Учебно-методическое пособие по развитию навыков профессионального общения. В двух частях. Ч.1: Management

Министерство образования и науки Российской Федерации Омский государственный университет им. Ф.М. Достоевского

УДК 802.0 ББК 81.2Англ.я73 У912 Рекомендовано к изданию редакционно-издательским советом ОмГУ Рецензенты: ст. преподаватель каф. иностранных языков Омского государственного университета С.Б. Невежина, канд. пед. наук, преподаватель Омской Банковской школы Банка России К.С. Пахомова

У912

Учебно-методическое пособие по развитию навыков профессионального общения

ISBN 5-7779-0561-7

В двух частях

Первая часть учебно-методического пособия представляет собой сборник аутентичных текстов с системой различных заданий и упражнений по теме «Менеджмент», направленных на развитие навыков чтения и понимания оригинальной литературы, а также устного и письменного общения профессиональной направленности у студентов экономических специальностей. Рекомендуется для работы с аспирантами и студентами I–II курсов экономического факультета и факультета международного бизнеса, а также выборочно на отделении «Регионоведение» исторического факультета в рамках курса «Практика устной речи» и других факультетах в группах с углубленным изучением английского языка и на IV курсе факультетов иностранных языков в рамках курса «Межкультурная коммуникация в сфере делового общения». УДК 802.0 ББК 81.2Англ.я73

Часть 1

MANAGEMENT

Изд-во ОмГУ

Учебно-методическое пособие по развитию навыков профессионального общения. В 2 ч. Ч. 1: Management / сост.: Т.П. Руденко, О.К. Сургутская. – Омск: Изд-во ОмГУ, 2005. – 112 с.

Омск 2005

ISBN 5-7779-0561-7

© Омский госуниверситет, 2005 2

CONTENTS Introduction ..........................................................................................4 Part I. Management............................................................................5 Text 1...............................................................................................6 Text 2...............................................................................................7 Additional Reading...........................................................................12 Text 1.............................................................................................12 Text 2.............................................................................................14 Text 3.............................................................................................16 Part II. Qualities and abilities..........................................................19 Text 1.............................................................................................19 Text 2.............................................................................................20 Text 3.............................................................................................21 Text 4.............................................................................................23 Part III. To make a decision ............................................................25 Text 1.............................................................................................25 Text 2.............................................................................................27 Additional Reading...........................................................................29 Text 1.............................................................................................29 Text 2.............................................................................................32 Supplementary reading ....................................................................33 Text 1.............................................................................................33 Text 2.............................................................................................35 Text 3.............................................................................................38 Text 4.............................................................................................48 Text 5.............................................................................................52 Text 6.............................................................................................63 Text 7.............................................................................................69 Text 8.............................................................................................73 Supplementary Activity....................................................................77

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ПРЕДИСЛОВИЕ Учебно-методическое пособие имеет целью развитие навыков устного и письменного общения профессиональной направленности у студентов экономических специальностей и состоит из двух частей. Первая часть, «Менеджмент», как и вторая – «Маркетинг», разбита на разделы, содержащие тексты, задания и упражнения как репродуктивного, так и продуктивного характера. В оригинальных текстах пособия, ориентированных на студентов разного уровня языковой подготовки, рассматриваются различные профессиональные проблемы, отражающие реалии сегодняшнего дня в сфере бизнеса, включая деловой этикет и межкультурную коммуникацию. Система разнообразных заданий и упражнений способствует развитию не только речевых умений и навыков студентов в сфере деловой коммуникации, но и их оценочного мышления. Личностно-ориентированные задания, кейсы (анализ конкретных ситуаций) и деловые игры призваны помочь обучающимся проверить усвоенные теоретические знания и сформированные навыки при решении практических задач, а наличие схем и таблиц способствует систематизации материала и лучшему его усвоению. Благодаря гибкости представления материала пособие рекомендуется как для работы в аудитории под руководством преподавателя, так и для самостоятельной работы (для чтения в рамках указанной темы). Пособие может быть использовано для работы с аспирантами и студентами I–II курсов экономического факультета и факультета международного бизнеса, выборочно на отделении «Регионоведение» исторического факультета в рамках курса «Практика устной речи» и других факультетах в группах с углубленным изучением английского языка, а также на IV курсе факультетов иностранных языков в рамках курса «Межкультурная коммуникация в сфере делового общения». Рекомендованный студентам библиографический список представлен во второй части пособия («Маркетинг»).

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Part I. M a n a g e m e n t 1. Warm up Discuss the following questions. 1. What do you think of when you see the term management? Quickly write down words or ideas as they come into your mind. Supervise, boss, responsibiity ____________________________ 2. Can you give a definition of the word “management” or explain this word? a) Who is responsible for getting things done (for management)? b) What aspects can influence the management (do you think that there are any links between the staff-people of the management and the staff-people in the office, between success and f.e. resources)? c) What do you think is the most important aspect, influencing management? Do you take into account human factor? d) What kind of person should a manager be? What features of character, manner of behaviour must he possess? 3. What are some of the duties and responsibilities of a manager? 4. Have you ever worked under the supervision of a manager? Was this person effective manager? Why or why not?

3. What mistakes did derailed manager make? 4. Do you agree with the author’s opinion? TEXT 1

4. Read the text again, find the following information and compare with your thoughts. 1. What is management? 2. What parts does it consist of?

Now we need to define management in order to highlight the importance, relevance, and necessity of studying management. Management is the process of working with and through others to achieve organizational objectives in a changing environment. Central to this process is the effective and efficient use of limited resources. Five parts of this definition require closer examination: 1) working with and through others, 2) organizational objectives, 3) effectiveness versus efficiency, 4) limited resources, and 5) changing environment. Management is, above all else, a social process. For whatever collective purpose that individuals are brought together (for example, to build cars, provide emergency health care, or publish books) managers are responsible for getting things done by working with and through others. Aspiring managers who do not interact well with others hamper their career. A recent study of 20 successful managers and 21 “derailed” managers underscores the importance of being able to work effectively with and through others. In this study managers were considered to be “derailed” if they did not live up to what their pears and superiors originally expected of them. In contrast to their successful colleagues, the “derailed” managers were found to have made these mistakes: 1) Insensitive to others, abrasive, intimidating, bullying style. 2) Cold, aloof, arrogant. 3) Betrayal of trust. 4) Overly ambitions: thinking of next job, playing politics. 5) Specific performance problems with the business. 6) Overmanaging: unable to delegate or build a team. 7) Unable to staff effectively. 8) Unable to think strategically. 9) Unable to adapt to boss with different style. 10) Overdependent on advocate or mentor.

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2. Look through the first part of the text. Find the following words and try to explain them (guess the meaning from the context). effectiveness derailed hamper peer 3. Word building Look at the following words and analyse the word formation (e.g. reality: real – adj + ty – noun). affectiveness achievable similes changing redesigned nonrenewable (energy) interact reformulated foreseeable successful retrain unavoidably

Significantly, only two of these shortcomings, number 5 and 8, are not directly related to working effectively with and through others. People – whether superiors, peers or subordinates – can literally make or break one’s career in management. TEXT 2 VOCABULARY

Below is a list of terms that you will find in the text. As you read “Management Functions”, see if you understand each term. Use this as a working list and add other terms that you don't know. NOUNS management team manager function position staffing direction supervision phase

VERBS fit into establish move on revise allocate attain guide motivate

ADJECTIVES overall organizational ongoing interpersonal

OTHERS regardless of adequately

READING Management Functions Management plays a vital role in any business or organised activity. Management is composed of a team of managers who have charge of the organization at all levels. Their duties include making sure company objectives are met and seeing that the business operates efficiently. Regardless of the specific job, most managers perform four basic functions: * planning * organizing * directing * controlling. Planning involves determining overall company objectives and deciding how these goals can best be achieved. Managers evaluate alternative plans before choosing a specific course of action and then check to see that the chosen plan fits into the objectives established at 7

higher organizational levels. Planning is listed as the first management function because the others depend on it. However, even as managers move on to perform other managerial functions, planning continues as goals and alternatives are further evaluated and revised. Organizing, the second management function, is the process of putting the plan into action. This involves allocating resources, especially human resources, so that the overall objectives can be attained. In this phase, managers decide on the positions to be created and determine the associated duties and responsibilities. Staffing, choosing the right person for the right job, may also be included as part of the organizing function. Third is the day-to-day direction and supervision of employees. In directing, managers guide, teach, and motivate workers so that they reach their potential abilities and at the same time achieve the company goals that were established in the planning process. Effective direction and supervision by managers requires ongoing communication with employees. In the last management function, controlling, managers evaluate how well company objectives are being met. In order to complete this evaluation, managers must look at the objectives established in the planning phase and at how well the tasks assigned in the directing phase are being completed. If major problems exist and goals are not being achieved, then changes need to be made in the company's organizational, or managerial, structure. In making changes, managers might have to go back and replan, reorganize, and redirect. In order to adequately and efficiently perform these management functions, managers need interpersonal, organizational, and technical skills. Although all four functions are managerial duties, the importance of each may vary, depending on the situation. Effective managers meet the objectives of the company through successful combination of planning, organizing, directing, and controlling. COMPREHENSION I. Answer the following questions about management functions. Questions with asterisk (*) cannot be answered directly from the text. * 1. What did the duties of managers include? 2. What does planning involve? 8

3. Why is planning the first management function? 4. What do managers do in the organizing phase? 5. Can staffing be considered as part of the organizing function? *Why or why not? 6. *Why is ongoing communication necessary for effective direction? 7. What do managers evaluate in the controlling function? *Why is evaluation essential at this phase of the project? 8. *What types of problems could a manager discover in performing the controlling function? 9. Which skills do managers need to perform effectively? *Why is each important? 10. Give examples of the qualities of an effective manager. *Classify these as either interpersonal, organizational, or technical skills. II. Discuss the following questions with a partner. In giving your answers, try to use the new terms. 1. During which management phase are overall organizational objectives established? 2. What personal qualities do you think good managers should have? 3. Which of the four management functions do you think is the most important? Why? 4. Why are interpersonal skills essential for effective management? 5. Why is staffing considered an ongoing managerial duty? QUIZ I I. Substitute appropriate terms from the italicised words or phrases in the following sentences. established move on

functions allocate

phases attained

team guide

positions overall

1. Often a group of managers, rather than an individual, works on a particular project. _____ 9

2. Plans set up in the first stage are subject to revision throughout the duration of the project._____ 3. Managers should periodically check to see how well comprehensive company goals detailed in the planning phase are being met. _____ 4. Organizational goals generally are achieved by successfully combining the functions of planning, organizing, directing, and controlling. _____ 5. It is possible to divide the organizing function into two stages: determining positions and their associated duties and then staffing those positions. _____ 6. In order to apportion human resources properly, managers com pare company objectives with the available resources. _____ 7. Classified advertisements in newspapers and professional journals provide a list of jobs that are available, a brief description of each job, and a telephone number or an address. _____ 8. One of the roles of a supervisor is to direct workers in order to maximize their talents and increase their efficiency. _____ II. Fill in the blanks with the most appropriate terms from the list. direction adequately regardless revised

manager motivate supervision attain guided interpersonal

Since 1950, American manufacturing industries have ______ the ______ of their operating philosophies at the level of manufacturing unit. As the degree of education and technical sophistication of the labour force has increased, top management teams have ______ the established patterns of ______ to increase ______ communication from a one-way control mode to a two-way dialogue mode. In order to _____ production targets, plant managers and supervisors realized the need to ______ ______ the workers under their direction. TEXT ANALYSIS Look at the reading to answer these questions. 1. What does each of the following refer to? 10

LINES WORDS REFERENTS 3 their 11 these goals 19 this 25 they 2. In line 15, a connective word is used to show a contrast. Find the connective word and copy it below. Then write down the two concepts that are being contrasted. ___________________ _________ / ___________ (connective) (concepts being contrasted) 3. What connective words or phrases, if any, are used to introduce the four basic management functions? If no connective is used, indicate this with O. CONNECTIVE WORDS OR PHRASES MANAGEMENT FUNCTIONS

a. _________________________ --------> __________________ b. The second management function --------> organizing c._________________________ --------> __________________ d._________________________ --------> __________________ 4. Write definitions for the management functions by matching a function on the left with a definition on the right. Use this definition form: term being defined --------> verb to be ---------> definition FUNCTIONS DEFINITIONS a. Planning The day-to-day direction and supervision of workers b. Organizing The evaluation of how well company objectives are being met c. Directing The determination of overall company objectives and how they can best be achieved d. Controlling The process of putting the plan into action a. Planning is ________________________________________– b. c. 11

ADDITIONAL READING TEXT 1 Read the text and answer some questions after the text. Management There are probably as many definitions of management as there are books on the subject. Many of them (definitions) are relatively concise and simplistic. For example, one early writer defined management as “knowing exactly what you want (people) to do and then seeing that they do it in the best and cheapest way”. However, management is a complex process – much more complex than that definition leads us to believe. Management can be defined as follows: Management is a set of activities, including planning and decision making, organizing, leading and controlling, directed at an organization's human, financial, physical and information resources, with the aim of achieving organizational goals in an efficient and effective manner. By efficient we mean using resources wisely and without unnecessary waste. By effective, we mean doing the right things. With this basic understanding of management, defining the term manager becomes relatively simple. A manager is someone whose primary activities are a part of the management process. In particular, a manager is someone who plans and makes decisions, organizes, leads and controls human, financial, physical and information resources. There are many kinds of managers. One point of differentiation is among organizations, as those earlier examples imply. Another occurs within an organization. Managers can be differentiated according to their level in the organization. Levels of managers can be differentiated into three basic categories – top, middle and first-line. Managers can be categorized by area. Kind of managers by area include marketing, financial, operations, human resource, administrative and specialized managers. 12

Most managers have 10 basic roles to play: 3 interpersonal roles (figurehead, leader, and liaison), 3 informational roles (monitor, disseminator and spokesperson) and 4 decisional roles (entrepreneur, disturbance handler, resource allocator and negotiator). Management skills may be acquired through education (formal coursework and continuing education) or experience (training programs and previous jobs). Increasingly, successful managers are drawing on both experience and education as a means of acquiring and developing the skills they need. Management processes are applicable in a wide variety of settings, including profit-seeking organizations (large and small businesses and international businesses) and not-for-profit organizations (government organizations, educational organizations, healthcare facilities, and non-traditional organizations). QUESTIONS 1. How many definitions of management can you give? Which one is given in the text? 2. What do “efficient” and “effective’ mean? 3. Can you enumerate managerial roles(given in the text above)? 4. How can managerial skills be acquired? WRITING 1. Read the following memo as if you were a member of the senior planning staff. ------------------------------------------------------------------MEMORANDUM

In order to allow more time for external document review, the following changes have been suggested. PHASE ITEM

PRESENT DEADLINE

DATE PROPOSED DATE

I Initial department September 1 draft II Revisions by Senior October 1 Planning Staff III Presentation of final November 1 draft to Board of Directors for review

August 1 September 1 October 1

These proposed changes will no doubt impact your present work procedures, staffing levels, and planning methods. Your comments and suggestions are now being solicited and must be made in writing to this office no later than July 10. 2. Prepare a response to Mr Edwards specifically in the area of deadline dates and their effect on your staff (e.g., work procedures). _________________________________________________________ TEXT 2 In the following text you’ll come across 4 more functions. Do you think they are important? Which of 8 functions do you think are the most important, the least important? What do Managers Do?

To: All Senior Planning Staff From: Thomas Edwards, Vice President Office of Corporate Planning Date: June 17,1995 Subject: Proposed changes to annual corporate plan be completed by the first of December each year.

Although nearly all aspects of modern life are touched at least indirectly by the work of managers, many people do not really understand what the management process is. Management is much more, for example, than the familiar activity of telling employee what to do. Management is a complex and dynamic mixture of systematic techniques and common sense. As with any complex process, the key to learning about management lies in dividing it into really understood subprocesses. Currently there are two different approaches to dividing the management process for study and discussion. One approach dating back to the early part of

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this century, is to separate managerial functions. A second, more recent approach focuses on managerial roles. Managerial functions are general administrative duties carried out in virtually all productive organizations. Managerial roles are specific categories of managerial behavior. Functions tend to be more general. Now we’ll discuss 8 of the functions. 1. planning 2. decision making 3. organizing 4. staffing 5. communicating 6. motivating 7. leading 8. controlling Planning. Commonly referred to as the primary management function planning is the formulating of future courses of action. Plans and the objectives on which they are based give purpose and direction to the organization, its subunits, and contributing individuals. Decision making. Managers choose among alternative courses of action when they make decisions. Making the correct decision in today’s complex world is a major management challenge. Organizing. Structural consideration such as the chain of command, division of labor, and assignment of responsibility are part of the organizing function. Careful organizing helps ensure the efficient use of human resources. Staffing. Organizations are only as good as the people in them. Staffing consists of recruiting, training and developing people who can contribute to the organized effort. Communicating. Today’s managers are responsible for communication to their employees, to technical knowledge, instructions, rules and information, required to get the job done. Recording that communication is a two-way process, managers should be responsible to feedback and upward communication. Motivating. An important aspect of management today is motivating by satisfying needs and meeting expectations with meaningful work and valued rewards. Leading. Managers become inspiring leaders by serving as role models and adapting their management style to the demands of the situation. 15

Controlling. When managers compare desired results with actual results and take the necessary corrective action, they are keeping things on track through the control function. Deviations from past plans should be considered when formulating new plans. ADDITIONAL ACTIVITIES 1. Interview a supervisor or manager (if possible) to find out how much time is spent performing each of the basic management functions. Compare the results of the interview with your classmates. 2. Ask a worker and a supervisor what kinds of skills they think an effective manager should have. Classify the responses as interpersonal, organizational, or technical skills. Compare the answers of the worker and the supervisor. TEXT 3 Now you’ll read about the other approach to dividing the management process. Which in your opinion is more suitable, relevant? According to Henry Mintzberg, a researcher in 1970’s there is another way of studying what managers should do – a more fruitful way of studying what managers do is to focus on the key roles they play. He isolated ten roles that he believes are common to managers at all levels. Read the diary of one of the managers. Do it attentively. Then try to reconstruct (or to picture )all the facts about manager. Ten Facts of Managerial Life (from direct observation and diaries): 1. Managers work long hours. The number of hours worked tends to increase as one climbs the managerial ladder. 2. Managers are busy. The typical manager’s day is made up of hundreds of brief incidents or episodes. Activity rates tend to decrease as rank increases. 3. A manager’s work is fragmented, episodes are brief. Given managers’ high activity level, they have little time to devote to any single activity. Interruptions and discontinuity are the rule. 4. The manager’s job is varied. Managers engage in a variety of activities (paper work), phone calls, scheduled and unscheduled meetings, and inspection tours/visits), interact with a variety of people, and deal with a variety of content areas. 16

5. Managers spend most of their time pursuing activities within their own organisations. As managerial rank increases, managers spend proportionately more time outside their work areas and organisations. 6. The manager’s work is primarily oral. Managers at all levels spend the majority of their time communicating verbally (by personal contact or telephone). 7. Managers use a lot of contacts. Consistent with their high level of verbal communication, managers continually exchange information with superiors, peers, subordinates, and outsiders on an ongoing basis. 8. Managers are not reflective planners. The typical manager is too busy to find uninterrupted blocks of time for reflective planning. 9. Information is the basic ingredient of the manager’s work. Managers spend most of their time obtaining, interpreting and giving information. 10. Managers don’t know how they spend their time. Managers consistently over-estimate the time they spend on production, reading and writing, phone calls, thinking, and calculating and consistently underestimate the time spent on discussions. ADDITIONAL INFORMATION Look through the following text and be ready to fulfill the task. Henry Fayol, the father of the functional approach in 1916 identified 5 managerial functions, namely, planning, organizing, command, coordination and control. He claimed that these 5 functions were the common denominators of all managerial jobs, whatever the purpose of the organization is. Over the years Fayol’s original list of managerial functions has been updated and expanded by management scholars. Henry Mintzberg critisized the traditional functional approach as unrealistic. He concluded that functions “tell us little about what managers actually do. At best they indicate some vague objectives managers have when they work.” According to Mintzberg’s view the average manager is not the reflective planner and precise “orchestra leader” that the functional approach suggests. Mintzberg characterized the typical manager in the following way: The manager is overburdened with obligations; yet he cannot easily delegate his tasks, as a result he is driven to overwork and is forced to do many tasks superficially. 17

MINI CASE STUDY Below you can see several common problems for anyone who works in an office. The Problems 1. My phone never stops ringing. 2. People are always coming in and out of my office. 3. I spend too much time in meetings. 4. I can manage my time perfectly well. It’s technical breakdowns and constant problems with computers which make it difficult for me to manage my time. Choose from the list of solutions below the one which you think is best for each problem and tell your partner about it. Add your own comments. The Solutions a) Prioritise. Delegate. Block time for important tasks. Keep things in proportion. If the problem persists, discuss it with a superior. b) Don’t be afraid to tell people you are too busy right now. Stand up when someone comes in and don’t sit down again if you don’t want them to stay. c) Don’t always agree to see people straight away when they ask to talk to you. Plan your day so that everyone knows that there is a time when you need to work alone and a time when you are happy to see other people. d) Never handle a piece of paper more than once. Either act on it, pass it on or put it in the bin.

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Part II. Qualities and abilities TEXT 1 Translate summarized qualities and abilities, which successful future manager should possess. What do you think is the most important question for students of management? Do you agree? Give your arguments. What would you recommend students to do to achieve more success. What does it Take to become a Successful Manager 1. It is impossible to describe precisely those who eventually enjoy the financial rewards of climbing to the top of the managerial ladder. But it is possible to isolate at least three key preconditions for achieving success as a manager. They are ability, motivation to manage and opportunity. A total absence of one factor can cancel out strength in the other two. For example, high ability and motivation are useless if there is no opportunity. Today’s successful manager needs a whole package of conceptual, technical and interpersonal abilities. A leading management consultant has summarized the qualities and abilities that future managers will need as follows: “Any business can be reasonably sure of having effective and well prepared leaders if it focuses on finding and developing people 1) who possess eight basic qualities (character, initiative desire to serve people; intellect, awareness and perception, foresight and vision, open – mindedness and flexibility; and persuasiveness); 2) who are conceptual strategic thinkers; 3) who can lead the business in adjusting to social change; 4) who can help the business cope with governmental regulation; 5) who can lead the business in managing its human resources effectively. 2. Students of management are left with one overriding question: “How do I acquire the necessary abilities?” This question has stimulated a good deal of debate those interested in management. What is the key? Theory or practice? Some think that future managers need a solid background in management theory acquired through formal education. 19

Others argue that manager can be learned only by actually doing it. All things considered a middle ground is recommended. One learns to manage by systematically integrating theory and practice. Theory helps one systematically analyze, interpret and internalize the managerial significance of practical experience. Serious management students are advised to put their newly acquired theories into practice wherever and whenever possible (for example, in organized sports; positions of leadership in fraternities, sororities, or clubs; and part-time and summer job). QU. What three preconditions for achieving success as manager can you name? Do you agree? Which of them do you think is more important? Why? Give your explanations. TEXT 2 Translate “The seven Dimensions of motivation to manage.” Do you agree that motivation can be measured in any way? Or maybe you have a different point of view? 3. In the mid 1960s a management researcher named John B. Miner developed a psychometric instrument to measure objectively an individual’s motivation to manage. Miner’s test, in effect, measures one’s desire to be a manager – motivation to manage among business students. The seven Dimensions of Motivation to Manage 1. Favorable attitude towards those in positions of authority, such as superiors. 2. Desire to engage in games or sport competition with peers. 3. Desire to engage in occupational or work-related competition with peers. 4. Desire to assert oneself and take charge. 5. Desire to exercise power and authority over others. 6. Desire to behave in a distinctive way, which includes standing out from the crowd. 7. Sense of responsibility in carrying out the routine duties associated with managerial work. The higher the individual scores on each of these traits the greater is the motivation to manage. Motivation. By tracking motivation to manage scores for business students at two major U.S. universities over a 20-year period, Miner and his colleagues have come to some interesting conclusions. 20

First, although, the steady decline of motivation to manage during the 1960s and early 1970s has stopped, students’ motivation to manage still remains very low. Generally speaking, students continue to show a distaste for authority, competitiveness, assertiveness and routine managerial duties. By the way a second conclusion is that female students are no longer lagging behind their male counterparts. QUESTIONS FOR DISCUSSION 1. Drawing on your own experience can you recall any specific examples of effective management and mismanagement? 2. In your opinion, what is the single most important aspect of the definition of management? Why? 3. Think of a person or operation that you have seen recently that didn’t achieve a workable balance between effectiveness and efficiency. What could have been done to balance the two? (If I were I'd.) TEXT 3 Translate the text without using a dictionary. Successful Managers

The best manager is the manager who manages best, and in general that means achieving the objectives of his function as economically as possible. We have seen and will see that management is a matter of competence end control and consist largely in taking the right actions rather than in presenting certain styles. 1. What do you understand under the phrases “mistakes buried under the carpet”. “Skeleton in the cupboard”. 2. Try to answer the following: – Why are some managers successful? – Which manager is the best one? – Is there any piece of advice in the text? If there is – what kind of advice? Managers are human beings who work through and with other human beings. If managers in your company are expected to wear flowered ties, for example, by all means fit the company managerial image – but be yourself. The only way to present a consistent and understandable style over the years is to be true to your own personality. Commit your talents to the organization to whatever extent is necessary, but keep your ego and emotions to yourself.

The sales manager, the accountant, and the factory manager all act according to their situations, but they also act according to their personalities. Many successful managers (or managers in successful situations) attribute their success to their personal style. Maybe there is a real correlation, but we all know managers who are successful despite their personal styles. Why are managers successful? It is because they know what they are doing and why. They know their departmental objectives, the procedures and the facts of the business, and they understand and are close to the people around them. They have kept their thought, processes working so that they can keep on top of their jobs and ahead of the game. Crises and panics have been anticipated so that what the level of orders suddenly doubles or the computer breaks down in the middle of the payroll, there is a plan for taking the necessary action. The department is tidy and well ordered and there are no mistakes buried under the carpet, no skeleton in the cupboard. A manager who has achieved this will be confident, relaxed, objective and approachable.

1. Determine your career objectives. 2. Write an up-to-date personal history or curriculum vitae as if you were applying for the job you eventually want. 3. Describe your own management style (as you see it). 4. List three main strengths in your style. Can these be developed, and can more use be made of them in the work in which you are involved? 5. List three main weaknesses. Do they affect the results you obtain – and if so, is there anything you can do to overcome your problems or to prevent them from affecting your performance? 6. Analyze the style of the manager you most admire and that of the manager you least admire. Does that tell you anything about yourself? Do you dislike in others traits that you have yourself and do you admire people who are most like you or who would like to be like you?

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EXERCISES

TEXT 4 READING There are different types of management depending on the field of operation. Read about one of them and do the task following the text. Human Resource Management All managers are periodically involved in some human resource functions. In small organizations, most personnel functions are performed by the owner or operating managers. Large organizations usually have a personnel department (or a human resource department) which is responsible for organizing and coordinating hiring and training, maintaining personnel records, acting as a link between management, labo(u)r, and government. Precisely how all the functions related to human resources are split between operating managers and the personnel department varies from organization to organization. For example, the personnel department in one company may do all of the hiring below a certain level. In another company, all the hiring decisions may be made by operating managers, with the personnel department acting only in an advisory capacity. Important changes have occurred and are still occurring in the composition of the work force. For example, the percentage of whitecollar jobs and the percentage of females in the work force have both increased significantly over the past several decades. The increasing role of women in the work force of the USA has had an impact on human resource managers in numerous ways: child care, spouse relocation assistance programs, and pregnancy leave programs have resulted from this trend. The aging of the work force is another factor that is having a significant impact on human resource management. For example, in 1982 the median age in the United States was 31 years, 20 % of the population was 55 or older, and 11 % of the population was 65 or older. By the year 2010, 25 % of the population will be 55 or older, 12.5 % will be 65 or older, and the median age will be 37. Human resource managers are having to come up with the ways of better utilizing older employees. 23

Management skills are the talents necessary for effective performance. All managers need a number of specific skills if they are to succeed. For example, CEOs must be skillful not only in allocating resources and funds to different units of the company, or in delegating responsibilities to their subordinates. CEOs must be skilful at allocating their time. CEOs are likely to spend 59 % of their time in scheduled meetings, 22 % doing “desk work”. 10 % in unscheduled meetings, 6 % on the telephone, and the remaining 3 % on tours of the company facilities. These proportions are different for managers at lower levels. Finding a competent manager who understands technology is as hard as finding a technologist who can manage. Yet, universities to this day frown on mixing science and commercial education, and the commercially oriented scientist is still looked down. Companies often have to conduct in-service training program(me)s to deal with the problem, training technical experts in commerce and commercial people in technology. Basic management skills, especially in such key areas as marketing and finance are extremely important in high-tech ventures. Usually, young, brainy, single-minded and often arrogant high-tech entrepreneurs rarely possess such skills. The problem is that high technology requires that management (should) be maintained at above-average level. The high-tech manager must understand the technology but also be capable of getting close to the market and customers. Say if the statements are true or false: Significant changes have taken place in the structure of the work force in the USA because ... a) many women and other white-collar workers got employment. ... b) human resource managers began to hire women for whitecollar jobs. ... c) many competent managers who understand technology now better utilize older employees.

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Part III. To make a decision TEXT 1 The Decision – Making Process The task. Imagine that you have got much money. You have to choose: to buy a car or a house. Think a bit. Or maybe not much, but some spare money. What would you choose the first? (to buy a book, to go to the cinema, to go to the restaurant). Can you prove, that your decision is right? Now look through the text and think if it is easy to make any decision. What of decisions are easier to make? How many groups of people can be determined? Describe them. All our working life we are concerned with making decisions. Even at a very early stage we are involved in them, such as deciding whether to approach the boss, whether to do A before B, whether to try to sell a customer the $100 set or the $150 set, whether to take a check or insist on cash. At the very top, the chairman of a large company is still making decisions, such as whether to buy another company or to proceed into a new market, or to clinch a particular deal. At home again there is a series of big decision such as, should we have another child, or buy a new car or a bigger house? There are also small decisions: shall we decorate the guest room this week, or shall we leave it until next year? Shall we plant onions again this year when they diet so badly last year, or shall we go for some more potatoes? All these decisions have one thing in common: we are never in possession of all facts on which to evaluate them thoroughly – in other words, to prove the point conclusively. If we were able to do this then perhaps the need for making the decision would be of a different quality. However, when we are not able to prove the point but must face a decision on a balance of probabilities or estimates or guesses, then we are very much dependant on another quality – decisiveness. This is the capacity to make up our minds and decide to take action, and then take action when we are not in possession of all the fasts. At one end of the spectrum, we have people who will make a decision or take action when they have no facts at all or practically no facts. We would call these people reckless. At the other end of the spec25

trum, we have people, who will continue calling for further facts and doing further investigations without reaching a decision at all. Or there are those people who keep changing their minds. I’m sure that all of us have worked with people who come to a conclusion one day and then rethink the matter the following day and come to a different conclusion. Who is to say they are wrong? But then action, which is the lifeblood of business, is not taken perhaps when it should be. In addition, the staff people who have been looking to us for a lead find it very frustrating if we keep changing our minds. If they have to adjust to new policies too frequently, they will come to conclusion that perhaps we do not know what we are doing. I'm sure you will have all seen by now that decisiveness comes with confidence, and confidence comes with knowing what we are doing, or at least thinking that we know what we are doing. Mechanics of decision-making consists of 1) define the problem, 2) examine the facts, 3) consider the alternatives, 4) include the views of others, 5) decide the course of action, 6) evaluate the results. For example: it is very important for students of economics faculty to know English much better. What problem can you see here and how would you consider (decide the problem). EXERCISES 1. What decisions do you regularly make? List six of them, and describe what method you use to make them. Are any of them irrevocable decisions? 2. What was the biggest decision you have ever made? How did you make it and was it successful? 3. List three decisions that could be made by using ranking. 4. List three decisions where simple ranking would be improved by weighting. 5. List three decisions where the use of probabilities would be significant. 26

6. Have you ever avoided making decision or felt like avoiding one? Are there any decisions you would avoid now? 7. Are there any circumstances where it is better to stick to a bad decision, than to reverse it? Give an example. 8. What factors would contribute most to improved decisionmaking in your company? TEXT 2 Read the story. Try to understand as much as possible. Pay attention to the following words. on time to care about happen complete = finish facilities to be concerned by busy Answer the questions: 1. What problems (difficulties) in his work as a manager did the author mention? 2. What did he do to overcome some of the difficulties? 3. Is there any item in his list that should be considered the most important? Do you agree with the statement, if not why (explain your point of view)? – Think about the importance (usefulness or uselessness) of the list of jobs to do. 1. Personal organization The need for personal organization When I had my first management job, I found it naturally very exciting, very demanding. I would come in on time, or even early. To digress, a good manager should sometimes come on early and perhaps stay late. All sorts of things happen outside normal working hours. For example, people who get their work wrong or do not complete it during the day will stay behind or come back later to finish it off, (while others will use company facilities for private purposes). However, I would come in on time or early and work like mad throughout the day, but by the end I had never completed all that had to be done, and my head was full of everything that was happening. In particular, I was concerned by

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matters affecting the well-being of others, and also by attacks on my department’s activities or on my own standards of performance. When I arrived home, my head was buzzing and I would wake up in the middle of the night thinking of new ideas or remembering things I had forgotten to do. I had the choice then of lying awake the rest of the night and remembering whatever it was, or going to sleep again and forgetting the matter, although I had not really forgotten it. At least I did not decide to hold a meeting about the situation. 2. Creating a List I listed all the jobs that I had to do, all the work in my ‘in’ box, and all the functions I had to supervise. I kept a diary, and a current file. To my current File I would add any correspondence, assessments, buying orders, and the like which I wanted to review at a future date; these items were brought into the list as they came up. Having made the first rough list, I then sorted it into its order of importance and urgency. At the end of each day, I used to go through the list and cross off what I had done and also any items, which were no longer relevant. I would add to the list any new jobs or problems that had arisen, and then I would note which jobs I planned to the following day. So, in the morning, there was my list telling me what I had to do that day. Obviously, unexpected matters arose (in an operational situation one can almost budget for the unexpected), but by large I worked through the list each day. 3. Communications One of the standing items on the list, apart from going through the diary and current file, was to see all my subordinates. I kept at hand a list of all subordinates, and made a point of seeing each one even if only to say hello every day. It could be, of course, that you are often away or that you have too many staff people to see. Perhaps in the first case you should consider whether you are away too much to do your job properly; in the second case, you may have many people directly under you and you should delegate some of the process to subordinates. Communications is the name of this game: people require regular contact, in particular from their boss. They will often tell you things or, in talking with them, you may be able to sense a problem that they would be reluctant to bring to your office. 28

Communications can only exist on a face-to-face basis, and they are of prime importance at every level. Many managers who have considerable responsibilities in large organizations do not know the names or faces of their top management and directors. And even greater proportion never see, or are never seen by, their top management in any operational situation. No amount of personal work can make people think you care about them if they never see you. ADDITIONAL READING TEXT 1 Read and translate the text. Consult the words below. Express your opinion. Notes on Business Communication Etiquette Today the business world is supposed to be in a state of “manners crisis”. In our increasingly high-tech, impersonal world, the sensitivity inherent in good etiquette has become an important counterbalance. Also, boundaries in business have extended in all directions. Women have entered the business world in great numbers. People from different cultures interact. Factors such as these increase the need to avoid communication that offends or causes misunderstanding. At the same time, baby-boomers now moving into the executive were mostly not trained in manners. They feel uncomfortable because of their lack of social graces. Discomfort on both sides is not the only result. Those practicing poor etiquette lose the competitive edge to those who know what to do and do it with grace – in starting salaries, promotions, attracting and keeping clients, inducing the cooperation of subordinates, etc. Good business etiquette pays, both in intangible and tangible ways. There is certainly more you can add on telephone communication etiquette. Manners are particularly important when speaking on the phone because facial expression and body language are lost. Besides that, we spend a lot of time on the phone. A disgruntled or uninterested voice, poor diction, sentences laced with “you know's”, and nonstandard grammar all present a very negative image. People with heavy accents need to speak even more slowly and carefully than others. 29

Someone may ask about what to do if the person on the other end of the conversation is rude – and is also an important person. That person may be smoking, chewing gum, talking to other people in the room, etc. Often there is nothing that can be done except to endure and be unfailingly polite in return. But it is all right to ask the person to repeat what he or she has said (plead a poor connection). Better yet, whenever possible, arrange for face to face business meetings, and keep them as brief and to the point as possible. Another question that may arise is how to end telephone conversations courteously with people who ramble, leaving the listener in the dark about the point of the call, who race on without giving the listener a chance to speak (especially when the listener knows the caller should speak to someone else), or who repeats the same information, important though it may be, more than once. Hanging up is usually not an option in business. * With ramblers, the best strategy is to interject a direct question: “What exactly do you have in mind?” And the listener may need to add that he or she has an appointment so hasn't much time. * With racers, the listener, while avoiding outright rudeness, can only talk over the caller, interrupting with a statement about whom the call needs to be directed, say that the call will be transferred; and then quickly transfer the call. It is a good idea, though, to give the caller the name and number he or she needs in case the transfer fails. * With repeaters, the listener needs to assert control. One way is to summerize the key points of what the caller has said, say the two will talk later, and close the call with a polite “Thank you. Goodbye.” You might want to add some other telephone tips that are part of good business communication etiquette such as answering the call on the first or second ring, explaining delays if one must leave the phone to get information, referring to the client by name (title and last name, correctly pronounced), closing the conversation politely, and hanging up the phone gently. WORDS TO WATCH impersonal – обезличены, inherent in – присущая counterbalance – противовес baby-boomer – дети послевоенных лет 30

move into the executive – приходящие на руководящие посты train in manners – обучать хорошим манерам social graces – принятые в обществе правила поведения practicing poor etiquette – плохо владеть правилами этикета lose the competitive edge – уступать в сравнении с теми, кто cooperation of subordinates – отношения с подчиненными pays both in intangible and tangible ways – окупается / компенсируется зримо и незримо disgruntled – раздражительный to endure – терпеть unfailingly polite – безукоризненно вежливый plead – ссылаться на face-to-face business meeting – очная деловая встреча ramble – говорить много и не по делу leaving smb in the dark about – оставлять кого-либо в полном неведении to interject – вставить talk over smb – “одолеть / победить” transfer the call – переадресовать звонок to assert control – установить контроль

in your list under number 1, 2, 3 (not to forget them). What items are more important for you? Why? T E X T 2 (to train your brain) Some but not all of the lines in the following text contain one extra word that should not be there. Read the text straight through to find out what it's about. Underline the unnecessary words and tick (v) the lines that are correct. The exercise begins with two examples (O). How to be a Good Manager 0 v A lot of research has been carried out into what makes a good 0 manager. This research has covered over all types of working 1. environments by including industry, retailing and government. 2. As the result has been that several characteristics have been 3. identified as are being typical of the very best managers. It seems 4. that good managers are quick to give the praise to employees who 5. deserve it and also to pass it on when it comes from outside the 6. company, from a customer, for example. Also a characteristic of 7. good managers is that they treat every people fairly and do not

BUSINESS ETIQUETTE 1. Do you agree with the author’s statement concerning “manners crisis” in today’s business world? Can you illustrate it with any example? 2. Do you think the communication etiquette is really important in business? Why? Why not? 3. In which ways can communication etiquette influence а сагеer of a business person? 4. Why are manners particularly important when speaking on the phone? 5. Which telephone tips can you enumerate?

have

You are a busy person-you work hard to get education, you read much, you take part in social activity at the university, take part in sport events, meet your friends, and so on). Think, what items would you put

8. favourites. The researchers found that managers who they were 9. thought to be discriminating against some people and giving to 10. others special treatment could seriously reduce the efficiency of 11. the work in force. It was also noticed that good managers moved 12. around a lot, for getting to know all the staff as well as people 13. outside the company, instead of always staying inside the office. 14. However, this had to be done carefully because employees, although 15. they appreciate the manager taking up an interest in their work 16. do not want him or her constantly be looking over their shoulder.

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THE TASK FOR DISCUSSION

SUPPLEMENTARY READING TEXT 1 Read and translate the following text to be ready to discuss. What Makes a Good Manager? Here Are 10 Tips By Bill Gates There isn't a magic formula for good management, of course, but if you're a manager perhaps these tips will help you be more effective. 1. Choose a field thoughtfully. Make it one you enjoy. It’s hard to be productive without genuine enthusiasm. This is true whether you're a manager or employee. 2. Hire carefully and be willing to fire. You need a strong team, because a mediocre team gives mediocre results, no matter how well managed it is. One common mistake is holding onto somebody who doesn't quite measure up. It's easy to keep this person on die job because he's not terrible at what he does. But a good manager will replace him or move him to a set of responsibilities where he can succeed unambiguously. 3. Create a productive environment. This is a particular challenge because it requires different approaches depending on she context. Sometimes you maximize productivity by giving everybody his or her own office. Sometimes you achieve it by moving everybody into open space. Sometimes you use financial incentives to stimulate productivity. A combination of approaches is usually required. One element that almost always increases productivity is providing an information system that empowers employees. When I was building Microsoft, I set out to create an environment where software developers could thrive. 1 wanted a company where engineers liked to work. I wanted to create a culture that encouraged them to work together, share ideas and remain highly motivated. If I hadn't been a software engineer myself, there's no way I could have achieved my goal. 4. Define success. Make it clear to your employees what constitutes success and how they should measure their achievements. 33

Goals must be realistic. Project schedules, for example, must be set by the people who do the work. People will accept a “bottoms-up” deadline they helped set but they'll be cynical about a schedule imposed from the top that doesn't map to reality. Unachievable goals undermine an organization. At my company, in addition to regular team meetings and oneon-one sessions between managers and employees, we use mass gatherings periodically and e-mail routinely to communicate what we expect from employees. 5. To be a good manager, you have to like people and be good at communicating. This is hard to fake. If you don't genuinely enjoy interacting with people, it'll be hard to manage them well. You must have a wide range of personal contacts within your organization. You need relationships – not necessarily personal friendships – with a fair number of people, including your own employees. You must encourage these people to tell you what's going on (good or bad) and give you feedback about what people are thinking about the company and your role in it. 6. Develop your people to do their jobs better than you can. Transfer your skills to them. This is an exciting goal but it can be threatening to a manager who worries that he's training his replacement. If you're concerned ask your boss: “If I develop somebody who can do my job super well, does the company have some other challenge for me or not?” Many smart managers like to see their employees increase their responsibilities because it frees the managers to tackle new or undone tasks. 7. Build morale. Make it clear there's plenty of good will to go around and that it's not just you as some hotshot manager who's going to look good if things go well. Give people a sense of the importance of what they're working on – its importance to the company, its importance to customers. When you achieve great results, everybody involved should share in the credit and feel good about it. 8. Take on projects yourself. You need to do more than communicate. The last thins people want is a boss who just dotes out stuff. From time to time prove you can be hands-on by taking on one of the 34

less attractive tasks and using it as an example of how your employees should meet challenges. 9. Don't make the same decision twice. Spend the rime and thought to make a solid decision the first time so that you don't revisit the issue unnecessarily. If you're too willing to reopen issues, it interferes not only with, your execution but also with your motivation to make a decision in the first place. People hate indecisive leadership so you have to make choices. However that doesn't mean you have to decide everything the moment it comes to your attention. Nor that you can't ever reconsider a decision. 10. Let people know whom to please. Maybe it's you, maybe it's your boss and maybe it's somebody who works for you. You’re in trouble – and risking paralysis in your organisation – when employees start saying to themselves: “Am I supposed to be making this person happy or this other person happy? They seem to have different priorities.” I don't pretend that these are the only 10 approaches a manager should keep in mind, or even that they're the most important ones. There are lots of others. But these 10 ideas may help you manage well, and I hope they do. Qu. Do you agree with all these aproaches a manager should keep in mind. Do you consider them to be important. If YES-why, if NO-why? TEXT 2 1. Read the text and see if the writer's ideas are the same as yours. 2. The text has eight main sub-sections. Match the cartoons to the sections. Men and women do things differently. There are, of course, exceptions to every generalisation, including this one. Cristina Stuart is a managing director of Speakeasy Training, a consultancy that runs courses for men and women working together. Here she describes a few key differences between the sexes in the workplace.

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1. Working together The male approach to business is competitive, direct and confrontational. The end justifies the means*. Personal status and a focus on the individual are important. The female method is collaborative. Collective action and responsibility are more important than personal achievement. Lateral thinking**, as well as goodwill and the well-being of the individual, are also of great importance. 2. Tackling problems The male approach is to go to the heart of the problem, without taking into account secondary considerations. The female preference is to look at various options. 3. Body language Male body language tends to be challenging. Female body language tends towards self-protection. A stereotypical female pose is sitting cross-legged; the male sits with legs apart to give an impression that he is in control. Male behaviour can include forceful gestures for example banging a fist on the desk for effect. The female style does not usually include aggressive gestures. 4. Language The male way of speaking does not encourage discussion. Women tend to welcome others' opinions and contributions more. 5. Conversation Men like to talk about their personal experiences and achievements or discuss 'masculine' topics such as cars or sport. Women tend to talk about staff problems and personal matters. 6. Meetings If a woman does not copy the male confrontational style, she is often ignored. 7. Self-promotion Men find it easy to tell others about their successes. Women tend to share or pass on the credit for a success. ____________________ * The end justifies the means: it doesn’t matter what merhods you use; success is the only important think. ** Lateral thinking: thinking in a creative way, making unusual connections.

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8. Humour Men's humour can be cruel – a man's joke usually has a victim. Female humour is less hurtful. A woman often jokes against herself. CAVEAT Many men have a female style of working. Equally many women have a male approach. As Ms Stuart says many of the current management theorems – flatter organisations*, empowerment, managing by consensus** – have a female style to them. READING 1 The text is about the different styles that men and women have in the workplace. Look at the cartoons and say which figures you think represent men and which represent women?

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* Flatter organisations: organisations in which there are fewer managers and people have equal status. ** Managing by consensus: managing by getting everyone to agree.

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TEXT 3 “Invisible” Resource: Women for Boards Felice N. Schwartz Harvard Business Review Despite the increased appearance of women on corporate boards in recent years, only 1,8 % of the directors of the top 1,300 boards are women. Almost without exception, these women have been highly “visible” for their achievements in government, education, and nonprofit circles. But there are hundreds of other high achievers who are not so visible. The problem for chairmen and nominating committees is twofold: (I) identifying and selecting the best of this “unknown” but talented pool of candidates and (2) defining and communicating their expectations from women.

Women have only recently entered the boardroom. The popular perception is that large numbers have been appointed to corporate boards and that they are now a significant presence on the boards of most major corporations in the United States. But that perception does not yet reflect reality. 38

Boards: (board of directors) group of persons controlling a business. Visible: here, outstanding, prominent, well-known. Nominating committees: groups who suggest possible representatives or members (in this case, board members). Pool: common fund, supply, or service, provided by or shared among many. Expectations: wishes or confidences of something to be done, produced, or received.

It is true that the number of women directors in the United States has increased dramatically, from 147 in 1976 to 300 in 1979, but the ratio of female to male directors remains remarkably small: there are only 300 women directors on only 365 of the Fortune “1,300” boards, whereas there are about 16,000 men on these boards. This new phenomenon of the woman director is interesting; pressure to recruit women directors, unlike that to employ women in the general work force, does not derive from legislation. The 935 companies among the top 1,300 that do not have women on their boards are not subject to penalty. But the pressure to recruit women directors is nevertheless real and recognized. It comes primarily from stockholders, from employees (in particular from women employees, especially those at high levels), and from consumers. This pressure reflects a growing widespread concern with equal employment opportunity, a tendency to broaden definitions of corporate responsibility, and a demand for greater accountability on the part of both director and company. On the other hand, the incentives to appoint women to boards have not yet been clearly perceived. The contribution expected from women directors and the characteristics, perspectives, and expertise required to make that contribution have not been adequately analyzed. The fascinating thing is that the contribution expected from women directors has not yet been defined 39

either by corporate chairmen and their nominating committees or by the women candidates for those positions.

Derive: to have as a starting point, source, or origin. Penalty: punishment for failure to obey rules or keep an agreement. Stockholders: those who own shares in a company. Corporate responsibility: the idea of duties that a company is legally or morally obliged to carry out. such that it may be blamed if it does not. Accountability: responsibility; the expectation of having to give an explanation. Expertise: specialized knowledge or ability.

I will explore four separate aspects of the problem: 1. The preferences of the chairmen. 2. Making a contract with the woman director. 3. The challenge for women directors in the 1980s. 4. Selecting women candidates. The chairmen's preferences Specifications for directorships have traditionally been loosely drawn. One thing that has been fixed, however, is that the chief executive officer has always been .the most desirable candidate. Every CEO I have talked with would like at least a halfdozen chief executives on his board. When the chairmen of the large corporations began to be interested in recruiting women for their boards, they sought women in their own image – chief executive officers. Such women, however, are rare today. The second preference of chairmen who became interested in recruiting women was often a woman who had the equivalent – or nearly the equivalent – of CEO experience. The boards of the top ten companies in the Fortune “1,300” do not include a single male from business who is not a chief executive, a former CEO, or the equivalent. The chairmen's third preference then became women of high achievement outside the business world and preferably – but not 40

Chairmen (chairman of the board): the highest ranking board members.

Preferences: which is better liked or rather chosen.

Specifications: instructions for the design and materials for something to be made or done. Directorships: the positions held by board members. Chief executive officer (CEO): officer holding top position in any administrative hierarchy, with duties of advising and directing organizational policies and of acting as liaison officer between the administrative and legislative bodies.

necessarily – from an area that would yield insight, perspective, and experience obviously relevant to the concerns of the corporation. Such women tend to be highly “visible” and accessible; 120 of the 300 women currently serving on the top 1,300 boards are from government, education, and the nonprofit sector. The chairmen's first three choices – women chief executives, women with CEO-related experience, and women of high achievement outside business – virtually exhausted the supply of visible women. The corporate problem is that the pool of qualified women candidates as currently perceived, is inadequate. Thus, two things must happen: the visible pool of candidates must be enlarged, and expectations of them must be clarified. Making a contract The area of board responsibility has been vastly expanded. A greater range of experience and an infinitely broader perspective are needed today than in the past. The sine qua non for directorship can no longer be chief executive experience or the equivalent. It must now be the highest level of intelligence and motivation. There is no shortage of either among women. However, the chairman's expectations of the new director must be realistic, clearly analyzed and defined, and well communicated to her. She, in turn, must agree to accept the responsibility to fulfill those expectations.

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Perspective: point of view; the ability to look at things from different points of view.

Sine qua non: an essential element, condition that cannot be done without.

In effect, a contract, based on the board's need for a particular perspective or expertise and a woman's ability to perform, must be made between the chairman and the new director. Realistic ground rules would thereby be established so that the woman could make the needed contribution to the work of the board and derive both professional satisfaction and the respect of her peers from the contribution she makes. There is a wide spectrum of significant yet different contributions that women directors have been able to make, from their specialized corporate experience as well as from their valuable experience in the public sector. Another valuable contribution that many women directors can make is to enhance the morale and the productivity of women in their companies, not only by their presence on the board as role models but by communicating actively with them and thus understanding and addressing the special needs and problems women face. Moreover, on the horizon is an enormous role that women can perform on boards by helping to analyze and seek solutions to the problems of the two-career family. The forward-looking chairman has this in mind in recruiting new directors for his board. One positive aspect of women's presence in the boardroom is that their desire to learn and their position as representatives of a new phenomenon have allowed them to ask questions more freely than men, whose history of participation has led to the assumption that they are more knowledgeable about matters discussed and issues raised than they necessarily are. 42

Ground rules: guidelines established so that things will run smoothly to be understood by everyone concerned. Spectrum: range, scope, variety.

Role models: examples to be imitated.

For both men and women, the move from a functional position to the position of director entails a shift from a primary concern with management to a primary concern with policy. Many outside male directors also face a necessary transition in perspective. On the way up the corporate ladder, when the needed expertise and perspective are both in place, the signals are clear. No conflict about the nature of the function one is paid to perform occurs. But when the transition is made from staff to board, the woman needs guidance and encouragement from the chairman. I would not argue that less should be expected from women or that they should seek special concessions as women. I would urge, however, that if the contribution of some women is what has been traditionally viewed as a “female” contribution (e.g., in the areas of corporate social responsibility), the chairman should applaud her for it – and encourage her to applaud herself for that contribution. If, however, the contribution of some women is what has been traditionally viewed as a male contribution, they should be equally applauded. In short, the challenge of the chairman is to ignore gender and encourage all the strengths women have to emerge and express themselves in the boardroom. The challenge for women The wall surrounding the corporate community, if it can be claimed to exist at 43

Transition: gradual or formal change.

Concessions: something admitted, granted, or allowed especially after discussion or a difference of opinion. Applaud: express approval of.

all, is today a highly permeable one. Just as a degree of regulation by government and the voices demanding greater accountability are growing, so the corporation recognizes that it must be increasingly concerned with the environment in which it functions and with the human as well as the consumer needs of the people. It is true that conditions are changing in many ways, but it should be remembered that most directors, of both sexes, are over 50 years old. They grew up in a highly polarized society. Women learned that the traditional role of women was to maintain the home and to work, often as volunteers, in efforts to improve the community. The majority of men were socialized quite differently so that they would perform the function of ensuring the financial wellbeing of their families. This difference is reflected in the career development of most of even the outstandingly successful women of the generation now in their fifties. It is reflected in the careers of women now on corporate boards: 25 % are in education and 22 % are in government, law, and the nonprofit sector. Women are thus uniquely positioned to perform this function, not because they are women, but rather because they are joining boards now at a particular time. “They are,” as Fletcher Byrom, chairman of Koppers, says, “a group whose time has come.” By serving as a bridge between the corporation and the community and having an understanding of the one within the context 44

Permeable: that can be passed through.

Polarized: concentrated around two opposite or contrasting positions (here, contrasting ideas about the roles of men and women). Socialized: adapted to the needs or requirements of society, especially as one grows up.

of the other, women can bring new perspectives and responses to the role of the corporation and the conduct of business. The Catalyst* program In its nonprofit role, Catalyst is expanding its concern with women directors through a program designed to help women bring new insights to corporate boards. The Catalyst Women Directors' Program, for which Revlon, Inc. has provided funding, will help business be more responsive to the changing needs-of society by: • Raising awareness about emerging society issues that may affect the business community. • Serving as a channel of communication between corporate leaders and those who are leaders in thought and action on these issues. • Providing a forum for sharing knowledge about these issues. • Acting as a sounding board for government and business. The program will, in this its second year, invite corporate, government, academic, financial, and international leaders to participate in a series of symposia, each focusing on a topic of crucial significance to the corporate world. Some examples include longterm inflation, increased government regulation, the aging population, and the energy shortage and their effects on business.

Forum: occasion or place for exchange of views or knowledge. Sounding board (or sound board): a means for causing an opinion or plan to be widely heard. Symposia (plural of symposium): conferences for discussion of a subject.

A company's ability to be responsive to social change is no longer solely a matter of corporate conscience. The effectiveness of a corporation in coping with external factors and society's needs affects how it is perceived by its key constituencies (i.e., by its customers, employees, and investors) and how well it can implement its corporate strategies over time. Social change is no longer a matter merely for charitable attention but has become a factor that can influence a company's growth and even survival. The Women Directors' Program, in acting as a channel of communication between corporate leaders and leaders in other fields, serves corporate society both by helping it to anticipate emerging social issues and by enhancing the special contribution that women directors individually and as a group can make to the boards on which they serve. Selecting women candidates Identifying and choosing women for corporate directorships is difficult. Although there are approximately 3,500 women whose achievement and/or level of employment might qualify them for consideration as directors, the vast majority are unknown to most corporate leaders. In addition, the network through which they might be reached – the “new women's” equivalent to the “old boy” network – has not yet been widely established.

*

Catalyst, of which Ms. Schwartz is founder and president, is a national nonprofit organization that promotes the productive utilization of women in corporations and the professions.

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Constituencies: groups having a special interest and power (direct or indirect) over someone.

Network: here, an informal organization of like-minded persons (for example, women) who help each other advance in status or position; “old boy network” refers to the informal organization of men who have long been in the same kind of business, think alike, and do favors for each other, especially getting better pay and position for each other.

The Catalyst Corporate Board Resource (CBR), which is chaired by Coy G. Eklund, president and chief executive officer of Equitable Life Assurance, whose own board includes four women, represents an attempt to organize just such a network along rational, objective lines. Catalyst has researched and identified a comprehensive national collection of accomplished women who are potential candidates for corporate boards. CBR currently contains the dossiers of 837 of the most outstanding women in the country, dossiers crossindexed by geography and field. In a sense, CBR was launched before its time, insofar as the supply of well-known, accomplished women was sufficient to meet the early, limited demand. However, in the years ahead, it is likely that the movement to recruit women directors will accelerate. Currently 365 corporations, including every one of the top ten, have added women directors. Of the corporations, 2 have four, 5 have three, and 50 (including 1 of the top 10) have two. It has become difficult to think of a board without women. Two factors will further expedite the process of assimilation: 1. The disappearance of the novelty of having a woman on the board. 2. The recognition of the contribution women can make, with the clarification and realization of the incentive to recruit women that I mentioned earlier. 47

Dossiers: collections of various papers for a specific purpose, especially for showing and describing the qualifications of a candidate for a job. Cross-indexed: referred from one part of a file to another. In this case, you could look up female candidates by geographic location or field of work.

Accomplished: skilled, well trained.

Expedite: speed up the progress of; help along; assist; facilitate. Assimilation: absorption, integration, becoming a part of another group.

In the former connection, one of the most delightful comments I have heard is from Alice F. Emerson, who said: “I didn't realize how strange I looked to the other directors until a second woman was added and sat across from me at the table.” TEXT 4 Why I am Not A Manager Here's what you get: pressure from above and resentment from below. Who needs it? By Robert J. Samuelson IN 1997, REPORTS THE LABOR DEPARTMENT, THERE Were 18 million executives, managers and administrators in the United States. I am not one of them. I have never “managed” anyone or anything. No one works for me or is supervised by me. This is the way it's always been and almost certainly, will always be. At various employers, no one has ever hinted that I deserved greater power and responsibility. Perish the thought. All this may explain why I have a certain grudging respect for managers. I am obviously unfit to do whatever it is they do. They seem to relish responsibility, while I dread it. They have, or feign, confidence, while I shudder at putting a subject and verb in every sentence. What also baffles me is why people want to be managers. Granted, some rewards aie tempting: power, money, status and (possibly) the respect of co-workers. But the drawbacks seem as plain: resentment from below, pressure from above: loud criticism of failures; silence over successes. No thanks. Now, “manager” is a marvelously elastic tide. It covers a lot of ground, from exalted CEOs (chief executive officers) to plant managers to school principals – to produce managers at supermarkets. Almost half of all managers now (44 percent) are women, says the Labor Department. In 1997, it counted 711,000 marketing and advertising managers, 535,000 building and real-estate managers, 108,000 personnel manag48

ers. But along the spectrum of pay and power, many managers face two contradictory demands. First, they're supposed to get results – to maximize profits, improve test scores or whatever. Everyone must “perform” these days and be “accountable” (which means being fired, demoted or chewed out if the desired results aren't forthcoming). Second, they've got to motivate or manipulate their workers. Gone is the era when machines determined how most work was done. Jobs today are looser. They require initiative or allow leeway. If workers do poorly, the organization suffers. So managers have to command and coddle. They're supposed to be sensitive to workers' problems and “feelings.” They should be nice and not nasty. Petty tyrants are disapproved. The manager mediates between the hard demands of the stock market and the soft demands of workers. On paper, there is no tension, Workers will be committed and creative if they are respected and consulted. Good ideas will bubble up from below. Managers will be rewarded for their openness and understanding. But in real life, conflicts abound. Galvanizing consensus is often time-consuming. Sometimes it's undesirable because some ideas are better than others. And getting people to obey without alienating them is hard if they: (a) disagree with you; (b) hate you; (c) are incompetent, or (d) spend the day surfing the Net. Little wonder, then, that no group in America is more advised and analyzed than managers. I know this, because I receive a steady flow of review copies of management books. Just who reads these books has always puzzled me: if you manage something important, when would you have time? But someone must read them (or at least buy them), because the publishers keep pouring them out. Of course, the publishing industry has a well-deserved reputation for being dimwitted. But it can't be that dimwitted. Here, for example, are two recent arrivals – “Profit Patterns: 30 Ways to Anticipate and Profit From Strategic Forces Reshaping Your Business” and “The Dance of Change: The Challenges to Sustaining Momentum in Learning Organizations.” As management books go. these seem to be more informative than most. But exactly how will they make it easier for managers to manage?

“Profit Patterns” reminds us that some companies have clobbered others in head-to-head competition. In 1989, both Apple Computerand Microsoft had stock-market capitalizations (the value of all their shares) of about $4 billion. By 1998. Apple was still worth about $4 billion, while Microsoft had zoomed to $220 billion. But Microsoft benefited as much from the blunders of rivals as from its own efforts. IBM let Microsoft keep the licensing rights for the original PC operating software. Big mistake. And Apple didn't license coproduction of its computers; this stymied sales and software development. Companies should spot how’the strstegic landscape is changing’, says the book. This is a bit abstract. Microsoft's real lesson is simpler: pray for dumb competitors. If IBM and Apple had been smarter, Bill Gates might be a nobody. In “The Dance of Change,” we discover that companies often fail at organized efforts of self-improvement. By one study, 70 percent of “re-engineering” campaigns founder. Another study estimated that two thirds of “total quality management” programs do likewise. These failures implicate the capacity of middle managers. Are they guiding change or simply being swept along? “Our core premise,” write the authors, “is that the source of these problems cannot be remedied by more expert advice, better consultants or more committed managers.” What then follows is – 573 pages of musings from experts, consultants and managers. The enduring popularity of self-help books like these. I suspect, reflects a widespread insecurity among many managers as a class. (But I also suspect that the best managers disdain these books. They trust their own instincts and knowledge.) The common craving is control; the common fear is chaos. But the latter is rising while the former is falling. Someone must have an answer. In one way or another, all these management books hold out the chimera of control. The fact that they don't deliver may not diminish their appeal: if you're confused, it's reassuring to know that everyone else is, too. Perhaps managers couJd once succeed-or at least survive – on status and technical competence. There was a chain of command. Authority was respected or feared. Machines regulated production jobs. This era has ended. The almost-universal task of managers today, in our culture, is to serve twin masters, each of whom has grown more de-

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manding. There's the Organization with Its imperatives; and there's the Individual – each with “needs.” This is a tough job, and somebody's got to do it. But not me. VOCABULARY REVIEW “WHY I AM NOT A MANAGER” 24 words from the article are used below in management-related questions. For further practice, try writing and answering questions which involve other contexts (social, political, etc.) 1. Describe a superior/manager that you dislike (or disliked in the past).Why did you resent this person(what actions, qualities)? 2. How would you hint to one of your superiors that he/she is not an effective manager? What are the consequences of criticizing your boss(either directly or indirectly)? 3. How many workers in this region perish in job-related accidents each year? Describe the safety measures your firm takes to avoid accidental deaths on the job. 4. Explain which five aspects of your job you relish. 5. Explain which three aspects of your job you are dread. 6. When you need to feign self-confidence, what techniques do you use? How can you tell if someone is feigning competence? 7. Why people want to be managers baffles the author of this article, Robert Samuelson. Explain a career choice that baffles you. 8. Give an example of why someone at your company was demoted. In general, what are the reasons someone at your company might be demoted? 9. When was the last time you chewed out one of your subordinates? What was the reason? 10. Do you monitor your employees’ break time, Internet use, etc. Or do you give them leeway? 11. How do you coddle your subordinates? Why? Do you plan to continue this practice? 12. How do you deal with a very competent and efficient employee who is nasty to his\her colleagues? 13. What management principles abound in the average Russian company? What management principles abound in your company?

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14. What are some alienating managerial qualities that you have seen or heard about? (How did this manager alienate his\her subordinates and colleagues?) 15. What was the most dimwitted thing someone at your company did or said last year? 16. How do you plan to clobber your competition? 17. What kinds of blunders have your superiors or subordinates made? 18. How is your company promoting change and innovation? Or is it just being swept along? 19. What is the core premise of your company/department/unit? 20. How could the issue of low salaries in Russia be remedied? Should it be remedied or are the low salaries a competitive advantage for Russian companies? 21. Which enduring legacy of the Soviet Union is the most difficult for Russian managers to deal with? Why? There is a saying: what cannot be cured, must be endured. What are some of the negative features of Russian business life that cannot be changed easily and must be endured for now? 22. Which management roles do you distain? Why? 23. What professional opportunities are you craving? 24. How would you reassure an interviewer that you are the person he/she should choose for a PMTI internship? TEXT 5 PREVIEW The “bad boss” is a familiar character of TV sitcoms and cartoons. But when you’re dealing with a real-life bad boss, the situation is hardly amusing. According to this essay, difficult bosses fall into several categories. Learning to recognize these types can give you some guidance on how to work successfully in a challenging situation. WORDS TO WATCH modus operandi (6): method of operation; cower (8): shrink back in fear; browbeating (8): bullying; litmus test (10): a test using a single factor to indicate something; 52

subservient (12): obedient; vulnerable (14): open to ridicule; outplacement (17): helping former employees find new jobs; rapport (19): understanding; recurring (21): happening again; paraphrase (26): put what someone has said into other words; prioritize (27): put things in order of importance; brusque (29): rudely brief: rough in manner and speech. How to deal with a difficult boss Donna Brown Hogarty Harvey Gittler knew his new boss was high-strung – the two had worked together on the factory floor. But Gittler was not prepared for his co-worker’s personality change when the man was promoted to plant manager. Just two days later, the boss angrily ordered a standing desk removed because he’d seen a worker leaning on it to look up an order. He routinely dressed down employees at the top of his lungs. At one time or another he threatened to fire almost everyone in the plant. And after employees went home, he searched through trash cans for evidence of treason. For many workers, Gittler’s experience is frighteningly familiar. Millions of Americans have temperamental bosses. In a 1984 Center for Creative Leadership study of corporate executives, nearly 75 percent of the subjects reported having had at least one intolerable boss. “Virtually all bosses are problem bosses, in one way or another,” says psychologist Mardy Grothe, co-author with Peter Wylie of Problem Bosses: who they are and how to deal with them. The reason, he said, lies in lack of training. Most bosses were promoted to management because they exceiled at earlier jobs – not because they have experience motivating others. Uncertain economic times worsen the bad-boss syndrome. “There is an acceptance of getting results at any price,” says Stanley Bing, a business executive and author of Crazy Bosses. “As a result, the people corporations select to be bosses are the most rigid and demanding, and the least able to roll with the punches.” 53

Bad bosses often have a recognizable modus operandi. Harry Levinson, a management psychologist in Waltham. Massachusetts, has catalogued problem bosses, from the bully to the jellyfish to the disapproving perfectionist. If you’re suffering from a bad boss, chances are he or she combines several of these traits and can be dealt with effectively if you use the right strategy. The Bully During his first week on the job, a new account manager at a small Pennsylvania advertising agency agreed to return some materials to a client. When he mentioned this at a staff meeting, the boss turned beet red, his lips began to quiver and he shouted that the new employee should call his client and confess he didn’t know anything about the advertising business, and would not be returning the materials. Over the next few months, as the account manager watched coworkers cower under the boss’s browbeating, he realized that the tyrant fed on fear. Employees who tried hardest to avoid his ire were most likely to catch it. “He was like a schoolyard bully,” the manager recalls, “and I’ve known since childhood that, when confronted, most bullies back down.” Armed with new-found confidence and growing knowledge of the ad business, he matched his boss’s behavior. “If he raised his voice. I’d raise mine,” the manager recalls. True the type, the boss started to treat him with grudging respect. Eventually, the young man moved up the ranks and was rarely subjected to his boss’s outbursts. Although standing up to the bully often works, it could make matters worse. Mardy Grothe recommends a different strategy: reasoning with him after he’s calmed down. “Some bosses have had a problem with temper control all their lives, and are not pleased with this aspect of their personality,” he explains. Want a litmus test? If the boss attempts to compensate for his outburst by overreacting and trying to “make nice” the next day, says Grothe, he or she feels guilty about yesterday’s bad behavior. Grothe suggests explaining to your boss how his temper affects you. For instance, you might say. “I know you’re trying to improve my performance, but yelling makes me less productive because it upsets me.” 54

Whatever strategy you choose, deal with the bully as soon as possible, because “once a dominant/ subservient relationship is established, it becomes difficult to loosen,” warns industrial psychologist James Fisher. Fisher also suggests confronting your boss behind closed doors whenever possible, to avoid being disrespectful. If your boss continues to be overbearing, try these strategies from psychologist Leonard Felder, author of Does someone at work treat you badly? ƒ To keep your composure while the boss is screaming, repeat a calming phrase to yourself, such as “Ignore the anger. It isn’t yours.” ƒ Focus on a humorous aspect of your boss’s appearance. If she’s got a double chin, watch her flesh shake while she’s yammering. “By realizing that even the most intimidating people are vulnerable, you can more easily relax,” explains Felder. ƒ Wait for your boss to take a breath, then try this comeback line: “I want to hear what you’re saying. You’ve got to slow down.” Finally, never relax with an abusive boss, no matter how charming he or she can be, says Stanley Bing. “The bully will worm hir or her way into your heart as a way of positioning your face under his foot.” The Workaholic “Some bosses don’t know the difference between work and play,” says Nancy Ahlrichs, vice president of client services at the Indianapolis office of Right Associates, an international outplacement firm. “If you want to reach them at night or on a Saturday, just call the office.” Worse, such a boss invades your every waking hour, making it all but impossible to separate your own home life from the office. Ahlrichs advises setting limits on your availability. Make sure the boss knows you can be reached in a crisis, but as a matter of practice go home at a set time. If he responds angrily, reassure him that you will tackle any project first thing in the morning. Get him to set the priorities, so you can decide which tasks can wait. If you have good rapport with the boss, says Mardy Grothe, consider discussing the problem openly. Your goal is to convince him that just as he needs to meet deadlines, you have personal responsibilities that are equally important.

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The Jellyfish “My boss hires people with the assumption that we all know our jobs,” says a woman who works for a small firm in New England. “Unfortunately, he hates conflict. If someone makes a mistake, we have to tiptoe around instead of moving to correct it, so we don't hurt anyone's feelings.” Her boss is a jellyfish. He has refused to establish even a basic pecking order in his office. As a result, a secretary sat on important correspondence for over a month, risking a client's tax write-offs. Because no one supervises the firm's support staff, the secretary never received a reprimand, and nobody was able to prevent such mishaps from recurring. The jellyfish simply can't take charge because he's afraid of creating conflicts. So “you must take charge,” suggests Lee Colby, a Minneapolisbased management consultant. “Tell the jellyfish: This is what I think I ought to be doing. What do you think?' You are taking the first step, without stepping on your boss's toes.” Building an indecisive supervisor's confidence is another good strategy. For example, if you can supply hard facts and figures, you can then use them to justify any course you recommend – and gently ease the jellyfish into taking a firmer position. The Perfectionist When Nancy Ahlrichs was fresh out of college, she landed her first full-time job, supervising the advertising design and layout of a small-town newspaper. On deadline day, the paper's irritable general manager would suddenly appear over her shoulder, inspecting her work for errors. Then he'd ask a barrage of questions, ending with the one Ahlrichs dreaded most: “Are you sure you'll make deadline?” “I never missed a single deadline,” Ahlrichs says, “yet every week he'd ask that same question. I felt belittled by his lack of confidence in me.” Ironically, the general manager was lowering the staff's productivity. To paraphrase Voltaire, the perfect is the enemy of the good. According to psychiatrist Allan Mallinger, co-author with Jeannette DeWyze of Too Perfect: When Being in Control Gets Out of Control, “the perfectionist's overconcern for thoroughness slows down everyone's work. When everything has to be done perfectly, tasks loom lar56

ger.” The nit-picking boss who is behind schedule becomes even more difficult, making subordinates ever more miserable. “Remember,” says Leonard Felder, “the perfectionist needs to find something to worry about.” To improve your lot with a perfectionist boss, get her to focus on the big picture. If she demands that you redo a task you've just completed, mention your other assignments, and ask her to prioritize. Often, a boss will let the work you've completed stand – especially when she realizes another project may be put on hold. If your boss is nervous about a particular project, offer regular reports. By keeping the perfectionist posted, you might circumvent constant supervision. Finally, protect yourself emotionally. “You can't depend on the perfectionist for encouragement,” says Mallinger. “You owe it to yourself to get a second opinion of your work by asking others.” The Aloof Boss When Gene Bergoffen, now CEO of the National Private Truck Council, worked for another trade association and asked to be included in the decision-making process, his boss was brusque and inattentive. The boss, made decisions alone, and very quickly. “We used to call him 'Ready, Fire, Aim,” says Bergoffen. Many workers feel frozen out by their boss in subtle ways. Perhaps he doesn't invite them to key meetings or he might never be available to discuss projects. “At the core of every good boss is the ability to communicate expectations clearly,” says Gerard Roche, chairman of Heidrick & Struggles, an executive search firm. “Employees should never have to wonder what's on a boss's mind.” If your boss fails to give you direction, Roche says, the worst thing you can do is nothing. Determine the best course of action, then say to your boss: “Unless I hear otherwise, here's what I'm going to do.” Other strategies: When your boss does not invite you to meetings or include you in decision making, speak up. “Tell her you have information that might prove to be valuable,” suggests Lee Colby. If that approach doesn't work, find an intermediary who respects your work and can persuade the boss to listen to your views. To understand your boss's inability to communicate, it's vital to examine his work style. “Some like hard data, logically arranged in 57

writing,” says Colby. “Others prefer face-to-face meetings. Find out what makes your boss tick – and speak in his or her language.” Understanding your boss can make your job more bearable in a number of ways. For instance, try offering the boss two solutions to a problem – one that will make him happy, and one that will help you to reach your goals. Even the most difficult boss will usually allow you to solve problems in your own way – as long as he's convinced of your loyalty to him. No matter which type of bad boss you have, think twice before going over his head. Try forming a committee with your colleagues and approaching the boss all together. The difficult boss is usually unaware of the problem and often is eager to make amends. Before embarking on any course of action, engage in some selfanalysis. Chances are, no matter how difficult your boss is, you are also contributing to the conflict. “Talk to people who know you both, and get some honest feedback,” suggests Mardy Grothe. “If you can fix the ways in which you're contributing to the problem, you'll be more likely to get your boss to change.” Even if you can't, there's a silver lining: the worst bosses often have the most to teach you. Bullies, for example, are frequently masters at reaching difficult goals. Perfectionists can often prod you into exceeding your own expectations. VOCABULARY sitcoms = situation comedies – комедии ситуаций challenging situation – сложная неординарная ситуация high-strung – нервный a standing desk – постоянно стоявший стол look up smth – искать что-либо dress down smb at the top of one's lungs – громко распекать, давать нагоняй evidence of treason – доказательство измены excell (at work) – отличаться (на работе) / преуспевать roll with the punches – справляться с неожиданностями modus operandi – определенный стиль работы deal with – разобраться с, рассмотреть (напр., свои отношения с) 58

deal with effectively – зд. ладить bully – “тиран” cower under the boss's browbeating – трепетать перед начальственным гневом try hardest to avoid one's ire – изо всех сил пытаться избежать чьего-либо гнева confront – давать отпор back down – отступать armed with new-found confidence – вооружившись новым открытием true to type – согласно своему типу grudging – невольный, против своей воли eventually – в конце концов move up the ranks – продвинуться по служебной лестнице was subjected to his boss's outbursts – был объектом вспышек “начальственного” гнева standing up to smb – противоборство с кем-либо reasoning with smb – объяснение, выяснение отношений с кем-то want a litmust test? – хотите доказательство? / хотите проверить? overreact – проявлять повышенный интерес, быть чрезмерно внимательным “make nice” – быть хорошим, быть паинькой subservient – раболепный loosen – зд. исправить behind closed doors – наедине be overbearing – быть невыносимым, зд. злоупотреблять властью keep one's composure – не терять самообладание intimidating – устрашающий vulnerable – уязвимый, ранимый comeback line – ответная реплика abusive – зд. злоупотребляющий своим положением / властью worm one's way into one's heart – проберется в душу, зд. усыпит вашу бдительность position one's face under one's foot – подминать под себя

make it all but impossible – сделать просто невозможным make / be sure smb knows – непременно, обязательно поставьте кого-либо в известность do smth as a matter of practice – ввести что-либо в практику tackle smth first thing – сразу же / в первую очередь заняться чем-то have good rapport = have good understanding meet deadlines – уложиться в сроки jellyfish – зд. бесхарактерный tiptoe around – ходить на цыпочках вокруг да около establish ... pecking order – установить ... порядок подчинения risk a client's write-offs – подвергать риску аннулирование налогов клиента the firm's support staff – вспомогательный персонал фирмы step on smb's toes – задевать чьи-то чувства build smb's confidence – укреплять чью-то уверенность supply hard facts – предоставлять неоспоримые факты ease smb into taking a firmer position – подтолкнуть кого-либо к принятию более жесткой позиции be fresh out of college – сразу же после окончания колледжа she landed her ... job – она получила ... работу advertising design and layout – оформление и размещение рекламы feel belittled – чувствовать (себя) униженным loom larger – принимать угрожающие размеры nit-picking – скрупулезный до мелочей improve one's lot – облегчать свою участь a boss will let the work ... stand – зд. начальник согласится принять ... работу put smth on hold – задерживать, приостанавливать что-либо keep smb posted – держать кого-либо в курсе get a second opinion of smth – заручиться еще одним мнением о чем-либо brusque – грубый many workers feel frozen out – зд. инициатива многих сводится к нулю unless I hear otherwise – если не будет других указаний

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what makes smb tick – чем кто-либо “дышит” / живет embark on smth – предпринимать что-либо fix the ways in which you're contributing to the problem – разберитесь в том, не усугубляете ли вы проблему сами a silver lining (compare 'Every cloud has a silver lining') – нет худа без добра prod smb into smth – побуждать кого-либо к чему-либо rise to challenge – одолеть трудности, оказаться на высоте set priorities – устанавливать приоритеты stand smb in good stead – оказаться полезными кому-либо, сослужить службу higher-ups – те, кто стоит выше по служебной лестнице who stick it out – стоять до конца

1. The words “compensate for” in “If the boss attempts to compensate for his outburst by overreacting and trying to 'make nice' the next day, says Grothe, he or she feels guilty about yesterday's bad behavior” (paragraph 10) mean: a) make up for, b) deny, c) point to, d) emphasize. 2. The word “circumvent” in “If your boss is nervous about a particular project, offer regular reports. By keeping the perfectionist posted, you might circumvent constant supervision” (paragraph 27) means a) cause, b) avoid, c) welcome, d) sell. 3. Which sentence best expresses the central idea of the selection? a. Human interaction is extremely complicated. b. Bosses are often poor at their jobs because they don't know how to motivate people.

c. Methods are available to deal with different kinds of difficult bosses. d. Most bullies will back down when they meet someone who stands up to them. 4. Which sentence best expresses the main idea of paragraph 21? a. A secretary endangered a client's tax write-offs. b. No one supervised the company's support staff. c. The jellyfish boss created problems by refusing to take charge. d. A secretary who ignores assignments should be scolded. 5. Which sentence best expresses the main idea of paragraph 38? a. Dealing with a boss with high standards made Harry Levinson a better psychologist. b. Harry Levinson was nearly overwhelmed by his boss's high standards. c. When he was a young psychologist, Harry Levinson almost quit. d. Karl Menninger diagnosed patients very well and set high standards for his staff. 6. According to the article, most bosses have been promoted to management because: a) they are better educated than their co-workers; b) they have close personal relationships with their supervisors; c) they are good at motivating other workers; d) they excelled at jobs they held earlier. 7. The new account manager at an advertising firm dealt with his bullying boss by: a) making the boss see he was really trying to do a good job; b) taking the boss to lunch and talking honestly about the situation; c) shouting back at the boss when the boss raised his voice; d) going over the boss's head and complaining to the company president. 8. We can infer that workaholic bosses: a) want their employees to be workaholics too; b) are the worst of all the categories described in the essay; c) are quite rare; d) always become angry when asked to discuss their problem openly.

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READING COMPREHENSION QUESTIONS

9. We can infer that Nancy Ahlrichs's perfectionist manager at the newspaper: a) thought that Nancy was trying to steal his job; b) was only teasing Nancy with his questions; c) was not able to relax and trust employees who had proven themselves; d) wanted Nancy to quit her job. 10. The author suggests that most employees with bad bosses: a) should quit their jobs; b) are better off learning to cope with the bad boss than quitting; c) deserve the bad treatment they receive; d) would prefer to work for a perfectionist boss than a jellyfish boss. TEXT 6 John Condon A New York bookdealer said he had never seen anything like the surge of interest American readers have recently shown for books on Japanese management… Many have argued that Americans have much to learn form the Japanese, while others have raised acubts about transferring methods from one culture to another. In this writer’s opinion, the most remarkable fact about the Japan boom in the U.S. is that for the first time Americans have considered the possibility of learning from another culture in areas where Americans had thought they excelled. In that regard Japan deserves special credit, for this might lead to a greater openness and curiosity and learning across other cultural boundaries that rarely occur in the U.S. 1. Why do you think Americans have recently become fascinated by Japan? 2. Why does the author feel that this interest is positive? Do you agree? A. Japanese Style in Decision-Making 1. To talk about problem-solving or decision-making within a national environment means examining many complex cultural forces. It means trying to measure the impact of these forces on contemporary life, and also coming to grips with changes now taking place. 63

2. It also means using dangerous comparisons – and the need to translate certain fundamental concepts which resist translation and comparisons. 3. For example, the concept of vocational or professional identity differs markedly between the United States and Japan. 4. In the West, the emphasis is on what a man, or woman does for a living. Here in the U.S., if you ask children what their fathers do, they will say “My daddy drives a truck” or “My daddy is a stock broker” or “My daddy is an engineer”. 5. But in Japan, the child will tell you “My daddy works for Mitsubishi” or “My daddy works for Nomura Securities” or for “Hitachi”. But you will have no idea whether the father is president of Hitachi or a chauffeur at Hitachi. 6. In Japan, the most important thing is what organization you work for. This becomes very significant when you try to analyze the direction-taking or decision- making process. At the least, it explains the greater job stability in Japan, in contrast to the great job mobility in America. 7. While we differ in many ways, such differences are neither superior nor inferior to each other. A particular pattern of management behavior develops from a complexity of unique cultural factors – and will only work within a given culture. 8. Let me try to describe three or four characteristics of the Japanese environment that in some way affect decision-making or directiontaking and problem-solving. These characteristics are interrelated. 9. First, in any approach to a problem and in any negotiations in Japan, there is the “you to you” approach, as distinguished from the Western “I to you” approach. 10. The difference is this: in “I to you”, both sides present their arguments forthrightly from their own point of view – they state what they want and what they expect to get. Thus, a confrontation situation is set up, and Westerners are very adroit in dealing with this. 11. The “you to you” approach practiced in Japan is based on each side – automatically and often unconsciously – trying to understand the other person’s point of view, and for the purpose of the discussion actually declaring this understanding. Thus, the direction of the meeting is a mutual attempt at minimizing confrontation and achieving harmony. 64

12. A second characteristics is based on “consensus opinion” and “bottom-up direction”. In Japan great consideration is given to and reliance placed on the thoughts and opinions of everyone at all levels. This is true of corporate enterprises and Government agencies. 13. To understand this, it is important to realize that Japan is a very densely populated homogeneous country. Moreover, the people are aware and are articulate. Literacy is almost 100 percent. Problems are shared. In Japan there is a drive for the group – whether it is family, company, or Government – to act as a unit. 14. Tremendous weight is given to the achievement of solidarity and unanimity. Unilateral decision-making or direction-taking is generally avoided, or where it does occur for very practical urgent reasons, it usually happens along with a sounding out of all concerned. 15. This brings us to the second part of this characteristic. When I use the term “bottom-up”, I am referring to a style of management – perhaps what you would call keeping your finger on the pulse of the public, or the labor force, or other audiences. 16. The difference is that in Japan we record the pulse and it has real meaning, and it influences the direction finally taken at the top regarding a specific important issue. In other words, Western style decision-making proceeds predominantly from top management and often does not consult middle management or the worker while in Japan, direction can be formulated at the lowest levels, travel upward through an organization and have an impact on the eventual decision. This is “bottom-up.” 17. There is also a characteristics style of communications in Japan that is different from the Western way. 18. The Japanese business person works to achieve harmony, even if the deal falls through, and will spend whatever time is necessary to determine a “you to you” approach, communicating personal views only indirectly and with great sensitivity. 19. This places time in a different perspective. In Japan the Western deadline approach is secondary to a thorough job. Japanese are thorough in their meetings as well as their production. Thus Americans are often exasperated by the seemingly endless sequences of meetings in many Japanese businesses. 20. But where the American is pressing for a specific decision, the Japanese is trying to formulate a rather broad direction.

21. On the other hand, once agreement is established, it is the Japanese who sometimes wonder at the leisurely pace of execution of Westerners. The Japanese are eager for execution and Westerners, perhaps, like to take the time for in-depth planning. 22. Now, while Japan’s industry and technology are highly developed, they have not replaced the fundamental force of human energy and motivation. By that I mean that the Japanese take great pride in doing a job well and getting it done no matter how much time is required. 23. There is dedication and sense of responsibility which have not been replaced by the machine age. Perhaps we are not so sophisticated yet. 24. In my field – finance and securities – I am often asked by Westerners how Nomura Securities has managed to escape the paper logjam that American brokerage firms have faced. We, too have had that problem. 25. The Tokyo Stock Exchange often has a turnover of between 200 or 300 million shares a day. This volume is many times more than that of the New York Stock Exchange. How can we possibly handle this load? 26. First, we have very advanced computerization. Second, and most important, the personnel responsible for processing all these transactions stay and stay till all hours until the job is done. And their families understand that this is something that they must do, for the survival and progress of the company and for their own mutual security as well. 27. Perhaps in 20 years – or sooner – they will be more Westernized and insist on going home at five o’clock. But today, still, most insist on staying untill the job is done. There is concern for quality. 28. This willingness to pitch in is an important aspect of Japanese problem-solving, and you find it at every leval. 29. Some years ago, the Matsushita company was having a very bad time. Among the many measures taken, Mr. Matsushita, the founder and then chairman, became the manager of the sales department. 30. Also, when we at Nomura converted to computers about five years ago, the new system eliminated the jobs of 700 bookkeepers and accountants who were using abacuses. We got rid of the abacuses but we did not get rid of the people. We converted our bookkeepers and accountants to securities sales people and some of these today are our leading sales people.

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31. Where there is willingness and intelligence, there is a place within the company to try and to succeed. In Japan, a person’s capabilities are not forced into an inflexible specialty. And we feel the company owes a worker something for loyalty and commitment. This article is adapted from a speech by Mr. Terasawa, president of Nomura Securities International, Inc., before the Commonwealth Club of San Francisco. B. Happy Customers Matter of Honor among Japanese 1. In an age when personal service as a significant aspect of merchandising is dying out in the United States, Japan clings tenaciously to it. 2. Service is viewed by people in Japan not as a luxury, but as an essential ingredient for the success of individual companies and the Japanese economy as a whole. 3. Americans who move to Japan never get used to the range of services and courtesies taken for granted here. To those old enough to remember how things – used to be at home, life can bring on twinges of nostalgia. 4. Supermarket check-out counters have two or three people ringing up and bagging groceries. Some stores deliver, with each bag arriving neatly stapled closed. Dry ice is incerted alongside the frozen foods to ensure that they don’t spoil on the way. 5. Television shops normally send a technician to install and finetune a newly purchased set. The technical will rush back if anything goes wrong. Car salespeople are known to bring new models around to customers’ homes for test drives and loaners are available for people whose cars are in fir repairs. 6. There are no limits to what is home-delivered-video movies, dry cleaning, health foods, rented tailcoats (this last one requires two visits from the sales staff first for a fitting, second for delivery of the altered and freshly pressed garment). Office deliveries are common too, especially of lunch. 7. Japanese barbers often give back messages as part of an ordinary haircut. If they remove a customer’s eyeglasses, they may polish the lenses before returning them. Self-service gasoline has yet to make its appearance here in any significant way. At the minimum, attendants 67

fill the tank and wipe the windshield. They often empty ashtrays and stop traffic to let the motorist back on the road. 8. Department stores seem to have twice, it not three times the floor staff of American ones. Many stores wrap everything they sell. Upscale customers don’t have to come in at all – the goods are taken to their homes for display and selection. 9. Feudal Japan evolved tight rituals of personal service. Many survive in the traditional inus called ryokan. Proprietors now when guests arrive and straighten the shoes they step out of. Welcoming tea and elaborate meals are brought to the rooms. Bedding is laid out and cleared away in the morning. On departure, the bows may be held until a guest’s car is out of sight. 10. But even in modern business, the culture’s attention to detail and doing things the “correct” way fit well into the service mentality. While Americans may find it demeaning to fuss over a customer, Japanese worry – with reason – that their shop will be laughed at if they don’t. 11. Perhaps the darkest spot on personal service in Japan is how remarkably impersonal it can be. Everyone is treated exactly alike. Employee’s greetings and directions, in fact, are often memorized from a company manual. After a month’s stay in a hotel, guests may find the staff still has no idea who they are. 12. Still, the Japanese view service as the glue that holds commercial relationships together if the correct personal contact and followup come with the first sale, a second is sure to come. Market share and loyal customers are the first goal, not short-term profit. Service may cost but it helps ensure these more important objectives. 13. While Americans in need of something think of stores, Japanese often think of dealers, individuals who supply and advise over the years on product lines like sake, clothing and electronic equipment. 14. Memories of service may help a company weather hard times. If a computer firm drops behind in product quality or price, its customers will not abandon it en masse. They would feel treacherous doing so. After all, didn’t the company send a dozen times to answer questions on that little desk-top model? Expand that to national scale and you have a more stable, predictable economy and job market in the Japanese view.

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15. Japanese officials often say one reason why many American companies do poorly in Japan is because people can’t believe they will give good service. Even if an American machine tope a Japanese one in price and quality, the buyer will be suspicious. Will I have to phone Houston every time something goes wrong? He may wonder. 16. Service is plugged as being “free”, but of course, is not. Each woman who wraps and each man who lugs groceries is part of why prices are so high in Japan. They are also part of why unemployment is so law. Some economists, in fact view some of these jobs as disguised welfare programs, financed through high prices rather than taxes. 17. Invariably, as Japan internationalizes, some firms are opting to follow the foreign pattern and cut service to lower prices. Supermarkets and chain stores have gained ground. Department stores have done away with the woman who once bowed to every customer who stepped onto an escalator. Some shops now have a tape machine, not a person, saying “irashaimase” or welcome, at the door. 18. Proliferation of American fast-food is another sign of these times. mcDonald’s now has 173 outlets in Japan. But characteristically, cleanliness and employee courtesy seem to be generally higher than in the United States. 19. The Japanese over the years have borrowed heavily in commercial ideas from the United States but generally look elsewhere concerning service. There are exceptions, however, such as American-style home-delivery pizza. In the last two years, motorbikes darting around with pizza have been growing in numbers on Tokyo streets. Delivery in 30 minutes is guaranteed. Or the customer gets about $5 back. TEXT 7 Should You Be in Business for Yourself? If you keep asking that question then try this quiz feature – to help you arrive at the answer. By Peter Lohr When financial problems plagued the family farm in Loomis, Neb., Betty Isaacson faced two options: either augment the family’s income with an outside job or try to sell the wood-and-fabric decorations she often made at home for friends. Without hesitating, she chose the 69

latter. In four years, her one-women operation has grown into a booming business called Betsy’s Bobbins Inc., which employs 25 people. Although it meant giving up a weekly paycheck and regular hours, Bob Satter quit as manager of a Connecticut retail store to turn his photography hobby into a business. “Because I had a wife and two young children to support,” he says, “most people thought I was crazy.” But 12-hour days and seven-day weeks paid off. Twenty years later, he’s far ahead of where he would have been as a hired hand: he shares a large, modern studio with another photographer; he’s put both sons through first-rate colleges; he owns a 30-foot sailboat; he’s saved enough for a comfortable future – and he enjoys his work. What ties these two examples together is more than luck, persistence and staggeringly hard work. Both Satter and Isaacson share qualities and backgrounds that, experts tell us, characterize most successful entrepreneurs. “While you can learn entrepreneurial skills,” says John R. Braun, psychology professor and testing expert at the University of Bridgeport in Connecticut, “people who start out with special attributes have an advantage.” Today, increasing numbers of Americans are opening their own businesses. Last year more than 230,000 new companies were launched. But the risks are great. In 1988 half of all the companies that failed in the United States were five years old or less. Could you make it as an entrepreneur? There is no sure way of predicting – no matter what traits you possess. Nevertheless, a test designed by the Milwaukee-based Northwestern Mutual Life Insurance Co., working with Braun, can provide important indicators. “We’re interested in identifying potential entrepreneurs because all the agents who sell our insurance are self-employed,” explains Donald J. Schuenke, the company’s chief executive officer. The Northwestern Mutual test is based on 60 questions that were asked of 30 successful entrepreneurs and an equal number of successful executives who work as employees. The entrepreneurs included men and women who’d started unique franchising operations, retail chains and manufacturing companies. The employees ranged from bankbranch managers to chief officers of multinational corporations. “What we were looking for,” says Braun, “were significant differences between the two groups.” And while the answers to many 70

questions showed little disparity – both groups almost unanimously said they were “persistent”, “competitive” and “willing to work eight hours a day” – in at least 22 questions the responses differed dramatically. To get a rough idea of your Entrepreneurial Quotient (E.Q.), simply answer yes or no to the following questions, tallying your score as you go. While this is not the complete test, it will at least provide some critical signposts on the road toward a decision. 1. Are you a first-generation American? In the Northwestern Mutual survey, 50 percent of the entrepreneurs listed themselves as first-generation Americans, while only 23 percent of the employees had a similar background. Score plus 1 if your answer was yes and minus 1 for no. 2. Were you an honors student? Surprisingly, few entrepreneurs rated themselves as “top achieves” in school, whereas almost two-thirds of the corporate executives did. Other studies reveal the same pattern. Score minus 4 for yes, plus 4 for no. 3. Did you enjoy group functions in school – clubs, team sports, even double dates? If you did not relish group activities, don’t worry. As students, 67 percent of the entrepreneurs said they were enthusiastic group participants, compared with 92 percent of the nonentrepreneurs. Score minus 1 for yes, plus 1 for no. 4. As a youngster, did you prefer to be alone frequently? If you answered yes, you’re in good company. In their earlier years, 39 percent of the entrepreneurs often preferred to be alone; about 85 percent of the nonentrepreneurs, however, frequently sought company. Score plus 1 for yes, minus 1 for no. 5. As a child, did you have a paper route, a lemonade stand or some other small enterprise? Running a business as a child is a strong prediction of success. Nearly 80 percent of the entrepreneurs had some sort of business as a youngster. That compares with 31 percent for the nonentrepreneurs. Add 2 for yes; subtract 2 for no. 6. Were you a stubborn child? Tenacity and perseverance are hallmarks of most successful entrepreneurs. “These qualities translate into a determination to do things

one’s own way,” explains Braun. In the survey, almost three times as many entrepreneurs admitted to childhood stubbornness as did nonentrepreneurs. Add 1 if you were a stubborn child; if not, subtract 1. 7. Were you a cautious youngster, the last in the neighborhood to try diving off the high board? If, as a child, you were reluctant to take risks, this may be a serious handicap when embarking on a new business. Nine of ten entrepreneurs regarded themselves as “daring” youngsters, while only 15 percent of the employees did. Score minus 4 for yes, plus 4 for no. If you were a particularly daring child, add another 4 points. 8. Do you worry about what others think of you? “Entrepreneurs often speak of having the faith to pursue different paths despite the opinions of others,” says Northwestern Mutual’s Schuenke. Fifty percent of the entrepreneurs did not worry about what others think of them, but only eight percent of nonentrepreneurs felt that way. In an earlier study at Babson College, 90 percent of 56 entrepreneurs expressed a far greater need for independence than did nonentrepreneurs. Subtract 1, if opinions of others matter a lot of you; if not, add 1. 9. Are you in a rut, tired of the same routine day in and day out? Boredom often helps to spark an enterprise. Sixty-one percent of the entrepreneurs who responded to Northwestern Mutual’s questionnaire cited a “desire for change” as a factor in starting their own business. A study of 21 successful entrepreneurs at Babson found that in many cases “frustration is a prime motivation for an entrepreneurial career.” If altering your routine is an important motivator for you, add 2; if not, subtract 2. 10. Would you be willing to dip deeply into your “nest egg” – and possibly lose all you invested – to go it alone? Most successful entrepreneurs – 94 percent in the survey – will tell you they would use a big chunk of their savings to start a business. Only about half of the nonentrepreneurs said they would take the same risk. If yes, add 2; if not, subtract 2. 11. If your new business should fail, would you get to work immediately on another? Ninety-four percent of successful entrepreneurs replied yes. Only eight percent of the employees did. “The most effective entrepreneurs

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do not become discouraged by a setback,” Jeffry A. Timmons writes in The Entrepreneurial Mind. “They see opportunity where others mostly see obstacles.” If you fit that description, add 4; if not, subtract 4. 12. Are you an optimist? A positive attitude is important for the entrepreneur. “At least a half-dozen people warned me that the economy was bad and the competition too tough for starting my photography business,” recalls Bob Satter. “But I was convinced I could make a go of it – and did.” If you consider yourself an optimist, add 2; if not, subtract 2. Now look at your final score. If you tallied roughly plus 20 or more, that suggests you have everything going for you. A score of zero to plus 19 isn’t as promising, but still points toward a strong head start. If you scored between zero and minus 10, your chance of making it in your own business is probably marginal. Finally, an E.Q. below minus 11 is a clear signal that your talents may lie elsewhere. So, if you aren’t in business for yourself rejoice! If you are , and have made it a rousing success in spite of your score, remember: entrepreneurs don’t always do well on tests!

Here's how to tell if you've got what it takes. Victor Kiam Condensedfrom “Going For It! How To Succeed As An Entrepreneur”. When I was eight, the streetcar named Desire ran only four blocks from my home in New Orleans. But the Sound of eager Desire racing through the night did not inspire me – as it did Tennessee Williams – to spin a passionate taie. Instead, it invited the entrepreneurial muse to whisper the suggestions that guided me to the path l'm still traveling. That summer I noticed that people getting off the streetcar at the end of the day looked as if they would pass out if they had to go another

step without a cool drink. I didn't realize it then, but I had responded to the first precept of an entrepreneur: I had recognized a need. My grandfather staked me to five dollars to buy 100 bottles of Coke. But before I could take my first step into the world of high finance, I had to set a priée for my goods. With naive boldness, I settled on a markup of 100 percent! Business was brisk the first day and got better as thé week progressed. You would have thought I was a pint-size John D. Rockefeller. My grandfather was of that opinion. So you can imagine his shock when, having sold my entire stock, I had only four dollars to show for my efforts. Few of my customers could afford to pay ten cents for a bottle of soda. Many couldn't even afford the nickel I needed to break even. It was so hot that I couldn't bear to let anyone go away empty-handed, so I trampled my bottom line by giving away my merchandise. My first business was.a financial failure, but it sure built up a lot of good will. Entrepreneurs can be found everywhere – from fellows with outdoor lunch wagons to people within the corporate mainstream. Their common bond is that they are risk takers, willing to roll thé dice with their money or put their reputations on the line in support of an idea or a project. They're following their own visions, and hâve decided to make the sacrifices necessary to achieve success. In 1968, after 18 years at Lever Brothers and Playtex, I left my job. I had long thought of doing something on my own, but it was talking with friends and attending a seminar on entrepreneurship that gave me the push I needed. I bought into the Benrus Corporation. Then in 1979 I acquired the Remington Company. Thirty-five years of experience has given me a good idea of the entrepreneur's profile. To find out if you have the right stuff, ask yourself: 1. Do I have enough self-confidence? Before the startof the 1985 baseball season, Pete Rose was asked how many times at bat it would take to get thé 95 hits lie needed to break Ту Cobb's record. Rose responded, “Ninety-five. I expect to get a hit every time up.” You must believe in yourself. In a corporation, you want thé people working under you to follow your lead; you want your superiors to respect your judgment. If you're running yotir own business, you want

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SOME QUESTIONS FOR DISCUSSION 1. Do you agree with your results? Do you think you can work for yourselves? Can you give your reasons for or against it 2. Do you agree with the very idea of such kind of test? or maybe it’s useless? TEXT 8 Are you an Entrepreneur?

investors to place their money and trust behind you. You want your clients to catch your enthusiasm and to believe in your product or service. How can you inspire them if you don't believe in yourself? If you lack self-confidence, find some. Lack of confidence isn't a disease, it's a symptom. Self-perceived negatives can rob you of a healthy ego. Every six months, to deal with mine, I do a personal balance sheet. I make a list of my pluses and my minuses. For example, I was once a procrastinator. Confronting tins in black and white helped me to overcome it. I started making it a point to tackle distasteful jobs first. In a short time, procrastination disappeared from my list of minuses. Facing my negatives, I developed a more positive sense of myself. There is nothing on ту list I can't overcome if I make the effort. Try a balance sheet of your own. 2. Do I have confidence in ту venture? l've been asked, “When you make an investment, are you backing the idea or the people behind it?” Both. No entrepreneur is a miracle worker. You can labor 16 hours a day, seven days a week, but if your product is lousy, you've wasted your time. A friend of mine is a terrifie shoe salesman. When management of the business changed, the quality of the stock dropped-off. A customer complained that the expensive shoe she was about to buy was too snug. Не offered to stretch it. “I gripped the shoe and pulled,” he told me. “It tore in half. What had been a finely crafted shoe was now a piece of junk. I told the customer the truth, then I resigned.” The lesson is simple: You can't sell anything you wouldn't buy. 3. Am I willing to make sacrifices? Body builders hâve a saying, “No pain, no gain.” It should be the credo of every entrepreneur. Forget the clock. Nine-to-five doesn't exist. Saturday became part of mу regular work schedule as a young salesman. And when a snowstorm hit mу region, it was an opportunity, not an obstacle. The idea that mу rivals would be hiding from the elements gave me the impetus to push mу product. Its amazing how receptive a buyer could be when the snow was waist-deep and I was the only friendly face he'd seen all day. If you're opening your own business, you'll lose the security of paycheck and the company benefits you take for granted. And there will be other changes in your life-style. You might not get home for dinner;

relaxing weekends may be few and far between. I've even seen entrepreneurs whose marriages fell apart because they forgot about their spouses. That's one sacrifice I don't recommend! 4. Do I recognize opportunity? This is a key. Get used to examining all angles of a proposition. Ask, “How can this work for me?” I learned this the hard way. When I was with Playtex I met an inventer who showed me two pieces of nylon fabric and demostrated how they adhered without hooks, zippers or snaps. All I could think about was the lack of applicability for our brassiere business. That product was Velcro. And not a day goes by when I don't see it used somewhere. 5. Am I decisive? You'd better be. As an entrepreneur, you're on your own. And you're going to encounter situations where time isn't on your side. At Lever Brothers we were launching a new product, an improved wrinkle cream. We planned a major promotion in Ohio stores, with a famous makeup man flying in from New York to apply thé gook. But he suddenly became ill and couldn't come. What do I do now? I thought. So I spent thé next 24 hours in a crash course in makeup, using a secretary as a guinea pig. Poor woman. I practiced until her face was raw. My moment of truth came with ту first customer, the wife of a store president. 1 applied the product and she left without comment. Two days later she came back. lier husband had liked the results so much that she wanted more. Developing a quick, positive response to adversity had saved an important promotion campaign. 6. Am I willing to lead by example? You can't ask your troops to give their ail if your idea of a rough day is two hours in the office and six on the golf course. I never ask an employee to do something l'm not willing to do, and I work even harder than they do. By now you should have some idea if you have what it takes to, be an entrepreneur. So I’11 mention some of the rewards for your sacrifices. You'll find satisfaction in creating something out of nothing. You'll gain a positive sense of self. And of course, there are financial rewards. But it's not easy. Are You An Entrepreneur? QU. Do you have what it takes to be an Entrepreneur? to start your own business?

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In the corporate world of the 80's it was all pin-striped suits, buttoned-down collars and shiny mahogany desks. But all too many businesses discovered all too quickly that the shine was just a thin patina. All the polish in the world did nothing to save bottom lines that just got duller and dingier all the time. Fast forward to today. “When you look at the 80s, you see that there was all this economic excess. People were driven by monetary gain. Then, when we went into the slump, people began to look at priorities, at what really drives success. And do you know what? It's really personal satisfaction. People who have happy and supportive lives – both at home and at work are more productive. In the 80s everyone expected you to sacrifice your personal life, your family for your work. Now it's frowned upon if you do sacrifice a personal and family life,” comments Carol Vallone, president and CEO of Universal Learning Technology (ULT) in Peabody. The company, which builds Web-based and interactive training and learning applications, is one of many in the area and industry working to build a culture that is fun, flexible and people-centered. For example. That ability to work as a team can be critical, she notes, when the crunch is on~a nearly permanent condition in fast-growingtechnology companies like ULT. Founded in 1996, the private, venture-backed company counted five employees last fall. It now has 30 and Vallone expects to hit the 100 mark in a few months. But rather than inducing her to pull in the corporate reins, the growth-related pressure has prompted her to insist that employees take time out every day to recharge. Of course, there is one hard and fast company rule.

“I always say, don't ever miss one of your kids' important events. That's something you might really regret and that's sure to impact on your work life. I'm verybigon parents being present for their children,” she says. And it is not just employees' children that fall under Vallone's protective gaze. It's vital, she says, that spouses “understand and tolerate” the oft enormous demands of the super-charged marketplace. Toward that end, the company produces and distributes a family newsletter to inform the folks at home about corporate goings-on. “We ask a lot of our people and of their families. If we're asking someone to get on a plane on a Sunday night, it really helps if a spouse understands why,” she says. In keeping with Vallone's casual management style, every day is casual dress day and the ULT space is designed to allow room for individual expression. “People in high tech often make use of their offices as inventive environments, sometimes working 12 or 15 hours a day. At the height of a project, they may be virtually living at work. So they need the freedom to set up their own environments. That can be hard for a designer when you're sliooting for a clean, crisp look, but you have to build in the room for that individuality,” comments Ed Halsted of the Halsted Design Group in Manchester. Halsted created the design for the ULT space. Vallone says she likes to show her appreciation to employees who are putting in these kinds of mind-numbing hours. Sometimes she does that with traditional means; restaurant gift certificates, for example. But then there's the non-traditional approach. “We were at a conference and my sales manager had been going non-stop. So I sent a massage therapist up to his room to help him relax,” Vallone recalls. At the Cambridge-based Web design firm TVisions, relaxation is serious business; a component of corporate identity, really. Like ULT the five-year-old firm – which started with two employees and now houses 115-is growing exponentially. “As engineers, we wanted to face the challenges of new technologies and to solve problems that might help a lot of people. As we've grown, that attitude has remained part of us. We want to give people the opportunity to work on interesting projects. And the extracurricular

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SUPPLEMENTARY ACTIVITY (If you have any practice of working for any firm or company – this task is for you.) A New Era in Corporate Culture For some companies, taking very good care of their employees is good for the bottom line. By Sue Mellen

stuff is the same; we want to give people opportunities that are fun and exciting,” says Tom Little, company co-founder and executive vice president. So, on any given lunch hour, you may find ballroom dancers twirling about, musicians tuning up their instruments or cardplayers in an ongoing Hearts tournament poring over their hands. Little says that the card tournament-currently in its eighth week-shows the important role a fun group activity can play in the larger scheme of things. “People get a chance to know one another outside of their usual work situations. So when they're working together, they feel more connected, more like a team,” he adds. Outside the workplace, TVisions employees get together for softball and soccer games and rock-climbing expeditions. And once a year, the company foots the bill for an employee/family getaway. “It is money well-spent,” says Little. “Thanks to a highly selective recruiting process, we have very talented people with whom we want to build long-term relationships. Our goal is to provide a rich environment and try to nurture our employees' skills all along the way,” he says. And if you're talking growth, Lycos – the Waltham-based Web chieftain-stands near the top of the heap. The company now employs 430 with another 780 comprising acquired companies. But a “start-up mentality” still pervades the workplace, says Gretchen McAuliffe, director of human resources. "In the beginning, it was almost familial. We've always had an extremely casual atmosphere. That helps when you're working really hard,” she says. But, when the workday is over, Lycos folks don't have to drive to their local health clubs to work off all that stress. There's a gym on-site. Or, if group activities are more their thing, they can sign up for lunchhour Tae Kwon Do or kick-boxing lessons. “Of course we've always had Ping-Pong and foosball tables in the cafeteria. They get a lot of use,” McAuliffe says. “And for the ultimate, tangible expression of the/non-traditional Lycos culture, employees can have their cars “Lycos-ized” to sport the Lycos logo. That might mean either a complete paint job or simply a few strategically-placed magnets”, McAuliffe explains.

The road signs are clear: corporate culture is driving clear out of uptight, traditional territory. The road ahead is designed to give hardworking employees a smooth, satisfying and – above all – balanced ride. “Think about it. Have you ever heard an older person say, 'I wish I'd spent more time at work? I haven't,” concludes ULT's Vallone.

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COMPREHENSION OUESTIONS 1. According to the article, what really drives success? 2. What were employees expected to sacrifice in the 80s? 3. What is the one hard and fast company rule at Universal Learning Technology (ULT)? 4. At ULT, which days of the week are casual dress days? 5. What does the co-founder and executive vice-president of the Web design firm TVisions want to give his employees? 6. What kind of mentality still pervades Lyс. DISCUSSION OUESTIONS 1. Describe the corporate world in Russia in the early 1990s. How is it different now? Why? 2. Was there a lot of economic excess in Russia in the mid1990s? Were people just driven by monetary gain then? Why? After the economic crisis, did people begin to look more at what really drives success? Why or why not? 3. What is the prevailing attitude at your company? Why? Are people expected to sacrifice their personal lives for work? 4. Is your company working to build a corporate culture that is fun, flexible and people-centered (like at ULT)? How? If it is not, should it? How? What kind of corporate culture is your company currently trying to build? 5. Does your company encourage you to never miss one of your kids' important events? Is your company big on parents being present for their children? How? 6. Does your company give you and your colleagues a lot of freedom to set up your own environment? Why and how?

7. Does your company give people a chance to get to know one another outside of their usual work situations? Provide specific examples. What are the benefits -does it make them feel more connected and result in stronger teams? 8. Does your company have a highly selective recruiting process? Does it attract verytalented people with whom it wants to build long-term relationships? Describe therecruiting process and how you were recruited. How could you improve the process? 9. Where is your corporate culture headed? Why? What are you doing to help determine the direction? 10. Have you ever heard one of your colleagues say, “I wish I'd spent more time at work”? Have you ever felt this way? Why or why not? SOME SPECIAL WORDS TO HELP YOU UNDERSTAND THE TEXT patina – налет duller and dingier – тусклее и сомнительнее monetary garn – нажива applications – зд. курсы slump – экономический спад venture-backed company – поддерживаемый коммерческой деятельностью induce – склонять hard and fast rule – твердое правило i’m very big on – я всегда за то, чтобы super-charged – наэлектризованный casual management – неформальное mind-numbering – ошеломляющие face the challenges – испытать getaway – вылазка to nurture – взращивать, вскармливать comprising – в составе pervade – пропитывает mentality – дух to sport – щеголять shoot for – охотиться за foot the bill – оплачивать счет 81

VOCABULARY EXTENSION (19) 1. During the economic crisis of 1998, which tactics did your company use to save the bottom line? 2. What strategies does your company have for dealing with the next economic slump? 3. Which employee practices are frowned upon at your company? Why? 4. How do you react when the crunch is on at work? What are your coping mechanisms? Give a specific example. 5. Do you work for a venture-backed company? Who are the principal investors? If you had venture capital, what kinds of new businesses (locally) might you invest in? Why? 6. What is the most effective way of inducing consumers to buy your product / service? Why? 7. What changes in your company's reward system would recharge your staffs batteries? Why? 8. What are the hard and fast rules of getting promoted within your company? 9. What is vital to the long-term success of your career? Why? 10. Does your boss keep you under his / her protective gaze? Do you keep your subordinates under your protective gaze? Why or why not? 11. In your opinion, which management function is the most mind-numbing? Why? 12. Are any of the following figures growing exponentially: the number of your customers? Number of your suppliers? Number of your competitors? Number of your foreign partners? Number of new government regulations? Level of economic uncertainty / certainty? Why? 13. Which extracurricular activities/events does your company sponsor or organize for its employees? 14. How much time do you spend poring over management journals / magazines in search of new ideas? Why? 15. How does your company nurture its employees' skills over the long-term?

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16. What mentality pervades your company? Why? Is this mentality the same as yours? What have you done to try to change either your company's mentality, your own mentality or both? 17. What are tangible expressions of your company's attitude toward its employees? 18. Would you describe the atmosphere at your company as laidback or uptight? Why? 19. How would you conclude a speech about the future of the Russian economy? (Your conclusion should summarize your main points.) Recognizing a Bad Corporate Culture By Laura Boswell A company's corporate culture can be just as important as your paycheck when it comes to your career satisfaction. No matter how detailed a job description or want ad is, you can't fully know what it will be like to work at a particular company without getting an understanding of its corporate culture. And no matter how great a job is, the culture (a company's day-to-day way of doing business and expectations of its employees) can make or break your performance-and your sanity. A recent U.S. News and World Report article (“Why It Pays to Quit,” November 1, 1999) reported that this year, approximately 17 million workers will quit their jobs, up 6 million from five years ago. In today's strong economy, better money is certainly a driving force here. But many experts argue that “better money” is a scapegoat used by departing employees and exasperated managers to mask deeper issues in a company's culture. Rather than “money,” it may be the things that are difficult for a company to admit-high profits that are not shared, low ethics, distrust and intolerance-that send an employee searching for greener pastures. It is difficult to gauge a company's culture in a one or two-hour interview. At best, you might have a chance to sit privately with a current employee and ask questions. If you do, don't limit your questions to “What are the hours like?” and “How big is your cubicle?” You should be digging a little deeper. 83

“There are some key questions a job candidate should ask before accepting a position,” says San Diego-based Perim Consulting's Brian Lange. “If the candidate can ask interviewers – and ideally other company employees – the following questions, he or she may get some valuable insights: • How would you describe the nature of the work environment? • How do you think the managers within the company would describe their management philosophies or roles? • Do you feel you know what is expected of you? • Do you receive feedback on your performance? • Are there opportunities for development / training? Also, be certain to get an idea of how teams communicate and work together at your future job. Much of bad corporate culture can be traced to lack of communication. One company's survey of exiting employees found that 65 % noted that a lack of coaching or feedback was key in their decision to leave” (“Why Employees Leave,” Employment Management Today, Winter 2000). “Usually, when a management team doesn't receive strong messages from senior management about the company's direction or values, they tend to implement multiple operating plans that are disconnected from each other,” says Lange. “If companies don't know what they don't stand for (and what they won't stand for!), where they're going and what makes them unique in the marketplace, they will never reach the level of corporate self-actualization.” Perhaps you are already in a job where you dislike the corporate culture. What can you do? “It is difficult for one person to overhaul an entire company's culture, but there are some things you can do,” says Lange. • Do research and reading on improving current culture, and share it with someone in a more senior position to get the ball rolling for change. • You might suggest hiring a consulting company to help craft and implement appropriate systems and training to contribute toward a better working environment. • Finally, you may indeed need to look for another company that has a better corporate culture for you. 84

“I would also encourage people to read about companies that are well-respected and try to learn about some of the initiatives they undertake to maintain a strong corporate culture, and, again, share this with senior management.” There are many Web sites that can help you in your corporate culture research. For example, WetFeet.com not only offers deep information on company's financial statistics, but also offers “inside information” from actual employees who can give the real scoop on what it's like to work on Wall Street or in a start-up. “Life is too shorthand work is too time-consuming to accept being anything less than satisfied with our work environments,” says Lange. “We carry home too much baggage from unsatisfying work environments, and it is not fair to ourselves or our loved ones.” Don't settle for a work environment in which you are unhappyyou deserve better. And in today's economy, you can afford to search for something more. COMPREHENSION QUESTIONS 1. According to the article, what is corporate culture? 2. How many American workers were expected to quit their jobs in 2000? 3. According to the article, why do employees quit their jobs? 4. What did one company's survey find to be the key reason for quitting? 5. What happens when senior management doesn't send strong messages about the company's directions or values? 6. What are some things one can do to try to change his / her company's culture? 7. What kind of information can you find at WetFeet.com? DISCUSSION QUESTIONS l. How many Russian workers quit their jobs every year? What is the usual driving force (why do they quit)? 2. Which questions did you ask before accepting your current position? 3. Can you answer the following questions for your company: • How would you describe the nature of the work environment? 85

• How do you think the managers within the company would describe their management philosophies or roles? • Do you feel you know what is expected of you? • Do you receive feedback on your performance? Are there opportunities for development/training? 4. Does your top management send strong messages about the company's direction or values? What does your company stand for? What won't it stand for? Where is it going? What makes it unique in the marketplace? 5. Are you satisfied with your work environment? What are you trying to do to change the corporate culture at your firm? 6. Which company's corporate culture do you admire? Why? VOCABULARY EXTENSION when it comes to can make or break sanity scapegoat exasperated shared searching for greener pastures gauge cubicle insights feedback traced to lack of overhaul to get the ball rolling to help craft scoop carry home too much baggage from settle for 1. When it comes to job satisfaction, what is most important to you? 2. What actions can make or break a career at your company? 3. How do you make sure that your working environment does not have a negative impact on anyone's sanity? 4. If your boss made you the scapegoat whenever he / she made a mistake, what would you do? 5. Which management practices exasperate you? 6. Which work values do you share with your boss? 7. If you decided to search for greener pastures, what steps would you take to find a new position? 8. How does your company gauge its success? 9. Do you prefer a cubicle layout or an open-floor plan? 10. If someone told you he / she was considering applying for a job at your company, what insights would you offer him / her? 11. How much feedback do you get from your boss on a weekly basis? How much feedback do you give your managees on a weekly basis? What is the feedback usually about? 86

12. Complete this statement: My company's success can be traced to…………………………………………………………………. 13. What does your company have a lack of? 14. What needs to be overhauled in your company? Why? 15. What recent projects did you help craft or get the ball rolling on? 16. Who gave you the real scoop on what it was like to study in the PMTI program? 17. How much baggage do you carry home with you from the office? 18. What kind of position would you settle for in the future? (the minimum) Types of Company Culture Which type of culture describes your firm's culture? Why? (specific examples) Richard Daft Management (4th edition. 1997. P. 94).

Academy Culture: Hires young recruits interested in a long-term association and a slow, steady climb up the organization. Unlike the club culture, however, employees rarely cross from one division to another. Each person enters a specific track and gains a high level of expertise in that area. Job and technical mastery are the bases for reward and advancement. Many long-established organizations such as universities, Coca-Cola, Ford and GM maintain strong academy cultures. Although specialization provides job security, this culture may limit broad individual development and interdepartmental collaboration, but it works very well in a stable environment. Fortress Culture: Emerges in an environmental survival situation, in former dominant industries now retrenching for survival. Offers little job security or opportunity for professional growth while companies restructure and downsize to fit the new environment. This culture is perilous for employees but also offers tremendous turnaround opportunities for individual managers with confidence and love of challenge. Those who succeed, such as Lee laccoca (Chrysler), earn recognition nationally or within the industry. Corporate Culture Analysis * Environmentally Adaptive versus Unadaptive Corporate Culture

Baseball Team Culture: Emerges in an environmental situation with high-risk decision-making and fast feedback from the environment. Decision makers quickly learn whether their choice was right or wrong. Talent, innovation, and performance are valued and rewarded. Top performers see themselves as free agents and companies scramble for their services. Performers with low batting averages are quickly dropped from the lineup. Baseball team cultures are found in fast-paced, high-risk companies involved in areas such as movie production, advertising and software development where futures are bet on a new product or project. Club Culture: Characterized by loyalty, commitment, and fitting into the group. This stable, secure environment values age and experience and rewards seniority. As in the case of career military personnel, individuals start young and stay. Club cultures promote from within, and members are expected to progress slowly, proving competence at each level. Individuals tend to be generalists and may have vast experience in a number of organizational functions. While many club qualities contribute to flexibility within the organization, they can also contribute to the perception of a closed company, reluctant to change.

____________________ * Source: Kotter, J.P., Heskett, J.L. Corporate Culture and Performance. N.Y.: The Free Press, 1992. P. 51.

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Aspect 1 Visible Behavior

Adaptive Corporate Cultures 2 Managers pay close attention to all their constituencies, especially customers, and initiate change when needed to serve their legitimate interests, even if it entails taking some risks

Unadaptive Corporate Cultures 3 Managers tend to behave somewhat insularly, politically, and bureaucratically. As a result, they do not change their strategies quickly to adjust to or take advantage of changes in their business environments

The end of the table 1 Expressed Values

2 Managers care deeply about customers, stockholders, and employees. They also strongly value people and processes that can create useful change (e.g. leadership initiatives up and down the management hierarchy)

3 Managers care mainly about themselves, their immediate work group, or some product (or technology) associated with that work group. They value the orderly and riskreducing management process much more highly than leadership initiatives

– How would you describe your firm? Give specific examples. Your Company Culture Answer yes or no. Provide a specific example for each answer. Do people dress formally? Does everyone have lunch in the same place? Is there a high turnover of staff? Do people use first names? Are people consulted about policies affecting them? Is there a good relationship with management? Do people socialize out of work? Are decisions made quickly? Are people forward-looking? Are people (employees) aware of the market for your product or service? Is everyone involved in the quality process? Do people work as a team? Do people keep strict times? Do people make jokes? – In your opinion, do these things matter? Does the right combination make employees more productive and the company more successful? Which and why? 89

Questions you should be able to answer fluently at an interview: 1. Why is corporate culture important at your company? How does it impact the company's success? 2. Why are symbols important? What stories, heroes, slogans and ceremonies have symbolic value at your company? 3. Do the values of your company fit the needs of the external environment and of the employees? Is the existing culture right for your company? 4. How are you trying to change the corporate culture in a positive direction? 5. Are there any culture clashes within your company right now? How does the culture of your department / section / unit differ from the overall corporate culture? 6. Do your competitors have a similar corporate culture? 7. How would you describe the corporate culture of your PMTI program? 8. What do you use to assess the corporate culture of other companies? 9. How does your national culture influence the corporate culture? Focus: How would you rate your company's corporate culture? Rate each statement on a scale of 1 – 5. 1 = Strongly DISAGREE. 2 = Disagree. 3 = Neutral/Mixed. 4 = = Agree. 5 = Strongly AGREE. 1. Virtually all managers and most employees can describe the company's values, purpose and customer importance. 2. There is clarity among organization members about how their jobs contribute to organizational goals. 3. It is very seldom that a manager will act in a way contrary to the company's espoused values. 4. Warmth and support of other employees is a valued norm, even across departments. 5. The company and its managers value what's best for the company over the long term more than short-term results. 6. Leaders make it a point to develop and mentor others. 90

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7. Recruiting is taken very seriously, with multiple interviews in an effort to find traits that fit the culture. 8. Recruits are given negative as well as positive information about the company so they can freely choose whether to join. 9. Employees are expected to acquire real knowledge and mastery – not political alliances- before they can be promoted. 10. Company values emphasize what the company must do well to succeed in a changing environment. 11. Conformity to a company mission and values is more important than conformity to procedures and dress. 12. You have heard stories about the company's leaders or heroes who helped make the company great. 13. Ceremonies and special events are used to recognize and reward individuals who contribute to the company in significant ways. Total: _______________________________________________ Compute your total score. If your total score is 52 or above, your organization has a strong culture. A score from 26 to 51 suggests a culture of medium strength, which is positive for the organization. A score of 25 or below indicates a weak culture, which is probably not helping the company adapt to the external environment or meet the needs of organization members. *What are the pros and cons of a strong culture? **Does a strong culture mean that everyone has to be alike? Source: Richard Daft. Management, 4th edition, 1997. p. 100. Executive Summary Most important section. Must entice reader / listener to want to know more about what makes the venture worthy of support. Prepare it after you have prepared the rest of your plan. Objective: – To get the reader to keep on reading. – To highlight the most significant points of each section clearly and concisely. – To demonstrate clarity of management objectives. – To show opportunity. 91

Concept: – Why is this plan worth pursuing (first to introduce this product in Russia, customer demand being generated from market research, etc.)? What is so attention-grabbing about this plan? What is your edge? – What is the nature of the business: type / industry, state of operation, goals reached and the results (sold x amount of...)? – What is the business status? (start-up, takeover, expansion, cash flow shortage, etc.) What stage is your plan in (research & development, prototype, operational) How long has the business been operating (or been in development)? – What will be the form of organization (sole proprietorship, partnership, limited partnership, non-profit / charity / NGO, corporation, etc.)? – Where will the business be located? – What is advantageous about this location? What type of venture (new idea) is this (merchandising, manufacturing, distribution, service)? Product / Service: – What products / services will it offer? – Why are they unique? – Do they solve a significant problem? – Do they address a major opportunity? Market: – Who and what is the target market? – What percent of the available market will you obtain? – What is your plan and strategy for entering the market? Where and how will you sell your product (your own outlets, other outlets)? – Who is the competition? – What are their strengths and weaknesses? – What is their market share? Manufacturing / Operations What are the processes involved in producing your product and getting into the marketplace? What areas of specialization and technology have you pioneered in the production of the product? Do you plan to subcontract or license manufacturing/operations? Under what arrangement and why is this advantageous?

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Management – Who is going to manage the business? – What qualifications are needed to manage this business? – What is the experience, education and background of the principals? – What are the time frames for accomplishing the goals? What support personnel will be needed as the company grows? – How could you show that people involved are qualified and committed? – Funding Request and Times of Investment – How much money is needed to make this venture successful? – How much money is needed for product improvement – How much money is needed for marketing? – How much money is needed for operations? What kind of financing are you looking for? (debt, equity) – What are you offering in return? (ownership – how much?; share of profits) What is the payback period? What is the potential return on investment? What are the earning projections for the next three to five years? Will any tax benefits result from investment? How much money has been invested to date? Goals and Time Frames: What still needs to be done and when? What phases and time frames are expected? What is your interest (financial and otherwise) and long-term objective? What are the decisive strengths of the business (what will make it successful)? (management, skilled / experienced personnel, unique product / service, constant source of supply, low production / overhead, high margin, good service, emphasis on quality) What are the limitations on the business? (capital, management resources, personnel) What are the venture's long-range growth and expansion objectives?

Management and Ownership Objective: – To demonstrate that the management and leadership are capable, fairly compensated and given every incentive to be successful. – To demonstrate proper balance and adequate expertise in all areas of marketing, management, technical finance, manufacturing, etc. – To show the ownership distribution, who the owners are, and how much they own. Management Who are your key managers? What is the personal history of each key manager / principal? (age, education, experience, skills, etc.) What does each key manager bring to this venture (distinctive competence)? (years of direct experience in industry, track record, length of time with this project, business management background) What is the position and role of each principal? (title, responsibilities, duties) What is the compensation package of each principal? (salary, profit sharing, bonuses and other fringe benefits, terms of employment) What is the ownership interest of each principal? Has the loss of a key member of your team been considered from a knowledge, information and learning curve perspective? From a management succession point of view? How will you minimize the negative impact of losing or having to fire key managers? How do you intend to attract and compensate additional key people as the company grows? Are English-language resumes and references available? Board of Directors Who is on the board of directors? How were they chosen? Why are they valuable to the business? What is their field of expertise? What are their other corporate affiliations? How are they compensated? How often do they meet? How much control and influence do they wield? Ownership Who owns what and how much?

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What is the primary objective of the current owners and managers? (sell out in x number of years, buy out investors, license idea for royalties, franchise idea, etc.) What is the amount of stock currently authorized and issued? Who are your current stockholders? How many shares does each own? What are the warrants, rights, options? Professional Support Resources Who is on your outside professional consultant team? (legal, financial, marketing, public relations, technical/systems, accounting, etc.) Who are the industry experts who give support to your management team? How has each one assisted or will assist in the development and ongoing management of your company? Product and Related Services Objective: to describe the product and related services, special features, benefits, and future development plans in non-technical language. Description of the Product / Service: What is the purpose of the product/service? How does it work? Was the product designed to solve a problem or address an opportunity? Is it a luxury item or a necessary item? Who is it for? How does the product achieve this purpose? What are its unique features (cost, design, quality, capabilities, benefits, etc.)? What is the life cycle of your product or service? What is its technological life? How does it compare with the state of the art? What is its susceptibility to obsolescence? To change in style or fashion? What stage of development is the product in (idea, model, working prototype, small production runs, full manufacturing / production)? If more than one product is involved, how will the manufacture and promotion of one affect the other? How does this product compare to similar products of competitors? 95

Do you have a third-party evaluation available? What are the related services you will provide? How will they enhance and increase the profitability of the venture? Description of the Facilities How will the product be produced? Is it capital-intensive? Is it labor-intensive? Is it materialintensive? What are any special manufacturing or technological considerations? What are the maintenance / updating requirements? What equipment do you need? What is its reliability factor? What is its downtime? What inventory do you need? Do you depend on special suppliers to successfully operate your business? What is the current production capacity in units of output? Can your current facility handle future growth demands? Will all or some of the production be subcontracted? Will the current production philosophy change in future years? How? Is this an end-use item or a component of another product? Does your company's survival depend on someone else? Why is the location advantageous? Proprietary Features Can your product be protected by patent, copyright, trademark or service mark? What protection will be provided? How do you plan to protect the integrity, confidentiality and competitive nature of your product and services? What are the regulatory or approval requirements from government agencies or other industry participants Is there a lot of red tape to overcome? How will you do it? Future Development Plans What new products do you plan to develop to meet changing market needs? How will you stay ahead of market needs (improvements, extension of current product / service line, plans for other product / services)? 96

What are the time frames for your plans? How will these plans increase profits or generate new profits? Product liability What are the liabilities this product may pose? What are the insurance requirements? How do you plan to limit the company's liability? What kind of engineering studies, testing, and evaluating has the product undergone? Market Analysis Objective: – To demonstrate that you understand the market, that you can penetrate it, and that you are in control of the critical success factors that will enable the company to reach its sales goals. – To prove there is a real demand for your product / service. Target Market and Characteristics: Who or what is your target market? (individuals, companies – small, medium, large, government agencies, etc.) What is the size of your target market? Can this market be segmented (by geography, by industries, etc.)? How? What is the profile of your targeted customers? (age, sex, profession, income, geographic location, etc.) What are the major applications of your product or service? For each major application, what are the requirements by customers? What are the requirements of regulatory agencies? What are the current ways of filling these requirements? What are the buying habits of the customers? What will be the impact on the customers who use your product or service? How much will they save? What is their return on investment (benefit to them)? Will they have to change their ways of doing things? Will they have to purchase other goods and services to utilize yours? Will they change their work habits? How will you satisfy their need and wants better? 97

Analyst Summaries What quotes and statements from reputable sources can you provide? How do they summarize significant market opportunities? Market Share, Trends and Growth Potential What share of the market do you hope to capture? What is the growth (historical and potential) of your market? What are the market trends? (industry-wide, regional, local) Is the market seasonal? What factors will affect it (economic, government regulation, etc.)? What are your market share objectives for the total available market? What are your rationale and costs of achieving different levels of penetration? How will you maintain and increase your market share? How will you satisfy current customer needs? How will you attract new customers? How will you offer something new, better, or unique? How will the segments and applications of your market change over the next 3–5 years? Are your products / services bought by others to service their customers? How does their industry look? What kind of business are they doing? Sales, Distribution and Profits by Product / Service: Are your sales expectations in line with the manufacturing ability to produce it? Are your pricing, service, and warranty policies attractive and competitive in the marketplace? What does each product / service cost you to sell? What does each product / service cost you to produce? What have your profits been by product / service? What will they be? What are your current sales goals by product / service? What are your current goals by number of units? What is your sales volume in dollars / rubles? How will you distribute your product? (direct, dealer network, wholesale, retail, manufacturer's representatives) Will it be distributed under your name or someone else's? If transportation is involved, what are the implications of exporting? Importing? Taxes? Tariffs? Duties? Barriers? Foreign exchange 98

and other concerns? Have you received reactions from prospective customers? What was their reaction? Have they tested a realistic prototype? Service and Warranty Policies: What is the normal practice in your industry? Are they needed? Will they help you sell your product? Management Home Improvements, Inc., was founded in 1991 by Michael X. Swann, who, after a careful study of the exterior siding industry, found a tremendous void of service and quality products. This became the principal reason that Mr. Swann wanted to start his own distribution company in the industry. The opportunity to create an entity that offered superior service and products was reflected in his enthusiasm to begin Home Improvements, Inc. The legal form of Home Improvements, Inc., is an Arizona Corporation. Of the people who make up the development staff, there are several executives, who hold the following positions: Michael X. Swann, President Mary V. Jonstone, Vice President – Finance Roger Armstrong, Director of Marketing John Herbert, Manager of Production The founders and key managers of HII have combined experiences exceeding 25 years in the siding and distribution industry. The strength of the HII management team stems from the combined expertise in both management and sales areas. This has produced outstanding results over the past year. The leadership and alignment characteristics of HII's management team have resulted in broad and flexible goal setting to meet the ever-changing demands of the quickly moving marketplace requiring our products. This is evident when the team responds to situations requiring new and innovative capabilities.

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Responsibilities Michael X. Swann, President and General Manager. Manage market planning, advertising, public relations, sales promotion, merchandising and facilitating staff services. Identifying new markets, maintaining corporate scope and market research. Researching and identifying foreign markets. Mary V. Jonstone, Vice President – Finance. Management of working capital including: receivables, inventory, cash, and marketable securities. Financial forecasting including: capital budget, cash budget, pro forma financial statements, external financing requirements, and financial condition requirements. Roger Armstrong, Director of Marketing. Manage field sales organization, territories, and quotas. Manage sales office activities, including customer/product support/service. John Herbert, Manager of Production. Service, manufacturing, raw materials management, and installation. Outside Support An outside Board of Directors, including highly qualified business and industry experts, will assist our management team to make appropriate decisions and take the most effective action; however, they will not be responsible for management decisions. Management Team Michael X. Swann, President. Mr. Swarm's professional experience includes many different areas in the sales and distribution arena. He has been involved in sales, marketing, and distribution of several services and products for large corporations such as: Big Shoe Stores, Fresh Pine Inc., and Home Siding 4 You. His experience covers many diverse areas, and he has received several awards as the top sales representative for his efforts. After learning the basic techniques of the siding industry, Mr. Swann worked with the development of sales and distribution for Home Siding 4 You (HSY). While working for HSY, Mr. Swann was involved with the implementation of a sales and marketing program that increased the company's revenue by 45 percent. 100

There he enjoyed considerable success as National Sales Manager and Director of Sales and Marketing. However, he became interested in developing a more efficient way to operate a company within the same industry. With ideas in mind, Mr. Swann conducted a feasibility study to determine the viability of a product capable of competing in the siding industry. When he found that such a market was worthwhile and could be developed, Mr. Swann formed Home Improvements, Inc., in 1990. Mary V. Jonstone, Vice President – Finance. Ms. Jonstone comes from a diverse background in finance and management. She served as a Department Manager for 12 years at VALUE Department Stores and House and Yard, Inc. Ms. Jonstone has been overseeing the Finance Department for Home Improvements, Inc., since the company's inception. Roger Armstrong, Director of Marketing. Mr. Armstrong's background in sales and marketing has been a big asset to the company. After earning a degree in marketing, Mr. Armstrong went to work as a sales representative for Steel Boxes, Inc. He enjoyed a successful career there. Mr. Armstrong then moved on to a management position with the multinational corporation Better Products, Inc. As a manager, he was involved with day-to-day operations of inventory control, hiring and training personnel, and developing departmental policies and procedures. Mr. Armstrong also worked for Top Aluminum for three years, where he earned the Top Sales Representative Award for the entire United States. Sample Business Plan. Mr. Armstrong has enjoyed a high degree of success at HII. He has helped develop the present sales and marketing structure of the company. As a sales professional, he trains and assists new sales representatives. As a Marketing Manager, he is involved with development of marketing strategies and market research. John Herbert, Manager of Production. Mr. Herbert has a solid ten years of qualified experience specifically in the siding industry. His knowledge of the requirements for proper installation is an important asset to the company.

Mr. Herbert is responsible for several areas related to each project. He oversees everything from the bidding process to the completion of the job, which also includes the timely satisfaction of the customer.

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People / Talent We Require The HII development team recognizes that additional staff is required to properly support marketing, sales, research, and support functions. Currently, HII is composed of eight personnel. Over the next five years, 50 personnel will be required to meet the demands of the projected market. These staff requirements will include personnel in the following areas: • management, • marketing, • sales, • engineering, • customer relations, • administration, • manufacturing, • skilled assembly labor, • field service technicians. Product Description HII products are manufactured in Japan, Korea, Florida, and South Carolina, then assembled in Anywhere, Arizona. State-of-the-art tooling and strict quality control procedures produce dependable, custom-hardened aluminum alloy siding. To fight against weather conditions, each panel is technologically slotted and overlaid on fiberglass insulation of high density. This provides extra insulation value inside the HII siding panel during the entire year. Trim pieces and eave underpanels are made from extruded aluminum that give the final touches to an attractive product along with securing additional energy efficiency. The colors available are White Cream Dark Brown Dark Wood Grain Beige Sky Blue Aqua Green Sunflower Yellow.

Custom colors can be chosen from HII's Custom chart, which includes an additional forty colors to choose from. Delivery times for custom colors are usually three weeks longer than for our standard colors. Pay Back For most customers, HII siding and double-pane windows will pay for themselves in terms of energy savings within 12 years. Research has proved that between 10 percent and 15 percent savings of annual energy costs may be realized by each homeowner. During the hotter months, HII siding and windows intercept solar radiation, thus providing insulation value that allows air conditioners to work about 30 percent less. In the winter, HII aluminum siding and double-pane windows provide a pleasant insulating blanket. This insulated exterior shield keeps the cold air from entering, and keeps the heat inside the home. Here are a few of the other outstanding features of HII aluminum siding: • premium quality and efficiency, • lower warranty costs, • improved energy-efficiency, • improved home value. Even a moment's reflection will prove that personal satisfaction in one's home is worth a fortune. There really isn't a price one could place on the peace of mind that our products give to the home owners. These are some of the nonmonetary benefits of owning HII aluminum siding. Useful Purpose and Key Benefits These combined capabilities provide added value, energy savings, noise abatement, and protection from storms. This, in turn, can be used to create a sense of greater need in the minds of customers. These are benefits that are worth the extra money and, during our history, have convinced customers to buy from HII. Tests Completed tests have shown that HII aluminum siding has been subjected to many tests of impact by hard and soft objects. These tests are in accordance with the common rules of the Product Durability Testing 103

Requirements set forth by U.S. regulations. The test resulted in a performance that is highly superior to that which the regulations require. Product / Service Life Cycle The life cycle of HII aluminum siding is estimated to be 60 years. The manufacturer's warranty covers all exterior parts for 5 years. Market Analysis Market Definition Currently, the Arizona market distribution is shared by nine participants. Home Improvement, Inc., enjoys approximately 30 percent of this market share. There are four other major competitors that share an approximate 60 percent, and the remaining competitors share a combined total of 10 percent. The stability of this market segment is expected to increase. However, some volatility has been introduced to the market with the announcement of a national recession. The exterior aluminum siding market is growing at a rapid rate. The market for siding in the United States is virtually untapped. The United States is a very immature market with tremendous growth potential. Over the past 3 years, companies have developed and shown the additional features that can be provided for this type of industry. These companies have focused on the use of technological advances to steadily improve the quality of aluminum in exterior siding. The report, New Consumer Product Reports, also states that firms selling home value added products will prosper greatly in the coming decade. Strengths In marketing, our most powerful assets are the uses of television and radio for advertising and promotion. The public awareness of the HII products and services has been greatly enhanced due to our intense advertising policies. With a 30 percent market share, HII has the largest share of the market spread among six other competitors. This is not only due to our marketing strategies but includes our superior customer service. 104

Weaknesses There are some handicaps inherent in our market. The only notable marketplace disadvantages are the prices that customers believe they will have to pay for their home beauty and energy efficiency. Typically, an average job will cost around $13,000, if the entire home is covered with siding and double-pane windows. Corporate weaknesses, at this time, consist only of not enough sales personnel. However, we are taking steps to interview competent sales professionals, which we feel should alleviate this problem. There are no environmental threats with our product. Customers The person who influences the decision to buy is the housewife. She will also permit the purchase to be made. Generally speaking, the housewife is the person who will also choose the color and the areas where the siding will be added to the home. The most typical customers for our product / service are households earning between $30,000 and $50,000 per year, and retired persons living in middle- to upper-class housing developments. It is likely that potential customers are going to be familiar with aluminum siding and double-pane windows, and that they will readily accept our advertising approach, provided that we educate them in the proper manner. It is also important to point out that our marketing and advertising efforts have been targeted to people concerned about home added value and energy efficiency, and to retired individuals. It is easy to understand why the principal buying motives are geared toward our products, because retired persons and housewives are looking for added comfort in and around their homes. Research indicates that these groups of customers are not as sensitive to pricing differences among competitors. In fact, research also indicates that these people are willing to spend their money on ways that will improve their way of life. It is our task to educate the customer on the superior quality of our products and service.

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Housewife Age: .................................................................... 35–65 Income: ............................................................... Fixed Sex:..................................................................... Female Family:................................................................ Full nest Geographic: ........................................................ Suburban Occupation: ........................................................ Housewife Attitude:.............................................................. Security-minded Married Couples Age: .................................................................... 35–55 Income: ............................................................... Medium to high Sex: .................................................................... Male or female Family:................................................................ Married or no children Geographic: ........................................................ Suburban Occupation: ........................................................ Varies Attitude:.............................................................. Security-minded, energy-conscious Older Couple Age: .................................................................... 55–75 Income: .............................................................. High or fixed Sex: .................................................................... Male or female Family:................................................................ Empty nest Geographic: ........................................................ Suburban Occupation: ........................................................ White-collar or retired Attitude:.............................................................. Security-minded Elderly Age: .................................................................... 70+ Income: ............................................................... Fixed Sex:..................................................................... Male or Female Family:................................................................ Empty nest Geographic: ........................................................ Suburban Occupation: ........................................................ Retired Attitude:.............................................................. Security-minded

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Competition Competitive threats today come primarily from three major competitors, and three other dealers in Arizona. HII's products perform in virtually all situations where there is a home or office where the siding and windows can be added. The ability to offer superior beauty, with full capability to provide an insulating blanket for the home or office, is unique to such an attractive addition to any building or structure. Our research indicates that its performance is superior to anything else on the market today. In all comparisons, the products that HII provides have more features and have superior performance than competitive products. In most cases, the number of differences is substantial. A complete technical comparison is available. Competitive Products and Services Companies that compete in the U.S. market are Home Siding 4 You (HSY), U.S. Aluminum (USA), North East Siding (NES), and Quality Home Products (QHP). All companies mentioned charge competitive prices. Most of these products do not provide the same capabilities when the construction of the siding is compared to HII's product. For example, our aluminum siding has been subjected to many trials of impact with hard and soft objects, in accordance with the common rules of the Product Durability Testing Requirements set forth by U.S. regulations. It turned out to be highly superior to what the regulations require. Sample Business Plan Competitive Roundup The following chart compares illustrates how HII with the competition in several different key areas. Competition HII Estimated Share of Market (HSY, USA, NES, QHP) 60 % 30 % Rank:l=Weak to 5=Strong Product line 4 5 107

Quality 4 5 Technology 4 5 Advertising effectiveness 2 5 Sales force excellence 3 5 Distribution 3 4 Seriousness of competition 3 5 Price 4 4 Installation 4 5 Ease of use 4 5 Appearance 3 5 Quality 3 5 Design 4 5 Useful life 4 4 Responsiveness 3 5 24-Hour availability/support 1 5 Technical expertise 4 5 Repair service 3 5 Efficiency 3 5 Guarantee/warranty 5 5 On-time capability 4 5 Upgrades 4 4 Standing in industry 3 5 Observations and Conclusions It appears from the above information that some of our competition is faring well in this tough market. However, it’s clearly apparent that HII is offering a superior product and service at a competitive price.

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Cross Cultural Observations In The Business Environment General: This document identifies some of the cross-cultural differences that occur when' Russian employees work in Western companies. There is no “right and wrong” on the list. The list merely points out how the expectations of Western managers may differ from typical Russian behaviour. It must be also stressed that not all Western managers are this way and not all Russian employees are this way. We must always attempt to avoid stereotype thinking.

Promptness, meeting deadlines Competitiveness on all levels

– Non-competitive approach to work Ambition is not such a positive value

Ambition is a positive value Practicality, efficiency: use of pert charts, timeliness, milestones, etc. Productivity Personal accountability, responsibility

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Western Expectations Russian Expectations Personal Behaviour Informality, immediate use of Formality first names Friendliness, frequent smiling, Smiling not an automatic interopenness personal response Initiating hand-shaking Hand-shaking often initiated by higher status person Consistent eye contact Direct eye contact may be disrespectful Smoking often not acceptable in Smoking acceptable in the work the work place place Importance of personal hygiene – Work Place Values Conflict avoidance Hierarchical relationship in business and management Equality of men and woman in Women often are not offered or work place may be reluctant to take leadership positions Openness to frequent change / Time is viewed more flexibly flexibility

– Tendency to minimize personal responsibility because of potential consequences Willingness to take risks Minimal personal risk-taking Creativity and taking personal Creativity and personal initiainitiative are encouraged tive usually not encouraged High value place on order and Considerable experience with systems disorder Leadership Style Team building, engaging workers Expectation of authoritarian in decision-making and encourag- leadership style ing their in-put High value to peer / horizontal Top-down management relationships Setting long term goals, shortterm objectives and strategies – (often collectively) Work a top priority (comes before Importance of taking opportunipersonal and family responsibili- ties for family care or shopping ties) as the need arises Supervision Issues Definition of performance – standarts Personal accountability Collective accountability

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Russian-American Business Behaviours

Evaluations: What are they? (planning, problem-identification, – promotions, raises, recommendations, dismissal) Expectation that employee can High level of self-respect; sensiaccept the supervisor’s criticisms tivity to negative comments and requests for improvement Communication Style Physical distance of about 18" is Closer physical proximity than comfortable many Westerners are comfortable with Frequent reliance on indirect communication as it usually works better Short simple direct questions Questions often framed as somewhat lengthy statements Honestly highly valued – Openness on most business and – personal issues Discomfort with discussions of – personal income and cost of personal possessions Action-oriented, often looking for Less action-oriented; more short-cuts, or summaries thoughtful, analyses Insensitivity to the personal pride Pride in culture and history of others (ambivalence about present situation in Russia)

Учебное издание

Составители: Руденко Татьяна Павловна Сургутская Ольга Константиновна

Учебно-методическое пособие по развитию навыков профессионального общения В двух частях Часть 1

MANAGEMENT

Технический редактор Н.В. Москвичёва Редактор Е.В. Коськина Подписано в печать 04.04.05. Формат бумаги 60х84 1/16. Печ. л. 7,0. Уч.-изд. л. 8,0. Тираж 200 экз. Заказ 123. Издательство Омского государственного университета 644077, г. Омск-77, пр. Мира, 55а, госуниверситет

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