Leadership Vs. Management

Who is better? Leaders or Managers? First what is a LEADERSHIP? has been described as the “process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task”. I know that leaders can easily influence other people. And what is MANAGEMENT? in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization or effort for the purpose of accomplishing a goal.

The leader is a kind of person who influences other people. There is a quote " A good follower becomes a good leader". So all leaders, starts with being a good follower. We usually follow but we don't know, why we are following. Mangers do only manage the business, just for money, to earn moneys and just for their name or position. But not all managers are like that. Managers are usually encountering problems that they need to solve. The leader is the only instructioning his/her subordinates what to do, and usually do what is right, while the manager do only waht he/she need to do for business.

For me, Leadership is better than Management.

Functions of Money

There are four uses for functions of money. In this topic we will know what is the purpose of money in our life and how to use it properly.

The first function of money is we use money by barter system or trading system. Money is used to buy or get something else that we really need in our lives. This function of money is very common to us because we use money to get our needs and our wants. The second function of money is (1) Medium of exchange,(2) Standard value. This function of money is usually we used it to have goods and services that we bought or sold. The money is used as the standard of value for the exchange of something we need and it depends on the price of each goods and services. The third function of money is (3) Store of Value. This functions of money is the process of keeping money from your own good. Like money that you put in you piggy banks, you store it and when you store it, it sill have value in it. When you put away money, it will still be valuable later because it has a store of value in it. The last function of money is (4) Standard of Deferred payment. This functions of money is usually used in jeepney, because we pay for every services that is given to us. The item or service is bought on redit and paid for later in cash or by check from banks.

These are the FOUR USES FOR FUNCTIONS OF MONEY.

4th Quarter Official Blog entry : "Types of Money"

There are four types of money. Money has types because we can use it in many ways it depends also in the characteristics of each type of money. The first type of money is (1) Goods and Services. This type of money is also known as traditional barter system. It is the oldest type of money even our ancestors us this type of money when they need something, they use goods and services type of money. For example our ancestors needs food to eat, they will work for it and have service to the person that they will get the food that they need. The second type of money is (2) Metallic money. For me this type of money is for rich people, because metals are usually expensive like gold, copper, silver, and brass. Those are the examples of metallic money. For example, you don't have money yet and you need to pay your credit to you friend, and you friend need badly a money, then you only have gold ring. You may use the gold ring as the payment or as money to pay your credit to your friend. Coins are also example of metallic money. The third type of money is (3) Paper money. These are the notes or checks from bank. These type of money is used if there is an absence of money. But this type of money should supported by the government or by the authority issuing it. This is usually used by rich people or in businesses. The last type of money is (4) Card Money. For me this type of money is common. These are small plastic cards usually issued by banks or credit companies. Card money is easy to use and it is portable. For me it is the best type of money that we can use, because even if it is caught by a criminal, it is not easy to get the money, just tell to the bank to issue you a new bank card. It is also the safest to use in malls because it easy to use it when you are in cashier you don't have to count the money, it will just deduct to the balance money in you bank account.

These are the four types of money, so we should be careful in using it.

12 Basic Business Principles [Jason Miles]

There are 12 key business principles. This principles may help you to have a successful business.

The first key business principle is (1) "You cannot succeed until you try" this principle is the most important of all business principles. It is like, you should know how to take the risk. Sometimes, we are win, and sometimes we loose. This principle is very understandable, in order to have a successful business, we should always try and try until we have succeed and get our goals in business. The second type of business principle is (2) "always have strategy in everything you do". Jason miles said that, in business we should have strategy and techniques to win and earn money. Strategy is very important to a business, we should know how we can make our money become many and we should know how to be a good businessman. The third business principle is (3) "consistently execute doing right things." In this principle, we should know our capabilities in running the business. We should know what are the qualifications for having a successful business. In business, it is need to innovate and have something new for the business, "INNOVATION" is very important to business, it is need to be TRANSFORMED and more IMPROVED. We an innovate businesses and transforming it by switching gears, we should thing another things that will make you business famous and successful. The 4th business principle is (4) "there is no such thing as once in a life opportunity". For me this principle is very important. We need to understand that "OPPORTUNITIES come into our lives once. We should take it to consideration that we should grab every opportunity into our lives. The fifth key business principle is (5) "stop, stop, stop executing wrong plans".This principle is very critical. Businessman and businesswomen should know the right plans and wrong plans. They need to be aware to all plans that they will do. We can have right plans by having a good objectives. The 6th type of key business principle is (6) "Following your passion". Each of us has a passion. In business we should know what passion do we have. We should follow it, because once you contracct with it, you will fail for having a business successful. The 7th key business principle is (7) "Don't ignore your PROBLEMS". In business it is naturally problem comes. According to Jason Miles, we should not ignore it, face it and solve it. Because once we ignore it, it may be the cause of your business bankrupt and not be successful. The 8th key business principle is (8) Success is attained by surrounding yourself with quality people". This principle was stated by Jason Miles because, people around us can easily influence us. In business, we should surround ourselves to quality people and who are professionals when it comes to business. So when we surround our self with it, we can absorb and learn traits from them to have successful business. The 9th key business principle is (9) "Opportunities are liabilities not assets". In business we should take it to consideration that, opportunities is very very important. Because we can earn and learn from this opportunities that we have and we should know that these opportunities are liabilities, NOT ASSETS. The 10th key of business prprinciple (10) "Never ignore the size of your business". Many business people are very frustrated with the size of their businesses. They cant handle it because there are so many problems when it is big company or business. Jason Miles said, we should be strong and face all the problems that will come to you as a business person. The 11th Key business principle is (11) "success come by doing many things right for several times". This is how you will improve your skills, abilities and capabilities in business as well. We can attain success when we do things right for how many times and you will be familiar with it. The last key business principle is (12) "success is never GUARANTEED!" the last principle is very meaningful, we cannot attain success if we don't have to work for it. All success will be attain by experiencing hard things and problems that we should survived.

These are the 12 Basic Principles of Jason Miles.

2nd Official Entry for 2nd Quarter: "Advantages and Disadvantages of Different types of Business"

Single Proprietorship(Advantages and Disadvantages)

There are some advantages of having single proprietorship type of business, the first one (1) Only the owner will have all the profit from the business. All the money that his or her business will earn is all for her. The second advantage of having this type of business is (2) Easy management of the business, because you don't have need to argue to someone who has any idea because you are the only one who runs the business. If there is advantages, it also have disadvantages, the first one is (1) all the problems of the business, only you will suffer. For example, you business is bankrupt, you are the only one to stand up and continue the business. The second disadvantage of this business is (2) you have Limited capital, because you are the only one who can invest for your business. Third (3) Limited life is also considered as disadvantage, because if the owner died, the business also will stop and die.

Partnership(Advantages and Disadvantages)
These are the advantages of partnership type of business. Let me enumerate it. The First one is (1) having more capital rather than single proprietorship business. You can have more capital in this type of business, because, you can have many investors for your planned business. Second advantage is(2) Many ideas. You can ask you partners for ideas in innovating the business if you want to improve your business, and if there's any problem, all of you will suffer, not only one. The disadvantages of this type of business is (1) Sharing of profits and earned money. You need to divide the profit equally for your partners, for example, if the business earn only one thousand pesos, and you are 5 partners in business. Each one of you will only receive 200 pesos for your profit. The second disadvantage of this type of business is (2) when you disagree to each other, it hard to manage the business if on of your partners will disagree in a particular idea. It is hard to think another idea when someone disagrees with you.

Corporation(Advantages and Disadvantages)
There are few advantages of this type of business. The first one is(1) Bigger Capital for a business. In this type of business(Corporation) has many investors. So the money that will be used in the company or in the business is bigger. It can start with a big business until you will have franchises and branches. You need to cooperate with your stockholders to maintain the business good and improve. The second advantage of having corporation type of business is (2) Unlimited life, because if the owner of the business died, there are many stockholder can still manage the business. And for the disadvantages of corporation, The business is control by government and hard to manage, you need to trust to all the employees that you have in the business. The other disadvantage of corporation is "disagreement" if one of the stockholders disagree, the business will fall or have a big problem.

These are the Advantages and Disadvantages of Different types of Business.

1st Official Entry for 2nd Quarter: "Different types of Capital"

There are three types of capital, Fixed Capital, Circulating Capital and Free Capital. The First one is the (1) Fixed Capital, this capital is good to have in a particular business. Because this capital refers to permanent things or things that we owned and has value. This thing that we have is called "Collateral". Collateral are the things that we can be proud of having it. We can use this things to have a fixed capital. For example, I have a business and I need to borrow money from bank and have a fixed capital. I have my own land,cars, and buildings. This things I can used as collateral and I will have a money for my capital. This example can be used in loaning from a bank. Bank is always looking for collateral or things that have value on it.So if the owner of the business cannot return and pay that he(or she) loan, his(or her) collateral will be taken of the bank.

The second type of capital is (2) Circulating capital . This capital is taking risk. The capital goods that are use is only once or sometimes, no more. For example, I have a business, "Drinking water Supply" . I am supplying drinking water in our village. Then, my capital is only just enough for the half of people in our village. Then, all of a sudden, all people in our village buy from my business some supply of drinking waters. Now, I need to get from my capital to supply the water that I need for my business. The capital circulates, when they buy again from me, I will earn again and put it on my capital. This is an example of circulating capital, it means that when something is gone, you need to replace it and replenish.

The last type of capital is (3) Free Capital. For me, this is the best capital among the two. Because this type of capital is easy to have, but you need to take the risk. This type of capital is common. The best example for having this capital is having a business like "JUNK-SHOP". Because you will have a free capital by buying and selling plastic bottles and any other recyclable things. So for me, if I will have a business. I will choose this type of capital. These are the three different types of Capital.

Rich Dad, Poor Dad Book Review

The Rich dad, Poor Dad Book is written by Robert Kiyosaki. This Book explain to us that we don't need to work for money, money should work for us. There are many lessons that we can learn from this book. Robert Kiyosaki is the author/narrator of the story. In the story, he has two fathers: The first was his biological father or the Poor dad and the other was the father of his childhood best friend, Mike or the Rich dad. The book requires the readers should have accounting knowledge so that they can clearly and easily understands what assets and liabilities are. The accounting knowledge is very important, no matter how boring it is because Robert Kiyosaki says that, "the most important subject in your life".

Robert Kiyosaki highlights two concepts by providing multiple examples for each and focusing on the need for financial literacy, how the power of corporations contribute to making wealthy even wealthier, minding your own business, overcoming obstacles by not fostering fear,cynicism,laziness and other negative attitudes and recognizing the characteristics of humans and how their are conceived notions and up bringing hamper their financial goals.

Rich Dad, Poor Dad explain to us how to live with valuable things in our lives. We should treasure and give importance to it. This book gives us six"6" major lessons, these are : (1)The Rich dont work for money, (2) The Rich invent money, (3) Minding your own business, (4) The need to work to learn and not to work for money, (5) The importance of financial literacy and the last one,(6) Taxes and corporations. These major lessons wakes up my mind. When I read the summary of every chapter of the book, I am already thinking about my future life. I want to be rich person someday. I am really inspired with this book. Honestly, I want to readd summaries only because it is easy to understand.

Rich Dad, Poor Dad, can help us alot, so I am very glad the our teacher in economics, Mr. Noel Delos Reyes, make the book review of Rich Dad, Poor Dad is our first quarterly project. From now I bear in my mind that "Money should work for me and I will not work for money"