Touchstones are projects that illustrate your comprehension of the course material, help you refine skills, and demonstrate application of knowledge. You can work on a Touchstone anytime, but you must complete this unit’s assessments before you submit it. Once you’ve submitted a Touchstone, it will be graded and counted toward your final course score.

Touchstone 5: Persuasive Speech Revision

ASSIGNMENT: For this Touchstone, you will utilize the outline you submitted for Touchstone 4 and deliver a 5–7 minute persuasive speech that incorporates feedback and other tips and strategies you’ve learned throughout the course.

In order to foster learning and growth, all work you submit must be newly written specifically for this course. Any plagiarized or recycled work will result in a Plagiarism Detected alert. Review Touchstones: Academic Integrity Guidelines for more about plagiarism and the Plagiarism Detected alert. For guidance on the use of generative AI technology, review Ethical Standards and Appropriate Use of AI.

Touchstone Support Videos

Choosing the Right Language
Overcoming Public Speaking Anxiety
Using Your Voice
Communicating Nonverbally
Filming Your Speech

A. Directions

Step 1: Review Outline

Review the outline of the persuasive speech that you delivered in Unit 4 as well as the feedback that you have received. Your speech should include an introduction, body, conclusion, and transitions. 

The introduction should contain your key message. 

The body should cover your main topics and support to back up your main points. Make sure that all information, evidence, and persuasive strategies (ethos, pathos, and/or logos) are relevant and from credible sources. 

The conclusion should summarize your main points and repeat your thesis.

The transition should help you shift from one topic to another.

Refer to the following lessons for support:

Components of a Speech

Choosing the Main Points

Highlighting the Main Points

Ordering the Main Points

The Preparation Outline

The Speaking and Rough Draft Outlines

The Role of the Introduction

Establishing Credibility: Topic, Thesis, and Main Points

Introducing the Topic, Thesis, and Main Points

The Role and Use of Transitions

The Role of the Conclusion

Step 2: Incorporate Visual Aid

Think of an effective way to incorporate at least one visual aid that will be relevant to your purpose and message and will enhance your speech.

Refer to the following lessons for support:

Using Visual Aids

The Dos and Don’ts of Using Visual Aids

Using PowerPoint and Other Presentation Software

• PowerPoint Formatting and Delivery Tips
• Step 3: Create New Notes
• Create notes or bullet points that you can refer to while presenting your speech. You should not read your speech word-for-word from your notes. Make sure to cite any sources you have used as you deliver your speech.
• Refer to the following lessons for support:

Preparing to Deliver Your Speech

Step 4: Use Clear Language

• Ensure that the language you use is consistently clear and appropriate to the audience, which helps the audience connect with you and your topic. Explain any technical jargon you use where necessary.

Refer back to the following lesson for support:

• How to Use Your Knowledge of the Audience

Mind Your Audience

• Tailor Abstraction to Your Audience

Make It Memorable and Enhance Audience Understanding

• Step 5: Practice Speech

Practice presenting your speech, focusing on your voice, your nonverbal communication, and your use of one or more visual aids. Aim for a speech 5–7 minutes in length.

• Refer to the following lessons for support:

Best Practices in Public Speaking

• Preparing to Deliver Your Speech

Using Your Voice: Volume and Rate

• Using Your Voice: Pitch and Pauses

Using Your Voice: Articulation, Pronunciation, Dialect, and Vocal Variety

• Appearance: Dress and Posture

Eye Contact, Facial Expression, Movement, and Gesture

• Rehearsing Successfully

Step 6: Review Rubric

• Before filming, review the rubric to ensure that you understand how you will be evaluated.

Step 7: Film Speech

• Film yourself presenting the speech. Be sure that you can be easily seen and heard—at minimum, your head and shoulders should be visible in your video, and you should make eye contact with your audience by directing your speech toward the camera.

Important: Be sure that your speech’s purpose, audience, and thesis are clear. If you choose, you can state this information at the beginning of your video before you begin your speech.

Refer back to the following lessons for support:

Audience

The Purpose and Thesis Statement

Step 8: Review Video

Review your video, be sure that you can be easily seen and heard, and that you have directed your speech to the camera. Refilm as needed. Your speech should be delivered in one video with no cuts or editing.

Step 9: Review Checklist and Requirements

• Review the checklist and requirements to ensure that your Touchstone is complete.

Step 10: Submit

• Upload your video using the blue button at the top of this page.

Refer to the checklist below throughout the recording process. Do not submit your Touchstone until it meets these guidelines.

• ? I have reviewed my Touchstone 4 outline.
  ? I have read all of the feedback that I received on my Touchstone 4 outline.
  ? I have incorporated the feedback to improve my speech.
  ? My speech includes the following components: introduction, body (main points), conclusion, and transitions.
  ? I incorporated at least one visual aid in my speech.
  ? I have selected sources that are credible and support that is relevant.
  ? I have used language that is appropriate to my audience.
  ? I have filmed a video of myself presenting my speech.
  ? The video of my speech is 5–7 minutes in length.
  ? I have reviewed the video and I can be easily heard and seen.
  ? In my speech, I am focused on connecting with the audience, only looking at my notes occasionally.
  ? I have adhered to all the requirements.
  ? I have read through the rubric and I understand how my Touchstone will be evaluated.

B. Rubric

• Advanced (100%)Proficient (85%)Acceptable (75%)Needs Improvement (50%)Nonperformance (0%)

Organization (25 points)

Follows the structure of a speech: body (main points), introduction, conclusion, transitions.Speech structure meets all requirements (includes an introduction, body, conclusion, and transitions).Speech structure meets all requirements, however some support is missing.Speech structure meets most requirements, however some support is missing.Speech structure is missing one requirement.Speech structure is missing two or more requirements, or the requirements are misinterpreted/met inadequately.

Persuasion (25 points)

Present a clear and persuasive stance on an issue.

Speech takes a clear stance on an issue and the arguments and approach are consistently persuasive in nature. Credible and relevant sources are used to support the thesis and main points as needed.Speech takes a stance on an issue and the arguments and approach are primarily persuasive in nature. Credible and relevant sources are often used to support the thesis and main points as needed.Speech takes a stance on an issue and the arguments and approach are minimally persuasive in nature. Credible and relevant sources are occasionally used to support the thesis and main points as needed.Speech does not take a clear stance on an issue and/or the speaker’s arguments and approach are not primarily persuasive in nature. Credible and relevant sources are rarely used to support the thesis and main points as needed.Speech does not take a stance on an issue.. Credible and relevant sources are not used to support the thesis and main points.

Use of Appeals (25 points)

Make effective use of logos, pathos, and ethos to persuade your audience.

• Uses appeals (ethos, pathos, and/or logos) that are appropriate for the audience, topic, and argument effectively.Uses appeals (ethos, pathos, and/or logos) minimally, though their use is mostly appropriate to the topic, purpose, and audience.Uses appeals (ethos, pathos, and/or logos) minimally as appropriate to the topic, purpose, and audience; however, one or more uses of appeals may be ineffective.Uses appeals (ethos, pathos, and/or logos), although some appeals may be underused or used ineffectively.Does not use appeals or appeals are used ineffectively.

Verbal (25 points)

Choose the right language to convey the message. Speak naturally and conversationally, with effective use of pauses.

Language is consistently clear and appropriate to the audience, helping the audience connect with the speaker and the topic. Where necessary, technical jargon is explained. Speech flows naturally, conversationally throughout with minimal or no use of vocal fillers, and pauses are consistently used effectively to deliver the message.Language is predominantly clear and appropriate to the audience, generally helping the audience connect with the speaker and the topic. Speech primarily flows smoothly and use of filler words is infrequent with pauses that are generally used effectively to deliver the message.Language is clear and mostly appropriate to the audience. There may be minor inconsistencies with helping the audience connect with the speaker and the topic. Speech flow is mostly smooth but may include some filler words and/or pauses that are somewhat ineffective in delivering the message to the audience. Language is frequently unclear or inconsistent with the audience and often fails to help the audience connect with the speaker or the topic. Speech flow is frequently interrupted by filler words and/or ineffective pauses that are inconsistent with the message for the audience.Language does not help the audience connect with the speaker or the topic. Speech flow is consistently interrupted by filler words and ineffective pauses that distracts from the message and decrease audience engagement.

Nonverbal (25 points)

Demonstrate effective awareness and use of nonverbal communication.

Consistently uses non-verbal cues to effectively connect with the audience: dress is appropriate to the topic, posture is open, eye contact is consistent, and gestures/movement are natural.Primarily uses non-verbal cues to effectively connect with the audience, although some cues occasionally interfere with audience connection and do not appear entirely naturalUses some non-verbal cues to somewhat effectively connect with the audience, although some cues frequently interfere with audience connection and may or may not appear entirely natural. Sometimes uses non-verbal cues to connect with the audience, although other cues frequently interfere with audience connection and do not appear natural.Use of non-verbal cues consistently interferes with audience connection.

Visual Aid (15 points)

• Use a visual aid to enhance the speech.

Visual aid relates to and enhances the message of the speech and is incorporated naturally and smoothly in the flow of the speech at a logical point.Visual aid relates to the message of the speech and is incorporated at a logical point in the speech, though the incorporation is not entirely smooth.Visual aid is relevant to the message of the speech but may be inappropriately incorporated or introduced at an illogical point in the speech. Visual aid is not fully relevant to the message of the speech or it is not incorporated at a logical point in the speech.Visual aid is not relevant or not included in the speech.

• Time Management (10 points)

Make effective use of the required time frame.

• Makes effective use of the 5–7 minutes without either finishing early or going over by more than a few seconds.Runs a little short or a little long of the 5–7 minutes by no more than 30 seconds.Runs a little short or a little long of the 5–7 minutes by no more than a minute.Runs short or long of the 5–7 minutes by well over a minute.Speech is so brief or so long that it is not an appropriate response to the assignment.

The Introductory Section:

Brain tumours provide an obstacle in every aspect of medical care, demanding exact and swift detection enabling successful therapy with optimal results for patients. Although developments in health imaging technology, finding and categorizing cancers of the brain, especially using Magnetic Resonance Imaging (MRI), continues an involved work. This study intends to fill an understanding hole by employing machine learning methods to improve healthcare practitioners’ diagnosis powers. The pressing concern discussed here is consistent mitigating the essential intent for medical providers and vendors to offer timely and accurate conclusions, consequently enhancing choices for therapy and, eventually, improve overall outlook for those with brain cancer.

• 1.1-First Sentence/Hook:

We are going to describe the goals of our study, processes, and projected outcomes within this proposal. Our objective is to establish and test a model using machine learning for MRI-based brain tumour identification as well as classification. The possible effects of our study on doctors, patients, and the wider healthcare sector will also be covered, along with the moral and societal ramifications of using machine learning to make medical diagnoses.

1.2-What is known:

There is a known need for effective and precise Magnetic Resonance Imaging (MRI) techniques for the detection and classification of brain tumours in the context of healthcare imaging and diagnostics studies. Existing systems need radiologists to do manual interpretation, which may be laborious and biased. Machine learning techniques are rapidly being investigated as a potential way to automate and improve the diagnostic process. While some solutions exist, they frequently suffer problems such as restricted scalability, reliance on substantial feature engineering, and inadequate generalisation to varied sets.

The study at hand will make a contribution for this field of study by creating a complex artificial intelligence model utilizing deep learning structures to streamline the recognition and categorization of cancers of the brain in MRI scans. The objective is to overcome the limits of current methods by utilizing deep neural networks in order to extract complicated characteristics and trends in images. This strategy is projected to increase accuracy, minimize reliance on human intervention, and strengthen the ability of the model to manage information fluctuations, making it an even more durable and useful resource for healthcare professionals.

1.3- Gap in Knowledge:

The present knowledge deficit in the area of brain tumour recognition and classification by MRI is the creation of a highly precise yet computerized technique which is flexible among differed sets. While current technologies, such as machine learning techniques, have made great progress, here is still an urgent need of an answer that solves the issues of scaling, generalizing, and comprehension. The lack of a unified and generally acknowledged deep learning model designed exclusively for brain tumour detection and classification constitutes a significant gap in current understanding. This study intends to overcome this gap by introducing an improved deep learning design which not just delivers greater accuracy but also displays adaptability across diverse radiological data sets, eventually leading to the progress of autonomous brain tumour detection.

1.4-The critical need:

The major requirement addressed by this study is the creation of a powerful deep learning algorithm particularly built for automatically recognizing and categorization of brain cancers in MRI data. This is especially important in the realm of medical imaging and diagnostics, where precise and prompt diagnosis of brain tumours is critical for effective therapy management and outcomes for patients. The present absence of a uniform and widely recognized deep learning model designed for this reason impedes progress toward consistently high precision over heterogeneous data. This study intends to close this essential gap by presenting an improved deep learning architecture, which not only improves the accuracy of diagnostics but also make it easier to apply machines into medical procedures. This attempt is significant because it has the potential to change the area of brain tumour diagnosis, giving doctors a strong and dependable tool for improving patient care.

2-The second section:

2.1. Long-Term Goal:

The ultimate goal is to construct an enhanced deep learning algorithm for recognizing and categorizing cancers of the brain in MRI data. This tool will represent an important breakthrough for health care imaging, improving the accuracy of diagnosis and allowing easy incorporation into clinical processes.

2.2. Hypothesis and Proposal Objectives:

This work proposes developing a specific deep learning architecture for brain tumour identification in MRI images with increase efficiency and cost relative to current methods. To accomplish this, our proposal’s goals involve creating the deep learning model (Aim 1), evaluating its efficacy over varied datasets (Aim 2), doing comparisons with current algorithms (Aim 3), and integrating it into clinical processes (Aim 4). We believe that the suggested system is going to beat present ones, offering a reliable and practical alternative for improving brain tumour diagnosis.

2.3. Rationale: 

Our assumption is based on that restricts of existing methods with the swear of deeper training to retrieve complicated characteristics of clinical neuroimaging data. Previous research has emphasized the issues of scale and generalizing, that our suggested method immediately addresses. The successful completion of this project will open the road for enhanced brain tumour diagnoses, which is consistent with health stakeholder objective of enhancing the lives of patients using modern technologies.

2.4. Qualifications.

Our experimental setup and staff have the ability to meet the study objectives. Having an international group composed of workers in medical imaging, machine learning, and medical care, we offer a varied skills set to tackle the problems of tumour detection. Our cutting-edge laboratory facilities and significant expertise creating models using machine learning for healthcare applications highlight our capacity to provide new solutions.

3-The Aims(goals) section:

Aim 1: 

Aim: Create a complex deep learning system.

Objective: Create an innovative deep neural network framework for brain tumour recognition and categorization in MRI data.

Approach: Use innovative neural networks designs, including convolutional neural networks (CNNs) and recurrent neural networks (RNNs), to derive nuanced characteristics in MRI data.

Anticipated Outcomes: The creation of a robust and scalable neural network system intended for imaging purposes that can recognize and categorize cancers of the brain with excellent precision. This approach can serve as the basis for following goals.

Aim 2:

Aim: Evaluate the effectiveness of models and generalisation

Objective: Analyse the accuracy and generalisation abilities of the built deep learning model on a variety of samples.

Approach: Test the model’s predictive efficiency using comparable data sets like the BraTS (Brain Tumour Segmentation) database. Employ thorough the cross-validation processes and evaluate adaptation in order to ensure adaptability.

Anticipated Outcomes: An in-depth evaluation regarding the algorithm’s reliability, specificity, and sensitivity over many datasets, proving that it is fit for wider use in practical problems medical applications.

Aim 3: 

Aim: Comparing to Current Systems and Identifying advantages and disadvantages

Objective: To contrast the generated deep learning algorithm to current algorithms used for tumour proof of identity, which include support vector machines (SVMs) and choice trees.

Approach: Use consistent information to conduct an empirical study, focusing on every model’s advantages. Highlight the unique benefits provided by the suggested deep learning architecture.

Anticipated Outcomes: The constructed deep learning framework will be identified as functioning better than current ones. A comprehensive understanding of the characteristics which back up the selection, as well as the shortcomings of different options.

Aim 4: 

• Aim: Integration with Medical Process

Objective: Showcase the tangible applicability and incorporation possibilities of the generated system within medical facilities.

• Approach: Work alongside medical centres to incorporate the procedure into their current diagnosis procedures. Examine the hypothesis’s effect on accuracy of diagnostics, effectiveness, and total decision-making in medicine.

Anticipated Outcomes: Verification of the algorithm’s medical practicality, having a focus on improving the accuracy and swiftness of brain tumour diagnosis. This goal lays the framework for future real-world implementation and acceptance.

• 4- final summary section:

The study project tackles a crucial need in healthcare imaging and diagnosis by concentrating on the creation of an effective deep learning model for automatic detection and classifying of brain tumours in MRI data. The current knowledge gap, defined by the lack of a unified and generally acknowledged deep learning architecture designed specifically for this purpose, emphasizes the importance of this undertaking. The proposed study intends to bridge this gap by providing a solution that not only improves diagnostic accuracy but also tackles scalability and generalisation issues among varied datasets. This investigation has a chance to change the brain tumour diagnosis by giving doctors with a powerful tool, thus enhancing the lives of patients and expanding the field of health care imagery. The implementation of such an approach in medical care is consistent with the changing health environment, stressing the use of cutting-edge technology to improve accuracy and effectiveness in illness evaluation and planning of therapy.

• 4.1. Innovation: 

This study developed a deep learning model for brain tumour identification and categorization utilizing MRI data. Unlike previous attempts, the suggested model would use innovative methods, such as neural networks with deep layers, to extract complex information from image data. This invention bridges the present knowledge gap by delivering an integrated and extremely precise approach which is adaptable, universal, and comprehensible. The ability of the model to handle varied datasets, as well as its potential assimilation into clinical processes, are unique developments to the discipline of health-related imaging and medical diagnosis.

4.2. Expected Outcomes:

This initiative is projected to yield considerable results. To begin, the deep learning algorithm is expected to outperform other models in both precision and effectiveness when recognizing and categorizing brain cancers over a variety of MRI datasets. Each goal correlates to particular milestones, such as a model’s effective development and validation, implementation in real-life situations, and creation of complete insights into the recognized brain tumour instances. The anticipated results are consistent with the main objective of offering a dependable and autonomous device for brain therapists.

4.3. Impact: 

• This initiative benefits patients, healthcare practitioners, and the academic society outside only scholarship. The suggested deep learning approach has a chance to improve brain tumour diagnosis by allowing for quicker and more precise tumour detection. This, in turn, can lead to more prompt and tailored treatment strategies, eventually improving patient outcomes. The creation of an unified and advanced framework which can be readily customized and adjusted for a variety of clinical imaging-related uses will help scientists as a whole. Overall, this initiative has the capacity to drastically enhance the fields of clinical and scientific inquiry.

Using the above information, write programs in python to compare the three models(follow the below):

• Machine Learning Models: Compare at least three machine learning models, including a statistical-based model, a neural network-based model, a probabilistic-based model, and a baseline model, or opt for a single Generative AI Model or Large Language Model (LLM).

UNIT 5 – DISCUSSION BOARD

Unit 5 Discussion Post

           In order to better understand Carl’s termination, it is best to ascertain the balance between the employer’s interest in maintaining its reputation and workplace policies and an employee’s right to privacy. The at-will dictation asserts that employers have a wide latitude to terminate the employment contract of their staff members for any conduct that violates company policy, even if the conduct occurs online and off-duty (Grantham & Pearson, 2021). However, it is important to note that the expectation of privacy on social media is still a grey area that still triggers controversial discussions.

           Carl’s expectations of privacy depend on the privacy settings of his Facebook account, which, in this context, were set to only allow his 20 friends or followers to view his posts. Legally, this can be a reason for a reasonable expectation of privacy, largely because Carl took steps to limit the number of people who can see or interact with his social media content. Seemingly, the Restatement of Torts asserts that there is a liability for intrusion upon seclusion only if the intrusion is deemed to be offensive by any reasonable individual (Bienstock, 2017). This is confirmed by Carl’s attempt to limit the number of people who can interact with his posts, an effort to maintain a private conversation within a small group.

           On the contrary, employment law also considers the nature of such content as posted by Carl and its impact on the employer. Guided by the National Labor Relations Board (NLRB) doctrines, it is suggested that certain online activity and posts by employees might not be protected if they do not relate to group activity among employees with regard to work conditions (Bienstock, 2017). Since Carl’s post was more of an expression of frustration and venting than a concerted effort to address his working conditions, it might fall outside the protections intended for collective bargaining issues or labor disputes.

           With reference to all this, Carl’s mentioning the name of the restaurant and disparaging customers puts him in a legal battle with the employer. The restaurant can argue that his actions have the potential to harm customer relationships and business reputation, thus justifying termination under company policy (Grantham & Pearson, 2021). An important factor to consider is whether Carl’s privacy settings and the nature of the post provide him with a shield against termination for his online rage. Indeed, Carl has a reasonable expectation of privacy, but the content and nature of his post and the likely impact it might have on the employer make it hard to go against a termination decision.

References

Bienstock, J. (2017). Managing employee speech on social media to protect reputation and brand: Overcoming the legal constraints established by the NLRB. International Journal of Business Strategy, 17(2), 23-32. https://doi.org/10.18374/ijbs-17-2.3

Grantham, S., & Pearson, M. (2021). Employment law private versus professional social media risk. Social Media Risk and the Law, 119-129. https://doi.org/10.4324/9781003180111-15

Emma Colquitt

Reply

UNIT 5 – DISCUSSION BOARD

Wed 3/13/2024 10:44 PMLikeUnit 5 – Discussion Board Like PostFlagUnit 5 – Discussion Board Flag Post

Hello class,

Several factors must be considered in analyzing whether the restaurant’s termination of Carl violated his legal expectation of privacy. These factors include the content of Carl’s Facebook posts, his privacy settings, and company policies.

Firstly, Carl’s Facebook post contained negative remarks about the patrons he served and mentioned the restaurant by name. Although Carl may have expected privacy in his Facebook posts due to his privacy settings, which limited visibility to friends only, the content of his post becomes relevant in determining whether this expectation was reasonable.

Secondly, the fact that Carl mentioned the restaurant by name in his post could impact the reasonableness of his expectation of privacy. Even though his privacy settings restricted the audience to his friends, mentioning the restaurant’s name could reasonably lead to the post being seen by individuals beyond his friend list, such as coworkers or individuals with mutual friends who may work at the restaurant.

Thirdly, the restaurant’s policies prohibiting speaking disparagingly about customers and casting the restaurant negatively on social media networks are also relevant. These policies establish clear expectations regarding employee conduct and specify consequences for violations.

Considering these factors, while Carl may have had a reasonable expectation of privacy in his Facebook post due to his privacy settings, the content of his post and the mention of the restaurant’s name could reasonably lead to the post being brought to the attention of the restaurant manager. Additionally, the company policies regarding employee conduct on social media likely provide grounds for termination if violated.

Therefore, based on the circumstances described, it is reasonable to conclude that the restaurant’s termination of Carl did not violate his legal expectation of privacy. Given its content and potential impact on its reputation, the restaurant had legitimate reasons to become aware of and take action regarding Carl’s Facebook post.

Berry Law. (2024, January 30). When do you have a reasonable expectation of privacy from police searches? https://jsberrylaw.com/blog/when-do-you-have-reasonable-expectation-of-privacy-from-police-searches/

Sableman, M. (2016, July 12). Do you have privacy rights on social media?. Lexology. https://www.lexology.com/library/detail.aspx?g=e8b…

Unit 5 – Discussion Board

Accounting for Managers(ACG510-2401B-02)

Eduardo Deulofeu

Reply

UNIT 5 – DISCUSSION BOARD

Wed 3/13/2024 8:46 PMLikeUnit 5 – Discussion Board Like PostFlagUnit 5 – Discussion Board Flag Post

Hello Class,

I personally think that the statement of cash flow is a critical component of a company’s financial statements, it provides essential insights into the financial health and operational efficiency of a company. It is segmented into three primary activities: operating, investing, and financing. Among these, the operating activities section is arguably the most pertinent for the external evaluation of a company’s financial health.

1. Indicates Core Business Viability: The cash flow from operating activities is a direct reflection of the company’s core business operations’ profitability and sustainability. It shows how much cash is generated from the company’s primary business activities, excluding the effects of financing and investment activities. This measure is crucial for investors and creditors as it indicates whether the company can generate sufficient cash to sustain and grow its operations without relying on external funding. A positive and growing operating cash flow suggests a viable, potentially expanding business, whereas a negative cash flow might signal operational troubles or challenges in maintaining profitability.

2. Informs About Liquidity and Solvency: Operating cash flow is a key indicator of a company’s ability to meet its short-term liabilities and commitments. Consistent positive cash flow from operations ensures that the company has enough liquidity to cover its operating expenses, which is vital for maintaining solvency. This is crucial for creditors and investors who are concerned with the company’s ability to continue as a going concern and meet its short-term obligations.

3. Enhances Comparability and Reduces Manipulation: Compared to other sections of the cash flow statement, operating cash flow is less susceptible to distortion or manipulation because it is closely tied to the day-to-day activities that are central to the business. Unlike earnings, which can be affected by various accounting policies and non-cash transactions, cash flow from operating activities provides a more straightforward and comparable measure of financial performance across different companies and industries.

In conclusion, while the investing and financing sections of the cash flow statement also provide valuable insights, the operating section offers the most direct and unaltered view of the company’s financial health and core business strength, making it particularly relevant for external evaluation.

Jacquelyn Evans

Reply

UNIT 5 – DISCUSSION BOARD

Fri 3/15/2024 8:46 PMLikeUnit 5 – Discussion Board Like PostFlagUnit 5 – Discussion Board Flag Post

Greetings class 

When assessing a company’s financial health and performance, certain activities on the cash flow statement hold relevance for external evaluation. Here’s an argument for why Operating Cash Flow (OCF) is the most pertinent section for such evaluation, supported by three key points:

True Measure of Cash Generation

OCF provides a clear picture of the cash generated or consumed by a company’s core operating activities, excluding non-operating items and accounting adjustments. As Warren Buffett famously stated, “Operating earnings are what count most… You’re looking for a business with a high return on capital employed and not a high return on stock price” (Buffett, 1995). OCF aligns with Buffett’s emphasis on the fundamental profitability of a business, making it a crucial metric for external evaluation.

Indicator of Financial Health and Sustainability

A consistently positive OCF indicates that a company’s operations are generating sufficient cash to cover operating expenses, capital expenditures, and debt obligations. As Joel Greenblatt, a renowned investor, noted, “Cash flow tells the truth” (Greenblatt, 2005). Positive cash flow from operations demonstrates the company’s ability to sustain its business operations, invest in growth opportunities, and withstand economic downturns.

Basis for Valve Creation and Shareholder Return

OCF serves as the foundation for creating shareholder value and delivering returns to investors. As stated by Philip Fisher, a prominent investor and author, “The best time to sell a stock is almost never. The best time to buy is… when the company’s long-term prospects are clearly superior to the current valuation” (Fisher, 2003). Positive operating cash flow enables companies to reinvest in the business, pay dividends, or repurchase shares, thereby enhancing shareholder wealth over the long term.

In conclusion, operating cash flow is the most pertinent section of the cash flow statement for external evaluation due to its reflection of a company’s cash generation from core operations, indication of financial health and sustainability, and role in value creation for shareholders. By focusing on OCF, external stakeholders can gain valuable insights into the underlying performance and potential of a company.

Case 9: Dan Price, CEO of Gravity Payments, Established a Minimum Salary of $70,000 for All Employees

Dan Price grew up in a family of seven, whose evangelical Christian parents homeschooled him and his siblings until they were 12. The family had strong roots in reading and studying the Bible, which was a daily activity. Price was very interested in learning the scriptures and reached the finals of a Bible-memorization contest in the fifth and sixth grades.

In 2004 Price, then 19, started Gravity Payments with his brother Lucas. The brothers initially had a 50-50 stake in the company, but about 18 months later Lucas Price ended his direct involvement in the company and Dan Price became the majority owner.

Gravity Payments is a credit card processing company. According to an article about the company in Bloomberg Businessweek, “The day-to-day work at Gravity Payments is pretty unglamorous. Gravity is a middleman between merchants and payment networks, namely Visa and MasterCard, which in turn connect to banks that issue credit cards.” The office is a conglomerate of “desks and computers in bland cubicles—but the space is reorganized every six months so people can sit near different colleagues.” Price does this because he doesn’t want people to get too comfortable.

The corporate home page describes the company as follows: “‘Take care of your team, and they’ll take care of your clients.’ Gravity Payments recognizes the value in establishing an entrepreneurial, goal-oriented, rewarding, honest, and innovative culture, which is what makes our company such a remarkable place to work. We believe in a holistic and balanced lifestyle, supporting our team members with:

• $70,000 minimum wage
• Unlimited paid time off
• Medical, dental, and vision insurance
• Bonus opportunities
• Flannel Fridays
• Company-sponsored outings
• Volunteer opportunities
• Catered breakfasts and lunches

A survey of comments on Glassdoor reveals a combination of pros and cons about working at Gravity. A sampling of comments includes the following:

Pros:

“I have never worked for a company that cares for their customers more than Gravity. Company culture is the best I have worked with.”

“The company is built on a foundation of community and teamwork. I have built some long-lasting friendships. We are a community of people who are competitive, love to learn, and want to grow.”

“I love the team of people I work with! They value the unique skills and experience that I have, support me in accomplishing my goals, challenge me to bring my best, and inspire me to push to new heights.”

“Gravity Payments offers an incredible opportunity for employees to seize responsibility and grow personally and professionally.… You really do get out what you put in as far as effort being rewarded with additional responsibilities and trust.”

“Management genuinely cares about your success and professional growth. Even though people work hard … the environment is fun and social.”

Cons:

“It can be intimidating to work with such high quality and capable people. Personal sacrifice is often necessary to provide a high level of service and support for our customers and teammates.”

“It’s no secret that this industry is tough. As a rep you have to be very driven and handle plenty of rejection.”

“Be prepared to work long hours …”

“Many days are filled with rejection and apathy.”

“This is not easy work. Anyone who is just looking to do the minimum and collect their paycheck will not be happy nor successful here. Be prepared to operate at 100 percent at all times, as there is rarely down time.”

Price made international headlines in 2015 when he announced his plan to raise the minimum salary of his 120 employees to $70,000. At the time, the average employee salary was $48,000.

He decided to phase in the salary increase over three years. The minimum starting salary became $50,000 in 2015 and $60,000 by December 2016 and $70,000 by December 2017. Price plans to pay for this increase without raising prices to customers by reducing his own salary from about $1 million to $70,000, and by diverting about 80 percent of company profits for 2015. This strategy is critically important because profit margins are slim in this industry, and any price increases are likely to result in a loss of customers.

Many employees were ecstatic at the news of the salary rise. One hundred received an immediate pay increase, and 30 saw their pay double. Others were not so happy and perceived the decision as inequitable. Maisey McMaster, a 26-year-old financial manager, said, “He gave raises to people who have the least skills and are the least equipped to do the job, and the ones who were taking on the most didn’t get much of a bump.” She felt it would have been fairer to give smaller increases with the opportunity to earn a future raise with more experience.

McMaster told Price about her feelings, and according to an interview in The New York Times, he suggested she was being selfish. She quit.

Grant Morgan had a similar reaction in his Times interview. “I had a lot of mixed emotions,” he said. His salary was raised to $50,000 from $41,000. “Now the people who were just clocking in and out were making the same as me. It shackles high performers to less motivated team members.” He also quit.

Some customers left the company because they viewed the pay increase as a political statement or a prelude to higher fees.

A few key events seem to have prompted Price’s decision to raise wages. One was a 2011 conversation with Jason Haley, a phone technician making about $35,000 a year. Haley told Price, “You’re ripping me off.” A surprised Price said, “Your pay is based on market rates.” Haley shot back that “the data doesn’t matter. I know your intentions are bad. You brag about how financially disciplined you are, but that just translates into me not making enough money to lead a decent life.” Price was shocked and upset.

Price also came to feel that pay inequality between himself and his employees was simply wrong. He told a reporter from The New York Times that income inequality “just eats at me inside.”

According to Bloomberg Businessweek, Price’s original pay was “atypical for a company of Gravity’s size” and profitability. The company’s profit was $2.2 million in 2014. Bloomberg Businessweek reported that “at private companies with sales like Gravity’s total revenue, salary and bonus for the top quartile of CEOs is $710,000.… At companies with sales like Gravity’s net revenue, the top quartile pay falls to about $373,000. At those with a similar number of employees as Gravity, the top quartile of CEOs makes $470,000 in salary and bonus.”

Price told a CNBC anchor in 2011 that he was making “probably $50,000” in 2011, which he noted was the “most I’d ever made in my life.” This statement contrasts with data reported in a lawsuit filed by Lucas Price, who retains a 30 percent stake in the company. According to a reporter for Geekwire.com, “The filing discloses Price’s compensation as CEO dating back five years. It says Price received $957,811 in compensation in 2010, $908,950 in 2011, and more than $2 million in 2012, which represented more than 20 percent of Gravity Payment’s $9.9 million in sales that year.”

Price’s compensation is at the heart of his brother’s lawsuit, filed about a month before the wage increase was announced. Lucas Price claims Dan Price was taking millions out of the company, detracting from the financial benefits of being a minority owner.

Bloomberg Businessweek reviewed court papers and stated that the lawsuit claims Price “‘improperly used his majority control of the company’ to overpay himself, in the process reducing what Lucas was due. ‘Daniel’s actions have been burdensome, harsh and wrongful, and have shown a lack of fair dealing toward Lucas,’ the suit alleges.” Lucas Price wants his brother to pay for damages and buy him out.

A judge ruled in July 2016 that Lucas Price had failed to “prove his claims that Dan had overpaid himself and inappropriately used a corporate credit card for personal expenses. The judge also ordered Lucas to pay Dan’s legal fees,” according to a reporter for The New York Times.

1. What is the problem?
2. What are the causes?
3. What solutions will you propose to address the problem? (How do you, as an HR manager address this issue? Think of practical solutions – explain why you think they are appropriate)

There should be 5 strategic factors for Opportunities and 5 strategic factors for Threats.

What are external factors?

External factors are those the firm has NO control over. I will be doing reality checks when reading your work, asking, “Does the firm control this activity or not?” For instance, a firm has control over the price it chooses to charge, but they don’t have control over whether or not that price is acceptable to the ultimate consumer.

What do you have to do?

Fill in the table in TemplateSA-EXH 1-EFAS.docx available in this location and Course Resources. The table has five columns: External Factors, Weight, Rating, Weighted Score, and Comments.

Use short names for the factors, but flesh them out in the comments so they make sense when you approach them later on.

The textbook is clear enough to work on all columns but the Comments. Your comments make all the difference in the quality of the EFAS.

Use the template for Exhibit 1 – EFAS

Use the Template EFAS as the template for your work. Ensure that your format displays correctly and is readable.  Do NOT copy from the text or from the Template EFAS text!  Use your own critical analysis and critical thinking.  The template is provided to assist you with the layout–i.e., make it easy for you to construct the chart.  The template also gives you a good idea of the appropriate explanations required in the Comments blocks about the why an SF, potential quantified impact, how weighted, and how rated.

Comments Column

Comments are expected to be 4-5 sentences in length and depth and offer a clear explanation of the strategic factor (SF) in 4 aspects:

• Why it is a strategic factor (SF); (1-2 sentences only)
• A quantified estimate of the potential impact (QPI) of the SF; (1 sentence only)
• How you assign the weight; (1 sentence only) and
• How you assign the rating. (1 sentence only)

Keep the 4-5 sentences of your Comments in order for clarity and ease of understanding.  The recommended order is:  Why SF comments; QPI comments; Weight comments; and finally Rating comments.

How to write the Why SF and QPI comments: For the Why SF, explain WHY you selected this SF, WHY it is important to your firm, and WHAT is the potential impact on the firm in the future.

For the QPI comments, estimate the potential impact on the firm in the future in a quantitative manner using some metric:  sales, revenues, costs, market share, profits, logistics pipeline, CSI, etc.  Express the quantitative potential impact (QPI) in Dollars $$.  If you express the potential impact in $$, that makes each strategic factor comparable against the other strategic factors. And expressing the impact in sales makes them even more easily comparable.   Make sure you are making significant estimates based on the size of your company based on annual revenue values in your 5-Y financials. You develop this estimate.

The monetary value of the QPI is useful to compare the strategic factors and rank them in relevance.  Ranking them will help you to assign the Weights (2nd column in the table) to each strategic factor. Use a positive analysis (quantitative) rather than a normative analysis (feelings, desires).  Focus on what is the potential gain for your SF opportunities or the potential loss from an SF threat in the future.  History lessons are not needed nor applicable.  You should estimate and predict the impact in the future. Be creative. 

Don’t develop future actions or alternatives here in the EFAS about how a firm may, or should take action on a particular SF.  The brainstorming development of those alternative actions comes with the TOWS Analysis that we will start presenting in Module 4.

HINT:  To focus your thinking on addressing “why” you selected each SF and “why it is important,” start your “why select/important” sentence with words like this:  “I selected this SF because…..” or “This SF is important because…”  By using this lead-in phrase you should be able to concisely state why that particular SF is important.

HINT:  To focus your thinking on addressing the quantitative potential impact (QPI) in the future of each SF, be sure your QPI sentence contains words like this:  “potential impact of $____” or “potential increases to ____ are $____ per year” or “reduction in sales by $____ per year.”  Be sure to state the potential impact in dollars so you can compare the potential impacts of your various SF.

How to write the Weight and Rank comments: To assign weights, explain the importance of the SF to the firm’s future survival.  Is the SF of vital importance or low importance on a scale of 1 to 0?  What is the impact of the SF on the future survival of the firm?  What SF has the biggest impact?  Which one(s) are the Big Dogs?  Make a logical explanation of why the weight you have assigned is what it is.  Comparison and ranking between SF is a useful technique to assign the weight.  See your potential $$$ impacts from your “Why” analysis above. The bigger the $$$ impact is, the bigger the weight should be.  Remember the weight column adds to 1.0.

HINT:  To focus your thinking on addressing the importance of the SF to the firm’s future survival, be sure to include the keyword “survival” in your weight sentence.

To assign ratings, provide an explanation of how well, or how badly, the firm is handling each specific external SF RIGHT NOW not in the future or not in the distant past but right now. Use the scale of 1 5, poor to outstanding; comparing the firm’s performance against the industry standard rating of 3.  Give a logical explanation of why the rating you have assigned is what it is.  Do they handle it well or are they lost?  Are they performing in average way as other competitors are? Remember the industry average performance is rated at 3.

HINT:  To focus your thinking on addressing how well your firm is handling each SF, understand what the 1-5 scale means and then use your rating number from the rating column with matching words (low, average, above average, high, etc) in your rating sentence.

Example of a good comments block:

SF – International Growth Opportunities in SE Asia, Japan, and Korea

This SF was selected because of its very significant potential impact on profit growth.  Successful expansion into overseas markets could potentially result in doubling the size of OPC to a firm with $800M in sales per year and an increase in profits from $50M to $100M per year.  This SF is weighted highest at .25 since expanding internationally is vital to the future survival of OPC in light of worldwide competitors and markets.  I rated this low at 2.5 since OPC does not have any international experience or markets at this time.