English for Business StudiesKey to Unit 01: The three sectors of the economyThis unit covers a lot of basic vocabulary concerning developed economies much of it in an extract from a well-known British novel. It also discusses the evolution of the economy of most of the older industrialized countries, with the decline of manufacturing industry and its replacement by services. There is an extract from a magazine interview with an economist and an interview with a British Member of Parliament on this issue.1a V ocabulary p09Identify the most prominent features in this photograph, which illustrates various important elements of the infrastructure of a modern industrialized country.The photo clearly shows a large factory (the Unilever factory in Warrington, England) in the center, with more factories, industrial units, or warehouses in the top right-hand corner. The large factory seems to include some office buildings. Also visible are agricultural land (in the background; the land in the foreground doesn’t appear to be cultivated), a river, a railway and several roads, and housing, perhaps with a school in the center of the housing estate top left.1b Reading p10What is the key point that this extract is making about economies?The text suggests that most people take for granted the amazing complexity of the economic infrastructure.1c Comprehension p111.In lines 4-7, Robyn sees examples of all three. What are they?Tiny fields (the primary sector), factories (the secondary sector), and railways, motorways, shops, offices, and schools (the tertiary sector).2.The long sentence from lines 12-28 lists a large number of operations belonging to the different sectors of the economy. Classify the 18 activities from the passage Primary sector: digging iron ore, mining coal.Secondary sector: assembling, building, cutting metal, laying cables, milling metal, smelting iron, welding metal.Tertiary sector: advertising products, calculating prices, distributing added value, maintenance, marketing products, packaging products, pumping oil, transportation.3.Can you think of three important activities to add to each list (not necessarily in relation to the kettle)?Primary sector: farming (agriculture), fishing and forestrySecondary sector: manufacturing, transforming and processingTertiary sector: financing, designing, retailing2a Reading p121.Why do people worry about the decline of manufacturing?Because they think it will lead to unemployment.2.Which activities are as important as the production of goods?Designing goods, persuading people to buy them; arts and entertainment.3.Should people worry about this state of affairs?No, because it is a natural, progressive and inevitable development.2b Listening p13Listen to a short interview with Denis MacShane, a British Member of Parliament for the Labor Party.Does he hold the same view as J. K. Galbraith?Denis MacShane quite clearly disagrees with Galbraith.1.Why does MacShane think that manufacturing has a future?Because there are many new products that have to be invented to serve new needs.2.Why does MacShane think that manufacturing has a future in the advanced countries?Because these countries have production technology that requires very little labor input.3.Why, however, is this manufacturing unlikely to solve the problem of unemployment?Precisely because it requires very little labor input.4.What does MacShane mean by ‗in theory there should be no more manufacturing‘ in Switzerland? (It is this theory that makes many people argue that m anufacturing must move to ‗less-developed‘ countries.)The conventional theory is that the most important cost in manufacturing is labor, and wages and salaries in Switzerland are the highest in the world. (As is the cost of living!)5.Why does he say it is surprising for a British company to be buying Swiss goods?Because the pound sterling has, over the years, lost a great deal of value against foreign currencies, especially the Swiss franc.6.What is the reason he gives for the United States still being the richest nation in the world?It has a successful manufacturing economy, including its computer and car (automobile) industries.7.Match up the following expressions and definitions:1.to convert itself. B/ to change from one thing to another2.to serve needs D/ to satisfy people’s desires or requirementsbor input A/ manual work4.to stumble on E/ to discover something by accident5.to be dubious C/ to be uncertain, disbelieving2c Writing p13Summarize both Gallbraith‘s and MacShane‘s arguments in a short paragraph of fewer then 50 words.A POSSIBLE SUMMARY Galbraith says that manufacturing industry will inevitably decline in the advanced industrial countries, and be replaced by design, advertising, entertainment, and so on. MaShane says that manufacturing will change, and make new products with new technology.New words in this unit 01agriculture, business, company, consumer, economic, economy, employment, goods, industry, infrastructure, labour, manufacturing, primary sector, product, raw materials, secondary sector, tertiary sector, unemploymentUnit 2 ManagementManagement is important. The success or failure of business organizations, government institutions and public sector services, voluntary and non-profit organizations, sports teams, and so on, often depends on the quality of their management. This unit includes a discussion of the qualities required by managers, a definition of management, consideration of the role of the meetings in management, a critical view of the management of one large American multinational company, and an interview with the manager of a British department store, who discusses his job.Before the discussion on the qualities required by managers and the definition of management, maybe we can discuss the cartoo n. What‘s the joke? We can assume that Mr. Farvis runs this company (his name is on the door). What can we say about his managerial skills, or his apparent lack of them?Discuss in pairs for two minutes what exactly managers do, concerning organizing, setting objectives, allocating tasks and resources, communicating, motivating, and so on.1a DiscussionWhat is management? Is it an art or a science? An instinct or a set of skills and techniques that can be taught?Management is a mixture of innate qualities and learnable skills and techniques.What do you think makes a good manager? Which four of the following qualities do you think are the most important?Being decisive: able to make quick decisionsBeing efficient: doing things quickly, not leaving tasks unfinished, having a tidy desk, and so onBeing friendly and sociableBeing able to communicate with people -----Being logical, rational and analyticalBeing able to motivate and inspire and lead people -----Being authoritative: able to give ordersBe ing competent: knowing one’s job perfectly, as well as the work of one’s subordinates -----Being persuasive: able to convince people to do thingsHaving good ideas -----Are there any qualities that you think should be added to this list?Which of these qualities can be acquired? Which must you be born with?There are clearly no definitive answers as to which of these skills can be acquired.1b ReadingPeter Drucker, the (Austrian-born) American management professor and consultant, is the author of many books about business. This text summarizes some of Peter Drucker‘s views on management. It paraphrases the extended definition of management he gives in one of his management textbooks. As you read about his description of the work of a manager, decide whether the five different functions he mentions require the four qualities you selected in your discussion, or others you did not choose.What is management?Drucker’s first point (setting objectives and developing strategies) presumably requires qualities J, H, E and A (not necessarily in that order). The second point (organizing) presumably also requires H, E and J. The third point (motivation and communication) embraces F, D, I and probably C. The fourth point (measuring performance) probably requires H and E. The fifth point (developing people) might require H, F, D and J. But all this is clearly open to discussion.1c V ocabularyComplete the following sentences with these words.Achieved; board of directors; communicate; innovations; manageable; performance; resources; setting; supervise1.managers have to decide how best to allocate the human, physical and capitalresources available to them.2.Managers -- logically – have to make sure that the jobs and tasks given to theirsubordinates are manageable.3.There is no point in setting objectives if you don‘t communicate them to yourstaff.4.Managers have to supervise their subordinates, and to measure, and try toimprove, their performance.5.Managers have to check whether objectives and targets are being achieved.6.A top manager whose performance is unsatisfactory can be dismissed by thecompany‘s board of directors.7.Top managers are responsible for the innovations that will allow a company toadapt to a changing world.1d V ocabularyThe text contains a number of common verb-noun partnerships (e.g. achieve objectives, deal with crises, and so on).Match up these verbs and nouns to make common collocations.Allocate resources (or people)Communicate information (or decisions)Develop strategies (or people or subordinates)Make decisionsMeasure performanceMotivate peoplePerform jobsSet objectivesSupervise subordinates2 Meetings‘One can either work or meet. One cannot do both at the same time.’(Peter Drucker: An Introductory View of Management)What do you think Peter Drucker means by this comment?Drucker obviously believes that work is largely something that is done individually, and that meetings are not ‘work’, but merely preparation for it, or consolidation after it.2a Reading p18Read the computer journalist Robert X. Cringely‘s description of the management style at IBM.Is he positive or negative about IBM‘s working culture?Robert Cringely’s history of the personal computer industry is very informative, in places very critical, and also very funny. In this extract, he is extremely negative about IBM, saying that they put much too much effort into management and worrying about the possibility of making bad decisions, and not enough into producing good, competitively-priced products.2b ComprehensionExplain in your own words exactly what Robert Cringely means in the following sentences.1.Every IBM employee‘s ambition is apparently to become a manager.It seems as if the people who work for IBM are more interested in being regarded as a manager than as a computer designer or technician2.IBM makes management the company‘s single biggest business.IBM’s corporate culture seems to place more emphasis on management than on developing and selling the company’s products.3.IBM executives manage the design and writing of software.IBM’s managers don’t actually do the work of designing and writing software themselves, but organize and supervise the people who do it.4.IBM products aren‘t often very competitive.IBM products are rarely as good or as dheap as similar products made by their competitors5.The safety net at IBM is so big it is hard to make a bad decision.There is an extensive hierarchy and a system of checks and controls whichensures that bad decisions are generally avoided (but good decisions also take a very long time to make).6.This will be the source of the company‘s ultimate downfall.The slowness of IBM’s decision-making process (and the consequent lack of competitiveness of their products) will eventually destroy the company.2c V ocabulary p18Find word in the text that mean the same as the words or expressions below.1.seemingly apparentlyputer programs software3.work, time and energy effortputers (and other machines) hardware5.young workers still learning their jobs trainees6.knowledge and skill expertise7.levels or strata layers8.to make certain that something is true verify9.corrected or slightly changed amended10.collapse or failure downfall3 The retail sectorYou will hear part of an interview with Steve Moody, the manager of the Marks & Spencer store in Cambridge, England.What do you know about Marks & Spencer?M&S, as many people call them in Britain sell clothes, household goods and food. They have branches all over Britain, and are expanding into continental Europe. 3a Listeninglisten to part One, in which Steve Moody describes the role and responsibilities of a store manager.Tapesript Part OneSTEVE MOODY so, as the store manager in Cambridge, which is probably the fortieth largest of the 280 stores we have got, I am responsible for the day-to-day running of the store. All the product is delivered to me in predescribed quantities, and obviously I’m responsible for displaying that merchandise to its best advantage, obviously I’m responsible for employing the staff to actually sel l that merchandise, and organizing the day-to-day logistics of the operation. Much more running stores is about the day-to-day operation. And ensuring that that’s safe, and obviously because of the two hundred people that we would normally have working her e it’s ensuring that they are well trained, that they are well motivated, and that the environment they work in is a pleasant one, that they are treated with respect, and that they are committed to the company’s principles. Which of the following tasks is he responsible for?1.designing the store and its layout2.displaying the merchandise3.employing the sales staff4.ensuring the safety of staff and customers5.establishing the company‘s principles6.getting commitment from the staff7.increasing profits8.maintaining a pleasant working environment9.motivating staffanizing the day-to-day logistics11.pricing the merchandise12.running 40 out of 280 stores13.selecting the merchandise14.supervising the day-to-day running of the store15.training staff3b ListeningListen to Part Two, and answer these questions.Tapescript Part TwoINTERVIEWER How much freedom do those people have within their jobs to make decisions themselves? How much delegation is there of responsibility down the chain?STEVE MOODY We would , as a business, like to encourage as much accountability and delegation as possible. Of course that does depend on the abilities of the individuals, the environment in which you’re working, and the time of year. With 282 stores we have a corporate appearance in the United Ki ngdom’s high streets. It is quite important that when customers come into Marks & Spencer’s Cambridge they get the same appearance and type of looking store and the same level of service that they would expect if they went into Marks & Spencer’s Edinburgh in Scotland, for example, and it’s very important that we have a corporate statement that customers understand. So, there are obviously parameters and disciplines that, you know, not only the staff but supervision and management would follow. Within that, in terms of development and training, training is obviously an investment for all staff. If staff are trained to do their job well and they understand it, they will feel confident in what they’re doing, that in turn will give a better service to the customers, obviously from Marks & Spencer’s point of view it could well lead to increased sales.1.Why are Marks & Spencer‘s store managers limited in giving accountability totheir staff and delegating responsibilities?Although marks & Spencer ‘would like to en courage as much accountability and delegation as possible’, they have a corporate appearance for all their stores, in all of which customers should get the same level of service. This limits the freedom of individual mangers to change the stores: there are ‘parameters and disciplines that not only the staff but supervision and management would follow’.2.What do they concentrate on instead?Instead, they concentrate on staff development and training.3c listeninglisten to Part Three, and answer the following questions.Tapescript Part ThreeINTERVIEWER Do you have meetings for members of staff where they can express views about what’s going on in the store?STEVE MOODY We have a series of meetings, management and supervisoryevery week we have something whi ch Marks & Spencer’s call a focus group, which is members of staff who get together regularly from all areas of the store, so from the food section and perhaps the menswear section, from the office who do the stock and accounting, and indeed the warehouse where people receive goods. They have meetings, they discuss issues, they discuss problems that they feel are going on in the store. They also discuss suggestions of how they can improve that we run the store, and they discuss that amongst themselves first. They will then have a meeting with members of management and obviously myself, and we will discuss those issues and work together to try and provide solutions. However, Marks & Spencer’s philosophy, I suppose, is that meetings should not be substitute for day-to-day communication and therefore if problems do arise in terms of the operation, or an individual has got a problem in their working environment, or indde their immediate line manager, or indeed if they have a problem outside, which might be domestic, or with their family, we would like to discuss that as it arises and would like to encourage a policy that they will come and talk to their supervisor or their manager, to see what we can do to solve the problem.Steve Moody mentions two kinds of regular meetings. The first is weekly meetings for management and supervisory staff.1.What is the second kind of meeting called?A focus group.2.Who attends them?Members of staff from all areas of the store (e.g. the food section, the menswear section, the stock and accounting office, the warehouse, and so).3.What are they designed to achieve?Staff can discuss problems in the store, and make suggestions for improvements. After this, they will meet with members of management to discuss those issues and try to provide solutions.4.What kind of problems cannot be dealt with by meetings?Individuals’ problems with their work or their line manager, or even family problems5.How are such problems dealt with?Individuals are encouraged to discuss such problems with their supervisor or manager.3d DiscussionAfter reading and hearing about management, do you think you have the right skills to be a manager? Would you be able, for example, to set objectives, motivate and coordinate the staff, and manage a department store, or a computer manufacturer?Some learners may decide that they have the necessary abilities to become a manager or even a top manager; others may envisage more specialized careers in a particular function such as marketing, finance, computing, accounting, and so on, which will not involve managing and coordinating a large number of people and operations.New words in this unit 02Allocate, banker, board of directors, chairman, competitive, customer, director, distributor, function, hardware, innovation, investor, logistics, manageable, management, manager, measure, meeting, merchandise, motivate, objective, organization, pay, performance, promotion, resources, software, staff, strategy, subordinate, supervise, supplier, tactics, team, top manager, trainee.Unit 3 Company structureOne of the most important tasks for the management of any organization employing more than a few people is to determine its organizational structure, and to change this when and where necessary. This unit contains a text which outlines the most common organizational systems and exercise which focuses on the potential conflicts among the different departments of a manufacturing organization, an example of an organization chart, and a critical look at the flexible organizational structure of an American computer company.1a DiscussionThis discussion activity follows on naturally from activity 3d in the previous unit, about managing companies or having more limited responsibilities in a particular department.1b V ocabulary1. Autonomous: C independent, able to take decisions without consulting a higher authority2. Decentralization: E dividing an organization into decision-making units that are not centrally controlled.3. Function: B a specific activity in a company, e.g. production, marketing, finance4. Hierarchy: A system of authority with different levels, one above the other.5. Line authority: F the power to give instructions to people at the level below in the chain of command6. Report to: G to be responsible to someone and to take instructions from him or her7. Subordinates: D people working under someone else in a hierarchy1c ReadingThe text summarizes the most common ways in which companies and other organizations are structured, and mentions the people usually credited with inventing functional organization and decentralization. It mentions the more recent development of matrix management, and a well-known objection to it. How arte most organizations structured?Most companies are too large to be organized as a single hierarchy. The hierarchy is usually divided up. In what way?What are the obvious disadvantages of functional structure?(Discuss briefly in pairs) give some examples of standard conflicts in companies between departments with different objectivesAre there any other ways of organizing companies that might solve theseproblems?A.Functional structureB.Matrix structureC.Line structureD.Staff structureBritish: personnel department = American: staff department or human resources department1d ComprehensionThe only adequate summary is the second. The first stresses the disadvantages of hierarchies much more strongly than the text, and disregards the criticisms of matrix management and decentralization. The third is simply misleading: matrix management and teams are designed to facilitate communication among functional departments rather than among autonomous divisions.Second summaryMost business organizations have a hierarchy consisting of several levels and a clear line of command. There may also be staff positions that are not integrated into the hierarchy. The organization might also be divided into functional departments, such as production, finance, marketing, sales and personnel. Larger organizations are often further divided into autonomous divisions, each with its own functional sections. More recent organizational systems include matrix management and teams, both of which combine people from different functions and keep decision-making at lower levels.1e discussionThe text mentions the often incompatible goals of the finance, marketing and production (or operations) department. Classify the following strategies according to which departments would probably favor them.Production managers: 1.a factory working at full capacity 4.a standard product without optional features 11.machines that give the possibility of making various different products. (1, 4 and 11 would logically satisfy production managers, although 11 should also satisfy other departments.)Marketing managers: 2.a large advertising budget 3.a large sales force earning high commission 6.a strong market share for new products 7.generous credit facilities for customers rge inventories to make sure that products are available (2, 3, 6, 7, 9, would logically be the demands of marketing managers) Finance managers: 5.a strong cash balance 8.high profit margins 10.low research and development spending 12.self-financing (using retained earnings rather than borrowing) (5, 8, 10, and 12 would logically keep finance managers happy.)1f Describing company structureNow write a description of either the organization chart above, or a company you know, in about 100-150 words.Here is a short description of the organization chart illustrated.The Chief Executive Officer reports to the President and the Board of Directors. The company is divided into five majordepartments: Production, Marketing, Finance, Research & Development, and Personnel. The Marketing Department is subdivided into Market Research, Sales, and Advertising & Promotions. The Finance Department contains both Financial Management and Accounting. Sales consists of two sections, the Northern and Southern Regions, whose heads report to the Sales Manager, who is accountable to the Marketing Manager.2a V ocabularyMatch up the words on the left with the definitions on the right.1.industrial belt: C an area with lots of industrial companies, around the edge of acity2.wealth: F the products of economic activity3.productivity: E the amount of output produced (in a certain period, using acertain number of inputs)4.corporate ethos: A a company‘s ways of working and thinking5.collaboration: G working together and sharing ideas6.insulated or isolated: B alone, placed in a position away from others7.fragmentation: D breaking something up into pieces2b ListeningListen to Jared Diamond, and then answer question 1. Listen a second time to check your answers, and then do question 2.1 Which of these do the part-sentences 1-8 refer to?A Route 128 (the industrial belt around Boston, Massachusetts)B Silicon Valley (the high-tech companies in the area between San Francisco and San Jose, California)C IBMD Microsoft1 has lots of companies that are secretive, and don‘t communicate or collaborate with each other. (A)2 has lots of companies that compete with each other but communicate ideas and information. (B)3 has always had lots of semi-independent units competing within the same company, while communicating with each other. (D)4 is organized in an unusual but very effective way (D)5 is currently the center of innovation (B)6 used to have insulated groups that did not communicate with each other (C)7 used to lead the industrial world in scientific creativity and imagination (A)8 was very successful, then less successful and is now innovative again because it changed the way it was organized (C)2 Working in pairs, rearrange the following part-sentences to make up a short paragraph summarizing Diamond‘s ideas about the best form of business organization.A and regularly engage staff who have worked for your competitors.B are at a disadvantage,C because most groups of people getD but also communicate with each other quite freely.E creativity, innovation, and wealth,F into a number of groups which competeG Isolated companies or groupsH most of their ideas and innovations from the outside.I So order to maximize productivity,J You should also exchange ideas and information with other companies,K you should break up your businessIsolated companies or groups are at a disadvantage, because most groups of people get most of their ideas and innovations from the outside. So order to maximize productivity, creativity, innovation, and wealth, you should break up your business into a number of groups which compete but also communicate with each other quite freely. You should also exchange ideas and information with other companies, and regularly engage staff who have worked for your competitors.3a DiscussionRead the following statements, and decide whether they are about the advantages of working in a big or small company.Advantages of working in a small company: 2, 3, 4, 7, 9, 11, 13.Advantages of working in a big company: 1, 5, 6, 7, 8, 10, 12, 14.Some of these answers are open to discussion. For example, number 8: some people might argue that you have a better possibility of realizing your potential in a small company in which you are required to take on a number of different tasks. New words in this unit 03Autonomous, boss, chain of command, Chief Executive Officer (CEO), collaboration, competitor, corporate ethos, decentralization, department, division, downsizing, downturn, finance, fragmentation, functional organization, hierarchy, input, insulated, isolated, level, line authority, Managing Director, marketing, output, personnel, position, President, production, productivity, reorganization, report to, responsibility, salary, sales, subsidiary, wealth.Unit 04 Work and motivationAs well as setting and communicating objectives, developing strategies, and。
