The choices faced in stock investment - Free Essay Example

Sample details Pages: 12 Words: 3503 Downloads: 7 Date added: 2017/06/26 Category Finance Essay Type Research paper Did you like this example? Choosing the right stock for investment is usually a hard and a difficult decision for investment and portfolio managers as the action of selecting a stock to buy is not that easy due to the different perspectives that need to be evaluated before taking the action of purchasing a stock. The decision to purchase stock includes the necessary evaluation of several perspectives, this leads to Data Envelopment Analysis (DEA) which is considered a multi-criteria decision-making tool that can select the most efficient stocks from a large combination of stocks. In this chapter, the usefulness of Data Envelopment Analysis as an efficiency measurement tool used for ideal stock selection and portfolio construction is presented several studies are presented which examines the effect of corporate action announcements on share prices and trading activities. Don’t waste time! Our writers will create an original "The choices faced in stock investment" essay for you Create order This subject has encouraged researchers to publish many theoretical and empirical studies for more than 40 years. In literature, the majority of studies found that corporate action announcements such as dividend, capital increase, and earnings per share (EPS) announcements, have strong effects on the share prices and trading activities, and that these effects appear in a predictable manner around critical dates; and therefore, it is important for the trading desk in any firm to have access to accurate and timely data on such corporate actions in order to conduct proper and more efficient trading strategies. However, a more careful look at literature reveals a vast amount of contradictions in the empirical studies done on corporate action announcement. This chapter tackles the background overview of these studies and shows the contradictions between them. This chapter starts with a brief about Kuwait economy then an overview about the Kuwait Stock Exchange, its regulation and the t rading rules in Kuwait Stock Exchange. Then in the following part 2.4, the concept of stock selection is discussed via highlighting the validity of different methods used for stock selection .Part 2.5 gives an overview about Data Envelopment Analysis, its history, models and its strengths and limitations. This chapter ends with part 2.6 that shows previous researches that examined the use of Data Envelopment Analysis as a useful tool for stock selection. 2.2 Kuwait Economy Kuwait is considered a geographically small country (ranked number 157 worldwide), but with a high crude oil reserves of about 102 billion barrels (9% of world reserves), petroleum accounts for 50% of GDP, 95% of export incomes. Kuwaiti government estimation is to increase oil production to 4 million barrel/day by 2020. High oil prices was the reason behind the ability of Kuwait to bypass the economic crisis, where in 2008 it reported a 10 successive years of budget surpluses before reporting a budget deficit in 2009. In 2009 the Kuwaiti government allocated $140 billion for a five year plan in order to diversify its income via attracting more investment, and increasing the private sector participation in the economy.(CIA world-factbook, 2010) 2.3 Kuwait Stock exchange (KSE) 2.3.1 Kuwait Stock exchange overview The  Kuwait Stock Exchange  was established by law in 1977 and it is considered as the first and largest stock exchanges in the  gulf  region. Since 1977 KSE went through many changes until it was organized by an Amiri decree on 1983, where many regulations and decisions where taken by the ministry of commerce, and KSE committee to come up with the rules that can comply with the international standards in order to enhance the performance of the stock market in Kuwait. In 1990 after the Iraqi invasion KSE postponed its work till the liberation of Kuwait in 1992, and then in 1995 it became the most active market in the Arab World after the adoption of an automated trading system. In year 2000 was the start of foreigners participation in KSE via owning shares of Kuwaiti shareholding companies. James (2007) By the end 2007 KSE was ranked number 38 within the world largest stock market capitalisation with about $188 billion. (Economist, 2010) While in 2 009 it was ranked number 34 with a market capital of $96 billion. (CIA world-factbook, 2010) In 2002 KSE contained 77 listed companies ,while now in 2010 KSE contains 229 company distributed on 10 sectors which are the banking sector ( 9 companies),investment sector (51 company), insurance sector ( 7 companies), real estate sector ( 39 companies), industrial sector ( 28 companies ), services sector ( 60 companies), food sector ( 6 companies), non Kuwaities sector ( 14 company), mutual fund sector ( 1 company) and the parallel market sector ( 14 company) . (Kuwait Stock Exchange, 2010) 2.3.2 Kuwait Stock exchange regulations Upon these rules in 2007 In order to protect the rights of investors KSE Committee took the decision No. (4) for the Year 2007 which states that all listed companies in the KSE must organize their general assembly meeting at the end of each companys financial year within a period of 45 days from the KSE committee approval date on its annual financial statements, where all the companies must distribute the cash and share dividends to shareholders in a period of 10 working days after the approval taken within the companys general assembly meeting. (Kuwait Stock Exchange, 2010) 2.3.3 KSE trading rules Trading in KSE regular market is characterized by 2 main issues the first one is the ability of only trading shares in the form of units ranging from 500 shares till 80000 shares and the second is the limitation of the stock price fluctuation during a day trade where the main guide of the following rules is the price of the stock in the market as according to the price share the investor is obligated to buy and sell shares in form of units where the share prices can fluctuate 5 pricing units daily according to its category. (Kuwait Stock Exchange, 2010) Stock Price (Fils) Value Unit Unit Change (Fils) Max Daily Change (5 Units) 0.5:50 80,000 0.5 50.5 = 2.5 Fils 51:100 40,000 1 51 = 5 Fils 102:250 20,000 2 52 = 10 Fils 255:500 10,000 5 55 = 25 Fils 510:1000 5,000 10 510 = 50 Fils 1020:2520 2,500 20 520 = 100 Fils 2520:5000 1,000 20 520 = 100 Fils 5050:9050 500 50 50X5 = 250 Fi ls 2.4 Stock selection Ideal stock selection is the goal of each portfolio manger in order to reach the optimum combination of stocks to form an investment portfolio that yields the best results in terms of ROI and to increase the value of the portfolio. Michael Yan-Leung (1998) investigated the practice of investment management in Hong Kong regarding stock selection as a 142 investment managers from several categories were asked to rank the importance of fundamental analysis, technical analysis and portfolio analysis as methods for stock selection, results showed that fundamental and technical analyses comes first followed by portfolio analysis. Michael, et al. (1998) This was relevant with the survey done by Carter and Van Auken (1990) over 185 portfolio managers in the United States as the result showed that fundamental analysis was ranked number one followed by technical analysis and in the third rank came the portfolio analysis. Carter, et al. (1990) Several studies and researches have bee n done in order to evaluate these strategies. Starting with the random stock selection Hsin-Hung Chen (2008) outline Jensens (1968) New evidence on size and price-to-book effects in stock returns demonstrated that fund managers in financial service industry generally failed to outperform a random selection of stocks. (Jensen, 1968, in Hsin-Hung Chen, 2008). Ion Elena (2010) studied portfolio analysis as a strategy for stock selection via examining the efficiency of investing the whole capital in one sector and the efficiency of investing the capital in a diversified portfolio where the results showed that the portfolios based on stocks from one sector showed a higher return than portfolios based on stocks from diversified sectors. Ion Elena (2010) Lukas Menkhoff (2010) concluded in his survey study about the use of technical analysis as a stock selection tool by fund managers via analyzing survey evidence from 692 fund managers in five countries, the vast majority of whom re ly on technical analysis. At a forecasting horizon of weeks, technical analysis is the most important form of analysis and up to this horizon it is thus more important than fundamental analysis. Technicians are as experienced as educated, as successful in their career and largely just as overconfident in decision-making as others. However, technical analysis is somewhat more popular in smaller asset management firms. What we find most significant is the relation of technical analysis with the view that prices are heavily determined by psychological influences. Lukas Menkhoff (2010) Going through the fundamental analysis based strategy which is defined as a method of evaluating  a security  that entails  attempting to measure  its intrinsic value by examining related economic, financial and other qualitative and quantitative factors. (Investopedia, 2010) Many studies done on evaluating the efficiency of this strategy upon them is the research study o f Jane Stephen (1989) which resulted in that if an extensive financial statement analysis is done to the data from financial statements it is possible to predict future stock returns as this fundamental measure captures equity values that are not reflected in stock prices. Jane Stephen (1989) The use of data envelopment analysis in order to analyse multiple financial ratios in order to identify the most efficient stocks will be discussed in sector number 2.5 2.5 Data envelopment analysis overview Efficiency, defined as the competency in performance, was always the goal of any productive person, firm or any other entity as efficiency can classify any unit and categorizes it in the top of the rank if it is highly efficient or at the bottom of the rank if it is inefficient. Data envelopment analysis represents one of the most widely used tools to measure the efficiency as it was described by Charnes, Cooper, Rhodes (1978) as a mathematical programming model applied to observational data that provides a new way of obtaining empirical estimates of relations such as the production functions and/or efficient production possibility surfaces that are cornerstones of modern economics (Charnes, et al., 1978). 2.5.1 Introduction Data Envelopment Analysis (DEA) is considered a recent manner of evaluating the performance or the efficiency of a group of units or entities called Decision Making Units (DMUs).In the last few years DEA was used to evaluate the performance of different types of DMUs such as health care organisations, military units, schools, firms and countries. Cooper, Seiford Zhu (2004) sited that DEA has also been used to supply new insights into activities (and entities) that have previously been evaluated by other methods. For instance, studies of benchmarking practices with DEA have identified numerous sources of inefficiency in some of the most profitable firms firms that had served as benchmarks by reference to this (profitability) criterion and this have provided a vehicle for identifying better benchmarks in many applied studies. (Cooper, et al., 2004). What makes DEA different from other methods is that it is firstly based on building frontiers and not on central tendencies and secondly its minimal need for assumptions, due to these differences, DEA shows a superior perfection in defining efficiency or in explaining why one DMU is more efficient than another DMU which is achieved via a direct way without the extensive need of assumptions required by other methods as with linear and nonlinear regression models. Relative efficiency in DEA is neglecting the need of taking into consideration a pre-measurement of relative importance to any input or output Definition 1 (Efficiency Extended Pareto-Koopmans Definition): Full (100%) efficiency is attained by any DMU if and only if none of its inputs or outputs can be improved without worsening some of its other inputs or outputs. (Cooper, et al., 2004). This definition is replaced by Definition 2 because in the majority of the cases the efficiency theoretical possible levels are unknown. Definition 2 (Relative Efficiency): A DMU is to be rated as fully (100%) efficient on the basis of available eviden ce if and only if the performances of other DMUs does not show that some of its inputs or outputs can be improved without worsening some of its other inputs or outputs. (Cooper, et al., 2004). Here it is important to mention that this definition is sparing two needs firstly is the need of weights to show the relative importance of the different inputs or outputs and secondly is the need of noticing the formal relations that are supposed to exist between inputs and outputs. 2.5.2 Data envelopment analysis history It was in the mid 50s where the first approach to DEA was developed by Farrell (1957) as he was in need to create a better way to evaluate efficiency and productivity this need raised after his unsuccessful tries to simultaneously use the measurements of several inputs in efficiency measurement as he came up with an analytical approach that could solve the problem. (Cooper, et al., 2004). After Farrell studies several models and methods was developed where the first DEA model named CCR model referred to Charnes, Cooper, and Rhodes (1978) which raised in response to the thesis efforts of Edwardo Rhodes Under the supervision of W.W. Cooper, this thesis was to be directed to evaluate educational programs for disadvantaged students in a series of large scale studies undertaken in U.S. Rhodes secured access to the data being processed for that study, the data base was sufficiently large so that issues of degrees of freedom, etc., were not a serious problem despite the numerous input and output variables used in the study. Since the initial study by Charnes, Cooper, and Rhodes some 2000 articles have appeared in the literature. See Cooper, Seiford and Tone (2000). See also G. Tavares (2003). Such rapid growth and widespread (and almost immediate) acceptance of the methodology of DEA is testimony to its strengths and applicability. Researchers in a number of fields have quickly recognized that DEA is an excellent methodology for modeling operational processes, and its empirical orientation and minimization of a priori assumptions has resulted in its use in a number of studies involving efficient frontier estimation in the nonprofit sector, in the regulated sector, and in the private sector. At present, DEA actually encompasses a variety of alternate (but related) approaches to evaluating performance. Extensions to the original CCR work have resulted in a deeper analysis of both the multiplier side from the dual model and the envelopment side from the pri mal model of the mathematical duality structure. Properties such as isotonicity, nonconcavity, economies of scale, piecewise linearity, Cobb-Douglas loglinear forms, discretionary and nondiscretionary inputs, categorical variables, and ordinal relationships can also be treated through DEA. Actually the concept of a frontier is more general than the concept of a production function which has been regarded as fundamental in economics in that the frontier concept admits the possibility of multiple production functions, one for each DMU, with the frontier boundaries consisting of supports which are tangential to the more efficient members of the set of such frontiers. 2.5.3 Data envelopment analysis models BCC The BCC model is one of the most commonly used DEA models. It is credited to Banker, Charnes, and Cooper. This model differs from the CCR model in that it exhibits variable returns to scale rather than constant returns to scale. CCR Perhaps the most commonly used DEA model originating with Charnes, Cooper, and Rhodes. This model exhibits constant returns to scale. Book pdf 2.5.4 Definitions Book pdf Inputs and outputs Inputs are the resources used by a DMU in achieving its goals. Inputs are bads in that increasing levels of an input while holding everything else constant should generally result in a lower efficiency score. Outputs have the opposite property. Examples of DEA inputs might include the number of staff assigned to a team or capital expenditures in networking. Outputs might be lines of code or reduced computing time. Orientation DEA models often have two important but underappreciated variations based on the orientation of the model. An input-oriented model primarily focuses on input reduction while an output-oriented primarily model focuses on output augmentation. Returns to scale Two of the most common returns to scale assumptions are constant and variable. Constant returns to scale (or CRS) implies that doubling each of the inputs used by a DMU should double each of the outputs. Variable returns to scale (or VRS) implies that doubling each of the inpu ts used by a DMU does not necessarily double each of the outputs. weight restrictions DEA normally does not place any restrictions on the relative trade-offs between the inputs or the trade-offs between the outputs. This can lead to unrealistic or extreme trade-offs. Various weight restriction techniques can be applied to overcome this. 2.5.5 Data envelopment analysis strengths and limitations C. Strengths of Data Envelopment Analysis DAE is considered an excellent technique when used in the right position; its excellence comes from its ability of dealing with multiple inputs and outputs, it doesnt require to unify the units between inputs and outputs and that each DMU can be compared against a combination of other DMUs Although it considered a powerful tool it still have its limitations that must be kept in mind in order to decide either to use or not to use DEA ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¢ Since DEA is an extreme point technique, noise (even symmetrical noise with zero mean) such as measurement error can cause problems. ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¢ DEA is good at estimating relative efficiency of a DMU, but it converges very slowly to true efficiency. In other words, it can tell you how well you are doing compared to your peers but not compared to a theoretical maximum. ÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ ¢ Since DEA is a nonparametric technique, stat istical hypothesis tests are difficult and are the focus of ongoing research. Since a standard formulation of DEA creates a separate linear program for each DMU, large problems can be computationally intensive. Naive implementations of DEA using off-the-shelf linear programming packages can result in computational problems. I have frequently seen this with respect to the Excel Solver and poorly scaled data. This has improved in recent versions of Excel (Excel 2000s Solver seems to be much more robust), but the prevalence of degeneracy and potential for cycling are still cause for concern. Book pdf 2.6 Previous studies 2.6.1 Introduction This section will highlight on the previous researches that assessed DEA as a selection tools used by portfolio managers in their investment decisions. 2.6.2 Stock selection using data envelopment analysis previous studies. The first research done to assess the use of DEA models in stock selection and to compare the performances of the portfolios constructed by DEA analysis versus stock market indices was carried out by Hsin-Hung Chen (2008). In his study Hsin-Hung Chen used two DEA models the CCR and BCC models to evaluate the efficiency of the firms listed in the Taiwan Stock Exchange to construct portfolios by selecting stocks with high efficiency from the listed stocks, where the return rates of the portfolios constructed by DEA models and market indices were compared via empirical data analysis. In this study Hsin-Hung Chen used average equity, average asset, and sales cost as inputs for the DEA models and he used revenues, operating profit and net income as outputs for the DEA models where the software DEA-Frontier was used to solve the DEA models. Hsin-Hung Chen used the historical financial ratios and stock prices of the firms listed in eight major industries on the Taiwan Stock Excha nge as the empirical data, where stocks are selected by DEA methods for portfolio construction. The empirical data used in this study covers the period from the second quarter of 2004 to the second quarter of 2007. Based on the financial data of the second quarter of 2004, stocks are selected and portfolios are constructed then the performances of these portfolios in the next quarter (the third quarter of 2004) are compared with the average returns of all stocks in the eight major industries. From the second quarter of 2004 to the first quarter of 2007, the same procedure is repeated to construct portfolios and compare their performances with average industry stock returns in the next quarter. As a conclusion of the research portfolios constructed by DEA models demonstrated good ability to create noticeably superior returns. The BCC portfolios achieved superior returns of 6.90 per cent, 3.48 per cent, 6.51 per cent and the CCR portfolios achieved superior returns of 5.86 per cent, 4 .16 per cent, 5.72 per cent for year 1, year 2 and year 3, respectively. Another research was done by Ana Lopes (2008) DEA investment strategy in the Brazilian stock market, this research assessed a multi-period investment strategy applied to the Brazilian stock market using DEA models to select efficient stocks where price to earnings ratio, beta, and return volatility for each stock where the inputs and earnings per share, and the last 12, 36, and 60 month return where the outputs. To be included in the sample the stock should belong to the IBrX-100 index (the Sao Paulo Stock Exchange value-weighted index) at the beginning of each of the 22 quarters along the period of Jan/2001 to Jun/2006. Stocks considered to be efficient were selected to make up a portfolio at the beginning of a quarter. In each of the 22 quarters DEA-portfolio was composed by an investment of the same proportion for each efficient stock so the portfolio was equally weighted. The acquisition of the stocks on the first day of a quarter and the sale on the last day of the same quarter was simulated. For the calculation of the return for each stock, the closing price on the first and last day of the quarter was used. The same procedure was adopted for calculating the IBrX100 index returns. The research results showed that during the 22 quarters the portfolio constructed via DEA performed much better than the IBrX-100 index. Lopes, Ana, Edgar Lanzer, Marcus Lima, and Newton da Costa, Jr., (2008) DEA investment strategy in the Brazilian stock market. Economics Bulletin, Vol. 13, No. 2 pp. 1-10 2.7 The Case of Kuwait

Being A Citizen Of The Director Of Homeland Security

â€Å"If you touch my junk, I’m going to have you arrested†! This was the response from airport traveler, John Tyner, after a TSA agent explained the â€Å"groin check† pat down search he was about to undergo. The TSA agent explained to Tyner, â€Å"I am going to place my hand on your hip, my other hand on you inner thigh. Slowly go up and slide down† (Weber, 2010). His aforementioned response went viral. Complaints and lawsuits from travelers worldwide have been steadily flowing the office of the Director of Homeland Security. Never should a citizen of this great country have to stand silent while their loved one is violated by a TSA pat-down search. Never should a citizen of this great country have to expose an X-ray image of their naked body†¦show more content†¦Most Americans were under the idea that terrorist attacks only occurred outside U.S. borders and were a non-issue here on the homeland. After the attacks on the Pentagon and World Trade Center, American realized that the homeland was not as secure as once thought. This tragic event brought with it a strong wake-up call for a much-needed check up on America s security, in particular, airline security. The Aviation and Transportation Security Act passed by 107th Congress and signed on November 19, 2001 established TSA. Then, in March 2003, the TSA transferred from the Department of Transportation to the Department of Homeland Security (TSA, 2014). It is the 1973 ruling from of the 9th circuit court on U.S. vs. Davis that gives the TSA it’s power to conduct searches in any way that it chooses. The ruling has wording that includes, â€Å"an administrative search is allowed if no more intrusive or intensive than necessary, in light of current technology, to detect weapons or explosives, confined in good faith to that purpose, and passengers may avoid the search by electing not to fly.† This has basically given the TSA a â€Å"blank check† in spelling out what is â€Å"no more intrusive or intensive than necessary† and what is â€Å"confined in good faith to that purpose† (Klint, 2010). X-ray Scanners and Pat-Downs At many airports around the country, TSA is now using full body scanner machines and also much more invasiveShow MoreRelatedNational Intelligence Advise1018 Words   |  4 PagesIMPROVING THE INTELLIGENCE AT HOMELAND SECURITY DEPARTMENT Mr. President, The report of the Strategies to improve the Department of Homeland Security, United States has been presented to President of the United States of America by Director of National Intelligence, in accordance with Intelligence Reform and Terrorism Prevention Act (IRTPA) of 2004 (Office of the Director of National Intelligence 2012). This report reflects the important steps that can be taken to improve the intelligenceRead MoreDirector Of Fice Of Homeland Security Essay1497 Words   |  6 PagesSubject: Director of the Office of Homeland Security Purpose: To provide information to the Mayor, Law enforcement, First Responder, Department Head and office managers. Background: Mohamed Barry 30, injured four people with machete outside of a restaurant in Columbus, Ohio, who was subsequently killed by police, this man was on known by the FBI, however he was not being investigated, later he was identified in a law enforcement data base as a potential terrorist. Should this have happened inRead MoreThe Terrorist Attack On The World Trade Center1296 Words   |  6 Pagesfirst-ever director of the nascent Office of Homeland Security†(Homeland Security past, present, future). Homeland Security is to oversee and coordinate a comprehensive national strategy to safeguard the United States against terrorism and to respond to any future attacks. â€Å"In November 2002, the Department of Homeland Security (DHS) formally came into being as a standalone, Cabinet-level, department to further coordinate and unify national homeland security efforts† (Homeland Security past, presentRead MoreAftermath of 9/11; Congress Acts Essay1024 Words   |  5 Pagesdollars to deal with the al-Qaeda threat. However one of the most significant action, by far, Congress took was the passage of The Homeland Security Act in 2002. The passage of this Act allowed for the creation of The Department of Homeland Security (DHS). The DHS is the â€Å"largest merger in government history. There were 17 agencies from multiple departments . . . all being fused together into one organization and all at once† (Clarke). The main responsibility of the DHS was to prevent future terrorismRead MoreDifferent Elements That Compromise The Intelligence Communities ( Ic ) From Local Law Enforcement Essay1556 Words   |  7 PagesThis paper will analyze the different elements that compromise the intelligence communities (IC) from local law enforcement to national agencies and how each of those entities contributes to security intelligence. Secondly, this paper will evaluate the lessons learned from the attacks of 9/11. Lastly, the issues of domestic inte lligence vs. foreign intelligence will be examined. Intelligence-led policing along with other various initiatives is a newly developed style of investigation strategy. ThisRead MoreTerrorism during the 9/11 Attack and Afterwards1476 Words   |  6 PagesAfter these attacks the whole country was looking for security, a reassurance that an event like this would not happen again. Terrorism has many different definitions, ranging from simple acts of criminal behavior to extreme behavior that causes harm to many people, all of these definitions depend on who you ask and their opinion on the subject. According to the book Terrorism and Counterterrorism by Russell Howard, â€Å"terrorism can be defined as being; ineluctably political in aims and motives, violentRead MoreWar on Terror Essay969 Words   |  4 Pagesincluded the newly developed Department of Homeland Security. Homeland Security is now charged with not only protecting the country and territories from another terrorist attack but also responding to an attack, man-made accident, and natural disasters. It is also responsible for monitoring the current threat of an attack against the United States. The United States and the newly formed Department of Homeland Security (Department of Homeland Security) also watch which groups are the greatestRead MoreWisconsin s Emergency State Responders1328 Words   |  6 Pagesmuch the public sector can do, relationships with businesses is crucial in times of disasters. 80% of resources are within the private sector so having relationships with them is a key component for the recovery effort. In 2004 the Southeast Homeland security partnership was formed to help bridge that gap between the public and private sectors. The city of Kenosha in 2008 became flooded, that when both sectors became together. Wisconsin also works along side with the National Guard. There areRead MoreThe Department Of Homeland Security1336 Words   |  6 PagesThe Homeland Security enterprise is tasked with protecting our country from all threats to include threats that have not yet revealed themselves. There’s a few methods used to identify these threats, but I’m going to cover just one of those methods in particularly. To better explain the role of risk management, first I’ll break down the steps of risk management and explain each one individually. After I have fully addressed the basics of risk management, I’ll go more in depth on why the DepartmentRead MoreThe Usa s Act Of 20151580 Words   |  7 Pagesand others to the USA PATRIOT Act were made in the USA Freedom Act of 2015. Perhaps the most important change in how the federal government was reorganized after September 11th is the creation of both the Director of National Intelligence (DNI) position and the Office of the Director of National Intelligence (ODNI) in 2004 with the passage of the same IRTPA that created TSA. This concept had been first suggested in 1955 after a study by Congress then and was recommended time and again but only

Health Facilities Purpose The Terminology

Question: You need to reflect on your clinical experience to date and identify an issue of interest to research such as, wound care, nursing care procedures etc. You are then required to develop a quality improvement proposal on this topic of interest. The content of the proposal will include: the background and significance of the project; statement of the problem; significance or importance of the problem; the premise of the project /or clinical question; assumptions and definitions; review of related literature; outline of the project procedure; use of appropriate improvement approach etc. Answer: Introduction Background Each day in health facilities, the responsibility of caring for the patients is transferred from one or a team of care providers to another. This exercise arises in a busy and interruptive setting which typically describes a hospital. This process is known as handover, handoff or end-of-shift-report. It is primarily done through communication and therefore, for this projects purpose, the terminology handoff shall be used. Information, responsibility, and authority are the three fundamental things that are transferred for the continuation of care or management as planned (Farhan, Brown, Vincent, Woloshynowych, 2011). Various hospital sections such as the emergency department have the problem of overcrowding and overburdening, and they mostly handle critical cases that require utmost attention. It means that the handoff process has to be thorough to avoid any unlikely situations such as delays in treatment, substandard interventions, and patients leaving without being attended to, and worse off, unnecessary deaths. Frequently, handoffs have been conducted in various ways, and they depend on the roles of the caregiver, traditions, circumstances and hierarchies (Fernando, Adshead, Dev, Fernando, 2013). The utilization of a standardized handoff guideline has been identified as the most efficient way of ensuring the patient is safely managed. An information system of managing clinical details known as Electronic Medical Record (EMR) is dedicated to the manipulation, collection, availing and storage of patient information that can help in the delivery of care (Han, 2014). Some of these systems are automatic and handle information such as doctors prescriptions, nursing care notes, results from the laboratory and others. Since there lacks a proper process of standardizing handoffs, the potential of EMR is not maximized. Whereas handoffs occur at all hospital departments, this project focuses on those that occur between the emergency department and the nursing staff of the inpatient unit. Significance The handoff process was set for some adjustments as a goal under the National Patient Safety program. The patients information transfer is a critical issue in that any interruption of communication among health care providers has contributed to the events referred to as Sentinel. The Joint Commission (TJC) defines a sentinel event as an unexpected happening that may cause serious psychological or physical impairments, and even death to one or more patients, also, it is not attributed to the patients illness as a natural course. For instance, injury due to the constant replacement of a given medication with another ("The National Patient Safety Foundation and the AAPM", 2013). Relating to sentinel events, it has been established that between 64%-74% of the occurrences are related to a breakdown in communication (Weyand, Kang, Junck, Heiner, 2014). Poorly communicated handoffs have been identified as the cause of poor patient satisfaction, delayed prescription and treatment, and increased admission of patients with minor problems. The most reported issues include leaving out essential information and its misinterpretation. Plans have been established to maximize the use of EMR for standardization of handoffs. It is unlikely that most of the information is shared verbally than it is recorded in EMR. Also, some factors such as work culture, tradition, and context complicate the application of EMR in health care facilities ("The National Patient Safety Foundation and the AAPM", 2013). Nursing implications. As much as a structured process of communication has been in place to guide nursing practice, there is no evidence suggesting best practice in handoffs. Researchers have not carried out a quality study about the topic. Patterns of communication between doctors and nurses had the highest interruption rates at 30%. This finding on nurses and physicians communication also confirms that details about the patients alternating condition and needs are deficient and thus creates a series of errors in manageable cases. The intention of handoffs is ensuring that there is continuity of care, identify and communicate a patient response to interventions and address any changes in the condition of the patient. Lingard (2014) emphasizes that the epicenter of quality outcomes in teamwork is communication (Goldszmidt, Dornan, Lingard, 2014). Care of patients is a complex activity where different health workers collaborate in a bid to restore full functionality. A healthcare environment has a lot of mixed issues ranging from interruptions, chaos, sadness and others. It is imperative to comprehend the uniqueness of the context of handoffs process during admission from the emergency department. It was established that vulnerabilities in information technology, communication, the environment, allocation of duties and flow of patients influence the emergency department handoffs. This project is meant to provide an opportunity for nurses from all cadres to understand handoff as a nursing procedure and engage them in formulating the best way possible for quality improvement. An opportunity to improve care is critical to advancing the nursing profession (Duncan, Montalvo, Dunton, 2011). Problem Statement. The details presented by a nurse on duty to another or other care providers during a change of shifts is crucial for the management of the patient. A significant number of patients may pass on because of inadequate provision of handoff information. Success in the general outcome of treatment and care in emergency department pivots on the concept of standardized handoffs. Precious time may be wasted on the uninformed particulars such as availability of laboratory results. For instance, missing out on the main issues like communicating the cause of the patients problem as blunt trauma may lead to a lot of time wastage instead of an immediate intervention through surgery and intensive care therapy. A study carried out on 264 physicians of the emergency department identified that 31% of the respondents reported at least one adverse event attributed to handoffs. A similar study noted that 74% of the handoffs are conducted in a common area within the department. 90% of them reported that there is no policy regarding the process. 50% indicated that the physicians receive patient information verbally from the nurses and their colleagues. They say it gets rampant when they familiarize with each other (Flanigan, Heilman, Johnson, Yarris, 2015). A review of the literature indicates that there is a significant mortality and morbidity caused when health workers delay initiating best practice interventions because of weak inter-shift transfer reports. Concerning this project, a fair amount of research has been undertaken overseas. There is the limited literature on research about this subject particularly in the field of nursing in Australia (Bish, Kenny, Nay, 2013). Significance Of The Problem The proposal is essential for nurses and other health workers because it would provide guidelines on some of the significant means of improving handoffs and ultimately the outcomes of health interventions. They would gain knowledge and expertise in health promotion and quick response in an emergency department as the remedies touch on the emergency response which integrates inter-shift transfers. Furthermore, patients and families would be enlightened on their rights in an emergency department so that quality is always expected. Professional development would also be fostered especially the professions of nursing and medicine as the project incorporates local and international policies on healthcare. Premise Of The Project The deliberate ignorance of using handoff guidelines by nurses and other healthcare providers is wrong and has to be punitive. Furthermore, most of the hospitals do not lay the best strategies in helping patients and encouraging their staff to uphold best practice in all departments, specifically the emergency section. Also, there are inadequate nursing profession-based research studies on the subject hence promoting the rampant problems in the handoff process. The best way of improving adherence to the guidelines is the use of EMR and triggering consciousness in every healthcare professional to optimize ethical principles such as do no harm and respect for humanity (Halstead, 2012). Assumptions And Definition Of Terms Assumptions. The assumptions identified about the relevance of this proposal include; All the emergency departments have a clear policy on the handoff process. It is because the project identifies gaps in the policies and proposes how quality can be improved. All hospitals have an emergency department and in-patient sections so that there is at least an initial management of cases before they are referred; this is because the project focuses on handoffs between an emergency department and the inpatient section. The hospitals have the capability of installing EMR systems. It is a recommendation in this project to help improve handoff and promote good patient outcomes. The nursing literature on the topic is sufficient to make credible recommendations on the subject. All hospitals have sufficient staff who are involved in the handoff process. Completeness of the available records is guaranteed. Based on these records, recommendations and conclusions shall be projected for future nursing practice and studies. Definition of terms. Emergency department: the section of a hospital that receives and admits patients who need immediate care like in trauma. In some hospitals, it is the first point where clinicians see all patients. Inpatient Department: A section in a hospital where patients are admitted for further management and monitoring after receiving primary care in the emergency department. Handoff: The process of transferring responsibility, care and accountability of a patient from one staff to another. Management: Treatment or care of a patient. Patient outcome: The response of a patient to treatment with the inclusion of possible complications in the first 48 hours of management. Sentinel events: An event that is unanticipated in care and it is not related to the natural cause and course of the health problem. Review Of Related Literature. Little, Risenberg and Leitzsch (2012) finished a review of the literature in a systematic way by majoring on nursing handoffs in the United States and the utilization of mnemonics. One of the mostly raised mnemonics was Situation, Background, Assessment, and Recommendation (SBAR) (Riesenberg, Leitzsch, Little, 2012). Authors expressed concerns about the lack of evidence on its validation. They recommended further studies that would prove how useful mnemonics are for handoff process (Sloper, Edmonds, Bailey, Lewis, Charlton, 2015). Additionally, Leitzsch and colleagues did a nursing literature review relating to handoffs and established that among the more than 90 articles studied, there were only twenty that involved nursing. Based on other reviews, it was found that quality nursing research on handoffs was limited (Burns, Grove, Gray, 2011). Even though the topic of some of the recognized nursing studies was handoffs format, the outcomes and content accuracy was not integrated. Impediments and organizers to handovers in Nursing were identified, but there was no prove of best practice (Riesenberg, Leitzsch, Little, 2012). Outline Of Project Procedure There are steps developed by the Institute for Healthcare Improvement (IHI) which help conduct a quality improvement project. First, the organization establishes the main issue to be improved and develops goals that are measurable and time-specific (Sivaram Tan, 2011). Secondly, develop measures which prove the strategy works. Additionally, the changes needed for improvement are then examined using Plan-Do-Study-Act (PDSA) model. PDSA has to begin with smaller sections before it is spread throughout the entire organization. Finally, the changes are implemented entirely to realize the improvement (Byrne, Xu, Carr, 2014). Use of an appropriate improvement approach. Firstly, the strategy will identify process owners and early adopters. A team of few members who are ardent about this proposal has to be ascertained, and they will begin the first PDSA stage by utilizing the SBAR approach for handoffs (Eberhardt, 2014). The first cycle of PDSA has to involve; plan, where a tactic of lowering destructions is developed, there is the use of SBAR and question time established (Byrne, Xu, Carr, 2014). Draft a concise statement of what is to be achieved. It has to be smaller and focused for the purpose of improvement. Again, you can establish a target that you are hoping to achieve. Additionally, the steps to be implemented are established for the cycle. Also, the population to work with and the timeline for the study are determined. Predictions can be made on what may happen and for which reasons. Do, where adopters test the process. It involves execution of the plan and a keen scrutiny is employed to ensure finer details are captured. Afterwards, draft the findings during the observation for instance, it may be the reaction of patients, nurses, doctors and other workers to be interviewed. Ask self if things went as planned or if there is need for modification. The study, where satisfaction is evaluated. It involves going through the results. Identify a new thing that was learnt and establish whether the goal was met. Communicate how well the approach worked after you have achieved the goal. Observations may be unexpected therefore it has to be documented for that matter. The entire process involves analysis. Finally Act, where the changes are implemented after satisfaction. It is realized through identifying the conclusion from the cycle. Standardization of handovers in an active emergency department is crucial in that the needs are prioritized hence safety. The next step is for them to identify the residents who can convince others that the approach improves patient outcome during shift change. The adopters may want to train the broad groups who will later adopt their own PDSA utilization measures. Furthermore, it involves developing a plan for the subsequent study if modifications are to be made. In a nutshell, plan includes; set objectives, who are to be involved? What do they do? When and where? Do involves; pilot beginning, carrying out the plan, observation and making data. Study; data analysis, compare results with target, and establish changes. Act; implement changes or redo the cycle. There may be some barriers that impede this process like the inability to follow instructions. Therefore, clinicians have to be cooperative in sharing any necessary information. Furthermore, opinion leaders may want to sustain the status quo in fear of the unknown. They may hinder the process, and so early adopters have to work an extra mile in ensuring full adherence (Apolinarski, 2012). The use of EMR has to be fostered in most of the hospitals when there are cases of neglect and malpractice, patient prioritization is not affected, and therefore, the outcome of care is always upheld. References Apolinarski, A. (2012).Proposal for a leader nurse role implementation at Palomar Pomerado Health. Bish, M., Kenny, A., Nay, R. (2013). Using participatory action research to foster nurse leadership in Australian rural hospitals.Nursing Health Sciences,15(3), 286-291. https://dx.doi.org/10.1111/nhs.12030 Burns, N., Grove, S., Gray, J. (2011).Understanding nursing research. Maryland Heights, MO: Elsevier/Saunders. Byrne, J., Xu, G., Carr, S. (2014). DEVELOPING AN INTERVENTION TO PREVENT ACUTE KIDNEY INJURY: USING THE PLAN, DO, STUDY, ACT (PDSA) SERVICE IMPROVEMENT APPROACH.Journal Of Renal Care,41(1), 3-8. https://dx.doi.org/10.1111/jorc.12090 Duncan, J., Montalvo, I., Dunton, N. (2011).NDNQI case studies in nursing quality improvement. Silver Spring, Md.: American Nurses Association. Eberhardt, S. (2014). Improve handoff communication with SBAR.Nursing,44(11), 17-20. https://dx.doi.org/10.1097/01.nurse.0000454965.49138.79 Farhan, M., Brown, R., Vincent, C., Woloshynowych, M. (2011). The ABC of handover: impact on shift handover in the emergency department.Emergency Medicine Journal,29(12), 947-953. https://dx.doi.org/10.1136/emermed-2011-200201 Fernando, K., Adshead, N., Dev, S., Fernando, A. (2013). Emergency department multi-professional handover.The Clinical Teacher,10(4), 219-223. https://dx.doi.org/10.1111/tct.12018 Flanigan, M., Heilman, J., Johnson, T., Yarris, L. (2015). Teaching and Assessing ED Handoffs: A Qualitative Study Exploring Resident, Attending, and Nurse Perceptions.Western Journal Of Emergency Medicine,16(6), 823-829. https://dx.doi.org/10.5811/westjem.2015.8.27278 Goldszmidt, M., Dornan, T., Lingard, L. (2014). Progressive, collaborative refinement on teams: implications for communication practices.Med Educ,48(3), 301-314. https://dx.doi.org/10.1111/medu.12376 Halstead, J. (2012). Embracing Ethical Principles for Education in Nursing.Nursing Education Perspectives,33(1), 5-5. https://dx.doi.org/10.5480/1536-5026-33.1.5 Han, Q. (2014). Design and Application of Electronic Medical Record Template.Chinese Medical Record English Edition,2(2), 41-46. https://dx.doi.org/10.3109/23256176.2014.902173 Riesenberg, L., Leitzsch, J., Little, B. (2012). Systematic Review of Handoff Mnemonics Literature.American Journal Of Medical Quality,24(3), 196-204. https://dx.doi.org/10.1177/1062860609332512

Ted Bundy’s life Essay Example

Ted Bundy’s life Essay Theodore Robert Bundy (Ted Bundy) was an American serial killer and rapist who between 1974 and 1978 murdered numerous young women in several states. Bundy confessed to over 30 murders but the total number of his victims is not known. He brutally murdered young women and girls with a blunt instrument or by strangulation. It is also believed that he raped many of his victims before and after death (Ted Bundy, http://en.wikipedia.org).Ted Bundy was born in 1946 in Burlington, Vermont, and was the illegitimate child of his mother, Eleanor, and an unknown man. At first, Eleanor and her son lived with her parents in Philadelphia. Friends and neighbors were told that Ted had been adopted by Eleanor’s parents and that he was actually Eleanor’s younger brother. When they eventually moved to Tacoma, Washington, Eleanor married John Bundy. In his adolescence, Bundy was a spectacular student and also very active in the local Methodist Church and the Boy Scouts. His criminal activi ties began before he was out of high school: he was a thief, a shoplifter, and an amateur con man. As an adult, Bundy campaigned for the Republican Party and worked as a volunteer at a suicide crisis center (Ted Bundy, http://en.wikipedia.org).Ted Bundy had a serious relationship with Stephanie Brooks who eventually broke up with him because of his immaturity and lack of ambition. It was then that he discovered that his parents were in fact his grandparents. Two years later Bundy courted Brooks once more, proposed to her, but then left her. Shortly after that he started murdering. Stephanie formed the archetype for his preferred victims who were young white women and girls with â€Å"long dark hair parted in the middle† (Ted Bundy, http://en.wikipedia.org).From January to June 1974 Bundy murdered about ten victims in Washington State alone. Then he moved to Utah where he killed two more young women. He was arrested in 1975, escaped in 1977, and was recaptured a week later. In December that year Bundy escaped again and traveled to Florida where he restarted murdering women. His final victim was a 12-year-old girl whom he abducted and murdered in February 1978 in Lake City. Shortly after that he was arrested, charged with murders, convicted, and sentenced to death in July 1979. During this second trial he marriedCarole Ann Boone in the courtroom. Ted Bundy was executed in the electric chair by the State ofFlorida on January, 24 1989 (Ted Bundy, http://en.wikipedia.org).Biological view of Ted BundyMany mental disorders have a strong biological basis and heredity often plays a crucial part in a criminal’s abnormal behavior. To understand such a behavior it is important to find out whether other members of a criminal’s family ever suffered from a similar disorder (Sue, D.; Sue, D. Sue, S., 2006). In Ted Bundy’s case, it is possible to chart a family tree only on his mother’s side due to the fact that his father’s identity has never been authoritatively established. Bundy’s grandfather was often described by his family members as a very violent and rude person who, for example, used to swing cats by their tails and kick puppies just for fun (Ted Bundy, www.absoluteastronomy.com). Ted Bundy’s aggression and violence in his murders can be thus partly explained by those violent tendencies that he inherited from his grandfather.Psychoanalytic view of Ted BundyAccording to psychoanalytic theory, there are three aspects of the personality: the id, unconscious (the immediate gratification of basic drives – sex, aggression), the superego, unconscious (the restraints imposed by moral, ethical, and societal values), and the ego, conscious (regulates the demands of the id and the restrictions of the superego) (Psychology and Crime). Ted Bundy’s antisocial behavior can therefore be explained by the fact that his superego and ego were not fully developed and did not function properly in controlling his antisocial drives, pleasure-seeking, unbridled sexuality, and unrestrained aggression. His antisocial behavior evolved from being fascinated by images of sex and violence at a very young age to shoplifting and becoming an amateur con man as an adolescent and to murders and rapes as an adult. The weak superego can also account for Ted Bundy’s lack of feelings of guilt that further encouraged deviant behavior.According to psychoanalytic theory, a delinquent ego effectively â€Å"blocks any potential restraint† from the superego and â€Å"permits the delinquent to rationalize criminal behavior† (Psychology and Crime). For example, in a television interview the night before his execution, Ted Bundy claimed that his violence was shaped and molded by consumption of violent pornography and violence in the media (Ted Bundy).Displacement is another defense mechanism that can be discerned in Ted Bundy’s case. Psychoanalysts believe that delinquency often originates from repressed memories of traumatic experiences and from displaced hostility towards those who caused trauma (Psychology and Crime). It can’t be stated that Ted Bundy started murdering because of his breakup with Stephanie Brooks; however, it can be clearly seen here that hostility he felt at an unconscious level towards Brooks was directed to his victims who had appearance similar to that of Brooks.At last, Ted Bundy’s difficulty in getting along with other people and being unable to develop meaningful relationships can be explained by a disruption of the attachment bond between Ted and his mother during his early childhood. Bundy’s narcissism was particularly obvious during his incarceration. All those fan letters that he received from female admirers were his favorite subject that he liked talking about with detectives and interviewers. He became known because of his murders and seemed to enjoy his â€Å"popularity† and to be his own greatest fan (Ted Bundy).Cognitive view of Ted BundyIn what regards crime, cognitive psychologists are concerned with the content of a criminal’s thoughts and general thought structures. The basic assumption behind Lawrence Kohlberg’s theory, for example, is that humans advance through predictable stages of moral reasoning which are defined according to how a person thinks about justice, fairness, and chooses a right course of action. He proposes six Stages of Moral Development and subsequent research on them revealed that criminals tend to have delays in moral development (Psychology and Crime). As an adult, Ted Bundy was not fully developed socially and emotionally. His maturity seemed to correspond to that of an adolescent. His manners were rude and more typical of a twelve-year-older than an adult. Bundy lived in a world of more and more violent sexual fantasies and also consumed a lot of pornographic magazines and movies. He used pornography to experiment, abuse and totally possess women like objects. At first, he nourished his fantasies by indulging in voyeurism and window-peeping. Later he started to make them real while he was committing his murders. His boyish fantasies led him to sexually assault one of his victims with a steel rod from a bed, cruelly rape and sodomize many others.But besides the realization of his wild fantasies, Ted Bundy was also concerned with gaining a total control over his victims. This can be proved by the fact that in several cases he didn’t rape or mutilate his victims until he killed them. He was never interested in getting to know the women he aggressed; instead all that he wanted was to have them in his power. He never allowed any woman to be totally intimate with him, not even Stephanie Brooks or Carol Boone. He always kept a secret part of his personality to himself. In fact, one is tempted to conclude that Ted Bundy felt inferior to his victims and that is why he killed most of them before they c ould discover his true boyish nature and primitive drives.Social and cultural view of Ted BundyAs Ted Bundy confessed not long before his execution, he always had difficulty in developing normal relationships with other people. He never understood why people around him wanted to make friends with each other or why they wanted to love and needed to be loved. Perhaps he became seriously aware of this problem only after the breakup with Stephanie Brooks who was his first girlfriend and who abandoned him because of his immaturity. Anyway, it was after this event that Bundy started to change his personality studying psychology, campaigning for the Republican Party or working voluntarily for a suicide crisis center. He tried to create and then maintain a new image of himself and appear a perfectly normal person. He was handsome and appeared intelligent and thanks to these features he was appreciated by many of his acquaintances;  Ã‚  he always attracted women who were important for him allowing him to establish dominance over them.