3. In the text the articles and the verb to be are missing. Write a few similar sentences using the table.
e.g. A company is an organization operating to make profit.
4. Point out the sentences with the construction there is/there are and the verbs in the Passive Voice. Translate them.
5. Find the following information in the text about different forms of business organisation:
a) What do business organizations consist of?
b) Tell about 2 ways that a company can organize itself. Give examples.
c) What is the difference between a “tall” and a “flat” company? What kind is easier to manage? What company are senior managers more likely to experience job satisfaction in? What about junior managers?
There are many forms of business organisation. Some businesses consist of just one person. While others employ thousands of people. Some businesses make products, while others are involved in providing services. Despite these differences, all business organisations consist of:
A group of people who form a structure
The structure has rules and authority
It follows a set of objectives
It uses economic resources
Companies can be differentiated in two ways: there is horizontal differentiation and vertical one.
Horizontal differentiation refers to the way in which a company’s activities are divided into distinct units. These are the most popular forms of horizontal differentiation:
O
rganisation
by function. e.g. the top management
of a computer company decide that the company should be structured
according to the functions it performs – research and development,
manufacturing, marketing, and finance:
Research and Finance Manufacturing Marketing
development
O rganisation by product. e.g. The computer company makes two kinds of products, hardware and software. Top management thinks that these products are so different to each other that it is better to organize the company on the basis of the different products it makes.
Hardware Software
Organisation by location. An alternative to structure the company on the basis of location. e.g. The headquarters are in London, but the company has offices around the world.
Organisation by customer. e.g. The company sells its products to business users and consumers.
Vertical differentiation
This term refers to the number of management levels in a company. A company with many levels is known as a “tall” company. There are many levels in the hierarchy, because there are many different production processes, like in government bureaucracies and military organizations. This kind of organization is difficult to control, and the lower levels usually have to obey very precise rules, rather than plan their own work. A company with very few management levels is known as a “flat” organization. A company like this usually has a Chief Executive, one management level, and a number of supervisors in charge of ordinary employees.
Vertical differentiation
Finance director Marketing director Production director
Senior management Senior management Senior management
Finance department Sales department Production department
manager manager manager
Junior managers Area sales managers Junior managers
Finance department Sales force Production work force
Vocabulary
Consist of – состоять из
(be) involved in – быть вовлеченным в
Provide - обеспечивать
Authority - власть
Follow - следовать
Objective - цель
Differentiation – различение, различие
Refer to – относиться к (чему-л)
Divide into – делиться на
Unit - часть
Perform - выполнять
According to – в соответствии с
Research - исследование
Location – положение, местоположение
Headquarter – штаб-квартира, головной офис
Level - уровень
Obey rules – соблюдать правила
Employ (v) нанимать
Employee – служащий, работающий по найму