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J 4 handled so badly by the printers. I said Pietro Hello. May I join you? from the very beginning that I had my Khalid With respect Joana, do luxury travel Janos Yes, of course. Have a seat. doubts about using this contact instead of and green tourism really go together? And our usual printer. But Riccardo must have do we really believe that our customers will Pietro I'm Pietro Agnelli from the Turin office. pay thousands of dollars to stay in a mud )anos ]anos Rezmuves. From Szeged in had his reasons. hut without running water/ next to a termite Jenny OK, OK. Let's try not to get personal mound? That's what I'm asking. Hungary Pietro Good to meet you. Wait a minute ... here. We've got a problem to sort out. Can Jean-Luc OK, Khalid, you've made your we try and stay focused on the facts? point. Greta - I'd be interested in hearing You're not the Janos who pulled off that big Riccardo And it's worth bearing in mind, the what you think about this. Integra deal, are you? error isn't necessarily on the printer's side. Janos WeIl, it wasn't just me. There was a To be honest, I'm a bit worried about some 4 whole team involved. And any'way, Pietro, of the other artwork as well. The quality I've heard quite a lot about you, too. You isn't as good as it could be. I meary the Greta ... I think we have to take the long got the gold award last month, didn't you? printer may not have received a1l the latest view. There is huge growth in this sector and we ... 5 versions of the files - do you understand what I'm trying to say? Khalid \\t\\ihat do you think of this? We offer Marc Well, I'd been working in the Paris office Paul Look, Riccardo, not only do we have a for five years when senior management customers the option of paying the carbon decided I needed to see more of the world. major error on our hands, but we're also offsetting as an extra ... So I've been in Manhattan for the last . .. oh, not sure how this happened. As I said Jean-Luc Sorry, Khalid. Could you let Greta six or seven months, I guess. In a luxury earlier, I'm realiy not happy with the way finish, please? apartment overlooking Central Park. this has been handled, and it's the Vienna 5 Maria Lucky youl convention which really worries me. I'd Marc Yeah .. . it sounds good, I know, but the just like to point out that we are flying out Jean-Luc OK, I'm not sure this is getting us to Vienna in less than a week, and we don't anywhere! Well, I'd like to draw things to a job's pretty challenging. But I'm enjoying it. close, so can I just ask everyone to sum up Maria Challenging in what way? even have a decent set of brochures to hand their views in two or three sentences? Marc Well, it's a well-established team and out. The real issue here is that we're just not prepared. The printing should have been 't they had thet own way of doing things, so as far as they're concemed I'm still the new done months ago! Steve Hi. You must be Reza. guy Riccardo You're quite right, Paul. I don't AIi Reza Yes. Ali Reza, actually. I'd say I'm very sales-focused, very much know if you are aware, but the reason the so. As I've already outlined, I sell more than printing didn't go ahead earlier was that Steve Sorry. AliReza. anyone else in my current job. I just love the we were waiting for your department's challenge of the sale. Of course, I need to drive approval on the prices. Ali Reza It's quite all right. It's Steve, isn't it? the other members of my team as well - yes, they might find me a bit demanding at times, 5.3 I've seen your picfure on the website. but I think it's important to work together Steve Right. So, you've come over for this as a team to get results. Otherwise we just Extract 2 wouldn't achieve our sales targets, would we? ]enny We1l, Riccardo, how do you propose we meeting? 2 deal with this issue? Ali Reza Yes. I just arrived this morning. Riccardo OK - firstly, before going back to \\44rat do I bring to the team? Let's see ... Well, Steve How was the joumey? given my current position, I obviously know the printer, I reaIly just wanted to try and the products inside-out. I think I'm also quite establish how the errors happened. Did Ali Reza Not too bad. I managed to sleep a good on detail - I'm generally able to pinpoint somebody on our side hand over the wrong the cause of a problem as soon as it arises, and fiies? I mean, it's a possibility. little on the plane. deal with it, of course. I think I'm capable of Paul Look, Riccardo, the thing that bothers handling most complications by myself. That's me is that we just don't have time. To be 2 why I prefer not to delegate. I mean, I certainly frank, I'm sorry, but I can't just sit around Sophia I thought I recognized that voice. wouldn't want to neglect my responsibiiities. and wait for you to sort this out. And I just don't understand how you could even be Hello, Harry. How are you? ., contemplating a reprint with only a few Harry Sophia. Nice to see you. You're looking days to go, not to mention the extra cost. It doesn't matter what project I'm working on, I say, send the brochures out to Vienna as well. my priorities are always to deliver what's been they are - we can get the errors corrected in asked of me, and on time. That's why I prefer the next batch. For now, we'1l iust have to Sophia Thank you. It's really nice to see you. I to avoid any iast-minute changes, although tolerate them as they are. obviously I need to discuss these suggestions Riccardo OI(, Paul, I see what you mean, but wondered if you'd be coming. with the other team members before deciding surely we need to get this right now? The Harry Yeah, we1l, I maybe o1d, but you can't how to proceed. Generally though, I'd say reason why I say this is because if we get it's best to stick to the initial brief, especially it right this time, any future campaigns get rid of me that easily. where there are particularly tight deadlines to should run more smoothly. Sophia So, they're keeping you busy then? Paul Oh, come on, that's just not practical. Harry Absolutely. meet. I just won't be able to go ahead with Sophia And are you still enioying it? Really? the launch in Vienna if I don't have the Harry Ah. Well ... 5.2 brochures by Wednesday. This is what I've been afraid of from the beginning of this J Extract 1 project. Think of the repercussions - ou r ]enny Right, guys, can I just make sure I've key clients have been waiting for months David Kornelia! I had no idea you were coming over for this event. understood this correctly? Paul. Would I be for this new range. Kornelia David -hello! Good to see you. It right in thilking we agreed not to use the |enny Look, Paul, Riccardo, can we try to logo with the knife? avoid any serious setbacks here? How we must be tvvo years or more since we last Paul Yes, precisely! lVhich is why this whole met. thing is just so frustrating. What really resolve this is the issue now. David Wasn't it at that conference in Eg)?t? concerns me is the way this has been Komelia Oh yes, on the Red Sea - it was really beautiful. David Yeah, but do you remember that taxi ride back to the airport? Komelia Yeah - I thought we weren't going to make it. David And then to make matters worse, the airline lost all our bagsl Kornelia Yes - that was no laughing matterl David So anyrvay, how are you doing? Kornelia Fine, thanks. David Someone said you'd had a difficult year. Komelia We1l. Yes. I have had a few ups and downs. David Ups and downs?

Audio scripts 5.4 -6.2 Riccardo I agree with Jenny. I was really thing if it did. And to be honest, I just don't Sigma. Now this is a programme aimed at hoping that we could find a solution that have time to rework it at the moment. improving quality, controlling costs and suits al1 of us here. Thinking about this increasing efficiency, and it doesn't tolerate sensibly, the problems with the artwork I'm A Look, David, I'm just trying to help. And mistakes easily. It demands precision, and prepared to overlook, if we could just sort the main idea is to eliminate production I'm not expecting you to start again. I've out the problems with that logo. I mean, said there's nothing wrong with the idea defects. look, would it help if I gave the printer - you just need to approach it in a slightly another call? See if it could be changed in different way. Interviewer Weli, McNerney left the company some years ago, of course. What's the time and get some costs? B I see what you're saying, Roberta, but the situation at 3M since then? reason I'm taking this approach is because I Jenny That sounds sensible. Paul, I need to think this plan will work in the long run. fost Well, people are asking whether know we've got your approval on this. McNerney's efficiency drive hasn't in fact A No one's denying that, but I real1y think stifled creativity. As you can imagine, that's Paul OK, fair enough. I'm prepared to wait quite a serious concem for a company and see what you and the printer come up you're going to cause yourself a lot of whose very identity is built on innovation. with. trouble in the short term. Interviewer Is there any hard evidence to Jenny In which case, Riccardo, can I leave B Fair enough, but it's a bit late now. Maybe support these fears? you to liaise with the printel, if we do do a you should have said something earlier. ]ost Wel1, it's interesting. In the past, one third reprint? of sales came from products released in the Conversation 3 five previous years - today this figure has Riccardo Yes, of course. If you both agree to slipped to one quarter only. The next CEO, this solution, I'd be more than happy to A Phew. That was hard work! Ceorge Buckley, was convinced he could B Yes. And it's good thing you brought an outperform the competition by reigniting oversee everything personally. I promise top-line growth. He pulled back from Six extra copy of the proposal. Sigma just enough to get the creative juices you, nothing will go wrong this time! flowing again ... A Yeah, that was 1ucky. So, how do you think fenny Thanks. 6.2 it went? 5.4 Extract 1 B Pretty good, I think - they signed, any,way. James So, even though it's been a surprisingly Conversation L And that last question - you handled that difficult year for Skion PCs, hopefully today A Tomasz, I'm glad I bumped into you. I've realiy well. will help generate some ideas for improving our position in the market. Would anyone had a chance to run through that document A Thanks. Though I have to admit, I got the like to start? idea from Jenna - apparently the same issue Sue Well, yes ... I mean, couldn't we consider you asked me to look at. So . .. whenever ways to develop our image, to show that you want to discuss it . .. came up last week and she got caught out. we're a genuinely caring business? So what about that new guy? James Sorry, I should also say, I don't think B Great. Have you got time now? we need to do anything that's radically A Yes, I have a few minutes before my next B The one we hadn't met before? Hassan? different. Also, it's not clear to me what you mean by'caring'. meeting. Yeah, he was reaily tough. Sue Well, for example, what about moving into the area of recycling? Most people have B It shouidn't take too long. And look, I really A Definitely. By the way, thanks for backing no idea what to do with old computers and components - they either keep them or appreciate this, I know how busy you are. me up with the figures. end up throwing them out. I would have thought it would be possible to collect a So what were your thoughts? B Hey, no problem. I could see you were customer's old computer when we sell them a new one and implement a policy of A Mm, I think my only real doubt is the iine getting kind of 1ost. recycLing. |essica Oh, I see, so you're thinking of you've taken on absenl.eeism. A I know I'm afraid that was down to nerves. something charitable, like maybe, we collect B Don't worry, you did weil. You just have to in used parts and send X per cent off to B OK... developing countries, am I dght? A I don't think they'Il accept this approach. build on that experience now Sue Well, not necessarily that ... I haven't B Oh, really? Why do you think that? rea1ly had a chance to think it through A Basically, ... it... it'snotstrongenough. A Thanks for your support - it's good to properly, but that's not such a bad idea. B So how do you think I could improve it? But thinking about it, we could even set A I'm not sure about including all those know I'm on the right track. up a programme where staff can choose to spend some of their holiday time working transcripts of interviews with staff. Interviewer Today we're continuing our on a proiect in a developing country, but Couldn't you just summarize the key issues theme of innovation, and I'm joined by we'd pay to make sure it's well-run and our business analyst, Jost Van der Saar, to responsible. I've done something similar that came up? talk about a di-lemma faced by many large myself. It was actually one of the most companies. How do you run an efficient rewarding things I've ever done. B Oh, I see. Well, it seems a pity to have to cut company, but also create space for those ]ames Gareth, what do you think? new, innovative ideas, without cutting into Gareth To te1l you the truth, I'm not totally them, but maybe you're right. Was there the bottom line? ]ost, it's not always that convinced. I'm concerned about how that easy to get the balance right, is it? would work in practice, and I can't help anything else? wondering whether it would really be cost- Jost No, that's right. If you take a company effective. A Mm. Yes, a siight problem - I think some of like 3M, for example. They tend to be James So is that a definite'no'? Gareth Well, no, but I would certainly need your data is confidential. associated with creativity - as you know, to know that it's profitable, before taking it any further. B Oh, really? I'm sorry I didn't realize - they invented the Post-it note among Sue It's not about cost-effectiveness, it's about other things. Now, they underwent some acting responsibly ... thanks for pointing that out. significant changes when James McNerney A Sorry, I hope this doesn't sound too took over as Chief Executive Officer - he was the first outsider to lead the company negative. in its 100-year history. The company certainly needed knocking into shape at B No, that's fine. Actuaily, I'm very happy to that time, and McNerney set out to boost have some honest feedback. I'1I just keep eamings from the start. One of the first working on it. things he did was to cut the workforce by 17%. Conversation 2 Interviewer What kind of a reaction did he get to these changes? A David, look, I've been meaning to say Jost Wel1, he caused quite a stir. McNemey's approach to raising profitabiiity certainly something... satisfied the shareholders. He was cleariy attempting to shift the emphasis from B Yes? innovation to quatty control. And from his A It's just ... I'm kind of worried about that days at General Electric, he introduced Six proposal you're circulating at the moment. B OK. What's the problem? A Well, essentially I iike the idea, but you know how controversial it might be, don't you? B No, I'm sorry I don't see what you're getting at. A I feel you could be making life difficult for yourself. You know, this may even go to the workers' council. B Look, you're entitled to your opinion, but at this stage, you know, it might not be a bad

jessica Well, can we try and take this just a James Yes, that's true. You may have Conversation 2 little bit further after this meeting? I meary something there. Well, it's easiiy the best Eva So what do you think of my draft obviously we'd need to do a lot more idea I've heard so far. And we corl-ld research be{ore reaching any final decisions. probably be more competitive on service proposal? I'd be grateful for your feedback. Dan Yes, it's not bad. I'd say you're on the 6.3 than some of those larger brokers. Jessica Mmm, I don't know, I'm not so keen right track. In arry case, it's the kind of thing Extract 2 we're looking for. It just needs a bit more Jessica It's an interesting idea. In terms of on the idea. development. James We should at least consider it, though. Eva More development . ..? marketing I think it has potential. It's Jessica Yes, OK. But wouldn't we be doing Dan You know, explaining the rationale certainly worth thinking about. In fact ... behind the proposal, why now, and so on. well, I'm not sure how this would work in exactly the same as Green PCs? I've been Eva OK . .. what about the opening practice, but how about a wider policy on looking at their website and it's pretty paragraph? Is it strong enough? environmental issues, you know, similar much the same idea ... Dan Something along those lines . .. Yeah, you to the idea about being 'the company that certainly need something iike tha! to help cares', but more focused on energy-saving 6.5 set the right tone, don't you? AgairL I'd say as weil as recycLing? 1 Could I just explain in a bit more detail? it just needs a bit more work, really. James OK, would you like to expand on that? 2 You've obviously given this some thought. Eva More work? Could you be more specific? Jessica We1l, I was thinking along the lines of 3 I'm not totally convinced. Dan Well, I could give you a few general solar-powered laptops, for instance. 4 It's been a surprisingiy difficult year. pointers, but I'm afraid I haven't really got Sue Solar-powered? 5 It's easiiy the best idea I've heard so far. time to get involved in the detaii. Any,way, Jessica Look, I only say that because there's 6 I'm iust not convinced. I thought Rob was supposed to be helping big money in energy-saving and if we 7 It was actually one of the most rewarding you with this? became well known as specialists in this Eva WelI, yes, I did emaii him last week, but area we wouldn't just sell to domestic things I've ever done. he still hasn't got back to me. customers. Dan Wel1, he'll probably get back to you Sue Sorry, are you saying that we could open 8 Look, I only say that because there's big up market share with this idea? before the end of this week - *rat should jessica Er ... well, yes ... look, could Ijust money in energy-saving. explain in a bit more detail? I think this is still give you time to revise your draft. where our website could play a major roIe, 9 I'm not so keen on the idea. Conversation 3 I mean, we could target small businesses, Federico Dominique! I thought you were in educational institutions, and public sector 10 I don't really think we could get away with organizations around the wor1d. Places that, do you? Germany? where electricity supplies are sporadic. Dominique No, I got back last night. Does that make sense? 6.6 Federico How did the research go? Did you James WeI1, yes, but I don't really think we 1 a Could I explainin justabit more detail? could get away with that - do you? It's such see any interesting interiors? a departure from what we're doing at the b Could I just explain in a bit more detail? Dominique Actually, overall it was quite moment. I mean, it's potentially quite high- risk. If I've understood correctly, you're 2 a Surprisingly, it's been a difficult year disappointing. saying that we should become energy- Federico Oh, really? saving specialists. b It's been a surprisingly difficult year. Dominique Yes. Still, there was one place Jessica Well, I just thought that in a way maybe we'd gain competitive advantage, 3 a It was actually one of the most rewarding that was quite interesting ... I haven't got you know, something innovative ... after my laptop with me now, otherwise I could all, the technology's there. People are things I've ever done. show you some photos. already doing it. lVhy not us? Federico Was it typically German? The style, Gareth I'm sorry I'm just not convinced. b Actually, it was one of the most I mean. Look, shouldn't we be thinking more Dominique No, not really. It's difficult to about straightforward, comrnercial rewarding things I've ever done. explain, really It almost had a hint of developments? I think we should get back to discussing what we can do realisticaliy, 4 a I really don't think we could get away something oriental - oh, and lots of black now, with the capacity that we have at the moment, and focusing on the bottom 1ine. with that, do you? and white . .. it was kind of minimalist. Federico Aiot of lacquer? 6.4 b I don't really think we could get away Dominique Yes, panelling, partitions, you with tha! do you? Extract 3 know, that sort of thing ... In fact, you fames Maybe you're right. What did you have 6.7 remember that |apanese restaurant we went to in London? in mind? Conversation 1 Federico Yes, of course. Gareth We11, something similar to Sue and Anna Tom, I'm in the middle of preparing for Dominique Well the partitions were a bit like that, but not quite as decorative. |essica's ideas earlier, about recycling. the saies conference. Supposing we were to sell recovered parts Tom Oh,yes? 151 through brokers back to the manufacturers or clients who needed 'obsolete'parts? Anna Yes ... and I have to do a short Sue Obsolete parts? Right, erm ... What presentation. makes you think that would work? Gareth Actually, it's not nearly as complicated Tom Ah. Lucky youl as it seems; we might even be able to set up Anna I know! More worrying still is that it's links on our own website ... James Mm, you've obviously given this some only a month awayl thought... Tom Yeah, it does seem to come round pretty Gareth And there's nothing stopping us from setting up as brokers ourselves, is there? We quickly... could buy up unwanted parts and sell them Anna Yes. Any'way, I've got a few ideas, but on ourselves, to our regular customers. I still need to bring it all together. I was wondering if you remember what you said last year? Tom Oh, erm, let's see ... Something about how weli we were doing/ I thinkl Er, hmm .. . you've put me on the spot here. I'm not quite sure now, it seems like a long time ago. I seem to remember talking about defending our strategic position - something like that, in any case. Anna OK. And did you talk about the local markets? Erm. Any kind of anaiysis? Tom Yes, I'm sure I would have done. Erm. And I remember starting off with a short quiz to break the ice .. . I'm trying to think what I would have done with that. I could certainly find it though, and email it to you if that's any help?

Interviewer Would you say that staff in your We're trying to make training more self- Kirsten Yes, I heard. Knowing how organization are encouraged to take a directed. Line managers don't always have demotivated he's been about his job 'systems thinking' approach? time to spend with staff, talking in detail recently, I'm not too surprised! and planning their training, so the more we jane Well, we don't explicitly encourage can encourage people to take responsibiiity Tamara Yes. Anyway ... sorry. That's a bit of a staff to take a systems thinking approach. for their own development, the better. It's digression. Let's get back to the main issue. But if you look at the content of some also an advantage because it means staff Are there any other loose ends? Eq, what of the training programmes, a lot of it take ownership of their own learning and, haven't we dealt with yet? Shall we talk is geared towards them thinking about therefore, they're much more likely to put the implications of what they do outside about the proposal for distance learning? their immediate area of responsibility. So, more eflort into what they're learning - and Kirsten Yes. We need to do that. And we for example, our finance training is very much about getting people to think about that learning is more likely to stick and be haven't looked at the question of timing yet. how their decisions impact on the bottom transferred into their jobs. Disadvantages? Or dealt with the cost! 1ine, the profit and loss account, and the We1l, from our central point of view, one Tamara I know By the way, talking about drawback is that we get stretched very implications for other departments. We also thinly, because rather than being able to costs, I haven't seen that report on the have one particular course that all staff in take a one-size-fits-all approach right across one of our divisions are expected to attend, the organizatiory we end up customizing a e-learning project yet. and it's designed to put people's jobs into 1ot of what we do for each division, which Kirsten Ah, yes, I remembered that yesterday. the wider business context, so that they can is great for the divisions, but it's not always see the bigger picture. So, from that point an effective use of central resources. I was going to write it this morning, but ... of view, yes, to some extent we do try to get Tamara OK, OK I know you're busy ... people thinking more broadly than their 7.2 immediate remit, but it's not a specific or an 7.3 Conversation 1 explicit aim. Tamara Hello, Kirsten. Er, we didn't finish Conversation 2 Interviewer So, how would you describe the Kirsten Hello, Kirsten Marr. our discussion about next year's training ]ohn Hello, this is John Powell from Consuelo. approach to leaming and training across prograrune. Kirsten No, you're right. We didn't. Do you You left a message for me? your organization? want to caffy on now? Kirsten Ah, yes, hello. Thanks for getting back fane The approach that we take is that we Tamara Well, we need to have a concrete proposal for the meeting on Friday. to me so quickly. divide training into job-specific training, John No problem. So, I was wondering, could and then more generic training, and we Kirsten Did you say Friday? I thought it approach the trvo areas in slightly different you clarify exactly what sort of training ways. The majority of our training is had been brought forward to Thursday programme you were hoping to run? job-specific and we get information on aftemoon? Kirsten Yes, of course. We need to ensure that what this shouid be from what we call a Tamara Wel1, er, that makes it even more our company is fu1iy compliant with the bottom-up approach, where we look at urgent, then. Anyway, I'm not quite clear new legislation and procedures regarding individual training needs. This is normally about your last suggestion. Could you run the transport and handling of hazardous triggered by the appraisal process, and it by me agai-n? biological materials. We had intended to the delivery of the training then tends Kirsten Yes ... OK, well, faced with the to be driven by line managers. They'll need to be fully compliant with the new do this ourselves, but having discussed it often provide that training on the job. So legislation by early next year, I thinl we if people need to leam specific skills like have at least 70 staff who need to be up to with the relevant people we now think we design or marketing, that happens localiy. need to ask an external training provider to Departments often find their own training speed by the end of this year. do this. providers and they have their own budgets Thmara How many did you say? ]ohn Could I ask you to spell out some details to do that, so we take quite a decentralized Kirsten Seventy ... seven-oh. But instead - how many participants, when you wanted approach in that way. The generic training this to happen, and so on? would be related to skilis that are relevant of training them all, I suggest we buy in Kirsten We were thinking of having eight right across the business, like management training sessions and offer these to a few managers for a one-day workshop, ideally skills, communication skills or IT training. key managers. Working on the principle some time around the middle of next It's also training in response to any that they can aII pass the content on to their month. curent themes that relate to particular own stafi we should have everyone trained John OK, a day should be OK. But, look, I'm business challenges. So, for example, at the up by January. very sorry, but you do know that we only moment there's quite a big push on project Tamara How many were you planning to run tailor-made workshops for a minimum management training because of the need offer it to? of twenty participants? to manage projects more effectively. This Kirsten iust the eight heads o{ department. Kirsten Oh, rea11y? No, I didn't know. That's a kind of training is often generated by senior Make a single group. bit annoying. management, so it's more of a top-down Tamara And, er, what you're saying is, you |ohn Well, it's to do with cost, I'm afraid. approach, and the training itself is more don't think we have enough of our own Inevitably. trainers to provide this intemally? Kirsten No, I understand that. lVhat I'm centrally-driven. Kirsten No, it's not that we don't have the saying is, it's annoying for us because we Interviewer What are the advantages and trainers. We don't have the expertise. just don't have that many people. So, do Tamara OK, well, on that point, it may not you mean that you can't do this training disadvantages of doing things the way you be entirely relevant, but I've heard some do them? negative feedback recently on other internal for us? |ane Well, I think one of the advantages is training sessions. that because, primarily, we have a very Kirsten That's interesting. Could you clariSz john We1l, we could do it, but we'd have to decentralized approach to training it means exactly what the problems were? Oh ... that each division gets what it needs from Actually, no, it doesn't matter - I guess it's a charge for twenty people, even if only eight the central training department. So we're bit off-topic right now. quite responsive to their needs and that's Tamara OK. I think you suggested a provider. came. a real advantage. Also, we provide a range \\Aihat was their name again? Consuelo, did of learning opportunities, notjust courses. you say? Kirslen Mmm. I see. OK, well, maybe we We have reading materials, DVDs, books, Kirsten That's right. Given the limited have no choice. and also online links that people can use. number of companies offering this training, we don't actually have much choice. John Sorry, I'm not quite sure I understand. Tamara No, that's right. Oh, that reminds me. Are you saying that you'd like to proceed Have you heard that Leon's leaving to go with the booking any,r,vay? and work for another training provider? Kirsten Er ... No. That's not what I mean. What I mean is that we'lI have to run this intemally after all. John Look . .. Just a thought. It may not be entirely relevant, but we do have some spaces availabie on our open training day on the 3rd. Would you be interested in registering any participants for that? Kirsten The 3rd, did you say? John Yes.

Kirsten I think we'd probably be interested 1, Interviewee Well, we offer a welcoming, in that. But I need to confer with my line collaborative work environment, and a flat Interviewer \\Alhat does De Beers look for in its organizational structure that a11ows all of manager. Can I get back to you on that? prospective employees? our employees to make an impact. )ohn Yes, ofcourse. Interviewee Weli, ours is an ever-changing Interviewer And what's life like for organization with a culture that inspires 7.4 the creation of real value for a1I our employees at Credit Suisse? stakeholders. It is a culture of quality Interviewee Our employees are encouraged 1 Just a thought. It may not be entirely leadership, accountability, collaboration and passion, uniting us in a corunon cause. to strive for a healthy work-life balance. relevant, but ... Working here is unlike working for other That doesn't mean you'Il never be under companies. Our people have a single vision: pressure, so obviously you've got to be able 2 Actually, no, it doesn't matter - I guess it's a to turn diamond dreams into lasting reality. to cope with challenging situations. But, of course, we'll provide training and on-the- bit off-topic right now. Interviewer And once you've found the right job support to help you do this. people, how do you help them develop? 3 Oh, that reminds me. Have you heard that 8.3 Interviewee Well, our approach to supporting Leon's leaving to go and work for another the development of our people is flexible, Extract 1 training provider? combining chailenging role rotations and Ian ... And that brings us to training. Since assignments with formal training, on-the- 4 Anyway ... sorry. That's a bit of a job learning, mentoring, coaching and Anya's here, perhaps we can look at the leadership development programmes. And new training initiative requested by the digression. being part of the Anglo American group va-rious team leaders? Anya, can you give opens up even broader opportunities in us an overiew of where we are with this? 5 Let's get back to the mair issue. other countries and business areas. Anya OK, yes. Well, to be honest, we haven't 6 By the way, taiking about costs . .. We operate in 28 countries and actively got as far as I'd hoped. Erm, where we are encourage talent mobilify where business at the moment is ... er, we've just completed 7.5 requirements and individual career the initial consultation stage. However, aspirations align. Equally, we take pride Conversation 1 in our track record of transferring and what I can tell you is that the initiative will building sustainable local capabiiity in all A So, what do you think of it so far? the areas in which we operate. be complete and in place before the annual B It's not very interesting, is it? review. I'd like to be able to give you a more A That's the understatement of the year I Interviewer What opportunities are there for precise date, but unfortunately I can't do employees at De Beers? haven't learned anything I didn't know that at the moment. You'II appreciate that I before. Interviewee Wel1, we offer the opportunity to take on challenging roles and make a still need to mn the details by Jean-Paul and B It's not that bad. Though I have to admit, significant contribution to maintaining our the team leaders first ... I'm not getting much out of it. position as the world's leading diamond ... So, now perhaps it wouid be a good company. The opportunities for excellence, idea if I just went through some of the other A And the pace is so slow! It's doing my head growth and career development at De Beers training prograrrurres we are running. are as diverse as the people who work here. Ian Yes, OK. in! Diversity provides us with a competitive Anya Good. Now, how can I put this? We advantage through new ways of thinking, have a quite'flexible'approach to our B I know what you mean. It's really testing connecting us to a wider range of customers training programme this year - we're trying and helping to grow our business. to tailor it more to individual and team my patience, too. Underpiming our focus on providing needs. So if it's OK, I'd just like to sketch opportunities for development is a out the core elements of the plans ... Just A ln fact, I think I've reached my limit. I'm reward philosophy that recognises both feel free to interrupt me with any questions. individual achievement and business Now, I don't know if you've heard of a going to slip out after this coffee break. performance. Our people are well rewarded 'balanced scorecard'? Let me just touch on within a performance-based remuneration this approach and how it works in practice ... B Won't you need to show you've attended? approach - individual excellence is .. . and that's more or less it. I think that's A No problem. They've taken our names encouraged, though we acknowledge that covered everything. Er, and it's just our performance across the fu1l diamond occurred to me that ... alreadyl Are you staying? pipeline is what sets us apart. Ian Anya, you haven't said anything about management training? B Well, I agree it hasn't lived up to 8.2 Anya I was coming to that. Erm, it's obviously expectations so far - but I need to learn a key area, and I have to admit that we something about the topic. Maybe it'll get 2 haven't got as far as planning the specifics yet - we just haven't had the time. But yeah, better. Interviewer So, what does Credit Suisse you're quite right, we need to address this expect from future employees? .. . it might not be a bad idea to send out a A OK. I'11 see you later. questionnaire to the senior staff for their Interviewee Wel1, we like people who can recommendations. Conversation 2 offer a combination of specialist know- Ian And you've stil1 got time to do that, have how and personality. They need to be you? A Was there something, Sue? committed to individual achievement, and Anya That's a good point. I think so. Let me B Wel1, yes. I've been looking at Lou's to the success of the team. We expect a1l check, and I'll get back to you. And how of our employees to support the balk's about if I send you a draft, too? I'm pretty new brochure design. I have to say that strategic goals ... Erm, basically, you've got sure that I could do that before the end of I was expecting something a bit more to be able to build up rapport and personal the week. credibility with the client as weil as your professional. colleagues. A What do you mear-r exactly? Interviewer And can you sum up, what's in it B Weil, the cover, for example - it's iust not up for the empioyee? to scratch. I don't find the choice of image appealing. And to be frank, I'm not very happy with the wording, either. A I see what you mean, but it was a rush job. Maybe we should get Lou in and talk over some of the alternative design ideas. Conversation 3 A Right. It's four o'clock. Let's move on to the next item. B I'm sorry. I'm going to have to leave at this point. A Oh. Is there a problem, jacques? B Well, if you're moving on to health and safety issues, I'm not sure how much I can contribute. I can't really see the point of staying. A WelI, I'm sorry you feel that way. It's a very important issue and I think it would be useful to have your views. B To be honest, I'm finding it a bit frustrating that I have to be here at all. I've got a lot on at the moment and I just don't think this is the best use of my time.

8.4 B I'm afraid I'm not up to speed on the most analysis from them to make sure that the costs can be covered or offset, and to ensure the Extract 2 recent developments. long-term viability of the p(oject. Once we've checked the project's feasibility, we draw up Ian ... Pavla, I'm sorry to put you on the A Oh, I can't believe that. Someone with your guidelines outlining the scope of work for the spot, but would you like to run through the partners, and we agree goals and objectives. connections? We then require regular access to the site, union complaints briefly? We've rea1ly got er, plus montNy reports and reviews with to do something about job descriptions and B lt's not for me to say. Sorry. This is HR's quantifiable data. pay scales. What ideas has your team come up with so far? responsibility. 9.2 Pavla OK. How long do I have? Ian As long as you need. 4 Extract 1 Pavla Right. Well, it's probably best if I just Margit So, looking at the situation from a highlight some of the ideas we came up A Look, I iust need to know. Have they agreed with, don't you think? Erm, it was basically Iong-term perspective, if the IT system is a brainstorming session. So, the first thing to work with us or not? updated, you'll be more efficient in terms of is, we feel that people are simply time- your customer admin, and you'Il be able to serving and spending too long here. I don't B WelI, it's not that straightforward. There are continue your expansion plan. Is that right? know if you agree, but I'm pretty sure that Judit Exactly. We need to develop a clear this isn't great for productivity in the long still things to consider. strategy to move the business forward. At run. And I think you should be aware that the moment our systems are old, they're it's not limited to one department ... A OtL come on. It's a simple question. Yes or outdated, and we don't have a clear .. . it's crucial in the current climate. So overview of our customers' transactions. no? Margit Zoltan ... that's one key point right there - we need to Zoltan Well, we have a number of options. B Honestly, Kris. I'm afraid I don't know any We've already commissioned three look at attitudes across the organization. Er, proposals from reputable IT companies. OK, next point, and I think this is a really more than you do. Provided we check out the feasibility of important point: we need to start looking these options thoroughly, I'm convinced we carefully at the current pay-scales ... 5 can find a system upgrade that will work . .. and, er, I don't thirk there's anything for us. I've forgotten, erm ... so, the main thing A So, is our budget likely to increase in the Margit OK, that's all very positive, but I think to remember is to listen. OK, I think that's we need to look at the bigger picture. Do about it. next financial year? we actually have the resources for this? Ian Good, thank you for that. I assume I mean, there's no point in investing in a everyone participated in the brainstorming, B It's hard to say at the moment. system upgrade if we don't have the space, did they? If it was just one or two A But the decision must have been made, individuals, then just how useful are the the personnel or the finances to carry it results? surely? If I find out that you knew Pavla I can't remember exactly, but . .. off something ... through. the top of my head, I think everyone had Zoltan Yes,but... something to say. That's quite a significant B Look, it's nothing to do with me, OK? factor, though .. . I can double check if you Margit Let's take a look at our physical iike? 6 resources. Will the new system be linked Ian Yes, email me later. to production? I mean, you have a lot of Pavla I was wondering if there was anything A That was a surprise, wasn't it, Enzo leaving real estate here, but the facilities arc pretty else you'd like to know about the origins of run-down. Is it practlcal to set up a hi-tech the ideas? so suddenly? Ian No, that's fine, but it might also be worth system in such an old place? touching on the numbers of complaints per B Mm ... I can't reaily comment. Judit We1l, if we'd invested in our production business unit. A I heard that he didn't resign - he was fired. Pavla Wel1, I don't have the exact figures, but B I'm afraid I can't disclose that information - facilities five years ago/ like we wanted what if I run through the rough nutnbers to, we would have knocked down the old we've come up with so far? it's confidential. building and had one purpose-buiit. It's useless to speculate about that now, of Ah! Thierry! Just the person I was lookilrg 1 course ... for! Is it true you're considering reducing the amount of staff car-parking? Personally, I'm actually agahlst this trend 9.3 for CSR policies. I mean, why should I - a B Ah .. . Look, Rachel, I'm afraid I'm really shareholder - allow the eqr,rity that I've Extract 2 built up to be spent on so-called social Margit ... OK, so you already have the not in a position to talk about that. responsibility? I feei a 1ot of these projects are set up purely for short-term gain, and in infrastructure you need to support the new A So is it true, then? the iong run they can become a huge drain system, even if it's not directly connected to B No, I'm sorry, but I can't answer that. on resources. i mean, how do we know if the the production facility. money to be invested in, say, a school project Zoltarg Judit Yes, sure. 2 in a developing country, is actually going to the right peopie? We don't. If I want to donate Margit Now, what's the situation regarding A These demonstrations are quite serious, my money to something like this, then that's my business. \\ltrhat I want is a good return on personnel? aren't they? You must be worried about the investment - for me it's all about the bottom politicai situation at home? line. Iudit Well, they'd need training. I think our B I'm sorry, I don't know what you mean. 2 options are quite clear here. It doesn't really A Oh, come on. It's all over the news. Your In my experience, having a sound CSR matter which system we choose - if training policy actually increases the market value isn't on the agenda, we should forget the govemment is taking a very hard line - I of a company. By that, I mean a company's whole idea. I mean, you can't expect us to .. Zoltan Yes, but we do have some employees iust want to know what you think. reputation is one of its key assets - it can who've worked on SAP-type systems in previous jobs. If we made them our key B I'm sorry, Kar1. I would prefer not to talk have a significant impact on the success of users, we could gradually train up the rest. the brand. Thke Coca-Cola, for example: 96% Margit I'm not sure that would work. Do you about it. really have a sufficient skills base to meet of their value is made up of intangibles - the the needs of this strategy? You can't just 3 rely on one or two people and you can't brand itself is worth a fortune, obviously. run two systems in paraliel. How would it A Can you tell us a little more about the But if they made a major error, socially work if you took on some younger people? or environmentally, the reputation of the proposed office move? company would suffer and it could take a very long time to recover. To dismiss CSR policies on the basis of short-term profit doesn't make much business sense to me. J We're in the textile industry and we run a number of CSR projects with our suppliers, who are mostly fuom Asia. These range from helping to improve the working conditions in factories to helping the iocal community to look after native species. Before our suppliers become CSR partners we require a cost-benefit

I mean, if you'd recruited more young 9.6 10.1 employees at the start, they would have had some IT knowledge from school. 1 Lydia I've been asked to take over a failing Zoltan WeIl, but we do have some well- team that has been without a leader for qualified workers. And we're in a great A So you want Mr Khan to be picked up from several months. They're quite demotivated, locatiory so I think we're in a realiy strong and they've got used to operating as a self- position to find new staff. I don't have any the airport? managing team. They're a very disparate worries about the human resources aspect. group of people, very different in their ways of Judit No, Margit's right. If we only had a B Well, I thought it would be nice for working, although very good at what they do. couple of peopie initially who could use The problem is, they're currently functioning the system, how could they cope with the someone to meet him. as individuals, not as a team. I can already extra work? It would be terriblel Basically see there's massive duplication of effort and we don't have much choice for a long- A But he arrives in the middle of the night! they're not being productive. Erm, in that term plan like this - we can either provide sense they're quite dysfunctional. They're used tuaining for everyone, which will be a I've got to work the next day. to a very specific leadership style and they're substantial investment, or we accept that extremely loyal to their previous team leader it's totally unJeasible. B Oh, I was thinking more along the lines who was a big personality, hands-on, very charismatic. She was extremely supportive Margit OK, I accept that point. \\ Ihat about if of sending Sami, and then giving him the of them, individually, and they were quite following morning off. dependent on her. She left suddenly and we just look at a basic programme of ...? they miss her. So, I'm starting from a pretty A Oh, I see. That's a good idea. challenging position. So how am I going to 9.4 approach this? ... OK, I know I can't just 2 walk in and take over and expect everything Extract 3 to be fine. There will be issues. It won't be Margit .. . OK, so the HR options are looking A According to those figures you gave me, confrontational - that's not my style. But quite positive. NoW what about financial that particular product hasn't done as well there are two things I need to do, and they're resources? We have to bear in mind the going to take time. The first is to estabiish long-term viability of a comrnitment like as we predicted. rny authority with them as team leader. But I this. I can see that you have the capital to need to get them to accept my authority, not purchase the system, but how does the B The amount may seem low, but actually this return on investment look? Realistically, force it on them, so they in a sense give me would we be able to finance this strategy? is the net profit and our earlier caiculations permission to lead them. I need to get to know Obviously, I'm not just talking about the them individually, find out what motivates initial outlay and set-up costs. were based on gross. Sorry if I didn't make Zoltan OK, well, 1et me show you a couple of them, and consult them on key decisions. I'll proiections we've made. Look at this, this is that clear. a graph showing us in five years'time. This have to be consistent in my expectations and A Ah, that explains it. feedback, and just generally make them feel is a worst-case scenario - it shows that if we valued. Unless I can instil confidence in them hadn't invested in the system, we'd be way J that I'm up to the job, and that I have the behind the competition. We just couldn't interests of the whole team at heart, it won't compete with them using the system we A A team-building day sounds great - work. Secondly, I have to get them to work as a team again. It won't be easy. Essentially, I have at the moment. canoeing and rock climbing! have to try to build a culture of trust between the individual team members. I sense that at Judit Zoltan's right. We can't afford not to B I didn't mean that! It would be indoors, the moment they don't have this, that they're invest. Assuming we decided to commit to all competing with each other. I need to find the full amount, we could also look at ways much more businesslike. More of a team a way to get them to work together I don't to save money in other areas. know exactly how this will happen, not yet, meeting. but it's essential for me to develop a sense of Margit Such as? cohesion within the team. Otherwise nothing Judit Well, for example, we could think about A But how would that motivate people? will change and the team will continue to fail. B What do you mean? reducing expenditure on ... A I thought we were doing something related 9.5 to staff motivation? Extract 4 B I don't know what you're talking about. We Margit OK. So the general consensus is that spoke about this two days ago - it's a team long-term we have the human resources meeting in a neutral location. Read your for the strategy. The question that needs addressing is how to implement the system emails! in the short term. Is everyone OK with that? 4 Zoltan, )udit Yeah, fine. Margit OK. And finances are in place for A So we're changing from our normal the immediate purchase. The long-term working day to 24/7? strategy is that with the system in place you can cope with more customers and in B That's right. Should be up and running for turn increase your tumover, ald hopefully your profit. Are there any other points to us by March. consider? Zoltan Well, only that I think we should also A So everyone will be expected to do all the look at this investment in terms of our intangibles. If we work more efficiently shifts in March? with our customers, our reputation can only improve too. B That's not really what I meant. \\ trhat I actuaily wanted to say was, we'll phase it Judit Yes, I agree. Margit Right, so we're decided. There are in. First night shift, then weekends too. still some issues to be resolved and a more A V\\trat - one week night shift, then weekend detailed cost-benefit analysis will need to be done, but basically we can go ahead. shifts? B No, what I meant was we'1l have a few months of nights, to get people used to it, then move on to ... 5 A Hello. I'm calling to chase up an order for a delivery of mineral water. The order number is811992. B OK, let me just check for you. E1, right, we received your order for four cases and it's being delivered to your head office in Soho. A No, that's not right. We wanted 14 cases delivered to our studio in Chelsea. B OK, I'm sorry about that. But it defirritely says Soho on our system. A Yes, that's because ... Look, you've got it wrong. We definiteiy asked for it to be sent to Chelsea. Are you suggesting that this is our fault? B No, that's not exactiy what I'm saying, erm, but ... er ... I'm afraid the delivery address came through as Dean Street in Soho. A Look, can I put this straight? We want L4 cases to be delivered to Lots Road in Chelsea as soon as possible, otherwise ...

10.2 applications together. What this will allow us Can you give us an assurance that we'Il get to do is offer our clients a more personalized the appropriate ievei of support? Bruce i'd spent fifteen years as a and customized serwice - something we manufacturing engineer, eight of them as a couldn't do before. Another great thing about |im Of course. That's a valid point, but again manager. And suddenly here I was, co-leading this development is that it will allow us to the team that would design a new fuselage grow our business in our core markets more I really don't see this as a problem. My for our latest passenger plane. The technical rapidly. We can get our applications and new understanding is that you will receive all demands were awesome: stretch the plane by products into the market more quickly and the instructions and materials you need to eight metres, add lots of fr-rnctionality, do it in more cost-effectively - which is obviously less than two years. The human demands were good for the business as a whole. There may help you implement this. just as challenging - my iob was to coordinate be some short-term inconvenience during the Thomas Yeah, well ... I guess that should be the work of 300 team members. Most of them implementation and the switchovet phase, didn't report directly to me, almost none of but it will be well worth the invesfrnent. In OK. But I also have some concerns about them knew me very weli - and vice versa. the longer term, the benefits are clear. We a1l the impact on customers. I mean, how do It's a kind of daunting prospect! The first thing know that this is a competitive sector - our we ensure that we continue to provide a was, I had to establish my credibility. I had lots customers want a fast, efficient service, and proper service? \\Arhat assurances can you of credibility as an engineer, but now I was this is going to allow us to provide this and give us that it will work? responsible for all kinds of areas that weren't to stay ahead of the competition. So, you and Anna That's a good point. And can we in my background. 95% of my people get your teams are crucial to the success of this address the issue of costs and budgeting? I their pay-checks from other departments, so shategy. That's why I want to involve you now think the basic idea is good, but I have some all I can do is influence them. I realized pretty in planning the implementation process at a reservations about the cost implications. I quickly that what the experts say is true. Team local level. It is proposed that we hold a series mean, whose money are we talking about leaders don't lead teams: they lead a collection of seminars for team leaders at the regional of individuals with dilferent strengths and training centres well in advance, to ensure that here? Are there any guarantees that we weaknesses, different workstyle preferences everyone is familiar with the system and the won't be asked to contribute to this out of ... There's no way you can get a team to work procedures. If we're going to succeed, we need together urless you learn how to work with to realize that we're all in this together. Each our operational budgets? each person on a one-on-one basis. You have to one of you has a key role to play in making deal with people based on how they want you the new system work. What I need you to ]im Well, I understand where you're coming to deal with them - that's how you get them do, first of all, is to commit to making this to follow you. It's about generating mutual project a success. If you are committed, your from, of course. The core investment comes respect. Look, if you want to exert influence teams will realize that and they'll get behind from central funding, obviously. It's been over hundreds of different people, few of it. I'd like to see all of you being proactive suggested that the regional centres should whom work for you directly, the only way is and taking a lead in this. Set up regular contribute a certain amount of the training to work with them on an informal basis - walk meetings or teleconferences, to share ideas costs, on the basis that this will be recouped around, ask how it's going. But do it subtiy, and coordinate your plans. I'd also like you in increased business later on ... in a noninterventionist kind of way. Avoid to work together to develop a schedule for Anna What? the temptation to micromanage. It's easy to training - familiarizing your teams with the criticize people if you don't understand their new applications and how they work. Another fim Yes. I've been told that the costs need to roles and their constraints. Take a step back. Most people want to do a good job. You have way you can help is by keeping your team be shared around. Apparently the intention to let them know that you're there to help, not is to make everyone's lives easier and better just to tell them what to do. I basically have informed, ald asking them for their ideas and one message to everyone on the team - it's - including yours. Anyway, the decision designed to reinforce a sense of team spirit ald opinions. I would encourage all of you to do has already been made. I know it's not collaboration: 'We're a1l here to build airplanes. this. Make them feel involved, make them feel great, but come on, let's give this a chance If the plane could talk, what would it tell that their views count - which they do. Well, to work. us to do? And what can we do to make that now. I'm sure you have some concerns, so let's happen?' But I aiso make sure that I recognize just talk about . .. 10,5 individual achievement within the group. Let me give you an example. Recently, one of my 10.4 Conversation 1 engineers was taking his tirne authorizing a decision. I said I'd get him a dozen doughnuts Parl2 A So what did you thhk of the meeting? if he'd deliver the signed form that day. At 4.00 Jessica Jim, I'd like to raise an issue - I B I thought it was quite productive. But to be p.m. it was on my desk. He got his doughnuts the next morning. It was neat to see the look in imagine it's something all of us are worried honest with you, I think there are still some his eyes, like,'You really did that?'. about. I understand the reasons for things to sort out. upgrading the system, that's c1ear, but I'm 10.3 slightly concerned about the tirning and its A Oh? Such as? effect on my team. Will we have enough B Well, for example. we still don't really know Part 1 time to prepare properly? And will there be an increase in workload? I wonder if you how the new assessment system will work jim OK, you're all aware that a decision was have any information about this? in practice. And personally speaking, I don't see how we can agree to something taken at last week's strategy meeting that Jim Wel1, I understand your concerns, but I that we haven't even been consulted about. affects all of us. I hope you've read the briefing document .. . Yes? Good, so you know what's think we need to look at the positive side. A You're not in favour of the changes then? involved. I understand you may feel it doesn't We've been given a deadline of the 30th of B It's not that. I'm actually quite enthusiastic address your particular situation, and that's September, which is still more than three part of the reason I'm here. I'm sure you have months away. As I understand it, tl-re switch about them. But it's the lack of proper quite a few questions and concems, and I'11 over to the new system will be coordinated do my best to answer them. But first off, let centrally and you'll be briefed about it well consultation, the lack of any real discussion. me bring you up to speed on some of the key I have to say I find that quite difficuit to points. in advalce - so it shouldn't have an impact accept. As you know, it has been agreed that we on the way you work. As long as your team are going to combine our e-banking systems have had the trahing in time, I don't think A Yes, I can understand that . .. into a single integrated network - this involves you need to worry. the creation of what is called a 'middle layer' Thomas WelI, that's something I wanted to Conversation 2 to the network, enabling us to bring all our mention. You said you wanted us to work together, and I like the idea of regular A I was interested in what you said earlier 156 meetings and sharing ideas, but I'm not very happy about having to schedule and about working in Kenya. coordinate the training for my team. I don't real1y feel I have the expertise to do this. B Yes, it was a good experience for me, especially so early in my career. I learned a 1ot. A What did you like about it in particular? B Well, the people were fantastic - positive, friendly, incredibly hard-working. But what I really liked was the independence. It was just me and a team of locals in the field office - I was accountable to Head Office, of course, but I was pretty much free to make my own decisions. A Even so, it must have been challenging at times? B It was challenging, yeah. But to tell you the truth, I really enjoyed it. To be perfectly honest, I'm not particularly good at

working in a big team. I much prefer to be those of many other countries, for all kinds Part 1 my own boss. of reasons. I'd like some better evidence, Hyun-Ki Hello? frankly. OK there may be a downtr\"rrn in Laura Hello. Is that Hyun-Ki? A I can see that that would have been quite uptake of certain US products - but that Hyun-Ki Yes. Hello, Laura. How are you? could be due to any number of economic Laura Very well, thanks. Are you both there? attractive. So . .. how does it feel to be back factors. It doesn't have to be because people Jin-Ho Yes, I'm here too. HeI1o, Laura. at the centre of things? don't like America. Laura Hi, Jin-Ho. Andrew is with me, too. Carla WeI1, there's evidence that the number Andrew Hello. B Honestly? It's fine, the job's good, but of people worldwide who like and use US- Hyun-Ki, |in-Ho Good morning, Andrew. Are branded products has fallen significantly, what I'd really like to do is run my own you weil? operation, my own projects, with no .. . and at the same time brands perceived to Andrew Pretty good, thanks. And you two? well, interference. That would be even better. be non-American have remained relatively Hyun-Ki We're well, thank you. Laura Good. So shall we talk about this email? A Yes, I know what you mean .. . stable. It's .. . it's not a disaster - yet - but it is clearly a warning sign. And in the Can you clarify the situation for us, please, Conversation 3 long term, if attitudes to America become Hyun-Ki? Hy,un-Ki Yes, of course. Faced with a few A You were saying earlier that you'd been on appreciably more hostile, they are saying, new developments here, we now have some capacity issues. Not only has one of a team-building course. the effect on American business could be our conhacts just trebled their order, but irretrievably damaging. another new contract has just come in. B Yes, the whole weekend. Doug Yes, but, come on ... Given the unexpected increase in volume, A I heard some people thought it was a waste Carla OK, right, well, wait, let's look at we now have a big backlog of work and some figures. Until 2002, NOP found that are in a very difficult situation. Having of time. brands such as McDonaid's and Coca- considered al1 other options, we have to ask B Yeah, well ... maybe. Personally, I think Cola were achieving healthy growth, year for an extension on our deadline. on year, in terms of their popularity in Laura I see. Well, that's not going to be easy that's down to their attitude. intemational markets. But by the middle of the decade the growth in popularity of all for us. We have a fixed date to meet, which A lVhat do you mean? I think we made clear at the start. B WeII, I look at it like this: you get out of major consumer brands - including those Hyun-Ki Yes, that's quite true and I can oniy from Europe and Asia - had stalled. And apologize. But I'm afraid this is beyond our these things what you put into them. control now. I was hoping we couid discuss recently, this previously positive trend has A You mean, if you approach it positively, gone into reverse, with US products the a new arrangement. hardest hit. Andrew Hyun-Ki, this is not good news for you'll get something positive back? Doug But you just said yourself it's not only American brands that are taking a hit. Why us. As Laura says, we need stock in Berlin B Exactly. And vice versa. Even if you aren't are you saying that ... in seven weeks. So I think I have to say Host . ..OK right, well, 1et's try and move 'no' to a new arrangement. If we have no 100% sure, at least give it a try. this on. Carla, you said that the NOP study product there'I1 be no product launctr, found that this unexpectedly rapid decline which means serious problems for the A So...? in interest in and respect for American company. Do you understand that? B Look, my attitude is, if you expect products was reflected in consumers'views Hyun-Ki Yes, yes. I understand how something to be a bad experience, you go of American culfural values. What values important this is for you. But please in expecting it to be pointless, chances are are we talking about here? Carla I'm talking about core values like understand also I couid not have foreseen it will be - for you. Don't get me wrong, I honesty, freedom of expression and this extra work. I wish I could meet your know when something's not working. But tolerance. Internationalism, if you wi11. order, but I'm afraid it is just not possible I do think I have the ability to make the Increasingly, consurners around the world for us now. most of my opporturrities. It's one of my are questioning whether these values still Andrew No, no, look ... this is not good hold true, and whether they want to be enough. At no time have we suggested that strengths. associated with them. And this is reflected we can be flexible on these dates. Offering in the choices they make about the brands flexibility on these dates just isn't going A Well, good for you. they choose to buy. It's kind of complicated. to work for us. We have our company B Yeah . .. look, anyway, how was your Doug I'm not sure it is complicated. We're at reputation at stake and without wishing to a time of economic and political change, the sound pushy, you are under contract to . .. weekend? balance of economic power in the world Laura Yes, yes. OK, Andrew, please. As is shifting. We already know that there 11.1 are certain countries in the Middle East changing the situation is no longer possible, and Latin America, for example, where let's try to {ind a way round this. OK? So, Host ... So, Carla, just outline the issue for us, consumers with increasing buying power Hyun-Ki, if I understand you correctly, if you would. you can't meet the fu1l order in time for the are - and, incidentally, always have been - Berlin exhibition . .. Carla OK. A recently-published study of consumer attitudes worldwide clearly tinlikely to share American cultulal values. shows a marked decline in respect for Carla But the study also found that people in American values g1obally. This study was carried out by the market research company a number of major European markets felt NOP World. And the implications for the that their own values were significantly different to American ones. For example, American economy cannot be ignored - this only 65% of British consumers say that they view of Arnerica is having a potentially identify with American cultural values. In disastrous effect on the image of major US Italy and France it's 63%, and in Germany brands such as McDonaid's, Coca-Cola, it's only 55%. This is a downward trend Nike and Microsoft. we're looking at. Host It's really that serious? Host Well, whether or not this image of Carla It could be. NOP World interviewed America is right, it's clearly the way we are 30,000 people in markets aror.:nd the world. According to their findings, there being perceived. And presumably it will are a number of factors that have all had become increasingly difficult to reverse the a profoundly worrying effect on their trend the longer it goes on. So the question perception of American culture and. as a is, what if anything are we able to do about consequence, on many of its m{or brands. it ...? Just for the record, these include recent American foreign policy, which many people see as controversial, corporate finalcial scandals, and a comparatively poor environmental record. There's a real sense that America has lost its moral authority in recerrt years. Host Doug, any thoughts on this? Doug Well, I just don't buy this direct link that's being made. Yes, it may be true that America's image has suffered, but so have

II I II II 11.3 Laura Good. And having sent us the samples, t2.L you will ship the rest of the order three Part 2 Jacob lt's possible to identify differences in Laura ... OK, we really need to sort this out. weeks later. Are we all agreed? approach with regard to advertising around the world, simply because of the diverse Tell us what you were hoping to get from Hyun-Ki, fin-Ho Yes. consumer profiles. Erm, if you take the Andrew Yes, I'Il go along with that. United States as an example .. . erm, life is this discussion. Laura Great. Thankyou, everyone. generally pretty competitive in the US, and Hyun-Ki Well, knowing how our production Hyun-Ki And thank you too for makilrg these so you tend to find that a larger percentage of consumers are quite aspirational. There's works, I think we need an extra three weeks allowances. Had I been given more notice a strong imperative to get on and improve to get the stock to you. on these other iobs, this wouldn't have yourself in material terms, and that's the Andrew Three weeks? No, no, that's out of happened. I'11 make sure it doesn't happen message advertisers are feeding the public on the question. Even two weeks late and we'll a daily basis. This in turn encourages people miss the exhibition completely. again. to consume more, obviously. As there's very Hyun-Ki How about publicizing the product little to distinguish between most competing at the exhibition and promising to supply 11.5 products .. . cars, washing machines, whatever customers at a later date? ... advertisers have to find ways of persuading Extract 1 the public to buy them. This is increasingly Andrew No, that just won't work. It'll done by focusing on what we might cail the A Tania, can I have a word with you? consumer's status anxiety. It's not enough to damage our reputation even more. If this B Sure, ofcourse. \\A4rat's up? put forward the facts about the product, they launch is going to be a success, we need our A Look, I don't mean to sound rude, but clients to see how good the product is. have to use motivational language in order Jin-Ho Well. streamlining the transport could you try to be a bit quieter when to persuade the consumer how much they'll process by a few days should be possible. benefit from having it. This could be in terms you're on the phone? of social status, health, youthfulness, and so Would you consider accepting delivery by on. Erm, for many people, it's become really the final day of the exhibition? B Oh ... yes, sorry. I didn't realize there was a importart to be able to keep up with their Laura That's not out of the question. We could neighbours in terms of what they have, what even hold a launch party on the last day. problem. I'm really sorry. Andrew No, I'm sorry, Laura, but I refuse to they own and are seen to own - whether it's a budge on this. Not everyone will be there Extract 2 car, the latest kitchen gadget, whatever. It's all on the last day - we need the product from A Carlos? About this presentation you're about relative social status. Now, in contrast, day one. Can you really not get it to us on if you take a country like Denrnark, there are giving ... clear differences. Denmark ... and, OK, I'm time? generalizing here, but still ... overall, Derunark B Yes? is a much less competitive society than, say, Hyun-Ki I'm afraid not. The earliest possible A Er ... What are you planning to wear? date for us to have all stock ready would be B \\Atrhat I usually wear, of course. \\Arhy? the US or Britain. There's rnore emphasis on five weeks from now. A OK well .. . Look, this is a bit delicate. cooperation, on social relationships, and the gap between rich and poor is far smaller. This Andrew Which doesn't leave enough time for Please don't take offence, but ... do you comparative economic equality and lack of shipping. You see, Laura, this really isn't think it wouid be possibie for you to wear competitiveness is reflected in the 1ow level of acceptable. If we can't launch the new range something a bit more appropriate? I mean, conspicuous consumption. Market penetration we risk going under. I have to stay firm on ... it's just that it's quite a formal situation of luxury items is relatively s1ow, because most this - I think if we can't get the product in Danes aren't showy people, they're just not so and I think a suit, or at least a jacket and materialistic. Consumption is based more on time, we'l1 have to use a different supplier - tie, would be, well, smarter than what you need than on want, so there's no imperative to own a particular product until it's reached an a local one so the shipping is quicker. normally ... affordable price. And then at the other end of Hyun-Ki No, no, you don't need to do that. the spectrum are the relatively new consumer B You mean I'm not smart enough? Are you economies like Russia and China. And here the I'm sure we can come to a solution between whole concept of advertising and persuasion us, Could you make do with some samples telling me I look scruffy? is completely different because most high-end of the product? consumer products are relatively new to them. Laura Erm, we1l, it depends what kind of A Er, well, yes, I'm afraid so. A bit. Most of the This means advertisers don't need to use those samples you're talking about. Hyun-Ki I was thinking of the first samples time it's firre, but on this occasion ... more, shail we say, exploitative strategies to we produced a few months ago. We still hook consumers, nor do they need to focus have a few stored away. Extract 3 too much on the product's USP. The rnajority Andrew We can't possibly do that. That was of new consumers won't already own the a trial run, the packaging wasn't finalized, A Ah, Fiametta, I'm glad I've caught you. particular product bei-ng sold, so advertisers and on top of that, they're six months old. B I was,ust going. So, what did you think of tend to focus on facts about the product and its Laura OK, look, we're not getting anywhere usefulness, rather than drawing comparisons here. Erm, let's have a rethink ... the report I sent you? with another similar product on the market. ... No, no, no, I agree. Listen, let's go back Now, being aware of these dilferences between to this suggestion of doing some samples. A Ah, yes, the report ... Look, please don't more and less mature markets is essential for What would you say to doing a smaller run for us to meet the Berlin deadline? Say 500 take this the wrong way ... I know you advertisers. Getting the approach right - or samples of each cream? That would be a not - can make or break a product entering a tenth of the original order. spent a lot of time on it. new market... Hyun-Ki Yes, I'd be willing to prioritize that. Jin-Ho - wouldn't you agree that we could B Yes, I did. A11 weekend, in fact. do that? A Did you? Right ... You see, the thing is, it Jin-Ho I think so, yes . .. really needs a bit more work. tt.4 B Does it? I see. How much more? Part 3 Jin-Ho ... OK, but I will need to check the Extract 4 dates and confirm. A Maria, come in. B Thanks. Have you got a minute? Laura Fine - we can follow this up by email. A Yes, of course. Is something wrong? B WeI1, sort of. I'm not quite sure how to put But let's just go over what we agreed. Hyun-Ki, you'1l produce 500 samples of this, but, well, I'm really delighted about each cream on the first run and send them my promotion, but I wanted to mention the direct to Berlin. overall package. It just seems a bit mean considering the increased responsibility I'11 Hyun-Ki Yes, that sounds feasible. have. Could we talk about it, do you think? Extract 5 A .. . and that's the reason why this is such a great opportunity for us. B With respect, Thomas, I have to say that I don't think it's quite as simple as that. A \\ltrhat? What do you mean? I just explained to you exactly why we should invest in this proiect. B Well, actually, I don't think you've explained very much at all. You haven't told us what these figures actually mean, or what the long-term implications are. The fact is, there is still an enormous number of unanswered questions. 158

AUdio sciipts L2.2-1,2.7 12.2 to do, but we have to recognize that this 12.7 person is arr expert, and they may well see Extract 1 things, opportunities, that we might not. 1. Ranjit Hi, everyone. Thank you for finding the time to join me today. I know it's a busy A.y*ry, he's on our side. OI(, any other A Thanks for chairing the discussion. That period for us at the moment. We're here today to seriously consider our future. I know that, points you want to raise? was great. A very worthwhile meeting. like me, you're concerned about where we're Audience Yes, I was just wondering about . .. going. I've been doing some research into our B Thark you. I felt it went well. We were position in the market and what opportulLities 72.5 are available to us, and to te1l you the truth, actually able to make some progress today. I'm excited. VWry? I'm excited because what Extract 4 comes acloss from talking to you is your Ranjit So, I think we're in an extremely A Yes, it makes a real difference when an collective enthusiasm in what we do and strong position. \\4/hy? Because we're reacting your genuine wish for us to succeed. After now, rather than waiting until it's too late. outsider... ail, without your support, my plans won't Diversifying into multimedia advertising is be possible. So what are rny plals? Well, it's achievable. No question. Our team will make 2 become apparent that without moving on from it work! We're committed, we're motivated, the successful field we're in, work is going to and we believe in what we do. You cal't A Cood morning, Paola. You're back again? dry up. Admittedly, things are going well now, get better than that! So, as I said before, B Hi. Yes, we've got another regional meeting. but I'm thinking five years down the iine. We investment is in place and I'm very clear that A You're looking well. this is the right thing for us to be doing, so B Thanks. I was on a skiing holiday last week. could be missing out on a great opportunity if I very much hope that you'll support these we don't diversify - mind you, this won't be changes. Please give serious consideration J cheap and it won't be easy. I'm talking about to how we move forward together. We can't multimedia advertising. Let me explain .. . afford to miss this opportunity, which is why A Are you ready for the meeting? I'm calling on you to work with me to draw B Yes, I've got the handouts here. 12.3 up the schedule and ... A Olu I like your shoes! I've been looking for Extract 2 12.6 some like that. Ranjit So that's my idea. Of course, I can't 1 I've been doing some research into expect you to buy into this plan without some B Thar*s - they're Jimmy Choos. They cost facts. Why should we go into multimedia? our position in the market and what Basically, studies show that most companies opportunities are available to us, and to tell me a fortune! only invest a small percentage of their you the truth, I'm excited. advertising budget in print media. As a matter A Ah ... So, any.way, let me show you the of fact, most of our customers want agencies 2 I'm excited because what comes across from handouts... that offer a variety of advertising media - they talking to you is your collective enthusiasm want options. Obviously, this information in what we do and your genuine wish 4 should ring alarm bells for us. If we move into for us to succeed. After all, without your multimedia advertising we not only benefit support my plans won't be possible. A I was hoping I'd have the honour of from keeping our existing customers happy, we also gain from potentially attracting new 3 Admittedly, things are going well now, but meeting you. I thoroughly enjoyed your customerc. OK, that's the first benefit. Now, I'm thinking five years down the line. talk - it was very interesting. In fact, it was the second point is where we stand in the market. At the moment, we're third in our 4 We could be missing out on a great the best talk of the conJerence! region for print media. Quite honestly, I'm not happy with that. Compare us to numbers opportunity if we don't diversify - mind B Oh, well, considering it's only day one, I you, this won't be cheap and it won't be one and two in the market and, to put it don't know how you can say tha! but erm, easy. thanks anyway. I'm glad you enjoyed it. brutally, our service falls short. We must offer something more or different to ensure our 5 Of coruse, I cal't expect you to buy into this 5 survival. Not only that. It's also essential that we increase our customer base. We can't rely plan without some facts. A Gina, I've been looking for you everywhere. solely on the cash cows. I think multimedia advertising is the answer. Irr addition to 6 Basically, studies show that most companies I just wanted to tell you how much I like that, I'm convinced our team will enjoy the that new 1ogo. Great design. I love the challenge. So, here are some facts and some only invest a small percentage of their colours. projected figures ... advertising budget in print media. B Oh, thanks, I was hoping it would be well 12.4 7 As a matter of fact, most of our customers received. It took my team ages! Extract 3 want agencies that offer a variety of Ranjit Right, OK. That's a lot to take in, but advertising media - they want options. A I can imagine! Well done, you all did a great havilg said that, it's important to remember 8 Obviously, this information should ring job. we won't be doing it single-handedly. Ravi, our key account manager, actually alarm bells for us. 6 comes from the field of online advertising so he's going to be our guru, so to speak. 9 At the moment, we're third in our region A That was a long meeting last night, wasn't This means we have an in-house specialist. You could argue that we'll be short-staffed for print media. Quite honestly, I'm not it, Magnus? Where's the coffee? if he's moved off the key accounts, but happy with that. on balance this won't be the case if we B Oh, hi, Marcie, yeah - coffee's over there ... appoint Sumitra - his assistant - to take 10 Ravi, our key account manager, actually on his clients. Now, as I was saying before, comes from the field of online advertising I didn't know you wore glasses. we've secured external investment for our so he's going to be our guru, so to speak. diversification plan and we've employed a A I don't, normally. I have contact lenses, but consultant. I accept that you may not like an 11 Now, as I was saying before, we've secured my eyes are killing me today - late nights, outsider telling you what is the right thing external investment for our diversification plan and we've employed a consultant. you know. 12 I accept that you may not like an outsider B Mm. But you have very nice eyes, you telling you what is the right thing to do, but we have to recognize that this person know. is an expert, and they may well see things, opportunities, that we might not. An).way, A Oh\" thanks ... Righ! OK, has anyone seen he's on our side. the sugar?

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