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and the various departmental heads reporting to them. Often the only time shareholders can influence the board
is at the yearly shareholders' meeting.
Some firms may only produce one good or service. Others may produce many different products; in fact
they may seem to be like a collection of 'businesses' inside one company. As a company gets bigger it may ex-
pand geographically. Many large firms are multinationals with manufacturing plants and trading locations in
several different countries spread around the world.
Offices
The physical surroundings of most modern places of work, especially offices, are becoming more and more
similar. Although there are some differences from country to country, one office looks much like another. Of-
fice furniture and equipment tends to be similar- desks, chairs, lamps, filing cabinets, computers, phones, pho-
tocopiers, etc.
The 'atmosphere' of the workplace can influence the effectiveness of a company's employees. Modern of-
fices are more spacious and better lit, heated, ventilated and air-conditioned than in the past. But of course this
is a feature that varies from firm to firm and may be dependent on the size of the company and its corporate
'philosophy'. In some companies, the employees work in large open-plan offices without walls between the de-
partments. In others, the staff works more privately in individual offices.
Work relations with other people at the place of work include relationships with fellow employees, workers
or colleagues. A great part of work or job satisfaction – some people say the major portion – comes from 'get-
ting on' with others at work. Work relations will also include those between management and employees. These
relations are not always straightforward; particularly the management's assessment of how you're performing
can be crucial to your future career.
Industrial relations
There will always be matters about which employees will want to talk to the management. In small busi-
nesses the boss will probably work alongside his or her workers. Anything, which needs to be sorted out, will
be done face-to-face as soon as a problem arises. There will be no formal meetings or procedures. The larger
the business, the less direct contact there will be between employees and management. Special meetings have to
be held and procedures set up, to say when, where, how and in what circumstances the employees can talk to
the management. Some companies have specially organized consultative committees for this purpose.
In many countries of the world today, particularly in large firms, employees join a trade union and ask the un-
ion to represent them to the management. Through the union all categories of employees can pass on the com-
plaints they have and try to get things changed. The process through which unions negotiate with management on
behalf of their members is called 'collective bargaining'. Instead of each employee trying to bargain alone with the
company, the employees join together and collectively put forward their views. Occasionally a firm will refuse to
recognize the right of a union to negotiate for its members and a dispute over union recognition will arise.
Where there is disagreement, bargaining or negotiating will take place. A compromise agreement may be
reached. Where this is not possible, the sides can go arbitration and bring in a third party from outside to say
what they think should happen. However, sometimes one of the sides decides to take industrial action. The
management can 'lock out' the employees and prevent them from coming to work. This used to be quite com-
mon, but is rarely used today.
The main courses of action open to a trade union are: a strike, a ban on working overtime, 'working to rule'
(when employees work according to the company rule book), 'go-slows' (employees may spend more time do-
ing the same job) and picketing (employees stand outside the entrance to the business location holding up signs
to show that they are in conflict with the management).
Every country has its own tradition of industrial relations, so it is difficult to generalize. In some busi-
nesses, unions are not welcomed by the management. But in other countries the unions play an important role
both in the everyday working relations in individual companies and also in the social and political life of the
country.
T a s k 2. Listen to the recording about the structure of Biopaints International
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