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Business organization and structure.

The board of directors is the principle decision making unit of a company and the source of power within the organization. Plc must have a least 2 directors appointed by the shareholders. One is the chairperson, who may also be the chief executive. Besides the chairperson will be a company secretary, in charge of legal administration. All other board members are discretionary.

There is usually a finance director and other directors representing the main operating units of the company. A private limited company (LTD) need only have one director appointed by the owners. Otherwise its structure and legal framework under which it operates are very similar to those of the plc. Large companies may have non-executive directors whose theoretical role is to have an objective eye on matters, although their responsibilities are rarely well defined. Their real function is to provide contacts with government and the establishment.

The board will also appoint an executive committee consisting of executive directors and a managing director to manage the company. This is the closest British companies get to the continental twin-board system. Beneath board level the nature of the organization is less clear cut.

The traditionally British concept of the organization is a many layered and vertically oriented pyramid based on a vertical (охватывающий все стадии производства) chain of command. Its primary purpose is transmitting orders down the line from the top. In a large number of companies this remains the norm, though this number is declining.

Where top-down hierarchy has been abandoned is an antipathy towards what is described as bureaucracy. In some cases this includes all systematic decision making procedures, clear lines of authority and channels of communication.

The annual budget is the back-bone of the organization. Most companies have a sophisticated process of annual budgeting, in some cases extended into a three or five years forecast. The forecast is monitored on a regular basis, usually, monthly, consolidated, processed, and amended by management, fed back down to the line managers for implementation.

Managers aspire to be effective, decisive and tough under the motto “managers have aright to manage”. In their bosses the British are looking for the abilities to conduct meetings efficiently and to establish good relationships with subordinates.

Outsiders should be careful to distinguish between the image and the need.

It is a convention that instructions should be disguised as polite requests. People expect their bosses to give them instructions and then let them get on with a job without interference.

Fairness in relationships is more important than closeness.

The concept of a boss as a coach creating an atmosphere of support and encouragement and providing constant feedback on performance is making ground (прогрессивный) but is by no means universal. The British joke is about their love to committees. The most important committee is the board of directors. Even detailed decisions within the competence of a director may have to wait for formal approval by the board. Beneath the board is a complicated network of other committees, formal and informal.

The British are motivated by work that is seen as valuable not only to themselves but to others and which contributes to a common goal. The relationship between the individual and the company is expressed by the use of the word “servant” to mean employee. It implies a strong element of duty and self-sacrifice, a personal commitment to the team in addition to the contractual arrangement. The leader’s role is to embody a collective will and take personal responsibility for it while continuing to communicate and cooperate with a team.

Meetings are the most important and time consuming management tool. Only the least important decisions are not formulated, discussed, approved, ratified, communicated, and implemented at a meeting. It is not acceptable to leave a meeting half way through, make phone calls, get on with paper work.

Women make up 45 % of the work force, a larger percentage than in other countries despite having the lowest maternity benefits and negligible childcare facilities. Economic necessity outweighs the difficulties. Women are found in managerial positions in service industries and the public sector. There are fewer women in manufacturing industry.