The Organization for Economic Cooperation and Development (OECD)

History of OECD
Organization for Economic Co-operation and Development (OECD) can be described as a think tank, a monitoring agency or an un-academic university that has been used to perform different functions (OECD). It is an international economic research and discussion which is based in Paris. OECD helps organizations and government to tackle economic, social and governance issues that countries are facing today in the global economy. The organization was formed in 1948 as Organization for European Economic Co-operation (OEEC) under the leadership of Robert Marjolin in France. The initial aim of formation of formation of the organization was to help in administering Marshal Plan during the reconstruction of Europe immediately after the end of the Second World War. Later in 1961, the organization was extended to include other non-European states as Organization for Economic Co-operation and Development. The organization was formed following the ratification of Rome Treaties. The organization was later enlarged with in 1989 after the political changes that took place in Central and Eastern Europe and it played an important role to assist these countries reform their economies (Drost).

Location
OECD is still located in its home country of formation. It is headquartered in Paris, France.

Mission and Goals
The goal of the organization is to promote economic stability of all member countries and democracy. The mission of OECD is to bring together governments and countries that  are committed to democracy and working market economy in the world in  order to support sustainable economic growth, improve employment chances, improve the living standards, ensure financial stability, assist in matters of economic development, and make a positive contribution towards the growth of world trade (OECD).

Governing structure
The organization is headed by a General Secretariat which is headed by Secretary General with Angel Gurria currently serving as Secretary General. Under Secretary Genera, there is Deputy Secretaries-General currently occupied by Aart de Geus, Pier Carlo Padoan, Mario Amano, and Richard Boucher.  Hence the leadership structure has Office of the Secretary General, Advisory Unit on Multidisciplinary Issues, Council and Executive Committee Secretariat, Directorate for Legal Affairs, and Internal Audit.

The departments include Development Cooperation Directorate, Economic Department, Directorate for Education, Directorate for Employment, Labor and Social Affairs, Center for Entrepreneurship, SMEs and Local Development, Environment Directorate, Executive Directorate, Public Governance and Territorial Development Directorate, Directorate for Science, Technology and Industry, Statistics Directorate, Center for Tax Policy and Administration, and Trade and Agriculture Directorate. Under this there are Special Bodies like African Partnership Forum, Development Centre, Financial Action Task Force, and others (OECD).

Members
Currently the organization has more than 30 members including Australia, Austria, Belgiuj, Canada, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Slovak Republic, Spain, Sweden, Switzerland, Turkey, United Kingdom, and United States (Drost).

Work performed
The major functions of OECD include (Economy Watch)
Providing platform for looking for solution to global problem through formulation of policies
Monitoring economic trends in various areas like trade, technology, taxation, and agriculture
Publishing economic statistics for intellectual findings
Offering peer reviews on performance of member nations
Offering expertise and ideas for non member countries

Firms involved
OECD works in collaboration with international organization like IMF, World Bank, United Nations, and others especially in release and analysis of different data.

Utility
OECD fulfills different needs for the member countries and non-member countries as well. It has played an important role in the world by fostering economic and democracy development in different ways. Among the needs fulfilled by OEC D include (Economy Watch)

Preparation of statistical data that are useful sources for economic growth and governance
Proposing formulation of policies based on the data collected.
Act as a global think that assist in matters pertaining to economic growth

Publication of different data sources including OECD Economic Outlook, OECD Fact book, OECD Economic Surveys, and others which have made great contribution on economic development matters
Although there would be not major problems that would arise if the organization did not exist, it is important to recognize that the organization has played major role. Its role can be taken over by other organization like World Bank, IMF, and others but its roles are unique to its members.  The needs that may be unmet include preparation of important economic outlook data that could affect the economics of member countries.  If the organization did not exist, the international business would be affected in different ways. The important information that has been supplied to business world would not be available to business would have negative effects.

Financial performance
OECD gets funding from its members. More than 30 members make contributions which are based on a formula that considers the economic size and strength of each member. United States still remains the larges contributor giving more than 25 of the budget while Japan comes second (OECD).  Countries are also allowed to make voluntary contributions especially to meet budget for special programs which may not be funded direct from the budget. However, this has to be approved by the council.

It is important to consider that this organization has played key role in economic and development in the world. It should therefore get the needed attention in the class since it is a part and parcel of international organizations that have played important role in formulation of economic policies in the world.  The organization should be considered in international management and internal business since it is part and parcel of international organization systems that are considered when drafting international policies. Their publications are important source of information that is used in formulation of data policies. Firms can benefit from this organization in a number of ways. They can get important economic data that assist them to formulate market entry and marketing decisions.  Firms can use the statistical information to come up with policies that assist them to make important international business decision.  Multinational organizations can benefit from this organization by obtaining economic outlook data to project market trend and hence make important current and future decisions.

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