Oshkosh Truck Mission Statement

I. Understanding formal and informal institutions and their effect in daily business operations for a defense contractor Laws, regulations, and rules which mandate or regulate individual firm behavior (Peng, 2011) Informal institutions are the norms, cultures, and ethics represented by individual firm behavior. Oshkosh truck tackles these informal institutions right away in their mission statement. When you do a little research on Oshkosh Truck you will see their core values and commitments to the company and its customers. This gives them a main focus and a fair playing field for everyone involved with the operations of Oshkosh Truck. Their first core value is Honesty – always true to others, in all their endeavors, and everyone. The second is Integrity – meaning they are true to themselves, moral principles and corporate values. Thirdly accountability – Oshkosh Truck honors their obligations and commitments they make to customers. Fourth is Respect – straight forward they treat everyone with dignity and fairness. Finally citizenship – Oshkosh Truck obeys the letter and spirit of all laws of all the countries where we do business, doing their part in their communities and their world. Oshkosh Truck uses their core values shown in their general statements that every customer receives explaining how they will mandate individual firm

defense budget, transaction costs which can be the economic counterpart of frictions: Which happens in the volatile world of defense contracts. Recent cuts in defense spending and no military contracts coming up, Oshkosh Truck must make cuts in the size of their labor force. Oshkosh Truck attempts to minimize and delay the impact of the reduced spending in the defense department, but they can only hold out so long. This forces Oshkosh Truck to cut back on the labor force when money gets tight. Leaving them with a bad starting picture of a labor force when they want to bid on