Professional Documents
Culture Documents
Business Skills 4
Business Skills 4
Organisational culture
Corporate culture
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The last two dimensions were found later, and in different studies, than the
first four.
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INDIVIDUALISM
Individualism is the one side versus its opposite, collectivism, that is the degree to which
individuals are integrated into groups.
On the individualist side we find societies in which the ties between individuals are loose:
everyone is expected to look after him/herself and his/her immediate family.
On the collectivist side, we find societies in which people from birth onwards are integrated
into strong, cohesive in-groups, often extended families (with uncles, aunts and grandparents)
which continue protecting them in exchange for unquestioning loyalty.
For example, Germany can be considered as individualistic with a relatively high score (67) on
the scale of Hofstede compared to a country like Guatemala where they have strong
collectivism (6 on the scale).
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MASCULINITY
Masculinity versus its opposite, femininity refers to the distribution of roles between the
genders which is another fundamental issue for any society to which a range of solutions are
found.
The IBM studies revealed that (a) women’s values differ less among societies than men’s values;
(b) men’s values from one country to another contain a dimension from very assertive and
competitive and maximally different from women’s values on the one side, to modest and
caring and similar to women’s values on the other. The assertive pole has been called
‘masculine’ and the modest, caring pole ‘feminine’.
For example, Germany has a masculine culture with a 66 on the scale of Hofstede (Netherlands
14). Masculine traits include assertiveness, materialism/material success, self-centeredness,
power, strength, and individual achievements. The United States scored a 62 on Hofstede’s
scale. So these two cultures share, in terms of masculinity, similar values.
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UNCERTAINTY AVOIDANCE
Uncertainty avoidance deals with a society’s tolerance for uncertainty and ambiguity; it
ultimately refers to man’s search for Truth. It indicates to what extent a culture programs its
members to feel either uncomfortable or comfortable in unstructured situations. Unstructured
situations are novel, unknown, surprising, and different from usual.
For example, in Germany there is a reasonable high uncertainty avoidance (65) compared to
countries as Singapore (8) and neighbouring country Denmark (23). Germans are not to keen on
uncertainty, by planning everything carefully they try to avoid the uncertainty. In Germany
there is a society that relies on rules, laws and regulations. Germany wants to reduce its risks to
the minimum and proceed with changes step by step.
The United States scores a 46 compared to the 65 of the German culture. Uncertainty
avoidance in the US is relatively low, which can clearly be viewed through the national cultures.
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LONG-TERM ORIENTATION
Long-Term Orientation is the fifth dimension of Hofstede which was added after the original four
to try to distinguish the difference in thinking between the East and West. From the original IBM
studies, this difference was something that could not be deduced. Therefore, Hofstede created a
Chinese value survey which was distributed across 23 countries. From these results, and with an
understanding of the influence of the teaching of Confucius on the East, long term vs. short term
orientation became the fifth cultural dimension.
Short term orientation
Long term orientation
- persistence - personal steadiness and stability
- ordering relationships by status and observing this order - protecting your ‘face’
- thrift - respect or tradition
- having a sense of shame - reciprocation of greetings, favors, and
gifts
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LONG-TERM ORIENTATION
Long-Term Orientation is the fifth dimension of Hofstede which was added after the original four
to try to distinguish the difference in thinking between the East and West. From the original IBM
studies, this difference was something that could not be deduced. Therefore, Hofstede created a
Chinese value survey which was distributed across 23 countries. From these results, and with an
understanding of the influence of the teaching of Confucius on the East, long term vs. short term
orientation became the fifth cultural dimension.
Short term orientation
Long term orientation
- persistence - personal steadiness and stability
- ordering relationships by status and observing this order - protecting your ‘face’
- thrift - respect or tradition
- having a sense of shame - reciprocation of greetings, favors, and
gifts
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Western cultures vary in their focus on monochronic or polychronic time. Americans are strongly monochronic whilst
the French have a much greater polychronic tendency. A French person may turn up to a meeting late and think nothing
of it (much to the annoyance of a German or American co-worker).
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Business customs
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Communication pattern
Non-verbal
Business people from the West are more task-oriented and less social-oriented
It is more important for people from Asia and the Middle East to make contact and personal
relationships, and only then go to business topics
Etiquette, behavior, and intercultural or intercultural communication have become critical elements
needed by all international and global business executives, managers, and employees.
International business continues to grow and develop and connect people, the most important
elements of a successful outcome could be respect and appreciation of regional, national and
cultural differences - CULTURAL DIVERSITY.
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France
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Germany
Business wardrobe/attire is very conservative - dark suits, neutral ties, white shirts
Distance – they don't like touch and closeness; they do not need and do not expect
compliments; they also don’t like surprises
Thinking process is very detailed and long, but once the planning is complete, the
project is implemented very quickly and deadlines are met
Accuracy - of great importance
Hanshake - with a female person - wait to see if she will be the first to extend a
hand
At meetings - seniors have an advantage (when entering, sitting, speaking ...)
Long-term business associates often still address each other as Mr. / Ms.
They like to talk on the phone, send faxes and follow up messages
Even alchohol is accepted at dinners, drunkenness is not acceptable in public - self-
control is extremely important
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Italy
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Great Britain
Accuracy – important
Clothing - conservative, but more relaxed than in other parts of Europe(men's ties may have
a pattern, but not stripes; shirts must not have pockets, and if they do, they must be
empty; shoes must be lace-up)
Be careful to differentiate 4 regions so as not to offend the business partner - Wales,
Scotland, Northern Ireland, England
Decision making - not in a hurry
Privacy is very important
Eye contact - short and superficial
Keep a physical distance during a conversation; touch is not welcome
Gifts are not part of business protocol
When you are with business partner outside of work - don't talk about work
Loud and boastful speech is not appropriate
Business lunch often in a pub with a "pint" of beer
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Canada
Due to the population structure (of European and Asian origin) it is very rich in cultural
diversity
Clothing - conservative, dark colors, sophisticated
Accuracy - important and appreciated in the English part, less in French
Behavior reserved, following rules and etiquette
Tradition is a big part of culture
Gifts – aproppriate only when concluding a deal, something small and modest
No work is discussed during dinner
Personal space and body language differ in the English and French parts - in one it is
minimal, while in the other it is more expressive
For French Canadians, have business cards in English and French
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SAD
Clothing - conservative, dark colors with beige or white shirts, more classic cuts create an
impression of self-confidence
In rural areas, the emphasis is not on conservatism, but on practicality
Accuracy - The US is based on a good, honest, workaholic work ethic; from them comes
the saying “Time is money” and accuracy is crucial
Gift giving - not supported or restricted in the vast majority of companies; a written thank
you or invitation to lunch/dinner is sufficient
Be careful when giving gifts - it should not look like a bribe
Smoking in public places is not acceptable; if you must smoke, ask permission first
Handshake - firm, 3-5 seconds, accompanied by a look
Eye contact during meetings shows your interest, honesty and confidence
Business cards are exchanged during the introduction
A smile is a sign of friendship, it is very welcome
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Mexico
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Mexico
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Muslim countries
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Egypt
Egyptians consider their country to be a bridge between the European West and the
Arab East, and business customs are a great mix of both cultures
Women must always be careful to wear "decent" clothes in public
Intimacy and touch between people of the same sex is much greater than in Europe
or the US, but people of the opposite sex are much more distant than we consider
normal
Moving away from a person during a business conversation can be interpreted as
indifference - not recommended
Smoking in public is almost the norm and if you smoke, offer others!
The Arabic alphabet is read from right to left and if you are printing something,
import the text in the same way; a document will be better accepted if it has an
impressive first page
Meetings will often be interrupted by phone calls and visits
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Saudi Arabia
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Saudi Arabia
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UAE
Clothing for men - despite the heat, most of the body must always be covered -> jackets
and ties, buttoned shirts, long pants; do not wear visible men's jewelry, especially around
the neck.
Clothing for women - long skirts as in Saudi Arabia
Don’t admire too much something owned by your business partner as it may be
considered mandatory to give it to you
Alcohol and pork – are not welcome and are illegal
There are several possible types of greetings - it is best to wait for your business partner
to initiate a greeting
Gifts are not needed, but they are appreciated (they are not open before the one who
gave it, but privately)
Gifts to avoid: alcohol, perfumes containing alcohol, pork, pigskin products, personal
products such as underwear, knives, dog toys or gifts with pictures of dogs, pictures of
naked or partially naked women (even if work of art)
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Argentina
Try not to dominate the conversation
Gestures
- "I don't know" or "I don't care" = hand movement from under the chin to over the head;
- “Hurry” or “a lot” = with your thumb and forefinger as if holding a little salt
- “Fig” = very rude!
Visual contact is extremely important; clothing is conservative
Be sure to make an appointment before you arrive
Long working days, even until 10 pm - a meeting at 8 pm is the most normal
Business lunches unusual (going to family), more frequent dinners; crossing a knife and fork
means "I'm done", never pour wine over your hand
Gifts to avoid - personal items (shirts, ties, leather, knives); and because of the high taxes on
alcohol, it is welcome, especially whiskey and French champagne
Titles very important; two surnames - use only first
Topics of conversation - good: football, history, culture, family, opera; bad: the reign of the
Peron family, religion, conflict in the Falkland Islands
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Jewish customs
The concept of social responsibility is very broad and important, and in business it includes different
attitudes towards: clients, employees, stakeholders, competition and the community
The center of Jewish law is the individual on the one hand and the community on the other - by limiting the
behavior of the individual, the behavior of the whole company is controlled (from within)
In addition to biblical law supported by oral tradition, it also contains laws passed by various rabbis, social
laws, secular laws of the country in which the business takes place, and commercially established customs.
Everything is based on the basic saying "work properly and work well" which automatically fights against
cheating, lying, stealing and the like.
The Torah teaches how to live in this world. This world is a mixture of good and bad and we know that we
live in a world where other people do not play by the same rules. But the test for a moral person is not to
prove whether he is behaving morally when others are behaving morally towards him. The test of an ethical
and moral person is one in which she adheres to these values even when everyone around her does not.
(Rabbi Yitzchok Breitowitz - on business ethics)
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Brasil
Green and yellow - the colors of the flag - do not use in fashion
The suit in 3 parts is considered managerial, in 2 parts it is for office workers
Clean and maintained nails and hands are important
Gestures (OK - a rude gesture; Expressing gratitude - pinching the ear; „Fingers crossed" invocation of
good fortune; Cracking fingers under chin – „we don’t know the answer”)
Meetings should be planned and announced at least 2 weeks in advance; never come to government
offices unannounced and in a hurry
Be prepared to invest heavily in time and money to build strong relationships = the key to success!
Business meetings always start with a long informal conversation; music and long lively
conversations are favorite habits - interrupting a conversation is considered a delight; a lot of
jokes, informalities
Gifts - never purple flowers (funeral)
Handshake - long and frequent, with everyone in the meeting, visual contact essential
Bad topics to talk about - Argentina, politics, poverty, religion and the rainforest
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Chile
Clothing - darker colors, light shirts and a conservative tie. Bright colors and modern clothing as
well as badges, brooches, etc. are not appropriate; women suits and high heels
Physical closeness in conversation; visual contact essential
Accuracy - appreciated
Business cards are printed in both languages and given to everyone except the secretaries
Evening entertainment at hotels and restaurants; never pour wine with your left hand - wines are
a national treasure
Good behavior at the table is essential
Gifts in business are not expected until relationships become stronger
Titles are important
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Russia
Negotiations often involve fiery discussions and conflicts of temperament and leaving the
meetings
Clothes are mostly tailor-made, dark colors, quality footwear, skirts are preferred for
women's clothing
Should not keep your hands in your pockets (offensive)
Do not show the soles of shoes and never put your feet on chairs
Women must always cover their heads when entering Orthodox churches
Accuracy - it is expected that a foreigner is always on time, while the Russian will be late,
is considered a test of our patience - a highly valued virtue.
Do not expect the Russians to apologize for the delay, even for 2-3 hours of delay. Even we
can be 15 - 30 minutes late for social events!
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Russia
Some Russians will view the compromise during the negotiations as a sign of weakness and
will reject such a way of doing business
The final offer will often not be the end of the negotiations, so it is good if you hold out a
little longer and continue the negotiations
The meaning of "connection" or "influence" is still in force, and it is almost impossible to
establish business without the help of a local "connection".
Giving gifts and money will „help” in this step
Always take off your gloves for a handshake - an insult if you don’t
Business cards printed on both sides
Refusing a drink at a toast is a major violation of etiquette
Loud speech or laughter in public is inappropriate because Russians are very reserved in
their behavior
The literacy rate is almost 100% so don’t underestimate them
Good topics for discussion are current good changes and the economic situation
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China
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China
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India
Clothing - a suit with a tie and conservative dresses or a suit with trousers for women (they must always
have their arms covered up to the elbow, chest, back and legs)
A cow is a sacred animal and do not wear or use leather products
The head is considered the seat of the soul so never touch someone else’s, even children’s
Calling a person with the index finger up is offensive, just like standing with your hands on your hips.
Whistling and winking can be interpreted as an insult and have sexual implications.
Never point your feet at a person - they are considered unclean; if your shoes touch another person,
apologize
Gifts are not opened in the presence of the one who gave them to you
Work is done during lunch; Hindus do not eat beef. After the meal, do not thank the host because "Thank
you" is considered a method of payment and is offensive
The word NO in India has very negative implications - rejection will often be pronounced in some other
way; never reject the offer directly, but answer with "I will try ..." which will be considered an acceptable
rejection
Status and titles are very important, always use them
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Indonesia
Accuracy - essential, but only for foreigners
Always get up when your host enters the meeting room
Handshake - soft and long; women do not shake hands with men and vice versa
When exchanging business cards, full attention should be paid to this ceremony - hold the business card
with your right hand and hold your right wrist with your left
Read the business card well and for a long time; never write on it; don't put it in your pockets.
A very important title for those who have been to Mecca is HAJI or HAJA and this should be noted.
"Yes, but ..." means NO
Never use red ink when writing or printing material
When eating, touching, handling business papers and money, always use only your right hand.
There is no talking during the meal.
Do not show shoe soles.
Do not touch anyone's head
Gifts are often given, but they are opened privately (pay attention to different cultures when giving gifts -
Muslims, Hindus, Chinese .... do not use white, blue or black when wrapping. In case you give money as a
gift, the banknotes must be new, in an even number and in a red envelope (Chinese). Never give away an
umbrella - it means you never want to see that person again)
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Hong Kong
Presentation colors - black and white (Red is the color of happiness! White is the color of death)
For a business meeting - a red tie - leaves a good impression
Surprise or fear of something is expressed by loud and rapid drawing of air between the teeth - in
which case it is recommended to change your request / offer ... because the host is obviously
dissatisfied
Do not wipe your nose in public
Do not play with sticks before and during meals - negative implications
It is rude to refuse a drink because it is used in the relationship building phase which is very
important for your host
Gifts - the same rules as the Chinese
The standard way to entertain business partners is "bar hopping" and karaoke, so be prepared for
that every night.
At the end of the visit, as a sign of gratitude and respect, invite the host to dinner
Silence is highly valued and there will be many such moments during meetings
Accuracy is important, make an appointment before you arrive
Patience is very important - making decisions takes a long time 46
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Japan
Clothes - must leave an impression! Dress to impress… Shoes - they will often be taken off, so it is good that they
are not on laces. Women should not wear pants - offensive to men, as well as high heels! In case you are wearing
a kimono, tie it from left to right as otherwise it will symbolize death
Avoid wide and sudden hand movements, unusual facial and facial expressions or any dramatic movements
Avoid the OK sign - it means money
Do not wipe your nose in public and do not point your fingers
Personal space is valued for its cramped lifestyle
A smile can have an ambiguous meaning - joy or dissatisfaction
Silence is often used as an advantage in business situations
Alcohol is a very important part of Japanese culture - a way to relieve stress; but never pour yourself a drink -
let someone do it for you
Karaoke and "hostess" bars are a common way of business entertainment
If the host invites you home, it is an expression of great honor
Accuracy doesn't matter - it's fashionable to be late
If you choose a restaurant, the Japanese will like the western style.
It is socially acceptable and desirable to sip noodles because that is how you show that you enjoy food!
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Japan
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Australia
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New Zealand
Accuracy – essential
During the first few business meetings, keep a reserved and formal way of behaving
A firm handshake and good eye contact; the woman extends her hand first
Gestures - avoid the Victory sign with the palm facing you
Very little is said during the meal; lunch is for work and dinner is for informal gatherings
Bragging is not acceptable under any circumstances, even when you are drinking
Before you take a picture of someone, be sure to ask permission
Avoid comparing or confusing New Zealand with Australia
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Image
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We distinguish:
PRODUCT IMAGE
BRAND IMAGE
CORPORATE IMAGE
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Branding
Brand building
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…the brand is not only managed by you -the customer, the client,
the user, the employee, together with you manages your brand
If you want to create a strong brand, send a clear and consistent
message and take care of your customers.
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https://www.minisoft.com/index.php/5-steps-for-
creating-a-loyal-customer-base/ (13.3.2019.)
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Sustainable development
Sustainable development means:
"Meet the needs of present generations without compromising the ability of future
generations to meet their needs." (UN, 1987)
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SUSTAINABLE
DEVELOPMENT
03 02
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Corporate social responsibility (CSR) is a self-regulating business model that helps a company be
socially accountable to itself, its stakeholders, and the public. By practicing corporate social
responsibility, also called corporate citizenship, companies can be conscious of the kind of impact they
are having on all aspects of society, including economic, social, and environmental.
To engage in CSR means that, in the ordinary course of business, a company is operating in ways that
enhance society and the environment instead of contributing negatively to them.
• Corporate social responsibility is a business model by which companies make a concerted effort to
operate in ways that enhance rather than degrade society and the environment.
• CSR helps both society and the brand image of companies.
• Corporate responsibility programs are a great way to raise morale in the workplace.1
• Some examples of companies that strive to be leaders in CSR include Starbucks and Ben & Jerry's.
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7 areas of CSR
• Basic principles
• Mission and values
• Human resources
• Human rights
• Market
• Environment
• Social community
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It helps us in:
Reducing costs
Energy consumption and waste
Highlight and differentiate our company among others
Encourages the creation of innovative products and business processes
Encourages the entering to a markets
Helps attract and retain the best employees
Improve the image of the company among shareholders and the public
Ensure a better quality of life
In the long run, CSR brings brand loyalty, and therefore profitability.
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CSR – norms
The international standard SA 8000 was developed by Social
Accountability International – SAI
Created in accordance with the principles of the International
Labor Organization (ILO) conventions, the World Declaration
of Human Rights, the United Nations Convention on the Rights
of the Child, the United Nations Convention against All Forms
of Discrimination against Women and ISO 9001 and ISO 14001
Standard SA 8000: 2008 provides transparent, measurable and
verifiable requirements for the certification of organizations
in important areas (child labor, forced labor, health and
safety, freedom of association, discrimination, disciplinary
measures, working hours, remuneration and management)
Certification assesses how the CSR system successfully
supports the areas that are most important to organizations
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CSR – norms
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Europe 2030
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CSR - research
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With the rise of CSR reporting, questions have emerged regarding its true utility; CSR
reports may more closely resemble marketing materials than financial statements, and
while clear reporting frameworks such as the GRI’s exist, much of the data companies
provide can be cherry picked.
2016 PwC survey revealed that nearly three-quarters of investors are neutral or
somewhat dissatisfied with ESG reporting practices.
Robert Gutsche, Jan-Frederic Shulz, and Michael Gratwohl note in their paper Firm-
value Effects of CSR Disclosure and CSR Performance, “most CSR disclosures have more
than 200 pages and contain information that is connected only loosely to CSR
performance.”
There is currently little in the way of assurances that investors are getting the true
information they need to make truly informed investment decisions, and companies
may benefit solely from the appearance of CSR activities; as Gutsche, et al. note, when
it comes to CSR reporting “words currently speak louder than actions.”
Source:https://www.saturna.com/insights/yardarm/beyond-facade (4.2.2022.)
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Corporate social responsibility could become a fundamental moral value of any "smart"
organization through which people, the planet and profit will be viewed equally importantly.
CSR partnerships and donations - a way to create new values and mutual relations
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Corporate social responsibility could become a fundamental moral value of any "smart"
organization through which people, the planet and profit will be viewed equally importantly.
CSR partnerships and donations - a way to create new values and mutual relations
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CSR
As being socially responsible we can stand out and differentiate our company among others;
we encourage creativity, improve the working atmosphere, the perception of the company,
attract and maintain quality working human potential, ensure a better quality of life.
CSR is a powerful means of positioning in marketing terms, in the minds of consumers on
whom we ultimately depend in the market.
In the long run, CSR brings brand loyalty, as well as profitability.
Although the awareness of CSR is not on the same level in all countries, a new time is coming
in which we expect that the importance of responsibility towards a society integrated into
business and the creation of a corporate identity will be increasingly recognized.
CSR should be approached as an investment that will be profitable for both the company and
the local community in which it operates, and ultimately globally.
It is desirable and necessary to talk about CSR on a daily and permanent basis and emphasize
CSR as a business concept that enables a "win-win" situation, a benefit for both parties.
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Project management
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PROJECT
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PROJECT definitions
A project is a complex transaction that covers a package of products, services and work specifically designed to
create long-term assets that benefit the customer over a long period of time.
Hauc: "By project we mean the design and implementation of the entire service of special significance,
determined by performance, time and cost!„
A project is a series of activities aimed at achieving clearly defined goals within a certain timeframe and with a
certain budget ”(Project Cycle Management Guidelines, European Commission, 2008).
The project is a temporary and planned transformation of organizational knowledge undertaken with the aim
of creating a unique product or service, optimal quality, which are in accordance with the previously defined
strategic goals of the organization
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PROJECT - definitions
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Project
The project has the following characteristics (Project Management, Fachmann, 1996):
Target orientation
Temporal determinism (Timing)
Uniqueness
Novelty
Complexity
Financial budget
Legal and organizational affiliation
It is a reflection of the ability of the project manager and the investor / sponsor
Has its own structure
Transforms the existing problem state into the future, desired state
Projects are traditionally defined as tasks with specific features that are reflected in the complexity of the
content, relative uniqueness, high risk and high strategic importance for the company and other
organizations.
Projects are understood as goal-oriented tasks, because the goals (determined by the scope, deadlines,
required resources and costs) are planned, coordinated (agreed) and controlled. (Anton Hauc- Project
Management)
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Projects are
business to achieve the
strategy desired results
instruments
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Companies that use project management are able to significantly reduce operating costs and at
the same time increase productivity, while acquiring new knowledge and competencies,
introduce new technologies, achieve competitive advantages and achieve faster return on
capital in projects (ROI index)
The solution for modern business is PMO (Project Management Office) as a new business
standard, within the office to have an expert who can contribute to better management of
business activities
Projects are
business to achieve the
strategy desired results
instruments
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Communication
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Unrealistic expectations
Over-ambitiously defined scope of the project Poor supervision and Unrealistic planning and
Lack of clear agreement between stakeholders ofcontrol in the initial phase
project implementation
implementation - lack of
understanding and
Vaguely defined objectives - evaluation of deviations anticipation of change
from the plan
Poorly set project management plan
Poor estimate of time, costs
Poor communication, lack of communication skills,
Lack of communication plan
Lack of knowledge and skills
Lack of resources
Lack of support in the organization
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Project roles
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Gantt charts are a display of a series of sequential actions that determine the shortest time to
complete a project that seasons a critical path. A shift in any part of the critical path extends the
duration of the entire project.
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Milestones
Type of objectively verifiable indicators that allow the identification of
short-term and medium-term goals (most often activities) that facilitate
the measurement of results throughout the project, and not just at the
end
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Project initiation
Recognizing the need to carry out a project in order to obtain a specific result that will have a direct
impact on improving the market position of the organization
The project idea can be initiated by: top managers, workers, government, customers / clients
Project initiator - is often a beneficiary of the project result
QUESTIONS
What is a project result?
What are the business reasons and goals of starting the project?
What are the key project intermediates, key points and main activities?
What are the basic assumptions and limitations?
What is the indicative budget?
When is the project scheduled to end?
How do we measure project success?
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Project management
1. Define project objectives (SMART * objectives)
2. Develop a project implementation plan
3. Define the foundations of project control
4. Risk management
5. Effectively complete the project
planing
organisation control
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Deming Cycle
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Project plan
Task is to connect the idea with reality and define the success criteria of the project
Realistic planning of time, budget, materials, human and other resources for the most efficient project
management, and allows better definition of criteria for selecting a communication system that
integrates the project network
A complex task because it is a process of constantly checking and updating new information in new
circumstances
It defines what needs to be done, who will do it, where, when and in what way, with previously set
goals and according to a specific scope
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For example:
Number and name of activities
Duration of activities
Competence to carry out activities
Description of activities
Connection with other activities (time-causal)
Necessary funds
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Practical implementation
Identify everything that needs to be done; make a clear and consistent basis for
implementation; minimize risks; establish a system for effective monitoring and
control, plan the implementation of activities in real time frames
Project title - Project kick-off meeting - Schedule of regular meetings - Project
overview - Project information - Monitoring of project time spent - Project website -
Activity plan - Cost plan
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GUIDANCE
ASSESSMENT AND PLANNING
ASSEMBLY AND FORMATION OF THE PROJECT TEAM
PROJECT COMMUNICATION
NEGOTIATION
PROBLEM SOLVING
MANAGEMENT OF CHANGE
ETHICS AND MORALITY
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Project requires more resources than those available within individual parts of the
organization, coordination is important
There is a need for expert knowledge of people who are in other parts of the
organization – collaboration
Networking with customers and suppliers occurs – interrelationships
Information and telecommunication technology is improving
The organization is located in a dynamic market exposed to international competition
and demanding customers, with the importance of conscientious behavior in the field
of environmental protection - environmentally conscious organization
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Accepted by all (clients, sponsors, team members, the organization itself)loyal to the
organization and ready for adjustments
The person once selected is harder to replace as the project process progresses
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Project teams
People - the key to success
Teamwork - project management - creating project teams as a basis for gaining strategic
competitive advantages
“The job of a project manager is not easy. He has great responsibility, but little authority. ”
H. Kerzner, project management guru
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Project teams
Consider… how important it is:
Goal?
Purpose?
Communication?
Commitment? Control?
Opportunities? Consequences?
Clear expectations?
Cooperation?
Coordination?
Creativity?
EXPECTATIONS OF TEAM MEMBERS FROM
THE PROJECT MANAGER:
Tell me what you expect from me?
Give me information if I did well?
Give me directions when and where I am
needed?
Reward me according to your contribution!
The role of communication - crucial!
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Forming a team
ISSUES: the most common rule - the busiest people in the organization are always chosen in the team (resource problem);
It is important to ensure a synergy effect in order to respond in a timely manner to market demands
STEPS:
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Stakeholders
We can distinguish:
External - media, educational institutions, financial groups, insurance companies, local committees,
local/regional/national or other level of government, authorities and the general public
Different social groups have different problems, abilities, desires and interests that need to be clearly understood
and recognized in the process of defining problems, setting goals and choosing strategies because stakeholders
can and do influence project implementation, either positively or negatively.
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EU TERMINOLOGY
Beneficiaries: stakeholders who benefit in any way from the implementation of the project
Target Group: direct positive influence them through the achievement of project goals
Final Beneficiaries: they will benefit long-term from the project at a wider societal or sectoral level
Project partners: implement the project with us as Lead beneficiaries
Associates: one form of partner organization (EC distinguishes them from partners because associates are not
funded by the project)
Additional reading
Kay, J.: “Th e Stakeholder Corporation”, u G.Kelly, D.Kelly, A. Gamble (red.) Stakeholder Capitalism, Macmillan,
London, 1997; J. Kay: “Th e Customer Corporation”, Th e Business of Economics, Oxford University Press, Oxford,
1996.
Blair, M.: “Ownership and Control: Rethinking Corporate Governance for the Twenty-First Century, Brooking
Institution Press, Washington, D.C., 1995.
Kolaković, M., Sisek, B. Social enterpreneurship as a mean of achieving goals of stakeholder society and economy,
Economy & Business International Scientifi c Publications, Vol.1 2007. Science Invest Bourgas, Bulgaria, ISBN 978-954-
9368-27-7, str. 179-191. (www.ScienceBg.Net, www.eJournalNet.com)
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Figure: Stakeholders
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Stakeholder analisys
Source: https://www.businessanalystlearnings.com/ba-
techniques/2013/1/23/how-to-draw-a-stakeholder-matrix Source: https://projectizing.com/stakeholders-analysis-
(2.3.2022.) powerinfluence-interest-matrix/ (2.3.2022.)
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Lifelong learning
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Modern organisation
The best workers feel useful, free to communicate and share ideas, learn and work together
Modern organization turns data into information, information into knowledge, and knowledge
into organizational wisdom, which creates a competitive and competitive advantage in the
market
An effective organizational structure enables AWARENESS in the initial phase of the project,
leads to UNDERSTANDING in the implementation phase of the project, creates COMMITMENT in
the phase of concluding the project and allows CHANGES IN BEHAVIOR (ORGANIZATIONAL
KNOWLEDGE).
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Repetition
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● Communication is the basis and condition for the success of all interpersonal private and business
relationships.
● People communicate for many different reasons, depending on their own needs and interests; so we
communicate for fun, to show affection for someone, friendship, to impress others, to convince
someone of something, because we want people to know or understand something, to take some steps,
... One of the obvious reasons for which we communicate, especially in the business world, is just
getting information that can be important to us in business operations to make good business decisions.
● For successful communication, a person needs to know himself, his thoughts, reactions, feelings, as well
as be aware of himself and his behavior in order to be able to participate in the exchange of information.
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Communication
Outfit/attire www
Oral Written
Feelings E-mail
Non-formal Formal
Communication with
Unplanned Planned look Group e-mails
Web notes
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RELATIONSHIP - Who do I think you are? What is my attitude towards us? (nonverbal)
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2. "Every communication has a content and relationship aspect such that the latter classifies the former
and is therefore a meta-communication." (communication is a need, action, experience, knowledge
(about symbols and their meanings and patterns of behavior), it becomes predictable when we reduce
ambiguities) The content of every communication is interpreted depending on the context of the
relationship between the communicators.
4. "Human communication involves both digital and analogic modalities.". COMMUNICATION HAPPENS
ON 2 LEVELS: VERBAL AND NON-VERBAL
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1. Anticipation - is a kind of listening. By knowing a person, we can predict their reaction to our actions. If it is a
potentially conflicting situation within which we are aware that we have messed up, we know in advance that it is
better for us to listen than to argue.
2. Receiving a message - occurs after listening because listening is a psychologically demanding and complicated
process that requires the involvement of the senses of hearing and brain convolutions, and we are expected to
verbal and nonverbal responses, reactions. The messages we receive come in all forms and shapes from different
sides, we get them more than we need or can absorb. That’s why we filter them by importance and priority.
3. Attention - is an individual thing, we decide to whom / what we will direct it and that is why we still call it
selective attention. Apart from the fact that attention is influenced by our perception of something or someone, of
what is important and interesting to us, equally important is the concentration with which each communicator has
in his own way. Often a lack of attention is associated with boredom which is a potential threat in communication.
The best listener is the one who cannot get bored, who has a good power of organizing and absorbing the messages
he receives and who has a good basis of communication skills.
4. Message analysis - occurs after we have decided to pay attention to a particular message, and we analyze
everything; how the message was sent, the tone of the sender of the message, gestures during sending the
message, facial expression of the sender ... Its relevance is important to us, but also the connection with our
previous knowledge of the topic, also whether it contradicts our views of the world and beliefs, and if it is
unknown to us, it presents a challenge to us.
5. Memory - is an indispensable process of listening. It is a selective process of determining the important from the
unimportant. When we are not sure that we understand the messages we receive, it is best, if possible, to
interrupt the sender and ask him for more detailed clarification.
6. Message evaluation - evaluation, ie evaluation of messages based on events and experiences.
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"Sales is an interpersonal communication process in which the seller discovers and meets
the needs of the customer in order to achieve mutual long-term benefits for both parties."
(Castelberry, Tanner, 2013)
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1. Traditional approach
1 2 3 4 5 6
1. LOCATION AND SEPARATION OF FUTURE CUSTOMERS - when collecting data on future
customers, the seller must use a database, previous experience and knowledge, and on this
basis to identify the company and potential customers who will be the target segment
2. PREPARATION OF SALES FLOW - the goal is to continue the process of meeting potential
customers
3. SALES PRESENTATION - THE CORE OF THE SALES PROCESS (importance of 1st contact,
questions, answers)
4. PURCHASING GOALS AND RESISTANCE MANAGEMENT - potential buyers feel resistance
(hesitation) to purchase; the seller must be prepared to manage these customer risks
5. CONCLUSION OF SALES - this is the ultimate goal of sales communication in which the
seller expects to accept the product and sign the order
6. SELLER'S AFTER-SALES ACTIVITIES - the seller must respond to customer complaints
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Sales duration
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Sales – Phrases/steps
Source: https://salesintel.io/blog/7-step-sales-process/
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Cyclical process
Prospecting
The most common mistake many salesmen make is that they start with telling the client about all the advantages of the product or service. They think they don’t
have anything else to talk about with their clients except for that. Therefore, they fuss, babble and do basically anything to avoid awkward silence and make sure
the client doesn’t consider them incompetent or useless.
However, as you may have already understood, this is not the best strategy. The first thing a perfect salesperson must do is pinpoint the client’s needs (i.e., their
pain points). So, the salesperson just asks leading questions and listens to the client’s answers. Consequently, the more information you get from the client
during such a conversation, the more likely you are to close the deal.
During this step, the salesperson should be an active listener (which means responding to what the client says verbally and non-verbally). What is important, you
should avoid asking too many questions – up to 20 questions in total will do fine.
Preparation
Now that you have all the information the client gave you before, you will know how to present your product for this particular person in the most enticing way.
Perhaps, you will need to come up with a legend like this one: “Company X encountered similar issues, then they reached out to us, and we solved them at the
fundamental level”. The most important part is selecting the arguments that will make your story easy to believe and fall for.
Approach
There is a rule of three “+” during contact establishment. In order to make a stranger like you, you should evoke positive emotions in him or her at least three
times. Salesmen usually achieve this by using non-verbal signs (smiling to the clients and adopting open body language), giving compliments (although it
shouldn’t turn into obvious flattery), and asking questions that guarantee positive answers. Salesperson’s likable appearance, confident voice, and sincere (or at
least seeming to be so) desire to help the client are also the keys to establishing the contact.
Presentation
During this stage, you just “press” the pain point that is the most crucial for the client. He or she will be ready to spend some money and make a deal with you
only to get rid of a truly disturbing pain point. (You already know what it is because the client already told you about it during the prospecting stage.)
As for the presentation itself, don’t limit yourself to an aesthetically pleasing PowerPoint one (although it can be a good idea in some cases). In general, the
presentation is any convenient place where you can show the best of your product. This is why many deals are closed in an informal setting (for example, in a
restaurant).
The key point of the presentation is for you to connect the characteristics of your product or service with the concrete benefits for the client. Use 5-7 such
phrases in the presentation. But remember – if you exceed this number, your speech will be perceived as too intrusive.
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Handling Objections
During this stage, the salesperson’s task is to address the client’s objections by diminishing all the ‘but’s and ‘no’s to their minimum.
Perhaps, you will encounter a situation where your client starts arguing. It happens, and it is a usual thing. If you are negotiating a serious deal or you are talking to a
difficult client, you should brace yourself for five or six ‘no’s before you finally close the deal.
The main technique for dealing with this is replying by agreeing. It doesn’t matter what the client tells you; you have to agree with him or her every time. It is
important to understand that you should agree not with your product/service being low-quality but with the opinion having the right to exist. So, basically, you
communicate to the person: “Yes, you have the right to think so”.
Imagine your client telling you: “Your steam cookers are low-quality”. In this case, you should start answering in such a manner: “I agree with you that considering
the quality when choosing home appliances is very important, …” Then, you continue with the advantage of your product.
In other words, you shouldn’t use arguments like “you are not smart enough to appreciate the quality of our steam cookers” to deal with an objection. Instead, you
should try to softly lead the client to the main benefits of your product or service that you have demonstrated during the presentation (and remember – they are
related to the client’s pain points).
Closing
During the closing stage, you should nudge the client in the direction of making a purchase. There are several easy techniques that will help you do this.
For example, you can say: “So, we have taken a look at this and that. Tell me, what did you like the most?” (and you just wait for the client to answer). Usually, the
client will say something like “I liked that your steamer has three tiers”. Then you ask: “And what do you think about our product/service as a whole?” (and you wait
for the client’s response again).
In this case, the client will convince himself or herself that if they like a certain thing about your product, they like the whole product itself. And this is what you will
hear as a result.
The next thing you should ask is “Do you have any questions left?” and wait again. If there are some, you answer them; if not, you say: “I am very glad you liked
everything. So, the only thing left to discuss is…” and you start negotiating the documents, delivery, etc. – and this will lead the client straight to making the
purchase.
Follow-Up
During this stage, you seal the deal fast and with no mistakes to form a good final impression about you and your presentation in general. Your aim is to make the
client leave with the feeling of a successful deal instead of the feeling of being cheated or pressured into buying something.
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Potential customers
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Introduction - just one sentence where you present yourself, your name, your startup and position at the
company.
Problem & Solution - Briefly explain the problem that your customers are facing and the way you solve this
problem. Try to highlight the benefits of your idea.
Competitors - Underline how your solution can outperform the competition.
Market Opportunity - Mention the market size and explain why now is the best moment to enter the market.
Show that there is a big market opportunity you want to seize.
Business Model - Explain how your startup makes money.
Achievements - Here you need to show the most important milestones you have achieved so far. It can be key
growth metrics, product development, market validation, strategic clients or partnerships.
Your Request - Share with investor the information, which resources your startup needs to achieve next
milestones. Explain those steps to make the request reasonable.
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Complaints – types
NEED - I don't need your product; I am happy with what I have
PRICE (most common complaint)Too expensive; We have a better offer; We are
looking for something cheaper; We can't afford it
PRODUCT / SERVICE - I don’t like color, design, style; It is of poor quality; Poor
performance
SOURCE - I've never heard of you before; You are too young a company; You
have bad publicity
TIME - I need to think about it more; I can't decide now; I need to check with
my partner
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Indirect techniques:
Reducing contacts between the parties in the conflict
Appealing to common goals
Transferring responsibility for conflict resolution to a higher level
Thinking about reorganization
Direct techniques:
Avoidance - physical or mental withdrawal from the conflict; both sides pretend that the conflict
does not exist and hope that it will disappear on its own
Giving in - adjustment to the interests of another person
Imposition - use of power and more aggressive approach for personal gain
Compromise - both sides give in, use of middle ground
Cooperation - win-win solution
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OBJECTIVES
It is necessary to define:
Target position - what the company wants and hopes to achieve
Minimum position - the least the company is willing to accept
Opening (initial position) - initial proposal that is higher than the target
position
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The 7S model can be used in a variety of situations and can: improve company efficiency, examine the
likely effects of future changes within the company, align departments and processes during mergers or
acquisitions, determine how best to implement the proposed strategies…
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Corporate social responsibility (CSR) is a self-regulating business model that helps a company be
socially accountable to itself, its stakeholders, and the public. By practicing corporate social
responsibility, also called corporate citizenship, companies can be conscious of the kind of impact they
are having on all aspects of society, including economic, social, and environmental.
To engage in CSR means that, in the ordinary course of business, a company is operating in ways that
enhance society and the environment instead of contributing negatively to them.
• Corporate social responsibility is a business model by which companies make a concerted effort to
operate in ways that enhance rather than degrade society and the environment.
• CSR helps both society and the brand image of companies.
• Corporate responsibility programs are a great way to raise morale in the workplace.1
• Some examples of companies that strive to be leaders in CSR include Starbucks and Ben & Jerry's.
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It helps us in:
Reducing costs
Energy consumption and waste
Highlight and differentiate our company among others
Encourages the creation of innovative products and business processes
Encourages the entering to a markets
Helps attract and retain the best employees
Improve the image of the company among shareholders and the public
Ensure a better quality of life
In the long run, CSR brings brand loyalty, and therefore profitability.
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We distinguish:
PRODUCT IMAGE
BRAND IMAGE
CORPORATE IMAGE
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Project
The project has the following characteristics (Project Management, Fachmann, 1996):
Target orientation
Temporal determinism (Timing)
Uniqueness
Novelty
Complexity
Financial budget
Legal and organizational affiliation
It is a reflection of the ability of the project manager and the investor / sponsor
Has its own structure
Transforms the existing problem state into the future, desired state
Projects are traditionally defined as tasks with specific features that are reflected in the complexity of the
content, relative uniqueness, high risk and high strategic importance for the company and other
organizations.
Projects are understood as goal-oriented tasks, because the goals (determined by the scope, deadlines,
required resources and costs) are planned, coordinated (agreed) and controlled. (Anton Hauc- Project
Management)
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Unrealistic expectations
Over-ambitiously defined scope of the project Poor supervision and Unrealistic planning and
Lack of clear agreement between stakeholders ofcontrol in the initial phase
project implementation
implementation - lack of
understanding and
Vaguely defined objectives - evaluation of deviations anticipation of change
from the plan
Poorly set project management plan
Poor estimate of time, costs
Poor communication, lack of communication skills,
Lack of communication plan
Lack of knowledge and skills
Lack of resources
Lack of support in the organization
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Milestones
Type of objectively verifiable indicators that allow the identification of
short-term and medium-term goals (most often activities) that facilitate
the measurement of results throughout the project, and not just at the
end
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Stakeholder analisys
Source: https://www.businessanalystlearnings.com/ba-
techniques/2013/1/23/how-to-draw-a-stakeholder-matrix Source: https://projectizing.com/stakeholders-analysis-
(2.3.2022.) powerinfluence-interest-matrix/ (2.3.2022.)
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Figure: Stakeholders
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