Introduction
Effective communication helps organizations to achieve prolonged success and competitiveness in the market. According to management experts, the quality of communication within an organization affects the quality of its products and services. Therefore, organizational leaders should apply the concept of quality management effectively. The United Arab Emirates is one of the best places to run a business owing to its vibrant economic environment and strong fiscal policy.
Developing Effective Organizational Communication
Communication within an organization entails building a workforce with the necessary skills that complement the corporate goals and market demands (Blundel 9). In order to develop effective communication within an organization, the employees ought to believe in their abilities to deliver, have the passion for their work, be self-driven, and have the desire to empower each other. In addition, effective communication entails increasing the level of interaction and engagement within the workplace (Lussier 17).
Employers have the responsibility of creating a workplace environment that allows employees to integrate various life elements into their work. The contemporary workplace environment is very tough and requires all the employees to have the essential life skills. One of the most essential skills is cultural competency (Blundel 13). Contemporary workplaces are characterized by a culturally diverse workforce. Cultural competence helps to develop effective organizational communication because it enhances interpersonal relations within the workplace, reduces internal conflicts, and enables employees to handle change in an effective manner (Lussier 32).
Good workplace relations help to achieve better communication because the level of persuasion, problem solving, and style of leadership are often enhanced. Effective conflict management strategies also help in improving the level of communication within an organization (Blundel 19). This helps to introduce flexibility, which helps to promote the various communication strategies applied within an organization. Developing the right attitude among the employees also ensures that the communication strategies used are effective in driving performance, creating stronger leaders, and adding value to the organization (Blundel 22).
Fiscal Policy in the U.A.E
The United Arab Emirates has experienced enormous economic growth since the turn of the century. This phenomenon is attributed to the fiscal policy in the region. According to economic analysts, it is broad and expansionary in nature. These crucial elements have attracted numerous investors to the region (Cevik 116). The fiscal policy is developed around oil, which is the region’s most valuable economic resource. The fiscal policy in the United Arab Emirates was created to promote sustainable economic development, reduce the rate of unemployment, and stabilize the prices of various commodities across its numerous markets (Cevik 122).
As part of the three objectives, the fiscal policy also focuses on expanding markets in the region by using its resources to meet various demands. Over the last couple of decades, this element of the fiscal policy has enabled the United Arab Emirates to make numerous investments in the aviation industry through airplanes and airports (Cevik 139). However, economists argue that the expansion agenda that forms the foundation of the fiscal policy could have serious implications in the end if the relevant authorities do not make the necessary regulatory measures. Its effectiveness is highly dependent on the kind of intervention that the government makes within the course of its implementation (Cevik 142).
In the recent past, the United Arab Emirates has achieved greater efficiency in financial management to take the first position globally. One of the interventions that the government has made to streamline the fiscal policy and ensure the competitiveness of its markets is the decision not to tax business, individuals or companies (Cevik 150). This has helped in creating a favorable environment for business and innovation, all of which have been crucial to the financial stability of the region. Other notable interventions made by the government include the introduction of the social security policy, retirement benefits, an inclusive budgeting process for the sake of regulating government spending, and management of the surplus (Cevik 161).
Total Quality Management
One of the major objectives of every business is delivering quality products and services to their clients. In order to achieve this feat, organizational leaders have the responsibility of introducing and promoting the concept of Total Quality Management (TQM). It refers to a management approach used within organizations with the aim of achieving prolonged success through a sustained strategy for customer satisfaction (Morfaw 61). Its application entails involving all employees in efforts geared towards improving the quality of products and services.
TQM has eight major elements that provide the foundation for quality enhancement within an organization. One of the main elements is an emphasis on customer needs. This element applies the principle that the customer determines the desired quality standards (Morfaw 67). Another element is strategic and systematic approach, which involves integrating quality as one of the core organizational values. This entails the organization making the desire to maintain high quality standards as part of its corporate culture.
Decision-making based on facts is another crucial element of TQM. Management experts argue that organizational leaders should keep record of performance across various departments for the sake of decision-making (Morfaw 80). TQM also builds a lot on effective organizational communication. Management experts argue that effective communication helps to keep the employees motivated towards achieving organizational goals. Other important elements of TQM include continued improvement, an integrated management system, process thinking, and employee involvement (Morfaw 101). Organizations use TQM as a tool for setting their desired quality standards and mechanisms for managing them.
Different Forms of Businesses in the U.A.E
Over the last couple of decades, the United Arab Emirates has established it’s self as one of the most desirable places for startup businesses and multinationals seeking to expand their markets. The region has a commercial company law, which provides the guidelines that business people ought to follow in order to have their entities registered (Terterov 100). One of the main requirements, especially for foreign investors is the need to have a United Arab Emirates national owning the majority shares or initial capital in their business.
Currently, there are different types of businesses that local and foreign entrepreneurs can register and operate in the region. The first type of business in the United Arab Emirates is permanent establishments (Terterov 103). According to the commercial laws applied in the region, permanent establishments can be formed through seven ways, namely general, limited, joint, public stock, private joint stock, limited liability, and share limited partnerships. The second form of business in the United Arab Emirates is free zones (Noack 6). These refer to businesses established by foreigners who have full ownership. However, such businesses operate under various trade barriers and tariffs. Examples of licenses issued to free zone businesses include trading, service, and industrial permits (Noack 11).
The third type of business found in the United Arab Emirates is civil companies. These refer to businesses that can only operate through the issuance of a license. In addition, they are the kind of businesses that are only used by professionals. This means that civil companies are not allowed to engage in trade activities such as buying and selling goods, banking, and transportation services (Noack 14). The fourth type of business in the United Arab Emirates is a commercial agency agreement.
This refers to businesses owned by foreigners but have the ability to sell and distribute their goods and services through a representative agent. One of the requirements for the agent is having full United Arab Emirates nationality or all the owner of the agency has to be from the region (Terterov 171). In addition, the agent should have proof of registration with the relevant government authorities. Other types of businesses in the United Arab Emirates include offshore companies, public sector procurement entities, and franchises (Noack 19).
Conclusion
Effective communication within an organization is an important element for prolonged success. It has a lot of influence on the ability of organizational leaders to apply the concept of TQM. The United Arab Emirates has a very competitive economic environment. Therefore, it is important for any entrepreneur to conduct a thorough analysis in order to establish the availability of a market for a specific good or service, and the quality standards among consumers. In setting up a business in the United Arab Emirates, it is also important for business owners to ensure that they select the most appropriate and favorable legal status for their entities.
Works Cited
Blundel, Richard. Effective Organizational Communication: Perspectives, Principles, and Practices. New York: Financial Times Prentice Hall, 2004. Print.
Cevik, Serhan. Policy Coordination in Fiscal Federalism: Drawing Lessons from the Dubai Debt Crisis. New York: International Monetary Fund, 2011. Print.
Lussier, Robert. Management Fundamentals: Concepts, Applications, Skill Development. New York: Cengage Learning, 2008. Print.
Morfaw, John. Total Quality Management (TQM): A Model for Sustainability of Projects and Programs in Africa. Boston: University Press of America, 2009. Print.
Noack, Sascha. Business Guide: Doing Business in Dubai & the United Arab Emirates. New York: BOD, 2009. Print.
Terterov, Marat. Doing Business with the United Arab Emirates. San Francisco: GMB Publishing Ltd, 2006. Print.