A comparative study of Omani employees’ perception toward managers’ leadership styles and management competences in public and private sectors. The WritePass Journal

A comparative study of Omani employees’ perception toward managers’ leadership styles and management competences in public and private sectors. Introduction A comparative study of Omani employees’ perception toward managers’ leadership styles and management competences in public and private sectors. IntroductionBackground of the StudyProblem StatementResearch Question and ObjectivesBackground Literature ReviewMethodologyLimitations / Ethical ConsiderationsReferencesRelated Introduction Leaders are fast becoming recognised as the key to success for organisations across the globe and as such studies on how leaders are created and how leaders interact with others are becoming much more prevalent (Chemmers, 1997). That said, the area of leadership in the Oman context has been largely overlooked when it comes to academic study and it is here that the research is going to focus. Leaders within business are increasingly being perceived as those who are responsible for either the success or the failure of the organisation in question and therefore their role within the organisation and the perception that others have of them are likely to be critical to their actions. Leadership has both an extrinsic and an intrinsic role. Firstly, it could be argued that leadership reflects the way in which the public view the company or the perceptions that those outside of the organisation have of how the company manages its operations; secondly, leadership looks at the way in which the employees and those who work directly with the managers are inspired and encouraged to perform in a suitable manner to meet with the organisation’s goals (Chemmers, 1997). Merely defining what is meant by â€Å"leadership† and the various styles that are seen to be available for such leaders is an academic study in itself, with one of the most accepted definitions being that of Chemers (1997, p.1) who stated that leadership is seen as â€Å"a process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task†. This type of collaborative approach will form the basic underlying concept of leadership, regardless of the jurisdiction in which it is operating. Following on from this background understanding the research will then go on to look at how leadership in Oman can be developed to achieve greater commercial success with reference to the distinction between public and private sector organisations. Background of the Study Although there has been a large amount of general literature in the area of leadership and the emergent theories of leadership that have come about in recent years, there has been a small level of understanding regarding the role of leadership within the developing region of Oman. It has been suggested by Dorfman in 2004 that one of the main difficulties is that organisations in Oman are typically not very transparent with their operations and this can make it harder to identify any form of business strategy, let alone one that is rooted in the perceptions of individual employees. Taking an internal view of the way in which an organisation works is a crucial element of then looking at the role of the leader and how they can influence the performance of employees. It is argued here that one of the key issues is, in fact, that the political context of the region has a real and direct impact on the organisation and the types of leadership that are likely to be effective. Crucially, it i s also necessary to look at the cultural and political factors that are at play within Oman and not to simply assume that Arab culture will prevail. As a further point, by way of background, it is also noted by Dorfman that in Oman (as is the case in many developing regions) the public sector is often the driving force with internal practices, such as leadership development emanating from public sector agendas. Finally, it is worth noting that Oman itself is a relatively small country when looking at population, with a total of 3.5 million. On the face of it, the country has many similar characteristics with its Arab neighbours and is also subject to rapid economic growth; however, it is suggested in this paper that Oman has a unique geographical and political scope which encourages the organisations, both public and private, to outperform other countries in the same region (Haligan, 2007). There are arguably multiple factors that are likely to impact on how leadership is dealt with in Oman and these will be considered in greater detail in the thesis when comparing the approaches in the public and private sectors. These are briefly identified by Haligan in 2007 and include the political development in the region and the British influence, in particular. Issues of religion and culture are also thought to be important in the region and these are arguably factors that remain prevalent, even where there are economic changes or there are factors that may otherwise impact on the operation of the business. Problem Statement The problem statement for this research paper is to look primarily at the comparison between the public sector and private sector leadership skills, with reference to the employees’ perceptions of their leaders. Although this is a relatively specific area of study, there are potential issues that need to be looked at surrounding the study, in order to ascertain the impact that the various leadership styles have on the perceptions of employees and therefore on their ultimate behaviour. Employee behaviours are arguably linked to the leadership style, but it is also expected that other underlying factors, such as religion, culture and politics will have an impact. A comparison between public and private sectors may provide a greater understanding of these issues and the ways in which leaders can improve their own behaviours, in the future, to influence the performance of their employees. Research Question and Objectives The question here is to undertake a comparative study of the role of the managers and their leadership styles, from the point of view of employee perspectives, in both the public and private sectors in Oman with a view to presenting overall findings. In order to be able to provide a balanced response to this research question, there are several other objectives that need to be looked at, so that the answer to the research question can then provide future guidance, which can add value to those involved in corporate Oman. Firstly, there is a requirement to understand the various leadership styles that may be employed by leaders and the way in which these are likely to develop within the workplace. Factors that may impact on the choice of leadership approach will also be looked at, with reference to the corporate climate in Oman. For example, it may be thought that the political context is relevant to the leadership style and that this will then be different in the public and private sectors. Similarly, it may be argued that religion or culture plays a much greater role than whether or not the organisation is public or private sector orientated. Secondly, as well as the actual factors that influence leadership styles, the next part of the research is to look at the impact that leadership styles have on employee perceptions of the leaders themselves, or indeed the organisation. The ultimate aim of this research is for those involved in leadership to be able to understand how they can influence employee behaviours to the benefit of the organisation, in the future. With this in mind, the research question will need to be broken down, to understand the factors that are present but unchangeable and those which can be influenced, so as to create a more balanced view as to what leaders and managers can do to change the operation and the perceptions of their employees within the workplace. Background Literature Review Despite the fact that there is a large amount of literature available in terms of leadership styles, all of which will be looked at as part of the main research, the real essence of this research will be to look at leadership in the context of Oman and Omani culture. Over the years, it is argued that Omani culture and how it deals with politics, in particular, is that it has supported a participative leadership approach as being the dominant form of accepted leadership within the culture. This was the subject of the discussion in the paper of Eickleman, (1987) who found that the people of Oman, in general, operated by consultation, with leaders being largely selected based on merit, rather than on succession. This type of underlying culture is important as a means of understanding the prevailing culture and the likely employee perceptions of their leaders. Specific research in the area of Omani business has also taken place, identifying that the way in which leaders are selected by priests within the community by merit from a religions context which offers an opportunity for further analysis within the commercial context. Arguably, this type of social selection was also seen to be prevalent when Al-Ghailani researched the area, in 2005, considering how this then influences human resources practices. It was found in this research that the use of social criteria was often seen as important when it came to recruitment and promotional decisions. This was evidenced in the 2005 research by the fact that it was found that many religious leaders were petitioning the public sector to recruit family members into certain roles. He found that there were essentially two different leadership structures in operation, the first looking at merit and the notion of recruiting to fill a need and the second based on family and cultural issues. This two fol d approach suggests that leadership is unlikely to be a black and white scenario and perceptions are going to vary from person to person not just from organisation to organisation. By looking at other areas of research into leadership and therefore the employee perceptions that emerge as a result of the leadership, it can be seen that there are very distinct opinions, with those such as Farazmand, (2006) noting that this social element in fact complements leadership and improves perceptions, rather than being a detriment to the European and Western approach. A specific research paper that looked at the leadership values in Oman was undertaken by Neal et al (2005), which found that positive leaders were seen as those displaying attributes of strong charisma, being largely interactive and also having a degree of authority inherent in their attitude. This indicated that those successful leaders in Oman were not actually far remote from the Western ideals. In particular, Neal et al. found that an effective leader in Oman needed to be concerned with the personal welfare of all of the employees and that a further level of respect is given to the use of legal authority, which is seemingly logical given the high level of bureaucracy within the region. Methodology The methodology that is going to be used in the research here is inductive in nature, as it will look at the observations and actions of the various different managers, before then attempting to produce an overall theory that could ultimately apply across both private and public sector organisations. The first step of this research, therefore, is to undertake a full literature review and analysis of the leadership approaches and those factors that theoretically have a means of determining the different perceptions which are going to emerge from employees in relation to the leadership skills displayed. From this general theoretical understanding, primary research in the form of case study interviews will then be undertaken, with the author looking specifically at two organisations, one in the public sector and one in the private sector. Although it is recognised that ideally several different organisations should be looked at, it is noted that the reality is such that focusing on two organisations will allow for sufficient depth of comparison between the styles of leadership. This will then be used to produce a theory and a set of suggestions as to how the information can then be applied to establishing a set of recommendations for managers across Oman and indeed across other simi lar jurisdictions. Limitations / Ethical Considerations A key limitation which has been identified is that the case study element will only look at one organisation from the public sector and one from the private sector. It would be desirable to look at a broader range of organisations and even to undertake such research over a period of time, to ascertain how these issues change and the long term impact of culture and politics, at that point in time. There may also be concerns that the employees will not be as open as they could be, due to concerns about what their manager will think; therefore, anonymity is crucial and is something that needs to be taken to the forefront when collecting data. References Al-Ghailani, R. (2005). Equal opportunity in public office in principle and practice: An empirical study of the Omani Civil Service. Doctoral dissertation, University of Hull, Hull. Al-Hamadi, A., Budhwar, P., Shipton, H. (2007). Management of human resources in Oman. International Journal of Human Resource Management, 18(1), 100-113. London Chemers M. (1997). An integrative theory of leadership. Lawrence Erlbaum Associates, CA, Publishers. Dorfman, P., House, R. (2004). Cultural influences on organizational leadership. In R. House, P. Hanges, M. Javidan, P. Dorfman, V. Gupta (Eds.), Culture, leadership and organizations, the GLOBE study of 62 societies. Thousand Oaks, CA: Sage. Farazmand, A. (2006). Public sector reforms and transformation: Implications for development administration. In A. Huque H. Zafarullah (Eds.), International development governance. Boca Raton, FL: CRC/Taylor and Francis. Halligan, J. (2007). Leadership and the senior service from a comparative perspective. In B. Peters J. Pierre (Eds.), Handbook of public administration (pp. 63-74). London: Sage. Hofstede, G. (2001). Culture’s consequences: Comparing values, behaviors, institutions and organizations across nations. Thousand Oaks, CA: Sage. Jabbra, J., Jabbra, N. (2005). Administrative culture in the Middle East. In J. Jabbra O. Dwivedi (Eds.), Administrative culture in a global context. Whitby, ON: de Sitter. Neal, M., Finlay, J., Tansey, R. (2005). â€Å"My father knows the minister†: A comparative study of Arab women‟s attitudes towards leadership authority. Women in Management Review, 20(7/8), 478-498. Riphenburg, C. (1998). Oman: Political development in a changing world. Westport, CT: Praeger. Winckler, O. (2000). Gulf monarchies as rentier states: The nationalization policies of the labor force. In J. Kostiner (Ed.), Middle East monarchies: The challenge of modernity (pp. 237-256). London: Lynne Rienner.

How To Write Good Literature Review And Its Guidelines - Paperell.com

How To Write Good Literature Review And Its Guidelines How To Write Good Literature Review And Its Guidelines Facing issues with this task is not something odd as in the process of writing our own studies, we need to read a lot of studies written by other people. It is okay to use other people’s ideas as a basis for your work. We can use fragments from them, we may agree or disagree with the authors, but we always use research of other people to build our own essays or other papers. However, this does not mean copying someone’s paper. Besides, it is a good opportunity to learn to work with sources, show your skills in it, and prove your reliability as a student.What makes it a responsible task? The literature review can show that you have read necessary books and other works related to your research. It also helps to give more information on your research that you gave in the introduction of your project. This kind of paper also has its specific structure, which students can miss out, while expert writers from the dissertation writing service are aware of this structure and und erstand how to write good literature review guidelines in short terms. In this paper, you can provide a critique of literature you read. It also ensures your readers that you didn’t copy any fragments of other works illegally or did research that has already been done by other scientists. Otherwise, you may be accused of plagiarism. If you have made a decision to turn to professional writers to write your dissertation online, you need to know the topic and other key information on your literature review.General Guidelines For Writing A Literature ReviewBefore writing, you need to know the preferred number of pages and the correct formatting for your work. This is vital. Each teacher can have their specific requirements so before starting, you need to know what they want from you and what formatting you are going to use. You can read examples of other literature reviews to learn the structure, proper formatting, and referring to sources in such papers. What else to keep in min d? You can divide your literature review into the three big sections: introduction, body, and conclusion. In the introduction, focus on your topic and its meaning and provide more details to understand background and history of a research. The body paragraph is the most important one. In the body of your paper, you can show the current state of knowledge in this area, major trends, and recent findings. What’s next? In the conclusion, you can discuss two previous sections and show their meaning for your subject. You should not only provide the sources connected with your work but also show their role in your project and the specific area of science. All information has to be relevant. You can highlight key findings, critique the sources, show your opinion and understanding. If you are going to write a good paper, look for other guidelines for writing on the Internet and ask your instructor for more information about your requirements. This should help you cope with the task ea sier.Steps To Writing An Effective Literature ReviewFind a topic you can handle and then you will need to find the literature and other sources for it. You can use the computer database of your college or university. The Internet gives you a lot of possibilities to find many academic papers written in other universities.You can’t work with all found sources in your paper, especially if there are too many items. You should focus and select the most interesting and significant sources. Gather sources that have the biggest meaning for your projectIf you need to learn how to do a literature review, start from planning. Clarify how many sources you need! It is also important to find out what types of sources you can discuss in the paper and read samples of other papers similar to yours. This will help you a lot!Read the selected papers to see methodologies do they use, what are the most recent research findings that they provide, who are the most significant experts in the field, and what are current trends and discussed theories. Organize your sources so you can write a literature review.Create your thesis statement, and then develop your headings and subheadings. When you have a good plan for your paper, you can start writing the introduction, body, and the conclusion by describing and discussing your sources and their significance. When the work is done, don’t forget to read your paper several times and revise it if necessary, check for grammar errors, and other mistakes. This will help you make your text flawless.ConclusionThe last but not less significant aspect to keep in mind is that when writing a literature review, you can provide a critique and discussion of other works. It is a key task to select the specific sources because you can’t put all of them in your work. You may need to write a lot of essays to find out the key trends in your subject, the most notable authors, the most discussed theories, and the recent findings that have a big role for science and have to be discussed. What do you need to successfully finish this task? No matter what is your subject or theme, before writing, you need to know the correct literature review format, the number of pages and sources of your paper, and the purposes. It is important to follow all these guidelines. Thus, make sure that you understand your requirements before you start working on your paper because there are different types of literature reviews and they may have different requirements. Also, look for samples to make it even easier. You should work well on organizing your paper – you can use any method of data organization for this purpose, for example, you can organize the sources by the time of publication, trends and topics, and other parameters. When you have written all the pages, make sure that your literature review is easy to understand, provides only proven facts and reliable sources, doesn’t contain grammatical errors, and meets all for matting rules and other key requirements specified by the instructor or another person.

Accounting Essay Example | Topics and Well Written Essays - 1750 words - 4

Accounting - Essay Example Other companies can reside their head offices in other foreign countries. Therefore, the investment in other companies can be beneficial for the company in a manner that, the interest rate paid on the investment can be higher than the company home place. In questions below, we will record the accounting impact of investments in other companies with the help of double general journal entries (Cespa, 2002). Journal Entries: Anytime when a business does financial transactions, they record it with the help of a journal entry posted in the general journal under specific account heads of the transaction (Peavler, 2015). They are very important for keeping the records of the daily transactions done under the specific account head of the business. With the help of journal entries, the basic financial standing of the account head can be figured out. They also help the companies to monitor their cash-flow from the receivables and payables. They help business in accumulating a number of expenses done in a transaction. If the journal entries are not maintained, the finance department or the outside audit companies can be lost during the search of financial data to assert the income and its tax. Short term investments are the part of current assets on the balance sheet as short-term investments are the part of the debt or equity. These investments are the investments made in deposit certificates, interest based bonds and high-value bonds. They are recorded at cost and are cost adjusted with respect to change in their market prices (Needles, Powers, & Crosson, 2012). They can easily be liquidated. Therefore with high level of liquidity, the short term investments can save the Clarity Corporation from being dissolvent i.e. they will be an un-gained income for the company and while calculating the total income, they will have a strong cash position with respect to their rivals in the market. With the strong cash position, the corporation can invest in those

The meaning of Human Sexuality Essay Example | Topics and Well Written Essays - 1250 words

The meaning of Human Sexuality - Essay Example The purpose of this essay is to explain how the concepts of "Belief versus Knowledge" and "Multiple Truths" are central to the understanding of cross gender communication. The differences between what is perceived as masculine and feminine styles of communication and the obstacles that exist and hinder proper communication processes between the sexes are discussed. In so doing the author proposes to highlight particular aspects of sexuality pertaining to gender and communication. Slater and Muir state that "A belief is a mental representation of a proposition about the world" (231). In simpler terms it can be said that a belief, as a result of underlying emotions or spiritual convictions is held to be true. Knowledge meanwhile refers to explicit information gleaned from study or experience that has its basis in hard fact. Believing is not the same as knowing but often beliefs are treated as facts. Beliefs are determined by a number of factors like religion, societal norms etc. In this particular context beliefs and knowledge or beliefs parading as knowledge are crucial factors in cross gender communication. For the religiously inclined sex and lust are usually portrayed as the epitome of evil. Sexual intercourse must be tolerated for the purpose of procreation and is not to be enjoyed or desired. Further societal or peer pressure dampens sexual enthusiasm. For instance, it is believed that a big penis is a prerequisite for studs and an hourglass figure is essential for a woman to be desirable, therefore men worry about the size of their penises while women obsess about their bodies and this detracts from sexual enjoyment and healthy sexual expression. According to Dreyfus, "fears of rejection, failure, criticism, feelings of embarrassment or awkwardness, body image concerns, performance anxiety, anger towards a partner or women in general, or lack of attraction towards a partner, all play a part in reducing or eliminating the sexual response" (175). Therefore these extraneous variables stemming from belief constitute the complex amalgam that is sexuality and inhibit communication betwe en the sexes. Men are usually loathe to discuss these issues and avoid them completely, while women stew in bewilderment and hurt while wrestling with their own conflicting beliefs about sexuality. Therefore a thorough understanding of the beliefs that color attitudes and influence behavior is necessary for effective communication. Carugati states that "The multiple truths are found via an approach that continuously attacks currently held beliefs from multiple points of view" (154). There are few questions in the world to which completely satisfactory answers have been found. Conflicting evidence and contradictory viewpoints usually exist. Therefore in the words of Lattal and Laipple, "Because competing explanations may each lead to successful working, there may be multiple 'truths'" (48). With regard to sexuality, the concept of "Multiple truths" may be used to explain gender differences in

Transaction And Translation Exposure In International Finance Essay

Transaction And Translation Exposure In International Finance Essay Foreign exchange exposure is a measure of the potential for a firms profitability, net cash flow, and market value to change because of a change in exchange rates. Types of Foreign Exchange Exposure Transaction exposure measures changes in the value of outstanding financial obligations due to a change in exchange rates. Translation exposure deals with changes in cash flows that result from existing contractual obligations. Operating (economic, competitive, or strategic) exposure measures the change in the present value of the firm resulting from any changes in future operating cash flows of the firm caused by an unexpected change in exchange rates [via changes in sales volume, prices and costs.] Impact of Hedging MNEs possess a multitude of cash flows that are sensitive to changes in exchange rates, interest rates, and commodity prices. These three financial price risks are the subject of the growing field of financial risk management. Many firms attempt to manage their currency exposures through hedging. Hedging is the taking of a position that will rise (fall) in value and offset a fall (rise) in the value of an existing position. While hedging can protect the owner of an asset from a loss, it also eliminates any gain from an increase in the value of the asset hedged against. The value of a firm, according to financial theory, is the net present value of all expected future cash flows. Currency risk is defined roughly as the variance in expected cash flows arising from unexpected exchange rate changes. A firm that hedges these exposures reduces some of the variance in the value of its future expected cash flows. However, is a reduction in the variability of cash flows sufficient reason for currency risk management? Opponents of hedging state (among other things): Shareholders are much more capable of diversifying currency risk than the management of the firm. Currency risk management reduces the variance of the cash flows of the firm, but also uses valuable resources. Management often conducts hedging activities that benefit management at the expense of the shareholders (agency conflict), i.e., large FX loss are more embarrassing than the large cost of hedging. Proponents of hedging cite: Reduction in risk in future cash flows improves the planning capability of the firm. Reduction of risk in future cash flows reduces the likelihood that the firms cash flows will fall below a necessary minimum (the point of financial distress) Management has a comparative advantage over the individual shareholder in knowing the actual currency risk of the firm Management is in better position to take advantage of disequilibrium conditions in the market. Transaction Exposure Transaction exposure arises when a firm faces contractual cash flows that are fixed in a foreign currency. Whenever a firm has foreign-currency-denominated receivables or payables, it is subject to transaction exposure, and the eventual settlements have the potential to affect the firms cash flow position. Since modern firms are often involved in commercial and financial contracts denominated in foreign currencies, management of transaction exposure has become an important function of international financial management. Measurement of Transaction Exposure Transaction exposure is simply the amount of foreign currency that is receivable or payable. Since MNCs commonly have foreign subsidiaries spread around the world, they need an information system around the world, they need an information system that can track their currency positions . Identifying Net Transaction Exposure Before an MNC makes any decisions related to hedging, it should identify the individual net transaction exposure on a currency-by-currency basis. The term net here refers to the consolidation of all expected inflows and outflows for a particular time and currency. The management at each subsidiary plays a vital role in reporting its expected inflows and outflows. Then a centralised group consolidates the subsidiary reports to identify, for the MNC as a whole, the expected net positions in each foreign currency during several upcoming periods. The MNC can identify its exposure by reviewing this consolidation of subsidiary positions. One subsidiary may have net receivables in Mexican Pesos three months from now, while a different subsidiary has net payables in Pesos. If the Peso appreciates, this will be favourable to the first subsidiary and unfavourable to the second. However, the impact on the MNC as a whole is at least partially offset. Each subsidiary may desire to hedge its net currency position in order to avoid the possible adverse impacts on its performance due to fluctuations in the currencys value. The overall performance of the MNC, however, may already be insulated by the offsetting positions between subsidiaries. Therefore, hedging the position of each individual subsidiary may not be necessary. Although it is difficult to predict future currency value with much accuracy, MNCs can evaluate historical data to at least assess the potential degree of movement for each currency Standard Deviation The standard deviation statistic is one such possible way to measure the degree of movement for each currency. Notice that within each period, some currencies clearly fluctuate much more than others.

My Goals as a Teacher :: Education Teachers Teaching Essays

My Goals as a Teacher A teacher is not what I have always wanted to be. As a matter of fact, it wasn't until I had taken several of my general studies classes that I made a commitment to teach. Having played football through middle school and high school, I just assumed that whatever I did would have to be related to football. It was, however, during a time of reflection that I thought about a former football coach and the rapport that he had with me and other players. He wanted to bring out the best in each of us. It was then that I realized that I wanted to do the same. As a teacher, I would strive for a classroom that would be conducive to learning. I feel that linear seating allows for more structure in the classroom. However, interest should be stimulated by the display of attractive bulletin boards that are pertinent to the material being taught. The use of supplemental materials such as videos and computers are a must in educational programs. In today`s society everything moves rather quickly and the future generations must be able to keep pace. The world is at our fingertips through these devices. I would also assign projects to reinforce learning. This, of course, would depend on the ability of the groups being taught. I feel comfortable using an authoritarian type of instruction, although there will be times to use non-authoritarian types as well. I believe that the type of students that a teacher has in his/her classroom determines much of their teaching styles. I prefer seating students in rows rather than a horseshoe. Again, students set the tone for the seating arrangement. This day and time motivation seems to be harder to achieve. The use of homework passes and free time would be used as a form of motivation. Students, young and old, appreciate rewards even if it is only verbal praises. Some form of recognition creates a desire to achieve even more. Notes written by the teacher on returned homework or test papers may give inspiration to a shy student. This is also a way in letting the student know that they are an individual who is capable of achieving great things if they really try. Teaching styles tend to conform to the grade level that is being taught. I prefer being the only one in charge, but I do want my students to be actively involved.

Financial Difficulties

Finance is a huge part of our life that everybody hope to be in good financial state. However, today, more than ever before, people are struggling with financial problems. According to a research conducted by AC Nielsen and ANZ in 2005, people often display six ways of thinking considered â€Å"unhealthy† that putting people under financial pressure including ‘living for today’, ‘financial disengagement’, ‘aspirational’, ‘emotional enhancement’, ‘ownership of credit’, and ‘credit as supplementary income†.Firstly, the prominent idea is â€Å"living for today†. It means that people just think and spend for their present lives, and do not pay much attention for their future. This way of thinking has a close connection with the â€Å" youthfulness† or the current young generation as they suppose the most important thing to fulfill the emotional life. They often to hang out for shopping or ha ving party with their friends as there are some who think they might die tomorrow. That why they have to enjoy; and live like that day is the last day of their life.While the youth strongly represent this unhealthy thinking, family is also found in this group. For example, a mother with a low income level might think her family is never to become rich; therefore, she must enjoy the moment. One more reason, some fluctuated income people are going to spend more today as they might receive more money in the near future. Unfortunately, they might never think of being in unexpected circumstances. Take illness or the death of the family member as an example. It is likely that they are unable to handle this situation.In fact, this way of thinking definitely triggers negative effects on people’s lives in the long run; hence, people must learn the way to draw out financial plan carefully to be always in safe. Secondly, ‘financial disengagement’. Who are mentioned themselv es are not kind of â€Å"financial minded† and don’t care much about their spending. They are seen as unorganized or easy going people. Similarly to â€Å" living for today† thinking, they put financial issue at the bottom of their perceived value and living for emotional and spirit fulfillment.There are some who have a good job with middle-high salary, they don’t think they need to worry as they can afford to pay their debts soon. They never thought of being in emergency such as they might lose their job or in case they get divorced. I myself experienced a hard time at my first year at my university living far away from my family. Lacking financial management skill, I just spent and bought everything I like without thinking about, managing, and tracking my expenses. As a result, I went out of money soon and cannot afford to necessary things after that. 3. aspirational’: – spending to â€Å"keep up with the Johnes’ meaning a person i s easily want to have the things that others have. He/she is likely to be influenced by others or environment. For eg: A Single Mother, Sally, lived in Rural for a long time, after that she move to the town near her daughter’s school.She start to wanting and needing more material things to fulfill her large house. Then she gradually buy more items. Consequences: they might buy the things that they do not really need. The ‘aspirational’ way of thinking is where people had a particular aspiration that strongly influenced their xpenditure. The unhealthy spectrum of this way of thinking was where this dominated, to an extent that it translated into over-spending and/or over-commitment. Common colloquialisms that people used to describe this way of thinking included ‘keeping up with the Joneses’ and ‘champagne taste on a beer budget’. 4. emotional enhancement’: described themselves as ‘impulsive’, closely related to mood s tate. there appeared to be a trend of using ‘material goods’ to manage emotions, especially negative thoughts. Eg: a single mother â€Å" I think a lot of it had to do with depression.I’m being treated for my depression with antidepressants and I feel so much better now†. Consequences: our spending might exceed our financial ability. In that case, buying are not help to feel better but put us to another worries related to finance. 5. ‘ownership of credit’: – over time an attitude of ‘it’s my money’. They fail to differentiate their money and the thing they perceive as a debt to a lender. ‘You get a false idea of your financial situation†¦ Because you are feeling like it’s your money and in actuality you are using it before you actually pay it. ’ Single Mother, 5 Children. 6. Credit as a supplement income way of thinking: