Issues faced in BHP billiton and infosys

Issues faced in BHP billiton and infosys BHP Billiton and Infosys, though both successful in their own right, have emerged from different industrial sectors, and hugely contrasting geopolitical environments. BHP Billiton is the worlds largest mining organisation, and was formed in 2001 by the merging of the Australian Broken Hill Proprietary Company, and Billiton of the UK. The companys primary interests are in Iron ore, Manganese, Petroleum, Aluminium, Base Metals, Metallurgical Coal, Thermal Coal, Stainless Steel resources, and Diamonds/Speciality materials. BHP Billitons scale and diversity appear to have cushioned it from the worst ravages of the contemporary economic downturn, although, as will be discussed, this has not necessarily helped all of its employees and stakeholders. Unconcerned by such vagaries, Chief Executive Officer Marius Kloppers has recently judged that à ¢Ã¢â€š ¬Ã‚ ¦Commercial market mechanism will ensure that developing nations raw material demand is met, that suppliers obtain sufficient investment to meet demand and that new deposits of raw materials are discovered. (Smith BHP chief 2009) However, as other reports concede, BHP expects the majority of this demand to come from developed, rather than developing economies. à ¢Ã¢â€š ¬Ã‚ ¦Despite the low metals inventories in developed economies, there is little evidence yet of sustainable demand for metals emerging post the northern [hemisphere] summer. (MacNamara 2009) 2009 has seen mining profits depressed by the fall in commodities prices: however, BHP has confoun ded this trend by paying a final dividend which matched its interim payment, i.e. 41 cents. As MacNamara points out, BHP has been à ¢Ã¢â€š ¬Ã‚ ¦one of the more successful players in the sector, bigger and better able to handle difficult market conditions than rivals such as Anglo American and Xstrata, which have suspended their dividends until further notice. (2009) Uniquely amongst British mining concerns, BHP has the advantage of a petroleum division, which is now its third most profitable business. (MacNamara glass 2009) During 2009, BHP also abandoned plans to create a joint marketing company with Rio Tinto, which was to sell up to 15 per cent of Western Australian iron ore production. (Smith BHP Rio 2009) Infosys is another company which has made comparatively good progress during the economic downturn, and claims to have emerged from it already. Infosys is Indias second largest software services exporter, reporting a 17 per cent rise in first-quarter profits during 2009. Its UK clients include the UKs Waitrose supermarket chain and many leading international banks. Its business has now developed to the point where it is a viable competitor to long established IT providers, such as IBM, Hewlett-Packard, and Accenture (Fontonella-Khan 2009). Along with other Indian-based outsourcers, such as Wipro, Genpact, and Tata Consultancy Services, Infosys has a macro-economic significance far beyond its own industrial sector, having helped power the Indian economy to 9 per cent growth prior to the 2008-9 financial crisis. (Lamont 2009) London School of Economics analysts attribute this partly to the status of English as an official language in India, making the industrys services highly scaleabl e in western markets, and constituting a competitive advantage over new entrants such as China. As Ilan Oshri of the LSE Outsourcing Unit observes, à ¢Ã¢â€š ¬Ã‚ ¦India is not a powerhouse because it is cheap but because it is smart. Thats not the same with Chinaà ¢Ã¢â€š ¬Ã‚ ¦We dont see Chinese vendors emerging to be powerhousesà ¢Ã¢â€š ¬Ã‚ ¦China is much cheaper than India. But the game is not about cost, its about accessing talentà ¢Ã¢â€š ¬Ã‚ ¦.(Lamont 2009). Section 1: Similarities and Differences. Mitchell et al. identify three possible themes within stakeholder saliency: power, legitimacy, and urgency. (1997: p.853) Both of the companies in question have extended stakeholder chains, but they are rather different in character. It is this contrast which has determined the behaviour of each: altered in one case, unaltered in the other. Of the two, the company which has moved most swiftly to change and signal that change is Infosys, a series of events which may be interpreted according Mitchell et al.s saliency model. Infosys power is intrinsically linked to its legitimacy, and this in turn rests squarely on its relationship with important stakeholders. In the first instance, the companys fortunes are interdependent with the Indian government in its role as an economic facilitator and arbiter of structured growth: significant investor cooperation is contingent upon this relationship. If the emerging Indian economy wavers, the latter will worry about the skills base, infrastruct ure, and political stability which is necessary to grow Infosys shareholder value. Moreover, in a globalised economy, influence of investors upon customer attitudes cannot be underestimated. Infosys is an exemplar business to business operator, so its corporate responsibility profile impacts directly on that of its corporate customers. For example, Waitrose of the UK, which markets itself as a profit-sharing, employee friendly, ethical retailer, could not maintain its own CSR status whilst in cooperation with a pariah multinational. Infosys, therefore, must avoid such status at all costs. Things are different for BHP Billiton, whose corporate responsibility effort, as will be discussed, rests on engagement rather than action. The most striking recent fact pertaining to BHP Billitons social responsibility profile is its dismissal of six thousand employees and contractors in 2009 alone. (Smith axe 2009). However, for complex reasons, its stakeholder profile can accommodate such crises relatively comfortably. Section 2: Responsible business approach, has it increased/decreased, and why? As it is the worlds principal extractive company, it is not surprising that the areas of contention surrounding BHP Billitons operations span the environment, ecosystem, climate change, human resources, community disruption, land rights, political lobbying, and financial malpractice, to name but a few. It is far beyond the scope of this discussion to engage meaningfully with the empirical circumstances of all of these issues and concerns. It may be argued however, that its strategy is one of maximum engagement, and minimum change, a dynamic whose provenance lays in the nature of its stakeholder networks. The important point here is that BHP Billitons is not a unique position. As Brewster reports, an ever higher proportion of blue-chip organisations are joining the ranks of those who publish regular CSR reports. (2007). However, the only thing which this signals in absolute positivist terms is the willingness to open a dialogue with concerned stakeholder groups. At the same time, it can usefully reassure less concerned stakeholders i.e., conventional or unethical investors that the corporate responsibility issue is being fielded in an acceptable way. This is not to say that such reports merely convey a facile dialogue of inaction: however, as will be discussed, they do define and confine responsibility within certain manageable parameters. It may be argued that Infosys has adopted the same kind of logic in its corporate social responsibility effort: its 2008-9 report states that We understand the implications our business has on the economy, environment and society. We also recognise that there is much to learn and engage with our stakeholders to improve our performance in all areas. (Infosys 2009) It goes on to remind the reader that its board members participate in advisory councils, governments and not-for profit organisations à ¢Ã¢â€š ¬Ã‚ ¦to formulateà ¢Ã¢â€š ¬Ã‚ ¦policies on topics such as corporate governance, healthcare, education, climate change, and other key sustainability areas. (Infosys 2009: p.9) The over-arching message is clearly that Infosys is representing itself as a learning organisation, in the defined sense of that term. As Lane et al. point out, each organisation, whether formally constituted or otherwise possesses its own learning culture, subsumed within compatible norms and values, operatio nal priorities, or dominant logics. (2001: p.1143). Of the two organisations however, Infosys has exhibited by far the greatest degree of change in its behaviour. Along with Tata Consulting Services and Wipro, are at the centre of a controversy concerning the importing of non-EU IT workers into the UK: Infosys has itself brought in 3,030 of these employees. The transfer route is, as a consequence, being tightened by the UK Home Office, with the result that temporary workers will no longer have any rights of settlement: in addition, employees will have to have been with a company for a minimum of one year, before transferring to the UK branch (Boxell 2009). However, as both companies as the government are aware, such transfers are sometimes the only means by which specific human resources shortages may be addressed: as Phil Woolas, the immigration minister, concedes, à ¢Ã¢â€š ¬Ã‚ ¦.Intra-company transfers are an important part of making the UK an attractive place in which to do business, and therefore keep industry and the economy mov ing. (Boxell 2009). The point here is that Infosys extended stakeholder chain implies pressures which must be balanced out through this, and other, important structural issues. It cannot afford to be less competitive than its rivals in terms of corporate responsibility, or it will simply lose business. Conversely, BHP Billiton will not. Its stakeholder chain is wider, more diffuse, and far less responsibility-dependent: in short, the world knows what kind of organization it is, and it grows no poorer. Section 3: Contrasting Viewpoints. There are various theoretical frameworks which might be employed to assess the relative corporate responsibility efforts of BHP Billiton and Infosys, despite their intrinsic differences. These range from the extreme Kantian ethical position, which argues that a corporation can have no duty other than to shareholder, or the virtue or Confucian ethical position, which argues that innately good practice will eventually ensure rewards. Two modified positions which might allow a more measured assessment are Tinged Shareholder theory, as posited by Moore and others, and utilitarian ethics. As Moore has argued if tinged shareholder theory were to become a normative model , there would be a greater concentration on the ideal type virtues required of a good manager, and a good organisation. Consequently, a focus on the area of virtue ethics might prove central to the visualising of a corporate responsibility ideal (Moore 1999: p.126). Meanwhile utilitarian ethics arguably provides a useful pe rspective because of its outcome-focused, bottom-line orientated assessment of events. As Fisher and Lovell point out, utilitarianism, combined with cost-benefit analysis, tends to focus on a good rather than the general good, and is therefore very valuable to organisations who wish to manage corporate responsibility, rather than be managed by it. Infosys has indicated a heightened awareness of its stakeholder responsibilities and potential vulnerability by hastily re-constructing its corporate governance image in the aftermath of recent problems. Principal amongst these has been the financial scandal at Satyam Computer Services, its main rival in the software outsourcing sector. As the Financial Times reports, à ¢Ã¢â€š ¬Ã‚ ¦B. Ramalinga Raju, the former chairman of Satyam who is now in police custody, undermined confidence in the sector when he confessed to manipulating the companys accounts last week, including by inventing a cash pile worth more than $1bnà ¢Ã¢â€š ¬Ã‚ ¦'(Leahy reassures 13.1.2009). Acutely sensitized to the negative fall-out from this, Infosys CEO S. Gopalakrishnan has reportedly judged that the entire IT outsourcing sector needs heightened transparency, adding that he himself had been receiving increasing requests for fiduciary details from clients and investors. As he put it, à ¢Ã¢â€š ¬Ã‚ ¦The reason we need to take some confidence measures at this point is that some queries have come in from customersà ¢Ã¢â€š ¬Ã‚ ¦ If you look at our disclosures, we have listed every single bank account and the amount of money we have in the bank so if investors are interested they can check and call the banksà ¢Ã¢â€š ¬Ã‚ ¦. (Leahy reassures 2009). The important point here is that Infosys is attempting to avoid a utilitarian, outcome-orientated model of stakeholder analysis, by adopting a position informed by virtue ethics. It has not been accused of any wrong-doing yet and is attempting to avoid that contingency by exhibiting transparently good behaviour. It has sound business reasons for doing so: as western companies reconstruct themselves following the recent economic downturn, they are downsizing by outsourcing, and Infosys is well placed to capture such business, if it is untainted by corporate responsibility problems. As Chief Executive Officer, S. Gopalakrishnan explains, à ¢Ã¢â€š ¬Ã‚ ¦You want to be cautious because its not completely out of the woods but we clearly see some growthà ¢Ã¢â€š ¬Ã‚ ¦ (Leahy 2009) Like that of many similar Indian companies, the stability and expansion of Infosys is contingent upon the expansion of outsourcing from client companies in the developed world. Infosys itself added a further 35 companies to its client portfolio in the second quarter of 2009. These combined factors have resulted in the addition of 1,548 new employees in the same period, bringing the total on its books to 105,500. As well as reassuring its direct stakeholders, Infosys has also proved itself attentive to the needs of the wider social and political constituency. One example of this lays in the denouement of the Tata Nano car plant dispute, in which protesters alleged that the rights of farmers had been usurped in order to facilitate the development in West Bengal. Orchestrated by Indias principal opposition party the Trinamool Congress, the movement physically besieged the Singur site, drawing down foreign media attention and threatening to dampen foreign investment. CEO S Gopalakrishnan was initially à ¢Ã¢â€š ¬Ã‚ ¦impressed with the efforts of the state government in attracting such investments: however, he now concedes that à ¢Ã¢â€š ¬Ã‚ ¦.Singur has created fear in the minds of India Inc and like all other companies we are watching the developments very closely We will rethink and re-examine our proposed investment if need be.. The bottom line is that Infosys may not proceed with its own Wes t Bengal development plans if the situation is not resolved (Leahy nervous 2009). BHP Billitons needs in terms of communication and responsibility are quite different, and it has arguably opted for a utilitarian, relativist interpretation of good. This approach allows it relative freedom to pursue its vast portfolio of extractive activities in way which might be more difficult if it took a more obstructive stance. In its detailed deposition on BHP Billiton, the Ecumenical Council for Corporate Responsibility reported that it felt, à ¢Ã¢â€š ¬Ã‚ ¦in general, with a few exceptions outlined below, the company has developed a relatively advanced set of policies, which give consideration to many of the issues that our partners have raised in the Bench Marks document. (ECCR 2004: p.7) Moreover, an important part of its dialogue with ethical regulators such as the ECCR lays not in the discussion of specific or practical acts of corporate responsibility, but the demonstration of stakeholder awareness in the abstract. As it explains, The company provides regular reports to all stakeholders that are independently verified on a plan detailing how the company and the suppliers have shared responsibility for complianceà ¢Ã¢â€š ¬Ã‚ ¦ and à ¢Ã¢â€š ¬Ã‚ ¦adopts a transparent policy and reports publicly to all stakeholders on its compliance programme, the findings, and what changes have been made at the factory level. (ECCR 2004: p.63). This is central to BHPs entire CSR strategy: monitoring bodies are left facing a multi-headed hydra of good, bad, or indifferent practice across the companys vast array of activities and geographical reach. As one area of neglect arises, another is dealt with, a process through which the dialogue of engagement and improvement is maintained. The other constant is shareholder value: as the regulators succeed in limiting less equitable practices in one area, less ethical investors may take comfort from the fact that more profitable centres elsewhere retain their potential for dividends. As Moore points out, à ¢Ã¢â€š ¬Ã‚ ¦it is a common feature of theories of the firm that they regard the firm as a nexus of contracts. Theà ¢Ã¢â€š ¬Ã‚ ¦theories differ as to the extent of these relationships, with shareholder theory restricting this to legal and implied contracts, while stakeholder theory takes a broader definition to include social/moral as well as legal and implied contracts. (Moore 1999: p.122) The point here is that the utilitarian approach adopted by BHP Billiton has, for the time being, balanced these two forces. Conclusion A common theme in the fortunes of these two different companies lays in their successful emergence from a difficult economic period. BHP has recently asserted that there are à ¢Ã¢â€š ¬Ã‚ ¦signs of stabilization in the developed economies, with positive signs of improvement in industrial production. (MacNamara 2009) Moreover, BHP will soon be free to refresh its takeover bid for Rio Tinto, under the terms of the UK takeover code. (Smith BHP and Rio 2009) BHP also told shareholders that market conditions had improved since it held its annual meeting in London. à ¢Ã¢â€š ¬Ã‚ ¦The velocity of the recoveryà ¢Ã¢â€š ¬Ã‚ ¦has indeed been surprisingà ¢Ã¢â€š ¬Ã‚ ¦ CEO Kloppers said, whilst cautioning that à ¢Ã¢â€š ¬Ã‚ ¦BHP was expected to emerge from the downturn less strongly than in previous cycles. (Smith 2009). This may be interpreted as a restraining hand upon corporate responsibility: things are OK, but dont interfere. Meanwhile, Infosys has also benefited from its more public, virtu e-driven responsibility stance. Research by the London School of Economics indicates that western executives in western companies opted for outsourcing à ¢Ã¢â€š ¬Ã‚ ¦on quality of service more than price. It also pointed out that Egypt, Hungary and Romania were most likely to join the shared service centre sector as key players in the near future (Lamont 2009). Infosys has of course already laid the foundations for such diversification, stating that à ¢Ã¢â€š ¬Ã‚ ¦As we grow further, we have to make sure our workforce reflects the regions from where we derive revenue to whatever extent possibleà ¢Ã¢â€š ¬Ã‚ ¦ (Leahy 2006). In conclusion, it seems reasonable to argue that corporate responsibility and stakeholder concerns are at their most harmonious -for better or worse when the hegemony of liberal economics prevails. As Collier points out, In the modern world of globalisation there are some fabulous ladders: most societies are using them. But there are also some chutesà ¢Ã¢â€š ¬Ã‚ ¦ (2007: p.5) If classical economics is afforded hegemony, then any expectation which does not implicitly recognise that snakes can swiftly become ladders -and vice versa  ­- is inherently flawed. The collection of papers on globalisation edited by Timmons Roberts and Bellone incorporates commentary by some rather older commentators, who observed that, à ¢Ã¢â€š ¬Ã‚ ¦the bourgeosie cannot exist without constantly revolutionising the instruments of production, and thereby the relations of production, and with them the whole relations of society. (Timmons Roberts and Bellone, 2007: p.27) As unfashionable as they may be, Mar x and Engels may have distilled an essential truth here, regardless of the fact that they did so through observation of an earlier period of structural economic change. The unavoidable function of companies, including Infosys and BHP Billiton, is to serve shareholder value. When they cease to do so, they will also cede their position to other who will.

The Importance of Giving It Your All Essay -- Personal Narrative

The Importance of Giving It Your All It was a crisp autumn afternoon; the sun was shining and the parched leaves rustled as a cool breeze waltzed through. Today was the day I had anticipated, the day I would go and take the Elementary School Gifted Program test. This was my goal, to succeed the gifted program and be known at the top of my class. I was a little nervous, but I ignored my sweaty palms and scratchy throat as I followed slowly behind my mother, because I knew I had to do this. An elderly woman opened the door. She was slender and fragile-looking. She had thick gray hair that was pulled tightly back into a sleek professional bun. She wore a beige woven sweater with the sleeves rolled just above the elbow and black, freshly pressed slacks. The woman introduced herself as Sandra Schmidt and invited us in. After settling my mother in the family room, she immediately took me to the back of the house where a small card table and two fold-out metal chairs were set up. We sat down and promptly began. She asked me myriad verbal questions of varying degrees of difficulty,...

Big Fat Globalization Essay

ABSTRACT: It has often been observed that obesity follows a socioeconomic gradient which adversely affects the poor. This paper proposes the outline of a sociological theory of obesity as a consequence of ‘globalisation factors, such as labour market deregulation. Forced to work longer hours – and with lower levels of job-security – workers in low paid jobs have fewer opportunities to burn calories, and are more likely to consume fast-food. This combination has led to higher levels of obesity among the poor in countries that have adopted neo-liberal labour market reforms. There are some human phenomena, which seem to be the result of individual actions and personal decisions. Yet, these phenomena are often – on closer inspection – as much a result of social factors as of psychological ones. In 1897, Emile Durkheim (1997) showed that the suicide – perhaps the most personal of all decisions – could be analysed through the conceptual lenses of sociology. Obesity, much like suicide, is often regarded as a personal problem; result of an inability to control ones desires in front of the fridge. Obesity does have a psychological, and, indeed, a medical, dimension, yet like the suicide, this growing phenomenon also has a social dimension. This paper is an attempt to do the same for obesity as Emile Durkheim did to the study of suicide; to analyse it in the light of the theories of sociology. Obesity and Social Science Interest in the social aspects of obesity is nothing new. Jeffrey Sobal has written extensively about the social and psychological consequences of obesity , including the stigmatisation and discrimination of obese and even overweight individuals (Sobal 2004). Scholars with a more anthropological twist have written about the different social perceptions of obesity, e.g. the positive view of fatness among some indigenous peoples (Swinburne et al. 1996). In an article entitled, â€Å"An anthropological Perspective on Obesity â€Å" (Brown and Konner 1987), the authors found that â€Å"cross cultural data about body preferences for women reveal that over 80% of cultures for which shape preference data are available, people prefer a plump shape† (cited in Sobal 2004, 383). That these ideals are embedded in their respective cultures is perhaps best evidenced by the small statuette Venus of Willendorf, by common archaeological consent the oldest known work of art. Stone age man evidently preferred a big girl complete with multiple love-handles, someone who could both carry and nurture his offspring under the harsh conditions of the Palaeolithic world. Other examples of the cultural acceptance of large people obese Buddha statues in the Far East and rituals of prenuptial fattening in many cultures, where fatness is seen as sexually attractive (Brink 1989). That fat has often been a symbol of status is not merely an anthropological observation. In the 19th Century, in Britain, according to Williams and Germov, â€Å"a large, curved, body†¦connoted fertility, wealth and high status. While poor women were occupied with physical work, the voluptuous women of the middle classes were often viewed as objects of art, luxury, status, virtue and beauty† (Williams and Germov 2004, 342). â€Å"Fatness†, they go on, â€Å"was linked to emotional stability, strength (stored energy), good health, and refinement to leisure† (Ibid). These observations are worth bearing in mind when we discuss obesity. Obesity is – to a certain extend – a social construct. But obesity is also more than this. As an increasing medical problem, obesity is not merely a condition that can be – or should be – analysed in the light of perception and aesthetics. Obesity is also a product of biological, psychological, and social conditions. While not ignoring the importance of the former two factors, this paper presents an account of the latter. While correlations between obesity and  social and economic background variables have been reported (Flegal et al. 2000), sociological analyses have thus far not addressed the question of the social aetiology of obesity. This paper seeks to present a first step towards remedying this. The Obesity Debate ‘Why are we so fat?’ asked American magazine The National Geographic in a feature article in the summer of 2004 (National Geographic 2004). The use of the collective noun ‘we’ seemed particularly warranted as recent statistics show that more than 65 percent of us (the British) are overweight. (defined as having a Body-Mass Index of 25 or above). Still more alarming; 20 percent of us are clinically obese (defined as having a Body-Mass Index of 30 or above).(House of Commons Select Committee on Health 2004). Britain is not alone in this. In America the figure is even higher; 30 per cent of the Americans are obese (US Department of Health and Social Services 2000). According to a recent study of obesity in the USA, diet related illnesses are responsible for four out of the ten leading causes of death. (Bush and Williams 1999, 135). These figures matter for more than psychological and aesthetic reasons. It is estimated that more than 30.000 deaths per year in the UK are attributed to obesity or obesity related illnesses (House of Commons Select Committee on Health 2004, 6). In the colourful words of one medical expert: â€Å"this is an epidemic†¦the likes of which we have not had before in chronic disease†¦[obesity is] making HIV look, economically, like a bad case of the flu† (William Dietz quoted in Greitser 2000, 42). Add to this that close to ten percent of the total NHS budget is allocated to obesity and related illnesses, and it is difficult to dispute that obesity is a major health concern as well as a major socio-political problem. Facts1 such as these more than justify the Chief Medical Officer’s conclusion that obesity is â€Å"a health time bomb† that needs diffusion (Chief Medical Officer quoted in HC Select Committee on Health 2004, 8). But public health is not just about diagnosing and treating conditions, it is also about understanding causes, the identification of which will enable us to take the appropriate prophylactic measures to combat the epidemic. Yet, there is far from agreement on what these causes are. The explanations for the obesity epidemic cited in the popular press, e.g. in The National Geographic and in Newsweek (2004) were all biological in origin and medical in consequence. Quoting the work of medical geneticist Rudolph Leibel, The National Geographic concluded that obesity was down to genetics. â€Å"Our overeating†, the magazine quoted Leibel as saying, â€Å"is not the wilful result of deranged upbringing. It is genes talking† (National Geographic 2004, 62). This biochemical reductionism is not new – though the underlying science has changed. As far back as 1924, the editors of the Journal of the American Medical Association editorialised that ‘obesity’ was purely the result of ‘malfunctions in normal metabolic processes’ (Editorial: The Journal of the American Medical Association 1924, 1003). Contrary to the impression left by features such as those in Newsweek, the National Geographic and the octogenarian editorial, the picture is a good deal more complex than that. This is increasingly recognised within medicine. A report from the American Institute of Medicine is an example of a critique of the geneticist view: â€Å"there has been no real change in the gene pool during this period of increasing obesity. The root problem, therefore must lie in the powerful social and cultural forces that promote an energy-rich diet and a sedentary lifestyle† (Institute of Medicine 1995, 152). There is evidence to support the veracity of the hypothesis that social and cultural forces play a role (Flegal et al. 2000, 6). What is striking about the obesity epidemic is the extent to which it reflects social class conditions. To cite but one example; the Health Survey  for England has shown that in 2001, 14 percent of women in professional groups were obese, while 28 percent of women from unskilled manual occupations were categorised as such (House of Commons Select Committee on Health 2004, 16). Similar examples are legion. As a study concluded; â€Å"the largest rates of obesity occur among population groups with the highest poverty rates and the least education† (Drewnowski and Specter 2004, 6). This correlation between poverty and obesity is likely to be the result of underlying social factors. It is not that there is an automatic relationship between poverty and obesity. This relationship is a new phenomenon, which, consequently, needs to be analysed in the light of recent social, political and economic developments. As Ulrich Beck has observed; ‘the struggle for one’s ‘daily bread’ has lost its urgency as the cardinal problem overshadowing everything else†¦for many people the problems of ‘overweight’ take the place of hunger’ (Bech 1997, 21). The interesting question from a sociological point of view – as well as from a medical one – is why. Globalisation and Obesity: Towards a Pattern It is difficult to dispute that obesity is a social condition, which adversely affects those in low paid/short term jobs. Needless to say, obesity does have a significant biomedical component; what happens inside the body after you have munched your Big Mac obviously requires a physiological/biochemical explanation. However, it is (from a sociological and public health point of view) equally important to determine the factors which lead you to eat the Big Mac in the first place. What we endeavour to answer is the social aetiology of obesity; the social causes, which lead to weight gain. The aforementioned research findings strongly indicate that weight problems and poverty are highly statistically correlated. As a oft-cited study said:  Ã¢â‚¬Å"diet affects the health of socially disadvantaged people from cradle to grave† (James, Nelson, Ralph, and Leather 1999, 1545). Of course a quote does not establish a fact, nor does a statistical association. The question is what lies behind these correlations? Some could – with some justification – argue that these class differences merely reflect and reconfirm the existence of serious inequalities in health – as reported in the Black Report in the early 1980s (Working Group on Inequalities in Health 1982). What has hitherto been missing from the literature on obesity – as well as that on health in general – has been more ambitious theoretical explanations linking medical conditions – in this case obesity – to more general sociological discourses and theoretical trends (such as modernisation and globalisation). One obvious – yet overlooked – hypothesis is that societal changes from a traditional industrial society to a globalised (deregulated) economy has created new patterns of life and work, which have had adverse effects on food consumption, exercise, and hence has contributed to the increase in the growth of the obesity epidemic. According to this hypothesis, the advent of a neo-liberal economic regime has had – and continues to have – profound consequences for working patterns – especially for those in low paid/insecure jobs. This hypothesis is, in fact, consistent with observations made by sociologists such as Anthony Giddens who have observed that â€Å"one of the ways globalisation has affected family life in Britain is by increasing the amount of time that people spend each week at work† (Giddens 2004, 62). In addition to working longer hours, individuals are increasingly working in service sector jobs (such as call centres) with provide little opportunity for physical exercise. With ‘flexible’ working hours, individuals are likely to eat later and more likely to consume fast-food (Dalton 2004, 95). The  medical consequence of this is that they are unlikely to burn the extra calories they consume. While no evidence of this has been published using UK figures, data from America confirm this trend; â€Å"Americans now spend almost half of their food dollars on food away from home – 47 percent, or $354.4 billion in 1998† (Dalton 2004, 94) .That the hurried life-style brought about by changes in labour market is – in part – responsible for this, is underlined by figures from the fast food chains reporting that ‘drive-thru’ sales now account for more than half of their total sales (Dalton 2004, 95)2. That this has contributed to the obesity epidemic is underlined by the fact that â€Å"away from home† foods contain more total fat and saturated fat on a per-calorie basis than â€Å"at home food† (Dalton 2004, 94). As a further consequence of the changes in working patterns – and the less free time available – individuals are less likely to engage in sport and social leisure activities – factors which have been shown to be negatively correlated with weight gain (Dalton 2004, 95). Again American figures illustrate the trend. In 1991, 46 percent of high school students and 57 percent of middle school students were enrolled in sport activities (Sallis 1993, 403). By 1999, those figures had dropped to 29 percent of high-school students and 35 percent of middle school students. On average there is a 3 percent decrease in the number of kids who take part in sporting activities on a daily basis (CDC 2000). Viewed in this light is perhaps not surprising that the countries in the forefront of ‘globalisation’ (especially labour market deregulation) are also the countries with the highest incidence of obesity (See table One). Conversely, countries with less globalised economies, have had lower – sometimes much lower – levels of obesity. A few examples will suffice. In Sweden – a country that has not followed the neo-liberal reform agenda – the number of overweight people is 39 per cent  (the same figure as France – another country that has resisted neo-liberal reforms). The figure for Norway another affluent society in the same category is even lower; 25 percent (www.iotf.org). That labour market dergeulation goes hand in hand with obesity, seems to be confirmed when we contrast the obesity figures from ‘globalised’ countries with similar figures from less globalised economies (as measured by the Heritage Foundation Index of Economic Freedom). The Pearson’s Correlation Coefficient between this measure of globalisation (admittedly a gross proxy!) and obesity rate is a Pearson’s R of -.71. In other words, the less globalised the economy, the lower the number of obese people. While this correlation is not all conclusive – and only significant at 0.37 (two-tailed), it does suggest the existence of a causal link between obesity and globalisation. Table One: Index of Economic Freedom and Obesity Rates CountryIndex of Economic Freedom %Obese Australia1.8820 France2.63 8 Finland1.9513 Netherlands2.04 8 Norway2.25 7 United Kingdom1.7917 USA1.8525 Sources: The Heritage Foundation and www.iuns.com (accessed 14 August 2004) While governments of the most globalised economies – such as Australia, the UK and the USA – have gone to great lengths in their efforts to deregulate the economies and give ‘the market’ a stronger role, other countries – especially those with strong corporatist traditions (See Lijphart 1999) –have adopted a different approach to globalisation. In the Netherlands the government, trade unions, and employers associations have negotiated responses to globalisation, which have prevented the growing inequalities and levels of job-insecurity associated with globalisation in  Australia (Bessant and Watts 2002, 306)., Britain and the USA (Giddens 2001, 69). Consequently, the Dutch workers are not under the same pressures as their British and American counterparts in having to seek low paid/short term employment, with all the consequent negative implications on food consumption and lack of time for physical exercise (Freedman 2000). The difference between these two ‘pure types’ of welfare capitalism is not merely of importance for the reasons identified above (food intake with little opportunity to burn calories). There is also evidence to suggest that the ‘Dutch model’ is more conducive to the formation of ‘social capital’, which in turn is negatively correlated with levels of obesity (Putnam 2000, 264). Further globalisation is more than just labour market deregulation. Global liberalisation of trade under the WTO and liberalisation of the market for broadcasting are other factors to be taken into account. Globalisation is a mix of contingent factors which – when combined – create social developments. One of the consequences of globalisation is a society, in which consumers both ‘enjoy’ the benefits of cheap food from around the globe, while at the same time, are being subjected to advertisements from multinational food and beverage producers, such as McDonalds, Pepsi, Burger King, Coca Cola, and others. The level of this influence can hardly be exaggerated; in one year McDonald spent in excess of 1 billion US-dollars on advertising for kids (Brownell and Horgen 2003, 60). Globalisation has profoundly affected capitalist democracies, yet not all countries have responded by deregulating labour markets and unleashing market forces. In some cases, countries have (successfully) attempted to regulate the forces of globalisation, e.g. through restrictions on media advertising (especially on TV). In the Netherlands the public broadcasters  are not allowed to interrupt programmes aimed at the Under-12 year olds with advertisements. Similar restrictions have been introduced in Sweden and Norway (www.childrensprogrammes.org). That such restrictions have been introduced in small countries with relatively open economies is an indication – perhaps even a proof – that the effects of globalisation are not inevitable; that political intervention has not been rendered impossible by globalisation Conclusion â€Å"There is no question that the rates of obesity and Type 2 Diabetes †¦follow a socioeconomic gradient, such that the burden of disease falls disproportionally on people with limited resources, racial-ethnic minorities, and the poor†. Thus wrote two dieticians recently (Drewnowski and Specter 2004, 6). Previously, scholarly studies in the social aetiology of obesity have stopped short of developing these statistically based conclusions into a more general theoretical sociological framework. In this paper a case has been made for the view that obesity is – at least in part – a consequence of the recent political and economic developments commonly known as ‘globalisation’. Globalisation has led some governments (e.g. in the USA, Britain and Australia) to enact and implement labour market reforms (flexible job-markets with less job-security). One of the consequences of this development has been pressures on families and individuals in low paid/temporary jobs. Through this ‘globalisation’ has created conditions, which are conducive to over-consumption of high-energy foods. Forced to work longer hours, individuals have less time to prepare meals opting instead for pre-prepared fast food with a high fat content. In addition to this development, the availability of cheap food from around the globe coupled with advertising from multinationals – has resulted in new pressures which have led to a growth in the consumption of energy-rich food  among the poor. Thus a combination of social factors have contributed to the fast growing epidemic of obesity which is eroding our health budgets, lowering self-esteem and creating premature deaths. References: American Medical Association (1924), ‘What Causes Obesity’, Editorial, The Journal of the American Medical Association, 1924, 83, 1003. Ulrich Beck, Risk Society. Towards a New Modernity, London, Sage, 1997, p. 21. Bessant, Judith and Watts, Rob (2002) Sociology Australia. Crows Nest, NSW: Allen&Unwin P.J. Brink (1989) â€Å"The Fattening Room Among the Annang of Nigeria: Anthropological Approaches to Nursing Research†, in Medical Anthropology, Vol. 12, pp. 131-43). Brown, P.J. and Konner, M. (1987) â€Å"An anthropological Perspective on Obesity â€Å", in Annals of the New York Academy of the Sciences, Vol. 499, pp.29-49 Brownell K.D. and Horgen, K.B (2004) Food Fight : The Inside Story of the Food Industry, America’s Obesity Crisis, and What We Can Do About It., McGrew-Hill. Bush, L. and Williams, R. â€Å"Diet and Health: New Problems/New Solutions†, in Food Policy, Vol. 24, pp.135) Campos, Paul (2004)The Obesity Myth. Why our Obsession with Weight is Hazardous to Our Health. London: Penguin. CDC. The President’s Council on Physical Fitness and Sports, â€Å"Healthy People 2010†, 2000, www.health.gov/healthypeople/document/HTML (Accessed 13 September 2004). Childrens Programmes (n.d) www.childrensprogrammes.org/regulate.html. Critser, G. (2000), â€Å"Let them Eat Fat†, in Harper’s March 2000. Drewnowski, A and Specter, S.E, ‘Poverty and Obesity: the role of energy density and energy costs’, in American Journal of Clinical Nutrition, 2004, 79, 6-16. Durkheim, Emile (1997) Le Suicide. Étude de Sociologie. Paris: PUF Flegal, K.M, et al. ‘Prevalance and Trends in Obesity among US Adults 1999-2000, Journal of the American Medical Association, 2000, 288, 1723-27 Freedman, Richard (2000), ‘Single Peaked versus Diversified Capitalism: The Relationship Between Economic Institutions and Outcomes’ Bureau of Economic Research. Working Paper 7526, Washington, NBER. Giddens, Anthony (2004) Sociology, 4th Edition, Cambridge, Polity Press. Institute of Medicine (1995); Weighing the Options: Criteria for Evaluating Weight Management Problems, Washington DC, American Academic Press. International Obesity Task Force, www.iotf.org James, W.P.T, Nelson, M., Ralph, A. and Leather A. (1999), â€Å"Socioeconomic Determinants of Health: The Contribution of Nutrition to Inequalities in Health†, in British Medical Journal, Vol.314, No.7093, pp.1545-49. Lijphart, Arend (1999). Patterns of Democracies, New Haven, Yale University Press. National Geographic, ‘Why Are We So Fat?’, August 2004-09-16 Newsweek, (2004) â€Å"What do You Know About Fat†, in Newsweek Magazine September 20 Putnam, Robert (2000) Bowling Alone. The Collapse and Revival of American Social Capital, Simon and Schuster, New York. J.F. Sallis (1993) â€Å"Epidemiology of Physical Activity and Fitness in Adolescents†, in Critical Reviews in Food Science and Nutrition, Vol.33. no.4-5, 403-408. Sobal, Jeffery (2004), ‘Sociological Analysis of the Stigmatisation of Obesity†, in John Germov and Lauren Williams (Editors), A Sociology of Food and Nutrition. The Social Appetite, Oxford, Oxford University Press Swinburn, Boyd. et al. ‘Do Polynesians Still Believe that Big is Beautiful?, in New Zealand Medical Journal,1996, 109. 100-103 US Department of Health and Social Services, Healthy People 2010, 2nd Ed., US Gov. Printing Office, 2000. Lauren Williams and John Germov (2004)†The Thin Ideal: Women, Food, and Dieting†, in Lauren Williams and John Germov (Editors) A Sociology of Food and Nutrition. The Social Appetite, Oxford: Oxford University Press, 342 Working Group on Inequalities in Health (1982) Inequalities in Health (The Black Report), London, HMSO, 1982.

Lord Of The Flies, By John Milton Essay - 1639 Words

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