Assignment on Global Management Question 1: Social Responsibilities of Multinational Companies.

Question 2: Ethics in Global Management

Nasim Ahamed han !"#2$ M%A 1st Semeste& A#Section. Dept. of Management studies.

'&epa&ed fo& M. Mi(anu& Rahman Associate Professor Dept. of Management studies.

Jagannath University Dhaka Dept. of Management Studies

Question 1: Social Responsibilities of Multinational Companies.

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The obligation of an organization's management towards the welfare and interests of the society in which it operates is called Social responsibilities of an organization. Otherwise we can say corporate initiative to assess and take responsibility for the company's effects on the environment and impact on social welfare. The term generally applies to company efforts that go beyond what may be required by regulators or environmental protection groups. The so-called social responsibility is the business to create profits for shareholders is responsible at the same time active commitment to the employees consumers environmental and community responsibility. !rom the historical point of view of business development corporate social responsibility is not born with the mission of the enterprise e"ists to obtain economic benefits profit ma"imization which is the #obel laureate in economics $ilton% !riedman insisted considered free and fair conditions of competition to ma"imize profits is the most important corporate social responsibility reasons but as time progresses the company as an organization not only to the shareholders of the independent entities and their presence in the community systems of the it should establish and maintain their larger society. &f companies refuse to social responsibility then the same will be re'ected by society so that as a business undertake the necessary social responsibility is unavoidable. The following Social (esponsibilities are practices by $ultinational )ompanies 1. Co&po&ate Go)e&nance )orporate governance is *the system by which companies are directed and controlled*. &t involves regulatory and market mechanisms and the roles and relationships between a company+s management its board its shareholders and other stakeholders and the goals for which the corporation is governed. &n contemporary business corporations the main e"ternal stakeholder groups are shareholders debt holders trade creditors suppliers customers and communities affected by the corporation's activities. &nternal stakeholders are the board of directors e"ecutives and other employees. 2. *uman Rights ,uman resource professionals have a key role to play to help a company achieve its )S( ob'ectives. -mployee involvement is a critical success factor for )S( performance. ,uman resource managers have the tools and the opportunity to leverage employee commitment to and engagement in the firm's )S( strategy. ,igh performing )S( organizations foster a culture of )S( and fully integrate )S( throughout their operations rewarding and incentivizing )S( decisions and initiatives. -mployees prefer to work for organizations aligned with their values. thus incorporating )S( into the employee brand can enhance recruitment and retention particularly in tight labor markets.)S( can be applied to the ,( toolkit resulting in a roadmap or pathway for
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human resource practitioners to follow who wish to contribute to the achievement of their organization's sustainability and business aspirations thereby improving social and environmental conditions locally and globally. $. +abo& '&actices )orporate Social (esponsibility /)S(0 has raised a lot of attention in the last few years but it is still the sub'ect of misconceptions namely on what it means in practice. This three-day course has been designed to provide participants with an overall understanding of the sub'ect as well as with valuable guidelines in addressing )S(-related labour and employment issues at the workplace. To this purpose the &1O+s Tripartite 2eclaration of 3rinciples concerning $ultinational -nterprises and Social 3olicy /&1O $#- 2eclaration0 will be unpacked as the main point of reference and foundation for good )S( policies and practices. The course adopts a participative and practical approach and stimulates e"perience sharing among participants. $ore specifically upon completing their training participants will know how to better engage in an effective application of labour principles and will identify the challenges e"periences processes and strategies in putting these principles into practice.

,. -ai& .pe&ating p&actices &t is increasingly clear that business needs to take into account the community where it is ope&ating. 3olitical process assessing that the appropriate process of CSR should be a fai& process where )S( demand a fair ope&ating p&actices in organization. /. Custome& Satisfaction The degree of satisfaction provided by the goods or services of a company as measured by the number of repeat customers. )ustomer Satisfaction ensuring is a function of )S(. )S( ensure best )ustomer Satisfaction level to achieve more benefit and capture the market. 0. En)i&onment -nvironmental good practice is also increase business efficiency - it's about the best use of valuable raw materials and feeding the benefits of action straight through to the bottom line. &t ensures the customer satisfaction and employee satisfaction. 1. Communit2 !n)ol)ement and de)elopment )ommunity &nvolvement and development in o&gani(ing is a process where people who live in pro"imity to each other come together into an organization that acts in their shared selfinterest. 4nlike those who promote more-consensual *community building * community organizers generally assume that social change necessarily involves conflict and social struggle in order to generate collective power for the powerless.
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!ollowing chart shows where should big corporation be spending their )S( resources5

To conclude it can be said that, these are the practice of CSR in multinational companies.

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Question 2: Ethics in Global Management -thics in a global management setting are needed to maintain economic balance. &f a company is unethical this can have effects beyond hurting the company. 4nethical behavior can affect consumer spending and result in other companies avoiding doing business with the offending company. Taking steps to foster a high level of ethics in business practices is something every company 6 no matter how small 6 should do. 7t the very foundation of business ethics is the commitment to treating customers employees investors vendors distributors and anyone else involved with your organization with honesty and respect. 7 high level of ethics in business starts at the top with the owner's values and sense of corporate social responsibility which are then infused into every business process practice and procedure. Staying true to your moral compass can5 8. &mprove employee morale 9. Strengthen customer relationships :. &mprove company image in the community ;. <ive you a competitive edge =. &mprove your bottom line >. )reate a better workplace with a strong sense of business ethics "efine 2ou& )alues (ely on your personal values to formulate your company's policies on workplace ethics and corporate social responsibility. "e)elop a 3o& place ethics polic2 )onsider how your values relate to your customers employees investors vendors and others. ?ith those values in mind develop guidelines for your business processes and practices. Get 2ou& staff thin ing about business ethics 1ead by e"ample and engage employees ethics discussions of business ethics on a regular basis to reinforce your business values.

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Get t&aining in co&po&ate social &esponsibilit2 Strengthen your understanding of how to implement a business ethics policy and improve your leadership ability with a variety of training opportunities. .ffe& tools to &esol)e business ethics dilemmas @usiness owners and employees alike may face tough decisions involving workplace ethics. 7rm yourself with ethical decision-making know-how. '&omote 2ou& business ethics Share your vision with customers vendors and others about your commitment to ethical business values.

Some othe& Ethical facto&s:

$ake sure employees understand the consequences of acting unethically and enforce your business-ethics policy. (emember that ethics in business begins at the top. 1ead by e"ample. Aeep the lines of communication open with employees. Set up a system so employees can report any unethical behavior or concerns about proper workplace ethics.

Sou&ces: http!""###.eho#.com ###.#e$epedia.com as$.com http!""###.business.com"general"business%ethics"

Qus-2 Global Management Team

Global Management Team is a group of indi&iduals #ho #or$ across time, space and organi'ational boundaries #ith lin$s strengthened b( #ebs of communication
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technolog(. The( learn ho# to successfull( build and manage processes re*uired at each phase of team de&elopment across cultural and geographic differences.

Qus3-"Ho

do !ou e"aluate success#"

+ e&aluate success in different #a(s. ,t #or$, it is meeting the goals set b( m( super&isors and m( fello# #or$ers. +t is m( understanding, from tal$ing to other emplo(ees, that the --R compan( is recogni'ed for not onl( re#arding success, but gi&ing emplo(ees opportunit( to gro# as #ell. ,fter #or$, + en.o( pla(ing softball, so success on the field is catching the #inning pop%up.

The Team Balance Table - A visual summary of where the Team Leader and each Team Member scored on each of the twelve factors. This table allows the Team Leader to easily see the team's overall representation on each factor. Overall Team Balance - An exploration of the characteristics not well represented on the team. The Team Leader must be aware of these characteristics to insure all critical activities are completed. Behavioral Factors - The Team Members with scores in each factor are identified. The Team Leader uses this data to easily apply the natural characteristics of Team Members to accomplish team goals. The Team Leader Action Summary - This summary consists of action steps (as suggested in the ehavioral !actors section" for supervising the greatest contribution from every member of the team.

Seven Factors of Team Success

?hen individuals gather to achieve a common goal many interpersonal dynamics play a role in whether or not the team will be successful. Sometimes a team can mesh well together and succeed at anything they attempt. however other teams regardless of available resources seem to flounder in failure. So how can leaders determine whether a team will demonstrate effective team performance% &t can be done by observing and evaluating the following seven factors that collectively contribute to team success5 cohesion communication groupthink homogeny role identity stability and team size.

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 1. Cohesiveness The first factor to consider is how cohesive members are with one another. Once a team is highly cohesive a member+s commitment and willingness to strive for e"cellence thrives. Team cohesion affects the e"tent to which members like one another get along with each other and trust and respect one another+s abilities and opinions. 7lthough these characteristics are difficult to observe managers can look for signs that team members are well-acquainted past superficial meet-and-greet topics. $anagers can also determine whether team members equally participate in group discussions and activities rather than forming cliques or subgroups of cohesive units. . Communication

-fficient communication mechanisms are crucial to develop effective teams. &n order to understand the scope of a goal and agree upon a path to reach that goal teams must develop an effective method of communication. &ndicators of effective team communication include5 mellow conversation tones willingness to consider all opinions desire to enhance communication frequency effective conflict resolution and efficient decision-making processes. !urthermore to foster team cohesion employee satisfaction and motivation organizations should implement a formal conflict resolution process in cases where a team cannot effectively resolve conflict internally. !. "roupthink <roupthink is a tendency for decision-making teams to suppress opposing viewpoints in order to preserve group harmony. This phenomenon can occur because individual team members have an overwhelming desire to be accepted and teams want to minimize conflict. ?hen determining the degree to which a team is e"periencing groupthink a manager can evaluate whether the team is e"erting an e"cessive amount of dominating characteristics. Other signs of groupthink include individual conformity apathy toward team goals and outcomes peer-pressure e"erted by leaders within the team and discussions that tend to be one-sided. #. $omogeneity ,omogeneity is the e"tent to which members are similar or different to one another. The difficulty for most pro'ect managers is finding the right balance between overly homogenous and overly heterogeneous. ?hen evaluating team homogeneity a manager can consider similarities and differences in personal characteristics education skills abilities generational backgrounds cultural background and income levels. Teams that are homogenous tend to be highly cohesive and can easily develop effective communication methods that reduce conflict. ,owever too much homogeneity leads to greater instances of groupthink. 7lternatively teams that are highly heterogeneous have an advantage because members are highly diverse which leads to more instances of creativity
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ingenuity and resourceful productivity. ,owever teams that are too diverse may limit the degree to which members can relate to one another and effectively communicate. %. &o'e (dentity (ole identity is the e"tent to which members are capable of assuming different roles throughout the team structure thus diversifying efforts and developing sub'ect matter e"perts. The diverse skills and knowledge that members bring to a team provide a large range of capabilities necessary to achieve a goal. $anagers can observe the e"tent to which a team can recognize the individual potential in each member and identify the role best suited for that member. &f not a team cannot be e"pected to be highly functional and perform well. ). Sta*i'ity The si"th factor that significantly influences team performance is the degree of stability among members and pro'ect leaders. Teams that have lower turnover rates e"perience higher levels of group cohesion better communication methods and more effective role identity. &n addition to simply evaluating turnover rates managers can evaluate the degree to which members are comfortably interdependent with one another which comes with stable and trusting relationships. +. Team Si,e @y evaluating a team+s size managers are able to ma"imize productivity to ensure high levels of team performance. The greater number of members within a team the more resources available to achieve a goal. ,owever as team size increases so does the number of conflicts resulting in decreased levels of cohesion and inefficient productivity. To evaluate whether a team is too large or small managers must consider how effectively and harmoniously members work together and whether the required tasks are being efficiently accomplished by all members of the team.

Qus#, Globali(ation 4ob Sha&ing -lobali'ation is the process b( #hich the economies of countries around the #orld become increasingl( integrated o&er time. This integration occurs as technological ad&ances e1pedite the trade of goods and ser&ices, the flo# of capital, and the migration of people across international borders.

<lobalization creates more migrant workers ,igher Skilled 1abor and better payment in developed countries Social and economic progress $abor Mar%et De"elopments
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&ffect of 'mport Prices on (ages &ffect of 'mport )olumes on (ages $abor Mobilit! and (ages Tec*nolog! +lo s and (ages

Qus5-E-Commerce and E-Business/Concepts and Definitions &-commerce is usuall( associated #ith bu(ing and selling o&er the +nternet, or conducting an( transaction in&ol&ing the transfer of o#nership or rights to use goods or ser&ices through a computer%mediated net#or$. 334 Though popular, this definition is not comprehensi&e enough to capture recent de&elopments in this ne# and re&olutionar( business phenomenon. , more complete definition is! 5%commerce is the use of electronic communications and digital information processing technolog( in business transactions to create, transform, and redefine relationships for &alue creation bet#een or among organi'ations, and bet#een organi'ations and indi&iduals. e,usiness 6e%7usiness8, or 5lectronic 7usiness, is the administration of conducting business &ia the +nternet. This #ould include the bu(ing and selling of goods and ser&ices, along #ith pro&iding technical or customer support through the +nternet. e% 7usiness is a term often used in con.unction #ith e%commerce, but includes ser&ices in addition to the sale of goods. Is e-commerce the same as e-business? ?hile some use e-commerce and e-business interchangeably they are distinct concepts. &n ecommerce information and communications technology /&)T0 is used in inter-business or inter-organizational transactions /transactions between and among firmsBorganizations0 and in business-to-consumer transactions /transactions between firmsBorganizations and individuals0. &n e-business on the other hand &)T is used to enhance one+s business. &t includes any process that a business organization /either a for-profit governmental or non-profit entity0 conducts over a computer-mediated network. 7 more comprehensive definition of e-business is5 The transformation of an organizations processes to deliver additional customer value through the application of technologies, philosophies and computing paradigm of the new economy. Three primary processes are enhanced in e-business5 C=D

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8. '&oduction p&ocesses which include procurement ordering and replenishment of stocks. processing of payments. electronic links with suppliers. and production control processes among others. 9. Custome&#focused p&ocesses which include promotional and marketing efforts selling over the &nternet processing of customers+ purchase orders and payments and customer support among others. and :. !nte&nal management p&ocesses which include employee services training internal information-sharing video-conferencing and recruiting. -lectronic applications enhance information flow between production and sales forces to improve sales force productivity. ?orkgroup communications and electronic publishing of internal business information are likewise made more efficient.

Qus-- -'nternet on culture

The relationship bet#een internet and culture is an important one. The internet is fast becoming our number 1 method of communication. T*e effects of internet on culture ,s a result, the internet is the often the most common #a( #e end up being directl( e1posed to other cultures. This mass :sharing of cultures: has an influence on all of us, and is responsible for brea$ing do#n boundaries and creating a sense of :global culture:. ;n the internet, someone from a remote &illage in +ndia can easil( meet, chat, and share opinions #ith someone from Timbu$tu. Prior to the internet, these t#o people #ould probabl( ha&e ne&er met % let alone had a chance to share their opinions, e1periences and ideas #ith each other. 7ut, because of the internet, #e are able to find out more about other cultures, and share our culture #ith others far more easil(. This means #e are able to influence and be influenced b( man( different cultures, simpl( b( clic$ing on a mouse or t(ping on a $e(board. 'nternet tec*nolog! and global culture This might not sound li$e such a big deal if (ou #ere born after 1209 % but if (ou ta$e
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into consideration the #a( the #orld #as onl( a fe# hundred (ears ago, (ou:ll see that actuall( this has a prett( big impact on culture. , fe# hundred (ears ago, people #ould ha&e to sail on a boat for #ee$s to get to far% off lands #here the( could meet and interact #ith other cultures. 51plorers li$e Christopher Columbus #ould come bac$ from their .ourne(s #ith ama'ing tales and of the #a( other people li&e, #hat the( eat, #hat their houses are li$e, and a million other details. <o#ada(s, #e don:t need to tra&el on a boat for #ee$s on end so that #e can meet people of other cultures and share our e1periences! =e simpl( add them to our >aceboo$, follo# them on T#itter or chat #ith them o&er S$(pe. 7ecause it is so eas( to communicate, people of different cultures ha&e become a lot more a#are and understanding of each other % and cultures that might pre&iousl( ha&e seemed strange and alien no# seem a lot more common and palatable. +n m( opinion, the internet is pushing us to#ards a future #here the different cultures of the #orld blend into one big colorful mi1 % #here #e all ha&e local identit(, but can identif( #ith an o&erall #eb%culture.

Effects of the Internet on Culture

Cultural ,d&ancement -"ploration of )ultures ,omogenization of )ultures +ncreased Cultural Communication

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