The importance of caterpillar inc in mining

The importance of caterpillar inc in mining Caterpillar Inc is the largest maker of construction and mining equipment, diesel and natural gas engines and industrial gas turbines in the world (Caterpillar Inc, 2010, p.1). It was started in 1925, and is based in Peoria, Illinois. Its operations are divided into three segments: machinery, engines, and financial business segments (Businessweek, 2010). With a global footprint, Caterpillar Inc.s product line boasts of more than 300 products, manufactured in twenty three countries (Caterpillar Inc, 2010). In the sections that follow, an internal analysis of the firm is carried out and its distinctive capabilities and core competencies evaluated. Its corporate, functional, and competitive strategies are also analyzed. Distinctive capabilities: The resource-based view of the firm asserts that an organizations resources and capabilities underpin the bedrock upon which the firms competitive advantage and strategy is based. While resources refer to the productive assets owned by the firm (Saloner, Shepard, and Podolny, 2008, p.12), capabilities refer to what the firm can do (Saloner, Shepard, and Podolny, 2008, p.12). Three types of resources have been identified: tangible resources, intangible resources, and human resources. As far as Caterpillar Inc is concerned, these are discussed below: Tangible Resources: Financial Resources: Caterpillar has a strong and healthy cash flow position. Net cash flows have increased from $592,000 in 2007 to $1,614,000 in 2008 and $2,131,000 in 2009 (Yahoo Finance, 2010). It enjoys strong market capitalization, which stands at $39.8 billion compared to only $6.29 billion for its closest competitor and the industry average of $1.71 billion. Its operating margins as well as price earnings ratio are well above the industry average (Yahoo Finance, 2010). Caterpillars sales revenues, profits, and other financial indicators have shown a consistent improvement over the years. For instance, sales revenues have risen from $30.3bn in 2004 to $51.3bn by 2008, surpassing the firms 2010 target of $50bn with two years to go. Over the same period, profits have risen from $2bn to $3.6bn. Other financial ratios have also witnessed a strong climb-up (Annual Report). The firm also boasts of an investment-grade credit rating as well as easy access to the capital (Caterpillar I nc, 2009). Marketing Resources: Caterpillar Inc has a marketing and distribution system that spans the entire globe. Additionally, it holds the market leadership position in the construction and mining industries as well as in the construction of natural gas, diesel, and industrial engines (Caterpillar Inc, 2009). With the broadest global footprint in the industry, it is very well diversified in terms of geographical spread and derives only 33% of its revenues in the US market. With over 300 products in its product line, its product base can be described as broad and well diversified which can help cushion it against downturns in specific product areas. Its customer service can also be described as superior, given that the firm offers among others quality assurance underpinned by a three year warranty, as well as fixed rate long-term financing tailored to specific customer needs (Caterpillar Inc, 2009). Physical Resources: Caterpillar Inc boasts of hi-tech manufacturing facilities spread in at least twenty three countries, and geared towards production in thirteen different industries. Under the Caterpillar Production System (CPS), it has a world class manufacturing, supply chain, and distribution system that are closely aligned with the flexible manufacturing philosophy (Caterpilar Inc, 2009). Intangible Resources: Technology: the number of patents which Caterpillar Inc has received has continued to increase year after successive year. By 2010, it had 620 patents. This is in line with its expenditure on RD which has grown from just $928 million in 2004 to $1.73bn by 2008 (Caterpillar Inc, 2009). Reputation: the market leader in the construction and mining industries and in the natural gas, industrial, and diesel engine industries, Caterpillar enjoys strong brand recognition as well as a strong reputation for machines distinguished by their specialist expertise, durability, design, as well as dealer and service excellence. According to Saloner, Shepard, and Podolny (2008, p.12), resources by themselves cannot give a firm a competitive advantage but must be blended together to give the firm capabilities. Based on the inventory of Caterpillar Inc.s resources presented above, the firms capabilities can be given as follows: strong financial position which also gives the firm a high ability to finance innovation (RD) and working capital requirements, raise credit financing to expand its operations or investments, as well as the ability to finance its customers and dealers purchases over the long run. Strong innovation capabilities as evidenced by the increasing number of patents it holds and the sustained investment in RD activities. Supply chain efficiencies (flexibility, cost effectiveness, etc) as evidenced by its Caterpillar Production System (CPS). Strong manufacturing and distribution capabilities as evidenced by its global configuration of production, supply, and distribution facilities. Strong marketing capabilities as defined by its market leadership position, broad product portfolio (over 300 products in thirteen different industries), its strong brand recognition and reputation, and superior customer service and excellence. Selznick (1990) coined the term distinctive competences / capabilities to describe those things which the organization does extremely well relative to its marketplace rivals. In the case of Caterpillar Inc, its distinctive capabilities can be said to include: its innovation and financial capabilities as well as its well-diversified product base and geographical spread. Core competencies: Prahalad and Hamel (1990) define core competencies as those capabilities which are central to an organizations achievement of a sustainable competitive advantage. For the capability to be termed as a core competence, it has to meet four criteria as spelled out by the VRIO framework. It must be valuable, rare, inimitable, and the organization must be sufficiently organized to exploit it. While Caterpillar Inc has a very broad product line and wide geographical spread, this can be easily replicated by its rivals through a deliberate strategy of market development and product diversification. Its supply chain capabilities can also be easily replicated through undertaking demand and supply chain integration activities such as maintaining low inventory levels and adopting flexible manufacturing systems. Its main core competencies therefore are its innovation capabilities, its superior financial position, and its superior customer service. Strategy: Strategy formulation has been described as taking place at three levels: the corporate level, business level, and the functional level. Robbins and Coulter (2005) identify three types of corporate strategies. These include growth, retrenchment, and stability strategies. Traditionally, Caterpillar has pursued the growth strategy which involves aggressively expanding into new markets and introducing new products so that by 2008 it had more than 300 products. Apart from its domestic US market, it has spread to most countries in Asia Pacific, Africa, Europe and Middle East, and Latin America. However, prompted by the increasingly cyclical nature of the industries across which it operates as well as the recent global economic recession, the firm put brakes on its growth strategy and pursued a retrenchment strategy instead. This was characterized by cost reduction initiatives, closure of underperforming business units, and employee layoffs (Caterpillar Inc, 2009). According to its annual report, the firms trough planning initiative has involved: Scaling down the number of its employees by more than 20,000, through voluntary as well as forced layoffs. Additionally, the firm has done away with many contingent workers (that is, temporary, agency, and contract employees). Reducing working hours as well as closing some plants temporarily in many of its global facilities. In some areas, the firm has introduced shorter working weeks. The firm has also undertaken various measures to optimize its supply chain management. These include reduction of inventories (which is expected to lead to lower inventory carrying costs), forging closer relationships with key suppliers, and the alignment of its logistical processes to conform to its flexible manufacturing system dubbed the Caterpillar Production System (CPS). It has drastically reduced compensation levels for its employees and managers, in some instances by as much as half. This is expected to drive cost savings. According to Robbins and Coulter (2005), firms which pursue the corporate strategy of growth have various strategic alternatives at their disposal. These include: concentration, vertical integration, horizontal integration, and diversification strategies. Of the four strategies, Caterpillar Inc has primarily made use of the diversification and horizontal integration strategies. Diversification involves expanding the firms scope of operations into other industries and product lines and this can be seen in the firms expansion to over 300 products and in thirteen industries. The horizontal integration strategy involves merging operations with other players in the same industry with a view of enhancing the firms competitive thrust and lowering competition in the industry. In the case of Caterpillar, this is evidenced by: Combination of its operations with Mitsubishi Heavy Industries in 1965 in the Japanese market; joint venture with Navistar International Corporation which led to the creation of a new entity known as NC2 Global LLC in 2009; and a joint venture agreement with China Yuchai Machinery Co. Ltd in 2009 (Businessweek, 2010). The Ansoff Matrix has further identified the strategies which can be pursued by a firm deploying the corporate strategy of growth as: product development, market development, diversification, and market penetration strategies (Mercer, 1996). The firm has predominantly made use of the product development strategy which involves the introduction of new products for existing markets. Cases in point include the introduction by the company of next generation mining trucks, the first ever electric drive tracks in the industry, as well as the innovation of the revolutionary cat 175 engine (Caterpillar Inc, 2009). The market development strategy is also evident in the firms strategic posture, especially in its forays into more countries through geographic expansion. Some of the countries recently ventured into by Caterpillar include Saudi Arabia and India (Caterpillar Inc, 2009). At the business level, three main strategies have been identified. These include the overall low cost leadership strategy, the differentiation strategy, and the niche / focus strategy. The niche strategy has further been distinguished as either a differentiated niche strategy or focused low cost strategy. Additionally, an organization may follow a stuck in the middle approach where it simultaneously pursues two or more of these strategies (Porter, 1998). Of the three generic strategies, Caterpillar Inc can be described as following the generic strategy of differentiation. As its annual report (Caterpillar, 2009) attests, this strategy is based on two of its core competencies: its innovation capabilities and superior customer service. Functional level strategies are strategies which are implemented at the functional level in order to support the business level and ultimately, the corporate level strategies (Robbins and Coulter, 2005). For example, as far as the human resource is concerned, the firm continues to put a lot of emphasis on the training and development of its personnel. In 2008 for example, it spent up to $60 million in training and development initiatives. By ensuring that its employees are well trained and developed, the firm can see to it that creativity and innovation is fostered and that the staff are in a position to deliver exceptional levels of customer service. Its customer service strategy for example has involved offering three year warranties, and long term financing for customers and dealers (Caterpillar Inc, 2009). Its manufacturing strategy has involved upgrading of its facilities. For example, in 2008, the firm spent up to $2.4 billion in initiatives aimed at modernizing its manufacturing infrastructure. Other functional level strategies include ensuring costs are kept within manageable levels while maintaining high quality standards through initiatives such as the Six Sigma program, and ensuring that the organization is aligned with emerging market needs (Caterpillar Inc, 2009).

feel safer now :: essays research papers

Feel Safer Now? 1.  Ã‚  Ã‚  Ã‚  Ã‚  In order for organizations to function, there must be a free flow of information. This is a complex process, which becomes even more complicated when information is expected to flow freely from one government agency to another. This is the difficulty which plagued US agencies in the events leading up to September 11th. There were several sources of breakdowns in information present before the attacks in New York.   Ã‚  Ã‚  Ã‚  Ã‚  One of the large breakdowns in information was due to information overload. There are many agencies in the states which involve national safety, such as the FBI, CIA, NSA and DAINS. Each agency possesses vast amounts of information and it was difficult for the bureaucracies to decipher which information was credible and important from information that was inconsequential and trivial.   Ã‚  Ã‚  Ã‚  Ã‚  Insufficient amounts of information and inadequate flow of information strongly affected information sharing among agencies. First, each agency had different methods and rules for doing business. Because of this information was not uniformly documented or organized. This caused trouble when it came to relaying facts and suspicions to a different agency. Secondly, the agencies sabotaged adequate flows of information by being incredibly secretive with their own knowledge. Information was not easily or willingly shared between the agencies. Next, the agencies all had critical information about the pilots of the planes which crashed into the Trade Center but failed to adequately communicate their information. The NSA and CIA both held valuable pieces of the puzzle in catching Nawaf al-Hazmi but failed to piece them together to actually realize he was a threat. Lastly, because the FBI was only responsible for crimes already committed, information was not passed on from the CIA regarding al-Hazmi’s link to al-Qaida. These are all severe negative results from a system breakdown due to insufficient and inadequate flow of information.   Ã‚  Ã‚  Ã‚  Ã‚  Errors also occurred due to interpretation of information. The text states that written messages are more ambiguous and make differences in interpretation much more likely. A written request for a search warrant for a presumed hijacker (Moussaou) was sent to the US national security court. The writers of the request failed to include valuable French reports connecting Moussaou to al-Qaida. Another interpretation of data error was incredibly blatant. NSA intercepted a conversation in Arabic and failed to translate it. This missed message spoke of a â€Å"big event† planned for September 11th. 2.  Ã‚  Ã‚  Ã‚  Ã‚  Most of the errors leading to September 11th were those which seem to be errors in hindsight.

Farm Size and Efficiency Comparative Profit Analysis

1. Introduction The largest and biggest contributor to Bangladesh’s economy is the agricultural sector. Seen often as the ‘unsung’ hero of our growth revolution, it still serves as the most significant industry in this country. In spite of its large contribution to employment, relatively speaking, its contribution to GNP falls short of expectations. Hence, as with other developing countries, the agriculture sector in Bangladesh can be classified as predominantly being ‘traditional’.This implies that it is mainly comprised of small households that suffer from technological stagnation, unskilled labor, and supply chain and market linkage problems. In spite of this, a modern agriculture sector does exists which enjoys substantial economies of scale. It is a well established fact that with increase in scale of output, efficiency increases up to an optimum point and this paper will put this to the test by investigating whether this holds true in the agricu lture sector as well. 2. Problem statementIdeally, government policy should be directed towards increasing the capacity of the traditional agriculture sector in order to transform it towards a more modern one. However, with a weak local government structure, lack of strategic planning and corruption, effective government support towards this sector cannot be expected. Even if policy makers could come up with viable policies to help rural farmers, it would be very costly as most of these rural farmer’s are too small and dispersed in remote areas. Therefore, any aggregate development would either fail in cost effectiveness or fail in implementations.This leads to the point that increase in farm size needs to take place in the grassroots level This paper therefore will look into the possibility of rural farmer’s joining together to ‘pool in’ their limited technology, land, labor and skills to achieve some form of economies of scale that can increase their eff iciency and lower the costs. Such a framework could be done in the style of a producer’s cooperative. An agriculture cooperative is â€Å"a type of cooperative that unites agricultural producers for production or other activities needed by the members (such as processing, marketing of output, or supply of the means of production). An increase in efficiency can be contributed to a variety of factors such as improvement in technology, more efficient use of land, increase in skilled labor etc. While individual quanitative analysis is beyond the scope of this paper, a single variable can be used to do a comparative analysis to see whether belonging to a cooperative, through which there would be an increase in farm size, actually lead to any increase in efficiency. In terms of the variable, net profit of individual farmer’s not belonging to cooperatives and that of cooperatives will be used.Hence, a hypothesis can be developed at this point: The hypothesis will therefore t est the probability that belonging to a ‘co-op’ leads to increase in profit holding output constant. 3. Literature Review There has been extensive work done farm size and efficiency, and agricultural cooperatives as an extension. Oduol and Hotta examined the effect of farm size on the productive efficiency of smallholder farms in a land–scarce Embu district of Kenya.In particular, the study seeks to establish the relationship between farmsize and three components of productive efficiency, namely technical, scale and allocative efficiency, â€Å" Farm Size and Productive Efficiency: Lessons from Smallholder Farms in Embu District, Kenya Judith Beatrice Auma ODUOL1*, Kazuhiko HOTTA2, Shoji SHINKAI2 and Masao TSUJI3† There has been extensive work done on cooperative movement in the agriculture sector by leading academics.However, a point to be noted at the very outset is that there is clear evidence of a lack of study in this field in the South Asia region. T his is not only surprising but also indicates a clear need for research and investigation of this topic with a special focus on country’s like Bangladesh as South Asia is a primary producer of agricultural products. Assistant Professor Richard J. Sexton, in his paper â€Å"Factors critical to the success or failure of emerging agricultural cooperatives† provides a powerful insight into the strength and limitations of the cooperative movement in general.He argues that a solid foundation in supply chain and market linkage is critical if agricultural cooperatives are to survive. â€Å"Agricultural cooperatives and markets in developing countries† by ANSCHEL, K. R. ; BRANNON, R. H. ; SMITH, E. D. treats the matter more specifically in context of developing countries. In his study, it was found that belonging to cooperative movement gives farmers’ a form of ‘institutional’ support to carry out its production and marketing.Furthermore, a paper titl ed â€Å"Revitalizing Market-Oriented Agricultural Cooperatives in Ethiopia† conducted in cooperation with USAID’s Cooperative Development Program by Tesfaye Assefa provides insightful analysis on a comparative study done on a developing, agriculture developing country similar to Bangladesh. This study sheds light on the fact that developing countries are particularly in need of farmer’s receiving certain technical support in order to reduce their costs. Economic analysis on this issue has been dealt with fairly in the text â€Å"The economic theory of agrarian institutions†, Bardhan, P.K. (eds. ). – Oxford (United Kingdom): Oxford University Press, 1991. Finally, the future prospects and potential of the cooperative movement has been addressed in the paper â€Å"Future Roles for Agricultural Cooperatives† by Peter Helmberger where he argued that agricultural cooperatives will take on a larger role in the coming years with the rise in linkag e with large food retailers. A paper titled â€Å"AGRICULTURAL CO-OPERATIVES: ROLE IN FOOD SECURITY AND RURAL DEVELOPMENT† investigated the link between the need for food security and the development of agricultural co-operatives.This is a highly important point as food security is seen as one of the major threats to the 21st century. The role of cooperatives into only being a profit making structure, but also a socially beneficial function in terms of addressing the question of food security should not be taken lightly. This is especially true in a country like Bangladesh where the current government is aggressively trying to address the problem of food security for one of the most densely populated countries.In terms of classifying the agriculture sector in a more academic sphere of economics, it can be deduced that a developing country’s agriculture sector is divided into the traditional agriculture sector comprising of unskilled, self sufficient rural households an d the modern agriculture sector consisting of a capital intensive, efficient, large scale producer. T. W. Schultz, in his paper highlighted the significance of transforming these traditional sectors into a more modern agriculture sectors and the possible consequences of these in the development process, Schultz T. W (1964),Transforming Traditional Agriculture, Yale University Press, New Haven. One of the underlying reasons for a larger farming structure in the form of cooperatives is the technological innovation that comes along with it. Bachman, K. L and Christensen highlighted the need to remove technological stagnation from the traditional agriculture sector in order to achieve long term development, Bachman, K. L and Christensen, R. P (1967), ‘The Economics of Farm Size’, in Southworth, H. M and Johnston, B. F. (eds), Agricultural Development and Economic Growth, Cornell University Press, Ithaca.Finally, Berry and Cline investigated the correlation in productivity a nd farming structure and found there to be a positive trend between increased output and productivity levels, Berry, D. A. and Cline, W. R. (1979), Agrarian Structure and Productivity in Developing Countries, John Hopkins University Press, Baltimore. This study provided a case in point about the possible role of cooperatives in making the traditional agriculture sector much more productive. 4. Study methodology Secondary data from the available records of Ferdous Biotech Pvt. Ltd, an agro-based company based in Gazipur has been used to compile these statistics.The data has been derived from potato farmers that the company employs in the northern region of Bangladesh. Regional variations have been held constant while similar output levels have been selected between farmers belonging to ‘co-ops’ and not belonging to them so that a single variable (profit) can be tested. Further assumptions have been made in terms of seasonal variability being minimum and fertility showing unremarkable changes. The data was tabulated and statistic measures such as central tendencies, bar charts and hypothesis testing was undertaking to infer the data.SPSS software was used for most of the data analysis. It should be noted out that some of the data was filtered out due to create an appropriate sample. 5. Descriptive statistical analysis As seen in the frequencydistribution table that in each corresponding category of data with holding output constant, the farmers belonging to co ops show a signficinant rise in profits as opposed to those not belonging to co ops. While there are certain variations, there are not signficant enough to be inferred as statistically inconsistent. A clear trend analysis of the data can be seen from the chart seen above titlted Profitibality Study.For most data, belonging to to co-ops as signified by the blue bars shows a higher trend then the red bars indiciating profits by farmers not belonging to co ops. The measures of central tendency fo r these data show a significant variation. The middle values for each profit level stands at 75650 and 73100 respectively with the highest frequency for each category (with co op and without co op) standing at 60050 and 42400 as well. The average profit shown by farmers belonging to co ops stands at 81590 while those opting out of co opt standing at 79986.These values clearly shows that belonging to a co op does lead to better off profits as seen by the higher central tendency values in each category. This can be extended to be proved through the lowest values and highest values also. The lowest value for farmers in co ops stand at 14000 while those for without co ops are at 12500. Corresponding higher values are at 160300 and 159200, with the range standing at 146300 and 73100 for co-ops and without co-ops respectively. In terms of the quartiles, Q1 stood at 42075 and 41450 for co-ops and without co-ops while Q3 stood at 121925 and 118050 respectively.It is worth noting at this poi nt that from central tendencies along, it can be inferred that consistently, farmers belonging to a larger farm size in terms of co-operatives show a higher profit levels than those not belonging to such co-operatives. However, there is significant dispersion in the data that can be seen through the standard deviation for each data set standing at 46106. 9 and 45687. 8 respectively. Dispersion between the data as used for the development of the confidence interval, the standard deviation here stands at 8636. 9.In terms of the confidence level the range is at -2556. 076 to 5763. 74 As stated in the problem statement the hypothesis will there test the probability that belonging to ‘co-ops’ leading to increase in profit holding output constant. To analyze this, a hypothesis test was undertaken using SPSS and the results are presented below: Hypothesis T-Test One-Sample Statistics NMeanStd. DeviationStd. Error Mean Profits With Co-ops3081590. 166746106. 984718417. 94519 Pro fits Without Co-ops3079986. 333345687. 855448341. 42301 One-Sample Test Test Value = 0 tdfSig. 2-tailed)Mean Difference Profits With Co-ops9. 69229. 00081590. 16667 Profits Without Co-ops9. 58929. 00079986. 33333 One-Sample Test Test Value = 0 95% Confidence Interval of the Difference LowerUpper Profits With Co-ops64373. 535698806. 7977 Profits Without Co-ops62926. 207797046. 4589 It is clear from the above results that with the mean for co-ops consistently being higher than that of profits of farmers not belonging to co-ops that the hypothesis cannot be rejected. Therefore, belonging to co-ops does tend to show a higher profitability than in absence of it. . Summary The test results clearly demonstrate that belonging to co ops show a significant increase in profits. While there are certain variations in the data, these could be due to miscalculations due to large number of sample data or through farmer’s misinterpretation of market calculations as well. There are quite a few justifications for the results that have been shown. Clearly belonging to such co ops increases the technical capacity of the farmers to achieve lower costs and higher revenues leading to increase in profits.Through marketing economies of scale, they are able to sell at a better rate while their technical economies such as specialization and indivisibility of capital allows them to achieve the lower costs as stated above. In conclusion the data clearly supports the hypothesis that belonging to co-ops is a much better option for farmers then not doing so. This leaves us with the question – in terms of farm size and efficiency, is there a role for the cooperative movement? While the tests results clearly show hat belonging to co-operatives leads to an increase in profit, this point comes with strong qualifications because a profit function in itself cannot be used to make absolute inferences regarding efficiency. This is especially true due to the fact that most of the agraria n households belong to the traditional sector and as discussed earlier, they suffer from certain problems such as technological stagnation, unskilled labor and lack of capital. These serve as a major impediment towards achieving efficiency.While belonging to cooperatives may bring in certain economies of scale which may mitigate some of these problems, the underlying problem of transforming the traditional agricultural sector a modern one would need much more than just formation of co-operatives. It requires extensive long term technological and financial investment by the government and the non government sector. There is no doubting the role of agriculture in the economy of Bangladesh, but with regards to the extent to which it can contribute to an ever modernizing economy is up for debate.Appendix I – Output (Kgs) Profit (Co-ops)Profit (Without Co-ops) 2001400012500 2501750016300 3001880017500 3502320021300 4002780026800 4503210031050 5003750038600 5504360042400 6004820042 400 6505340052100 7005960060050 7506005062300 8006005064700 8506890066300 9007350070000 9507780076200 10008340084000 10508900087060 11009750096000 115010010598030 1200110500105500 1250115600110300 1300120300117200 1350126800120600 1400130100125200 1450141500139300 1500147300148200 1550152400151300 1600156900157200 1650160300159200

Affirmative Action Thesis - 3278 Words

affirmative action By: lauren Affirmative Action Thesis: Although many people believe that affirmative Action is a form of racism, it is actually used to help minorities find employment in an otherwise racist world. In the United States, equality is a recurring theme. It has flared into a fervent moral issue at crucial stages of American history: The revolutionary and Jacksonian Period, and the New Deal. In each era, the legitimacy of American society is challenged by some set of people unhappy with the degree of equality (Verba and Orren). Following the Civil War, Congress passed a number of laws designed to put former slaves on an equal level with white people. The Fourteenth Amendment made the freedmen citizen and prohibited states†¦show more content†¦Title VII of the act banned employment discrimination based on race, color, sex, and nationality, it also created a permanent equal employment opportunity commission to enforce its provisions. The act also for the first time included obligations not to discriminate to private employees, labor unions, and governmental agencies.(Urofsky 17). In executive order 11246, issued on September 24, 1965, Johnson require that federal contractors take affirmative action to recruit, hire, and promote more minorities. Two years later in executive order 11375 Johnson added women to the group covered by previous anti- discrimination order (Urofsky17). Each new order was a modification of the previous one. Increasing minorities and womens chances to compete in the job market. When Richard Nixon took office in 1969, he asked Art Fletcher, the Assistant Secretary of Labor and a black man himself, to find a way to enforce the hiring provisions of Title VII in a way that it would withstand court challenge. Fletcher did, and in 1971 Nixon unveiled the Philadelphia Plan. The Philadelphia Plan made federal contractors meet specific numerical goals in hiring minorities. 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