The Global Art of the Cheek Kiss

Shake hands? Kiss? Or kiss-kiss-kiss?
This is the quandary for Frank Higgins, one of today's global business soldiers. He is employed in Glendale, Calif., by Swiss-owned Nestlé USA Inc. as president of two divisions, one of which markets to Hispanics. With so many national customs involved, ordinary office greetings require savoir-faire.

Just a couple of weeks ago we were discussing international management & cross culture competence and how necessary it is to familiarize yourself with the customs and culture of the countries you plan on doing business with. Very interesting.

Wife buyers turn to Cambodia after crack down on marriage brokers in Vietnam

The brides-to-be are brought down from poor Cambodian villages and herded into city hotels, where they are lined up and put on display for prospective grooms flown in from South Korea.

As long as you have a viable market, you can have a successful business. However, ethics will most likely always come into play...

The Era of vending machines

As you can tell by the date of the article, vending machines from companies such as apple, sony & even proactive is nothing new. However, some of these I am yet to see with my own eyes in NYC. They are plastered throughout various airports and malls.

The topic of these vending machines made for an interesting discussion on the radio this morning and, I'm relieved to note that I wasn't the only one without prior knowledge of these. Many beleive it to be a great idea. I myself find it to be an interesting move toward innovating businesses. One of the main criteria cutomers look for is convenience after all.

I can't help but be amazed.

Midterm Review

Chapter4
International management- pursuing organizational objectives in international & cross-cultural settings.
Internationalization process: licensing, exporting, local warehousing & selling, local assembly & packaging, joint ventures, direct foreign investments.
Global company- a multinational organization centrally managed from a specific country.
Transnational company- a futuristic model of a global, decentralized network with no distinct national identity.

Cultural intelligence- ability to intercept & act in appropriate ways in unfamiliar cultural surroundings.

Ethnocentric, polycentric & geocentric attitudes- assumption that the home country's personnel & ways of doing things are best; assumption that the managers in the host country knows best how to run their own operations; world-oriented view that draws on the best talent from around the globe respectively.
Culture- the values, beliefs and symbols that foster patterned behavior of a population.
High & Low context-context cultures- body language/nonverbal; verbal respectively.
Individualistic cultures- cultures that emphasize individual rights, roles & achievements.
Collectivist cultures- cultures that emphasize duty & loyalty to collective goals & achievements.
Monochronic & polychronic time-Comparative management- concept of time as a straight line broken into standard units(everyone on the same clock); time as flexible, elastic respectively.


Culture shock- negative feelings brought on by an expectations-reality mismatch.
Cross-culture training- guided experience that helps people live & work successfully in foreign cultures.






Chapter5
Corporate social responsibility- idea that business has social obligations above and beyond making a profit.
Caroll's Global CSR Pyramid:economic responsibility(profits), legal responsibility(obey law), ethical responsibility(be ethical), philanthropy(be a good global citizen).
The role of business in society: classical economic (solely to make profits for shareholders) and socioeconomic models (bigger responsibility).
Stakeholder audit- identifying all parties that might be affected by the organization.
Iron law of responsibility- those who do not use power in a socially responsible way will eventually lose it.
Reactive social responsibility-denying responsibility & resisting change.
Defensive social responsibility-resisting additional responsibilities with legal & public relations tactics.
Accommodative social responsibility strategy- assuming additional responsibilities in response to pressure.
Proactive social responsibility-taking the initiative with new programs that serve as models for the industry
Altruism-unselfish devotion to the interests of others.
Enlightened self-interest-business ultimately helping itself by helping to solve societal problems.
Corporate philanthropy- charitable donation of company resources.
Ethics-study of moral obligation involving right vs. wrong.
Values-abstract ideals that shape one's thinking & behavior.
Instrumental value-enduring belief in a certain way of behaving.
Terminal value-enduring belief in the attainment of a certain end-state.
Amoral managers-managers who are neither moral nor immoral, but ethically lazy.

Ethical advocate-ethics specialist who plays a role in top-management decision making.
Whistle blowing-reporting perceived unethical organizational practices to outside authorities.







Chapter6
Planning-coping with uncertainty by formulating courses of action to achieve specified results.
State uncertainty-unpredictable environment.
Effect uncertainty-unpredictable impacts of environmental change.
Response uncertainty-unpredictable consequences of decisions.
Organization response to uncertainty: defenders, prospectors, analyzers, reactors.
Plan-objective +action statement.
Mission statement is the focal point for the entire planning process.
Strategic planning-long terms goals(1-10yrs)
Intermediate planning-contributions of subunits with allocated resources(6mths-2yrs)
Operational planning-how specific tasks can be achieved with available resources(1wk-1yr)
Planning horizon-elapsed time between planning and execution.
Objective-commitment to achieve a measurable result within a specified period.
80/20 principle-minor causes, inputs, eeforts tend to produce majority results, outputs, rewards (Pareto analysis- Jospeh Duran).
Management by objectives (MBO)-comprehensive management system based on measurable & participatively set objecives.
MBO cycle:setting objectives, developing action plans, periodic review, performance appraisal.
Project-a temporary endeavor undertaken to achieve a particulat aim (conceptualization>planning>execution>termination).
Roles of prject managers: implementer, entrepreneur, politician, friend, marketer, coach.
Guidelines: projects are schedule-driven and result-oriented; big picture & little details are equally importany; project planning is necessary; managers know the motivational power of a deadline.
Gantt chart-graph scheduling technique used in production operations.
Program evaluation & review technique (PERT)-graphical sequencing & scheduling tool for complex projects.
Critical path-most time consuming route through a PERT network.
Break-even point-
Fixed & variable costs-
Contribution margin- selling price per unit minus variable cost per unit.


Chapter7
Strategic management- seeking a competitively superior organization-environment fit.
Strategy-integrated, externally oriented perception of how to achieve the organization's mission. Synergy-concept that the whole is greater than the sum of it parts (1+1=3)
Differentiation-buyer perceives unique and superior value in a product.
Business ecosystem-economic community of organizations and all their stakeholders.
Grand strategy-how an organization's mission will be accomplished.
Situational analysis-finding an organization's niche by performing SWOT analysis
Strategic management process: formulation of grand strategy->formulation of strategic plans->implementation of strategic plans-> strategic control.
Capability profile-identifying the organization's strengths & weaknesses.
Reengineering-redesigning of the entire business cycle for greater strategic speed.
Strategic implementation & control:
Forecasts-predictions, projections, or estimates of future situations.
Types of forecasts: event outcome (outcome of highly probable future events); event timing (when a given outcome will occur); time series (estimates future values in a statistical sequence).
Forecasting techniques: informed judgment, scenario analysis, surveys & trend analysis.
Scenario analysis- prepearing written descriptions of eually likely future situations.
Longitude & Cross-sectional scenarios- describes how the future will evolve from the present and how future situations at a given point in time respectively.
Trend analysis- hypothetical extentsion of a past series of events into the future.

Midterm Review

Chapter 1

Management- the process of working with and through others to achieve organizational objectives in a changing environment.
Effectiveness- a central element in the process of management that entails achieving a stated organizational objective (achieving a goal).
Efficiency-resources used against what was actually accomplished.Offshoring-sending jobs to low-wage countries.Evolution of production quality: the fix-it approach to quality (defects identified at the end of production), the inspect-it-in approach to quality(sample work in process), the build-it-in approach to quality(eliminating causes of quality problems), the design-it-in approach to quality(continuous improvement).
Internet- global network of servers & personal & organizational computers.

e-Business- a business that utilizes the internet for greater efficiency in every aspect of its operations.

Managerial Functions-general admin. duties that need to be carried out in all areas of an organization to achieve desired outcomes (decision making, organizing, staffing, communicating, motivating, leading, controlling).
Managerial skills-specific observable behaviors that effective managers exhibit (technical, teambuilding, drive).

Small Business- an independently owned and managed profit seeking enterprise with fewer than 100 employees

Entrepreneurship- the process of pursuing opportunities without regard to resources currently under one's control.
Entrepreneurial traits: focus on envisioned futures, emphasize external/market dimensions, display a medium to high tolerance for ambiguity, exhibit moderate to high levels of risk-taking, obtain motivation from a need to achieve, possess technical knowledge and experience in the innovative area.

Chapter2

Universal Process Approach- assumes that all organizations require the same rational management process. Henry Fayol's 14 universal principles of management are division of work, authority, discipline, unity of command, unity of direction, subordination of individual interests to the general interest, remuneration, centralization, scalar chain, order, equity, stability & tenure of personnel, initiative, espirit de corps.
Operational approach- production oriented field of management dedicated to improving efficiency & cutting waste.
Scientific Management- (Frederick W. Taylor) developing performance based on the basis of systematic observation and experimentation. Four areas include standardization, time & task study, systematic selection & training, pay incentives. Followers of scientific management were Frank & Lillian Gilbreth and Henry L. Gantt.
Quality advocates: Walter A. Shewhart, Kaoru Ishikawa, W. Edwards Deming(employee participation & continuous improvement), Joseph, M. Duran(Pareto analysis), Armand V. Feigenbaum(total quality control), Philip B. Crosby(zero defects).
Operations management- process of transforming material & human resources into useful goods & services.
Human relations movement-geared towards making managers more sensitive to employee needs. This was supported by 3 different historical movements: threat of unionization, the hawthorne studies(Elton Mayo) & the philosophy of industrial humanism(Mary Parker Follett & Douglas McGregor).
Theory X(-) & Theory Y (+)- Douglas McGregor's assumptions about the working class.
Organizational behavior- an approach seeking to discover the causes of work behavior & develop better management techniques.
System- a collection of parts operating interdependently to achieve a common purpose (Chester I. Barnard).
General Systems theory- study based on the assumption that everything is part of a larger, interdependent arrangement.
Closed system- self sufficient entity.
Open system- one that depends on it surrounding environment for survival.
Complex adaptive systems thinking helps managers make sense out of chaos.
Contingency approach- efforts to determine which managerial practices & techniques are appropriate in specific situations.
Multivariate analysis- research technique used to determine how a number of variables combine to cause a particular outcome.

Chapter3

Demographics- statistical profiles of human populations.
New social contract- assumption that the employer-employee relationship will be a short-term one based on convenience and mutual benefit, rather than life.
Glass ceiling- transparent barrier keeping women and minorities from moving up the management ladder.
Contingent worker- part-time/other employees who do not have a long-term contract with their employer.
Managing diversity- the process of helping all employees including women and minorities to reach their full potential.
Issues management- ongoing process of identifying, evaluating and responding to important social and political issues. Management's political response: reactive, neutral, proactive.
Advocacy advertising- promoting a point of view along with a product.
Specific political strategies: campaign financing, lobbying, coalition building, indirect lobbying.
Legal audit- review of all operations to pinpoint possible legal liabilities/problems.
Alternative dispute resolution- avoiding courtroom battles by settling disputes with less costly methods, including arbitration & mediation.
Business cycle- the up and down movement of an economy's ability to generate wealth. (prosperity->recession->depression->recovery.
Technology- all the tools & ideas available for extending the natural physical & mental reach of humankind.
Innovation process- the systematic development & practical application of a new idea.
Product technology- 2nd stage of the innovation process, involves creating a working prototype.
Production technology- 3rd stage of the innovation process, involves the development of a profitable production process.
Innovation lag- the time it takes a for a new idea to be translated into satisfied demand.
Concurrent engineering- team approach to design involving specialists from all functional areas, including research, production and marketing.
Intrapreneur- an employee who takes personal responsibility for pushing an innovative idea through a large organization.

Victoria’s Secret: We’re too sexy for our clothes

CEO says lingerie company wants to tone down its racy image COLUMBUS, Ohio - Victoria's Secret, the lingerie company that introduced the Very Sexy bra, the Fantasy Bra, and the Internet server-crashing fashion show, has become "too sexy" for its own good, its top executive said.

"We've so much gotten off our heritage ... too sexy, and we use the word sexy a lot and really have forgotten the ultra feminine," said Sharen Turney, Victoria's Secret's chief executive, in a call with industry analysts.

I think this is a good idea. Going back to making sexy sophisticated instead raunchy maybe just what they need.

No more Mr. Nice Guy?CHICAGO - Democratic Sen. Barack Obama on Wednesday blamed his primary defeats in Ohio and Texas on rival Sen. Hillary Rodham Clinton's criticism and news coverage that he argued benefited her at his expense. The presidential candidate said he planned to do more in the days ahead to raise doubts about his opponent's claims to foreign policy and other Washington experience. In a television ad that her campaign credits with helping her win, she portrayed herself as most prepared to handle an international crisis.

This is definitely going to be a battle to the end.

Six-legged 'hexapus' claimed as world first in Britain LONDON (AFP) - British marine experts have found what they claim is a world first -- a six-legged octopus, or "hexapus," whom they have christened Henry. The unique sea creature, which has two limbs fewer than a normal octopus, is believed to be the result of a birth defect rather than an accident, say his keepers at the Blackpool Sea Life Centre in northwest England. "We've scoured the Internet and talked to lots of other aquariums and no-one has ever heard of another case of a six-legged octopus," said supervisor Carey Duckhouse.

This is really interesting.