should diversify with other seafood or other aquatic life organism. This will spread the risks.
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